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

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DEPARTMENT of STATE and REGIONAL DEVELOPMENT ANNUAL REPORT 2007-2008 3 Organisation Chart New South Wales Department of State and Regional DevelopmentRegional Annual Reportand Department 2007–2008 Wales State South of New 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
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