PRIMARY INDUSTRIES AND REGIONS

In reply to Mr PEDERICK (Hammond) (25 June 2012).

The Hon. G.E. GAGO (Minister for Agriculture, Food and Fisheries, Minister for Forests, Minister for Regional Development, Minister for Tourism, Minister for the Status of Women): I am advised:

The $50 million decrease in operating expenses between the 2011-12 Budget and the 2012-13 Budget is primarily due to:

Machinery of Government expenditure transfers of $41.5 million to the Department for Manufacturing, Innovation, Trade, Resources and Energy (DMITRE) in relation to Mining, Petroleum and Olympic Dam Taskforce ($39.1 million), Investment, Strategy and Projects ($1.7 million) and Strategy and Policy ($0.7 million);

Lower expenditure in 2012-13 on the Exceptional Circumstances Interest Rate Subsidy scheme ($13.3 million) following the reduction in declared eligible areas and lower demand;

Winding up of the Branched Broomrape Eradication Program as agreed by the Branched Broomrape National Management Group ($4.6 million);

Expenditure reductions in 2012-13 associated with savings initiatives ($7.2 million);

Once off expenditure in 2011-12 State Natural Resource Management expenditure for the national feral camel action plan in Aboriginal lands and Rangelands ($1.0 million); and

Reduction associated with the reshuffle of Ministerial Office responsibilities between agencies during 2011-12 ($1.4 million), in particular Hon. Tom Koutsantonis MP's Office budget transfer to DMITRE.

Partially offset by:

Machinery of Government transfers to Primary Industries and Regions SA from DMITRE of expenditure in relation to Regional Development ($14.6 million);

Increased borrowing costs associated with increased lending under the Loans to Cooperatives Scheme ($0.8 million); and

Increased expenditure relating to general indexation and enterprise bargaining agreements of around $4 million.