PAPUA NEW GUINEA

Appropriation (Recurrent Expenditure 2008) Act 2007

No. 23 of 2007
Certified on: 11.03.08

ARRANGEMENT OF SECTIONS.
1. Grant of K6,996,269,100.
2. Appropriation.
3. Adjustment of appropriation for new services and as between services.
4. Adjustment of appropriation as between services.
5. Transfer of activities between departments.
6. Direction to be available to Auditor-General.
7. Direction for expenditure under Division 207.

AN ACT
entitled
Appropriation (Recurrent Expenditure 2008) Act 2007.
Being an Act to grant and apply out of the Consolidated Revenue Fund a sum for the General Public Service for recurrent expenditure for the year ending 31 December 2008 and to appropriate the supplies granted for that year,
MADE by the National Parliament.
1	GRANT OF K6,996,269,100.
(1) Subject to authorization from the Minister, the Secretary for Treasury may issue out of the Consolidated Revenue Fund and apply for the activities of the General Public Service for the year ending 31 December 2008 the sum of K6,996,269,100.
(2) The activities of the General Public Service are outlined in the 2008 Budget Books.
2	APPROPRIATION.
Sums granted by this Act out of the Consolidated Revenue Fund for all the activities of the General Public Service for the financial year ending 31 December 2008 are appropriated to the agencies expressed in the Schedule 1 in relation to the financial year ending 31 December 2008.
3	ADJUSTMENT OF APPROPRIATION FOR NEW SERVICES AND AS BETWEEN SERVICES.
(1) Where there is insufficient or no appropriation to meet expenditure for a particular activity, the Secretary for Treasury may direct the re-allocation of any unexpended appropriation under the recurrent expenditure through the Secretary's Advance provided that the total additional appropriation so allocated does not exceed the amount reflected under the Secretary's Advance.
(2) The distribution of the amount in this section is not limited to activities under this Act - funds may be distributed to any Government activity, including National Parliament, Judiciary or Development activities.
4	ADJUSTMENT OF APPROPRIATION AS BETWEEN SERVICES.
(1) Funds shall not be transferred between programs, or between activities within programs, without the written approval of the Secretary for Treasury.
(2) Where there is insufficient appropriation to meet Government expenditure ‑
	(a) the Secretary for Treasury may direct the re-allocation of any unexpended appropriation under recurrent expenditure to other recurrent or development expenditure or to the National Parliament or Judiciary; and
	(b) in the event that there are agreed savings identified under the appropriations for National Parliament or Judiciary the Secretary for Treasury may direct the re-allocation of these unexpended amounts to recurrent expenditure; and
	(c) the total amount of all re-allocations authorized under this section shall not exceed a sum of K699,626,910; and
	(d) where an amount appropriated under Division 207 is being transferred to the agency or trust responsible for delivering the activity for which the amount is appropriated, this transfer will not count towards the total identified in Paragraph (c).
5	TRANSFER OF ACTIVITIES BETWEEN DEPARTMENTS.
Where, after the commencement of this Act and before 1 January 2009, an activity is transferred from one operating agency to another, the authority conferred by Section 3 and 4 to issue and apply moneys out of the Consolidated Revenue Fund extends to the issue and application of moneys in respect to the carrying out of the activities by that other operating agency.
6	DIRECTION TO BE AVAILABLE TO AUDITOR-GENERAL.
A copy of each direction under Sections 3 and 4 shall be made available to the Auditor-General as soon as practicable after the end of each quarter of the financial year ending 31 December 2008.
7	DIRECTION FOR EXPENDITURE UNDER DIVISION 207.
(1) The amount of K1,112.9 million appropriated to Division 207 is to be immediately transferred from Division 207 to trust accounts identified for the approved projects expressed in Schedule 2 in order that the sums can be paid into trust accounts under Section 16 of the Public Finances (Management) Act 1995.
(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 will 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 and these funds cannot be utilized or transferred for any other purpose.
(4) The amount of K534 million directed to the District Service Improvement Trust must be split equally, with an amount of K6 million to be allocated and expended in each of the 89 districts and the funds must be used for the purposes of projects in any or all of the areas of health, water supply, law and justice, education, transport or agriculture.
(5) The amount of K45 million directed to the Transport Sector Infrastructure Maintenance and Rehabilitation Trust must be used solely for the following projects in the amounts indicated:‑
	(a) an amount of K25 million for the purpose of rehabilitating roads in Lae (Morobe Province);
	(b) an amount of K20 million for the purpose of installing utilities and access roads in Central City as the new capital for Central Province.
(6) The amount of K20 million directed to the Education Sector Infrastructure Rehabilitation Trust must be used solely for maintenance on technical schools.
(7) The amount of K150 million of the amount appropriated to Division 207 is to be paid to Nambawan Super Limited for the purpose of reducing the Government's liability for unfunded superannuation contributions, and in the event that this amount is not transferred -
	(a) the appropriation will lapse and the amounts will be returned to the Consolidated Revenue Fund; and
	(b) the funds if lapse cannot be utilized or transferred for any other purpose.
(8) The amount of K105 million of the amount appropriated to Division 207 is for National Road Maintenance (K50 million) and outstanding payments under Memoranda of Agreement (K55 million).
(9) Depending on the mechanism agreed for distribution, the amounts referred to in Subsection (8) may be transferred to the Development Budget and if this is required, the transfer of these amounts will not contribute to the total of approved transfers under Section 4.

SCHEDULE 1.
Estimates of Expenditure for the Year ending 31 December 2008.
Division	Summary	Kina	
202	Office of the Governor-General	3,486,000	
203	Department of the Prime Minister & NEC	48,830,100	
204	National Statistical Office	3,969,800	
205	Bougainville Peace and Restoration Office	1,416,100	
206	Department of Finance	18,384,700	
207	Department of Finance & Treasury - Miscellaneous	2,189,454,500	
208	Department of Treasury	9,506,700	
209	Office of the Registrar for Political Parties	4,961,300	
212	Information Technology Division	14,602,800	
213	PNG Fire Services	14,953,400	
216	Internal Revenue Commission	43,598,400	
217	Department of Foreign Affairs & Immigration	71,825,900	
219	PNG Institute of Public Administration	5,553,700	
220	Department of Personnel Management	11,110,300	
221	Public Service Commission	3,402,900	
222	Office of Public Solicitor	2,000,000	
224	Magisterial Services	23,867,300	
225	Department of Attorney General	32,225,200	
226	Department of Correctional Services	55,227,000	
227	Provincial Treasuries	24,325,800	
228	Department of Police	182,030,400	
229	Department of National Planning & Rural Development	8,662,000	
230	Electoral Commission	53,840,400	
231	National Intelligence Organisation	3,000,000	
232	Department of Provincial & Local Government Affairs	9,139,000	
234	Department of Defence	95,037,400	
235	Department of Education	129,207,500	
236	Office of Higher Education	33,804,700	
237	Office of UNESCO	750,000	
240	Department of Health	157,338,100	
241	Hospital Management Services	213,638,300	
242	Department of Community Development	8,535,100	
243	National Volunteer Service	1,100,000	
245	Department of Environment & Conservation	9,621,900	
247	Department of Agriculture & Livestock	12,005,900	
252	Department of Lands & Physical Planning	12,702,400	
254	Department of Mineral Policy & Geohazard Mgmt	5,911,500	
255	Department of Petroleum & Energy	10,322,300	
258	Department of State Enterprises & Information	2,200,000	
259	Department of Transport	16,859,500	
261	Department of Trade & Industry	7,430,000	
262	Department of Industrial Relations	8,162,300	
263	National Tripartite Consultative Council	938,800	
264	Department of Works & Implementation	50,120,300	
267	Office of Rural Development	5,086,300	
268	Central Supply & Tenders Board	1,854,200	
299	Finance & Treasury - Public Debt Services	2,369,819,800	
502	Auditor General's Office	11,226,600	
503	Ombudsman Commission	11,500,000	
505	National Research Institute	2,913,000	
506	National Training Council	2,249,500	
507	National Economic & Fiscal Commission	1,207,100	
510	Legal Training Institute	1,317,400	
512	University of Papua New Guinea	32,131,500	
513	University of Technology	29,933,800	
514	University of Goroka	11,600,000	
515	University of Vudal	6,849,000	
516	PNG Sports Foundation	2,759,900	
517	National Narcotics Bureau	1,641,700	
518	PNG Maritime College	2,680,100	
519	National Aids Council Secretariat	5,490,700	
520	Institute of Medical Research	3,300,000	
521	National Youth Commission	1,500,000	
522	Constitutional & Law Reform Commission	1,738,400	
525	National Broadcasting Corporation	13,800,000	
526	National Maritime Safety Authority	1,500,000	
530	Investment Promotion Authority	1,700,000	
531	Small Business Development Corporation	2,200,000	
532	National Institute of Standards & Industrial Technology	1,993,000	
533	Industrial Centres Development Corporation	1,425,500	
539	National Museum & Art Gallery	3,500,000	
541	National Housing Corporation	210,200	
542	National Cultural Commission	3,538,200	
550	Cocoa Coconut Institute	5,073,700	
553	Fresh Produce Development Company (Ltd)	3,124,700	
557	National Forest Authority	24,450,000	
558	Tourism Promotion Authority	8,950,000	
562	National Agriculture Research Institute	7,044,500	
563	Nat. Agriculture Quarantine & Inspection Authority	3,387,300	
565	Civil Aviation Authority	12,200,000	
567	National Road Authority	837,700	
569	Independent Consumer and Competition Commission	1,800,000	
571	Western Provincial Government	36,843,200	
572	Gulf Provincial Government	22,256,100	
573	Central Provincial Government	40,406,600	
574	National Capital District Commission	2,957,900	
575	Milne Bay Provincial Government	39,316,400	
576	Oro Povincial Government	23,275,800	
577	Southern Highlands Provincial Government	59,124,500	
578	Enga Provincial Government	40,686,600	
579	Western Highlands Provincial Government	50,812,900	
580	Simbu Provincial Government	39,471,400	
581	Eastern Highlands Provincial Government	49,234,500	
582	Morobe Provincial Government	73,365,100	
583	Madang Provincial Government	40,615,600	
584	East Sepik Provincial Government	43,193,100	
585	Sandaun Provincial Government	33,368,000	
586	Manus Provincial Government	15,082,900	
587	New Ireland Provincial Government	26,639,500	
588	East New Britain Provincial Government	49,668,300	
589	West New Britain Provincial Government	37,357,200	
590	Autonomous Bougainville Government	54,000,000	
	Grand Total	K6,996,269,100	

SCHEDULE 2
Immediate Transfer of Funds Appropriated in this Act from Division 207 to Specified Trusts for the year ending 31 December 2008

SUMMARY	KINA	
National Agriculture Development Program Trust Account.	28,000,000	
District Service Improvement Trust.	534,000,000	
Government's Gas Commercialisation Equity Financing Trust Account.	100,000,000	
Konebada Petroleum Park Trust Account.	50,000,000	
National Infrastructure Development Program Trust Account.	195,900,000	
Higher Education Sector Infrastructure Maintenance and Rehabilitation Trust Account.	30,000,000	
Rural Electrification Project Trust Account.	30,000,000	
Land Reform Program Trust Account.	28,000,000	
Housing Development Pilot Trust Account.	27,000,000	
Education Sector Infrastructure Maintenance and Rehabilitation Trust Account (Technical School Maintenance).	20,000,000	
Transport Sector Infrastructure Maintenance and Rehabilitation Trust Account.	45,000,000	
Madang Marine Park Development Trust Account.	15,000,000	
Cooperative Societies Establishment Trust Account.	10,000,000	
Amount to be Transferred from Division 207	K1,112,900,000	

I hereby certify that the above is a fair print of the Appropriation (Recurrent Expenditure 2008) Act 2007 which has been made by the National Parliament.

Clerk of the National Parliament.
11 MAR 2008
I hereby certify that the Appropriation (Recurrent Expenditure 2008) Act 2007 was made by the National Parliament on 29 November 2007.
Speaker of the National Parliament
11 MAR 2008