Financial estimates for AMSA’s regulatory charging activity outputs for current (2020-21), budget (2021-22), and three forward year estimates, including explanations to material variances, is summarised in Table 8, with cumulative results in Table 9.
Table 8: Financial estimates for regulatory charging activities
|
Estimate |
Budget |
Forward Year Estimates |
|||
|
2020-21 ($’000) |
2021-22 ($’000) |
2022-23 ($’000) |
2023-24 ($’000) |
2024-25 ($’000) |
|
|
Navigational infrastructure (Marine Navigation Levy) |
|||||
|
Expenses (X) |
34,793 |
33,526 |
34,132 |
34,497 |
34,891 |
|
Revenue (Y)* |
37,102 |
36,226 |
36,625 |
37,000 |
37,375 |
|
Balance (Y - X) |
2,309 |
2,700 |
2,493 |
2,503 |
2,484 |
|
Explain material variances: |
Increase in expenditure from 2021-22 largely from depreciation as capital expenditure replacements program are implemented. |
||||
|
Environmental marine protection (Protection of the Sea Levy) |
|||||
|
Expenses (X) |
27,223 |
26,225 |
26,999 |
26,985 |
27,293 |
|
Revenue (Y)* |
36,384 |
36,379 |
36,725 |
37,100 |
37,475 |
|
Balance (Y - X) |
9,161 |
10,154 |
10,026 |
10,115 |
10,182 |
|
Explain material variances: |
Expecting a return to normality for regulatory activities from 2021-22 (e.g. National Plan training exercises recommencing as COVID-19 restrictions ease). These estimated surpluses will replenish the pollution response reserve from clean-up operations for the MV Efficiency incident. |
||||
|
Seafarer ship safety under Navigation Act 2012 and other Acts (Regulatory Functions Levy) |
|||||
|
Expenses (X) |
44,926 |
52,112 |
53,057 |
53,623 |
54,236 |
|
Revenue (Y) |
54,604 |
54,595 |
55,150 |
55,700 |
56,250 |
|
Balance (Y - X) |
9,678 |
2,483 |
2,093 |
2,077 |
2,014 |
|
Explain material variances: |
From 2021-22, redirection of cross-functional resources away from domestic sector and towards ship safety under Navigation Act as National System transitional workloads decrease, and service delivery is defined. |
||||
|
Marine services under Navigation Act 2012 and ship registration |
|||||
|
Expenses (X) |
10,334 |
9,684 |
9,859 |
9,964 |
10,078 |
|
Revenue (Y) |
2,944 |
3,885 |
3,885 |
3,885 |
3,885 |
|
Balance (Y - X) |
(7,390) |
(5,799) |
(5,974) |
(6,079) |
(6,193) |
|
Explain material variances: |
During the 2021-22 Budget development, a review of activities was undertaken with tasks identified as regulatory functions allocated to seafarer and ship safety. |
||||
|
Marine services for National System |
|||||
|
Expenses (X) |
7,786 |
8,839 |
8,999 |
9,095 |
9,199 |
|
Revenue (Y) |
3,233 |
3,805 |
3,805 |
3,805 |
3,805 |
|
Balance (Y - X) |
(4,553) |
(5,034) |
(5,194) |
(5,290) |
(5,394) |
|
Explain material variances: |
Continued under-recovery in domestic commercial vessel fee-based activities. Revenue in 2021-22 expected to increase to pre COVID-19 levels, corresponding with increased effort (costs). |
||||
* Revenue includes insurance recoveries for aids to navigation assets and insurance and legal settlements for environmental emergency pollution response.
Table 9: Financial estimates for regulatory charging activities
|
|
Estimate |
Budget |
Forward Year Estimates |
||
|
2020-21 ($’000) |
2021-22 ($’000) |
2022-23 ($’000) |
2023-24 ($’000) |
2024-25 ($’000) |
|
|
Expenses (X) |
125,062 |
130,386 |
132,746 |
134,164 |
135,697 |
|
Revenue (Y) |
134,267 |
134,890 |
136,190 |
137,490 |
138,790 |
|
Balance (Y - X) |
9,205 |
4,504 |
3,444 |
3,326 |
3,093 |
|
Cumulative balance |
9,205 |
13,709 |
17,153 |
20,479 |
23,572 |
As noted, AMSA’s financial estimates provided here do not include the activity output for the National System regulatory-based seafarer and ship safety. Given the upcoming government review of this function, it is not possible to comment on forward years with any degree or level of accuracy, nor without legislative funding provisions. To do otherwise would be confusing and counterproductive to users of this CRIS.