PAPUA NEW GUINEA

Appropriation (National Development Expenditure 2012) Act 2011.

No. 7 of 2011.

Certified on: 28 DEC 2011

Appropriation (National Development Expenditure 2012) Act 2011.

ARRANGEMENT OF SECTIONS.

1. National Development Expenditure of K4,402,155,000.
2. Appropriation.
3. Adjustment of appropriation for directly financed projects.
4. Adjustment of appropriation for projects funded by grants.
5. Adjustment of appropriations for projects funded from concessional loans.
6. Directions to be published in the National Gazette.
7. Direction to be available to Auditor-General.
8. Direction for expenditure appropriated to trusts.

SCHEDULE 1.
SCHEDULE 2.

AN ACT

entitled

Appropriation (National Development Expenditure 2012) Act 2011.

Being an Act to appropriate out of the Consolidated Revenue Fund a sum for National Development expenditure for the year ending 31 December 2012,

MADE by the National Parliament.

1. NATIONAL DEVELOPMENT EXPENDITURE OF K4,402,155,000.

Subject to authorisation from the Minister, the Secretary for Treasury may issue out of the Consolidated Revenue Fund and apply for National Development projects for the year ending 31 December 2012 the sum of K4,402,155,000, consisting of ‑

(a) direct government financing of K2,402,200,000; and

(b) infrastructure tax credits of K130,000,000; and

(c) estimated concessional loans of K479,447,000; and

(d) estimated donor grants of K1,390,508,000.

2. APPROPRIATION.

Sums granted by this Act out of the Consolidated Revenue Fund for National Development expenditure for the financial year ending 31 December 2012 are appropriated for the projects of the agencies listed in the Schedule to this Bill in the financial year ending 31 December 2012 –

(a) for the purposes of identifying the projects of agencies referred to in this Act, Part 3 of Volume 2 of the 2012 Budget Publications are to be considered a relevant document; and

(b) where additional donor grants are received in the year ending 31 December 2012, they may be issued out of the Consolidated Revenue Fund and appropriated to National Development projects with the approval of the Minister; and

(c) in the event that amounts appropriated for either donor grants or concessional loans are not received from the respective donors in the year ending 31 December 2012, these appropriations may not be issued from the Consolidated Revenue Fund and will lapse.

3. ADJUSTMENT OF APPROPRIATION FOR DIRECTLY FINANCED PROJECTS.

The Secretary for Treasury may direct the reallocation of any unexpended appropriation for a directly financed project included in Part 3 of Volume 2 of the 2012 Budget Publications, to other projects included in Part 3 of Volume 2 of the 2012 Budget Publications, where –

(a) there is insufficient or no appropriation to meet expenditure for a project; and

(b) the reallocation is supported by the Agency Head(s) responsible for implementing the project; and

(c) the reallocation of appropriation is urgent and was unforeseen at the time of making this Act and is necessary for the delivery of essential services to the People of Papua New Guinea,

the total amount of all reallocations authorised under this section shall not exceed the sum of K240,220,000.

4. ADJUSTMENT OF APPROPRIATION FOR PROJECTS FUNDED BY GRANTS.

The Secretary for Treasury may direct the reallocation of any unexpended appropriation for a project identified in Part 3 of Volume 2 of the 2012 Budget Publications to other projects identified in that volume of the Budget Publications where –

(a) there is insufficient or no appropriation to meet expenditure for a project; and

(b) the transfer is requested by the donor providing the grant; and

(c) the Secretary for Treasury agrees that the need for reallocation of appropriation is urgent and was unforeseen at the time of making this Act and is necessary for the delivery of essential services to the People of Papua New Guinea.

5. ADJUSTMENT OF APPROPRIATIONS FOR PROJECTS FUNDED FROM CONCESSIONAL LOANS.

The Secretary for Treasury may direct the reallocation of any unexpended appropriation for a project funded from a concessional loan to another project included in Part 3 of Volume 2 of the 2012 Budget Publications and funded by a concessional loan where –

(a) there is insufficient or no appropriation to meet expenditure for that other project and the reallocation is supported by the Agency Heads responsible for implementing the project; and

(b) the Secretary for Treasury agrees that the need for reallocation of appropriation is urgent and was unforeseen at the time of making this Act and is necessary for the delivery of essential services to the people of Papua New Guinea.

6. DIRECTIONS TO BE PUBLISHED IN THE NATIONAL GAZETTE.

(1) The Secretary for Treasury shall publish a report of all transfers made under Sections 3, 4 and 5 in the National Gazette.

(2) The report shall identify the amounts transferred by vote, recipient and the circumstances justifying the transfer.

(3) This report shall be published four times a year at the end of each quarter.

7. DIRECTION TO BE AVAILABLE TO AUDITOR-GENERAL.

A copy of each direction under Sections 3, 4 or 5 shall be made available to the Auditor General as soon as practicable after the end of the financial year ending 31 December 2012.

8. DIRECTION FOR EXPENDITURE APPROPRIATED TO TRUSTS.

(1) K725,000,000 of the amount appropriated in this Act is to be immediately transferred to the Trust Accounts identified for the approved projects specified in Schedule 2.

(2) Where a Trust Account specified in Schedule 2 does not exist, a new trust account is to be established by the Minister for Finance under Section 15 of the Public Finances (Management) Act 1995 and the transfer is to take place immediately on the establishment of the Trust Account.

(3) In the event that the amounts expressed in Schedule 2 are not transferred, the appropriation will lapse and the amounts will be returned to the Consolidated Revenue Fund.

(4) These funds cannot be utilized, transferred or reallocated for any other purpose,

(5) The K178,000,000 directed to the District Services Improvement Program Trust Account must be split equally, with an amount of K2 million to be allocated and expended in each of the 89 districts and the funds are to be allocated in equal amounts.

SCHEDULE 1.

Estimates of Expenditure for the Year ending 31 December 2012.

Div.	Summary	Kina	
			
203	Department of the Prime Minister & NEC	52,874,000	
204	National Statistical Office	11,800,000	
206	Department of Finance	16,444,000	
208	Department of Treasury	178,283,000	
211	PNG Customs	17,800,000	
213	Fire Services	3,000,000	
216	Internal Revenue Commission	5,200,000	
217	Department of Foreign Affairs, Trade & Immigration	13,645,000	
219	PNG Institute of Public Administration	2,200,000	
220	Department of Personnel Management	126,711,000	
221	Public Service Commission	800,000	
222	Office of the Public Solicitor	6,000,000	
225	Department of Justice and Attorney General	101,074,000	
226	Corrective Institution Service	44,000,000	
228	Department of Police	49,500,000	
229	Department of National Planning & Monitoring	229,942,000	
230	Electoral Commission	16,484,000	
231	National Intelligence Organisation	2,000,000	
232	Department of Provincial & Local Government Affairs	41,174,000	
234	PNG Defence Force	27,000,000	
235	Department of Education	316,555,000	
236	Office of Higher Education	99,674,000	
240	Department of Health	302,067,000	
242	Department of Community Development	70,717,000	
245	Department of Environment & Conservation	20,857,000	
247	Department of Agriculture & Livestock	26,637,000	
252	Department of Lands & Physical Planning	20,000,000	
255	Department of Petroleum & Energy	10,000,000	
258	Department of Information & Communication	69,814,000	
259	Department of Transport	25,757,000	
261	Department of Commerce & Industry	116,058,000	
262	Department of Labour and Industrial Relations	2,000,000	
264	Department of Works & Implementation	760,885,000	
267	Office of Rural Development	206,922,000	
268	Central Supply and Tenders Board	2,000,000	
502	Office of the Auditor General	5,000,000	
506	National Training Council	64,562,000	
509	Border Development Authority	6,726,000	
510	Legal Training Institute	5,000,000	
511	Office of Climate Change and Development	2,337,000	
512	University of Papua New Guinea	48,156,000	
513	University of Technology	8,000,000	
514	University of Goroka	46,041,000	
515	University of Environment and Natural Resources	18,000,000	
516	PNG Sports Foundation	187,237,000	
517	National Narcotics Bureau	2,200,000	
519	National AIDS Council Secretariat	97,352,000	
520	Institute of Medical Research	l1,000,000	
521	National Youth Commission	4,000,000	
523	Accident Investigation Commission	2,500,000	
524	IPBC	59,370,000	
525	National Broadcasting Commission	7,574,000	
526	National Maritime Safety Authority	5,000,000	
528	National Road Safety Council	1,000,000	
530	Investment Promotion Authority	2,200,000	
531	Small Business Development Corporation	4,300,000	
532	National Institute of Standards & Industrial Technology	2,000,000	
535	Mineral Resources Authority	34,961,000	
538	PNG Air Services Limited	5,000,000	
539	National Museum & Art Gallery	37,809,000	
540	Water PNG	30,000,000	
542	National Cultural Commission	4,300,000	
543	National Development Bank	130,000,000	
546	PNG Power Limited	36,589,000	
547	Telikom	20,000,000	
548	PNG Ports Corporation	28,100,000	
550	Cocoa Coconut Institute	6,000,000	
551	Fisheries	8,000,000	
553	Fresh Produce Development Company (Ltd)	5,920,000	
554	Coffee Industry Corporation	7,000,000	
557	PNG National Forest Authority	11,822,000	
559	OPIC	16,828,000	
562	National Agriculture Research Institute	4,182,000	
563	National Agriculture Quarantine & Inspection Authority	1,000,000	
565	Civil Aviation Safety Authority	49,848,000	
566	PNG Cocoa Board	9,363,000	
567	National Road Authority	15,000,000	
568	LDC	6,000,000	
571	Western Provincial Government	20,400,000	
572	Gulf Provincial Government	9,550,000	
573	Central Provincial Government	12,950,000	
574	National Capital District	20,408,000	
575	Milne Bay Provincial Government	6,250,000	
576	Oro Provincial Government	750,000	
577	Southern Highlands Provincial Government	21,650,000	
578	Enga Provincial Government	15,000,000	
579	Western Highlands Provincial Government	14,000,000	
580	Simbu Provincial Government	12,750,000	
581	Eastern Highlands Provincial Government	2,250,000	
582	Morobe Provincial Government	29,897,000	
583	Madang Provincial Government	3,750,000	
584	East Sepik Provincial Government	1,750,000	
585	Sandaun Provincial Government	5,250,000	
586	Manus Provincial Government	5,000,000	
587	New Ireland Provincial Government	26,050,000	
588	East New Britain Provincial Government	1,250,000	
589	West New Britain Provincial Government	750,000	
590	Autonomous Bougainville Government	139,349,000	
			
	Grand Total	4,402,155,000	
_______________

SCHEDULE 2.

Immediate Transfer of Funds Appropriated in this Act from Divisions identified in the Budget Publications to Specified Trust Accounts for the year ending 31 December 2012.

SUMMARY
	KINA	
2015 South Pacific Games
	180,000,000	
District Services Improvement Program Trust Account
	178,000,000	
Infrastructure Development Grant (UBSA)
	120,000,000	
Restoration and Development Grant (ABG)
	100,000,000	
High Impact Projects (UBSA)
	50,000,000	
Economic Corridors Development Program
	10,000,000	
Waigani Office Redevelopment programme
	10,000,000	
Konebada Park
	10,000,000	
Trade skills scholarships
	20,000,000	
Rehabilitation and recapitalization (OHE)
	12,000,000	
		
Amount to be Transferred	K690,000,000	
_______________

I hereby certify that the above is a fair print of the Appropriation (National Development
Expenditure 2012) Act 2011 which has been made by the National Parliament.

Acting Clerk of the National Parliament.
28 DEC 2011

I hereby certify that the Appropriation (National Development Expenditure 2012) Act 2011 was made by the National Parliament on 21 December 2011.

Acting Speaker of the National Parliament.
28 DEC 2011