Annual Report 2016-2017
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F.12 No¯ te rere moana Aotearoa ANNUAL REPORT 2016/17 Maritime New Zealand No¯ te rere moana Aotearoa Noˉ 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. Maritime New Zealand’s vision, mission and values are its foundations. Our vision A maritime community that works and plays safely and securely on clean waters. Our mission A professional, evidence-based, intelligence-led, risk-focused regulatory, compliance and response agency. Our values Integrity | Commitment | Respect F.12 ANNUAL REPORT 2016/17 Cuvier Island Lighthouse guards the approach to Auckland Harbour and the Hauraki Gulf. It marks the first sight of land for ships coming in from the Pacific and is New Zealand’s most distant offshore lighthouse. The 15-metre cast iron tower was first lit up in 1889 and was demanned in 1982. Cuvier Island Lighthouse is not accessible to the public. The island is now a predator- free nature reserve administered by the Department of Conservation. MARITIME NEW ZEALAND IDENTITY KIT Updated March 2015 MAR1053 Identity kit Table of contents Highlights 4 The year in review 5 Part A: Maritime NZ 9 Our role and strategic direction 9 Our operating environment 14 Delivering on our outcomes and understanding our impact 20 A safe, secure, clean maritime system 20 How well are we doing? 22 Delivering against our strategic objectives 29 Strategic Goal 1: Regulation that is relevant and robust 30 Strategic Goal 2: Risk-focused, responsive compliance practices that reduce harm in the maritime 36 system Strategic Goal 3: Response capability that is well prepared, integrated and effectively deployed to 46 resolve emergency incidents Strategic Goal 4: A results-driven and resilient organisation, working collaboratively for success 54 Organisational Health and Capability 63 Why this is important to us 63 Our performance this year 63 Organisational health measures 63 Recruitment and retention 64 Promoting equal employment opportunities 64 Our activities this year 66 Vote Transport: Non-Departmental Capital Expenditure 68 Part B: Statements of Performance and Financial Statements 69 Statement of Performance 70 Vote Transport: Non-Departmental Output Expense 71 Output class 1: Influencing the policy environment for the maritime sector 72 Output class 2: Maritime safety and marine protection services 76 Output class 3: Marine Pollution Response Service 84 Output class 4: Search and rescue coordination services 85 Output class 5: Maritime incident response capability 88 Financial statements 89 Statement of responsibility 90 Independent Auditor’s Report 91 Statement of comprehensive revenue and expense for Maritime New Zealand 94 Statement of changes in equity for Maritime New Zealand 95 Statement of financial position for Maritime New Zealand 96 Statement of cash flows for Maritime New Zealand 97 Notes to the financial statements for Maritime New Zealand 98 Appendices 122 Appendix 1: Financial Statements for the New Zealand Oil Pollution Fund 122 Statement of responsibility for the New Zealand Oil Pollution Fund 123 Independent Auditor’s Report 124 Statement of comprehensive revenue and expense for the New Zealand Oil Pollution Fund 127 Statement of changes in equity for the New Zealand Oil Pollution Fund 128 Statement of financial position for the New Zealand Oil Pollution Fund 129 Statement of cash flows for the New Zealand Oil Pollution Fund 130 Notes to the financial statements for New Zealand Oil Pollution Fund 131 Appendix 2: Maritime New Zealand and Rescue Coordination Centre New Zealand additional financial 148 information Appendix 3: Governance and accountability 156 Appendix 4: Maritime NZ’s Response Capability Matrix – Assessment matrix descriptors 158 MARITIME NEW ZEALAND ANNUAL REPORT 2016/2017 3 Highlights 392 % MOSS audits conducted with 2/3 of the approximate 10 0 1,650 Marine operators now Six successful prosecutions transitioning to MOSS since brought under the Health and mid-2014. Awards Safety in Employment Act and the Maritime Transport Act. An independent review of Won for our Safer Boating MOSS has confirmed our Week and summer safety Frontline staff warranted as audit processes are “strong”. campaign. Health and Safety Inspectors. 13Delivered all thirteen 4,962 items on the regulatory programme agreed with Seafarers ring-fenced1 to date the Ministry of Transport. 2nd and just over 700 applications in most trusted and well progress as at year end. Completed Port respected public organisation. security exercises. 276 Category II incidents of real distress requiring a search and % rescue operation coordinated by the Rescue Coordination MEOSAR satellite system 80.7 Centre New Zealand (RCCNZ) Staff engagement survey operational – increasing the in addition 658 were resolved 17% above the Public Sector speed of rescue. through communications only. Benchmark of 69%. RCCNZ SAR operations resulted in: 20 lives saved 183 rescued & 229 assisted. 1 Around 7,000 seafarers registered to safe-guard more than 10,000 certificates, during the 12 months from when ring-fencing became available in September 2016. 4 MARITIME NEW ZEALAND ANNUAL REPORT 2016/2017 BLAIR O’KEEFFE, CHAIR, MARITIME NZ2 KEITH MANCH, DIRECTOR, MARITIME NZ The year in review Introduction from the Chair and the Director We are pleased to present the 2016/17 Annual Report for Maritime NZ (Nō te rere moana Aotearoa), which records our results for the year against the plans and objectives set out in our Statement of Intent (SOI) for 2015–2021 and Statement of Performance Expectations (SPE) for 2016/2017. 2 Blair O’Keeffe assumed the role of Chair, Maritime NZ, on 20 October 2016, succeeding David Ledson who held the position from 1 February 2010 – 19 October 2016. MARITIME NEW ZEALAND ANNUAL REPORT 2016/2017 5 The year in review OUR RESULTS across the maritime sector, reinforcing the commitment across New Zealand to this voluntary national standard Our vision is ‘a maritime community that works and to maintain safe ports and harbours. plays safely and securely on clean waters’. We continued to make solid progress towards this vision “Most operators have now in 2016/2017. Recreational and commercial boating tolls remain relatively low, following our continued transitioned to MOSS, and their effort to deliver the safety message to the diverse range of vessel operators using our waters. Our latest feedback indicates that it is recreational boating research shows that 1.45 million achieving its purpose…” Kiwis, or 42% of the adult population, are involved in recreational boating in some way; more than 80 percent Our organisational capability and capacity in marine of them believe that lifejackets should be worn. This is incident response has expanded over the year, to heartening and demonstrates we can and will continue ensure the availability of a broader range of people to make a difference in safety on the water. trained and ready to take part in response activity. Improvements in compliance include the consolidation Our rescue coordination work has been enhanced by a of the Maritime Operator Safety System (MOSS), which major modernisation investment in a new ground station requires all commercial vessel operators to be certified. for the Medium-altitude Earth Orbit Search and Rescue Most operators have now transitioned to MOSS, and (MEOSAR) satellite system, which is now operational – their feedback indicates that it is achieving its purpose increasing the speed with which people in distress can of supporting operators to develop enhanced safety be located and rescued. systems for their entire operations. Meanwhile our Marine Pollution Response Service An independent review of MOSS has assessed our (MPRS) has made significant progress, working with audit processes and approach to industry engagement industry to develop enhanced capability. This has been as “strong”. This reflects positively on our systems and supported by increased resources provided through the skills and performance of our Maritime Officers. the Oil Pollution Levy following the development of a Progress has also occurred in the transition to revised oil spill strategy and recommendations by the SeaCert, our updated seafarer certification framework. Oil Pollution Advisory Committee. MPRS continues Responding to industry feedback, we have provided to work closely with regional councils and industry an option for established seafarers to ring-fence older stakeholders, preparing for oil spill response through and legacy certificates at no cost, which has been very the delivery of training programmes and exercises. popular. This was the result of innovative collaboration We continue to participate actively in the international that aimed to meet both regulatory and industry needs. arena. We have progressed two new International Other cross-sector engagement has included a Maritime Organization Conventions – the Maritime partnership with port companies and regional councils Labour Convention and the Ballast Water Management under the refreshed New Zealand Port and Harbour Convention. These aim, respectively, to protect the Marine Safety Code. A new tripartite governance rights of international seafarers