As stipulated in the PIRD Act, and shown in Figure 5, the FRDC’s primary revenue source is based on:
A. Australian Government providing unmatched funds equivalent to 0.50 per cent of the average gross value of Australian fisheries production (AGVP) for the current year plus the two preceding years.
b. Fishers and aquaculturists providing contributions via government.
Australian Government matching this amount up to a maximum of 0.25 per cent of AGVP.
Funds received from RD&E providers, both as cash and in-kind contributions through projects that have been successful for funding.
Marketing funds collected from the sectors through a statutory levy (or if approved voluntary contributions). Marketing funds are not eligible to be matched by the Commonwealth.
There is no legislative impediment to fishers and aquaculturists contributing to the FRDC above the maximum level at which the Australian Government will provide a matching contribution. Industry contributions for the past financial year and trends for the past five years are shown on page iii.
Details of all FRDC revenue (including investments, royalties, and sales of products, information and services) are in the financial statements starting on page 131.
Rationale for the FRDC’s revenue base
The high component of public good in the operating environment of the fishing industry, has significance for the FRDC’s revenue base. The Australian Government’s contribution of 0.50 per cent of AGVP is made on the grounds that the Australian Government exercises a stewardship role in relation to fisheries resources on behalf of the Australian community.
Fishing and aquaculture contributes to the FRDC on the basis that RD&E will be targeted to its needs and will deliver economic and social benefits. The Australian Government matches industry contributions on the basis that the beneficiaries of research should pay approximately in proportion to the benefits received, but the government should contribute to spill over benefits to the wider community.