This output class provides policy advice on the operation of energy and resource markets (electricity, oil, gas, geothermal, coal, minerals and other natural resources). This will include advice on: the regulatory environment; resource management, allocation and pricing; long-term strategic and security considerations; energy efficiency and environmental issues; and Treaty of Waitangi claims in relation to natural resources, in particular mineral and energy resources.

Specifically, during the year the Ministry of Economic Development will develop policies aimed at:

ensuring New Zealand's response to climate change takes full account of business costs and opportunities and imposes least cost to the economy as a whole;
better implementation of the Resource Management Act (RMA) including the development of a guideline for local authorities on implementing cost and benefit analysis of regulations under section 32 of the RMA;
reporting on the compliance of electricity companies with the ownership requirements of the Electricity Industry Reform Act 1998;
reviewing the development of competition in electricity retailing, with emphasis on the development of switching mechanisms (e.g., metering and profiling);
developing an enhanced information disclosure regime for the gas market; and
reviewing the effectiveness of the new regulatory regime that enhances the threat of price control on electricity lines businesses, with suggestions for change as necessary.

Quantity, Quality, Timeliness and Cost

Performance Measures	Performance Standards	Actual
Quantity
Ministerial Correspondence	500-600 (estimated)	686
Parliamentary Questions	100-140 (estimated)	96
Work Programme
Policy advice will be delivered in accordance with the prioritised requirements of a work programme negotiated annually with the Minister.	Delivery of policy advice projects in accordance with the terms of the work programme agreed with the Minister.	All policy advice projects were delivered in accordance with the terms of the work programme as agreed with the Minister.
Key deliverables in the work programme for 1999/2000 include:
Promoting better implementation of the Resource Management Act 1991, including the development of a guideline for local authorities on implementing cost and benefit analysis of regulations under section 32 of the Act.	Analysis to be completed by 30 June 2000.	Milestone removed with Ministerial approval. (Ministry for the Environment undertook the work with assistance from Ministry of Economic Development.)
Reporting on compliance of electricity companies with the ownership separation requirements of the Electricity Industry Reform Act 1998.	By 31 July 1999	Achieved. Report submitted 30 July 1999.
Reviewing the development of competition in electricity retailing, with emphasis on the development of switching mechanisms (e.g. metering and profiling).	By 30 November 1999	Achieved. Report on the progress with electricity retail competition submitted 5 October 1999.
Developing an enhanced information disclosure regime for the gas market.	By 30 September 1999	Discussion paper released 11 October 1999. Cabinet has approved the proposed amendments and drafting instructions have been sent to the Parliamentary Counsel Office.
Reviewing and reporting on the effectiveness of the new regulatory regime that enhances the threat of price control on electricity lines businesses, with suggestions for change as necessary.	By 30 June 2000	Price control regime deferred, pending the outcome of the report of the Electricity Inquiry, released on 13 June 2000.
Projects not included in the Departmental Forecast Report
Electricity Inquiry
	Ministerial Inquiry initiated following Election.	Provision of support to the Ministerial Inquiry into the electricity industry including: Report submitted and approval obtained from Cabinet on 31 January 2000 of format for Electricity Inquiry, Terms of Reference, panel members, budget and timeline. Assistance given to Electricity Inquiry, in particular with summarising oral and written submissions and with written advice on particular issues as requested by Inquiry team. Report summarising key issues in submissions to the Inquiry submitted to Minister on 17 April 2000. (The Inquiry report was released on 13 June 2000.)
Electricity: Monitor and provide ongoing policy advice on the performance of: generation including the wholesale market; transmission including efficient contracting; distribution including price control; and retail including metering and profiling.		Reports and advice were provided to the Minister across a range of topics. A key project under this output was the commencement of detailed analysis and review of the handbook for the Optimised Deprival Valuation of the electricity lines businesses.
Electricity: Arrange for promulgation of amendment to Electricity (Information Disclosure) Regulations to recognise introduction of price control.		Technical amendments to electricity regulations approved by Cabinet, drafted by Parliamentary Counsel Office and promulgated.
Climate Change: In conjunction with other officials, reports to Ministers on appropriate domestic policy measures for achieving New Zealand's Kyoto Protocol commitment.		Reported to Ministers on appropriate domestic policy measures.
Energy Efficiency and Conservation Authority (EECA): Manage the transfer of EECA to a crown entity.		Transfer completed as at 1 July 2000.
Coverage
Provision of a comprehensive service which has the capacity: to react urgently; to offer timely and relevant briefings on significant issues; and to give ministerial services and support as required.	The Minister's feedback is within the range (4) "met expectations" to (5) "fully met expectations" in the quarterly review of the Ministry's performance.¹⁸
Quality
The Ministry's Policy Framework provides that advice has the quality characteristics above.	The Minister's feedback is within the range (4) "met expectations" to (5) "fully met expectations" in the quarterly review of the Ministry's performance.¹⁹	The Ministers gave the Ministry a rating of (5) for the policy services provided in the first quarter and ratings of (4) for policy services provided in the third and fourth quarters. No response was provided for the second quarter.
Ministerial servicing in the form of letters and parliamentary questions is undertaken as required by the Minister.	An acceptance rate of 100% is achieved in respect of first drafts.	Discussion/negotiation with the Minister's office achieved an agreed final version.
Timeliness
Reports and verbal advice to the Minister are delivered within the timeframes required by, and agreed with, the Minister.	100%	100%
Draft ministerial correspondence is submitted to the Minister within 10 working days of receipt in the Ministry.	100%	99.6%
Where only on interim reply is possible a final reply shall be provided within the following time frames.	90% within 20 working days of the original receipt in the Ministry, and 100% within 30 days of receipt in the Ministry.	Not applicable.

Cost

(Figures are GST exclusive)

	2000 Main Estimates	2000 Supple- mentary Estimates	2000 Actual	1999 Actual
	$000	$000	$000	$000
Revenue:
Crown	2,398	3,048	2,773	2,529
Other	47	47	54	11
Total Revenue	2,445	3,095	2,827	2,540
Expenses:
Annual Appropriations	2,445	3,095	2,827	2,540
Other Appropriations	-	-	-	-
Total Expenses	2,445	3,095	2,827	2,540
Net Surplus/(Deficit)	-	-	-	-

Major Budget Variances

The increase provided for in the Supplementary Estimates was for the Electricity Sector Inquiry.

The variance between Actual and Supplementary Estimates for Revenue Crown and expenditure relate to savings achieved in conducting the Electricity Sector Inquiry.

Output Class D2 - Management of the Crown Mineral Estate

Description

This output class relates 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.

Outputs in this class are:

allocation and management of petroleum exploration and mining permits;
allocation and management of minerals and coal exploration and mining permits;
collection of royalties, levies and fees related to petroleum, coal and minerals extraction and permits;
promotion of investment opportunities in exploration and development of petroleum, coal and minerals;
management of the Geoscience Records and Reports Library (comprising records and reports obtained from exploration and mining activities);
product development based on the Geoscience Records and Reports Library and complementing promotion activities; and
Crown minerals policy advice, particularly on the preparation and monitoring of minerals programmes and regulations, the administration of the Crown Minerals Act 1991 and measures to enhance the business environment for investment in the Crown mineral estate. The latter will include reporting on ways to minimise the compliance and administration costs to mineral explorers and miners with revenues under $1 million per annum.

Quantity, Quality, Timeliness and Cost

Performance Measures	Performance Standards	Actual
Quantity
Ministerial Correspondence	40-60 (estimated)	22
Parliamentary Questions	10-15 (estimated)	8
Work Programme
Permit Allocation and Management
Permit and permit change applications are processed in accordance with the Crown Minerals Act 1991 and the relevant minerals programme:	205 dependent on industry demand.	179 (Demand driven.)
Petroleum permit applications.	10	11 (Demand driven.)
Petroleum permit change applications.	45	61 (Demand driven.)
Mineral permit applications.	100	78 (Demand driven.)
Mineral permit change applications.	50	29 (Demand driven.)
Permits (and licences) 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/licence is reviewed from a compliance perspective as follows:
Petroleum permits/licences.	Annually	81 permits/licences were inspected and reviewed.
Minerals permits/licences.	Reviewed at least once every three years. 250 mining permit work statements estimated.	233 mining work statements were completed.
Quality
Ministerial servicing in the form of letters and parliamentary questions is undertaken as required by the Minister.	An acceptance rate of 100% is achieved in respect of first drafts.	No statistics available; responses completed for all letters and parliamentary questions.
All applications are processed in accordance with the Crown Minerals Act 1991 and the relevant minerals programme.	No successful challenge against the Minister's determination under the Crown Minerals Act 1991.	No successful challenges.
Permits and licences monitored for compliance to ensure integrity of the allocation systems and action taken where evident non-compliance.	Successful resolution of 90% of breaches of permit and licence conditions identified.	100% resolved for petroleum. 90% of breaches resolved, 10% ongoing, for minerals.
Timeliness
Draft ministerial correspondence is submitted to the Minister within 10 working days of receipt in the Ministry.	100%	95.5%
Where only an interim reply is possible a final reply shall be provided within the following timeframes.	90% within 20 working days of the original receipt in the Ministry; and 100% within 30 days of receipt in the Ministry.	Not applicable.
Except where legal issues or due process otherwise prevents, applications are processed as follows:
Mineral permit and permit land extension applications.	90% within six months.	90% completed within an average of six months.
Petroleum permit and permit land extension applications.	90% within four months.	100% processed within four months.
Other permit changes.	95% within two months.	For petroleum, 98% within two months. For minerals, 95% within two months.
Mining permit work programme reviews.	90% within one month.	95% reviewed within 30 days of receipt.
Collection of Royalties, Levies and Fees
Quantity, Quality and Timeliness
The Ministry will collect:
royalties, on behalf of the Crown, as required by the conditions of permits and licences.	$25.3 million collected.	$47.6 million collected. The higher than budgeted figure reflects higher crude oil prices and volumes and the payment of $2 million in royalties arrears.
The due date for royalty payments is specific to the permit or licence holder.	95% of royalties collected within one month of due date.	99% of royalties collected within one month of due date.
Levies, on behalf of the Crown, under the Energy Resources Levies Act. These are payable monthly on natural gas and coal production.	$90 million collected.	$107.8 million collected. This reflects higher gas sales for electricity and methanol production.
	95% of levies collected within one month of due date and 100% within three months of due date.	99% of levies collected within one month of due date and 100% collected within three months of due date.
Departmental fees as required by regulations under the Crown Minerals Act 1991. Six-monthly fees are payable in advance on all permits and licences. Application fees are payable with the application.	$3.2 million collected.	$3 million collected. Reduced commodity prices (in particular gold) resulted in a significant number of permit surrenders, resulting in fewer permits and less acreage under permit than forecast.
	90% of six-monthly fees collected within three months of due date.	93% of six-monthly fees collected within three months of due date.
Promotion of exploration and development of petroleum and minerals
Quantity, Quality and Timeliness
Promotion, to attract international investment, is undertaken in accordance with an annual marketing plan which includes:	The marketing plan is agreed by 31 May of the preceding year.	Marketing plan completed and implemented.
publications and other material to be produced and distributed identification of target companies and strategies for keeping them informed; and identification of industry conferences where there will be promotion stands and speeches.;	There is achievement of the specific performance measures and targets specified in the marketing plan.	Specific performance measures and targets specified in the marketing plan achieved: Identification of target companies and strategies. Identification of industry fora.
The New Zealand Petroleum Conference will be held in March 2000 in Christchurch.	It is estimated 330 delegates will attend the petroleum conference, approximately one third from overseas.	The conference was highly successful with 335 delegates attending, including 93 overseas delegates.
Planning will be under-taken for the November 2000 Minerals Conference to be held in Wellington.		Planning is under way for the 2000 Minerals Conference.
Management of the Geoscience Records and Reports Library
Quantity, Quality and Timeliness
Maintain technical library systems that combine preservation, confidentiality of material where relevant, and ready access to publicly available geoscience data, achieved by:
entering records and reports received from petroleum and minerals holders into the technical library systems within two months of receipt;	It is estimated that: 120 major reports will be entered into the library systems;	185 petroleum, 91 minerals/coal, a total of 276 reports or partial reports were entered.
	90% entered within five working days; and	Achieved.
	100% entered within 20 working days.	Achieved.
maintaining data confidentiality in accordance with section 90 of the Crown Minerals Act 1991 and the Official Information Act 1982;	All reports tested against Release Protocol under the Purchase agreement.	Achieved.
responding to information requests promptly; and	It is estimated that 650 client requests will be responded to.	907 requests were responded to.
	Client satisfaction survey results show that 90% of clients are satisfied with information request services received.	No formal survey was undertaken. However, the feedback opportunity provided on each transmission has resulted in substantial positive comments with no negative comments received.
ongoing preservation of records and reports, for example by recopying ageing seismic tapes.	The Ministry will copy 9-track seismic tapes from the 1970s and 1980s, which are subject to rapid deterioration.	Copying of 9 and 7 track tapes and compaction to high density format was completed, both achieving a major reduction in space and eliminating risk by providing a duplicate set stored off-site.
Product Development
Quantity, Quality and Timeliness
The design, packaging and marketing of petroleum and minerals geoscience data products will be based on information publicly available from the Geoscience Records and Reports Library. This work will complement the promotion of exploration and development. The products will be produced primarily as requested by industry.	The development of products is demand driven. This is a new initiative and during 1999/2000 there will be an investigation of marketing opportunities and implementation strategies.	Review of options for product development undertaken and report prepared Identifying Resource Data Marketing Opportunities.

Cost

(Figures are GST exclusive)

	2000 Main Estimates	2000 Supple- mentary Estimates	2000 Actual	1999 Actual
	$000	$000	$000	$000
Revenue:
Crown	2,185	2,185	2,185	2,185
Other	3,567	3,667	3,187	2,946
Total Revenue	5,752	5,852	5,372	5,131
Expenses:
Annual appropriations	5,737	5,837	5,659	5,011
Other appropriations	-	-	-	-
Total Expenses	5,737	5,837	5,659	5,011
Net Surplus/(Deficit)	15	15	(287)	120

Sources of Revenue Other

	$000
Fees	3,023
Miscellaneous	164
	3,187

Major Budget Variances

The increase between the Main and Supplementary Estimates for Revenue Other and Appropriations relates to a technical adjustment to better account for activities relating to the dissemination of data by the Resource Data Unit of the Ministry of Economic Development.

The change in actual expenditure between 1998/1999 and 1999/2000 relates to the hosting of the New Zealand Petroleum Conference in March 2000 and to costs of promoting petroleum exploration.

The deficit occurred because the third party revenue expected to result from the promotion of petroleum exploration did not arise.

Output Class D3 - Administration of Gas and Electricity Regulations

Description

This output class provides advice on the administration of gas supply, quality and safety regimes and information disclosure regimes for the electricity and gas industries.

Outputs in this class are:

safety, fuel quality and metering in the gas and electricity industries:

Development and reviews of legislation, standards, codes and instructions;
Monitoring and enforcement; and
Publicity and advice;

petroleum fuel quality and monitoring;
electrical workers' registration; and
administration of information disclosure regulations for the gas and electricity industries.

A particular area of focus for the year is implementing the Trans-Tasman mutual regulatory regime for electrical equipment.

Quantity, Quality, Timeliness and Cost

Performance Measures	Performance Standards	Actual
Quantity
Ministerial Correspondence	40-60 (estimated)	13
Parliamentary Questions	5-10 (estimated)	2
Generic measures
These activities/measures apply across all activities in this output class excluding administration of gas and electricity information disclosure.
Quality
Ministerial servicing in the form of letters and parliamentary questions is undertaken as required by the Minister.	An acceptance rate of 100% is achieved in respect of first drafts.	100%
External clients are satisfied that the quality of services meets commitments in the Service Level Agreement (SLA) with the Electrical Workers' Registration Board (EWRB), and the Energy Inspection Client Service Commitments.	Major external clients, on average, rate the services provided as (4) "met expectations" to (5) "fully met expectations" as evidenced by annual survey.²⁰	The EWRB and the Ministry agreed not to have an SLA for the 2000 financial year as a result of the more direct relationship between the Board and the Electrical Workers' Licensing Group. Energy Safety Service: An average rating of 3.6 was obtained from returns provided by 14 external clients.
Timeliness
Draft ministerial correspondence is submitted to the Minister within 10 working days of receipt in the Ministry.	100%	Achieved.
Where only an interim reply is possible a final reply shall be provided within the following timeframes.	90% within 20 working days of the original receipt in the Ministry; and 100% within 30 days of receipt in the Ministry.	Not applicable.
External consultations - period for comment.	90% in a minimum of 30 working days.	Achieved.
Investigations - reports completed (excluding time required for external parties to provide information).	90% within 40 working days.	88%
Audits and inspections - reports completed (excluding time required for external parties to provide information).	90% within 30 working days.	Achieved. Only electrical audits and inspections were done.
Correctly completed registration and licence applications issued.	95% within 10 working days.	Achieved.
Responses to general correspondence.	95% within 10 working days.	90.5%
Safety, fuel quality and metering in the gas and electricity industries
Development and reviews of legislation, standards, codes and instructions.
Quantity
Regional regulatory co-ordination activities (including APEC chairmanship).	Gas, 2 Electricity, 4	Gas, 2 (Gas Technical Regulatory Committee). Electricity, 5 (2 Electrical Regulatory Authorities Council, 1 Asia Pacific Economic Cooperation, 1 Singapore bilateral, 1 Trans-Tasman Mutual Recognition Arrangement).
Production and amendment of codes, standards and instructions.	Gas, 0 Electricity, 6	Gas, 1. Electricity, 2. (Inspections, audits and client advice accorded a higher priority.)
Funding contract for standards production (gas contract subject to agreement by interested parties).	Gas, 1 Electricity, 1	Gas, 0. Electricity, 1. (The gas commitment did not proceed as resources were diverted to other priorities. It is taking place in the 2001 financial year.)
Participation in development of external Standards and Codes.	Gas, 6 Electricity, 30	Gas, 1. Electricity, 32. (Development of most Gas Standards has been deferred to the 2001 financial year due to resources being diverted to other priorities in the 2000 financial year.)
Timeliness
Review of the provisions of the Electricity Regulations 1997 applying to installations, works, and electrical worker registration competencies.	Policy agreed by Government by 30 June 2000.	The review has been incorporated within "EnergySafe", a major review of electricity and gas safety legislation. As at 30 June 2000 a full public consultation phase was under way.
Review of provisions of the Gas Act in relation to obligations of gas suppliers.	Discussion document issued by 31 January 2000.	Discussions with major stakeholders completed by 31 January 2000. This is now incorporated into the "EnergySafe" project.
Review of Gas Regulations 1993 in relation to hazardous area zoning.	Proposal to Cabinet by 31 January 2000.	Now incorporated into the "EnergySafe" project.
Monitoring and enforcement
Quantity
Information gathering: audits, inspections, accident and incident investigations, etc.	Gas, 20 Electricity, 55	Gas, 25. Electricity, 76.
Analysis and reports based on information obtained through monitoring activities.	Gas, 4 Electricity, 4	Gas, 5. Electricity, 4.
Instigate prohibitions, prosecutions and disciplinary actions (demand driven).	Gas, 1 Electricity, 10	One gas and two electricity prosecutions have been initiated.
Timeliness
Accidents - response time to notifications.	Within two hours.	100% of accident notifications responded to within two hours.
Publicity and advice
Quantity
Client advisory 0800 call service (demand driven).	Gas, 70 Electricity, 1,000	Gas, 96. Electricity, 684. Calls received through the ESS free call and free fax services.
General releases and presentations (e.g. newsletters and industry meetings).	Gas, 17 Electricity, 50	Gas, 19. Electricity, 46.
Public safety promotion programmes.	Gas, 1 Electricity, 2	Gas, 1. Electricity, 2.
Petroleum fuel quality monitoring
Quantity
Fuel sample tests	250	342 fuel sample tests were carried out. Level of activity higher than expected.
Electrical Workers' Registration Board
Quantity
Competency checks of electrical workers.	5,000	The Board re-evaluated the target to 500 as a result of their decision to place a greater emphasis on electrical workers holding practising licences rather than the inspection of work carried out under the certificate of compliance scheme. During the year 349 compliance checks were completed, 70%. This was a new measure in 1999/2000.
Licensing of electrical workers (demand driven).	22,000	20,043
Certificates of Compliance forms issued (demand driven).	135,000	138,504
Complaints against electrical workers (demand driven).	75	52
Investigation and enforcement action for Electrical Workers' Registration Board (demand driven).	80	69
Timeliness
Requests for Certificates of Compliance forms actioned.	95% within three working days.	Achieved.
Complaints against electrical workers processed to notification of Board decision (subject to external parties).	95% within 32 working weeks.	Achieved.
Information Disclosure
Quantity
Electricity and gas companies with information disclosure regimes monitored.	40	34 electricity and gas lines companies monitored.
Quality
Information disclosed by electricity and gas companies checked for compliance with the Electricity and Gas Information Disclosure Regulations and follow-up of non-compliance undertaken.	90% compliance achieved.	Achieved.
Timeliness
Information on performance of electricity line companies and movements in smaller consumer line charges published to specified deadlines.	Movements in line charges will be published by 30 November 1999.	Prepared by deadline and released by the Minister in January 2000.
Compliance checking with regulations (refer Quality above).	Within 60 working days of disclosure deadlines set in regulation.	Achieved

Cost

(Figures are GST exclusive)

	2000 Main Estimates	2000 Supple- mentary Estimates	2000 Actual	1999 Actual
	$000	$000	$000	$000
Revenue:
Crown	941	881	821	834
Other	7,122	7,122	6,645	6,818
Total Revenue	8,063	8,003	7,466	7,652
Expenses:
Annual appropriations	7,989	7,929	7,549	7,985
Other appropriations	-	-	-	-
Total Expenses	7,989	7,929	7,549	7,985
Net Surplus/(Deficit)	74	74	(83)	(333)

Sources of Revenue Other

	$000
Fees and fines	2,584
Electrical levies	3,107
Gas levies	548
Petroleum Fuels Monitoring Levy	232
Sale of publications	109
Miscellaneous	65
	6,645

Major Budget Variances

The variance between Actual and Supplementary Estimates for Revenue Other reflects a reduction in Certificate of Compliance fees, due to a change in the legislation which reduced the fees for industrial/commercial certificates and provided for the refund of the differential between old and new fees. As third party revenue was lower than forecast, it was prudent to contain expenses too, as reflected in the variance between Actual and Supplementary Estimates for expenditure.

Output Class D4 - Energy Efficiency and Conservation

Description

This output class provides for the promotion and facilitation by the Energy Efficiency and Conservation Agency (EECA) of cost-effective energy efficiency and conservation, including new and emerging renewable energy resources. This contributes directly to the achievement of the related Vote: Energy Government outcome of energy policies that ensure the continuing availability of energy services at the lowest cost to the economy as a whole, consistent with sustainable development.

Key activities include:

advising the Government and the energy industry about energy management and efficiency strategies, and the encouragement of renewable energy resources (including advice on the role of energy efficiency and emerging renewable energy forms in the context of climate change policy);
monitoring and reporting on energy use and related trends;
provision of management and technical information via direct advice, publicity, publications and other services to the business, government and household sectors (including development with a view to help diversify EECA's funding base); and
administration of the Energy Saver Fund (to fund household energy efficiency improvements) and the Crown Energy Efficiency Loan scheme to foster public sector investment in energy efficiency.

Outputs in this class are:

energy efficiency information provision;
business sector energy efficiency programme;
public sector energy efficiency programme;
household sector energy efficiency programme; and
energy efficiency and conservation policy advice.

Quantity, Quality, Timeliness and Cost

Performance Measures	Performance Standards	Actual
Quantity
Ministerial Correspondence	5-10 (estimated)	24
Parliamentary Questions	5-10 (estimated)	34
Work Programme
Policy advice will be delivered in accordance with the prioritised requirements of a work programme negotiated annually with the Minister.	Delivery of policy advice projects in accordance with the terms of the work programme agreed with the Minister.	Achieved.
Coverage
Provision of a comprehensive service which has the capacity: to react urgently; to offer timely and relevant briefings on significant issues; and to give ministerial services and support as required.
Information Provision
Energy efficiency (and renewable energy) data collection, analysis, seminars and publications.	At least 10 seminars will be held with the expected attendance to exceed 250. At least 10 publications will be produced and one interactive internet-based information service will be developed.	12 seminars were held with attendance of 403. 12 energy efficiency and renewable energy publications were produced: Energy-Wise Awards 2000 promotional publication; EECA Update (two editions); Energy-Wise Home (two editions); case studies/technical guides (six studies/guides); and passive solar design brochure. An interactive EECA internet website-based information service has been developed and is attracting an average of up to 10,000 individual user sessions per month.
Business Sector
Business energy efficiency programme.	Operate and continue to develop one corporate energy efficiency programme with commitment, recognition, information, training and related services offered to at least 700 organisations.	Directory of Energy Service Providers containing up-to-date information on over 300 energy efficiency and renewable energy service providers published and distributed to over 4,000 energy users. The Energy-Wise Companies Campaign continued to offer energy efficiency advice and referral services to over 700 company signatories. A very successful Energy-Wise Awards function was held with over 225 attendees.
Public Sector
Public sector energy efficiency programmes.	Operate and continue to develop two public sector energy efficiency commitment programmes, with commitment, recognition, information, training and related services offered to at least 30 central and local government organisations.	Six Sustainable Transport Newsletters published. Four Energy-Wise Councils newsletters published. Energy-Wise Councils Partnership Annual Report was produced. Services were provided to over 30 central and local government organisations.
Crown Energy Efficiency Loans.	10 applications processed, 30 loans in progress.	10 applications processed, 48 loans in progress at 30 June 2000.
Households
Energy Saver Fund.	20 applications processed, 15 projects in progress.	45 applications were received for the $2 million available under Cycle 5 of the ESF. All funds were allocated and 26 contracts signed. Actual costs for the year amounted to $1.87 million, reflecting the impact of allocations in the 1999 financial year not taken up.
Quality
The Ministry's Policy Framework provides that advice has the quality characteristics above.	The Minister's feedback is within the range (4) "met expectations" to (5) "fully met expectations" in the quarterly review of the Ministry's performance.²¹	The Minister gave EECA a rating of (4) for the policy services provided during the first quarter. No other assessments have been received.
Ministerial servicing in the form of letters and parliamentary questions is undertaken as required by the Minister.	An acceptance rate of 100% is achieved in respect of first drafts.	Achieved.
Information Provision
Energy efficiency (and renewable energy) data collection, analysis, seminars and publications.	Seminars: Average rating for overall satisfaction and usefulness of 70% or better, as evidenced by feedback questionnaire from seminar attendees.	The average rating for overall satisfaction and usefulness was 82%, assessed by feedback from seminar attendees.
	Publications: Average ratings for overall satisfaction and usefulness of 70% or better, as evidenced by surveying Energy Wise News readers.	The average rating for overall satisfaction and usefulness was 83%, assessed by feedback from Energy Wise News Readers.
Business Sector
Business energy efficiency programme.	Survey responses/reports from programme participants indicate improved uptake of energy management principles and practices against predefined criteria in the Energy Wise Companies' charter.	Programme participants surveyed showed improved uptake of energy management principles and practices against pre-defined criteria in the Energy-Wise Companies' charter. 150 companies reported combined energy savings of $11 million per annum.
Public Sector
Public sector energy efficiency programme.	Survey responses/reports from programme participants indicate improved uptake of energy management principles and practices against predefined criteria outlined in the relevant Memoranda of Understanding.	Based on responses from participants, annual energy cost savings by central government departments increased by $200,000 to $750,000.
Crown Energy Efficiency Loans.	Projects funded have an average simple payback period of less than five years in accordance with loan scheme criteria.	The loans had a simple payback period of under 3.5 years.
Household
Energy Saver Fund.	100% compliance as certified by an external auditor that proposed allocation of monies in each tender round is in accordance with scheme criteria.	ESF cycle 5 audits have been audited internally and forwarded to an external auditor, Curtis, McLean Ltd (Chartered Accountants). All monies allocated with approval of the Auditor.
Timeliness
Reports and oral advice to the Minister are delivered within the timeframes required by, and agreed with, the Minister.	100%	Achieved.
Draft ministerial correspondence is submitted to the Minister within 10 working days of receipt in the Ministry.	100%	Achieved.
Where only an interim reply is possible a final reply shall be provided within the following timeframes.	90% within 20 working days of the original receipt in the Ministry; and	Not applicable.
	100% within 30 days of receipt in the Ministry.	Not applicable.

Cost

(Figures are GST exclusive)

	2000 Main Estimates	2000 Supple- mentary Estimates	2000 Actual	1999 Actual
	$000	$000	$000	$000
Revenue:
Crown	3,525	3,675	3,675	4,059
Other	700	700	456	504
Total Revenue	4,225	4,375	4,131	4,563
Expenses:
Annual appropriations	4,224	4,374	4,227	4,594
Other appropriations	-	-	-	-
Total Expenses	4,224	4,374	4,227	4,594
Net Surplus/(Deficit)	1	1	(96)	(31)

Major Budget Variances

The Supplementary Estimates adjustment provides for energy efficiency measures associated with climate change policy.

Actual expenditure was reduced in line with a reduction in the level of actual third party revenue received.

Output Class D5 - Energy and Resource Information Services

Description

This output class provides advice and information on the energy and minerals sectors including:

statistical analysis of energy markets; and
energy supply and demand forecasts.

Outputs in this class are:

energy modelling and statistics;
resource information; and
membership of the International Energy Agency and other international energy forums.

Quantity, Quality, Timeliness and Cost

Performance Measures	Performance Standards	Actual
Quantity
Ministerial Correspondence	5-10 (estimated)	1
Parliamentary Questions	5-10 (estimated)	1
Quality
Ministerial servicing in the form of letters and parliamentary questions is undertaken as required by the Minister.	An acceptance rate of 100% is achieved in respect of first drafts.	Achieved.
Timeliness
Draft ministerial correspondence is submitted to the Minister within 10 working days of receipt in the Ministry.	100%	Achieved.
Where only an interim reply is possible a final reply shall be provided within the following timeframes.	90% within 20 working days of the original receipt in the Ministry; and 100% within 30 days of receipt in the Ministry.	Not applicable.
Membership of IEA and other international energy forums
Maintenance of capacity to react to all requests from the IEA for submissions from member countries.	All submissions are made in accordance with the Ministry of Economic Development's quality and timeliness standards.	Achieved.
Timeliness
Submissions provided to deadlines set by the IEA and other international organisations.	Full compliance with agreed deadlines.	Achieved.
Energy modelling and statistics
Quantity
Energy modelling and statistical material to be prepared.	Two Energy Data Files, and one Energy Greenhouse Gas Emissions Report.	Achieved.
Quality
Energy modelling and statistical material subject to peer review by industry specialists and other departments, e.g. Ministry for the Environment.	No significant errors or omissions are identified.	Achieved.
Timeliness
Energy modelling and statistical material is published in accordance with specified deadlines.	Energy Data Files published by 31 August 1999 and 28 February 2000.	Energy Data Files released by the Minister on 5 September 1999 and 15 March 2000.
	Energy Greenhouse Gas Emissions Report published by 30 June 2000.	Energy Greenhouse Gas Emissions Report published on 23 June 2000.

Cost

(Figures are GST exclusive)

	2000 Main Estimates	2000 Supple- mentary Estimates	2000 Actual	1999 Actual
	$000	$000	$000	$000
Revenue:
Crown	266	276	276	301
Other	936	1,236	937	92
Total Revenue	1,202	1,512	1,213	1,222
Expenses:
Annual appropriations	266	276	276	301
Other appropriations	927	927	926	921
Total Expenses	1,193	1,203	1,202	1,222
Net Surplus/(Deficit)	9	309	11	-

Sources of Revenue Other

	$000
Petroleum Fuels Monitoring Levy	906
Sale of Publications	31
	937

Major Budget Variances

Changes between the Main and Supplementary Estimates reflect:

a fiscally neutral transfer from D3 - Administration of Gas and Electricity Regulations, to maintain funding on energy modelling and statistics activity and for resource work required on greenhouse gas emissions to meet UNFCCC requirements ($10,000 increase in Crown Revenue and Annual Appropriations); and
a technical adjustment to account for petroleum fuels monitoring levy on an accrual basis ($300,000 increase in Revenue Other). As there was no corresponding increase in operating expenses the full amount of additional revenue recognised formed part of the rebate provision.

¹⁸The range is (1) not satisfactory, (2) fell short of expectations, (3) satisfactory, (4) met expectations, (5) fully met expectations.

¹⁹The range is (1) not satisfactory, (2) fell short of expectations, (3) satisfactory, (4) met expectations, (5) fully met expectations.

²⁰The range is (1) not satisfactory, (2) fell short of expectations, (3) satisfactory, (4) met expectations, (5) fully met expectations.

²¹The range is (1) not satisfactory, (2) fell short of expectations, (3) satisfactory, (4) met expectations, (5) fully met expectations.

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Printed: 26/11/2009