DEPARTMENT of STATE and REGIONAL DEVELOPMENT ANNUAL REPORT 2007-2008 3 Organisation Chart

New South Wales Department New ofSouth StateWales 2007–2008 Department and Report Annual Regional Development

Annual Report 2007-2008 Level 49 MLC Centre 19 Martin Place Sydney NSW 2000 GPO Box 5477 Sydney NSW 2001 Australia T: +61 2 9338 6600 F: +61 2 9338 6860

The Hon Ian Macdonald MLC Minister for Primary Industries Minister for Energy Minister for Mineral Resources Minister for State Development Level 33, Governor Macquarie Tower 1 Farrer Place SYDNEY NSW 2000 The Hon Phillip Costa MP Minister for Water Minister for Rural Affairs Minister for Regional Development Level 34, Governor Macquarie Tower 1 Farrer Place SYDNEY NSW 2000 The Hon Tony Stewart MP Minister for Small Business Minister for Science and Medical Research Minister Assisting the Minister for Health (Cancer) Level 32, Governor Macquarie Tower 1 Farrer Place SYDNEY NSW 2000 The Hon Jodi McKay MP Minister for Tourism Minister for the Hunter Level 37, Governor Macquarie Tower 1 Farrer Place SYDNEY NSW 2000

Dear Ministers In accordance with the Annual Reports (Departments) Act 1985, it is my pleasure to submit for your information and presentation to Parliament the Annual Report of the Department of State and Regional Development for the financial year ended 30 June 2008.

Yours sincerely

B D Buffier Director General 31 October 2008

NSW Offices "MCVSZt"SNJEBMFt#BUIVSTUt#SPLFO)JMM #VSPOHBt$PGGT)BSCPVSt%VCCPt(PVMCVSO (SBGUPOt-JTNPSFt/FXDBTUMFt/PXSB 0SBOHFt0VSJNCBIt1BSSBNBUUB 1PSU.BDRVBSJF4ZEOFZt5BNXPSUI 5XFFE)FBETt8BHHB8BHHBt8PMMPOHPOH Contents

Organisation Chart 4

Director General’s Year in Review 5

Corporate Framework 8

Performance Summary — Highlights of the Year 13

Financial Overview 20

Operating Environment 21

Industry 22

Investment 28

Office for Science and Medical Research 32

Policy and Resources 37

Regional Development 42

Small Business Development 47

Tourism New South Wales 52

Communications Innovation International Business Relations Retail Tenancy 59

Audited Financial Statements 64

Appendices Access Index 124

NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT ANNUAL REPORT 2007-2008 3 Organisation Chart

Minister for Regional Minister for Minister for State Minister for Minister Development Science and Development Small Business for Tourism Medical Research Tony Kelly Verity Firth Ian Macdonald Joe Tripodi Matt Brown

Director General

Communications Unit Innovation Unit (from November 2007)

Executive Support Unit Retail Tenancy Unit

International Business Major Event Unit Relations Unit (to August 2007)

Industry Investment Office for Policy and Regional Small Business Tourism New Science and Resources Development Development South Wales Innovation and Investment Medical Technology Attraction Research Policy Regional Small Business Marketing Program / Industry Investment Science Business Analysis Service Delivery Business Services Industry and Development Development Destination Medical Research Information Regional Trade Services Services Business and Technology Major Projects Investment Western Special Events Policy and Attraction Group Business and Operations Finance Sydney Office Communications Skills Migration Community Human Corporate Affairs Resources Economic Development Performance and Governance Regional Promotion Regional Development Boards

4 ANNUAL REPORT 2007-2008 NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT Director General’s Year in Review Director General’s Year in Review

I am pleased to present the 2007–08 The diversity of the Department’s This year major Indian companies Department of State and Regional responsibilities, ranging from tourism, Wipro, Polaris, and Rolta and Chinese Development Annual Report, my first business development, retail leases, companies, People’s Bank of China, since appointment as Director General science and medical research, Shenzhen Economic and Trade, and in January 2008. demonstrates the range of our Huawei Technologies have chosen to activities, and is reflected by the set up operations in Sydney as a result The Department is at the forefront breadth of our achievements over of the Department’s efforts. of the Government’s economic and the past year. business development agenda. The year has also seen the Central to our role is the Chief This year saw some changes in the establishment of a new Innovation Executive Officers’ Economic and Department with the Major Events Council and Innovation Unit following Business Cluster, which I chair on Unit being established as a separate recommendations from the West behalf of the State. This Cluster entity following the O’Neill review Report. As a result, there is major ensures coordination across key into major events. work underway in the key priority economic agencies, in achieving areas of financial services, creative our State Plan goals under P1 – Significant Achievements industries, logistics, and low Increased Business Investment and carbon innovation. P6 – Increased Business Investment in The Department has been involved in rural and regional New South Wales. many important achievements over In another important win for the the past year. In September, we State, the Premier and Sir Richard We have performed strongly played a pivotal role in Sydney’s Branson announced that V Australia, against our State Plan targets. hosting of the Asia Pacific Economic Virgin’s new international airline, will Our key measures indicate: Cooperation (APEC) meeting. World be establishing its headquarters in Sydney, creating 1,000 new jobs. › in 2007–08, private business leaders spent a week in Sydney, which invested $45.1 billion in New generated global media coverage and There have been significant South Wales (constant price terms). again demonstrated our capacity to achievements across all our The five year compound annual host major events. portfolio areas. average growth of private business The Tourism NSW APEC Bonus Defence industries have been investment to 2007–08 was Long Weekend Getaway Campaign, 10.1 per cent, which was above a priority, with the Minister for developed to extend the economic Regional Development, Tony Kelly, the trajectory rate in the State Plan benefits of this major event to (7.2 per cent per annum) establishing a Defence Industries regional New South Wales, won a Roundtable to attract and develop › there were 139.1 million 2008 Pacific Asia Travel Association opportunities in regional New South tourist visitor nights in 2007–08, Gold Award. Wales in defence related work. The comprising 56.9 million We also delivered an enhanced Department supported the Pacific international tourism visitor international business program 2008 defence trade show at Darling nights and 82.2 million domestic for the State. In addition to a Harbour, which attracted close to tourism visitor nights. NSW is comprehensive range of trade 10,000 participants, including more currently above the trend line and business missions, we were than 100 international delegates. required to reach our State Plan privileged to have the Premier, target of 145.1 million by 2016 The Department has taken the Morris Iemma and the Minister for lead role in developing 12 Regional › in 2007–08 regional average State Development, Ian Macdonald employment grew by 2.8 per cent, Business Growth Plans, as part of MLC, lead high level missions to our responsibility for State Plan with a total of 1.323 million India and China during the year. people employed in regional Priority P6. The Plans provide whole- These missions produced good of-government strategies to overcome NSW. Employment growth in outcomes, both in terms of marketing regional NSW in 2007–08 was constraints to attracting investment New South Wales and in generating in regional areas and identify above the State Plan annual business and investment for the State. average target of 1.5 per cent opportunities for business growth. › regional NSW accounted for 33 per cent of all regional tourist visitor nights in Australia. This meets the State Plan target of keeping NSW’s share above 30 per cent.

6 ANNUAL REPORT 2007-2008 NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT The Minister for Science and Medical Challenges and Acknowledgements Research, Verity Firth, led the State Opportunities delegation to Bio 2008, one of the In particular, I would like to thank all world’s major biotechnology events The Department of Premier and staff for both their contribution this held in the US each year. Twelve NSW Cabinet is undertaking a review to year and the support I have received companies exhibited in the Australian examine and make recommendations since becoming Director General. pavilion, reporting good commercial on the strategic direction, structure I would also like to acknowledge outcomes resulting directly from and operations of the Department as the contribution of my predecessor, participation at the conference, and the NSW Government’s key industry Mr Loftus Harris AM, who served as further enhancing New South Wales’ and development agency. We are Director General of the Department reputation as a biotechnology hub in also developing the Government’s for more than ten years. the Asia Pacific. response to the O’Neill Review into Tourism in New South Wales, to There is no doubt next year will be Through the Australian International ensure we meet the challenges exciting, challenging and rewarding Sporting Events Secretariat, we of the future. for the Department. With the worked closely with NSW companies finalisation of the Department’s in preparation for the Olympic Games The Department has been actively review, I look forward to in Beijing, including PTW Architects, engaged with industry on climate implementing its recommendations who designed the Watercube and change and the impact on business and positioning us for the future. (with ARUP) developed the athlete’s investment in New South Wales. village, and Great Big Events, who We have worked with industry on delivered all sport presentations. the impacts of an emissions trading We have successfully targeted other scheme on NSW-based emissions events such as the Doha Asian Games, intensive trade exposed firms. the Commonwealth Games and of In the coming year the world financial course the 2012 London Olympics. crisis and climate change will greatly G’Day USA, held in January, was influence the work of the Department. B D Buffier again a highlight in promoting the The Department will work on building Director General State internationally. Our participation capacity in industry and on programs was led by Matt Brown, the Minister for the business sector to assist them for Tourism, and generated substantial to understand these issues from their media interest throughout the individual firm perspective so that United States. they can develop and adopt appropriate responses. The Department also operates the Retail Tenancy Unit and administers In regional New South Wales, whilst the Retail Leases Act 1994. This year some areas have seen an easing of the Unit conducted 263 formal the drought conditions there are still mediations, resulting in sizeable many areas and regional businesses savings for small business in the affected, which will take some time retail industry. The Minister for to recover. Small Business, Joe Tripodi, initiated a review of the Act to ensure that it continues to best meet the needs of all participants in the industry.

NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT ANNUAL REPORT 2007-2008 7 Corporate Framework Who we are and what we aim to achieve About the Department

Who we are Our mission These values are emphasised in the Department’s Code of Conduct The Department of State and Regional The Department’s mission is to which was updated in 2006, and Development was established in secure innovative and sustainable which sets out standards and 1995 as the NSW Government’s key business and industry development guidelines for staff to follow in industry development agency. The for the State. It does this by pursuing relation to ethical decision-making, Department is responsible to the activities under five results areas, protecting confidential information Minister for State Development, the which are: and dealing professionally and Minister for Regional Development, › facilitate business investment fairly with clients, partners and the Minister for Tourism, and the stakeholders. The code was not Minister for Small Business and › increase business competitiveness amended in the reporting period. Science and Medical Research. › develop an attractive business The Department provides advice to environment Stakeholders and clients the NSW Government on developing › market the strengths of The Department’s clients span the economic capacity and Sydney and New South Wales domestic and international companies productivity of metropolitan and support science, research of all sizes, industry peak bodies, regional areas and delivers programs › and innovation. professional associations, business and services to secure innovative and advisers, tertiary education and sustainable business and industry research institutes, and government development for New South Wales. Our values departments and authorities. The With staff of approximately 413 The Department gives effect to Department adopts a partnership located in the Department’s three its mission and goals through the approach, working with business and Sydney offices and a network of actions of its staff, who uphold other related agencies to strengthen regional and international offices, the corporate values of: NSW competitiveness internationally Department’s goal is to ensure that through increased investment, New South Wales is a competitive › integrity through honesty, productivity and business capability. place to do business and that Sydney consistency and fairness extends its role as a global city. › equity and social justice The Department adopts a whole- › respect for the diversity of of-government approach to its the State’s multicultural base role under the State Plan and the › achievement through diligence, Innovation Statement and actively industry, creative thought, collaborates in its work with the consultation and teamwork business sector and the community. › accountability, efficiency The Department works with the and effective professional advice of the Innovation Council service provision. to support the private sector in strengthening the innovative capability of the economy and those industries with greatest potential to contribute to sustainable growth.

NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT ANNUAL REPORT 2007-2008 9 NSW State Plan and Innovation Statement

Performance achieved: NSW State Plan There were 139.1 million In 2007–08 private business › › tourist visitor nights in 2007–08, The NSW State Plan, which was investment in real terms was comprising 56.9 million released in November 2006, commits $45.091 billion in New South international tourism visitor nights the NSW Government to support Wales. The five-year compound and 82.2 million domestic visitor economic growth in the State. The annual average growth of private nights. Most of the recent growth Department’s activities are informed business investment was 10.1 experienced in tourism in New by the priorities set for the area of per cent, which was above the South Wales has been driven ‘Growing prosperity across New trajectory rate of 7.2 per cent from international source markets. South Wales’. required to reach the target The Department has lead of $80 billion in 2015–16 responsibility for the delivery of two (see graph below) of the 34 NSW State Plan priorities: › Priority P1 – Increased Business Investment › Priority P6 – Increased Business Investment in Rural NSW visitor nights and Regional New South Wales. Priority Delivery Plans, including targets and measures, were developed millions by the Department and agreed by 56.9 the Cabinet Standing Committee on State Plan Performance. 2007–08 82.2 139.1

Priority P1 58.8 Targets: 2006–07 84.9 › Double the level of private 143.6 business investment from $40 billion in 2005–06 to 52.3 $80 billion in 2015–16 2005–06 83.8 › Increase tourist visitation to 136.1 New South Wales by 10 million visitor nights by 2016. 48 2004–05 87.2 Strategy: 135.1 A series of key projects targeting the NSW innovation sectors was 45.8 developed to underpin the P1 Priority 2003–04 88.7 Delivery Plan. Further details are 134.4 provided in the reports by the Divisions commencing page 22 43.5 of this report. 2002–03 93.1 136.6 NSW private business investment 48.8 2001–02 88.2 136.9 $millions 2007–08 45,091 50.4 2000–01 94.2 2006–07 39,353 144.5 2005–06 39,992 2004–05 37,028 39.5 2003–04 31,617 1999–00 91.2 130.5 2002–03 27,897 2001–02 24,685 2000–01 26,034 International Domestic Total 1999–00 27,373 1998–99 23,929 1997–98 22,750

10 ANNUAL REPORT 2007-2008 NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT Priority P6 Innovation Statement Current members are: Targets: A cornerstone of the State › Steven Harker (Chair) — Development of targets to capture Plan Priority P1 is the Managing Director and CEO progress in regional business Innovation Statement. Morgan Stanley Australia and investment growth has been Barry Buffier — Director General, actively pursued throughout the The Innovation Statement targets › NSW Department of State and year. A basket of measures is used five innovation policy goals: Regional Development to assess progress: › improving human capital › Michael Coutts-Trotter — Director › regional employment and › upgrading knowledge and General, NSW Department of unemployment rates information infrastructure Education and Training and › regional tourism visitor nights › reducing the cost to business of Managing Director, TAFE NSW › value of non-residential utilising science and technology › Robyn Kruk — Director building approvals › encouraging capital allocation General, NSW Department › share of private capital expenditure to invest in innovation of Premier and Cabinet in regional New South Wales › reducing regulatory barriers › Catherine Livingstone AO — › business counts in regional to innovative NSW companies. Director, Macquarie Group Limited New South Wales. › Philip Mussared — NSW Innovation Council Deputy Secretary, Operations, Strategy: NSW Treasury Regional Business Growth Plans were In line with the announcement made Mark O’Neill — developed for the Department’s 12 in the Innovation Statement, a new › former Executive Director, regions. The plans provide a blueprint Innovation Council was established Australian Coal Association for collaboration between Regional in September 2007 under the NSW Development Boards, agencies and Innovation Council Act 1996. The › Dr David Skellern — CEO, with local governments, and other general function of the council is National ICT Australia to lead the implementation of the business stakeholders to achieve Greg Smith — Director, NSW Government’s approach to › sustainable economic growth, local Public Affairs, Animal Logic employment and skills training in innovation in industry, as outlined in the Innovation Statement. › Dr Jonathan West — regional New South Wales. Director, Australian Innovation Performance achieved: In practice, the council advises Research Centre. the NSW Government on policies › Average employment in regional and strategies which create an The council has considered a New South Wales grew by 2.8 per environment where it is easier for number of significant issues since cent in 2007–08. Employment businesses to innovate, improve the its establishment. Examples of work growth in regional New South innovative capacity of the NSW private driven by the council and undertaken Wales was above the State Plan sector, help increase investment and by the Department, in conjunction target of 1.5 per cent build stronger rural and regional with other government agencies and › The regional unemployment rate economies. The first stage of the industry, include the development of was 5.4 per cent, which was within council’s work is to consider analyses policies to improve high-level skills in the State Plan target range of of the opportunities for the NSW parts of the creative industry; support no more than 1.5 per cent higher Government to improve innovation for the productivity and efficiency than the rest of New South Wales in the five key sectors identified of the logistics industry; actions to (4.6 per cent) in the Innovation Statement. encourage innovation in a low carbon economy and a study to enhance › Regional New South Wales’ share It is comprised of high-level of total Australian regional tourist Sydney’s position as a financial representatives from private sector services centre. visitor nights was 33 per cent for organisations, NSW government 2007–08 agencies and research organisations. › Non-residential building approvals in regional New South Wales were valued at $2.186 billion (real terms) in 2007–08.

NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT ANNUAL REPORT 2007-2008 11 Corporate Governance

The Department’s corporate Legislation Executive Support Unit governance framework provides Gary Offner Dip Law (BAB), MBA clear direction and transparency The Acts administered by the Director for decision-making across the Department are: organisation and supports its › Albury–Wodonga Development Industry Division capacity to achieve its key results. Repeal Act 2000 No 18 Michael O’Sullivan BEc In undertaking its activities, the Executive Director Department works within the NSW › Biofuel (Ethanol Content) Act 2007 Government’s framework of reporting No 23 Innovation Unit and accountability. This includes the › Centenary Institute of Cancer NSW Government’s major initiatives in Medicine and Cell Biology Act 1985 Todd Clewett BA, MPA (Harvard), areas such as information technology, No 192 MURP (From 15 November 2007) Director state records, corruption prevention, › Garvan Institute of Medical privacy and financial and client Research Act 1984 (NSW) No 106 services. The governance framework International Business Human Cloning and Other is supported by the operations of the › Relations Unit Prohibited Practices Act 2003 Senior Management Team and the David Morris BA (Hons), MBA No 16 Audit and Review Committee. Director › Innovation Council Act 1996 No 77 Specific documents include the: › New South Wales Investment Investment Division › State Plan and Priority Corporation (Sale) Act 1988 No 50 Warwick Glenn BSc (Eng) Delivery Plans › Regional Development Act 2004 Executive Director › Strategic Management Framework No 58 › Strategic Plan 2006–09 › Research Involving Human Office for Science and Medical Research › Results and Services Plan Embryos (NSW) Act 2003 No 21 › Retail Leases Act 1994 No 46 Kerry Doyle PSM, BA (Hons) › Operational plans at the Executive Director divisional level. › Small Business Development Corporation Act 1984 No 119 The Department’s activities and Policy and Resource Division operations are regularly reviewed › State Development and Industries Janine Ricketts BA (Hons), through a variety of internal and Assistance Act 1966 No 10 Grad Dip Lib Sci external processes including: › Tourism New South Wales Act Executive Director 1984 No 46 › external financial audit › Very Fast Train (Route Investigation) Regional Development Division › internal and external Act 1989 No 44. Michael Cullen BCom (Ec) performance audit Executive Director › audit and review committee Executive team internal managerial evaluation, Retail Tenancy Unit › Director General including risk management Ken Carlsund Dip Law (SAB), MBA Barry Buffier BRurSc (Hons), MEc, Registrar › the Public Accounts FAICD (From 2 January 2008) Committee and the Treasury › Ministerial oversight Michael Cullen BEc (12 October– Small Business by five Ministers 31 December 2007) Development Division Julie Scott BBus Parliamentary oversight through Loftus Harris AO BA, FAICD › Executive Director a variety of committees such (To 12 October 2007) as the Parliamentary Budget Tourism NSW Estimates Committee. Communications Unit John O’Neill BA (Hons) Leanne Joyce Grad Cert Pub Pol (To 11 June 2008) Director Executive Director and General Manager Lyndel Gray GAICD A / Executive Director and General Manager (From 11 June 2008)

12 ANNUAL REPORT 2007-2008 NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT Performance Summary — Highlights of the Year State Plan (2006–2016) Growing Prosperity Across NSW

NSW Open for Business Priority P1 – Increased Business Investment Increase business investment through making NSW a more attractive place to do business Increase visitor nights to NSW by 10 million by 2016

Stronger Rural and Regional Economies Priority P6 – Increased Business Investment in Rural and Regional NSW Achieve regional business growth targets Results

Facilitate business Increase business Develop an Market the strengths Support science, investment: competitiveness: attractive business of Sydney and NSW: research and environment: innovation: Increased investment NSW firms adopt Tourism visitation into NSW to meet best practice Business confidence grows to meet Greater adoption State Plan P1 target business processes measures improve in State Plan P1 target of innovation as NSW, in comparison a key growth strategy Improved regional NSW firms win supply Sydney ranks highly with other States for business investment coordination chain business with as a destination by Government to meet large private and Effective mechanisms amongst target groups Opportunities taken State Plan P6 target public sector contracts managed for in international surveys to promote growth in and projects communication high potential sectors Regulatory constraints Investors and business between business by Government action and delays to Firms with world class owners view NSW more and Government major investment capabilities win more favourably than other Supported research projects addressed international business Costs and benefits States and countries and commercialisation Internationalisation to business of new programs result in New businesses start Maintain Sydney market of the State’s regulation, legislation marketing new products and business numbers share of visitor nights competitive industries and policy made known and services and employment to Government Regional market share of Regional communities grow strongly Impediments to visitor nights maintained identify and promote NSW demonstrates innovation in high Environmental business opportunities world-class potential sectors sustainability promoted NSW technologies communications identified and addressed Infrastructure as a growth strategy and skills promoted in infrastructure international markets impediments to for business NSW wins greater investment in regional Effective alternative share of Commonwealth NSW businesses secure International areas addressed dispute resolution medical and science more Commonwealth relationships service delivered for research funds Opportunities business assistance managed to source retail leasing sector new business for NSW identified for inbound funding Government policy international investment Skills needs and labour and regulation Exporters enter new from key markets market gaps assessed, support research and markets and more firms firm and industry level development outcomes NSW competitive start to export goods initiatives developed strengths identified and and services More students choose marketed to investors Systemic regulatory science and technology and consumers impediments to business career pathways investment and growth identified

14 ANNUAL REPORT 2007-2008 NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT Performance Summary — Highlights of the Year

Planned result Facilitate business investment

Service measures Secured investment of $311 million in the Sydney metropolitan area, which will lead to employment of 2,900 people.

Secured 297 investment projects in regional New South Wales, representing a capital investment of $791.52 million and the creation and retention of 5,281 jobs.

Secured the operational base for V Australia in Sydney, which will involve $44 million of investment and 1,000 jobs. The project is expected to bring 500,000 additional bed nights and $76 million per year in visitor spending to New South Wales.

Won three significant film production projects, with total investment of $150 million and 575 full-time equivalent jobs for New South Wales.

Attracted seven projects from China and three from India, confirming New South Wales as a key investment location for these fast internationalising countries.

Secured seven financial services projects as part of the Department’s strategy of promoting Sydney as a financial services hub.

Sponsored 452 potential business migrants, an increase of three per cent over last year. These business migrants are expected to invest $57 million and create 1,000 jobs.

Attracted seven manufacturing projects, which will result in investment of $225 million and the creation of 469 jobs.

Won five projects involving establishment of Asia Pacific regional headquarters and regional operations centres in Sydney as the base for operations outside Australia.

Provided funding support for 10 BioBusiness Proof of Concept projects.

Worked with the Sydney Convention and Visitors Bureau to win 37 international business events delivering an estimated $145 million in expenditure benefits for Sydney over the next six years.

Coordinated the development of 12 Regional Business Growth Plans, which provide a blueprint for collaboration between NSW government agencies, local governments, Regional Development Boards and other business stakeholders to achieve sustainable economic growth, local employment and skills training.

NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT ANNUAL REPORT 2007-2008 15 Planned result Increase business competitiveness

Service measures Commissioned Bridging the Barriers: a Study of Innovation in the NSW Manufacturing Sector, which identified policy measures to encourage innovation in the manufacturing sector in New South Wales. The report recommended attracting ‘greenfield’ manufacturing investments as part of the NSW Government’s inward investment strategy; a greater recognition of the TAFE and VET sector in innovation policy and decision-making and improved measurement and monitoring of manufacturing industry performance.

Provided funding support to enable the NSW Industry Capability Network to secure $204 million in new business for 100 NSW companies.

Generated some $250 million in potential commercial outcomes through supporting more than 150 NSW companies to participate in industry trade missions to major overseas trade conferences / exhibitions.

Through the Australian Technology Showcase, promoted commercialisation of 100 innovative technologies and new export / domestic sales valued at more than $49 million.

Assisted more than 60 NSW companies to win business contracts relating to the Beijing 2008 Olympics.

Conducted two regional food and wine showcases featuring the Northern Rivers and New England–North West regions at Parliament House, each introducing some 30 regional suppliers to more than 200 trade and media attendees.

Organised Small Business September 2007 to provide practical information, guidance and tools for small business owners, designed to improve their operations and access to new markets. The Department and over 115 partner organisations and sponsors hosted 358 events attended by more than 52,000 people across the State. The attendee satisfaction rating registered in excess of 95 per cent.

Offered five specialised trade missions where building and construction went to India, environmental services and products to China, fashion and design to Japan, healthcare goods and services to the United Arab Emirates and financial services to the United States.

Through the Women in Manufacturing Network cluster, facilitated completion by nine major manufacturing companies from across New South Wales of the Advanced Stepping-Up Program specialising in supply chain management and logistics.

Worked actively with the private sector to facilitate and secure sub-contracting work valued at around $6 million for Aboriginal businesses in the mining services, construction, land remediation and aquaculture industries.

Conducted four specialised mining and construction business skills workshops to assist Aboriginal businesses harness the opportunities presented by growth of the mining sector. In addition, 19 basic business skills workshops were delivered to around 322 Aboriginal business participants. The workshops focused on the industry sectors identified in the Innovation Statement.

16 ANNUAL REPORT 2007-2008 NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT Planned result Develop an attractive business environment

Service measures Developed and produced the Information Kit for Retail Tenants which helps lessees better understand their lease obligations. The kit is available as a CD-ROM and deals with all the steps from negotiating lease conditions through to the end of the lease.

Established the Embedded Systems Australia business cluster, which will help up to 400 NSW companies to pursue collaborative commercial projects in the globally expanding embedded systems market.

Launched a program of regional defence roundtables to help businesses throughout the State access defence-related opportunities.

Continued to invest in research platforms to accelerate the state-wide research and innovation effort, with a major focus on increasing New South Wales’ participation in international clinical trials and the establishment of major research networks.

Held the Community Economic Development Conference in Moama in May 2008 with record attendance of 269 people.

Assisted Regional Development Boards with 40 projects to facilitate and foster economic development opportunities in regional New South Wales.

Conducted 48 workshops for regional communities attended by nearly 1,700 people with topics covering business and town marketing, strategic planning and tourism development.

Promoted the NSW Government’s regulatory reform agenda through working closely with the Better Regulation Office, briefing the Government Business Education Network to facilitate a whole-of-government approach to regulatory reform.

Made 41 recommendations under the Small Business Regulation Review program which were endorsed by the NSW Government. Implementation of the recommendations will include the number of forms that motor dealers are required to complete being reduced, food inspection processes being improved and the processes for obtaining a Place of Public Entertainment Licence and government procurement being streamlined.

Held Home-Based Business Week from 19 to 23 May 2008. The week consisted of 37 (10 metropolitan and 27 regional) events throughout the State with over 1,600 participants attending.

Through the Small Business Development Corporation, actively participated in a number of government initiatives including the development of new retail tenancy policy in New South Wales and the Australian Securities and Investments Commission’s research into small business banking, liquor licensing, skills shortages, franchising, trade practices and employment practices.

NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT ANNUAL REPORT 2007-2008 17 Planned result Market the strengths of Sydney and New South Wales

Service measures Organised a 100-strong NSW delegation to the world’s biggest biotechnology conference, BIO 2008, in San Diego from 17–19 June, which provided an opportunity for the NSW life science industry to generate international business and for the NSW Government to sell the State’s strengths as the foremost Asia Pacific business, investment and research location. Around $23 million in commercial outcomes were reported by NSW participants, including Seagull Technology, Fermiscan, Special Phage Holdings and TeleMedcare.

Achieved increased marketing of NSW tourism product through a number of strategic alliances which delivered a total media value of $20 million. An alliance with News Limited and the Seven Group delivered $13.4 million in media value in a campaign which reached more than 14 million Australians through News Limited’s publications and 9.6 million through Channel Seven’s television network.

Secured $6.5 million in cooperative investment from more than 100 partners for 40 advertising campaigns conducted for Sydney and regional New South Wales. An example is the APEC Bonus Long Weekend Getaway Campaign (7–9 September 2007), which encouraged Sydneysiders to spend up to $15 million in regional New South Wales. In July 2008 this campaign won a Pacific Asia Travel Association (PATA) Gold Award in the Secondary Government Destination Marketing category.

Organised 12 NSW Missions to Market, which enabled more than 75 industry participants to establish business relationships with major travel distribution partners in their key and / or up-coming international market.

Attended more than 40 international trade and consumer shows to expand the distribution of NSW tourism products in key overseas markets.

Coordinated the Building Regional Towns Tour to Broken Hill and Muswellbrook in April 2008, which ignited investor interest in the opportunities created by economic growth in locations normally thought of as remote. The purpose of the tour was to showcase opportunities to invest in residential and commercial property to metropolitan based investors and property developers. Eighteen investors and developers participated.

Coordinated the NSW Premier-led missions to China in November and May and to India in November. The missions were designed to promote Sydney‘s strengths in trade, investment, education, tourism and major events in these key international markets. The Department devised and produced a range of collateral as part of its branding program and managed an extensive public relations program, including targeted news releases, resulting in solid media coverage.

Announced the appointment of high-profile individuals with extensive networks to promote New South Wales in key international markets as honorary ‘Sydney Ambassadors’. To date 14 ambassadors have been appointed for China, India and the United States.

Developed a prototype for an accessibility website (www.sydneyforall.com) aimed at making it easier to find accessible destination experiences around Sydney for those with access needs. The prototype was designed to meet international W3C Web Accessibility Standards and will be user tested in the first half of 2008–09.

18 ANNUAL REPORT 2007-2008 NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT Planned result Support science, research and innovation

Service measures Through recommendations driven by the Innovation Council, developed policies to improve high-level skills in parts of the creative industry; provided support for the productivity and efficiency of the logistics industry; recommended actions to encourage innovation in a low carbon economy and commenced a study to enhance Sydney’s position as a financial services centre.

Developed the NSW submission to the Australian Government’s National Innovation Systems Review, which included an argument supporting an expanded view of innovation, which advocates a stronger focus on improving productivity in industries that are most likely to produce benefits for the broader economy.

Completed a report into the NSW logistics sector, Path to Innovation: Innovation in the NSW Freight Logistics Industry, which recommended the development of a freight operators’ toolkit, modelling of supply chains to determine major costs and regulatory barriers to innovation and a review of regulations.

Completed an analysis of the economic fundamentals of the NSW creative industries sector and recommended strategies to improve high-level skills in parts of the creative industry.

Commenced a study into the financial services sector which will identify initiatives to enhance Sydney’s position as a financial services centre.

Committed over $9 million in new funding from the Science Leveraging Fund (SLF) for programs which attracted contributions of over $81 million from the Australian Government, $55 million from partners and $92 million in-kind support.

Through the SLF, provided funding for research infrastructure for: › a new medical imaging facility at the University of Western Sydney and another facility operated collaboratively by the Prince of Wales Medical Research Institute and the University of NSW › the Institute for Transdisciplinary eResearch Services and Technology (INTERSECT), a new peak eResearch body servicing the research and innovation sector in New South Wales › the new Defence Materials Technology Centre to support materials and manufacturing research and development activities in the defence sphere › nine ARC Centres of Excellence in the areas of quantum computing, photovoltaics, biotechnology, autonomous systems, advanced materials, communications, agriculture and complex systems.

Renewed the NSW Government funding commitment to National ICT Australia for a further five years to 2012, which will leverage $219 million in Australian Government funding and industry investments into leading-edge research work in New South Wales.

Established a joint $1 million NSW / Victorian Stem Cells Grant Scheme to expand capacity in stem cell research. In 2007–08 a $250,000 grant was awarded to Sydney IVF to undertake stem cell research, including the use of somatic cell nuclear transfer.

Launched the NSW Scientist of the Year Awards in March 2008, which offer $85,000 in prize money for research that has generated economic, health, environmental or technological benefits for New South Wales.

Supported the technology-based Home TeleMedcare Study targeted at patients with chronic lung disease in Western Sydney. The study is expected to both improve patient outcomes and reduce public healthcare costs and to have significant export potential.

NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT ANNUAL REPORT 2007-2008 19 Financial Overview

The financial information disclosed sources, including the sale of goods Assets and liabilities in this overview represents an and services, investment income, aggregation of the operating grants and contributions from other The Department’s total net asset statements and balance sheets for state and Australian government balance as at 30 June 2008 was the Department and the two statutory bodies and industry partners. Total $29.8 million and comprised total authorities that it administers and revenue from all sources for the assets amounting to $44.7 million supports, the Ministerial Corporation 2007–08 financial year amounted and total liabilities of $14.9 million. for Industry and the Small Business to $13 million, of which grants and The total net asset balance at 30 June Development Corporation of NSW. contributions totalled $7.8 million. 2008 represents a decrease of $2.9 million compared to the previous Source of funds Application of funds financial year. The decrease was primarily due to increase in cash The Department of State and Regional Total operating expenditure for and cash equivalents of $0.9 million, Development is a general budget the year ended 30 June 2008 offset by a decrease in non-current sector agency, with its main source was $179 million. This comprised assets of $1.3 million and an increase of funds being government employee-related costs amounting in current liabilities of $2.9 million. contributions. In 2007–08 total to $44.7 million, other operating Full details appear in the notes to government recurrent and capital expenditure of $23.8 million and the Financial Statements on page 64. contributions to the Department, grants and subsidies totalling $54.7 Ministerial Corporation for Industry million, including $27.5 million in and Small Business Development science and medical research grants. Corporation of NSW amounted to Other Expenses Program expenditure $162.7 million. In addition to the amounted to $54.1 million and government contributions, the included $26.3 million toward tourism Department raised revenue from other marketing and program activities.

2007–08 expenditure

$millions Employee related costs 44.7 Other operating expenditure (including depreciation) 25.5

Grants and subsidies 54.7 Other expenses (including tourism marketing and program activities) 54.1

20 ANNUAL REPORT 2007-2008 NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT Operating Environment

New South Wales is the largest state Access Economics anticipates modest Over 2007–08 the NSW economy in Australia — valued at growth in 2008–09 for New South unemployment rate averaged just $335 billion in 2006–07 and accounts Wales, supported by solid private 4.6 per cent, the lowest rate for for 32 per cent of Australia’s GDP. and public investment, improving 30 years. In June 2008 the percentage Recent data shows that the population growth and less extensive of full-time employees was above the state domestic final demand growth drought conditions than in the national average, with a participation has accelerated to 4.3 per cent in previous two years, which should rate which is at near record highs. 2007–08 compared to growth of help farmers take advantage of higher 2.2 per cent in 2006–07. Gross State prices for agricultural produce. The Business surveys report that sourcing Product is expected to grow by State has been hampered by high skilled employees is one of the most 2.5 per cent in 2007–08, above interest rates, with signs of a recovery pressing concerns to the State’s the growth of 1.8 per cent recorded in dwelling approvals ending in the businesses, both small and large. The in the previous year. In 2008–09 beginning of 2008. Restrictive Department has been charged with economic growth in the State is monetary policy has also dampened attracting high-end skills to Sydney expected to slow to 2 per cent in activity in the finance and insurance from interstate and overseas, with a the face of a weaker world economy, industry and property and business particular focus on the five innovation tighter global credit conditions and services, which make up a quarter sectors identified in the Innovation domestic monetary policy. of the State’s economy. Statement. The Department is also identifying and developing skills gap Business investment grew strongly New South Wales’ export values have solutions for these sectors, especially by 14.6 per cent to $44.2 billion in been traditionally linked to coal and in regional areas, where shortages 2007–08 following a fall of 1.6 per agricultural commodities, but service are felt acutely because of the smaller cent in the previous year. NSW exports now account for about 40 per size of local labour markets. There business investment in 2007–08 was cent of the State’s export income. continues to be considerable the highest on record, and New South Resources and primary products competition from other states and Wales remains the largest state for exports still dominate the value of the territories for key employment skills. overall private business investment. State’s exports and this will continue in 2008–09. Pharmaceutical products, Continuing drought conditions optical and medical instruments and continue to present economic electrical machinery also feature in the development challenges in many State’s top 10 merchandise exports parts of regional New South Wales. and attest to the State’s strengths in Many regional communities are advanced manufacturing. New South dependent on drought-vulnerable Wales’ longer-term export success businesses, such as meat and food also depends on knowledge-intensive processing. Restructuring of global companies finding niche markets in industries, including the automotive our region, a goal central to the components and textiles, clothing and Department’s range of services for footwear sectors, is also impacting established and prospective exporters. regional employment and industry development. Availability and the cost of water are emerging major issues across New South Wales.

NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT ANNUAL REPORT 2007-2008 21 Industry Drives innovation and industry development in growth sectors of the NSW economy Industry

Nature and Scope BioBusiness Strategic Operating of Activities Supports the commercialisation Environment of innovative technologies and the The Department, through the growth, development and export The Division aims to maximise Industry Division, works with growth of innovative businesses industry growth in key sectors businesses, industry and research in the life sciences (pharmaceutical, in an increasingly competitive and bodies and government agencies biotechnology and medical changing business environment, to identify industry development device) sector. both domestically and internationally. opportunities in New South Wales; Major issues include: develop, commercialise and promote Food and agribusiness new technologies; adopt innovative › the need for smaller NSW Supports the growth, development business practices that will enhance companies to attract capital, and internationalisation of the the international competitiveness typically through investment, State’s food and beverage of New South Wales and address licensing and strategic alliances processing industries and the impediments to the growth of with large foreign-based multi- textile, clothing and footwear key industry sectors. national companies, to support and timber processing sectors. their international growth plans Services Framework › the growing importance of Advanced manufacturing global supply chains as a basis for Australian Technology Supports the growth and competing in international markets Showcase (ATS) internationalisation of other › the increasing convergence of Selects, promotes and supports manufacturing industries that technology in research and commercialisation, internationalisation offer significant potential for product development and growth of innovative NSW innovation-driven growth, including national and international technologies, particularly in the the aerospace, defence, and › competition for research funds priority sectors identified in the NSW environmental sectors; supports the and the need for co-investment Government’s Innovation Statement. operations of key Australian Research Council Centres of Excellence in New on major projects Information and communications South Wales and facilitates access › intensifying international technology (ICT) of NSW companies to major supply competition, particularly from chains and projects through the low wage countries and regions Supports the growth of NSW ICT Industry Capability Network. such as China, South-East Asia companies through programs such and South America. as the Western Sydney IT Cluster; manages the NSW Government’s Creative industries relationship with National ICT Promotes New South Wales’ Major Achievements Australia (NICTA) and supports strengths in and supports the growth and promotes linkages between and internationalisation of NSW NSW based ICT research institutions companies in the film, television and Facilitate business and industry. visual effects production industries. investment The NSW Government granted Logistics and transaction services Sports infrastructure, services, business events funding to NICTA, Australia’s ICT Supports the NSW Sea and Air Research Centre of Excellence, Promotes New South Wales’ expertise Freight councils and works with for a further five years to 2012. in delivering major international key organisations in the freight and This support is expected to leverage sporting and business events, logistics sector to enhance the State’s $219 million in Australian government including the Olympic, Asian and international trade competitiveness and industry funding into leading- Commonwealth Games; supports through supply chain innovations. edge ICT research work in New attraction to New South Wales of South Wales. selected international conferences and events at bid and at delivery NICTA spin-out companies Audinate stages, in conjunction with Events and Open Kernel Labs attracted NSW; and develops business equity and Australian government leveraging programs associated investments of $8.65 million to with major events staged in continue developing their products New South Wales. and grow their markets.

NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT ANNUAL REPORT 2007-2008 23 Close to 100 innovative products were Increase industry Information and communication actively supported through the ATS competitiveness technology program during the year. Since its The Department sponsored CeBIT inception in 1997, the program has The Department organised and Australia 2008, Australasia’s leading helped more than 600 companies supported initiatives that helped key ICT trade event — exhibition space attract investment and generate NSW industry sectors expand their was provided to 18 innovative ICT exports and domestic sales valued markets through domestic events and companies. More than $3.5 million at more than $720 million, including initiatives. Examples of these services in sales is expected to be generated more than $49 million in 2007–08. are outlined below. as a result of their participation. The BioBusiness Proof of Concept Funding to the NSW Industry The Department worked in Grant Program helps NSW life Capability Network (ICN) helped 100 partnership with Microsoft Australia science companies take projects NSW companies secure $204 million in the NSW.net cluster, through which from research to early stage in new business, principally in mining, some of the 137 cluster members commercialisation. Ten projects construction, manufacturing and gained sub-contract work valued were supported in the 2007–08 energy projects. Companies in at over $4 million from Microsoft funding round, including EnGeneIC’s regional New South Wales accounted in the 2007. nanocell technology to treat cancers for nearly 75 per cent of this business. and Acu Rate’s technology to control The Department supported the intravenous drips. Food and wine growth of the Western Sydney IT Cluster (WSITC) to a membership of The Department hosted food retail The NSW Government’s Film and 320 companies; six Hot Topic Forums and food service buyers from Canada, TV Industry Attraction Fund is used addressed industry development Singapore, Malaysia, Thailand, Taiwan to attract overseas film projects to issues including skills shortages and and China, introducing them to New South Wales. Three significant environmental sustainability; and around 100 prospective NSW food productions — Wolverine, Mao’s Last WSITC firms exhibited at Western and beverage suppliers. Dancer and Guardians of Ga’hoole — Sydney Manufacturing Week and were secured during the year. These The Department supported an CeBIT 2008. projects will generate $177 million innovative Taste Australia promotion in investment and 575 jobs during in supermarkets in five Asian markets Biobusiness production. The incentives for (Singapore, Malaysia, Thailand, The Department supported a NSW Guardians of Ga’hoole have facilitated Taiwan and China), which generated delegation to the world’s biggest a broader expansion and skills immediate sales of close to $250,000 biotechnology conference, BIO 2008, development program at Animal for the NSW participants. in San Diego, led by the Minister for Logic, a NSW digital production Regional food and wine showcases Science and Medical Research. company at the forefront of the Around $23 million in commercial international visual effects industry. at Parliament House are held to raise awareness in the Sydney food industry outcomes were reported by NSW The Department worked with the of the range of products available participants, including Seagull Sydney Convention and Visitors from NSW regional areas. During Technology, Fermiscan, Special Bureau to attract international the year two regional food and wine Phage Holdings and TeleMedcare. business events to Sydney and showcases were held at Parliament A trade mission to Medica 2007, the to support event bids in priority House featuring the Northern Rivers world’s largest medical device and sectors that have potential to deliver and New England–North West supplies conference in Germany, was significant economic / business regions, and each introduced around also supported by the Department. benefits to the State. Thirty-seven 30 regional suppliers to more than Nineteen NSW companies were events to be staged between 2008 200 trade and media attendees. In supported to exhibit, reporting and 2014 were won for the State addition, the Department sponsored an anticipated $45 million in sales in 2007–08. They are expected to NSW Wine Week to increase public over the following 12 months from deliver an estimated $145 million and trade awareness of the quality leads generated at the show. in expenditure benefits and provide and diversity of wines from the opportunities to showcase New South various NSW wine regions. Wales’ business strengths. Major conferences supported by the Department during 2007–08 included the Young Presidents Organisation Global Leaders Conference, the World Congress of the Renewable City and Bayer Schering Pharmaceutical’s annual conference.

24 ANNUAL REPORT 2007-2008 NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT Security Creative industries Develop an attractive The Department supported In cooperation with the NSW Film business environment showcasing of NSW expertise in and Television Office, the Department the security industry at Australia’s organised the first-ever Australian The Department conducted its annual largest security event, the Security presence at the Asia Pacific BioFirst Commercialisation Awards in 2007 conference in Sydney, by Advertising Festival in Thailand. July 2007, attended by 190 members providing space for 15 NSW Thirteen companies participated, of the NSW life science business and companies to exhibit and hosted reporting expected sales of some research communities, investors and a business seminar and networking $7.35 million over the next media. The 2007 winner, TeleMedcare event. As a result, one of the 12 months as a result. of Rosebery, has developed an companies, Argus Solutions, secured innovative web-based system that a contract from the NSW Department With Music NSW, the Department allows healthcare professionals to of Corrective Services to supply iris assisted six artists and bands to monitor and manage chronic diseases recognition software to its Wellington participate in the South-by-Southwest without the patient having to leave correctional facility. music festival in the United States. their home or care facility. Participants projected business The Department supported outcomes of $2.8 million through The Australian Technology eight NSW security companies to licensing and distribution deals, show Showcase’s annual Patrons’ Awards participate in a trade mission to the appearances and increased ticket and were presented in September 2007. United States in September 2007, album sales. The Export Achievement Award which resulted in these companies went to Atlassian Pty Ltd, which securing over $1.5 million in export In conjunction with the Stanford has developed project management contracts with another $15 million Australia Association and the software that tracks and manages expected over the next 12 months. Australian Interactive Media problems during software Industry Association, the Department development projects. Flip The Department supported nine NSW conducted a seminar which attracted Screen Australia Pty Ltd won the firms to exhibit in the Team Australia 140 attendees to discuss business Commercialising New Technology pavilion at the inaugural Singapore opportunities likely to flow in the Award for its innovative process Air Show, resulting in reported export creative sector from innovations that separates and recycles sales of $505,000 during the show. in mobile and personal industrial waste. digital entertainment. Sports infrastructure In December 2007 the Department Five seminars in conjunction with and services provided leadership in the industry partners were conducted establishment and launch of the The Department partnered with to enhance the business management Embedded Systems Australia cluster the Victorian Government in the skills and export capability of NSW in partnership with NICTA, the Australian International Sporting fashion designers, attracting over Australian Electronics and Electrical Events Secretariat (AISES) to help 260 industry participants. In addition, Manufacturers Association, Australian over 60 Australian firms win contracts the Department supported the online Industry Group and the Warren at the Beijing 2008 Olympics, launch of a new fashion industry Centre for Advanced Engineering. including design of several key portal, www.frockfashion.com.au, The purpose of the cluster is to venues by PTW Architects, Bligh to enable the industry to have pursue collaborative commercial Voller Nield, Cox Architects and greater access to up-to-date projects targeted at the globally Timothy Court and Associates; sport market intelligence. expanding embedded systems presentations by Great Big Events; market. This initiative is supported by Torch Relay management by Maxxam The Department hosted a networking companies such as ResMed, Google, International; telecommunications function to provide local designers Microsoft, Canon and Cochlear and advice by Telstra Corporation; and with an opportunity to meet is targeting over 400 NSW businesses specialised advice and support international buyers and media as potential participants. by CI, Inocon, Infostrada, TAFE (DET representatives at Australian Fashion International) and the NSW Food Week, which is held in Sydney each Authority. AISES conducted Games year to showcase the spring / summer planning and technology workshops collections of Australian designers to in Guangzhou, Shenzhen, Shanghai trade buyers and media from around and Delhi, directly introducing the world. and supporting some 20 NSW companies seeking business with Games organisers.

NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT ANNUAL REPORT 2007-2008 25 The Department is managing the Market the strengths The Department works closely NSW Government’s investment in the of Sydney and with the Centres of Excellence construction of the Blue Mountains to facilitate linkages with industry Cultural Centre at Katoomba, which New South Wales in order to solve problems and is the centre piece of the state Sydney was chosen as the location commercialise new products and and council-funded $24 million for the judging of the 2008 ANDY processes. A significant outcome Katoomba / Echo Point Revitalisation Awards, a global competition that during the year was the establishment Program. A development application recognises creativity in advertising. of the Rio Tinto Centre for Mining for the project, which includes The Department, with assistance Automation at the University of an associated retail development from the NSW Film and Television Sydney, which is linked with the ARC by Coles, was lodged with Blue Office, hosted a networking event Centre of Excellence for Autonomous Mountains City Council during the at the Sydney Opera House to Systems, to develop technologies year, with construction work likely showcase Sydney as a world-class to improve mining operations. to begin in 2009. filming location and production The Department provided funding The Department participated in centre to the 21 international to establish a Centre for Implantable a range of industry events during judges from North America, Bionics at the University of NSW. the year to maintain strong links France, Thailand, India and Japan. An initial focus of the centre will to companies operating in key The NSW Food Export Directory be collaborative work with industry innovation-driven sectors and to profiling more than 100 NSW food to commercialise a bionic eye. showcase NSW industry capabilities, and beverage companies targeting the Department’s business and skills The Department provided seed export markets was distributed funding support for the Direct Short development programs, and to some 200 international visitors local research and development Range Communications project being attending the Fine Food Australia undertaken by NICTA’s Embedded capabilities. These included exhibiting 2007 trade exhibition. at Manufacturing Technology InFocus Systems Cluster. It aims to develop in July 2007 and jointly with TAFE The Department supported and deliver a platform and test bed NSW at the National Manufacturing the staging of Fashion Group for advanced wireless two-way Week exhibition in May 2008 at International’s annual conference in communications between vehicles, Darling Harbour. Sydney in November 2007, the first to infrastructure and other stations be staged in the southern hemisphere. by the end of 2010. The Department facilitated the The conference showcased New The Department provided funding announced merger of the former South Wales’ strengths in the creative Air and Sea Freight councils of to the Home TeleMedcare Study for and fashion design industry sectors Patients with Chronic Lung Disease NSW into the Freight and Logistics to more than 100 fashion industry Council of NSW, an industry-led in Western Sydney in partnership leaders from around the world with the South West Area Health forum funded by the state and who visited Sydney for the event. Australian governments that aims Service, TeleMedcare and the University of NSW. The study will to drive innovation in the State’s Support science, logistics and transaction services evaluate the use of new technology industry sectors in line with research and innovation to allow individuals with chronic lung disease to be monitored and government priorities. The council, During the year the NSW Government managed, predominantly in the supported by the Department, renewed funding agreements with home setting. This key technology commissioned a report, Path to nine leading Australian Research demonstration project is expected Innovation, to identify potential Council Centres of Excellence with to both improve patient outcomes opportunities to achieve measurable a significant presence in New South and reduce public healthcare costs improvements in productivity in the Wales. This strategic investment and is likely to have significant sector. Key initiatives recommended in the State’s research capacity, export potential. in this report were endorsed by the covering such disciplines as robotics, NSW Innovation Council and have quantum computing, biotechnology, The Minister for Science and Medical been taken up for implementation. mathematics, photovoltaics and Research signed the NSW–Gangwon telecommunications, is helping to Technology Collaboration Agreement generate new value-added industries, to facilitate joint international research skills and jobs in key sectors. projects between business and research organisations from New South Wales and the South Korean province of Gangwon on medical devices, information and communications technology, advanced materials and biotechnology.

26 ANNUAL REPORT 2007-2008 NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT Case Study

Environmental Business Solutions

Environmental Business Solutions, ATS Export Support Grant funding Environmental Business Solutions’ based in Newcastle, has developed provided to the company helped it management systems have been an environmental management to pursue potential export market certified to international standards. system that delivers sustainable opportunities, particularly in the This enables E-PAR® to audit and environmental and economic United States. As a result of market certify the carbon footprint of golf benefits to operators of Australian visits to the United States, the courses and other turf facilities and and overseas golf courses. company has signed contracts allows golf course managers to ® to supply its E-PAR system to: calculate their CO2 emissions and The company’s E-PAR® technology carbon offsets or credits. was admitted to the ATS following › the Troon Golf portfolio of a rigorous evaluation process golf courses in 26 countries that looked at such issues as the › Audubon International, which innovative nature of the technology, manages a US environmental its scientific credibility and its stewardship program commercial potential. › the International Golf Course Equipment Managers’ Association.

NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT ANNUAL REPORT 2007-2008 27 Investment Attracts business investment to metropolitan, rural and regional areas of the State Investment

Nature and Scope Strategic Operating Major Achievements of Activities Environment The Department, through the The environment for investment Facilitate business Investment Division, competes to attraction was challenged by the investment win business investment for New rising value of the Australian dollar South Wales against international and which meant that New South Wales The Division secured 30 investment interstate competition and attracts and Australia became less cost- projects. These projects represented business and skilled migrants to the competitive against a range of cities business fixed investment of $667 State. The Department also facilitates in North America and Eastern Europe, million and are forecast to employ the relocation, consolidation and as well as Asian business centres. 3,720 people and generate annual expansion of major and strategic exports of $480 million. Further businesses within the State. The Division’s strategy of pursuing investment and employment results higher value-added activities were generated through sponsoring Services Framework involving new technologies and business migrants — for details see high-end labour force skills proved the Business migration on page 31. Investment attraction robust in the changed operating To attract projects the Division Secures business fixed investment environment as demonstrated by undertook international promotional from international and domestic projects attracted during the year in activities and numerous meetings markets across a range of sectors, the ICT, manufacturing and creative / with decision-makers, provided focussing on the key sectors identified digital media sectors. tailored business information, in the Innovation Statement. The Skills shortages continued to be a assistance with site selection and Department also has China and India major constraint on business growth. advice to help projects proponents desks dedicated to attracting business Signs have emerged, however, that navigate approvals processes. investment from these markets. the slowdown in the international The Division’s focus was on the economy has led to skilled expatriates, five key sectors identified in the Major projects particularly in the financial services Innovation Statement — logistics, Secures and helps streamline sector, returning to Australia. financial services, creative industries, the implementation of large-scale Outcomes exceeded the manufacturing and resources. projects in logistics and transaction Department’s targets. In addition, tourism investment services, resources and other sectors opportunities were targeted. of the economy. During the year the Department Business and skilled migration undertook investment attraction missions in the following countries: Attracts and sponsors business migrants and migrants with skills › China (October, November, in demand to the State. March, May) › Dubai and Kuwait (April) › India (February and May) › Italy and Netherlands (May) › Taiwan (March) › United States (January). Regional headquarters Five of the projects won during the year involved establishing Asia Pacific regional headquarters for companies in Sydney. These five projects will bring investment of $54 million and 569 jobs when fully operational. Three of these projects are in the financial services industry, one is in ICT and one is in manufacturing. Chinese manufacturer Citic Heavy Machinery Company Limited established an Asia Pacific regional headquarters in Sydney and will provide project management and training from its Sydney base.

NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT ANNUAL REPORT 2007-2008 29 Logistics and transaction services Tourism Life sciences and trade The Division attracted Redlake The Department won two tourism- Of the other projects attracted Enterprises’ logistics centre for related projects during the year. V during the year two important earthmoving equipment and Australia, the new international airline health projects stand out. These Arvato Direct Services’ call centre of the Virgin Blue Group, agreed to were a Diabetes Vaccine Development to Newcastle. Together these projects establish its operational headquarters Centre and the National Institute of involve investment of $135 million in Sydney. Ethihad Airways decided Complementary Medicine, the latter and 640 jobs. on a project which allocated four set up at the University of Western additional weekly flights to Sydney. Sydney. The Shenzhen Bureau of Financial services Together these projects will bring Trade and Industry decided to Seven financial services projects were $144 million of new investment and establish a representative trade office attracted during the year involving 950 new jobs to Sydney. They will in Sydney which will facilitate trade investment of $53 million and 418 boost international flight capacity and investment with this important jobs. Importantly, the People’s Bank for business and leisure tourists to city in Southern China. of China, China’s central bank, has Sydney, many of whom will go on established a representative office to visit regional areas of the State. CEOs Forum on in Sydney. This is expected to lead Further details of the V Australia Economic Development to further companies from China project appear in the case study The CEOs Forum on Economic establishing in New South Wales at the end of this chapter. Development brings together the and to facilitate tourism from China. CEOs of NSW government agencies Traditional investment sources are Resources in a whole-of-government approach still strong with the Bank of Ireland Whilst not traditionally seen as a to handling major investment and a number of US financial services resources State, New South Wales is projects and issues affecting organisations establishing in New attracting interest particularly from economic development. In July South Wales. India and China as their demand for 2007 responsibility for convening raw materials grows. The Department the forum passed from the Entertainment design and media is seeking to attract exploration, Department to the Office of the The Department won three projects in production and downstream Coordinator General in the NSW the entertainment design and media processing activities to the State. Department of Premier and Cabinet. sector during the year. These will Through the China desk, the involve investment of $14 million and Department worked to secure Drive for Talent 775 jobs. These projects included an investment by major Chinese company The Department’s Drive for Talent expansion of production facilities for the Guangdong Yudeau Group in a program attracts skilled workers to digital media, a digital sports games NSW coal mine, helping to improve live and work in metropolitan and facility and a centre to develop 3G the trade and investment linkages regional New South Wales. Skilled technology and broadband products. between China and New South Wales. workers are sought from overseas and interstate to settle in New Manufacturing Information and South Wales. Expatriates are also Seven manufacturing projects communications technology encouraged to return to live and were secured during the year with As a result of its three investment work in New South Wales. missions to India during the year, investment of $225 million and 469 The program seeks to attract people jobs. Two of these projects were in the Department attracted three investment projects in the information with skills in demand in finance, the field of renewable energy — information and communications photovoltaics and solar hot water. and communications technology industry. These projects were from technology and bioscience to Two projects were in aerospace. metropolitan areas. Regional business Broens Industries will establish major Indian companies Polaris, Rolta and Wipro. Together they accounted development authorities have also production facilities for tooling for identified skills in demand in regional the Lockheed Martin F35 Joint Strike for investment of $15 million and 366 jobs in this industry sector. Polaris is and rural areas. These skills differ Fighter and Turbomeca will establish from region to region and may a second helicopter jet engine facility. establishing a centre of excellence in Sydney to conduct testing of financial include medical, engineering, Pacific Beverages will establish town planning and trade skills. a brewery at Warnervale on the services software while Wipro is Central Coast. establishing a centre in Parramatta Under the program in 2007–08 the to provide consulting and testing Department supported almost 800 services to domestic and global visa applications which will bring skills companies in Australia. In addition, to the State in areas where a shortage the Chinese company Huawei will has been identified. undertake a multimillion-dollar investment which will bring new broadband technologies to New South Wales.

30 ANNUAL REPORT 2007-2008 NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT New South Wales was promoted at expos are expected to lead to more operating businesses in the State. Australia Needs Skills Expos in London than 50 skilled workers applying for The Department sponsored 452 and Sydney as well as to skilled visas to migrate to New South Wales. potential business migrants, an workers at career and employment increase of three per cent over expos in Sydney, Melbourne, Adelaide The National Careers and Employment last year. More than 80 per cent and Brisbane. As a result of the Expos were attended by 100,000 of business migration applicants promotion of New South Wales people and large numbers held sponsored by the Department are at these events, it is expected there discussions with Department staff. ultimately approved by the Australian will be an increase in skilled workers Department of Immigration and moving to the State in the long term. Business migration Citizenship. The business migrants The Australia Needs Skills Expos were Foreign business owners and granted visas are expected to invest attended by over 10,000 people, over entrepreneurs are encouraged more than $57 million and create 300 of whom held discussions with by the Department to migrate almost 1,000 jobs. staff at the departmental booth. The to New South Wales to establish

Business migration and investment projects jobs generated

Jobs

2007–08 1,000 3,720

2006–07 650 2,130

Business Migration Investment Projects

Case Study

V Australia

On 31 March 2008 the Premier V Australia is Australia’s newest With Sydney as V Australia’s main and Sir Richard Branson announced international airline and is owned by operating base as well as Sydney– that V Australia would locate its Virgin Blue, part of the international Los Angeles as its first route, the operational headquarters in Sydney. Virgin Group. project will bring great benefits to This represents an investment of New South Wales and a new wave $44 million and employment around The company chose Sydney because of visitors. V Australia has agreed 1,000 people at higher than average of its status as Australia’s global city to spend $1 million per year for five salaries. V Australia will commence and major international tourism and years on an international marketing operations with a fleet of seven aviation gateway. The assistance of campaign so numbers of new visitors Boeing 777–300ER aircraft and plans the Department was also important to New South Wales are likely to to start flying between Sydney and in the company’s decision. The increase substantially, giving a Los Angeles in February 2009. Department attracted this project boost to the NSW tourism industry. by promoting the benefits of V Australia is expected to generate The airline will base its aircraft Sydney over rival cities, liaising 500,000 additional bed nights simulator and cabin crew trainer with Sydney Airport and providing and $76 million per year in visitor in Sydney and conduct its 777 pilot other tailored assistance. spending over the next five years. and cabin crew training in Sydney.

NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT ANNUAL REPORT 2007-2008 31 Ofﬁ and Medical ce for Science Research Promotes growth and innovation in science and medical research and supports and enhances the public proﬁ economic, technological, health and environmental outcomes for the people of New South Wales

le of the sector to achieve better Office for Science and Medical Research

Nature and Scope Policy from Australia and New Zealand of Activities The Policy Unit undertakes science and will accelerate the spinal communication initiatives and research effort through national The Department, through the coordinates cross-divisional and and international collaborations NSW Office for Science and Medical inter-agency business, including and build local capacity to Research (OSMR), works with the ministerial and parliamentary matters. undertake multi-centre clinical scientific, technological, health and trials in this field medical research communities, the Strategic Operating › $1 million to support the NSW higher education sector and business Environment Node of the Population Health to promote growth and innovation Research Network, a major in science and medical research New South Wales has internationally new research platform that to achieve better economic, health competitive strengths in areas such will promote and facilitate health and environmental outcomes for as clinical research, medical devices, data linkage on a national scale the people of New South Wales. proteomics, photonics and advanced under the Federal Government’s The major objectives are to build the computing. National biomedical National Collaborative Research State’s knowledge base to respond to research leaders in New South Infrastructure Strategy challenges and opportunities within Wales include the Garvan Institute $3 million in boosted infrastructure the research sector, promote national of Medical Research, Westmead › support for NSW medical research and international collaborations Millennium Institute and Victor Chang institutes. The NSW Medical in science and medical research in Cardiac Research Institute, as well Research Support Program New South Wales to attract increased as 11 universities located in New provides critical infrastructure investment to New South Wales, South Wales, two of which are ranked support on a competitive basis to create strong linkages between in the top 100 global universities. the higher education sector, business underpin research activities in the and the community and continuously NSW researchers must compete NSW health and medical research identify new areas of science and with researchers from other sector. The program helps meet medical research of relevance to jurisdictions to attract funds from operational costs that are not New South Wales. national and international sources. covered by research project Attracting such funding requires grants, such as salary support Services Framework research critical mass and high quality and laboratory equipment capital stock and infrastructure, as › $1.2 million allocated in grant The Department works towards well as world class researchers. It also support under the Life Sciences these outcomes through targeted increasingly requires an environment Research Awards (2006–11) for grants programs, strategic which balances collaboration with three internationally recognised investments in areas of state strength, competition and where industry scientists to relocate their research creation of research networks and linkages are necessary. programs to New South Wales. The hubs, sponsorship and organisation recipients are working in the areas of forums, workshops, conferences of cardiovascular research, the and promotional activities, advice Major Achievements development of natural herbicides on legislative, regulatory and policy and carbon accounting in forests. initiatives impacting on science Develop an attractive and medical research and business environment Conference and event sponsorship performance, and support of The Department sponsored and science communication initiatives Investment in research platforms supported a number of conferences and public engagement activities. and research networks and events relating to science, health The Department, through OSMR, and medical research, including: Medical research continued investing in research The Medical Research Unit works platforms to accelerate the state-wide › the Australian Society for Medical to build health and medical research research and innovation effort, with a Research’s Medical Research ® capacity in New South Wales, major focus on increasing New South Week , June 2008 increase the sector’s competitiveness Wales’ participation in international › the annual Cooperative Research in attracting research funding to clinical trials and the establishment Centre conference, May 2008 the State and facilitate the translation of major new research networks. › Thank You Day, organised by of research into policy, products Research Australia, October and practice. The Department’s investment in research platforms and major and November 2007 research networks included: Ultimo Science Festival (USF) Science › organised by the Powerhouse The Science Unit develops and › $600,000 and related facilitation Museum and the USF Organising implements programs that strengthen provided to support the Australia Committee, August 2007. science research and innovation New Zealand Spinal Cord Injury capabilities in New South Wales, Network in its first three years of primarily targeting infrastructure operation (2008–10). This trans- and research training and attracting national network links researchers, Commonwealth investment. clinicians and consumer advocates

NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT ANNUAL REPORT 2007-2008 33 NSW Medical Research The initiative includes support for: research news and achievements Liaison Group in New South Wales. The newsletter › the Young Tall Poppy Science has a readership of almost 1,000 The Department established the Awards, which recognise NSW Medical Research Liaison subscribers in the scientific and outstanding young researchers medical research sectors. Group, an advisory working group across all fields of science and of representatives from the State’s engage them in the promotion of NSW Clinical Trials Business eight medical research precincts to science and innovation in schools Development Centre share information and provide advice and the broader community. The to the Minister for Science and awards were run by the Australian The NSW Clinical Trials Business Medical Research and the Department Institute for Policy and Science and Development Centre was established on matters of relevance to the medical sponsored by the Department with $1 million of seed funding from research sector in New South Wales, the Department. The Centre is hosted including advice on: › the Australian Museum Eureka by the Cancer Institute NSW. Its Awards, which is Australia’s mission is to attract increased Commonwealth programs for › premier award scheme for investment to the NSW clinical trials supporting medical research, outstanding science. The sector. The Centre will leverage the including National Health Department sponsors the Cancer Institute NSW’s significant and Medical Research Council $10,000 Jamie Callachor Eureka infrastructure and help New South grants and the Commonwealth Prize for Medical Research, Wales attract a greater share of the Government’s Higher Education which in 2007 was awarded to global $11 billion per annum clinical Endowment Fund and Education an outstanding individual in the trials market. Investment Fund area of cardiovascular research, Professor Levon Khachigian › best practice governance models Designing and for NSW medical research precincts › the NSW Young Science conducting clinical trials and strategic approaches to the Ambassador Fund, which The Department partnered with the development of proposals seeking provides scholarships through National Health and Medical Research state and federal funding for the National Youth Science Forum. Council Clinical Trials Centre, Harvard capital infrastructure. Eleven NSW students received Medical School academic, Professor scholarships in 2008, allowing James Talcott, and other leading NSW Science Agencies Group them to participate in a number clinical trials centres to develop The NSW Science Agencies Group of science events in Canada, Russia, and run Designing and Conducting was established to achieve cross- England and South Africa. Clinical Trials, a five-day, practice- government communication on NSW Scientist of the Year Awards based intensive clinical trials training NSW agencies’ science activities, course for physicians and students. priorities, investment and mechanisms The NSW Scientist of the Year Awards The course was part of the State’s through which to better access were launched on 17 March 2008, ongoing efforts to develop and Commonwealth funding programs. offering $85,000 in prize money promote Sydney as an Asia Pacific The NSW Science Agencies Group for research that has generated leader in clinical trials. consists of senior officers from economic, health, environmental or technological benefits for New South NSW government agencies. The Joint NSW / Victorian Wales. The overall NSW Scientist Department coordinated the group Stem Cells Grant Scheme and acted as secretariat. To date, the of the Year is selected from the A joint $1million NSW / Victorian Stem group has provided critical advice on winners of eight scientific categories. Cells Grant Scheme was established establishing the NSW Chief Scientist An additional category rewards with support from the Department and Scientific Engineer positions. outstanding ability and leadership by a secondary school science teacher. to leverage existing capacity in both Support science, States and expand stem cell research. Australian Science Media Centre In 2007–08 a $250,000 grant was research and innovation awarded to Sydney IVF to undertake The NSW Government became a stem cell research, including the use NSW Science foundation sponsor of the Australian of somatic cell nuclear transfer. Communication Initiative Science Media Centre, a national, The NSW Science Communication independent organisation which MS Brain Bank Initiative is a program which provides evidence-based science to promotes the value and importance the public through the mainstream A NSW government contribution of science, to foster recognition of media. The Department provided of $500,000 was provided to help the contributions made by scientists, funding support and participates establish a multiple sclerosis (MS) to promote science careers, and to at board meetings. brain bank, the first dedicated MS strengthen scientific knowledge, tissue bank in Australia. The bank expertise and information-sharing E-newsletter has given the State’s scientists and within the State. medical clinicians a specialised library The Department continued to of the material needed to carry out produce an informative e-newsletter MS research work. to promote science and medical

34 ANNUAL REPORT 2007-2008 NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT NSW attracts Commonwealth SLF attracted Commonwealth funds since 2006 medical and science research funds — Science Leveraging Fund The Department provided targeted $millions assistance to help NSW researchers attract national and international ARC Centres 3.64 investment to New South Wales of Excellence 30.5 through the $40 million NSW 3.3 Science Leveraging Fund (SLF). CRC 75.2 In total since 2006 the NSW Government has committed NCRIS 19.04 $26.4 million to NSW research 53.2 consortia under Commonwealth programs, including the National NSW Commonwealth Collaborative Research Infrastructure Strategy (NCRIS) and the Cooperative Research Centres and Australian Research Council (ARC) Centres of Excellence programs. This SLF support In 2007–08 the Department committed over $9 million in new has resulted in over $550 million funding from the Science Leveraging Fund for programs which investment in research, development attracted contributions of over $81 million from the Commonwealth, and related education capacity $55 million from partners and $92 million in-kind support. in New South Wales, including over $170 million cash from the Commonwealth and further cash and in-kind investment from partners Overall 2007–08 funds commited in excess of $355 million. SLF provided funding for research infrastructure, including: $millions SLF 9 › a new medical imaging facility at the University of Western Sydney, Commonwealth 81 and another facility operated Partner funds 55 collaboratively by the Prince of In-kind support 92 Wales Medical Research Institute and the University of NSW › the Institute for Transdisciplinary eResearch Services and Technology Funding for research infrastructure (INTERSECT) a new peak eResearch body servicing the research and innovation sector in New South Wales $millions the new Defence Materials 0.5 › Medical Technology Centre (DMTC) 0.5 imaging to support materials and 2.62 facility manufacturing research 4.9 and development activities in the defence sphere 2.8 › nine ARC Centres of Excellence in INTERSECT 9.4 the areas of quantum computing, 8.6 photovoltaics , biotechnology, 4.8 autonomous systems, advanced materials, communications, 0.525 agriculture and complex systems. DMTC 7.1 2.54 16.5

OSMR SLF Funds Comm Funds

Partner Funds In-kind support

NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT ANNUAL REPORT 2007-2008 35 Government policy and for the State’s medical research regulation support research sector and to create critical mass › Nanotechnology States and development outcomes for the State’s medical research and Territories Committee The Department, provided input into institutes, encouraging investment › NCRIS States and Territories a range of government enquiries and and the acquisition and the sharing Officials Committee reviews including: of state-of-the-art research › CSIRO and ANSTO. equipment and facilities. The › Inquiry into nanotechnology — Department conducted ongoing In December 2007 the Minister More students choose science work with the sector to consolidate and technology career pathways for Science and Medical Research the development of eight medical Under the NSW Science requested that the Legislative research precincts. Council Standing Committee Communication Initiative on State Development conduct Commonwealth and Australian the Department launched: an inquiry into nanotechnology States and Territories mechanisms › Science EXPOsed, an annual in New South Wales. To date The Department continued its work event designed to raise awareness OSMR has provided evidence with the Commonwealth, Australian among high school students of and assisted with coordination States and Territories through the various career opportunities of input. The Committee will mechanisms including the: that science can offer. This event report in October 2008 attracted more than 1,600 school Australian Chief Scientist › National Innovation System › students from 63 NSW high Review — OSMR contributed to › Biodiscovery Working Group schools to attend science the Department’s submission to (coordinating the development shows, workshops, panel the National Innovation System of a NSW position on biodiscovery discussions and an expo and benefit-sharing in line with Review and coordinated forums Science Exposé, a state-wide Commonwealth, state and › and provided input into the competition for high school territory policy developments) Collaboration and Cooperative students in Years 7 to 10. The Research Centre Review › NSW synchrotron consortium competition builds on the current Working Group (ensuring alignment of the science Years 7 to 10 syllabus and › Medical research precincts NSW investment with NSW is being run in collaboration with development — OSMR provided government priorities and the NSW Department of Education strategic advice on governance maintaining engagement with and Training. models and strategies to attract the Victorian Government and capital and infrastructure funding Australian Synchrotron)

Case Study

The Cardiovascular Research Network A joint initiative of the Department Foundation, in addition to $300,000 and funding and to promote science and the National Heart Foundation, in network member contributions. education and skills development of the Cardiovascular Research Network cardiovascular researchers. is set to attract a total of $3.6 million The NSW Cardiovascular Research to accelerate the state and national Network brings together 20 NSW Cardiovascular disease claimed the effort in cardiovascular research. institutions and 39 individual lives of almost 46,000 Australians members and organisations that have in 2006. Cardiovascular disease also It follows a NSW government a primary interest in diseases of the generates the largest health system commitment of $1.5 million to heart, kidneys, blood vessels and costs of all diseases, accounting for unlock $1.8 million in funding from diabetes. The network aims to boost $7.6 billion per year, or 10.9 per cent the National Board of the Heart NSW cardiovascular research capacity of total direct health expenditure.

36 ANNUAL REPORT 2007-2008 NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT Policy and Resources Coordinates program and policy development, monitors organisational performance and delivers corporate services Policy and Resources

Nature and Scope › Strategic Management Framework The cluster, which meets quarterly, of Activities of the NSW Department of Premier provides a structure for heads of and Cabinet, asset management, agencies to work together on The Policy and Resources Division financial reporting, human strategic projects and issues to supports the Department’s operations resources and other agency implement State Plan priorities through a diverse range of services. corporate services planning P1, P3, P4, P6 and P7. The cluster This includes all aspects of resources › Auditor General’s Office established a Senior Officers Group management, as well as advice requirements on Climate Change and Economic to Ministers and the executive Opportunities and a Senior Officers State Plan management team on economic › Group on Skills, operating as the development in New South Wales. › Metropolitan Strategy for Sydney NSW Skills Council. In December and regional sub strategies 2007 a stakeholder consultation Services Framework › Treasury requirements for session was held coinciding with budget reporting the one-year anniversary of the Policy Unit › Results and services planning. State Plan. Throughout the year the The Policy Unit advises the Director Division has fostered increased staff General and the Department’s In 2007–08 the Division progressed awareness of the State Plan and the Ministers on economic and business the State Plan implementation Department’s responsibilities through development issues. To promote the process in the Department and with regular staff briefings. State’s business interests, the Unit other agencies, leading to better works closely with other NSW communication and collaboration In May the Department produced agencies, governments in other on investment, skills and regional the annual flagship publication, New jurisdictions and industry and business business growth opportunities. South Wales Competitiveness Report groups. The Unit also provides 2008, which presents a range of secretariat support to three advisory economic, business and demographic councils — the NSW Manufacturing Major Achievements information in an international Council, NSW Asia Business Council context to highlight the strengths of and, jointly with the NSW Department the State as an investment location. The goal of the Division’s activities is of Education and Training, the The Department also produces maintaining the smooth operation of NSW Skills Council. profiles on growth industries in the Department, which has diverse the State, including the creative and dispersed functions. A primary Business Analysis industries and the information role is the generation and distribution and Information Unit and communication technologies of information and advice to assist sector. These profiles are used to The Business Analysis and Information divisions, government agencies, promote NSW industries at trade and Unit evaluates the impact on the industry boards and councils in their investment missions and conferences, State’s economy of projects relating decision-making and activities. to the Department’s results areas. as well as provide information to As the principal source of internal departmental staff and clients on research and analysis, the Unit Facilitate business the State’s competitive strengths. supports decision-making with investment The Department prepares economic economic and statistical advice, The Department has lead evaluations to identify the value investment analysis and comparison responsibility for coordinating the associated with specific projects of the State’s economic performance implementation of the delivery of leading to investment in the with competitor markets. two of the 34 State Plan priorities: State. A total of 71 new economic The Division is also home to the › Priority P1 – Increased Business evaluations were completed, Human Resources, Finance and Investment in New South Wales providing quantitative estimates of Administration, Legal, Information the projects’ potential to add value to and Management Services, and › Priority P6 – Increased Business the State’s economy and to generate Performance and Governance units. Investment in Regional and new investment and employment. In Rural New South Wales. many cases, these analyses included Strategic Operating Priority Delivery Plans, including commentary on industry skills issues, Environment targets and measures, have been economic flow-on benefits and developed by the Department industry clustering. The Policy and Resources Division and agreed by the Cabinet The Legal Unit worked on a is responsible for ensuring that Standing Committee on State number of funding agreements the Department’s activities and Plan Performance. under various programs to ensure services are consistent with that key performance measures in whole-of-government policies In addition, the Department provides contracts are directed towards and procedures. Of these, some support for the cross-departmental contributing to investment growth of the most significant are: Economic and Business Cluster which is chaired by the Director General. and innovation policy goals.

38 ANNUAL REPORT 2007-2008 NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT Increase business The Division provided input to NSW The Department provided secretariat competitiveness policy development in response to and project management support Commonwealth policy proposals in to the NSW Manufacturing Council, The Division provided timely policy the area of climate change. This was which advises the NSW Government advice to Ministers and the executive done through advice to the Director on issues which impact on team on economic, investment and General, the Department’s Ministers manufacturing in New South Wales business development issues facing and other NSW Government agencies and how the Government can support New South Wales to enable informed on the economic development and promote NSW manufacturers decisions on advancing New implications for New South Wales and their products. Key work areas South Wales as a competitive of proposed climate change for consideration by the council business location. policies. Input was provided for the during the year were innovation development of NSW government in manufacturing, advisory services Significant submissions included: submissions to the Garnaut Review for manufacturers, NSW government › advice to the Commonwealth and the whole-of-government procurement guidelines, and Government on Australia’s bilateral submission on the review’s issues energy policy and skills for free trade agreement negotiations paper on financial services was greener manufacturing. with Japan and Chile. The free coordinated by the Policy Unit. During the year the Department trade agreements are intended to The Department planned and commissioned the study, Bridging the improve access to these markets managed a summit on the impact Barriers: a Study of Innovation in the for Australian exporters and of the Australian Government’s NSW Manufacturing, which identified investors, and facilitate increased proposed emission trading scheme policy measures to encourage trade and investment into Australia on trade-exposed emission-intensive innovation in the manufacturing › input into the NSW Government’s industries. The Division also assisted sector in New South Wales. The study response to the Commonwealth the NSW Department of Water and recommended an increased focus on Joint Standing Committee on Energy and the NSW Department of attracting ‘greenfield’ manufacturing Treaties, which was reviewing Primary Industries to host a Summit investments, as part of the NSW co-production film agreements on Clean Coal Technologies. The Government’s inward investment with Singapore and China. These Department worked with these strategy; a greater recognition of the treaties are expected to benefit departments to evaluate options TAFE and VET sector in innovation the NSW film industry by opening for developing a NSW roadmap policy and decision-making; up new markets and creating for clean coal technologies. and improved measurement employment opportunities for and monitoring of manufacturing Australian industry personnel The Department, in partnership with industry performance. the Australian Business Foundation, preparation of the NSW submission › contracted the Macquarie Graduate to the Commonwealth Review School of Management to undertake Develop an attractive of Export Policies and Programs, a study of business clustering in the business environment which provided analysis of Pacific Corridor between North export trends in New South Wales As part of the Department’s program Sydney and Macquarie Park. The and presented concerns and of red tape reviews, the Division project is also drawing on in-kind opportunities for export-capable provided statistical profiles for the support from the departments of and active exporters where waste management and recycling Lands and Planning. The study is government action can assist and rental, hiring and real estate aimed at determining business activity advice to the Legislative Assembly sectors. The statistical profiles › in the corridor and understanding assisted the review taskforce to Standing Committee on Broadband business clustering in that region. in rural and regional communities, develop recommendations to simplify The results will be used to develop regulations affecting these sectors. which promoted the economic strategies to facilitate increased potential arising from a modern The reduction of red tape produces business investment in other cost savings for business, contributing and ubiquitous broadband Sydney metropolitan areas. infrastructure in regional to an environment conducive New South Wales. to investment.

NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT ANNUAL REPORT 2007-2008 39 The Department worked with the Corporate Environment Human Resources NSW Department of Planning and The Department places strong with local governments on the Performance and governance emphasis on the recruitment and implementation of the Sydney The Performance and Governance retention of skilled, qualified and Metropolitan Strategy and the Unit manages the corporate committed staff. development of regional and governance framework, risk subregional strategies to promote management, fraud control and The Human Resources Unit provides growth in regional cities, major external and internal performance support and guidance on conditions and specialised centres and smaller reporting and supports business of employment, training, equity, centres. Expected outcomes include and strategic planning activities. occupational health and safety, increasing the attractiveness of The Unit ensures that organisational workers compensation and strategic centres to live, work development projects, program rehabilitation, grievance resolution, and invest in, increasing jobs and reviews and associated initiatives organisational change, performance achieving a closer connection provide measurable business management, job evaluation and between major centres and improvement and quality assurance establishment. The Unit is also metropolitan cities. outcomes for the Department. responsible for implementing The Unit also provides support workforce management and industrial The Division supported meetings to the Department’s Audit and relations policies and procedures. of the NSW Skills Council, which Review Committee. provides advice to the NSW The changing workplace and Government on ways to address skills Major achievements during the external environment demands shortages. This included initiatives to reporting year included the review, a responsive, skilled and flexible address specific skills issues for the update and publication of the workforce. The Department’s sectors prioritised in the Innovation following policies and guidelines: commitment to the learning and Statement. Additionally, the Division development requirements of its staff Client Feedback — Handling worked with the NSW Department › is reflected in the extensive internal Complaints, Suggestions of Education and Training to support learning and development program, and Compliments its goals under the State Plan. access to relevant external programs › Labelling and Handling of and a comprehensive study assistance Market the strengths Confidential Information scheme available to all staff. of Sydney and › Privacy and Spam Training activities included the New South Wales › Sponsorship. development and introduction of new internal learning programs in project The Division contributed to the An electronic register was established management, financial management, foundation research for the Brand for staff to record the receipt of gifts working for government, Sydney project, developing a branding and benefits. Staff training in the communication and writing skills. strategy for the city. The Division also policies of conflict of interest and Short programs and information provided information on Sydney’s gifts and benefits was conducted. sessions designed to educate and economic sectors, their value and The Division coordinates the inform staff on the business and contribution to the city’s positioning development and updating of the technical aspects of the Department’s relative to other global centres. Department’s annual Results and operations were conducted. During the year the NSW–Asia Services Plan, which incorporates Leading government and industry Business Council was expanded from a results logic providing a line of speakers addressed the Young 14 to 22 members. New members sight for performance management Professionals Breakfast Forums brought strong linkages to key by setting out linkages between and the Management Development markets such as China, India and government priorities (including Program, in which 32 staff the Middle East and broadened the State Plan priorities), the results that participated. Nineteen staff were membership of the council. The the Department is working towards, assisted to undertake external studies council plays a valuable role in the services it delivers to contribute through the Department’s study providing support and direction to those results and the cost of assistance policy. to NSW government activities delivering those services as reflected As part of the Department’s fostering closer trade and investment in the Department’s budget. workforce strategy, the Graduate relations with Asian economies. The Division conducts an annual client Program continued, with an intake The council’s showcase event for survey of over 700 small and medium- of four graduates in January 2008. the year was the 2007 Premier’s Asia sized enterprises and investment Four graduates from the previous Business Dinner, which attracted 460 clients. Overall satisfaction with the year have won permanent positions guests directly involved with trade Department’s assistance, knowledge with the Department. The program and investment between New South and service of staff remains high. is important to the Department’s Wales and Asian economies. The Almost every business surveyed long-term capability, providing a council also undertook an investment showed strong interest in using the pool of talented young people to visit to Newcastle in May 2008. Department’s services in the future. refresh the Department’s skill set.

40 ANNUAL REPORT 2007-2008 NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT The Department’s annual staff The Information Management and outsourced financial services. The awards ceremony recognised Technology Strategic Plan and records Unit is responsible for administration ten individuals and four teams for management documentation were and property services, which include their outstanding achievements updated, including the negotiation lease negotiation and property in Communication and Teamwork, of a standard naming convention management of the Department’s Planning and Risk Management and across divisions. These formal various sites. Procurement policy Improving Organisational Performance practices support the Department’s in the Department is also managed and Client Service. The ceremony goal to be a robust, integrated and by the Unit. celebrates and acknowledges the secure, best practice information outstanding support and services management environment. During the year the Unit was involved of staff members across a range with several significant developments of disciplines and business units. The Department maintains two that enhanced the existing policies, internally-supported web hosting procedures and service delivery. environments and 25 websites These included: Information Management Services (listed in Appendix 13). Information exchange, knowledge › review and re-formatting of the management and the communication With two exceptions, departmental disclosure of financial information of ideas are core functions and websites required compliance in the Budget Papers to provide capabilities of the Department. The with the NSW government standard a clear link to the Department’s Information Management Services during the year. A range of website results and services across its Unit maintains critical infrastructure – activity also supported a number of five portfolio areas record management, websites, specific departmental programs to › development and distribution to all databases, the intranet, information enhance communication with the staff of updated Corporate Credit research services and the computer Department’s client base. Card and Overseas Travel policies network – used across all divisions of The Department maintains a number › appointment of a Manager, the agency to ensure these activities of databases to enhance staff Procurement to manage are conducted as efficiently and productivity and support program enhancements to the Department’s effectively as possible. management. Central to these are purchasing policies and Over 480 workstations plus associated the corporate client database known procedures, particularly in the printers and over 38 network servers as Search Your Data (SYD), recording area of e-procurement. In addition and associated equipment and client details, project assistance and the Manager, Procurement software systems are supported in other interactions, as well as the provides strategic and procedural 20 physical locations across the State. human resources and telephone advice to staff on a range of database, which records staff procurement matters During the year the ICT infrastructure details, positions, functions and › project management of at all 18 regional sites was replaced reporting lines. and the back-up solution and email the essential upgrade of the post office arrangement were The corporate database was computer room located at the changed. Several sites were moved recently rebuilt as a web-enabled Department’s Tourism NSW to a higher bandwidth. A storage tool and work has also commenced site at Harrington Street area network was implemented at on integrating two older CRM systems › project management of the the head office together with a major and eight other data sources into closure of the Sydney Visitors server migration to improve the speed SYD. In addition, five other specialist Travel Centre at Sydney Airport and responsiveness of the system. databases were supported by › contracting of StateFleet to the Unit. Network services and desktop support deliver fleet management services for the Department’s motor vehicle are contracted-out to the Central Finance, Administration and Legal Corporate Services Unit of the NSW fleet following the termination of Department of Commerce (Service The Finance and Administration fleet management arrangements First from 1 July 2008) and Uecomm Unit is responsible for financial and with the Department of Premier (a division of Optus) with whom a budgetary management, preparation and Cabinet. close daily relationship is maintained. and review of financial statements, reporting requirements, strategic The Department’s legal staff provide financial advice, coordination of legal advice and representation to the internal audit function and the the Department’s divisions and advice management of the Department’s to the executive management team on contractual, commercial and administrative law issues.

NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT ANNUAL REPORT 2007-2008 41 Regional Development Increases business investment and strengthens business competitiveness in rural and regional New South Wales The Department’s approach to Services Framework respond to economic structural regional economic development adjustment pressures. The Regional is one of strategic intervention. Regional business investment Economic Transition Scheme assists Working in partnership with regional the development of more diverse The Department’s suite of business businesses and communities, the economies and attraction of new investment programs aims to secure Department targets its assistance investment and jobs. The Business new investment by businesses programs and services at initiatives Drought Assistance Program provides contemplating establishing or that can make a real difference to payroll tax relief for regional firms to expanding their operations in regional economic development in regional help them retain skilled workers for New South Wales. It aims to harness New South Wales. the duration of the drought. credible business opportunities and Economic growth is promoted develop solutions to overcome Assistance is also provided to through the attraction of new investment impediments, with an small and medium-sized enterprises business investment and helping emphasis on non-financial solutions. affected by the drought so they existing enterprises to grow and To achieve this, the Department’s can implement business improvement improve their competitiveness. The regional development staff gather or recovery strategies or diversify Department also assists communities information and facilitate the delivery their operations. to build their capacity to harness of services with other government business opportunities and to raise agencies and local service providers to Business growth the profile of regional New South help businesses save time and money. The Department’s business growth Wales as a business destination. Specific assistance under the initiatives aim to enhance the One of the Department’s key roles regional business investment competitiveness and growth of is to capture opportunities for initiatives program includes assisting regional enterprises. These include: investment and business growth with site identification and selection, › the New Market Expansion for NSW regions. To achieve this, negotiating with infrastructure and Program, which is aimed the Department delivers financial finance providers and liaising with at companies pursuing new assistance programs and services training providers. In some cases, markets by providing assistance which are only available to regional modest funding is provided as part for targeted marketing of businesses and communities. Regional of a total package of assistance for new opportunities businesses also have access to the a business project based on the the Travelling Experts Program Department’s full range of state-wide value of the new investment and › of seminars designed to provide programs and services. jobs generated. businesses with access to The Department’s regional The business investment program expert speakers on current development programs and suite offered by the Department business issues. facilitation services, as well as is designed to encourage regional state-wide programs, are delivered growth by attracting firms to establish Regional and community through a network of 18 offices or expand their operations and is economic development located outside of Sydney. made up of: The Department’s regional and community economic development the Regional Business In 2007–08 under the State Plan, › initiatives provide an important base Development Scheme a new engagement model was for leveraging business opportunities established to give business issues › the region specific Hunter by engaging with key partners in priority across all relevant NSW Advantage Fund, designed to regional communities. government agencies. The attract new investment and jobs to Department chairs an Economic the Lower Hunter region including The Department works in partnership Development Cluster of Chief the Newcastle, Lake Macquarie, with local government, business Executive Officers and, at the Port Stephens, Maitland and organisations, industry groups and regional level, is the lead agency Cessnock local government areas regional development organisations for economic development to help regional communities build the region specific Illawarra subcommittees of the State’s Regional › their capacity to harness business Advantage Fund for eligible Coordination Management Groups. opportunities and be better placed businesses considering to respond to business needs. The Department also houses the establishing or expanding Office of Biofuels established to in the Illawarra region Regional and community economic administer the Biofuel (Ethanol › the Payroll Tax Incentive development initiatives include: Content) Act 2007, which commenced Scheme, aimed at bolstering the Community Economic on 1 October 2007. The legislation › business growth in areas with Development Program applies to primary wholesale petrol unemployment levels above the (formerly known as Main sales and currently requires a State’s average. Street / Small Towns and minimum two per cent ethanol Towns and Villages Futures) content in petrol sales in New Industry restructuring and Developing Regional South Wales. These initiatives are designed to help Resources Program designed to regional communities and industries strengthen regional economies

NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT ANNUAL REPORT 2007-2008 43 › the Regional Development need to assist businesses and Increase business Board Innovation Program, communities through structural competitiveness which assists a network of 13 adjustment, by helping them develop Regional Development Boards new opportunities and markets and Ninety-five regional firms were to pursue economic development promote industry diversification. assisted to pursue new markets opportunities in their regions through the New Market Expansion › the NSW Regional Development Program, including eight firms who Advisory Council, which consists Major Achievements participated in the Organics Expo of the chairs of the State’s 13 in Melbourne in September 2007. Regional Development Boards. Facilitate business The firms made initial sales of more The council provides advice to the investment than $520,000. Minister for Regional Development One hundred and fifty-five business on regional development issues The Department secured 297 workshops were conducted in in New South Wales. investment projects in regional regional New South Wales attended New South Wales, representing a by 3,760 people, including 62 Strategic Operating capital investment of $791.52 million Travelling Experts workshops attended Environment and the creation and retention of by 1,408 people. Topics included 5,281 jobs. Examples of projects lean manufacturing, becoming an As part of its responsibility through secured included: employer of choice and workforce Priority 6 of the State Plan, the establishment by Benex development. In addition, two toolkits Department’s objective is to increase › Technologies Pty Ltd of a concrete were published (one for businesses business investment in rural and block manufacturing plant at and one for communities) on practical regional New South Wales, where Kelso in the Central West. The strategies for addressing the skills economic conditions are varied. plant brings an investment of shortage issue. Regional areas are particularly almost $7 million and 37 new The Department assisted 45 regionally vulnerable to the national jobs to the region based industry clusters with 1,102 phenomenon of skill shortages. › establishment of a third-party members to foster and promote Demographic issues, in particular warehousing and distribution further industry-specific development ageing populations (with skilled service in Albury by Joss in regional New South Wales. people retiring from the workforce Operations, bringing $10.5 million Clusters have been developed across and young people leaving the of new investment and 41 industries including manufacturing, community), create a general labour new jobs. The warehouse will food and wine production, film and shortage which compounds the skills specialise in storage and handling tourism-related industries. Industry shortage. Limited mobility of labour of perishables, wine and container support was provided through is a further constraint given the deconsolidation a combination of facilitation and geographic spread of regional New expansion of David Brown financial assistance under the South Wales. Anecdotal advice from › Gear Industries Ltd in Bulli in the Department’s regional programs. regional businesses also suggests that Illawarra region, creating 10 new they are disproportionately affected The Department partnered with jobs and new investment of almost by the attraction of staff to high wage Westpac to conduct the Beyond $800,000. The installation of a industries such as mining. However, Survival series of workshops in Taree, full load-test facility will enhance for many regions such as the Lower Cobar, Coonamble, Cootamundra the competitive position of this Hunter and the New England-North and Wagga Wagga. The workshops recognised world leader in the West, the current growth in mining is aimed to help non-farm business manufacture of industrial power providing a major economic boost. owners overcome the impact of transmission products. drought through careful planning In some parts of the State, slow recovery from drought continues to create challenges for regional Regional development workshops held communities in retaining businesses and skilled employees. The availability of water and its efficient use by Workshops businesses is becoming an important factor for regional industries 2007–08 155 contemplating growth, as is road, 49 rail and other infrastructure. 2006–07 133 Ongoing industry restructuring 42 also poses economic challenges for regional communities dependent 2005–04 113 on a single major industry. If the 46 impacts of climate change become long-term, there will be an increased Business Workshops Regional Community Workshops

44 ANNUAL REPORT 2007-2008 NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT and effective financial decision- Examples of projects included: sustainable economic growth in making. The workshops explored regional communities. The conference financial principles that affect › the 2008 Mulga Bill Festival, was attended by a record 269 people. businesses, worked through real which is Yeoval’s main community business case studies and offered event. It celebrates the town’s During the year a total of 63 relevant financial management tools. most famous resident, Banjo projects were assisted to investigate Sixty-three businesses participated Paterson, and features activities economic development and growth in the workshops. including shearing competitions, opportunities in regional New South an art show and street theatre Wales under the Developing Regional with stalls. The festival culminates Resources Program. Projects included: Develop an attractive with a Family Bike Ride from business environment Cumnock to Yeoval › the Arts Mid North Coast research project to help identify the scope Through the State Plan’s Economic › a township marketing plan and characteristics of creative Development Cluster, the Department for Ettalong Beach to provide industries businesses within the coordinated the development a pathway for local retailers Mid North Coast region and to of 12 Regional Business Growth to improve their business develop recommendations for Plans, which provide a blueprint practices. The plan will also the growth and development for collaboration between NSW identify specific projects that of the industry government agencies and with can be implemented to increase the BackTrack (Armidale Family local governments, Regional business confidence and encourage › Support Service) project to Development Boards, and other business development and facilitate the employment of business stakeholders to achieve increased tourism. youth in the New England North sustainable economic growth, local Forty-eight workshops were West region through a staged employment and skills training. conducted for regional communities program involving vocational Under the Community and attended by 1,694 people. study, mentoring and assistance Economic Development Program Topics included business and town with job placements. 50 communities were assisted marketing, strategic planning and The 13 Regional Development Boards, with project funding. Sixty-one tourism development. listed below, provide a strategic projects were completed which The Community Economic framework for economic growth and leveraged $6.45 million in funds Development Conference was play a critical role in local collaborative and created 49 jobs. held in Moama in May 2008 to efforts to attract business investment share knowledge and explore the that will deliver sustainable long-term latest developments in promoting employment and regional prosperity.

Regional Development Boards Websites 1 Business Central Coast www.businesscc.com.au 2 Capital Region Development Board www.capitalregion.org.au (joint initiative of the NSW and ACT Governments) 3 Central Western Regional Development Board www.centralwest.com 4 Far Western Regional Development Board www.farwesterndevelopment.com.au 5 Gowest Regional Development Board www.gowest.org.com.au 6 Hunter Economic Development Corporation www.hunterregion.com 7 Illawarra Regional Development Board www.irdb.com.au 8 Mid North Coast Regional Development Board www.betterbusiness.nsw.gov.au 9 Murray Regional Development Board www.mrdb.nsw.gov.au 10 Northern Inland Regional Development Board www.nio.com.au 11 Northern Rivers Regional Development Board www.investnorthernrivers.com.au 12 Riverina Regional Development Board www.rrdb.com.au 13 Greater Western Sydney Economic Development Board www.gws.org.au

NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT ANNUAL REPORT 2007-2008 45 Forty Regional Development Board Market the strengths The inaugural NSW Boutique Wine projects were assisted to facilitate of Sydney and and Beer Tour to the Hunter and and foster economic development Riverina regions was conducted in opportunities in regional New South New South Wales May 2008, linking wine industry Wales. Projects included: The Department undertakes a range buyers to local wine producers. Fourteen Sydney-based buyers and the employment of an Asia of activities to promote regional New › South Wales as a viable destination three regional buyers from the Hunter business advisor to help facilitate region met 39 wine producers and investment from China and for business and the skilled personnel required for their operation. Activities sampled more than 70 boutique other Asian countries in the wines and several boutique beers. Illawarra region are focussed on attracting investors and skilled workers to regional areas, The buyers included Sydney-based › the creation of mining, as well as business matching and sommeliers, purchasing and beverage engineering, transport and logistics market exposure for niche industries managers from major hotel chains, industry networks in the Orange in regional areas. buyers from the retail sector and and Parkes districts to help industry wine media. address skills and labour shortages. In April 2008 the Department conducted the fifth Building Regional The Department sponsored the 2007 In addition, the NSW Regional Towns Tour visit to Broken Hill and the Country Week Expo in Sydney to Development Advisory Council, Muswellbrook Shire. Both locations promote the benefits of working and which comprises the State’s 13 are experiencing significant economic living in regional New South Wales. Regional Development Boards, growth. The tour showcased The expo attracted 9,000 attendees. focussed on highlighting the staff opportunities for investment in A jobs board featured 400 current retention and recruitment issues residential and commercial property job vacancies in regional towns. faced by regional businesses. to metropolitan-based investors and property developers. Eighteen investors and developers participated on the tour.

Case Study

AJ Lucas Group Limited

AJ Lucas Group Limited is an In 2007 AJ Lucas Group Limited The Department assisted AJ Lucas engineering and infrastructure decided to consolidate five of its Group Limited’s expansion project contractor that specialises in the plant yards from New South Wales through its business investment utilities sectors of gas, power, and Queensland to improve the programs. The project will create telecommunications and water efficiency of its plant maintenance 53 jobs and represents an investment and in the coal mining and coal activity. The company also decided in North Wyong by AJ Lucas Group bed methane sectors. to relocate its contract drilling Limited of $6.8 million. divisional management and engineering support from Ryde to a new location at North Wyong.

46 ANNUAL REPORT 2007-2008 NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT Small Business Development Supports the growth of the small business sector by reducing red tape, increasing growth and innovation and expanding sales into international markets Small Business Development

Nature and Scope Business services: specialised Major Achievements of Activities information and assistance Whilst the small business programs Through the Small Business support businesses with lower Increase business Development Division, the turnover, the more mature firms competitiveness Department works to promote demonstrating high growth and an innovative, profitable and export orientation are supported Exporter development and advice competitive small business sector through a range of services developed The NSW Exporters Network is an in New South Wales. by trade experts and targeted at internet-based network for NSW exporters which facilitates business- The focus is to assist small business building up their capacity. A core component of this assistance is a to-business communication firms at critical stages of their opportunities and builds awareness development to promote steady network of business development managers across New South Wales, of exporting as a powerful growth growth and support the special needs strategy. During the reporting period of particular categories of business delivering market development guidance, support and mentoring. the network consisted of an average operators, including Indigenous of 800 registered members. people, women, home-based operators and prospective exporters. Trade services One of the benefits enjoyed by The trade services range of products network members is invitations to The Department’s small business provide export-ready NSW companies export development seminars and programs and services are specifically with effective ways of identifying workshops. These events were held at designed to assist the growth of new international markets by 103 locations and attended by 3,415 small and medium-sized enterprises providing professional export participants throughout 2007–08. through the development of development advice, up-to-date entrepreneurship, managerial market intelligence and direct The Department, in collaboration and technical innovation and best logistical and operational assistance. with the Australian Institute of Export, practice. Educational and mentoring continued to deliver the Getting activities are targeted towards Started in Exports Guide and improvement in three key areas Strategic Operating Workshops Program. The program of business performance — Environment provides new and early-stage sales, employment and exports. The modern economic landscape exporting businesses with the skills necessary to enter international In addition to its small business is increasingly difficult for small businesses to navigate. The various markets. In 2007–08 it was delivered management and educational to 388 companies at 22 workshops. outreach function, the Department challenges facing small business informs development of the State’s operators are presented by The Department supported the small business policy by providing globalisation, rapidly changing 2007 Premier’s Exporter of the advice to the Minister for Small technology, shifting demographics, Year Awards. Of the 96 award Business and Minister for Regulatory unpredictable consumer behaviour applicants in 2007, 60 were clients Reform, supporting the Small and other competitive pressures. The of the Department through various Business Development Corporation specific issues currently affecting small export development programs. and driving the Small Business business growth in New South Wales For the last five years, New South Regulation Review process. include skills shortages, increasing petrol prices and regulatory red tape. Wales companies have gone on to win the National Exporter of Services Framework New South Wales is a major business the Year. One of the Department’s State, with around one-third of all In total, 2,400 firms accessed former clients, Cochlear Ltd, was Australian small businesses based program and development support named the overall winner in 2007. here. These firms make up 96 per cent from the Division in 2007–08. of all businesses in New South Wales New Export Opportunities Program and employ more than one million The New Export Opportunities Small business: general people. Regionally-based small Program assists small business information and assistance businesses account for nearly 37 per operators in expanding existing A range of services and programs cent of all the State’s small businesses. are offered to start-up, micro export sales and penetrating new businesses and special-needs Small firms also make up the vast markets. This is achieved through operators. These include provision majority of exporting businesses in providing support with developing of free general business information, New South Wales. Accordingly, small new market entry strategies. Forty- access to a variety of useful businesses have a significant impact nine firms were offered financial business tools, guidance and on the State’s trade performance. assistance of $471,000 to support other assistance services. export preparation and development The Department’s small business activities under this program clients experienced overall export, in 2007–08. sales and employment growth in 2007–08. The average number of client employees increased by 13.9 per cent during the year.

48 ANNUAL REPORT 2007-2008 NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT Trade Promotion Program products and services. Established companies. The program assisted The Trade Promotion Program operators were also assisted in clusters in high-value manufacturing, assists high-potential, export-oriented developing their international markets tourism, biotechnology, wine and firms through trade missions and and financial and export proficiencies. value-added services. Business exhibitions to identify appropriate The program targets innovative feedback indicates that intensive export markets, develop marketing companies seeking specialist skills cooperation between participating strategies and skills, and expand and needed to promote their business companies facilitated new business enter overseas markets. growth including preparation for growth ideas and contributed to sourcing venture capital investment. enhanced domestic and export The Department offered seven sales opportunities. missions, including two general trade BioBusiness Program missions visiting Korea and the United The Women in Manufacturing The program works to support Arab Emirates and five specialised Network cluster, which was commercialisation by providing trade missions. The specialised trade launched in 2006–07 with the assistance in closing the gap between mission for building and construction aim of facilitating learning and basic research and development went to India, environmental services development for women owners and getting product to market. and products to China, fashion and and executives in manufacturing, The program consists of two design to Japan, healthcare goods led to nine major manufacturing major segments. The High Growth and services to the United Arab companies from across New South BioBusiness Program segment Emirates and financial services Wales completing the Advanced assists established companies to the United States. Stepping-Up Program specialising while the Non-Research Establishment in supply chain management and In selected international exhibitions, Costs Program helps start-up logistics in 2007–08. the Department organises exhibition biotechnology businesses. space, which is made available to The Department, in collaboration Forty-nine companies received NSW companies to exhibit on a with the Australasian Production a total of $765,802 in funding. shared basis. In 2007–08 the and Inventory Association, also offers Assistance was provided towards Department held a stand at three an annual Women in Manufacturing intellectual property protection, international exhibitions: CityScape Scholarship, which provides commercialisation and export market 2007 in Dubai (architectural, design internationally recognised training development for biobusiness and and planning services), Singapore in production and inventory control. medical device firms. Airshow 2008 (aerospace products The Department also provides support and services) and Expomin 2008 in to the Welding Technology Institute of Chile (mining products and services). Innovation Advisory Services Innovation Advisory Services are Australia, the Australasian Production Market visits are also organised designed to assist in the early-stage and Inventory Association, Lean for individual companies, allowing commercialisation of inventions and Network and the Association for them to visit the market of their innovative products or processes. Manufacturing Excellence, enabling choice at the time of their choice. Innovation Advisory Services in these bodies to promote leading-edge The Independent Market Visit (IMV) Newcastle, Penrith, Parramatta, business systems and management Program provides companies with the Sydney and Wollongong help practices to NSW small manufacturers opportunity to independently exhibit inventors and small business and related businesses. or undertake a program of meetings. innovators across the State to In 2007–08 the Department assisted evaluate and commercialise their Aboriginal business development 127 companies in this program. ideas, establish new businesses Under the Budyari Ngalaya First Peoples Partnerships Program, In total, the Division worked with 191 and increase investment. the Department continued to NSW companies which participated In 2007–08 a total of 1,587 services actively work with the private in trade missions, exhibitions and were provided, including 44 low-cost sector to facilitate and secure IMV activities, visiting 31 international technical and market assessments. sub-contracting work valued at markets during 2007–08. The online Innovation Advisory Service around $6 million for Aboriginal businesses in the mining services, Stepping-Up Program at www.ausinvent.com was also supported, attracting 41,916 user construction, land remediation and The Stepping-Up Program provides sessions, an increase of over 25 per aquaculture industries. access to group workshops and cent compared to the previous year. specialised mentoring for owners of The NSW mining sector is in a growth The service provides self-assessment established businesses. During the phase, driving demand for skilled software, a virtual exhibition option, year a total of 175 individuals and labour and support services. To links, news and information on organisations received financial assist Aboriginal businesses harness relevant events. assistance to participate in 15 the opportunities presented by this programs. The feedback indicates that sector, four specialised mining and the program delivered valuable skills Business and Innovation Clusters construction business skills workshops to young business people, equipping The Business and Innovation Clusters were conducted. In addition, 19 them with the knowledge and skills Program supported eight industry basic business skills workshops were necessary to commercialise new clusters with more than 200 member delivered to around 322 Aboriginal

NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT ANNUAL REPORT 2007-2008 49 business participants. The workshops complete, improving food inspection to Western Sydney local councils, focused on the industry sectors processes and streamlining processes including assisting with the attraction identified in the Innovation Statement. for obtaining a Place of Public of inward bound investment, Entertainment Licence and partnering in business awards and A total of 226 Aboriginal firms government procurement. working on sustainability projects. accessed business services during the reporting period. A review of the rental, hiring and The Greater Western Sydney Economic real estate sector is progressing Development Board, funded by the The Department supported 30 and sectors for future review are Department and based in the centre, Aboriginal artists from across New being investigated. launched the first of its regional South Wales in exhibiting their talent industry profiles — Manufacturing in at Galerie Figure, Paris, France, and In order to encourage and maximise Western Sydney — and continued to at the New South Wales Indigenous small business submissions to its be involved in the skills development Contemporary Art Show. This review process, the Department area by chairing the information international market promotion developed a campaign called Have communication technology, logistics achieved $123,500 in sales and two Your Say on Red Tape and advertised and advanced manufacturing industry artists received private commissions it through business clients, various task forces. for works valued at $16,000. industry bodies, publications and the internet. Two BizBus tours took place in Small Business September 2007 2007–08. The BizBus tours provided On a national level, the Department During Small Business September an opportunity for Aboriginal youth actively worked with federal, state 2007, the Department and over to get a taste for running their and territory agencies on a number 115 partner organisations and own business by visiting existing of red tape reduction strategies. One sponsors hosted 358 events attended successful enterprises. recommendation to be implemented by more than 52,000 people across is establishment of a one-stop online the State. The attendee satisfaction Develop an attractive facility to enable businesses to make rating registered in excess of 95 per business environment a single application and payment for cent. Small Business September a national business name and ABN. 2007 offered seminars, workshops, Small Business Regulation Review The project will potentially to deliver conferences, training programs The Small Business Regulation Review $1 billion in benefits to Australian and expos, which provided practical is part of the NSW Government’s business over 10 years. information, guidance and tools for strategy to cut red tape. The objective small business owners designed to is to reduce the administrative burden Western Sydney Business Centre improve their operations and access of regulatory compliance on small The Western Sydney Business Centre to new markets. More than half of business by minimising unnecessary, provides business development all events were delivered in regional duplicative, inconsistent or excessive programs and support to assist New South Wales. regulation. The Department has business growth in the Greater responsibility for supporting a Western Sydney region including Business Advisory Services (BAS) taskforce of high-level government the provision of business seminars Business start-ups are well catered and industry representatives chaired and workshops. In 2007–08 more for with free business information by the Director General. than 3,000 people attended the available at 35 full-time and 18 80 Business Growth workshops A rolling program of targeted, part-time BAS locations across organised by the Department. sector-by-sector regulatory reviews metropolitan and regional New has been undertaken from a small The Western Sydney Business South Wales. business perspective involving Centre has continued to showcase The BAS program is designed to consultations with individual manufacturing in Western Sydney. help start-up and micro businesses businesses and peak business groups. In partnership with the Greater plan their growth and development. To date, the taskforce has completed Western Sydney Economic During 2007–08 the program reviews of four industry sectors: Development Board, the fifth provided a total of 277,987 Western Sydney Manufacturing › motor vehicle retailing and services information and business services Week was held from 12–16 May to clients. More than 500 small › accommodation, food 2008. The week attracted a record business workshops were conducted, and beverage services 1,059 attendees who participated in attracting 6,506 participants. › manufacturing (fabricated 14 events and six site visits. The independent survey showed metal products, machinery Another function of the centre high levels of client satisfaction and equipment and furniture) is building relationships with across the State. › business and professional services. local government and business Women in Business Forty–one recommendations organisations to assist the The Women in Business Program have been endorsed by the NSW economic development capacity provides information and support Government. Implementation is of Western Sydney. to emerging women business owners. already reducing the number of forms A significant program of support Three mentoring programs with that motor dealers are required to and advice continues to be given 61 mentorees were hosted in

50 ANNUAL REPORT 2007-2008 NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT metropolitan areas and over 100 The highlight of the year was Home- Small Business Development participants attended four regional Based Business Week held from Corporation (SBDC) events. Feedback from participants 19–23 May. The week consisted of The Small Business Development indicated that around 50 per cent of 37 (10 metropolitan and 27 regional) Corporation is a small business all participants experienced increased events throughout the State, with policy advisory body appointed by business turnover and 20 per cent over 1,600 participants attending. and reporting to the Minister for increased staff numbers as a direct Small Business. The SBDC’s primary result of the program. Smallbiz website role is to ensure that small business This year the Department also held The Department’s small business needs are accounted for in the an e-mentoring program offering website www.smallbiz.nsw.gov.au development of NSW government business operators in regional continued to be a useful business policy. The SBDC’s other functions locations access to assistance not resource, providing a range of include small business education, generally available in remote areas. information, business tools and research, special issues investigation guidance to small businesses at and preparation of submissions to federal and state agencies addressing Home-Based Business Program different stages of their life cycle. In 2007–08 the website received small business concerns. There are around a quarter of a more than 1.1 million unique visitors In 2007–08 the SBDC actively million home-based businesses representing a continuing and participated in a number of in New South Wales. This market increasing interest in accessing government initiatives including segment is supported through the business information through this the development of new retail Department’s range of innovative communication channel. initiatives under the Home-Based tenancy policy in NSW and the Business Program with 2,299 Australian Securities and Investments operators accessing the program Commission’s research into small in 2007–08. business banking, liquor licensing, skills shortages, franchising, trade practices and employment practices. Unique visitors to small business website See Appendix 3 for membership details on the SBDC.

‘000 2007–08 1,100

2006–07 914

2005–06 551

Case Study

Sanders Retail

Saunders Retail was established in Saunders Retail secured the interest The company is currently planning Sydney in 1991 by Mr Paul Saunders, of several prominent retail developers their return to the market for a the company’s CEO and Creative in the region. number of follow-up activities, Director, and has since pursued including several new developments export opportunities through joint In addition, the company achieved they have been invited to consider venture partnerships in Dubai, immediate sales of $1.2 million for as a result of their visit to Abu Dhabi. United Arab Emirates. their innovative store design and branded concepts for two significant The export assistance from the The Department supported the shopping mall developments in Department has enabled the business business in the Independent Market Abu Dhabi and Saudi Arabia. to more effectively utilise future Visit Program to exhibit at the world’s Saunders Retail also secured export opportunities to succeed largest architectural and property a further $2 million in commitments in this highly competitive market. development show, Cityscape Abu over the coming 12 months. Dhabi, in May 2008. As a direct result,

NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT ANNUAL REPORT 2007-2008 51 Tourism New South Wales Works with commercial partners, the tourism industry and government agencies to increase visitors’ activity, visitor nights and length of stay, providing opportunities for an increase in jobs and tourism expenditure Tourism New South Wales

Nature and Scope of Activities wholesalers, retailers and travel tourism attraction signage, in The Department, through Tourism agents about the experiences partnership with the Roads and NSW, undertakes strategic activities and products on offer in the Traffic Authority of NSW, and to market the strengths of Sydney State. The Division ensures a oversight of the outsourced and New South Wales by promoting NSW presence at major travel NSW Holidays operations. the State as a desirable holiday trade events around the world in destination. This includes building partnership with Tourism Australia. Strategic Operating and converting awareness of New Trade missions are conducted to Environment South Wales as a visitor destination facilitate opportunities for NSW Visitors from within Australia account in Australia and in overseas target tourism product suppliers to make for around 90 per cent of overnight markets. The Division shares commercial arrangements with visitors, with the majority from within knowledge and expertise to international travel distributors in New South Wales. The remaining improve industry effectiveness the market and via the Australian visitors come from international and stimulate investment in Tourism Exchange markets. Although New South Wales quality tourism infrastructure. › the Strategy and Insights program receives more domestic visitors than provides strategy and planning any other State, since 2002 there has Services Framework advice to industry and the NSW been a decline in domestic visitor Government on tourism issues. Tourism NSW consults with industry numbers and visitor nights and the This includes extensive research industry is increasingly relying on and works in partnership with both and insights into the tourism the public and private sector to international visitors. In 2007–08 industry. The program also forty-one per cent of visitor nights grow and manage tourism and builds partnerships with industry industry development. The Division spent in New South Wales came associations and government from the international visitor market, is responsible for the following agencies for the development key strategic programs: an increase of 11 percentage points of sustainable destinations from 30 per cent in 1999–00. › the Domestic Tourism Marketing › the Industry and Destination and Communications program Services program provides expert Domestic market promotes Sydney and New South advice for organisations responsible While the number of day-trip visitors Wales to intrastate and interstate for products and destinations on has been increasing over the last target markets. A range of the domestic and international few years, the number of domestic marketing initiatives to build markets. It undertakes product visitors who stay overnight has been destination appeal are undertaken research and content development declining. This is explained by the across different media applications. to support marketing programs decline of NSW tourism expenditure Activities include TV, print and and market development for against other calls on household online advertising, hosting visiting touring, Indigenous tourism, income. Factors behind this trend media and destination publicity food and wine, nature, luxury include the growing level of private activities, as well as digital and backpacking household debt, a strong Australian marketing (www.visitnsw.com the Visitor Services program dollar, high petrol and transport prices and www.sydney.com) linked › includes the administration and competition from other holiday to marketing campaign activities. of the Visitor Information Centre and travel destinations, both within The Regional Flagship Events quality assurance program, state Australia and overseas. Program supports events with tourism potential in regional New South Wales Domestic visitors and nights › the International Tourism Marketing and Communications program promotes Sydney and regional Millions New South Wales to overseas 24.2 target markets. Initiatives include 2007–08 82.2 consumer communications, hosting visiting media to generate 2006–07 24.7 destination coverage and digital 84.9 marketing. Communications activities are underpinned by 2005–06 24.2 strong public relations campaigns 83.8 through mainstream and travel industry media to generate positive 2004–05 24.7 media coverage for Sydney and 87.1 New South Wales. The program also involves conducting extensive 2003–04 26.4 activities with the travel trade, 88.6 including education and familiarisations to inform Visitors Nights

NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT ANNUAL REPORT 2007-2008 53 Domestic tourism figures for the The top five geographic source Industry and consumer marketing year ending 30 June 2008 show markets in terms of visitor numbers has also changed in recent years. that New South Wales received remain the traditional, English- There has been a rapid increase in more domestic visitors who stayed speaking markets of the United the use of the internet, with almost overnight than any other state, with Kingdom (14 per cent), New Zealand three quarters of the Australian 24.2 million domestic overnight (13 per cent) and the United States population having access at work visitors, although this figure is less (10 per cent), plus China and Japan. or home. Globally the greater use than the previous year. In the last couple of years Japan has of the internet has encouraged a slipped to fifth place behind China higher incidence of online travel International markets (9 per cent). research and bookings, which affects the way tourism needs to be Most of the recent growth According to the Tourism Forecasting experienced in tourism in New marketed. Tourism NSW has adjusted Council (Forecast, August 2008), its marketing programs accordingly. South Wales has been driven from international visitors to Australia are international source markets. expected to increase at a compound In the year ended 30 June 2008 annual rate of 4.4 per cent over the Major Achievements New South Wales received more period 2007 to 2017 to reach 8.7 international visitors than any million in 2017. Over the same period, other state. There were 2.8 million domestic tourism trips are forecast Market the strengths international visitors to New South to grow at an annual average rate of Sydney and New Wales, a share of 54 per cent of of 1.4 per cent. South Wales visitors to Australia. International In terms of the future operating Through marketing and visitors spent 56.9 million nights in environment, there are a number communication activities, Tourism New South Wales, a share of 35 per of challenges which will impact NSW works to increase the demand cent of total nights in Australia. on travel and tourism expenditure for NSW tourism experiences, which in New South Wales. Issues include in turn drives business, investment the rising cost of fuel and energy and jobs growth. The Division and the pressure on households continues to invest in digital from increased interest rates, which communications activities to enhance all impact on the discretionary income its presence online with its consumer available for holiday travel. Other websites, www.visitnsw.com and issues include the value of the www.sydney.com. Australian dollar as well as skills shortages impacting on the industry. In 2007–08 Tourism NSW attracted 2.8 million visitors to its consumer websites, exceeding the 2 million visitor target. Traffic to the websites generated more than 395,000 leads to tourism products, representing International visitors and nights an increase of 130 per cent over the target for 2007–08. The extent of the Division’s marketing Millions activities is increased by leveraging partnerships with industry operators 2.8 2007–08 and commercial alliances. In 2007–08 56.9 Tourism NSW continued strategic 2.8 alliances with News Limited and 2006–07 the Seven Group. These alliances 58.7 contributed to the promotion of a range of holiday experiences 2005–06 2.7 52.2 in New South Wales to domestic holiday makers, with a campaign 2004–05 2.8 that delivered a total media value 48 of $20 million. Over $13 million of this was delivered through the alliance with News Ltd and the 2003–04 2.6 45.8 Seven Network. As a result, more than 14 million Australians were reached through News Limited’s Visitors Nights publications and 9.6 million through Channel Seven’s television network during the campaign.

54 ANNUAL REPORT 2007-2008 NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT Domestic tourism marketing Marketing regional Marketing Sydney and communications New South Wales Advertising campaigns for Sydney In 2007–08 television advertising Tourism NSW marketing activity highlighted the events, festivals and promoting holidays in New South focused on promoting destinations activities that were held in the city Wales reached more than 9.6 million within the seven key zones, during autumn, winter and summer people, on average more than these were: 2007–08. 21 times. This represents a slight increase over 2006–07. Magazine › North Coast The campaigns featured innovative and newspaper advertising reached › South Coast partnerships, including the launch more than 15 million people, on of a $1.3 million City of Celebrations › Outback NSW campaign from September 2007 average 23 times, compared to Heart of Country 14.6 million the previous year. › to March 2008 to promote Sydney › Lord Howe Island to domestic visitors, as part of its Tourism NSW worked with Snowy Mountains branding program. A total of 50 168 tourism industry partners › industry partners invested in this on marketing and promotional › Sydney’s Surrounds. campaign, together with a number activities throughout 2007–08. In Integrated marketing campaigns, of Sydney celebrities from the arts, addition, the Division developed and including television, print and public theatre, food and fashion industries. secured non-traditional marketing relations, were developed for regional This was followed by a $1.2 million partnerships to leverage destination New South Wales, as well as initiatives domestic marketing campaign in April marketing and promotional activities that increased focused on online 2008 designed to showcase Sydney’s with the following partners: marketing. These included brand calendar of events in dining, fashion and the visual arts. This Tourism › the Wiggles and tactical initiatives, with partners contributing to components of NSW-led campaign was supported › Subaru the campaign. by more than 45 industry partners. › MBF These partnerships resulted in more Public relations activity for regional McDonald’s than $1.5 million in cooperative › New South Wales campaigns investment, representing more than › Roads and Traffic included 10 group media visits double the anticipated cooperative Authority of NSW. across New South Wales attended revenue budget. by 42 journalists and more than 250 Tourism NSW conducted 40 A total of 980,500 unique users advertising campaigns for Sydney and individual media visits resulting in more than 1,200 destination stories visited the consumer website www. regional New South Wales, with more sydney.com, representing a 210 per than 100 partners contributing $6.5 promoted on television, newspapers, magazines and websites. cent increase on the previous year. million in cooperative investment. Traffic to the website generated An example is the APEC Bonus Long Tourism NSW received a gold award more than 105,000 leads directly to Weekend Getaway Campaign (7–9 in the Public Relations category of the Sydney tourism partners, a 100 per September 2007) for the APEC 2007 Pacific Asia Travel Association cent increase. Summit public holiday weekend, (PATA) Gold Awards for the Lord which encouraged Sydneysiders to Howe Island Spring 2006 campaign. The seasonal platforms also allowed spend up to $15 million in regional The campaign was developed to raise Tourism NSW to capitalise on Sydney’s New South Wales. In July 2008 this the island’s profile among specific year-round major events program, campaign won a Pacific Asia Travel target audiences and encourage constantly refreshing potential Association (PATA) Gold Award in the demand for the spring 2006 travel travellers’ ideas of the city, and Secondary Government Destination period. At the conclusion of the enticing new and repeat visitors. Marketing category. campaign, almost double the Public relations activity for Sydney Other activities included a presence campaign target of passenger campaigns included 90 media visits, at the Caravan and Camping shows numbers had visited the island and generating more than 850 destination in Melbourne, New South Wales the value of the publicity generated stories on television, newspapers, and Queensland, the creation and for Lord Howe Island reached more magazines and websites. than $2 million. distribution of a range of Sydney In April 2008 Tourism NSW and regional NSW arts, culture and coordinated a workshop for 30 event listings and food and wine Sydney precinct managers to present features for the Australian travel the results of research on awareness and lifestyle media. and interest in visiting Sydney’s tourism precincts among domestic markets. The Sydney precincts research was undertaken to investigate awareness and perceptions of 27 precincts / regions.

NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT ANNUAL REPORT 2007-2008 55 International tourism marketing distributors whilst enabling local Tourism NSW completed and and communications operators to gain feedback on launched a refreshed corporate Tourism NSW promotes Sydney the needs and expectations of website and a new online image and New South Wales across international visitors. library with improved design, content and useability. The redesigned site 13 key international markets and Comprehensive multilingual has offices in the following locations: provides the tourism industry with consumer websites were developed the latest state industry news and › Auckland and launched in seven languages, tools to help operators grow their including traditional and simplified London, covering Europe business. It features images, research › Chinese, Japanese, Korean, Italian, › Los Angeles data and the latest information on French and German. Tourism partnership programs for domestic › Tokyo NSW websites now cater for and international markets. The image › Singapore, covering South Asia 15 international markets. library provides more than 9,000 › Hong Kong, covering North Asia. Tourism NSW also participated in photographic images that can be strategic trade events and consumer searched and downloaded by media Tourism NSW focuses on strongly holiday shows and expos in Australia, and tourism stakeholders. representing the State in the Asia, Europe and the United States. More than 150 research fact sheets marketing activities of Tourism Events included the following: Australia, educating overseas travel were produced covering state wholesalers and retail travel agents › Australian Tourism tourism campaign zones and regional about the State’s tourism products Exchange in Perth snapshots. These snapshots provide a and experiences and developing › G’Day USA profile of domestic overnight visitors, and brokering partnerships with domestic day visitors and international Pacific Asia Travel Association the tourism industry in each market. › visitors for each tourism region and Travel Mart in Malaysia for the State. Marketing Sydney overseas › Arabian Travel Mart in the Gulf countries Tourism NSW chairs the Tourism In 2007–08 there were 12 NSW Industry Forum, which promotes Missions to Market. Through a range › OzTalk in New Zealand. collaboration and communication of activities, they enabled more than The Focus on India program was between industry associations, 75 industry participants to establish held in August 2007 to harness relevant government stakeholders relationships with major travel demand from this growing market. and Tourism NSW. The forum, distribution partners in emerging The program included hosting some which comprises 48 associations international markets. Tourism NSW of the top Indian travel distributors and government bodies with a was represented at more than 40 to take part in familiarisation tours tourism focus, addresses industry international trade and consumer of Sydney. It also comprised issues and opportunities and meets shows to promote the distribution workshops with 80 NSW tourism every two months. of NSW tourism products in key businesses where experts provided The Annual NSW Tourism Awards overseas markets. This is an increase advice on working with the Indian over 2006–07, when the Division led are undertaken in conjunction with market and one-on-one business the Tourism Industry Council NSW seven NSW Missions to Market with meetings. The visit coincided with the a total of 56 industry participants. and are a submission and inspection- red carpet preview of the Bollywood based competition for tourism A wide range of tactical promotions film Heyy Babyy, a production assisted businesses and industry suppliers. in target markets occurred throughout by the Department. The awards acknowledge tourism the year. An example is the $570,000 Throughout 2007–08 Tourism businesses that have demonstrated Summer in Sydney print, radio and NSW provided input and guidance outstanding achievement and success online marketing campaign held to the World Youth Day Coordination throughout the year. In 2007 there as part of the Sydney Festival Authority for World Youth Day was an increase in entries to 204, promotion in the United Kingdom. 2008. This event provided an compared to 168 the previous year, The campaign ran from September excellent opportunity to showcase and 32 winners, along with nine 2007 to January 2008 to attract Sydney and New South Wales Awards of Distinction and seven visitors from the United Kingdom to an international audience. Encouragement Awards. Around and Ireland, New South Wales’ 750 industry representatives largest international source markets. Supporting the NSW attended the awards dinner The campaign included a 44-page tourism industry and presentation evening. guide distributed to 330,000 households through a partnership Strategy and insights During the year Tourism NSW with The Times newspaper. Tourism NSW’ weekly newsletter, identified strategic opportunities Insights, is distributed electronically to for New South Wales in the areas Tourism NSW co-sponsored the more than 4,200 registered contacts, of surfing, culture and golf. Tourism Australian Tourism Export Council’s keeping the NSW tourism industry NSW continued to implement symposium held in the Hunter region. informed about NSW government strategic plans for nature tourism, The event provided an opportunity to tourism support and the upcoming cruising, aviation, Aboriginal culture showcase new tourism developments opportunities for industry operators. and Sydney tourism precincts. in the region to international travel

56 ANNUAL REPORT 2007-2008 NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT Work also continued in the areas of Industry and destination services development and received the industry standards and accreditation, Destination Development workshops StartSmart guide, which helps sustainable business practices bring together Tourism NSW businesses and local government and climate change impacts representatives, regional tourism understand tourism operations. and investment opportunities organisations and local tourism in tourism ventures. Regional Tourism Organisations operators to discuss ways to increase (RTOs) are independent, incorporated In August 2007 following a jointly the visitor appeal of their destinations. organisations which have been sponsored research project conducted Workshops help operators identify established to provide effective by the University of Technology key experiences and attractions that regional coordination and Sydney, Tourism NSW developed potential visitors expect to find at administration of the tourism a prototype for an accessibility each destination and then match industry. Under the Regional Tourism website (www.sydneyforall.com) consumer needs. Workshops in 2007 Investment Program Agreement aimed at assisting people with access were conducted in Bathurst, Parkes, administered by Tourism NSW, RTOs needs to find suitable destination Dubbo and Gilgandra and were undertake to market their nominated experiences around Sydney. The run in partnership with the Central region of New South Wales and prototype was designed to meet NSW Regional Tourism Organisation. foster development to benefit their international W3C Web Accessibility With guidance from Tourism NSW, members, the industry and the Standards and will be user tested in participants developed shared action wider community. There are currently the first half of 2008–09. plans for tourism marketing and 13 RTOs in NSW as listed below:

Regional Tourism Organisations 1 Blue Mountains Regional Tourism Organisation 2 Capital Country Regional Tourism Organisation 3 Central Coast Regional Tourism Organisation 4 Central NSW Regional Tourism Organisation 5 Hunter Regional Tourism Organisation 6 Lord Howe Island Regional Tourism Organisation 7 New England North West Regional Tourism Organisation 8 Mid North Coast Regional Tourism Organisation 9 Northern Rivers Regional Tourism Organisation 10 Outback NSW Regional Tourism Organisation 11 Riverina Regional Tourism Organisation 12 Snowy Regional Tourism Organisation 13 South Coast Regional Tourism Organisation

NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT ANNUAL REPORT 2007-2008 57 The annual Local Government and the State. The network consists of related volunteer program to the City Shires Association Tourism Conference 172 accredited centres in New South of Sydney. The visitor centre at Sydney sponsored by Tourism NSW took place Wales and is marketed through a Airport was closed on 19 May 2008. in Lismore in March 2008. More than range of initiatives aimed to raise 200 participants took part and 30 consumer awareness of the italicised 2007–08 marked the end of the industry experts and practitioners yellow ‘i’ on a blue background, with Traineeship Program conducted by presented to the conference on the the slogan of ‘i … will take you there’. Tourism NSW, which had provided central theme of ‘Partnerships in work in visitor services and other Tourism’. While convening a session, Recently the tourism industry has areas in the Division for 21 trainees Tourism NSW encouraged local witnessed a dramatic increase in who combined this experience with government to access the expertise online travel research and bookings. study at TAFE NSW. and market intelligence of the Tourism NSW therefore provides a vast amount of information through In a joint initiative with the NSW organisation in order to develop Roads and Traffic Authority, Tourism and promote their destinations. the www.visitnsw.com website. With visitors able to access tourist NSW released new signposting information at visitor centres in The guidelines and simplified procedures Visitor services Rocks and Darling Harbour run by the which allow the NSW tourism industry Tourism NSW continued to manage Sydney Harbour Foreshore Authority, to apply for the brown and white the Visitor Information Centre this year saw the transfer of visitor tourist signs on NSW roads. Network Accreditation Program across kiosks located in the city and the

Case Study

Hunter Region Disaster Relief Campaign (August–September 2007)

Following flooding in the Hunter The Hunter Region Disaster Relief Post-campaign results indicated that during the Queen’s birthday long Campaign promoted five Hunter there was an increase of 14.1 per weekend, the region was declared destinations, the Hunter Valley, cent in occupancy in the Hunter Valley a natural disaster zone. To address Newcastle, Barrington Tops, Lake during September and an increase the negative effect on consumer Macquarie and the Upper Hunter. of 12.5 per cent in October compared perceptions of the Hunter, Tourism Tourism NSW worked with the Hunter to the same periods in 2006. NSW launched a $600,000 disaster Regional Tourism Organisation to relief campaign, The Hunter Region implement the campaign. The Disaster Relief Campaign. This campaign ran for five weeks from campaign, which was funded by state 19 August 2007 and consisted of TV, and federal governments, aimed to print, magazine and online advertising drive tourism visitation back to the targeting the Sydney and regional area and declared that the Hunter New South Wales’ source markets. Region was ‘open for business’.

58 ANNUAL REPORT 2007-2008 NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT Communications, Innovation, International Business Relations, Retail Tenancy Communications

Nature and Scope NSW Government to sell the State’s located in the Department. The of Activities strengths as the foremost Asia Pacific campaign included advertising in business, investment and research major newspapers in metropolitan The Communications Unit is the location. A public relations program locations to promote the availability Department’s marketing and yielded extensive media coverage of ethanol during October and communications centre. The Unit on the State’s strengths in the November 2007. Brochures were is responsible for developing and life sciences and NSW companies also produced and media releases implementing corporate marketing Fermiscan, Seagull Technology, prepared for metropolitan and and media strategies to promote the Special Phage Holdings and Novotech. regional media. business strengths of Sydney and New The Unit, in conjunction with Tourism South Wales, within Australia and Media NSW, supported the NSW Premier internationally, and for supporting A media highlight was the departmental operations. led missions to China and India, and devised and produced a range announcement of V Australia’s new The Unit provides strategic advice of branding collateral and managed operational headquarters in Sydney and assistance to all divisions on an extensive public relations program, which will create 1,000 new jobs. media, marketing, advertising, events including targeted news releases, NSW Wine Week again received and sponsorships. It works closely resulting in solid media coverage. strong national and international with the Tourism NSW marketing The www.sydneyaustralia.com coverage, as did the Regional Food and communications team to leverage website was updated and launched Tour and the inaugural Boutique Beer and promote key international events. as the key online information resource and Wine Tour. The Building Regional The Unit prepares media releases, for those wanting to invest, live, Towns Tour also received good speeches, website materials and study or visit Sydney. coverage in regional media. writes or edits all publications. In addition, it develops communication Another key international event Sydney’s international reputation strategies including public relations, was Australia Week, or G’Day USA, as a creative industries hub was advertising and online marketing. involving key events promoting highlighted with the announcement The team manages the content and Sydney. The Department promoted that Animal Logic — creators of presentation of the main business Sydney as part of its branding Happy Feet — would produce a and www.sydneyaustralia.com program and a series of Sydney new film, Guardians of Ga’Hoole, websites, ensures brand consistency Ambassadors were announced. and increase its digital workforce. and manages production of Sydney was again voted the ‘number The Department strengthened marketing collateral on behalf one city brand in the world’ in the its relationship with the Foreign of the Department. annual Anholt City Brands Index. Correspondents’ Association and The Unit also manages the NSW Trade The city was ranked ahead of London, conducted a tour of regional and Investment Centre and Country Paris, Rome and New York and New South Wales with five foreign Embassy, the NSW Government’s ranked top in the categories for journalists preparing a series of principal business function centre. beauty, climate and friendliness. articles, including Chinese and To leverage the announcement, German language articles, and French the communications team managed and Brazilian broadcast segments. Major Achievements a media campaign and promoted Two foreign correspondents the award online through website attended the Community Economic clips and direct email to key Development Conference in the Market the strengths international clients. Murray region town of Moama. of Sydney and New South Wales A key international event that During the year the media unit placed Sydney at the centre of the prepared 640 media releases, The Unit coordinated a range world stage was the APEC meeting, 300 speeches and messages and of international activities to held in September 2007. APEC managed 240 media inquiries. The promote Sydney and New attracted a large number of high-level total number of media releases was South Wales internationally. international visitors from 21 countries less than the previous year due to — Sydney was promoted through greater consolidation of stories and The Minister for Science and events, marketing collateral and stronger links to key events and visits. Medical Research, Verity Firth, media liaison activities. There were, however, increases in led a 100-strong NSW delegation media announcements associated to the world’s biggest biotechnology The Unit also developed an with the Office for Science and conference, BIO 2008, in San Diego information campaign to publicise Medical Research and international from 17–19 June. The conference the NSW Government’s two per cent media announcements linked to the was a vital opportunity for the NSW mandate on ethanol which came into Premier’s missions to India and China. life science industry to generate effect on 1 October, 2007 on behalf international business and for the of the Office of Biofuels, which is

60 ANNUAL REPORT 2007-2008 NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT Marketing development of a freight The Unit produced a large range Innovation › operators toolkit of publications and promotional materials. The Department’s New Nature and Scope › modelling of supply chains South Wales Competitiveness Report of Activities to determine major costs and 2008 was launched in May in both regulatory barriers to innovation The Unit was established to serve print and web format, with a mini a review of regulations in as the secretariat to the Innovation › Fast Facts brochure produced for the logistics industry that Council and to coordinate the international events. Another key impede innovation. implementation of the Innovation initiative was the production of Statement. The Director was the Premier’s mission directories Low Carbon Innovation Project appointed in November 2007 and containing information on Sydney A Low Carbon Innovation Project a small team formed in early 2008. and New South Wales, as well was initiated in partnership with as delegate profiles. The directories As the secretariat for the Innovation the NSW Department of Environment were distributed at events in India Council, the Unit provides briefings, and Climate Change. The project and China. issues papers and reports for the will investigate the drivers and council to consider and carries impediments to the possible The www.business.nsw.gov.au forward its recommendations take-up of low carbon technologies website continued to improve, to Government. Following its and processes and identify experiencing a 36 per cent increase establishment in September 2007, government actions. in visits compared to the previous four Innovation Council meetings year. E-newsletters continue to were held in 2007–08. be important in promoting the Creative industries Department’s activities and The Innovation Unit works with other New South Wales leads the nation subscriptions remained strong. divisions to expand the Department’s in the creative industries with www.sydneyaustralia.com was programs and policies to better reflect 39 per cent of the nation’s creative redeveloped as an international the NSW Government’s innovation businesses. An analysis of the business gateway to the State objectives and to provide improved economic fundamentals of the NSW and launched by the Premier to support to enterprises operating creative industries was completed. overseas markets. in the five key innovation sectors The report builds an evidence base identified in the Innovation to assess the industry and its Trade and Investment Centre Statement. The five key sectors are: importance to the broader NSW economy. The report will be presented The NSW Trade and Investment Centre logistics to the Innovation Council in early had an extremely busy year, reflecting › 2008–09 to drive support of the the popularity of the new premises on › financial services creative industries. level 47 of the MLC Centre, as well as › creative industries increased activity across the portfolio. › manufacturing Develop an attractive More than 600 additional events › resources (coal). business environment were held in 2007–08 compared to The Unit has also been working with 2006–07, taking the total number Broadband roll out other NSW government departments of events to 2,738. The Centre also The Innovation Unit worked with to implement and advance the NSW hosted an additional 4,000 visitors the NSW Department of Commerce Government’s Innovation Strategy, (37,332 compared with 33,502 in to prepare the NSW Government’s including the departments of 2006–07). The Centre is now playing position for the Commonwealth Commerce, Environment and Climate a major part in promoting NSW Government’s roll out of high-speed, Change, Education and Training, produce by featuring NSW Royal open-access broadband to 98 per Premier and Cabinet, Primary Easter Show award-winning food cent of the national population. Industries and Arts NSW. and wine in its menus. A submission has been made to the National Expert Panel. Key events hosted during the year included the Foreign Correspondents’ Major Achievements Association luncheon series, the Market the strengths sixth annual Cool Climate Indulgence Increase business of Sydney and New Dinner featuring produce and South Wales wine from the Orange region and competitiveness international delegations from Logistics Financial services sector In accordance with the commitment China, Germany, the Czech Republic, The Department completed a key made in the Innovation Statement, Canada, the Philippines and Brazil. report into the NSW logistics sector, options for establishing an Institute The Centre hosted 30 events during Path to Innovation: Innovation in of Advanced Finance in Sydney are Small Business September 2007 the NSW Freight Logistics Industry. under consideration. attended by 1,500 people. The council approved the following key recommendations:

NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT ANNUAL REPORT 2007-2008 61 In May 2008 a report was commissioned from McKinsey & Co International › the approval of a Chinese foreign on ways to enhance Sydney’s position exchange licence for Westpac as a financial services centre. The Business › the signing of a memorandum of report will be presented to the Relations understanding on Asian Games Innovation Council during 2008–09. Cooperation and a Friendship Cooperation Agreement between The Department contributed to the Nature and Scope New South Wales and Shanghai. preparation of the Financial Services of Activities Hub Summit, held jointly by the NSW Premier’s visit to India, and Commonwealth governments The Department, through the November 2007 on 31 July 2008, to consider ways International Business Relations Unit, › new investments in New South to promote Australia (and Sydney in coordinates whole-of-government Wales by major Indian corporates, particular) as a financial services hub. marketing of Sydney and New South Wipro and Rolta Wales in key international markets. › the signing of a number of The Unit manages missions led by university partnerships, including Support science, the Premier and other Ministers, a research and innovation one between the University network of Sydney Ambassadors of NSW and the Energy and Submission to the National and international partner Resources Institute in New Delhi. Innovation Systems Review organisations and the website, www.sydneyaustralia.com. The During the year there were 12 official The Commonwealth Government International Business Relations NSW government delegations to announced in early 2008 that it would Program provides networking and international destinations. These be undertaking a review of national promotional opportunities in key included visits to the United States, innovation systems and called for international markets for NSW Europe, China, India and United submissions from interested parties. business, universities and other Arab Emirates by various Ministers. In The NSW Government’s submission partners and provides advice to addition, Her Excellency the Governor was prepared by the Innovation Unit. the NSW Government on the of New South Wales made an official The main features of the NSW international business environment. visit to Indonesia. The Department submission include: supported these delegations through the organisation of visit programs › a statement on the NSW Major Achievements and the preparation of country and approach to innovation which is program briefs. contemporary and practical and reflects the characteristics of the Market the strengths Sister state relations were NSW economy of Sydney and New strengthened during the year through › an argument supporting an South Wales a number of events, including the expanded view of innovation which Governor’s visit to Indonesia as a Highlights of the year were the advocates a stronger focus on guest of the Governor of Jakarta Premier’s visits to China and India, improving productivity in industries Province and the reception of an accompanied by large delegations that are most likely to produce energy-focussed delegation from of business and university leaders. benefits for the broader economy North Rhine Westphalia, Germany. Major outcomes included: The 22nd NSW–Guangdong Joint › recognition of the need to Economic Meeting was held in Premier’s visit to China, develop an evidence-based Guangzhou under the auspices November 2007 approach to innovation of the NSW–Guangdong Sister State › a statement on the need to › the establishment of a tourism Relationship, now in its 29th year. introduce best practice guidelines promotion partnership between for government procurement China Unionpay and Tourism NSW The Department coordinated NSW for innovation and the opening of an Australian participation in Australia Week 2008 wine import centre promotional activities in the United › recognition of the need to › the establishment of Guangdong- States and the business program introduce regulatory measures to of the Sydney-based United States promote and encourage innovation NSW University Presidents’ Forum and formation of a joint chair Studies Centre. The United States › a call for public sector innovation in Traditional Chinese Medicine is a priority market for New South to be recognised as a key between the University of Sydney Wales and is the leading source foundation for change, and Sun Yat Sen University. of foreign direct investment in the including through enhanced State. The Department maintains in-house expertise and effective Premier’s visit to China, engagement with US businesses risk management. May 2008 and other networks to build business › the establishment of a mobile relationships and to promote telecommunications centre by investment and visitation. Huawei and announcement of the opening of a Sydney branch office of the Industrial and Commercial Bank of China in Sydney

62 ANNUAL REPORT 2007-2008 NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT The State’s capabilities were promoted to 23 official international delegations Retail Tenancy Major achievements from countries including China, Japan, Indonesia, Malaysia, India, Malta, Nature and Scope Develop an attractive Italy, Romania, FYR Macedonia, of Activities business environment Brazil, Saudi Arabia, South Africa and Canada. The Retail Tenancy Unit carries out Since the introduction of the Retail the functions of the Registrar of Bond Lodgement Scheme, the Unit During the year the Unit provided Retail Tenancy Disputes set out has handled an increasing number advice to the Premier and Ministers in the Retail Leases Act 1994. of bond disputes. During the year for 30 high-level meetings the Unit received 170 applications The Unit provides advice to the with international visitors and for resolution of bond disputes. retail leasing industry to assist accompanying delegations from 12 In the same period the Unit received the resolution of retail shop lease countries. These included multiple 316 applications for mediation of disputes at an early stage to help delegations from China and India. retail lease disputes, making a total avoid a dispute from escalating. of 476 matters. The Unit achieved Heads of government who visited When a dispute requires higher-level resolution in four out of every Sydney for the APEC Leaders Meeting intervention, the Unit arranges five applications for mediation. during September as guests of the formal mediation to give the parties Australian Government were hosted in dispute an opportunity to reach The Unit responded to 6,875 enquires by the NSW Government, including a resolution in a timely and cost- this year. This is down from the record President Hu Jintao of China. The effective manner. These services number of 8,332 inquiries in 2005–06 Unit assisted the NSW Office of are provided to retailers, landlords, and reflects increasing industry Protocol and Special Events with real estate agents, solicitors and familiarity and compliance with the the organisation of visit programs industry advisors. requirements of the bond scheme. and hospitality. Under the Act, parties must Amendments to the Retail Leases Act In November 2007 the Premier attempt mediation before their introduced in 2006 require lessors announced that the NSW Government matter can proceed to a court or the to give tenants a copy of the Retail would appoint high-profile individuals Administrative Decisions Tribunal for Tenant’s Guide, which was produced with extensive networks to promote determination. The Unit assists parties by the Unit and is available in several New South Wales in key international who are in dispute about the return of community languages. This year the markets as honorary Sydney a bond lodged under the Retail Bond Unit developed and produced the Ambassadors. To date 14 Lodgement Scheme and obligations Information Kit for Retail Tenants. Ambassadors have been appointed or liabilities under a retail shop lease. This kit helps lessees better for China, India and the United States. understand their lease obligations. The multilingual www.sydneyaustralia. It is available as a CD-ROM and deals com website was developed to with all the steps from negotiating promote investment and visitation lease conditions through to the end to New South Wales. The website of the lease. The information kit includes a portal for the education also helps lessees deal with business sector and information about the planning, understanding leasing costs Sydney and NSW lifestyle, leveraging and dispute negotiation. the strong Sydney brand. The enhanced site was officially launched by the Premier on his mission to China and India in November 2007.

NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT ANNUAL REPORT 2007-2008 63 Audited Financial Statements DepartmentNotes to theof FinancialState and Statements Regional Development for the Year Ended 30 June 2008 Financial Report for the year ended 30 June 2008

NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT ANNUAL REPORT 2007-2008 65 Department of State and Regional Development Independent Auditor’s Report

66 ANNUAL REPORT 2007-2008 NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT Department of State and Regional Development Statement by the Director General

NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT ANNUAL REPORT 2007-2008 67 Department of State and Regional Development Financial Statements

Operating Statement for the Year Ended 30 June 2008

Actual Budget Actual 2008 2008 2007 Notes $’000 $’000 $’000 Expenses excluding losses Operating expenses Employee related 2(a) 44,672 48,110 44,197 Other operating expenses 2(b) 23,137 20,371 26,281 Depreciation and amortisation 2(c) 1,710 1,368 1,709 Grants and subsidies 2(d) 54,687 61,634 64,300 Other expenses 2(e) 50,250 44,773 45,344 Total Expenses excluding losses 174,456 176,256 181,831 Revenue Sale of goods and services 3(a) 605 1,023 587 Investment revenue 3(b) 809 2,283 1,461 Grants and contributions 3(c) 7,791 5,567 5,693 Other revenue 3(d) 3,841 524 2,263 Total Revenue 13,046 9,397 10,004 Gain / (loss) on disposal 4 (75) - (30) Other gains / (losses) 5 (411) - (74) Net Cost of Services 24 161,896 166,859 171,931 Government Contributions Recurrent appropriation 6 160,423 162,063 171,855 Capital appropriation 6 413 413 1,624 Acceptance by the Crown Entity of 7 1,856 3,128 3,244 employee benefits and other liabilities Total Government Contributions 162,692 165,604 176,723 SURPLUS / (DEFICIT) FOR THE YEAR 796 (1,255) 4,792

The accompanying notes form part of these financial statements.

68 ANNUAL REPORT 2007-2008 NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT Department of State and Regional Development Financial Statements

Statement of Recognised Income and Expense for the Year Ended 30 June 2008

Actual Budget Actual 2008 2008 2007 Notes $’000 $’000 $’000 TOTAL INCOME AND EXPENSE - -- RECOGNISED DIRECTLY IN EQUITY Surplus / (Deficit) for the year 796 (1,255) 4,792 TOTAL INCOME AND EXPENSE 19 796 (1,255) 4,792 RECOGNISED FOR THE YEAR Accumulated Funds - -- 796 (1,255) 4,792

The accompanying notes form part of these financial statements.

NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT ANNUAL REPORT 2007-2008 69 Department of State and Regional Development Financial Statements

BalanceNotes to Sheetthe Financial Statements foras at the 30 Year June Ended 2008 30 June 2008

Actual Budget Actual 2008 2008 2007 Notes $’000 $’000 $’000 ASSETS Current Assets Cash and cash equivalents 10 26,103 20,794 21,872 Receivables 11 8,837 8,390 8,386 Non current assets held for sale 15 44 44 - Total Current Assets 34,984 29,228 30,258 Non Current Assets Financial assets at fair value 12 - 415 459 Property plant and equipment Plant and Equipment 13 5,667 5,580 6,411 Intangible assets 14 642 655 779 Total Non Current Assets 6,309 6,650 7,649 Total Assets 41,293 35,878 37,907 LIABILITIES Current Liabilities Payables 16 7,685 3,712 4,488 Provisions 17 4,588 4,841 4,841 Other 18 254 592 592 Total Current Liabilities 12,527 9,145 9,921 Non Current Liabilities Provisions 17 955 806 804 Other 18 473 640 640 Total Non Current Liabilities 1,428 1,446 1,444 Total Liabilities 13,955 10,591 11,365 Net Assets 27,338 25,287 26,542 EQUITY Accumulated funds 19 27,338 25,287 26,542 Total Equity 27,338 25,287 26,542

The accompanying notes form part of these financial statements.

70 ANNUAL REPORT 2007-2008 NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT Department of State and Regional Development Financial Statements

Cash Flow Statement for the Year Ended 30 June 2008

Actual Budget Actual 2008 2008 2007 Notes $’000 $’000 $’000 CASH FLOWS FROM OPERATING ACTIVITIES Payments Employee related (42,635) (44,925) (41,520) Grants and subsidies (73,228) (66,634) (62,292) Other (64,270) (68,885) (87,956) Total Payments (180,133) (180,444) (191,768) Receipts Sale of goods and services 2,100 1,023 700 Interest received 1,213 2,283 1,345 Other 21,139 13,997 21,272 Total Receipts 24,452 17,303 23,317 Cash Flows From Government Recurrent appropriation 6 160,423 162,063 171,855 Capital appropriation (excluding equity appropriations) 6 413 413 1,624 Net Cash Flows From Government 160,836 162,476 173,479 NET CASH FLOWS FROM OPERATING ACTIVITIES 24 5,155 (665) 5,028 CASH FLOWS FROM INVESTING ACTIVITIES Proceeds from sale of Plant and Equipment 3 - 15 Advance repayments received - -- Purchases of Plant and Equipment (927) (413) (3,245) NET CASH FLOWS FROM INVESTING ACTIVITIES (924) (413) (3,230) CASH FLOWS FROM FINANCING ACTIVITIES Repayment of borrowings and advances - -- NET INCREASE / (DECREASE) IN CASH 4,231 (1,078) 1,798 Opening cash and cash equivalents 21,872 21,872 20,105 Cash transferred in (out) as a result 20 - - (31) of administrative restructuring CLOSING CASH AND CASH EQUIVALENTS 10 26,103 20,794 21,872

The accompanying notes form part of these financial statements.

NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT ANNUAL REPORT 2007-2008 71 Department of State and Regional Development Financial Statements

SupplementaryNotes to the Financial Financial Statements Statements forProgram the Year Statement Ended 30 — JuneExpenses 2008 and Revenues for the Year Ended 30 June 2008

Program 1 — Program 2 — Program 3 — Development of Development Science and the New South of the Tourism Medical Wales Economy* Industry* Research* Not Attributable Total AGENCY’S EXPENSES 2008 2007 2008 2007 2008 2007 2008 2007 2008 2007 AND REVENUES $’000 $’000 $’000 $’000 $’000 $’000 $’000 $’000 $’000 $’000 Expenses excluding losses Operating expenses Employee related 44,672 28,780 - 13,211 - 2,206 - - 44,672 44,197 Total operating expenses 23,137 21,404 - 4,184 - 693 - - 23,137 26,281 Depreciation and amortisation 1,710 1,035 - 430 - 244 - - 1,710 1,709 Grants and subsidies 54,687 23,790 - 6,233 - 34,752 - - 54,687 64,775 Other expenses 50,250 17,850 - 24,257 - 2,762 - - 50,250 44,869 Total expenses 174,456 92,859 - 48,315 - 40,657 - - 174,456 181,831 excluding losses Revenue Sale of goods and services 605 91 - 496 - - - - 605 587 Investment revenue 809 1,454 - 7 - - - - 809 1,461 Grants and Contributions 7,791 783 - 4,895 - 15 - - 7,791 5,693 Other revenue 3,841 442 - 1,781 - 40 - - 3,841 2,263 Total Revenue 13,046 2,770 - 7,179 - 55 - - 13,046 10,004 Gain / (loss) on disposal (75) (30) ------(75) (30) Other gains / (losses) (411) (74) ------(411) (74) Net Cost of Services 161,896 90,193 - 41,136 - 40,602 - - 161,896 171,931 Government contributions ** 162,692 176,723 162,692 176,723 NET EXPENDITURE / 161,896 90,193 - 41,136 - 40,602 (162,692) (176,723) (796) (4,792) (REVENUE) FOR THE YEAR

* The Department’s program structure was consolidated in 2007–2008 with the adoption of one Program “Development of the New South Wales Economy”. Comparative figures for 2006–2007 include financial data for program structures reported in that year. ** Appropriations are made on an agency basis and not to individual programs. Consequently, government contributions must be included in the ‘Not Attributable’ column.

72 ANNUAL REPORT 2007-2008 NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT Department of State and Regional Development Financial Statements

Summary of Compliance with Financial Directives for the Year Ended 30 June 2008

2008 2007 Fund Fund Fund Fund Capital Capital Recurrent Recurrent Net Claim on Net Claim on Net Claim on Net Claim on Consolidated Consolidated Consolidated Consolidated Expenditure / Expenditure / Expenditure / Expenditure / Appropriation Appropriation Appropriation Appropriation $’000 $’000 $’000 $’000 $’000 $’000 $’000 $’000 ORIGINAL BUDGET APPROPRIATION / EXPENDITURE – Appropriation Act 167,713 151,296 413 413 168,023 163,498 1,667 1,367 – Additional Appropriations ------257 257 – s24 PF&AA — transfers of ----(217) (217) - - functions between departments 167,713 151,296 413 413 167,806 163,281 1,924 1,624 OTHER APPROPRIATIONS / EXPENDITURE – Treasurer’s Advance 9,800 9,800 - - 11,600 11,600 - - – Section 22 — expenditure 300 ------for certain works and services – Transfers to / from another agency 176 176 - - (35) (35) - - (s24 of the Appropriation Act) – Transfers to / from another agency (10,058) ------(s32 of the Appropriation Act)** 218 9,976 - - 11,565 11,565 - - Total Appropriations / Expenditure / Net Claim 167,931 161,272 413 413 179,371 174,846 1,924 1,624 on Consolidated Fund (includes transfer payments) Amount drawn down 161,272 413 174,846 1,624 against Appropriation Liability to Consolidated Fund* - - --

The Summary of Compliance is based on the assumption that Consolidated Fund monies are spent first (except where otherwise identified or prescribed). *If there is a ‘’Liability to Consolidated Fund’’, the agency must state this represents the difference between the ‘’Amount drawn against Appropriation’’ and the ‘’Total Expenditure / Net Claim’’ on Consolidated Fund’’. ** The transfer includes the funding of Major Events Unit to the Department of Premier and Cabinet

NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT ANNUAL REPORT 2007-2008 73 Department of State and Regional Development Financial Statements

Notes to the Financial Statements for the Year Ended 30 June 2008

control over the assets comprising 1 Summary of Significant applicable Australian Accounting › the appropriations / contributions. Accounting Policies Standards (which include Control over appropriations and Australian Accounting contributions is normally obtained (a) Reporting entity Interpretations) upon the receipt of cash. The Department of State and › the requirements of the Public Regional Development (hereafter the Finance and Audit Act 1983 (ii) Sale of Goods “Department”) is a separate reporting and Regulation Revenue from the sale of entity. There are no other entities › the Financial Reporting Directions goods is recognised as revenue under its control. published in the Financial when the agency transfers the Reporting Code for Budget significant risks and rewards The Department is a NSW government of ownership of the assets. department. The Department is a not Dependent General Government for profit entity (as profit is not its Sector Agencies or issued by (iii) Rendering of services principal objective) and it has no cash the Treasurer. Revenue is recognised when the generating units. The reporting entity Property, plant and equipment and service is provided or by reference is consolidated as part of the NSW financial assets are measured at fair to the stage of completion (based Total State Sector Accounts. value. Other financial statement items on labour hours incurred to date). On 3 September, 2007 the NSW are prepared in accordance with the (iv) Investment revenue historical cost convention. Government formed the company Interest revenue is recognised Events New South Wales Pty Ltd to Judgements, key assumptions and using the effective interest attract and nurture events for NSW. estimations management has made method as set out in AASB The company took responsibility for are disclosed in the relevant notes 139 Financial Instruments: the functions and activities that were to the financial report. Recognition and Measurement. previously performed by the Major All amounts are rounded to the Events Unit of the Department. The (f) Employee benefits nearest one thousand dollars and company is responsible to the Premier. and other provisions Recurrent funding for the activities are expressed in Australian currency. previously undertaken by the Major (i) Salaries and wages, annual Events Unit was transferred to the (c) Statement of compliance leave, sick leave and on costs Department of Premier and Cabinet Liabilities for salaries and wages The financial statements and notes under Section 32 of the Appropriation (including non monetary benefits), comply with Australian Accounting Act 2007. annual leave and paid sick leave Standards, which include Australian that fall due wholly within 12 In accordance with the Public Accounting Interpretations. months of the reporting date Sector Employment and Management are recognised and measured (General) Order 2007, with effect (d) Administered activities in respect of employees’ services from 27 April 2007, four positions up to the reporting date at from the Department’s Investment The Department does not administer undiscounted amounts based on Division were transferred to the any activities on behalf of the the amounts expected to be paid Office of the Co ordinator General Crown Entity. when the liabilities are settled. in the Department of Premier and Cabinet. The related equity transfer (e) Income recognition Long term annual leave that is is in Note 20. Income is measured at the fair value not expected to be taken within twelve months is measured at The financial report for the year of the consideration or contribution present value in accordance with ended 30 June 2008 has been received or receivable. Additional AASB 119 Employee Benefits. authorised for issue by the Director comments regarding the accounting General on 20 October 2008. policies for the recognition of income Unused non vesting sick leave are discussed below. does not give rise to a liability (b) Basis of preparation (i) Parliamentary Appropriations as it is not considered probable that sick leave taken in the future The Department’s financial report and Contributions Except as specified below, will be greater than the benefits is a general purpose financial report accrued in the future. which has been prepared in parliamentary appropriations and accordance with: contributions from other bodies The outstanding amounts (including grants and donations) of payroll tax, workers’ are generally recognised as compensation insurance revenue when the agency obtains premiums and fringe benefits

74 ANNUAL REPORT 2007-2008 NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT Department of State and Regional Development Financial Statements

Notes to the Financial Statements for the Year Ended 30 June 2008

tax, which are consequential to (g) Insurance Assets acquired at no cost, or for employment, are recognised as nominal consideration, are initially liabilities and expenses where the The Department’s insurance activities recognised at their fair value at the employee benefits to which they are conducted through the NSW date of acquisition. relate have been recognised. Treasury Managed Fund Scheme of self insurance for Government Fair value is the amount for which an (ii) Long service leave agencies. The expense (premium) asset could be exchanged between and superannuation is determined by the Fund Manager knowledgeable, willing parties in an The Department’s liabilities for based on past claim experience. arm’s length transaction. long service leave and defined benefit superannuation are (h) Accounting for the Goods (j) Capitalisation thresholds assumed by the Crown Entity. and Services Tax (GST) Property, plant and equipment and The Department accounts for intangible assets costing $5,000 and the liability as having been Revenues, expenses and assets are above individually (or forming part of extinguished, resulting in the recognised net of the amount of GST, a network costing more than $5,000) amount assumed being shown as except that: are capitalised. part of the non monetary revenue › the amount of GST incurred by item described as ‘’Acceptance the Department as a purchaser (k) Revaluation of property, by the Crown Entity of employee that is not recoverable from plant and equipment benefits and other liabilities’’. the Australian Taxation Office Long service leave is measured is recognised as part of the cost As the Department does not own at present value in accordance of acquisition of an asset or Land, Building or Infrastructure assets, with AASB 119 Employee Benefits. as part of an item of expense it considers it not cost efficient to This is based on the application › receivables and payables are carry out a revaluation of physical non of certain factors (specified in stated with the amount of current assets every five years, unless NSWTC 07 / 04) to employees GST included. it becomes aware of any material with five or more years of service, difference in the carrying amount Cash flows are included in the cash of any class of assets. using current rates of pay. These flow statement on a gross basis. factors were determined based on However, the GST components of The Department’s assets are an actuarial review to approximate cash flows arising from investing short lived and it is considered by present value. and financing activities which is management that the written down The superannuation expense for recoverable from, or payable to, value of its non current assets would the financial year is determined the Australian Taxation Office are approximate their fair value. by using the formulae specified classified as operating cash flows. in the Treasurer’s Directions. (l) Impairment of property, The expense for certain (i) Acquisitions of assets plant and equipment superannuation schemes (ie The cost method of accounting is As a not for profit entity with no cash Basic Benefit and First State Super) used for the initial recording of all generating units, the Department is is calculated as a percentage of acquisitions of assets controlled by effectively exempted from AASB 136 the employees’ salary. For other the Department. Cost is the amount Impairment of Assets and impairment superannuation schemes (ie State of cash or cash equivalents paid or the testing. This is because AASB 136 Superannuation Scheme and fair value of the other consideration modifies the recoverable amount test State Authorities Superannuation given to acquire the asset at the time to the higher of fair value less costs to Scheme), the expense is calculated of its acquisition or construction sell and depreciated replacement cost. as a multiple of the employees’ or, where applicable, the amount This means that, for an asset already superannuation contributions. attributed to that asset when initially measured at fair value, impairment (iii) Other provisions recognised in accordance with the can only arise if selling costs are Other provisions exist when: requirements of other Australian material. Selling costs are regarded the Department has a present Accounting Standards. as immaterial. legal or constructive obligation as a result of a past event; it is probable that an outflow of resources will be required to settle the obligation; and a reliable estimate can be made of the amount of the obligation.

NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT ANNUAL REPORT 2007-2008 75 Department of State and Regional Development Financial Statements

Notes to the Financial Statements for the Year Ended 30 June 2008

(m) Depreciation of property, The useful lives of intangible Fair value through profit or loss plant and equipment assets are assessed to be finite. › — The Department subsequently Depreciation is provided for on a As there is no active market for measures investments classified as straight line basis for all depreciable the Department’s intangible assets, ‘’held for trading’’ or designated assets so as to write off the the assets are carried at cost less upon initial recognition ‘’at fair depreciable amount of each asset any accumulated amortisation. value through profit or loss’’ at as it is consumed over its useful fair value. Financial assets are Intangible assets are subsequently life to the Department. classified as ‘’held for trading’’ measured at fair value only if there if they are acquired for the is an active market. purpose of selling in the near Depreciation Rates % Rate The Department’s intangible assets term. Derivatives are also classified as held for trading. Gains or losses Plant & Equipment are amortised using the straight line method over a period of 4 years. on these assets are recognised in Office furniture the operating statement. In general, intangible assets are and fittings 10.00 Available for sale investments tested for impairment where an › — Any residual investments that Office equipment 14.28 indicator of impairment exists. do not fall into any other category However, as a not for profit entity Computer equipment are accounted for as available for with no cash generating units, the and software 25.00 sale investments and measured Department is effectively exempted at fair value directly in equity from impairment testing. Leasehold Over the until disposed or impaired, at improvement period of which time the cumulative gain the lease (r) Loans and receivables or loss previously recognised Loans and receivables are non in equity is recognised in the (n) Restoration Costs derivative financial assets with operating statement. However, fixed or determinable payments that interest calculated using the The estimated cost of dismantling effective interest method and and removing an asset and restoring are not quoted in an active market. These financial assets are recognised dividends are recognised in the the site is included in the cost of an operating statement. asset, to the extent it is recognised initially at fair value, usually based as a liability. on the transaction cost or face value. Subsequent measurement is at (t) Non current assets amortised cost using the effective (or disposal group) (o) Maintenance interest method, less an allowance held for sale for any impairment of receivables. Day to day servicing costs or The Department has certain non Any changes are accounted for in maintenance are charged as expenses current assets (or disposal groups) the Operating Statement when as incurred, except where they classified as held for sale, where their impaired, derecognised or through relate to the replacement of a part carrying amount will be recovered the amortisation process. or component of an asset, in which principally through a sale transaction, case the costs are capitalised Short term receivables with no stated not through continuing use. Non and depreciated. interest rate are measured at the current assets (or disposal groups) original invoice amount where the held for sale are recognised at the (p) Leased assets effect of discounting is immaterial. lower of carrying amount and fair Operating lease payments are charged value less costs to sell. These assets to the Operating Statement in the (s) Investments are not depreciated while they are periods in which they are incurred. classified as held for sale. Investments are initially recognised at fair value plus, in the case of (u) Trust funds (q) Intangible assets investments not at fair value through The Department recognises intangible profit or loss, transaction costs. The Department receives monies in assets only if it is probable that future The Department determines the a trustee capacity for various trusts as economic benefits will flow to the classification of its financial assets set out in Note 25. As the Department agency and the cost of the asset can after initial recognition and, when performs only a custodial role in be measured reliably. Intangible assets allowed and appropriate, re evaluates respect of these monies, and because are measured initially at cost. Where this at each financial year end. the monies cannot be used for the an asset is acquired at no or nominal achievement of the Department’s cost, the cost is its fair value as at the own objectives, these funds are not date of acquisition. recognised in the financial statements.

76 ANNUAL REPORT 2007-2008 NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT Department of State and Regional Development Financial Statements

Notes to the Financial Statements for the Year Ended 30 June 2008

(v) Payables (y) New Australian Accounting (z) Reclassification of Standards issued but financial information These amounts represent liabilities not effective for goods and services provided to Following the consolidation of the the Department and other amounts. Australian Accounting Standards Department’s Program disclosure, Payables are recognised initially and Interpretations that have recently several expenditure items were at fair value, usually based on been issued or amended but are re classified in the financial report. the transaction cost or face value. not yet effective have not been The comparative figures for each Subsequent measurement is at adopted for the financial reporting of these items were also re classified. amortised cost using the effective period ended 30 June 2008. These The major reclassified expenditure interest method. Short term payables are listed as follows: items during the year with amounts with no stated interest rate are as follows : measured at the original invoice › AASB 8 and AASB 2007 3 are amount where the effect of effective for financial reporting › Science and Medical Research discounting is immaterial. periods commencing on or after $2,300,000 1 January 2009 › Tourism Grants ($2,403,000) (w) Budgeted amounts › AASB1049 Whole of Government › Major Events ($4,545,000) and General Government Sector The budgeted amounts are drawn Financial Reporting applies to › Small Business Development from the budgets as formulated at reporting periods beginning on $857,000 the beginning of the financial year or after 01 July 2008 › Biotechnology Initiatives and with any adjustments for the › Revised AASB 101 Presentation ($2,379,000) effects of additional appropriations, of Financial Statements and AASB › Tourism Industry $24,257,000 and s 21A, s 24 and / or s 26 of the Public 2007 8 Amendments to Australian Finance and Audit Act 1983. › Other Operating expenses Accounting Standards arising from $26,767,000. The budgeted amounts in the AASB 101. A revised AASB 101 operating statement and the cash was issued in September 2007 flow statement are generally based and is applicable for financial on the amounts disclosed in the reporting periods beginning NSW Budget Papers (as adjusted on or after 1 January 2009 above). However, in the balance › Revised AASB 123 Borrowing sheet, the amounts vary from the Costs and AASB 2007 6 Budget Papers, as the opening Amendments to Australian balances of the budgeted amounts Accounting Standards arising from are based on carried forward actual AASB 123 [AASB 1, AASB 101, amounts; i.e. per the audited financial AASB 107, AASB 111, AASB 116 statements (rather than carried & AASB 138 and Interpretations forward estimates). 1 & 12]. The revised AASB 123 is applicable to financial reporting (x) Grants and Subsidies periods commencing on or after 1 January 2009. Payments for grants, subsidies and industry assistance are expensed at In the period of initial application, the time the Corporation becomes the Department does not anticipate liable to make the payment. The any material impact on the figures approval of the grant, subsidy or reported in the financial statements. assistance may cover a number of years, and it is not considered that a liability arises until conditions specified in the approval have been met and a claim for payment has been received. Grants, subsidies and assistance which have been approved but have not been paid or accrued have been included in commitments for expenditure (Refer Note 21).

NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT ANNUAL REPORT 2007-2008 77 Department of State and Regional Development Financial Statements

Notes to the Financial Statements for the Year Ended 30 June 2008

2 Expenses Excluding Losses 2008 2007 $’000 $’000 (a) Employee related expenses Salaries and wages (including recreation leave) 37,868 36,201 Superannuation — defined benefit plans 822 757 Superannuation — defined contribution plans 2,327 2,186 Long service leave 991 2,447 Workers’ compensation insurance 197 208 Payroll tax and fringe benefit tax 2,422 2,353 Other 2 5 Payroll tax employer’s superannuation contribution 43 40 44,672 44,197

(b) Other operating expenses include the following: Auditor’s remuneration — audit of the financial reports 117 106 Other expenses 3,518 4,076 Miscellaneous Fees 4,570 4,341 Building Occupancy Charges 6,514 8,023 Staff Development 385 352 Publication and advertising costs 2,278 3,795 Telecommunication expenses 1,006 923 Insurance 85 91 Industry Networking 159 2 Payments to contractors 599 1,093 Printing and stationery 768 683 Travel expenses 1,100 977 Motor vehicles expenses 778 797 Consultancies 1,002 725 Maintenance 258 297 23,137 26,281

* Reconciliation — Total maintenance Maintenance expense — contracted labour and other (non employee related), as above 258 297 Total maintenance expenses included in Note 2(a) + 2(b) 258 297

78 ANNUAL REPORT 2007-2008 NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT Department of State and Regional Development Financial Statements

Notes to the Financial Statements for the Year Ended 30 June 2008

2008 2007 $’000 $’000 (c) Depreciation and amortisation expense Depreciation Plant and Equipment 735 455 Total Depreciation 735 455 Amortisation Leasehold improvements 786 882 Intangible 189 372 1,710 1,709

(d) Grants and subsidies Industry Capability Network (NSW) 1,247 1,247 Hunter Valley Research Foundation 150 134 Illawarra Regional Information Service 150 150 Hunter Advantage Fund 419 728 Regional Development Boards 1,690 1,702 Katoomba / Echo Point Development 365 - Illawarra Advantage Fund 1,386 1,000 Australian Research Centres of Excellence - 1,070 Science Leverage Fund 9,085 9,575 Smart Internet Technology CRC - 249 ICT Centre For Excellence 5,000 5,000 Science and Medical Research 27,450 37,052 Tourism Grants 1,633 1,688 Major Events 2,330 4,545 Payroll Tax Incentive Scheme 3,782 160 54,687 64,300

(e) Other expenses Small Business Development 6,603 5,699 Biotechnology Initiatives 4,857 3,624 Regional Development Assistance 11,414 11,289 Tourism Industry 26,295 24,257 Australian Technology Showcase 1,081 475 50,250 45,344

NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT ANNUAL REPORT 2007-2008 79 Department of State and Regional Development Financial Statements

Notes to the Financial Statements for the Year Ended 30 June 2008

3 Revenue 2008 2007 $’000 $’000 (a) Sale of goods and services Retail Tenancies Disputes fees 51 49 Commission on sales 403 498 Other 151 40 605 587

(b) Investment revenue Interest revenue from financial assets not at fair value through profit or loss 809 1,461 809 1,461

(c) Grants and contributions NSW Budget Sector Entities 164 163 Commonwealth 964 587 Other State Governments - 28 Local Government 73 100 Other Private Sector 6,533 4,809 Other General Government Agencies 57 6 7,791 5,693

(d) Other revenue Sponsorship 3 183 Recoveries for administer retail leases 1,169 - In kind sponsorship 1,597 1,017 Rental rebate 293 325 Other 779 738 3,841 2,263

4 Gain / (Loss) On Disposal Gain / (loss) on disposal of plant and equipment Proceeds from disposal 3 15 Written down value of assets disposed (60) (45) Net gain / (loss) on disposal of plant and equipment (57) (30) Gain / (loss) on disposal of Intangible Written down value of assets disposed (18) - Net gain / (loss) on disposal of intangible (18) - Gain / (loss) on disposal (75) (30)

80 ANNUAL REPORT 2007-2008 NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT Department of State and Regional Development Financial Statements

Notes to the Financial Statements for the Year Ended 30 June 2008

5 Other Gains / (Losses) 2008 2007 $’000 $’000 Impairment of receivables 4 (74) Impairment of receivables 4 (74) Impairment of shares held (415) - Other gains / (losses) (415) - Other gains / (losses) total (411) (74)

6 Appropriations Recurrent appropriation Total recurrent drawdowns from NSW Treasury (per Summary of Compliance) 161,272 174,846 161,272 174,846 Comprising: Recurrent appropriation (per Operating Statement) 160,423 171,855 Transfer payments (Note 8) 849 2,991 161,272 174,846

Capital appropriation Total capital drawdowns from NSW Treasury (per Summary of Compliance) 413 1,624 413 1,624 Comprising: Capital appropriation (per Operating Statement) 413 1,624 413 1,624

7 Acceptance by the Crown Entity of Employee Benefits and Other Liabilities The following liabilities and / or expenses have been assumed by the Crown Entity: Superannuation 822 757 Payroll tax 43 40 Long service leave 991 2,447 1,856 3,244

8 Transfer Payments Transfer payments to the Ministerial Corporation for Industry and Small Business Development Corporation of NSW comprise amounts administered by the Corporations relating to their activities. The Corporations draw funds from the Department only to the extent necessary to meet current cash requirements for expenditure. Transfer payments Small Business Development Corporation of NSW 73 74 Ministerial Corporation for Industry 776 2,917 849 2,991

NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT ANNUAL REPORT 2007-2008 81 Department of State and Regional Development Financial Statements

Notes to the Financial Statements for the Year Ended 30 June 2008

9 Programs / Activities of the Agency The Department’s program structure Objective(s): To advance the economic Encouraging and promoting was consolidated in 2007–2008 development of New South Wales by innovation. Internationalisation with the adoption of one Program securing sustainable economic and of the NSW business sector through “Development of the New South business growth in metropolitan the promotion of exports. Promoting Wales Economy”. This Program and regional areas, to foster a tourism in New South Wales to Statement encompasses all the sustainable tourism economy and sustain the growth of the tourism objectives and activities of the to advance science and medical economy. Promoting New South programs formerly disclosed research in the State. Wales as a preferred location for under “Development of the major events. Policy formulation, Tourism Industry” and “Science Program Description: The provision advice and strategic review of funding and Medical Research”. of programs and services that programs and projects that optimise promote increased investment and the Government’s investment in economic growth for metropolitan science and medical research. and regional New South Wales.

10 Cash and Cash Equivalents 2008 2007 $’000 $’000 Cash at bank and on hand 26,103 21,872 26,103 21,872

Cash and cash equivalents (per Balance Sheet) 26,103 21,872 Closing cash and cash equivalents (per Cash Flow Statement) 26,103 21,872 Refer Note 26 for details regarding credit risk, liquidity risk, and market risk arising from financial instruments. Unused credit standby facilities Credit card facilities 757 704 757 704

82 ANNUAL REPORT 2007-2008 NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT Department of State and Regional Development Financial Statements

Notes to the Financial Statements for the Year Ended 30 June 2008

11 Receivables 2008 2007 $’000 $’000 Current Receivables Sale of goods and services 2,494 1,672 Accrued Interest 360 764 GST receivable from Australian Taxation Office 4,379 4,932 Prepayments 1,634 1,171 8,867 8,539 Less: Allowance for impairment 30 153 8,837 8,386

Movement in the allowance for impairment Balance at 1 July 153 80 Amounts written off during the year (73) - Amounts recovered during the year (80) - Increase / (decrease) in allowance recognised in profit or loss 30 73 Balance at 30 June 30 153 Details regarding credit risk, liquidity risk and market risk, including financial assets that are either past due or impaired, are disclosed in Note 26.

12 Financial Assets at Fair Value Non current CRC for Sustainable Tourism Pty Ltd Shares - 459 - 459 Refer to Note 26 for further information regarding credit risk, liquidity risk, and market risk arising from financial instruments.

NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT ANNUAL REPORT 2007-2008 83 Department of State and Regional Development Financial Statements

Notes to the Financial Statements for the Year Ended 30 June 2008

13 Non Current Assets — Plant And Equipment $’000 At 1 July 2007 Gross Carrying Amount 13,202 Accumulated depreciation and impairment (6,791) Net carrying amount at fair value 6,411 At 30 June 2008 Gross Carrying Amount 13,346 Accumulated depreciation and impairment (7,679) Net carrying amount at fair value 5,667 Reconciliation A reconciliation of the carrying amount of plant and equipment at the beginning and end of the current reporting period is set out below. Year ended 30 June 2008 Net carrying amount at start of year 6,411 Additions 922 Disposals (726) Reclassification as intangibles (53) Depreciation expense (1,521) Disposal written back against Accumulated Depreciation 634 Net carrying amount at end of year 5,667 At 1 July 2006 At Fair Value 15,469 Accumulated depreciation and impairment (10,926) Net carrying amount 4,543 At 30 June 2007 At Fair Value 13,202 Accumulated depreciation and impairment (6,791) Net carrying amount 6,411 Reconciliation A reconciliation of the carrying amount of each class of property, plant and equipment at the beginning and end of the previous reporting period is set out below. Year ended 30 June 2007 Net carrying amount at start of year 4,543 Additions 3,549 Disposals (711) Reclassification as intangibles (298) Depreciation expense (1,337) Disposal written back against Accumulated Depreciation 665 Net carrying amount at end of year 6,411

84 ANNUAL REPORT 2007-2008 NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT Department of State and Regional Development Financial Statements

Notes to the Financial Statements for the Year Ended 30 June 2008

14 Intangible Assets Software $’000 At 1 July 2007 Cost (gross carrying amount) 6,149 Accumulated amortisation and impairment (5,370) Net carrying amount 779 At 30 June 2008 Cost (gross carrying amount) 1,080 Accumulated amortisation and impairment (438) Net carrying amount 642 Year ended 30 June 2008 Net carrying amount at start of year 779 Additions acquired separately 19 Disposals (5,151) Reclassification as intangibles 53 Amortisation (recognised in depreciation and amortisation) (189) Disposal written back against Accumulated Depreciation 5,133 Other (2) Net carrying amount at end of year 642 At 1 July 2006 Cost (gross carrying amount) 822 Accumulated amortisation and impairment (191) Net carrying amount 631 At 30 June 2007 Cost (gross carrying amount) 6,149 Accumulated amortisation and impairment (5,370) Net carrying amount 779 Year ended 30 June 2007 Net carrying amount at start of year 631 Additions acquired separately 222 Reclassification 298 Amortisation (recognised in ‘depreciation and amortisation’) (372) Net carrying amount at end of year 779

NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT ANNUAL REPORT 2007-2008 85 Department of State and Regional Development Financial Statements

Notes to the Financial Statements for the Year Ended 30 June 2008

15 Non Current Asset (or Disposal Groups) Held for Sale 2008 2007 $’000 $’000 Assets held for sale Australian Tourism Data Warehouse Pty Ltd Shares 44 - Total 44 -

16 Payables Current Accrued salaries, wages and on costs 941 424 Creditors 6,744 4,064 7,685 4,488

Details regarding credit risk, liquidity risk and market risk, including a maturity analysis of the above payables, are disclosed in Note 26.

86 ANNUAL REPORT 2007-2008 NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT Department of State and Regional Development Financial Statements

Notes to the Financial Statements for the Year Ended 30 June 2008

17 Provisions 2008 2007 $’000 $’000 Current Employee benefits and related on costs Recreation leave 3,979 4,180 Long service leave on costs 609 661 4,588 4,841 Non current Employee benefits and related on costs Long service leave on costs 33 35 33 35 Non current Other provisions Restoration costs 922 769 922 769 955 804 Aggregate employee benefits and related on costs Provisions current 4,588 4,841 Provisions non current 33 35 Accrued salaries, wages and on costs (Note 16) 941 424 5,562 5,300

Movements in provisions (other than employee benefits) Movements in each class of provision during the financial year, other than employee benefits are set out below

$’000 Restoration costs 2008 Carrying amount at the beginning of financial year 769 Additional provisions recognised 153 Carrying amount at end of financial year 922

NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT ANNUAL REPORT 2007-2008 87 Department of State and Regional Development Financial Statements

Notes to the Financial Statements for the Year Ended 30 June 2008

18 Liabilities — Other 2008 2007 $’000 $’000 Current Repayable Advances 11 11 Lease incentive 167 167 Fees received in advance 76 414 254 592

Non current Lease incentive 473 640 473 640

19 Changes In Equity Accumulated Funds 2008 2007 $’000 $’000 Consolidated Balance at the beginning of the financial year 26,542 21,750

Changes in equity — other than transactions with owners as owners Surplus / (deficit) for the year 796 4,792 Balance at the end of the financial year 27,338 26,542

20 Increase / Decrease in Net Assets from Equity Transfers 2008 2007 $’000 $’000 Assets Cash - (31) - (31)

Liabilities Employee entitlements - 31 - 31 Total - -

Assets and Liabilities transferred to the Department of Premier and Cabinet Cash - (31) Employee entitlements - 31 - - Four positions transferred from the Department to the Department of Premier and Cabinet following the administrative changes. Refer to note 1(a).

88 ANNUAL REPORT 2007-2008 NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT Department of State and Regional Development Financial Statements

Notes to the Financial Statements for the Year Ended 30 June 2008

21 Commitments for Expenditure 2008 2007 $’000 $’000 (a) Other Expenditure Commitments Aggregate other expenditure for the acquisition of goods and services contracted for at balance date and not provided for: Not later than one year 7,497 7,609 Later than one year and not later than five years 2,692 3,215 Total (including GST) 10,189 10,824 The total other expenditure commitments above include input tax credits of $926,000 (June 2007 $984,000) that are expected to be recovered from the ATO.

(b) Operating Lease Commitments Future non cancellable operating lease rentals not provided for and payable Not later than one year 6,784 6,263 Later than one year and not later than five years 16,349 18,467 Later than five years 95 388 Total (including GST) 23,228 25,118 The total operating lease commitments above include input tax credits of $2,060,000 (30 June 2007 $2,228,652) that are to be recovered from the ATO.

(c) Grants and Subsidies Commitments Small Business Development 1,384 1,416 Regional Development Assistance 22,064 10,918 Hunter Advantage Fund 2,956 2,764 Illawarra Advantage Fund 1,273 2,492 Regional Economic Transition Scheme 1,011 1,503 Australian Technology Showcase 2,310 1,300 Biotechnology Initiatives 4,422 2,695 National ICT Centre for Excellence 22,000 - Smart Internet Technology CRC - 1,320 Payroll Tax Incentive Scheme 27,647 5,563 Business Drought Assistance 782 2,365 Science & Medical Research 24,468 44,461 Tourism Industry - 32,687 Total (Including GST) 110,317 109,484 Not later than one year 49,651 51,043 Later than one year and not later than five years 60,666 54,514 Later than five years - 3,927 Total (Including GST) 110,317 109,484 The total grants and subsidies commitments above include input tax credits of $10,029,000 (30 June 2007 $9,953.000) that are expected to be recovered from the ATO.

NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT ANNUAL REPORT 2007-2008 89 Department of State and Regional Development Financial Statements

Notes to the Financial Statements for the Year Ended 30 June 2008

22 Contingent Liabilities (c) Actual grants and subsidies Assets and Liabilities and Contingent Assets expenditure was less than Actual total net assets at the end of budget by $6,947,000. This the financial year were greater than The Department is not aware of any was due to less than budgeted budget by $2,051,000. Components contingent liabilities and contingent expenditure in specific items of the variation over the various asset assets associated with its operations. including the Katoomba Echo and liability categories include: Point Development Project, 23 Budget Review Payroll Tax Incentive Scheme, (a) Actual total assets were Science Leverage Fund, Australian $5,415,000 greater than budget Net cost of services Research Centres for Excellence, and was primarily due greater The actual net cost of services and Smart Internet Technology than budgeted cash and cash was less than budget by CRC projects. In addition equivalent of $5,309,000 due to $4,963,000. Major components budgeted allocations for less than budgeted expenditure of this variation include: Major Events Unit projects in several program areas and were transferred to the activities, greater than budgeted (a) Actual employee related Department of Premier and revenue and greater than payments were less than Cabinet following the formation budgeted current liabilities budget by $3,438,000. This of Events NSW Pty Ltd. Less payable at year end was primarily due to less than than budgeted expenditure was budgeted average staffing levels (b) Total current liabilities were offset by greater than budgeted across the Department during greater than budget by expenditure in the National ICT the financial year $3,382,000. This is primarily due Centre for Excellence and Science to greater than budgeted current (b) Actual other operating expenses and Medical Research projects. liabilities payables and provisions were greater than budget by The variations to budget generally of $3,973,000 and less than $2,766,000 due to greater occur due to cash flow variations budgeted current provisions than budgeted expenditure for approved projects and and other of $591,000. in additional project and the introduction of new program activities including funding approvals Cash flows the engagement of contractors, Actual net cash flows from operating (d) Actual other expenses consultants, event management, activities were greater than budget were greater than budget by travel and contributions to by $5,820,000. This was due to $5,477,000. This is primarily special projects. greater than budgeted receipts and due to greater than budgeted contributions from Government of expenditure in Small Business $5,509,000 and less than budgeted Development trade programs and payments of $311,000. activities, as well as Tourism NSW projects and marketing activities Actual net cash flows from investing due to an increase in private activities were greater than budget by sector contributions to Tourism $511,000 and is related to increased projects and initiatives payment associated with the purchase of plant and equipment. (e) Actual revenue was greater than budget by $3,649,000. This is primarily due to increased private sector cash and in kind contributions to Tourism NSW projects and marketing activities.

90 ANNUAL REPORT 2007-2008 NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT Department of State and Regional Development Financial Statements

Notes to the Financial Statements for the Year Ended 30 June 2008

24 Reconciliation of Cash Flows From Operating Activities to Net Cost of Services 2008 2007 $’000 $’000 Net cash used on operating activities 5,155 5,028 Cash flows from Government / Appropriations (160,836) (173,479) Acceptance by the Crown Entity of employee benefits and other liabilities (1,856) (3,244) Depreciation (1,710) (1,709) Decrease / (increase) in provisions 102 (36) Increase / (decrease) in receivables and other assets 451 (582) Decrease / (increase) in payables (3,221) 1,766 Net gain / (loss) on sale of plant and equipment (75) (30) Other gain / (loss) (411) (74) Decrease / (increase) in other liabilities 505 429 Net cost of services (161,896) (171,931)

25 Trust Funds (a) Retail Leases Security Bonds Trust Account The Department holds money in the Retail Leases Security Bonds Trust Account with NSW Treasury Corporation. Retail Lease Security Bonds are lodged with the Director General of the Department of State and Regional Development in accordance with Section 16C of the Retail Leases Act 1994. These monies are excluded from the financial statements as the Department can not use them for the achievement of its objectives. The following is a summary of the transactions in the trust account:

Cash balance at the beginning of the financial year 86,462 62,045 Add: Bond lodgements 28,729 35,218 Interest 6,231 4,690 Less: Expenditure (18,574) (15,491) Transfer to NSW Treasury Consolidated Funds (9,000) - Transfer to Department to administer Retail Leases Act 1994 (1,169) - Cash balance at the end of the financial year 92,679 86,462

Retail Lease Security Bonds comprising: Bonds Lodgements 90,805 80,220 Balance of interest earned after transfer to Consolidated Fund and the Department 1,405 5,343 Cash on hand 469 899 92,679 86,462

(b) Sydney Visitor Centre Airport Travel Centre Trust Account The finances of the Sydney Visitor Centre Airport Travel Centre are operated through a separate trust account as the funds are held in trust for clients. These monies are excluded from the financial statements as the Department cannot use the funds for the achievement of its objectives. The following is a summary of the transactions in the trust account:

Cash balance at the beginning of the financial year 139 142 Add: Receipts 2,549 3,141 Less: Expenditure (2,677) (3,144) Cash balance at the end of the financial year 11 139

NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT ANNUAL REPORT 2007-2008 91 Department of State and Regional Development Financial Statements

Notes to the Financial Statements for the Year Ended 30 June 2008

26 Financial Instruments the NSW Treasury Banking system and Committee has overall responsibility credit risk on short term receivables. for the establishment and oversight The Department’s principal financial The Department does not enter into of risk management and reviews and instruments are cash deposits held or trade financial instruments for agrees policies for managing each within the NSW Treasury Banking speculative purposes and does of these risks. Compliance with System, short term receivables and not use financial derivatives. policies is reviewed by the Internal payables. These instruments expose Auditors on a continuous basis. the Department primarily to interest The Director General through the rate risk on cash balances held within Department’s Audit and Review

(a) Financial instrument categories

Carrying Carrying Amount Amount 2008 2007 Note Category $’000 $’000 Financial Assets Class: Cash and cash equivalents 10 n/a 26,103 21,872 Receivables (Note 1) 11 Loans and receivables 2,824 2,283 (at amortised cost) Financial assets at fair value 12 At fair value through profit or - 459 loss classified at held for trading Other financial assets 15 Available for sale financial assets 44 - (at fair value) Financial Liabilities Class: Payables (Note 2) 16 Financial liabilities 7,685 4,488 measured at amortised cost Other 18 Financial liabilities 640 807 measured at amortised cost

1. Excludes statutory receivables and prepayments (i.e. not within scope of ASSB 7). 2. Excludes statutory payables and unearned revenue (i.e. not within scope of ASSB 7).

92 ANNUAL REPORT 2007-2008 NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT Department of State and Regional Development Financial Statements

Notes to the Financial Statements for the Year Ended 30 June 2008

(b) Credit Risk Corporation (TCorp) 11am unofficial will not be able to collect all amounts cash rate, adjusted for a management due. This evidence includes past Credit risk arises when there is fee to NSW Treasury. experience, and current and expected the possibility of the Department’s changes in economic conditions and debtors defaulting on their contract- Receivables — trade debtors debtor credit ratings. No interest is ual obligations, resulting in a financial All trade debtors are recognised earned on trade debtors. Debtors’ loss to the Department. The maximum as amounts receivable at balance invoices are generally issued on exposure to credit risk is generally date. Collectibility of trade debtors 30 day terms. represented by the carrying amount is reviewed on an ongoing basis. of the financial assets (net of any Procedures as established in the The Department is not materially allowance for impairment). Treasurer’s Directions are followed exposed to concentrations of credit to recover outstanding amounts, risk to a single trade debtor or group Cash including letters of demand. Debts of debtors. Cash comprises cash on hand which are known to be uncollectible The only financial assets that are past and bank balances within the NSW are written off. An allowance for Treasury Banking System. Interest due or impaired are ‘sales of goods impairment is raised when there and services’ in the ‘receivables’ is earned on daily bank balances at is objective evidence that the entity the monthly average NSW Treasury category of the balance sheet.

$’000 Past due but Considered Total not impaired impaired (Notes 1 & 2) (Notes 1 & 2) (Notes 1 & 2) 2008 < 3 months overdue 1,572 1,572 - 3 months–6 months overdue 128 128 - > 6 months overdue 89 59 30

$’000 Past due but Considered Total not impaired impaired 2007 < 3 months overdue 423 423 - 3 months–6 months overdue 329 329 - > 6 months overdue 145 58 87

1. Each column in the table reports “gross receivables”. 2. The ageing analysis excludes statutory receivables, as these are not within the scope of AASB 7 and excludes receivables that are not past due and not impaired. Therefore, the “total” will not reconcile to the receivables total recognised in the balance sheet.

NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT ANNUAL REPORT 2007-2008 93 Department of State and Regional Development Financial Statements

Notes to the Financial Statements for the Year Ended 30 June 2008

(c) Liquidity risk The liabilities are recognised for following the month in which an amounts due to be paid in the invoice or a statement is received. Liquidity risk is the risk that the future for goods or services received, Treasurer’s Direction 219.01 allows Department will be unable to meet whether or not invoiced. Amounts the Minister to award interest for its payment obligations when they owing to suppliers (which are late payment. No interest was applied fall due. The Department continuously unsecured) are settled in accordance during the year (2007–$Nil). manages risk through monitoring with the policy set out in Treasurer’s future cash flows and maturities Direction 219.01. If trade terms are The table below summarises the planning to ensure adequate not specified, payment is made no maturity profile of the Department’s holding of high quality liquid assets. later than the end of the month financial liabilities, together with the interest rate exposure.

$’000 Maturity Dates Carrying Amount < 1 yr 1–5 yrs > 5 yrs 2008 Payables: Accrued salaries, wages and on costs 941 941 - - Creditors 6,744 6,744 - - Other 640 167 473 - 8,325 7,852 473 -

2007 Payables: Accrued salaries, wages and on costs 424 424 - - Creditors 4,064 4,064 - - Other 807 167 640 - 5,295 4,655 640 -

94 ANNUAL REPORT 2007-2008 NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT Department of State and Regional Development Financial Statements

Notes to the Financial Statements for the Year Ended 30 June 2008

(d) Market risk interest rates on cash and cash or equity. A reasonably possible equivalents. The Department has change of + / -1 per cent is used, Market risk is the risk that the fair no material exposure to foreign consistent with current trends in value or future cash flows of a currency risk and does not enter interest rates. The basis will be financial instrument will fluctuate into commodity contracts. reviewed annually and amended because of changes in market prices. where there is a structural change The Department’s exposures to A change in interest rates would in the level of interest rate volatility. market risk are primarily through not materially affect profit or loss The Department’s exposure to interest rate risk is set out below.

$’000 -1% +1% Carrying Amount Profit Equity Profit Equity 2008 Financial assets: Cash and cash equivalents 26,103 (261) (261) 261 261 Receivables 2,824 - - - - Other financial assets 44 - - - - Other - - - - - Financial liabilities: Payables 7,685 - - - - Other 640 - - - - 37,296 (261) (261) 261 261

2007 Financial assets: Cash and cash equivalents 21,872 (218) (218) 218 218 Receivables 2,349 - - - - Financial assets at fair value 459 - - - - Other financial assets - - - - - Financial liabilities: Payables 4,488 - - - - Other 807 - - - - 29,975 (218) (218) 218 218

(e) Fair Value The carrying value of receivables less any impairment provision and payables is a reasonable approximation of their fair value due to their short term nature. 27 After Balance Date Events There are no events subsequent to balance date which affect the financial report.

End of audited financial statements

NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT ANNUAL REPORT 2007-2008 95 Ministerial Corporation for Industry Financial report for the year ended 30 June 2008

96 ANNUAL REPORT 2007-2008 NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT Ministerial Corporation for Industry Independant Audit Report

NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT ANNUAL REPORT 2007-2008 97 Ministerial Corporation for Industry Statement by Ministerial Corporation for Industry

98 ANNUAL REPORT 2007-2008 NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT Ministerial Corporation for Industry Financial Statements

Operating Statement for the Year Ended 30 June 2008

Actual Budget Actual 2008 2008 2007 Notes $’000 $’000 $’000 Expenses excluding losses Other operating expenses 2(a) 4,461 5,600 3,262 Total Expenses excluding losses 4,461 5,600 3,262 Less: Revenue Investment income 3(a) 2 -1 Grants and contributions 3(b) 776 5,600 3,086 Other revenue 3(c) 35 -26 Total Revenue 813 5,600 3,113 Gain / (loss) on disposal 4 - - 1,759 Net Cost of Services 16 (3,648) - 1,610 SURPLUS / (DEFICIT) FOR THE YEAR (3,648) - 1,610

The accompanying notes form part of these financial statements.

NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT ANNUAL REPORT 2007-2008 99 Ministerial Corporation for Industry Financial Statements

Statement of Recognised Income and Expense for the Year Ended 30 June 2008

Actual Budget Actual 2008 2008 2007 Notes $’000 $’000 $’000 TOTAL INCOME AND EXPENSE RECOGNISED - -- DIRECTLY IN EQUITY Surplus / (Deficit) for the year (3,648) - 1,610 TOTAL INCOME AND EXPENSE RECOGNISED FOR THE YEAR 12 (3,648) - 1,610

The accompanying notes form part of these financial statements.

100 ANNUAL REPORT 2007-2008 NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT Ministerial Corporation for Industry Financial Statements

Balance Sheet as at 30 June 2008

Actual Budget Actual 2008 2008 2007 Notes $’000 $’000 $’000 ASSETS Current Assets Cash and cash equivalents 6 - 3,335 3,335 Non current assets held for sale 10 764 764 764 Total Current Assets 764 4,099 4,099 Non Current Assets Financial assets at fair value 7 - -- Other financial assets 8 12 10 10 Land 9 2,635 2,635 2,635 Total Non Current Assets 2,647 2,645 2,645 Total Assets 3,411 6,744 6,744 Current Liabilities Payables 11 959 644 644 Total Current Liabilities 959 644 644 Total Liabilities 959 644 644 Net Assets 2,452 6,100 6,100 EQUITY Accumulated funds 12 2,452 6,100 5,454 Amounts recognised in equity relating to assets held for sale 10 - - 646 Total Equity 2,452 6,100 6,100

The accompanying notes form part of these financial statements.

NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT ANNUAL REPORT 2007-2008 101 Ministerial Corporation for Industry Financial Statements

Cash Flow Statement for the Year Ended 30 June 2008

Actual Budget Actual 2008 2008 2007 Notes $’000 $’000 $’000 CASH FLOWS FROM OPERATING ACTIVITIES Payments Other (4,148) (5,600) (3,086) Total Payments (4,148) (5,600) (3,086) Receipts Other 813 5,600 3,112 Total Receipts 813 5,600 3,112 Cash Flows From Government Net Cash Flows From Government - -- NET CASH FLOWS FROM OPERATING ACTIVITIES 16 (3,335) -26 CASH FLOWS FROM INVESTING ACTIVITIES Proceeds from sale of land - - 3,500 Cost of sale of land - - (191) NET CASH FLOWS FROM INVESTING ACTIVITIES - - 3,309 NET INCREASE / (DECREASE) IN CASH (3,335) - 3,335 Opening cash and cash equivalents 3,335 3,335 - CLOSING CASH AND CASH EQUIVALENTS 6 - 3,335 3,335

The accompanying notes form part of these financial statements.

102 ANNUAL REPORT 2007-2008 NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT Ministerial Corporation for Industry Financial Statements

Notes to the Financial Statements for the Year Ended 30 June 2008

(e) Income recognition 1 Summary of Significant › applicable Australian Accounting Policies Accounting Standards Income is measured at the fair value (which include Australian of the consideration or contribution (a) Reporting entity Accounting Interpretations) received or receivable. Additional The Ministerial Corporation › the requirements of the Public comments regarding the accounting for Industry (hereafter referred to Finance and Audit Act 1983 policies for the recognition of income as the “Corporation”) is constituted and Regulation are discussed below. under the State Development and › the Financial Reporting Directions Contributions from Other Bodies Industries Assistance Act, 1966. published in the Financial The Corporation’s functions are: Contributions from other bodies Reporting Code for Budget (including grants and donations) are To promote, encourage and stimulate: Dependent General Government generally recognised as income when Sector Agencies or issued by the Corporation obtains control › the establishment, expansion or the Treasurer. over the assets comprising the development of industries; and Judgements, key assumptions and contributions. Control over the carrying out, by business › estimations management has made contributions is normally obtained undertakings and prescribed are disclosed in the relevant notes upon the receipt of cash. institutions, of projects to the financial statements. that are likely to assist the (f) Insurance establishment, expansion or All amounts are rounded to the development of industries. nearest one thousand dollars and The Corporation’s insurance activities are expressed in Australian currency. are included in the Department of The Corporation is a separate State and Regional Development’s reporting entity. There are no (c) Statement of compliance insurance coverage conducted other entities under its control. through the NSW Treasury Managed As the Corporation is a single program The financial statements and notes Fund Scheme of self insurance entity the financial operations comply with Australian Accounting for Government agencies. disclosed in the Operating Statement Standards, which include Australian and Balance Sheet are identical to the Accounting Interpretations. (g) Acquisitions of assets Corporation’s program. Accordingly (d) Administrative Support The cost method of accounting is a separate supplementary program used for the initial recording of all statement has not been prepared. The Department of State and acquisitions of assets controlled by The agency is a not for profit (as Regional Development’s Investment the agency. Cost is the amount of profit is not its principal objective) Division is primarily responsible for cash or cash equivalents paid or the and has no cash generating units. managing and facilitating projects fair value of the other consideration in the name of the Corporation under given to acquire the asset at the The financial report for the year the State Development and Industries time of its acquisition or construction ended 30 June 2008 has been Assistance Act 1966. The functions or, where applicable, the amount authorised for issue by the Minister and activities of the Corporation attributed to that asset when initially for State Development, in the capacity are considered to be an integral recognised in accordance with the of the Ministerial Corporation for part of the Department’s core requirements of other Australian Industry on 20th October 2008. business and economic development Accounting Standards. activities and is not an entity that (b) Basis of preparation operates independently to the Assets acquired at no cost, or for Department. The Department does nominal consideration, are initially The Corporation’s financial report not separately cost the administrative recognised at their fair value at is a general purpose financial support component for projects that the date of acquisition. report which has been prepared are facilitated or financially assisted in accordance with: Fair value means the amount for under the name of the Corporation. which an asset could be exchanged However, the estimated cost to the between knowledgeable, willing Department for related Investment parties in an arm’s length transaction. Division activities amounts to approximately $2.463 million.

NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT ANNUAL REPORT 2007-2008 103 Ministerial Corporation for Industry Financial Statements

Notes to the Financial Statements for the Year Ended 30 June 2008

(h) Revaluation of Land (j) Depreciation of property, Any reversals of impairment losses plant and equipment are reversed through the Operating Physical non current assets are valued Statement, where there is objective in accordance with the “Valuation of Depreciation is not provided as the evidence. Reversals of impairment Physical Non Current Assets at Fair Corporation’s non current physical losses of financial assets carried Value” Policy and Guidelines Paper assets are non depreciable. at amortised cost cannot result (TPP 05 3). This policy adopts fair in a carrying amount that exceeds value in accordance with AASB 116 (k) Loans and receivables what the carrying amount would Property, Plant and Equipment and have been had there not been an AASB 140 Investment Property. Loans and receivables are non derivative financial assets with impairment loss. Land is measured on an existing fixed or determinable payments use basis, where there are no feasible that are not quoted in an active (m) Non current Assets alternative uses in the existing natural, market. These financial assets are Held for Sale legal, financial and socio political recognised initially at fair value, The Corporation has certain non environment. However, in the limited usually based on the transaction current assets classified as held for circumstances where there are feasible cost or face value. Subsequent sale, where their carrying amount alternative uses, assets are valued measurement is at amortised cost will be recovered principally through at their highest and best use. using the effective interest method, a sale transaction, not through Fair value of land is determined based less any provision for doubtful debts. continuing use. Non current assets on the best available market evidence, Any changes are accounted for in held for sale are recognised at the including current market selling prices the Operating Statement when lower of carrying amount and fair for the same or similar assets. Where impaired, derecognised or through value less costs to sell. These assets there is no available market evidence, the amortisation process. are not depreciated while they are the asset’s fair value is measured Short term receivables with no stated classified as held for sale. at its market buying price, the best interest rate are measured at the indicator of which is depreciated original invoice amount where the (n) Payables replacement cost. effect of discounting is immaterial. These amounts represent liabilities The Corporation’s physical non for goods and services provided to the current assets are represented by (l) Impairment of agency and other amounts. Payables land held for sale for commercial or financial assets are recognised initially at fair value, industrial development. Land is valued All financial assets, except those usually based on the transaction at market based value. Physical non measured at fair value through profit cost or face value. Subsequent current assets are revalued every 5 and loss, are subject to an annual measurement is at amortised cost years or with sufficient regularity to review for impairment. A provision using the effective interest method. ensure that the carrying amount of for doubtful debts is established Short term payables with no stated each asset in the class does not differ when there is objective evidence interest rate are measured at the materially from its fair value at that the entity will not be able to original invoice amount where the reporting date. collect all amounts due. effect of discounting is immaterial.

(i) Impairment of Land For financial assets carried at amortised cost, the amount of the As a not for profit entity with no cash provision is the difference between generating units, the Corporation is the asset’s carrying amount and the effectively exempted from AASB 136 present value of estimated future Impairment of Assets and impairment cash flows, discounted at the effective testing. This is because AASB 136 interest rate. The amount of the modifies the recoverable amount test impairment loss is recognised in to the higher of fair value less costs to the Operating Statement. sell and depreciated replacement cost. This means that, for an asset already measured at fair value, impairment can only arise if selling costs are material. Selling costs are regarded as immaterial.

104 ANNUAL REPORT 2007-2008 NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT Ministerial Corporation for Industry Financial Statements

Notes to the Financial Statements for the Year Ended 30 June 2008

(o) New Australian In the period of initial application, Revised AASB 101 Presentation Accounting Standards › the Corporation does not anticipate of Financial Statements and AASB issued but not effective any material impact on the figures 2007 8 Amendments to Australian reported in the financial statements. Australian Accounting Standards Accounting Standards arising from and Interpretations that have recently AASB 101. A revised AASB 101 (p) Grants, Subsidies and been issued or amended but are was issued in September 2007 Industry Assistance not yet effective have not been and is applicable for financial adopted for the financial reporting reporting periods beginning Payments for grants, subsidies and period ended 30 June 2008. on or after 1 January 2009 industry assistance are expensed at These are listed as follows: › Revised AASB 123 Borrowing the time the Corporation becomes liable to make the payment. The AASB 8 and AASB 2007 3 are Costs and AASB 2007 6 › approval of the grant, subsidy or effective for financial reporting Amendments to Australian assistance may cover a number of periods commencing on or after Accounting Standards arising from years, and it is not considered that 1 January 2009 AASB 123 [AASB 1, AASB 101, AASB 107, AASB 111, AASB 116 a liability arises until conditions › AASB1049 Whole of Government & AASB 138 and Interpretations specified in the approval have been and General Government Sector 1 & 12]. The revised AASB 123 is met and a claim for payment has Financial Reporting applies to applicable to financial reporting been received. Grants, subsidies and reporting periods beginning periods commencing on or after 1 assistance which have been approved on or after 01 July 2008 January 2009. but have not been paid or accrued have been included in commitments for expenditure (Refer Note 13).

2 Expenses Excluding Losses 2008 2007 $’000 $’000 Other operating expenses include the following: Auditor’s remuneration audit of the financial report 17 16 Other Expenses 113 8 Consultancies 485 - Assistance to Industry 3,846 3,238 4,461 3,262

3 Revenues (a) Investment income Interest 2 1 2 1 (b) Grants and contributions Department of State and Regional Development 776 3,086 776 3,086 (c) Other revenue Miscellaneous revenue 35 26 35 26

NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT ANNUAL REPORT 2007-2008 105 Ministerial Corporation for Industry Financial Statements

Notes to the Financial Statements for the Year Ended 30 June 2008

4 Gain / (Loss) on Disposal 2008 2007 $’000 $’000 Gain / (loss) on disposal of land and buildings Proceeds from disposal - 3,500 Cost of sales - (191) Written down value of assets disposed - (1,550) Net gain / (loss) on disposal of land and buildings - 1,759

5 Programs / Activities of the Agency The Corporation operates from within the Development of the New South Wales Economy program of the Department of State and Regional Development. Program 1 — Development of the New South Wales Economy Objective: To advance the economic development of New South Wales by securing sustainable economic and business growth in metropolitan and regional areas.

6 Cash and Cash Equivalents Cash at bank and on hand - 3,335 - 3,335 For the purposes of the Cash Flow Statement, cash and cash equivalents include cash at bank, cash on hand. Total cash at 30 June 2008 as shown in the Statement of Cash Flows is nil, which is the same as the related item in the Balance Sheet. Cash and cash equivalent assets recognised in the balance sheet are reconciled at the end of the financial year to the Cash Flow Statement as follows: Cash and cash equivalents (per Balance Sheet) - 3,335 Closing cash and cash equivalents (per Cash Flow Statement) - 3,335

Refer Note 17 for details regarding credit risk, liquidity risk, and market risk arising from financial instruments.

7 Financial Assets at Fair Value Non current Investment equity in Smart Internet Technology CRC 1,371 1,371 Diminution of value of CRC shares (1,371) (1,371) - -

Refer to Note 17 for further information regarding credit risk, liquidity risk, and market risk arising from financial instruments.

106 ANNUAL REPORT 2007-2008 NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT Ministerial Corporation for Industry Financial Statements

Notes to the Financial Statements for the Year Ended 30 June 2008

8 Other Financial Assets 2008 2007 $’000 $’000 Non current Loans to industry 1,975 1,973 Allowance for impairment (1,963) (1,963) 12 10

Refer to Note 17 for further information regarding credit risk, liquidity risk, and market risk arising from financial instruments. 9 Non Current Assets — Land Land $’000 At 1 July 2007 At Fair Value 2,635 Net carrying amount 2,635 At 30 June 2008 At Fair Value 2,635 Net carrying amount 2,635 Reconciliation A reconciliation of the carrying amount of each class of property, plant and equipment at the beginning and end of the current reporting period is set out below. Year ended 30 June 2008 Net carrying amount at start of year 2,635 Net carrying amount at end of year 2,635 At 1 July 2006 At Fair Value 2,635 Net carrying amount 2,635 At 30 June 2007 At Fair Value 2,635 Net carrying amount 2,635 Reconciliation A reconciliation of the carrying amount of each class of property, plant and equipment at the beginning and end of the previous reporting period is set out below. Year ended 30 June 2007 Net carrying amount at start of year 2,635 Net carrying amount at end of year 2,635

NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT ANNUAL REPORT 2007-2008 107 Ministerial Corporation for Industry Financial Statements

Notes to the Financial Statements for the Year Ended 30 June 2008

10 Non Current Assets Held for Sale

2008 2007 $’000 $’000 Land 764 764 764 764 Amounts recognised in equity relating to assets held for sale Increments / (decrements) on revaluation of land - 646

The land held for sale relates to the Corporation’s involvement in a development agreement with the Albury–Wodonga Development Corporation (now trading as the Albury–Wodonga Corporation) to develop, market and sell industrial property at Albury. The Corporation contributed the industrial land with the Albury–Wodonga Corporation responsible for development of the site. The Corporation’s interest in the development arrangement is calculated at 58.8 per cent. The land was revalued in January 2007. The Corporation is currently reviewing the continuation of this arrangement with the Albury–Wodonga Corporation.

11 Payables Current Assistance to Industry 959 644 959 644

Details regarding credit risk, liquidity risk and market risk, including a maturity analysis of the above payables, are disclosed in Note 17.

12 Changes in Equity Accumulated Funds 2008 2007 $’000 $’000 Entity Balance at the beginning of the financial year 6,100 4,336 AASB 139 first time adoption - (492) 6,100 3,844 Changes in equity other than transactions with owners as owners Surplus / (deficit) for the year (3,648) 1,610 Land (refer to Note 10) - 646 Balance at the end of the financial year 2,452 6,100

108 ANNUAL REPORT 2007-2008 NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT Ministerial Corporation for Industry Financial Statements

Notes to the Financial Statements for the Year Ended 30 June 2008

13 Commitments for Expenditure 2008 2007 $’000 $’000 Other Expenditure Commitments Industry Assistance Fund Commitments approved but not paid: Not later than one year 9,281 6,600 Later than one year and not later than five years 15,730 5,365 Later than five years - 44 Total (including GST) 25,011 12,009

The total expenditure commitments above include input tax credits of $2,274,000 (30 June 2007 $1,092,000) that are expected to be recovered from the ATO.

14 Contingent Liabilities 15 Budget Review Assets and liabilities and Contingent Assets Net cost of services Actual total current assets were The Corporation is not aware of less than budget by $3,335,000 The actual net cost of services was any contingent liabilities and / or due to a reduction in cash and cash less than budget by $3,648,000. This contingent assets associated with equivalents. The balance of cash primarily due to less than budgeted its operations. and cash equivalent amount was assistance to industry other operating used to meet the cost of project expenses of $1,139,000, and less than activities during the financial year. budgeted contributions from the Department of State and Regional Actual current liabilities were greater Development $4,787,000. The than budget by $315,000 due to Corporation used available of increased current liabilities payables cash to meet the cost of activities at year end. during the financial year. Cash flows Actual net cash flows from operating activities were greater than budget by $3,335,000. This was due to less than budgeted receipts and contributions from Government of $4,787,000 and less than budgeted payments of $1,452,000.

NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT ANNUAL REPORT 2007-2008 109 Ministerial Corporation for Industry Financial Statements

Notes to the Financial Statements for the Year Ended 30 June 2008

16 Reconciliation of Cash Flows from Operating Activities to Net Cost of Services 2008 2007 $’000 $’000 Net cash used on operating activities (3,335) 26 Increase / (decrease) in receivables 2 - Decrease / (increase) in payables (315) (175) Net gain / (loss) on sale of plant and equipment - 1,759 Net cost of services (3,648) 1,610

17 Financial Instruments rate risk on cash balances held within the NSW Treasury Banking system and The Corporation’s principal financial credit risk on short term receivables. instruments are cash deposits held The Corporation does not enter into within the NSW Treasury Banking or trade financial instruments for System, short term receivables and speculative purposes and does not payables. These instruments expose use financial derivatives. the Corporation primarily to interest

(a) Financial instrument categories

Carrying Carrying Amount Amount 2008 2007 Note Category $’000 $’000 Financial Assets Class: Cash and cash equivalents 6 n/a - 3,335 Other financial assets 8 Loans and receivables 12 10 (at amortised cost) Financial Liabilities Class: Payables (Note 1) 11 Financial liabilities 959 644 measured at amortised cost

Note 1. Excludes statutory payables and unearned revenue (i.e. not within scope of ASSB 7).

110 ANNUAL REPORT 2007-2008 NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT Ministerial Corporation for Industry Financial Statements

Notes to the Financial Statements for the Year Ended 30 June 2008

(b) Credit Risk (c) Liquidity risk Direction 219.01. If trade terms are not specified, payment is made Credit risk arises when there Liquidity risk is the risk that the no later than the end of the month is the possibility of the Corporation’s Corporation will be unable to meet following the month in which an debtors defaulting on their its payment obligations when they invoice or a statement is received. contractual obligations, resulting in a fall due. The Corporation continuously Treasurer’s Direction 219.01 allows financial loss to the Corporation. The manages risk through monitoring the Minister to award interest for maximum exposure to credit risk is future cash flows and maturities late payment. No interest was generally represented by the carrying planning to ensure adequate applied during the year (2007–Nil). amount of the financial assets (net holding of high quality liquid assets. of any allowance for impairment). The table below summarises the The liabilities are recognised for maturity profile of the Corporation’s amounts due to be paid in the financial liabilities, together with future for goods or services received, the interest rate exposure. whether or not invoiced. Amounts owing to suppliers (which are Maturity Analysis and interest unsecured) are settled in accordance rate exposure of financial liabilities with the policy set out in Treasurer’s

$’000 Maturity Dates Nominal Amount < 1 yr 1-5 yrs > 5 yrs 2008 Payables: Creditors 959 959 - - 959 959 - - 2007 Payables: Creditors 644 644 - - 644 644 - -

NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT ANNUAL REPORT 2007-2008 111 Ministerial Corporation for Industry Financial Statements

Notes to the Financial Statements for the Year Ended 30 June 2008

(d) Market risk Market risk is the risk that the A change in interest rates would fair value or future cash flows of a not materially affect profit or loss or financial instrument will fluctuate equity. A reasonably possible change because of changes in market prices. of + / -1 per cent is used, consistent The Corporation’s exposures to market with current trends in interest rates. risk are primarily through interest The basis will be reviewed annually rates on cash and cash equivalents. and amended where there is The Corporation has no exposure to a structural change in the level foreign currency risk and does not of interest rate volatility. The enter into commodity contracts. Corporation’s exposure to interest rate risk is set out below.

$’000 Carrying Amount -1% +1% Profit Equity Profit Equity 2008 Financial liabilities: Payables 959 - - - - 959 - - - - 2007 Financial liabilities: Payables 644 - - - - 644 - - - -

(e) Fair Value The carrying value of receivables less any impairment provision and payables is a reasonable approximation of their fair value due to their short term nature. 18 After Balance Date Events There are no events subsequent to balance date which affect the financial report.

End of audited financial statements

112 ANNUAL REPORT 2007-2008 NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT Small Business Development Corporation of New South Wales Financial Statements

Small Business Development Corporation of New South Wales Financial report for the year ended 30 June 2008

NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT ANNUAL REPORT 2007-2008 113 Small Business Development Corporation of New South Wales Independent Auditor’s Report

114 ANNUAL REPORT 2007-2008 NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT Small Business Development Corporation of New South Wales Statement by Members

NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT ANNUAL REPORT 2007-2008 115 Small Business Development Corporation of New South Wales Financial Statements

Operating Statement for the Year Ended 30 June 2008

Actual Budget Actual 2008 2008 2007 Notes $’000 $’000 $’000 Expenses excluding losses Other operating expenses 2(a) 76 50 74 Total Expenses excluding losses 76 50 74 Less: Revenue Grants and contributions 73 50 74 Total Revenue 73 50 74 Gain / (loss) on disposal - -- Net Cost of Services (3) -- Total Government Contributions - -- SURPLUS / (DEFICIT) FOR THE YEAR (3) -

The accompanying notes form part of these financial statements.

116 ANNUAL REPORT 2007-2008 NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT Small Business Development Corporation of New South Wales Financial Statements

Statement of Recognised Income and Expense for the Year Ended 30 June 2008

Actual Budget Actual 2008 2008 2007 $’000 $’000 $’000 TOTAL INCOME AND EXPENSE - -- RECOGNISED DIRECTLY IN EQUITY Surplus / (Deficit) for the year (3) -- TOTAL INCOME AND EXPENSE (3) -- RECOGNISED FOR THE YEAR (3) --

The accompanying notes form part of these financial statements.

NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT ANNUAL REPORT 2007-2008 117 Small Business Development Corporation of New South Wales Financial Statements

Balance Sheet as at 30 June 2008

Actual Budget Actual 2008 2008 2007 Notes $’000 $’000 $’000 ASSETS Current Assets Cash and cash equivalents 4 - -- Total Current Assets - -- Total Assets - -- LIABILITIES Current Liabilities Payables 5 8 85 Total Current Liabilities 8 85 Total Liabilities 8 85 Net Assets (8) (8) (5) EQUITY Accumulated funds 6 (8) (8) (5) Total Equity (8) (8) (5)

The accompanying notes form part of these financial statements.

118 ANNUAL REPORT 2007-2008 NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT Small Business Development Corporation of New South Wales Financial Statements

Cash Flow Statement for the Year Ended 30 June 2008

Actual Budget Actual 2008 2008 2007 Notes $’000 $’000 $’000 CASH FLOWS FROM OPERATING ACTIVITIES Payments Other operating expenses (73) (50) (74) Total Payments (73) (50) (74) Receipts Grants and Contributions 73 50 74 Total Receipts 73 50 74 NET CASH FLOWS FROM OPERATING ACTIVITIES - -- NET INCREASE / (DECREASE) IN CASH - -- CLOSING CASH AND CASH EQUIVALENTS 4 - --

The accompanying notes form part of these financial statements.

NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT ANNUAL REPORT 2007-2008 119 Small Business Development Corporation of New South Wales Financial Statements

Notes to the Financial Statements for the Year Ended 30 June 2008

1 Summary Of Significant (b) Basis of preparation (e) Income recognition Accounting Policies The Corporation’s financial report Income is measured at the fair value is a general purpose financial of the consideration or contribution (a) Reporting entity report which has been prepared received or receivable. Additional The Small Business Development in accordance with: comments regarding the accounting Corporation of New South Wales policies for the recognition of income › applicable Australian are discussed below. (hereafter the “Corporation”), is Accounting Standards (which constituted under the Small Business include Australian Accounting Contributions from Other Bodies Development Corporation Act, 1984. Interpretations) The objectives of the Corporation are: Contributions from other bodies › the requirements of the (including grants and donations) are (i) develop policy objectives Public Finance and Audit Act generally recognised as income when for Government programs 1983 and Regulations; and the agency obtains control over the of assistance to the small › the Financial Reporting assets comprising the contributions. business sector of the economy; Directions published in the Control over contributions is normally obtained upon the receipt of cash. (ii) to evaluate such Government Financial Reporting Code for programs in the light of Budget Dependent General these objectives; Government Sector Agencies (f) Insurance or issued by the Treasurer. (iii) to make recommendations The Corporation’s insurance activities for improvement of such Judgements, key assumptions and are included in the Department of Government programs; and estimations management has made State and Regional Development’s are disclosed in the relevant notes insurance coverage conducted (iv) to assist the Government to the financial statements. through the NSW Treasury Managed generally in matters relating Fund Scheme of self insurance for to the development of the small All amounts are rounded to the Government agencies. business sector of the economy. nearest one thousand dollars and are expressed in Australian currency. The Corporation is a single (g) Grants, Subsidies program entity, the financial The Corporation has voluntarily and Industry Assistance operations disclosed in the elected to comply with Treasury’s Payments for grants, subsidies and Operating Statement and the Financial Reporting Code for the industry assistance are expensed at Balance Sheet are identical to the presentation of its financial report. the time the Corporation becomes Corporation’s program. Accordingly, liable to make the payment. The a separate supplementary program (c) Statement of compliance approval of the grant, subsidy or statement has not been prepared. The financial statements and notes assistance may cover a number The agency is a not for profit (as comply with Australian Accounting of years, and it is not considered profit is not its principal objective) Standards, which include Australian thata liability arises until conditions and has no cash generating units. Accounting Interpretations. specified in the approval have been met and a claim for payment This financial report for the year has been received. (d) Administrative Support ended 30 June 2008 has been authorised for issue by the Board The Department of State and (h) Payables of the Small Business Development Regional Development is responsible Corporation of New South Wales for administering the Small Business These amounts represent liabilities on 20th October 2008. Development Corporation Act 1984. for goods and services provided The functions and activities of the to the Corporation and other Corporation are considered to be amounts. Payables are recognised an integral part of the Department’s initially at fair value, usually based core small business portfolio activities on the transaction cost or face value. and is not an entity that operates Subsequent measurement is at independently to the Department. amortised cost using the effective The estimated cost of administrative interest method. Short term payables services provided by the Department with no stated interest rate are to the Corporation amounts measured at the original invoice to $132,000. amount where the effect of discounting is immaterial.

120 ANNUAL REPORT 2007-2008 NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT Small Business Development Corporation of New South Wales Financial Statements

Notes to the Financial Statements for the Year Ended 30 June 2008

(i) New Australian Accounting Revised AASB 101 Presentation In the period of initial application, Standards issued but › of Financial Statements and AASB the Corporation does not anticipate not effective 2007 8 Amendments to Australian any material impact on the figures Australian Accounting Standards Accounting Standards arising from reported in the financial statements. and Interpretations that have recently AASB 101. A revised AASB 101 been issued or amended but are not was issued in September 2007 (j) Going concern yet effective have not been adopted and is applicable for financial The Corporation is reliant on for the financial reporting period reporting periods beginning the continued ongoing financial ended 30 June 2008. These are on or after 1 January 2009 support of the Department of State listed as follows: › Revised AASB 123 Borrowing and Regional Development. The › AASB 8 and AASB 2007 3 are Costs and AASB 2007 6 Department will continue to provide effective for financial reporting Amendments to Australian ongoing financial support for at least periods commencing on or after Accounting Standards arising from the next 12 months and into the 1 January 2009 AASB 123 [AASB 1, AASB 101, foreseeable future. The Corporation AASB 107, AASB 111, AASB 116 has prepared its financial report › AASB1049 Whole of Government & AASB 138 and Interpretations and General Government Sector on a going concern basis based 1 & 12]. The revised AASB 123 is on this ongoing financial support. Financial Reporting applies to applicable to financial reporting reporting periods beginning periods commencing on on or after 01 July 2008 or after 1 January 2009.

2 Expenses Excluding Losses 2008 2007 $’000 $’000 (a) Other operating expenses Auditor’s remuneration for audit of the financial report 5 6 Administration Expenses 5 3 Contractors 25 30 Publications and advertising 3 10 Travel expenses 5 6 Printing 21 2 Other expenses 3 8 Meeting Fees and Expenses 9 9 76 74

3 Programs / Activities 4 Current Assets — Cash of the Agency and Cash Equivalents The Corporation’s functions are The Corporation did not hold cash or appropriated through the program, cash equivalents as at 30 June 2008 Development of the New South (30 June 2007 $Nil). Wales Economy, a program of the Department of State and Regional Development. Objective: To advance the economic development of New South Wales by securing sustainable economic and business growth in metropolitan and regional areas.

NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT ANNUAL REPORT 2007-2008 121 Small Business Development Corporation of New South Wales Financial Statements

Notes to the Financial Statements for the Year Ended 30 June 2008

5 Current Liabilities — Payables

2008 2007 $’000 $’000 Creditors 8 5 8 5

Details regarding credit risk, liquidity risk and market risk, including a maturity analysis of the above payables, are disclosed in Note 10.

6 Changes in Equity

Accumulated Funds 2008 2007 $’000 $’000 Entity Balance at the beginning of the financial year (5) (5) Changes in equity — other than transactions with owners as owners Surplus / (deficit) for the year (3) - Balance at the end of the financial year (8) (5)

7 Commitments 9 Budget Review 10 Financial Instruments for Expenditure Net cost of services The Corporation’s principal financial Expenditure commitments as at instruments are cash deposits held The actual Net Cost of Services 30 June 2008 for goods and services within the NSW Treasury Banking was greater than budget by $3,000. $ Nil (30 June 2007 $ Nil). System, short term receivables and Actual operating expenses were payables. These instruments expose greater than budget by $26,000 8 Contingent Liabilities the Corporation primarily to interest due to greater than budgeted rate risk on cash balances held within and Contingent Assets expenditure on contracting and the NSW Treasury Banking system and printing services for projects and The Corporation is not aware of credit risk on short term receivables. activities including workshops, any contingent liabilities and / or The Corporation does not enter into presentations and workshop booklets. contingent assets associated with or trade financial instruments for Actual revenue was greater than its operations. speculative purposes and does not budget by $23,000 to meet the use financial derivatives. increased Corporation expenditure.

Assets and liabilities Net assets were in line with budget.

Cash flows Net cash flows from operating activities was nil.

122 ANNUAL REPORT 2007-2008 NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT Small Business Development Corporation of New South Wales Financial Statements

Notes to the Financial Statements for the Year Ended 30 June 2008

(a) Financial instrument categories

Carrying Carrying Amount Amount 2008 2007 Note Category $’000 $’000 Financial Liabilities Class: Financial liabilities Payables (Note 1) 5 measured at amortised cost 8 5

Note 1. Excludes statutory payables and unearned revenue (i.e. not within scope of ASSB 7).

(b) Credit Risk (c) Liquidity risk unsecured) are settled in accordance with the policy set out in Treasurer’s Credit risk arises when there is Liquidity risk is the risk that the Direction 219.01. If trade terms are the possibility of the Corporation’s Corporation will be unable to meet not specified, payment is made no debtors defaulting on their its payment obligations when they later than the end of the month contractual obligations, resulting in a fall due. The Corporation continuously following the month in which an financial loss to the Corporation. The manages risk through monitoring invoice or a statement is received. maximum exposure to credit risk is future cash flows and maturities Treasurer’s Direction 219.01 allows generally represented by the carrying planning to ensure adequate the Minister to award interest for amount of the financial assets (net holding of high quality liquid assets. late payment. No interest was of any allowance for impairment). The liabilities are recognised for applied during the year (2007–$Nil). amounts due to be paid in the The table below summarises the future for goods or services received, maturity profile of the Corporation’s whether or not invoiced. Amounts financial liabilities, together with owing to suppliers (which are the interest rate exposure.

Maturity Analysis and interest rate exposure of financial liabilities

$’000 Maturity Dates Nominal Amount < 1 yr 1-5 yrs 2008 Payables: Creditors 88 - 88 - 2007 Payables: Creditors 55 - 55 -

(d) Fair Value The carrying value of receivables less any impairment provision and payables is a reasonable approximation of their fair value due to their short term nature. 11 After Balance Date Events There are no events subsequent to balance date which affect the financial report.

End of audited financial statements

NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT ANNUAL REPORT 2007-2008 123 Appendices, Index, Access Appendices

Appendix 1 Engagement of consultants 126

Appendix 2 Consumer response 127

Appendix 3 Controlled entities 127

Appendix 4 Credit card use certification 128

Appendix 5 Disability Action Plan 128

Appendix 6 Equal Employment Opportunity 130

Appendix 7 Ethnic Affairs Priority Statement 131

Appendix 8 Freedom of Information 134

Appendix 9 Government Sustainability Policy 138

Appendix 10 Grants to non-government organisations 139

Appendix 11 Guarantee of Service 150

Appendix 12 Human Resources 150

Appendix 13 Information and communication technology 150

Appendix 14 Internal Audit Bureau 152

Appendix 15 Land disposal 152

Appendix 16 Major assets 152

Appendix 17 Major works in progress 152

Appendix 18 Overseas travel 153

Appendix 19 Payment of accounts 155

Appendix 20 Privacy and personal information 155

Appendix 21 Publications and promotional material 156

Appendix 22 Research and Development 157

Appendix 23 Risk management and insurance 158

Appendix 24 Senior Executive Service (SES) 158

Appendix 25 Significant Committees Membership 160

Appendix 26 Waste reduction and purchasing policy 163

Appendix 27 Workers Compensation and Occupational Health and Safety 164

Access 165

Index 167

NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT ANNUAL REPORT 2007-2008 125 Appendices

Appendix 1 Engagement of consultants Consultants equal to or more than $30,000 Category and Name Cost Purpose Management Services Australian Market Research P / L 35,700 Annual client feedback survey Department of Premier and Cabinet 107,361 Infrastructure and traffic feasibility study The Nous Group 133,227 Creative industries economic fundamentals report Mack Management Consulting 40,000 Review of new market opportunities program McKinsey Pacific Rim Inc 350,000 Strategy to support Sydney as a financial services centre University of Tasmania 40,000 Report on innovation in the finance sector Organisational Review Corex P / L 143,551 Comprehensive review of tourism in NSW, including marketing, infrastructure, regulation and planning issues. John O’Neill, AO 58,009 Comprehensive review of tourism in NSW, including marketing, infrastructure, regulation and planning issues. Environmental Rare Consulting 61,364 Preparation of report into low carbon innovation Training Professor James A Talcott 43,124 Conduct seminars for research and industry groups on medical research and clinical trials Legal Caldrex Capital P / L 40,000 Legal and specialist advice on the aluminium industry Total Over $30,000 1,052,336

Consultants Less than $30,000 During the year, 53 other consultancies costing less than $30,000 were engaged in the following areas:

Category and Name Cost Legal 30,728 Information technology 63,309 Environmental 4,825 Management services 596,766 Total under $30,000 695,628

Total consultancies 1,747,964

126 NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT ANNUAL REPORT 2007-2008 Appendices

Appendix 2 › carrying out, by business › Mr Andrew Boog — Partner, undertakings and prescribed Austen Brown Boog Consumer response institutions, of projects that are › Ms Leigh Bryant — Director, All requests made to the Department likely to assist the establishment, Scorpion International Freight for information or assistance are expansion or development Services Pty Ltd met directly and promptly, and / or of industries. Mr Barry Buffier — Director are referred to the most appropriate › The Corporation acts as a vehicle General, Department of State officer. The Department’s for providing financial assistance to and Regional Development stakeholders and the community have investors. Projects are reviewed on a a number of avenues through which › Mr David Caruso — Managing case-by-case basis following rigorous they can offer feedback regarding Director, Alert Rental Centre analysis of their projected impact the level of consumer response and on the NSW economy, particularly › Mr Alan Eldridge — Managing customer service including contacting in relation to new technologies and Director, Eldridge Group of the Department’s principal office or skills. The financial statements for Companies regional offices, or by providing the Corporation are included in › Mr Greg Farmilo — Managing comments in writing or by email. this Report. Director, Beyond Financial The Department received no Group Pty Ltd Small Business Development significant consumer complaints Corporation of New South Wales › Mr Robert McCotter — during the reporting period. Commercial Director, Consequently, no changes to the The Small Business Development New Macey Pty Limited Department’s programs and services Corporation was established by legislation in 1984. › Mr Frank Oliveri — Director, were warranted on the basis of Home and Kitchen adverse consumer response. The The Corporation’s primary Ms Julie Staples — Partner, Department remains committed to objectives are to: › providing professional, courteous Tamworth Tax Team and prompt assistance to its clients › investigate matters relating to › Mr Frank Zumbo — Associate and the public in general. the small business sector of the Professor, Business Law and economy as the Minister may Taxation, University of NSW, The Department’s annual client refer to the Corporation Principal of Trade Practices & survey was conducted in October exercise functions relating to Competition Policy Consultancy 2007, with a sample of 716 clients › the development of the small who had received assistance during Note: Mr Barry Buffier, Director business sector of the economy the financial year. The overall General of the Department and as the Minister may confer satisfaction with assistance provided Ms Leigh Bryant, Director of Scorpion by the Department was high (86 per › investigate any other matters International Freight Services Pty Ltd cent). The satisfaction with the level relating to the small business were appointed to the Corporation of knowledge and service of the sector of the economy on 5 March 2008. Department’s staff was also high (91 › conduct enquiries into issues The Corporation’s membership per cent), as reported in the survey. affecting small business. from 30 June 2007 until 4 September 2007 comprised: Appendix 3 The Corporation’s current membership was appointed in September 2007 for › Mr John Lightfoot (Chair ) Controlled entities a three-year term and consists of 13 — Managing Director, Lightfoot members. Its membership is drawn and Associates Pty Ltd The Department administers, but does from small business and includes the not control, four entities as prescribed Department’s Director General. The › Mr Roger Bailey — Managing under Section 45A (1A) of the Public members of the Corporation are Director, Bailey Interiors Pty Ltd Finance and Audit Act 1983. appointed by the Governor on the › Mr Alan Eldridge — Managing recommendation of the Minister Director, Eldridge and Co Ministerial Corporation for Small Business. for Industry › Mr Loftus Harris — Director The Ministerial Corporation for The Corporation’s membership General, Department of State Industry is established under the from 5 September 2007 until and Regional Development State Development and Industries 30 June 2008 comprised: › Ms Karen Howard — Assistance Act 1966 No 10. Managing Director, › Ms Michele Greig (Chair) — Nineways Business Centre The Corporation’s functions Director, MBC Employment are to promote, encourage and Services › Ms Lexie Hurford — Assistant stimulate the: General Manager, Hurford › Mr Roger Bailey — Managing group of companies Director, Bailey Interiors Pty Ltd › establishment, expansion or › Ms Beata Kade — Managing development of industries › Dr Lisa Barnes — Lecturer, Business Law, University of Director, Art of Multimedia Pty Ltd Newcastle › Ms Margaret Lomas — Director, Destiny Financial Solutions Pty Ltd

NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT ANNUAL REPORT 2007-2008 127 Appendices

Appendix 3 (cont’d) › Ms Catherine Livingstone › Mr Russell Balding AO — AO — Director, Macquarie Chief Executive Officer, › Ms Maree Lowe — Director, Group Limited Sydney Airport Corporation ASI Solutions › Mr Philip Mussared — › Ms Helen Wong — Owner, › Mr Paul Martin — Managing Deputy Secretary, Operations, Helen Wong’s Tours Director, Ledacon Pty Ltd NSW Treasury › Mr Nicholas Papallo OAM › Mr Andrew Terry — Head of › Mr Mark O’Neill — former — President, Australian Italian School of Business Law and Executive Director, Australian Lawyers Association (NSW); Taxation, University of NSW Coal Association Honorary Trade and Investment › Mr Peter Wright — Managing › Dr David Skellern — CEO, Envoy for NSW to Italy; Chairman, Director, Central Commercial National ICT Australia Minerals Ministerial Council Printers Pty Ltd of NSW › Mr Greg Smith — Director, Further details of the Corporation’s Public Affairs, Animal Logic › Mr John Thorpe AM — Owner, Harbord Beach Hotel activities for the year are described › Dr Jonathan West — Director, in the Small Business Development Australian Innovation › Mr Narendra Kumar — Executive Division’s section within this report. Research Centre General Manager Regional Airlines, Qantas Airways; NSW Innovation Council Further details of the Council’s Director, Harvey Holidays In line with the announcement made activities during the year are described Ms Ruth Fagan — Owner, in the NSW Innovation Statement, › on page 61 within this report. Warrengi in Cowra an Innovation Council was established in September 2007 under the NSW Tourism NSW Board › Mr Philip Hélé — Owner, Innovation Council Act 1996. The Under the Tourism New South Wales Hunter Resort general function of the Council is Act 1984, the Board is appointed to lead the implementation of the by the Governor and is accountable Appendix 4 NSW Government’s approach to to the Minister for Tourism. Credit card use certification innovation in industry as outlined The Board advises the Minister in the Innovation Statement. for Tourism. The Director General, In accordance with the Treasurer’s The Council advises the Government Department of State and Regional Direction 205.01, it is certified on policies and strategies which Development, and Executive Director that credit card usage by all the create an environment where it is and General Manager Tourism NSW, Department’s officers during easier for businesses to innovate, regularly brief the Board on aspects 2007–08 was in accordance improve the innovative capacity of of state development and tourism with the appropriate Government the NSW private sector, help increase activities and performance, and seek policy, Premier’s Memoranda, investment and build stronger rural guidance on policy and operational and Treasurer’s Direction. and regional economies. The first matters. The tourism executive is stage of the Council’s work is to updated by the Executive Director Appendix 5 consider analyses of the opportunities and General Manager on Board for the NSW Government to improve recommendations. Disability Action Plan innovation in the five key sectors The following members were The Department’s Disability Action identified in the Innovation Statement. appointed in 2007–08: Russell Balding Plan ensures its operations take The Council comprises high level AO, Philip Helè and Helen Wong. the needs of people with disabilities representatives from private sector Following the resignation of Loftus into account. During 2008–09 the organisations, NSW Government Harris as Director General of the Department will take the opportunity agencies and research organisations. Department of State and Regional to review the program to ensure Current members are: Development (12 October 2007), its relevance in the provision of Michael Cullen took his position as effective Departmental services › Mr Steven Harker (Chair) — the acting Director General on the and information in line with whole Managing Director and CEO, Board until the appointment of Barry of Government initiatives Better Morgan Stanley Australia Buffier who was appointed to the Together and the State Plan. › Mr Barry Buffier — Director position from 2 January 2008. John A highlight for 2007–08 was the General, Department of State O’Neill resigned as General Manager Department’s partnership with the and Regional Development Tourism NSW in June 2008. University of Technology, Sydney (UTS) › Mr Michael Coutts-Trotter Tourism NSW’s current Board to develop a prototype accessibility — Director General, Department members are: website (www.sydneyforall.com). of Education and Training, and The project will facilitate accessible Managing Director, TAFE NSW › Mr Leslie A. Cassar AM KSJ destination experiences for people M.O.M. (Chair) › Ms Robyn Kruk — Director with a disability and is designed to General, Department of › Mr Denis Pierce (Deputy Chair) meet the international W3C Web Premier and Cabinet — Managing Director, ATS Pacific Accessibility Standards. The site will be user tested in the first half of 2008–09.

128 NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT ANNUAL REPORT 2007-2008 Appendices

Appendix 5 (cont’d)

Action Strategies Outcomes Physical Access Establishment of a single reception Refurbishments were completed area for MLC Centre located on and an access audit of the expanded Level 47. premises was completed to provide access for people with disabilities. Ensure changes are made to the premises to meet public and employee Induction Loop installed in needs as required. conference / meeting facilities for people with hearing impairments. Seek to have conferences funded by the Department held in locations with The Department’s funding guidelines access for people with disabilities. have been updated to include this requirement. Promoting Positive Departmental publications to profile Articles included in Community Attitudes business people with disabilities. Departmental publications. Employment and Training of staff Ongoing training programs Recruitment activities and training for recruitment panel members reflect merit based principles. develop an awareness of merit based selection principles. In order to provide appropriate assistance for people with writing Provide information to staff about difficulties, the Complaint Handling resources available to assist with Procedures, the Client feedback form workplace adjustments for people and the Guarantee of Service were with disabilities. reviewed and revised. Information about how to access resources included in induction, staff and management training programs. Information about services Develop policies and procedures Policies and procedures monitored that incorporate the needs of staff and revised as necessary. with disabilities. All public information is Monitor the format of guidelines on appropriate and accessible the Department’s services to identify to people with disabilities. barriers in the provision of information for people with disabilities. Raising Awareness Maintain and promote the Making Comprehensive information Connections Website as a valuable resource for people with spinal resource on spinal cord injury cord injury, their families, carers and conditions. and spinal cord injury researchers and healthcare professionals. Provide a grant and in-kind support to the Australasian Spinal Cord Grant applied by ASCIN to advance Injury Network (ASCIN) to facilitate treatments for spinal cord injury its establishment. and disease by promoting excellence in research and clinical practice through communication, collaboration and capacity building.

NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT ANNUAL REPORT 2007-2008 129 Appendices

Appendix 6 › revised the Department’s to child / eldercare resource kit, New Starter Pack to enhance subscription to an advisory / Equal Employment Opportunity awareness of EEO issues, referral service and employer policies and programs sponsored child care The Department is committed to implementing policies and practices, › provided information to › maintained membership with which meet legislative requirements staff through induction Diversity NSW as means of in terms of Equal Employment and training programs about exchanging information and Opportunity (EEO). resources available to assist enhancing our EEO initiatives with workplace adjustments participated in the Women’s Major EEO outcomes for the year: › for people with disabilities Forum as part of the consultation › reviewed and updated the › published a monthly HR process for the NSW Public Harassment and Bullying Newsletter for communicating Sector Women’s Employment Prevention Policy information to staff about key HR and Development Strategy. › incorporated EEO and Anti- issues, programs and initiatives › supported International Discrimination sessions conducted › provided opportunities through Women’s Day, by taking by the Anti-Discrimination the Performance Development a table at the UNIFEM Breakfast Board into the Management Program for managers to › participated in the coordinated Development Program integrate EEO accountabilities approach to advertising for the › reviewed and updated the with performance planning NSW Public Sector Indigenous Recruitment and Selection and evaluation processes, Cadetship Program Training Program to heighten and to identify training and career development needs › promoted the Department as an awareness of EEO issues and EEO employer, through advertising merit based principles › reviewed and updated the and promotional material. range of work and family initiatives which include Trends in the representation and flexible work options, access to distribution of EEO groups are appropriate facilities, subscription shown in the following tables.

A. Trends in the representation of EEO target groups % of Total Staff Benchmark EEO target group or Target 2005 2006 2007 2008 Women 50% 52 63 64 62 Aboriginal people and Torres Strait Islanders 2% 1.9 1.2 1.4 1.2 People whose first language was not English 19% 18 16 12 11 People with a disability 12% 5 5 3 3 People with a disability 7% 0.5 1.1 0.6 0.3 requiring work-related adjustment

B. Trends in the distribution of EEO Groups Distribution Index Benchmark EEO target group or Target 2005 2006 2007 2008 Women 100 87 84 80 87 Aboriginal people and Torres Strait Islanders 100 n/a n/a n/a n/a People whose first language was not English 100 96 92 97 96 People with a disability 100 n/a 101 n/a n/a People with a disability requiring 100 n/a n/a n/a n/a work-related adjustment

1. Staff numbers are as at 30 June 2008. 2. Excludes casual staff. 3. A Distribution Index of 100 indicates that the centre of the distribution of the EEO group across salary levels is equivalent to that of other staff. Values less than 100 mean that the EEO group tends to be more concentrated at lower salary levels than is the case for other staff. The more pronounced this tendency is, the lower the index will be. In some cases the index may be more than 100, indicating that the EEO group is less concentrated at lower salary levels. The Distribution Index is automatically calculated by the software provided by the Office of the Director of Equal Opportunity in Public Employment (ODEOPE). 4. The Distribution Index is not calculated where EEO group or non-EEO group numbers are less than 20.

130 NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT ANNUAL REPORT 2007-2008 Appendices

The Department continued to Appendix 6 (cont’d) re-establish the Department’s › promote the State’s language skills Women’s Development / to potential overseas investors. Planned Activities for 2008–09 Networking Group for female staff Promotional flyers were produced members and develop a program General to highlight to potential investors the of workshops. The Group’s role advantages of investing in New South › review the Department’s Code will be to promote networking Wales. During the year the Division’s of Conduct, Grievance Policy among female staff and suggest four Chinese language flyers were and Procedures, Induction strategies and initiatives to the updated. The Division’s Japanese Program and Management Department’s Senior Management language flyer and Chinese language Development Program Team that improve the workplace brochure remained current. › develop an Equity and Diversity for women and generally raise Plan, which incorporates the awareness among managers New South Wales — Asia EEO Management Plan and about the issues that affect Business Council (ABC) Aboriginal Employment Strategy women in the workplace. The During the year, the NSW–Asia › review and revise New Starter Department’s Spokeswomen Business Council was expanded Pack to include instructions will then undertake the role of a from 14 to 22 members. New for the collection of EEO data Steering Committee to drive this members brought strong linkages program forward in 2008–09. › analyse Workforce Profile Report to key markets such as China, India and the Middle East, and broadened to identify gaps in achievement Appendix 7 of benchmark targets the membership of the Council. The Council plays a valuable role analyse the Department’s Ethnic Affairs › in giving support and direction to Employee Assistance Program Priorities Statement NSW Government activities fostering report data and review formal The Department undertook a closer trade and investment relations grievances lodged. range of initiatives in supporting the with Asian economies. Aboriginal and Ethnic Affairs Priorities Statement. The Council hosted the 2007 Torres Strait Islander Investment, business Premier’s Asia Business Dinner, › implement Making It Our Business and skilled migration which was the Council’s showcase strategies to improve recruitment, The Department sponsored 452 event for 2007–08, attracting 460 development and retention of potential business migrants, an guests directly involved with trade Aboriginal and Torres Strait increase of three per cent from and investment between NSW and Islander people 2006–07. Over 80 per cent of Asian economies. The Council › participate in the NSW Public business migration applicants undertook an investment visit to Sector Indigenous Cadetship sponsored by the Department were Newcastle in May 2008. The visiting Program and internship programs approved by the Commonwealth group consisted of ABC members, the run through universities to Department of Immigration Australian–Asian business community, broaden access to employment and Citizenship. These business diplomatic corps and the Asian media. programs available to Aboriginal migrants are expected to invest over The focus of the visit was to showcase and Torres Strait Islander people $57 million, create almost 1,000 jobs the region’s potential for tourism, › explore potential for creating and and generate $530 million in exports education and wine exports. filling identified positions within over five years. The business migration Using Interpreter and Translators the Department program will continue in 2008–09. — Policy and Procedures › undertake recruitment to fill The Department prepared The Department developed a an identified graduate position. promotional material for distribution new policy Using Interpreters and Women at the World Youth Day event held in Translators — Policy and Procedures Sydney in July 2008. This will provide to provide guidance to staff on run elections for new › an opportunity to promote the State using interpreters and translators. Spokeswomen as a precursor to to potential business and skilled It provides practical tips and reinvigorating the Department’s migrants with a view to attracting information to staff who are Spokeswomen Program entrepreneurs and workers with involved in undertaking translations skills in demand to regional and of Departmental material, or metropolitan New South Wales. who need to use an interpreter.

NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT ANNUAL REPORT 2007-2008 131 Appendices

Appendix 7 (cont’d) Statistics on cultural and linguistic Nominations for people from diversity are kept for each Women in culturally and linguistically diverse Small Business Business Growth Strategy Workshop. backgrounds were encouraged via The Department’s Trade Promotion In 2007–08, results showed that the Expression of Interest form for Program offers NSW export ready approximately 27 per cent of Board representatives. companies an effective and efficient participants in metropolitan Sydney way to identify new international workshops and 13 per cent of The Chair and member positions were markets for their goods and services. participants in regional workshops advertised in the major Sydney and Trade missions and individual business come from culturally and linguistically Regional press and in five ethnic press visits to emerging markets around diverse backgrounds. publications: Chinese Daily, An Nahar the world are organised and NSW (Arabic), Greek Herald, La Fiamma business participation in international Business Advisory Services, located (Italian) and Chieu Doung exhibitions is supported. in areas with a high proportion of (Vietnamese). culturally and linguistically diverse The Department’s pre-departure business / owner operators, deliver Tourism NSW briefings are a key aspect of preparing special information services for Through the National Visitor Safety companies for their market visit. particular language groups on a Working Group, Tourism NSW was The briefings include sessions from demand-driven basis. For example, involved in initiatives to improve industry professionals covering the Chatswood Business Advisory visitor safety. The agency contributed various aspects of doing business Service (BAS) holds regular briefings towards the development of a overseas, including addressing with northern suburbs-based migrant brochure entitled Travel Safely in cultural issues and local customs groups such as MOSAIC (Willoughby Australia to help visitors learn more in the relevant markets. Council) and the Lower North Shore about travel safety in Australia. To Multicultural Network and the ensure that travel safety messages In 2007–08, the Department Australia–Chinese Business were consistent, accessible and conducted ten briefings for NSW Development Association. They also complete, the brochure was translated companies participating in scheduled attend regular meetings with NSW into seven languages: Chinese, French, trade missions and exhibitions to Adult Migrant English Service centres German, Italian, Japanese, Korean and Chile, China, India, Japan, Singapore, to highlight BAS services. The Spanish, and made available from all the United Arab Emirates, and the Northern Sydney Business Advisory State tourism organisations and most United States of America. Service runs regular Import Export visitor information centres. The Department also arranged Workshops in conjunction with Tourism NSW arranged promotional translations of marketing materials Hornsby Council with participants events and activities such as the for each company participating in drawn from the migrant population Focus on India event in August 2007 the trade mission to Japan and hired of the Hornsby area. to leverage destination promotion interpreters to facilitate business In addition, the Northern Sydney upon release of the Bollywood film, opportunities during the visit. BAS also has regular contact with Heyy Babyy, which was filmed in The Department developed a range the following ethnic organisations: Sydney. Some of the key messages of small business fact sheets, seven communicated during the Friendly Aliens Multicultural of which were translated into five › promotional events were targeted Association, Manly community languages (Arabic, at Indian leisure travellers, the Indian Chinese, Italian, Greek and › Ethnic Services through business community and the Indian Vietnamese). These brochures were Willoughby Council, Chatswood film community. The film is estimated distributed through the Department’s › Seva International Inc, St Ives to have reached a global audience ethnic community business networks of more than one billion viewers › Armenian General Benevolent (including the Indian community and Business Advisory Services (BAS) Union, Neutral Bay program contractors. The fact sheets in Australia) due to its broad were accessible on the Department’s › Community Settlement demographic appeal. Service Scheme, Crows Nest. small business website and sent in The Department also promoted hard-copy to members of the Small Business cultural events to a domestic community on request. Development Corporation audience as part of the Sydney brand The Western Sydney Business Centre The Small Business Development campaigns and these included: collaborated with the Australian Arab Corporation is a statutory advisory › Arts of Islam Exhibition — Business Network Inc by sourcing and body appointed by the Governor and Art Gallery of NSW assisting with speakers for its monthly recommended by the Minster. The Taisho Chic Exhibition — functions. The Sydney Business Corporation consists of 13 members, › Art Gallery of NSW Advisory Services provided regular four of which are women. The Chair business input to the Business Hour of of the Corporation, Ms Michele Greig, › Sydney Film Festival (World Films) the Muslim Community Radio 2MFM migrated from Italy. Ms Leigh Bryant, › Chinese New Year Festival a member, migrated to Australia 92.1 as well as advertising its business › Sydney Italian Festival assistance services in the radio’s from Germany. magazine Muslim Hub. › Primo Italian Festival

132 NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT ANNUAL REPORT 2007-2008 Appendices

Appendix 7 (cont’d) Communications initiatives The ethnic media schedule was based Throughout the year the Department upon the location of the events and › Gourmet Safari Tours within the has developed integrated strategic the communities residing in those multicultural communities of marketing initiatives promoting areas. The advertisements were Auburn, Cabramatta, Marrickville, business programs and services translated in Arabic, Chinese and Punchbowl, Haberfield, Earlwood to the ethnic or CALD (Culturally Vietnamese. Targeted print media › Sydney Eat Streets including and Linguistically Diverse) audiences included: An Nahar, Al Furat, Stanley St, East Sydney Norton St, in New South Wales, Australia Chinese Community News, Sing Tao, Leichhardt, Church St, Cabramatta and internationally. Using a mix Indus Age, Dan Viet, Saigon Times, National Indigenous Times. › Asian Fusion Dining in Sydney. of communication channels and collateral, the Department Biofuels 2007 Comprehensive multilingual consumer produced materials to support The Department developed an websites were developed and various campaigns. advertising campaign promoting launched in seven languages including the introduction of the NSW Traditional and Simplified Chinese, In terms of identifying which Government’s ethanol mandate. Japanese, Korean, Italian, French and ethnic communities should be The media selected was based on German. Tourism NSW websites now targeted through the communications nationalities which have the highest cater for fifteen international markets. program, the Department reviewed population potential within New The Department will continue to 2001 ABS statistics, and consulted South Wales. develop and support its existing with relevant Divisions. The major campaigns complied with multilingual consumer websites Translated advertising appeared in requirements to use ethnic media in 2008–09. Arabic, Chinese and Vietnamese in outlets as below: the following print media: An Nahar, Retail Tenancy Payroll Tax Incentive Scheme 2007 Al Furat, Australian Chinese Daily The Retail Tenancy Unit (RTU) The Payroll Tax Incentive Scheme and Dan Viet. Advertising in English provides interpreter services for appeared in The Indian Link. clients. Application forms for Retail is a key element of the NSW Lease Disputes and Rental Bond Government’s approach to assisting Business Migration 2007 new and existing businesses to Disputes include an area to self- The Department translated the establish and grow in locations where nominate the need for an interpreter. existing Business Migration Visa unemployment is above the State The RTU has documented procedures 163 and 892 flyers into simplified average. The ethnic media schedule for the use of interpreters in Chinese providing information on was planned around ‘eligible for the mediation processes and maintains a the main NSW State sponsored visas. incentive’ areas in New South Wales record of calls and mediation sessions The publications have been placed targeting the main communities requiring an interpreter. Disputes are on the Department’s website and residing within those areas and analysed for cross-cultural conflict are distributed at national and regions in Sydney. content and where necessary an international Trade Expos. appropriate mediator with cross- Translated advertising to communicate Red Tape Review 2007 cultural skills is appointed. Staff and the scheme in Arabic, Chinese and mediator feedback is sought on the Vietnamese appeared in the following The Red Tape review is a NSW effectiveness of services provided print media: An Nahar, Al Furat, Government initiative reviewing where interpreters are used. Data Australian Chinese Daily, Chinese industry sectors to reduce the has also been analysed and used Community News, Chinese Sydney administration and financial burden to inform the development of Weekly, Sing Tao, Chieu Duong, of regulatory compliance for small translated publications. Dan Viet, Saigon Times. businesses in New South Wales. The Retail Tenant’s Guide has been Small Business September 2007 An advertising campaign calling for input and submissions from Turkish, translated into Arabic, Chinese, The Department developed a branded Macedonian, Spanish, Vietnamese, Korean, Turkish and Vietnamese. campaign promoting Small Business Greek, Chinese and Russian The Unit, which has developed and September 2007 events aimed at communities into the real estate, produced an Information Kit for Retail small to medium-sized businesses in rental and hiring industries was placed Tenants during the year, is planning to New South Wales. The events were in the following print media: An have it available in several languages. designed to assist business owners Nahar, Australian Macedonian weekly, and operators enhance their business Dunya Turkish News, Spanish Herald, skills and knowledge, increase their Viet Luan, Greek Herald, Novosti, network of contacts and gain market Dan Viet, Hoju Dong — A, Australian intelligence to help grow Chinese Daily, Chieu Duong, their businesses. El Telegraph, Sing Tao.

NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT ANNUAL REPORT 2007-2008 133 Appendices

Appendix 7 (cont’d) Appendix 8 › developing and implementing strategic frameworks for the Home Based Business Freedom of Information Week Campaign 2008 State’s research sector The Home Based Business Week The following information is set › managing and administering Campaign is a fully integrated out in accordance with the format medical research grants programs prescribed in the Premier’s branded campaign promoting events promoting New South Wales Department Freedom of Information › aimed at home based businesses in destinations to international (FOI) Procedure Manual, 1994. New South Wales. The events were and domestic visitors. designed to assist business operators Statement of Affairs enhance their skills and knowledge, Arrangements for public Under the Freedom of Information participation in policy formulation increase their network of contacts Act 1989, each agency is required The Department invites public and gain market intelligence to help to publish an annual Statement of participation in policy formulation grow their businesses. Affairs. The Statement describes the through private sector membership structure and functions of the agency The ethnic media schedule was based on Advisory Committees and and lists the categories of documents upon the location of the events and Development Boards including: held by the agency. It also sets out the communities residing in those the Small Business Development how to obtain documents that are areas. The advertisements were Corporation, Regional Development eligible for public scrutiny under translated in Arabic, Chinese and Boards, the Tourism NSW Board, legislation. The following information Vietnamese. Targeted print media Regional Tourism Organisations, satisfies the legislative requirements included: An Nahar, Al Furat, Chinese business forums, research and of the Act. Community News, Sing Tao, Indus other non-profit organisations. Age, Dan Viet and the Saigon Times. Structure and functions Categories of documents held The Department was created in Industry In accordance with the Freedom December 1995 following the The Department supported the of Information Act 1989, the amalgamation of the Department launch of a publication on the history Department holds the following of State Development and the of the de Luca family, master gelato categories of documents: makers. The Department used the Department of Business and Regional story as a case study of a successful Development. The Department’s › correspondence with other business migrant to New South Wales. expanded structure, functions and governments, local councils, Stepan Kerkasharian, Chair of the charter are detailed at the beginning community groups, the Multicultural Affairs Commission, of this Report. private sector was guest speaker. The event Effect of functions on › briefing papers and advice attracted around 120 people. members of the public to Ministers, departments and authorities The Department promoted the Much of the Department’s work cultural attributes of the State’s food has an indirect impact on the general › plans, sketches, diagrams suppliers (including Halal or Kosher public. By encouraging investment, and photographs relating certified products) through its NSW exports, industry development, to projects and programs Food Export Directory and various tourism and science and medical › overseas travel arrangements research, sustainable jobs were promotional activities undertaken › consultants’ reports to help local companies identify new created for the people of New export markets, including inbound South Wales. › documents relating to committees serviced by the Department buyer missions, overseas in-store The Department’s business, tourism, internal administration, including promotions and trade exhibitions. and science and medical community › recruitment and accommodation, target markets were directly The Australian International Sporting staff and establishment, financial influenced by the Department’s Events Secretariat, a collaborative and expenditure, management activities in: initiative by the Department and the and audit, records management Victorian Government, published two assisting major commercial industry directories, The Golden Pages › › itineraries and programs for projects, providing key business visiting trade delegations of Australian Olympic Expertise and information and statistics, and The Winning Edge in English and and other designated assisting existing businesses with significant visitors. Chinese to promote Australia’s projected expansion and new capability in the major international domestic projects Specific documents events industry in the China market and publications and among Chinese speakers. › providing advice and access to business skills and information, The Department maintains a number encouraging the development of policy documents and produces of exports and the provision a number of publications relating of support for international to its functional role. A full list of trade markets documents published is listed in this Report on page 156. Copies can be obtained free of charge by contacting:

134 NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT ANNUAL REPORT 2007-2008 Appendices

Appendix 8 (cont’d) Freedom of information statistics for 2007–08 The Communications Unit Section A NSW Department of State Numbers of new FOI requests and Regional Development Level 47, MLC Centre FOI Requests Personal Other Total 19 Martin Place A1 New (including transferred in) - 8 8 SYDNEY NSW 2001 Tel: (02) 9338 6859 A2 Brought forward - 1 1 Fax: (02) 9338 6890 A3 Total to be processed - 9 9 Email: A4 Completed - 8 8 [email protected] Hours: A5 Transferred out - - - Monday–Friday 9.00am–5.00pm. A6 Withdrawn - - - Archives A7 Total processed - 8 8 Out of date or inactive files, as A8 Unfinished - 1 1 classified by the Department’s disposal schedule (approved by the Section B State Records Authority) in accordance with the State Records Act, 1998, are What happened to completed requests? stored at the Government’s Record Result of FOI Request Personal Other Repository in Kingswood, Sydney. B1 Granted in full - 2 Computer-based information B2 Granted in part - 1 The Department maintains a number B3 Refused - 5 of websites and related information B4 Deferred - - tools that provide up to date business information to the public. B5 Completed - 8 Access arrangements, Section C procedures and points of contact An application and $30 fee should Ministerial Certificates accompany requests for access to C1 Ministerial Certificates issued - documents under the FOI Act. An application is available from the Section D FOI Coordinator. Upon receipt of a request, the applicant will be advised Formal consultations of the outcome of the application within 21 days, subject to the Issued Total provisions of the Act. D1 Number of requests -2 requiring formal consultation(s) Requests for access to documents should be made to: Section E FOI Coordinator NSW Department of State Amendment of personal records and Regional Development Result of Amendment Request Total Level 49 MLC Centre E1 Result of amendment — agreed - 19 Martin Place E2 Result of amendment — refused - SYDNEY NSW 2001 Tel: (02) 9338 6600 E3 Total - Fax: (02) 9338 6830 Email: Section F [email protected] Notation of personal records Rebates of 50 per cent are offered F3 Number of requests for notation - on all charges: › for pensioners › for non-profit organizations › where a public interest can be demonstrated.

NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT ANNUAL REPORT 2007-2008 135 Appendices

Appendix 8 (cont’d)

Section G FOI requests granted in part or refused — Basis of disallowing access — Number of times each reason cited in relation to completed requests granted in part or refused.

Basis of disallowing or restricting access Personal Other G1 Section 19 (application -- incomplete, wrongly directed) G2 Section 22 (deposit not paid) - - G3 Section 25 (1) (a1) (diversion of resources) - 5 G4 Section 25 (1) (a) (exempt) - - G5 Section 25 (1) (b), (c), -1 (d) (otherwise available) G6 Section 28 (1) (b) (documents not held) - 1 G7 Section 24 (2) — -1 deemed refused, over 21 days G8 Section 31 (4) -- (released to Medical Practitioner) G9 Totals - 8

Section H Costs and fees of requests processed — does not include costs and fees for unfinished requests. (Results for these are included in Line A8).

Assessed FOI fees costs received H1 All completed requests - $320

Section I

Type of discount allowed Personal Other I1 Public Interest - - I2 Financial Hardship — Pensioner / Child - - I3 Financial Hardship — Non-profit organisation - - I4 Totals - - I5 Significant correction of personal records - -

Note: Except for item I5, items I1, I2, I3 and I4 refer to requests processed as recorded in A7. For I5, however, show the actual number of requests for correction of records processed during the period.

Section J Days to process — calendar days Elapsed Time Personal Other J1 0–21 days - 3 J2 22–35 days - 3 J3 Over 35 days - 2 J4 Totals - 8

136 NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT ANNUAL REPORT 2007-2008 Appendices

Appendix 8 (cont’d)

Section K Processing time — (A4) by hours taken to process (completed) Processing Hours Personal Other K1 0 – 10 hrs - 7 K2 11 – 20 hrs - 1 K3 21 – 40 hrs - - K4 Over 40 hrs - - K5 Totals - 8 hours

Section L Reviews and appeals — number finalised during the period L1 Number of internal reviews finalised 2 L2 Number of Ombudsman reviews finalised - L3 Number of Administrative Decisions Tribunal - appeals finalised

Details of internal review results — in relation to internal reviews finalised during the period Basis of Internal Review Personal Other Grounds on which internal review requested Upheld * Varied * Upheld * Varied * L4 Access refused - - - - L5 Deferred - - - - L6 Exempt matter - - 1 1 L7 Unreasonable charges - - - - L8 Charge unreasonably incurred - - - - L9 Amendment refused - - - - L10 Totals - - 1 1 * Relates to whether or not the original agency decision was upheld or varied by the internal review.

NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT ANNUAL REPORT 2007-2008 137 Appendices

Appendix 9 Planning Performance against goals In line with the NSW Government The Department used 9,486 Government Sustainability Policy, the Department gigajoules of energy, which generated Sustainability Policy will rate the environmental 1.767 tonnes of carbon dioxide. The new NSW Government performance of both its Sydney When compared to the 1996–97 Sustainability Policy supersedes CBD locations to the National base year, the 2007–08 usage is less the Energy Management Policy Australian Built Environment Rating than 1 per cent increase in energy and encapsulates a broader range Scheme (NABERS) on a 1–5 star consumption. This is a significant of sustainability issues including: scale. The outcomes of these ratings achievement as the 1996–97 base will be reviewed with the view year related to 50 per cent less staff. › sustainable water and energy use to increasing the Department’s The reduction in the total number of › reducing greenhouse gas overall GreenPower purchasing. litres of fuel used in the motor vehicle emissions fleet also contributed to the reduction Throughout the next twelve in energy during the 2007–08 waste and fleet management and › months the Department will be reporting period and represented › sustainable purchasing. closely monitoring its fleet mix a 27 per cent reduction in comparison and utilisation. The Department to the 1996–97 base year. The new policy establishes new continues to target replacement targets and benchmarks that will be vehicles with smaller engine capacities Future Direction disclosed in future years’ reporting. and high Environmental Performance As targets in the new policy Corporate Commitment Scores (EPS). become known, the Department is The Department is aware of the committed to meeting the challenges NSW Government’s commitment of achieving these targets and to becoming carbon neutral by assisting the Government in leading 2020 and is prepared to adopt the by example. principles of the new policy wherever possible, to ensure efficiency in its use of water and energy, by producing less waste, and by taking advantage of the Government’s purchasing power to drive efficiency and environmental sustainability.

138 NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT ANNUAL REPORT 2007-2008 Appendices

Appendix 10 Grants to non-government organisations

Organisation Project Amount Business Surviving Drought Program Provides a range of measures to help established regional non-farm businesses to survive the drought. Assistance includes payroll tax relief, business improvement and recovery strategies, business surviving drought workshops and other initiatives. Rotary Club of Deniliquin Inc Conduct ‘Family Gathering Events’ for rural families $800 Community Economic Development Program The program is designed to increase business and economic activity and foster commitment from local government to economic development. The program benefits the broader community, particularly the business community. Organisations such as chambers of commerce and local Councils are eligible to apply on behalf of their community. Baradine Progress Association Inc Project coordinator for development of an investment prospectus $7,000 Brunswick Heads Chamber of Commerce Research and development of a tourism trail $2,500 Camden Haven Community College Marketing materials $7,000 Central Western Regional Development Board Marketing and promotion $1,792 Committee of Speed on Tweed Pty Inc Events Subsidy — Speed on Tweed $9,000 Coolah District Development Group Events Subsidy — Jazz in the Tops $10,000 Cowra Tourism Business / Tourism Development $2,500 Cowra Tourism Business retention and expansion survey $2,115 Dunedoo & District Development Group Inc. Employment of an event coordinator and promotion $5,000 of Bush Poetry Festival Dunedoo and District Development Group Inc Workshop on taking advantage of festival activities $2,620 Ettalong Beach Business Group Inc Marketing plan, marketing materials and surveys $8,825 Gloucester District Chamber of Commerce Inc Business retention and expansion survey $4,000 Kurri Kurri — Towns With Heart Inc Event subsidy $7,000 Lake Eucumbene Chamber of Commerce Towards the Future Direction project $7,500 Molong Advancement Group Funding towards event coordinator and administration costs $10,000 Moree on a Plate Inc Events subsidy $10,000 New Train Incorporated Event co-ordination and marketing $5,000 Northern Regions CED Training Cost — New England $180 Orana Valley Axmen Event promotion and development of a business / marketing plan $4,000 Outback Beds Inc Outback Beds Farm Tourism Network Development $5,610 Forbes Promotion & Development Inc Marketing and promotion — Forbes Speciality and Boutique $1,318 Shopping Guide Shoalhaven Business Chamber Inc Impact Environment Conferences — Mid Coast Eco Expo $4,000 Snowy Monaro Business Entertainment Establish a Rural Enterprise Facilitation Centre $5,000 Centre Inc The Milparinka Heritage & Tourism Assoc Promotion and marketing of region $10,000 Thredbo Chamber of Commerce Bushfire Recovery Project $9,000 Trangie Action Group Funding towards Crossing the Divide Festival $5,000 Uralla Arts Council Inc Promotional and marketing / material activities $5,000 Weereewa — A Festival of Lake George Employment of event co-ordinator and promotional activities $5,000 Committee Inc White Cliffs Opal Field Tourist Association Community strategic plan, marketing and promotional projects $4,500 Wollombi Heritage Tourism Business / tourism development $5,750 Wollombi Valley Chamber of Commerce Develop and establish a community website $5,000 Woodburn Chamber of Commerce Business / tourism development $7,500 Woolgoolga Chamber of Commerce Multicultural cuisine, dance and music festival $5,000

NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT ANNUAL REPORT 2007-2008 139 Appendices

Appendix 10 (cont’d)

Organisation Project Amount Wyong Regional Chamber of Commerce Business / Tourism Development $12,050 Yeoval Progress Assoc Event coordinator for the Mulga Bill Festival $12,500 Local government organisations Armidale Dumaresq Council Business planning $5,000 Bathurst Regional Council Promotion of Newtown’s Playground event at Mt Panorama $12,500 Carrathool Shire Development of the Carrathool Shire Tourism Brochure $3,250 Clarence Valley Council Employment of Economic Development Officer $7,500 Clarence Valley Council Strategic planning $2,061 Clarence Valley Council Consultancy fees for events and festival development workshops $3,650 Cooma Monaro Shire Council Tourism / business development $3,750 Cowra Shire Council Employment of Economic Development Officer $12,500 Forbes Shire Council Development of a new Tourism Plan for the Shire $3,475 Great Lakes Council Forster Anaconda Adventure Race 2007–08 $12,000 Greater Hume Shire Assistance towards Holbrook Festival $7,000 Inverell Shire Council Business and Industry Development Project $12,000 Jerilderie Shire Council Production of the Jerilderie Visitors’ Guide $4,680 Lake Macquarie City Council Strategic planning $12,500 Leeton Shire Council Economic Development Strategy planning workshops $2,609 Liverpool Plains Shire Council Employment of economic development officer $3,000 Liverpool Plains Shire Council Mainstreet Coordinator training $1,000 Narrabri Shire Council Business and marketing plan for Nosh on the Namoi $3,000 Narrandera Shire Council Business workshops and business plan for the John O’Brien Festival $2,500 Parkes Shire Council Employment of an events officer $12,500 Port Stephens Council Strategic planning $1,935 Shoalhaven City Council Printing, advertising and promotional materilal $5,000 Temora Shire Council Marketing and promotion of the Temora Festival $4,000 Tumbarumba Shire Council Employ Economic Development Officer $15,000 Tumut Shire Council Employ a Community Events Co-ordinator $5,000 Upper Hunter Shire Council Youth forum facilitation $4,431 Upper Lachlan Shire Council Brochure to showcase local produce, wine and art $3,175 Uralla Shire Council Tourism development $7,500 Uralla Shire Council Employ Economic Development Officer $12,500 Uralla Shire Council Employ Economic Development Officer $35,000 Wakool Shire Council Production of tourism / event marketing materials $10,000 Wellington Council Tourism signage in Wellington $7,500 Wollongong City Council Business Retention and Expansion Surve(BRE)y $4,500 Young Shire Council BRE Survey $1,884

Developing Regional Resources Provides funding for local or regional organisations investigating economic opportunities and pursuing innovative approaches to economic development. Arts Mid North Coast Network development $20,000 Arts Mid North Coast Market research of creative industries on Mid North Coast $3,750 Australian Film & Television School Pilot business workshops for filmmakers in 2 regional NSW locations — $58,066 Northern Rivers and Illawarra

140 NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT ANNUAL REPORT 2007-2008 Appendices

Appendix 10 (cont’d)

Organisation Project Amount Broken Hill Community Foundation Network Development $12,500 C B Alexander Foundation Employ Economic Development Officer $10,000 Central Coast Tourism Inc Economic Impact Survey on the Australian Springtime Flora Festival $2,000 Central Coast Tourism Inc Event 2008 Australian Regional Economies Conference $5,000 Centroc Employment of Industry Development Officer $60,000 CRC for Sustainable Tourism Pty Ltd Tourism development $10,000 Enterprise and Training Company Employment of Industry Development Officer $25,000 Gowest Regional Development Board Sponsorship Orana Business Excellence Awards $3,000 Gowest Regional Development Board Strategic planning $909 Hawkesbury and Patonga Creek Review of environmental factors to assist in the restructure $7,875 Oyster Restructure Association of the oyster industry Hunter Business Chamber Sponsorship Business Development Forums $3,000 Hunter Economic Development Corporation Feasibility Study / Plan for proposed development of an intermodal $25,500 freight hub Hunter Manufacturing Awards Inc Sponsorship — Hunter Manufacturing Awards $5,000 Hunter Region Business Enterprise Centre Inc Sponsorship Hunter Region Business Excellence Awards 2008 $400 Hunter Valley Vineyard Association Strategic Partnership for Trade Fairs in Qld $2,500 Hunter Valley Wine Industry Assoc Good Food and Wine Show — Brisbane Qld 2007 $1,878 Hunter Wetlands Centre Assistance to employ Marketing Manager and Marketing Assistant $15,511 Illawarra Business Chamber IBC Business Expo 2008 Sponsorship $1,000 Illawarra Business Chamber Sponsorship of the Illawarra Business Awards 2008 $4,150 Illawarra Business Chamber of Commerce Assistance with funding a pilot “Illawarra Business Vitality Project” $12,000 Illawarra Innovation Industry Network Strategic Partnership Project — Targeting Skills Needs $9,000 Illawarra Innovation Industry Network 2007 Targeting Skills Needs $14,750 Illawarra Innovative Industry Network Network development $26,000 Inland NSW Tourism Awards Inc Marketing and promotion of Inland NSW Tourism Awards 2007 $1,000 Northern Inland Regional Development Board Preparation of food and wine brochure $5,000 Northern Rivers Screenworks Inc Operation of the Northern Rivers Film and Television Office $15,000 Northern Rivers Visual Arts Network Inc Employ Economic Development Officer $10,000 Orange Chamber of Commerce & Industry Inc Assistance to host the 2007 Business Awards in Orange $2,500 Orange Regional Vignerons Association Produce and launch event marketing collateral $10,000 Parkes Forbes Enterprise Development Centre Inland Aboriginal Regional Small Business Awards $1,500 Port Macquarie Community College Home Based Business Workshops $5,550 Poultry Meat Industry Committee Research / Development of Code of Practice $20,000 Shoalhaven Area Consultative Committee Inc Shoalhaven Womens Conference 06 $500 Southern Highlands Manufacturers Cluster Engagement of a Co-ordinator to organise Expos for 2007 & 2008. $6,500 Southern Highlands Vignerons Association Sponsorship of awards — Bronze sponsor $500 Tweed & Coolangatta Tourism Inc Business plan $10,000 Tweed Tourism Inc Workshop / Event — from the Australian Export Council Symposium $3,150 and the Australian Tourism Exchange Tweed Tourism Inc Strategic Planning — Taste the Tweed Project $5,000 Upper Hunter Country Tourism Inc Promotional and marketing activities $10,000 Walgett Shire Council — Lighting Strategic business plan $3,450 Ridge Opal & Fossil Centre Inc. Walgett Special One Co-op Ltd Feasibility Study for value-adding to products $20,000

NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT ANNUAL REPORT 2007-2008 141 Appendices

Appendix 10 (cont’d)

Organisation Project Amount Wallis Lake Fisherman’s Co-op Ltd Business Plan to identify opportunities for long term sustainability $6,250 Wellington Fundraisers Inc Marketing and promotion of the Percy Street Harvest Festival $500 Young Achievement Aust 2008 YSS’s Business Skills Program in regional NSW $12,000 Local government organisations Broken Hill City Council Feasibility study for Far West NSW Growth Strategy $4,718 Cessnock City Council “Wine Hunter” marketing project $3,000 Cessnock City Council Transport and accommodation for visiting media $3,000 Coffs Harbour City Council Coffs Harbour investment attraction strategy promotion material $10,000 Cooma Monaro Shire Council Employment of Economic Development Manager $10,000 Coonamble Shire Council Feasibility study towards investment plan to attract new operators $10,000 Forbes Shire Council Implementation of Council’s Economic Development Strategic Plan $18,750 Gosford City Council Strategic Partnership Australian Sister Cities Assoc 08 Conference $4,500 Great Lakes Council Strategic planning $10,000 Hasting Council Sponsorship Australian Regional Economies Conference $4,000 Hunter Councils Inc Employment of Industry Development Officer $50,000 Hunter Councils Inc Business plan to identify potential partners, funding sources $6,000 and viability of establishing a Regional Data Centre Hunter Councils Inc Employment of Industry Development Officer $10,000 Nambucca Shire Council Sponsorship NSC Investment Tour $348 Port Macquarie Council Promotional & Marketing / Material Activities $7,500 Port Stephen Council Consultancy / Development Strategy $39,997 Shellharbour City Council Marketing the Illawarra Regional Airport $20,000 Shellharbour City Council Economic Gardening Project stage 2 $25,000 Shoalhaven City Council Investment plan to attract new operators $9,523 Singleton Council Strategic planning for Singleton $15,000 Tweed Shire Council Development of a business and marketing plan for a marine $19,019 environment Education Centre at Hastings Point Upper Hunter Shire Council Employ Economic Development Officer $35,000 Wakool Shire Council Planning — Master Plan $13,655 Wingecarribee Shire Council Feasibility Study / Plan for a Southern Highlands located logistics $10,000 distribution centre Wollongong City Council Wollongong Investment Attraction Strategy $30,000 Wyong Shire Council Sponsorship of the Wyong Shire Strategic Vision Speakers $3,000 and Speculation Program Young Shire Council Undertake a commercial and industrial lands review $25,000

Main Street / Small Towns Assists communities to take a strategic and proactive approach to their economic development Brunswick Heads Chamber of Commerce Inc Development of a branding identity and logo, a township marketing $3,000 plan and materials, a tourism audit, customer survey Cessnock Chamber of Commerce Rand community planning project $10,000 Hay Tourism & Development Inc Staging of “Inverell on display” $12,500 Illawarra ITEC Ltd Funding towards BRE Survey, Business Workshop and Toolkit $4,000 Karuah Working Together Inc Establishment of a Southern Highlands Small Business Club $12,370 for home based and small businesses Kincumber & District Neighbourhood Design and production of a promotional brochure $8,250 Centre Inc

142 NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT ANNUAL REPORT 2007-2008 Appendices

Appendix 10 (cont’d)

Organisation Project Amount Mudgee Region Tourism Inc Part time Event Coordinator for Hay Shire $4,104 Myall Waterways Chamber of Commerce Inc Develop an economic rejuvenation plan for South Grafton $2,500 Perisher Resorts Chamber of Commerce Undertake a skill development programme $10,000 Wentworth Regional Employ Economic Development Officer $3,000 Economic Development Inc. Local government organisations Ballina Shire Council Funding towards BRE Survey, Business Workshop and Toolkit $10,750 Bathurst Regional Council Newtons Playground — Mt Panorama Gravity-filled festival $12,500 Cabonne Council Brochure to promote the 11 towns in Cabonne $2,000 Carrathool Shire Council Community strategic planning and tourism marketing workshop $5,731 Clarence Valley Council Develop an economic rejuvenation plan for South Grafton $5,000 Coolamon Shire Coolamon on Display Event 2006 promotional activities $5,000 Eurobodalla Shire Council Marketing activities and employ a coordinator for Moruya’s $1,350 River of art festival Eurobodalla Shire Council TV and print media promotional campaign for Narooma $15,024 Forbes Shire Council Development of a new Tourism Plan for the Shire $4,500 Greater Taree City Council Strategic plan for Greater Taree $17,500 Inverell Shire Council Staging “Inverell on display” $2,000 Lismore City Council Nimbin strategic event coordination for two years $5,000 Lismore City Council Create a walking track in the village of Nimbin $2,500 Narrabri Shire Council Employment of Community Economic Development officer, $55,800 workshops and BRE survey Tamworth Regional Council Employment of an Event Co-ordinator $20,000 Tamworth Regional Council Planning workshops $15,000 Tumbarumba Shire Council Marketing to attract skilled and non-skilled labour to the town $4,500 Urana Shire Council Rand community planning project $7,500 Warrumbungle Shire Council Economic Development and Tourism Marketing Strategic Plan 2005–10 $2,500

Regional Development Board Innovation Program This program aims to develop best practice, innovative methods, techniques and approaches in the field of local / regional economic development; assist Boards in responding to local / regional development needs; and assist Boards in addressing identified strategic priorities for their region. Business Central Coast Business development program with the Central Coast Mariners $100,000 Football Club Business Central Coast Study to identify and improve educational outcomes in the region $45,000 Capital Region Development Board Capital Region Film and Television Production Liaison Program $64,380 Capital Region Development Board Employment of Industry Development Officer $35,000 Capital Region Development Board Rollout of broadband services to the Australian Capital Region $20,000 Capital Regional Development Board Expansion of CRDB Regional Certifying Body Services for Skilled $10,000 Migration Work Visas (s457 Visas) Central West Regional Development Board Funding for the attraction of skilled migration $20,000 Central Western Regional Development Board Industry and skills development project in the Orange & Parkes region $30,000 Central Western Regional Development Board Production and distribution of a quarterly regional business survey $21,803 incorporating Central West and Orana regions Central Western Regional Development Board Map and survey the existing creative industries sector in the Western $25,000 central region Central Western Regional Development Board Four business confidence surveys throughout regional NSW $7,268 Central Western Regional Development Board Telecommunications Readiness Strategy $5,000

NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT ANNUAL REPORT 2007-2008 143 Appendices

Appendix 10 (cont’d)

Organisation Project Amount Far Western Regional Development Board Project coordinator, marketing, equipment hire / lease, and training $20,000 Far Western Regional Development Board Business events to be held during Small Business September $12,000 Far Western Regional Development Board Feasibility study into building a pavilion in Broken Hill $1,521 Far Western Regional Development Board Arts / cultural research in the Far West $5,000 Gowest Regional Development Board Small community retirement design $4,365 Gowest Regional Development Board Orana Regional Excellence in Business Awards $4,400 Gowest Regional Development Board Collaborative regional airport advertising and promotion 2007 $10,000 Gowest Regional Development Board Contribution towards costs for promotion of three events $7,000 Gowest Regional Development Board Four business workshops, ‘Making Business Work’ $3,000 Gowest Regional Development Board Attract retrenched Mitsubishi workers to the Orana Region $10,000 Greater Western Sydney Towards the project ‘Make It In Macarthur Investment Drive’ $10,000 Economic Development Board Greater Western Sydney Employment of the Marketing & Events Officer for the third $96,000 Economic Development Board year of the Marketing Strategy Greater Western Sydney Employment of Administration and Projects Officer positions $92,075 Economic Development Board Greater Western Sydney Hawkesbury Harvest Stage III Project $20,000 Economic Development Board Greater Western Sydney Development, delivery and hosting of a new Board Website $5,906 Economic Development Board Greater Western Sydney Collateral, equipment hire and telemarketing for event $24,000 Economic Development Board Hunter Economic Development Corporation Operational funding of Hunter Export Centre $45,000 Hunter Economic Development Corporation Implementation of the 2008 Hunter Means Innovation Festival $25,000 Hunter Economic Development Corporation Coordination of the Hunter-Central Coast regional presence at Pacific $23,000 2008 International Maritime & Naval Expo @ Darling Harbour Hunter Economic Development Corporation Update of the Regional Economic Development Strategy $12,634 Hunter Economic Development Corporation Business Networking Function and three Business $8,000 and Community Forums Hunter Economic Development Corporation Targeted regional marketing initiative $31,000 Hunter Economic Development Corporation Hunter Defence Industry Strategy Centre Project 2008 $80,000 Illawarra Regional Development Board Regional showcase for the Illawarra Food & Wine sector $16,000 at Restaurant 2007 & 2008 trade expos Illawarra Regional Development Board Implement Stage 1 of the Illawarra Experience Industry program $10,000 Illawarra Regional Development Board Implementation of the Sensis Business Directory $750 Illawarra Regional Development Board Employment of an Asia Business Advisor to facilitate in-bound $20,000 investment from China and other Asian countries to the Illawarra Illawarra Regional Development Board Attraction of SEGRA 2007 to Wollongong on Sept 17-19, 2007 $12,500 Murray Regional Development Board Feasibility study to investigate construction of $5,000 a gas fired power generation facility at Deniliquin Murray Regional Development Board Marketing to attract skilled migration to the Murray area $5,000 Murray Regional Development Board Proposal for funding “Clever Network” $10,000 Murray Regional Development Board Technology to aid Business development project to Murray Region $40,000 Murray Regional Development Board Murray Now, Promoting Sustainable Regional Growth Project $15,000 Murray Regional Development Board Speakers and presentation at the Small Business September $2,840 Murray Regional Development Board Workshops to be conducted in three Southern Region Regional $5,473 Development Boards Murray Regional Development Board Murray Regional Development Board / Murray Business $20,000 Skilled Migration Unit

144 NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT ANNUAL REPORT 2007-2008 Appendices

Appendix 10 (cont’d)

Organisation Project Amount Murray Regional Development Board Innovation Project — Forest Plantations Community Forum 2008 $5,000 Northern Inland Regional Development NSW Parliament House Food and Wine Showcase $7,000 Northern Inland Regional Development Board Attract skilled migrants to regional areas $45,000 Northern Inland Regional Development Board Four small business expo in NE–NW region for Small $5,000 Business September Northern Inland Regional Development Board Developing visual arts industry business capacity across NE–NW $14,000 and promotional materials and marketing Northern Inland Regional Development Board Northern Inland Innovation Awards 2007 $10,000 Northern Inland Regional Development Board Developing a location image and skills database / website $25,000 and marketing collateral for the region Northern Rivers Regional Development Board Employ a consultant to undertake a mentoring and support $33,000 project over 12 months for indigenous food industry businesses Riverina Regional Development Board Skilled migration attraction activities $27,500 Riverina Regional Development Board Implementation of the C Change project — year 2 $90,000

Regional Economic Transition Scheme (RETS) RETS provides assistance to projects in regional areas that have experienced sharp economic shocks as a result of structural adjustment or the loss of a major industry. Local government organisations Cessnock City Council Hunter and Central Coast business recovery strategy $4,850 Cessnock City Council Wollombi BACK2 Business $5,000 City of Newcastle Hunter and Central Coast business recovery strategy $10,000 Deniliquin Council Workshop for decision making in a negative economic climate $3,000

Towns and Villages Futures Program This program enables communities (with populations of less than 2,500) to undertake a planning process and implement projects that have community support and will result in new economic activity. Barmedman Modified Tractor Pull Association Promotion and marketing $2,500 Bulahdelah Chamber of Commerce Employing a project coordinator, preparing marketing materials $7,500 and Tourism and consultant / s conduct workshops to up-skill businesses Burcher Progress Association Vintage Tractor Pull and Engine Displays — promotion of event $2,000 Coolah District Development Group Inc Employ event coordinator — Coolah Jazz in the Tops 2007 $5,000 Greater Hume Shire Council Employ event coordinator — Brocklesby Focus $6,500 Kangaroo Valley Arts Festival Events — Kangaroo Valley Arts Festival $5,000 Milparinka Heritage & Tourism Association Marketing activities to increase visitation to the $11,500 Corner Country region of NSW Nabiac Neighbourhood Centre Inc Conduct marketing skills workshops for businesses; preparation $5,000 of marketing materials Snowy River Festival Incorporated Events Subsidy — Snowy River Festival in Dalgety & Berridale $8,000 Local government organisations Coffs Harbour City Council Employment of interim coordinator — Eastern Dorrigo Plateau $1,500 community Planning activities Jerilderie Shire Council Production and promotion of the Jerilderie Visitors’ Guide $4,680 Lockhart Shire Council Events — Lockhart Spirit of the Land Festival $5,000 Upper Hunter Council Merriwa Town Marketing Plan Business Workshop $3,401

NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT ANNUAL REPORT 2007-2008 145 Appendices

Appendix 10 (cont’d)

Organisation Project Amount

Regional Flagship Events Program The program supports regional events that have the potential to become tourism flagships for the region, building its image and boosting visitation from outside the region. All grants are provided for under the Tourism NSW Growth Program. 2008 Camden Haven Music Festival Camden Haven Music Festival $10,000 Applause Street Theatre & Buskers Festival Albury Central $10,000 Blue Mountains Music Festival Blue Mountains Festival — Folk, Roots and Blues $20,000 Central Coast Country Music Festival The Entrance Town Centre Management $20,000 Fatherhood Festival Bangalow The Fatherhood Project $20,000 Festival of the Sun Sands Events Pty Ltd $10,000 Griffith Festival of Gardens Griffith City Council $10,000 Illawarra Folk Festival at Bulli Illawarra Folk Club Inc $10,000 Ironfest Ironfest $20,000 Kurri Kurri Nostalgia Festival and Cruise Towns with Heart $10,000 Lovedale Long Lunch Lovedale Vignerons Association $20,000 Mudgee Wine Celebration Mudgee Wine Grape Growers Association Inc $10,000 New England Wool Expo New England Wool Expo Inc $10,000 Parkes Elvis Festival Parkes Shire Council $20,000 Port Stephens Blue Water Country Nelson Bay Town Management Inc $10,000 Music Festival Sakura Matsuri (Cherry Blossom Festival) Cowra Japanese Gardens Australia $10,000 See Change Winter Arts Festival Jervis Bay & Basin Arts Inc $10,000 Snowy River Festival Snowy River Festival $10,000 Timbertown Steam Festival Timbertown Steam and Oil Engine Club Inc $10,000 Tumbafest Tumbarumba Shire Council $10,000 Wine Roses and all that Jazz Canberra District Wine Industry Association Inc $10,000 Winter Magic Winter Magic Festival $10,000

Regional Tourism Organisations Funding Regional Tourism Organisations (RTOs) have been established to provide effective regional coordination and administration of the tourism industry. Under the Regional Tourism Investment Program Agreement administered by Tourism NSW, RTOs undertake to market their nominated region of New South Wales and foster development to benefit their members, the industry and the wider community. Blue Mountains $111,000 Capital Country $111,000 Central Coast $111,000 Central NSW $140,000 Hunter $111,000 Lord Howe Island $45,000 New England North West $140,000 Mid North Coast NSW $140,000 Northern Rivers $111,000 Outback NSW $140,000 Riverina $140,000 Snowy Mountains $111,000 South Coast (includes Illawarra) $222,000

146 NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT ANNUAL REPORT 2007-2008 Appendices

Appendix 10 (cont’d)

Visitor Information Centre Support Visitor Information Centres and Regional Tourism Organisations that update the State Tourism Data Warehouse via the internet receive a performance-based payment on the number of updates made. A total of $40,650 (excluding GST) was paid in 2007–08 for the updating of 4,065 product records. Organisations that received payments were: Armidale Visitor Information Centre, Ballina Visitor Information Centre, Barrington Tops Gloucester Visitor Centre, Batemans Bay Visitor Information Centre, Bathurst Visitor Centre, Blue Mountains City Council, Boorowra Visitor Information Centre, Broken Hill Visitor Information Centre, Cabonne Council, Central Coast Tourism, Clarence River Tourist Association, Cooma Visitor Information Centre, Coonabarabran Visitor Information Centre, Cootamundra Visitor Information Centre, Corowa Visitor Information Centre, Cowra Visitor Information Centre, Dubbo Visitor Information Centre, Goulburn Visitor Information Centre, Griffith Visitor Information Centre, Hay Visitor Information Centre, Hunter Regional Tourism, Inverell Visitor Information Centre, Jerilderie Visitor Information Centre, Kempsey Visitor Information Centre, Kiama Visitor Information Centre, Leeton Visitor Information Centre, Lismore Visitor Information Centre, Lithgow Visitor Information Centre, Maitland Visitor Centre, Manning Valley Visitor Information Centre, Mudgee Visitor Information Centre, Narrabri Visitor Information Centre, Narrandera Visitor Information Centre, Parkes Visitor Information Centre, Penrith Valley Visitor Information Centre, Queanbeyan Visitor Information Centre, Shellharbour Visitor Information Centre, Shoalhaven Visitor Information Centre, Singleton Council, Southern Highlands Visitor Information Centre, Sutherland Visitor Information Centre, Tumbarumba Visitors Centre, Tweed & Coolangatta Tourism, Wagga Wagga Tourism, Wellington Visitor Information Centre, Wollondilly Visitor Information Centre, Wollongong Visitor Information Centre, Yass Visitor Information Centre, Young Visitor Information Centre.

Organisation Project Amount BioFirst Award Innovative and prestigious awards designed to attract leading biotechnology researchers to NSW. Associate Professor Antony Cooper Garvan Institute of Medical Research $100,000 Associate Professor Paul Haynes Macquarie University $50,000 Dr Andrew Mitchell NSW Dept Primary Industries $50,000 Professor J. Goetz University of Sydney $150,000 Professor John Dalton University of Technology $25,000 Professor William Price University of Western Sydney $25,000 Professor Mats Olsson University of Wollongong $25,000 Dr Naomi Rogers Woolcock Institute of Medical Research $75,000

Life Sciences Research Awards Innovative and prestigious awards designed to attract outstanding life science research workers, not currently resident in NSW, to further their career in NSW. Formerly known as BioFirst awards Dr Leslie Weston Charles Sturt University $100,000 Dr Ian Paulsen Macquarie University $50,000 Professor John Hodges University of NSW $50,000 Professor Wolfgang Weninger University of Sydney $50,000 Professor Ian Anderson University of Western Sydney $100,000 Joint Chair in Traditional Chinese Medicine University of Western Sydney and University of Sydney $800,000

BioLink Program A business development company established to assist member organisations to commercialise their biotechnology intellectual property. BioLink Partners $650,000

Medical Research Support Program Provides essential research infrastructure — the program is designed to reward research excellence, build on and enhance existing research strengths, and promote opportunities for economic gain. ANZAC Health & Medical Research Foundation $814,739 Cancer Institute NSW $635,909 Centenary Institute of Cancer Medicine and Cell Biology $1,440,200 Centre for Immunology — St. Vincents Hospital $231,000 Centre for Vascular Research — University of NSW $210,220

NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT ANNUAL REPORT 2007-2008 147 Appendices

Appendix 10 (cont’d)

Organisation Project Amount Children’s Cancer Institute Australia $1,075,277 Children’s Medical Research Institute $852,939 Garvan Institute of Medical Research $3,922,764 Heart Research Institute $176,220 Hunter Medical Research Institute $2,160,525 Northern Sydney Central Coast Health $2,013,100 (Kolling Institute) Prince of Wales Medical Research Institute $1,440,200 Sydney West Area Health Service (Westmead $3,334,975 Millennium Institute) Victor Chang Cardiac Research Institute $1,516,000 Woolcock Institute of Medical Research $909,675

Networks and Research Program Aims to increase connectivity of research effort and to promote opportunities for national and international research collaborations, clinical trials and investment in NSW. Australian Spinal Cord Injury Network Ltd Australian Spinal Cord Injury Network $600,000 Multiple Sclerosis Research Australia Ltd MS Brain Bank $500,000 National Heart Foundation of Australia Cardiovascular Research Network $1,500,000 Sax Institute (funding sourced from the NSW Node of the Population Health Research Network (NCRIS) $1,000,000 Science Leveraging Fund)

Science Leveraging Fund Established to help attract Commonwealth and international funding for science and medical research to NSW. The Science Leveraging Fund supports research groups and centres seeking funding from specific Commonwealth programs, including: › The National Collaborative Research Infrastructure Strategy; › The Cooperative Research Centres program; › Australian Research Council Centres of Excellence.

NSW Cooperative Research Centres Science Leveraging Fund Program Capital Markets CRC Limited CRC SLF — Capital Markets CRC $250,000 Hear Works CRC SLF — Hearing CRC $150,000 Smart Services CRC SLF — Smart Services CRC $300,000 University of New England CRC SLF grant for the CRC Sheep Industry Innovation $125,000 University of Wollongong SLF Defence Materials Technology Centre $425,000

National Collaborative Research Infrastructure Strategy (NCRIS) Science Leveraging Support INTERSECT INTERSECT $1,500,000 Macquarie University NCRIS SLF — Biofuels capability $37,500 Macquarie University NCRIS SLF — Bioplatforms $550,000 Macquarie University NCRIS SLF — Fabrication $250,000 Sax Institute NCRIS SLF — Population Health Research Network $1,000,000 Southern Cross University NCRIS SLF — Bioplatforms capability $50,000 University of NSW NCRIS SLF — Biofuels capability $75,000

148 NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT ANNUAL REPORT 2007-2008 Appendices

Appendix 10 (cont’d)

Organisation Project Amount University of NSW NCRIS SLF — Bioplatforms capability $175,000 University of NSW NCRIS SLF — Bioinformatics / Bioplatforms capability $170,000 University of NSW NCRIS SLF — Biotechnology Products capability $125,000 University of NSW NCRIS SLF — Characterisation Imaging $300,000 University of Sydney NCRIS SLF — Characterisation AMMRF $1,500,000 University of Sydney NCRIS SLF — Biofuels capability $37,500 University of Sydney NCRIS SLF — Characterisation Imaging $100,000 University of Western Sydney NCRIS SLF — Characterisation Imaging $50,000 University of Wollongong and NCRIS SLF — Fabrication ANFFL Funding $125,000 Newcastle University

Australian Research Council Centres of Excellence (ARC CoE) Science Leveraging Support University of Newcastle ARC CoE for Complex Dynamic Systems and Control $161,500 University of Newcastle ARC CoE for Legume Research $45,000 University of Newcastle ARC CoE for Biotechnology and Development $148,650 University of NSW ARC CoE for Mathematics and Statistics of Complex Systems $75,000 University of NSW ARC CoE for Advanced Silicon Photovoltaics and Photonics $393,650 University of NSW ARC CoE for Quantum Computing $375,000 University of Sydney ARC CoE for Autonomous Systems $286,500 University of Sydney ARC CoE for Ultrahigh Bandwidth Devices for Optical systems $254,000 University of Wollongong ARC CoE for Electromaterials Science $51,000

Spinal Cord and Injury Related Neurological Conditions Research Grants Program The program promotes research into spinal cord injury and related neurological conditions and seeks to develop and attract relevant research talent in NSW, and includes: Research Program Grants, directed at research undertaken by established senior researchers, Research Project Grants, directed at post-doctoral researchers within 5 years of their PhD award and Travel Scholarships directed at advanced PhD students to enable them to present their research at prestigious international conferences and / or institutions. Dr Arun Krishnan Prince of Wales Medical Research Institute $9,605 Professor Phil Waite University of NSW $300,000 Professor Elspeth McLachlan University of NSW $1,031,250 Associate Professor Janet Keast University of Sydney $750,000 Dr James Middleton University of Sydney $375,000 Professor John Pollard University of Sydney $187,500

Other Grants and Awards Awards such as the Eureka Prize and NSW Young Science Ambassador Scholarships recognise NSW researcher achievements and promote science as a career. Other grants contribute to the Office of Science and Medical Research’ key result of expanding the science and research knowledge base in New South Wales and promote the value of science to the public. ATSE Clunies Ross Award 2009 OSMR Sponsorship for 2009 $50,000 Australian Institute of Policy and Science Tall Poppy Campaign $30,000 Australian Museum 2008 OSMR Eureka Prize and Contribution $28,000 Australian Science Media Centre OSMR Foundational Sponsorship $30,000 Illawarra Area Health Service NSW Stem Cell Network $30,000

Travel Scholarships Dr Kuldhip Sidhu International Conference on GMP Issues in Stem Cells $3,000 National Science Summer School Inc NSW Young Science Ambassador Scholarships 2008 $11,000

NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT ANNUAL REPORT 2007-2008 149 Appendices

Appendix 11 Appendix 12 accordance with S19 of the Industrial Relations Act 1996 and Guarantee of Service Human Resources the revised Award was approved by the Industrial Relations The Department maintains its Policies and practices Commission on 31 July 2007 commitment to providing high The Department: quality service that meets the › The Tourism Trainee program reasonable expectations of its › reviewed and revised the ceased with the end of the clients. The Guarantee of Service policy and procedures for term of employment (31 January explains what we do, our values the nomination and decision 2008) of the 21 trainees in the and objectives, our service standards, processes for Staff 2007 program how to provide feedback and the Achievement Awards › The Department managed the Department’s contact details. The › reviewed and updated the redundancy and redeployment Guarantee of Service is reviewed Learning and Development of the 18 staff at the Airport annually and a copy is made available Framework Travel Centre, following its to the general public through › reviewed and updated the closure at the end of May 2008 the Department’s main website Study Assistance Policy. › The Department has applied www.business.nsw.gov.au to the Department of Premier Industrial Relations and Cabinet to commence the The Department and the Public process of rescinding the Crown Service Association (PSA) maintained Employees (Kingsford Smith strong relations through the Joint Airport Travel Centre) Award Consultative Committee (JCC). The following the closure of the Committee met on four occasions Airport Travel Centre. during the year, with the majority of matters discussed relating to Movement in wages, Departmental reviews and flexible salaries or allowances working arrangements. The Crown Employees (Public Sector — Salaries January 2004) The Crown Employees (Kingsford › Award provided for a four per cent Smith Airport Travel Centre) increase in salaries, with effect from Award was reviewed in 1 July 2007.

Establishment 2003 2004 2005 2006 2007 2008 Establishment (i.e. number 313.7 296 297 493.5 490.9 484.1 of positions — FTE) Staff number of the 299.1 276.5 274.2 411.7 425 413.1 Department (FTE)

Note: figures as at 30 June.

Appendix 13 Information and communication technology The Agency maintains and publishes information for clients and the public on the following websites. Sites are being consolidated where possible to improve administrative efficiency, accuracy, currency, and security. The Department reports to Government include the Information Management and Technology Strategic Plan. This Plan is updated annually and follows a standard government pro-forma. The Plan sets out the performance criteria, present capabilities and planned development of information services in the Department, including IT, information resources and records management.

URL / Address Subject / Interest area www.ats.business.gov.au Australian Technology Showcase Website. Presenting the NSW technology industry, ats.business.gov.au latest developments and technological advancements in areas including ICT, www.techshowcase.nsw.gov.au biotechnology and nanotechnology www.business.nsw.gov.au Main Departmental Website — Presenting the Department as the NSW www.srd.nsw.gov.au Government’s business development agency, providing assistance to state and local businesses, and promoting investment and job creation

150 NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT ANNUAL REPORT 2007-2008 Appendices

Appendix 13 (cont’d)

URL / Address Subject / Interest area www.biotechnology.nsw.gov.au BioTech Life Science Directory — An electronic directory that provides information on the NSW Biotechnology industry and research community www.business.nsw.gov.au/biotech BioTech Website — within business website www.innovation.nsw.gov.au Innovation website — within business website www.osmr.nsw.gov.au Office of Science and Medical Research. Provides information on current scientific and medical research, including life sciences www.osmr.nsw.gov.au/state_of_research/health/ Health and Medical Research Directory. Provides information on NSW based public research institutions. Also provides information on current health and medical research being conducted in the state www.osmr.nsw.gov.au/state_of_research/science/ Science Research Directory. Provides information on NSW based public research institutions. Also provides information on current scientific research being conducted in the state www.researchroadmap.osmr.nsw.gov.au Provides information on the relevant policy regulations as they apply to the research, development of products and innovations that are based on life sciences research www.spinalinfo.nsw.gov.au Provides information on scientific research, government policy, healthcare, social networks as they relate to spinal cord injuries www.biofuels.nsw.gov.au Biofuel website within the business website. The Office of Biofuels manages the implementation of the Biofuel (Ethanol Content) Act 2007 and develops strategies to support the further development of the biofuels industry in NSW www.construction21.nsw.gov.au Construction website — now within business website www.business.nsw.gov.au/community/ Regional communities — within business website. Provides information and assistance to regionally operated business, and an online community connecting government, regional development boards and regional businesses www.regionalcommunities.nsw.gov.au Alternate link to Regional Communities — now within business website www.retail.nsw.gov.au Alternate link to Retail Tenancy website www.retailtenancy.nsw.gov.au Retail Tenancy website presenting information to assist the retail leasing industry in New South Wales in preventing and resolving tenancy disputes www.rtu.nsw.gov.au Alternate link to retail tenancy website www.aboriginalbiz.nsw.gov.au Aboriginal business within the Small Business website www.export.nsw.gov.au Export information site — now within Small Business website www.smallbiz.nsw.gov.au Within Small Business website. Presenting NSW Government information for people starting and managing a small business in New South Wales www.smallbiz.nsw.gov.au/hbb Home-based Business website. Online resource designed to assist business operate from a small office / home office www.smallbiz.nsw.gov.au/makingit Western Sydney Manufacturing Week website. Provides information on manufacturing, innovation and industry trends in Western Sydney. Linked through Small Business Website www.smallbiz.nsw.gov.au/sbmonth/ Small Business Month website. Workshop and events registration and links designed to assist small and medium sized businesses. Linked through Small Business Website www.smallbiz.nsw.gov.au/wib Women in Business website. Designed to assist entrepreneur and new women business owners start their own business in NSW. Linked through Small Business Website www.smallbusiness.nsw.gov.au Small business website. Presenting NSW Government information for people starting and managing a small business in New South Wales www.smallbusinessmonth.nsw.gov.au Alternate link to Small Business Month www.sydneyaustralia.com Attracting both international and national audience for Sydney’s tourism industry www.tourism.nsw.gov.au The corporate information site outlining policies and activities to assist the tourism industry in New South Wales www.visitnsw.com.au Provides access to information on holiday destinations, accommodation and events across New South Wales by region. Attracting both international and national audience to the State’s tourism industry

NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT ANNUAL REPORT 2007-2008 151 Appendices

Appendix 14 Appendix 15 Appendix 16 Internal Audit Bureau Land disposal Major assets The Internal Audit Bureau (IAB) is The Department, through the Major assets used by the contracted by the Department to Ministerial Corporation for Industry, Department include: provide internal audit services and is responsible for an industrial land other special reviews. The Internal bank consisting of two sites located › wide area network, incorporating Audit Plan is determined by the at Albury. This stock of land is desktop computers, laptops and Department’s Audit and Review maintained for industrial development other computer equipment Committee (ARC) with advice from purposes. It is the subject of a joint including servers, modems, the IAB. The areas to be reviewed venture operation with the Albury routers and printers are outlined in an annual audit plan Wodonga Corporation. › computer software, office and are determined on the basis furniture and equipment including of exposure to potential financial The land is on the market for sale. a large range of audiovisual and or operating risks. No land was disposed of during teleconferencing equipment. Recommendations arising from the year. Major asset additions included reviews are considered by the the installation of wide area ARC and implemented as appropriate network storage, upgrades to the by operating divisions, with Department’s web hosting facility, oversight from the Policy and the essential replacement of network Resources Division. servers in the data centre in the MLC Centre, and the refurbishment of the data centre at Harrington Street. Appendix 17 Major works in progress The Department did not have any major works in progress during the year.

152 NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT ANNUAL REPORT 2007-2008 Appendices

Appendix 18 Overseas travel

Name of officer Country visited Period of travel Purpose Loftus Harris USA 17–22 July Investment mission Warwick Glenn USA 17–22 July Investment mission Siew Hoon Tan (Singapore) Australia 18–23 August ‘Focus on India’ program attendance Irene Morgan (USA) Australia 10–15 September Aussie Specialist Corroboree Sandy Nerlich (USA) Australia 10–15 September Aussie Specialist Corroboree Kate Strange (New Zealand) Australia 14–17 September Market familiarisation Anthony Williams France 15–22 September Accompany Aboriginal art exhibits Oton Wu (Hong Kong) Australia 16–18 September Market familiarisation Michael O’Sullivan USA 16–26 September Accompany trade mission Kerry Doyle Japan 19–21 September BIO Japan Derek Van Dyk Japan 19–21 September BIO Japan Carmel Beattie UK, China 6–20 October Tourism industry meetings Garry Ferris Singapore, India 6–21 October Accompany trade mission Craig Pearce UAE 13–21 October Cityscape 2007 Susan Saretzki China 14–20 October Investment mission Helen Chen China 14–20 October Investment mission Christa Bracamonte Japan 14–20 October Accompany trade mission Chris Celovic China 3–10 November Agricultural Hi-Tech Fair Grace Tay (Singapore) Australia 7–10 November Market familiarisation Shane Coombe Germany 11–18 November Medica 2007 Troy Brown Germany 11–18 November Medica 2007 Susan Saretzki China 15–27 November Investment mission Kate Strange (New Zealand) Australia 16–18 November Market familiarisation Julie Scott UAE 16–22 November Accompany trade mission David Morris China, India 18–23 November Premier’s investment mission Michael Cullen China, India 18–23 November Premier’s investment mission Adian Wood India 18–23 November Investment mission John O’Neill Hong Kong, India 19–21 November Premier’s mission — tourism delegation Sarah Austin (UK) Australia 22 November–5 December NSW Corroboree Down Under Ella Frater (New Zealand) Australia 23–25 November Market familiarisation Kerry Doyle China 27–30 November Traditional Chinese Medicine (TCM) conference Oton Wu (Hong Kong) Australia 29 November–3 December Market familiarisation John O’Neill Dubai, Abu Dhabi, Qatar 10–14 December Airline and tourism industry meetings Takeshi Teramoto (Japan) Australia 13–18 December Market familiarisation Michael O’Sullivan USA 16–26 January G’Day USA John O’Neill USA 16–30 January G’Day USA Barry Buffier USA 18–29 January G’Day USA David Morris USA 17–28 January G’Day USA Warwick Glenn USA 20–28 January G’Day USA Graham Bulless UAE 26 January–2 February Accompany trade mission Linda Taylor India 11–22 February Investment mission Robert Johnson India 11–22 February Investment mission Steven Kerlander Singapore 17–24 February Singapore airshow

NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT ANNUAL REPORT 2007-2008 153 Appendices

Appendix 18 (cont’d) Name of officer Country visited Period of travel Purpose Gabriel Oriel China 2–8 March Accompany trade mission Susan Saretzki China, Taiwan 2–8 March Investment mission Kate Young (UK) Australia 8–19 March Market familiarisation Steve Rank New Zealand 13–14 March Small Business Ministerial Council meeting Allen Treanor New Zealand 13–15 March Small Business Ministerial Council meeting Takeshi Teramoto (Japan) Australia 25–31 March Market familiarisation Les Clements Thailand 26–29 March ADFEST (Asia Pacific Advertising Festival) Vince Smith Chile 12–21 April Expomin 2008 (Mining equipment, services and technology exhibition) Warwick Glenn UAE 25 April–3 May Investment mission Irene Morgan (USA) Australia 29 April–7 May Market familiarisation Nicole Braden UAE 30 April–10 May Holiday Show and Travel Market Linda Taylor India 3–16 May Investment mission Warwick Glenn India 3–16 May Investment mission Grace Tay (Singapore) Australia 8–16 May Market familiarisation Sandy Nerlich (USA) Australia 12–20 May Market familiarisation Sharon Foster UAE 13–15 May Cityscape Abu Dhabi exhibition Susan Saretzki China 14–24 May Investment mission Barry Buffier China 15–24 May Premier’s trade mission John O’Neill China 15–24 May Premier’s trade mission Ella Frater (New Zealand) Australia 16–19 May Market familiarisation Anne Glover Netherlands, Italy 16–22 May Investment mission David Morris China 16–24 May Premier’s trade mission Kate Young (UK) UAE 19–25 May Marketing meetings Steve Rank New Zealand 21–23 May Small Business Ministerial Council Meeting Allen Treanor New Zealand 21–23 May Small Business Ministerial Council Meeting Takeshi Teramoto (Japan) Australia 21–28 May Market familiarisation Craig Pearce USA 5–16 June Accompany trade mission Irene Morgan (USA) Australia 5–21 June Australian Tourism Exchange Takeshi Teramoto (Japan) Australia 6–18 June Australian Tourism Exchange Siew Hoon Tan (Singapore) Australia 7–18 June Australian Tourism Exchange Kate Strange (New Zealand) Australia 7–20 June Australian Tourism Exchange Kate Young (UK) Australia 7–20 June Australian Tourism Exchange Oton Wu (Hong Kong) Australia 8–18 June Australian Tourism Exchange Michael O’Sullivan USA 11–21 June BIO 2008 / Film industry meetings Kerry Doyle USA 14–22 June BIO 2008 Nathan Rudder USA 16–20 June BIO 2008 Shane Coombe USA 16–21 June BIO 2008 Carmel Beattie UAE 28 June–3 July Marketing meetings Jason Fuller USA, UK, Ireland 29 June–4 July Preparatory work for Premier’s investment mission David Morris USA, UK, Ireland 29 June–7 July Preparatory work for Premier’s investment mission

154 NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT ANNUAL REPORT 2007-2008 Appendices

Appendix 19 Department contracts ServiceFirst (formerly known as Central Corporate Payment of accounts Services Unit) to process payments in accordance with the Department’s During the 2007–08 financial year, accounts payment policy. There the Department maintained a policy were no instances during the year of ensuring payment of accounts by where interest was paid for late the due date and took advantage payment of accounts. of discounts where possible. The

Performance Indicators and Target Levels Aged analysis at the end of each quarter

Current Less than Between Between More than (due within 30 days 30 and 60 and 90 days due date) overdue 60 days 90 days overdue Quarter Ended $ $ overdue $ overdue $ $ September 382,441 0 0 0 0 December 930,993 0 0 0 0 March 1,069,600 0 0 0 0 June 753,388 0 0 0 0

Accounts paid on time within each quarter

Total Amount Quarter Ended Target % Actual % $ Paid $ September 95 93 18,736,219 20,158,610 December 95 85 24,593,424 28,871,415 March 95 88 26,278,245 29,725,622 June 95 95 68,279,375 71,616,298

Action Taken to Improve Appendix 20 The Communications Unit reviews Payment of Accounts on Time printed and electronic newsletters The actual average result for the Privacy and personal information prepared by the Department to ensure the inclusion of privacy and financial year of 92 per cent against The Department’s Privacy Policy spam statements. target is considered satisfactory. Statement and Privacy Management The Department’s Procurement Plan were updated to incorporate The Department was not required Manager, together with the contact information. These to undertake any internal reviews Department’s corporate service publications are available to all of the conduct of any officers in the provider ServiceFirst, is working to staff internally via the Department’s Department, concerning privacy implement enhanced procurement intranet and publicly available through matters, during the reporting year. processes that will assist the timely the Department’s main web site (www.business.nsw.gov.au). In the coming year, the Department processing of payments. will continue to include privacy The 2008–09 target for the The Department provides privacy information in training programs percentage of accounts paid on time awareness training to staff to for staff at two levels: Induction is to be maintained at 95 per cent. ensure the protection of an Program for new staff; and the individual’s privacy. A Privacy Officer Management Development and Privacy Resource Officers are Program for senior management. available to advise on privacy issues.

NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT ANNUAL REPORT 2007-2008 155 Appendices

First for Aquaculture Industry Directory 2004 Regional Fact Sheets covering the following; Appendix 21 Capital Region, Riverina, Murray Region, Medical Device Industry NSW Australia (CD) Central West, Far West, Orana, Northern Publications and NSW Aerospace Industry Directory (CD) Rivers, Mid North Coast, Northern Inland, promotional material Illawarra, Central Coast, The Hunter. NSW First for Innovation Research Centres Directory Towns and Villages Futures Success Story — Corporate Publications Milparinka NSW Food Export Directory 2007–08 Annual Report 2006–07 NSW Security Capability Directory 2007 (CD) Small Business Fast Facts (DL size — NSW stats) NSW Wine and Food map Development Division New South Wales Open for Business Western Sydney IT Cluster — Aboriginal Business Development brochure NSW Premiers Mission to China Online Members Capabilities Directory A Guide to Developing Aboriginal Business NSW Premiers Mission to India Western Sydney IT Cluster Working Together for Mutual Benefit flyer Business Advisory Services flyer Investment Division Western Sydney IT Cluster Employment Conditions — Fact Sheet Bring your talents to bi-monthly e-newsletter (5 issues) Exporters Network registration (pdf) Regional New South Wales Western Sydney IT Cluster Exporting Newsletters (pdf) Members Update email (weekly) Business Migration (English), (Chinese) Getting Started — Fact Sheet Business Migration Living in NSW Policy and Resources Division Getting started in Exports Workbook Business Owner (permanent) 892 (Chinese) Food Processing Industry Growth profile Guide to Business Planning (pdf) Business Owner (provisional) 163 (Chinese) Information and Communications Guide to Developing Aboriginal Business Guide to doing Business in NSW Technology Industry Growth profile Helping people to Start, Manage Guide to doing business in NSW (Chinese) Metals Manufacturing Industry Growth profile and Grow their Business Live and work in Sydney & New South Wales NSW Aerospace Industry Growth profile Home-based Business Success Stories — Fiona Weigall, Health and Safety Matters Living in New South Wales NSW Biomedical Industry Growth profile — Robyn Inglis, Live Free Gluten Free Mixes Metal Manufacturing NSW Competitiveness Report 2008 — Liama Karklins, Events at Large New South Wales welcomes business migrants NSW Manufacturing Council Independent Market Visit Program NSW First for Food and Beverage Processing NSW Wine Industry profile Innovation Advisory Service — Help With Your Bright Ideas NSW First for Manufacturing Regional Development Division Intellectual Property — Fact Sheet NSW Aerospace Industry CED Brochure — Your community — Manufacturing in Western Sydney NSW wants your expertise in Your future pharmaceuticals and biotechnology Small Business September Calendar Community Economic Development Small Business September Export Calendar NSW wants your ICT expertise Program — Berrima success story Sydney Major Projects Unit Stepping Up — Helping your Community Economic Development Program small business grow Sydney and NSW First for Information — Festival of Speed on Tweed success story and Communications Technology Stepping Up Mentor Application Community Economic Development and Brochure (pdf) Sydney wants your finance expertise Program — Kyogle success story Stepping Up: Contractor Information Pack Sydney welcomes your expertise Community Economic Development Program — Murray Shire success story Western Sydney Update (email) Sydney, Australia Financial Services Community Economic Development Women In Business Growth Strategies Sydney, NSW Analytics India and New South Success Story — Coolamon Workshop Programs (pdf) Wales in partnership Community Economic Development Women In Business Mentor/Mentoree Sydney, NSW First for Foreign Exchange Success Story — Snowy River application forms (pdf) Sydney, NSW First for Funds Management Ethanol biofuel — cheaper, cleaner, greener Women In Business Participant Notes (pdf) Sydney, NSW First for India and locally made Women in Business — 2007 Women Filming in Regional New South Wales, Australia in Business Programs Industry Division Funding Business Growth Women in Business — 2007 Growth Strategies Workshops (July — December) AISES Brochure Main Street Small Towns Success Story — AISES Newsletter Mayfield Women in Business — 2007 Mentor Program Australian Technology Showcase Showcasing NSW Payroll Tax Incentive Scheme brochure Women in Business — 2007 Regional Program innovative NSW ICT technology Overcoming Skills Shortages: A practical guide Women in Business Success Stories Australian Technology Showcase Snapshot for business — Paro Paru Shells e-newsletter Australian Technology — Oh de Toilette Overcoming Skills Shortages: A practical guide — Pat’s Place Coffee Lounge Showcase — where Australian innovation for regional communities meets the world Women in Manufacturing (flyer) Regional Capital Raising Program (PDF) Biotechnology e-newsletter, online Regional Development Success Story — Retail Tenancy Unit Biotechnology events email (monthly) Greater Taree Information Kit for Retail Tenants Biotechnology online directory Regional Distribution Centre Attraction First for Aquaculture Strategy flyers — Goulburn, Tamworth, Albury, Central Coast, Wagga Wagga, Blayney

156 NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT ANNUAL REPORT 2007-2008 Appendices

Sydney Uncovered media newsletter Appendix 21 (cont’d) › Research components for The NSW Cruise Market — A discussion paper Destination Development Tourism NSW Travel Safely Australia (in partnership workshops with State, Territory and Commonwealth 100 Years of Tourism Book Governments) web based and hard copy › A study of Tourism Perceptions of Sydney precincts Aboriginal Product Manual Working Together — a guide to working APEC Insider’s Guide to Sydney with Tourism NSW › Holiday Planner evaluation research APEC Media Fact Sheets The Office for Science A study of emerging international APEC Media Fast Facts and Medical Research › markets (China & India) ATE 08 Marketing Fact Sheets — DVD NSW Science EXPOsé Competition › Sustainable Tourism Cooperative ATE 08 Media Fact Sheets — USB (entry form and postcard) Research Centre projects including Aviation Welcome Pack NSW Scientist of the Year (entry form and flyer) User Generated Content (SCU); Barrington Tops DL OSMR E-newsletter (December, Sydney Visitor Tracking Study March and June issues) Best Bush Map (in partnership with Dept (UTS); NSW tourism Satellite of Lands, Forests NSW, National Parks and Science Exposed (program, Accounts (UNSW). Wildlife Service) hard copy expo map and event summary) During the year, Tourism NSW Business Tourism Fact Sheet Young Tall Poppy Science Awards also allocated funding to assist (invitation and program) Escapes Monthly E-Newsletter the development of opportunities G’Day USA 2008 Media Kit within the following special interest/ experience sectors of the industry: Heart of Country NSW Holiday Planner Appendix 22 Incentive brochure — English Version Research and Development › Accessible Tourism Incentive brochure — Simplified During 2007–08, the Department › Cruise Tourism Chinese version provided funding to the Hunter › Culture-in-Tourism Indigenous Principles brochure Valley Research Foundation and › Golf Tourism International Delegate booster the Illawarra Regional Information Surf Tourism. Service. These organisations conduct › International Market Profiles (for top Funds were also allocated to the markets to New South Wales) — research on issues impacting on updated twice per year their region, including investment, development of a software package to assist in the projection of future International Marketing Prospectus markets, economic and industry development, and provide statistics visitation figures to NSW under Lord Howe Island NSW Holiday Planner and other information and the State Plan target and for other North Coast of NSW Holiday Planner consultancy services to assist industry applications. NSW Regional Marketing Prospectus government, academic institutions, The Office for Science and Medical NSW Tourism Awards 07 Program business and community groups. Research provided funding to NSW NSW Tourism Awards 08 Entrants Prospectus Tourism NSW continued to provide research and development through NSW Tourism Awards 08 research funding and advice for a range of programs including: Sponsorship Prospectus a range of studies and surveys to › BioFirst Awards NSW Uncovered media newsletter support the activities of the Division. › Life Sciences Research Awards Outback NSW Holiday Planner During the year, funding was provided for: › BioLink Pacific Coast Touring Route Medical Research Support Program National and International › Regional Events Calendar › Visitor Surveys and Destination › Networks and Research Program Regional Tourism Snapshots (for 15 Tourism Visitor Surveys by Tourism › Joint NSW / VIC Stem Cell Regions of NSW) — updated Quarterly Research Australia Grants Program Snowy Mountains NSW Holiday Planner › International consumer research › NSW Cooperative Research South Coast of NSW Holiday Planner by Tourism Australia (Singapore Centres Science Leveraging Start Smart brochure and Germany) Fund Program Start Smart Fact sheets › Brand-health tracking survey › National Collaborative Research State Tourism Snapshot (updated Quarterly) › Advertising evaluation studies Infrastructure Strategy (NCRIS) Science Leveraging Support Sydney & New South Wales International › Conversion study Spinal Cord Injury & Related Holiday Planner — English version Regional tourism snapshots › › Neurological Conditions Sydney & New South Wales International International market profiles Holiday Planner — Simplified Chinese version › Grants Program Backpacker snapshot Sydney Events brochure › › Conference and Event Nature tourism snapshot Sydney Marketing Prospectus › Sponsorship. Culture in Tourism snapshot Sydney Summer campaign — Sunday Magazine › Further information on Business Tourism snapshot Sydney Summer Events brochure › these programs is included in Campaign Zone snapshots Appendix 10 — Grants to non- Sydney Summer Events Media CD › Aviation analysis government agencies. Sydney to Melbourne Drive ›

NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT ANNUAL REPORT 2007-2008 157 Appendices

Appendix 23 risk management techniques and incorporating risk management Risk management and insurance into staff daily responsibilities. Risk management Insurance activities The Department reviews and updates The Department is insured through its risk management policy and the Treasury Managed Fund, a self register on an annual or as required insurance scheme administered by basis and relevant changes are made the GIO and Allianz. The coverage where appropriate. Each Division provided by the scheme is all inclusive, is responsible for assessing and and policies are held for Workers reviewing their current risks. This Compensation, Commercial Motor process continues the Department’s Vehicles, Property, Miscellaneous efforts to assess and manage risk and Public Liability. and enhances the achievement of the Department’s objectives and A summary of claims paid by the service delivery through more Managed Fund during the 2007–08 effective staff involvement in applying financial year follows:

No of Amount Reserve Recovered Net Policy claims paid $ balance $ to date $ incurred $ Workers Compensation 15 68,813 23,125 0 91,938 Motor vehicles 26 81,067 8,589 0 89,656 Property 0 0 0 0 0 Public Liability 0 0 0 0 0 Miscellaneous 0 0 0 0 0 Total 41 149,880 31,714 0 181,594

Appendix 24 Senior Executive Service (SES) Each SES Officer develops an annual performance agreement, which sets out their principal responsibilities and tasks for the year. Each SES Officer undergoes a formal assessment with the Director General of their outcomes against the performance agreement. The assessment also takes into account their personal contribution to achieving overall corporate objectives. Senior Executive Service Officers as at 30 June 2008 Name Sex Position Title Level Barry BUFFIER M Director General 8 Todd CLEWETT M Director, Innovation Strategy 5 John O’NEILL M Executive Director / General Manager, Tourism NSW 4 Janine RICKETTS F Executive Director, Policy and Resources Division 3 Warwick GLENN M Executive Director, Investment Division 3 Michael O’SULLIVAN M Executive Director, Industry Division 3 Michael CULLEN M Executive Director, Regional Development Division 3 Julie SCOTT F Executive Director, Small Business Development Division 3 Lyndel GRAY F Chief Operating Officer and Director, Marketing, Tourism NSW 3 Leanne JOYCE F Director, Communications 2 Catriona FRASER F Director, Group Communications, Tourism NSW 2 Derek VAN DYK M Director, Science Research, OSMR 2

Note: Mr O’Neill was declared an unattached SES officer in June 2008.

158 NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT ANNUAL REPORT 2007-2008 Appendices

Appendix 24 (cont’d)

Number of executive positions at each level 2005–06 2006–07 2007–08 Level 1 111 Level 2 566 Level 3 666 Level 4 11 1* Level 5 00 2* Level 6 000 Level 7 11 1º Level 8 00 1º Female executive officers Level 3 333 Level 2 432

Notes: * Position of Executive Director / General Manager Tourism NSW re-graded from SES 4 to SES 5 in June 2008. Position of Director Innovation Strategy SES 5 created in November 2007. ºPosition of Director General re-graded from SES 7 to SES 8 in December 2007.

Executive Performance › focusing the cross-departmental Loftus Harris, BA, FAICD Barry Buffier, CEO Economic Development Director General, Department BRurSc (Hons), MEc, FAICD Cluster on State Plan priorities of State and Regional Development Director General Department of P1 to P7 SES Level 7 State and Regional Development › driving State Plan priorities in P1 — Increased business Total remuneration package per SES Level 8 investment and P6 — Increased annum: $348,600 plus allowance of $30,000 Total remuneration package per business investment in rural annum: $412,820 plus allowance and regional NSW Period in position: 1 July 2007 of $41,200 › the implementation of the to 12 October 2007. Period in position: 2 January 2008 NSW Government Statement The Minister for State Development, to 30 June 2008. on Innovation and establishment the Hon. Ian Macdonald is satisfied of the Innovation Council that during the reporting period Mr Mr Barry Buffier was appointed › maintaining New South Harris met all the performance to the position of Director General Wales and Sydney’s position as criteria for the position. on 2 January 2008. The Minister Australia’s premier destination for State Development, the Hon. for business, investment, tourism, Michael Cullen, B Com (Ec) Ian Macdonald is satisfied that education and skilled migrants Acting Director General, Department during the reporting period Mr of State and Regional Development Buffier met all the performance › the Government’s response to criteria for the position. the O’Neill review into Tourism SES Level 7 in New South Wales Since his appointment, the Director Total remuneration package › securing major new investment per annum: $278,001 General took the lead role in: projects for New South Wales › the review undertaken by the including V Australia and Period in position: 12 September Department of Premier and Animal Logic 2007 to 1 January 2008. Cabinet, of the Department’s › initiating “Brand Sydney” project The Minister for State Development, strategic direction, structure › revision of the Department’s the Hon. Ian Macdonald is satisfied and operations as the NSW key result areas that during the reporting period Government’s key industry and Mr Cullen met all the performance business development agency › the Premier’s mission to China in May 2008. criteria for the position.

NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT ANNUAL REPORT 2007-2008 159 Appendices

Appendix 24 (cont’d) met the performance criteria for the position and was responsible for: Todd Clewett, MPA (Harvard), MURP, BA › the establishment of the Director, Innovation Strategies Innovation Unit, supporting the Innovation Council SES Level 5 › the development of the Finance Total remuneration package Sector Strategy as a part of the per annum: $230,000 Financial Services Summit comprehensive analysis of the Period in position: 15 November › state of the creative industries in 2007 to 30 June 2008. NSW and the development of the Mr Todd Clewett was appointed Creative Industries: Economic to the position of Director Innovation Fundamentals Report Strategies on 15 November › leading the development of the 2007. The Director General, Barry Report on Freight and Logistics, Buffier is satisfied that during defining the challenges for the the reporting period Mr Clewett industry in NSW.

Appendix 25 Significant Committees Membership

Name Committee Barry Buffier Australian Centre for International Agricultural Research; Biofuels Expert Panel; CEOs Business and Economic Development Cluster; CEOs Climate Change Group; CEOs Metropolitan Strategy Group; CEOs Network; Chief Executives Committee; Commonwealth Standing Committee on Regional Development; Economic Development Forum; Industry Capability Network; NSW Innovation Council; NSW Manufacturing Council; NSW Skills Council; NSW Small Business Development Corporation; NSW Wine Industry R&D Advisory Council; Science Agencies Group; Small Business Regulation Review Taskforce; Tourism NSW Board Loftus Harris APEC NSW Government Executive Group; NSW TAFE Commission Board; Tourism NSW Board; United States Study Centre Board; Employment Lands Taskforce; NSW Ethanol Taskforce; NSW Major Events Board; NSW Chief Executives Committee; NSW Employment Lands Taskforce; Premier’s Business Roundtable; NSW Manufacturing Council; NSW Skills Council; Small Business Regulation Review Taskforce; CEOs Business and Economic Development Forum; CEDA NSW State Advisory Council; National ICT Limited; Sydney Film Support Team; Commonwealth Standing Committee on Regional Development; NSW Wine Industry Advisory Council; State Inter-Agency Greenhouse Network; NSW Vice Chancellors’ Strategic Initiatives Group; NSW Industry Capability Network Ltd; NSW Small Business Development Corporation; State and Territory CEOs’ Forum Janine Ricketts State Contracts Control Board; NSW Property Council Economic Development Committee; Department of Commerce Central Corporate Services Unit Client Senior Officer Group; Metro CEO’s Senior Officers Group; Ministerial Council on International Trade Standing Committee of Officials; NSW Skills Council John O’Neill Australian Standing Committee on Tourism (ASCOT); Australian Tourism Awards Management Board; Local Government and Shires Association Tourism Committee; National Tourism and Aviation Advisory Committee; State Tourism; Offices Chief Executive Officers Forum; Sydney Convention & Visitors Bureau Board; Tourism Industry Forum (Chair); ATDW Pty Ltd Michael O’Sullivan Commonwealth, State and Territories Advisory Committee on Innovation; The Bandwidth Foundry; Australian Synchrotron Research Program; NSW Air Freight and Sea Freight Councils; Australian International Sporting Events Secretariat Michael Cullen Illawarra Advantage Fund Assessment Committee; Hunter Advantage Fund Assessment Committee Julie Scott Small Business Ministerial Council Officials Standing Committee; Small Business Development Corporation; GROW Area Consultative Committee; Small Business Regulation Review Taskforce Kerry Doyle Biotechnology Liaison Committee — External; University / Government Working Group; Hub Liaison Group; Science Agencies Group Warwick Glenn National Investment and Advisory Board Lyndel Gray Sydney Convention and Visitors Bureau; 2009 World Masters Games Marketing Committee Leanne Joyce National Marketing Group conducted by Invest Australia Derek Van Dyk Environmental Trust Technical Committee; Nanotechnology States and Territories Committee; Commonwealth, State and Territory Advisory Council on Innovation; Science and Innovation Advisory Panel; NCRIS States and Territories Officials Committee Elisabeth Allen NSW Marine Parks Advisory Council

160 NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT ANNUAL REPORT 2007-2008 Appendices

Appendix 25 (cont’d)

Name Committee Chris Armstrong Australian Synchrotron Operator Science / Technical Evaluation Working Group; Science and Innovation Advisory Panel Marlene Bailey OH&S Workplace Committee (Sydney International Airport) Mandy Bellingham Sydney Melbourne Touring Nicole Braden ATEC Symposium 2008 Committee, Australian Tourism Export Council Paul Butler NSW Greenhouse Network; Review of the NSW Greenhouse Gas Abatement Scheme Interdepartmental Committee Ian Cameron Korean Action Plan Implementation Group (KAPIG) — ceased Dec 07; Tourism Consumer Protection Working Group; Approved Destination Status — ADS Advisory Panel Geoff Coleman The Biotechnology Liaison Committee Shane Coombe Australia New Zealand Biotech Alliance, Committee for Marketing of Australian Biotechnology, AusBiotech NSW; AusMedTech NSW, NSW-Gangwon Technology Collaboration Working Group Justine Cooper Events Liaison Group Tom Czarnota Government Business Enterprise Network Barbara de Rome National Parks and Wildlife Service, Sydney District Advisory Committee; Quarantine Station Community Committee, Goat Island Reference Group Roger Evans Tourism Research Committee Reg Fisk Urban Renewal Planning Group; Redfern Waterloo Ministerial Advisory Committee Lazaros Georgiadis Statistical Coordination and Users Forum; International Trade Users Group Eileen Gilliland Murray Campaign Committee John Grady CCSU Internal Audit Committee Jim Grant Riverina Murray Softwoods Working Group; Riverina Murray Private Forestry Development Committee; Albury Wodonga Land Disposal Advisory Committee Peter Gray Australian Technology Showcase National Committee Tony Green Illawarra Regional Airport Management Committee Vikki Hine AusBiotech NSW Branch Committee, AusMedTech NSW; AWISE Advisory Committee [Women in Science & IT], National ICT Australia Centre of Excellence Liaison Committee, Committee for Marketing ICT Australia (CoMICTA), NSW Net Cluster Steering Committee, Embedded Systems Australia Steering Committee Heather Irvine Albury-Wodonga Area Consultative Committee Susan Jansen Senior Officers’ Committee on Drugs and Alcohol Olivia Jenkins Tourism Research Committee; Sustainable Tourism CRC (NSW) Paul Judge NSW Intensive Agriculture Consultative Committee, NSW Pork Industry Taskforce, Australian Wine and Brandy Corporation–States Alliance, DSRD Joint Consultative Committee Steven Kerlander The Warren Centre for Advanced Engineering Major Projects Committee Sumeet Kumar National ICT Australia Centre of Excellence Liaison Committee; Commonwealth Government’s eResearch Committee; Commonwealth Government’s Online; Communications Council Working Group; Committee for Marketing ICT Australia (CoMICTA); Northern Sydney ICT Cluster Steering Committee; NSW Net Cluster Steering Committee; Embedded Systems Australia Steering Committee; Smart Services CRC Steering Committee; The Warren Centre for Advanced Engineering Major Projects Committee Wayne Lange National Online Steering Committee (NOSC); ATDW Pty Ltd Dean Long National Tourist Signposting Reference Group, Tourist Attraction Signposting Assessment Committee Bill Mabey Regional Co-ordination Management Group — Northern Area; Regional Co-ordination Management Group — The Hunter Area; Rainforest Way Project Management Committee; Clarence River Way Project Management Committee; Mt Warning Culdera National Landscapes Committee Tom McAlary Commonwealth / States Working Party on Skilled Migration, NSW Government Immigration Settlement Planning Committee Alan McGuigan Local Government and Shires Association Tourism Conference Steering Committee; Tourism Industry Forum (TIF) Colin McLean Australian Regional Tourism Network Bob Moes Blue Mountains Cultural Centre and Mixed Use Development — Project Control Group

NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT ANNUAL REPORT 2007-2008 161 Appendices

Appendix 25 (cont’d)

Name Committee Meg Montgomery Biodiscovery Working Group (a sub-committee of the Biotechnology Liaison Committee) — External Margaret O’Dwyer Regional Co–ordination Management Group, Illawarra & South East; Regional Co-ordination Management Group — Riverina Murray Steve Rank National Executive of Small Business Agencies; NSW Entrepreneurship Centre Pty Ltd Tony Sansom Hunter Institute Advisory Council; Tillegra Dam Taskforce Bernadette Selfe Redfern Waterloo Authority Ministerial Advisory Board; Two ways Together Economic Development Cluster Group; Steering Group for the participation in Construction Justine Smith Accredited Visitor Information Centre Industry Reference Group; Backpackers Operators Association Vince Smith Australian Institute of Exporters Advisory Board Natalie Stepanenko Council of Small Business Associations of Australia; Standards Australia (Complaints Handling Standard Committee); Australasian Compliance Institute; Small Business Ministerial Council Climate Change Working Group; Small Business Ministerial Council Retail Tenancy Working Group; Government Enterprise Business Network; Green Skills Advisory Board (DET) Allen Treanor ABN Business Names Steering Committee; NSW State Aviation Working Group; NSW Building Industry Coordination Committee; Standing Committee On Transport — Aviation Working Group; Small Business Ministerial Council Climate Change Working Group Rowena Tucker Cardiovascular Research Network Management Committee; Population Health Research Network; Darlinghurst Research Hub; Hub Liaison Group; Cancer Institute NSW Cancer Research Advisory Committee; Northern Sydney Medical Research Hub Advisory Committee; Westmead Research Hub Council Patricia Wilkinson Regional Co-ordination Management Group—New England / North West; Regional Co-ordination; Management Group—Riverina; Regional Co-ordination Management Group — Western Area Anthony Williams Transfield Services Australian P / L; Aboriginal Advisory Board; Hawkesbury–Nepean Catchment Management Authority’s Board Sally Williams Australian–Arab Chamber of Commerce Management Committee Adrian Wood Australia China Business Council, Member NSW Board ( Ex Officio) Internal Committees Janine Ricketts Audit and Review Committee; Joint Consultative Committee Warwick Glenn Audit and Review Committee Michael O’Sullivan Audit and Review Committee Michael Cullen Audit and Review Committee Julie Scott Audit and Review Committee Tod Clewett Audit and Review Committee Kerry Doyle Audit and Review Committee Leanne Joyce Audit and Review Committee David Morris Audit and Review Committee Ken Carlsund Audit and Review Committee Gary Offner Audit and Review Committee John Grady Audit and Review Committee Garry Somerville Audit and Review Committee Barry Buffier Joint Consultative Committee John Grady Joint Consultative Committee Natalie May Joint Consultative Committee; OH&S Workplace Committee Shane Howes Joint Consultative Committee Wayne Sonter Joint Consultative Committee Bernadette Selfe Joint Consultative Committee Paul Judge Joint Consultative Committee Roslyn Mitchelson Joint Consultative Committee

162 NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT ANNUAL REPORT 2007-2008 Appendices

Appendix 25 (cont’d)

Name Committee Toni Hannon OH&S Workplace Committee Vineta Lopaticka OH&S Workplace Committee Kerry-Ann Weirick OH&S Workplace Committee Managala Srinivasan OH&S Workplace Committee Jacques Dulaurent OH&S Workplace Committee Donna Shields OH&S Workplace Committee Christine Stanberg OH&S Workplace Committee Bronwen North OH&S Workplace Committee Carolyn Maxwell (Chair) OH&S Workplace Committee David Street OH&S Workplace Committee

Appendix 26 › taking advantage of the services Building management for the of a “take back” scheme offered Department’s corporate headquarters Waste reduction and by State Government contracted in the MLC Centre, Sydney ensured purchasing policy computer suppliers, whereby used that building waste avoidance Commitment to reduce waste computer equipment is disposed schemes contributed to 1,244 tonnes sent to landfill of in an environmentally of waste being diverted from landfill The Department fully supports the responsible manner when new into the various recycling streams. NSW Government’s commitment to computer equipment is purchased This compares positively with 891 waste reduction through the active › encouraging the purchase of other tonnes in 2006–07. management of waste disposal recycled component products, The use of Recycled Material schemes and mandatory use of besides general use paper (e.g. (purchasing of recycled- recycled products. post-it notes, writing pads, diaries, content materials) toners etc) throughout the Over the past few years the During 2007–08, the Department network of DSRD offices. Department has analysed purchasing purchased, produced and distributed data and undertaken an independent Resource Recovery a total of 34,530 kilograms of paper. audit of waste disposal to improve (waste reuse and recycling) General use paper such as A4 and A3 its procurement and purchasing During 2007–08, the Department white represented 68 per cent of this decisions, resulting in greater use purchased 540 printer toner amount (23,527 kilograms) of the of recycled content products. cartridges. After use, all of these total, while publications represented cartridges were collected by recycling the balance. The actual amount of Reducing the Generation of Waste paper purchased, produced and (waste avoidance & minimisation) organisations for refilling or reuse. The Department has considered distributed is marginally higher Based on the Waste Audit performed purchasing re-manufactured toner than the last reporting period. in 2007 a number of opportunities cartridges but like many other were identified for the Department 98 per cent of the general use paper agencies the continuing uncertainty to improve and reduce the generation had a recycled content, while 100 per in the market surrounding the of waste. These included: cent of the Department’s publications performance and warranty is were printed on recycled content › the use of online ordering presently a deterrent. The Department paper. This annual report has been wherever possible to save continues to monitor developments printed on recycled content paper. time and paper, enabling the in this area and will re-assess the use Department to maximise buying- of re-manufactured toner cartridges power and increase efficiency in the future. › reinforcing staff awareness of Obsolete and surplus office the importance of the use of equipment and computers were individual recycling bins at their disposed of through contract services, desk (in addition to those bins auction houses or via donations to located in copying / printing and community organisations thereby kitchen areas) providing “re-use” opportunities and diverting the same from landfill.

NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT ANNUAL REPORT 2007-2008 163 Appendices

Appendix 27 › ergonomic work-station set-up training included in Workers Compensation and the Induction Program Occupational Health and Safety › OHS workplace inspections The Department continues to focus and individual workstation on providing a safe and healthy assessments conducted working environment for its staff. The free influenza vaccinations Department’s main goal is to prevent › offered to staff accidents and injuries by taking preventative measures and promoting › appointment of new First Aid healthy work practices and programs. Officers at five sites Workers Compensation and Injury All workplace incidents and injuries › Management Policy reviewed were investigated and appropriate injury management, intervention › driver awareness and manual and return to work programs handling training conducted implemented. 15 workers at various locations compensation claims were › no WorkCover breaches or lodged in the reporting year. prosecutions in the reporting year Key results and activities for the › 25 per cent reduction in number year included: of workers compensation claims lodged from the previous year. › election of new Occupational Health and Safety Committee, Staff Support Services appropriate training for members The Department continued its and conduct of quarterly sponsorship of the Employee committee meetings Assistance Program (EAP) which › monitoring and reporting on provides a 24-hour, seven day a the Government’s Working week independent and confidential Together Strategy counselling services to staff and their family members. › OH&S and Workers Compensation training regularly provided for supervisors and managers

164 NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT ANNUAL REPORT 2007-2008 Access

Principal office Tourism NSW Tourism NSW Department of State Tourism House Suite F Level 1 and Regional Development 55 Harrington Street 144 West High Street The Rocks NSW 2000 Coffs Harbour NSW 2450 Level 47 MLC Centre GPO Box 7050 Tel: +61 2 6651 7625 19 Martin Place Sydney NSW 2001 Fax: +61 2 6658 0352 Sydney NSW 2000 Tel: +61 2 9931 1111 GPO Box 5477 Fax: +61 2 9931 1424 Dubbo Sydney NSW 2001 Web: www.tourism.nsw.gov.au Level 1 Tel: +61 2 9338 6600 Office hours: 8.30am–6.00pm 47–59 Wingewarra Street Fax: +61 2 9338 6950 Monday–Friday PO Box 1039 Web: www.business.nsw.gov.au Dubbo NSW 2830 Office hours: 9.00am–5.00pm Regional NSW Tel: +61 2 6883 3100 Monday–Friday Fax: +61 2 6883 3131 Albury Tourism NSW Main offices 620 Macauley Street PO Box 3415 47–59 Wingewarra Street NSW Office for Science Dubbo NSW 2830 and Medical Research Albury NSW 2640 Tel: +61 2 6041 4808 Tel: +61 2 6883 3107 Level 43 MLC Centre Fax: +61 2 6041 4818 Fax: +61 2 6883 3131 19 Martin Place Sydney NSW 2000 Tourism NSW Goulburn GPO Box 5477 620 Macauley Street 39 Goldsmith Street Sydney NSW 2001 Albury NSW 2640 PO Box 930 Tel: +61 2 9338 6700 Tel: +61 2 6021 2988 Goulburn NSW 2580 Fax: +61 2 9338 6720 Fax: +61 2 6041 4818 Tel: +61 2 4821 8000 Web: www.osmr.nsw.gov.au Fax: +61 2 4821 8650 Armidale Office hours: 9.00am–5.00pm Grafton Monday–Friday Suite 6, Level 1 175 Rusden Street Level 1 NSW Trade and Investment PO Box 1138 50 Victoria Street Centre & NSW Country Embassy Armidale NSW 2350 PO Box 1385 Level 47 MLC Centre Tel: +61 2 6771 3284 Grafton NSW 2460 19 Martin Place Fax: +61 2 6771 3286 Tel: +61 2 6642 6511 Sydney NSW 2000 Fax: +61 2 6642 6021 Bathurst GPO Box 5477 Lismore Sydney NSW 2001 235 Russell Street Level 3 Tel: +61 2 9338 6900 PO Box 160 Rous Water Building Fax: +61 2 9338 6609 Bathurst NSW 2795 Tel: +61 2 6332 6841 218 Molesworth St Parramatta Business Centre Fax: +61 2 6332 1129 PO Box 146 Level 2 Lismore NSW 2480 470 Church Street Broken Hill Tel: +61 2 6622 4011 North Parramatta NSW 2151 Ground Floor Fax: +61 2 6621 4609 32 Sulphide Street PO Box 242 Newcastle Parramatta NSW 2124 PO Box 786 Level 3 Tel: +61 2 8843 1100 Broken Hill NSW 2880 251 Wharf Road Fax: +61 2 9890 9552 Tel: +61 8 8087 8033 Fax: +61 8 8088 5100 Newcastle NSW 2300 Retail Tenancy Unit Tel: +61 2 4908 7333 Level 43 MLC Centre Buronga Fax: +61 2 4929 7096 Unit 2 19 Martin Place Nowra Sydney NSW 2000 1 Silver City Highway 57 Worrigee Street GPO Box 5477 PO Box 340 PO Box 112 Sydney NSW 2001 Buronga NSW 2739 Nowra NSW 2541 Tel: +61 2 8222 4800 Tel: +61 3 5023 8661 Tel: +61 2 4421 1000 Fax: +61 2 8222 4816 Fax: +61 3 5023 8441 Fax: +61 2 4423 7957 Free Call: 1300 795 534 (NSW) Coffs Harbour Email: [email protected] Orange Suite F Level 1 144 West High Street Suite 2 Level 1 PO Box 1028 206 Lords Place Coffs Harbour NSW 2450 PO Box 1620 Tel: +61 2 6651 9945 Orange NSW 2800 Fax: +61 2 6658 0303 Tel: +61 2 6360 8400 Fax: +61 2 6361 2400

NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT ANNUAL REPORT 2007-2008 165 Appendices

Ourimbah New Zealand North Loop Road Tourism NSW Central Coast Campus Level 3, 125 The Strand PO Box 260 Parnell, Auckland 1 Ourimbah NSW 2258 New Zealand Tel: +61 2 4340 8700 Tel: 0011 64 9 307 7040 Fax: +61 2 4362 3095 Fax: 0015 64 9 366 6173 Email: [email protected] Port Macquarie Suite 1 North America 133–137 Gordon Street Tourism NSW PO Box 2537 Suite 810, 8th Floor Port Macquarie NSW 2444 6100 Center Drive Tel: +61 2 6583 5647 Los Angeles CA 90045 Fax: +61 2 6583 5285 United States of America Tel: 0011 1 310 641 1622 Tamworth Fax: 0015 1 310 641 1655 Level 1 Email: [email protected] 11–15 Dowe Street PO Box 1696 North Asia — Tamworth NSW 2340 Hong Kong, China, Korea Tel: +61 2 6766 1360 Tourism NSW Fax: +61 2 6766 1378 Suite 6706–07, Central Plaza Tweed Heads 18 Harbour Road Wanchai 145 Wharf St Hong Kong PO Box 851 Tel: 0011 852 2312 1895 / 1018 Tweed Heads NSW 2485 Fax: 0015 852 2312 1035 Tel: +61 7 5599 3344 Email: [email protected] Fax: +61 7 5599 3354 South East Asia — Wagga Wagga Singapore, Malaysia, India 48 Fitzmaurice Street PO Box 1156 Tourism NSW Wagga Wagga NSW 2650 #08–01/03, United Square Tel: +61 2 6921 6422 101 Thomson Rd Fax: +61 2 6921 0780 Singapore 307591 Tel: 0011 65 6253 3888 Wollongong Fax: 0015 65 6352 4888 Suite 1, Terrace Level Email: [email protected] Crown Tower United Kingdom and Europe 200 Crown Street (Mall) PO Box 5106 (Germany) Wollongong NSW 2520 Tourism New South Wales Tel: +61 2 4225 9055 Level 6, Australia Centre Fax: +61 2 4225 9056 Strand, London WC2B 4LG United Kingdom International offices Tel: 0011 44 20 7438 4644 or 4643 Fax: 0015 44 20 7240 6690 Japan Email: [email protected] Tourism NSW 28th Floor, New Otani Garden Court, 4–1 Kioi-Cho, Chiyoda-Ku, Tokyo 102 0094 Japan Tel: 0011 81 3 5214 0777 Fax: 0015 81 3 5214 0780 Email: [email protected]

166 NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT ANNUAL REPORT 2007-2008 Index

Aboriginal Business Development 49 Home Based Business 51 Overseas Travel 153 Access 165 Human Resources 40, 150 Overview by the Director General 5 Appendices 124 Hunter Advantage Fund 43 Payment of Accounts 155 Audited Financial Statements 64 Illawarra Advantage Fund 43 Performance Summary 13 Australian Technology Showcase 23 Industry Capability Network 24 Policy and Resources Division 37 Business Advisory Services 50 Industry Division 22 Privacy and Personal Information 155 Business Migration 31 Information and Publications and Communication Technology 23, 30 Promotional Material 156 Communications Unit 60 Information and Regional Business Consultants 126 Management Services 41 Development Scheme 43 Consumer Response 127 Innovation Unit 61 Regional Development Boards 45 Controlled Entities 127 Innovation Statement 11 Regional Development Division 42 Corporate Framework 8 Internal Audit 152 Research and Development 157 Country Week 46 International Business Retail Tenancy Unit 63 Relations Program 62 Creative Industries 23, 25 Risk Management and Insurance 158 Investment Division 28 Credit Card Use Certification 128 Science EXPOsed 36 Land Disposal 152 Department Functional Structure 4 Senior Executive Service 158 Legislation 12 Destination Development 57 Significant Disability Action Plan 128 Letter of Submission 2 Committees Membership 160 Drive for Talent Program 30 Logistics 23, 30, 61 Small Business Development Corporation 51 Economic Evaluation Main Street/Small and Statistics 38 Towns Program 43 Small Business Development Division 47 Equal Employment Opportunity 130 Major Assets 152 Small Business Month 50 Ethnic Affairs Priority Statement 131 Major Works in Progress 152 Stepping Up Program 49 Executive Team 12 Manufacturing 23, 30, 61 Tourism Industry Forum 56 Export Development 48 Marketing New South Wales Overseas 54 Tourism NSW 52 Financial Overview 20 Marketing New South Tourism NSW Board 128 Financial Services 30 Wales within Australia 53 Trade and Investment Freedom of Information 134 Marketing Regional NSW 55 Centre and Country Embassy 60 Governance 12, 40 Marketing Sydney 55 Waste Reduction and Purchasing Policy 163 Government Sustainability Policy 138 NSW State Plan 10, 11, 14 Western Sydney Business Centre 50 Grants to Non-government Objectives and Results 10, 11 Organisations 139 Women in Business Program 50 Office for Science Guarantee of Service 150 and Medical Research 32 Workers’ Compensation and Occupational Health and Safety 164

NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT ANNUAL REPORT 2007-2008 167 Other Annual Report requirements

Total Cost: report preparation $35,800 Materiality Complies Table of contents Complies Logical sequence Complies Appropriate layout Complies Legibility Complies Appropriate captions Complies Size ISO A4 Complies Extension of time granted None Exemptions from provisions of Act None Distribution to Parliament Complies Availability to the public Complies Price determinations None Delays to programs None significant Economic factors affecting achievement of objectives None significant Major problems and issues None significant Matters that could impact on the succeeding year None significant

ISSN 1327-8177 Published by the NSW Department of State and Regional Development Level 49, MLC Centre, 19 Martin Place, Sydney NSW 2000 Contents are copyright Department of State and Regional Development NSW Government 2008.

168 NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT ANNUAL REPORT 2007-2008 Notes

NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT ANNUAL REPORT 2007-2008 169 Notes

170 NEW SOUTH WALES DEPARTMENT OF STATE AND REGIONAL DEVELOPMENT ANNUAL REPORT 2007-2008