Australian Government, 2008‑09 Budget
Budget

Productivity Commission

Section 1: Agency overview and resources

1.1 Strategic direction

The Productivity Commission (the Commission) is the Australian Government's independent research and advisory body on a range of economic, social and environmental issues affecting the welfare of Australians. The Commission's work extends to the public and private sectors, including areas of State, Territory and local government, as well as federal responsibility.

As a review and advisory body, the Commission does not have responsibility for implementing government programs. It carries out inquiry research, advising and incidental functions prescribed under the Productivity Commission Act 1998.

The Commission contributes to well‑informed policy decision‑making and public understanding on matters relating to Australia's productivity and living standards, based on independent and transparent analysis that takes a community‑wide perspective rather than just the interest of particular industries or groups. The Commission has four broad components of work:

  • government commissioned projects;
  • performance reporting and other services to government bodies;
  • competitive neutrality complaints activities; and
  • supporting research and activities and statutory annual reporting.

It is anticipated the Commission's work in 2008‑09 and the forward years will be integral to the national reform agenda. The Commission will continue to examine a variety of economic, social and environmental issues through its public inquiry and commissioned research program. Commissioned projects currently underway and carrying over into 2008‑09 include inquiries into Paid Maternity, Paternity and Parental Leave, and the Consumer Policy Framework as well as studies of the Regulatory Burden on the Upstream Petroleum Sector, Business Regulation Benchmarking, Chemicals and Plastics Regulation, the Mutual Recognition Agreement and the Trans‑Tasman Mutual Recognition Arrangement and an ongoing Review of Regulatory Burdens on Business that is currently focused on the manufacturing sector and distributive trades. In addition, the Government has asked the Commission to undertake economy‑wide modeling of future assistance options for the automotive industry and announced that it will be seeking similar advice in relation to the textiles, clothing and footwear industries.

Several of the abovementioned commissioned projects have been initiated by the Council of Australian Governments (COAG). The Commission is also working with Australia's jurisdictions in respect of standing research responsibilities and specific projects. In particular, the Commission is providing cross‑jurisdictional reporting to COAG on performance of government services and indicators of Indigenous disadvantage and preparing an annual publication focussing on the performance of government trading enterprises.

The Australian Government Competitive Neutrality Complaints Office (AGCNCO) is an autonomous office located within the Commission. Its function is to receive and investigate complaints and provide advice to the Minister on the application of competitive neutrality arrangements. AGCNCO also provides informal advice on, and assists agencies in, implementing competitive neutrality requirements.

The Commission has a statutory mandate to undertake research to complement its other activities. The supporting research program includes work on productivity performance and its determinants, environmental and resources management, labour markets (including social dimensions) and development of economic models and frameworks. The Commission's most recent research report released in March 2008 is Towards Urban Water Reform A Discussion Paper. A full list of the Commission's research reports and Staff Working Papers is provided on the Commission's website.

1.2 Agency resource statement

Table 1.1 shows the total resources from all origins. The table summarises how resources will be applied to the Commission.

Table 1.1: Productivity Commission resource statement — Budget
estimates for 2008‑09 as at Budget May 2008

Table 1.1: Productivity Commission resource statement — Budget estimates for 2008-09 as at Budget May 2008

1. Appropriation Bill (No.1) 2008‑09.

2. Receipts received under s31 of the Financial Management and Accountability Act 1997.

3. Estimated adjusted balance carried forward from previous year for annual appropriations.

1.3 Budget measures

Table 1.2: Productivity Commission 2008‑09 Budget measures

The Commission does not have any Budget measures for 2008‑09.

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