Vote: Energy
Output Class D1- Policy Advice on Energy and Resource Issues
Description
This output class provides policy advice to ensure the operation of energy and resource markets (electricity, oil, gas, geothermal, coal, minerals and other natural resources) is efficient and meets government objectives.
Quantity, Quality, Timeliness and Cost
Work Programme
All policy advice projects were delivered in accordance with the terms of the work programme as agreed with the Minister. Delays and changes to deadlines were negotiated with the Minister.
Key Deliverables in the Work Programme for 2002/2003
Gas Market
Provide advice and reports as required by the Minister on gas market regulation.
Following Government decisions on the review of the gas sector a Government Policy Statement was issued in March 2003. The gas industry formed a Gas Industry Steering Group to facilitate industry self-governance and officials liaised closely with industry throughout this process. A draft paper for Cabinet was prepared on back-stop regulation-making powers for delivering the Government’s objectives for the gas sector should industry self-governance fail. Decisions on this will be made in 2003/2004.
The Maui redetermination and its implications for gas supply have been a significant activity. The Ministry took a leadership role in ensuring that the government’s commercial and security of supply interests were given equal consideration. In partnership with Treasury, officials assisted the Minister to make significant progress towards reaching agreement among Maui parties on commercial arrangements that will ensure gas from the Maui field is optimised and the Government’s security of supply as well as commercial interests are fulfilled.
Officials also monitored and advised on the development of an open access regime for the Maui pipeline.
A Government Policy Statement on the importance of Pohokura gas for security of supply was developed and issued to the Commerce Commission as a statement of government policy under s26 of the Commerce Act 1986. The Commerce Commission’s consideration of joint marketing of Pohokura gas was monitored and a submission was made to the Commission on the importance of Pohokura gas being marketed and developed as quickly as possible.
Terms of reference for an inquiry into gas pipeline services as part of the decisions on the review of the gas sector were developed and forwarded to the Commerce Commission.
Electricity Market
Provide advice and reports as required by the Minister on electricity industry self-regulation and delivery of outcomes and objectives in the Government Policy Statement on Electricity.
A key focus for the year has been advice to Government on electricity security of supply. Options for delivering security of supply were investigated and an “experts group” was formed to help provide a range of advice to Infrastructure Ministers. This work culminated in May 2003, when Cabinet decided to implement “1 in 60-year” reserve generation capability. Design work on how this will be implemented was a focus throughout June and will continue into the next financial year. Work was undertaken on investigating a proposal by Contact Energy for new reserve generation plant at Whirinaki. Decisions to purchase new reserve plant to improve security of supply for Winter 2004 and beyond were announced early in 2003/2004.
Monitoring of lake levels and managing thermal fuel for winter security was also a significant focus. Significant work was undertaken in facilitating coal availability for Huntly, and officials actively participated in the Grid Security Committee and generation chief executives’ forum.
A Government Policy Statement on Financial Transmission Rights was developed following consultation with the industry.
Extensive tariff monitoring work was undertaken, with particular reference to compliance with the Government’s low fixed charge policy. Initial work was undertaken on regulations.
An approach to regulating arrangements for connection of distributed generation to lines was progressed, with a draft discussion paper nearing finalisation at 30 June 2003.
Provide advice on the establishment of a Crown Entity Electricity Governance Board (if required) and implement if necessary.
Following the unsuccessful industry referendum vote, Government decided to implement a Crown Electricity Commission. The Ministry advised on the process for implementing the Crown Electricity Commission and an Electricity Commission Establishment Unit was created in June 2003. Early preparatory work was undertaken on legislative amendments to implement these decisions. Monitoring and advising on the progress of the Electricity Governance Establishment Committee (EGEC) was a core activity in 2002/2003.
Provide advice to the Minister on the Commerce Commission’s administration of electricity line regulation, annually within three months of the Commission’s annual report being tabled in the House.
The Commerce Commission’s regime for the administration of electricity line regulation “The electricity lines thresholds regime” was not put in place until 6 June 2003. Therefore, the Commerce Commission’s annual report tabled in September 2002 reported on progress with setting up the regime only. Commerce Commission progress was monitored and the Minister was kept informed.
Petroleum Market
Report as required by the Minister on competition in petrol, diesel and other markets; and
Provide advice, as necessary, on petrol and diesel quality regulations.
Advice was provided to the Associate Minister of Energy on the future of independent petrol retailing in November 2002. Meetings were held with independent petrol retailers and the Motor Trade Association (MTA). The Associate Minister met with oil majors in February 2003 and advised that he wants better industry arrangements with independent retailers.
Initial discussions between oil majors and the MTA have taken place but progress is slow. The Associate Minister wants officials to provide additional advice on what can be done further to progress this issue. Advice will be forwarded to the Minister in 2003/2004.
Climate Change
Make a significant contribution to advice on a domestic policy package, as co-ordinated by the climate change project team, by 30 June 2003.
The Ministry provided input and advice for decisions on the Government’s preferred policy package as co-ordinated by the climate change team, and supported the passage of the Climate Change Response Bill.
Make a significant contribution to the development of the Climate Change Response Amendment Bill, by 30 June 2003.
The Ministry contributed to the development of the Resource Management Act (RMA) (energy and climate change) Amendment Bill and supported negotiation of the first negotiated greenhouse agreement with the New Zealand Refining Company. The development of the Climate Change Response Amendment Bill has been delayed pending consultation on an agricultural research levy by the Climate Change Office.
Develop technical standards and formats for a national climate change registry in accordance with international requirements, by 30 June 2003.
The Ministry prepared a Budget bid for development and implementation of a national unit register domestically. High level business requirements and IT project plans for the unit register were developed by 30 June 2003. Business requirements will be developed further in 2003/2004.
Represent New Zealand’s economic development interests in negotiations on the United Nations Framework Convention on Climate Change (UNFCCC) and Kyoto Protocol, by 30 June 2003.
The Ministry led negotiations of the requirements for developing technical standards for national registries at COP8 in November and at the 18th session of the Subsidiary Body for Scientific and Technical Advice (SBSTA18) to the UNFCCC in May/June 2003.
Natural Resources
Provide advice and reports as required by the Minister on efficient allocation and obtaining a fair financial return from Crown-owned minerals.
A paper to Cabinet on the fundamental policy objectives to guide the preparation of a replacement programme for petroleum was approved in June 2003.
Report to the Minister on the land access provisions for the Crown Minerals Act, by 30 June 2003.
A report on land access provisions has been deferred until 2003/2004 as agreed by the Associate Minister.
Provide policy advice to the Minister on how the Government should respond to any Waitangi Tribunal report in respect of natural resources, within three months of the report being issued.
Advice was provided to Ministers on the Waitangi Tribunal Petroleum report within three months of it being issued.
Report to the Minister on the extent to which the Crown is meeting its Treaty of Waitangi obligations in managing petroleum, by 31 March 2003.
This report was deferred pending the release by the Waitangi Tribunal of its report on petroleum. It is now being considered in the context of a review of the Crown minerals programme for petroleum which is due for completion in December 2004. It is hoped that the Waitangi Tribunal will have released its second report on petroleum in time for it to be considered in the review of the minerals programme.
Develop protocols between the Minister and relevant iwi or hapu in respect of the management of Crown-owned minerals in the context of individual Treaty claims.
Protocols were signed with Te Uri O Hau and Ngati Ruanui in 2002/2003. A protocol with Ngaa Rauru was under development at 30 June 2003.
Report to the Minister with recommendations on a suitable policy framework for bioprospecting, by 30 June 2003.
A public discussion document was issued in November 2002 and a seminar held in February 2003. A summary of submissions was reported to the Minister and made publicly available on 3 May 2003. A bioprospecting policy framework has been developed and will be reported in August 2003.
Participate actively in the inter-departmental officials’ group on oceans policy and keep the Minister informed of developments through regular reports.
The Ministry participated in the policy development process through a senior officials’ steering group led by the Ministry for the Environment. In addition, a Ministry of Economic Development staff member was seconded to the Oceans Secretariat in the Ministry for the Environment. The Secretariat provided regular reports to an ad hoc group of Ministers, including the Minister of Energy.
Cost
(Figures are GST exclusive)
| 2003 | 2003 | 2003 | 2002 |
| Main Estimates | Supplementary Estimates | Actual | Actual |
| $000 | $000 | $000 | $000 |
| Revenue: | | | | |
| Crown | 2,728 | 3,205 | 3,173 | 2,567 |
| Other | 47 | 47 | 47 | 50 |
| Total Revenue | 2,775 | 3,252 | 3,220 | 2,617 |
| Expenses: | | | | |
| Annual appropriations | 2,775 | 3,252 | 3,220 | 2,617 |
| Other appropriations | -- | -- | -- | -- |
| Total Expenses | 2,775 | 3,252 | 3,220 | 2,617 |
| Net Surplus/(Deficit) | -- | -- | -- | -- |
Revenue Other was derived from cost recoveries.
Major Budget Variances
The Supplementary Estimates change reflects a transfer of funding from Vote Communications to meet additional costs associated with policy work on future electricity and gas needs ($120,000), and new Crown funding for delivery of comprehensive advice to Ministers on issues associated with gas and electricity market developments ($446,000); partly offset by a transfer of funding to Vote Prime Minister and Cabinet to fund the Climate Change project and implementation of climate change policy (-$89,000).
The variance between 2002/2003 and 2001/2002 actual expenses refers to costs associated with the establishment of the Electricity Governance Board and additional policy work on electricity and gas needs for the future.
Output Class D2 - Management of the Crown Mineral Estate
Description
This output class provides services relating to the management of Crown-owned minerals under the Crown Minerals Act 1991 and minerals programmes issued under this Act.
The Crown owns all in-ground petroleum, gold and silver in New Zealand and approximately half of the coal and other mineral resources. It also has jurisdiction of the petroleum and minerals in New Zealand’s exclusive economic zone and continental shelf.
Quantity, Quality, Timeliness and Cost
Performance standards for outputs other than policy advice are in brackets where applicable.
Work Programme
All policy advice projects were delivered in accordance with the terms of the work programme as agreed with the Minister. Delays and changes to deadlines were negotiated with the Minister.
Policy work undertaken in 2002/2003 focused on:
- supporting the Crown Minerals Amendment Bill which was awaiting its second reading at 30 June 2003; and
- a review of the Crown minerals programme which was under way at 30 June 2003.
Permit Allocation and Management
Quantity
357 (220) permit and permit change applications were processed in accordance with the Crown Minerals Act 1991 and the relevant minerals programme. Volumes are demand driven.
476 (440) permits were monitored for compliance with conditions.
The higher levels of minerals and coal permit applications were due to a rising gold price, interest generated by the release of the mesothermal gold prospectivity study and increased coal activity. Petroleum permit applications ran to expectation and are always irregular due to the timing of Blocks Offers.
Quality
Permits are monitored for compliance with conditions to ensure the integrity of the allocation system and action is taken where there is evident non-compliance. This includes reviewing mineral mining permit work statements. Each permit is reviewed from a compliance perspective as follows:
- 100% (100%) petroleum permits were monitored for compliance with conditions on work programme milestones.
- 315 (250 estimated) minerals mining permit work statements were reviewed and approved; and
- 79 (120 estimated) minerals prospecting and exploration permit work programme commitments were reviewed, based on annual activity reports.
Forecast numbers were estimates of work statements and activity reports expected to be submitted for review during 2002/2003.
Timeliness
90% of new permit applications will be processed within an average time of six months of receipt.
90% of new minerals permit applications were processed within an average time of four months of receipt and 92% of new petroleum permit applications were processed within six months of receipt.
90% of permit change applications will be processed within an average time of three months of receipt (excluding applications for extension of area).
90% of minerals permit change applications were processed within an average time of one month of receipt and 100% of petroleum permit change applications were processed within three months of receipt (excluding applications for extension of area).
96% (90%) of mining permit work statement reviews were undertaken within 30 clear business days of receipt.
Collection of Royalties, Levies and Fees
Quantity
The Ministry collected $47.4 million (estimated $35.1 million) in royalties, on behalf of the Crown, as required by the conditions of permits. The reason for the variance is because of higher than expected crude oil prices.
Levies of $93.9 million (estimated $100.7 million) were collected on behalf of the Crown, under the Energy Resources Levies Act. The reason for the variance is because lower volumes of gas were produced than anticipated.
Departmental fees of $2.608 million (estimated $2.931 million) were collected as required by regulations under the Crown Minerals Act 1991. The reason for the variance is due to a significant number of permits being surrendered.
Quality
Undertake at least three compliance audits of significant energy resource levy or royalty payers within five months of receipt of annual royalty or levy and pursue any shortfalls.
In fact, the Ministry undertook 10 compliance audits of significant energy resource levy or royalty payers. No shortfalls were identified.
Timeliness
99% (95%) of royalties were collected within one month of due date.
96% (90%) of fees were collected within two months of due date.
Management of the Geoscience Records and Reports Library
Quantity
164 (130) records and reports received from petroleum and minerals holders were entered into the resource data library.
Volumes are demand driven.
Timeliness
100% (90%) of resource data information requests were responded to within five clear business days of receipt.
Cost
(Figures are GST exclusive)
| 2003 | 2003 | 2003 | 2002 |
| Main Estimates | Supplementary Estimates | Actual | Actual |
| $000 | $000 | $000 | $000 |
| Revenue: | | | | |
| Crown | 2,184 | 2,098 | 2,098 | 2,184 |
| Other | 3,186 | 3,186 | 2,799 | 3,199 |
| Total Revenue | 5,370 | 5,284 | 4,897 | 5,383 |
| Expenses: | | | | |
| Annual appropriations | 5,276 | 5,190 | 5,102 | 5,572 |
| Other appropriations | -- | -- | -- | -- |
| Total Expenses | 5,276 | 5,190 | 5,102 | 5,572 |
| Net Surplus/(Deficit) | 94 | 94 | (205) | (189) |
| Sources of Revenue Other | $000 | $000 |
| Petroleum | 1,300 | 1,453 |
| Minerals/mining | 1,150 | 1,149 |
| Coal permit annual fee | 158 | -- |
| Conferences | -- | 303 |
| Other fees | 150 | 234 |
| Total fees | 2,758 | 3,139 |
| Miscellaneous | 41 | 60 |
| Total Revenue Other | 2,799 | 3,199 |
Major Budget Variances
The Supplementary Estimates change reflects a transfer of funding to Output Class D4 – Energy and Resource Information Services (-$50,000) for additional forecasting work on future electricity and gas needs and a transfer to Non-Departmental Output Class Blenheim Wells for funding of increased activity and risk mitigation (-$36,000).
The variance between the Supplementary Estimates and actual Revenue Other reflects lower than expected revenue principally from petroleum permit fees (-$271,000), mineral mining fees (-$210,000) and resource data information (-$70,000). This is partly offset by an increase in revenue from coal permit fees ($158,000).
The variance between 2002/2003 and 2001/2002 actual Revenue Other reflects sponsorship revenue from the Petroleum Conference held in February 2002. The variance between 2002/2003 and 2001/2002 actual expenses reflects the administration and running costs associated with the February 2002 Petroleum Conference.
Output Class D3- Administration of Gas and Electricity Regulations
Description
This output class provides advice on the administration of the gas and electricity safety, supply quality and measurement regimes, electrical worker licensing, and information disclosure regimes for the gas and electricity industries.
Quantity, Quality, Timeliness and Cost
(Performance standards are in brackets where applicable.)
Energy Safety Service
Quantity
133 (75) electricity standards and 3 (4) gas standards were published under funding contracts with Standards New Zealand. The increase in electricity standards is due to an unusually large number of smaller standards being completed in one area: household appliances.
One gas standard, to establish standard terms and definitions for the gas industry, was completed to stage 1 – the development of a dossier of existing industry terms and definitions. However on the basis of stage 1 it was decided that further work to complete a full standard was not necessary.
Two (2) electrical codes of practice were published, ECP34, and ECP46.
One gas code of practice originally due for completion by 30 June 2003 is now to be replaced by a gas standard, which is taking longer to complete because of a more extensive work scope. The gas standard is expected to be completed by 31 December 2003.
242 (90) investigations of gas and electricity accidents and incidents were undertaken.
32 (90) audits and inspections of gas and electricity appliances, installations and networks and distribution systems were undertaken.
Owing to the Ministry’s obligation to carry out a higher number of investigations of accidents and fires than expected, the number of audits and inspections conducted fell below the performance standard for the year.
One additional international agreement to be concluded by 30 June 2003 had been progressed with Taiwan and awaited agreement from the Ministry of Foreign Affairs and Trade regarding the issue of rules of origin, and a response from Taiwan. This agreement is expected to be concluded in 2003/2004.
284 petroleum monitoring tests were undertaken against a target of 250. (The target will be reviewed.)
35 (20 estimated) safety articles, activity reports and public statements were released. The increase was due to changes to the Electricity Regulations requiring a larger number of articles than anticipated.
Quality
All (all) external clients who responded to a survey undertaken in June 2003 by the Ministry of Consumer Affairs stated that they were (3) satisfied to (4) very satisfied17 with the Energy Safety Service work.18 Ten responses specifically referred to Energy Safety Service work of which five rated “3” and five rated “4”.
All (all) prosecution and prohibition processes met legal and policy requirements.
All (all) published material intended for external audiences met the Ministry of Consumer Affairs publication guideline standards.
Timeliness
Key milestone dates outlined in the following Energy Safety Service work programmes will be met:
- legislation, regulations, standards and codes of practice;
- investigation, compliance, enforcement and communication regimes; and
- international agreements.
EnergySafe Programme: Drafting instructions were scheduled to be forwarded to the Parliamentary Counsel Office by 31 July 2002. The target was not met because priority had to be given to amendments to the Gas Regulations 1992, to introduce a new gas appliance safety regime, and to the Electricity Regulations 1997, to introduce new wiring rules. Proposed drafting instructions were consulted on with stakeholders by 31 January 2003, and a substantial portion of the instructions was submitted by 30 June 2003. With Ministerial approval this work will be carried forward to 2003/2004.
All other key milestone dates were met.
80% (90%) of audit, inspection and accident investigation reports were completed within 30 working days of audit, inspection or accident. 90% were completed within 30 days of the receipt of information submitted by industry parties.
The TTMRA gas appliance special exemption programme for New Zealand has been rolled over for a further 12 months. The agreement for the rollover was made by the Council of Australian Governments, which consists of the Ministers of all State Governments, and then endorsed through an exchange of letters between Prime Ministers.
The petroleum monitoring programme was completed by 30 June 2003.
Electrical Workers Licensing
Quantity
20,513 (20,500) applications for registration and licensing of electrical workers were processed.
Volumes are demand driven.
1,500 competency audits of electrical workers were to be carried out. Over the year, 480 electrical worker competency audits of work undertaken were carried out, as well as 6,096 telephone audits of electrical workers. The reason for the variance in the number and type of audits undertaken is due to a decision made by the Electrical Workers Registration Board during the year to conduct telephone audits targeting electrical workers who had not renewed their practising licences.
Quality
All (all) decisions by the Registrar that were referred to the Electrical Workers Registration Board complied with the Electricity Act 1992 and Electricity Regulations 1997 and with published policies.
Timeliness
95% (95%) of correctly completed registration and licence applications were processed within 10 clear business days of receipt.
88% (100%) of complaints against electrical workers were processed to notification of Board decision (subject to external parties) within 25 weeks. The reason the standard was not met is because some complaints needed further investigative work. Complaints Assessment Committee (CAC) processes were, however, streamlined during the year and significant timeliness improvements were made. It is expected that the standard will be met next year because of the changes made to the CAC processes.
Information Disclosure
Quantity, Quality and Timeliness
Undertake annual compliance checks of all gas and electricity information disclosures, with 80% of checks completed within 60 working days of their receipt by the Ministry.
Annual compliance checks were carried out on 27 of the 29 electricity company information disclosures within 60 working days. In addition, the electricity information disclosure compliance testing system was enhanced and historical disclosure re-checked. This led to errors being revealed, in particular in the disclosure of physical performance statistics. The companies concerned were required to enter corrections in a compendium issue of the Gazette.
With priority being placed on electricity company disclosures, and analysis of movements in electricity tariffs, the gas disclosure compliance checking of the six gas companies was not completed. This was expected to be completed by 30 September 2003.
Review the residual need for electricity disclosure regulations and make recommendations to the Minister by 31 March 2003 (the main function of these regulations is to pass to the Commerce Commission).
Discussions continued with the Commerce Commission on handing over responsibility for monitoring an electricity information disclosure regime. The timing of a hand-over was still uncertain at 30 June 2003.
Review the gas disclosure regulations in the light of the gas market review, and make recommendations to the Minister by 31 March 2003.
Work on enhanced information disclosure regulations was not progressed in 2002/2003 due to other priorities, in particular developing back-stop legislation for the governance of the gas industry.
Produce an annual report on electricity line companies by 31 December 2002, with no significant errors or omissions.
The annual report on electricity line company performance was produced in April 2003. The report was delayed as a result of considerable additional work on checking compliance of electricity company tariffs with the Government’s fixed charge policy.
Cost
(Figures are GST exclusive)
| 2003 | 2003 | 2003 | 2002 |
| Main Estimates | Supplementary Estimates | Actual | Actual |
| $000 | $000 | $000 | $000 |
| Crown | 895 | 895 | 870 | 738 |
| Other | 7,420 | 7,420 | 7,137 | 7,579 |
| Total Revenue | 8,315 | 8,315 | 8,007 | 8,317 |
| Expenses: | | | | |
| Annual appropriations | 8,226 | 8,226 | 7,906 | 8,089 |
| Other appropriations | -- | -- | -- | -- |
| Total Expenses | 8,226 | 8,226 | 7,906 | 8,089 |
| Net Surplus/(Deficit) | 89 | 89 | 101 | 228 |
| Sources of Revenue Other | $000 | $000 |
| Certificate of compliance sales | 893 | 749 |
| Practising licence fees | 1,374 | 1,833 |
| Other electrical workers licensing group fees | 266 | 415 |
| Electrical levies | 3,390 | 3,371 |
| Gas levies | 796 | 827 |
| Petroleum fuels monitoring levy | 320 | 331 |
| Total fees and levies | 7,093 | 7,526 |
| Sale of publications | -- | 3 |
| Cost recovery | 44 | 44 |
| Miscellaneous | -- | 6 |
| Total Revenue Other | 7,137 | 7,579 |
Major Budget Variances
The variance between the Supplementary Estimates and actual Revenue Other reflects lower than expected revenue from Practising Licence Fees. The variance between the Supplementary Estimates and actual expenses reflects the impact of a review undertaken in the Electrical Workers Licensing Group which resulted in a reduction in full time employees and associated personnel and operating cost reductions. The variance between 2002/2003 and 2001/2002 Revenue Other reflects a decrease in Practising Licence Fees.
Output Class D4 - Energy and Resource Information Services
Description
This output class provides information and technical advice on energy and resources including monitoring and advising Government on security of petroleum supply;
- monitoring energy prices, costs and profits (including those for petrol, diesel, electricity and gas);
- collecting, compiling and publishing comprehensive energy sector data;
- preparing and publishing energy sector future scenarios; and
- maintaining and publishing an inventory of energy sector greenhouse gas emissions.
Quantity, Quality, Timeliness and Cost
(Performance standards are in brackets where applicable.)
Quantity and Timeliness
Participate in International Energy Agency (IEA) emergency response measures to meet IEA requirements.
The Ministry monitored international oil market developments in the light of the Iraq situation, and prepared New Zealand’s IEA emergency procedures for activation. Representation was maintained at all Governing Board (GB), Standing Committee on Long Term Co-operation, Standing Committee on Emergency Questions and Budget meetings. The final GB meeting of the year was at Ministerial level and this was attended by the Associate Minister of Energy accompanied by an official from Wellington.
Produce weekly, quarterly and annual reports of price movements for different energy sources, as requested by the Minister.
Four quarterly petrol and diesel importer margin reports were prepared and the Ministry website was updated weekly throughout the year.
Publish the biannual Energy Data File, by 30 September 2002 and 31 March 2003.
The July 2002 and the January Energy Data Files were published by the due dates.
Produce reports on future energy scenarios, as requested by the Minister.
The Ministry reported on electricity security of supply risks, in particular, through March, April and May 2003. Cabinet approval was obtained for upgrading and increasing the resources available during the next three years for electricity security of supply modelling.
Publish an Energy Outlook report, by 30 September 2002.
An interim Energy Outlook Report with key results was provided to the Minister in December 2002
Preparation of a final Outlook report was delayed by redirection of modelling and forecasting resources to electricity security of supply issues and issues stemming from the earlier than expected rundown of the Maui field. The final Outlook should now be prepared for release in early 2003/2004.
Collect and compile inventory information annually by the deadlines set by the Framework Convention on Climate Change (FCCC) secretariat.
Information was forwarded to the Ministry for the Environment by the due date for compilation with other New Zealand greenhouse gas data.
Publish statistics on Energy Greenhouse Gas Emissions, by 30 June 2003.
The annual Greenhouse Gas Emissions Inventory Report (2002) was prepared in June 2003 and released by the Minister of Energy on 3 July 2003.
Quality
All published material was peer reviewed internally, and greenhouse gas data was also reviewed by the Ministry for the Environment. No significant errors or omissions were detected by users.
Timeliness
All material except for the Energy Outlook report was produced according to specified deadlines. As indicated above, this was delayed by reprioritisation to deal with electricity security of supply and Maui gas run-down issues.
Cost
(Figures are GST exclusive)
| 2003 | 2003 | 2003 | 2002 |
| Main Estimates | Supplementary Estimates | Actual | Actual |
| $000 | $000 | $000 | $000 |
| Revenue: | | | | |
| Crown | 266 | 876 | 676 | 303 |
| Other | 936 | 1,036 | 1,017 | 895 |
| Total Revenue | 1,202 | 1,912 | 1,693 | 1,198 |
| Expenses: | | | | |
| Annual appropriations | 266 | 876 | 676 | 303 |
| Other appropriations | 927 | 1,027 | 1,011 | 885 |
| Total Expenses | 1,193 | 1,903 | 1,687 | 1,188 |
| Net Surplus/(Deficit) | 9 | 9 | 6 | 10 |
| Sources of Revenue Other | $000 | $000 |
| Petroleum fuels monitoring levy | 991 | 865 |
| Sale of publications | 26 | 29 |
| Miscellaneous | -- | 1 |
| Total Revenue Other | 1,017 | 895 |
Major Budget Variances
The Supplementary Estimates change reflects additional funding for the delivery of comprehensive advice to Ministers on issues associated with gas and electricity market developments ($400,000); and modelling of electricity security of supply ($200,000); transfers of funding from Vote Communications ($60,000) and from Output Class D2 Management of the Crown Mineral Estate ($50,000), for additional forecasting work on future electricity and gas needs.
The variance between the Supplementary Estimates and actual expenses reflects timing of expenditure relating to electricity security of supply modelling.
The variance between 2002/2003 and 2001/2002 actual expenses reflects additional work on electricity market development and additional forecasting work on future electricity and gas needs.
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