Guy Nathan: Airports (Cost Recovery for Processing of International Travellers) Bill — Third ReadingText is incorporated into the Bound VolumeGuy Nathan: Airports (Cost Recovery for Processing of International Travellers) Bill — Third Reading[Sitting date: 12 February 2014. Volume:696;Page:15897. Text is incorporated into the Bound Volume.]Hon NATHAN GUY (Minister for Primary Industries): I moveThat the Airports (Cost Recovery for Processing of International Travellers) Bill be now read a third time. The Airports (Cost Recovery for Processing of International Travellers) Bill amends policy relating to the funding of international traveller processing services at the border. The bill completes the funding arrangements first agreed with the aviation industry right back in 2004 further refined over the years and finalised by this present Government. I want to start by thanking everyone who has been engaged in the development of this bill over the years who have worked in a very cooperative manner with the Government to reach this point tonight. This includes the work of the Primary Production Committee led by its chairman Shane Ardern and of course I acknowledge the officials and all of those who made submissions on the bill.The bill provides a clear legal basis for the Ministry for Primary Industries the New Zealand Customs Service and the Aviation Security Service to recover the costs associated with providing traveller processing services at new and restarting international airports for a period of either 3 years or any lesser period prescribed in regulations. It also provides that an airport may cease operating international services and then restart them within a 6-month grace period without triggering cost recovery. The bill also provides for cost recovery of non-routine processing at all international airports. The bill’s objective is to reduce the Crown’s exposure to an unpredictable and uncertain fiscal liability for providing aviation security biosecurity and customstraveller processing services at international airports. It ensures that border agencies can maintain higher standards of border protection without needing to reprioritise resources from other front-line operations to service new and restarting international airports.The previous Minister for Primary Industries asked the Primary Production Committee in its consideration of the bill to consider a proposal that the cost recovery period be set at 2 years and to consider industries’ views on this. After hearing the views of submitters on this issue the committee also recommended a cost recovery period of 2 years. A 2-year cost recovery period provides a reasonable measure of confidence in the commercial viability and sustainability of international services at a new or restarting airport before it is transitioned into the funding arrangements for established international airports. At the established international airports biosecurity and customs services are funded by the Crown while Aviation Security Services are funded by a per-passenger charge on airlines. A final decision on the length of the cost recovery period will be made after the bill is passed and will be set out in regulations.The bill provides for regulations to be made before charging can begin for any new or restarting international airports and requires border agency chief executives to consult with directly affected parties before regulations are made. I look forward to officials engaging with the aviation industry on the development of these new regulations. These regulations will prescribe the cost recovery period and the actual rates or methods of cost recovery at new or restarting airports.The bill has received strong support from every political party in the House. I think this fairly reflects the importance that Parliament attaches to aviation security biosecurity and customs-related issues. Protecting our border from biosecurity threats is my No. 1 priority as Minister for Primary Industries.Our primary industries are the backbone of New Zealand’s economy. They include of course agriculture horticulture fisheries forestry and viticulture. The list goes on. They are worth around $32 billion a year in exports and make up about 70 percent of all of our exports. These industries rely on our world-class biosecurity system. It is a system that continues to evolve and improve with technology and new ideas. To give some context around 175000 items come across our border each day and we receive around 10 million travellers a year. Biosecurity threats and incursions will happen. We do not live in a risk-free environment. We will never have zero risk even if we close all of our borders. The challenge is how we continue to facilitate growth and trade yet continue to protect New Zealand from unwanted pests. It cannot be a choice between these two goals. We have to do both—grow and protect.The Ministry for Primary Industries takes a multilayered approach to biosecurity threats working on many fronts—overseas to stop travellers and importers from bringing pests here at the border to identify and eliminate pests that do arrive and here in New Zealand to find eliminate or manage pests. Biosecurity funding is higher now than when we took over from Labour and has doubled since 2000. In the last year and a half around 100 new quarantine inspectors and more dog detector teams are working on the front line. We have 12 new X-ray machines installed at our international airports. These new machines will be more reliable than the older X-ray units and will provide better image quality. Baggage is now able to be screened with greater accuracy and image quality. This means border staff will be better equipped to spot biosecurity risk items before they enter New Zealand. We have also brought in Government-industry agreements which once signed will involve industry and the Government working together on preparation and responses to these kinds of threats.Border protection is a major priority for this Government. This bill reflects that by helping to ensure that border agencies can maintain their high standards of border protection. I commend this bill to the House.