Australian Maritime Safety Authority

Section 3: Budgeted financial statements

Section 3 presents budgeted financial statements which provide a comprehensive snapshot of the AMSA's finances for the 2018–19 Budget year, including the impact of Budget measures and resourcing on financial statements.

3.1 Budgeted financial statements

3.1.1 Explanatory notes and analysis of budgeted financial statements

AMSA is projecting an overall budget operating surplus of $17.8m for the budget and forward years, comprising surplus of $3.5.m, $5.8m, $5.3m and $3.3m from 2018–19 through to 2021–22 respectively. From 1 July 2018, AMSA assumes full responsibility for the delivery of regulatory services under the National System. The budgeted financial statements over the forward estimates have been adjusted to include funding for the National System for Domestic Commercial Vessel Safety.

The estimated actual for 2017–18 is an operating surplus of $2.2m with revenue of $208.6m and expenditure of $206.4m.

AMSA revenue

AMSA's revenue sources are:

  • levies collected from the shipping industry and appropriated under section 48 of the AMSA Act as special appropriations to fund AMSA's ship safety and environment protection functions
  • Community Service Obligation funding from the Australian Government for search and rescue coordination services for persons in aviation or maritime distress in Australia's internationally designated search and rescue region

AMSA has 3 levies corresponding to its ship safety and environment protection functions:

  • the Marine Navigation (Regulatory Function) Levy funds AMSA's shipping regulatory functions
  • the Marine Navigation Levy funds the national network of marine aids to navigation
  • the Protection of the Sea Levy funds activities related to pollution and emergency response services

In 2018–19, levy revenue is estimated to total $123.9m, which is marginally higher than the 2017–18 estimated revenue of $122.0m.

AMSA will receive an annual departmental appropriation of $59.4m in 2018–19 for providing search and rescue co-ordination services to the community. AMSA will also receive an annual departmental appropriation of $10.9m in 2018–19 to cover the cost of search and rescue incidents.

From 1 July 2018–19 AMSA will take the full responsibility for the National System for Domestic Commercial Vessel Safety and the increase in the annual departmental appropriation in 2018–19 reflects the additional Commonwealth transitional funding package of $7.3m for the National System for Domestic Commercial Vessel Safety.

AMSA's revenue for 2018–19 also includes $13.2m transitional funding package from states for the National System for Domestic Commercial Vessel Safety.

AMSA also receives revenue from independent sources that comprises fees and charges related to specific service delivery.

AMSA may make determinations fixing charges under section 47 of the AMSA Act, which requires fees and charges to be reasonably related to the costs incurred by AMSA in their provision. AMSA has a range of services with charges based on the average cost of delivering a specific service or the time taken to deliver the service multiplied by a standard hourly rate. These services include:

  • approvals, certificates and determinations for ships, cargo and ship safety equipment
  • activities related to issuing certificates of competency to seafarers, including conducting practical oral examinations for navigation and engineering officers
  • assessment of sea time pre-requisites for qualifications, issuing and renewing coastal pilot licences and services provided by the Australian Shipping Registration Office

AMSA's total estimated revenue from independent sources for the 2018–19 budget period is $27.3m (up $10.4m compared to $16.9m in the 2017–18 estimated actuals). This increase is primarily attributable to the transitional funding from states and from industry sources for the National System for Domestic Commercial Vessel Safety.

AMSA estimates total revenue of $228.8m in the 2018–19 budget period compared to $208.6m in the 2017–18 estimated actuals, as summarised in the table following.

Revenue comparison
 2017–18
Estimated
Actual
($m)
2018–19
Budget

($m)
AMSA revenue sources
Special appropriations of levies collected from the shipping industry 122.0 123.9
Annual departmental appropriation for search and rescue functions 58.6 59.4
Annual departmental appropriation for search and rescue response 11.1 10.9
Revenue from budget measures  - 7.3
Revenue from independent sources (fees and charges and interest) 16.9 27.3
Total Revenue 208.6 228.8
Appropriation comparison

The table below compares the appropriations between the 2017–18 estimated actuals and 2018–19 Budget:

2017–18
Estimated
Actual
$'000
2018–19
Budget

$'000
Appropriation Bill No. 1
Departmental Outputs
Australian Search and Rescue Function 58,620 59,417
Australian Search and Rescue Response 11,097 10,928
Revenue from budget measures  - 7,260
Total 69,717 77,605
Special Appropriations
Marine Navigation Levy 34,660 35,282
Regulatory Functions Levy 52,217 53,157
Protection of the Sea Levy 34,795 35,421
Total 121,672 123,860
Total Appropriations 191,389 201,465
Resources for AMSA's output groups

Chart 3.1.1 shows the resources allocated to AMSA's 2 sub-programs since 2015–16:

Chart 3.1.1: Trends in resources for AMSA sub-programs

Chart 3.1.1: Trends in resources for AMSA sub-programs

3.2 Budgeted financial statements tables

Table 3.1: Comprehensive income statement (showing net cost of services) (for the period ended 30 June)

Table 3.2: Budgeted departmental balance sheet (as at 30 June)

Table 3.3: Departmental statement of changes in equity—summary of movement (Budget year 2018–19)

Table 3.4: Budgeted departmental statement of cash flows (for the period ended 30 June)

Table 3.5: Departmental capital budget statement (for the period ended 30 June)

Table 3.6: Statement of asset movements (Budget year 2018–19)

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Budget 2018-19