Proposed changes to cost recovery for some services

Closing Date:
Contact: Cost recovery directorate

Update – 31 May 2018

Following consultation, some of the fees and charges for the services we provide for biosecurity and food systems have changed. Regulations for the changes were gazetted on 31 May 2018 and the changes take effect on 1 July 2018.

Consultation background

MPI was seeking feedback on 7 proposed changes to cost recovery for selected services provided under the Biosecurity Act 1993, the Animal Products Act 1999 (APA), and the Food Act 2014.

SUMMARY OF PROPOSED CHANGES

Biosecurity changes

Proposal 1

Increase the maximum levy rate to allow for an increase in the Biosecurity System Entry Levy (BSEL) including recovering the full costs for the Joint Border Management System component of the BSEL.

Proposal 2

Allow the levy period for the Border Clearance Levy to be extended for up to 36 months.

Proposal 3

Align biosecurity inspection rates for all jurisdictions.

Animal products and food changes

Proposal 4

Update the APA levies for red meat, dairy and fish processors to recover historical and ongoing deficits.

Proposal 5

Introduce new charges relating to templates for food control plans developed by third parties under the Food Act and for a small number of low volume services.

Proposal 6

Update rates to fully recover costs and historical deficits for circuit verifications.

Proposal 7

Introduce a targeted rate to address 2015/16 under-recovery of circuit verifications for coolstores, dry stores, and fish processing facilities.

Consultation documents

Submissions closed at 5pm on 21 March 2018

Written submissions on the proposals closed at 5pm on Wednesday 21 March 2018. Late submissions will not be accepted without prior written agreement from MPI.

Why are these changes being proposed?

Cost recovery plays an important role in ensuring that MPI is sufficiently funded to provide a wide range of services such as:

  • supporting access to key overseas markets
  • providing clearances of imports
  • verifying compliance with production requirements to ensure that our primary products are fit for export. 

The 7 proposals are part of ongoing work as part of MPI’s First Principles Review of its cost recovery arrangements. The review supports building a more consistent and transparent approach to cost recovery across the range of services MPI provides. 

The proposals in this consultation are those that MPI considers are the highest priority for implementation from 1 July 2018. The proposals seek to improve the equity of charges and adjust rates that are driving significant surpluses or deficits in memorandum accounts. 

Submissions are public information

Note that your submission is official information and may be the subject of requests for information under the Official Information Act 1982 (OIA). The OIA specifies that information is to be made available to requesters unless there are sufficient grounds for withholding it, as set out in the OIA. 

Submitters may wish to indicate grounds for withholding specific information contained in their submission, such as the information is commercially sensitive or they wish personal information to be withheld. Any decision to withhold information requested under the OIA is reviewable by the Ombudsman.

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