Maritime New Zealand Annual Report
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F.12 Annual Report 2019/20 Maritime New Zealand Nō te rere moana Aotearoa Nō te rere moana Aotearoa now accompanies te manaia – the guardian – in our logo. Together, they reflect our role as the caretaker of New Zealand’s flowing waters. They underpin our mandate to make life at sea safer; to protect the maritime environment from pollution and safeguard it for future generations; to ensure New Zealand’s ports and ships are secure; and to provide a search and rescue response service in one of the largest search and rescue areas in the world. Contents Abbreviations 2 Part A: Introduction 3 The year in review 4 Why the maritime domain matters to New Zealand 6 About Maritime New Zealand 8 Our role 8 Our outcomes 8 Our strategic framework 10 Our highlights 12 Responding to COVID-19 14 Our outcomes – Safe, Secure, Clean 15 Our goals 18 Our people 47 Part B: Statements of performance 53 Statement of responsibility 54 Vote Transport: Non-departmental output expense 55 Vote Transport: Non-departmental capital expenditure 56 Statements of performance 57 Part C: Financial statements 67 Notes to the financial statements 73 Independent auditor’s report 93 Appendices 97 Appendix 1: Financial statements for the New Zealand Oil Pollution Fund 98 Appendix 2: Maritime NZ and Rescue Coordination Centre NZ additional financial information 117 Appendix 3: Governance and accountability 122 Appendix 4: Maritime NZ’s Response Capability Matrix 124 Terms and definitions 126 Annual Report 2019/20 1 Abbreviations AC36 America’s Cup 2020/21 ANZSBEG Australia New Zealand Safe Boating Education Group AoG All-of-government ARCSAR Arctic and North Atlantic Security and Emergency Preparedness Network AtoN Aids to Navigation COMNAP Council of Managers of National Antarctic Programs DSC Digital selective calling FED Fuel Excise Duty G-Reg Government Regulatory Practice Initiative HF High frequency HSWA Health and Safety at Work Act 2015 HSW Health, safety and wellbeing IALA International Association of Marine Aids to Navigation and Lighthouse Authorities IMO International Maritime Organization ISPS International Ship and Port Facility Security MARPOL International Convention for the Prevention of Pollution from Ships MFAT Ministry of Foreign Affairs and Trade MOC Maritime Operations Centre MOSS Maritime Operator Safety System MoT Ministry of Transport MPRS Marine Pollution Response Service MSA Marine Security Act 2004 MTA Maritime Transport Act 1994 NZ GAAP New Zealand generally accepted accounting practice NZSRR NZ Search and Rescue Region OIA Official Information Act 1982 PBE Public benefit entity Polar Code International Code for Ships Operating in Polar Waters PSC Port State Control RCCNZ Rescue Coordination Centre New Zealand SAR Search and rescue SOLAS Safety of life at sea SOP Safe Operational Plan SRR Search and rescue region SSM Safe Ship Management system Tokyo MOU Tokyo Memorandum of Understanding VHF Very high frequency 2 MARITIME NEW ZEALAND PART A Introduction Annual Report 2019/20 3 The year in review It’s been a challenging but productive year Tēnā koutou. Ngā mihi mahana ki a koutou i runga i te kaupapa nei. We are pleased to present the 2019/20 Maritime NZ (Nō te rere moana Aotearoa) Annual Report. It records our results for the year against the plans and objectives set out in the Statement of Intent for 2018–2022, the Statement of Performance Expectations for 2019/20 and in the Minister’s Letter of Expectations 2019/20. Being Effective in our Role During this time, the Maritime NZ Board met regularly on line in support of the organisation, while navigating Maritime NZ has, over several years, been developing its the challenges of COVID-19. While in lockdown, staff approach as an effective evidence-based, intelligence-led, explored different ways to deliver our work, including doing risk-focused organisation. At the beginning of 2019/20, remote audits and training sessions. Without undermining the organisation received a significant boost in resourcing safety, security and marine protection outcomes, we through a funding review, and made further progress in engaged with the maritime industry in a way that was implementing improvements in capability and approach. empathetic and enabling, adjusting regulatory requirements Building on our core regulatory, compliance and response where appropriate. capabilities, these changes aim to strengthen work in areas Like the rest of New Zealand, the pandemic has affected such as: the funding of Maritime NZ. To address this, the Government • international engagement and influence; put in place additional support to ensure agencies were able to maintain the delivery of core activities. With careful • information systems; prioritisation and financial management (along with savings • research and intelligence functions; in areas such as travel) Maritime NZ did not need to access this fund during 2019/20. • communications and stakeholder engagement work; and • our strategic framework and significantly refreshing it. What we achieved Despite the pandemic, and not being in a position to achieve COVID-19 everything planned for the year, we made good progress with: The improvements in capability contributed to Maritime NZ’s • reforming the 40 series rules that apply to the design, quick response to the COVID-19 pandemic. We immediately construction and survey of domestic ships; established a response team and put a clear, structured leadership and communications approach in place to work • changing the International Maritime Organization’s Polar effectively with the Ministry of Transport (MoT), the all-of- Code II to improve the safety and environmental outcomes government (AoG) response and the maritime sector. This associated with small vessels travelling on polar waters; included seconding staff into core AoG response roles. • working with other regulators, unions and industry groups Drawing on improvements made to our systems and to effect longer-term change and improvement in areas capability, our people were seamlessly and rapidly able to such as recreational boating and port safety; adjust to lockdown requirements, especially as New Zealand • preparing for the America’s Cup; entered Alert Level 4 on 26 March 2020. Within one day of the Government announcing the lockdown, and the health, • preparing for the audit by the International Maritime safety and wellbeing of our people being of utmost priority, Organization of the way New Zealand implements most of Maritime NZ’s staff were working successfully international maritime conventions; and from home. • delivering a programme of assurance work in respect to our compliance activity. 4 MARITIME NEW ZEALAND The Rescue Coordination Centre New Zealand (RCCNZ) and Thank you our maritime incident and oil spill response services, together with maritime officers and investigators, continued to be fully This has been a year of challenges and it has required available. everyone to respond to uncertainty and change. We would like to recognise the absolute commitment and positive Recognising the financial impact of COVID-19 and the salary response from the whole Maritime NZ team, and the sacrifice arrangements put in place for parliamentarians and partnership and cooperation shown by the other government chief executives, each Authority member also committed to agencies and those we work with in the wider maritime sector. contributing a portion of their Board fees for the 2019/20 year to charity. Hē waka eke noa (We’re all in this together). Ngā mihi nui Jo Brosnahan Keith Manch Chair, Maritime NZ Director, Maritime NZ Annual Report 2019/20 5 WHY THE MARITIME DOMAIN MATTERS TO NEW ZEALAND NZ EXPORTS $ 99% 86.4 by volume billion NZ IMPORTS 90% $82.9 by value billion IS CARRIED BY SEA NZ’s Exclusive Economic Zone is During the NZ's marine economy COVID-19 1,004 ship & contributed 15x response the size of Spanning 5,654 port $ the country 3.8 2 with good international links, visits to NZ not including Tokelau, 37 million km proved their vital role for our (A ship can visit billion Niue, the Cook Islands New Zealand covers one of the country’s supply chains multiple ports) to New Zealand’s and the Ross Dependency largest search and rescue areas economy in the world 6 MARITIME NEW ZEALAND WHY THE MARITIME DOMAIN MATTERS TO NEW ZEALAND NZ EXPORTS $ 99% 86.4 by volume billion NZ IMPORTS 90% $82.9 by value billion IS CARRIED BY SEA NZ’s Exclusive Economic Zone is During the NZ's marine economy COVID-19 1,004 ship & contributed 15x response the size of Spanning 5,654 port $ the country 3.8 2 with good international links, visits to NZ not including Tokelau, 37 million km proved their vital role for our (A ship can visit billion Niue, the Cook Islands New Zealand covers one of the country’s supply chains multiple ports) to New Zealand’s and the Ross Dependency largest search and rescue areas economy in the world Annual Report 2019/20 7 About Maritime New Zealand Our role Maritime NZ is the national regulatory, compliance and response agency for the safety, security and environmental protection of New Zealand’s maritime environment. Established in 1993, Maritime NZ is governed by a five-member board (the Authority) appointed by the Minister of Transport under the Maritime Transport Act 1994 (MTA). MARITIME NZ HAS THREE CORE ROLES REGULATION COMPLIANCE RESPONSE Maritime NZ develops and maintains Maritime NZ supports, encourages Maritime NZ provides a national the national safety, security and and requires operator compliance land, sea and air search and rescue environmental protection regulations with those regulations through its coordination service and manages and rules that govern maritime regulatory regimes and compliance national maritime incident and marine operations, ports and offshore operating model. pollution response capability. installations in New Zealand waters through its domestic and international work. Maritime NZ takes an intelligence-led, risk-focused and evidence-based approach to its work. The values of integrity, commitment and respect underpin all that Maritime NZ does.