2018-19 Budget Paper 2 - Chapter 11 - Department of State ... · Web viewProjects in this investment program include shoulder widening on the Batman Highway, transfer of ownership

11 DEPARTMENT OF STATE GROWTH

AGENCY OUTLINEThe Department of State Growth’s role is to enable and support economic growth, and facilitate the creation of jobs and opportunities for Tasmanians. In doing so, the Department has five key objectives: work with Tasmanian businesses and industry to support growth and job creation; grow and support Tasmania’s visitor economy; build Tasmania’s brand as the best place in the country to live, work, invest and

raise a family; support industry and business growth by strategically managing our infrastructure

and transport systems; and build organisational capacity by developing our people, safety, systems and

culture. The Department provides portfolio support for the following Ministers: Minister for Tourism, Hospitality and Events; and Minister for Trade,

Hon Will Hodgman MP; Minister for State Growth, Hon Peter Gutwein MP; Minister for the Arts, Hon Elise Archer MP; Minister for Education and Training, Minister for Infrastructure, Minister for

Advanced Manufacturing and Defence Industries, Hon Jeremy Rockliff MP; Minister for Resources and Minister for Energy, Hon Guy Barnett MP; and Minister for Science and Technology, Hon Michael Ferguson MP.The Department also supports the Parliamentary Secretary for Regional Development, Mark Shelton MP. The Department is organised into four key areas: Cultural and Tourism Development; Industry and Business Development; Transport Services; and Business Services. The Department supports the Office of the Coordinator-General and Infrastructure Tasmania. State Growth works collaboratively and in partnership with other Government Departments to achieve growth in the Tasmanian economy. In delivering services to Tasmania and growing our State, we will be client centric, collaborative, values based, results driven, innovative, creative and adaptable.

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This chapter provides the Department’s financial information for 2018-19 and over the Forward Estimates period (2019-20 to 2021-22). Further information on the Department is provided at www.stategrowth.tas.gov.au.

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KEY DELIVERABLESTable 11.1 provides a summary of the Budget and Forward Estimate allocations for key deliverables within the Department.

Table 11.1: Key Deliverables Statement2018-19

Budget

2019-20ForwardEstimate



$'000 $'000 $'000 $'000

Election CommitmentsAccess to the South Line for the Tasmanian Transport

Museum Society 25 .... .... ....Agricultural Centre of Excellence (TasTAFE) .... 5 000 .... ....Derwent Valley Rail line - access 25 .... .... ....Develop new online marketing portal (MAST) 75 50 25 25Digital Inclusion 100 100 100 100Drysdale extension at Claremont and Devonport (TasTAFE) 3 500 .... …. ….Dutch Mill - Edith Creek Support Package 775 775 .... ....Encourage Philanthropic Support for TMAG and QVMAG 100 100 100 100Event Attraction Fund 1 000 1 000 1 000 1 000Extend Digital Ready Program .... …. …. 250Extend Enterprize Hubs …. …. …. 278Extend the Successful Agri-growth Loans Scheme1 .... .... .... ....Extending the Great Eastern Drive - Binalong Bay Road .... 2 000 2 500 ....Great Customer Experience 700 700 700 700Greater Hobart Traffic Vision 3 325 6 250 7 600 13 600Heritage Renewal Loan Scheme1 .... .... .... ....Hobart-Strahan Air Service 150 150 .... ....Improve catch opportunities - artificial reefs (MAST) .... .... 500 500Improving Mobile Coverage for the Great Eastern Drive 3 500 .... .... ....Improving Safety of Patrons 50 50 50 50Intra-regional Bus Service 100 .... .... ....IT Workforce Development 75 .... .... ....Launceston and Tamar Valley Traffic Vision 2 180 4 700 7 700 20 500Mining Exploration Grants Program 1 000 500 250 250New Bridgewater Bridge 6 000 27 000 33 000 55 000Permanent Children’s Exhibition at TMAG .... 500 500 ....Reimagining the Gorge 875 .... .... ....Roads Package to Support Tasmania’s Visitor Economy 7 150 14 750 16 017 13 817Screen Innovation Fund 1 000 500 500 ....Shore based fishing (MAST) 495 50 440 650Showcasing Tasmanian Artists Interstate 80 80 80 ....

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South East Traffic Solution 1 050 5 700 8 750 5 500Special Interest Vehicles2 .... …. …. ….

Table 11.1: Key Deliverables Statement (continued)2018-19

Budget

2019-20 Forward Estimate



$'000 $'000 $'000 $'000

State Road Upgrades - Northern Region 4 150 7 000 17 332 14 467State Road Upgrades - North West and West Coast Region 4 350 4 250 6 250 9 250State Road Upgrades - Southern Region 11 750 14 220 12 517 13 217Strahan Visitor Centre - transformation 375 .... .... ....Stronger Marine Safety Arrangements (MAST) 440 690 495 345Supporting more Apprenticeships and Traineeships 2 500 2 500 2 500 ....Supporting EV Charging Partnerships 250 .... .... ....Supporting Tasmanian Small Business3 .... .... .... ....Tasmanian Journeys 800 .... .... ....THA Workforce Development 750 750 750 750Trades and Water Centre of Excellence (TasTAFE) .... 7 000 .... ....West Tamar Highway Traffic Solution 1 750 5 600 3 650 1 000Wool - harvesting and training program3 .... .... .... ....

Other InitiativesAFLW in Tasmania 518 543 570 597Australian Rally Championships 150 150 135 ....Energy Security Management 275 275 275 275Festivale 80 80 .... ....Greater Hobart Act4 …. …. …. ….Hobart City Deal4 …. …. …. ….ICC World Twenty20 500 2 250 250 ....Rosehaven - Season 3 200 .... .... ....Theatre Royal - The Hedberg 678 692 705 719

Notes:1. This initiative will be administered by the Tasmania Development and Resources Board.2. The cost of this initiative is reflected by a reduction in Motor Tax revenue.3. This initiative will be met from within the existing budget of the Department of State Growth and the

new initiatives arising from the B21 business growth strategy will be developed later this year.4. These initiatives are under development and are expected to be delivered later this year noting that

some projects envisaged to be supported by these initiatives have already received funding.

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Election CommitmentsAccess to the South Line for the Tasmanian Transport Museum

SocietyIn keeping with its commitment to support heritage rail operations across Tasmania, the Government has committed funds to a number of well-established heritage rail operators, to assist them with the costs of accreditation and rail infrastructure improvements. A funding commitment of $25 000 has been made to the Tasmanian Transport Museum Society to assist with accreditation and planning costs.Noting that other rail corridors are currently being assessed for their suitability for heritage rail further assistance, if required, will be considered once this work is completed.

Agricultural Centre of ExcellenceThe investment of $5 million will establish an Agricultural Centre of Excellence in Tasmania’s North West to provide the skills needed for Tasmania’s booming agricultural sector. Centred on Burnie’s Freer Farm, the Centre of Excellence will include TasTAFE course delivery, plus extended training delivery through partnerships with other training providers including the University of Tasmania.

Derwent Valley Rail line - accessIn keeping with its commitment to support heritage rail operations across Tasmania, the Government has committed funds to a number of well-established heritage rail operators, to assist them with the costs of accreditation and rail infrastructure improvements. A funding commitment of $25 000 has been made to the Derwent Valley Railway to enable planning work to support rail reconstruction.

Develop new online marketing portalFunding of $175 000 over four years will be used to develop a new online portal to promote and support recreational fishing and boating across Tasmania.A new web portal and social media platform will provide recreational fishers with access to all boat registrations, boat operator licences, specialist fishing licences including nets, rock lobster, abalone and scallop licences. The information will include links to MAST, weather information, recreational fishing clubs and organisations and provide up to date advice on local catches, best fishing spots and shark sightings.

Digital InclusionThis commitment is to invest $400 000 over four years to increase digital inclusion through the creation of a strategy to increase the capability and affordability for Tasmanians who are currently experiencing high levels of digital exclusion. Specifically this will include low income households, older Tasmanians and people not in paid employment. This strategy will enhance digital pathways for Tasmanian communities to increase participation online and expand their social and economic

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options and opportunities by working with government agencies, the private sector and not-for-profit organisations.

Drysdale extension at Claremont and DevonportThis commitment will see an investment of $3.5 million to establish a Drysdale tourism and hospitality delivery point at Claremont College, and the development of a training kitchen within the Devonport Living City Project.

Dutch Mill - Edith Creek Support PackageAdditional funding of $1.6 million over two years will be provided as part of an overall assistance package of up to $2.3 million to assist Dutch Mill to address identified capacity constraints and assist with workforce development and training for new workers. The restarted facility will see the processing of up to 40 million litres of milk per year, employing 26 full time equivalents initially, increasing up to 112 full time equivalents when the plant reaches full operational capacity.

Encourage Philanthropic Support for TMAG and QVMAG The Government will provide up to $400 000 over four years in a scheme that matches funds raised by the Tasmanian Museum and Art Gallery Foundation and the Queen Victoria Museum and Art Gallery Arts Foundation, for work that attracts philanthropic support to our premier cultural institutions.

Event Attraction FundThe Fund will offer $4 million over four years to enable Events Tasmania to actively target and secure mass-participation events. This fund will support both not for profit and commercial initiatives and focus on new events and assisting young events to expand. The commitment aims to ensure a broad ranging events calendar with regional and seasonal balance, bringing benefit to regional economies.

Extend Digital Ready ProgramThe Government has committed a further year of funding, in addition to the $900 000 previously allocated, to ensure that small businesses receive innovative, informative and relevant information to help seize the opportunities presented by the changing digital technology.

Extend Enterprize HubsThe Government previously provided seed funding to launch and develop Enterprize Hubs in Launceston and Hobart which are already bringing people together, providing a location, training and hands-on mentoring to develop, evaluate and implement, pre-start-up and early stage business opportunities. This commitment is an extension of this program by a further year.

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Extend the Successful Agri-growth Loan SchemeThe Government will extend this loan scheme to young farmers with low interest (concessional) loan facilities, to support farmers and agri-food businesses to innovate and expand and turn their inspiration into reality.

Extending the Great Eastern Drive - Binalong Bay RoadThis Government will invest $4.5 million to improve visitor access at Binalong Bay Road, allowing more visitors to enjoy a stretch of coastline named by Lonely Planet as the hottest travel destination in the world.

Great Customer ExperienceThis investment of $2.8 million over four years will see the program expand to assist 2 000 businesses and include industrial relations and human resource training, a core of any successful small and large business.

Greater Hobart Traffic VisionFunding in the 2018-19 Budget commits $30.8 million for congestion mitigation projects including: transferring ownership of Macquarie and Davey Streets and implementation of

traffic flow improvements; implementation of a traffic incident response capability; bus priority measures on key routes; improvements to key inner transport access points; commencement of public consultation, planning, design and initial works for a

fifth lane on the Southern Outlet; planning for a new underground bus transit centre; and further work on the northern suburbs light rail project.

Heritage Renewal Loan SchemeThe Scheme recognises the importance and value of businesses within the visitor economy that work with and present Tasmania’s historic heritage assets as part of the State’s unique brand and appeal to visitors and locals alike. This initiative is designed to assist private businesses and local governments that use, or intend to use, their unique historic heritage assets as part of their current or proposed business undertakings or business opportunities in Tasmania. Administered by the Tasmania Development and Resources Board, loans are for projects that will improve and upgrade existing heritage registered properties in order to facilitate tourism and business development, expansion and retention opportunities across Tasmania that help to stimulate the visitor economy and generate positive heritage outcomes.

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Hobart-Strahan Air ServiceAs part of its commitment to Tasmania’s West Coast, the Government has committed $300 000 over two years to trial a Regular Passenger Transport air service between Hobart and Strahan.

Improve catch opportunities - artificial reefsThe Government has allocated $1 million over two years to construct two artificial reef structures in Tasmanian coastal waters. These types of structures are used world-wide to improve catch opportunities. Structures will be located in Bass Strait off the North-West Coast and in Storm Bay in the south of the State.

Improving Mobile Coverage for the Great Eastern DriveThis $3.5 million initiative will see the Government work with a telecommunications provider to increase mobile coverage to at least 95 per cent along the Great Eastern Drive between Binalong Bay and Buckland, providing better opportunities for communities, improved access for tourists and enhanced public safety in general.

Improving Safety of PatronsThis investment of $200 000 over four years will support the introduction of legislation to crack-down on coward punch attacks through investment in a campaign to send the strongest possible message that this act of violent cowardice will not be tolerated.

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Intra-regional Bus ServiceFunding of $100 000 has been provided for the establishment of an intra-regional bus service connecting Queenstown, Strahan, Rosebery and Zeehan. This funding will help support work opportunities for locals, as well as providing better access to centralised council facilities and bus departure points. This is an addition to the Government’s commitment to extend the Strahan to Burnie (return) bus service from the current two days per week to seven days a week, commencing in early 2019.

IT Workforce DevelopmentThe Government has committed $75 000 to continue working with industry partners such as TasICT and the Australian Computer Society to develop a new Workforce Development Plan for the industry, with particular focus on encouraging women and diversity in IT.

Launceston and Tamar Valley Traffic VisionWith significant new commercial developments underway and planned in the Invermay area and the Learning City relocation of the University of Tasmania campus, this funding commences a program of investment in road infrastructure that will support this growth.Projects in this investment program include shoulder widening on the Batman Highway, transfer of ownership of the Launceston Couplet, improvements at Goderich/Forster Street, capacity improvements at Charles Street Bridge and commencement of planning for a new Tamar River crossing near University Way.

Mining Exploration Grants ProgramMining and minerals processing is a key pillar of Tasmania’s economy, providing thousands of direct and indirect jobs and contributing over 50 per cent of the State’s exports. The identification of new ore deposits is critical to the future sustainability of the industry and the jobs it supports. To help identify new discoveries to underpin the future of mining in the State, the Government is contributing $2 million to a mining exploration grants program for co-funded mining exploration drilling in Tasmania. It is anticipated that the program will support 10-20 drilling projects, with individual grants capped at $200 000.

New Bridgewater BridgeThe Government is committed to ensuring Tasmania’s future infrastructure needs are met and continues to invest strategically in important projects that benefit the Tasmanian community. In April 2016, the Government endorsed a report from Infrastructure Tasmania that recommended seeking funding from the Australian Government for a new four-lane Bridgewater Bridge.

State Growth 295

Infrastructure Australia has accepted the Derwent River Crossing Capacity as an initiative of national significance, and the Australian Government has now provided funding in the 2018 Federal Budget of $461 million towards an 80 percent funding contribution towards a project cost estimate of $576.3 million.The Government has committed $115 million towards the project and will invest $21 million over the 2018-19 Budget and Forward Estimates period towards the State’s 20 percent share of the full project cost.

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Permanent Children’s Exhibition at TMAGThe Government will provide $1 million to develop a highly interactive, permanent children’s exhibition at the Tasmanian Museum and Art Gallery. This investment will enable one of Tasmania’s most visited cultural attractions to update their visitor experience and enhance its reputation as a destination for children, families and their carers.

Reimagining the GorgeThe Government will provide $875 000 to work with the Launceston City Council to establish a new light show on the cliff faces and basin waters at Launceston’s Cataract Gorge that will be a night-time drawcard for Northern Tasmania.

Roads package to Support Tasmania’s Visitor EconomyTasmania’s visitor economy is booming with the target of 1.5 million visitors annually by 2020 likely to be exceeded. This investment is part of the Government’s commitment to ensuring that Tasmania’s reputation as a premium destination is protected, for locals and visitors alike.This investment will seal gravel roads, build more passing lanes and add new courtesy stopping bays, which are critical for the thousands more driving visitors, campervans and caravans visiting the State.These works will improve the experience of the growing number of travellers to fast emerging icons such as the Three Capes Walk, Bruny Island, the Tarkine and the Great Eastern Drive.

Screen Innovation FundThe Government will provide $2 million over three years to Screen Tasmania to support investment in the production of key strategic projects to generate jobs, investment and skills retention and development. Up to 25 per cent of the amount will be made available to support new innovative productions in the early stage of development, to enable them to prove their concepts to the marketplace.

Shore based fishingThe Government is committed to providing land-based recreational fishing opportunities to all Tasmanians. Funding of $700 000 over four years will improve access to jetties. The provision of $685 000 over three years to replace derelict jetties around the very popular Georges Bay area will provide safer access and facilities for children, seniors and Tasmanians with a disability. The Government has also allocated $250 000 over two years for a community led masterplan on future infrastructure upgrades for the Bridport foreshore that supports the growing number of recreational fishers and boaters.

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Showcasing Tasmanian Artists InterstateThe Government will provide $80 000 per annum for three years to support the representation of Tasmanian galleries at leading national art fairs (Sydney Contemporary and the Melbourne Art Fair). Supporting the participation of our galleries and artists in these events continues to build our presence in key national arts markets.

South East Traffic SolutionThere is a steadily growing demand on the Tasman Highway with increasing numbers of commuters between Sorell and the Southern Beaches and Hobart, and strong growth in tourist traffic to and from the Hobart Airport.The 2018-19 Budget includes investment of $21 million over four years and includes the continued commitment of funds for construction of the Hobart Airport Interchange, along with upgrading of the Tasman Highway between the airport and causeway, capacity improvements at Midway Point and an overtaking facility on the Arthur Highway.

Special Interest VehiclesThe Government will remove the cost of motor tax from all registered Special Interest Vehicles. This provides a considerable saving on the total cost of registration fees for vehicle collectors and enthusiasts. This is an addition to the Government’s decision to increase allowable driving days for special interest and club event registered vehicles.

State Road Upgrades - Northern RegionThis Budget includes investment of $42.9 million over the Budget and Forward Estimates period for a suite of projects across northern Tasmania. This includes this Government’s contribution to the continued investment in the Midland Highway 10 Year Action Plan, a safe pedestrian solution for the Midland Highway at Campbell Town oval, overtaking lanes on the Tasman Highway at Myrtle Park, road widening on Evandale Road between Launceston Airport and Evandale, a package of improvements on State Roads in the Dorset Council area and commencement of planning for upgrading of the Bass Highway between Deloraine and Latrobe.

State Road Upgrades - North West and West Coast RegionsThe Government has committed $24.1 million over the forward estimates for a package of works on the Bass Highway west of Wynyard including rebuilding and strengthening the pavement through Brittons Swamp, new passing opportunities between Wynyard and Smithton, relocation of the Rocky Cape Hall to a safer location away from the edge of the highway and safety improvements at the access to Boat Harbour Primary School.Other funding allocations include road improvements on the West Coast including reconstruction of sections of the Henty Main Road, a contribution towards a Central Coast Council project for a cycling connection across the Forth River and a

298 State Growth

contribution towards construction of an overpass at Leith to improve safety at the Bass Highway junctions with Leith Road and Short Street. In addition, the Australian Government has stated that the initial focus of the $400 million allocation to Tasmania from the Roads of Strategic Importance initiative will be on the Bass Highway corridor.

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State Road Upgrades - Southern RegionPopulation growth and greater economic activity have placed pressure on our road network. The 2018-19 Budget includes investment of $51.7 million over four years for a suite of projects across southern Tasmania. This includes this Government’s contribution to the continued investment in the Midland Highway 10 Year Action Plan, further funding for continuation of the Richmond Road upgrades and Cambridge Bypass, Huon Highway/Sandfly Road intersection, Mud Walls Road, commencement of duplication of the East Derwent Highway at Geilston Bay, safety upgrades on the Huon and Channel Highways and cycling safety improvements.

Strahan Visitor Centre - transformationThis commitment provides $375 000 to transform the West Coast Visitor Information and Booking Centre into a vibrant, modern Visitor Experience Centre.

Stronger Marine Safety ArrangementsThe Government has allocated additional funding to Tasmania’s Volunteer Marine Rescue Unit to ensure ongoing volunteer response coverage. Funding of $440 000 over four years will be provided to Surf Life Saving Tasmania as the peak body for Volunteer Marine Rescue units. A further $350 000 will be provided over three years for vessel replacement and $130 000 to expand the St Helens Volunteer Marine Rescue base. To provide protection to boat owners in southerly weather, the Government has committed $500 000 over two years to extend the rock breakwater at Coles Bay. Additional funding of $100 000 has been allocated to finalise arrangements for a breakwater at Binalong Bay gulch to provide safer launch and retrieval conditions. The Government has committed funding of $200 000 over two years to extend the Nubeena Jetty to address access needs for both recreational and commercial vessels and $250 000 over two years to provide upgraded facilities on the Scamander River.

Supporting more Apprenticeships and TraineeshipsThis commitment provides $7.5 million over three years for a targeted Small Business Grants for Apprentices and Trainees Program. This funding would provide a grant of up to $5 000 for each new apprentice or trainee taken on by a small business in an area of identified skills demand, such as building and construction, tourism and hospitality and manufacturing.

Supporting EV Charging PartnershipsUnder the Climate Action 21: Tasmania’s Climate Change Action Plan 2017-20, the Government will commit to developing a coordinated approach for the uptake of electric vehicles in Tasmania. This commitment of $250 000 will support the progressive rollout of a statewide electric vehicle charging network. This will enable a partnership with electricity utilities, motoring bodies or private sector entities to

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install a number of fast charging stations to broaden the network and move towards coverage across the four major cities and a number of other charging stations in regional centres around the State.

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Supporting Tasmanian Small Business The Government will establish a Business Growth Strategy 2018-2023 (B21) through a strategic partnership with business and industry representatives through the Tasmanian Chamber of Commerce and Industry and the Tasmanian Small Business Council, with input from local chambers of commerce, industry peak bodies and other relevant organisations. B21 will establish a strategy to ensure Government policies are aligned with business and industry goals, and will bring government and the broader business sector together to develop strategies to reach the targets we have set for Tasmania.

Tasmanian JourneysThe Government will provide $800 000 to support the development and implementation of three new Tasmanian journeys that will build on the success of the Great Eastern Drive and the work underway on the Western Wilds. This funding supplements the $600 000 provided to Tourism Tasmania for this initiative.

THA Workforce DevelopmentHospitality is a booming sector, but to ensure it continues to grow, it must have a workforce to meet its demands, today and in the future. This funding of $3 million over four years will see a strong investment in the development of the Tasmanian Hospitality Association’s Strategic Plan and Workforce Development along with the establishment of a dedicated Hospitality Unit to spearhead industry and government collaboration.

Trades and Water Centre of ExcellenceThe Government will provide $7 million to establish a Trades and Water Centre of Excellence at Clarence in the State’s south. The Trades and Water Centre of Excellence will include a new purpose-built workshop allowing training delivered in a high quality industry endorsed setting. To maximise enrolments, the facility will also offer online courses and training to those in other parts of the State. West Tamar Highway Traffic SolutionThis investment comprises reconstruction and widening of the highway from Gravelly Beach Road to Rosevears Drive and Atkinsons Road to Waldhorn Drive, overtaking opportunities between Exeter and Batman Highway, widening between Batman Highway and Lightwood Hills Road, improvement for left turns into Motor Road and widening of shoulders for cyclists between Brisbane Street and Legana Park Drive.

Wool - harvesting and training programThe Government will continue the successful Wool Harvesting Program supporting a skilled workforce which is critical to maintaining the standard and quality of the Tasmanian wool clip. Shearing and wool handling training supports employment, training and careers for young people in rural communities.

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Other Major InitiativesAFLW in Tasmania

The Government has entered into a five-year partnership with the North Melbourne Football Club to deliver the North Melbourne Tasmanian Kangaroos AFL Women’s team, entering the competition in 2019. This partnership will deliver pathway and development opportunities for officials and Tasmanian female players.

Australian Rally ChampionshipsA round of the Confederation of Australian Motor Sports Australian Rally Championships will be held in Tasmania from 2018 to 2022, bringing this national-level and world-class motor event to Tasmania for the first time in over a decade.

Energy Security ManagementFunding provided by the Government is for the implementation of recommendations in the Energy Security Taskforce’s Final Report.

Festivale The Government, via Events Tasmania, will provide financial assistance of $160 000 to the Launceston Festivale Committee to support Festivale for the years 2019 and 2020.

Greater Hobart ActThrough the Hobart City Deal, the Government will progress the development of a Greater Hobart Act to provide a strategic legislative framework for councils and the Government to collaborate and support the achievement of outcomes that enhance liveability, strategic infrastructure planning, connectivity, and operational efficiencies across municipal areas.

Hobart City DealThe Government is working in partnership with the Australian Government and the Clarence, Glenorchy, Hobart and Kingborough councils to develop a Hobart City Deal. The Hobart City Deal will focus on harnessing the emerging opportunities and investment occurring in Hobart as it transitions into an increasingly diverse, vibrant and populated global city that is an epicentre for the region’s community and visitors, cultural arts and recreational activity, businesses and services.The key focus areas of the Hobart City Deal were confirmed in a Heads of Agreement signed by the Prime Minister and the Premier in January 2018.Whilst still under development the partnership has already assisted Tasmania secure a $461 million commitment (representing 80 per cent of anticipated project costs) from the Australian Government towards the replacement of the Bridgewater Bridge.

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ICC World Twenty20The Government was successful in its bid to be a host of the ICC World Cup Twenty20 cricket championship in 2020. Funding will be directed to police, security, transport and traffic management, marketing, venue hire, ancillary events along with media and business engagement.

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Launceston City DealThe Government is a signatory to the Launceston City Deal which will deliver jobs and economic growth in Northern Tasmania. The centrepiece of the deal is the new University of Tasmania at Inveresk, which is the largest single infrastructure investment in Launceston’s history. The City Deal also delivers the Launceston City Heart Project, which aims to revitalise the Launceston CBD by improving public spaces, transport and signage and helping to attract more people to live in the City. Also, as part of the City Deal, the Tamar Estuary Management Taskforce will oversee the implementation of a River Health Action Plan, to improve the health of the Tamar river by upgrading Launceston's combined sewerage and stormwater system. A Regional Economic Development Strategy is being delivered to identify the next wave of economic opportunities for the North to compliment the City Heart Project and the Inveresk University Campus development.

Rosehaven - Season 3Rosehaven has been one of the ABC’s top rating shows since its debut in 2016 and was included in the New York Times’ top 10 international television series of 2017. The Government, through Screen Tasmania, has committed a total of $500 000 towards the third series with $300 000 already provided in 2017-18.

Theatre Royal - The HedbergThe Government will provide additional funding to support the Theatre Royal Management Board in meeting costs associated with the construction and operation of the new $96 million creative industries and performing arts development, The Hedberg. The project will comprise improvements to the Theatre Royal, a new University of Tasmania Conservatorium of Music and will include performance venues, public places and an international research institute.

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OUTPUT INFORMATIONOutputs of the Department of State Growth are provided under the following Output Groups: Output Group 1 - Industry, Skills Development and Business Growth; Output Group 2 - Infrastructure; Output Group 3 - Energy Policy and Advice; Output Group 4 - Resources Policy and Regulatory Services; Output Group 5 - Culture and Creative Industries; and Output Group 6 - Subsidies and Concessions.Table 11.2 provides an Output Group Expense Summary for the Department of State Growth.

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Table 11.2: Output Group Expense Summary1

2017-18 2018-19 2019-20 2020-21 2021-22 Forward Forward Forward

Budget Budget Estimate Estimate Estimate $'000 $'000 $'000 $'000 $'000

Minister for Infrastructure

Output Group 2 - Infrastructure2.1 Infrastructure Tasmania 800 800 800 800 800 2.2 Infrastructure Strategy2 2 168 1 595 419 274 280 2.3 Land Transport Safety3 21 151 25 981 26 419 26 947 27 315 2.4 Passenger Transport 3 316 3 676 3 474 3 546 3 625 2.5 Traffic Management and Engineering Services 4 166 3 989 3 579 3 643 3 715

31 601 36 041 34 691 35 210 35 735 Output Group 6 - Subsidies and Concessions

6.1 Shipping and Ferry Subsidies 1 100 1 133 1 167 1 202 1 242 6.2 Metropolitan General Access Services 40 110 41 313 42 552 43 829 45 295 6.3 Rural and Special Needs School Bus Services 24 432 25 165 25 920 26 698 27 591 6.4 Non-Metropolitan General Access Services 7 826 7 826 7 626 7 626 7 626 6.5 Construction of Streets in Towns 52 52 52 52 52

73 520 75 489 77 317 79 407 81 806

Grants and Subsidies 48 506 46 040 45 574 47 085 48 110

Capital Investment Program4 171 592 161 792 154 154 155 277 153 648

Minister for Education and Training5

Output Group 1 - Industry, Skills Development and Business Growth1.3 Skills Development6,7 108 877 118 718 123 109 107 550 108 126

108 877 118 718 123 109 107 550 108 126

Minister for Energy

Output Group 3 - Energy Policy and Advice3.1 Energy Policy and Advice8 2 448 3 332 2 221 2 262 2 307

2 448 3 332 2 221 2 262 2 307

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Table 11.2: Output Group Expense Summary (continued)1



Minister for State Growth5

Output Group 1 - Industry, Skills Development and

Business Growth1.1 Coordinator-General9 18 562 24 007 54 332 5 972 5 577 1.2 Industry and Business Development10,11 61 644 48 571 34 389 27 551 25 414

80 206 72 578 88 721 33 523 30 991

Minister for Resources

Output Group 4 - Resources Policy and Regulatory

Services4.1 Forestry Policy and Reform12 1 500 3 196 2 453 1 928 1 105 4.2 Mineral Resources13 9 547 11 234 8 251 7 571 7 534

11 047 14 430 10 704 9 499 8 639


Minister for Tourism, Hospitality and Events

Output Group 5 - Culture and Creative Industries

5.4 Events and Hospitality14 14 457 19 133 16 565 14 844 12 604 14 457 19 133 16 565 14 844 12 604

Minister for the Arts


5.1 Tasmanian Museum and Art Gallery15 10 530 9 719 10 201 10 428 10 180 5.2 Arts Industry Development16 8 157 7 749 7 831 7 852 7 883 5.3 Screen Industry Development17 2 084 2 836 2 147 2 168 1 692

20 771 20 304 20 179 20 448 19 755


TOTAL 581 520 587 119 592 599 524 571 521 230

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Notes:1. Agency estimates do not include the indexation impact of any variations to agency expenditure that

have been made since the finalisation of the Revised Estimates Report 2017-18 (including December Quarterly Report). For further information see chapter 1 of this Budget Paper.

2. The variations in Infrastructure Strategy reflect the cash flow of the 2014 election commitment for Kings Meadows Flood Protection and the 2017-18 Budget Initiative Forward Planning for Roads (including Launceston Traffic Planning).

3. The increase in Land Transport Safety in 2018-19 primarily reflects the continuation of the Road Safety Levy.

4. This funding relates to expenses within the Capital Investment Program that are primarily maintenance costs and depreciation and therefore exclude asset purchases. For further information, refer to chapter 6 of The Budget Budget Paper No 1.

5. In 2018-19 Skills Development has been transferred from the Minister for State Growth to the Minister for Education and Training.

6. The variations in Skills Development primarily reflect the cash flows of election commitments including grants to TasTAFE for the Agriculture Centre of Excellence, Drysdale extension at Claremont College and Devonport and the Trades and Water Centre of Excellence.

7. In 2018-19 funding of $84.92 million will be provided as a grant to TasTAFE to support training activity and operations. This gives effect to the Government’s commitment to ensure a minimum 70 per cent of training funding is provided to TasTAFE.

8. The decrease in Energy Policy and Advice in 2019-20 primarily reflects the cessation of funding for the Advancing the Case for a Nationally Funded Second Interconnector 2014 election commitment.

9. The increases in Coordinator-General in 2018-19 and 2019-20 reflects additional funding for Industry Assistance Grants and the cash flow of the Northern Cities Major Development Initiative. This Output also includes funding for Enterprize Hubs, which is the responsibility of the Minister for Science and Technology.

10. The decrease in Industry and Business Development primarily in 2018-19 reflects the cash flow of prior year initiatives and other key deliverables including: The Community Infrastructure Fund, Employment Partnership: Jobs Action Package, Population Growth Strategy, Growing the Visitor Economy and The Hedberg.

11. This Output also includes funding that relates to strategies and activities that are the responsibility of the Ministers for Advanced Manufacturing and Defence Industries, Minister for Science and Technology and Minister for Trade.

12. The increase in Forest Policy and Reform in 2018-19 reflects the transfer of funds for the Tasmanian Forests Agreement from the Finance-General.

13. The variations in Mineral Resources reflect additional funding for the Mining Exploration Grants Program and the cash flow of the commitment for the relocation of Mineral Resources Tasmania to Burnie.

14. The increase in Events and Hospitality primarily reflects additional funding for election commitments including: Event Attraction Fund, Great Customer Experience, Reimagining the Gorge and Tasmanian Hospitality Association Workforce Development.

15. The variations in Tasmanian Museum and Art Gallery primarily reflect the cash flow of Organisation Reform funding, and additional funding for the Permanent Children’s Exhibition at TMAG.

16. The decrease in Arts Industry Development in 2018-19 primarily reflects a redistribution of corporate overheads across departmental Outputs.

17. The increase in Screen Industry Development in 2018-19 reflects additional funding for the Screen Innovation Fund.

Output Group 1: Industry, Skills Development and Business Growth

1.1 Coordinator-GeneralThe Office of the Coordinator-General is Tasmania’s principal entity to attract and support investment in the State. The activities of the Office are a fundamental element to the Tasmanian Government’s agenda of promoting and developing Tasmania’s attractiveness for investment and creating jobs. Outcomes of the Office of the Coordinator-General are achieved by working collaboratively across the broader Department of State Growth, other State and Australian Government agencies, statutory authorities and local government. The Office operates broadly across four

State Growth 309

interconnected areas including Investment Attraction and Facilitation, Major Projects, the Northern Cities Major Development Initiative and Red Tape Reduction, which will incorporate the role of a Small Business Advocate who will work to create a more level playing field and assist small businesses in trying to resolve disputes with larger businesses, State Government bodies and local councils.

1.2 Industry and Business DevelopmentThe Industry and Business Development Output: focuses on maximising growth and job creation through business and industry. The

Output provides a regional interface to engage with Tasmanian businesses and supports the State’s core industries to leverage their competitive strengths;

provides a range of services that support the growth of Tasmanian business. This includes support for small business through business development services and online tools, and information on starting, running and growing a business; and

includes a range of international engagement functions to promote economic growth, including export support, economic diplomacy, international brand building, businesses and skilled migration promotion and Antarctic gateway development. The Trade and International Relations function works across government and industry partners to optimise Tasmania’s international market development across a range of goods and services sectors.

1.3 Skills DevelopmentSkills Tasmania is responsible for: managing Tasmania’s publicly funded training and workforce development system;

directing Government training subsidies to training that is relevant to key industries; supports innovation and economic growth; and delivering positive employment outcomes;

developing policy and strategy relating to skills and workforce development. This work has two key components: facilitating the delivery of high quality vocational education and training by TasTAFE and other Registered Training Organisations; and working with industry to support workforce development activities that assist Tasmanian enterprises to attract and retain the skilled workers they need to grow and to strategically deploy skills in the workplace to drive business productivity; and

managing the regulation of apprenticeships and traineeships, providing support services to RTOs and for the overall management and performance monitoring of the Tasmanian training system.

Table 11.3: Performance Information - Output Group 1

Performance MeasureUnit of

Measure2015-16

Actual2016-17

Actual2017-18

Target2018-19

Target

310 State Growth

Continue to reduce red tape by progressing the resolution of the priority red tape issues identified in the Annual Red Tape reduction Report1,2,3 Yes/No na Yes Yes Yes

Investment facilitated by the Office of the Coordinator-General2,4 $ million 280 306 320 340

International students commencing their studies in Tasmania2 Number 3 182 4 389 4 500 4 700

Supporting access to a skilled workforce through State nomination of skilled migrants2 Number 323 934 1 200 1 500

Grow the value of Tasmania’s premium exports to international markets2,5 $ million 2 460 2 341 2 400 2 500

Provision of information and advisory services to SMEs1,2,6 Number na na 4 900 5 090

Policy, project and program advice and implementation meets the expectations of stakeholders1,2,7

Stakeholder feedback survey na na Satisfied Satisfied


(continued)


Measure2015-16

Actual2016-17

Actual2017-18

Target2018-19

Target

VET Graduates employed after training8 % of total 77.6 79.3 78.5 79.0VET Graduates with improved

employment status after training9

% of total 61.2 56.7 62.0 62.0

Apprentice/Trainee commencements10 Number 5 067 4 850 6 500 6 500Apprentice/Trainee in training11 Number 8 167 7 595 8 400 8 400Total VET commencements1,2,12 Number na na na 25 000

Notes:1. “na” indicates that data is not available or measurement has not yet commenced.2. This is a new performance measure in 2018-19.3. The Annual Red Tape Reduction Report produced and published each year lists the red tape issues

that have been identified for Government to take action on. This includes a list of identified red tape issues. The measures capture the active implementation of those commitments.

4. This measure includes investment where the Office of the Coordinator-General has had a supporting role in directly engaging with an entity to support new, or to retain, investment in Tasmania; providing facilitation including advice, processes identification and navigation, and supporting engagement with linked parties; and/or by providing recommendations to Government resulting in financial support to facilitate investment.

5. Premium exports is calculated as total exports less bulk commodities.6. This measure captures the number of advice services and assistance packages, provided by Business

Tasmania, Enterprise Centres, Digital Ready and, targeted industry-specific grants programs.7. Satisfaction and outcomes are measured by feedback from the Minister’s Office and, where

appropriate, colleagues and clients. The feedback focuses on the quality, relevance and timeliness of advice.

8. Graduates employed after training data is sourced from National Centre for Vocational Education Research Limited (NCVER) Student Outcomes Survey 2017, released November 2017. This data relates to graduates from 2016.

State Growth 311

9. Graduates with improved employment status after training data is sourced from NCVER Student Outcomes Survey 2017, released November 2017. Improved employment status after training is employment status changing from not employed before training to employed after training, or employed at a higher skill level after training, or received a job related benefit as reported by the graduate.

10. Apprentice/trainee commencements represents the number of Tasmanian trainees and apprentices who began their apprenticeship or traineeship in the 12 months to 30 June. Consistent with national trends (although not to the same extent in Tasmania), this number has been trending downward since 2012-13, but is now stabilising.

11. Apprentice/Trainee in training represents the number of Tasmanian Apprentice and Trainees undertaking training as at 30 June. Consistent with national trends (although not to the same extent in Tasmania), this number has been trending downwards since 2012-13, but is now stabilising.

12. Total VET commencements represents the number of Government-funded Tasmanian program enrolments in a VET course that commenced in the previous calendar year.

Output Group 2: Infrastructure2.1 Infrastructure Tasmania

The Tasmanian Government established Infrastructure Tasmania to provide a coordinated approach to the planning and delivery of all major infrastructure in Tasmania. Infrastructure Tasmania’s core functions are: assessment and prioritisation of all major publicly funded infrastructure; leading the development of an infrastructure strategy for the State;

coordination of funding submissions under State and Australian Government budget processes, including; the management of Tasmania’s interface with Infrastructure Australia; and provision of advice on a range of infrastructure related issues and initiatives;

coordination of strategic infrastructure solutions across all levels of government; and

the completion of reviews and investigations at the request of the Government.

2.2 Infrastructure StrategyThis Output delivers effective strategic policy advice on infrastructure and transport issues affecting Tasmania. This includes the development of policy frameworks, high level policy implementation tasks and the coordination of major infrastructure planning initiatives, with a focus on: working with Infrastructure Tasmania to ensure that planning and investment in

Tasmania’s transport system is strategic, considered and supportive of industry and community development;

312 State Growth

developing an understanding of the key issues affecting our transport system and identifying opportunities for positive change;

developing strategic transport infrastructure policy frameworks to guide the development of the transport system and enhance the safe and efficient movement of people and freight; and

advancing Tasmania’s interests in relation to national transport and infrastructure policy reforms and issues.

2.3 Land Transport SafetyThis Output provides the legislation, regulatory policies and practices to support an efficient, safe and reliable land transport system that connects people, enhances visitor experiences and supports state growth, with a focus on: providing strategic road safety policy advice, supporting the Road Safety Advisory

Council, encouraging community involvement in road safety, delivering road safety education and awareness programs for Tasmanians and visitors, and administering the School Crossing Patrol Officer program;

delivery of all registration and licensing services to the Tasmanian community including, but not limited to, developing and maintaining legislation, business policies, practices and procedures, providing information, collection of fees and delivering services relating to the registration of vehicles and licensing of drivers; and

developing, encouraging and enforcing compliance with state-based regulations for roadworthiness, vehicle standards, dimensions and mass limits, loading and operation of vehicles; and undertaking management of approved inspection stations and transport operation schemes.

2.4 Passenger TransportThis Output manages the regulation and delivery of passenger transport services that support the efficient, equitable and appropriate movement of people, including the administration of targeted transport assistance schemes and subsidies for students, the unemployed, aged pensioners and persons living with disability, with a focus on: the sustainable delivery of passenger transport services; administering contracts for the delivery of regular passenger transport services in

metropolitan, urban fringe and regional and rural areas; and implementation of initiatives to support the uptake of passenger transport.

2.5 Traffic Management and Engineering ServicesThis Output delivers cost-effective safety improvements to reduce the incidence of road crashes and provides specialist, technical traffic management and engineering solutions for the Government and the community. Key projects include delivering

State Growth 313

specific projects under the auspices of the Towards Zero - Tasmanian Road Safety Strategy 2017-2026.



Measure2015-16

Actual2016-17

Actual2017-18

Target2018-19

Target

Proposals assessed by Infrastructure Tasmania within required timeframes1 % 100 100 100 100

Reviews requested by Government completed by Infrastructure Tasmania within required timeframes1 % 100 100 100 100

Provision of effective support to the Government by providing road safety and road transport policy advice and information to enable informed decision making2

Satisfaction Satisfied Satisfied Satisfied Satisfied

Motor Registry System availability % 99 99 99 99Vehicles found to be unregistered of those

checked3 % 0.58 0.60 0.65 0.65Heavy Vehicles found overweight4 % 2.64 3.2 ≤5 naSpeed Limit reviews completed within 28

days of request5 % na na 80 80Safety reviews completed within 28 days of

request6 % na 99 80 80Wheelchair accessible taxis licensed7 Number 83 74 81 81Average Bus Age on contracted services8 Number 14.1 14.2 16.5 16.5

Notes:1. Proposals are publicly-funded major economic infrastructure proposals. Timeframes will be developed

on a case by case basis and documented in Infrastructure Tasmania’s yearly work program.2. Satisfaction and outcomes are largely measured by feedback from the Minister’s Office and, where

appropriate colleagues and clients. The feedback focuses on the quality, relevance and timeliness of advice.

3. This measure is based upon Automatic Number Plate Recognition cameras in accordance with the Memorandum of Understanding between the Department and the Motor Accidents Insurance Board.

4. From 2018-19, heavy vehicle compliance and enforcement will become the responsibility of the National Heavy Vehicle Regulator.

5. Speed is a key factor in road safety and this measure ensures that requests for speed limit reviews are completed in a timely manner. “na” indicates that data is not available or measurement has not yet commenced.

6. The Department receives many requests for safety reviews at junctions and other road locations and this measure reports on the timeliness of the safety assessment and response to request process.

7. The number of WATS licences on issue diminished in 2016-17, following a review of the licence register which revealed a number of inactive licences.

314 State Growth

8. This is a measure of the effectiveness of government strategies to ensure that the average age of buses on government contracted services is appropriate. The average bus age on contracted services is expected to increase from 2016-17 levels, as current contracts near the end of their term and operators seek to defer vehicle replacement decisions where possible. It is anticipated the average age will decrease beyond 2018-19, once operators have contract certainty and resume fleet investment.

Output Group 3: Energy Policy and Advice3.1 Energy Policy and Advice

This Output provides policy advice and support to the Minister for Energy on matters affecting energy in Tasmania. The aim is to maintain an efficient and effective regulatory structure for the Tasmanian energy sector, for the benefit of Tasmanian energy consumers, with a focus on: implementing the Government’s Tasmanian Energy Strategy and the Tasmanian

First Energy policy to ensure energy is well placed to contribute to, and enable, future economic growth in Tasmania;

enhancing the framework to support the affordability and sustainability of energy markets and prices in Tasmania;

supporting the continuing implementation of reforms to the Tasmanian electricity supply industry;

supporting the Minister in his Shareholder Minister responsibilities for the State-owned electricity businesses;

advancing Tasmania's interests in National Energy Market policy reforms and developments;

monitoring Tasmania’s energy security and continuing to improve the preparedness to deal with any high impact, low probability supply emergencies; and

managing programs and projects related to energy as requested by the Government.



Measure2015-16

Actual2016-17

Actual2017-18

Target2018-19

Target

Attend emergency security meetings and participate in emergency exercises at both the state and national level1,2 Number na na 2 2

Policy, project and program advice and analysis meets the expectations of stakeholders1,3


Notes:1. This is a new performance measure in 2018-19.

State Growth 315

2. The number of meetings that are held and attended each year varies depending on the level of risk and frequency of planned exercises. “na” indicates that data is not available or measurement has not yet commenced.

3. Satisfaction and outcomes are measured by feedback from the Minister’s Office and, where appropriate, colleagues and clients. The feedback focuses on the quality, relevance and timeliness of advice.

316 State Growth

Output Group 4: Resources Policy and Regulatory Services

4.1 Forestry Policy and ReformThis Output provides high level support on forest resource policy and management issues. It has a focus on forest policy projects of strategic importance as well as delivery of specific programs to assist the development and growth of the forest industry. The Output facilitates a number of inter-agency committees relating to forest policy and programs.

4.2 Mineral ResourcesThis Output facilitates mineral exploration and mining development and fosters and encourages responsible land management in Tasmania, with a focus on: improving the quality and quantity of geoscience information, essential to the

encouragement of mineral exploration and responsible land management, including the continued development of the TIGER data management system and a comprehensive three dimensional geological model of the State;

promoting Tasmania nationally and internationally as being highly prospective for mineral exploration and mining through targeted and strategic marketing; and

providing information for sustainable land use planning and infrastructure development decisions through activities such as geohazard mapping, resource identification to protect against sterilisation and management and rehabilitation of abandoned mining lands.

This Output also ensures the responsible management of the State’s mineral resources and a fair and sustainable return to the community when a resource of metallic, construction, industrial and fuel minerals or geothermal energy is developed. This is achieved by focusing on: assessment and regulation of legal titles for mineral tenements; and managing the royalty regime and collecting fees and rentals.Under the Mining for Tasmania’s Future Policy, Mineral Resources Tasmania functions and resources have been moved from Rosny to Burnie progressively over the previous term of the Government. In line with the Government’s commitment, the Mornington Core Library and staff who utilise it will not be relocated and the remaining functions and facilities at the Core Library are being improved as part of the initiative. This will ensure that Mineral Resources Tasmania can provide the most effective contribution to managing the State’s extensive minerals and energy resources.

State Growth 317



Measure2015-16

Actual2016-17

Actual2017-18

Target2018-19

Target

Project management, policy advice and analysis is consistent with client and stakeholder expectations1,2


Tasmania's percentage of industry's mineral exploration expenditure in Australia3 % 1.3 0.9 1.0 1.3

318 State Growth

Table 11.6: Performance Information - Output Group 4 (continued)


Measure2015-16

Actual2016-17

Actual2017-18

Target2018-19

Target

Area covered by modern geoscientific data collection techniques with subsequent 1:25 000 geological mapping coverage4,5 % 66.4 73.7 63.8 63.8

Programmed abandoned mining lands rehabilitation projects completed % 73.6 100 100 100

Notes: 1. Satisfaction and outcomes are measured by feedback from the Minister’s Office and, where

appropriate, colleagues and clients. The feedback focuses on the quality, relevance and timeliness of advice.

2. This is a new performance measure in 2018-19.3. Statistics derived from the first three quarters of each financial year from ABS exploration data. The

target for 2017-18 has been revised due to 2016-17 actuals.4. The area covered by modern remote sensing data (less than 15 years old) is subject to change. The

performance targets are regularly refactored based on area of modern remote sensing data available at a given point in time.

5. The method used to calculate this performance measure has been altered. The definition of modern remote sensing data is now defined as data created from 1996 onwards. The definition of modern mapping has also been changed to reflect this - modern mapping is now defined as data produced or updated from 1996 onwards. Figures prior to and including ‘2016-17 Actual’ were calculated using a previous method of calculation. Figures for ‘2017-18 Target’ and onwards have been calculated with the new definition and are not directly comparable with earlier figures.

Output Group 5: Culture and Creative Industries5.1 Tasmanian Museum and Art Gallery

Through the Tasmanian Museum and Art Gallery, this Output aims to increase community understanding of the cultural and natural world by collecting, conserving, interpreting and researching material evidence within the areas of humanities including visual arts, history and anthropology and the biological and physical sciences. It provides the community with opportunities to experience the past and the present, invites participation in the State’s collection and offers a stimulating museum and art environment.

5.2 Arts Industry DevelopmentThis Output focuses on working with Tasmanian artists and arts organisations to grow this important industry. It aims to broaden the engagement of Tasmanians in the arts, highlight the State’s diverse arts and cultural sector and build the sustainability of arts businesses. This is achieved through a range of industry development programs and projects, coupled with the provision of funding to individual artists, arts organisations and major Tasmanian cultural institutions to assist their planning and realisation of projects, as well as to develop and present new work. These projects generate economic activity, create employment opportunities and add to our terrific

State Growth 319

array of cultural tourist attractions. The Output also includes investment funding and professional assistance to Tasmanian museums (other than TMAG), art galleries and moveable cultural heritage organisations, as a key part of the Government’s ongoing support for the preservation of the State’s moveable cultural heritage.

320 State Growth

5.3 Screen Industry DevelopmentThis Output aims to build on the success that has occurred in the sector through increased local, interstate and international screen production in this State. It also provides support for professional and project development, and the development of interactive games. In doing so, it seeks to promote Tasmanian talent and stories to a world-wide audience. This Output also aims to position Tasmania as a centre for the creation and development of quality content in the digital media environment as an important part of the growing creative industries sector.

5.4 Events and HospitalityThis Output aims to build and sustain a strong events sector, promote investment and support for the sector, and maximise the value and return on investment of events supported by the Government through major event partnerships, grant and development programs, and a research program. The aim is to develop a seasonally balanced events portfolio that brings people to Tasmania; helps achieve the Government’s goal of 1.5 million tourists by 2020; builds the visitor economy; gets people moving around the State; encourages positive conversation about Tasmania; creates job opportunities; benefits communities through economic stimulus; and makes Tasmania the boutique events capital of Australia. This Output also includes oversight of Princes Wharf No. 1 Shed, a key event venue on the Hobart waterfront.This Output also supports hospitality industry development through working closely with the Tasmanian Hospitality Association to address key issues facing the industry. This includes collaboration with Output 1.3 to support skills and capability development, career pathways, recruitment and retention, and providing consistent high quality service. This Output also supports raising the industry profile and improving profitability and sustainability.



Measure2015-16

Actual2016-17

Actual2017-18

Target2018-19

Target

Tasmanian Museum and Art Gallery

TMAG Total Visitors1

Number 1 220/day415 172

pa366 750

pa375 000

pa

Arts Industry DevelopmentAttendance at selected cultural venues2 Number 243 527 282 456 290 000 290 000Contribution to Gross State Product of

selected arts industries $ million 65.0 61.0 70.0 71.0Attendance at selected performing arts

events Number 243 527 282 456 282 456 282 456Number of artists, arts and museum-workers

supported3 Number na na na na

State Growth 321


Measure2015-16

Actual2016-17

Actual2017-18

Target2018-19

Target

Screen Industry DevelopmentDeveloped projects that advance into

production4 Ratio 6.5:1 6:1 10:1 8:1Leveraged spend in the State Ratio 8.25:1 5:65 4:1 4:1

322 State Growth

Notes: 1. TMAG was open six days a week in 2015-16. The average daily number of visitors was up by

11 percent from the previous year. Total visitation to TMAG’s site on Hobart’s waterfront was also up at 383 026 visitors, an increase of 6 percent from the previous year. Due to a change in methodology, aimed at capturing total visitations per annum, the target for 2017-18 will move to an annual figure, rather than a daily target. Using this methodology the target for 2016-17 would be 366 750 visits per annum.

2. Attendance at selected cultural venues includes only those organisations receiving assistance under the Museums, Art Galleries and Heritage Organisations funding program of Arts Tasmania. This program was replaced by the Cultural Heritage Program in 2016-17. The 2017-18 target was revised due to the increase in attendance in 2016-17.

3. This is a new measure and replaces ABS data Participation in Selected Cultural Activities, Australia (Cat. No. 4921.0) which is captured triennially. Baseline data collected during 2016-17 will inform the development of performance targets. Collection methodology of data for this indicator is in development as part of KPI review of acquittal data, with the first figures to be available in 2019-20.

4. The industry standard ratio for developed projects advancing into production is 10:1. The ratio varies because of the time taken by some projects to go into production, and because of that time, this ratio has been taken over three years.

Output Group 6: Subsidies and Concessions6.1 Shipping and Ferry Subsidies

This Output relates to payments for the provision of services for the Bruny Island Ferry, Furneaux Shipping and King Island Shipping.

6.2 Metropolitan General Access Regular Passenger Transport ServicesThis Output relates to the contract funding provided to suppliers of public bus services, including school-day-only services in the metropolitan areas of Hobart, Launceston, Devonport and Burnie.

6.3 Rural and Special Needs School Bus ServicesThis Output relates to contract payments to suppliers of rural and special needs school bus services during the school year.

6.4 Non-Metropolitan General Access Regular Passenger Transport ServicesThis Output relates to contract funding provided to suppliers of public bus services outside the metropolitan areas of Hobart, Launceston, Devonport and Burnie but includes services to, from and between the metropolitan areas.

6.5 Construction of Streets in TownsThis Output contributes to the construction of streets as provided under the Local Government (Highways) Act 1982 and the Local Government Act 1993.

State Growth 323

CAPITAL INVESTMENT PROGRAMTable 11.8 provides financial information for the Department’s Capital Investment Program. More information on the Capital Investment Program is provided in chapter 6 of The Budget Budget Paper No 1.

Table 11.8: Capital Investment Program1,2Estimate

d 2018-19 2019-20 2020-21 2021-22 Total Forward Forward Forward Cost Budget Estimate Estimate Estimate

$'000 $'000 $'000 $'000 $'000

New Infrastructure Commitments

Minister for InfrastructureExtending the Great Eastern Drive - Binalong

Bay Road3 4 500 .... 2 000 2 500 .... Greater Hobart Traffic Vision3,4 73 775 3 325 6 250 7 600 13 600 Launceston and Tamar Valley Traffic Vision3,4 75 080 2 180 4 700 7 700 20 500 New Bridgewater Bridge3,4,5 576 000 6 000 27 000 33 000 55 000 Roads of Strategic Importance4,5 400 000 10 000 20 000 20 000 50 000 Roads Package to Support Tasmania's Visitor

Economy3,4 66 067 7 150 14 750 16 017 13 817 South East Traffic Solution3,4 27 000 1 050 5 700 8 750 5 500 State Road Upgrades - North West and West

Coast Region3,4 50 050 4 350 4 250 6 250 9 250 State Road Upgrades - Northern Region3,4,6 54 182 4 150 7 000 17 332 14 467 State Road Upgrades - Southern Region3,4,6 99 837 11 750 14 220 12 517 13 217 Tourism Journeys3 800 800 .... .... .... West Tamar Highway Traffic Solution3 12 000 1 750 5 600 3 650 1 000

Existing Infrastructure Commitments

Minister for InfrastructureAsset Management Ongoing 5 663 5 783 5 933 6 102 Bass Highway - Birralee to Exton 9 600 1 467 .... .... .... Bass Highway - Wynyard 2 875 2 300 .... .... .... Bridge Renewal Program Ongoing 490 870 .... .... Bridge Strengthening on Esk and Tamar

Highways 10 000 4 100 4 900 .... .... Bridport Western Access Road5 2 900 380 .... .... .... Brooker Highway - Elwick, Goodwood,

Howard Roads5 32 000 .... .... 1 500 ....

324 State Growth

Table 11.8: Capital Investment Program (continued)1,2Estimate

d 2018-19 2019-20 2020-21 2021-22 Total Forward Forward Forward Cost Budget Estimate Estimate Estimate

$'000 $'000 $'000 $'000 $'000

Colebrook Main Road 6 500 2 998 .... .... .... Domain Highway Planning5 5 000 4 337 .... .... .... Environmental Management Ongoing 585 599 615 633 Esk Main Road 13 000 4 000 .... .... .... Freight Access Bridge Upgrades 19 050 5 350 4 400 4 500 .... Great Eastern Drive 6 300 3 000 3 000 .... .... Heavy Vehicle Safety and Productivity Ongoing 820 860 .... .... Highland Lakes Road5 9 000 2 500 100 .... .... Hobart Airport Interchange5,7 30 000 25 000 2 000 .... .... Infrastructure Development5,7 Ongoing 3 912 1 005 1 023 1 055 Infrastructure Maintenance5,7 Ongoing 69 850 71 051 72 840 69 121 Launceston Northbank 1 350 675 .... .... .... Midland Highway5,6 450 000 100 164 41 034 5 067 1 471 Mowbray Connector 7 000 6 500 .... .... .... Murchison Highway5 8 000 2 311 .... .... .... Program Management Ongoing 1 213 1 247 1 282 1 322 Real-Time Traffic Congestion Management in Hobart 1 800 640 .... .... .... Road Safety and Traffic Management5,8 Ongoing 12 970 13 091 13 454 13 647 Strategic Planning and Policy Ongoing 2 970 3 026 3 099 3 181

Minister for Education and TrainingA Workforce for Now and the Future 200 50 50 50 ....

Total CIP Allocations 316 750 264 486 244 679 292 883

Notes:1. The profile of funding for the CIP varies significantly from year to year due to the cash flow

requirements of specific capital projects.2. All roads project estimates are provided at the ‘P50’ level. This is based on the project cost with

sufficient contingency to provide a 50 percent likelihood that this cost will not be exceeded. On this basis projects are managed at a whole of program level to achieve a balance in cost estimating.

3. Funding for these projects is part of the State Government’s 2018 election commitments.4. This project includes funding beyond the 2018-19 Budget and Forward Estimates period.5. This project includes funding from the Australian Government. For further information, refer to chapter

6 of The Budget Budget Paper No 1.6. The State Government’s contribution to the Midland Highway has now been incorporated into the

State Road Upgrades - Southern Region and State Road Upgrades - Northern Region.7. The Australian Government committed funding for a number of local government roads as part of its

2016 election commitments. This funding is provided to the relevant council via the State Government.

8. This project includes funding from the Road Safety Levy.

State Growth 325

Roads and RailFunding of $316.8 million has been allocated in 2018-19 for roads infrastructure projects, with total roads funding over the Budget and Forward Estimates period estimated at $1.1 billion, including $406.4 million in Australian Government funding.In addition, the Government has committed funding of $8.1 million for rail infrastructure in the 2018-19 Budget for Tasmanian Railway Pty Ltd with total rail funding over the Budget and Forward Estimates period of $135.4 million, including $58.2 million in Australian Government rail funding. Under the Tasmanian Rail Revitalisation Program, both the State and Australian Government funding is provided as equity to Tasmanian Railway Pty Ltd via Finance-General.As part of the 2017-18 Budget, the Tasmanian Government committed additional funding of $59.8 million over a further four years, commencing in 2019-20, in order to facilitate the second Tranche of the Program, dependent on a matching contribution from the Australian Government. The Australian Government, through its 2018-19 Budget, has also now committed to fund an additional $59.8 million for the second Tranche of the Tasmanian Rail Revitalisation Program. The combined Tasmanian and Australian Government funding under the second Tranche of the Program over an additional four year period will build on Tranche one, upgrading priority sections of the State’s freight rail network, with all key rail freight corridors benefitting from this investment.From 2018-19, road investment will be managed under separate programs of work to allow greatest flexibility in delivery of projects, adjusting to stakeholder feedback and approvals timeframes. Specific programs in 2018-19 include: Greater Hobart Traffic Vision; Launceston and Tamar Valley Traffic Vision; Roads Package to Support Tasmania’s Visitor Economy; A South East Traffic Solution roads package; A West Tamar Highway Traffic Solutions; State Roads Upgrades - Northern Region; State Roads Upgrades - North West and West Coast Regions; and State Roads Upgrades - Southern Region.For more information in relation to the Roads Program see chapter 6 of The Budget Budget Paper No 1.

326 State Growth

DETAILED BUDGET STATEMENTSTable 11.9: Statement of Comprehensive Income



Revenue and other income from transactions

Appropriation revenue - recurrent1 318 047 329 914 346 546 282 276 279 846 Appropriation revenue - works & services2 128 038 154 175 161 098 175 205 193 259 Grants3 160 612 163 338 102 824 63 040 93 190 Sales of goods and services 4 255 4 255 4 255 4 255 4 255 Fees and fines 13 644 14 012 14 476 14 862 14 862 Interest 2 380 2 380 2 380 2 380 2 380 Other revenue 1 972 1 972 2 172 1 972 1 972

Total revenue and other income from transactions 628 948 670 046 633 751 543 990 589 764

Expenses from transactionsEmployee benefits 63 390 65 779 64 121 65 318 65 875 Depreciation and amortisation 88 860 89 055 89 280 89 505 89 280 Supplies and consumables 101 802 102 366 98 925 97 524 94 424 Grants and subsidies4 251 045 256 869 273 138 203 472 201 826 Borrowing costs 1 670 1 670 1 670 1 670 1 670 Other expenses5 7 752 6 078 527 531 536

Total expenses from transactions 514 519 521 817 527 661 458 020 453 611

Net result from transactions (net operating balance) 114 429 148 229 106 090 85 970 136 153

Other economic flows included in net resultNet gain/(loss) on non-financial assets 4 4 4 4 4

Total other economic flows included in net result 4 4 4 4 4

Net result 114 433 148 233 106 094 85 974 136 157

Other economic flows - other non-owner changes in

equityChanges in physical asset revaluation reserve 149 947 149 947 149 947 149 947 149 947

Total other economic flows - other non-owner

changes in equity 149 947 149 947 149 947 149 947 149 947

State Growth 327

Comprehensive result 264 380 298 180 256 041 235 921 286 104

Notes:1. The variations in Appropriation revenue - recurrent primarily reflect the cash flow of election

commitments as well as the Northern Cities Major Development Initiative projects.2. The variations in Appropriation revenue - works & services primarily reflect additional election

commitments funding provided for the Capital Investment Program. Refer to Table 11.8 for further information on capital projects.

3. The profile of Grants revenue funding over the Forward Estimates reflects cash flows for Australian Government receipts, in particular relating to the CIP.

4. The variations in Grants and subsidies over the Forward Estimates primarily reflect the cash flow of election commitments as well as the Northern Cities Major Development Initiative projects.

5. The decrease in Other Expenses in 2019-20 primarily reflects cash flows for Australian Government infrastructure funding that is not capitalised.

Table 11.10: Statement of Comprehensive Income - Administered



Revenue and other income from transactions1

Appropriation revenue - recurrent 66 771 64 840 64 938 66 551 67 619 Grants 310 542 80 80 80 Taxation 42 100 43 784 45 535 47 356 49 251 Sales of goods and services 5 220 5 315 5 413 5 513 5 625 Fees and fines 9 821 9 978 10 135 10 278 10 537 Other revenue 42 333 34 108 34 608 28 108 23 108

Total revenue and other income from transactions 166 555 158 567 160 709 157 886 156 220

Expenses from transactions2

Employee benefits 230 462 .... .... .... Supplies and consumables 136 136 136 136 136 Grants and subsidies 66 635 64 704 64 802 66 415 67 483 Transfers to the Consolidated Fund 99 554 93 265 95 771 91 335 88 601

Total expenses from transactions 166 555 158 567 160 709 157 886 156 220

Net result from transactions (net operating balance) .... .... .... .... ....

Net result .... .... .... .... ....

Comprehensive result .... .... .... .... ....

Notes:

328 State Growth

1. The variations in Revenue and other income from transactions are detailed in Table 11.12 Administered Revenue.

2. The variations in Expenses from transactions are detailed in Table 11.13 Administered Expenses

State Growth 329

Table 11.11: Revenue from Appropriation by Output2017-18 2018-19 2019-20 2020-21 2021-22

Forward Forward Forward Budget Budget Estimate Estimate Estimate

$'000 $'000 $'000 $'000 $'000

Minister for Infrastructure

Output Group 2 - Infrastructure2.1 Infrastructure Tasmania 800 800 800 800 800 2.2 Infrastructure Strategy1 2 108 1 133 359 214 220 2.3 Land Transport Safety2 11 839 14 145 14 351 14 686 15 054 2.4 Passenger Transport 2 896 3 256 3 054 3 126 3 205 2.5 Traffic Management and Engineering Services 3 907 3 730 3 320 3 384 3 456

21 550 23 064 21 884 22 210 22 735 Output Group 6 - Subsidies and Concessions

6.1 Shipping and Ferry Subsidies 1 100 1 133 1 167 1 202 1 242 6.2 Metropolitan General Access Services 40 110 41 313 42 552 43 829 45 295 6.3 Rural and Special Needs School Bus Services 24 432 25 165 25 920 26 698 27 591 6.4 Non-Metropolitan General Access Services 7 826 7 826 7 626 7 626 7 626

73 468 75 437 77 265 79 355 81 754


Capital Investment Program3 127 988 154 125 161 048 175 155 193 259

Recurrent Services 143 294 144 079 144 723 148 650 152 599 Works and Services 127 988 154 125 161 048 175 155 193 259

271 282 298 204 305 771 323 805 345 858

Minister for Education and Training

Output Group 1 - Industry, Skills Development and Business Growth1.3 Skills Development4,5 103 132 113 135 117 389 107 707 108 283

103 132 113 135 117 389 107 707 108 283

Capital Investment Program 50 50 50 50 ….

Recurrent Services 103 132 113 135 117 389 107 707 108 283 Works and Services 50 50 50 50 ….

103 182 113 185 117 439 107 757 108 283

330 State Growth

State Growth 331

Table 11.11: Revenue from Appropriation by Output (continued)



Minister for Energy

Output Group 3 - Energy Policy and Advice3.1 Energy Policy and Advice6 1 970 2 854 1 743 1 784 1 829

1 970 2 854 1 743 1 784 1 829

Recurrent Services 1 970 2 854 1 743 1 784 1 829 1 970 2 854 1 743 1 784 1 829

Minister for State Growth

Output Group 1 - Industry, Skills Development and

Business Growth1.1 Coordinator-General7 18 573 23 518 54 343 5 983 5 588 1.2 Industry and Business Development8,9 54 727 41 343 29 022 22 444 20 307

73 300 64 861 83 365 28 427 25 895


Minister for Resources

Output Group 4 - Resources Policy and Regulatory

Services4.1 Forestry Policy and Reform 1 495 1 535 1 548 1 573 1 100 4.2 Mineral Resources10 9 038 10 725 7 742 7 062 7 025

10 533 12 260 9 290 8 635 8 125



332 State Growth

Table 11.11: Revenue from Appropriation by Output (continued)



Minister for Tourism, Hospitality and Events


5.4 Events and Hospitality11 14 272 18 948 16 380 14 659 12 419 14 272 18 948 16 380 14 659 12 419


Minister for the Arts


5.1 Tasmanian Museum and Art Gallery12 10 296 9 485 9 967 10 194 9 946 5.2 Arts Industry Development13 7 390 6 982 7 064 7 085 7 116 5.3 Screen Industry Development14 2 084 2 836 2 147 2 168 1 692

19 770 19 303 19 178 19 447 18 754



Department of State GrowthTotal Recurrent Services 384 766 394 702 411 432 348 775 347 413 Total Works and Services 128 038 154 175 161 098 175 205 193 259

512 804 548 877 572 530 523 980 540 672

Reserved by LawContribution towards Construction of Streets in Towns

by Municipal Councils (Local Government Act1993) 52 52 52 52 52

52 52 52 52 52

Total Revenue from Appropriation 512 856 548 929 572 582 524 032 540 724

State Growth 333

Controlled Revenue from Appropriation 446 085 484 089 507 644 457 481 473 105 Administered Revenue from Appropriation 66 771 64 840 64 938 66 551 67 619

512 856 548 929 572 582 524 032 540 724

Notes:1. The variations in Infrastructure Strategy reflect the cash flow of the 2014 election commitment for

Kings Meadows Flood Protection and the 2017-18 Budget Initiative Forward Planning for Roads (including Launceston Traffic Planning).

2. The increase in Land Transport Safety in 2018-19 primarily reflects a redistribution of corporate overheads across departmental Outputs.

3. The increase in the Capital Investment Program primarily reflects additional funding for election commitments including: Greater Hobart Traffic Vision; Launceston and Tamar Valley Traffic Vision; Roads Package to Support Tasmania’s Visitor Economy; South East Traffic Solution; State Road Upgrades - Northern Region; State Road Upgrades - North West and West Coast Region; State Road Upgrades - Southern Region; and West Tamar Highway Traffic Solution.

4. The variations in Skills Development primarily reflect the cash flows of election commitments including grants to TasTAFE for the Agriculture Centre of Excellence, Drysdale extension at Claremont College and Devonport and Trades and Water Centre of Excellence.

5. In 2018-19 funding of $84.92 million will be provided as a grant to TasTAFE to support training activity and operations. This gives effect to the Government’s commitment to ensure a minimum 70 per cent of training funding is provided to TasTAFE.

6. The decrease in Energy Policy and Advice in 2019-20 primarily reflects the cessation of funding for the Advancing the Case for a Nationally Funded Second Interconnector 2014 election commitment.

7. The increases in Coordinator-General in 2018-19 and 2019-20 reflects additional funding for Industry Assistance Grants and the cash flow of Northern Cities Major Development Initiative. This Output also includes funding for Enterprize Hubs, which is the responsibility of the Minister for Science and Technology.

8. The decrease in Industry and Business Development in 2018-19 primarily reflects the cash flow of prior year initiatives and other key deliverables including: The Community Infrastructure Fund; Employment Partnership: Jobs Action Package; Population Growth Strategy; Growing the Visitor Economy; and The Hedberg.

9. This Output also includes funding that relates to strategies and activities that are the responsibility of the Ministers for Advanced Manufacturing and Defence Industries, Science and Technology and Trade.

10. The variations in Mineral Resources reflect additional funding for the Mining Exploration Grants Program and the cash flow of the commitment for the relocation of Mineral Resources Tasmania to Burnie.

11. The increase in Events and Hospitality primarily reflects additional funding for election commitments including: Event Attraction Fund; Great Customer Experience; Reimagining the Gorge; and Tasmanian Hospitality Association Workforce Development.

12. The decrease in Tasmanian Museum and Art Gallery in 2018-19 primarily reflects the cash flow of Organisation Reform funding, the increase in 2019-20 reflects additional funding for the Permanent Children’s Exhibition at TMAG.

13. The decrease in Arts Industry Development in 2018-19 primarily reflects a redistribution of corporate overheads across departmental Outputs

14. The increase in Screen Industry Development in 2018-19 reflects additional funding for the Screen Innovation Fund.

18.Table 11.12: Administered Revenue



Revenue Collected on Behalf of the Consolidated

FundCommonwealth Capital Grants 80 80 80 80 80

334 State Growth

Drivers Licences 6 970 7 090 7 210 7 319 7 520 Fines 12 12 12 12 12 MAIB Commission 2 525 2 588 2 653 2 719 2 794 Motor Vehicle Taxes and Fees 42 100 43 784 45 535 47 356 49 251 Other Revenue1 1 213 8 8 8 8 Other Sales of Services 2 208 2 229 2 250 2 272 2 296 Personalised and Custom Plates 454 465 477 489 502 Photo Licence Fees 1 720 1 750 1 780 1 807 1 857 Regulatory Fees 1 072 1 078 1 084 1 090 1 097 Royalty Income2 41 120 34 100 34 600 28 100 23 100 Sales of Goods 33 33 33 33 33 Vehicle Inspection Services Fees 47 48 49 50 51

99 554 93 265 95 771 91 335 88 601

Revenue from AppropriationAnnual Appropriation 66 771 64 840 64 938 66 551 67 619

66 771 64 840 64 938 66 551 67 619

Other RevenueCommonwealth Recurrent Grants3 230 462 .... .... ....

230 462 .... .... ....

Total Administered Revenue 166 555 158 567 160 709 157 886 156 220

Notes:1. The decrease in Other Revenue in 2018-19 reflects the cessation of payments from the Tasmanian

Risk Management Fund in relation to the June 2016 flood event that resulted in road and bridge damage.

2. The decrease in Royalty income from 2018-19 reflects an adjusted forecast based on information from mining companies about expected Royalty payments, analysis of commodity prices and 2017-18 receipts.

3. The decrease in 2019-20 for Commonwealth Recurrent Grants reflects the cessation of Australian Government funding for Exporter Assistance.

Table 11.13: Administered Expenses2017-18 2018-19 2019-20 2020-21 2021-22


$'000 $'000 $'000 $'000 $'000

Grants and SubsidiesContribution to Marine and Safety Authority1 1 603 2 613 1 793 2 463 2 523 Conveyance Allowance 1 630 1 630 1 630 1 630 1 630 Exporter Assistance2 230 462 .... .... .... Sustainable Timber Tasmania CSO 12 000 12 000 12 000 12 000 12 000 Government Contribution to the Tasmanian Symphony

1 519 1 519 1 519 1 519 1 519

State Growth 335

OrchestraNational Transport Commission: Local

Government Contribution 1 500 1 500 1 500 1 500 1 500 Payments for Forest Practices Authority 1 473 1 503 1 533 1 563 1 563 Pensioner Air Travel Subsidy 10 10 10 10 10 Private Forests Tasmania 1 550 1 583 1 615 1 647 1 647 Student-Only Passenger Services 26 415 27 207 28 023 28 864 29 829 Tasmanian Icon Program - Tasmanian Symphony

Orchestra 500 500 500 500 500 Tasmanian Railway Pty Ltd3 8 100 8 100 8 100 8 100 8 100 Ten Days on the Island 1 275 1 301 1 327 1 354 1 383 Theatre Royal4 178 856 870 883 897 Transport Access Scheme 4 518 4 518 4 518 4 518 4 518 West Coast Wilderness Railway5 4 500 .... .... .... ....

67 001 65 302 64 938 66 551 67 619

Transfer to the Consolidated Fund 99 554 93 265 95 771 91 335 88 601

Total Administered Expenses 166 555 158 567 160 709 157 886 156 220

Notes:1. The increase in 2018-19 reflects Taking Recreational Boating and Fishing to the Next Level.2. The decrease in 2019-20 for Exporter Assistance relates to the cessation of Australian Government

funding.3. From 2018-19, funding for the State Government component of the Tasmanian Rail Revitalisation

Program will now be provided as an equity contribution through Finance-General. 4. The increase in 2018-19 for Theatre Royal reflects additional funds to support the Theatre Royal

Management Board in meeting costs associated with the construction and operation of the new $96 million creative industries and performing arts development, The Hedberg.

5. The reduction in 2018-19 reflects the completion of the Government’s current funding agreement for the West Coast Wilderness Railway. The Railway’s current financial projections and passenger demand forecasts indicate that they have cash reserves to maintain Railway operations over the short to medium term.

336 State Growth

Contribution to Marine and Safety TasmaniaThis contribution supports Marine and Safety Tasmania in carrying out its functions of managing the Government’s non-commercial marine facilities and Tasmania’s marine regulatory environment. The 2018-19 Budget reflects additional funding of $4.8 million over the Forward Estimates for Taking Recreational Boating and Fishing to the Next Level.

Conveyance AllowanceThe Department administers allowances paid to parents and guardians of students who do not have access to Government subsidised public passenger transport services for travel to and from school. It is intended to assist with the cost of providing private transport to the nearest bus stop or school. Allowances are also paid to Bass Strait Islands residents to assist with the cost of flights and ground travel to mainland Tasmania to access education.

Sustainable Timber Tasmania CSO (Non-commercial and Roads)This provision will ensure that permanent timber production zone land continues to be managed and is accessible and available for multiple uses. It includes funding for maintenance of the forestry road network to allow for continued community, tourism and firefighting access, management of public recreation sites, provision of forest education activities, special species timber management and ongoing facilitation of forestry research.

Government Contribution to the Tasmanian Symphony OrchestraThe Tasmanian Symphony Orchestra, one of the world’s finest small orchestras, continues to receive State Government support. The TSO plays to audiences throughout the State and its award-winning recordings are heard throughout the world. A versatile orchestra, the TSO is renowned for its expertise in music of the classical and early romantic periods, and is recognised internationally as a champion of Australian music.

National Transport Commission: Local Government ContributionUnder the reform measures that abolished local road tolls in favour of national heavy vehicle charges, $1.5 million is provided annually from motor tax receipts to local government to compensate for loss of revenues from heavy vehicles.

Payment for Forest Practices AuthorityThis payment represents the Government’s contribution to the Forest Practices Authority. The role of the FPA is to advance the objective of the State’s forest

State Growth 337

practices system and to foster a cooperative approach towards policy implementation and management.

Pensioner Air Travel SubsidyAged pensioner residents of the Bass Strait Islands are entitled to an air fare subsidy when travelling between the Bass Strait Islands and Northern Tasmania. The subsidy is a 50 per cent concession on one return airfare from their Island residence to Northern Tasmania each financial year.

Private Forests TasmaniaThis payment represents the Government’s contribution to Private Forests Tasmania. The role of PFT is to facilitate and expand the development of the private forest resource in Tasmania in a manner that is consistent with sound forest land management practice.

Student-Only Passenger ServicesThis Output relates to contract payments to suppliers of fare charging student-only bus services during the school year.

Tasmanian Icon Program - Tasmanian Symphony OrchestraThe Tasmanian Icon Program is designed to utilise world-class Tasmanian talent to promote the State both nationally and internationally. Currently, funded icons are the Tasmanian Symphony Orchestra, Menzies Institute for Medical Research and the Tasmanian Tigers State Cricket Team (the latter two being funded through other agencies).

Tasmanian Railway Pty Ltd This payment represents the Government’s grant contribution to Tasmanian Railway Pty Ltd. The payment allows TasRail to manage, maintain and operate the Tasmanian rail network on a sustainable basis, and also provides for critical annual maintenance of rolling stock assets.

Ten Days on the IslandTen Days on the Island is Tasmania’s premier arts festival. The Government will continue to support Ten Days on the Island to deliver a festival of excellence with a particular focus on regional Tasmania.

Theatre RoyalThe Theatre Royal is Australia’s oldest continually operating theatre. The Government’s commitment in funding the Theatre Royal recognises the Theatre Royal as a significant piece of Tasmania's history and a centre for the performing arts.

338 State Growth

Transport Access SchemeThe Scheme provides for payments to operators of taxis including wheelchair accessible taxis to support fare concessions and subsidies made available to eligible persons with permanent disabilities or medical conditions that significantly restrict their personal mobility.

West Coast Wilderness RailwayThe West Coast Wilderness Railway is an iconic West Coast attraction that helps attract visitors to the region and Queenstown. This funding supported capital works and the maintenance of the Railway’s operations.

Table 11.14: Statement of Financial Position as at 30 June2018 2019 2020 2021 2022


$'000 $'000 $'000 $'000 $'000

AssetsFinancial assets

Cash and deposits1 73 176 58 651 54 644 54 809 57 822 Investments2 36 282 89 915 86 115 79 815 77 315 Receivables 5 577 6 625 6 621 6 617 6 613 Equity investments 50 50 75 100 125 Other financial assets 114 125 125 125 125

115 199 155 366 147 580 141 466 142 000

Non-financial assetsInventories 331 349 359 369 379 Property, plant and equipment3 169 897 179 777 181 478 183 179 184 819 Infrastructure3 4 498 194 4 800 918 5 045 756 5 269 664 5 543 455 Heritage and cultural assets 428 159 428 744 438 884 449 024 459 164 Investment property 586 586 879 1 172 1 465 Intangibles3 3 002 1 222 811 400 .... Other assets3 1 873 12 739 12 823 12 907 12 991

5 102 042

5 424 335

5 680 990

5 916 715

6 202 273

Total assets5 217 241

5 579 701

5 828 570

6 058 181

6 344 273

LiabilitiesPayables 10 916 9 097 9 215 9 333 9 451 Interest bearing liabilities4 47 586 84 116 76 486 69 718 69 248 Provisions 3 678 2 514 2 474 2 434 2 394 Employee benefits3 18 227 20 055 20 475 20 895 21 315

State Growth 339

Other liabilities 8 091 8 761 8 721 8 681 8 641 Total liabilities 88 498 124 543 117 371 111 061 111 049

Net assets (liabilities)5 128 743

5 455 158

5 711 199

5 947 120

6 233 224

EquityContributed capital 417 334 417 334 417 334 417 334 417 334 Reserves 1 871 018 2 132 235 2 282 182 2 432 129 2 582 076 Accumulated funds 2 840 391 2 905 589 3 011 683 3 097 657 3 233 814

Total equity5 128 743

5 455 158

5 711 199

5 947 120

6 233 224

Notes:1. The variations in Cash and Deposits over the Forward Estimates primarily reflect administering loan

schemes including programs funded by the Australian Government.2. The increase in Investments in 2018-19 primarily reflects the current estimate of loan advances

including: the Tourist Accommodation Refurbishment Loan Scheme, the Agri-growth Loan Scheme and Commonwealth Administered Farm Assistance Loan Schemes.

3. The variations in these items reflects revised estimates based on 30 June 2017 actuals.4. The increase in Interest bearing liabilities reflects the current estimate of borrowings required to meet

estimated loan advance demand.

Table 11.15: Statement of Financial Position as at 30 June - Administered

2018 2019 2020 2021 2022 Forward Forward Forward


AssetsFinancial assets

Cash and deposits 3 515 3 910 3 910 3 910 3 910 Receivables1 1 855 112 112 112 112 Other financial assets 81 72 72 72 72

5 451 4 094 4 094 4 094 4 094

Non-financial assetsOther assets 6 12 12 12 12

6 12 12 12 12

Total assets 5 457 4 106 4 106 4 106 4 106

LiabilitiesPayables1 644 1 173 1 173 1 173 1 173 Employee benefits1 272 386 386 386 386 Other liabilities1 2 635 1 277 1 277 1 277 1 277

Total liabilities 3 551 2 836 2 836 2 836 2 836

340 State Growth

Net assets (liabilities) 1 906 1 270 1 270 1 270 1 270

EquityAccumulated funds 1 906 1 270 1 270 1 270 1 270

Total equity 1 906 1 270 1 270 1 270 1 270

Note:1. The variations in these items reflect revised estimates based on 30 June 2017 actuals.

Table 11.16: Statement of Cash Flows2017-18 2018-19 2019-20 2020-21 2021-22


$'000 $'000 $'000 $'000 $'000 Cash flows from operating activities

Cash inflowsAppropriation receipts - recurrent1 318 047 329 914 346 546 282 276 279 846 Appropriation receipts - capital2 128 038 154 175 161 098 175 205 193 259 Grants3 160 612 163 338 102 824 63 040 93 190 Sales of goods and services 4 260 4 260 4 260 4 260 4 260 Fees and fines 13 644 14 012 14 476 14 862 14 862 GST receipts 16 898 16 898 16 898 16 898 16 898 Interest received 2 380 2 380 2 380 2 380 2 380 Other cash receipts 1 972 1 972 2 172 1 972 1 972

Total cash inflows 645 851 686 949 650 654 560 893 606 667

Cash outflowsEmployee benefits (56 668) (58 797) (57 274) (58 343) (58 848)Superannuation (6 342) (6 602) (6 467) (6 595) (6 647)Borrowing costs (1 760) (1 760) (1 760) (1 760) (1 760)GST payments (16 899) (16 899) (16 899) (16 899) (16 899)Grants and subsidies4 (250 970) (256 794) (273 063) (203 397) (201 751)Supplies and consumables (102 008) (102 572) (99 131) (97 730) (94 630)Other cash payments5 (7 752) (6 078) (527) (531) (536)

Total cash outflows (442 399) (449 502) (455 121) (385 255) (381 071)

Net cash from (used by) operating activities 203 452 237 447 195 533 175 638 225 596

Cash flows from investing activitiesPayments for acquisition of non-financial assets6 (206 767) (240 115) (195 714) (175 009) (224 617)Proceeds from the disposal of non-financial assets 4 4 4 4 4 Net advances paid (2 500) (27 884) 3 800 6 300 2 500

Net cash from (used by) investing (209 263) (267 995) (191 910) (168 705) (222 113)

State Growth 341

activities

Table 11.16: Statement of Cash Flows (continued)2017-18 2018-19 2019-20 2020-21 2021-22


$'000 $'000 $'000 $'000 $'000 Cash flows from financing activities

Net borrowings7 (5 470) 14 530 (7 630) (6 768) (470)Net cash from (used by) financing activities (5 470) 14 530 (7 630) (6 768) (470)

Net increase (decrease) in cash and cash equivalents

held (11 281) (16 018) (4 007) 165 3 013

Cash and deposits at the beginning of the reporting

period 84 457 74 669 58 651 54 644 54 809 Cash and deposits at the end of the reporting period 73 176 58 651 54 644 54 809 57 822

Notes:1. The variations in Appropriation receipts - recurrent primarily reflect the cash flow of 2018 election

commitments as well as the Northern Cities Major Development Initiative projects.2. The variations in Appropriation receipts - capital in 2018-19 and over the Forward Estimates primarily

reflect 2018 election commitments funding provided for the Capital Investment Program. Refer to Table 11.8 for further information on capital projects.

3. The profile of Grants revenue over the Forward Estimates reflects cash flows for Australian Government receipts, in particular relating to the CIP.

4. The variations in Grants and subsidies over the Forward Estimates primarily reflect the cash flow of 2018 election commitments as well as the Northern Cities Major Development Initiative projects.

5. The decrease in Other cash payments in 2019-20 primarily reflects cash flows for Australian Government infrastructure funding that is not capitalised.

6. The variations in Payments for acquisition of non-financial assets primarily reflect expenditure incurred for projects included in the Department’s Capital Investment Program. Details on the Department’s CIP program is shown in Table 11.8 Capital Investment Program.

7. The variations in Net borrowings reflect the cash flows associated with administering loan schemes including loan schemes funded by the Australian Government.

342 State Growth

Table 11.17: Statement of Cash Flows - Administered2017-18 2018-19 2019-20 2020-21 2021-22


$'000 $'000 $'000 $'000 $'000

Cash flows from operating activitiesCash inflows

Appropriation receipts - recurrent 66 771 64 840 64 938 66 551 67 619 Grants 310 542 80 80 80 Taxation 42 100 43 784 45 535 47 356 49 251 Sales of goods and services 5 220 5 315 5 413 5 513 5 625 Fees and fines 9 821 9 978 10 135 10 278 10 537 Other cash receipts1 42 333 34 108 34 608 28 108 23 108

Total cash inflows 166 555 158 567 160 709 157 886 156 220

Cash outflowsEmployee benefits (230) (462) .... .... .... Grants and subsidies (66 635) (64 704) (64 802) (66 415) (67 483)Transfers to the Consolidated Fund (99 554) (93 265) (95 771) (91 335) (88 601)Supplies and consumables (136) (136) (136) (136) (136)

Total cash outflows (166 555) (158 567) (160 709) (157 886) (156 220)

Net increase (decrease) in cash and cash equivalents

held .... .... .... .... ....

Cash and deposits at the beginning of the reporting

period 3 515 3 910 3 910 3 910 3 910 Cash and deposits at the end of the reporting period 3 515 3 910 3 910 3 910 3 910

Note:1. The decrease in Other cash receipts primarily reflect an adjusted forecast for Royalty income based

on information from mining companies about expected Royalty payments, analysis of commodity prices and 2017-18 receipts.

State Growth 343

Documents

2018-19 Budget Paper 2 - Chapter 11 - Department of State ... · Web viewProjects in this investment program include shoulder widening on the Batman Highway, transfer of ownership