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Department of Industry and Science—Report for 2014-15, incorporating the reports of Geoscience Australia and IP Australia


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DEPARTMENT OF INDUSTRY AND SCIENCE

2014-15 ANNUAL REPORT

Department of Industry and Science ii

© Commonwealth of Australia 2015

This work is copyright. Apart from any use as permitted under the Copyright Act 1968, no part may be reproduced by any process without prior written permission from the Commonwealth. Requests and inquiries concerning reproduction and rights should be addressed to the Department of Industry and Science, GPO Box 9839, Canberra ACT 2601.

ISSN: 2205-2100

Produced by: Department of Industry, Innovation and Science

Designed by: Design and Audio Visual, Corporate Division, Department of Industry and Science

Edited by: WordsWorth Writing, Canberra

Annual Report 2014-15 iii

Dear Ministers

I present to you the 2014-15 annual report of the Department of Industry and Science for tabling before the parliament, as required by section 63 of the Public Service Act 1999.

The department’s annual report also includes the 2014-15 annual reports of Geoscience Australia and IP Australia, which are non-corporate Commonwealth entities within the Industry, Innovation and Science portfolio.

The annual report has been prepared in accordance with the guidelines issued by the Department of the Prime Minister and Cabinet and approved by the Joint Committee of Public Accounts and Audit. The report also includes information, which meets the specific reporting requirements for legislation the department administers (Appendix A5).

As required by the Commonwealth Fraud Control Framework, I am satisfied the department, Geoscience Australia and IP Australia have prepared fraud risk assessments and fraud control plans; have in place fraud prevention, detection, investigation, reporting and data collection procedures which meet their specific needs; and have taken all reasonable measures to minimise the incidence of fraud.

Yours sincerely

Glenys Beauchamp 24 September 2015

CC: The Hon Karen Andrews MP Assistant Minister for Science

CC: The Hon Wyatt Roy MP Assistant Minister for Innovation

Secretary

Department of Industry, Innovation and Science

The Hon Christopher Pyne MP Minister for Industry, Innovation and Science Parliament House

CANBERRA ACT 2600

The Hon Josh Frydenberg MP Minister for Resources, Energy and Northern Australia Parliament House CANBERRA ACT 2600

Department of Industry and Science iv

How to access this report Annual reports are available from libraries around Australia under the Commonwealth library deposit and free issue schemes. A list of these libraries is available from the Department of Finance website (www.finance.gov.au).

This report is also available on the department’s website (www.industry.gov.au).

ABOUT THIS REPORT The Department of Industry, Innovation and Science has prepared this report pursuant to subsections 63(2) and 70(2) of the Public Service Act 1999 and according to the Requirements for Annual Reports for Departments, Executive Agencies and Other Non-corporate Commonwealth Entities approved by the Joint Committee of Public Accounts and Audit in June 2015.

This report provides information on the activities of the department during the 2014-15 financial year and includes the annual reports of Geoscience Australia and IP Australia, which are non-corporate Commonwealth entities under the Public Governance, Performance and Accountability Act 2013.

Contact officers

Detail

Department of Industry, Innovation and Science Geoscience Australia IP Australia

Contact officer Manager, Planning, Performance and Business

Continuity

Director, Products and Promotion Director, Performance Analysis, Planning and Reporting

Postal address

GPO Box 9839 Canberra ACT 2601

GPO Box 378 Canberra ACT 2601 PO Box 200 Woden ACT 2602

Telephone +61 2 6213 6000 +61 2 6249 9111 +61 6283 2999

Facsimile +61 2 6213 7000 +61 2 6249 9999 +61 6283 7999

Email address

annualreport@industry.gov.au clientservices@ga.gov.au planningandreporting@ ipaustralia.gov.au

Website www.industry.gov.au www.ga.gov.au www.ipaustralia.gov.au

Annual Report 2014-15 v

PART A: Department of Industry and Science 1

Chapt

er 1: Overview

1

Secr

etary’s review

2

P

ortfolio and departmental overview

3

CHAP

TER 2: Departmental report on performance

7

Out

come 1 overview

8

Pr

ogramme 2: Supporting Science and Innovation

8

CA

SE STUDY - Synchrotron

12

CA

SE STUDY - Science and Research Priorities and STEM

13

Pr

ogramme 3: Encouraging Investment

14

CA

SE STUDY - Supporting innovation, entrepreneurship and growth

22

CA

SE STUDY - Growth Centre - Advanced Manufacturing

23

CA

SE STUDY - Energy White Paper: Setting a framework for delivering competitively priced and reliable energy supply

2

4

Programme 4: Programme Support

25

CA

SE STUDY - Deregulation achieved in 2014-15

29

Financial perf

ormance

31

CHAP

TER 3: Departmental management and accountability

33

C

orporate governance

34

F

raud control

34

Ex

ternal scrutiny

34

Managemen

t of human resources

3

5

Work health and safety

3

5

National Disability Strategy

3

5

Purchasing

36

Consultants and contracts

36

Gr

ant programmes

36

In

formation Publication Scheme

36

A

dvertising and market research

36

E

cologically sustainable development and environmental performance

3

7

CHAPTER 4: Department of Industry and Science financial performance

3

9

Independent auditor’s report

40

S

tatement by the Secretary and Chief Financial Officer

4

2

Financial statements

4

3

Contents

Department of Industry and Science vi

CHAPTER 5: Departmental appendices 14 1

Appendix A1: Agency resource statement 2014-15

14

2

Appendix A2: Expenses and resources for 2014-15

144

Appendix A3: W

orkforce statistics

146

Appendix A4

: Advertising and market research

150

Appendix A5: R

eports addressing special legislative requirements

15

1

PART B: Geoscience Australia

15

7

CHAPTER 6: Geoscience Australia Chief Executive Officer’s Review

15

7

Geoscience Australia Chief Executive Officer’s review

158

CHAP

TER 7: Geoscience Australia overview

16

1

Role and functions

16

2

Organisational structure

16

3

Outcome and programme structure

164

CHAP

TER 8 Geoscience Australia report on performance

165

Building A

ustralia’s resource wealth

166

Securing A

ustralia’s water resources

17

0

Ensuring Australia’s community safety

17

2

Managing Australia’s marine jurisdiction

17

5

Gathering fundamental geographic information

17

8

Maintaining Australia’s geoscience knowledge and capability

181

Financial perf

ormance

184

CHAP

TER 9 Geoscience Australia management and accountability

185

C

orporate governance

186

F

raud control

186

Ex

ternal scrutiny

186

Managemen

t of human resources

18

7

Work health and safety

18

7

National Disability Strategy

18

7

Purchasing

188

C

onsultants and contracts

188

Gr

ant programmes

188

In

formation Publication Scheme

188

A

dvertising and market research

188

E

cologically sustainable development and environmental performance

188

Servic

e charter

18

9

Annual Report 2014-15 vii

CHAPTER 10: Geoscience Australia financial performance 191

Independen

t auditor’s report

19

2

Statement by the Chief Executive and Chief Financial Officer

194

Financial s

tatements

19

5

CHAPTER 11: Geoscience Australia appendices

23

7

Appendix B1: Agency resource statement 2014-15

238

Appendix B2: Expenses and r

esources for 2014-15

23

9

Appendix B3: Workforce statistics

2

40

Appendix B4: Ecologically sustainable development and environmental performance

2

43

PART C: IP Australia

2

45

CHAPTER 12: IP Australia Director General’s review

2

45

IP Australia Director General’s review

2

46

CHAPTER 13: IP Australia overview

24

9

Role and functions

250

Or

ganisational structure

250

Out

come and programme structure

25

1

CHAPTER 14: IP Australia report on performance

25

3

Outcome 1 overview

254

Pr

ogramme 1.1: IP Rights Administration and Professional Registration

254

Pr

ogramme 1.2: Education, Awareness and International Engagement

256

Pr

ogramme 1.3: Advice to Government

258

Financial perf

ormance

2

60

CHAPTER 15: IP Australia management and accountability

2

61

Corporate governance

2

62

Fraud control

2

62

External scrutiny

2

63

Management of human resources

2

63

Work health and safety

2

63

National Disability Strategy

2

64

Purchasing

2

64

Consultants and contracts

2

64

Grant programmes

2

65

Information Publication Scheme

2

65

Advertising and market research

2

65

Ecologically sustainable development and environmental performance

2

65

Department of Industry and Science viii

CHAPTER 16: IP Australia financial performance 2 67

Independent auditor’s report

2

68

Statement by the Accountable Authority and Chief

Financial Officer

2

70

Financial statements

2

71

CHAPTER 17: IP Australia appendices

305

Appendix C1: Appeals of decisions

306

Appendix C2: A

gency resource statement 2014-15

30

7

Appendix C3: Expenses and resources for 2014-15

309

Appendix C4

: Workforce statistics

311

Appendix C5: E

cologically sustainable development and environmental performance

315

P

ART D: References

317

Glos

sary and abbreviations list

318

C

ompliance list

319

Inde

x

3

23

Annual Report 2014-15

Overview PART A Chapter 1

CHAPTER 1

Overview

Secretary’s review 2

P

ortfolio and departmental overview

3

Department of Industry and Science

Overview

2

Chapter 1 PART A

OVERVIEW

Secretary’s review The Department of Industry became the Department of Industry and Science as a result of the Administrative Arrangements Order made on 23 December 2014, which also saw responsibility for vocational education and skills policy and programmes transfer to the Department of Education and Training and small business programmes transfer to the Department of the Treasury.

The department’s vision is to enable growth and productivity for globally competitive industries, by supporting science and commercialisation, growing business investment and improving business capability, streamlining regulation, and building a high performance organisation. More information on the four strategic objectives is set out in the department’s Strategic Plan 2015-19, and can be found on the department’s website. The department’s strategic objectives support key elements of the government’s Industry Innovation and Competitiveness Agenda to assist with the transition of businesses to areas of competitive advantage and to facilitate innovation and growth.

The inclusion of science in the department’s title recognises the greater focus on leveraging over $9 billion in investment in science, research and innovation to look for more opportunities to commercialise our good ideas, build collaboration and create closer links between industry and science. We have supported the focus on science, technology, engineering and mathematics (STEM) as key to our economic future, committing to work together across portfolios to develop a national approach to STEM.

The recent government agreement on Australia’s nine science priorities provides guidance on more effective ways to build strong connections between industry and science and boost commercial returns from research.

The focus for 2014-15 was on the delivery of key government initiatives. Policies and programmes to support the government’s economic agenda addressed the following areas in 2014-15:

■ transitioning industries to a new economy

through the $50 million Manufacturing Transition Programme, the $155 million Growth Fund and regional innovation funds in Tasmania and Victoria ■ building on Australia’s competitive and

economic strengths through establishing five Industry Growth Centres, delivering the Energy White Paper, and establishing the Exploration Development Incentive to assist small exploration companies to undertake greenfields mineral exploration in Australia ■ focusing on innovation and entrepreneurship

through delivering the flagship programmes of the R&D Tax Incentive, the Entrepreneurs’ Programme, and the Cooperative Research Centres Programme ■ strengthening the role of science at the heart

of industry policy by assisting small and medium businesses to develop new ideas with commercial potential in collaboration with the research sector and encouraging better use by businesses of Australian research mainly in five identified sectors where Australia already has a comparative or competitive advantage.

Annual Report 2014-15

PART A Chapter 1 Overview

3

Many of these programmes were facilitated by the establishment of a single portal for the Single Business Service initiative, which has made it simpler for business to access information and services. In 2014-15, the initiative delivered services on behalf of a number of other agencies, and the business.gov.au website received over 11 million unique hits.

These achievements were supported by a high performance organisation where the workforce potential was maximised and optimal structures and systems were in continuous focus. The launch of the Corporate Network in 2014-15 brought together people, processes and systems from Corporate, ICT and Finance in a whole-of-department approach to the provision of streamlined services. We continue to undertake workforce planning and to emphasise the provision of high-quality learning and development initiatives for our staff. Initiatives include programmes under our management and leadership frameworks, portfolio and industry secondments and scholarship opportunities. The department is committed to a flexible workplace; for example, using technology to enable staff to work remotely—giving the department access to a broader employment pool, and better managing both individual and business needs. We are committed to investing in our graduates through our new two-year graduate programme, the pilot for which commenced in 2014-15.

We are committed to good fiscal management and the continuous monitoring of the department’s financial performance to ensure delivery of outcomes from within available resourcing. This is achieved through monthly financial reporting and forecasting and regular reviews of the department’s budget priorities.

In 2015-16, the department will continue to monitor the transition of Australian industry while rolling out the Growth Funds, focusing on science and commercialisation, consolidating the rollout of the Entrepreneurs’ Programme and the development of the Energy Productivity Plan.

Portfolio and departmental overview At 30 June 2015, the Industry and Science portfolio comprised the following agencies:

■ Department of Industry and Science

■ Geoscience Australia

■ IP Australia

■ Australian Institute of Marine Science

■ Australian Nuclear Science and Technology

Organisation ■ Australian Renewable Energy Agency

■ Commonwealth Scientific and Industrial

Research Organisation ■ National Offshore Petroleum Safety and

Environmental Management Authority.

This annual report covers the Department of Industry and Science, Geoscience Australia and IP Australia.

Department of Industry and Science

PART A Chapter 1 Overview

4

Organisational structure Figure 1 shows the organisational structure of the department at 30 June 2015.

Figure 1: Departmental structure, 30 June 2015

Secretary Chief Scientist

Associate Secretary

Deputy Secretary Deputy Secretary Geoscience Australia

Chief Executive Officer

IP Australia

Director General

Resources

Energy

Anti-Dumping Commission

Economic and Analytical Services

Portfolio Strategic Policy

Sectoral Growth Policy

Science and Commercialisation Policy1

Questacon

National Measurement Institute

Australian Astronomical Observatory

AusIndustry - Entrepreneur Development

AusIndustry - Business Services

Corporate Network

1 Pr ovides strategic and management support to the Chief Scientist and the Office of the Chief Scientist.

Department outcome and programme structure The department’s performance reporting framework for 2014-15 comprised one outcome. Table 1 describes the outcome and its programmes and sub-programmes.

The department’s 2014-15 outcome and programme structure reflects the changes resulting from the Administrative Arrangements Order of 23

December 2014, when responsibility for vocational education

and skills policy and programmes was transferred to the Department of Education and Training and small business programmes were transferred to the Department of the Treasury.

Annual Report 2014-15

PART A Chapter 1 Overview

5

Table 1: Department of Industry and Science outcome and programme structure,

2014-15

Outcome 1:

Enabling growth and productivity for globally competitive industries through building skills and capability, supporting science and innovation, encouraging investment and improving regulation.

Programme 2: Supporting Science and Innovation Programme 3: Encouraging Investment

Programme 4: Programme Support

Sub-programme 2.1: Science awareness, infrastructure and international engagement

Sub-programme 2.2: Business research, development and commercialisation

Sub-programme 3.1: Competitive marketplace

Sub-programme 3.2: Business and market development

Sub-programme 3.3: Economic transition

Sub-programme 3.4: Resources

Sub-programme 3.5: Energy

Sub-programme 4.1: Improving regulation

Sub-programme 4.2: Building a high performance organisation

Note: Programme 1: Building Skills and Capability was transferred to the Department of Education and Training as a result of the 23 December 2014 Administrative Arrangements Order. The department’s outcome and programme structure has been revised in the 2015-16 PBS.

Department of Industry and Science

PART A Chapter 1 Overview

6

Annual Report 2014-15

PART A Chapter 2 Departmental report on performance

CHAPTER 2

Departmental report on performance

Outcome 1 overview 8

Pr

ogramme 2: Supporting Science and Innovation

8

CA

SE STUDY - Synchrotron

12

CA

SE STUDY - Science and Research Priorities and STEM

13

Pr

ogramme 3: Encouraging Investment

14

CA

SE STUDY - Supporting innovation, entrepreneurship and growth

22

CA

SE STUDY - Growth Centre - Advanced Manufacturing

23

CA

SE STUDY - Energy White Paper— setting a framework for delivering competitively priced and reliable energy supply

2

4

Programme 4: Programme Support

25

CA

SE STUDY - Deregulation achieved in 2014-15

29

Financial perf

ormance

31

Department of Industry and Science

PART A Chapter 2 Departmental report on performance

8

DEPARTMENTAL REPORT ON PERFORMANCE

Outcome 1 overview The Department of Industry and Science’s vision is to enable growth and productivity for globally competitive industries. The department works with key industry organisations, employers, workers and other stakeholders to achieve this vision through supporting science and commercialisation, growing business investment and improving business capability, streamlining regulation and building a high performance organisation1.

The department’s progress towards this goal is assessed through three of the following four programmes presented in the 2014-15 Portfolio Budget Statements (PBS):

■ Programme 1: Building Skills and Capability

■ Programme 2: Supporting Science

and

Innovation

■ Programme 3: Encouraging Investment

■ Programme 4: Programme Support.

Responsibility for Programme 1: Building Skills and Capability was transferred to the Department of Education and Training as a result of the Administrative Arrangements Order of 23

December 2014. Performance information for

Programme 1 is included in that department’s annual report.

1 F ollowing the December 2014 Machinery of Government change, the department’s Outcome Statement was updated in the 2015-16

PBS

Programme 2: Supporting Science and Innovation Programme 2 aimed to facilitate science, research and innovation to deliver improved productivity and competitiveness for Australian industry. The department contributed to this objective through measures supporting the creation and utilisation of knowledge and the development of new ideas and technology that could deliver benefits

to

Australia.

Operating environment The following provides the context for —and insight into—the economic environment in which the department operates. In particular, the indicators highlighted below report on Australia’s progress in key areas that relate to

the

performance indicators for Programme 2

set out in the Department

of Industry 2014-15 PBS and the Department of Industry and

Science 2014-15 Portfolio

Additional Estimates Statements (PAES). The Australian economy is incredibly complex and interconnected. How the economy performs depends on a wide range of domestic and international factors.

Growth in the proportions of small, medium and large firms engaging in innovative activity

Analysis in the Australian Innovation System Report 2014 demonstrates the links between innovation and improvements in business, economic and export performance. This suggests that investment in innovation is an important factor in assisting firms to grow. The proportion of Australian businesses that

Annual Report 2014-15

PART A Chapter 2 Departmental report on performance

9

engage in innovative activity has increased, from 37

per

cent in 2006-07 to 48

per

cent in 2013-14.

However, Australia faces significant challenges around business collaboration on innovation, with many measures below averages for the Organisation for Economic Co-operation and Development (OECD).

Historical data and further information can be found in the department’s Industry Monitor 2015, Figures 2.6-2.9.

Growth in business investment in intangible capital

Investment in intangible capital by the private sector has generally been increasing as a share of total GDP over the past decade, although this trend has stalled in the last three years. Australia is ranked seventh out of 30 economies in terms of a healthy intellectual property (IP) environment, according to the 2015 Global Intellectual Property Center International IP Index. This is down from a ranking of fifth in 2014, despite Australia’s overall score improving slightly over this period.

More data and further information can be found in the department’s Industry Monitor 2015, Figure 2.3.

Contribution to productivity growth from changes in intangible capital investment

According to the Australian Innovation System Report 2014, intangible capital investment by business accounts for between 12

per

cent

and 20

per

cent of Australia’s average labour productivity growth.

More data and further information can be found in the department’s Industry Monitor 2015, Figure 2.3.

Growth in the value-added of knowledge-intensive industries

The knowledge intensity of an industry can be measured in several ways. Per dollar of gross value added, the manufacturing sector files more patents than any other sector. However, manufacturing gross value added has been

stagnant or contracting moderately since mid-2012. The professional, scientific and technical services sector (also a major filer of patents) has grown strongly over the past 10 years. However, more recently, the industry’s output has been tapering off.

More data and further information can be found in the department’s Industry Monitor 2015, Figure 2.1.

Growth in export values of advanced manufacturing and elaborately transformed manufactures

Data produced by the Department of Foreign Affairs and Trade shows that exports of elaborately transformed manufactures rose by 3.6

per

cent in 2014, to $28.6

billion. The majority

of this growth was in engineering products, while mineral manufactures and metals and chemicals and other semi-manufactures exports fell over the year. Elaborately transformed manufactures now account for 10.8

per cent of

total merchandise exports, up from 10.5 per cent in 2014.

Growth in income from commercialisation of research

The adjusted gross income from licences, options and assignments (LOAs) has declined from the peak recorded in 2012, despite an increase in the number of LOAs yielding income. Although this is a volatile series, the 2013 result remains below five-year and 10-year averages.

More data and further information can be found in the department’s Industry Monitor 2015, Table 2.2.

Changes in Australia’s performance in scientific research

The share of Australia’s natural science and engineering publications in the world’s top one

per

cent of highly cited publications has been increasing over time.

More data and further information can be found in the department’s Industry Monitor 2015, Figure 2.10.

Department of Industry and Science

PART A Chapter 2 Departmental report on performance

10

Performance measures and results

Table 2: Results for Sub-programme 2.1: Science awareness, infrastructure and international engagement

Contributing component Performance measure (quantitative) 2014-15 estimate 2014-15

actual

Asialink Business Number of courses run on Asia

Capability Development

5 17

Number of events held promoting and building Asia capabilities

50 111

Australian Astronomical Observatory (AAO) Number of research students supervised or funded by the AAO

39 41

Number of users accessing AAO research facilities to facilitate and support research activities: (1) AAO Telescope (Australian); (2) international 8 metre access (Overseas)

250 1781

80 88

Number of international visitors supported by the AAO Distinguished Visitor Scheme 4 4

Number of international conferences and workshops supported by AAO 3 4

Australia-China Science and Research Fund; International Education and Training (Australia-India Strategic Research Fund)

Number of collaborative research projects completed that reported strengthened international relationships 54 502

Science for Australia’s Future Number of participants in activities that promote science based careers 4 740 000 4 309 3003

Square Kilometre Array Radio Telescope Project Number of Australian companies/ research institutions participating

in the SKA Pre-Construction Work Programme

7 7

SKA = Square Kilometre Array 1 T

he number of users is lower than expected mainly due to the relatively small size of the research teams that were a

warded time on the telescope.

2

F

our projects received extensions and will be finalised in the 2015-16 financial year.

3

Some of the individual ac

tivities within the Science for Australia’s Future budget measure are still in their in

fancy stages.

Annual Report 2014-15

PART A Chapter 2 Departmental report on performance

11

Table 3: Results for Sub-programme 2.2: Business research, development and commercialisation

Contributing component Performance measure (quantitative) 2014-15 estimate 2014-15

actual

Cooperative Research Centres (CRCs) Programme Number of commercialisation agreements reported by the CRCs

174 -2

Number of patents held/maintained by the CRCs 877 -2

Number of applications for patents filed by the CRCs 85 -2

R&D Tax Incentive1 R&D expenditure registered in order to claim the tax incentive or tax concession through annual tax returns ($bn)

-3 18.44

Number of entities registering R&D expenditure with AusIndustry in order to claim the tax incentive or tax concession through their annual tax returns

-3 13 6604

1 R evenue forgone programme.

2 T

he 2014-15 actuals will not be available until after 31 October 2015, following the submission of each CRC annual r

eport.

3

T

he department does not have forward estimates for the R&D Tax Incentive programme.

4

T

he 2014-15 actual data are as reported at 30 June 2015; full-year figures are not available until 31 October 2015.

Department of Industry and Science

PART A Chapter 2 Departmental report on performance

12

Since 2013, the Australian Nuclear Science and Technology Organisation (ANSTO), through a wholly owned subsidiary, has operated the Synchrotron, driving efficiencies, increasing industry use and maintaining a world-class facility that supports high-quality research.

In 2015, the Australian Government committed $20.5

million to support Synchrotron operations in 2016-17. It is anticipated that the Victorian Government will contribute $8

million and

New Zealand will assist with 2016-17 operating costs, subject to the New Zealand Government and New Zealand research users agreeing to funding arrangements.

Funding has been secured to ensure key research activities continue and to allow the government time to consider long-term funding and ownership arrangements once the outcomes of the Research Infrastructure Review, being led by the Department

of

Education

and

Training,

are known.

The department will continue to work closely with ANSTO, drawing on its significant expertise as operator and user of the facility, to finalise arrangements for the future ownership and funding of the facility.

The Synchrotron facility and work undertaken to date clearly support the government’s goals, including those of supporting science and commercialisation, growing business investment and innovation, improving competitiveness and driving productivity gains.

CASE STUDY

Synchrotron The Australian Synchrotron, owned by the Australian Synchrotron Holding Company Pty Ltd, is one of the country’s most important research infrastructure platforms. It is a third generation particle accelerator that produces highly intense sources of light, ranging from infrared to hard x-rays. This light is used by researchers to examine the atomic structure of materials.

It is unique in the breadth of research it supports, servicing a diverse user community to deliver groundbreaking discoveries spanning mining, health, manufacturing, food security, the environment, energy and bio-security and delivers real-world outcomes.

For example, Synchrotron research directly contributes to the efficiency and effectiveness of Australia’s health industry by enabling earlier diagnosis and more effective treatment of a range of health conditions, including coeliac disease, malaria, influenza, inflammatory diseases such as tuberculosis, HIV-AIDS, and leukaemia. This means the Synchrotron contributes to better health outcomes and reduced costs to individuals and the health system.

Access to the Synchrotron has also facilitated collaboration between the research and business sectors, delivering innovation and productivity gains, to enhance the competitiveness of businesses involved.

Annual Report 2014-15

PART A Chapter 2 Departmental report on performance

13

One of the recommendations made by Professor Chubb to improve Australia’s STEM performance was for the adoption of science and research priorities that would support Australia’s needs and draw on our comparative advantages. Professor Chubb, in consultation with researchers, industry leaders and government representatives, developed a set of research priorities:

■ food

■ soil and water

■ transport

■ cyber security

■ energy

■ resources

■ advanced manufacturing

■ environmental change

■ health.

The consultation process also identified specific areas of focus for each priority area. The science and research priorities will help to ensure that appropriate levels of funding are allocated to research that addresses Australia’s immediate needs, without excluding basic research.

The science and research priorities were considered by the Commonwealth Science Council in April 2015 and adopted by the Australian Government in May 2015. Further information on the science and research priorities, and the government’s broader efforts on science, can be found on the Australian Government Science website (www.science.gov.au).

CASE STUDY

Science and Research Priorities and STEM Science is fundamental to Australia’s prosperity and underpins the lives and daily activities of all Australians. Australian science also contributes to expanding global knowledge and improving the lives of people all over the world. The Department of Industry and Science worked closely with Australia’s Chief Scientist, Professor Ian Chubb AC, throughout 2014-15 to ensure that Australia’s science and research capability and effort are among the best in the world.

Professor Chubb identified key areas for improvement in Australia’s science, technology, engineering and mathematics (STEM) effort in the September 2014 report Science, technology, engineering and mathematics: Australia’s future, with a focus on the areas of Australian competitiveness, education and training, research and international engagement.

The department worked with other government departments to develop a set of actions in response to the recommendations in the report and, in June 2015, released the consultation paper Vision for a science nation—Responding to Science, technology, engineering and mathematics: Australia’s future to seek feedback from business, the community and the science and education sectors on the proposed actions.

Department of Industry and Science

PART A Chapter 2 Departmental report on performance

14

More data and further information can be found

in Resources and Energy Major Projects, April 2015, pages 22-23.

Growth in foreign direct investment as a percentage of GDP

Inwards foreign direct investment (FDI) declined following the global financial crisis, with the FDI share of GDP peaking at 40.9

per

cent in the

September quarter of 2007. Despite this, the inwards FDI share of GDP improved over the year, increasing from 35.0

per

cent in the June

quarter of 2014 to 37.6

per

cent in the June

quarter of 2015.

Change in the Fraser Institute investment attractiveness index (states and territories)

Australia remains an attractive option for mining investors. The Fraser Institute ranked Australian states in the top 43 of 112 regions around the world in 2013. This is an improvement from ranking in the top 58 regions in 2011. Western Australia ranked number 1 among 112 regions on overall attractiveness in 2013. Less resource-intensive states, including New South Wales, Victoria and South Australia, also have relatively favourable rankings (within the top half

of regions covered).

More data and further information can be found in the department’s Industry Monitor 2015, Table 3.1.

Change in the ranking position in the International Trade Centre Trade Performance index

Australia’s average ranking in the International Trade Centre’s Trade Performance Index was 44 out of around 180 countries in 2013. This was down from an average ranking of 42 in the previous year. The overall composite ranking is calculated as a simple average of the rankings across 14 different sectors, based on five criteria: value of net exports, per capita exports, world

Programme 3: Encouraging Investment Programme 3 aimed to encourage investment and build the future of Australia’s industry. The department’s contribution to this objective was through measures that support the formation and growth of new or existing businesses to ensure Australia has a diversified, flexible and dynamic economic base that successfully competes in existing markets, and allows access to global markets.

Operating environment The following provides the context for—and insight into—the economic environment in which the department operates. In particular, the indicators highlighted below report on Australia’s progress in key areas that relate to the performance indicators for Programme 3 set out in the Department of Industry 2014-15 PBS and the Department of Industry and Science 2014-15 PAES. The Australian economy is incredibly complex and interconnected. How the economy performs depends on a wide range of domestic and international factors.

Growth in new private sector capital expenditure

Total private investment has peaked, but remains high by historical standards.

More data and further information can be found in the department’s Industry Monitor 2015, Figure 3.1.

Growth in expected investment, particularly in resources and energy

Most forecasters and commentators point to declining investment going forward. This is driven by an overall drop in expected resources and energy investment, as commodity prices continue to fall and the mining sector transitions from the investment phase to the production phase.

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Imports of goods and services are also at relatively high levels, at around 20

per

cent

of GDP. This is down slightly from the peak of around 22

per

cent in 2011.

Historical data and further information can be found in the department’s Industry Monitor 2015, Figures 1.9 -1.10.

market share, diversification of products and diversification of markets.

Change in exports and imports as a percentage of GDP

Exports of goods and services are at high levels, accounting for around 21

per

cent of GDP. Total

exports have increased over time, particularly due to increasing goods exports. Services exports have remained relatively steady over the past decade.

Performance measures and results

Table 4: Results for Sub-programme 3.1: Competitive marketplace

Contributing component Performance measure (quantitative) 2014-15 estimate 2014-15

actual

Certain Inputs to Manufacture1; Enhanced Project By-law Scheme1; Space Concession1; Tradex1

Number of new duty and/or tax registrations for CIM, EPBS and Space Concession 14 9

Number of active Tradex Order users 640 640

Total value of duty and/or tax concessions to eligible firms ($’000) 294 000 485 9242

Textile Clothing and Footwear—Register of Approved Occupational Clothing1

Proportion of registrations within 30 days of complete information being provided (%) 90 100

Contributing component Performance measure (qualitative) 2014-15 result

Support for Industry Service Organisations Memberships of key international standardisation and conformity

assessment bodies maintained

Achieved

CIM = Certain Inputs to Manufacture, EPBS = Enhanced Project By-law Scheme 1 R

evenue forgone programme.

2

T

he higher than expected value of duty is related to the higher than expected value of imports which is primarily as a r

esult of several large EPBS projects nearing completion, e.g. Gorgon Gas Development Project by Chevron

A

ustralia (gas production), Ichthys Project by INPEX Operations Australia (gas production), Wheatstone Project by

Che

vron Australia (gas production) and Sino Iron Project by CITIC Pacific Mining Management (magnetite iron ore).

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Table 5: Results for Sub-programme 3.2: Business and market development

Contributing component Performance measure (quantitative) 2014-15 estimate 2014-15

actual

Entrepreneurs’ Infrastructure Programme1 Number of services provided to strengthen business management and networks,

enhance research collaborations and facilitate the commercialisation of novel products, processes and services2

30402 3398

Contributing component Performance measure (qualitative) 2014-15 result

Expediting Clinical Trial Reform in Australia3 Establishment of an interactive clinical trials web portal and a framework for education

and training of governance for clinical trials

A Clinical Trials Advisory Committee was established to provide stakeholder advice on the clinical trials reform work.

The interactive portal project is expected to be finalised by the end of 2015.

The department commissioned Swinburne University to develop and deliver the vocational education and training (VET) accredited course, which has now received accreditation and is currently being piloted.

Leveraging Australia’s Global Expat Platform—Advance3 Project milestones are achieved and appropriate reports are submitted

Achieved

1 No w known as the Entrepreneurs’ Programme.

2 T

he performance measure and the 2014-15 estimate set out in the 2014-15 PAES for the Entrepreneurs’ Programme w

ere updated in April 2015 to better reflect the intent of the performance measure and changes in the design of the pr

ogramme.

3

T

he programme was identified as closed/closing in the 2014-15 PBS.

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Table 6: Results for Sub-programme 3.3: Economic transition

Contributing component Performance measure (quantitative) 2014-15 estimate 2014-15

actual

Australian Government Innovation and Investment Fund (Tasmania)

Induced private sector investment in new or expanded business activity ($’000) 5000 5000

Automotive Diversification Programme Induced private sector investment in new or expanded activity by the Australian automotive

supply chain ($’000)

5000 30801

Automotive Transformation Scheme2 Total value of plant and equipment and innovation investment by Australian automotive industry

induced by the Automotive Transformation Scheme ($’000)

819 837 602 9874

Manufacturing Transition Programme Induced private sector investment in new or

expanded business activity ($’000) 10 000 13 8995

Next Generation Manufacturing Investment Programme Induced private sector investment in new or

expanded business activity ($’000)

- 06

Regional Infrastructure Programme Induced private sector investment in infrastructure to enhance economic activity in the region ($’000)

- -7

Toyota Major Facelift Vehicle Grant2; Toyota Supplier Development Programme Grant2

Total amount of investment by Toyota induced by the grants ($‘000) 50 700 50 700

Victorian Innovation and Investment Fund—Ford assistance2,3

Number of jobs created from projects 35 175

Amount of private sector investment induced by

the Victorian Innovation and Investment Fund—Ford assistance ($’000) 70 000 49 707 8

1 R ound 1 was finalised later than expected. Some funding offers were declined and some project spending was undertak

en by grantees more slowly than anticipated.

2

T

he programme was identified as closed/closing in the 2014-15 PBS.

3

T

he Victorian Innovation and Investment Fund incorporates the Geelong Region Innovation and Investment Fund and the Melbourne’

s North Innovation and Investment Fund. For reporting purposes, the two elements of the Fund ar

e reported as one (the Victorian Innovation and Investment Fund).

4

T

he 2014-15 actual result is $216

million (26%) below the original industry forecast and is a result of reduced in

vestment activities by scheme participants consistent with recent developments in the Australian aut

omotive industry.

5

T

he total amount of private sector investment induced was higher than expected due to some grantees contributing mor

e than the minimum 75%.

6

T

he programme will not start to induce private sector investment until 2015-16.

7

Deliv

ery arrangements are still being negotiated with the South Australian and Victorian governments.

8

T

he total amount of private sector investment induced was lower than expected due to the termination of t

wo larger projects and some other grantees’ projects proceeding more slowly than anticipated.

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Table 7: Results for Sub-programme 3.4: Resources

Contributing component Performance measure (quantitative) 2014-15 estimate 2014-15

actual

Offshore Minerals Act 1994 Percentage of offshore minerals titles administered within the regulatory requirements (%) 100 100

Low Emissions Technology Demonstration Fund1 Number of companies investing in innovation supported through the Low Emissions

Technology Demonstration Fund

1 1

National Low Emissions Coal Initiative1 Number of projects supported for the development and deployment of low

emission coal technologies

8 8

Contributing component Performance measure (qualitative) 2014-15 result

Petroleum Royalties Administration

Timely and accurate delivery of audit and monthly administration and verification of royalties

Achieved

NT Uranium Royalty (Ranger Project Area) Administration (including SPP)

Efficient and effective biannual collection, payment and reconciliation of uranium royalties

Achieved

Royalty Payments WA— Offshore Petroleum and Greenhouse Gas Storage Act 2006 (SPP)

Timely and accurate calculation, verification and advice to the Commonwealth Treasury of the amount payable to Western Australia

Achieved

Maralinga Maintenance Effective management of the Maralinga section 400: (1) The Maralinga board is satisfied with the maintenance of the Maralinga area; (2) Maintenance activities are completed on time and to plan

Achieved.

Specific achievements in 2014-15 included:

■ establishing a new

Radiation Monitoring and Assessment of Radiation Safety Plan

■ maintaining

rehabilitation works

■ providing support for

Maralinga Tjarutja’s tourism venture.

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Contributing component Performance measure (qualitative) 2014-15 result

Radioactive Waste Management

Effective delivery of activities supporting the government’s radioactive waste management strategy

Achieved.

The department:

■ provided advice to

support the Minister’s decision to open a nationwide voluntary site nomination process

■ established an

independent advisory panel and developed a site assessment framework

■ called for and

assessed possible nominations.

Rum Jungle Mine Site— Environmental Rehab (SPP) Effective delivery of scheduled activities for the Rum Jungle Mine Site Rehabilitation

Project

Achieved

Syntroleum Depreciation The Syntroleum Depreciation schedule is administered in accordance with Government agreement and no material errors are made

Achieved.

The value of the licence is nearly fully depreciated, with expiry on 29 July 2015.

1 T he programme was identified as closed/closing in the 2014-15 PBS.

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Table 8: Results for Sub-programme 3.5: Energy

Contributing component Performance measure (quantitative) 2014-15 estimate 2014-15

actual

Australian Renewable Energy Agency1 Number of projects supported to improve uptake of renewable energy

194 191

Ethanol Production Grants2 Number of eligible companies paid fuel excise reimbursements in accordance with funding agreement terms 3 3

Greenhouse and Energy Minimum Standards National Legislative Framework

Number of regulatory services to improve energy efficiency and labelling standards for appliances and other products:

(1) Number of new Product Profiles published;

5 13

(2) Number of new Consultation Regulatory Impact Statements published;

5 03

(3) Number of new products registered under the Greenhouse and Energy Minimum Standards (GEMS) Act 2012 4500 4650

Coal Mining Abatement Technology Support Package2 Number of co-funded projects developing and demonstrating

technologies funded under the Coal Mining Abatement Technology Support Package

5 5

Energy Efficiency Programmes Number of Tenancy Lighting Assessments issued 1000 923

Number of audits of Tenancy Lighting Assessments issued 50 244

Number of views of the Building Energy Efficiency Register 3000 5861

Number of Building Energy Efficiency Certificates issued 1000 1086

Number of Commercial Building Disclosure accredited assessors

200 190

Contributing component Performance measure (qualitative) 2014-15 result

Community Energy Efficiency Programme2 Improved energy management practices within councils, organisations

and the broader community through the Community Energy Efficiency Programme

CEEP activities have delivered energy efficiency gains in different technologies including street lighting, co-generation and building retrofits.

Low Income Energy Efficiency Programme2 Improved data and information to inform future policies and programmes

to make low-income households around Australia become more energy efficient

LIEEP is engaging with 20 grant recipients that are collectively trialling 70 initiatives on improving energy efficiency. The results of these activities will be collated and analysed during 2015-16.

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Contributing component Performance measure (qualitative) 2014-15 result

Charities Maritime and Aviation Support Programme (Carbon Price Deductible Gift Recipient Fund)2

Offset of the effect of carbon price increase on charities that use maritime and aviation fuels

The Charities Maritime and Aviation Support Programme was closed on 17 July 2014 in line with the repeal of the carbon tax legislation. A total of $1.87

million was

provided to 37 charities over the life of the programme. The programme ensured that charities providing maritime and aviation services were not unduly impacted by the effective carbon price on fuels, and were able to continue their services to the community.

Energy Efficiency Information Grants2 Improved access to quality energy efficiency information for small and

medium enterprises (SMEs) and community organisations:

(1) Prepare milestone and end of project reports as outlined within individual funding agreements

(2) Programme-level surveys of participating SMEs and community organisations conducted

The Energy Efficiency Information Grants programme was closed on 30 June 2015. A total of $33.24

million was paid

to 46 grant recipients over the life of the programme. The programme resulted in energy efficiency information being provided to around 650 000 small and medium businesses and community organisations. This information will help businesses and community organisations make better choices about energy use and reduce their energy costs.

1 In the 20 14-15 Budget, the Australian Government announced it intended to consolidate Australian Renewable Energy Agency with the Department of Industry and Science. As the ARENA Repeal Bill 2014 has not yet been passed, ARENA’s initiatives and programs remain open in line with the legislative requirements of the Australian Renewable Energy Agency Act 2011. The 2014-15 revised estimate and actual result take into account new projects entered into by ARENA since the May 2014 Budget. ARENA’s actual project performance is very close to the revised estimate for projects under management. ARENA prepares and releases its own Annual Report.

2

T

he programme was part of the package of “Low Carbon Communities” that were identified as closed/closing in the 2014-15 PBS.

3

Dela

ys have been experienced due to the review of the framework.

4

An additional 14 w

ere still in progress as at 30 June 2015 due to auditor delays.

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products such as innovative coffee roasting control systems and café equipment. Under the Entrepreneurs’ Programme, Coffee Roasters Australia received a 2014 Business Evaluation and a 2015 Business Growth Grant to enhance performance and growth. The company’s revenue rose 43 per cent from 2012 to 2014.

Adelaide-based horticultural services provider UrbanVirons (www.urbanvirons.com.au) is using a 2014 Research Connections grant under the Entrepreneurs’ Programme to collaborate with Melbourne University on a potentially game-changing weed-management solution.

Many Australian businesses are contacting AusIndustry to help them grow. In 2014-15, there were:

■ over 11 million unique page views of

busines s.gov.au (26 per cent increase on 2013-14) ■ 76 266 contacts comprising web chats,

emails and phone calls to 13 28 46 (40 per cent increase on 2013-14) ■ more than 66 000 followers on

business.gov.au Facebook and Twitter accounts.

CASE STUDY

Supporting innovation, entrepreneurship and growth The Single Business Service initiative announced in the 2014-15 Budget is making it easier for business to find and access government services through one website (business.gov.au), one contact centre (13 28 46) and AusIndustry’s national outreach services network.

Our services help businesses to grow, innovate and be more competitive in global markets. For example, the R&D Tax Incentive helps 12 000 businesses each year carry out around $20

billion of research and development work and the new Entrepreneurs’ Programme offers expert tailored advice and matched grants so businesses can improve processes and commercialise their inventions.

In 2015, the government announced the first $33.6

million in funding (private and government) under the Accelerating Commercialisation element of the Entrepreneurs’ Programme helping 31 businesses bring their ideas to market. One of these ideas, by AirShr (www.airshr.com.au) in Sydney, is an online platform helping drivers save, share and/or buy anything broadcast on radio - including news, talkback, advertisements and music - without touching their smartphone, but instead pressing a dashboard-mounted Bluetooth button.

On the Gold Coast, Coffee Roasters Australia (www.coffeeroasters.com.au) is another great example of an entrepreneurial small business that has accessed programmes which have helped it transform from a small-sized coffee roasting equipment specialist into a diversified global player. The R&D Tax Incentive helped the company develop and commercialise new

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The Advanced Manufacturing Growth Centre involves the use and coordination of information, automation, computation, software, sensing and networking to develop new or modify existing manufactured products and related services and inputs. It includes businesses that adopt innovative technologies or business practices to improve or develop high-value manufactured products, processes or services.

The Advanced Manufacturing Growth Centre is chaired by Mr Andrew Stevens and a small board of respected industry leaders. The Growth Centre will develop a strategy and deliver a range of activities to enhance the productivity and competitiveness of the sector, including linking Australian manufacturers with global companies and their digital supply chains; identifying skills and knowledge requirements; and presenting businesses with a pipeline of well-developed innovations which are ready to commercialise.

The Growth Centre will establish hubs around Australia to strengthen and leverage collaborative relationships. It will co-locate with several CSIRO facilities to build scale and maximise impact.

CASE STUDY

Growth Centre - Advanced Manufacturing The sector-based Industry Growth Centres Initiative, announced as part of the Industry Innovation and Competitiveness Agenda on 14 October 2014, is the centrepiece of the government’s new industry policy direction.

Initially, five Growth Centres will be established in areas of competitive advantage within the Industry and Science portfolio: Advanced Manufacturing; Food and Agribusiness; Medical Technologies and Pharmaceuticals; Mining Equipment, Technology and Services; and Oil, Gas and Energy Resources.

In 2014-15, significant progress was made in implementing the Industry Growth Centres Initiative, delivering on the government’s industry policy agenda:

■ A consultation roadshow was conducted,

involving 858 participants, with sessions in all capital cities and some regional centres, and four webinars.

■ Programme guidelines were implemented,

receiving significant praise from industry stakeholders.

■ Chairs for all Growth Centres were appointed

and assisted by the department to undertake in-depth consultation with their sectors and develop a Growth Centre plan of action.

■ The Growth Centres Advisory Committee

was established and was assisted by the department to provide the Minister with valuable strategic advice on the initiative.

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Under the Energy White Paper the government will:

■ implement priority energy market reforms

agreed by the COAG Energy Council to deliver more competition and consumer choice ■ assess competition in wholesale gas

markets through the Australian Competition and Consumer Commission to improve market transparency ■ monitor Australia’s energy security through

a national energy security assessment ■ develop a national energy productivity plan

to improve energy use, with a target of increasing Australia’s energy productivity by up to 40

per

cent

■ develop a national resources development

strategy to improve investment and competitiveness.

A market-driven and technology-neutral approach will support research, development and demonstration of energy technologies which are commercially viable. The government is also improving its energy outlook capability to enable Australia to respond quickly to major changes in the energy market. Read about the government’s vision for the energy sector at ewp.industry.gov.au.

CASE STUDY

Energy White Paper: Setting a framework for delivering competitively priced and reliable energy supply The Energy White Paper, released on 8 April 2015, sets out a policy framework for delivering a competitively priced and reliable energy supply to households, business and international markets through:

■ increasing competition to keep prices down

■ increasing energy productivity to

promote growth ■ investing in Australia’s energy future.

Australia depends on the delivery of a competitively priced and reliable supply of energy, whether it is electricity, gas or transport fuels. Australian households and businesses have enjoyed relatively low-cost energy due to our abundant resources, but the energy market has changed considerably in recent years.

Strong growth in global energy demand, rapidly evolving technological developments and greater penetration of renewable energy are influencing how we produce, use and sell energy. Competition, productivity and investment will deliver competitively priced and reliable energy to households and business.

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Programme 4: Programme Support Programme 4 aimed to streamline regulatory settings to reduce the cost of doing business in Australia, and to provide effective and efficient administrative services and support to the department, government, industries and other stakeholders.

Operating environment The following provides the context for—and insight into—the economic environment in which the department operates. In particular, the indicators highlighted below report on Australia’s progress in key areas that relate to the performance indicators for Programme 4 set out in the Department of Industry 2014-15 PBS and the Department of Industry and Science 2014-15 PAES.

Quality of regulation (via OECD reviews)

The last OECD review of regulatory reform for Australia was published in 2010. This review highlighted the importance of continued regulatory improvements, particularly in the area of streamlining regulations to reduce duplicative and burdensome regulations. The OECD’s latest economic survey of Australia, published in 2014, suggested that taxation, competition and deregulation are areas for regulatory reform.

The World Bank Group publishes annual rankings of the “ease of doing business”. In 2015, Australia ranked tenth out of 189 economies, unchanged from the previous year.

More data and further information can be found in the department’s Industry Monitor 2015, Figure 4.1 and Table 4.2.

Business and government satisfaction with delivery of regulation reform

The department has undertaken a range of initiatives to help ensure business and government satisfaction with the delivery of regulation reform. The portfolio achieved a reduction of $205.67

million in the compliance

burden in 2014. The department developed the Industry Officer’s Guide to Regulation Reform to help policy-makers improve the way in which regulation is developed or reformed. The Best Practice Regulation Coordinator helps policy-makers and regulators in the portfolio to develop best practice regulation. The department’s website features a suggestion box for business stakeholders to advise the department of any regulation reform opportunities. Also, the department developed the Regulation Reform Agendas Guide for Growth Centres in consultation with Australian Government agencies, the Growth Centres Advisory Committee, industry groups and state and territory governments to assist growth centres.

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Performance measures and results

Table 9: Results for Sub-programme 4.1: Improving regulation

Contributing component

Performance measure (qualitative) 2014-15 result1

Regulatory policy advice Provision of high-quality, timely and strategic industry policy advice

to support the Government’s deregulation agenda

The department provided advice to support a net portfolio contribution of $205.67

million in reduction of regulatory burden to the government’s deregulation agenda in 2014.

Regulatory programme delivery Effective and efficient delivery of programmes that support the

Government’s deregulation agenda

The department’s Single Business Service, which commenced in 2014, is a key mechanism to help business interact more efficiently and effectively with departmental programmes.

Portfolio Regulatory Reform Successful implementation of Portfolio Regulatory Reform

The portfolio achieved a net regulatory reduction for business of $205.67

million

in 2014.

1 T he 2014-15 result reported here is for 2104 calendar year only. Additional performance information for this sub-pr

ogramme can also be found in the Industry and Science Portfolio Annual Deregulation Report 2014.

Table 10: Results for Sub-programme 4.2: Building a high performance organisation

Contributing component Performance measure (qualitative) 2014-15 result

General policy advice on matters impacting on industry

Provision of high-quality, timely and strategic industry policy advice to the Minister

Significant achievements in 2014-15 include:

■ implementation of key elements of the

Australian Government Industry Innovation and Competitiveness Agenda such as the Manufacturing Transition Programme and the Industry Growth Centres Initiative

■ promotion of solutions that improve Australia’s

industrial competitiveness through white papers and programme design

■ preparation and release of the Energy White

Paper, which sets out an integrated and coherent Australian Government position on energy policy

■ development and release of the Domestic

Gas Strategy, which identifies the onshore unconventional gas industry as an important energy resource for domestic use and for export and articulates the Australian Government’s role in supporting the responsible development of these resources for the benefit of Australians

■ release of the Australian Industry Report 2014,

which provides an overview and analysis of the major economic factors affecting Australia’s industries.

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Contributing component Performance measure (qualitative) 2014-15 result

General programme delivery designed to have a positive impact on industry

Effective and efficient delivery of programmes that support government industry policy

Significant achievements in 2014-15 include:

■ launch of the Single Business Service initiative,

which enables Australia’s 2.1

million businesses

and business intenders to access the essential information and services they need to start, run and grow their operation

■ improved programme design and delivery of

Australian Government programmes through the AusIndustry centre of excellence

■ delivery of the Entrepreneurs’ Programme,

including procurement of a business advisory network and engagement of commercialisation advisers

■ design and implementation of the Industry

Growth Centres Initiative, which will lift competitiveness and productivity by focusing on areas of competitive strength and help Australian industries transition into smart, high-value, export-focused industries

■ implementation of the Growth Fund to support

employees, businesses and regions affected by the closure of car manufacturing operations in 2017 and the Manufacturing Transition Programme to assist businesses to become more competitive and sustainable

■ contribution to the Digital Transformation

Agenda, which is transforming government service delivery to better meet the needs of Australians.

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Contributing component Performance measure (qualitative) 2014-15 result

Corporate, human resource, financial and ICT services

Effective and efficient provision of corporate, financial and ICT services

Significant achievements in 2014-15 include:

■ implementation and continuous improvement

of the new corporate service delivery framework and processes that support the delivery of business outcomes at a lower overall cost to the department and allow end-to-end financial processes to be streamlined and standardised across the department

■ development and implementation of an action

plan to build a high performance organisation through common vision, value adding, strong leadership, engaged staff, collaboration and innovation, and enhanced structure, systems and processes

■ maintenance of our investment in developing

staff capability, with continued high levels of participation in our learning and development programmes

■ the engagement of 39 graduates to grow our

future workforce

■ investment in data infrastructure, including the

development of the Lighthouse Data Analysis Portal to provide evidence-based advice and the capability to effectively deliver the government’s reform agenda

■ streamlining of the department’s financial

framework to reflect the new principles-based approach for resource management as per the Public Governance, Performance and Accountability Act 2013.

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Our streamlined services have made it easier for businesses to gain the information they need. For the 12 months since consolidating our websites and contact centres on 1

July

2014,

there were over 11

million unique page views

of the business.gov.au website, which was a 26

per

cent increase compared to the same period in the previous 12 months. In addition, there were over 77 000 contacts with the contact centre, which is a 40

per

cent increase

compared to the same period in the previous 12 months.

SmartForms are another practical way we are helping to reduce the regulatory burden on business. We know that paper forms can create a lot of red tape for business and a lot of unnecessary administration for government agencies. That is why we have embraced electronic SmartForms, as they are interactive, dynamic and accessible through a range of electronic devices that businesses are increasingly using today, such as desktops, tablets and smartphones. The application of SmartForms is not only helping businesses but also increasing efficiency within our department and other federal, state and local government

agencies.

In the case of the Australian Government’s R&D Tax Incentive, for example, moving programme forms online has benefited both businesses and the department. The cost savings to businesses from this streamlined process are estimated to be $57 per form submission. Based on an average of 13 500 registration applications per year, this translates to annual savings to businesses of approximately $769 500. The department also benefits from the reduced effort in receipting, validating and processing submitted forms.

CASE STUDY

Deregulation achieved in 2014-15 In 2014-15, we worked hard to reduce red tape for businesses so they can spend less time dealing with regulation and more time growing.

We understand that there is a cost to businesses when they have to comply with the administrative processes of government. That is why we are listening to feedback and changing current practices to give businesses more time to grow and be competitive. This is being achieved through:

■ easier and quicker access through

AusIndustry’s streamlined services, which means businesses can get customised information and services that can assist them to grow and be smarter and more competitive in the global market ■ more practical methods for businesses

to fill in forms online, which saves them time and money ■ a better partnership between government

and business and improved interactions that can lead to greater business outcomes.

We are making it easier for businesses to access government services through AusIndustry—the Australian Government’s specialist business programme delivery service in the Department of Industry and Science.

It is important that Australian businesses can connect easily to business-orientated programmes and services offered by the government. Our universal offering enables this through one website (business.gov.au), one contact centre (13 28 46) and AusIndustry’s national outreach services network.

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guidance on how they can meet their reporting obligations. The investigations helped the department to understand how it can assist business to better adhere to the requirements of government grant agreements. Simple cost-effective changes such as these can benefit both grant recipients and government, by making programmes more accessible and helping the parties understand their obligations better.

We also want to ensure that businesses are complying with the obligations of government grants so that no unnecessary burdens are placed on them when they

are receiving our

services. In 2014-15, we began looking closely at how people make their choices and testing small changes in the way the choices are presented.

Earlier this year, the department conducted investigations with businesses receiving grants. These investigations highlighted that we need to simplify our communications with business and provide clear and timely information and

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Expenses

During the year the department administered programmes on behalf of the government, including:

■ $225.5 million in grants to facilitate science,

research and innovation to deliver improved productivity for Australian Industry ■ $234.5 million in grants to support

the development and growth of Australian industry ■ $83.6 million in grants to support the safe

and sustainable operations of the resources sector, attract private sector investment and encourage innovative technologies ■ $59.8 million in grants to support the safe

and sustainable operations of energy markets and improve Australia’s energy performance and productivity ■ $79.8 million in personal benefits to provide

vocational education and training apprentice income for the Australian Apprenticeships Incentive Program2 ■ $69.3 million in grants to enable growth

and productivity of globally competitive industries through vocational education and training2 ■ $1,222.2 million in payments to the

portfolio’s corporate Commonwealth entities, the Commonwealth Scientific and Industrial Research Organisation, the Australian Renewable Energy Agency, the Australian Nuclear Science and Technology Organisation, the Australian Institute of Marine Science and the National Offshore Petroleum Safety and Environmental Management Authority.

2 The department administered these programmes up

until 23 December 2014, when they transferred to the Department of Education and Training.

Financial performance

Financial Performance - Departmental

Operating result

Excluding depreciation and amortisation, the department recorded an operating surplus of $2.4 million in 2014-15.

After taking into account depreciation and amortisation of $43.7 million, the department recorded an operating loss of $41.3 million for 2014-15. This reflects the introduction of the cash appropriation arrangements where appropriation for depreciation and amortisation expenses ceased. Entities now receive a separate capital budget provided through equity appropriations.

Financial Sustainability

As at 30 June 2015, the department reported net equity of $228.2 million.

The department has sufficient financial assets to pay its supplier and other payables as and when they fall due. Non-financial assets consist mainly of property (buildings and fit-out), plant and equipment owned by the department.

Financial Performance - Administered

Income

Administered revenue largely relates to royalty revenue ($1,384.1 million), dividends issued by Snowy Hydro Limited ($20.2 million), levy receipts generated by the National Offshore and Petroleum Safety and Environmental Management Authority ($36.2 million) and registration fees generated by the National Offshore Petroleum Titles Administrator ($10.4 million).

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Annual Report 2014-15

PART A Chapter 3 Departmental management and accountability

CHAPTER 3

Departmental management and accountability

Corporate governance 34

F

raud control

34

Ex

ternal scrutiny

34

Managemen

t of human resources

3

5

Work health and safety

3

5

National Disability Strategy

3

5

Purchasing

36

Consultants and contracts

36

Gr

ant programmes

36

In

formation Publication Scheme

36

A

dvertising and market research

36

E

cologically sustainable development and environmental performance

3

7

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34

DEPARTMENTAL MANAGEMENT AND ACCOUNTABILITY

Corporate governance The department’s corporate governance practices define how the department delivers its outcome and programme responsibilities and controls its business, both internally and

externally.

During 2014-15, the department’s governance committee structure comprised:

■ an Executive Board supported by the

Assurance and Audit Committee ■ three supporting committees—the

Operational Frameworks Committee, the ICT

Strategy Committee, and the Programme Evaluation and Governance Committee.

The department’s governance practices comply with all statutory requirements and are regularly reviewed to ensure they remain relevant and

effective.

The department’s planning and risk management processes are closely integrated. Business plans for divisions are prepared annually and detail how the strategic priorities set out in the department’s Strategic Plan 2015-19 will be achieved and how any major risks will be managed.

The department used a quarterly traffic light reporting system to keep the Executive (and the Minister, where appropriate) informed of the status of key deliverables and organisational health metrics.

Fraud control The department’s fraud control framework is

consistent with best practice standards and provides assurance that fraud control strategies are robust. Its approach includes ongoing fraud awareness training for all staff. As

required by

the Commonwealth Fraud Control Framework, the department has a fraud control plan which details fraud prevention, detection, investigation and reporting procedures. Officers responsible for fraud control and investigation hold the qualifications detailed in the Australian Government Investigations Standards and the Commonwealth Fraud Control Framework.

External scrutiny During 2014-15, the department appeared at several parliamentary committee hearings, including budget supplementary estimates hearings on 21 and 22 October 2014, additional

estimates hearings on 25 and 26

February 2015, and budget estimates hearings

on 3

and

4

June

2015.

During 2014-15, the department was directly

involved in Australian National Audit Office (ANAO) audits that resulted in the following reports:

■ The Award of Grants Under the Clean

Technology Program ■ The Ethanol Production Grants Program

■ Procurement Initiatives to Support

Outcomes for Indigenous Australians.

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The Commonwealth Ombudsman released a report in March 2015 regarding two complaints in relation to applications made under the Australian Apprenticeships Incentives Programme (AAIP) when that programme was

administered by the former Department of

Industry, Innovation, Climate Change, Science, Research and Tertiary Education. Administration of AAIP transferred to the Department of Education and Training on 23 December 2014. Consequently the report’s recommendations were directed to that department.

Management of human resources The department’s Workforce Plan 2015-2017 incorporates strategies to manage resources and build capability. To help the Senior Executive Service (SES) to better lead and manage staff resources, an “HR metric dashboard” has been developed and released.

In February 2015, 480 staff were transferred to the Department of Education and Training as a result of the Administrative Arrangements Order of 23 December 2014.

The One Innovation Enterprise Agreement 2011 nominally expired on 30 June 2014. Negotiations on a new Industry and Science enterprise agreement commenced in May 2014 and are continuing. Until a new agreement is established, the terms and conditions prescribed in the One Innovation Enterprise Agreement 2011 will

continue to apply.

The department delivered a range of capability development programmes, including a focus on written communication with the inclusion of Essential Writing Skills and Writing for Government and the Minister. Also included in the suite of offerings were more technical courses such as Economics for Non-Economists.

As well as general capability development, the department continued to deliver a range of management and leadership programmes, including the Management Action Program and

the new Management to Leadership Program. The department also offered a range of opportunities for high-potential staff, including the Career Development Program and the Scholarship Award Program.

The department introduced a two-year Graduate Development Programme that incorporates a Graduate Certificate in either Economics or Management in the second year. The development programme is designed to give graduates skills and capabilities required to meet the challenges of

working in the Australian Public Service.

The department’s workforce statistics tables can

be found at Appendix A3.

Work health and safety The department introduced a revised work health and safety (WHS) management system in 2014-15. The system comprises a series of policies and procedures, guidelines and checklists to ensure the department continues to manage WHS risks and WHS operations in a

systematic, planned and documented manner.

Eight incidents during the year were deemed notifiable under section 38 of the Work Health and Safety Act 2011 and reported to Comcare.

No investigations or notices (improvement and / or prohibition) were undertaken or issued under Part 10 of the Work Health and Safety Act 2011.

National Disability Strategy The National Disability Strategy 2010-2020 sets out a ten-year national policy framework to improve the lives of people with disability, promote participation and create a more inclusive society. A high level two-yearly report will track progress against each of the six outcome areas of the strategy and present a picture of how people with disability are faring. The first of these reports will be available in late 2015, and can be found on the Department of

Social Services website (www.dss.gov.au).

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effectiveness of department programmes. The decision to engage a consultant is made in accordance with the Public Governance, Performance and Accountability Act 2013 (PGPA

Act) and related regulations, including the

CPRs and the department’s AAIs.

Information on the value of contracts and consultancies is available on the AusTender website (www.tenders.gov.au).

During 2014-15, the department entered

into

six

contracts, to the value of

$1

016

130.50

(GST inclusive), which were exempted from being published on AusTender on the basis that to publish them would disclose exempt matters under the Freedom of Information Act 1982.

Grant programmes Information on grants made by the department during the period 1 July 2014 to 30 June 2015 is available on the department’s website (www.industry.gov.au/AboutUs/ LegalandLegislativeReporting/Grants).

Information Publication Scheme The department’s Information Publication Scheme information can be found on the department’s website (www.industry.gov.au/ AboutUs/InformationPublicationScheme).

Advertising and market research The department’s advertising and marketing payments are shown at Appendix A4. These figures exclude payments of $12 565 (GST inclusive) or less.

Purchasing During 2014-15, the department undertook its procurement in accordance with the Commonwealth Procurement Rules (CPRs) and

the requirements of its Accountable Authority Instructions (AAIs). In accordance with the CPRs, the department published its Annual Procurement Plan on AusTender to give prospective suppliers the

opportunity to prepare

for potential work with

the department.

The department supports small business participation in the Australian Government procurement market. Participation statistics are available on the Department of Finance website (www.finance.gov.au /procurement/statistics-on-commonwealth-purchasing contracts/).

Consultants and contracts During 2014-15, 150 new consultancy contracts were entered into involving total actual expenses of $6 692 241 (GST inclusive). In addition, 36

ongoing consultancies were active during the

year, involving total actual expenses of $1

748

203 (GST inclusive). Consultancy expenses for 2014-15 have been derived on an accrual basis and include contracts valued at less than $10 000.

The department engages individuals and companies to provide professional services under contracts for service, taking account of the skills and resources required for the task, the skills available internally and the cost effectiveness of these options. Consultants are typically engaged to investigate or diagnose a defined issue or problem; carry out defined reviews or evaluations; or provide independent advice, information or creative solutions to assist

in the

department’s decision-making. Some examples include the provision of complex legal advice, the engagement of technical experts to assist with awarding technical research grants and independent evaluations to determine the

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Ecologically sustainable development and environmental performance In accordance with Section 516A of the Environment Protection and Biodiversity Conservation Act 1999, the report on how the department’s activities accord with and contribute to the principles of ecologically sustainable development and environmental performance can be found on the department’s

website (www.industry.gov.au).

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Annual Report 2014-15

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CHAPTER 4

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Independent auditor’s report 40

Statement by the Secretary and Chief Financial Officer 42

Financial statements 43

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PART A Chapter 5 Departmental appendices

CHAPTER 5

Departmental appendices

Appendix A1: Agency resource statement 2014-15 1

42

Appendix A2: Expenses and resources for 2014-15

144

Appendix A3: W

orkforce statistics

146

Appendix A4

: Advertising and

market research

150

Appendix A5: Reports addressing special legislative requirements

151

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DEPARTMENTAL APPENDICES

Appendix A1: Agency resource statement 2014-15

Actual available

appropriations for 2014-15 ‘$000

Payments made 2014-15 ‘$000

Balance remaining 2014-15 ‘$000

1/ Ordinary Annual Services Departmental appropriation

Prior year departmental appropriation 66,928 65,514 1,414

Departmental appropriation 536,546 427,301 109,245

s. 75 adjustments (34,359) (34,359)

s. 74 receipts 60,996 60,996 -

Total 630,111 553,811 76,300

Administered expenses

Outcome 1 2,557,861 1,601,520

P

ayments to corporate Commonwealth entities 943,177 941,478

T

otal 3,501,038 2,542,998

T

otal ordinary annual services 4,131,149 3,096,810

2/ Other services Departmental non-operating

Equity Injections 12,736 4,107 8,629

Total 12,736 4,107 8,629

Administered non-operating

A

dministered Assets and Liabilities - 9,036

P

ayments to corporate Commonwealth entities - non-operating

96,439 96,439

T

otal 96,439 105,475

T

otal other services 109,175 109,582  

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Actual available

appropriations for 2014-15 ‘$000

Payments made 2014-15 ‘$000

Balance remaining 2014-15 ‘$000

3/ Special Appropriations Special appropriations limited by criteria/ entitlement

T

rade Support Loans Act 2014 22,

049

Special appr

opriation limited by amount

T

extile, Clothing and Footwear Investment and Innovation Program Act 1999

2

4,251

A

utomotive Transformation Scheme Act 2009 25

1,757

O

ffshore Minerals Act 1994 -

A

ustralian Renewable Energy Agency Act 2011 2

44,493

O

ffshore Petroleum and Greenhouse Gas Storage Act 2006

36,

193

T

otal special appropriation 578,743  

Special Accounts

Opening balanc

e 160,750

Appr

opriation receipts 36,833

Non appr

opriated receipts to special accounts 43,129

P

ayments made 82,290

Closing balanc

e 158,

422

Total Resourcing and Payments 4,481,036 3,867,424

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Appendix A2: Expenses and resources for 2014-15

Outcome 1: Enabling growth and productivity for globally competitive industries through building skills and capability, supporting science and innovation, encouraging investment and improving regulation

Budget 2014-15 $’000

Actual 2014-15 $’000

Variation 2014-15 $’000

Programme 1: Building Skills and Capability Administered expenses

Ordinary Annual Services (Appropriation Act Nos. 1 and 3) 853,435 853,408 27 Other Services (Appropriation Act Nos. 2 and 4) 0 0 0

Special Appropriations 0 0 0

Special Accounts 0 0 0

Expenses not requiring appropriation in the Budget year 0 0 0

Total for Programme 1 853,435 853,408 27

Programme 2: Supporting Science and Innovation Administered expenses

Ordinary Annual Services (Appropriation Act Nos. 1 and 3) 231,995 230,821 1,174 Other Services (Appropriation Act Nos. 2 and 4) 0 0 0

Special Appropriations 0 0 0

Special Accounts 0 0 0

Expenses not requiring appropriation in the Budget year 0 0 0

Total for Programme 2 231,995 230,821 1,174

Programme 3: Encouraging Investment Administered expenses

Ordinary Annual Services (Appropriation Act Nos. 1 and 3) 447,619 405,480 42,139 Other Services (Appropriation Act Nos. 2 and 4) 0 0 0

Special Appropriations 544,585 508,636 35,949

Automotive Transformation Scheme Act 2009 251,000 239,733 11,267

Textile, Clothing and Footwear Investment and Innovation Programs Act 1999 26,304 24,409 1,895

Offshore Minerals Act 1994 10 0 10

Australian Renewable Energy Agency Act 2011 267,271 244,493 22,778

Special Accounts 122,751 102,999 19,752

Services for Other entities and trust Moneys - s78 Special Account 20,039 2,681 17,358

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Clean Energy Initiative Special Accounts - s78 Special Account

92,727 87,795 4,932

National Offshore Petroleum Titles Administrator - s80 Special Account 9,985 12,523 (2,538)

Expenses not requiring appropriation in the Budget year 1,000 3,897 (2,897) Total for Programme 3 1,115,955 1,021,012 94,943

Programme 4: Programme Support Departmental expenses

Departmental appropriation 526,428 530,231 (3,803)

Special Appropriations 0 0 0

Special Accounts 15,682 14,552 1,130

Expenses not requiring appropriation in the Budget year 42,286 44,306 (2,020) Total for Programme 4 584,396 589,089 (4,693)

Outcome 1 Totals by Appropriation Type

Administered Expenses

Ordinary Annual Services (Appropriation Act Nos. 1 and 3) 1,533,049 1,489,709 43,340 Other Services (Appropriation Act Nos. 2 and 4) 0 0 0

Special Appropriations 544,585 508,636 35,949

Special Accounts 122,751 102,999 19,752

Expenses not requiring appropriation in the Budget year 1,000 3,897 (2,897)

2,201,385 2,105,241 96,144

Departmental Expenses

Departmental appropriation 526,428 530,231 (3,803)

Special Appropriations 0 0 0

Special Accounts 15,682 14,552 1,130

Expenses not requiring appropriation in the Budget year 42,286 44,306 (2,020)

584,396 589,089 (4,693)

Total expenses for Outcome 1 2,785,781 2,694,330 91,451

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Appendix A3: Workforce statistics Table 11: Employee coverage by classification at 30 June 2015, ongoing and non-ongoing employees, Department of Industry and Science and IP Australia SES

Classification

Employment arrangement Salary range

Enterprise agreement coverage s. 24 determinations CLA coverage AWA coverage Min ($) Max ($)

APS 1 23 0 0 0 25 070 46 425

APS 2 23 0 0 0 47 336 55 676

APS 3 119 (4) 0 0 0 53 913 66 092

APS 4 250 (20) 0 0 0 60 428 79 200

APS 5 373 (29) 0 0 0 67 312 83 659

APS 6 700 (56) 0 0 0 74 196 111 039

EL 1 728 (136) 0 0 0 93 975 130 249

EL 2 351 (228) 0 0 0 111 677 217 5771

CRS 1 0 0 11 0 138 034 149 077

CRS 2 0 0 3 0 167 680 175 666

SES Band 1 0 0 63 0 170 225 226 085

SES Band 2 0 0 14 0 217 544 265 255

SES Band 3 0 0 4 0 290 032 328 266

Total 2567 (473) 0 95 0

1 Recognition of specialist skills and knowledge

APS = Australian Public Service; AWA = Australian workplace agreement; CLA = common law agreement; CRS = Chief Research Scientist; EL = Executive Level; SES = Senior Executive Service

Note: This table does not include casuals employed by the department at 30 June 2015; Numbers in brackets indicate employees whose salary is supplemented by an Individual Employment Arrangement provided under the enterprise agreement; IP Australia SES figures are included with the department’s figures to ensure non-identification of individual recipients; Geoscience Australia SES figures are included in Table 35.

Table 12: Performance payments from 1 July 2014 to 30 June 2015, Department of Industry and Science and IP Australia SES

Classification No. of recipients Aggregate ($) Average ($) Bonus payment Minimum ($) Maximum ($)

APS 1-6 2 8383 4191 4000 4383

EL 1 20 99 831 4991 3000 8567

EL 2 41 453 711 11 066 6000 18 568

CRS 1-2 0 0 0 0 0

SES Band 1 2 88 365 44 182 8511 38 191

SES Band 2-3 2 74 000 37 000 32 000 42 000

Total 67 724 290

APS = Australian Public Service; CRS = Chief Research Scientist; EL = Executive Level; SES = Senior Executive Service Note: APS 1-6 figures are combined to ensure non-identification of individual recipients. IP Australia’s SES figures are

included with the department’s figures to ensure non-identification of individual recipients.

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Table 13: Ongoing employees by classification and gender, 30 June 2014 and 30 June 2015, Department of Industry and Science

Classification

Female Male Total

2014 2015 2014 2015 2014 2015

APS 1 4 7 3 5 7 12

APS 2 33 5 33 16 66 21

APS 3 53 59 48 51 101 110

APS 4 192 139 98 70 290 209

APS 5 237 197 162 150 399 347

APS 6 456 351 326 293 782 644

EL 1 465 350 423 349 888 699

EL 2 171 135 226 191 397 326

CRS 1 2 2 11 9 13 11

CRS 2 0 0 3 3 3 3

SES Band 1 31 20 39 35 70 55

SES Band 2 7 5 15 8 22 13

SES Band 3 1 1 3 2 4 3

Secretary 1 1 0 0 1 1

Total 1653 1272 1390 1182 3043 2454

APS = Australian Public Service; CRS = Chief Research Scientist; EL = Executive Level; SES = Senior Executive Service

Note: This table does not include 133 casuals employed by the department at 30 June 2015.

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Table 14: Non-ongoing employees by classification and gender, 30 June 2014 and 30 June 2015, Department of Industry and Science

Classification

Female Male Total

2014 2015 2014 2015 2014 2015

APS 1 4 3 3 8 7 11

APS 2 3 1 3 1 6 2

APS 3 2 4 3 5 5 9

APS 4 15 30 7 11 22 41

APS 5 7 11 10 15 17 26

APS 6 13 33 16 23 29 56

EL 1 20 15 17 14 37 29

EL 2 12 5 55 20 67 25

CRS 1 0 0 0 0 0 0

CRS 2 0 0 0 0 0 0

SES Band 1 0 0 1 0 1 0

SES Band 2 0 0 0 0 0 0

SES Band 3 0 0 0 0 0 0

Secretary 0 0 0 0 0 0

Total 76 102 115 97 191 199

APS = Australian Public Service; CRS = Chief Research Scientist; EL = Executive Level; SES = Senior Executive Service Note: This table does not include 133 casuals employed by the department at 30 June 2015.

Table 15: Number of full-time and part-time ongoing and non-ongoing employees by classification, 30 June 2014 and 30 June 2015, Department of Industry and Science

Classification

Full-time Part-time Total

2014 2015 2014 2015 2014 2015

APS 1 11 20 3 3 14 23

APS 2 66 20 6 3 72 23

APS 3 97 109 9 10 106 119

APS 4 283 221 29 29 312 250

APS 5 365 336 51 37 416 373

APS 6 692 593 119 107 811 700

EL 1 783 623 142 105 925 728

EL 2 435 327 29 24 464 351

CRS 1 13 10 0 1 13 11

CRS 2 3 3 0 0 3 3

SES Band 1 70 54 1 1 71 55

SES Band 2 22 13 0 0 22 13

SES Band 3 4 3 0 0 4 3

Secretary 1 1 0 0 1 1

Total 2845 2333 389 320 3234 2653

APS = Australian Public Service; CRS = Chief Research Scientist; EL = Executive Level; SES = Senior Executive Service Note: This table does not include 133 casuals employed by the department at 30 June 2015

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Table 16: Number of full-time and part-time ongoing and non-ongoing employees by gender, 30 June 2014 and 30 June 2015, Department of Industry and Science

Gender

Full-time Part-time Total

2014 2015 2014 2015 2014 2015

Male 1443 1229 62 50 1505 1279

Female 1402 1104 327 270 1729 1374

Total 2845 2333 389 320 3234 2653

Note: This table does not include 133 casuals employed by the department at 30 June 2015.

Table 17: Ongoing and non-ongoing employees by classification and location, 30 June 2015, Department of Industry and Science

Classification ACT NSW Vic. Qld SA WA Tas. NT Overseas Total

APS 1 13 5 2 1 1 1 0 0 0 23

APS 2 12 4 5 0 0 2 0 0 0 23

APS 3 71 25 17 2 2 1 1 0 0 119

APS 4 157 46 20 7 6 11 2 1 0 250

APS 5 270 64 16 7 6 8 2 0 0 373

APS 6 428 103 94 29 14 23 7 2 0 700

EL 1 556 81 50 11 6 18 6 0 0 728

EL 2 221 68 34 9 4 11 4 0 0 351

CRS 1 0 9 1 0 0 1 0 0 0 11

CRS 2 0 3 0 0 0 0 0 0 0 3

SES Band 1 45 6 2 0 0 1 0 0 1 55

SES Band 2 11 2 0 0 0 0 0 0 0 13

SES Band 3 3 0 0 0 0 0 0 0 0 3

Secretary 1 0 0 0 0 0 0 0 0 1

Total 1788 416 241 66 39 77 22 3 1 2653

APS = Australian Public Service; CRS = Chief Research Scientist; EL = Executive Level; SES = Senior Executive Service Note: This table does not include 133 casuals employed by the department at 30 June 2015.

Table 18: Indigenous employees, 30 June 2014 and 30 June 2015, Department of Industry and Science

Employment status 30 June 2014 30 June 2015

Ongoing 19 17

Non-ongoing 0 0

Total 19 17

Note 1: T his table does not include two casuals employed by the department at 30 June 2015.

Note 2:

Se

ven trainees commenced on the pilot Indigenous Traineeship Programme in March 2015.

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Appendix A4: Advertising and market research Appendix A4 sets out GST inclusive payments the department made to external organisations for advertising or market research services in 2014-15. Payments of $12 565 or less (GST inclusive) are not reported.

Table 19: Payments for advertising and market research, 2014-15, Department of Industry and Science

Name of recipient Services Total ($)

Advertising agencies

Media Heads Coordination of National Science Week Ambassador radio

interviews and production of radio public information

messages

24 792

Direct mail

Nil Nil

Market research

AMR Interactive Developmental research to inform communication strategy for the Single Business Service 105 325

Interviews to understand the barriers to apply for the R&D

Tax Incentive

56 760

KREAB Provision of advisory service to inform the process

of

selecting a site for a national radioactive waste management facility

27 482

Newspoll Omnibus national telephone poll for the National

Science

Week

15 422

Roy Morgan Research Market research and audience segmentation project for

Questacon

78 635

Media advertising

Dentsu Aegis Network Limited trading as Isobar Development of advertising materials for the Growth Fund 29 365

Mitchell Adcorp Alliance Newspaper and online advertising for the Minister’s call for voluntary site nominations for the national radioactive waste management facility

127 032

Digital advertising for the Single Business Service launch 77 000

Advertising for the R&D Tax Incentive in Words into Action: G20 Brisbane 2014 publication 18 955

Media placement for the Growth Fund 335 382

Advertising for business.gov.au 79 999

Dentsu Mitchell Media Australia Pty Ltd Public notice press advertising for the Home Insulation Program Industry Payment Scheme

447 191

Mitchell & Partners Australia Pty Ltd Advertising for Australian Business Licence and Information

Service

49 411

Print and online recruitment advertising for position of Chief

Scientist for Australia

13 370

Universal McCann Advertising online for Australian Business Licence and Information Service 17 083

Polling organisations

Nil Nil

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Appendix A5: Reports addressing special legislative requirements Appendix A5 sets out information that the department is required to report on each year

as part of its administration of the following

legislation:

■ Australian Jobs Act 2013

■ Automotive Transformation Scheme

Act 2009 ■ Greenhouse and Energy Minimum

Standards Act 2012 ■ Offshore Petroleum and Greenhouse

Gas Storage Act 2006.

Australian Jobs Act The Australian Jobs Act 2013 commenced on 27 December 2013. The Act requires the

development and implementation of an Australian Industry Participation (AIP) plan for all Australian major projects with capital expenditure of $500 million or more, and establishes a statutory position, the Australian Industry Participation Authority (the Authority).

On 24 December 2014, the Minister for Industry and Science, the Hon Ian Macfarlane MP, appointed Ms

Yvonne

Noordhuis as the Acting

Authority on the conclusion of Mr

Grant

Wilson’s

term in the position. On 20

May

2015, the Minister

appointed Dr

Gary

Richards for a 12-month term

as the Acting Authority.

The Authority evaluates, approves and publishes summaries of AIP plans, and monitors and reports on the implementation of plans. AIP plans outline how a project developer will provide full, fair and reasonable opportunity to Australian industry to supply goods and services to a project. The Act also requires compliance reporting on each AIP plan, during the project’s construction phase and two years into the operations phase.

Operation of the Australian Industry Participation Authority

The Authority has sought to work closely with major project developers to help them better understand and meet their obligations under the Act. Major project developers, industry associations and consultants have been engaged

through:

■ one-on-one discussions and provision

of

feedback on draft AIP plans ■ publication of user guides to assist

in

completing the AIP plan templates ■ development of explanatory material such

as ‘frequently asked questions’ regarding the

provisions of the Act ■ encouraging early engagement prior

to

formal lodging of a draft AIP plan ■ communicating with major project

developers with potential obligations under

the Act

■ presenting on the Act’s requirements

at

industry events ■ an inquiry hotline.

The Authority had discussions with a range of

major project developers to raise awareness of the Act and in 2014-15 wrote to 18 project developers who were identified as possibly having obligations under the Act.

A database of current and future projects is maintained through analysis of major project information, discussions with industry and media articles. Monitoring of major project information continues as part of the awareness raising, monitoring and compliance role of the Authority. A monitoring and compliance framework has been developed.

The Authority continued to work collaboratively with major project developers to minimise the regulatory burden while achieving the intended outcomes of the Act. This included liaising with other government programme delivery areas, such as AusIndustry’s Enhanced Project By-law Scheme (EPBS) team, to minimise duplication. On 26 June 2015, new EPBS policy

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and administrative guidelines were released to remove duplication of AIP plan requirements between the EPBS and the Act. The revised guidelines streamline the administration of the EPBS to allow an AIP plan and compliance report approved under the Act to be used by businesses when applying for the EPBS.

As at 30 June 2015, the Authority had:

■ received formal notification of 21 major

projects with current or future obligations under the Act ■ received 12 draft AIP plans, of which

10

had

been approved, with two plans still

being evaluated ■ published all 12 draft AIP plan summaries

online (www.industry.gov.au/aip) within the

prescribed one-day time frame in accordance with the Act ■ received and evaluated five AIP plan

compliance reports.

Automotive Transformation Scheme Act The Automotive Transformation Scheme (ATS) aims to encourage competitive investment and innovation in the Australian automotive industry to place it on an economically sustainable footing. This is to be achieved in a way that improves environmental outcomes and promotes the development of workforce skills.

Section 27A of the Automotive Transformation Scheme Act 2009 requires the Secretary to report annually on assistance paid to ATS participants (Table 20) and the Australian automotive industry’s progress towards achieving economic sustainability, environmental

outcomes and workforce skills development (Table 21).

Table 20: Total assistance paid to ATS participants for the 12-month period ending 31 March 2015

Participants Capped assistance ($) Uncapped assistance ($) Total assistance($)

Motor vehicle producers 172 535 254 37 676 683 210 211 938

Automotive component producers

89 477 674 0 89 477 674

Automotive machine tool producers

1 779 460 0 1 779 460

Automotive service providers 356 358 0 356 358

Total 264 148 746 37 676 683 301 825 429

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Table 21: Progress made by ATS participants in achieving economic sustainability, environmental outcomes, and workforce skills development during the 12-month period ending 31 March 2015

Economic sustainability

Capability development

81 per cent of ATS participants reported increased capability through participation in change management processes, down from 82 per cent in the previous year.

Business performance

83 per cent of ATS participants reported improved business performance through increased productivity, an increase from 82

per

cent in the previous year, while 63

per cent reported that they had found new customers, down from 64 per cent in the previous year.

Environmental outcomes

Manufacturing process 84 per cent of ATS participants reported better environmental outcomes resulting from improved manufacturing processes, the same percentage as the

previous

year.

Environmentally sustainable cars 48 per cent of ATS participants reported contributing to the manufacture of more environmentally sustainable cars, down from 49

per cent in the previous year.

Workforce skills development

Applicable post-school qualifications ATS participants reported increases in all post-school qualifications within their workforces. Specifically, 33 per cent reported that their workforces had

certificate I and II qualifications (up 2 per cent), 25

per

cent had certificate III and

IV qualifications (up 2 per cent), 12

per cent had other trade qualifications (no

change), 6 per cent had diplomas or advanced diplomas (no change), and 24 per cent had bachelor degrees or higher qualifications (up 1 per cent).

Source: ATS participants’ updated business plans provided under Regulation 2.27 of the Automotive Transformation Scheme Regulations 2010.

Greenhouse and Energy Minimum Standards Act This section is prepared in accordance with section 175 of the Greenhouse and Energy Minimum Standards Act 2012 (GEMS Act). It covers the operation of the GEMS Act from 1

July

2014 to 30

June 2015.

The GEMS Act commenced on 1 October 2012 and replaced seven overlapping pieces of state and territory legislation and four state regulators with one national regulator, simplifying

the system for manufacturers and importers of regulated appliances. The GEMS Act is administered by the Department of Industry and Science through the Equipment Energy Efficiency (E3) Programme and the GEMS

Regulator.

The objectives of the GEMS Act are to promote the development and adoption of products that use less energy and result in fewer greenhouse

gas emissions. The E3 Programme seeks to drive greater energy efficiency for regulated products and ensure that consumers can make informed choices to improve energy efficiency and to reduce energy consumption and related costs and greenhouse gas emissions.

The main policy tools to achieve these objectives are mandatory Minimum Energy Performance Standards (MEPS) and Energy Rating Labels (ERLs) for appliances and equipment.

At 30 June 2015, a total of 22 determinations were in effect under the GEMS Act. The determinations are legislative instruments that specify GEMS requirements, including requirements for MEPS and ERLs, for products regulated under the GEMS Act. In the course of 2014-15, the GEMS Regulator approved 4650 new

product registrations.

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■ market surveillance—to ensure GEMS

products meet GEMS registration and labelling requirements.

During 2014-15, the GEMS Regulator completed check tests of 159 models of GEMS products. Of these, 145 met GEMS requirements, whilst 14 did not. In response, the GEMS Regulator cancelled 10 registrations, referred two models to another agency, and after consultation with registrants, took no action against two models. Market surveillance activities revealed high levels of registration compliance for a range of household GEMS products. However, labelling compliance results revealed room for improvement for other products, notably in the industrial sector. GEMS inspectors reminded suppliers that energy rating labels must be displayed and that the GEMS Regulator will conduct follow-up market surveillance to ensure

compliance.

The GEMS Regulator received 26 allegations of suspected non-compliance with the GEMS Act from consumers, industry, and other government departments. The majority of these allegations related to the supply of unregistered GEMS products and labelling issues. The GEMS Regulator investigated each allegation and, where appropriate, engaged with the supplier to

ensure compliance.

Governance

The E3 Programme is governed through the Equipment Energy Efficiency (E3) Committee and the Energy Working Group (EWG).

The E3 Committee oversees the day-to-day implementation of the E3 Programme. It comprises representatives from Australian Commonwealth, state and territory government agencies as well as representatives from the New Zealand Government. The E3 Committee reports to the EWG.

The EWG comprises representatives from Commonwealth, state and territory governments as well as representatives from the New Zealand Government. It provides strategic advice on energy efficiency policy and programme delivery through the COAG Energy Council.

The department and the GEMS Regulator work cooperatively with state and territory agencies to draw on their expertise. As part of the E3 Programme, Australia also collaborates on energy efficiency standards with New Zealand, ensuring the greatest net benefit for both countries.

Achievements

The department has undertaken a review of the impacts of current policies and regulation, with the final results to be published in late 2015. Early indications from this work demonstrate that the GEMS legislation and E3 Programme have contributed between $3.3 billion and $7.3 billion in savings through avoided energy after costs have been included. The avoided energy use has

resulted in fewer greenhouse gas emis

sions—between 42 megatonnes and 100 megatonnes of CO2-e (carbon dioxide equivalent). As the remaining products are assessed, these figures are likely to increase; they

will be reported in the

2015-16 annual

report.

Compliance and enforcement

The GEMS Regulator monitors and enforces compliance with the GEMS Act via a framework that focuses on:

■ engagement and education

■ verifying compliance

■ investigating non-compliance

■ responding to non-compliance

■ review.

The GEMS Regulator, assisted by GEMS inspectors, manages a risk-based, intelligence-driven compliance monitoring programme which

focuses on:

■ check testing—to verify, through laboratory

testing, whether models of GEMS products meet relevant GEMS-level requirements and the energy efficiency claims of manufacturers and suppliers

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An independent statutory triennial ministerial review of NOPTA was completed on 30 June 2015 and is due to be tabled in parliament.

NOPTA operates from two sites, Perth and Melbourne. In Perth, it is co-located with the National Offshore Petroleum Safety and Environmental Management Authority

(NOPSEMA).

NOPTA’s expenses are funded by the offshore petroleum and greenhouse gas industries through cost recovery.

In the past 12 months NOPTA:

■ was awarded the 2015 National Archives

Award for Digital Excellence in the small agency category—these awards recognise and promote excellence and innovation in

the management, use and reuse of digital

information by Australian

Government

agencies

■ received very positive feedback from key

stakeholders, as part of a stakeholder survey

independently conducted by KPMG—overall, the survey indicated a high level of satisfaction with NOPTA’s performance, role and function ■ implemented the Regulatory Performance

Framework ■ implemented the new Corporate Plan

2015-2017 ■ implemented a new cost-recovery

implementation statement in compliance with the Australian Government’s revised cost-recovery guidelines ■ continued to build competent capacity

in

resource management ■ developed the National Offshore Petroleum

Information Management System with Geoscience Australia ■ continued to enhance its relationship with

NOPSEMA to simplify and streamline processes for industry.

Communication

The GEMS Regulator plays an active role in assisting responsible parties to comply voluntarily with the GEMS Act. To achieve this

outcome, the GEMS Regulator:

■ informs stakeholders about the E3

Programme and the operation of the GEMS

Act

■ informs stakeholders about registration

requirements under the GEMS Act, including through the energyrating.gov.au website ■ coordinates national marketing and

communication projects to support new,

and enhance existing, energy efficiency

programmes

■ coordinates broad consultative processes

with industry and other interested parties developing and implementing energy labelling and associated programmes ■ monitors and reports programme

performance, achievements and enforcement

outcomes.

Offshore Petroleum and Greenhouse Gas Storage Act The National Offshore Petroleum Titles Administrator (NOPTA) is appointed by the Secretary, pursuant to section 695A of the Offshore Petroleum and Greenhouse Gas Storage Act 2006. The roles and functions of the Titles Administrator are described at section 695B of the Act. The Titles Administrator is supported by the NOPTA branch of the department’s Resources Division.

Commencing operations on 1 January 2012, NOPTA replaced the former state and Northern Territory designated authorities as the technical adviser to the joint authorities established under the Act, in order to streamline the titles administration process and reduce the regulatory burden on industry. This was done as part of the Australian Government’s reform programme for the Commonwealth offshore oil and gas industry.

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Annual Report 2014-15

PART B Chapter 6 Geoscience Australia Chief Executive Officer’s Review

CHAPTER 6

Geoscience Australia Chief Executive Officer’s Review

Geoscience Australia Chief Executive Officer’s review 158

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GEOSCIENCE AUSTRALIA CHIEF EXECUTIVE OFFICER’S REVIEW As the geoscience adviser to the Australian Government and custodian of the nation’s geographic and geological data and knowledge, Geoscience Australia continued during 2014-15 its vital work to underpin Australia’s current and future prosperity and

wellbeing.

To help build Australia’s resource wealth, significant data acquisition, including drill holes in Victoria and an airborne electromagnetic survey in New South Wales and Queensland, was undertaken via the UNCOVER initiative, designed to encourage mineral exploration in underexplored regions of Australia. To encourage petroleum exploration and to better understand CO2 storage potential, major data acquisition programmes were completed in offshore Western Australia and Victoria, and onshore studies were released for regions of the Northern Territory, Queensland and South Australia.

Work to advance the provision of fundamental geographic information for Australia included leading the Intergovernmental Committee on Surveying and Mapping in its decision to modernise the Australian datum. The new datum will underpin more accurate positioning for many applications, including navigation, infrastructure development and environmental monitoring. A memorandum of understanding was signed with the United States Geological Survey, and significant upgrades to the satellite ground station at Alice Springs commenced, ensuring Australia’s access to national-scale satellite data for decades to come.

To help ensure Australia’s community safety, information available for flood planning was increased. The availability of historical surface water observations from satellite imagery for all

of Australia almost doubled to 28 years of data, and the number of flood studies available from the Australian Flood Risk Information Portal increased to more than 1450. To assist global

nuclear

weapons reduction efforts,

establishment of

the last of the Australian

monitoring stations required

under the

Comprehensive Nuclear-Test-Ban

Treaty

commenced at Davis Station in the Australian Antarctic Territory.

To secure Australia’s water resources, Geoscience Australia continued to contribute to the Australian Government’s Bioregional Assessment Programme, which aims to better understand the potential impacts of coal seam gas and large coal mining developments on water resources. A significant contribution was also made to assisting our Pacific island neighbours through the provision of a groundwater database and maps for more than 1800 Pacific islands, to help Pacific nations with their decision-making in relation to impacts on

groundwater from possible

future climates.

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To help manage Australia’s marine jurisdiction, Geoscience Australia contributed sea floor mapping advice and data processing expertise to the search for missing Malaysia Airlines flight MH370. This work highlights Geoscience Australia’s ability to respond rapidly to national needs. Other efforts to underpin improved management of Australia’s marine jurisdiction included sea floor mapping and sampling in waters off Western Australia, the Northern Territory and the Australian Antarctic Territory. The first-time release of digital representations of scheduled areas and petroleum blocks, as defined in the Offshore Petroleum and Greenhouse Gas Storage Act 2006, provides greater certainty for the management of Australian petroleum titles.

Developments for maintaining Australia’s geoscience knowledge and capability included the release of the National Offshore Petroleum Information Management System, which will become a one-stop shop for Australian petroleum exploration data. Nine nationally significant datasets, including the Sentinel Hotspots bushfire monitoring dataset and national geophysical datasets, were made available via a High Performance Data facility. Geoscience Australia also became an allocating agent for the International Geo Sample Number Organisation and started minting digital object identifiers, enabling internationally unique identification of the organisation’s digital data and physical assets.

Early in 2015, Geoscience Australia conducted its biennial stakeholder satisfaction survey, with nearly 300 stakeholders participating. Pleasingly, overall satisfaction with Geoscience Australia was very high, at 87

per cent. The

professionalism, knowledge and customer focus of staff was identified as a key strength, as was the quality, accuracy, reliability and usefulness of products, data and services.

Geoscience Australia continued to progress its inclusive culture initiative, aimed at fostering a culture that ensures all staff have equal opportunity to contribute, participate and progress. All staff participated in inclusive practices workshops, a gender strategy was launched, and the Executive Board was changed to an Advisory Board with the introduction of two Executive Level staff and two APS level staff (two women and two men) to facilitate inclusive decision-making.

The remainder of this report provides more de

tail on Geoscience Australia’s work throughout

2014-15.

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Annual Report 2014-15

PART B Chapter 7 Geoscience Australia overview

CHAPTER 7

Geoscience Australia overview

Role and functions 16 2

Organisational structure

16

3

Outcome and programme structure

164

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GEOSCIENCE AUSTRALIA OVERVIEW

Role and functions Geoscience Australia is the Australian Government’s national geoscience agency, applying geoscience to Australia’s most important challenges. It is the government’s technical adviser on all aspects of geoscience, and custodian of the geographic and geological data and knowledge of the nation.

Geoscience Australia’s strategic priorities focus on six areas:

■ building Australia’s resource wealth

—to maximise benefits from Australia’s minerals and energy resources, now and into the future ■ ensuring Australia’s community safety

—so that Australian communities are more resilient to natural hazards ■ securing Australia’s water resources

—to optimise and sustain the use of Australia’s water resources

■ managing Australia’s marine jurisdictions

—to maximise benefits from the sustainable use of Australia’s marine jurisdiction ■ providing fundamental geographic

information—to understand the location and timing of processes, activities and changes across Australia to inform decision-making for both natural and built environments ■ maintaining geoscience knowledge and

capability—to maintain an enduring and accessible knowledge base and capability to enable evidence-based policy and decision-making by government, industry and the community.

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Organisational structure Figure 2: Geoscience Australia organisational structure, 30 June 2015

Chief Executive Officer

Geoscience Australia Chief Scientist

Deputy CEO and Chief of Division

Chief of Division

Chief of Division

General Manager

Chief Information Officer

Resources Division

Community Safety and Earth Monitoring Division

Environmental Geoscience Division

Corporate Services

ICT Innovation and Services

Energy Systems

Mineral Systems

Resources Advice and Promotion

Community Safety

Geodesy and Seismic Monitoring

Observatories and Science Support

Groundwater

National

Earth and Marine Observations

National Location Information

Client and Information Services

Finance

Governance and Business Services

People and Culture

Products and Promotion

Engagement, Brokerage, Assurance and Architecture

Geoinformatics and Data Services

Service Delivery and Infrastructure

Software Development

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Outcome and programme structure Geoscience Australia has one outcome and one programme that contributes to that outcome, as shown in Table 22.

Table 22: Geoscience Australia outcome and programme structure, 2014-15

Outcome 1: Informed government, industry and community decisions on the economic, social and environmental management of the nation’s natural resources through enabling access to geoscientific and spatial information.

Programme Objective

1 Geoscientific and spatial information services

Building Australia’s resource wealth ■ Attract investment to Australia’s minerals and energy resource sector

by reducing geoscience barriers and risk

Securing Australia’s water resources ■ Improve the understanding and management of Australia’s

groundwater resources

Ensuring Australia’s community safety ■ Provide the understanding that underpins Australia’s capability to prepare

for and respond to the impact of natural hazards and disasters

Managing Australia’s marine jurisdictions ■ Provide the geoscience evidence base to underpin the sustainable

management of Australia’s marine jurisdiction

Gathering fundamental geographic information ■ Collect, integrate and deliver observational and fundamental geoscience

and geospatial data and information of Australia to support decision making

Maintaining Australia’s geoscience knowledge and capability ■ Ensure data, information and collections are captured, curated and made

accessible to the Australian community for use now and into the future.

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CHAPTER 8

Geoscience Australia report on performance

Building Australia’s resource wealth 166

Securing A

ustralia’s water resources

17

0

Ensuring Australia’s community safety

17

2

Managing Australia’s marine jurisdiction

17

5

Gathering fundamental geographic information

17

8

Maintaining Australia’s geoscience knowledge and capability

181

Financial perf

ormance

184

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GEOSCIENCE AUSTRALIA REPORT ON PERFORMANCE Tables 23 to 34 provide a summary of Geoscience Australia’s performance against the deliverables and key performance indicators for the six objectives set out in the Geoscience Australia Portfolio Budget Statements 2014-15.

Building Australia’s resource wealth Table 23: Building Australia’s resource wealth—performance against deliverables, 2014-15

Deliverable 2014-15 result

Precompetitive data and information to attract exploration investment

Three major offshore studies in the Browse Basin, Houtman Sub-basin and offshore Gippsland Basin were completed to assist industry in understanding the petroleum prospectivity and CO2 storage potential of these regions. All data and reports were publicly released.

Geoscience Australia continued to manage pre-competitive data acquisition projects in onshore New South Wales and Western Australia to provide data to underpin carbon capture and storage prospectivity assessments.

New national maps of magnetic data (fifth edition) and radiometric data (third edition) were released. These data are important for mineral exploration area selection.

As part of the UNCOVER mineral exploration initiative, 14 stratigraphic drill holes were completed in the greenfields Stavely region of western Victoria. Also, a new airborne electromagnetic survey in the southern Thomson Orogen (New South Wales - Queensland) was acquired, processed and delivered, to map cover thickness in anticipation of future precompetitive drilling.

Promotional activities in Asia and North America were undertaken to attract minerals and petroleum exploration investment.

Geoscience Australia continued to liaise with the petroleum and minerals exploration industries to shape and design its pre-competitive programmes.

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Deliverable 2014-15 result

Build a geological prospectus of the resource potential of Australia

Two comprehensive data packages comprising information on the petroleum geology of the underexplored Georgina Basin were released in November 2014 and April 2015. They were supported by the Queensland and Northern Territory governments.

A comprehensive petroleum prospectivity review of the Cooper Basin, prepared in collaboration with the Queensland and South Australian geological agencies, was completed. The report highlighted further prospectivity, including in previously under-explored regions of the basin. The report will support future petroleum acreage release in the basin within Queensland’s jurisdiction.

Three new GIS (geographic information system) datasets related to the mineral potential of Australia were released, along with 31 reports, papers and conference proceedings.

Information, advice and expertise about the nation’s resource endowment, exploration investment and production activity to inform the development of resource development policies

Geoscience Australia published a range of reports and datasets that underpin the provision of technical advice to government. They included Australia’s identified mineral resources and the Upstream Petroleum Resources Working Group report to COAG Energy Council on unconventional reserves, resources, production, forecasts and drilling rates.

Geoscience Australia provided key input into the development of the AMIRA Roadmap for Under Cover Exploration, which will shape university research, mining equipment technology and services sector development and precompetitive investment by geological surveys and CSIRO.

Information and advice to inform the development of geothermal energy and carbon capture and storage policies

Geothermal energy information and advice included:

■ technical advice to the Australian Renewable Energy Agency (ARENA)

■ assistance to the Department of Industry and Science on its commitments to the

Steering Committee of the International Partnership for Geothermal Technology

■ participation in the peer review of the United States Department of Energy

Geothermal Technology Office’s R&D programme

■ ongoing technical advice on carbon capture and storage, provided as required

to the Department of Industry and Science.

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Table 24: Building Australia’s resource wealth—performance against key performance indicators, 2014-15

Key performance indicator 2014-15 target 2014-15 actual

Demonstrate Australia’s potential for minerals and energy resources Ongoing As part of an assessment of Australia’s shale gas potential, the assessment methodology was

developed and implemented for the Cooper Basin.

As part of an assessment of Australia’s nickel and platinum-group elements potential, the assessment methodology was completed and underpinning GIS datasets were released.

Provide an evidence base to underpin development of Australia’s minerals and energy resources

Ongoing Geoscience Australia acquired 3313 km of 2D seismic reflection data in the Houtman Sub-basin, offshore Western Australia, to support potential future petroleum acreage release.

Geoscience Australia completed a marine reconnaissance survey in the Browse Basin, under the National CO2 Infrastructure Plan, to support assessment of the CO2 storage and petroleum potential of the basin. The survey acquired 3440 km2 of multibeam sonar bathymetry, 5710 line km of sub-bottom profiles, and samples and observations from 70 stations.

Geoscience Australia supported state and Northern Territory geological surveys’ pre-competitive mineral exploration programmes by commencing or delivering eight gravity surveys and four magnetic surveys, collecting more than 1000 line

km of deep seismic data, and processing and delivering more than 1300 line km of seismic data.

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Key performance indicator 2014-15 target 2014-15 actual

Support cleaner and low emissions energy technologies Ongoing Geoscience Australia provided technical advice to support the award of three Greenhouse Gas

Assessment Permits in the offshore Gippsland Basin by the Department of Industry and Science to the Victorian Government.

A report on the CO2 geological storage potential for the Vlaming Sub-basin was released in June 2015.

A total of 800 km of 2D seismic data and 2000 km of multibeam bathymetry were acquired in the offshore Gippsland Basin over key potential CO2 storage sites. The China Australia Geological Storage of CO2 Project (CAGS phase 2) was successfully completed. Activities over the two years of the CAGS project included five research projects, three workshops, two schools for early career researchers and university students, and 10 scientific exchanges. One of the exchanges was the first time a Geoscience Australia employee undertook a placement within the China Geological Survey.

Offshore Petroleum Acreage Release—2015 gazettal areas Quarter 1 2014-15

The 2015 Offshore Petroleum Exploration Acreage Release saw the Minister release 29 areas across eight basins at the annual Australian Petroleum Production and Exploration Association (APPEA) conference in May 2015. Data for this year’s release was provided for the first time by the National Offshore Petroleum Information Management System (NOPIMS).

The release areas were promoted to petroleum explorers at seminars and meetings in Bangkok, Seoul, Beijing and Tokyo.

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Securing Australia’s water resources Table 25: Securing Australia’s water resources—performance against deliverables, 2014-15

Deliverable 2014-15 result

Data, information and models to identify the nature, extent and behaviour of groundwater resources, and their relationship with surface water

Results of the groundwater hydrochemical characterisation of the Surat Region and Laura Basin—Queensland Project were published, characterising the hydrochemistry of groundwater associated with coal seams and surrounding aquifers in two Queensland coal basins. This project was completed for the Department of the Environment under the National Collaboration Framework Project Agreement to Support the Assessment of Coal Seam Gas and Coal Mining Developments on Groundwater Resources.

An evidence base and advice to inform sustainable groundwater management

Advice provided included hydrogeological and geological technical advice on the Shenhua Watermark coal project for the Independent Expert Scientific Committee on Coal Seam Gas and Large Coal Mining Development; hydrogeological expertise for the Office of the New South Wales Chief Scientist and Engineer; a geological and hydrogeological review of the Ranger 3 Deeps uranium project; and advice on a further 17 coal and coal seam gas project referrals.

Expert technical assessments of project approvals

Expert technical comment was provided on 10 proposed approval decisions under the Environment Protection and Biodiversity Conservation Act 1999 for coal, coal seam gas and uranium projects, including the Arrow Bowen Gas Project, the QGC development of new acreage for coal seam gas in the Surat Basin, the South Galilee Coal Project, and a proposal to mine the Kintyre uranium deposit.

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Table 26: Securing Australia’s water resources—performance against key performance indicators, 2014-15

Key performance indicator 2014-15 target 2014-15 actual

Characterise Australia’s groundwater resources Ongoing Geoscience Australia products for the Lake Eyre Basin and Gippsland Basin bioregions, delivered

as part of the Australian Government’s Bioregional Assessment Programme, are providing an enhanced and updated scientific understanding of the potential cumulative impacts of coal and coal seam gas development in high-priority coal basins of Australia. Products included the coal and coal seam gas resource assessment for the Galilee subregion (Queensland) and data registers for the Galilee and Cooper subregions (South Australia - Queensland). Geoscience Australia also provided programme-wide geology and hydrogeology discipline leadership, with direct responsibility for delivering the technical programme submethodology document for developing a coal resource development pathway. These authoritative products are being used by the Independent Expert Scientific Committee for Coal Seam Gas and Large Coal Mining Development to inform its advice to Australian Government and state government regulatory bodies. The products are also publicly released, and their take-up and use will help strengthen community confidence in future development decisions.

Improve the understanding of groundwater management options

Ongoing Regional and country-specific maps for groundwater vulnerability to future climates for more than 1800 Pacific islands were delivered, along with the first-ever regionally consistent Pacific islands spatial database of island groundwater and physical characteristics. The final outputs developed by Geoscience Australia will assist regional water managers and policy-makers in the Pacific to develop adaptation options and to identify priority areas where more detailed analysis of groundwater vulnerability could be undertaken. This project supported the Pacific-Australia Climate Change Science and Adaptation Planning programme administered by the Department of the Environment.

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Ensuring Australia’s community safety Table 27: Ensuring Australia’s community safety—performance against deliverables, 2014-15

Deliverable 2014-15 result

Natural hazard risk modelling and assessments

Geoscience Australia provided information on the potential impact of cyclones as real-time data to the Australian Government Crisis Coordination Centre, including for tropical cyclones Marcia and Lam in February 2015 and Nathan in March 2015.

Seismic hazard and risk information was given to government and the public for both national and international seismic events, including for the Nepalese earthquakes in April 2015.

The National Wind Multiplier Dataset was published, along with the code, to facilitate local wind modelling throughout the country.

Geoscience Australia released upgrades to the hydrodynamic modelling (ANUGA) and tropical cyclone risk modelling (TCRM) public open-source software tools.

The Australian Landslide Database was updated with details for 45 events, bringing the total number of landslides recorded in the database to more than 1700, from the early part of the twentieth century to the present day.

The national Neotectonic Features Database was updated with new detail on 12 tectonic faults, bringing the total number of registered recognised faults features to 345. Field work was undertaken on the Avonmore fault (Victoria) to enable testing of seismo-tectonic models describing large earthquake recurrence behaviour.

In support of the disaster risk reduction goals of the Department of Foreign Affairs and Trade, Geoscience Australia provided technical advice and expertise to neighbouring nations, including Indonesia, the Philippines and Papua New Guinea. The aim of this work was to build capacity in technical agencies in those nations for assessing risk and potential impact from natural hazards on vulnerable communities and infrastructure. The Greater Metro Manila Area Risk Assessment Project, which included risk and infrastructure vulnerability modelling for tropical cyclones, earthquakes and flood for Greater Metro Manila, the Philippines, was completed during 2014-15.

Maps, imagery and advice for agencies responding to hazards and disaster events

Geoscience Australia continued to collaborate with the Attorney-General’s Department and the Australian Geospatial-Intelligence Organisation to integrate location-based data and emergency management information to support government decision-making in response to disaster events. The information was supplied to the Australian Government’s Crisis Coordination Centre (CCC). During the 2014-15 disaster season 146 mapping products were created to support government briefings and to assist with the delivery of financial support to affected communities, with the major events being the Sampson Flat bushfire in South Australia in January 2015 and tropical cyclones Marcia and Lam in February 2015 and Nathan in March 2015.

Geoscience Australia coordinated the activation of the International Charter for Space and Major Disasters to deliver satellite-derived emergency mapping to emergency managers in Queensland and the Northern Territory and to the CCC for tropical cyclones Marcia and Lam.

Location-based data were also provided to the CCC for security planning for the G20 Summit in Brisbane in November 2014.

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Deliverable 2014-15 result

Vulnerability and exposure and impact maps, assessments and tools to inform land use planning, development approvals and building codes

During 2014-15, Geoscience Australia responded to a number of natural disasters by assessing impacts and recovery to inform planning:

■ A social survey of communities affected by tropical cyclone Marcia in February

2015 was commenced in a collaborative activity led by the Bureau of Meteorology.

■ A field survey of homes and businesses affected by the April 2015 floods in

Dungog, New South Wales, was conducted.

■ A presentation was made to the Bundaberg Regional Council, Queensland, on

the results of surveys undertaken in late 2013 and mid-2014 of community flood impacts, recovery and resilience.

Together, this work has added to the evidence base used to assess the vulnerability of communities.

Geoscience Australia also participated in two Standards Australia committees for building design for earthquake and wind. Each committee developed amendments to improve the Building Code of Australia.

The National Flood Risk Information Project continued throughout 2014-15. The Water Observations from Space component of the project transitioned into a business-as-usual capability; in November 2014, it received a Resilient Australia award from the Attorney-General’s Department. For the Australian Flood Risk Information Portal, Geoscience Australia worked with the states and territories to source additional flood study information; more than 1450 flood study entries are now available for investigation.

Early warning and alerts of natural hazard and disaster events

Seventy-five earthquakes were alerted to the Joint Australian Tsunami Warning Centre as having the potential to generate a tsunami in the Australian region. Of those, nine generated observable tsunami waves in the Pacific Ocean. No tsunamis were observed in the Indian Ocean. The largest earthquake that generated a Pacific-wide tsunami warning had a magnitude of 7.7 and occurred east of East New Britain, Papua New Guinea, on 29 March 2015.

Nuclear monitoring and assessment, and inform action for Government

There were no suspected nuclear events during 2014-15.

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Table 28: Ensuring Australia’s community safety—performance against key performance indicators, 2014-15

Key performance indicator 2014-15 target 2014-15 actual

Effective mitigation of natural hazard impacts Ongoing Geoscience Australia collaborated in four mitigation projects funded through the Bushfire and Natural

Hazards Cooperative Research Centre (BNHCRC). Three projects are developing strategies for reducing the vulnerability of buildings subject to severe wind, earthquake and riverine flooding. During 2014-15, the work included capturing information on residential construction practices and reviewing the applicability of international flood mitigation strategies to Australia. The fourth project will enable coastal communities to optimise their mitigation to the impact and risk from clusters of storm tides and storm surges.

Geoscience Australia also served as a lead end-user to the BNHCRC built environment and coastal hazards clusters, helping to align the CRC research to better meet the needs of mitigation decision-makers.

Effective, coordinated responses to natural hazards and disasters

Ongoing During 2014-15, Geoscience Australia analysed and catalogued 1699 earthquakes from around the world; 222 were alerted to the Australian Government’s Crisis Coordination Centre (CCC); 1542 occurred in the Australian region and 685 occurred in Australia. The largest Australian earthquake during 2014-15 had a magnitude of 5.1 and occurred near Eidsvold, Queensland, on 16 February 2015.

For natural disaster events, Geoscience Australia provided support to the Attorney-General’s Department in collaboration with the Australian Geospatial-Intelligence Organisation, via the CCC, integrating location-based data and emergency management information to co-create mapping products within the agreed two-hour time frame.

For tropical cyclones Marcia and Lam in February 2015, Geoscience Australia activated the International Charter for Space and Major Disasters within 24 hours of two official requests from Queensland and the Northern Territory to deliver satellite-derived emergency mapping to emergency managers.

The Sentinel Hotspots online bushfire monitoring system was improved in late 2014 to include more satellite sources for hotspot detection, more frequent updates and new functionality, including historical hotspot searching and a more intuitive interface.

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Key performance indicator 2014-15 target 2014-15 actual

Non-proliferation of nuclear weapons Ongoing During 2014-15, international representation and engagement with the Comprehensive Nuclear-Test-Ban

Treaty Organization assisted global efforts in furthering the build-up of the Comprehensive Nuclear-Test-Ban Treaty verification system. Establishment of the infrasound station at Davis Station in the Australian Antarctic Territory was commenced. This is the last of the Australian stations required under the treaty. The operation and maintenance of Australian seismic, infrasound and hydroacoustic stations that are part of the international verification network continued throughout 2014-15.

Managing Australia’s marine jurisdiction Table 29: Managing Australia’s marine jurisdiction—performance against deliverables, 2014-15

Deliverable 2014-15 result

Authoritative source for data, information and advice that underpins the legal determination of maritime boundaries

During 2014-15, updated national maritime boundary information was released, reflecting Australia’s Continental Shelf Proclamation and changes to the territorial sea baselines at Scott Reef.

The first-time release of historical and current digital representations of scheduled areas and petroleum blocks defined in the Offshore Petroleum and Greenhouse Gas Storage Act 2006, providing certainty for the management of Australian petroleum titles.

Work with state and territory mapping agencies to provide greater certainty on the location of Australia’s territorial sea baseline continued during the year and is expected to be complete in 2018.

A new online Australian Maritime Boundary Information System for improved self-service boundary advice was completed in June 2015.

Characterisation of seabed environments and potential new resources— petroleum, fisheries, biodiversity

Seabed mapping surveys on the North West Shelf (Browse Basin, Western Australia), outer Darwin Harbour (Northern Territory) and offshore from Casey Station (Australian Antarctic Territory) were completed during 2014-15. The high-resolution bathymetry data, physical and biological samples and images of seabed habitats from these surveys will inform the future management and use of those areas and provide for improved safety of navigation in the Australian Antarctic Territory.

Research completed through the National Environmental Research Program Marine Biodiversity Hub improved the understanding of seabed environments, biological resources and processes influencing biodiversity within Commonwealth marine reserves, particularly for priority areas in northern and south-east Australia.

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Deliverable 2014-15 result

Pre-competitive environmental data to inform exploration/ investment decisions

Geoscience Australia published reports on the 2013 marine environmental survey in the Browse Basin (Western Australia) and on the analysis of seabed and sub-seabed data collected in the 2012 Vlaming Sub-basin (Western Australia) marine survey for the National CO2 Infrastructure Plan. A second marine environmental survey was undertaken in the Browse Basin in 2014, investigating the sea floor environments within potential CO 2 storage acreage release areas. This body of work advanced the understanding of relationships between seabed environments and underlying geological features, which will reduce uncertainty in decision-making on CO2 storage in offshore basins. Seabed environmental baseline information and advice to underpin environmental planning and management, regulation and compliance

Geoscience Australia supported the multinational search effort to find missing Malaysia Airlines flight MH370. Its scientific teams provided procurement advice, technology and planning expertise for the bathymetric survey and undertook bathymetric processing for the lead search agencies (the Joint Agency Coordination Centre and the Australian Transport Safety Bureau). This collective effort enabled the baseline mapping of over 200

000

km2 of sea floor in a remote

area of the southern Indian Ocean.

Geoscience Australia’s Marine Sediment Database (MARS) was upgraded with a web interface, greatly increasing external clients’ access to data.

Geoscience Australia participated in a collaborative marine survey in Darwin Harbour with the Australian Institute of Marine Science and the Northern Territory Government. This work, which is funded from environmental offsets, is establishing a baseline of marine information to inform the environmental management of development in the harbour.

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Table 30: Managing Australia’s marine jurisdiction—performance against key performance indicators, 2014-15

Key performance indicator 2014-15 target 2014-15 actual

Provide legal clarity around Australia’s rights to its marine estate and the rights of users within it

Ongoing Geoscience Australia provided clarity on the need for changes to maritime boundaries at Scott Reef to the satisfaction of the petroleum industry and government agencies.

Processes continue to be developed for improving the consistency of maritime boundary information delivery with Australian Government legislative processes and standards developed by the International Hydrographic Organization.

Support the sustainable development of Australia’s marine resources

Ongoing New data and interpretations from projects funded under the National CO2 Infrastructure Plan are being used to establish environmental baselines for potential CO2 storage locations, including environmental information on sensitive marine habitats and assessments of seal integrity in potential CO2 injection locations. Data acquired in Darwin Harbour in collaboration with the Australian Institute of Marine Science and the Northern Territory Government will form a baseline of information to support environmental monitoring and assessments as development in the harbour progresses.

Support the effective management of key marine ecosystems

Ongoing Information from new data and derived products (maps, ecosystem models and summary reports) delivered through the National Environmental Research Program Marine Biodiversity Hub is being used by the Department of the Environment to inform the zoning review of Commonwealth marine reserves and to update the profile descriptions of specific key ecological features within the marine estate, including submarine canyons, banks and shoals in the Timor Sea.

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Gathering fundamental geographic information Table 31: Gathering fundamental geographic information—performance against deliverables, 2014-15

Deliverable 2014-15 result

Authoritative source of fundamental geographic information including maps, data and global navigation information

Geoscience Australia facilitated the evolution and maturity of Australia’s Foundation Spatial Data Framework by defining roadmaps for the framework’s 11 themes. The roadmaps outline a three-year programme of work to improve access and discoverability for the framework’s 36 datasets. Profiles for the datasets were also published on the ANZLIC website, which is hosted by the Department of Communications.

A major data acquisition programme was conducted for the Murray-Darling Basin Authority, capturing lidar high-resolution elevation data to map the floodplains of the Darling River Basin. Data covering 40

000

km2 were captured during 2014-15;

another 20

000

km2 will be acquired during 2015-16.

The improved national surface water dataset was published as a web service, improving the data quality of surface water information held by Australia’s mapping agencies and aggregating it into a single consistent national dataset. This dataset forms the basis for the Bureau of Meteorology’s Australian Hydrological Geospatial Fabric and other obligations under the Water Act 2007.

Geoscience Australia continued to operate and maintain Earth observing and geodetic Earth monitoring observatory networks, providing data to underpin navigation, environmental and hazard monitoring, infrastructure development and space weather monitoring.

Establishment and maintenance of facilities and arrangements to ensure Australia’s ongoing access to fundamental national scale satellite data

A key factor in ensuring Australia’s access to national scale satellite data is Geoscience Australia’s management of the satellite ground station at Alice Springs. Major achievements in 2014-15 included: ■ signing a memorandum of understanding with the United States Geological

Survey, confirming an ongoing relationship in managing Landsat satellites

■ commencing a $3.4 million refurbishment project, scheduled for completion

in March 2016, for the primary antenna at the ground station

■ acquiring from the Department of the Environment a 9 m antenna located

in Darwin, and planning a project to move it to the ground station at Alice Springs in 2015-16.

Analysis of geospatial information to monitor changes to the natural and built environment through time

Geoscience Australia’s Water Observations from Space (WOfS) web service was expanded from 15 years of data (1998 to 2012) to 28 years of data (1987 to the present). WOfS contains historical surface water observations from Landsat satellite imagery over Australia, enabling improved understanding of landscape processes associated with changes in surface water through time.

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Deliverable 2014-15 result

Provision of spatial data to underpin positioning systems and location information

Geoscience Australia continued to observe, analyse and provide free access to geodetic data which underpin the Australian datum, the Geocentric Datum of Australia (GDA). Tools and services were also provided to allow Australians to position themselves accurately, including legal traceability that provides an authoritative connection to the Australian datum.

Under Geoscience Australia’s leadership, the Intergovernmental Committee on Surveying and Mapping agreed to modernise the Australian datum to account for the continual movement of the Australian landmass. This work will create a new plate-fixed datum from 2017, followed by a time-dependent datum progressing from 2020.

The complete set of 24 visual terminal charts and 15 visual navigation charts was delivered to Airservices Australia. The charts are essential tools for pilots in planning and executing safe aeronautical travel. In addition, Geoscience Australia commenced work with Airservices Australia and the Royal Australian Air Force to improve the quality of datasets showing the location and height of vertical obstacles as part of the conformance of these data to Civil Aviation Regulation 175, which came into effect in March 2015.

Table 32: Gathering fundamental geographic information—performance against key performance indicators, 2014-15

Key performance indicator 2014-15 target 2014-15 actual

Provide the ability to relate information to location and integrate different location information datasets

Ongoing Geoscience Australia’s National Exposure Information System (NEXIS) was updated with recent fundamental geographic and statistical data, enabling the generation and release of new products for buildings and agriculture exposure based on standard geographic boundaries. A new population density web service based upon the population counts derived from NEXIS was also released. Geoscience Australia uses exposure data for natural hazard and vulnerability modelling and impact analysis.

The data were provided to the Department of the Environment for climate adaptation reporting, and were provided as exposure reports to the Australian Government Crisis Coordination Centre to help in disaster impact assessments for the South Australian Sampson Flat bushfire in January 2015 and tropical cyclones Marcia and Lam in February 2015 and Nathan in March 2015.

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Key performance indicator 2014-15 target 2014-15 actual

Provide access to fundamental geographic information Ongoing Geoscience Australia continued to acquire and distribute Earth observation images, bathymetry

data and mapping to support a broad range of public and private sector programmes, including the search for missing Malaysia Airlines flight MH370.

Geoscience Australia collaborated with the Department of Communications and NICTA (National ICT Australia) to develop NationalMap, an online mapping tool for discovering, viewing and accessing a range of open and low-cost geographic data from the Australian Government and state and territory governments. The beta version of NationalMap was released in March 2015, and the final version is to be launched in early 2015-16. The underlying platform was used as the foundation for the Australian Renewable Energy Mapping Infrastructure, a mapping tool intended to provide fundamental geographic information to assist in the planning for renewable energy infrastructure development, developed by the Australian Renewable Energy Agency, NICTA and Geoscience Australia.

Geoscience Australia continued to provide free access to geodetic data, including Global Navigation Satellite System (GNSS) data, site position time series and real-time data streams.

Provide legal clarity and traceability of information Ongoing Geoscience Australia, as a Verifying Authority for Position appointed by the National Measurement

Institute’s Chief Metrologist, analysed more than 500 GPS datasets and issued 148 certificates to dataset owners to provide legal traceability to the Australian datum during 2014-15.

Geoscience Australia also provided legal advice in cases relating to the performance of the GNSS in Australia.

National Earth Observation Infrastructure Plan—public release

Quarter 2 2014-15

The National Earth Observations from Space Infrastructure Plan (NEOS-IP) was developed to guide Australian Government agencies’ investment in infrastructure to support access to and the use of satellite imagery. Geoscience Australia and the Bureau of Meteorology are working to implement the NEOS-IP and are using it to guide and prioritise investment decisions. Geoscience Australia is continuing to work with other agencies to promote appropriate aspects of the document, but at this stage it is not expected that the full document will be released.

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Maintaining Australia’s geoscience knowledge and capability Table 33: Maintaining Australia’s geoscience knowledge and capability—performance against deliverables, 2014-15

Deliverable 2014-15 result

Curation and management of geoscience data, information and collections

Geoscience Australia manages significant collections of digital data and physical samples.

For the digital collections, a major advance during 2014-15 was the transfer of a number of large datasets to the High Performance Data infrastructure at the Australian National University’s National Computational Infrastructure (NCI). At the start of 2014-15, one Geoscience Australia collection containing 0.5 petabytes of data, the Landsat archive, was housed at the NCI. Nine collections containing 2.2

petabytes of data were moved to the NCI during 2014-15, including the Sentinel Hotspots, Water Observations from Space, and national geophysical datasets. Six of these collections are available via web services.

For the physical sample collections, the appointment of a curator was an important advance in 2014-15, delivering improved collection management. Approximately 10

per cent of the Commonwealth Paleontological Collection and 20

per cent of the National Mineral Collection were catalogued. All 13

000

National Mineral Collection specimens were co-located to the same archive area as other collections. Three new displays were created from the collections for educational and promotional purposes.

For the Australian Stratigraphic Units Database, 220 new stratigraphic names were added during 2014-15, bringing the total number of names in the database to more than 51

000.

Geoscience Australia continues to curate petroleum data and samples submitted under the Offshore Petroleum and Greenhouse Gas Storage Act 2006 .

In addition, Geoscience Australia continues to catalogue and archive rock samples as part of the national collection.

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Deliverable 2014-15 result

Datasets to be discoverable and easily accessed

Seven hundred new datasets and publications were made discoverable online, bringing the total discoverable online to almost 22

000, of which nearly

14

000 are available for direct download. These datasets and publications are also available via national and international data portals, including the Australian Government’s data.gov.au and spatial data catalogue (FIND); the Australian National Data Service; the National Library of Australia’s Trove catalogue; the Australian Ocean Data Network Portal; and the international Group on Earth Observations portal.

An increasing number of these datasets are being made available via web services. During 2014-15, 203 new web services were created, bringing the total to 501 and supplying 175 datasets in a variety of formats. Many of these web services are also available via the Australian Government’s NationalMap interactive online mapping tool.

The Geophysical Archive and Data Delivery System (GADDS) served nearly 4900 requests for data and provided more than 474 terabytes of data. Since GADDS began in late 2003, more than 77

000 requests have been received

and more than 4.4

petabytes of data has been delivered. An aim for 2015-16 is to replace GADDS with NCI data services as the delivery mechanism for these geophysical datasets; this will enable improved integration with data from other geophysical data suppliers, such as the state and territory geoscience agencies.

Establishment and maintenance of a national network of observatories to ensure ongoing access to fundamental data and systems

Geoscience Australia continued to operate and maintain Earth monitoring observatory networks, which provide data to help government and industry with hazard monitoring, infrastructure management, navigation and space weather monitoring.

Operation of laboratory facilities and analytical capability

Geoscience Australia’s laboratory facilities worked on nearly 8000 samples from across continental Australia and Australia’s marine jurisdictions during 2014-15. More than 23

000 individual analyses and results were produced for internal stakeholders and for external stakeholders such as the Australian Institute of Marine Science, the Australian Antarctic Division and state and territory geoscience agencies. The analyses contributed to minerals, energy and environmental projects. Highlights included field collection and analytical contributions to the Stavely UNCOVER stratigraphic drilling programme in western Victoria, and grain-size and paleontological assessment of sea floor samples from Antarctica.

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Table 34: Maintaining Australia’s geoscience knowledge and capability— performance against key performance indicators, 2014-15

Key performance indicator 2014-15 target 2014-15 actual

Geoscience data, information and collections are curated for enduring value and are discoverable and openly accessible

Ongoing During 2014-15, two developments were made in relation to international standards for data curation and management: Geoscience Australia became an Allocating Agent for the International Geo Sample Number (IGSN) organisation, allowing the implementation of internationally unique IGSNs for all samples; and Geoscience Australia started minting digital object identifiers (DOIs) for digital assets, enabling internationally unique citation of datasets.

All offshore petroleum data and sample submissions, containing 4900 items of survey and well data, were catalogued and stored.

All 741 requests for offshore petroleum data and information were resolved successfully, involving the delivery of 218 terabytes of digital data.

Pursuant to the requirements of the Offshore Petroleum and Greenhouse Gas Storage Act 2006, all 336 authorisations from the National Offshore Petroleum Titles Administrator to make offshore petroleum well and survey data publicly available were implemented.

Geoscience data, information and collections are usable and their applications promoted

Ongoing Geoscience Australia’s data holdings are released using internationally recognised standards (including IGSN and DOI), allowing for interoperability and discoverability. Data products were promoted through the Australian and international data portals listed in the second deliverable above, as well as the annual GovHack event, which identifies innovative uses of government data. Monthly email alerts were also used to promote new data releases to interested stakeholders.

Implement National Offshore Petroleum Information Management System (NOPIMS)

June 2015 The NOPIMS, an online data discovery and delivery system for Australian offshore petroleum wells and seismic surveys, was released at the Australian Petroleum Production and Exploration Association (APPEA) Conference and Exhibition in May 2015. Reports and data for open-file offshore petroleum wells and seismic surveys after 1 January 2012 and selected data for the 2015 Offshore Petroleum Acreage Release were loaded into the system. This represented 22 per cent of all offshore petroleum wells and 11 per cent of seismic surveys.

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Financial performance

Operating result In 2014-15, Geoscience Australia had an operating deficit of $6.8 million, before adjusting for unfunded depreciation of $11.3 million.

The entity’s total income for the year was $192.0 million; comprising $126.8 million appropriated to the entity, $59.2 million received from the sale of goods and services to related and external entities, and $6.0 million as resources received free of charge and other gains. The $6.0 million other gain is the transfer of antenna assets from the Department of the Environment in June 2015.

The entity’s expenses were $198.8 million. The major expense categories were employee expenses of $78.5 million, supplier expenses of $108.6 million and depreciation of $11.3 million.

Note 20 in the financial statements compares the actual results to budgeted results as disclosed in the original budget (Portfolio Budget Statements 2014-15), as required by the new Australian Accounting Standards Board (AASB) 1055 Budgetary Reporting accounting standard.

Financial sustainability Total equity as at 30 June 2015 was $24.7 million. Total assets were $133.8 million. Total liabilities were $109.0 million. The entity has sufficient financial assets to pay its suppliers and other payables as and when they fall due. Non-financial assets consist mainly of plant and equipment and property (land and buildings) owned by the entity.

Administered items Geoscience Australia administered one grant on behalf of government in 2014-15. A grant of $0.02 million was made available to the Australian National Committee for the United Nations Educational, Scientific and Cultural Organization International Geoscience Programme.

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CHAPTER 9

Geoscience Australia management and accountability

Corporate governance 186

F

raud control

186

Ex

ternal scrutiny

186

Managemen

t of human resources

18

7

Work health and safety

18

7

National Disability Strategy

18

7

Purchasing

188

C

onsultants and contracts

188

Gr

ant programmes

188

In

formation Publication Scheme

188

A

dvertising and market research

188

E

cologically sustainable development and environmental performance

188

Servic

e charter

18

9

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GEOSCIENCE AUSTRALIA MANAGEMENT AND ACCOUNTABILITY

Corporate governance Geoscience Australia’s corporate governance arrangements and practices guide the management and operations of the entity to improve overall performance and strengthen accountability.

Geoscience Australia’s governance framework includes advisory bodies and committees, as well as Accountable Authority Instructions, policies and procedural guidelines.

The entity is governed by an Advisory Board composed of its Senior Executive Service officials, plus four staff from the Executive Level (EL) and Australian Public Service (APS) classifications. The EL and APS staff has even female and male representation. The Advisory Board is supported by five committees—the Audit and Risk Committee, Security Committee, ICT Strategy Committee, Workplace Health and Safety Committee and Workplace Relations Committee.

Geoscience Australia’s strategic plan is reviewed annually to ensure that the entity’s portfolio of work reflects current Australian Government priorities and policy requirements. The strategic plan is implemented via more detailed annual work plans.

The organisation’s governance practices comply with all statutory requirements and are reviewed regularly to ensure that they remain relevant and effective.

A new risk management framework consistent with the Commonwealth Risk Management Policy was adopted during 2014-15. This included a review of Geoscience Australia’s divisional and strategic risks.

Fraud control Geoscience Australia’s fraud control framework is consistent with better practice and provides assurance that the organisation’s fraud control strategies are robust. Ongoing fraud awareness training is provided for all staff. As required by the Fraud Rule and the Commonwealth Fraud Control Policy, Geoscience Australia updated its Fraud Control Plan in July 2014. The Fraud Control Plan details fraud prevention, detection, investigation and reporting procedures.

External scrutiny In 2014-15, no judicial or administrative tribunal decisions were relevant to Geoscience Australia. No investigations into the organisation’s operations were conducted by the Commonwealth Ombudsman or by any parliamentary committee.

Geoscience Australia appeared before the Senate Standing Committee on Economics for Senate estimates hearings once in 2014-15, on 3 June 2015.

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Management of human resources Key people management activities in 2014-15 to help Geoscience Australia meet its objectives included implementing a gender strategy to drive action towards creating and supporting a gender equitable and inclusive workplace culture, and improving the representation of women in leadership positions.

Workforce reporting was improved to provide more meaningful data to influence and inform organisational decision-making.

Geoscience Australia supported and developed employees through study scholarships, development grants and in-house learning and development programmes. The graduate programme continued, to attract science and information technology graduates to maintain Geoscience Australia’s level of scientific excellence and innovation.

The Geoscience Australia Enterprise Agreement came into effect on 31 August 2011, with a nominal expiry date of 30 June 2014. Negotiations for a new agreement commenced in 2014-15 and will continue into 2015-16.

No performance payments were made by Geoscience Australia in 2014-15.

Geoscience Australia’s workforce statistics tables are in Appendix B3.

Work health and safety Geoscience Australia is committed to a system-based approach to ensuring the health, safety and wellness of workers and visitors. This approach is championed by the Chief Executive Officer through all levels of the organisation.

During 2014-15, Geoscience Australia undertook numerous initiatives to demonstrate its commitment to health, safety and wellness. Key initiatives included:

■ reviewing the work health and safety

management system and commencing development of an AS/NZS 4801 and OHSAS 18001 compliant management system ■ establishing a Mental Health First Aid

Officer Network ■ restructuring the Work Health and

Safety Committee to include a balanced representation of health and safety representatives and management ■ establishing an operational health and safety

representative committee ■ delivering a programme of monthly

wellbeing activities ■ offering influenza virus vaccinations to

all employees, resulting in 22

per

cent

of employees being vaccinated ■ promoting the Employee Assistance

Programme, which resulted in a 10

per

cent

increase in the number of male employees accessing the programme.

During 2014-15, Geoscience Australia reported two notifiable incidents to Comcare, which required no further action, and received no Comcare statutory notices.

National Disability Strategy The National Disability Strategy 2010-2020 sets out a ten-year national policy framework to improve the lives of people with disability, promote participation and create a more inclusive society. A high-level two-yearly report will track progress against each of the six outcome areas of the strategy and present a picture of how people with disability are faring. The first of these reports will be available in late 2015, and can be found on the Department of Social Services website (www.dss.gov.au).

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Grant programmes Information on grants awarded by Geoscience Australia during 2014-15 is available at the organisation’s website (www.ga.gov.au/about/ who-we-are/corporate-documents/grants-awarded).

Information Publication Scheme Entities subject to the Freedom of Information Act 1982 (FOI Act) are required to publish information to the public as part of the Information Publication Scheme (IPS). This requirement is in Part

II of the FOI Act and has

replaced the former requirement to publish a section

8 statement in an annual report. Each entity must display on its website a plan showing what information it publishes, in accordance with the IPS requirements. Geoscience Australia’s IPS information is available on its website (www.ga.gov.au/ips).

Advertising and market research During 2014-15, Geoscience Australia did not pay advertising agencies or marketing, polling or direct mail organisations above the reporting threshold of $12 565 per payment.

Ecologically sustainable development and environmental performance In accordance with section 516A of the Environment Protection and Biodiversity Conservation Act 1999, a report on how Geoscience Australia’s activities accord with and contribute to the principles of ecologically sustainable development and environmental performance is in Appendix B4.

Purchasing During 2014-15, Geoscience Australia undertook its procurements in accordance with the Commonwealth Procurement Rules and the requirements of the entity’s Chief Executive Instructions and Accountable Authority Instructions.

Geoscience Australia supports small business participation in the Australian Government procurement market. Participation statistics are available on the Department of Finance website (www.finance.gov.au/procurement/statistics-on-commonwealth-purchasing-contracts/).

Consultants and contracts During 2014-15, Geoscience Australia entered into 11 new consultancy contracts involving total actual expenditure of $0.380

million

(GST inclusive). No ongoing consultancy contracts were active during 2014-15.

Consultants were engaged through the limited tender procurement method when the required specialised or professional skills were not available within Geoscience Australia; the main category was geoscientific advisory services.

Annual reports contain information about actual expenditure on contracts for consultancies. Information on the value of contracts and consultancies valued at $10 000 and above is available on the AusTender website (www.tenders.gov.au).

The Chief Executive Officer did not exempt any contract let during 2014-15 from publication on AusTender on the basis that it would

disclose exempt matters under the Freedom of Information Act 1982.

All contracts valued at $100 000 or more (GST inclusive) let during 2014-15 allowed for the Auditor-General to have access to the contractor’s premises.

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Service charter Geoscience Australia’s Service Charter sets out standards of client service, client rights and responsibilities, and ways to obtain more information about the organisation’s products and services. Specific metrics are provided for the provision of products and services related to the website and library. The charter applies to all clients, including other government agencies, community organisations, industry and members of the public.

The charter is available on the Geoscience Australia website (www.ga.gov.au/about/who-we-are/corporate-documents/service-charter).

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PART B Chapter 10 Geoscience Australia financial performance

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Geoscience Australia financial performance

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for the period ended 30 June 2015

2015 2014

Notes $'000 $'000

NET COST OF SERVICES Expenses Employee benefits 4A 78,480 93,625

Suppliers 4B 108,606 103,938

Depreciation and amortisation 4C 11,266 7,924

Finance costs 23 48

Write-down and impairment of assets 4D 408 1,834

Foreign exchange losses - 15

Losses from asset sales 15 -

Total expenses 198,798 207,384

Own-Source Income

Own-source revenue Sale of goods and rendering of services 5A 59,106 58,325

Other revenue 5B 124 213

Total own-source revenue 59,230 58,538

Gains Foreign exchange gains 4 -

Reversals of previous asset write-downs and impairments 7 -

Other gains 5C 5,956 292

Total gains 5,967 292

Total own-source income 65,197 58,830

Net cost of services (133,601) (148,554)

Revenue from Government 5D 126,805 135,454

Deficit attributable to the Australian Government (6,796) (13,100)

OTHER COMPREHENSIVE INCOME

Items not subject to subsequent reclassification to net cost of services

Changes in asset revaluation surplus (194) (3,636)

Total other comprehensive loss (194) (3,636)

Total comprehensive loss attributable to the Australian Government (6,990) (16,736)

Statement of Comprehensive Income

The above statement should be read in conjunction with the accompanying notes.

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Statement of Financial Position as at 30 June 2015

2015 2014

Notes $’000 $’000

ASSETS Financial assets Cash and cash equivalents 2,671 5,212

Trade and other receivables 7A 87,125 94,567

Other financial assets 7B 528 2,236

Total financial assets 90,324 102,015

Non-financial assets Land and buildings 8A 4,422 5,032

Heritage and cultural 8A 2,365 2,365

Property, plant and equipment 8A 28,525 25,079

Intangibles 8B 3,244 5,503

Other non-financial assets 8C 4,896 5,205

Total non-financial assets 43,452 43,184

Total assets 133,776 145,199

LIABILITIES Payables Suppliers 9A 20,747 13,358

Other payables 9B 61,759 79,722

Total payables 82,506 93,080

Provisions Employee provisions 10A 25,936 24,455

Other provisions 10B 600 552

Total provisions 26,536 25,007

Total liabilities 109,042 118,087

Net assets 24,734 27,112

EQUITY Parent entity interest

Contributed equity 32,926 28,314

Reserves 8,128 8,322

Accumulated deficit (16,320) (9,524)

Total parent entity interest 24,734 27,112

Total equity 24,734 27,112

The above statement should be read in conjunction with the accompanying notes.

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Statement of Changes in Equity

2015 2014 2015 2014 2015 2014 2015 2014

$’000 $'000 $’000 $’000 $’000 $’000 $’000 $’000

Opening balance (9,524) 3,576 8,322 11,958 28,314 24,585 27,112 40,119

Comprehensive income Deficit for the period (6,796) (13,100) (6,796) (13,100)

Other comprehensive losses - - (194) (3,636) - - (194) (3,636)

Total comprehensive income (6,796) (13,100) (194) (3,636) - - (6,990) (16,736)

Transactions with owners Contributions by owners Equity injection - Appropriations - - - - 10 160 10 160

Departmental capital budget - - - - 4,602 3,569 4,602 3,569

Total transactions with owners - - - - 4,612 3,729 4,612 3,729

Closing balance as at 30 June (16,320) (9,524) 8,128 8,322 32,926 28,314 24,734 27,112

The above statement should be read in conjunction with the accompanying notes.

Contributed equity/capital Total equity

for the period ended 30 June 2015

Retained earnings Asset revaluation surplus

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2015 2014

Notes $’000 $’000

OPERATING ACTIVITIES Cash received Appropriations 193,056 177,119

Sale of goods and rendering of services 42,135 51,988

Net GST received 9,345 8,448

Total cash received 244,536 237,555

Cash used Employees (81,182) (91,803)

Suppliers (111,563) (92,101)

Section 74 receipts transferred to OPA (52,484) (48,036)

Total cash used (245,229) (231,940)

Net cash from/(used by) operating activities 11 (693) 5,615

INVESTING ACTIVITIES Cash used Purchase of property, plant and equipment (5,394) (5,960)

Purchase of intangibles (1,066) (2,504)

Total cash used (6,460) (8,464)

Net cash used by investing activities (6,460) (8,464)

FINANCING ACTIVITIES Cash received Contributed equity 4,612 3,729

Total cash received 4,612 3,729

Net cash from/(used by) financing activities 4,612 3,729

Net increase/(decrease) in cash held (2,541) 880

Cash and cash equivalents at the beginning of the reporting period 5,212 4,332

Cash and cash equivalents at the end of the reporting period 2,671 5,212

The above statement should be read in conjunction with the accompanying notes.

Cash Flow Statement for the period ended 30 June 2015

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Schedule of Commitments

2015 2014

BY TYPE $’000 $’000

Commitments receivable Other receivables 11,806 3,818

Net GST recoverable on commitments 1

48,649 45,056

Total commitments receivable 60,455 48,874

Commitments payable Capital commitments Property, plant and equipment 2 301 243

Intangibles - 589

Total capital commitments 301 832

Other commitments Operating leases 3 520,369 467,725

Other 4 25,250 45,527

Total other commitments 545,619 513,252

Total commitments payable 545,920 514,084

Net commitments by type (485,465) (465,210)

BY MATURITY Commitments receivable Other commitments receivable Within 1 year 10,744 6,002

Between 1 to 5 years 14,079 11,674

More than 5 years 35,632 31,198

Total other commitments receivable 60,455 48,874

Total commitments receivable 60,455 48,874

Commitments payable Capital commitments Within 1 year 301 551

Between 1 to 5 years - 211

More than 5 years - 70

Total capital commitments 301 832

Operating lease commitments Within 1 year 24,481 23,583

Between 1 to 5 years 103,952 101,037

More than 5 years 391,936 343,105

Total operating lease commitments 520,369 467,725

Other Commitments Within 1 year 18,188 37,716

Between 1 to 5 years 7,039 7,732

More than 5 years 23 79

Total other commitments 25,250 45,527

Total commitments payable 545,920 514,084

Net commitments by maturity (485,465) (465,210)

as at 30 June 2015

Note: 1. Commitments are GST inclusive where relevant. 2. Capital commitments are primarily contracts for the upgrade on the 9m Antenna in Alice Springs. 3. A lease variation to property at Symonston was signed 03 June 2014. Operating leases included were effectively non-cancellable. 4. The nature of other commitments are contracts for geoscientific data and facilities management services.

The above schedule should be read in conjunction with the accompanying notes.

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for the period ended 30 June 2015

2015 2014

Notes $’000 $’000

NET COST OF SERVICES

Grants 15A 20 20

Total expenses 20 20

Net (cost of)/contribution by services (20) (20)

Total comprehensive income/(loss) (20) (20)

2015 2014

Notes $’000 $’000

Opening assets less liabilities as at 1 July - 139

Adjusted opening assets less liabilities - 139

Net (cost of)/contribution by services Expenses Payments to entities other than corporate Commonwealth entities 20 20

Transfers (to)/from the Australian Government

Appropriation transfers from Official Public Account Annual appropriations

20 20

Appropriation transfers to OPA Transfers to OPA - (139)

Closing assets less liabilities as at 30 June - -

2015 2014

Notes $’000 $’000

OPERATING ACTIVITIES Cash used Grants 20 20

Net GST paid - 2

Total cash used 20 22

Net cash from/(used by) operating activities 16 (20) (22)

Cash and cash equivalents at the beginning of the reporting period - 139

Cash from Official Public Account Appropriations 20 22

Total cash from official public account 20 22

Cash to Official Public Account Transfer to other entities - (139)

Total cash to official public account - (139)

Cash and cash equivalents at the end of the reporting period - -

Administered Schedule of Comprehensive Income

Expenses

The above schedule should be read in conjunction with the accompanying notes.

Administered Reconciliation Schedule

Payments to entities other than corporate Commonwealth entities

Geoscience Australia has no Administered Commitments in 2015 (2014: nil).

This schedule should be read in conjunction with the accompanying notes.

The above schedule should be read in conjunction with the accompanying notes.

Administered Cash Flow Statement for the period ended 30 June 2015

Geoscience Australia has no Administered Assets and Liabilities in 2015 (2014: nil).

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Note 1: Summary of Significant Accounting Policies Note 2: Events After the Reporting Period Note 3: Net Cash Appropriation Arrangements Note 4: Expenses Note 5: Own-Source Income Note 6: Fair Value Measurements Note 7: Financial Assets Note 8: Non-Financial Assets Note 9: Payables Note 10: Provisions Note 11: Cash Flow Reconciliation Note 12: Senior Management Personnel Remuneration Note 13: Financial Instruments Note 14: Financial Assets Reconciliation Note 15: Administered - Expenses Note 16: Administered - Cash Flow Reconciliation Note 17: Appropriations Note 18: Special Accounts Note 19: Reporting of Outcomes Note 20: Budgetary Reports and Explanations of Major Variances Note 21: Cooperative Research Centres (CRCs) Note 22: Restructuring

Table of Contents - Notes

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Note 1: Summary of Significant Accounting Policies

1.1 Objectives of Geoscience Australia

Geoscience Australia (GA) is an Australian Government controlled entity. It is a not-for-profit entity. The objective of GA is to produce first class geoscientific information and knowledge.

GA is structured to meet one outcome: to inform government, industry and community decisions on the economic, social and environmental management of the nation’s natural resources through enabling access to geoscientific and spatial information.

The continued existence of GA in its present form and with its present programs is dependent on Government policy and on continuing funding by Parliament for GA’s administration and programs.

GA’s activities contributing toward this outcome are classified as either departmental or administered. Departmental activities involve the use of assets, liabilities, income and expenses controlled or incurred by GA in its own right. Administered activities involve the management or oversight by GA, on behalf of the Government, of items controlled or incurred by the Government.

GA administers a grant to the International Geological Correlation Program on behalf of the Government.

1.2 Basis of Preparation of the Financial Statements

The financial statements are general purpose financial statements and are required by section 42 of the Public Governance, Performance and Accountability Act 2013.

The financial statements have been prepared in accordance with:

a) Financial Reporting Rule (FRR) for reporting periods ending on or after 1 July 2014; and b) Australian Accounting Standards and Interpretations issued by the Australian Accounting Standards Board (AASB) that apply for the reporting period.

The financial statements have been prepared on an accrual basis and in accordance with the historical cost convention, except for certain assets and liabilities at fair value. Except where stated, no allowance is made for the effect of changing prices on the results or the financial position.

The financial statements are presented in Australian dollars and values are rounded to the nearest thousand dollars unless otherwise specified.

Unless an alternative treatment is specifically required by an accounting standard or the FRRs, assets and liabilities are recognised in the statement of financial position when and only when it is probable that future economic benefits will flow to GA or a future sacrifice of economic benefits will be required and the amounts of the assets or liabilities can be reliably measured. However, assets and liabilities arising under executory contracts are not recognised unless required by an accounting standard. Liabilities and assets that are unrecognised are reported in the schedule of commitments or the contingencies note.

Unless alternative treatment is specifically required by an accounting standard, income and expenses are recognised in the Statement of Comprehensive Income when and only when the flow, consumption or loss of economic benefits has occurred and can be reliably measured.

1.3 Significant Accounting Judgements and Estimates

In the process of applying the accounting policies listed in this note, GA has made the following judgements that have the most significant impact on the amounts recorded in the financial statements:

ï¿» The fair value of land which will continue to be used for research activities, and buildings held for specialised purposes and where there is no readily available market price has been taken to be Fair Value - Highest and Best Use (level 3 inputs), as determined by an independent valuer;

ï¿» The fair value of plant and equipment has been taken to be Fair Value - Highest and Best Use (level 3 inputs) as determined by an independent valuer;

ï¿» The fair value of leasehold improvements has been taken to be Fair Value - Highest and Best Use (level 3 inputs) as determined by an independent valuer;

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ï¿» Annual leave liability and long service leave provisions - estimated on the basis of the short-hand method outlined in the FRRs; and

ï¿» Useful lives for all fixed and intangible assets - based on the GA policy.

1.4 New Australian Accounting Standards

Adoption of new Australian Accounting Standard requirements

GA has adopted AASB 2015-7 earlier than the application date as stated in the standard. This standard exempts not-for-profit public sector entities from certain requirements of the AASB 13 - fair value measurement. Refer the table below for further explanation.

Note no other accounting standards have been adopted earlier than the application date as stated in the standard of the new standards, amendments to standards and interpretations issued prior to the sign-off date that are applicable to the current period.

The following new/revised accounting standards and interpretations were issued prior to the signing of the statement by the Chief Executive Officer and Chief Financial Officer, were applicable to the current reporting period and had a material effect on the entity’s financial statements: Standard/ Interpretation Nature of change/s in accounting policy adjustment to the financial

statements

AASB 1055 Budgetary Reporting

AASB 2015-7 - Fair Value

Disclosures of Not-For-Profit Public Sector Entities

AASB 1055 sets out budgetary disclosure requirements for whole-of-government financial statements, each government’s General Government Sector (GGS) financial statements and financial statements for each not-for-profit entity within the GGS. AASB 1055 requires disclosure of the Original Budget as well as explanations for major variances between the Original Budget and the actual amount disclosed in the financial statements. The Original Budget is the first budget presented to Parliament for the reporting period. Where Budget information has not been presented on the same basis and classification as the financial statements, AASB 1055 requires Budget information be restated to be consistent with the financial statements. AASB 1055 requirements apply to both departmental and administered items. Major variance explanation disclosures are those relevant to the information needs of users when assessing performance and accountability. AASB 1055 does not require prior-year budget comparatives.

Provides relief for not-for-profit public sector entities from disclosing the fair value measurement of property, plant and equipment assets which are primarily held for internal or policy use, rather than to generate future cash flows.

The two relief options for the Public Sector are as follows: ï¿» disclosure of quantitative information about the inputs used in fair value measurement; and ï¿» sensitivity of the fair value measurements due to changes in

inputs used for the measurement.

Future Australian Accounting Standard Requirements Of the new, revised or amending Standards or Interpretations that were issued prior to the sign-off date and are applicable to future reporting periods are not expected to have a future material impact on Geoscience Australia’s financial statements except for the new AASB 15: Revenue from contracts with customers.

AASB 15 will be due for implementation for the year ended 30 June 2018.

The main objectives of the new AASB 15 are to: ï¿» Provide a single revenue recognition model based on the transfer of goods and services and the consideration expected to be received in return for that transfer. The model will improve comparability over a range of industries, companies and geographical boundaries. ï¿» Remove inconsistencies and weaknesses in existing revenue recognition standards.

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ï¿» Simplify the preparation of financial statements by reducing the number of requirements to which preparers must refer. ï¿» Enhance disclosures about revenue, providing guidance for transactions that were not previously addressed comprehensively (for example, service revenue and contract modifications) and improving

guidance for multiple-element arrangements. ï¿» The standard will require retrospective application but there are transition requirements which allow two alternative retrospective application methods.

The standard introduces a revised contract-based five-step revenue recognition model, which addresses multiple element arrangements and may accelerate or defer revenue recognition. This standards implementation will likely impact GA as it recognises contract revenues. GA is yet to quantify the full impact of the new standard for future reporting periods.

1.5 Revenue

Revenue from the sale of goods is recognised when:

ï¿» the risks and rewards of ownership have been transferred to the buyer; ï¿» GA retains no managerial involvement or effective control over the goods; ï¿» the revenue and transaction costs incurred can be reliably measured; and ï¿» it is probable that the economic benefits associated with the transaction will flow to GA.

Revenue from rendering of services is recognised by reference to the stage of completion of contracts at the reporting date. The revenue is recognised when:

ï¿» the amount of revenue, stage of completion and transaction costs incurred can be reliably measured; and ï¿» the probable economic benefits related to the transaction will flow to GA. The stage of completion of contracts at the reporting date is determined by reference to the proportion that costs incurred to date relate to the estimated total cost of the contract.

Receivables for goods and services, which have 30 day terms, are recognised at the nominal amounts due less any allowance for impairment. Collectability of debts is reviewed at the end of the reporting period. Allowances are made when collectability of the debt is no longer probable.

Resources Received Free of Charge Resources received free of charge are recognised as revenue when, and only when, a fair value can be reliably determined and the services would have been purchased if they had not been donated. Use of those resources is recognised as an expense.

Resources received free of charge are recorded as either revenue or gains depending on their nature.

Revenue from Government Amounts appropriated for departmental appropriations for the year (adjusted for any formal additions and reductions) are recognised as Revenue from Government when GA gains control of the appropriation, except for certain amounts that relate to activities that are reciprocal in nature, in which case revenue is recognised only when it has been earned. Appropriations receivable are recognised at their nominal amounts.

1.6 Gains

Resources Received Free of Charge Resources received free of charge are recognised as gains when, and only when, a fair value can be reliably determined and the services would have been purchased if they had not been donated. Use of those resources is recognised as an expense.

Resources received free of charge are recorded as either revenue or gains depending on their nature.

Contributions of assets at no cost of acquisition or for nominal consideration are recognised as gains at their fair value when the asset qualifies for recognition, unless received from another Government entity as a consequence of a restructuring of administrative arrangements order (refer to Note 1.7).

Sale of Assets Gains from disposal of assets are recognised when control of the asset has passed to the buyer.

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1.7 Transactions with the Government as Owner

Equity Injections Amounts appropriated which are designated as ‘equity injections’ for a year (less any formal reductions) and Departmental Capital Budgets (DCBs) are recognised directly in contributed equity in that year.

Restructuring of Administrative Arrangements Net assets received from or relinquished to another Government entity under a restructuring of administrative arrangements order are adjusted at their book value directly against contributed equity.

1.8 Employee Benefits

Liabilities for ‘short-term employee benefits’ (as defined in AASB 119 Employee Benefits) and termination benefits expected within twelve months of the end of the reporting period are measured at their nominal amounts.

The nominal amount is calculated with regard to the rates expected to be paid on settlement of the liability.

Other long-term employee benefits are measured as the net total of the present value of the defined benefit obligation at the end of the reporting period minus the fair value at the end of the reporting period of plan assets (if any) out of which the obligations are to be settled directly.

Leave The liability for employee benefits includes provision for annual leave and long service leave. No provision has been made for sick leave as all sick leave is non-vesting and the average sick leave taken in future years by employees of GA is estimated to be less than the annual entitlement for sick leave.

The leave liabilities are calculated on the basis of employees’ remuneration at the estimated salary rates that will be applied at the time the leave is taken, including GA’s employer superannuation contribution rates to the extent that the leave is likely to be taken during service rather than paid out on termination.

The liability for long service leave has been determined by the short-hand method prescribed by FRR. The liability for long service leave is recognised and measured at the present value of the estimated future cash flows to be made in respect of all employees at 30 June 2015. The estimate of the present value of the liability takes into account attrition rates and pay increases through promotion and inflation.

Separation and Redundancy Provision is made for separation and redundancy benefit payments. GA recognises a provision for termination when it has developed a detailed formal plan for the terminations and has informed those employees affected that it will carry out the terminations.

Superannuation GA’s staff are members of the Commonwealth Superannuation Scheme (CSS), the Public Sector Superannuation Scheme (PSS) or the PSS accumulation plan (PSSap) or other schemes as choice allows.

The CSS and PSS are defined benefit schemes for the Australian Government. The PSSap is a defined contribution scheme.

The liability for defined benefits is recognised in the financial statements of the Australian Government and is settled by the Australian Government in due course. This liability is reported in the Department of Finance’s administered schedules and notes.

GA makes employer contributions to the employees’ superannuation scheme at rates determined by an actuary to be sufficient to meet the current cost to the Government. GA accounts for the contributions as if they were contributions to defined contribution plans.

The liability for superannuation recognised as at 30 June represents outstanding contributions for the final fortnight of the year.

1.9 Leases

A distinction is made between finance leases and operating leases. Finance leases effectively transfer from the lessor to the lessee substantially all the risks and rewards incidental to ownership of leased assets. An operating lease is a lease that is not a finance lease. In operating leases, the lessor effectively retains substantially all such risks and benefits.

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Where an asset is acquired by means of a finance lease, the asset is capitalised at either the fair value of the lease property or, if lower, the present value of minimum lease payments at the inception of the contract and a liability is recognised at the same time and for the same amount.

The discount rate used is the interest rate implicit in the lease. Leased assets are amortised over the period of the lease. Lease payments are allocated between the principal component and the interest expense. GA has no finance leases.

Operating lease payments are expensed on a straight-line basis which is representative of the pattern of benefits derived from the leased assets.

1.10 Borrowing costs

All borrowing costs are expensed as incurred.

1.11 Purchase of data and data received free of charge

Purchased data and data received free of charge is utilised for the purpose of research to attain scientific knowledge. The costs of purchase, storage and maintenance of this data are treated as an operating expense.

1.12 Cash

Cash is recognised at its nominal amount. Cash and cash equivalents includes cash on hand and cash at bank.

1.13 Financial Assets

GA classifies its financial assets in the following categories: ï¿» financial assets at fair value through profit or loss; and ï¿» loans and receivables.

The classification depends on the nature and purpose of the financial assets and is determined at the time of initial recognition. Financial assets are recognised and derecognised upon trade date.

Effective Interest Method The effective interest method is a method of calculating the amortised cost of a financial asset and of allocating interest income over the relevant period. The effective interest rate is the rate that exactly discounts estimated future cash receipts through the expected life of the financial asset, or, where appropriate, a shorter period.

Income is recognised on an effective interest rate basis except for financial assets that are recognised at fair value through profit or loss.

Loans and Receivables Trade receivables, loans and other receivables that have fixed or determinable payments that are not quoted in an active market are classified as ‘loans and receivables’. Loans and receivables are measured at amortised cost using the effective interest method less impairment. Interest is recognised by applying the effective interest rate.

Impairment of Financial Assets Financial liabilities are classified as either financial liabilities ‘at fair value through profit or loss’ or other financial liabilities. Financial assets are assessed for impairment at the end of each reporting period.

Financial assets held at amortised cost - if there is objective evidence that an impairment loss has been incurred for loans and receivables or held to maturity investments held at amortised cost, the amount of the loss is measured as the difference between the asset's carrying amount and the present value of estimated future cash flows discounted at the asset's original effective interest rate. The carrying amount is reduced by way of an allowance account. The loss is recognised in the Statement of Comprehensive Income.

Financial assets held at cost - if there is objective evidence that an impairment loss has been incurred, the amount of the impairment loss is the difference between the carrying amount of the asset and the present value of the estimated future cash flows discounted at the current market rate for similar assets.

1.14 Jointly Controlled Entities

The proportionate interests in Co-Operative Research Centres (CRC) regarded as joint operations are disclosed in the financial statements under appropriate headings. Their primary source of funding is from the Australian Government and funding is progressively drawn down over the life of the CRCs and distributed to participants.

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CRCs are a research initiative of the Commonwealth Government established to pursue specific areas of research. A common deliverable of a CRC is the creation of specific intellectual property, which may (or may not have) a commercial value. CRC participants generally have a significant focus on research (e.g. CSIRO, universities and/or private sector bodies).

All contributions made by GA are expensed as incurred in the Statement of Comprehensive Income unless the value of any future economic benefit received/receivable by GA is able to be reliably measured and is considered to be material to the financial statements. In this case, the investment in the CRC is accounted for using the equity method.

GA is a participant in four CRCs and the names of these CRCs are disclosed in Note 21.

1.15 Financial Liabilities

Financial liabilities are recognised and derecognised upon ‘trade date’.

Other Financial Liabilities Supplier and other payables are recognised at amortised cost. Liabilities are recognised to the extent that the goods or services have been received (irrespective of having been invoiced).

1.16 Contingent Liabilities and Contingent Assets

Contingent liabilities and contingent assets are not recognised in the statement of financial position but are reported in the reported in the notes. They may arise from uncertainty as to the existence of a liability or asset or represent an asset or liability in respect of which the amount cannot be reliably measured. Contingent assets are disclosed when settlement is probable but not virtually certain and contingent liabilities are disclosed when settlement is greater than remote.

1.17 Acquisition of Assets

Assets are recorded at cost on acquisition except as stated below. The cost of acquisition includes the fair value of assets transferred in exchange and liabilities undertaken. Financial assets are initially measured at their fair value plus transaction costs where appropriate.

Assets acquired at no cost, or for nominal consideration, are initially recognised as assets and income at their fair value at the date of acquisition, unless acquired as a consequence of restructuring of administrative arrangements. In the latter case, assets are initially recognised as contributions by owners at the amounts at which they were recognised in the transferor’s accounts immediately prior to the restructuring.

1.18 Property, Plant and Equipment

Asset Recognition Threshold Purchases of property, plant and equipment are recognised initially at cost in the statement of financial position, except for purchases costing less than $2,500, which are expensed in the year of acquisition (other than where they form part of a group of similar items which are significant in total).

The initial cost of an asset includes an estimate of the cost of dismantling and removing the item and restoring the site on which it is located. This is particularly relevant to ‘make good’ provisions in property leases taken up by GA where there exists an obligation to restore the property to its original condition. These costs are included in the value of GA’s leasehold improvements with a corresponding provision for the ‘make good’ recognised.

Revaluations Following initial recognition at cost, property, plant and equipment were carried at fair value less subsequent accumulated depreciation and accumulated impairment losses. Valuations were conducted with sufficient frequency to ensure that the carrying amounts of assets did not differ materially from the assets’ fair values as at the reporting date. The regularity of independent valuations depended upon the volatility of movements in market values for the relevant assets.

Revaluation adjustments are made on a class basis. Any revaluation increment was credited to equity under the heading of asset revaluation reserve except to the extent that it reversed a previous revaluation decrement of the same asset class that was previously recognised in the surplus/deficit. Revaluation decrements for a class of assets were recognised directly in the surplus/deficit except to the extent that they reversed a previous revaluation increment for that class.

Any accumulated depreciation as at the revaluation date is eliminated against the gross carrying amount of the asset and the asset restated to the revalued amount.

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Depreciation Depreciable property, plant and equipment assets are written-off to their estimated residual values over their estimated useful lives to GA using, in all cases, the straight-line method of depreciation.

Leasehold improvements are amortised on a straight-line basis over the lesser of the estimated useful life of the improvements or the unexpired period of the lease.

Depreciation rates (useful lives), residual values and methods are reviewed at each reporting date and necessary adjustments are recognised in the current, or current and future reporting periods, as appropriate.

Depreciation rates applying to each class of depreciable asset are based on the following useful lives:

2015 2014

Buildings on freehold land 40 years 40 years

Leasehold improvements 7 years or lease term 7 years or lease term

Plant and equipment

Heritage and cultural

4 to 25 years

Indefinite

4 to 25 years

Indefinite

Impairment All assets were assessed for impairment at 30 June 2015. Where indications of impairment exist, the asset’s recoverable amount is estimated and an impairment adjustment made if the asset’s recoverable amount is less than its carrying amount.

The recoverable amount of an asset is the higher of its fair value less costs of disposal and its value in use. Value in use is the present value of future cash flows expected to be derived from the asset. Where the future economic benefit of an asset is not primarily dependent on the asset’s ability to generate future cash flows, and the asset would be replaced if GA were deprived of the asset, its value in use is taken to be its depreciated replacement cost.

Derecognition An item of property, plant and equipment is derecognised upon disposal or when no further economic benefits are expected from its use or disposal.

Heritage and Cultural Assets GA’s heritage and cultural assets comprise: ï¿» a collection of minerals which are primarily held for public exhibition and education; and ï¿» the Commonwealth Paleontological Collection (CPC) - which includes internationally recognised

reference specimens used to define fossil species under the International Codes of Botanical and Zoological Nomenclature. Such assets are irreplaceable and have indefinite useful lives.

A key objective of GA is the preservation and storage of its collections. It is currently documenting its collection preservation policy and aims to minimise change to collection material, to protect items from the adverse effects of climate and chemical deterioration, and to safeguard our heritage not only for here and now but for generations to come, and will make these available for public inspection upon approval.

1.19 Intangibles

Software GA’s intangibles comprise purchased software. These assets, except for purchases costing less than $2,500 which are expensed in the year of acquisition, are carried at cost less accumulated amortisation and accumulated impairment losses.

Software is amortised on a straight-line basis over its anticipated useful life. The useful lives of GA’s software are 2 to 6 years (2013 -14: 2 to 6 years).

All software assets were assessed for indications of impairment as at 30 June 2015.

1.20 Collections not recognised as assets

Through the process of national geological mapping, both onshore and in Australia’s marine jurisdiction, and the national stewardship of cores, cuttings, and other samples and data submitted to the agency under the Petroleum Search Subsidy Act [PSSA] 1957-1961, Petroleum [Submerged Lands] Act 1967 amended, and the Offshore Petroleum and Greenhouse Gas Storage Act 2006, Geoscience Australia has diverse and comprehensive

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geoscience collections used for scientific research and analysis purposes. The collections have been acquired since the inception of GA’s forerunner, the Bureau of Mineral Resources, Geology and Geophysics (BMR), in 1946.

The rock and core collections include: ï¿» geological reference samples of surface rock and cores collected during the mapping of Australia; ï¿» physical cores and cuttings samples from offshore petroleum wells and stratigraphic boreholes holes which were submitted under various petroleum Acts referred to above; and ï¿» oil, gas and other fluid samples submitted under the various petroleum Acts.

Numerous data collections are maintained including fundamental types such as: ï¿» two and three dimensional seismic and non-seismic geophysical data; ï¿» satellite earth observation data; ï¿» geospatial data particularly geodetic data for positioning purposes; and ï¿» elevation and bathymetry.

These are national, and in some cases international CPC, collections, that have enduring scientific value for the nation. These collections are deemed irreplaceable, with an indefinite useful life. They are not recognised as assets as their value is not reliably measurable.

1.21 Taxation

GA is exempt from all forms of taxation except Fringe Benefits Tax (FBT) and the Goods and Services Tax (GST).

Revenues, expenses and assets are recognised net of GST except: ï¿» where the amount of GST incurred is not recoverable from the Australian Taxation Office; and ï¿» for receivables and payables.

1.22 Foreign Currency

Transactions denominated in a foreign currency are converted at the exchange rate at the date of the transaction. Foreign currency receivables and payables are translated at the exchange rates current as at balance date. Associated currency gains and losses are not material.

1.23 Comparative Figures

Some comparative figures have been adjusted to align with 2015 disclosure and the implementation of a new Financial Management Information System.

1.24 Compliance with statutory requirements

The Australian Government continues to have regard to developments in case law, including the High Court’s most recent decision on Commonwealth expenditure in Williams v Commonwealth [2014] HCA 23, as they contribute to the larger body of law relevant to the development of Commonwealth programs. In accordance with its general practice, the Government will continue to monitor and assess risk and decide on any appropriate actions to respond to risks of expenditure not being consistent with constitutional or other legal requirements.

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1.25 Reporting of Administered Activities

Administered revenues, expenses, assets, liabilities and cash flows are disclosed in the administered schedules and related notes.

Except where otherwise stated below, administered items are accounted for on the same basis and using the same policies as for departmental items, including the application of Australian Accounting Standards.

Administered Cash Transfers to and from the Official Public Account Revenue collected by GA for use by the Government rather than GA is administered revenue. Collections are transferred to the Official Public Account (OPA) maintained by the Department of Finance. Conversely, cash is drawn from the OPA to make payments under Parliamentary appropriation on behalf of Government. These transfers to and from the OPA are adjustments to the administered cash held by GA on behalf of the Government and reported as such in the schedule of administered cash flows and in the administered reconciliation schedule.

Revenue All administered revenues are revenues relating to the course of ordinary activities performed by GA on behalf of the Australian Government. As such, administered appropriations are not revenues of the individual entity that oversees distribution or expenditure of the funds as directed.

Grants and Subsidies GA administers one grant scheme on behalf of the Government which represents UN Grants-In-Aid to individuals.

The major financial activity was to provide UN Grants-In-Aid to support Australian involvement in International Geological Correlation Programme (IGCP) projects.

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Departmental

Administered

2015 2014

$’000 $’000

Total comprehensive income/(loss) less depreciation/amortisation expenses previously funded through revenue appropriations1 4,276 (8,812)

Plus: depreciation/amortisation expenses previously funded through revenue appropriation (11,266) (7,924)

Total comprehensive loss - as per the Statement of Comprehensive Income (6,990) (16,736)

1. From 2010-11, the Government introduced net cash appropriation arrangements, where revenue appropriations for depreciation/amortisation expenses ceased. Entities now receive a separate capital budget provided through equity appropriations. Capital budgets are to be appropriated in the period when cash payment for capital expenditure is required.

Note 2: Events After the Reporting Period

No events have occurred after balance date that should be brought to account or noted in the 2014-15 financial statements.

No events have occurred after balance date that should be brought to account or noted in the 2014-15 financial statements.

Note 3: Net Cash Appropriation Arrangements

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Note 4: Expenses

2015 2014

$’000 $’000

Note 4A: Employee Benefits Wages and salaries 55,972 63,251

Superannuation Defined contribution plans 4,241 4,821

Defined benefit plans 7,735 8,969

Leave and other entitlements 8,977 9,192

Separation and redundancies 1,555 7,392

Total employee benefits 78,480 93,625

Note 4B: Suppliers Goods and services supplied or rendered Consultants 689 891

Outsourced services 28,575 50,883

Travel 4,092 4,458

IT services 14,740 5,853

Office expenses 1,113 1,142

Property outgoings 5,600 5,512

Direct operational costs 21,885 6,359

Other 4,462 3,905

Total goods and services supplied or rendered 81,156 79,003

Goods supplied in connection with Related parties 15 58

External parties 1,468 2,861

Total goods supplied 1,483 2,919

Services rendered in connection with Related parties 2,297 2,085

External parties 77,376 73,999

Total services rendered 79,673 76,084

Total goods and services supplied or rendered 81,156 79,003

Other suppliers Operating lease rentals in connection with External parties Minimum lease payments 27,014 24,915

Workers compensation expenses 436 20

Total other suppliers 27,450 24,935

Total suppliers 108,606 103,938

Note 4C: Depreciation and Amortisation Depreciation Property, plant and equipment 7,713 5,342

Buildings 617 543

Total depreciation 8,330 5,885

Amortisation Intangibles 2,936 2,039

Total amortisation 2,936 2,039

Total depreciation and amortisation 11,266 7,924

Note 4D: Write-Down and Impairment of Assets Impairment on financial instruments 19 12

Impairment of property, plant and equipment - 1,800

Impairment on intangible assets 389 22

Total write-down and impairment of assets 408 1,834

The chart of accounts was changed on 1 July 2014. These changes have contributed to some of the movements from the prior year categorisations.

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Note 5: Own-Source Income

2015 2014

Own-Source Revenue $’000 $’000

Note 5A: Sale of Goods and Rendering of Services Sale of goods in connection with Related parties 326 634

External parties 630 2,584

Total sale of goods 956 3,218

Rendering of services in connection with Related parties 36,428 31,104

External parties 21,722 24,003

Total rendering of services 58,150 55,107

Total sale of goods and rendering of services 59,106 58,325

Note 5B: Other Revenue Resources received free of charge Remuneration of auditors 89 89

Other revenue 35 124

Total other revenue 124 213

Gains

Note 5C: Other Gains Resources received free of charge Computer software - 292

Property, plant and equipment 5,956 -

Total other gains 5,956 292

Note 5D: Revenue from Government Appropriations Departmental appropriations 124,976 130,990

Supplementation Department of Industry and Science - Geoscience Australia 1,829 4,464

Total revenue from Government 126,805 135,454

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Note 6: Fair Value Measurements The following tables provide an analysis of assets and liabilities that are measured at fair value. The different levels of the fair value hierarchy are defined below.

Level 1: Quoted prices (unadjusted) in active markets for identical assets or liabilities that the entity can access at measurement date. Level 2: Inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly or indirectly.

Note 6A: Fair Value Measurements, Valuation Techniques and Inputs Used

2015 2014

$'000 $'000

Non-financial assets

3

Land 765 765 Level 3 Market Approach Adjusted market transactions

Building 361 379 Level 3

Depreciated Replacement Cost

(DRC)

Replacement Cost New (price per square metre)

Consumed economic benefit /

Obsolescence of asset

Leasehold Improvements

3,296 3,888 Level 3

Depreciated Replacement Cost

(DRC)

Replacement Cost New

Infrastructure, Plant and Equipment

2,130 2,501 Level 2 Market Approach Adjusted market transactions

Infrastructure, Plant & Equipment

26,395 22,578 Level 3

Depreciated Replacement Cost

(DRC)

Replacement Cost New (price per square metre)

Heritage and Cultural Collection

2,165 2,165 Level 2 Market Approach adjusted market transactions

Heritage and Cultural Collection (CPC Collection)

200 200 Level 3 Market Approach adjusted market transactions

Total non-financial assets

35,312 32,476

Total fair value measurements of assets in the statement of financial position

35,312 32,476

Note 6B: Level 1 and Level 2 Transfers for Recurring Fair Value Measurements 1. Geoscience Australia had no transfers between level 1 and 2 of the measurement hierarchy.

The entity's policy for determining when transfers between levels are deemed to have occurred can be found in Note 1.

Inputs used Valuation technique(s)

2

Category (Level

1, 2 or 3)

Fair value measurements at the end of the reporting period

For Levels 2 and 3 fair value measurements

Level 3: Unobservable inputs for the asset or liability. Geoscience Australia

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Note 6C: Reconciliation for Recurring Level 3 Fair Value Measurements Recurring Level 3 fair value measurements - reconciliation for assets

2015 2014 2015 2014 2015 2014 2015 2014 2015 2014

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

As at 1 July

1,144 6,102 3,888 3,866 200 - 22,578 26,803 27,810 36,771

Total gains/(losses) recognised in net cost of services

1

(18) (143) (598) (401) - - (6,577) (7,139) (7,193) (7,683)

Total gains/(losses) recognised in other comprehensive income

2

- (242) - (748) - 200 (59) (4,434) (59) (5,224)

Purchases

- 283 6 108 - - 10,933 5,568 10,939 5,959

Other movements

- - - - - - (480) (2,501) (480) (2,501)

Reclassification of assets class

- (4,856) - 1,063 - - - 4,281 - 488

Total as at 30 June

1,126 1,144 3,296 3,888 200 200 26,395 22,578 31,017 27,810

1. These gains/(losses) are presented in the Statement of Comprehensive Income under depreciation and amortisation.

2. This reflects the fair value decrement of level 3 property plant and equipment or impairment.

The entity's policy for determining when transfers between levels are deemed to have occurred can be found in Note 1.

Note 6: Fair Value Measurements (Cont'd)

Financial assets Non-financial assets

Land & Buildings Leasehold improvements Heritage and cultural Other property, plant &

equipment

Total

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Note 7: Financial Assets

2015 2014

$’000 $’000

Note 7A: Trade and Other Receivables Goods and services receivables in connection with Related parties 1,802 1,516

External parties 4,400 3,450

Total goods and services receivables 6,202 4,966

Appropriations receivables Existing programs 73,924 87,691

Total appropriations receivables 73,924 87,691

Other receivables Statutory receivables 1,048 1,922

Other 5,975 -

Total other receivables 7,023 1,922

Total trade and other receivables (gross) 87,149 94,579

Less impairment allowance Goods and services (24) (12)

Total impairment allowance (24) (12)

Total trade and other receivables (net) 87,125 94,567

Trade and other receivables (net) expected to be recovered No more than 12 months 87,094 94,567

More than 12 months 31 -

Total trade and other receivables (net) 87,125 94,567

Trade and other receivables (gross) aged as follows Not overdue 85,393 94,137

Overdue by 0 to 30 days 1,643 51

31 to 60 days 23 40

61 to 90 days 5 62

More than 90 days 85 289

Total trade and other receivables (gross) 87,149 94,579

Impairment allowance aged as follows Overdue by 61 to 90 days (2) -

More than 90 days (22) (12)

Total impairment allowance (24) (12)

Credit terms for goods and services are net 30 days (2014: 30 days).

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Reconciliation of the Impairment Allowance

Movements in relation to 2015

Goods and services

Other

receivables

Total

$'000 $'000 $'000

As at 1 July 2014 (12) - (12)

Amounts recovered and reversed 7 - 7

Increase/(Decrease) recognised in net cost of services (19) - (19)

Total as at 30 June 2015 (24) - (24)

Movements in relation to 2014

Goods and services

Other

receivables

Total

$'000 $'000 $'000

As at 1 July 2013 - - -

Increase/(Decrease) recognised in net cost of services (12) - (12)

Total as at 30 June 2014 (12) - (12)

2015 2014

$’000 $’000

Note 7B: Other Financial Assets Accrued Revenue 528 2,236

Total other financial assets 528 2,236

All other financial assets are expected to be recovered within 12 months.

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Note 8: Non-Financial Assets

Revaluations of non-financial assets

Note 8A: Reconciliation of the Opening and Closing Balances of Property, Plant and Equipment

Reconciliation of the opening and closing balances of property, plant and equipment for 2015

Land Buildings Leasehold improvements

Total land and buildings Heritage

and cultural

Other

property, plant & equipment Total

$’000 $’000 $’000 $’000 $’000 $’000 $’000

As at 1 July 2014 Gross book value 765 379 3,888 5,032 2,365 25,361 32,758

Accumulated depreciation and impairment - - - - - (282) (282)

Total as at 1 July 2014 765 379 3,888 5,032 2,365 25,079 32,476

Additions Purchase - - 6 6 - 5,386 5,392

Resources received free of charge - - - - - 5,956 5,956

Impairments recognised in other comprehensive income - - - - - (169) (169)

Depreciation - (18) (598) (616) - (7,712) (8,328)

Disposals - - - - - (15) (15)

Total as at 30 June 2015 765 361 3,296 4,422 2,365 28,525 35,312

Total as at 30 June 2015 represented by Gross book value 765 379 3,894 5,038 2,365 36,357 43,760

Accumulated depreciation and impairment - (18) (598) (616) - (7,832) (8,448)

Total as at 30 June 2015 765 361 3,296 4,422 2,365 28,525 35,312

Reconciliation of the opening and closing balances of property, plant and equipment for 2014

Land Buildings Leasehold improvements Total land

and buildings Heritage and cultural1

Other property, plant & equipment Total

$’000 $’000 $’000 $’000 $’000 $’000 $’000

As at 1 July 2013 Gross book value 1,125 5,115 4,255 10,495 1,982 31,196 43,673

Accumulated depreciation and impairment - (138) (389) (527) - (4,393) (4,920)

Total as at 1 July 2013 1,125 4,977 3,866 9,968 1,982 26,803 38,753

Additions Purchase - 283 108 391 - 5,568 5,959

Revaluations recognised in other comprehensive income (360) 118 (725) (967) 383 (3,917) (4,501)

Impairments recognised in other comprehensive income - - (23) (23) - (517) (540)

Impairments recognised in net cost of services - - - - (1,800) (1,800)

Depreciation - (143) (401) (544) - (5,339) (5,883)

Other movements Reclassification of assets class - (4,856) 1,063 (3,793) - 4,281 488

Total as at 30 June 2014 765 379 3,888 5,032 2,365 25,079 32,476

Total as at 30 June 2014 represented by Gross book value 765 379 3,888 5,032 2,365 25,361 32,758

Accumulated depreciation and impairment - - - - - (282) (282)

Total as at 30 June 2014 765 379 3,888 5,032 2,365 25,079 32,476

No Property, Plant and Equipment are expected to be sold or disposed of within the next 12 months.

Property, plant and equipment was assessed for impairment in accordance with the impairment policy stated at Note 1. This resulted in the recognition of an impairment write-down of $168,299 (2014: $539,522) which was recorded as other comprehensive income. There was also an impairment write-down of Nil (2014: $1,800,000) which was recorded as an expense.

No revaluation was performed during the 2014-15 financial year.

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Note 8: Non-Financial Assets (Cont'd) Note 8B: Reconciliation of the Opening and Closing Balances of Intangibles

Reconciliation of the opening and closing balances of intangibles for 2015 Computer software purchased $’000

As at 1 July 2014 Gross book value 8,560

Accumulated amortisation and impairment (3,057)

Total as at 1 July 2014 5,503

Additions Purchase 1,066

Impairments recognised in net cost of services (389)

Amortisation (2,936)

Total as at 30 June 2015 3,244

Total as at 30 June 2015 represented by Gross book value 8,902

Accumulated amortisation and impairment (5,658)

Total as at 30 June 2015 3,244

Reconciliation of the opening and closing balances of intangibles for 2014 Computer software purchased $’000

As at 1 July 2013 Gross book value 6,310

Accumulated amortisation and impairment (1,054)

Total as at 1 July 2013 5,256

Additions Purchase 2,504

Resources received free of charge 292

Impairments recognised in net cost of services (22)

Amortisation (2,039)

Other movements Reclassification of asset class (488)

Total as at 30 June 2014 5,503

Total as at 30 June 2014 represented by Gross book value 8,560

Accumulated amortisation and impairment (3,057)

Total as at 30 June 2014 5,503

No intangibles are expected to be sold or disposed of within the next 12 months.

2015 2014

$’000 $’000

Note 8C: Other Non-Financial Assets Prepayments 4,896 2,705

Lease assets - 2,500

Total other non-financial assets 4,896 5,205

Other non-financial assets expected to be recovered No more than 12 months 4,760 5,127

More than 12 months 136 78

Total other non-financial assets 4,896 5,205

No indicators of impairment were found for other non-financial assets.

Intangibles were assessed for impairment in accordance with the impairment policy stated at Note 1. This resulted in the recognition of an impairment write-down of $389,016 (2014: $22,464) which was recorded as an expense.

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Note 9: Payables

2015 2014

$’000 $’000

Note 9A: Suppliers Trade creditors and accruals 8,687 8,086

Operating lease rentals 12,060 5,272

Total suppliers 20,747 13,358

Suppliers expected to be settled No more than 12 months 14,050 8,086

More than 12 months 6,697 5,272

Total suppliers 20,747 13,358

Suppliers in connection with Related parties 67 58

External parties 20,680 13,300

Total suppliers 20,747 13,358

Note 9B: Other Payables Wages and salaries 2,583 2,882

Superannuation 409 376

Separations and redundancies 1,108 2,071

Lease incentive 20,784 18,911

Prepayments received/unearned income 36,796 55,319

Other 79 163

Total other payables 61,759 79,722

Other payables expected to be settled No more than 12 months 29,945 62,000

More than 12 months 31,814 17,722

Total other payables 61,759 79,722

Supplier payables are settled within 30 days.

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Note 10: Provisions

2015 2014

$’000 $’000

Note 10A: Employee Provisions Leave 25,936 24,455

Total employee provisions 25,936 24,455

Employee provisions expected to be settled No more than 12 months 7,808 8,460

More than 12 months 18,128 15,995

Total employee provisions 25,936 24,455

Note 10B: Other Provisions Provision for restoration 600 552

Total other provisions 600 552

Other provisions expected to be settled More than 12 months 600 552

Total other provisions 600 552

Provision for restoration $’000

As at 1 July 2014 552

Additional provisions made 26

Unwinding of discount or change in discount rate 22

Total as at 30 June 2015 600

GA currently has three (2014: 3) agreements for the leasing of premises which have provisions requiring GA to restore the premises to their original condition at the conclusion of the lease. GA has made a provision to reflect the present value of this obligation.

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Note 11: Cash Flow Reconciliation

2015 2014

$’000 $’000

Reconciliation of cash and cash equivalents as per statement of financial position to cash flow statement

Cash and cash equivalents as per Cash flow statement 2,671 5,212

Statement of financial position 2,671 5,212

Discrepancy - -

Reconciliation of net cost of services to net cash from/(used by) operating activities Net (cost of)/contribution by services (133,601) (148,554)

Revenue from Government 126,805 135,454

Adjustments for non-cash items Depreciation/amortisation 11,266 7,924

Net write down of non-financial assets 408 1,834

Loss disposal of assets 15 -

Resources received free of charge (89) (89)

Movements in assets and liabilities Assets (Increase)/Decrease in net receivables 3,239 (1,612)

(Increase)/Decrease in other non-financial assets 309 (560)

Liabilities Increase/(Decrease) in employee provisions 1,481 (3,585)

Increase/(Decrease) in suppliers payables 7,389 3,435

Increase/(Decrease) in other payables (17,963) 12,724

Increase/(Decrease) in other provisions 48 (1,356)

Net cash from/(used by) operating activities (693) 5,615

Note 12: Senior Management Personnel Remuneration

2015 2014

$ $

Short-term employee benefits Salary 1,546,772 1,517,153

Motor vehicle and other allowances 10,630 4,178

Total short-term employee benefits 1,557,402 1,521,331

Post-employment benefits Superannuation 495,846 470,216

Total post-employment benefits 495,846 470,216

Other long-term employee benefits Annual leave 134,232 173,848

Long-service leave 85,572 84,824

Total other long-term employee benefits 219,804 258,672

Termination benefits Early termination benefit 93,244 -

Total termination benefits 93,244 -

Total senior executive remuneration expenses 2,366,296 2,250,219

The total number of senior management personnel that are included in the above table is for seven substantive positions (2014: 7).

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2015 2014

Notes $'000 $'000

Note 13A: Categories of Financial Instruments Financial Assets Loans and receivables Cash and cash equivalents 2,671 5,200

Trade and other receivables 6,178 4,966

Other financial assets 528 2,236

Total loans and receivables 9,377 12,402

Total financial assets 9,377 12,402

Financial Liabilities Financial liabilities measured at amortised cost Trade creditors and accruals 8,687 8,086

Unearned income 36,796 55,319

Total financial liabilities measured at amortised cost 45,483 63,405

Total financial liabilities 45,483 63,405

Note 13B: Credit Risk

Note 13C: Liquidity Risk

Note 13D: Market Risk

Currency risk

2015 2014

Notes $'000 $'000

Total financial assets as per statement of financial position 90,324 102,015

Less: Non-financial instrument components Appropriation receivables 7A 73,924 87,691

Other receivables 7A 5,975 -

Statutory receivables 7A 1,048 1,922

Total non-financial instrument components 80,947 89,613

Total financial assets as per financial instruments note 9,377 12,402

Note 14: Financial Assets Reconciliation

Note 13: Financial Instruments

Currency risk refers to the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in foreign exchange rates. GA was exposed to $4,000 (2014: $15,000 loss) foreign exchange currency gain in 2015 primarily through undertaking certain transactions denominated in foreign currency. The currency risk to GA is minimal.

Credit risk represents the loss that would be recognised if counterparties failed to perform as contracted. The maximum credit risk on financial assets of which GA recognised is exposed is the carrying amount net of any impairment loss as indicated in the balance sheet. Due to the majority of GA's receivables being from Government Agencies, such risk is considered to be low. GA held no collateral to mitigate against credit risk. The maximum exposure to credit risk is equal to the amount of receivables and other financial assets totalling $6.706m.

GA is appropriated funded from the Australian Government and has policies in place to ensure adequate funds are available to meet payments as they fall due, it is highly unlikely that GA will encounter difficulty in meeting its obligations associated with financial liabilities. GA has sufficient assets to meet its financial liabilities at 30 June 2015.

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Note 15: Administered - Expenses

2015 2014

$'000 $'000

Note 15A: Grants Private sector

Australian UNESCO Committee for the International Geological Correlation Programme 20 20

Total grants 20 20

2015 2014

$’000 $’000

Reconciliation of cash and cash equivalents as per administered schedule of assets and liabilities to administered cash flow statement

Cash and cash equivalents as per Schedule of administered cash flows - -

Schedule of administered assets and liabilities - -

Discrepancy - -

Reconciliation of net cost of services to net cash from/(used by) operating activities

Net (cost of)/contribution by services (20) 117

Movements in assets and liabilities Assets (Increase)/Decrease in net receivables - (139)

Liabilities Increase/(Decrease) in other payables - -

Net cash from/(used by) operating activities (20) (22)

Note 16: Administered - Cash Flow Reconciliation

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Annual

Appropriation1 AFM2 Section 74 $'000 $'000 $'000 $'000 $'000 $'000

Departmental Ordinary annual services 131,407 - 42,818 174,225 190,733 (16,508)

Other services Equity 10 - - 10 10 -

Total departmental 131,417 - 42,818 174,235 190,743 (16,508)

Administered Ordinary annual services Administered items 20 - - 20 20 -

Total administered 20 - - 20 20 -

Annual

Appropriation1 AFM2 Section 31

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

Departmental Ordinary annual services 139,023 - 48,036 187,059 180,848 6,211

Other services Equity 160 - - 160 - 160

Total departmental 139,183 - 48,036 187,219 180,848 6,371

Administered Ordinary annual services Administered items 20 - - 20 20 -

Total administered 20 - - 20 20 -

1. GA received $4.464m in supplementation for the 2013-14 financial year through Appropriation Act No. 5 and $169,000 of the departmental appropriation was reduced by Appropriation Act (No. 5) which previously was made available to GA through Appropriation Act (No. 1).

2. In 2013-14, there was no adjustment that met the recognition criteria of a formal addition or reduction in revenue (in accordance with FRR Part 6 Div 3) and at law the appropriations had not been amended before the end of the reporting period.

3. Departmental variances are as a result of the Section 31 revenue received in advance in 2013-14 which will be expensed and paid in 2014-15.

1. GA received $1.829m in supplementation for the 2014-15 financial year through Appropriation Act No. 5.

2. In 2014-15, there was no adjustment that met the recognition criteria of a formal addition or reduction in revenue (in accordance with FRR Part 6 Div 3) and at law the appropriations had not been amended before the end of the reporting period.

3. In 2014-15, the departmental variance was predominantly driven by Section 74 program spending for which receipts were received in previous years.

Annual Appropriations for 2014

Appropriation Act FMA Act

Total

appropriation

Appropriation applied in 2014 (current and prior years) Variance3

Note 17: Appropriations

Note 17A: Annual Appropriations ('Recoverable GST exclusive')

Annual Appropriations for 2015

Appropriation Act PGPA Act

Total

appropriation

Appropriation applied in 2015 (current and prior years) Variance3

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Appropriation Act PGPA Act

Annual Capital Budget Section 75

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

Departmental

Ordinary annual services - Departmental Capital Budget1 4,602 - 4,602 6,629 6,629 (2,027)

Appropriation Act FMA Act

Annual Capital Budget Section 32

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

Departmental Ordinary annual services - Departmental Capital Budget1 3,569 - 3,569 7,467 7,467 (3,898)

2015 2014

$'000 $'000

Departmental

Appropriation Act (No. 2) 2012-13 - Non Operating - Equity Injection - 200

Appropriation Act (No. 1) 2013-14 - 87,331

Appropriation Act (No. 2) 2013-14 - Non Operating - Equity Injection - 160

Appropriation Act (No. 1) 2013-14 - Cash - 5,212

Appropriation Act (No. 1) 2014-15 72,856 -

Appropriation Act (No. 5) 2014-15 1,068 -

Appropriation Act (No. 1) 2014-15 - Cash 2,671 -

Total departmental 76,595 92,903

1. Departmental and Administered Capital Budgets are appropriated through Appropriation Acts (No.1,3,5). They form part of ordinary annual services, and are not separately identified in the Appropriation Acts. For more information on ordinary annual services appropriations, please see Note 17A: Annual Appropriations.

2. Payments made on non-financial assets include purchases of assets, expenditure on assets which has been capitalised, costs incurred to make good an asset to its original condition, and the capital repayment component of finance leases.

2014 Capital Budget Appropriations

Capital Budget Appropriations applied in 2014 (current and prior years)

Total Capital Budget

Appropriations

Payments for non-financial assets2 Total payments Variance

1. Departmental and Administered Capital Budgets are appropriated through Appropriation Acts (No.1,3,5). They form part of ordinary annual services, and are not separately identified in the Appropriation Acts. For more information on ordinary annual services appropriations, please see Note 17A: Annual Appropriations.

2. Payments made on non-financial assets include purchases of assets, expenditure on assets which has been capitalised, costs incurred to make good an asset to its original condition, and the capital repayment component of finance leases.

Note 17C: Unspent Annual Appropriations ('Recoverable GST exclusive')

Note 17B: Departmental and Administered Capital Budgets ('Recoverable GST exclusive')

2015 Capital Budget Appropriations

Capital Budget Appropriations applied in 2015 (current and prior years)

Total Capital Budget

Appropriations

Payments for non-financial assets2 Total payments Variance

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Note 18: Special Accounts

2015 2014 2015 2014

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

Balance brought forward from previous period - 1 - 139

Increases Other receipts - 4 - 1

Total increases - 4 - 1

Available for payments - 5 - 140

Decreases Special Public Money Fund transferred to the OPA - - - 138

Total special public money - - - 138

Administered Payments made to suppliers - 5 - 2

Total administered - 5 - 2

Total decreases - 5 - 140

Total balance carried to the next period - - - -

Note 19: Reporting of Outcomes

Note 19A: Net Cost of Outcome Delivery

2015 2014

$’000 $’000

Departmental Expenses 198,798 207,384

Own-source income 65,197 58,830

Administered Expenses 20 20

Income - - - -

Net cost/(contribution) of outcome delivery 133,621 148,574

Joint Australian U.S. Geological and Geophysical Research Station Special Account (Administered)

1

Australia New Zealand Land Information Special Account (Administered)2

The JGGRS special account was closed on 01 July 2014. Geoscience Australia had no transactions in this account during the 2014-15 financial year.

1. Appropriation: Financial Management and Accountability Act 1997 section 20. Establishing Instrument: Financial Management and Accountability Determination 2009/34 . Purpose: For expenditure on agreed research projects and other program activities performed in conjunction with, or for private or other entities.

The Joint Australian U.S. Geological and Geophysical Research Station Account (JGGRS), established through Determination 2009/34, comprises funds from the United States Air Force (USAF). The funds are used to pay operating costs of the Joint Geology and Geophysics Station (JGGRS) at Alice Springs. This account is not included in the Schedule of Administered Items as Geoscience Australia only has custody and access to the funds to arrange disbursement in its capacity of providing administrative support. Geoscience Australia has no discretion over any of the funds contributed by USAF.

2. Appropriation: Financial Management and Accountability Act 1997 section 20. Establishing Instrument: Financial Management and Accountability Determination 2006/10 . Purpose: For the expenditure of moneys to meet the financial and administrative operation of the National Office of ANZLIC.

The Australian New Zealand Land Information Special Account was established under section 20 of the Financial Management and Accountability Act 1997 to: develop best practice policies and guidelines in spatial data management in Australia and New Zealand, and assist the growth of the spatial information industry in Australia and New Zealand. The administration and reporting in relation to this account was transferred to the Department of Communication during the 2013-14 financial year.

Outcome 1

GA only has one outcome: To inform government, industry and community decisions on the economic, social and environmental management of the nation’s natural resources through enabling access to geoscientific and spatial information

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Note 20A: Departmental Budgetary Reports

for the period ended 30 June 2015

Actual

Original 1

Variance2

2015 2015 2015

$'000 $'000 $'000

NET COST OF SERVICES Expenses Employee benefits 78,480 78,843 (363)

Suppliers 108,606 84,363 24,243

Depreciation and amortisation 11,266 8,183 3,083

Finance costs 23 70 (47)

Write-down and impairment of assets 408 - 408

Losses from asset sales 15 - 15

Total expenses 198,798 171,459 27,339

Own-Source Income

Own-source revenue Sale of goods and rendering of services 59,106 38,181 20,925

Other revenue 124 119 5

Total own-source revenue 59,230 38,300 20,930

Gains Foreign exchange gains 4 - 4

Reversals of previous asset write-downs and impairments 7 - 7

Other gains 5,956 - 5,956

Total gains 5,967 - 5,967

Total own-source income 65,197 38,300 26,897

Net cost of services (133,601) (133,159) (442)

Revenue from Government 126,805 124,976 1,829

Deficit attributable to the Australian Government (6,796) (8,183) 1,387

OTHER COMPREHENSIVE INCOME

Items not subject to subsequent reclassification to net cost of services

Changes in asset revaluation surplus (194) - (194)

Total other comprehensive loss (194) - (194)

Total comprehensive loss attributable to the Australian Government (6,990) (8,183) 1,193

1. The entity's original budgeted financial statement that was first presented to Parliament in respect of the reporting period (i.e. from the entity's 2014-15 Portfolio Budget Statements (PBS)).

2. Explanations of major variances between the actual and original budgeted amounts for 2015 are provided in Note 20B.

Note 20: Budgetary Reports and Explanations of Major Variances

The following tables provide a comparison of the original budget as presented in the 2014-15 Portfolio Budget Statements (PBS) to the 2014-15 final outcome as presented in accordance with Australian Accounting Standards for the entity. The Budget is not audited.

Variances are considered to be ‘major’ based on the following criteria: • the variance between budget and actual is greater than 10%; and • The variance between budget and actual is greater than 1% of the relevant category (Income, Expenses and Equity totals); or • an item below this threshold but is considered important for the reader’s understanding or is relevant to an assessment of the discharge of accountability and to an analysis of performance of an entity.

Statement of Comprehensive Income

Budget estimate

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Statement of Financial Position as at 30 June 2015

Actual

Original1 Variance2 2015 2015 2015

$’000 $’000 $’000

ASSETS Financial assets Cash and cash equivalents 2,671 2,500 171

Trade and other receivables 87,125 60,940 26,185

Investments accounted for using the equity method - 669 (669)

Other financial assets 528 856 (328)

Total financial assets 90,324 64,965 25,359

Non-financial assets Land and buildings 4,422 8,651 (4,229)

Heritage and cultural 2,365 1,982 383

Property, plant and equipment 28,525 28,811 (286)

Intangibles 3,244 5,909 (2,665)

Other non-financial assets 4,896 3,066 1,830

Total non-financial assets 43,452 48,419 (4,967)

Total assets 133,776 113,384 20,392

LIABILITIES Payables Suppliers 20,747 77 20,670

Other payables 61,759 45,860 15,899

Total payables 82,506 45,937 36,569

Provisions Employee provisions 25,936 29,406 (3,470)

Other provisions 600 2,065 (1,465)

Total provisions 26,536 31,471 (4,935)

Total liabilities 109,042 77,408 31,634

Net assets 24,734 35,976 (11,242)

EQUITY Parent entity interest

Contributed equity 32,926 32,926 -

Reserves 8,128 11,959 (3,831)

Accumulated deficit (16,320) (8,909) (7,411)

Total parent entity interest 24,734 35,976 (11,242)

Total equity 24,734 35,976 (11,242)

Budget estimate

1. The entity's original budgeted financial statement that was first presented to Parliament in respect of the reporting period (i.e. from the entity's 2014-15 Portfolio Budget Statements (PBS)).

2. Explanations of major variances between the actual and original budgeted amounts for 2015 are provided in Note 20B.

Note 20: Budgetary Reports and Explanations of Major Variances (Cont'd)

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Statement of Changes in Equity for not-for-profit Reporting Entities

Actual Actual Actual Actual

Original

1

Variance

2

Original

1

Variance

2

Original

1

Variance

2

Original

1

Variance

2

2015 2015 2015 2015 2015 2015 2015 2015 2015 2015 2015 2015

$’000 $'000 $'000 $’000 $'000 $'000 $’000 $'000 $'000 $’000 $'000 $'000

Opening balance

(9,524) (726) (8,798) 8,322 11,959 (3,637) 28,314 28,314 - 27,112 39,547 ( 12,435)

Comprehensive income Surplus/(Deficit) for the period

(6,796) (8,183) 1,387 (6,796) (8,183) 1387

Other comprehensive income

- - - (194) - (194) - - - (194) - ( 194)

Total comprehensive income

(6,796) (8,183) 1,387 (194) - (194) - - - (6,990) (8,183) 1,193

Transactions with owners Contributions by owners Equity injection

- - - - - - 10 10 - 10 10 -

Departmental capital budget

- - - - - - 4,602 4,602 - 4,602 4,602 -

Total transactions with owners

- - - - - - 4,612 4,612 - 4,612 4,612 -

Closing balance as at 30 June

(16,320) (8,909) (7,411) 8,128 11,959 (3,831) 32,926 32,926 - 24,734 35,976 (11,242)

1. The entity's original budgeted financial statement that was first presented to Parliament in respect of the reporting period (i.e. from the entity's 2014-15 Portfolio Budget Statements (PBS)).

Retained earnings

Asset revaluation surplus Contributed equity/capital Total equity

for the period ended 30 June 2015

Budget estimate Budget estimate Budget estimate Budget estimate

2. Explanations of major variances between the actual and original budgeted amounts for 2015 are provided in Note 20B. Geoscience Australia

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Actual

Original1 Variance2 2015 2015 2015

$’000 $’000 $’000

OPERATING ACTIVITIES Cash received Appropriations 193,056 147,851 45,205

Sale of goods and rendering of services 42,135 16,886 25,249

Net GST received 9,345 - 9,345

Total cash received 244,536 164,737 79,799

Cash used Employees (81,182) (78,654) (2,528)

Suppliers (111,563) (83,125) (28,438)

Section 74 receipts transferred to OPA (52,484) - (52,484)

Total cash used (245,229) (161,779) (83,450)

Net cash from/(used by) operating activities (693) 2,958 (3,651)

INVESTING ACTIVITIES Cash received Proceeds from sales of property, plant and equipment - 42 (42)

Total cash received - 42 (42)

Cash used Purchase of property, plant and equipment (5,394) (7,612) 2,218

Purchase of intangibles (1,066) - (1,066)

Total cash used (6,460) (7,612) 1,152

Net cash from/(used by) investing activities (6,460) (7,570) 1,110

FINANCING ACTIVITIES Cash received Contributed equity 4,612 4,612 -

Total cash received 4,612 4,612 -

Net cash from/(used by) financing activities 4,612 4,612 -

Net increase/(decrease) in cash held (2,541) - (2,541)

Cash and cash equivalents at the beginning of the reporting period 5,212 2,500 2,712

Cash and cash equivalents at the end of the reporting period 2,671 2,500 171

2. Explanations of major variances between the actual and original budgeted amounts for 2015 are provided in Note 20B.

Note 20: Budgetary Reports and Explanations of Major Variances (Cont'd)

Cash Flow Statement for not-for-profit Reporting Entities for the period ended 30 June 2015

Budget estimate

1. The entity's original budgeted financial statement that was first presented to Parliament in respect of the reporting period (i.e. from the entity's 2014-15 Portfolio Budget Statements (PBS)).

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Note 20B: Departmental Major Budget Variances for 2014-15

Explanations of major variances

Statement of Comprehensive Income GA received considerable more s74 revenue than was budgeted. The Budget was conservative and based on known revenue streams. Supplier expenses are also up on budget as GA had to incur associated expenses to earn the revenue. The actual result was in line with previous years. Cash received and used are also up on budget as GA had associated cashflows with the additional revenue and expenses.

Depreciation and amortisation were higher than anticipated due to a number of the useful lives of property, plant & equipment assets being reassessed downward by the valuer at 30 June 2014 increasing the depreciation expense for 2014-15.

The actual revaluation reserve is under budget due to the revaluation of all assets as at 30 June 2014. The valuation was not complete prior to the budget being prepared.

The actual provision for makegood was reassessed down by $1.4m by the valuer as 30 June 2014.

Other gains relates to the unbudgeted transfer of antenna assets from the Department of Environment that will be utilised in Alice Springs.

Trade and other receivables are over budget by $26m. The primary reasons are as follows:$20.3m was s74 revenue received in advance, $2.8m relates to salary disbursements being held to pay the staff salaries on 1 July 2015 (This amount is also shown in the cashflow statement making up the increase in employee payments over the budget) and $3m relates to a lease incentive receivable.

There are no GA investments accounted for using the equity method. This accounting treatment was corrected in the 2013-14 financial statements and was disclosed in Note 1.26.

There was a lower than budgeted spend on computer software for the year and a higher amortisation expense than budgeted principally due to reduced useful lives for a number of software assets. Note the budget line in the Cashflow Statement included intangibles in property, plant and equipment cash used.

Actual prepayments are over budget due to the July 2015 rent being prepaid in June 2015.

Actual GST received was not budgeted

Suppliers include the actual operating lease rental payable of $12m for the Symonston lease, straight-lined over the life of the lease including the extension in accordance with the AASB 117. This was not budgeted.

Other payables is over budget principally due to s74 revenue being received in advance.

Employee provisions are down on budget due to lower staffing FTE at year end compared to an original budget.

Appropriations and Section 74 receipts transferred to OPA are both under budget as these items were not budgeted for correctly. Department of Finance requires GA to return all s74 revenue to the OPA and then redraw that revenue when it is earned increasing the cash flows in and out.

Appropriations and Section 74 receipts transferred to OPA (Cash Flow Statement )

Other provisions (Statement of Financial Position)

Other gains (Statement of Comprehensive Income)

Trade and other receivables (Statement of Financial Position), Cash used employee (Cash Flow Statement)

Investments accounted for using the equity method (Statement of Financial Position)

Other non-financial assets (Statement of Financial Position), Cash used purchase of property plant and equipment, Purchase of intangibles (Cash Flow Statement)

Other non-financial assets (Statement of Financial Position)

Note 20: Budgetary Reports and Explanations of Major Variances (Cont'd)

Net GST received (Cash Flow Statement)

Suppliers (Statement of Financial Position)

Other payables (Statement of Financial Position)

Employee provisions (Statement of Financial Position)

Affected line items (and statement)

Supplier expenses, Sale of goods and rendering of services (Statement of Comprehensive Income), Supplier payables (Statement of Financial Position), Cash received - Sale of goods and rendering of services, Cash used - Suppliers (Cash Flow Statement)

Depreciation and amortisation (Statement of Comprehensive Income) Land, building and property, plant, equipment (Statement of Financial Position)

Reserves (Statement of Financial Position), Asset revaluation reserves (Statement of Changes in Equity)

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Note 20C: Administered Budgetary Reports

for the period ended 30 June 2015

Actual

Original1 Variance2 2015 2015 2015

$’000 $’000 $’000

NET COST OF SERVICES Expenses Grants 20 20 -

Total expenses 20 20 -

Total income - - -

Total comprehensive income/(loss) (20) (20) -

Note 20: Budgetary Reports and Explanations of Major Variances (Cont'd)

Administered Schedule of Comprehensive Income for not-for-profit Reporting Entities

Budget estimate

1. The entity's original budgeted financial statement that was first presented to Parliament in respect of the reporting period (i.e. from the entity's 2014-15 Portfolio Budget Statements (PBS)).

2.. There are no variances between the actual and original budgeted amounts for 2015 actual.

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Name of the CRC

Expected Termination Date

CRC Spatial Information 30/06/2018

Bushfire CRC 30/06/2017

CO2CRC 30/06/2015

National Environment Research Program 30/06/2015

Note 21: Cooperative Research Centres (CRCs)

All CRCs have been classified as joint operations as their purpose is for the pursuit of collaborative scientific research where participants share in the scientific outcomes and outputs of the CRCs.

GA’s total cash and in-kind contribution (e.g. staff and use of assets) to CRCs from its own resources was $2.481 million for the year (2014: $2.059 million). Contributions made by GA are expensed as incurred and these are included in the Statement of Comprehensive Income.

No contingent liabilities were reported by the CRC’s in which GA is a participant.

GA is a participant in the following CRCs as at 30 June 2015:

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Note 22A: Administered Restructuring

Australia New Zealand Land Information Special Account, Department of Communications

$’000 $’000

FUNCTIONS RELINQUISHED Assets relinquished Cash - 139

Total assets relinquished - 139

Liabilities relinquished Liabilities - -

Total liabilities relinquished - -

Net (assets)/liabilities relinquished - 139

2. The net assets relinquished to this entity in 2014 was $0.139m.

3. In respect of functions assumed, the net book values of assets and liabilities were transferred to the entity for no consideration.

Note 22: Restructuring

1. Australia New Zealand Land Information Special Account was relinquished to Department of Communications during 2013-14 due to Government decision.

2015 2014

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Annual Report 2014-15

PART B Chapter 11 Geoscience Australia appendices

CHAPTER 11

Geoscience Australia appendices

Appendix B1: Agency resource statement 2014-15

238

Appendix B2: Expenses and resources for 2014-15

23

9

Appendix B3: Workforce statistics

2

40

Appendix B4: Ecologically sustainable development and environmental performance

2

43

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GEOSCIENCE AUSTRALIA APPENDICES

Appendix B1: Agency resource statement 2014-15

Actual available appropriation for 2014-15 $’000

(a)

Payments made 2014-15 $’000

(b)

Balance remaining 2014-15 $’000

(a) - (b)

Ordinary Annual Services(1)

Departmental appropriation(2) 276,434 199,839 76,595

Total 276,434 199,839 76,595

Administered expenses

UN Grants-in-aid 20 20 -

Total 20 20 -

Total ordinary annual services 276,454 199,859 76,595

Departmental non-operating

Equity injections(3) 370 370 -

Total 370 370 -

Total Available Annual Appropriations and payments

276,824 200,229 76,595

Special account - - -

Total resourcing and payments for Geoscience Australia

276,824 200,229 76,595

1 Includes Appropriation Act (Nos.1 and 5) 2014-15, section 74 Retained Revenue Receipts of $52m and $93m carried forward from Appropriation Act (No.1) 2013-14.

2

Includes an amoun

t of $4.6m in 2014-15 for the Departmental Capital Budget. For accounting purposes this amoun

t has been designated as ‘contributions by owners’.

3

Includes Appropriation Act (No.2) 2014-15 and $360,000 carried forward from Appropriation Act (No.2) 2012-13

and Appropriation Act (No.2) 2013-14.

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Appendix B2: Expenses and resources for 2014-15 Expenses and resources for Outcome 1:

Informed government, industry and community decisions on the economic, social and environmental management of the nation’s natural resources through enabling access to geoscientific and spatial information.

Budget* 2014-15 $’000

Actual Expenses 2014-15 $’000

Variation 2014-15 $’000

(a) (b) (a)-(b)

Programme 1.1: Geoscientific and spatial information services

Administered expenses

Ordinary Annual Services (Appropriation Act No. 1) 20 20 -

Special Accounts - - -

Departmental expenses

Departmental appropriation1 193,374 187,443 5,931

Expenses not requiring appropriation in the Budget year 11,500 11,355 145

Total for Programme 1.1 204,894 198,818 6,076

Total expenses for Outcome 1

2013-14 2014-15

Average Staffing Level (number) 685 601

* Full year budget, including any subsequent adjustment made to the 2014-15 Budget at Additional Estimates.

1

Departmen

tal Appropriation combines Ordinary annual services (Appropriation Act Nos. 1 and 5) and R

etained Revenue Receipts under section 74 of the PGPA Act 2013.

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Appendix B3: Workforce statistics At 30 June 2015, Geoscience Australia had 607 staff members, 589 of whom were located in Canberra, six in Western Australia, one in the Northern Territory and two in Indonesia.

Employee statistics are shown in tables 35 to 40.

Table 35: Workplace agreement coverage, by classification, 30 June 2015, Geoscience Australia

APS classification EA coverage Common law contract Salary range Minimum Maximum

APS 1 (cadets) 1 0 $37 985 $41 210

APS 2 1 0 $47 097 $50 324

APS 3 3 0 $53 653 $57 040

APS 4 (including graduates)

45 0 $60 428 $68 183

APS 5 115 0 $67 312 $75 389

APS 6 140 0 $78 070 $90 369

EL 1 180 0 $93 974 $130 354

EL 2 115 0 $111 677 $200 449

SES Band 1 0 2 $195 000 $205 000

SES Band 2 0 4 $240 000 $265 000

SES Band 3 0 1 $300 000 $330 0001

TOTAL 600 7

APS = Australian Public Service; EA = Enterprise Agreement, EL = Executive Level; SES = Senior Executive Service

1

Indica

tive range used to protect privacy of individual occupant

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Table 36: Ongoing employees by classification and gender, 30 June 2014 and 30 June 2015, Geoscience Australia

APS classification

Female Male Total

2014 2015 2014 2015 2014 2015

APS 1 0 0 1 0 1 0

APS 2 0 0 1 1 1 1

APS 3 2 1 1 1 3 2

APS 4 16 18 13 18 29 36

APS 5 50 50 61 61 111 111

APS 6 53 56 78 76 131 132

EL 1 53 51 122 117 175 168

EL 2 25 23 98 87 123 110

SES Band 1 0 0 2 2 2 2

SES Band 2 0 0 4 4 4 4

SES Band 3 0 0 1 1 1 1

Total 199 199 382 368 581 567

APS = Australian Public Service; EL = Executive Level; SES = Senior Executive Service

Table 37: Non-ongoing employees by classification and gender, 30 June 2014 and 30 June 2015, Geoscience Australia

APS classification

Female Male Total

2014 2015 2014 2015 2014 2015

APS 1 0 0 1 1 1 1

APS 2 0 0 0 0 0 0

APS 3 0 1 0 0 0 1

APS 4 2 1 10 8 12 9

APS 5 2 3 3 1 5 4

APS 6 4 3 8 5 12 8

EL 1 1 1 16 11 17 12

EL 2 0 0 5 5 5 5

SES Band 1 0 0 0 0 0 0

SES Band 2 0 0 0 0 0 0

SES Band 3 0 0 0 0 0 0

Total 9 9 43 31 52 40

APS = Australian Public Service; EL = Executive Level; SES = Senior Executive Service

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Table 38: Number of full-time and part-time employees by classification, 30 June 2014 and 30 June 2015, Geoscience Australia

APS classification

Full-time Part-time Total

2014 2015 2014 2015 2014 2015

APS 1 2 1 0 0 2 1

APS 2 0 0 1 1 1 1

APS 3 3 3 0 0 3 3

APS 4 35 38 6 7 41 45

APS 5 106 107 10 8 116 115

APS 6 129 126 14 14 143 140

EL 1 179 170 13 10 192 180

EL 2 122 109 6 6 128 115

SES Band 1 2 2 0 0 2 2

SES Band 2 4 4 0 0 4 4

SES Band 3 1 1 0 0 1 1

Total 583 561 50 46 633 607

APS = Australian Public Service; EL = Executive Level; SES = Senior Executive Service

Table 39: Number of full-time and part-time employees by gender, 30 June 2014 and 30 June 2015, Geoscience Australia

Gender

Full-time Part-time Total

2014 2015 2014 2015 2014 2015

Male 412 390 13 9 425 399

Female 171 171 37 37 208 208

Total 583 561 50 46 633 607

Table 40: Indigenous employees, 30 June 2014 and 30 June 2015, Geoscience Australia

Employment status 2014 2015

Ongoing 3 3

Non-ongoing 2 0

Total 5 3

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Geoscience Australia uses an environmental management system to identify, modify and control environmental impacts in areas such as waste management, recycling and chemical disposal. Monitoring and reporting on water and energy consumption are also incorporated into this system. A voluntary staff committee, the Green Team, assists the organisation to develop a more environmentally friendly workplace by implementing environmentally friendly procedures and practices. The outsourced facilities management contract also focuses on responsible environmental management of the building and facilities.

Environmental initiatives at the Geoscience Australia building during 2014-15 included replacing 20 individual geothermal heat pump units (pilot stage) with more modern energy-efficient models. Other property management initiatives included:

■ an ongoing commitment in the negotiated

lease extension for the lessor to use its best endeavours to upgrade the building to achieve at least a 4-star base building National Australian Built Environment Rating System (NABERS) energy rating ■ the purchase of 10 per cent green energy

as part of the whole-of-government energy procurement process ■ the use of recycled paper (rated at

80 per cent recycled) for printing, and the use of default settings for double-sided printing ■ a major relocation project to consolidate

staff within the building, resulting in significant energy savings from decommissioning two large areas of the facility.

Appendix B4: Ecologically sustainable development and environmental performance Many of Geoscience Australia’s activities contribute to an improved understanding of the physical nature and health of the natural environment. See the report on performance in Chapter 8 for more details of specific activities.

Beyond its programme activities, Geoscience Australia pursued ecologically sustainable development (ESD) initiatives in its property and facilities management during 2014-15. The Geoscience Australia building has many ESD features, including:

■ a geothermal air-conditioning system

■ double-glazed windows and doors

■ a north-south axis

■ infrared movement detection for lighting

in general office areas ■ a large building footprint, allowing for a low

ratio of external wall to gross floor area in comparison to high-rise buildings, minimising the impact of external thermal conditions on the air-conditioning system ■ a smart building control management

system.

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Annual Report 2014-15

PART C Chapter 12 IP Australia Director General’s review

CHAPTER 12

IP Australia Director General’s review

IP Australia Director General’s review 2 46

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IP AUSTRALIA DIRECTOR GENERAL’S REVIEW

IP Australia’s vision is for a world leading intellectual property (IP) system building prosperity for Australia. The vision is supported by a new Strategic Plan, launched in March 2015, which signals the direction of IP Australia’s endeavours over the next four years.

Core business remains at the heart of IP Australia’s Strategic Plan. Our primary objective is to continue to administer the IP system efficiently and ensure its continued relevance for Australia’s economic growth. This creates a secure environment for investment in innovation and enables firms to build brand value and capture market share. Importantly, the patents system also encourages the disclosure of inventions and the take-up of knowledge and technology across the economy.

With the development and expansion of global markets, there is an increased focus on the value of IP rights. The evident value that markets place on IP is seen in larger corporate IP transactions, global licensing deals, assertive use of the legal system to enforce IP rights and the prominence of IP issues in trade negotiations.

While a range of domestic and international factors contribute to fluctuations in demand for IP rights, the overall trend in recent years has resulted in a growing demand, especially for trade marks. Domestic factors had an impact on new patent filings in 2014-15; however, growth

in demand for trade marks and higher than expected levels of renewals of IP rights were reflected in growth in our revenues.

As the value of IP in business, trade and investment grows, the importance of a high-performing IP system that is integrated into the global system of IP rights increases. Australia’s IP system continues to rank highly in global ratings, and IP Australia is generally well rated by its stakeholders and customers. We are committed to building on this base to deliver ongoing improvements in our effectiveness, efficiency and customer service, and thus contributing to national competitiveness.

We also engage closely with the administrative body for the global IP system, the World Intellectual Property Organization, as well as other national IP offices, to promote streamlined international IP rights administration and the adoption of global standards. Such developments can assist Australian exporters and facilitate trade and investment.

In 2014-15, we were active in multilateral and bilateral IP forums and continued to undertake capacity-building activities with other IP offices, especially those in our region. We supported relevant trade negotiations, including the China

-A

ustralia Free Trade Agreement, the Regional Comprehensive Economic Partnership and the Trans-Pacific Partnership. More generally, we contributed to a range of IP policy advice,

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from technical amendments to our legislation to analysis of the use of the IP system by various industry sectors.

The Australian Parliament passed the Intellectual Property Laws Amendment Act 2015 in February 2015. The Act provides

for the implementation of the protocol amending the World Trade Organization Agreement on Trade-Related Aspects of Intellectual Property (the TRIPS

Protocol)

and Australia-New Zealand Single Economic Market IP initiatives. In 2014-15, we also consulted on 22 further proposed legislative amendments designed to reduce regulatory red tape, by making the Australian IP system more streamlined, efficient and user-friendly for customers, and to support small business. These proposals will form the basis of legislative amendments planned for 2015-16.

In December 2014, IP Australia’s capability review report was publicly released. The report found that IP Australia delivers its core business effectively, is well regarded by stakeholders, both domestically and internationally, and has a capable and committed workforce. The report also highlighted opportunities to improve performance in areas including leadership, staff engagement, ICT management and a stronger external focus.

IP Australia is addressing the review’s key findings through implementing a Capability Action Plan, which sets out deliverables and time frames for action. Outcomes to date include a new vision and Strategic Plan, a revised internal governance structure and greater devolution of responsibility within the agency. The main themes of the plan focus on building a united, trusted and strategic culture in the organisation. The plan has informed IP

Australia’s 2014-15

strategic and operational planning.

IP Australia’s strong focus on quality management and the quality of IP rights examination decisions continues to highlight our commitment to ongoing improvement.

Consistently good outcomes showed high performance in all categories of quality standards for 2014-15.

During 2014-15, IP Australia also continued to seek ways to use data to the benefit of customers and other stakeholders. We released a comprehensive range of IP rights data on the Australian Government’s public dataset repository, data.gov.au. This resource—IP Government Open Data—provides a comprehensive, reliable dataset that is of value to IP researchers and professionals and supports the development and implementation of policies associated with IP in Australia. Under the oversight of our Chief Economist, we continue to develop our data and analysis capabilities to improve the evidence base for IP policy advice.

ICT systems are central to our IP rights management work and to customer engagement, as online transactions now account for around 97 per cent of all customer transactions. In 2014-15, IP Australia continued to modernise and improve its business systems and processing environment. This work will progressively deliver a more agile business environment that captures efficiencies and improves service delivery.

IP Australia is also looking at where we can add value to the work of our customers and contribute to the priorities of the Australian Government. In 2014-15, we launched a Patent Analytics Service, which is available to public sector entities such as universities and public research agencies. The service is designed to provide public sector researchers with better information on which to make decisions about issues, including the direction of research programmes, the commercialisation of research, and research collaboration opportunities. This work supports a better return on the public research dollar.

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Role and functions 250

Or

ganisational structure

250

Out

come and programme structure

25

1

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IP AUSTRALIA OVERVIEW

Role and functions IP Australia is the agency responsible f

or administering Australia’s IP rights system—specifically, trade marks, patents, designs and plant breeder’s rights.

As well as granting exclusive rights under the statutes it administers, IP

Australia advises the

Australian Government on IP policy; provides IP information and education services to business and the broader community; regulates the IP profession; and contributes to bilateral and multilateral negotiations and development cooperation programmes to promote a more harmonised global IP system.

These activities foster innovation within Australia by:

■ providing an incentive for research and

development by offering an opportunity to capture the economic benefits of innovation ■ promoting the disclosure of discoveries, and

thereby facilitating follow-on innovation ■ enabling firms to build brand value and

business reputation ■ providing the legal framework that underpins

firms bringing new technologies and inventions into Australia.

IP

Australia operates independently of the Department of Industry and Science on financial matters, and with delegated authority on other matters, and recovers more than 98

per cent of its costs by charging fees for its IP rights services.

Organisational structure Figure 3 shows the organisational structure of IP Australia. The department’s organisational chart (Figure 1) shows how IP Australia fits into the overall departmental structure.

In addition to helping the Director General to manage IP Australia, the Deputy Director

General

holds the offices of Commissioner of Patents, Registrar of Trade Marks, Registrar of Designs and Registrar of Plant Breeder’s Rights. The Deputy Director

General exercises functions

and powers under the legislation IP

Australia

administers, including the Olympic Insignia Protection Act 1987, the Patents Act 1990, the Plant Breeder’s Rights Act 1994, the Trade Marks Act 1995 and the Designs Act 2003.

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Figure 3: IP Australia organisational structure, 30 June 2015

Director General

Deputy Director General

General manager, People and Communications

General manager, Finance, Quality, Reporting and Property

General manager, Policy and Governance

General manager, Business and Information Management Solutions

General manager, RIO Program and Business Futures

General manager, Trade Marks and Designs

General manager, Patent and Plant Breeder’s Rights

General manager, Continuous Improvements Projects

General manager, Customer Operations

RiO = Rights in One

Outcome and programme structure IP Australia has one outcome and three programmes that contribute to that outcome, as shown in Table 41.

Table 41: IP Australia outcome and programme structure, 2014-15

Outcome 1: Increased innovation, investment and trade in Australia, and by Australians overseas, through the administration of the registrable intellectual property rights system, promoting public awareness and industry engagement, and advising government.

Programme Objective

1.1: IP Rights Administration and Professional Registration Intellectual property rights: IP Australia will deliver robust IP rights and satisfy its customers in terms of timeliness and value

for money. IP Australia will be recognised as one of the leading IP offices in the world for the quality (including accuracy and consistency) of the IP rights it grants.

Professional registration: IP Australia will successfully undertake its functions associated with persons wishing to qualify for registration as Patent and/or Trade Marks Attorneys and will provide effective secretariat support to the Professional Standards Board for Patent and Trade Marks Attorneys.

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Outcome 1: Increased innovation, investment and trade in Australia, and by Australians overseas, through the administration of the registrable intellectual property rights system, promoting public awareness and industry engagement, and advising government.

Programme Objective

1.2: Education, Awareness and International Engagement Education and awareness: IP Australia will facilitate understanding of the value of and access to the domestic

and international intellectual property system among its stakeholders in line with Australia’s interests.

International engagement: IP Australia will influence the development of effective intellectual property systems in line with Australia’s interests.

1.3: Advice to Government Policy and legislation: IP Australia’s programme of policy and legislative change will foster Australian innovation by shaping the development of the IP system both at home and abroad.

Support for advisory bodies: IP Australia will provide support to the Advisory Council on Intellectual Property (ACIP) and the Plant Breeder’s Rights Advisory Committee (PBRAC).

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Outcome 1 overview 254

Pr

ogramme 1.1: IP Rights Administration and Professional Registration

254

Pr

ogramme 1.2: Education, Awareness and International Engagement

256

Pr

ogramme 1.3: Advice to Government

258

Financial perf

ormance

2

60

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IP AUSTRALIA REPORT ON PERFORMANCE

Outcome 1 overview The outcome and programme structure for IP Australia is set out in the Industry and Science Portfolio Budget Statements (PBS) 2014-15. IP Australia has one outcome and three programmes that contribute to that outcome, as shown in Table 42.

Table 42: IP Australia outcome and programme structure and price results, 2014-15

Outcome 1 Increased innovation, investment and trade in Australia, and by Australians overseas, through the administration of the registrable intellectual property rights system, promoting public awareness and industry engagement, and advising government.

Programme 2014-15 target1 2014-15 actual

1.1 IP Rights Administration and Professional Registration $171.562 million $167.787 million

1.2 Education, Awareness and International Engagement $5.832 million $6.092 million

1.3 Advice to Government $5.883 million $5.715 million

IP = intellectual property 1 T

hese targets reflect revised budget estimates as provided in the Portfolio Budget Statements 2015-16.

Programme 1.1: IP Rights Administration and Professional Registration Programme 1.1 encompasses the administration of patent, trade mark, design and plant breeder’s IP rights legislation. It also includes the administration of the Professional Standards Board for Patent and Trade Marks Attorneys and the Patent and Trade Marks Attorneys Disciplinary Tribunal.

Performance review This section provides a summary of IP Australia’s performance against the deliverables and key performance indicators for Programme 1.1 set out in the IP Australia PBS 2014-15.

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Table 43: Programme 1.1 performance against deliverables, 2014-15

Deliverable

2014-15 target1

2014-15 actual

Receipt of Patent applications 28 120 28 163

Receipt of Patent Cooperation Treaty applications 3235 3264

Provision of Patent examination services 28 354 28 124

Receipt of Trade Mark applications 117 900 123 890

Provision of Trade Mark registration services 63 235 64 648

Receipt of Design applications 6200 6533

Provision of Design examination services 1415 1521

Receipt of Plant Breeder’s Rights applications 340 362

Provision of Plant Breeder’s Rights examination services 275 249

Receipt of Professional Standards Board for Patent and Trade Marks Attorneys applications 105 114

Provision of Professional Standards Board for Patent and Trade Marks Attorneys registration services 1115 1485

1 T hese targets reflect revised estimates as provided in the Portfolio Budget Statements 2015-16.

Table 44: Programme 1.1 performance against key performance indicators, 2014-15

Key performance indicator 2014-15 result

Intellectual property rights

The level of customer satisfaction with the consistency of IP Australia’s work

A customer survey conducted in 2014-15 showed that 67% of customers were satisfied that IP Australia was providing consistent decisions, compared with 64% in the 2013-14 survey; across the measures an average of 73% of customers were either satisfied or very satisfied overall with IP Australia products and services over the past 12 months, compared with 71% overall in 2013-14.

IP Australia’s performance in benchmarking against quality standards

During 2014-15, IP Australia maintained its compliance with the IS0 9001 Quality Standard while expanding its scope of certification to include its strategic communication and research and information services functions.

The level of maturity of quality assurance systems The outcomes of the Quality Review System continued to exceed prescribed product and service quality standards.

Timeliness of services against service charter standards The Customer Service Charter (CSC) commitment for patents was adjusted to 16 months for the first 6 months of the 2014-15 financial

year to reflect the effect of the work requested prior to IP reform in 2013. During this first 6 months, the average timeliness achieved was 13.0 months. For the second half of the financial year, the CSC commitment was reset to 12 months; for this period, the average timeliness achieved was 11.4 months. Over the full financial year, the average timeliness was 12.2 months.

Performance against the CSC standards for trade marks and designs was consistently high. The average timeliness for trade marks was 8.5 weeks and the average timeliness for designs was 7.2 weeks, which is well below the CSC commitment of 13 weeks.

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The level of work on hand for each IP right The patents inventory level was reduced for the year and was within the planning tolerance.

The trade marks inventory of unprocessed applications increased in 2014-15. Overtime and extra work offered through an Achievement Scheme are being utilised to reduce the stockpile.

Professional Standards Board for Patent and Trade Marks Attorneys

Stakeholder satisfaction with secretariat support The Professional Standards Board was satisfied with the secretariat support provided during the year.

Programme 1.2: Education, Awareness and International Engagement Programme 1.2 encompasses IP Australia’s role in raising awareness and educating customers about IP and engaging with key international stakeholders and IP bodies.

Performance review This section provides a summary of IP Australia’s performance against the deliverables and key performance indicators for Programme 1.2 set out in the IP Australia PBS 2014-15.

Table 45: Programme 1.2 performance against deliverables, 2014-15

Deliverable 2014-15 result

Delivery of public education and awareness programmes, which promote the importance of intellectual property (IP) and provide Australians with the tools they require to make informed decisions regarding IP

Public education and awareness programmes delivered by IP Australia included communication activities targeted to start-up businesses and entrepreneurs, accountants and exporters, Indigenous business owners, and secondary students through support to Questacon’s Smart Skills Initiative.

Proactive management of customer and international engagement activities, including development of cooperation activities

International engagement activities undertaken by IP Australia included participating in multilateral forums and trade negotiations as they relate to IP; overseeing Australia’s World Intellectual Property Organization funds in trust programme; and building the capacity of IP systems globally, including through the continuation of the Regional Patent Examination Training programme. These cooperation activities seek to add value to the global IP system and support private sector growth, facilitate trade and promote international competitiveness.

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Table 46: Programme 1.2 performance against key performance indicators, 2014-15

Key performance indicator 2014-15 result

Education and awareness

Increased use of public information services IP Australia’s website (www.ipaustralia.gov.au) is the primary source of information for customers. The number of visitors to the website

increased by 11% from 2013-14 to 2014-15, and visitors now total more than 2

million each year.

Increased public awareness of intellectual property rights IP Australia continued to raise public awareness through the delivery of relevant and timely information to stakeholders and customers.

Website content is a primary vehicle for this, alongside forums, subscription lists and social media channels. Other initiatives included Dream Shield, a suite of products for Indigenous IP owners, and IP Workshops for Start-ups, which educate small businesses and start-ups on the importance of IP.

IP Australia continued its formal relationships with CPA Australia, Engineers Australia and the Export Council of Australia to promote IP messages to their respective membership bases. Under these arrangements, IP Australia works closely with these groups to provide relevant information regarding the benefits of the IP rights system.

IP Australia is a supporting partner of the Questacon Smart Skills Initiative. This activity is targeted at secondary school students and aims to foster innovative thinking and invention. By joining with Questacon, IP Australia is able to show how IP is part of everyday life and why it is important to inventors.

The level of satisfaction with information services A customer research exercise found that 60% of participants rated IP Australia’s website as good or very good. Of customers surveyed about

IP Australia’s search systems, 57% rated the usefulness of those systems as 7 or higher on a scale of 1 to 10.

International engagement

The amount and quality of international work sharing Initiatives that allow IP offices to share examination work aim to increase the efficiency and quality of patent examination and reduce time and

costs for applicants.

IP Australia continued to manage two major initiatives relating to international work sharing:

■ It continued to develop a single application and examination process

for patents, to remove duplication and drive efficiencies and to make it easier for innovators to apply for the same patent in both Australia and New Zealand. This initiative is part of the Single Economic Market agenda to remove regulatory barriers to firms operating between Australia and New Zealand.

■ It continued to promote expansion of the World Intellectual Property

Organization (WIPO) Centralised Access to Search and Examination (CASE). WIPO CASE is an IT platform that enables IP offices to share their search and examination results.

Both projects met key deliverables. Australian legislation supporting the single application and examination processes received royal assent in February 2015. The membership of WIPO CASE doubled over 2014-15, with 18 international IP offices now participating.

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Programme 1.3: Advice to Government Programme 1.3 encompasses IP Australia’s role in providing advice on IP matters and supporting research into the current and future use of IP rights.

Performance review This section provides a summary of IP Australia’s performance against the deliverables and key performance indicators for Programme 1.3 set out in the IP Australia PBS 2014-15.

Table 47: Programme 1.3 performance against deliverables, 2014-15

Deliverable 2014-15 result

Provision of policy advice across government and internationally

IP Australia provided a range of policy advice on IP issues across government, including in relation to the government’s deregulation agenda, the Industry Innovation and Competitiveness Agenda and the Smaller Government agenda.

In February 2015, the Intellectual Property Laws Amendment Act 2015 received royal assent. Among other things, the Act allows for the implementation of the protocol amending the World Trade Organization Agreement on Trade-Related Aspects of Intellectual Property Rights (the TRIPS

Protocol) and Australia-New

Zealand Single Economic Market IP initiatives. In early 2015, IP Australia consulted stakeholders on a significant package of legislative proposals to further streamline IP processes and support small business.

IP Australia continued to represent Australia’s interests in the World Intellectual Property Organization and assisted the Department of Foreign Affairs and Trade in negotiating IP chapters in free trade agreements (FTAs), including the conclusion of the China-Australia FTA and negotiations on the Trans-Pacific Partnership and Regional Comprehensive Economic Partnership.

Table 48: Programme 1.3 performance against key performance indicators, 2014-15

Key performance indicator 2014-15 result

Policy and legislation

Satisfaction of stakeholders with quality and timeliness of advice on policy and legislation, and ministerial correspondence, speeches and briefings, submissions to reviews and government responses

IP Australia’s policy and advice were consistently delivered on time, including briefings to the Minister and Parliamentary Secretary on policy issues and the Intellectual Property Laws Amendment Act 2015.

IP Australia provided quality ministerial briefs and correspondence. In 2014-15, less than 5% of IP

Australia’s ministerial contributions

were returned for revision, and all contributions were provided on time.

In 2014-15, IP Australia provided 83 pieces of ministerial correspondence, 52 information briefs, 26 action briefs, one meeting brief, one engagement brief, two record of meeting briefs, four event briefs and two question time briefs.

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IP research

Increased understanding of IP issues impacting on Australian business Following the research programme published in the IP Report, IP Australia released a significant number of outputs in 2014-15, the

most important of which were the releases of the IP Government Open Data (IPGOD), which provides 100 years of IP data linked to Australian Business Numbers and economic research on innovation patents as part of a new research paper series. The patent analytics hub was expanded and provided insight into the patenting of technology around medical devices and mining in Australia.

The number of IP research initiatives Four economic research papers were published in 2014-15, as well as two iterations of IPGOD and two patent analytics reports. In addition, IP Australia continued its work on two Australian Research Council co-funded linkage grant projects on patent examination outcomes in different IP offices and the use of surveys in trade mark related court cases. New work commenced with the Organisation for Economic Co-operation and Development and the United States and United Kingdom IP offices to create the world’s first international trade mark database. Projects on Geographical Indications and forecasting also commenced.

Support for advisory boards

Council and board satisfaction with the quality of secretariat and research support provided

The Advisory Council on Intellectual Property (ACIP), the Plant Breeder’s Rights Advisory Committee and the Professional Standards Board for Patent and Trade Marks Attorneys indicated that they were very satisfied with the secretariat and research support provided by IP Australia in 2014-15.

The number of ACIP reviews completed IP Australia provided secretariat support to ACIP in the Review of the Designs System, which was completed in March 2015, and an

ACIP submission on parallel imports of trade marked goods to the Competition Policy Review. ACIP also published a statement with an updated recommendation on its review of the Innovation Patent System. ACIP was formally abolished in April 2015 after completing its work programme.

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Financial performance IP Australia recorded an operating surplus of $11.7 million for 2014-15 against a planned surplus of $2.2 million, as published in the 2015-16 PBS. Revenue was $5.8 million (3.1 per cent) above plan due to higher than anticipated IP right filings, registrations and renewals. Expenses were

$3.7 million (2.0 per cent) below budget as a result of a lower than planned average staffing level, delay in the commencement of IP Australia’s new Enterprise Agreement and general savings realised across the organisation.

IP Australia will monitor revenue trends carefully and will control costs to ensure continued sustainable operations. The organisation has sufficient financial assets to pay its suppliers and other payables as and when they fall due. IP Australia will continue to invest in productive assets to ensure continuing efficiency in its operations, improved functionality and user experience for customers, and to maintain a prominent position in the global market for the

registration of IP rights.

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IP Australia management and accountability

Corporate governance 2 62

Fraud control

2

62

External scrutiny

2

63

Management of human resources

2

63

Work health and safety

2

63

National Disability Strategy

2

64

Purchasing

2

64

Consultants and contracts

2

64

Grant programmes

2

65

Information Publication Scheme

2

65

Advertising and market research

2

65

Ecologically sustainable development and environmental performance

2

65

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IP AUSTRALIA MANAGEMENT AND ACCOUNTABILITY

Corporate governance IP Australia’s governance framework includes appropriate core governance forums as well as documented directions such as the Accountable Authority Instructions. Examination staff operate under a range of legislative powers as delegated to them by the Commissioner of Patents and the Registrar of Trade Marks, Designs and Plant Breeder’s Rights.

IP Australia reviewed its core governance arrangements at the beginning of 2014-15 and now has the following governance forums, which foster strategic decision-making and accountability:

■ Executive Board

■ Business Investment Committee

■ Finance and Planning Committee

■ People and Communication Committee

■ Audit Committee.

IP Australia’s Audit Committee provides independent assurance and advice to the Director General and Executive Board on IP Australia’s accountability and control framework, including independent verification and safeguarding the integrity of the entity’s financial and performance reporting. The composition of the Audit Committee and its charter were reviewed to comply with the requirements of the Public Governance, Performance and Accountability Act 2013 (PGPA Act) and the Australian National Audit

Office’s March 2015 better practice guide, Public Sector Audit Committees: Independent assurance and advice for Accountable Authorities.

IP Australia’s Risk Management Framework was reviewed in accordance with the Commonwealth Risk Management Policy. IP Australia continues to use risk management as a key decision-making tool; this work includes quarterly reviews of the corporate risk register and treatment strategies by the Executive Board and the Audit Committee to ensure that areas of high risk are being managed appropriately.

Fraud control IP Australia is committed to minimising the incidence of fraud against its operations. IP Australia’s Fraud Control Framework includes prevention, detection, investigation and reporting strategies as required by the PGPA Act and the Commonwealth Fraud Control Framework.

The Audit Committee regularly reviews the Fraud Control Plan and the Fraud Risk Register in addition to monitoring any allegations of fraud and the status of any ongoing investigations. No allegations or instances of fraud were reported in 2014-15.

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External scrutiny IP Australia is subject to external scrutiny in the form of appeals or applications for judicial review of decisions made by the Commissioner of Patents and the Registrars of Trade Marks, Designs, and Plant Breeder’s Rights. The Federal Court of Australia has jurisdiction over decisions of each of these statutory officers, and the Administrative Appeals Tribunal has power to review some decisions of each of the officers. Decisions of the Registrars of Trade Marks and Designs can also be appealed in the Federal Circuit Court (previously the Federal Magistrates Court).

IP Australia undertook a voluntary capability review by the Australian Public Service Commission (APSC). The report on the review was published on the APSC website in December 2014.

A list of appeals or applications for judicial review received in 2014-15 is in Appendix C1.

Management of human resources In 2014-15, IP Australia developed and implemented a number of workforce management strategies in response to the 2014 APSC agency capability review. The key strategies included a new strategic plan; a workforce planning framework, including IP Australia’s first Strategic Workforce Plan; a learning and development strategy; and an action plan in response to the capability review. IP Australia also entered into a shared services arrangement with the Department of Industry and Science to provide payroll and system administration services.

IP Australia’s Enterprise Agreement 2011-2014 nominally expired on 30 June 2014. Negotiations on a new enterprise agreement commenced in May 2014 and are continuing. The terms and

conditions prescribed in the 2011-2014 agreement will continue to apply until a new agreement is established.

IP Australia’s workforce statistics tables are in Appendix C4.

Work health and safety In 2014-15, IP Australia continued to prioritise matters related to work health and safety (WHS) and remained committed to providing a safe working environment for all workers (employees, contactors and others) and visitors. The agency has a strong commitment to meeting its obligations under the Work Health and Safety Act 2011 and the Safety, Rehabilitation and Compensation Act 1988.

The First Aid Officers Committee, the Health and Safety Representative Committee and the WHS Committee facilitated effective communication on WHS matters. The agency implemented and facilitated consultation through the Safety Improvement Plan, which is a product of the WHS risk register; the WHS management system audit; and mental health policy actions.

The agency delivered a number of health and wellbeing initiatives, including annual flu vaccinations, annual skin checks, annual health assessments, lunchtime health and wellbeing seminars, awareness campaigns that aligned with national awareness days, and support for lunchtime classes, such as yoga and Pilates.

IP Australia continued to contribute to eye testing and optical correction services for eligible employees who perform significant screen-based work. The subsidy was administered in accordance with the agency’s guide to allowances.

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IP Australia supports small business participation in the Australian Government procurement market. Participation statistics are available on the Department of Finance website (www.finance.gov.au/procurement/statistics -on-commonwealth-purchasing-contracts/).

From 2014-15, the information contained in the Senate Order report is available on AusTender (www.tenders.gov.au). The Senate Order report includes a list of all contracts valued at $100

000

and above that were not fully performed or were entered into in the previous 12 months. All non-procurement contracts entered into during the relevant 12-month reporting period are published on the IP

Australia website

(www.ipaustralia.gov.au).

Consultants and contracts IP Australia’s Annual Procurement Plan is published on AusTender to provide prospective suppliers with advance knowledge of anticipated procurement opportunities for the next 12

months.

During 2014-15, IP Australia entered into 31 new consultancy contracts with a total expenditure of $1 629 331 (GST inclusive), in addition to 11 ongoing consultancy contracts with a total expenditure value of $731 156 (GST inclusive).

IP Australia’s policy on selecting and engaging consultants and approving expenditure takes into account all relevant legislation, the Commonwealth Procurement Rules and IP

Australia’s Accountable Authority Instructions. The procurement method is determined having regard to the cost, value for money and nature of the work involved.

Details of consultancies valued at $10

000 or

more (inclusive of GST) are available on the AusTender website (www.tenders.gov.au). The Director General did not exempt any contract let during 2014-15 from publication on AusTender on the basis that it would disclose exempt matters under the Freedom of Information Act 1982.

Free counselling services continued to be provided for all employees and their immediate families through the Employee Assistance Programme. This service was also available to managers to assist them in supporting their employees.

One incident during the year was deemed notifiable under section 38 of the Work Health and Safety Act and reported to Comcare. Comcare did not investigate or take any action under the Work Health and Safety Act in 2014-15.

National Disability Strategy The National Disability Strategy 2010-2020 sets out a ten-year national policy framework to improve the lives of people with disability, promote participation and create a more inclusive society. A high-level two-yearly report will track progress against each of the six outcome areas of the strategy and present a picture of how people with disability are faring. The first of these reports will be available in late 2015, and can be found at the Department of Social Services website (www.dss.gov.au).

Purchasing During 2014-15, IP Australia’s centralised procurement and contracts team continued to ensure that all commitments entered into were consistent with the Commonwealth Procurement Rules and represented value for money for the Australian Government.

IP Australia’s Accountable Authority Instructions require the use of purchase orders for all purchases of more than $10 000. This assists in tracking commitments and meeting accountability requirements.

IP Australia’s Annual Procurement Plan is published on AusTender to provide prospective suppliers with advance knowledge of anticipated procurement opportunities for the next 12

months.

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Grant programmes Information on grants made by IP Australia during 2014-15 is available on the organisation’s website (www.ipaustralia.gov.au/about-us/ accountability-and-reporting/grants_awarded/).

Information Publication Scheme Agencies subject to the Freedom of Information Act 1982 (FOI Act) are required to publish information to the public as part of the Information Publication Scheme (IPS). This requirement is in Part II of the FOI Act and has replaced the former requirement to publish a section

8 statement in an annual report. Each agency must display on its website a plan showing what information it publishes, in accordance with the IPS requirements.

IP Australia’s IPS information is available on the organisation’s website (www.ipaustralia.gov.

au/about-us/accountability-and-reporting/ freedom-of-information/ips/).

Advertising and market research IP Australia did not undertake market research, conduct any advertising campaigns or purchase any services from advertising agencies or polling, direct mail or media advertising organisations in 2014-15.

IP Australia did not make any payments of more than $12

565 (GST inclusive) to external organisations for advertising or market research services in 2014-15. Payments of $12

565 or

less (GST inclusive) are not reported in the annual report.

Ecologically sustainable development and environmental performance In accordance with section 516A of the Environment Protection and Biodiversity Conservation Act 1999, a report on how IP Australia’s activities accord with and contribute to the principles of ecologically sustainable development and environmental performance is in Appendix C5.

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Annual Report 2014-15

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CHAPTER 16

IP Australia financial performance

Independent auditor’s report 2 68

Statement by the Accountable Authority and Chief Financial Officer

2

70

Financial statements

2

71

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CHAPTER 17

IP Australia appendices

Appendix C1: Appeals of decisions 306

Appendix C2: A

gency resource statement

2014-15

30

7

Appendix C3: Expenses and resources for 2014-15

309

Appendix C4

: Workforce statistics

311

Appendix C5: E

cologically

sustainable development and environmental performance

315

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IP AUSTRALIA APPENDICES

Appendix C1: Appeals of decisions

Appeals of decisions— Commissioner of Patents Alphapharm Pty Ltd v H Lundbeck A-S [2014] HCA 42: IP Australia granted an extension of time for Lundbeck to apply for a pharmaceutical extension of term. The High Court upheld IP Australia’s decision.

Research Affiliates LLC v Commissioner of Patents [2014] FCAFC 150: IP Australia refused a patent for a computer implemented method for generating a financial index, on the basis that it did not relate to patent eligible subject matter. The Full Federal Court upheld IP Australia’s decision.

Sunesis Pharmaceuticals Inc v Commissioner of Patents [2015] FCAFC 29: IP Australia refused an extension of time relating to the application provisions of the Intellectual Property Laws Amendment (Raising the Bar) Act 2012. The Full Federal Court upheld IP Australia’s decision.

Miles v Commissioner of Patents [2014] FCAFC 109: IP Australia refused an application in which the applicant had not responded to several opportunities to address grounds of objection. The Full Federal Court upheld IP Australia’s decision and the High Court refused special leave to appeal (Miles v Commissioner of Patents [2014] HCATrans 293).

Appeals of decisions—Registrar of Trade Marks In 2014-15, there were 21 FCA appeals from the Registrar of Trade Marks’ decisions (involving 25 trade marks). Of those, six were finalised during the year. A further six initiated prior to July 2014 were also finalised. Of the 12 that were finalised, eight were settled by negotiation, allowing the registrar’s decision to stand.

The decisions of the courts have both validated the practice of the Australian Trade Marks Office and provided further clarification of interpretation of the law. Notably, in Apple Inc v Registrar of Trade Marks [2014] FCA 1304, the Federal Court of Australia found that the trade mark APP STORE did not have any inherent capacity to distinguish the retail services identified in the application. Australian Trade Marks Office practice in respect of the examination of trade marks for plants was clarified following the Federal Court appeal (Mastronardi Produce Ltd v Registrar of Trade Marks [2014] FCA 1021) for the trade mark ZIMA and new invented names for plants.

In Cantarella Brothers Pty Limited v Modena Trading Pty Limited [2014] HCA 48, the High Court of Australia considered the meaning of the Italian words “ORO” (meaning gold) and “CINQUE STELLE” (meaning five star) in relation to the goods of coffee. The court considered the ordinary signification of the words and found that the marks distinguish the goods of Cantarella; the decision was in line with Australian Trade Marks Office practice. This matter did not involve the Registrar of Trade Marks, however, and was the first time in several years that a trade mark matter had been heard in the High Court.

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Appendix C2: Agency resource statement 2014-15 Table 49: IP Australia Agency Resource Statement 2014-15

Actual Available Appropriation for 2014-15 $’000

Payments Made 2014-15 $’000

1/ Ordinary annual services

Departmental appropriation

Departmental appropriation(1) 2,302 2,302

Total 2,302 2,302

Total ordinary annual services A 2,302 2,302

2/ Other services

Departmental non-operating

Equity injections

Total

Total other services B  

Total available annual appropriations  2,302 2,302

3/ Special appropriations

Total special appropriations C Total appropriations excluding Special Accounts

2,302 2,302

Special Accounts

Opening balance 97,862

Appropriation receipts(2) 2,302

Non-appropriation receipts to Special Accounts

186,675

Payments made 188,354

Total Special Account D 286,839 188,354

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Total resourcing

A+B+C+D 289,141 190,656

Less appropriations drawn from annual or special appropriations above and credited to special accounts

2,302 2,302

Total net resourcing for IP Australia  286,839 188,354

(1) Appropriation Bill (No.1) 2014-15.

(2) Appropriation receipts from IP Australia annual appropriations for 2014-15 included above.

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Appendix C3: Expenses and resources for 2014-15 Table 50: IP Australia expenses and resources for 2014-15

Budget 2014-15 $’000

Actual 2014-15 $’000

Variation 2014-15 $’000

OUTCOME 1

Programme 1.1: IP Rights Administration and Professional Registration

Departmental expenses

Departmental appropriation

Special appropriations

Special Accounts 171,395 167,642 3,753

Expenses not requiring appropriation in the Budget year 166 140 26

Total for Programme 1.1 171,561 167,782 3,779

Programme 1.2: Awareness, Education and International Engagement

Departmental expenses

Departmental appropriation

Special appropriations

Special Accounts 5,832 6,097 (265)

Expenses not requiring appropriation in the Budget year

Total for Programme 1.2 5,832 6,097 (265)

Programme 1.3: Advice to Government

Departmental expenses

Departmental appropriation 2,302 2,302 0

Special appropriations

Special Accounts 3,581 3,413 168

Expenses not requiring appropriation in the Budget year 2

Total for Programme 1.3 5,883 5,715 168

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Outcome 1 Totals by appropriation type

Departmental expenses

Departmental appropriation 2,302 2,302 0

Special appropriations

Special Accounts 180,808 177,152 3,656

Expenses not requiring appropriation in the Budget year

166 140 26

Total expenses for Outcome 1 183,276 179,594 3,682

Average staffing level (number) 1,028 1,006 22

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Appendix C4: Workforce statistics Table 51: Employment arrangements for ongoing and non-ongoing employees, by classification, 30 June 2015, IP Australia

Classification

Employment arrangement Salary range

Enterprise agreement Individual flexibility arrangement Minimum ($) Maximum ($)

APS 1 0 0 43 549 48 312

APS 2 1 0 50 087 54 841

APS 3 7 0 56 307 61 105

APS 4 147 2 62 653 67 909

APS 5 82 7 69 764 74 761

APS 6 545 159 76 189 86 548

EL 1 239 65 95 631 107 632

EL 2 75 29 113 086 131 830

Total 1096 262

APS = Australian Public Service; EL = Executive Level Note: SES employment arrangements are included in Department of Industry and Science data (Table 11) to ensure non-identification of individual recipients.

Table 52: Ongoing employees, by classification and gender, 30 June 2014 and 30 June 2015, IP Australia

Classification

Female Male Total

2014 2015 2014 2015 2014 2015

APS 1 0 0 0 0 0 0

APS 2 1 1 0 0 1 1

APS 3 0 0 6 6 6 6

APS 4 114 99 53 48 167 147

APS 5 77 57 30 25 107 82

APS 6 195 201 340 340 535 541

EL 1 96 96 138 139 234 235

EL 2 27 28 46 46 73 74

SES Band 1 2 3 4 5 6 8

SES Band 2 1 1 0 0 1 1

SES Band 3 1 1 1 0 2 1

Total 514 487 618 609 1132 1096

APS = Australian Public Service; EL = Executive level; SES = Senior Executive Service

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Table 53: Non-ongoing employees, by classification and gender, 30 June 2014 and 30 June 2015, IP Australia

Classification

Female Male Total

2014 2015 2014 2015 2014 2015

APS 1 0 0 0 0 0 0

APS 2 0 0 0 0 0 0

APS 3 0 1 1 0 1 1

APS 4 1 0 0 0 1 0

APS 5 1 0 0 0 1 0

APS 6 0 2 3 2 3 4

EL 1 2 1 1 3 3 4

EL 2 0 0 1 1 1 1

SES Band 1 0 0 0 0 0 0

SES Band 2 0 0 0 0 0 0

SES Band 3 0 0 0 0 0 0

Total 4 4 6 6 10 10

APS = Australian Public Service; EL = Executive Level; SES = Senior Executive Service

Table 54: Ongoing and non-ongoing employees, by classification and full-time  or part-time status, 30 June 2014 and 30 June 2015, IP Australia

Classification

Full-time Part-time Total

2014 2015 2014 2015 2014 2015

APS 1 0 0 0 0 0 0

APS 2 1 1 0 0 1 1

APS 3 6 6 1 1 7 7

APS 4 142 115 26 32 168 147

APS 5 89 67 19 15 108 82

APS 6 480 484 58 61 538 545

EL 1 213 219 24 20 237 239

EL 2 69 70 5 5 74 75

SES Band 1 6 8 0 0 6 8

SES Band 2 1 1 0 0 1 1

SES Band 3 2 1 0 0 2 1

Total 1009 972 133 134 1142 1106

APS = Australian Public Service; EL = Executive Level; SES = Senior Executive Service

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Table 55: Ongoing and non-ongoing employees, by gender and full-time or part-time status, 30 June 2014 and 30 June 2015, IP Australia

Gender

Full-time Part-time Total

2014 2015 2014 2015 2014 2015

Male 600 586 24 29 624 615

Female 409 386 109 105 518 491

Total 1009 972 133 134 1142 1106

Table 56: Ongoing and non-ongoing employees, by classification and location, 30 June 2015, IP Australia

Classification ACT NSW Vic. Qld SA WA Tas. Total

APS 1 0 0 0 0 0 0 0 0

APS 2 1 0 0 0 0 0 0 1

APS 3 7 0 0 0 0 0 0 7

APS 4 147 0 0 0 0 0 0 147

APS 5 79 1 1 1 0 0 0 82

APS 6 466 19 44 9 4 2 1 545

EL 1 230 3 4 0 2 0 0 239

EL 2 74 0 1 0 0 0 0 75

SES Band 1 8 0 0 0 0 0 0 8

SES Band 2 1 0 0 0 0 0 0 1

SES Band 3 1 0 0 0 0 0 0 1

Total 1014 23 50 10 6 2 1 1106

APS = Australian Public Service; EL = Executive Level; SES = Senior Executive Service

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Table 57: Performance payments from 1 July 2014 to 30 June 2015, non-SES, IP Australia

Classification No. of recipients Aggregate ($) Average ($) Bonus payment Minimum ($) Maximum ($)

APS 1-6 33 226 661 6868 20 26 460

EL 1

14 85 175 6084 2223 11 839

EL 2 64 455 554 7118 2743 14 370

Total 111 767 390

APS = Australian Public Service; EL = Executive Level Note: APS 1-6 figures are combined to ensure non-identification of individual recipients. Figures on performance payments for IP Australia’s SES officers are included with the Department of Industry and Science’s data (Table 12) to ensure non-identification of individual recipients.

Table 58: Indigenous employees, 30 June 2014 and 30 June 2015, IP Australia

Employment status 30 June 2014 30 June 2015

Ongoing 5 10

Non-ongoing 0 0

Total 5 10

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A range of environmental strategies designed to contribute to ecologically sustainable best practice have been developed and implemented at IP Australia. They continued to be monitored throughout 2014-15, and performance indicators met expectations.

IP Australia is accredited under the ACT Government’s Actsmart programme, which promotes waste minimisation and effective recycling. Results at the Canberra office meant that IP Australia was awarded the 2013 ACT Smart Office award for motivational excellence.

Appendix C5: Ecologically sustainable development and environmental performance In 2014-15, IP Australia maintained its commitment to minimise the impact of its operations on the environment. Through processes identified in the IP Australia Environmental Management System, the organisation continued to reduce its energy consumption and waste, increase recycling and promote the efficient use of resources.

In 2014-15, IP Australia reported a significant reduction in paper usage and the lowest paper usage level to date. IP Australia’s environmental policies and programmes continue to evolve in response to short- and long-term economic, environmental and social drivers.

IP Australia retained ISO 14001:2004 accreditation for its environmental management system in 2014-15.

The organisation’s main office building, Discovery House in Canberra, incorporates a number of energy-efficient design measures, including lighting control, air-conditioning control systems, double glazing, and efficient heating and cooling of the atrium using recycled air. The west wing of Discovery House, completed in September 2007, has a 5-star National Australian Built Environment Rating System (NABERS) energy base building rating, and the original elements of the building achieved a 4.5-star NABERS rating in 2011-12.

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PART D References

PART D

References

Glossary and abbreviations list 318

C

ompliance list

319

Inde

x

3

23

Department of Industry and Science

PART D References

318

REFERENCES

Glossary and abbreviations list AAIP Australian Apprenticeships Incentives Programme

AAIs Accountable Authority Instructions

AIP plan Australian Industry Participation plan

ANAO Australian National Audit Office

ANSTO Australian Nuclear Science and Technology Organisation

APS Australian Public Service

APSC Australian Public Service Commission

ATS Automotive Transformation Scheme

COAG Council of Australian Governments

CPRs Commonwealth Procurement Rules

CSIRO Commonwealth Scientific and Industrial Research Organisation

E3 Committee Equipment Energy Efficiency Committee

E3 Programme Equipment Energy Efficiency Programme

EPBS Enhanced Project By-law Scheme

ERLs Energy Rating Labels

ESD ecologically sustainable development

EWG Energy Working Group

FDI foreign direct investment

FOI Act Freedom of Information Act 1982

GDP gross domestic product

GEMS Act Greenhouse and Energy Minimum Standards Act 2012

ICT information and communications technology

IP intellectual property

IPS Information Publication Scheme

LOAs licences, options and assignments

MEPS Minimum Energy Performance Standards

NABERS National Australian Built Environment Rating System

NOPSEMA National Offshore Petroleum Safety and Environmental

Management Authority

NOPTA National Offshore Petroleum Titles Administrator

OECD Organisation for Economic Co-operation and Development

PAES Portfolio Additional Estimates Statements

PBS Portfolio Budget Statements

PGPA Act Public Governance, Performance and Accountability Act 2013

SES Senior Executive Service

STEM science, technology, engineering and mathematics

WHS work health and safety

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319

Compliance list

Department of Industry and Science, Geoscience Australia and IP Australia

Requirement Location

Industry and Science Geoscience Australia

IP

Australia

General details Letter of transmittal iii iii iii

Table of contents v-viii v-viii v-viii

Index 323-331 323-331 323-331

Glossary and abbreviations list 318 318 318

Contact officer(s) iv iv iv

Internet home page address and internet address for report iv iv iv

Review by Secretary/Chief Executive Officer/Director General Review by departmental secretary/Chief Executive Officer/Director General

2-3 158-59 246-47

Summary of significant issues and developments 2-3 158-59 246-47

Overview of department’s/agency’s performance and financial results 2-3, 31 158-59, 184 246-47, 260

Outlook for following year 3 - -

Significant issues and developments—portfolio 2 n.a. n.a.

Departmental/agency overview Role and functions 2, 8 162 250

Organisational structure 4 163 250-51

Outcome and programme structure 4-5 164 251

Where outcome and programme structures differ from Portfolio Budget Statements/Portfolio Additional Estimates Statements (PBS/PAES) or other portfolio statements accompanying any other additional appropriation bills (other portfolio statements), details of variation and reasons for change

4-5, 8

none to report

none to report

Portfolio structure 3 n.a. n.a.

Report on performance Review of performance during the year in relation to programmes and contribution to outcomes 8-30 166-83 254-59

Actual performance in relation to deliverables and key performance indicators set out in PBS/PAES or other portfolio statements 8-30 166-83 254-59

Where performance targets differ from the PBS/ PAES, details of both former and new targets, and reasons for the change 8-30

none to report

none to report

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Requirement Location

Industry and Science Geoscience Australia

IP

Australia

Narrative discussion and analysis of performance 8-30 166-83 254-59

Trend information 8-30 166-83 254-59

Significant changes in nature of principal functions/services

8

none to report

none to report

Performance of purchaser-provider arrangements - - -

Factors, events or trends influencing departmental/ agency performance 8-9, 14-15, 25

159, 176 246-47

Contribution of risk management in achieving objectives - - -

Performance against service charter customer service standards, complaints data, and the department’s/agency’s response to complaints n.a. 189 255

Discussion and analysis of the department’s/ agency’s financial performance 31 184 260

Discussion of any significant changes in financial results from the prior year, from budget or anticipated to have a significant impact on future operations

31 184 260

Agency resource statement and summary resource tables by outcomes 142-45 238-39 307-10

Management and accountability Corporate governance

Department head’s certification of compliance with the Commonwealth Fraud Control Framework iii iii iii

Statement of the main corporate governance practices in place 34 186 262

Names of the senior executive and their responsibilities

- - -

Senior management committees and their roles 34 186 262

Corporate and operational plans and associated performance reporting and review 34 186 246

Internal audit arrangements, including approach adopted to identifying areas of significant financial or operational risk and arrangements to manage those risks

34 186 262

Policy and practices on the establishment and maintenance of appropriate ethical standards - - -

How nature and amount of remuneration for Senior Executive Service officers is determined - - -

External scrutiny

Significant developments in external scrutiny 34-35 186 263

Judicial decisions and decisions of administrative tribunals or the Australian Information Commissioner

none to report

186 263, 306

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321

Requirement Location

Industry and Science Geoscience Australia

IP

Australia

Reports by the Auditor-General, parliamentary committees, the Commonwealth Ombudsman or an agency capability review 34-35 186 263

Management of human resources

Assessment of effectiveness in managing and developing human resources to achieve departmental/agency objectives 35 187 263

Workforce planning, staff retention and turnover 35 187 263

Impact and features of enterprise or collective agreements, individual flexibility arrangements (IFAs), determinations, common law contracts and Australian Workplace Agreements (AWAs)

35 187 263

Training and development undertaken and its impact

35 187 263

Work health and safety performance 35 187 263-64

Productivity gains - - -

Statistics on staffing 146-49 240-42 311-14

Statistics on employees who identify as Indigenous 149 242 314

Enterprise or collective agreements, IFAs, determinations, common law contracts and AWAs 146 240 311

Performance pay 146 187 146, 314

Asset management

Assessment of effectiveness of asset management n.a. n.a. n.a

Purchasing

Assessment of purchasing against core policies and principles 36 188 264

Consultants

Summary statement 36 188 264

Availability of information through AusTender 36 188 264

Selection and engagement policy and procedures, and main purposes for which consultants were engaged 36 188 264

Absence of provisions in contracts allowing access by the Auditor-General none to report

none to report

none to report

Contracts exempt from publication in AusTender 36 188 264

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Requirement Location

Industry and Science Geoscience Australia

IP

Australia

Small business

Procurement initiatives to support small business 36 188 264

Financial statements Financial statements 40-140 192-235 268-303

Other mandatory information Work health and safety (Schedule 2, Part 4 of the Work Health and Safety Act 2011) 35 187 263-64

Advertising and market research (Section 311A of the Commonwealth Electoral Act 1918) 150 188 265

Ecologically sustainable development and environmental performance (Section 516A of the Environment Protection and Biodiversity Conservation Act 1999)

37 188, 243 265, 315

Obligations under the Carer Recognition Act 2010 n.a. n.a. n.a.

Grant programmes 36 188 265

Disability reporting 35 187 264

Information Publication Scheme statement 36 188 265

Correction of material errors in previous annual report none to report

none to report

none to report

Agency resource statements and resources for outcomes 142-45 238-39 307-10

List of requirements 319-22 319-22 319-22

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PART D References

323

Index Accountable Authority Instructions, 36, 186 IP Australia, 262 and purchasing

Geoscience Australia, 188 IP Australia, 264

ACT Government Actsmart programme, 315 ACT Smart Office award for motivational excellence IP Australia, 315 administered expenses

Department of Industry and Science, 31 administered items Geoscience Australia, 184 administered revenue

Department of Industry and Science, 31 Administrative Arrangements Order of 23 December 2014, 2, 4, 5, 8, 35 advanced manufacturing and elaborately transformed manufactures

export values of, 9 Advanced Manufacturing Growth Centre, 23 advertising and market research

Department of Industry and Science, 36, 150 Geoscience Australia, 188 IP Australia, 265 Advisory Board Geoscience Australia, 159, 186 Advisory Council on Intellectual Property, 252, 259 reviews, 259 agency resource statement Department of Industry and Science, 142-3 Geoscience Australia, 238 IP Australia, 307-8 airborne electromagnetic survey New South Wales and Queensland, 158 Thomson Orogen (NSW - Qld), 166 Airservices Australia, 179 AirShr, 22 Alice Springs satellite ground station, 158, 178 Alphapharm Pty Ltd v H Lundbeck A-S [2014] HCA 42, 306 AMIRA Roadmap for Under Cover Exploration, 167 Annual Procurement Plan Department of Industry and Science, 36 IP Australia, 264 ANZLIC website, 178 APP STORE trade mark, 306 appeals of decisions - IP Australia, 306 Apple Inc v Registrar of Trade Marks [2014] FCA 1304, 306 Arrow Bowen Gas Project, 170 Asialink Business, 10 Assurance and Audit Committee Department of Industry and Science, 34 Attorney-General’s Department and disaster events, 172 and natural disasters, 174 and Resilient Australia award, 173 Audit and Risk Committee Geoscience Australia, 186 Audit Committee IP Australia, 262 AusIndustry, 29 AusTender, 36, 188, 264 Australia-China Science and Research Fund International Education and Training, 10 Australian Antarctic Division, 182 Australian Antarctic Territory sea floor mapping and sampling, 159 see also Davis Station (Australian Antarctic Territory)

Australian Apprenticeships Incentives Programme, 31, 35 Australian Astronomical Observatory, 10 Australian Competition and Consumer Commission, 24 Australian datum, 179, 180 Australian Flood Risk Information Portal, 158, 173 Australian Geospatial-Intelligence Organisation

and natural disasters, 174 Australian Government Crisis Coordination Centre, 172, 174, 179 Australian Government Innovation and Investment Fund (Tasmania), 17 Australian Hydrological Geospatial Fabric (Bureau of Meteorology),

178

Australian Industry Participation Authority, 151-2 Australian Industry Participation (AIP) plan, 151, 152 Australian Innovation System Report 2014, 8, 9 Australian Institute of Marine Science, 31, 182

environmental monitoring and assessments of Darwin Harbour, 177 and Industry and Science portfolio, 3 Australian Jobs Act 2013, 151-2 Australian Landslide Database, 172 Australian Maritime Boundary Information System, 175 Australian National Audit Office (ANAO)

The Award of Grants Under the Clean Technology Program, 34 better practice guide, Public Sector Audit Committees: Independent assurance and advice for Accountable Authorities, 262

The Ethanol Production Grants Program, 34 Procurement Initiatives to Support Outcomes for Indigenous Australians, 34 Australian National Committee for the United Nations Educational, Scientific and Cultural Organization International Geoscience Programme, 184 Australian National University’s National Computational Infrastructure High Performance Data infrastructure, 181 Australian Nuclear Science and Technology Organisation, 31 and Industry and Science portfolio, 3 and Synchrotron, 12 Australian Petroleum Production and Exploration Association, 169, 183 Australian Public Service Commission agency capability review of IP Australia, 263 Australian Renewable Energy Agency, 20, 31, 167, 180 and Industry and Science portfolio, 3 Australian Renewable Energy Mapping Infrastructure, 180 Australian Research Council and IP research initiatives, 259 Australian Stratigraphic Units Database, 181 Australian Synchrotron, 12 Australian Synchrotron Holding Company Pty Ltd, 12 Australian Trade Marks Office, 306 Australian Transport Safety Bureau and Malaysia Airlines flight MH370, 176 Australia-New Zealand Single Economic Market IP initiatives, 247, 258 Australia’s identified mineral resources, 167 Automotive Diversification Programme, 17 Automotive Transformation Scheme, 17, 152-3 Automotive Transformation Scheme Act 2009, 151, 152-3 Avonmore fault (Vic), 172 The Award of Grants Under the Clean Technology Program (ANAO), 34 Best Practice Regulation Coordinator, 25 biodiversity and seabed environments, 175 Bioregional Assessment Programme, 171

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324

Bioregional Assessment Programme and impact of coal seam gas and large coal mining developments on water resources, 158 and water resources, 158 Browse Basin (WA)

marine environmental survey, 176 offshore studies petroleum prospectivity and CO2 storage potential, 166, 168, 176 seabed mapping surveys, 175 Building Australia’s resource wealth

deliverables, 166-7 key performance indicators, 168-9 Building Code of Australia, 173 building codes, 173 Bundaberg Regional Council (Qld) and floods, 173 Bureau of Meteorology Australian Hydrological Geospatial Fabric, 178 and National Earth Observation Infrastructure Plan, 180 and tropical cyclone Marcia, 173 Bushfire and Natural Hazards Cooperative Research Centre, 174 bushfires, 172, 174, 179 business and IP issues, 259 Business Evaluation Grant, 22 Business Growth Grant, 22 business.gov.au website, 29 Cantarella Brothers Pty Limited v Modena Trading Pty Limited [2014] HCA 48, 306 Capability Action Plan IP Australia, 247 capability development programmes Department of Industry and Science, 35 carbon capture and storage technical advice, 167 Career Development Program Department of Industry and Science, 35 Casey Station (Australian Antarctic Territory) seabed mapping surveys, 175 Charities Maritime and Aviation Support Programme (Carbon Price Deductible Gift Recipient Fund), 21 Chief Economist IP Australia, 247 Chief Executive Instructions and purchasing

Geoscience Australia, 188

Chief Executive Officer’s review Geoscience Australia, 158-9 Chief Scientist and STEM, 13 China Australia Geological Storage of CO2 Project

(CAGS phase 2), 169 China Geological Survey, 169 China-Australia Free Trade Agreement, 246, 258 Chubb, Professor Ian, AC

and STEM, 13

Civil Aviation Regulation 175, 179 cleaner and low emissions energy technologies, 169 climate adaptation reporting, 179 CO2 injection locations, potential, 177 CO2 storage potential, 158, 166, 168, 177

Gippsland Basin, 169 Vlaming Sub-basin, 169, 176 COAG Energy Council, 24 Coal Mining Abatement Technology Support Package, 20 coal mining developments impact on water resources, 158 coal seam gas impact on water resources, 158, 170

Coffee Roasters Australia, 22 Comcare, 35, 187, 264 commercialisation of research, 2, 3 income from, 9

Commissioner of Patents, 250, 262, 263 appeals of decisions, 306 Commonwealth Fraud Control Framework, 34, 262 Commonwealth Fraud Control Policy, 186 Commonwealth marine reserves, 175, 177 Commonwealth Ombudsman, 35, 186 Commonwealth Paleontological Collection, 181 Commonwealth Procurement Rules, 36, 188, 264 Commonwealth Risk Management Policy, 186, 262 Commonwealth Science Council

and science and research priorities, 13 Commonwealth Scientific and Industrial Research Organisation (CSIRO), 31

and Industry and Science portfolio, 3 and Industry Growth Centres, 23 Community Energy Efficiency Programme, 20 community safety, 158, 162, 164, 172-5 Competition Policy Review and parallel imports of trade marked goods, 259 Comprehensive Nuclear-Test-Ban Treaty, 158 Comprehensive Nuclear-Test-Ban Treaty Organisation, 175 consultants and contracts Department of Industry and Science, 36 Geoscience Australia, 188 IP Australia, 264 Continental Shelf Proclamation, 175 Cooper Basin petroleum prospectivity review, 167 shale gas potential, 168 Cooperative Research Centres Programme, 2, 11 corporate governance Department of Industry and Science, 34 Geoscience Australia, 186 corporate, human resource, financial and ICT services, 28 Corporate Network, 3 Corporate Plan National Offshore Petroleum Titles Administrator and, 31 CPA Australia, 257 customer satisfaction IP Australia, 255, 257 Customer Service Charter IP Australia, 255 cyclones, 172 see also tropical cyclones Marcia, Lam and Nathan Darwin Harbour (NT) environmental monitoring and assessments, 177 seabed mapping surveys, 175, 176 data.gov.au, 247 datasets and publications (Geoscience Australia) discoverable and accessible, 182, 183 Davis Station (Australian Antarctic Territory) monitoring station under Comprehensive Nuclear-Test-Ban Treaty, 158, 175 deliverables Building Australia’s resource wealth, 166-7 Ensuring Australia’s community safety, 172-3 Gathering fundamental geographic information, 178-9 Maintaining Australia’s geoscience knowledge and capability, 181-2 Managing Australia’s marine jurisdiction, 175-6 Programme 1.1: IP Rights Administration and Professional Registration (IP Australia), 255 Programme 1.2: Education, Awareness and International Engagement (IP Australia), 256 Programme 1.3: Advice to Government (IP Australia), 258

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PART D References

325

Securing Australia’s water resources, 170 Department of Communications and ANZLIC website, 178

and NationalMap, 180 Department of Education and Training and Australian Apprenticeships Incentives Programme, 35

and Programme 1: Building Skills and Capability, 5, 8 and Research Infrastructure Review, 12 staff transfer to, 35 and vocational education and skills policy and programmes, 2, 4 Department of Foreign Affairs and Trade

disaster risk reduction goals, 172 and IP chapters in free trade agreements, 258 Department of Industry and Science financial performance, 3, 40-140

and Industry and Science portfolio, 3 Machinery of Government changes, 2 management and accountability, 34-7 organisational structure, 4 outcome and programme structure, 4-5 overview, 2-3 performance reports, 8-31 shared services arrangement with IP Australia re payroll and system administration services, 263

vision, 2, 8

Department of the Environment and climate adaptation reporting, 179 and National Environmental Research Program Marine Biodiversity Hub, 177

and Pacific-Australia Climate Change Science and Adaptation Planning programme, 171 Department of the Treasury and small business programmes, 2, 4 departmental structure

Department of Industry and Science, 4 Deputy Director General IP Australia, 250 deregulation, 29-30 designs, 250, 254 Designs Act 2003, 250 development approvals, 173 digital object identifiers (DOIs), 183 Director General

IP Australia, 250 Director General’s review IP Australia, 246-7 disaster events, 172, 173

see also natural disasters/hazards Dream Shield, 257 Dungog (NSW)

floods, 173

E3 Programme see Equipment Energy Efficiency (E3) Programme early warning and alerts of natural hazard and disaster events, 173 Earth observing and geodetic Earth monitoring observatory networks, 178, 182

earthquakes, 172, 173, 174 ecologically sustainable development and environmental performance Department of Industry and Science, 37

Geoscience Australia, 188, 243 IP Australia, 265, 315 Eidsvold (Qld) earthquake, 174 elaborately transformed manufactures see advanced manufacturing

and elaborately transformed manufactures electromagnetic survey see airborne electromagnetic survey Employee Assistance Programme Geoscience Australia, 187

IP Australia, 264 energy see resources and energy energy efficiency

Department of Industry and Science, 153 Geoscience Australia, 243 IP Australia, 315 Energy Efficiency Information Grants, 21 Energy Efficiency Programmes, 20 Energy Productivity Plan, 3 Energy Rating Labels (ERLs), 153 Energy White Paper, 2, 24 Energy Working Group, 154 Engineers Australia, 257 Enhanced Project By-law Scheme, 15, 151 Ensuring Australia’s community safety deliverables, 172-3 key performance indicators, 174-5 enterprise agreements see Geoscience Australia Enterprise Agreement; IP Australia’s Enterprise Agreement 2011-2014; One Innovation Enterprise Agreement 2011 Entrepreneurs’ Infrastructure Programme see Entrepreneurs’ Programme Entrepreneurs’ Programme, 2, 3, 16, 22 Environment Protection and Biodiversity Conservation Act 1999, 37, 170, 188, 265 and Australian Jobs Act 2013, 152 environmental management system Geoscience Australia, 243 IP Australia, 315 Equipment Energy Efficiency (E3) Committee, 154 Equipment Energy Efficiency (E3) Programme, 153, 154 Essential Writing Skills, 35 Ethanol Production Grants, 20 The Ethanol Production Grants Program (ANAO), 34 E3 Programme see Equipment Energy Efficiency (E3) Programme Executive Board Department of Industry and Science, 34 Geoscience Australia, 159 IP Australia, 262 Expediting Clinical Trial Reform in Australia, 16 expenses and resources Department of Industry, 144-5 Geoscience Australia, 239 IP Australia, 309-10 Exploration Development Incentive, 2 exploration investment pre-competitive data and information, 166 Export Council of Australia, 257 exports and imports as a percentage of GDP, 15 external scrutiny Department of Industry and Science, 34-5 Geoscience Australia, 186 IP Australia, 263 Federal Court of Australia and review of decisions re patents, trade marks, designs and plant breeder’s rights, 263 Apple Inc v Registrar of Trade Marks [2014] FCA 1304, 306 Mastronardi Produce Ltd v Registrar of Trade Marks [2014] FCA 1021, 306 Miles v Commissioner of Patents [2014] FCAFC 109, 306 Research Affiliates LLC v Commissioner of Patents [2014] FCAFC 150, 306 Sunesis Pharmaceuticals Inc v Commissioner of Patents [2015] FCAFC 29, 306 fees for IP rights services, 250 Finance and Planning Committee IP Australia, 262 financial performance

Department of Industry and Science

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Department of Industry and Science, 3, 40-140 administered, 31 departmental, 31

Geoscience Australia, 184, 192-235 IP Australia, 260, 271-303 financial statements Department of Industry and Science, 43-140

Geoscience Australia, 195-235 IP Australia, 271-303 financial sustainability Department of Industry and Science, 31

Geoscience Australia, 184 First Aid Officers Committee IP Australia, 263 fisheries resources

and seabed environments, 175 flexible workplace, 3 flood planning, 158 flood studies, 158 floods, 173, 174 Food and Agribusiness Growth Centre, 23 foreign direct investment as a percentage of GDP, 14 Foundation Spatial Data Framework, 178 Fraser Institute investment attractiveness index (states and

territories), 14 fraud control Department of Industry and Science, 34 Geoscience Australia, 186

IP Australia, 262 Fraud Control Framework IP Australia, 262 Fraud Control Plan

Geoscience Australia, 186 IP Australia, 262 Fraud Risk Register IP Australia, 262 Fraud Rule, 186 free trade agreements

IP chapters in, 258 Freedom of Information Act 1982, 36, 188, 264, 265 G20 Summit (Brisbane), 172 Galilee and Cooper subregions (SA - Qld)

coal seam gas impact on groundwater resources, 171 Galilee subregion (Qld) coal seam gas impact on groundwater resources, 171 Gathering fundamental geographic information

deliverables, 178-9 key performance indicators, 179-80 GEMS products, 154 GEMS Regulator, 153, 154, 155 general policy advice on matters impacting on industry, 26 general programme delivery designed to have a positive impact on industry, 27 Geocentric Datum of Australia, 179 geographic information, 158, 162, 164, 178-80 geological prospectus of resource potential, 167 Geophysical Archive and Data Delivery System, 182 Georgina Basin petroleum geology, 167 Geoscience Australia financial performance, 184, 192-235 and Industry and Science portfolio, 3

management and accountability, 186-9 and National Offshore Petroleum Information Management System, 155 organisational structure, 163

outcome and programme structure, 164 overview, 162-4 report on performance, 166-84 role and functions, 162 Geoscience Australia Enterprise Agreement, 187 geoscience data, information and collections

curation and management of, 181 geoscience knowledge and capability, 159, 162, 164, 181-3 geothermal energy information and advice, 167 Gippsland Basin

CO2 storage potential, 169 Greenhouse Gas Assessment Permits, 169 offshore studies petroleum prospectivity and CO2 storage potential, 166 Gippsland Basin bioregion

coal seam gas impact on groundwater resources, 171 GIS (geographic information system) datasets, 167, 168 global IP system, 246 Global Navigation Satellite System, 180 governance framework

IP Australia, 262 GovHack event, 183 Graduate Development Programme

Department of Industry and Science, 35 graduate programme, 3 grant programmes

Department of Industry and Science, 36 Geoscience Australia, 188 IP Australia, 265 Greater Metro Manila Area Risk Assessment Project, 172 green energy Geoscience Australia, 243 greenfields mineral exploration, 2 Greenhouse and Energy Minimum Standards Act 2012 (GEMS Act), 151, 153-5 Greenhouse and Energy Minimum Standards National Legislative Framework, 20 greenhouse emissions, 153 see also cleaner and low emissions energy technologies Greenhouse Gas Assessment Permits Gippsland Basin, 169 groundwater database and maps Pacific islands, 158, 171 groundwater management, 171 groundwater resources, 170, 171 Growth Centres, 2, 23, 25 see also Regulation Reform Agendas Guide for Growth Centres Growth Centres Advisory Committee, 23, 25 Growth Fund, 2, 3 Health and Safety Representative Committee IP Australia, 263 High Court of Australia Alphapharm Pty Ltd v H Lundbeck A-S [2014] HCA 42, 306 Cantarella Brothers Pty Limited v Modena Trading Pty Limited [2014] HCA 48, 306 Miles v Commissioner of Patents [2014] HCATrans 293, 306 High Performance Data facility, 159

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High Performance Data infrastructure at Australian National University’s National Computational Infrastructure, 181 Houtman Sub-basin (WA)

offshore studies petroleum prospectivity and CO2 storage potential, 166 seismic reflection data, 168 human resource management

Department of Industry and Science, 35 Geoscience Australia, 187 IP Australia, 263 hydrodynamic modelling (ANUGA), 172 ICT Strategy Committee Department of Industry and Science, 34 Geoscience Australia, 186 ICT systems and IP rights management, 247 imports and exports as a percentage of GDP, 15 independent auditor’s report Department of Industry and Science, 40-1 Geoscience Australia, 192-3 IP Australia, 268-9 Independent Expert Scientific Committee on Coal Seam Gas and Large Coal Mining Development, 170, 171 Indigenous IP owners, 257 Indonesia disaster risk reduction goals advice and expertise, 172 Industry and Science portfolio, 3 Industry Growth Centres see Growth Centres Industry Innovation and Competitiveness Agenda, 2, 23, 258 Industry Monitor 2015, 9, 14, 15, 25 Industry Officer’s Guide to Regulation Reform, 25 Industry Service Organisations support for, 15 Information Publication Scheme, 36, 188, 265 innovation small and medium businesses, 8-9 see also Programme 2: Supporting Science and Innovation Innovation Patent System review of, 259 Inputs to Manufacture, 15 intangible capital investment in, 9 and productivity growth, 9 Intellectual Property Laws Amendment Act 2015, 247, 258 Intellectual Property Laws Amendment (Raising the Bar) Act 2012, 306 Intergovernmental Committee on Surveying and Mapping, 158, 179 International Charter for Space and Major Disasters, 172, 174 international engagement IP Australia, 256, 257

see also Programme 1.2: Education, Awareness and International Engagement International Geo Sample Number Organisation, 159, 183 International Hydrographic Organization, 177 international IP rights administration, 246 International Trade Centre Trade Performance index, 14-15 international trade mark database, 259 investment

in intangible capital, 9 in resources and energy, 14 in science, 2 see also Programme 3: Encouraging Investment IP Australia

financial performance, 260 financial statements, 271-303 and Industry and Science portfolio, 3

management and accountability, 262-5 organisational structure, 250-1 outcome and programme structure, 251-2, 254 overview, 250-2 report on performance, 254-60 role and functions, 250 vision, 246 IP Australia Enterprise Agreement 2011-2014, 263 IP Australia Environmental Management System, 315 International Hydrographic Organization IP forums, 246 IP Government Open Data, 247, 259 IP legislation, 247, 252 IP Report, 259 IP research initiatives, 259 IP rights, 151

demand for, 246 public awareness of, 256-7 value of, 246 IP rights data, 247 IP rights examination decisions, 247 IP rights management and ICT systems, 247 IP rights services fees for, 250 IP system, 246, 247, 250, 257 IP Workshops for Start-ups, 257 Joint Agency Coordination Centre and Malaysia Airlines flight MH370, 176 Joint Australian Tsunami Warning Centre, 173 key performance indicators Building Australia’s resource wealth, 168-9 Ensuring Australia’s community safety, 174-5 Gathering fundamental geographic information, 179-80 Maintaining Australia’s geoscience knowledge and capability, 183 Managing Australia’s marine jurisdiction, 177 Programme 1.1: IP Rights Administration and Professional Registration (IP Australia), 255-6 Programme 1.2: Education, Awareness and International Engagement (IP Australia), 257 Programme 1.3: Advice to Government (IP Australia), 258-9 Securing Australia’s water resources, 171 Kintyre uranium deposit, 170 knowledge-intensive industries value-added of, 9 KPMG and National Offshore Petroleum Titles Administrator, 155 laboratory facilities and analytical capability (Geoscience Australia), 182 Lake Eyre Basin bioregion coal seam gas impact on groundwater resources, 171 land use planning, 173 Landsat archive, 181 Landsat satellites, 178 landslides, 172 learning and development, 3 Geoscience Australia, 187 legislative requirements see reports addressing special legislative requirements licences, options and assignments (LOAs) income from, 9 Low Emissions Technology Demonstration Fund, 18 Low Income Energy Efficiency Programme, 20 magnetic data see maps of magnetic data and radiometric data maintaining Australia’s geoscience knowledge and capability deliverables, 181-2 key performance indicators, 183

Department of Industry and Science

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Malaysia Airlines flight MH370, 159, 176, 180 Management Action Program Department of Industry and Science, 35 management and accountability

Department of Industry and Science, 34-7 Geoscience Australia, 186-9 IP Australia, 262-5 Management to Leadership Program Department of Industry and Science, 35 Managing Australia’s marine jurisdiction deliverables, 175-6 key performance indicators, 177 Manufacturing Transition Programme, 2, 17 maps, imagery and advice hazards and disaster events, 172 maps of magnetic data and radiometric data, 166 Maralinga Maintenance, 18 marine ecosystems management of, 177 marine environmental survey Browse Basin (WA), 176 marine estate legal clarity around, 177 marine jurisdiction management, 159, 162, 164, 175-7 marine resources sustainable development of, 177 Marine Sediment Database (MARS), 176 maritime boundaries, 175, 177 market research see advertising and market research Mastronardi Produce Ltd v Registrar of Trade Marks [2014] FCA 1021, 306 Medical Technologies and Pharmaceuticals Growth Centre, 23 Mental Health First Aid Officer Network Geoscience Australia, 187 Miles v Commissioner of Patents [2014] FCAFC 109, 306 Miles v Commissioner of Patents [2014] HCATrans 293, 306 mineral exploration, 158 minerals and energy resources see Building Australia’s resource wealth Minimum Energy Performance Standards (MEPS), 153 Mining Equipment, Technology and Services Growth Centre, 23 ministerial briefs and correspondence IP Australia, 258 Murray-Darling Basin Authority mapping floodplains, 178 National Archives Award for Digital Excellence National Offshore Petroleum Titles Administrator, 155 National CO2 Infrastructure Plan, 168, 176, 177 National Collaboration Framework Project Agreement to Support the Assessment of Coal Seam Gas and Coal Mining Developments on Groundwater Resources, 170 National Disability Strategy, 35, 187, 264 National Earth Observation Infrastructure Plan, 180 National Environmental Research Program Marine Biodiversity Hub, 175, 177 National Exposure Information System (NEXIS), 179 National Flood Risk Information Project, 173 national geophysical datasets, 159, 181 National ICT Australia (NICTA) and NationalMap, 180 National Low Emissions Coal Initiative, 18 National Measurement Institute’s Chief Metrologist and Verifying Authority for Position, 180 National Mineral Collection, 181 National Offshore and Petroleum Safety and Environmental Management Authority, 31 National Offshore Petroleum Information Management System, 155, 159, 169, 183 National Offshore Petroleum Safety and Environmental

Management Authority, 31, 155 and Industry and Science portfolio, 3 National Offshore Petroleum Titles Administrator, 31, 155, 183 national scale satellite data, 178 national surface water dataset, 178 National Wind Multiplier Dataset, 172 NationalMap, 180 natural disasters/hazards, 172, 173, 179

impact mitigation, 174 responses, 174 natural hazard risk modelling and assessments, 172 Neotectonic Features Database, 172 Nepalese earthquakes, 172 New South Wales airborne electromagnetic survey, 158 New Zealand and E3 Committee, 154 and Single Economic Market

and IP, 257, 258 and Synchrotron, 12 Next Generation Manufacturing Investment Programme, 17 nickel and platinum-group elements potential, 168 North West Shelf (Browse Basin, WA)

seabed mapping surveys, 175 Northern Territory sea floor mapping and sampling, 159 Northern Territory Government

environmental monitoring and assessments of Darwin Harbour, 177 Northern Territory Uranium Royalty (Ranger Project Area) Administration (including SPP), 18 nuclear monitoring and assessment, 173 nuclear weapons reduction, 158, 175 observatories

national network of, 182 Office of the New South Wales Chief Scientist and Engineer, 170 Offshore Minerals Act 1994, 18 Offshore Petroleum Acreage Release, 169, 183 Offshore Petroleum and Greenhouse Gas Storage Act 2006, 151, 155,

159, 175, 181, 183 offshore petroleum data and samples, 183 Oil, Gas and Energy Resources Growth Centre, 23 Olympic Insignia Protection Act 1987, 250 One Innovation Enterprise Agreement 2011, 35 operating environment

Programme 2: Supporting Science and Innovation, 8-9 Programme 3: Encouraging Investment, 14-15 Programme 4: Programme Support, 25 operating result Department of Industry and Science, 31 Geoscience Australia, 184 Operational Frameworks Committee Department of Industry and Science, 34 operational health and safety representative committee Geoscience Australia, 187 Organisation for Economic Co-operation and Development (OECD) and business collaboration on innovation, 9 and international trade mark database, 259 and quality of regulation, 25 organisational structure Department of Industry and Science, 4 Geoscience Australia, 163 IP Australia, 250-1 Outcome 1 (Department of Industry and Science), 5 expenses and resources, 144-5 overview, 8 Outcome 1 (Geoscience Australia), 164 expenses and resources, 239 Outcome 1 (IP Australia), 251-2

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Patent and/or Trade Marks Attorneys, 251 Professional Standards Board for Patent and Trade Marks Attorneys, 251, 254, 256, 259 Programmes - Department of Industry and Science:

see also Sub-programmes - Department of Industry and Science: Programme 1: Building Skills and Capability, 5, 8 expenses and resources, 144 Programme 2: Supporting Science and Innovation, 5, 8-13

expenses and resources, 144 operating environment, 8-9 performance measures and results, 10-11 Programme 3: Encouraging Investment, 5, 8, 14-24 expenses and resources, 144-5 operating environment, 14-15 Programme 4: Programme Support, 5, 8, 25-30 expenses and resources, 145 operating environment, 25 Programmes - Geoscience Australia: Programme 1.1 Geoscientific and spatial information services, 164 expenses and resources, 239 Programmes - IP Australia: Programme 1.1: IP Rights Administration and Professional Registration, 251, 254-6 expenses and resources, 309 performance against deliverables, 255 performance against key performance indicators, 255-6 Programme 1.2: Education, Awareness and International Engagement, 252, 254, 256-7 expenses and resources, 309 performance against deliverables, 256 performance against key performance indicators, 257 Programme 1.3: Advice to Government, 252, 254, 258-9 expenses and resources, 309 performance against deliverables, 258 performance against key performance indicators, 258-9 programme delivery see general programme delivery designed to have a positive impact on industry; regulatory programme delivery Programme Evaluation and Governance Committee Department of Industry and Science, 34 public awareness of intellectual property rights, 256-7 public education and awareness programmes IP Australia, 256

see also Programme 1.2: Education, Awareness and International Engagement Public Governance, Performance and Accountability Act 2013, 36, 262 purchasing

Department of Industry and Science, 36 Geosciences Australia, 188 IP Australia, 264 QGC development new acreage for coal seam gas in Surat Basin, 170 quality assurance systems maturity of

IP Australia, 255

Quality Review System IP Australia, 255 quality standards IP Australia, 255 Queensland

airborne electromagnetic survey, 158 Questacon Smart Skills Initiative, 256, 257 Radioactive Waste Management, 19 radiometric data see maps of magnetic data and radiometric data Ranger 3 Deeps uranium project, 170 R&D Tax Incentive, 2, 11, 22, 29

expenses and resources, 309-10 overview, 254 outcome and programme structure Department of Industry and Science, 4-5

Geoscience Australia, 164 IP Australia, 251-2, 254 Pacific islands groundwater database and maps, 158, 171 Pacific-Australia Climate Change Science and Adaptation Planning

programme, 171 Papua New Guinea disaster risk reduction goals advice and expertise, 172 Patent Analytics Service, 247 Patent and Trade Marks Attorneys Disciplinary Tribunal, 254 Patent and/or Trade Marks Attorneys

professional registration, 251 patent filings, 246 patents, 250, 254 Patents Act 1990, 250 patents inventory, 256 People and Communication Committee

IP Australia, 262 performance reports Department of Industry and Science, 8-31

Geoscience Australia, 166-84 IP Australia, 254-60 petroleum acreage release, 168, see also Offshore Petroleum Acreage Release petroleum blocks see scheduled areas and petroleum blocks petroleum data and samples, 181 petroleum exploration, 158, 159 petroleum geology

Georgina Basin, 167 petroleum prospectivity and CO2 storage potential offshore studies, 166, 168, 176 petroleum prospectivity review

Cooper Basin, 167 petroleum resources and seabed environments, 175 Petroleum Royalties Administration, 18 petroleum titles, 159, 175 the Philippines

disaster risk reduction goals advice and expertise, 172 plant breeder’s rights, 250, 254 Plant Breeder’s Rights Act 1994, 250 Plant Breeder’s Rights Advisory Committee, 252, 259 platinum-group elements potential see nickel and platinum-group

elements potential policy advice see general policy advice on matters impacting on industry; Programme 1.3: Advice to Government; regulatory policy advice population density web service, 179 portfolio Additional Estimates Statements

and programmes performance indicators, 8 portfolio and departmental overview, 3 Portfolio Budget Statements

and programmes, 8 performance indicators, 8 Portfolio Regulatory Reform, 26 positioning systems and location information, 179 pre-competitive data and information, 168

to attract exploration investment, 166, 176 private sector capital expenditure, 14 Procurement Initiatives to Support Outcomes for Indigenous Australians (ANAO), 34 productivity growth

and intangible capital, 9 professional registration

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seabed environments, 175 seabed mapping surveys, 175, 176 seal integrity in potential CO2 injection locations, 177

Secretary’s review, 2-3 Securing Australia’s water resources deliverables, 170 key performance indicators, 171

Security Committee Geoscience Australia, 186 seismic hazard and risk information, 172 seismic reflection data

Houtman Sub-basin (WA), 168 Senate Estimates, 186 Senate Standing Committee on Economics, 186 Senior Executive Service (SES)

Department of Industry and Science, 35 Sentinel Hotspots bushfire monitoring dataset/online bushfire monitoring system, 159, 174, 181 Service Charter

Geoscience Australia, 189 shale gas potential, 168 Shenhua Watermark coal project, 170 Single Business Service initiative, 3, 22 Single Economic Market

with New Zealand and IP, 257, 258

small and medium businesses and innovation, 8-9 and science, 2

Smaller Government agenda, 258 SmartForms, 29 Snowy Hydro Limited, 31 South Galilee Coal Project, 170 Space Concession, 15 special legislative requirements

reports addressing, 151-5 Square Kilometre Array Radio Telescope Project, 10 stakeholder satisfaction survey

Geoscience Australia, 159 Statement by the Secretary and Chief Financial Officer Department of Industry and Science, 42

Geoscience Australia, 194 IP Australia, 270 Stavely (Vic) stratigraphic drill holes, 166, 182 Steering Committee of the International Partnership for Geothermal

Technology, 167 strategic objectives Department of Industry and Science, 2 strategic plans

Department of Industry and Science, 2, 34 Geoscience Australia, 186 IP Australia, 246, 247 Strategic Workforce Plan IP Australia, 263 stratigraphic drill holes Stavely (Vic), 166 Sub-programmes - Department of Industry and Science: Sub-programme 2.1: Science awareness, infrastructure and international engagement, 5 performance measures and results, 10 Sub-programme 2.2: Business research, development and commercialisation, 5 performance measures and results, 11 Sub-programme 3.1: Competitive marketplace, 5 performance measures and results, 15 Sub-programme 3.2: Business and market development, 5

recycling Geoscience Australia, 243 red-tape reduction, 29-30 Regional Comprehensive Economic Partnership, 246, 258 Regional Infrastructure Programme, 17 regional innovation funds, 2 Regional Patent Examination Training programme, 256 Registrar of Designs, 250, 262, 263 Registrar of Plant Breeder’s Rights, 250, 262, 263 Registrar of Trade Marks, 250, 262, 263

appeals of decisions, 306 Regulation Reform Agendas Guide for Growth Centres, 25 Regulatory Performance Framework, 155 regulatory policy advice, 26 regulatory programme delivery, 26 regulatory reform

business and government and, 25 OECD and, 25 reports addressing special legislative requirements, 151-5 research and STEM, 13 see also scientific research Research Affiliates LLC v Commissioner of Patents [2014] FCAFC 150, 306 Research Connections grant, 22 Research Infrastructure Review, 12 Resilient Australia award, 173 resource potential geological prospectus of, 167 resource wealth, 158, 162, 164, 166-9 resources and energy investment in, 14 Review of the Designs System, 259 Risk Management Framework IP Australia, 262 rock samples, 181 Royal Australian Air Force, 179 Royalty Payments WA—Offshore Petroleum and Greenhouse Gas Storage Act 2006 (SPP), 18 Rum Jungle Mine Site—Environmental Rehab (SPP), 19 Safety Improvement Plan IP Australia, 263 Safety, Rehabilitation and Compensation Act 1988, 263 Sampson Flat bushfire (SA), 172, 179 satellite data, 158 satellite ground station at Alice Springs, 158, 178 satellite imagery of surface water, 158 scheduled areas and petroleum blocks, 175 digital representations of, 159 Scholarship Award Program Department of Industry and Science, 35 science, 13 investment in, 2 and STEM, 13 see also Programme 2: Supporting Science and Innovation Science for Australia’s Future, 10 science priorities, 2 science, technology, engineering and mathematics (STEM), 2 and science and research priorities, 13 Science, technology, engineering and mathematics: Australia’s future, 13 scientific research changes in, 9 see also research Scott Reef changes to the territorial sea baselines at, 175 sea floor mapping advice and data processing, 159 seabed environmental baseline information and advice, 176

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Victoria drill holes, 158 regional innovation funds, 2

Victorian Innovation and Investment Fund—Ford assistance, 17 Vision for a science nation—Responding to Science, technology, engineering and mathematics: Australia’s future, 13 visual terminal charts and visual navigation charts, 179 Vlaming Sub-basin

CO2 geological storage potential, 169, 176 Water Act 2007, 178 Water Observations from Space, 173, 178, 181 water resources, 158, 162, 164, 170-1 website

IP Australia, 257 Western Australia sea floor mapping and sampling, 159 wind events, 173 wind modelling, 172 work health and safety

Department of Industry and Science, 35 Geoscience Australia, 187 IP Australia, 263-4 incidents

Department of Industry and Science, 35 Geoscience Australia, 187 IP Australia, 264 Work Health and Safety Act 2011, 35, 263, 264 Work Health and Safety Committee Geoscience Australia, 187 IP Australia, 263 Workforce Plan Department of Industry and Science, 35 workforce planning, 3 workforce statistics Department of Industry and Science, 146-9 Geoscience Australia, 240-2 IP Australia, 311-14 Workplace Health and Safety Committee Geoscience Australia, 186 Workplace Relations Committee Geoscience Australia, 186 World Bank Group and “ease of doing business”, 25 World Intellectual Property Organization, 246, 256, 258 Centralised Access to Search and Examination, 257 World Trade Organization Agreement on Trade-Related Aspects of Intellectual Property (TRIPS Protocol), 247, 258 Writing for Government and the Minister, 35 ZIMA trade mark, 306

performance measures and results, 16 Sub-programme 3.3: Economic transition, 5 performance measures and results, 17 Sub-programme 3.4: Resources, 5

performance measures and results, 18-19 Sub-programme 3.5: Energy, 5 performance measures and results, 20-1 Sub-programme 4.1: Improving regulation, 5

performance measures and results, 26 Sub-programme 4.2: Building a high performance organisation, 5 performance measures and results, 26-8 Sunesis Pharmaceuticals Inc v Commissioner of Patents [2015]

FCAFC 29, 306 Surat Basin QGC development for coal seam gas in, 170 Surat Region and Laura Basin—Queensland Project

groundwater hydrochemical characterisation of, 170 surface water dataset, 178

and groundwater resources, 170 surface water observations from satellite imagery, 158 sustainable groundwater management, 170 Synchrotron see Australian Synchrotron Syntroleum Depreciation, 19 Tasmania

regional innovation funds, 2 territorial sea baseline, 175 Textile Clothing and Footwear—Register of Approved Occupational Clothing, 15 Thomson Orogen (NSW - Qld)

airborne electromagnetic survey, 166 Timor Sea, 177 Titles Administrator see National Offshore Petroleum Titles Administrator Toyota Major Facelift Vehicle Grant, 17 Toyota Supplier Development Programme Grant, 17 trade marks, 250, 254

demand for, 246 Trade Marks Act 1995, 250 Trade Marks Attorneys see Patent and/or Trade Marks Attorneys trade marks inventory, 256 Tradex, 15 Trans-Pacific Partnership, 246, 258 TRIPS Protocol see World Trade Organization Agreement on Trade-

Related Aspects of Intellectual Property (TRIPS Protocol) tropical cyclone risk modelling (TCRM) software tool, 172 tropical cyclones Marcia, Lam and Nathan, 172, 173, 174, 179 see also cyclones tsunamis, 173 UNCOVER initiative, 158, 166, 182 United Kingdom IP office

and international trade mark database, 259 United Nations Educational, Scientific and Cultural Organization International Geoscience Programme

Australian National Committee for, 184 United States Department of Energy Geothermal Technology Office peer review of R&D programme, 167 United States Geological Survey, 158, 178 United States IP office

and international trade mark database, 259 Upstream Petroleum Resources Working Group report to COAG Energy Council on unconventional reserves, resources, production, forecasts and drilling rates, 167 uranium projects, 170 UrbanVirons, 22 Verifying Authority for Position, 180

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332