Funding review - consultation completed

Safe Seas Clean Seas Issue 42, December 2012

Consultation on MNZ’s funding review is complete, with 25 submissions received during November. The submissions and a summary of submissions are available on the MNZ website.

Submissions were generally supportive of the:

  • principles underpinning the review – authority, efficiency, equity and accountability
  • transparency of information and analysis provided
  • proposal to decrease the levy, balanced by increasing fees for compliance work relating to individual operators.

MNZ work relating to recreational boating, including promotion of safe boating practices, is currently partly funded by the (marine safety charges) levy paid by commercial operators. Submitters supported the proposal that levy funding for this work should be replaced by funding from fuel excise duty.

On the other hand, questions were asked and concerns expressed in some submissions about the:

  • cost of MNZ’s compliance work
  • proposals as to which sectors should pay how much for which of MNZ’s various functions
  • continuation of the current levy calculation methodology for a portion of the levy
  • impact of fees and costs on individual operators.

A number of submissions also noted the possible impact of fees for the proposed new Maritime Operator Safety System (MOSS) and new seafarer certification regime (SeaCert formerly QOL). Fees for both new regimes were outside the scope of the funding review, and will be covered in separate consultation documents.

It became apparent during the consultation that some commercial operators were not aware they could claim back the fuel excise duty they had paid in the course of their business operations.

During the consultation period, MNZ held two public meetings – one in Auckland and one in Wellington. There was one request in response to MNZ’s offer to give the presentation to sector groups, and the Deputy Director met with the International Container Lines Committee during the consultation period. Many phone calls were received, with people calling with requests for clarification.

Analysis of the submissions is expected to be presented to the Minister of Transport before the end of this year, with the expectation of Government decisions being made in the New Year, so that new fee and levy rates can be in place from 1 July 2013.

Learn about refunds relating to excise duty

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