Steven Joyce

Wellington, May 26 NZPA - Maritime New Zealand will undergo a "value for money" review next month, Transport Minister Steven Joyce says.

"It is crucial that government services are routinely reviewed to ensure they are being delivered efficiently and cost effectively, given New Zealand's drive for faster economic growth," he said.

"A review of Maritime NZ will focus on whether current funding is appropriate for the services being delivered. It will ensure that taxpayers and industry are getting value for money."

Mr Joyce's announcement followed notice that the marine safety charge paid by cruise ships would be reduced from $8.29 per passenger to $3.30 on October 1.

It is being lowered because Maritime NZ expected to raise about $2 million from it but because more ships visited it generated about $3.8 million.

Mr Joyce said Maritime NZ and the Ministry of Transport initiated the review to ensure it met the Government's expectation that agencies provided value for money.

The review will be carried out by a group including representatives from the ministry, Treasury and Maritime NZ.

The review would include consideration of the marine safety charge paid through a levy on all commercial ships, Mr Joyce said.

The money is used by Maritime NZ to fund safety, regulatory and monitoring functions.

"The value for money review will also ensure that the rates accurately reflect the costs and risks associated with commercial shipping and that these are applied appropriately across the industry," Mr Joyce said.