27Commonwealth to make matching payments in relation to a declared fishery

27 Commonwealth to make matching payments in relation to a declared fishery

(1) If there is a declared fishery in a financial year (the relevant financial year), the Commonwealth must pay to the Fisheries Research and Development Corporation, in relation to the relevant financial year, amounts that in total are equal to the sum of payable amounts worked out under this section (rounded to the nearest whole cent and rounding up in the case of 0.5 cents).

Note: For spending requirements for amounts paid under subsection (1), see section 35.

(2) A payable amount is the lesser of the following: (a) the Corporation’s declared fishery expenditure amount for the relevant financial year; (b) the amount equal to 0.5% of the average declared fishery GVP amount for the relevant financial year and the declared fishery.

Note 1: For average declared fishery GVP amount, see section 32.

Note: Example: Assume for the 2025‑26 financial year the Fisheries Research and Development Corporation’s declared fishery expenditure amount is $2 million.

Note: Assume the average declared fishery GVP amount for the 2025‑26 financial year and the declared fishery is $600 million. 0.5% of that amount is $3 million.

Note: As the declared fishery expenditure amount is less than $3 million, a payable amount is $2 million.

(3) The Corporation’s declared fishery expenditure amount for a financial year is the sum of the following: (a) the expenditure the Corporation incurs during that year on research and development activities for the declared fishery, where expenditure on those activities is: (i) for the benefit of the declared fishery; and (ii) for the benefit of the Australian community generally; and (iii) in accordance with the Corporation’s funding agreement; and (iv) in accordance with the Corporation’s annual operational plan; (b) the expenditure the Corporation incurs during that year in doing the following in relation to the declared fishery: (i) paying or discharging expenses, charges, obligations and liabilities incurred by the Corporation in the performance of its functions or the exercise of its powers; (ii) paying remuneration, allowances, fees or expenses payable under the Primary Industries Research and Development Act 1989.

Note 1: For research and development activity, see section 9.

Note 2: Paragraphs (a) and (b) cover expenditure the Corporation incurs, regardless of the source of the money that is being spent. Examples of sources of money are payments by the Commonwealth under Division 2, payments by a State or Territory or an authority of a State or Territory and voluntary industry contributions.

Note 3: For expenditure to which paragraphs (a) and (b) do not apply, see section 28.

(4) Subparagraph (3)(b)(i) does not apply to expenditure on a matter covered by subsection 21(2), (4), (5) or (6). Payable amounts worked out using the average declared fishery GVP amount (5) If the declared fishery expenditure amount is 1% or more of the average declared fishery GVP amount for the relevant financial year and the declared fishery, a payable amount is the amount worked out as follows:

Method statement

Step 1. Work out the amount equal to 0.25% of the average declared fishery GVP amount for the relevant financial year and the declared fishery.

Step 2. For each declared fishery levy or charge, in relation to the declared fishery, work out so much of the amounts paid to the Corporation under section 15 during the relevant financial year as are equal to research and development collected amounts, less any refunds that are attributable to payment of those research and development collected amounts.

Step 3. Work out the sum of the amounts at step 2.

Step 4. If the amount at step 1 is less than or equal to the amount at step 3, the amount at step 1 is a payable amount.

Step 5. If the amount at step 1 exceeds the amount at step 3, the amount at step 3 is a payable amount.

Note: For average declared fishery GVP amount, see section 32.

Note: Example: Assume for the 2025‑26 financial year the Fisheries Research and Development Corporation’s declared fishery expenditure amount is $4 million.

Note: Assume the average declared fishery GVP amount for the 2025‑26 financial year and the declared fishery is $300 million. 1% of that amount is $3 million. 0.25% of that amount is $750,000 (the amount at step 1).

Note: Assume the amount at step 3 is $500,000.

Note: As the amount at step 1 exceeds the amount at step 3, under step 5 a payable amount is $500,000.

(6) If the declared fishery expenditure amount is more than 0.5%, but less than 1%, of the average declared fishery GVP amount for the relevant financial year and the declared fishery, a payable amount is the amount worked out as follows:

Method statement

Step 1. Work out the amount equal to 0.5% of the average declared fishery GVP amount for the relevant financial year and the declared fishery.

Step 2. Subtract the amount at step 1 from the declared fishery expenditure amount.

Step 3. Work out half of the amount at step 2.

Step 4. For each declared fishery levy or charge, in relation to the declared fishery, work out so much of the amounts paid to the Corporation under section 15 during the relevant financial year as are equal to research and development collected amounts, less any refunds that are attributable to payment of those research and development collected amounts.

Step 5. Work out the sum of the amounts at step 4.

Step 6. If the amount at step 3 is less than or equal to the amount at step 5, the amount at step 3 is a payable amount.

Step 7. If the amount at step 3 exceeds the amount at step 5, the amount at step 5 is a payable amount.

Note: For average declared fishery GVP amount, see section 32.

Note: Example: Assume for the 2025‑26 financial year the Fisheries Research and Development Corporation’s declared fishery expenditure amount is $2.1 million.

Note: Assume the average declared fishery GVP amount for the 2025‑26 financial year and the declared fishery is $300 million. 1% of that amount is $3 million and 0.5% of that amount is $1.5 million.

Note: Working through the method statement as follows:

(a) the amount at step 1 is 0.5% of $300 million, which is $1.5 million;
(b) the amount at step 2 is $2.1 million minus $1.5 million, which is $600,000;
(c) the amount at step 3 is $300,000;
(d) assume the amount at step 5 is $500,000;
(e) as the amount at step 3 is less than the amount at step 5, under step 6 a payable amount is $300,000.

Overall limit (7) Despite subsections (2) to (6), the total of the amounts paid by the Commonwealth to the Corporation in relation to the relevant financial year must not exceed 0.75% of the average declared fishery GVP amount for the relevant financial year and the declared fishery.

Note: For average declared fishery GVP amount, see section 32.

Making payments (8) The Commonwealth must make the payments under subsection (1) in the amounts, and at the times, that the Commonwealth determines. Those times may be after the end of the relevant financial year. Separate applications of section (9) This section applies separately in relation to each declared fishery.