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Key departmental publications, e.g. annual reports, budget papers and program guidelines are available in our online archive.

Much of the material listed on these archived web pages has been superseded, or served a particular purpose at a particular time. It may contain references to activities or policies that have no current application. Many archived documents may link to web pages that have moved or no longer exist, or may refer to other documents that are no longer available.

Portfolio Additional Estimates Statements 2003-2004

Environment and Heritage Portfolio
Explanation of Additional Estimates 2003-2004
Commonwealth of Australia 2004
ISSN 1448-9058

Part C - Agency Additional Estimates Statements (continued)
Department of the Environment and Heritage (continued)

Section 3 - Budgeted Financial Statements

Departmental Statements

The following budgeted departmental financial statements and administered notes for the Department of the Environment and Heritage are presented in this section. Information from the following budgeted financial statements and administered notes, forms part of the financial statements that will appear in the Department's 2003-2004 annual report, and is also required as input into the Whole of Government Accounts.

On 12 September 2002 the Bureau of Meteorology became a prescribed agency under the Financial Management and Accountability Act 1997. As a result, the 2002-03 Actual Estimates in the following tables only reflect estimates for the Bureau for the period 1 July to 11 September 2002. The details relating to the Bureau from 12 September 2002 are provided in its own separate part of this document.

Budgeted Departmental Statement of Financial Performance

This statement provides a picture of the expected financial results for the Department by identifying full accrual expenses, revenues and capital use charge, which highlights whether the Department is operating at a sustainable level.

Budgeted Departmental Statement of Financial Position

This statement shows the financial position of the Department. It helps decision makers to track the management of the Department's assets and liabilities.

Budgeted Departmental Statement of Cash Flows

Budgeted cash flows, as reflected in the statement of cash flows, provide important information on the extent and nature of cash flows by categorising them into expected cash flows from operating activities, investing activities and financing activities.

Departmental Capital Budget Statement

Shows all planned departmental capital expenditure (capital expenditure on non-financial assets), whether funded either through capital appropriations for additional equity or borrowings, or from funds from internal sources.

Departmental Non-financial Assets - Summary of Movement

Shows budgeted acquisitions and disposals of non-financial assets during the budget year.

Administered Notes

Schedule of Budgeted Revenues and Expenses Administered on Behalf of Government

This note identifies the revenues and expenses administered on behalf of the Government, except revenue from administered appropriations

Schedule of Budgeted Assets and Liabilities Administered on Behalf of Government

This note shows the assets and liabilities administered on behalf of the Government.

Schedule of Budgeted Administered Cash Flows

This note shows cash flows administered on behalf of the Government.

Schedule of Administered Capital Budget

This note shows details of planned administered capital expenditure.

Schedule of Administered Non-financial Assets - Summary of Movement

This note discloses details of movements in administered non-financial assets.

Table 3.1 Budgeted Departmental Statement OF Financial Performance
(for the period ended 30 June 2004)
     

Revised Budget

FORWARD

   

Actual

Estimate

ESTIMATES

 

Note

2002-03

2003-04

2004-05

2005-06

2006-07

   

$'000

$'000

$'000

$'000

$'000

             

REVENUES FROM ORDINARY ACTIVITIES

           

Revenues from Government

2

298,862

221,100

230,773

239,642

242,896

Sales of goods and services

3

30,966

24,271

20,168

19,695

19,320

Interest

 

994

0

0

0

0

Proceeds from Sale of Assets

 

442

0

0

0

0

Reversal of previous write-downs

 

2

0

0

0

0

Other

 

5,401

40

40

40

40

Total revenues from ordinary activities

 

336,667

246,411

250,981

259,377

262,256

             

EXPENSES FROM ORDINARY ACTIVITIES

2

         

(excluding borrowing costs expense)

         

Employees

 

111,118

90,781

95,346

96,805

96,936

Suppliers

 

96,138

82,369

83,915

88,596

88,822

Grants

4

64,764

48,732

46,823

48,868

51,381

Depreciation and amortisation

 

31,879

23,375

23,745

23,945

23,945

Value of assets sold

 

2,293

0

0

0

0

Write-down of Assets

 

702

68

68

68

68

Other

 

496

26

20

20

20

Total expenses from ordinary activities (excluding borrowing costs expense)

 

307,390

245,351

249,917

258,302

261,172

Borrowing cost expense

5

246

200

154

105

54

Net Surplus or (deficit) from ordinary activities

 

29,031

860

910

970

1,030

Gain or loss on extraordinary items

 

0

0

0

0

0

Net Surplus or (deficit)

 

29,031

860

910

970

1,030

Capital Use Charge (CUC)

1(c)

(40,913)

0

0

0

0

Net Surplus or (deficit) attributable to the Commonwealth

 

(11,882)

860

910

970

1,030

 

Table 3.2 Budgeted Departmental Statement of Financial Position (as at 30 June 2004)
     

Revised
Budget

FORWARD

   

Actual

Estimate

ESTIMATES

   

2002-03

2003-04

2004-05

2005-06

2006-07

ASSETS

 

$'000

$'000

$'000

$'000

$'000

Financial Assets

           

Cash

 

4,249

2,630

5,981

11,750

17,398

Receivables

 

25,852

20,300

21,142

22,074

22,984

Accrued revenues

 

3,172

2,986

3,000

3,014

3,028

Other

 

30

30

30

30

30

Total financial assets

 

33,303

25,946

30,153

36,868

43,440

             

Non-financial assets

           

Land and buildings

 

200,074

200,194

196,314

192,434

188,554

Infrastructure, plant and equipment

 

103,384

105,877

105,687

103,297

100,907

Inventories

 

7,990

8,002

8,301

8,438

8,638

Intangibles

 

4,875

8,463

7,991

7,389

6,787

Other

 

2,397

2,403

2,404

2,403

2,403

Total Non-financial assets

 

318,720

324,939

320,697

313,961

307,289

             

Total Assets

 

352,023

350,885

350,850

350,829

350,729

             

LIABILITIES

           

Debt

           

Loans

5

4,831

3,974

3,065

2,102

1,082

Leases and Other debts

 

846

846

846

846

846

Total debt

 

5,677

4,820

3,911

2,948

1,928

             

Provisions

           

Employees

 

30,914

30,141

30,705

31,295

31,828

Other

 

42,997

38,412

33,827

29,227

24,627

Total Provisions

 

73,911

68,553

64,532

60,522

56,455

             

Payables

           

Suppliers and Operating Lease

 

8,109

8,677

8,677

8,677

8,677

Grants

 

1,952

0

0

0

0

Other

 

1,820

1,339

1,284

1,226

1,143

Total Payables

 

11,881

10,016

9,961

9,903

9,820

             

Total Liabilities

 

91,469

83,389

78,404

73,373

68,203

             

EQUITY

           

Capital

 

14,446

14,446

14,446

14,446

14,446

Reserves

 

129,008

133,048

137,088

141,128

145,168

Accumulated surpluses or deficits

 

117,100

120,002

120,912

121,882

122,912

Total equity

 

260,554

267,496

272,446

277,456

282,526

             

Current liabilities

 

27,781

21,537

21,898

22,289

22,659

Non-current liabilities

 

63,688

61,852

56,506

51,084

45,544

Current assets

 

40,787

33,948

38,454

45,306

52,078

Non-current assets

 

311,236

316,937

312,396

305,523

298,651

 

Table 3.3 Budgeted Departmental Statement of Cash Flows
(for the period ended 30 June 2004)
     

Revised
Budget

FORWARD

   

Actual

Estimate

ESTIMATES

   

2002-03

2003-04

2004-05

2005-06

2006-07

OPERATING ACTIVITIES

 

$'000

$'000

$'000

$'000

$'000

Cash received

           

Appropriations for outputs

 

294,749

227,942

230,253

239,122

242,376

Sales of goods and services

 

30,284

23,778

19,832

19,269

18,895

Interest

 

953

0

0

0

0

Other

 

13,000

3,157

3,476

2,976

2,976

Total cash received

 

338,986

254,877

253,561

261,367

264,247

             

Cash Used

           

Employees

 

115,184

91,554

94,782

96,215

96,403

Suppliers

 

109,766

88,328

88,875

93,410

93,704

Grants

 

65,277

48,732

46,823

48,868

51,381

Cash Transfer to OPA

 

19,046

0

0

0

0

Interest

 

344

200

154

105

54

Other

 

530

3,586

3,436

2,936

2,936

Total cash used

 

310,147

232,400

234,070

241,534

244,478

             

Net cash from operating activities

 

28,839

22,477

19,491

19,833

19,769

             

INVESTING ACTIVITIES

           

Cash Received

           

Proceeds from sale of property, plant

           

and equipment

 

442

0

0

0

0

Total Cash Received

 

442

0

0

0

0

             

Cash used

           

Purchase of property, plant and equipment

 

43,660

23,171

15,163

13,033

13,033

Other

 

0

68

68

68

68

Total cash used

 

43,660

23,239

15,231

13,101

13,101

             

NET CASH FROM INVESTING ACTIVITIES

 

(43,218)

(23,239)

(15,231)

(13,101)

(13,101)

FINANCING ACTIVITIES

           
             

Cash Received

           

Proceeds from debt

 

0

0

0

0

0

Proceeds from issuing equity instruments

 

0

0

0

0

0

Total Cash Received

 

0

0

0

0

0

             

Cash Used

           

Repayment of debt

 

25

857

909

963

1,020

Capital use and dividends paid

6

30,917

0

0

0

0

Other

 

25,144

0

0

0

0

Total Cash Used

 

56,086

857

909

963

1,020

             

NET CASH FROM FINANCING ACTIVITIES

 

(56,086)

(857)

(909)

(963)

(1,020)

             

Net increase/decrease in cash held

 

(70,465)

(1,619)

3,351

5,769

5,648

             

Cash at the beginning of the reporting period

 

74,714

4,249

2,630

5,981

11,750

Cash at the end of the reporting period

 

4,249

2,630

5,981

11,750

17,398

 

Table 3.4 Departmental Capital Budget Statement
     

Revised
Budget

FORWARD

   

Actual

Estimate

ESTIMATES

   

2002-03

2003-04

2004-05

2005-06

2006-07

   

$'000

$'000

$'000

$'000

$'000

CAPITAL APPROPRIATIONS

           

Total equity injections

   

4,333

     

Total loans

 

 

       

Appropriation of previous year prepaid revenue

           
             

Represented by:

           

Purchase of non-financial assets

           

Other

 

 

4,333

     
             

PURCHASE OF NON-CURRENT ASSETS

           

Funded by capital appropriations

           

Funded internally by departmental resources

 

43,660

23,171

15,163

13,033

13,033

 

Table 3.5 Departmental Non-financial Assets
Summary of Movement (Budget Year 2003-04)
         

Other

Total

Computer

 
     

Total

Specialist

Infrastruc

Infrastruc

Software

 
     

Land and

Military

Plant and

Plant and

and

 
 

Land

Buildings

Buildings

Equipment

Equipment

Equipment

Intangibles

Total

 

$'000

$'000

$'000

$'000

$'000

$'000

$'000

$'000

Carrying amount at the start of year

982

199,091

200,073

0

103,384

103,384

4876

308,333

Additions *

0

7,700

7,700

 

13,021

13,021

2,450

23,171

Disposals

               

Revaluation Increments

26

3,155

3.181

 

806

806

53

4,040

Recoverable Amount Write-Downs

               

Net Transfers free of Charge

0

0

0

 

310

310

2055

2365

Depreciation/Amortisation Expense

0

10,760

10,760

 

11,644

11,644

971

23,375

Write-off of Assets

               

Carrying amount at the end of the year

1,008

199,186

200,194

 

105,877

105,877

8463

314,534

 

* Total Additions

Self funded

0

7,700

7,700

 

13,021

13,021

2,450

23,171

Appropriations

   

 

   

 

 

 

TOTAL

0

7,700

7,700

 

13,021

13,021

2,450

23,171

 

Table 3.6 Schedule of Budgeted Revenues and Expenses Administered on Behalf of Government
(for the period ended 30 June 2004)
     

Revised
Budget

FORWARD

   

Actual

Estimate

ESTIMATES

 

Note

2002-03

2003-04

2004-05

2005-06

2006-07

   

$'000

$'000

$'000

$'000

$'000

Revenues

           

Taxation

 

0

0

0

0

0

Non-taxation

           

Sales of goods and services

7

2,773

902

723

781

644

Interest

 

6

6

5

4

3

Proceeds from sales of assets

 

0

0

0

0

0

Other sources of non-taxation revenues

8

9,079

7,200

7,200

7,200

7,200

Total non-taxation

 

11,858

8,108

7,928

7,985

7,847

Total revenues administered on behalf of the Government

 

11,858

8,108

7,928

7,985

7,847

             

Expenses

           

Grants

9

210,839

216,754

278,306

277,322

263,159

Suppliers

10

46,975

40,000

40,000

40,000

40,000

Other

11

701

746

518

518

518

Total expenses administered on behalf of the Government

 

258,515

257,500

318,824

317,840

303,677

 

Table 3.7 Schedule of Budgeted Assets and Liabilities Administered on Behalf of Government
(as at 30 June 2004)
     

Revised
Budget

FORWARD

   

Actual

Estimate

ESTIMATES

 

Note

2002-03

2003-04

2004-05

2005-06

2006-07

   

$'000

$'000

$'000

$'000

$'000

ASSETS

           

Financial Assets

           

Cash

 

1

1

1

1

1

Receivables

 

3,240

3,233

3,225

3,215

3,204

Investments

12

114,136

114,136

114,136

114,136

114,136

Accrued revenues

 

151

151

151

151

151

Total financial assets

 

117,528

117,521

117,513

117,503

117,492

             

Non-financial assets

           

Land and Buildings

 

4,750

4,750

4,750

4,750

4,750

Infrastructure, plant and equipment

 

1,271

1,271

1,271

1,271

1,271

Inventories

 

329

329

329

329

329

Other

 

131

131

131

131

131

Total Non-financial assets

 

6,481

6,481

6,481

6,481

6,481

             

Total Assets Administered on behalf of the Government

 

124,009

124,002

123,994

123,984

123,973

             

LIABILITIES

           

Provisions and Payables

           

Suppliers

 

1,586

1,586

1,586

1,586

1,586

Grants

 

11,914

11,914

11,914

11,914

11,914

Other

 

2,818

2,818

2,818

2,818

2,818

Total Provisions and Payables

 

16,318

16,318

16,318

16,318

16,318

Total Liabilities Administered on behalf of the Government

 

16,318

16,318

16,318

16,318

16,318

             

Current assets

 

3,852

3,848

3,837

3,827

3,816

Non-current assets

 

120,157

120,157

120,157

120,157

120,157

Current Liabilities

 

16,318

16,318

16,318

16,318

16,318

             

 

Table 3.8 Schedule of Budgeted Administered Cash Flows
(for the period ended 30 June 2004)
     

Revised
Budget

FORWARD

   

Actual

Estimate

ESTIMATES

 

Note

2002-03

2003-04

2004-05

2005-06

2006-07

   

$'000

$'000

$'000

$'000

$'000

OPERATING ACTIVITIES

           

Cash received

           

Sales of goods and services

 

4,176

902

723

781

644

Interest

 

7

6

5

4

3

Cash from Official Public Account

13

257,273

257,500

318,824

317,840

303,677

Other

 

16,013

7,646

7,646

7,646

7,646

Total cash received

 

277,469

266,054

327,198

326,271

311,970

             

Cash Used

           

Suppliers

10

44,034

40,000

40,000

40,000

40,000

Grants

9

199,638

216,754

278,306

277,322

263,159

Cash to Official Public Account

 

23,883

8,111

7,932

7,991

7,854

Other

 

9937

1,196

968

968

968

Total cash used

 

277,492

266,061

327,206

326,281

311,981

             

Net cash from operating activities

 

(23)

(7)

(8)

(10)

(11)

             

INVESTING ACTIVITIES

           

Cash Received

           

Other

 

6

7

8

10

11

Total Cash Received

 

6

7

8

10

11

             

Cash Used

           

Other

 

6

0

0

0

0

Purchase of new assets

 

4,750

0

0

0

0

Total cash used

 

4,756

0

0

0

0

             

Net cash from investing activities

 

(4,750)

7

8

10

11

             

FINANCING ACTIVITIES

           

Cash Received

           

Capital injection

14

4,750

0

0

0

0

Total Cash Received

 

4,750

0

0

0

0

             

Cash Used

           

Cash to the OPA

 

0

0

0

0

0

Total cash used

 

0

0

0

0

0

             

Net cash from financing activities

 

4,750

0

0

0

0

             

Net increase/decrease in cash held

 

(23)

0

0

0

0

             

Cash at the beginning of the reporting period

 

24

1

1

1

1

Administered Cash at the end of the reporting period

 

1

1

1

1

1

 

Table 3.9 Schedule of Administered Capital Budget
     

Revised
Budget

FORWARD

   

Actual

Estimate

ESTIMATES

   

2002-03

2003-04

2004-05

2005-06

2006-07

   

$'000

$'000

$'000

$'000

$'000

CAPITAL APPROPRIATIONS

           

Administered Capital

 

4,750

     
             

Represented by:

           

Purchase of non-current assets

           

Other

 

4,750

       
             

Purchase of non-current assets

           

Funded by capital appropriations

 

4,750

       

Funded internally by departmental resources

           

 

Table 3.10 Schedule of Administered Non-financial Assets – Summary of Movement (Budget Year 2003-04)
         

Other

Total

   
     

Total

Specialist

Infrastruc

Infrastruc

   
     

Land and

Military

Plant and

Plant and

   
 

Land

Buildings

Buildings

Equipment

Equipment

Equipment

Intangibles

Total

 

$'000

$'000

$'000

$'000

$'000

$'000

$'000

$'000

Carrying amount at the start of the year

 

4,750

4,750

 

1,271

1,271

 

6,021 

Additions

               

Disposals

               

Revaluation Increments

               

Recoverable Amount Write-Downs

               

Net Transfers free of Charge

               

Depreciation/Amortisation Expense

               

Write-off of Assets

               

Carrying amount at the end of the year

 

4,750

4,750

 

1,271

1,271

 

6,021 

 

Notes to Financial Statements

1. General Notes on Accrual Budgeting Framework
(a) Departmental Financial Statements and Notes of Administered Items

Under the Commonwealth's accrual budgeting framework, and consistent with Australian Accounting Standards, transactions that agencies control (departmental transactions) are separately budgeted for and reported on from transactions agencies do not have control over (Administered transactions). This ensures that agencies are only held fully accountable for the transactions over which they have control.

(b) Appropriations in the Accrual Budgeting Framework

Under the Commonwealth's accrual budgeting framework, separate annual appropriations are provided for:

Special appropriations exist under the accrual appropriation framework, and fund the majority of payments from the Consolidated Revenue Fund.

(c) Capital-Use Charge

Prior to 1 July 2003 a Capital-Use Charge was levied on agencies and authorities to reflect the opportunity cost of the Commonwealth's investment in those entities. It was levied on those agencies opening Departmental net assets (equity) at a rate of 11%.

Funding for the Capital-Use Charge was included in agencies and authorities price of outputs appropriations for the relevant years. The Capital Use Charge was accounted for as a 'below Operating Result line' dividend payment.

The Government decided to discontinue the Capital-Use Charge from 1 July 2003.

(d) Administered Investments in Controlled Entities

Each Commonwealth Department is required to show an Administered investment in each Commonwealth Authority and Company Act entity within their portfolio. These Administered investments should be valued at the Commonwealth's ownership interest in the net assets of those CAC entities, fixed at a notional acquisition date of 30 June 1997.

(e) Asset Valuation

From 1 July 2002 Commonwealth agencies and authorities are required to use either the cost basis or the fair value basis to measure Property, Plant and Equipment. The shift from the deprival method of valuation to fair value should occur gradually over a three-year period. Fair value essentially reflects the current market value of an asset. See guidance from the Department of Finance and Administration on how to calculate fair value.

  1. Significant variances in Revenues from Government and Expenses between 2002 03 and the forward estimate years relates primarily to the following:
    • Actual figures for 2002-03 includes revenues of $40.285m for the period 1 July 2002 to 11 September 2002 for the Bureau of Meteorology. The Bureau became a Prescribed Agency under the Financial Management and Accountability Act 1997 on 12 September 2002 and now reports as an agency in its own right. Departmental Financial Statements for the Commonwealth Bureau of Meteorology can be found at Part C, Section 3 (refer page 131).
    • Revenue from Government has also reduced by $42.020m due to the discontinuation of the capital use charge from 1 July 2003.

Other Items included in Revenue from Government:

On 8 September 2003, Parliament passed a package of legislation which abolished the Australian Heritage Commission (AHC), replaced it with an Australian Heritage Council and incorporates a new heritage regime into the Environment Protection and Biodiversity Conservation Act 1999. These legislative changes take effect from a proclamation date of 1 January 2004. From this date the Department of the Environment and Heritage will administer the new heritage regime.

Due to these changes, the Department of the Environment and Heritage will receive additional revenue from government in 2003-04, through Appropriation Bill (No. 3) 2003 04, equating to the amount of AHC funds estimated to be unexpended at the date of proclamation ($3.481m). The Department's forward estimates have also been increased accordingly (approximately $7.0m per year). The revenue from Government estimates also includes funds appropriated directly to the Department and transferred to the Director of National Parks. There is no direct appropriation from Government to the Director of National Parks.

  1. The revenue from the sale of goods and services estimates mainly relate to the recovery of administration costs for programmes relating to the Natural Heritage Trust.
  2. The grant expense estimates include payment to the Director of National Parks ($35.5m in 2003 04) and other departmental grants.
  3. In 1998 99 $7.8m was borrowed from the Department of Finance and Administration for refurbishment and fitout of the John Gorton Building in Parkes. Repayments for the John Gorton Building loan will be over nine years, with the final repayment being made in 2007 08.
  4. The Government has discontinued the capital use charge from 1 July 2003.
  5. Non-taxation revenue in 2002-03 includes goods and services revenue from the recovery of costs by the Bureau of Meteorology up to 11 September 2002 (after that date the Bureau became a prescribed agency). From 2003-04 those revenues relate to other fees from regulatory services.
  6. Other sources of non-taxation revenue relate mainly to revenue collected under the Great Barrier Reef Marine Park Authority Environment Management Charge which is returned to the Official Public Account before being appropriated back to the Authority.
  7. Grant payments to non-profit institutions, related entities and state, territory and local governments and other grant programmes including the Natural Heritage Trust of Australia.
  8. Supplier expenses relating to goods and services for projects and grants under the Natural Heritage Trust of Australia.
  9. Includes other goods and services expenses relating to Ozone Protection.
  10. Investments relating to the net assets of the portfolio's statutory authorities valued at 30 June 1997. The book value of each investment is fixed as at 1 July 1997.
  11. Represents receipts of administered appropriations from the Official Public Account (OPA). This revenue is no longer reported as administered revenue as a result of changed requirements under the Finance Minister's Orders in 2001-02.
  12. Administered capital received in the 2002-03 Budget for the purchase of Macquarie Lightstation and Snapper Island from the Department of Finance and Administration. The assets will be vested to the Sydney Harbour Federation Trust in 2003-04.