Chapter 2Annual reports of agencies
2.1This chapter examines selected annual reports in greater detail in accordance with standing orders. The Rural and Regional Affairs and Transport Legislation Committee (the committee) has selected the annual reports of the Australian Fisheries Management Authority (AFMA), and the National Capital Authority (NCA) for examination. The following summaries draw attention to significant matters relating to the operations and performance of these bodies during 2021–22.
Australian Fisheries Management Authority
2.2AFMA tabled its 2021–22 annual report in the Senate and House of Representatives on 22 November 2022. This section of the report provides an overview of the activities and achievements of AFMA over the previous financial year.
Chairman and Chief Executive Officer’s review
2.3The Chairman, Ms Helen Kroger and the Chief Executive Officer MrWezNorris, provided and overview of AFMA’s performance and achievements during 2021–22. This included:
delivery on its commitment to clarify how AFMA reports on economic performance by developing a commission statement that details how AFMA monitors and reports its performance against the net economic returns objectives of the Commonwealth Fisheries Harvest Strategy Policy (HSP) and Fisheries Management Act 1991 (FAA);
continued efforts to monitor and investigate non-compliance by Australian fishers in a focused effort to target key threats to the sustainability of Commonwealth fisheries;
a continued effort to apply COVID-19 safe protocols and methods to minimise the risk of exposure to fisheries officers; and
the introduction of a digital first approach to services delivery, which provides timely data to fisheries managers in support of science-based decision making.
Purpose and objectives
2.4AFMA outlined its purpose as being ‘to pursue the ecologically sustainable developments of Commonwealth fisheries for the benefit of the Australian Community‘. AFMA’s goals and strategies are aimed at the delivery of ecologically sustainable and economically efficient Commonwealth fisheries during 2021–22 and future reporting periods. To measure AFMA’s success, 13performance measures were set out in the 2021–22 Corporate Plan.
2.5Of the 13 performance measures, seven were fully met, two were on track, and three performance measures were not met. The performance measures that were not met were:
the number of AFMA-only stocks assessed as ‘subject to overfishing’ in the ABARES Fishery Status Report;
treatment of identified domestic compliance risk as outlined in the National Compliance and Enforcement Program (NCEP); and
corporate overheads compared to total budget.
2.6Noting that the performance measure on domestic compliance risk as outlined in the NCEP had 37 elements, of which 22 were met, 13 elements were on track and two were not met.
2.7Only one AFMA-only stocks were subject to overfishing, which resulted in the commencement of negotiations between AFMA and the state authorities in South Australia. Although negotiations are still ongoing, AFMA has stated that any outcomes will focus on maintaining or decreasing the catch of the overfished stock.
Key performance measures
2.8This section provides an overview of AFMA’s key performance measures that were targeted during the reporting period.
Management of Commonwealth fisheries consistent with the principles of ecologically sustainable development.
2.9Minimising the impacts of fishing activities on the marine ecosystem and prioritising sustainable harvesting is the basis of AFMA’s management of Commonwealth fisheries. To achieve this AFMA relies on sound science and close engagement with stakeholders, utilising specialist working groups, forums, and workshops with other advisory bodies and forums.
2.10The 2021–22 fishing season was the first year in nine years that a fisheries stock was assessed by ABARES as being subject to overfishing. The Eastern Jackass Morwong’s estimated spawning biomass fell below the limited reference point. During the reporting period, fishing mortality was above the estimated level that would allow stock to rebuild in the timeframes required under the HSP. To combat this overfishing, AFMA have significantly reduced the total allowable catch and will implement a series of closures so the species can rebuild.
Maximise net economic returns to the Australian community from the management of Commonwealth fisheries
2.11To achieve its economic objectives, AFMA sets harvest level targets for key commercial stocks that contribute to meeting maximum economic yield (MEY) for the fishery, as set out in the HSP. There are 16 stocks that have MEY targets, of which six are on target, five are heading towards the target, and the remaining five are not on target or heading towards the target. This result has not changed since the previous reporting period.
Compliance with Commonwealth fisheries laws and policies and relevant international fishing obligations and standards
2.12To promote voluntary compliance, AFMA conducted in-field education sessions and pre-season briefings at different ports. These sessions aimed to inform commonwealth fishers of their conditions and obligations and how to comply with them. On top of educational sessions, monthly compliance articles were shared on AFMA’s website and Facebook pages. This resulted in four of six education targets being met during the reporting period, with the remaining two targets falling withing acceptable thresholds.
2.13During 2021–22 AFMA visited fishing ports on 130 different occasions where officers conducted 201 boat inspections, 100 fish receiver premises inspections, and 37 desktop inspections. AFMA found a high-level of compliance with 95percent of inspections requiring no further action, which met the target rate of voluntary compliance for the program.
2.14Four prioritised risks were identified in the 2021–22 domestic compliance risk assessment with the four programs being:
Torres Strait fisheries;
failing to record bycatch discards;
quota evasion; and
domestic vessels landing catch in foreign ports.
2.15During the reporting period, AFMA met six of the performance targets for the Target Risk Program, one target was not met and the remaining were within threshold tolerance.
2.16AFMA is responsible for ensuring that international fisheries obligations are implemented through domestic fisheries management arrangements. During 2021–22, there was a significant increase in illegal foreign fishing vessel activity within the Australian Fishing Zone. There were 337 legislative forfeitures conducted in 2021–22, which included the disposal of 44 foreign fishing vessels at sea. This is a significant increase compared to the previous ten years.
Deliver effective, cost efficient and accountable management of Commonwealth fisheries resources
2.17AFMA made a commitment in 2010 to keep cost recovery at or below the rate applied in 2005–06 when adjusted for CPI. This was achieved in 2021–22, with the levies recovered from eligible fisheries being $5.8 million lower than the CPI adjusted 2005–06 levies.
2.18To encourage engagement with the peak industry body, AFMA has implemented a number of formal and informal opportunities to build engagement. These opportunities include biannual roundtables, commission meetings, and regular updates with the Commonwealth Fisheries Association.
Staffing and financial information
2.19AFMA reportedly employed a total of 160 people during 2021–22, of which 130 were ongoing employees. This number includes five employees that were on long-term leave.
2.20AFMA reported a surplus of $1.5 million, which is $3.1 million above the budgeted loss of $1.54 million. The surplus is being attributed to increased revenue from the government, increased levies and licencing charges, and increased contracts with customers.
2.21 Other key financial details include:
Total expenses — $37.23 million;
Total own-source income —$17.66 million; and
revenue from the Australian Government — $21.04 million.
Committee comment
2.22For the purposes of its report to the Senate, the committee considers AFMA’s 2021–22 annual report to be compliant with reporting requirements and to be ‘apparently satisfactory’.
National Capital Authority
2.23The 2021–22 Annual Report of the NCA details the agencies activities and achievements during the reporting period. The report was presented out of session to the Senate on 3 November 2022 and to the House of Representatives on 7 November 2022.
Chair’s review
2.24The chair, Mr Terry Webster highlighted NCA’s ongoing role in shaping the future of Canberra including the developments in Canberra’s central area such as the ACT Government’s light rail public transport system.
2.25Other activities and achievements Mr Webster noted over the reporting period included:
the key role NCA played in celebrating the Platinum Jubilee of the reign of Queen Elizabeth II, which included the successful ‘The Queen and Me’ exhibition and the renaming of Aspen Island as Queen Elizabeth II Island;
assisting the Aboriginal Tent Embassy celebrate its 50th anniversary in January 2022; and
facilitating new hospitality establishments at Regatta Point, and along Lake Burley Griffin walk.
Purposes and performance
2.26For the purpose of identifying and reporting NCA’s responsibilities and strategic priorities, NCA have identified five strategic objectives. The five strategic objectives are as follows:
national role, engagement and awareness;
enhancing the citizen and visitor experience;
creating and maintaining place;
ensuring financial sustainability; and
safe and efficient operations.
2.27During the reporting period, NCA met 14 out of 16 performance criteria, and one performance criteria was partly met. The three performance criteria that were not met or partially met were:
work to ensure areas managed by the NCA continue to perform their national and international functions effectively and efficiently, with a priority focus on developing a new diplomatic estate;
at least 80 per cent of Works Approval applications processed are assessed against the National Capital Plan within 15 working days; and
deliver fit for purpose and efficient transaction processes and positive customer experience through effective business processes.
2.28This section examines the key performance activities that were accomplished during the reporting period.
National role, engagement and awareness
2.29The NCA continued their efforts for Canberra to continue to successfully play its role as Australia’s national capital.
2.30During 2021–22, the NCA had planned to complete the concept design for the new diplomatic estate in North Curtin. However, by April 2022 only final investigations and reports concerning ecological and contamination matters had been completed. NCA expects the next stages will be completed in 2022–23.
2.31The NCA highlighted the major consultation processes that were conducted for works at the Australian War Memorial, One City Hill, the new aged care facility in Weston Creek, and the raising of London Circuit to accommodate the ACT Government’s Light Rail Stage 2A project.
Enhancing the citizen and visitor experience
2.32A major focus for the NCA during the reporting period was on events, facilities and activities aimed to enhance the experience of visitors to the national capital. The events NCA highlighted the return and introduction of the following events: Enlighten Festival; Canberra Food and Wine Festival; and the Van Gogh Alive exhibition.
2.33The NCA continued their efforts to enhance visitors’ connections with First Nations people in the Canberra region by including increased support for the Aboriginal Tent Embassy and by launching a new virtual tour of Reconciliation Place.
2.34NCA worked closely with the Department of Prime Minister and Cabinet to facilitate the Platinum Jubilee celebrations. As part of the celebrations, NCA helped facilitate the lighting of major institutions and buildings purple and renaming Aspen Island to Queen Elizabeth II Island.
Creating and maintaining place
2.35To facilitate the National Capital Plan, the NCA shares planning responsibilities for Canberra with the ACT Government. The NCA continues to work collaboratively with the ACT Government to enable major projects in Canberra such as the Light Rail project.
2.36In the reporting period, NCA processed 415 approval applications, which was seven more than 2020–21. Of the applications, only 22 were withdrawn or not supported. However, during 2021–22 only 59 per cent of applications were processed within the targeted 15 business days. NCA attributed this delay to a huge number of large, complex and sensitive works approval applications as well as staffing disruptions due to the COVID-19 pandemic.
Ensuring financial sustainability
2.37The ongoing investment in Regatta Point has established an ongoing revenue stream for the NCA through the operation of a new café, restaurant and function space.
2.38During the reporting period, NCA established new commercial partnerships and events which lead to an increase of $200 000 in events revenue compared to the 2020–21 financial year. The highlighted events included the Canberra Times Marathon, the return of the Enlighten Festival, and numerous music festivals.
Safe and efficient operations
2.39The NCA made substantial progress during 2021–22 on the new Works Approval e-Lodgement system, which will allow documents and permits to be lodged online. This project however was deferred until 2022–23.
2.40In 2021–22 major planning and procurement work was undertaken on the Commonwealth Bridget renewal project. The bridge is part of the $137 million project to strengthen and widen the bridge to support Canberra transport.
Staffing and financial information
2.41The NCA reportedly employed a total of 58 people during 2021–22, of which 49 were ongoing employees.
2.42During 2021–22 NCA reported a total comprehensive loss of $509 000 against a budgeted loss of $1.1 million. The surplus was attributed to higher works approval revenue and lower employee costs due to vacant positions.
2.43Other key financial details include:
Total expenses — $14.257 million;
total own-source income —$3.293 million; and
revenue from the Australian Government —$10.357 million.
Committee comment
2.44For the purposes of its report to the Senate, the committee considers NCA’s 2021–22 annual report to be compliant with reporting requirements and to be ‘apparently satisfactory’.
Senator Glenn Sterle
Chair