Te Ope Kaatua o Aotearoa

Transcription

1 G.55 Report of the New Zealand Defence Force Te Ope Kaatua o Aotearoa for the year ended 30 June 2007 Presented to the House of Representatives pursuant to Section 44(1) of the Public Finance Act 1989 and Section 91 of the Defence Act

2 NEW ZEALAND DEFENCE FORCE Contents Preliminary Pages 1 Glossary 4 Section 1 CDF Overview 7 Introduction 7 Achievements 9 Defence Sustainability Initiative 12 Military Capability Strategy, Personnel and Equipment 12 Strategy 12 Personnel 13 Equipment 14 Managing Risks 15 How Does the NZDF Measure Up? 15 Conclusion 16 Section 2 Defence at a Glance 19 Introduction 19 Linkages to Government Policy 19 New Zealand s Defence Policy 19 Employment Contexts 21 Royal New Zealand Navy 22 New Zealand Army 25 Royal New Zealand Air Force 28 Headquarters Joint Forces New Zealand 30 Operational Deployments 2006/07 32 NZDF Units 33 Location of NZDF Units within New Zealand 34 New Zealand Defence Force Organisation 35 Royal New Zealand Navy Organisation 36 New Zealand Army Organisation 37 Royal New Zealand Air Force Organisation 38 Headquarters Joint Forces New Zealand Organisation 39 Personnel Summary 40 Expenditure Summary 42 Statutory Committees 43 Availability of Information 43 Legislation Administered by NZDF 44 2 NEW ZEALAND DEFENCE FORCE

3 Contents Section 3 Key Priorities 47 KP 1: The Development of Military Capability 49 KP 2: The Strengthening and Development of the NZDF s Organisational Capability 53 Section 4 NZDF Statement of Service Performance 57 Military Capability 57 OE1: Military Policy Development, Coordination and Advice 59 OE2: Naval Combat Forces 62 OE3: Naval Support Forces 66 OE4: Mine Countermeasures (MCM) and MCM Diving Forces 69 OE5: Naval Patrol Forces 74 OE6: Military Hydrography, Hydrographic Data Collection and Processing for Land Information NZ 77 OE7: Land Combat Forces 80 OE8: Land Combat Support Forces 84 OE9: Land Combat Service Support Forces 89 OE10: Specialised Forces 93 OE11: Naval Helicopter Forces 96 OE12: Maritime Patrol Forces 99 OE13: Fixed Wing Transport Forces 103 OE14: Rotary Wing Transport Forces 109 OE15: Miscellaneous Support Activities 112 OE16: Operationally Deployed Forces 118 Services in Support of the Government and the Community 123 Section 5 Veterans Affairs New Zealand 131 Veterans Affairs New Zealand: Information and Management 131 Linkages to Government Policy and Themes 132 Outcomes: Veterans Affairs New Zealand 132 Statement of Objectives and Service Performance 135 Section 6 Financial Statements 147 Statement of Accounting Policies 147 Financial Statements 151 Notes to Financial Statement 162 Statement of Responsibility 173 Report of Auditor General 174 3

4 NEW ZEALAND DEFENCE FORCE GLOSSARY Glossary Abbreviation Aeromedical Evacuation Command and Control Contingency Collective Training Deployment Directed Level of Capability [DLOC] Employment Contexts Force Element Mission-Essential Tasks Operational Level of Capability [OLOC] Operational Viability Period (OVP) Preparedness Response Time Definition Transporting a patient to the nearest appropriate facility by air. The exercise of authority and direction by a properly designated commander over assigned and attached forces in the accomplishment of a mission. An emergency involving military forces caused by natural disasters, terrorists, subversives, or by required military operations. Due to the uncertainty of the situation, contingencies require plans, rapid response, and special procedures to ensure safety and readiness of personnel, installations and equipment. Training involving soldiers and force units exercising within a large group, rather than individually, usually at Company or higher level. The relocation of forces and materiel to desired operational areas. Deployment encompasses all activities from origin through to destination. A level of capability lower than that required to be deployed and commence operations. When directed by government, force elements have a specified amount of time to increase their level of preparedness from DLOC to OLOC [see below]. Force elements are maintained at DLOC because it is too expensive to constantly maintain a broad range of force elements at a fully operational level. Descriptions of representative and illustrative security events for which there is a likelihood that a government would expect to make a military response, should the events occur. Units which directly contribute to the delivery of the NZDF outputs, and which may form part of an operational force, e.g., a frigate, an Orion detachment, an infantry battalion. Force elements will be capable of undertaking limited independent tasks, or contributing to a Service, Joint or Combined Force. Tasks which are fundamental for the performance or accomplishment of the force element s mission within the given employment context. The state of preparedness where a force element is ready, combat viable, deployable and sustainable. When a force element is at OLOC, it is able to be deployed and commence operations. The OVP is that period of time for which designated forces must be able to operate independently from the start of operations until guaranteed lines of supply are established. It normally includes the period after initial deployment to establish in-theatre lines of communication and supply. A measure of the ability of force elements to be employed on military tasks. Force elements must be held at a level of capability from which they can be raised to an operational status within a specified time, then deployed for the conduct of a particular type of military task and be sustained for a specified period while engaged on that task. The state of preparedness for a particular military task is specified in terms of readiness, combat viability, deployability and sustainability. The time available, once committed by government, to prepare a force for deployment to a particular area of operations. 4 NEW ZEALAND DEFENCE FORCE

5 GLOSSARY 5

6 NEW ZEALAND DEFENCE FORCE NEW ZEALAND DEFENCE FORCE

7 1 Overview by the Chief of Defence Force Introduction Over the last year, the New Zealand Defence Force (NZDF) has operated in diverse areas around the world. The commitment of resources, especially our people, represents a significant contribution given our comparatively small size. Our focus continued to be on our efforts in specific areas where we can add value, rather than trying to do everything. Accordingly, we earned international respect as providers of effective military capabilities. At the same time we sought to foster and maintain the respect of New Zealanders in their Defence Force by interacting positively with communities at home and overseas. In this Annual Report for 2006/07, I am pleased to again highlight the achievements of the NZDF as we move closer toward our Vision of Three Services as One Force, being the best in everything we do and the goal of a modernised, well-equipped and sustainable Defence Force. CDF Overview 1 The primary mission of the NZDF is to secure New Zealand against external threat, to protect our sovereign interests, including in the Exclusive Economic Zone (EEZ), and to be able to take action to meet likely contingencies in our strategic area of interest. In executing our mission, we supported a wide range of the government s strategic outcomes and related defence policy objectives. This included the deployment of contingents to Afghanistan, Timor Leste, Solomon Islands and Tonga. The last three of those deployments were accomplished within short response times. The NZDF also had forces on stand-by to evacuate New Zealand nationals from Fiji following the military coup there in December Our personnel served in United Nations missions in Lebanon, Iraq, Sudan, the Republic of Korea, Kosovo and elsewhere. We continued to do multi agency tasks in and around New Zealand together with other government departments and agencies; and to take a proactive role in joint exercises with overseas counterparts, particularly with our Five Power Defence Arrangements (FPDA) partners, Australia, United Kingdom, Malaysia and Singapore. Operational assignments and training exercises build knowledge, trust, and relationships with counterparts, and help cement New Zealand s reputation as a responsible international citizen. Our efforts as a Defence Force and the calibre of our people have been acknowledged internationally. The NZDF is well-known for the skill, professionalism and expertise it brings to roles, such as reconstruction, the clearing and disposal of unexploded munitions, maritime security and special operations. Our ability to engage with communities and individuals where we serve ensures we deliver the best outcome possible in support of security and stabilising efforts and humanitarian objectives in often remote and volatile locations. Facilitating aid efforts, monitoring disarmament and assisting in the reconstruction of schools and other important institutions are part of what we do. However, performing well as peacekeepers and providers of relief support is premised on the NZDF being militarily capable and trained in combat. The NZDF has also undertaken search and rescue operations and supported other government departments and agencies to monitor activity in the New Zealand EEZ and along our borders, and those of our Pacific Island neighbours. Maintaining capabilities to assist with countering terrorism, transnational illegal activities and civil instability and providing assistance in the wake of disasters have been part of building readiness in support of securing New Zealand. Support to communities throughout New Zealand and overseas by NZDF personnel has involved working alongside many organisations and groups. During 2006 we welcomed a new Governor General, we celebrated with all New Zealanders the Year of the Veteran, and we witnessed the special recognition of Lance Sergeant Haani Manahi s gallantry by HRH Prince Andrew on behalf of Her Majesty the Queen. On Armistice Day a contingent of 250 NZDF personnel joined Her Majesty the Queen at the official dedication ceremony of the New Zealand Memorial in London. At the time of writing, the Prime Minister, Rt Hon Helen Clark, announced that Her Majesty the Queen had conferred New Zealand Gallantry Awards for operational service in Afghanistan on four members of the New Zealand Special Air Service (NZSAS), including the Victoria Cross for New Zealand to Corporal Bill Henry (Willy) Apiata. 7

8 NEW ZEALAND DEFENCE FORCE 1 CDF Overview We were among those who farewelled the late Maori Queen, Dame Te Atairangikaahu, at her tangi at Turangawaewae Marae in August of We also helped to repatriate the late King of Tonga, and had a small presence at his funeral. During the year, significant progress was made on improving our capabilities, including personnel, equipment and organisational health. Military capability was delivered by committed people. We started the year addressing recruitment and retention challenges, especially the loss of trained personnel and high rates of attrition. A concerted effort by the Navy, Army and Air Force means that we now have more personnel than we did a year ago. Furthermore, new initiatives such as lateral recruitment and re-engaging ex service personnel are working, and we are continuing to develop enhanced conditions of service such as revised policies for remuneration and housing and accommodation to attract and retain the right people we need. Nevertheless, we still have some way to go before the numbers of skilled and experienced personnel are available in the right place and time to achieve our capability objectives. While people are the most valuable portion of our resources, we have also made good progress in our reequipment and modernisation programme. The latest version of the Defence Long-Term Development Plan (LTDP) was released in October of last year. Seven new projects were incorporated into the plan including upgrades for the two ANZAC frigates, HMNZS Te Mana and HMNZS Te Kaha, advanced pilot training, and an upgrade of taxiways at Ohakea Air Base. These new projects and those already underway, among them Project Protector, upgrades for the C-130 Hercules, P-3K Orions and Boeing 757 aircraft, and enhanced firepower and support equipment for the Army; will improve the combat viability of the NZDF. They will also assist in delivering to government wellequipped, combat trained land forces, and a modern Navy and Air Force. Also underway is a programme of work to address the backlog in minor capital projects in infrastructure and equipment. A real estate strategy is being developed to inform infrastructure decisions. Organisational capability has also been strengthened. In 2005, the Government announced the Defence Sustainability Initiative (DSI) and Defence Funding Package (DFP) of $4.6 billion spread over 10 years. We have made significant progress during the year on implementing the outcomes of this package. This has included important organisational changes required to improve governance and management. During the year, the Executive Leadership Team (ELT) developed and launched an enterprise-level Strategic Plan. This plan provides guidance for all subordinate strategic planning, annual planning and budgeting. It sits within the wider architecture of the Defence Planning Framework, and introduces a new NZDF Balanced Score Card for corporate level monitoring and reporting of progress against strategic objectives. The Army Configuration Review (ACR) has been completed and is informing the Army Transformation Plan (ATP), which will establish how the Army should be configured to deliver the operational capability required by government policy. Other projects that came forward through the DSI are now being managed as business as usual. The Defence Capital Asset Management Practice (DCAMP) Review, completed late last year with the Ministry of Defence (MoD), recommended a range of initiatives to provide a more effective system of strategic asset management and a higher level of asset reliability, availability, maintainability and capacity. These wideranging recommendations are currently being implemented through a series of projects in partnership with the MoD. Again in conjunction with the MoD, we have reviewed and updated one of our key planning tools: Employment Contexts (ECs). These have been revised to reflect contemporary circumstances and current government policy; and provide an essential benchmark upon which to measure and report our preparedness. These changes will be incorporated into the NZDF s 2008/09 corporate documentation. Nevertheless, despite the good progress made, there continue to be challenges in growing our capabilities within available resources. The NZDF is identifying and realising efficiencies in operating expenditure, and redirecting resources to high priority objectives. To this end, I have initiated the Resource Allocation and Management Programme (RAMP). This programme of work has a high priority because it will help identify innovation and efficiency initiatives, enable better linkages between the Strategic Plan and work streams, and ensure that the allocation of resources and activity, by work stream owners, is aligned with our strategic priorities. The following sections outline the NZDF s progress and activities over the past year and the opportunities that lie ahead. 8 NEW ZEALAND DEFENCE FORCE

9 Achievements Contributions to High Level Outcomes The NZDF has contributed to Key Government Goal Number 1: To Strengthen National Identity: celebrate our identity in a world as people who support and defend freedom and fairness. We have done this through the main high level outcome: New Zealand Secure and Protected from External Threats now and in the Future, and seek to sustain our effort through the various intermediate outcomes as shown below. Intermediate Outcome 1: Secure New Zealand While New Zealand does not face any direct military threat, a growing number of transnational security challenges, with implications for New Zealand, have created a complex and uncertain strategic environment. In response to these challenges, the NZDF has contributed the following to secure New Zealand. Protecting Persons and Infrastructure from Civil Instability and Disasters Within the context of a whole of government approach, NZDF personnel have provided military assistance to the NZ Police, NZ Fire Service and others. All three Services maintained the capacity to provide logistical support, reconnaissance, search and rescue/emergency responses and explosive ordnance disposal (EOD). Personnel from across the NZDF were also available to assist civil authorities if requested. Protected from Transnational Illegal Activities CDF Overview 1 The Navy and Air Force demonstrated their ability to conduct multi-agency operations and tasks (MAO&T), including surveillance patrols in New Zealand s EEZ, the Southern Ocean and Ross Dependency for a range of government departments and agencies. These included the New Zealand Customs Service, Department of Conservation and Ministry of Fisheries. Protected from Terrorism All three Services maintained a capacity to respond to acts of terrorism and sabotage. Standby forces at appropriate response times were available for surveillance, counter terrorism, special maritime tasks in the littoral, Improvised Explosive Device Disposal (IEDD), Chemical, Biological Response (CBR), and logistical and transport support. Intermediate Outcome 2: Reduced Risks From Regional and Global Insecurity Through: A Secure, Peaceful and Stable Australia Australia continues to be our closest strategic partner. During the year, we have combined with the Australian Defence Force (ADF) in the Australian-led Regional Assistance Mission in the Solomon Islands (RAMSI) and the Combined Joint Task Force (CJTF) in Timor Leste. We also acted together in the NZ-led mission in Tonga. Such operations illustrate the ADF s and NZDF s ability to work together; an essential element in the pursuit of this outcome. NZDF force elements also participated in, or supported units, deploying to exercises with or in Australia. The Navy works with the Royal Australian Navy (RAN) routinely. The Army sent soldiers to Townsville, North Queensland, as part of Exercise Suman Warrior, other Army personnel participated in Exercise Northern Kiwi and Territorial Force (TF) soldiers participated in Exercise Tasman Reserve. Notably, Navy and Air Force personnel also participated in Exercises Aswex 06 and Tasmanex 07: combined and joint maritime/air exercises. An important achievement for the Maritime Patrol Force (P-3K Orions) has been increased opportunities to train with the ADF. Also, NZDF personnel participated in bilateral defence dialogue, including Army-to-Army and Air-to-Air talks, discussed the coordination of our Mutual Assistance Programme (MAP) and the ADF Defence Cooperation Program (DCP), attended courses, and had postings, exchanges and visits to Australia. A Secure, Peaceful and Stable South Pacific Transnational security challenges are increasingly apparent in the South Pacific, and hinder the achievement of good governance and public order in our near neighbourhood. During the year, the NZDF provided peacekeeping assistance to our Pacific neighbours to help manage security challenges and other emergencies such as disaster relief, maritime security and search and rescue. The NZDF showed that it is able to operate alongside counterparts in the region, for example by providing personnel to RAMSI. Territorial Force (TF) personnel now constitute the majority of the NZDF platoon of 44 personnel deployed to this mission. Our platoon in the Solomon Islands is conducting provincial presence patrols, CBD security patrols in Honiara, and external security at Rove Prison. The Deputy Commander of the military component of RAMSI is a New Zealand Army officer. 9

10 NEW ZEALAND DEFENCE FORCE 1 CDF Overview The NZDF also provided emergency aid to the Solomon Islands in the days after the earthquake and tsunami there on 2 April The NZDF worked alongside New Zealand High Commission staff, NZAID and New Zealand non government organisation (NGO) workers to provide much needed help. In response to civil unrest in Tonga, over the period November 2006, 52 NZDF and 50 ADF personnel were deployed to assist the Tongan Police and Tongan Defence Service (TDS) to ensure normal operations were maintained at Tonga s International Airport and to restore order in and around Nuku alofa. This was a New Zealand-led operation. The NZDF was also on stand by to assist in the evacuation of New Zealand nationals following the military coup in Fiji in December The NZDF also conducted a number of ancillary tasks in the region. We continued to provide personnel to the Cook Islands, Samoa, Tonga and Vanuatu for training and technical assistance under the Mutual [Military] Assistance Programme (MAP). Ships of the Navy supported visits by the Governor General, Prime Minister and others. RNZAF P-3K Orion aircraft and crews from 5 Squadron RNZAF conducted surveillance flights to patrol international waters and the EEZs of Fiji, Niue, Papua New Guinea, and Tonga. Orion aircraft and crews also conducted sorties in the vicinity of Tonga to search for overdue vessels, and provided support to the Pacific Forum Fishing Agency. RNZAF C-130 Hercules and Boeing 757 aircraft and crews from 40 Squadron RNZAF conducted a variety of missions involving the transport of freight and passengers to the Solomon Islands, Tonga, Fiji, and New Caledonia. A Secure and Stable Asia-Pacific Region Further afield, the NZDF has been playing a crucial role in Timor Leste following the breakdown of law and order there in 2006, with the continued deployment of an infantry company group. During the reporting period the NZDF deployed two UH-1H Iroquois helicopters, which have been integrated into the helicopter component of the Australian-led CJTF. Additionally, two NZDF personnel and 25 NZ Police personnel are serving there as part of the UN mission; and two NZDF personnel are attached to the Timor Leste Defence Force (FDTL) as advisors. The NZDF takes an active role in the FPDA with Australia, Malaysia, Singapore and the United Kingdom to help build capacity to meet security challenges with an orientation that is increasingly towards nonconventional concerns. This year the NZDF participated in Exercise Bersama Padu 06, one of a series of major FPDA joint and combined exercises, field training and command post exercises that focused on the operational and tactical levels. Exercise Bersama Padu 06 was hosted by the Republic of Singapore Navy, and conducted in a multi-threat environment for the defence of Malaysia and Singapore. NZDF force elements that participated in the exercise were HMNZ ships Te Kaha and Endeavour, the Operational Diving Team (ODT), and a P-3K Orion aircraft. The NZDF participated in bilateral exercises with the Singapore Armed Forces (SAF): Exercise Lion Zeal (bilateral briefings, war gaming exercise and a sea phase with the Republic of Singapore Navy) and Exercise Lion Heart (bilateral special forces training). A contingent of NZDF personnel participated in Exercise Kiwi Spirit, a reciprocal bi-annual arrangement with the SAF, which enabled our Army to practice operational planning at Brigade Headquarters level within a conventional war-fighting scenario. In addition, 2/1st Battalion Royal New Zealand Infantry Regiment deployed a Rifle Company to Malaysia for Exercise Taiaha Tombak 06. HMNZS Te Kaha, Te Mana and Endeavour conducted successful defence diplomacy visits to Tokyo, Chinhae, Hong Kong, Ho Chi Minh City and Singapore. No 5 Squadron RNZAF sent a P-3K Orion to an exercise with the navies of the Republic of Korea and Japan. The NZDF is developing its defence interaction with Viet Nam, including mutual assistance training covering such areas as leadership development and professional military training. A More Secure and Stable World Despite the comparatively small size of the NZDF, we have continued to provide valuable contributions to collective security and peace support operations conducted by the United Nations and other multinational agencies and coalitions. In this way, we have contributed to upholding the principles of the United Nations Charter. Our participation in United Nations and other multi-national peace support operations underlines our wider commitment to collective security, and New Zealand s credentials as a good international citizen. In particular, we have continued to sustain, since 2003, a company-sized contribution to the reconstruction of Bamyan Province in Afghanistan. The NZDF is committed to this task until September The current commitment includes: The 120 strong Provincial Reconstruction Team (PRT). Two personnel to help train the Afghan National Army. Up to five officers to serve with the International Security Assistance Force Headquarters. 10 NEW ZEALAND DEFENCE FORCE

11 We also support the four Police Officers who are helping train the Afghan National Police. A small team of SAF personnel have joined the NZDF PRT initially to provide a dental team and then an engineering team to work on construction and repair tasks. The NZDF has initiated planning for the deployment of up to two health specialists to the Multinational Medical Unit at Kandahar Airfield, where they will work alongside medical staff from Canada. Planning is also underway for a frigate to join the Maritime Interdiction Operation (MIO) in the Arabian Gulf. The frigate will join the MIO in early-mid 2008 as an extension of a planned deployment to South East Asia. Earlier this year, ten NZDF personnel deployed to Southern Lebanon where they are part of the UN effort to clear unexploded munitions in Southern Lebanon. The NZDF commitment comprises a ten-person EOD team attached to the UN Mine Action Co-ordination Centre in southern Lebanon (UNMACC-SL). The commitment is for one year, with two teams each serving in Lebanon for a six-month period. The NZDF also continued to contribute to peace support operations in Bosnia 1, Egypt, Iraq, Israel, Kosovo, South Korea and Sudan. A short deployment with an Indian Navy Task Group to the Andaman Islands was an important step in the developing relationship between the Indian Navy and the RNZN. The NZDF also participated in Exercise Cambrian Patrol with the British Army and was involved with Exercises Long Look (United Kingdom) and CANZEX (Canada). The RNZAF also participated in Exercise Maple Flag a tactical flying exercise, hosted by Canada and involving participants from UK, USA, and Australia. Intermediate Outcome 3 New Zealand Values and Interests Advanced Through Participation in Regional and International Security Systems CDF Overview 1 Contributions to this outcome included the following: Ongoing support was provided to UN missions (see section on Output Expense 16 Operationally Deployed Forces, for more detail.) Participation in a Proliferation Security Initiative (PSI) exercise and an Operational Experts Group (OEG) meeting in Canada. A NZDF senior officer co-chaired an OEG meeting in Auckland. The PSI fosters cooperation among participating states to counter the trafficking of weapons of mass destruction, in line with relevant domestic and international law. Representation at the ASEAN Regional Forum Intercessional Support Group on confidence building measures and preventive diplomacy, and the FPDA Professional Forum. NZDF personnel attended various five-nation standardisation meetings 2 ; North Atlantic Treaty Organisation (NATO) Standardisation Agency meetings; and other seminars, workshops, courses, postings/secondments and exchanges with various overseas countries. Intermediate Outcome 4 New Zealand able to meet Future National Security Challenges Contributions to this outcome were achieved through: The Defence Sustainability Initiative (DSI). An updated and integrated Long Term Development Plan (LTDP). A revised Capability Management Framework (CMF). The NZDF Strategic Plan. Development of NZDF Strategic Trends Assessment and Joint Vision Concept. An expanded Minor Capital Equipment Programme (for projects under $7m). Resource Allocation and Management Programme (RAMP). 1 In April 2007, the New Zealand government announced that NZDF personnel are to be withdrawn from Bosnia- Herzegovina after a 15-year contribution to peace and stability to that country. 2 Air Standardisation Interoperability Council (ASIC), the Australia, British, Canada, America and NZ (ABCANZ) Armies Standardisation Organisation, the Australia, Canada, New Zealand, United Kingdom and United States (AUSCANZUKUS) Navies Organisation, and The Technical Co-operation Programme (TTCP). 11

12 NEW ZEALAND DEFENCE FORCE Defence Sustainability Initiative (DSI) In 2005 the Government announced a Defence Funding Package (DFP) and DSI to underpin the achievement and sustainability of its defence policy objectives. The DFP reflected a commitment to inject $4.6 billion over 10 years to develop military capability and organisational capacity in the NZDF. As part of the DFP/DSI, the NZDF s governance structure has been reviewed and updated to ensure better co-ordination of work and alignment of strategic objectives and priorities. The Executive Leadership Team (ELT) meets monthly against a standard agenda and reports through mandated sub-committees on emerging issues and business as usual topics. 1 CDF Overview As noted above, the recovery of personnel numbers is largely on target, and key organisational changes required to improve strategic management have been mostly completed. The major risks to the completion of DSI objectives are various and include both operational and fiscal risks. An operational risk is posed by the commitment of the NZDF at levels above those envisaged in the DSI recovery plan, thus having the effect of slowing the recovery of the NZDF. Fiscal risk to the DSI arises from the pressure on operating expenditure, including price increases of foreign-sourced fuel, ammunition, and equipment spares, and depreciation provisions, which are expected to remain over the next few years. In order to assist the management of these risks, a RAMP has been developed. This consists of five significant sub-programmes: Capability, Personnel, Financial, Operational Support, and Capital. A key project under the Financial programme was an internal Baseline Review, which has identified potential initiatives to reduce costs for the 06/07 and 07/08 fiscal years, and identified other opportunities for efficiencies over the longer term. These opportunities will be investigated by the ELT and a soon to be established Programme and Change Management Office (PCMO). As part of the DSI, the Chief of Army is developing Army configuration proposals that are in accord with agreed output milestones on behalf of the Office of Chief Executives (OCE) 3, via an ATP, for consideration by Cabinet. The ATP will include policy and options analysis, detailed costings, and an implementation risk analysis. More detail on progress against the DSI is shown under the Key Priorities section. Military Capability Strategy, Personnel and Equipment Strategy The NZDF Strategic Plan conveys what the NZDF needs to do and how it will do it to meet its aspiration (Vision). The Strategic Plan is part of the wider architecture of the Defence Planning Framework, and sets the NZDF in the direction that the ELT believes is appropriate to achieve our prime mission. It also assists the NZDF grow towards its vision of Three Services as One Force, being the best in everything we do. The introduction of the NZDF Balanced Scorecard, as part of the NZDF strategic planning process, and the enhanced performance management processes enable the NZDF to track the implementation of its strategy. The NZDF strategy will be accomplished through the three strategic themes of The Agile Force Operationally Effective, Valued Partner Organisational Capacity and Resource Efficiency. All NZDF activities and projects will be aligned with these three broad strategic themes and are aimed at mission success. The Agile Force and being Operationally Effective links objectives that will enable organisational resilience and an operationally-ready defence force. The Valued Partner theme reflects the need for the NZDF to retain the trust and confidence of its stakeholders and partners. Resource Efficiency is about being thorough in what we do and proficient in how we use our resources so that we can be the best at what we do. The Government s ownership interests in the NZDF are addressed within the NZDF Strategic Objectives. For the next five years (2007/08 to 2012/13), these objectives, within the four NZDF Balanced Scorecard Strategic Perspectives, will relate to the following: Strategic Perspective NZDF Stakeholders: Current Operations. The NZDF needs to sustain current operational commitments while introducing new capabilities. Future Operations. The NZDF must be ready to meet the government s next request. Finance and Resources. The NZDF must make best use of allocated finance and resources. Reputation. The NZDF needs to enhance its reputation as an effective Defence Force, and valued interagency and coalition partner A collective leadership and management arrangement that incorporates the Secretary of Defence and CDF. NEW ZEALAND DEFENCE FORCE

13 Strategic Perspective Enabling Processes: The NZDF: will develop and sustain an effective military policy capability; must deliver flexible and relevant future capabilities; will develop key relationships with national and international partners; must deliver effective and efficient business processes; must deliver agile and effective logistic support through a Network Enabled and Knowledge Edge force; and will increase its contribution to wider whole of government initiatives and activities both in the security sector and elsewhere. Strategic Perspective Learning and Growth: The NZDF: will be an Organisation of Choice; must ensure it has the right people it needs; must be good at personnel management and prepare and support the joint team; will grow information management capabilities to support the Knowledge Edge Force; and will improve the ability of technology to support management in the NZDF. Strategic Perspective Resources: The NZDF: must equip its forces to meet current operational commitments and be ready for the next request; and must optimise Defence infrastructure to meet future needs. CDF Overview 1 The above NZDF Strategic Objectives, together with the strategic initiatives that emerge annually in support of them, are specified in more detail in the NZDF Statement of Intent (SOI) for the period , and the NZDF 2007/08 Output Plan. Personnel The NZDF s military capability is delivered through its people. The NZDF needs to continue to recruit and retain the right people. We need people who practice our values of comradeship, commitment, courage and integrity; and who can be trained and educated to a high level of expertise in their chosen field. As shown by the graphs in the personnel summary section, recruitment and retention levels have improved across all three Services. Deficiencies in specialist areas continue to be addressed. Since July 2005, the total NZDF Regular Force (RF) strength has increased from 8,614 to 9,051 an increase of over 5%. Concurrently, attrition for RF personnel has fallen from just under 16% in July 2005 to just over 13%. These results are particularly pleasing given the prevailing economic and employment conditions in New Zealand. The continued development and sustainment of the NZDF relies on continuing to enhance the capacity of our people throughout their careers, so they can be ready to deliver and lead the Defence Force in the future. The main focus of effort for personnel policy during the year has continued to be on delivering for today while building for tomorrow. Information gathering tools have been revised to enhance understanding of antecedents to turnover and to improve monitoring and reporting. Efforts are being targeted in key areas including leadership and career management to gain and maintain personnel engagement. Workforce planners have been working collaboratively to develop an agreed model for identifying the highest risk to the delivery of capability. A survey of the potential recruit pool to develop an understanding of what potential recruits are looking for when making job and career choices and what the NZDF needs to do to match those expectations has been completed. This information is being used to develop an employment positioning strategy to ensure that the NZDF is appropriately positioned to attract the right number of the right recruits. Efforts have also been made to widen the ethnic composition of the NZDF, in particular the percentage of Pacific Islanders and Asian recruits. Asians make up approximately 1% of the NZDF, while Pacific Islanders make up less than 5%. Strategies are in place to engage these communities, with recruiters actively working in the Cook Islands and a recruitment office in South Auckland. Progression of initiatives to support the development of a HR Performance Management System continues. The on-line reporting tool has been rolled out as part of the new Defence Kiosk application. A revised civil staff performance management system has been developed, and a new policy for civilian performance management has been implemented. Efforts to enhance workforce well-being, and force readiness and preservation continue. As part of this, an individual operational preparedness policy has been developed. A NZDF health capability review and a future NZDF health capability initial report have been completed. The purpose of these projects is to develop the policy guidance required to establish a sustainable, New Zealand-based and operationally deployable health capability that meets both NZDF and whole-ofgovernment requirements. A NZDF-wide accident and reporting system is also currently being rolled out. 13

14 NEW ZEALAND DEFENCE FORCE A scoping strategy for a review of NZDF Remuneration has been developed. Civil staff employment agreements have been revised and implemented, and work has begun on the development of a revised pay structure. An overarching Equity Strategy has also been developed. The development of HR reporting capabilities continues in conjunction with Planning Branch and single Services. Progression of Project Aptus, a key initiative to support a culture of professional development, learning and growth is continuing as resources allow. 1 CDF Overview A new TF Employer Support Council (TFESC) has been formed under the Volunteers Employment Protection Act The Council s membership includes representatives from some of the country s largest employers, including NZ Post and NZ Police. The Council represents reservists concerns to employers, to relate key issues affecting them and help find solutions. It is also raising the profile of the TF to employers and the wider community. Equipment Equipment is another important part of military capability. To be effective, our people must be properly equipped for combat and peacekeeping, now and in the future. The NZDF has defined and developed four future-force joint concepts as a basis for capability development. They are: a knowledge edge force, a tailored joint force, a multi-mission force and a networked force. In pursuit of these concepts, a scan of the trends likely to influence the NZDF s future operating environment and Capability Requirements are being completed. Also, the NZDF s Joint Vision has been written, and Strategic and Joint Operating Concepts are being produced. A joint doctrine cell is coordinating the adoption and adaptation of ADF joint doctrine for use by the NZDF, where appropriate. A ten year NZDF science and technology plan has also been completed. The plan identifies the range of science and technology capabilities the NZDF requires, the level to which those capabilities need to be developed, and the actions and resources this will require. The LTDP is a key planning tool to enable decisions on defence acquisitions to be taken within the context of the government s defence policy, the priority of projects and affordability. The LTDP was updated and published in October In collaboration with the MoD, the LTDP was updated with six projects, three of which are focused on Defence infrastructure. These involve rationalisation and modernisation of the Navy s fuel installation and replacement of the 60 Hz power generation and reticulation system at the Devonport Naval Base. The third infrastructure project involves an upgrade of the taxiways at Ohakea Air Base. The other new projects involve advanced pilot training for the RNZAF, a refit of the ANZAC frigates propulsion systems and upgrade of the close weapons protection system, and providing modern, effective communications for the NZDF. During the year, a plan to reflect a Network-Enabled approach was developed. The aim of the approach is for the NZDF to achieve decisive advantage through innovation and the effective integration of networks, systems, effectors and people. Underpinning the plan is a Network-Enabled Communications and Information Systems (NECIS) project. The objective of the NECIS project is to provide a NZDF-wide overview and governance of the development and practical application of information technology and information management. Progress has been made on joint communications modernisation. This project will modernise the NZDF s long-range and medium-range communications capability to ensure the NZDF maintains a reliable, integrated, world-wide communications infrastructure. The purchase and introduction into service of the 321 Pinzgauer Light Operational Vehicles (LOVs) has been completed. The LOV has been deployed to the Solomon Islands and Timor Leste, and the special operations variant has been used in Afghanistan. There has been significant progress in providing additional firepower to the Army. Special Operations equipment, the Javelin Medium-Range Anti-Armour Weapon (MRAAW) and the cueing and identification (friend or foe) system for the Mistral Very Low Level Air Defence System (VLLAD) have been delivered and are currently being introduced into service. Enhanced surveillance and reconnaissance capabilities are currently being scoped for the Army, and new combat engineering equipment is also being sourced. The two Boeing 757 aircraft purchased in 2002 are being converted from a straight passenger configuration to a combination passenger/freight configuration. The first of the C-130 Hercules aircraft has commenced a major structural and life-extension upgrade that will be completed on all five aircraft over the next five years. A $21.2 million project to upgrade the self protection system fitted to the C-130 Hercules aircraft will be completed as part of the life extension project. The major mission and communication system upgrades for the P-3K Orion fleet are also underway. The RNZAF has also received the first of three P-3K Orion aircraft to be fitted with the Wescam MX-20 electro-optics system as an interim improvement. The Wescam MX-20 is being integrated in our aircraft as part of the main upgrade. The system provides a significant improvement in the Orion s visual and infra-red detection capabilities. 14 NEW ZEALAND DEFENCE FORCE

15 In July 2006, a contract was signed for the purchase of nine NH-90 helicopters to replace the UH-1H Iroquois. One aircraft will be disassembled to provide spare major components. It is expected that the NH-90 will be in service for at least 30 years. The MoD is also evaluating tenders for training/light utility helicopters. These aircraft will replace the Sioux helicopter, as well as providing for a range of light utility tasks. The first of the Project Protector ships, the multi-role vessel (MRV), HMNZS Canterbury, was commissioned in June this year. In addition, HMNZS Otago, the first of the offshore patrol vessels (OPV), was launched in Melbourne late last year, and is expected to be delivered to the NZDF towards the end of The second OPV HMNZS Wellington and the four Inshore Patrol Vessels (IPV) are due for delivery over the next year. The new Defence Force Headquarters building in Wellington was formally opened by the Prime Minister Rt Hon Helen Clark on 28 March The building, which has been designed around energy efficiency, accommodates around 900 people. In relation to the consolidation of the RNZAF operational capability to Ohakea (Project Takitini), an interim report was provided to the Minister in April 2007, and a full report is scheduled to be provided to Cabinet later this year. Subject to Cabinet approval, construction of support facilities for the NH-90 helicopter will commence almost immediately, with the balance of Ohakea works being conducted over the period. An intensive programme is also underway to address the backlog in minor capital projects in infrastructure and equipment, and a real estate strategy is being developed. CDF Overview 1 Reporting on other aspects of our capability, including doctrine and technology, is contained in the Key Priorities section. Managing Risks Given our strategic environment and the nature of our activities, risk management has a significant impact across the NZDF because effective risk management is an essential component of delivering outcomes and generating force elements for operations. For this purpose, the NZDF uses an integrated risk management framework that incorporates other NZDF-wide management systems, including the Operational Preparedness Reporting System (OPRES). The NZDF also conducts ongoing gap analysis to determine how far the organisation has progressed in its risk management policies, principles and culture. Although New Zealand presently faces no direct conventional military threat, we can identify operational risks against an uncertain security setting. We also report risks in achieving planned preparedness levels; and our ability to respond to additional and concurrent operations, while continuing a high activity tempo. We also identify risks associated with the total force element preparedness cycle, including the need to recuperate and regenerate after deployments, prepare for future operations, introduce new capabilities into service and rebuild military and organisational capability with constrained resources. In balancing these requirements, the NZDF has prioritised the use of its resources, and concurrently recognised concomitant risks and the measures to mitigate them. Although risk management in the NZDF is effective, there is scope for improvement. During the past year, the NZDF has enhanced its risk management culture and understanding. This has been achieved through the development of the NZDF Strategic Plan, a performance management reporting system, articulation of ELT risk appetite, and implementation of an in-house risk management training course for middle level commanders and managers. The introduction of Balanced Scorecard objectives also bolsters the identification, evaluation, control and reporting of risks. How Does the NZDF Measure Up? As seen from the foregoing, the strategic plan; balanced scorecard and strategy map approach to measure more effectively how we achieve our strategic objectives; and identifying priorities and aligning resource use mean we are making steady progress towards meeting the goal of a modernised, well-equipped and sustainable Defence Force. The NZDF is using the seven principles from the Government s Defence Policy Framework 2000 to guide it as it realigns, rebuilds and invests. The ELT understand that the government expects the NZDF to be: equipped and trained for combat and peacekeeping; deployable; able to operate alongside other forces; held at appropriate levels of readiness; sustainable; up to date with technology and doctrine; and fiscally sustainable. 15

16 NEW ZEALAND DEFENCE FORCE 1 CDF Overview As observed in an independent assessment by the Australian Strategic Policy Institute in April , these principles are largely being delivered on. The NZDF is well into its re-equipping and rebuilding programme, it has shown it can deploy quickly into areas of national interest in close co-operation with Australia, it can sustain deployments elsewhere to secure international stability alongside our partners, it has adopted the concept of a net-worked and knowledge-edge force and it has put in place processes to prioritise commitments and make use of resources. Our force elements are at high states of preparedness to respond to the most likely threats to national security natural disaster, acts of terrorism, civil instability, and transnational illegal activities. We are also able to respond quickly to requests for disaster relief, peace support, and humanitarian relief tasks within our immediate region and the wider international arena, should the government require us to do so. Nonetheless, there are some areas within the NZDF where preparedness states are at a lesser standard, especially given the unpredictable security setting. This relates primarily to our ability to conduct operations at the higher end of the conflict spectrum, where there are personnel and equipment shortcomings areas being addressed under the DSI. Due to our commitment to operations and multi-agency tasks and the modernisation of the NZDF, some units lack combined training experience required to operate effectively as part of a larger force in combat and to mitigate the risk of skill fade in techniques not practised during contemporary operations. These reduced preparedness states are consistent with government s expectations and priorities during the recovery phases of the DSI. We have a preparedness recovery plan for the NZDF to ensure that we can provide military force options to the government for operations across the spectrum of conflict including combat operations now and in the future. Furthermore, the tri-service joint approach to operations and training is proving a successful mitigation strategy. However, until desired preparedness states are achieved across all NZDF force elements (units), the risk to responding to more demanding events, and especially combat operations should the government require it, will be managed by optimising training, prioritising funding, and rebalancing resources. Conclusion Overall, the principles the government has set for the NZDF are being followed to ensure we are able to meet demands on us, which are unlikely to lessen in the foreseeable future. While New Zealand faces no direct military threat, a growing number of transnational security challenges, as well as fragile states in our region, have created a complex and uncertain environment, with security implications for New Zealand. Many of these challenges will increasingly arise within the South Pacific area. In addition, we will need to be ready to offer immediate assistance in the event of natural disasters to which our region is prone. Elsewhere, the situation in the Middle East and Afghanistan will continue to be a challenge, and it is likely that we and our partners will need to maintain a presence there for some time. We will also continue to build on the foundations of the DSI and realign and rebuild our capabilities towards the vision of Three Services as One Force, being the best in everything we do. The single Services remain the basic building blocks of military capabilities, yet we will continue to structure, train and operate them in a joint environment. For most operations overseas, the NZDF would most likely be part of a larger multinational force. However, for multi-agency tasks and operations around New Zealand, we will need to practise national command and control within a whole of government framework. In contributing to the government s defence outcomes, we need to continually balance the demands of current operational commitments, preparing for future operations, regenerating preparedness, and introducing new and upgraded capabilities across all three Services. While we are meeting our current operational priorities, we have some way to go in rebuilding our preparedness levels to respond to operations at the higher end of the conflict spectrum. Against these requirements, we must manage the DSI expectations and a programme of work to recover military capability. The challenge for us is to maintain a balanced approach to the competing demands of operational deployments, modernising the NZDF, and increasing our organisational capacity. We have embarked on a pathway of change. This change is an opportunity, but it requires commitment, an agenda and leadership from the senior leaders of the NZDF the Executive Leadership Team. The ELT and I consider that there are opportunities to do things more simply and better: to do things better and to do better things. The co-location of the ELT within the Defence Headquarters building has already created new work dynamics and more collegial working relationships. 4 Rolfe, J.G., Cutting Their Cloth: New Zealand s Defence Strategy, Australian Strategic Policy Institute, April NEW ZEALAND DEFENCE FORCE

17 Also, a NZDF-wide process for innovation and efficiency to complement the Baseline Review that we have completed recently will form the basis of a Transformation Programme for the NZDF. Along with most other New Zealanders, I am proud of the professionalism displayed by the men and women of the NZDF. As we look back on yet another productive year, I would like to take this opportunity to acknowledge the contribution our sailors, soldiers, airmen and women, civilian staff, contractors and families have made in achieving our mission. They have all enabled the New Zealand Defence Force to support our communities, and to represent New Zealand in upholding a long and proud tradition of playing an effective role, meeting obligations, and securing international security. I inherited a Defence Force that is moving in the right direction, and I intend to continue that process in delivering innovative and positive changes. It is an exciting time for the NZDF. In meeting these challenges and making the most of opportunities, I intend doing all within my authority to ensure personnel within the NZDF, military and civilian, at home and overseas, are well prepared and led to meet our responsibilities and the expectation of New Zealanders. CDF Overview 1 J. Mateparae Lieutenant General Chief of Defence Force 17

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19 Defence At A Glance 2 Introduction This section of the Report provides a general overview of the New Zealand Defence Force, while more detailed information is available from the websites, publications and libraries listed later in this section. The following topics are covered in this Section: NZDF Mission Linkages to Government Policy New Zealand s Defence Policy Employment Contexts Overview of Services Royal New Zealand Navy New Zealand Army Royal New Zealand Air Force Headquarters Joint Forces New Zealand Overseas Operations Forces and Locations Organisation Charts Personnel Summary Expenditure Summary Corporate Information Statutory Committees Availability of Information Legislation administered by NZDF NZDF Mission The primary mission of the NZDF is: to secure New Zealand against external threat, to protect our sovereign interests, including in the Exclusive Economic Zone, and to be able to take action to meet likely contingencies in our strategic area of interest. In achieving this mission, the NZDF works closely with the Ministry of Defence (MoD). The MoD is responsible for providing defence policy advice, procurement of major items of equipment, and audit and assessment of the NZDF. Linkages to Government Policy The Defence Act 1990 provides for armed forces to be raised and maintained for: the defence of New Zealand and the protection of its interests, whether in New Zealand or elsewhere; the contribution of forces under collective security treaties, agreements or arrangements; and the contribution of forces to the United Nations or other organisations or states for operations in accordance with the principles of the United Nations Charter. The Act also allows the Armed Forces to be made available for the performance of public services and assistance to the civil power in time of emergency, either in New Zealand or elsewhere. New Zealand s Defence Policy The Government s Defence Policy Framework, issued in June 2000, outlined the Government s goals and priorities for defence and provided a framework for decisions regarding military capabilities, resources and funding. It has been supplemented by the Government Defence Statement of May 2001 in regard to A Modern, Sustainable Defence Force Matched to New Zealand s Needs, as reflected in the projects listed in the Long Term Development Plan (first issued in June 2002 and updated annually). Defence at a Glance 2 19

20 NEW ZEALAND DEFENCE FORCE Defence is one component of New Zealand s foreign and security policy. While the NZDF is constitutionally the sole provider of military forces, it is not the sole contributor to strategic outcomes for national security. A range of other government Departments and Agencies, including for example the Ministry of Defence, the Ministry of Foreign Affairs and Trade, the Customs and Immigration Services, the Government Communications Security Bureau and the Ministry of Fisheries, all contribute to promoting and protecting New Zealand s national security. In the Government s Defence Policy Framework five broad strategic outcomes for national security are endorsed. From these, a defence policy objective is set for each outcome. In achieving these objectives, the NZDF makes a range of contributions: it maintains operationally prepared forces for use by the government and it carries out operational missions in accordance with government direction. These outcomes, objectives and examples of NZDF contributions are shown below. Government s Strategic Outcomes, and related Defence Policy Objectives Examples of Contributions by NZDF Strategic Outcome: EEZ resource protection 2 Defence at a Glance A secure New Zealand including its people, land, territorial waters, EEZ, natural resources and critical infrastructure. Defence Policy Objective: To defend New Zealand and to protect its people, land, territorial waters, Exclusive Economic Zone (EEZ), natural resources and critical infrastructure. Strategic Outcome: A strong strategic relationship with Australia in support of common interests for a secure and peaceful region. Defence Policy Objective: To meet our alliance commitments to Australia by maintaining a close defence partnership in pursuit of common security interests. Sovereignty protection Explosive disposal response Counter Terrorist response Civil Defence Assistance Aid to civil power Support to Government Agencies and the Community Regional security assistance in partnership Exercises Closer Defence Relations Visits Strategic Outcome: Assisting in Pacific Island nations A political environment in the South Pacific in which national economies, societies and identities continue to evolve in a climate of good governance and internationally agreed standards of compliance with human rights. Defence Policy Objective: To assist in the maintenance of security in the South Pacific and to provide assistance to our Pacific neighbours. EEZ resource and sovereignty protection Security assistance Peace Support Operations Protection of New Zealand nationals Disaster relief Strategic Outcome: Peace Support Operations An expanding role in the regional dialogue of South East and North East Asia and, where appropriate, a role in regional security consistent with New Zealand s interests and capabilities. Humanitarian Support Regional Security Arrangements Exercises Defence Policy Objective: Defence Diplomacy To play an appropriate role in the maintenance of security in the Asia Pacific region, including meeting our obligations as a member of the Five Power Defence Arrangements (FPDA). Strategic Outcome: Combat Operations A global approach which supports New Zealand s place in an international community committed to the maintenance of human rights and the collective security responsibilities enshrined in the United Nations (UN) Charter, and which strengthens New Zealand s international economic linkages. Peace Support Operations Humanitarian support Defence Policy Objective: To contribute to global security and peacekeeping through participation in the full range of UN and other appropriate multilateral peace support and humanitarian relief operations. 20 NEW ZEALAND DEFENCE FORCE

21 Employment Contexts To carry out its mission to secure New Zealand against external threat, protect sovereign interests, and take actions to meet likely contingencies in New Zealand s strategic area of interest, the NZDF trains and prepares military units to be available to Government to respond to security challenges. It is not possible to be ready for every contingency, nor to predict exactly what security challenges will eventuate. Therefore, a representative and illustrative range of circumstances Employment Contexts have been identified that are consistent with Government s defence policy priorities, and for which there is a high likelihood that a New Zealand Government would expect to provide a military response. Within each Employment Context (EC), a number of plausible events have been identified, some of which have been further developed for use in NZDF outputs planning. Each has a description of a particular security event, and an operational concept for NZDF response. They are used in the Output Plan agreed between the Minister of Defence and the Chief of Defence Force to ensure that the NZDF is funded, equipped and assessed on its ability to deliver effective military capabilities available to meet Government s defence policy objectives. Employment Contexts EC 1 EC 2 EC 3 EC 4 EC 5 Security Challenges to New Zealand and its Environs: EC 1A: Civil Disturbances/Industrial Actions affecting essential services. EC 1B: Disasters posing a serious threat to life, property or the environment. EC 1C: Incursions into and through New Zealand s Economic Zone and other areas within New Zealand s jurisdiction that threaten New Zealand s interests. EC 1D: Terrorism and Acts of Sabotage. EC 1E: Asymmetric attacks on New Zealand territory (such as information warfare attacks and mining of New Zealand ports). Security Challenges to New Zealand s Interests in the South Pacific: EC 2A: Disasters posing significant risks to life, property or the environment. EC 2B: Illegal incursions into South Pacific Island EEZs and territories. EC 2C: Civil Disturbances leading to breakdown in law and order, and/or posing risks to New Zealand nationals. EC 2D: Terrorist Acts. EC 2E: Challenges to legitimate governments, including civil war and secessionist conflict. Security Challenges to the Australia New Zealand Strategic Area: EC 3A: Short warning attacks against maritime approaches and terminuses and land incursions on Australian territory. EC 3B: Serious attacks on the physical security of the New Zealand Australia Strategic area from a broader regional conflict. EC 3C: Asymmetric attacks. EC 3D: Major conventional conflict (such as an invasion of Australia). Security Challenges to New Zealand s Interests in the Asia Pacific Region: EC 4A: Disasters posing significant risks to life or the environment. EC 4B: Acts of piracy. EC 4C: Impeded rights of passage through contested sea lanes. EC 4D: Significant internal unrest or insurgency that spills to other states and/or poses risks to New Zealand nationals. EC 4E: Aggression to affect maritime boundaries or seize/expropriate resources. EC 4F: Inter state conflict. Security Challenges to New Zealand s Interests in Global Peace and Security: EC 5A: Unresolved conflict where protagonists have sought third party resolution assistance. EC 5B: Act(s) by states or non states actors that contravene international norms of behaviour or threaten international security or stability. EC 5C: Impeding supplies of essential resources (such as oil, water, electricity) to force political concessions or threaten the security of a nation or group of nations. EC 5D: Significant internal conflict with risks to the stability of surrounding states or involving large scale suffering. EC 5E: Aggression to affect maritime or land boundaries or seize/expropriate resources. EC 5F: Major breakdown in international security leading to wide scale war. Defence at a Glance 2 21

22 NEW ZEALAND DEFENCE FORCE Royal New Zealand Navy 2 Defence at a Glance Te Taua Moana o Aotearoa The core purpose of the Navy is, together with the Army and Air Force, to contribute to the prosperity and security of all New Zealanders. The Core Values of the Navy are Courage, Commitment and Comradeship. The mission of the Navy is to contribute to the security and prosperity of all New Zealanders through the delivery of versatile, responsive and effective maritime military capability across the spectrum of operations. The Navy s Vision is to be the best small nation Navy in the world (kia mau mana motuhake e te taua moana o te ao). Organisation and Location The home of the Navy (te kainga o te taua moana o Aotearoa) is HMNZS Philomel located at Devonport, in North Shore City. This is where the Navy s Force Elements (ships and the Operational Diving Team [ODT]) and support elements are based and most Naval personnel reside. Around 1,800 personnel work in Devonport, on the ships or in the support organisations that provide administrative, logistics, training, and health, and welfare services to them and some support to their families. The SH-2G helicopters are located with 6 Squadron at Whenuapai. The Naval Dockyard, also at Devonport, is managed under contract by Vosper Thornycroft Fitzroy Ltd. Navy personnel outside North Shore City are located at Waiouru, Wellington, at Headquarters Joint Forces New Zealand at Trentham, and in Christchurch and Dunedin. There are also Navy personnel serving in New Zealand High Commissions and Embassies who undertake a range of duties around the world. Royal New Zealand Naval Volunteer Reserve (RNZNVR) units are established in Auckland, Wellington, Christchurch and Dunedin; with a smaller unit in Tauranga. 15 Honorary Naval Officers and two Resident Naval Officers are located in larger centres in the North and South Islands. The Chief of Navy and the Naval Staff are located in Defence House, Headquarters New Zealand Defence Forces in Wellington. Major Challenge for 2008 The major challenge facing the Navy next year is the introduction into operational service of the seven new ships being acquired under Project Protector while at the same time continuing to deliver the outputs of the current fleet and contributing to broader NZDF outputs in New Zealand and around the world. This undertaking is a very ambitious one by any standard but it is one that will provide a good measure of the Navy s progress towards its Vision. A successful start has been made with HMNZS Canterbury joining the fleet in June 2007 and starting to generate the amphibious sealift capability that the ship has. Outputs and Outcomes The last year saw a continuation of the high operational tempo experienced by the Navy in recent years. The frigates and HMNZS Endeavour were mainly deployed overseas in support of our important defence relationships under the FPDA with Singapore, Malaysia, Australia and the United Kingdom, to complement New Zealand s important diplomatic and economic interests in the Asia-Pacific region and to shoulder a large part of the training load required to train the personnel required for the future. All Navy force elements utilised their capabilities to meet government specified outputs and therefore contributed to the Defence Intermediate Outcomes in the following manner. Intermediate Outcome 1: Secure New Zealand Protected from Terrorism. The Naval Combat Force, Mine Counter Measures (MCM) and MCM Diving Forces (including the ODT) and Naval Patrol Forces all maintained a capability to assist with responding to acts of terrorism and sabotage through exercises and training activities. The MCM ship HMNZS Manawanui continued to show her versatility by participating in diving operations, generating a credible mine warfare capability, MCM training, RNZN and NZ Army training, multi-agency operations and support to the Defence Technology Agency. 22 NEW ZEALAND DEFENCE FORCE

23 Protected from Transnational Illegal Activities. All Naval Force Elements maintained a capability to respond to transnational illegal activities within New Zealand s EEZ and other areas within New Zealand s jurisdiction and illegal incursions into South Pacific Islands EEZ and territories. In particular, the Navy s Inshore Patrol Craft continued to make an often under-stated but significant contribution to multi-agency operations and RNZN training in meeting this outcome. They have also provided platforms by which Navy and other government agencies have gained experience that will be easily transferred to the Protector fleet on arrival. HMNZ ships Moa and Hinau were decommissioned in January 2007 and later sold. Protected persons and infrastructure from Civil Instability and Disasters. All Naval force elements maintained the capability to provide support and a search and rescue response for civil authorities. Personnel from across the Navy were also available to assist civil authorities if requested. The Hyperbaric Unit in Auckland continued to provide diving medical services to the civil community in NZ. HMNZS Resolution continued its military hydrographic role and conducted the largely unseen, but nonetheless critically important, contracted tasks for coastal and off shore hydrographic survey of shipping routes for LINZ. HMNZS Resolution also supported the Art Deco weekend in Napier. Intermediate Outcome 2: Reduced Risks from Regional and Global Insecurity A Secure, Peaceful and Stable Australia. HMNZ ships Te Mana and Te Kaha took part in a range of bilateral exercises and cooperative training with the Australian Defence Force in support of our Close Defence Relations with Australia. HMNZS Endeavour also provided important support to bilateral exercises in Australia. A Secure, Peaceful and Stable South Pacific. The Naval Combat Force, Naval Support Force, MCM and MCM Diving Forces, and HMNZS Resolution all maintained a capability to respond to emergencies and civil disasters within the South Pacific. HMNZS Resolution also conducted a Raoul Island resupply for the Department of Conservation. A Secure and Stable Asia-Pacific Region. The ANZAC class frigate HMNZS Te Kaha, with an embarked Seasprite helicopter carried out defence diplomacy activities in Japan, Korea, and China. Participation in the FPDA exercise Bersama Padu 06 was a major operational training activity as was the assistance provided to the RAN in the generation of their operational capability. HMNZS Te Mana, with an embarked Seasprite helicopter, also carried out important defence diplomacy activities in the Asia-Pacific region; including participation in the FPDA exercise Bersama Shield 07 and a Western Pacific Naval Symposium exercise off Singapore. These activities clearly demonstrated New Zealand s commitment to this increasingly important regional Navy framework. The tanker HMNZS Endeavour deployed to Asia twice in the 12 month period and visited Japan, Korea, China, Singapore (twice) and Australia, conducting both the FPDA exercise Bersama Padu 06 and exercise Bersama Shield 07. HMNZS Endeavour provided important support to HMNZS Te Mana and to the ships of other Navies during a number of exercises in the region. The RNZN ODT also exercised with FPDA Navies. A More Secure and Stable World. A short deployment with an Indian Navy Task Group to the Andaman Islands was an important step in the developing relationship between the Indian Navy and the RNZN. While the ships often provide the most visible sign of the Navy contribution, there are several less obvious, but vital, parts of the Navy that play an equally important part. These include the long range strategic communications provided by the Navy s Communication Station, the management and training of the personnel to man the ships, the logistic and engineering elements that support the ships, and the provision of Navy personnel to joint NZDF contributions to UN Peace Support Operations; for example, in the NZDF PRT in Afghanistan, and UN Peacekeepers around the world. Members of the ODT also participated as members of the NZDF s EOD contribution to UN operations in Lebanon. Defence at a Glance 2 23

24 NEW ZEALAND DEFENCE FORCE Future Direction The Navy today is a capable maritime force. However, the Navy of June 2008 will be one that can credibly be characterised as versatile across the spectrum of operations from supporting DOC in New Zealand to supporting and participating in combat operations anywhere in the world. The versatile Navy will be a significant enabler of the joint effect in NZDF operations and of the national effect in a range of multi-agency operations. As has always been the case, however, the potential of the Navy s ships can only be released and exploited by people of potential. People and their quantity and quality will continue to be the critical factor in the Navy s ability to successfully deliver its outputs and its ability to achieve its Vision. Success in recruiting, retaining and motivating them will be an important focus of the Navy s work during Defence at a Glance The Navy s Contribution to the Prosperity and Security of all New Zealanders 24 NEW ZEALAND DEFENCE FORCE

25 New Zealand Army Ngati Tumatauenga The New Zealand Army belongs to the New Zealand people and serves their government here and overseas as a core element of the NZDF. The Army is a specific solution to New Zealand s unique security requirements and is combat-ready and equipped to take whatever action is needed, including fighting on behalf of New Zealanders. Agile, responsive and highly regarded for its work across the spectrum of operations, the Army provides a wide range of options at short notice to Government. These range from collective combat or peace support operations with Allies, low-level emergencies in New Zealand s area of interest, to supporting the Police and emergency services. These options may include the deployment of individuals, small groups of specialists, Special Forces and units up to a combined-arms Battalion Group anywhere in the world. The Army values its people, providing world-class education, training and leadership to provide skills for life, and succeeds through discipline, experience, training, teamwork and living its ethos and values. The Army treasures its unique bicultural heritage, iwi status and evolving warrior culture. The New Zealand Army Mission is: To provide world-class operationally focused land forces that are led, trained and equipped to win The New Zealand Army vision statement is: Organisation A world class Army that has mana In order to meet a wide spectrum of military operational requirements, the Army is organised around a structure of two Regular Force (RF) infantry battalions with other Combat, Combat Support, Combat Services Support and Special Forces components that train within a composite RF and Territorial Force (TF) brigade structure. The Army comprises of Army General Staff and Base Logistics support elements (Wellington), the 2nd Land Force Group (Linton), the 3rd Land Force Group (Burnham), the Army Training Group (Waiouru) and the 1st New Zealand Special Air Service Group (Papakura). Army General Staff consists of the Office of the Deputy Chief of Army who is responsible for Training Commitments, Capability, and Human Resources, the General Manager Corporate Support who is responsible for Corporate Services and Support, Logistics Executive and the NZ Army Reputation Cell, and the Office of Strategic Management. These functional areas assist the Chief of Army (CA) to raise, train and sustain Army force elements for deployment. CA commands the Army through the Land Component Commander (LCC) and the Commander of the Army Training Group (Comd ATG). The LCC, based in the Headquarters Joint Forces New Zealand at Trentham, is responsible for the day-to-day command and management of all Army elements except ATG. Also located in Trentham are the main base logistics support facilities, the Force Military Police Company, 1st New Zealand Military Intelligence Company and the Headquarters of the Military Studies Institute. Headquarters 2nd Land Force Group (HQ 2LFG) in Linton commands most of the units that provide the deployable RF force elements, including 1st Royal New Zealand Infantry Regiment (infantry), 2 Signal Squadron (communications), 16 Field Regiment (artillery), 2 Engineer Regiment (engineers), 2 Logistic Battalion (logistics), and 2 Health Services Battalion (Medical and health support). In addition, HQ 2LFG commands the North Island TF Battalion Groups located in Auckland, Tauranga, Napier and Wanganui. Headquarters 3rd Land Force Group in Burnham commands all RF and TF units in the South Island. These include a 2nd/1st Royal New Zealand Infantry Regiment (infantry), Queen Alexandra s Mounted Rifles (armoured reconnaissance squadron), 3 Logistic Battalion (logistics), 3 Signal Squadron (communications), and other minor support and training units as well as the two South Island TF Battalion Groups headquartered in Christchurch and Dunedin. Army Training Group (ATG), is responsible for all formal individual training of the Army. The ATG Training area is located on the North Island central plateau and is the largest training area available for individual and collective training, and live field firing. HQ ATG commands The Waiouru Training Depot (Recruit and Non-Commissioned Officer individual training), the Officer Cadet School and the Land Operations Training Centre, which conducts specialised individual training for each branch of the Army. 1st New Zealand Special Air Service Group (1 NZSAS Gp) is located in Auckland. This unit provides the Special Forces required to support conventional operations overseas and the Counter-Terrorist Group (CTG). Defence at a Glance 2 25

26 NEW ZEALAND DEFENCE FORCE Output and Outcomes Throughout the year Army has continued to raise and train individuals and collective land force elements in order to meet directed levels of capability and sustain operations. Specific operational achievements in support of the Defence Intermediate Outcomes were as follows: Intermediate Outcome 1: Secure New Zealand Protected from Terrorism All Army force elements maintained a capability to deter and respond to acts of terrorism, sabotage and asymmetric attacks on New Zealand territory. Specific capabilities included command and control, intelligence, and Specialised Forces. Protected from Transnational Illegal Activities All Army force elements maintained a capability to assist with incursions into and through New Zealand s EEZ and other areas within New Zealand s jurisdiction, and illegal incursions into South Pacific Islands EEZs and territories. Protected Persons and Infrastructure from Civil Instability and Disasters All Army Force Elements maintained a capability to assist with disruptions to essential services and disasters affecting New Zealand and disasters and challenges to legitimate governments within the South Pacific. 2 Defence at a Glance Intermediate Outcome 2: Reduced Risks from Regional and Global Insecurity A Secure, Peaceful and Stable Australia. The NZ Army participated in Exercise Tasman Reserve. This is a reciprocal and concurrent exchange between a New Zealand Army Territorial Force (TF) sub unit and an Australian Defence Force Army Reserve (GRes) sub unit. The deployment is for a maximum of 120 personnel for up to a maximum of two weeks. The 2007 exercise saw the Australia to New Zealand component hosted by 2LFG in Waiouru and Wanganui, over the period February 07 and incorporated into the major TF Exercise of the year, Exercise Northern Kiwi. A Secure, Peaceful and Stable South Pacific 2/1 RNZIR and the Territorial Force have deployed to the Solomon Islands in order to provide security and stability. Exercise Tropic Wing is an annual 1 NZSAS Gp close country exercise conducted in a tropical environment with emphasis placed on the projection of a Special Forces Force Element into the South West Pacific. Due to the current political situation in the South Pacific region and the non-availability of suitable jungle training areas, 1 NZSAS Gp deployed 52 personnel to Brunei over the period 17 April 21 May 07 to conduct tropical training in a close country environment and to also reinforce New Zealand s defence relations with Brunei. A Secure and Stable Asia-Pacific Region Two companies from 2nd/1st Royal New Zealand Infantry Regiment (2/1 RNZIR) and one company from the 1 RNZIR deployed to Timor Leste in order to provide security and stability. Exercise Kiwi Spirit (Ex KS) is a biennial and reciprocal Divisional Command Post Exercise (CPX) to which New Zealand deployed a Brigade headquarters and war-gaming staff. Ex KS 06 was conducted in Singapore over the period 1 18 August LFG provided a Brigade headquarters of 120 personnel to participate in Ex KS 06, in order to practice joint and combined operations at formation level and higher in the form of a simulated assisted CPX. Exercise Taiaha Tombak is a biennial sub unit exchange for a maximum of 120 personnel between the Malaysian Armed Forces (MAF) and the NZ Army. Exercise Taiaha Tombak 06 occurred over the period 23 August 19 September 06 in the Northern Region of Malaysia (Penang) with a NZ Light Infantry Company from 2/1 RNZIR deploying from New Zealand to Malaysia. Exercise Thunder Warrior (TW) is a unilateral field training activity, conducted in New Zealand by the Singapore Armed Forces (SAF) Army Artillery units on an annual basis. TW 07 was a SAF battalion sized deployment comprising 494 personnel and was conducted over the period 11 December February 07, with the SAF contingent being based in Waiouru Military Camp. New Zealand Defence Force participation in Ex TW 07 included support from Army including 2LFG and 16 Fd Regt and support from New Zealand Defence Force and ATG. A More Secure and Stable World 1st Royal New Zealand Infantry Regiment (1 RNZIR) and 16 Field Regiment (16 Fd Regt) provided the basis of the Army contribution to the Provincial Reconstruction Team in Afghanistan. Continued support to a major operational commitment in Sinai Peninsula and also support to smaller commitments that were maintained in support of UN and other coalition operations around the world. Cambrian Patrol (CP) is a patrolling concentration conducted annually by the British Army. Teams comprise of nine individuals, as well as a non-participating patrol manager, and the event is open to foreign participation. The aim of Cambrian Patrol is to provide a challenging patrols exercise in order to develop operational capability. Army deployed a contingent of two teams to participate in CP 06 over the period 23 October 12 November NEW ZEALAND DEFENCE FORCE

27 Capabilities Delivered The Very Low Level Air Defence Alert and Cueing System (VACS) and the total Very Low Level Air Defence System (VLLADS) are technically advanced equipment that requires soldiers with a high degree of mental agility to operate successfully. The VACS completes the VLLADS project and provides a world class ground based very low level air defence capability that is able to provide New Zealand soldiers with a robust force protection against aerial threats as well as providing New Zealand with the ability to integrate this system with our allies in a coalition environment. The system underwent factory acceptance testing and was delivered in October There was a successful delivery site acceptance testing and contractor supplied training in November December The system is expected to achieve its Directed level of Capability in December The system comprises: 2 x Raven Radar Units (including Identification Friend or Foe capability). 7 x Remote Weapon Display units. 1 x Command and Control system (fitted into NZ Army In-Service Shelter by contractor). Associated buy of 7 x Identification Friend or Foe units for Weapon Launcher (including 2 x spares). Future Direction The immediate future of the Army remains focused on the provision of effective land force elements for contribution to operations. Whilst supporting these operations, Army will continue the transformation and generate effective operational units. In the long term this will produce an Army that is: Optimised for close combat in complex predominantly urbanised terrain, as part of a joint inter-agency task force. Capable of adapting to the full range of employment contingencies. Modular and flexible in structure. Applying a command philosophy and training and education systems that empowers junior leaders for complex and unpredictable tasks. Defence at a Glance 2 27

28 NEW ZEALAND DEFENCE FORCE Royal New Zealand Air Force Te Hokowhitu o Kahurangi The Royal New Zealand Air Force provides the people of New Zealand with an effective, responsive, dependable, and affordable Air Force that advances the security interests of New Zealand. The Air Force Mission is: To carry out military air operations to advance New Zealand s security interests, with professionalism, integrity and teamwork The ultimate goal for the RNZAF of the future is expressed in its Vision: We will be an Air Force that is the best in all that we do 2 Defence at a Glance RNZAF military air operations include maritime surveillance and reconnaissance with six P-3K Orion aircraft, strategic and tactical air transport with two Boeing 757 and five C-130 Hercules aircraft, and helicopter support with fourteen UH-1H Iroquois helicopters. The RNZAF also supports five SH-2G(NZ) Seasprite helicopters that are part of the Naval Helicopter Force. These aircraft support both military operations and civil authorities. At the tactical level, force elements are designed to be self-sufficient in operating level maintenance, maintenance management and retail supply. Organisation The Chief of Air Force retains overall command of the RNZAF and is responsible for raising, training, and maintaining the operational and support capabilities. The Air Force command structure is based on functional groupings rather than geographic locations, with elements of the operational, training, and support organisations located at RNZAF Bases Auckland, Ohakea, and Woodbourne. The Assistant Chiefs of Personnel, Plans, and Capability, and the Chief Financial Officer and their staffs are all centred in Wellington. The operational squadrons are assigned under permanent operational command to the Commander Joint Forces New Zealand, who exercises that command through the Air Component Commander and No. 485 Wing. Headquarters No. 485 Wing, No. 5 Squadron (P-3K Orions), No. 40 Squadron (C-130 Hercules and Boeing B757), No. 6 Squadron (SH-2G Seasprite helicopters), and the Expeditionary Support Squadron are located in Auckland. No. 3 Squadron (Bell UH-1H Iroquois and Bell 47G Sioux helicopters) is located at RNZAF Base Ohakea. The Air Force s Training Group units are located at RNZAF Bases Woodbourne and Ohakea. Training Group Headquarters and Ground Training Wing, and the units responsible for officer, recruit, and specialist ground trade training are all located at RNZAF Base Woodbourne. Flying Training Wing, No. 42 Squadron (King Air B200), Pilot Training Squadron and Central Flying School (CT-4E Airtrainer) are located at RNZAF Base Ohakea. The Air Force s support organisation is arranged on the three main operating bases at Auckland, Ohakea and Woodbourne. Operational Support Group commands the Operational Support Wings at each Base. The Wings coordinate activities and provide support services to units at the Bases. Logistics Group commands the Maintenance and Materiel Support Wings that are centred at Auckland, the Directorate of Aeronautical Configuration (centred at RNZAF Ohakea with a subordinate unit at Auckland), and the staff functions in Air Staff. Maintenance Wing has subordinate units at Ohakea and Materiel Support Wing has subordinate units at all three bases. Outputs and Outcomes The three RNZAF Force Element squadrons, the Expeditionary Support Squadron, and units from throughout the RNZAF utilised their capabilities to meet the Government specified outputs and therefore contributed to the Defence Intermediate Outcomes in the following manner. Intermediate Outcome 1: Secure New Zealand. Protected from Terrorism. All three RNZAF Force Elements maintained a capability to assist with counter terrorist response by providing transport support and surveillance standby capabilities. Protected from Transnational Illegal Activities. No. 5 Squadron conducted surveillance flights of New Zealand s EEZ and the Southern Ocean. Protected persons and infrastructure from Civil Instability and Disasters. All three RNZAF Force Elements maintained the capability for transport support, reconnaissance and search and rescue response for civil authorities. Personnel from across the RNZAF were also available to assist civil authorities if requested. 28 NEW ZEALAND DEFENCE FORCE

29 Intermediate Outcome 2: Reduced Risks From Regional and Global Insecurity. A Secure, Peaceful and Stable Australia. RNZAF Force Elements participated in or supported units deploying to exercises with or in Australia. A Secure, Peaceful and Stable South Pacific. Nos. 3 and 40 Squadrons provided transport support to land forces (including aeromedical evacuation) for disaster relief, and to extract civilians in emergencies. The multi-national mission to the Solomon Islands was supplied by inter-theatre flights by No. 40 Squadron. No. 40 Squadron also deployed NZDF personnel to Tonga in late No. 5 Squadron conducted surveillance patrols of the EEZs of Pacific Island nations, participated in a regional EEZ policing and enforcement operation, provided a surveillance capability for disaster relief, and conducted numerous search and rescue missions in the South Pacific. A Secure and Stable Asia-Pacific Region. No. 5 Squadron, with transport support from No. 40 Squadron participated in exercises with South East Asian countries and Australia. No. 40 squadron provided transport support to the Combined Joint Task Force in Timor Leste. Later in the year, No. 3 Squadron deployed two UH-1H Iroquois helicopters to Timor Leste. A more Secure and Stable World. No. 40 Squadron conducted tactical training in Canada and the United States. No. 40 Squadron also supported New Zealand and other forces globally, but most notably in the Middle East. Personnel from throughout the RNZAF also contributed to this outcome by deploying as individuals or small teams to various multinational and United Nations Missions. Future Direction The ultimate goal for the RNZAF of the future is expressed in its Vision: We will be an Air Force that is the best in all that we do. As at 1 July 2007, RNZAF nominal strength (Regular Force, civilians and General Service Hands) was 2,834. The intention is to grow nominal strength to 2,996 by the end of FY 2007/2008. The Defence Long-Term Development Plan includes major projects to upgrade most of the Air Force s capabilities and some infrastructure over the next few years: Air transport is a critical enabler for a range of military and Government tasks. Each of the new Boeing 757 aircraft will be modified with a cargo door, strengthened floors, a communications and navigation upgrade, and air stairs. The C-130 Hercules will undergo a life extension with upgrades to the flight deck and aircraft systems, and some structural refurbishment, to guarantee airworthiness and improve availability and reliability through to at least New sensors, mission management, communication and navigation systems will be fitted to the P-3K Orion fleet to improve its capability and reliability for a wide range of military and civilian tasks. The interim electro optical system has been fitted to three P-3K Orion aircraft. The Iroquois will be replaced by the NH-90 to fulfil the medium utility helicopter requirement. The Sioux helicopter will be replaced with new aircraft to meet training and light utility requirements. Defence at a Glance 2 The project to consolidate the RNZAF s operational capability at Ohakea (Project Takitini) continues to progress following engagement of BECA as prime consultant in the Project Management Office. User Requirements, Functional Design Briefs and Concept Designs have now been completed for most subprojects. An Interim Report was provided to the Minister of Defence in April 2007 and infrastructure costs are being refined. 29

30 NEW ZEALAND DEFENCE FORCE Headquarters Joint Forces New Zealand Te Ope Taua Tuhono O Aotearoa The HQ JFNZ vision is: To be a responsive HQ that harnesses the Joint Effect to translate strategic intent into effective operations. The HQ JFNZ mission is: To prepare, deploy, command and support assigned forces, in order to contribute to the security of New Zealand and her interests. Overview 2 Defence at a Glance The primary function of HQ JFNZ is to plan, conduct and sustain operations, exercises and activities by assigned Force Elements. The headquarters enables and promotes closer co-operation across the three Services in planning and executing operations. By working together in a joint environment the Navy, Army and Air Force contribute to a Defence Force that is more responsive to international and national contingencies. HQ JFNZ also has the function of supporting the Environmental Component Commanders in their achievement of the Directed Level Of Capability (DLOC) on behalf of Service Chiefs. Outputs and Outcomes Throughout the year HQ JFNZ planned and commanded a number of major operations and provided support to a wide range of Government and community organisations. A location map of overseas operationally deployed forces and personnel is shown overleaf. Specific achievements included: Operation LIMA. 10 NZDF personnel were deployed in February 07 to UNMACC-SL as an Explosive Remnants of War Disposal (ERWD) Team and are located in Tyre, Southern Lebanon. The team conducts Unexploded Ordnance Battlefield Area Clearance (UXO BAC) Operations as part of the UN Mine Action Coordination Centre Southern Lebanon (UNMACC-SL) NZDF ERWD team. Task Group MANU. This 3 SQN deployment to Timor Leste in support of CJTF 631 comprises of two UH-1H Iroquois helicopters, air crews and support staff totalling 32 personnel. The initial commitment is for one year from May 07 with rotations to take place every three months. Operation FORD. The deployment of eight personnel to Operation FORD in Bosnia concluded 05 April 07. All personnel and equipment have returned to New Zealand. Solomon Islands A significant earthquake occurred on 2 April 07 followed by a tsunami that flooded the Gizo coast. Three aid flights were flown into Munda airfield, providing both supplies from NZAID and an eight person load team to assist with aid distribution. Future Direction The planning, conduct and sustainment of operations continues to be the main effort for HQ JFNZ. Within this task, sustainment of the PRT in Afghanistan continues to require the greatest level of planning and operational support. All missions during the period were successfully achieved, reinforcing New Zealand s excellent standing with our coalition partners, however, staffing levels remain a significant risk to the delivery of operational outputs. The level of support provided to the Solomon Islands and Timor Leste, in excess of the agreed surge, will continue to place strain on the ability to maintain DLOC and to provide RNZAF strategic air lift in support of OE 16 missions and other activities. The current operational tempo has a notable effect on single Service DLOC proficiency, which in turn is flowing into OLOC generation on a personnel and general competency basis. As a result, more time is being expended bringing individuals up to an adequate standard rather than focusing on collective training. 30 NEW ZEALAND DEFENCE FORCE

31 Location of Overseas Operationally Deployed Forces and Personnel During the reporting period, NZDF personnel participated in those United Nations and Multinational peace support operations shown below. Further details regarding these missions are shown under Output Class 16, Operationally Deployed Forces. Global Region Afghanistan Contribution Description The Provincial Reconstruction Team (including National Support Element) consists of 122 NZDF personnel 110 in Bamyan and 12 at Bagram. Two NZDF personnel continue to assist with training of the Afghan National Army as part of the UK-Afghan National Army Training Team. Support to the United Nations Assistance Mission in Afghanistan (UNAMA) is provided by one NZDF officer, who is the Deputy Chief of Operations at UNAMA HQ in Kabul. Two officers and one JNCO hold appointments in the Coalition Joint Engineering Branch within HQ International Security Assistance Force (ISAF) in Kabul. Two staff officers support HQ CJTF 76 and Combined Forces Command Afghanistan (CFC-A) in Kabul and Bagram respectively. Antarctica Bosnia Iraq Israel / Lebanon / Syria A total of 59 NZDF personnel in various rotations provided terminal and logistics support at Christchurch, McMurdo Station and Scott Base during the period Oct 06 Feb 07 in support of Antarctic New Zealand. A number of RNZAF C-130 flights were conducted in support of the US and NZ Antarctic programmes. Three staff officers are deployed to the Headquarters of the Liaison and Observation Teams as part of the European Union Force, (EUFOR). An eight-person contingent who supported British units of EUFOR was withdrawn in May 07. One staff officer is deployed as an advisor to the United Nations Assistance Mission in Iraq (UNAMI). Eight NZDF personnel are deployed to a variety of locations in Israel, Lebanon and Syria with the United Nations Truce and Supervisory Organisation (UNTSO). One of these personnel is seconded as the Chief of Staff. An additional 10 personnel are deployed into Lebanon as part of the Explosive Remnants of War Disposal Team. Defence at a Glance 2 Kosovo One staff officer is deployed as Military Liaison Officer with the United Nations Interim Administration Mission in Kosovo (UNMIK) Headquarters in Pristina. Middle East Five NZDF personnel provide a deployed support mechanism for NZDF force elements deployed to the Gulf region. Sinai Peninsula A twenty six-person contingent is deployed to provide expertise in operations and training to the Multinational Force and Observers (MFO) in El Gorah, Egypt. Solomon Islands A platoon group and supporting personnel totalling 44 pers are deployed as part of the military component of RAMSI, they are conducting patrols in Honiara and to outlying PPF stations. South Korea Three NZDF officers are deployed with the United Nations Command Military Armistice Commission in Korea (UNCMAC). Sudan Timor Leste Three NZDF Officers are deployed to the United Nations Mission in Sudan (UNMIS). One NZDF person is deployed in support of United Nations Mission in Timor Leste (UNMIT) and a further two operate within the Office of Defence Force Development (ODFD), focusing on contract management, equipment support and development of defence policies for the Timor Leste Defence Force. TG GYRO is a regional support deployment of 148 personnel (full Company Group) an associated support elements which provides security and stability tasks as part of CJTF 631. A further 32 persons and two UH-1H helicopters are deployed as part of TG MANU to provide support to CJTF 631. United States of America Four NZDF personnel are deployed to liaison and planning at US CENTCOM in Florida. 31

32 NEW ZEALAND DEFENCE FORCE Overseas Operations 2 Defence at a Glance 32 NEW ZEALAND DEFENCE FORCE

33 NZDF Units Headquarters New Zealand Defence Force Wellington HQ NZDF (Strategic HQ) Chief of Defence Force Vice Chief of Defence Force Chief of Navy Chief of Army Chief of Air Force Trentham Defence College New Zealand Army (Cont.) Waiouru Army Training Group Officer Cadet School Land Operations Training Centre Waiouru Training Depot Linton HQ 2nd Land Force Group 16th Field Regiment (Artillery and Air Defence) 2nd Engineer Regiment 1st Battalion (Infantry) Joint Forces New Zealand Trentham Commander Joint Forces New Zealand Headquarters Joint Forces New Zealand Overseas Units NZ Defence Support Unit / South-East Asia (Singapore) Royal New Zealand Navy Auckland Naval Support Command RNZN Naval College Joint Geospatial Support Facility HMNZS Dockyard Naval Combat Force HMNZS TE KAHA 2nd Signals Squadron 2nd Logistics Battalion 2nd Health Services Battalion Trentham Trentham Regional Support Battalion 1st Military Intelligence Company Force Military Police Company 1st NZ Explosive Ordnance Disposal Company HQ Military Studies Institute Burnham HQ 3rd Land Force Group Queen Alexandra s Mounted Rifles (Armoured Reconnaissance) 2nd/1st Battalion (Infantry) 3 Logistics Battalion Tekapo Military Training Area Defence at a Glance 2 HMNZS TE MANA Logistics HMNZS Canterbury (Multi-Role Vessel 1 ) HMNZS ENDEAVOUR (Fleet Replenishment) Hydrographic HMNZS RESOLUTION Diving Support HMNZS MANAWANUI Sea Training HMNZS KAHU Naval Patrol Force HMNZ Ships KIWI, WAKAKURA, HINAU, MOA 2 New Zealand Army Papakura 1 NZ SAS Group Auckland Regional Support Unit Royal New Zealand Air Force Auckland No 5 Squadron 6 x P 3K Orion No 6 Squadron 5 x SH 2G(NZ) Seasprite No 40 Squadron 2 x Boeing x C 130 Hercules Expeditionary Support Squadron Ohakea No 3 Squadron 14 x UH 1H Iroquois 5 x Bell 47G Sioux Flying Training Wing 14 x Airtrainer 5 x Beech King Air Woodbourne Ground Training Wing 1 Commissioned on 12 June HMNZ Ships HINAU and MOA were decommissioned in January

34 NEW ZEALAND DEFENCE FORCE Location of NZDF Units within New Zealand 2 Defence at a Glance 34 NEW ZEALAND DEFENCE FORCE

35 New Zealand Defence Force 30 June 2007 Defence at a Glance 2 35

36 NEW ZEALAND DEFENCE FORCE Royal New Zealand Navy 30 June Defence at a Glance 1 CN retains full command of the RNZN and is responsible for managing the Navy s capability to deliver operational outputs. 2 COMJFNZ is responsible for the operational command of assigned force elements on operations and for mutually agreed joint and combined training. 3 Deputy Chief of Navy has operational command of Naval Support Command and Volunteer Reserve Divisions, excluding the Inshore Patrol Craft. 36 NEW ZEALAND DEFENCE FORCE

37 New Zealand Army 30 June Defence at a Glance 2 1 CA retains full command of the NZ Army and is responsible for managing the Army s capability to deliver operational outputs. 2 COMJFNZ is responsible for the operational command of assigned force elements on operations and for mutually agreed joint and combined training. 37

38 NEW ZEALAND DEFENCE FORCE Royal New Zealand Air Force 30 June Defence at a Glance 1 CAF retains full command of the RNZAF and is responsible for managing the RNZAF s capability to deliver operational outputs. 2 COMJFNZ is responsible for the operational command of assigned force elements on operations and for mutually agreed joint and combined training. 3 CAF has full command of the Naval Helicopter Forces Seasprite helicopters. When ships flights are required to embark, operational command will be assigned to the Maritime Component Commander (MCC) who will in turn assign operational control to the ship s CO. The RNZAF is responsible for the training of RNZN Seasprite helicopter aircrew and the provision and training of Ship s Flights maintenance personnel, for operational employment by the RNZN. 38 NEW ZEALAND DEFENCE FORCE

39 Headquarters Joint Forces New Zealand 30 June 2007 Defence at a Glance 2 1 COMJFNZ is responsible for the operational command of all assigned force elements on operations and joint and combined training. 39

40 NEW ZEALAND DEFENCE FORCE Personnel Summary Personnel Composition as at 1 July Defence at a Glance 40 NEW ZEALAND DEFENCE FORCE

41 NZDF Personnel Total Number By Year Defence at a Glance 2 NZDF Regular Force Attrition By Year (12 month rolling average) 41

42 NEW ZEALAND DEFENCE FORCE Satisfaction with Employment in the NZDF 2 Defence at a Glance Overall, Regular Force personnel s satisfaction with employment in the NZDF has remained fairly stable over the past 12 months. From March 2006 to March 2007, 62.7% of all Regular Force respondents rated their overall satisfaction as good or excellent. The NZDF Ongoing Attitude Survey continues to provide a valuable source of information to monitor organisational health and as an aid to HR policy development. The NZDF Cohort Survey has also continued. This survey tracks selected cohort groups of officer and other rank recruits across the three Services over time, to monitor recruit perceptions and levels of satisfaction, and inform future recruitment, training, and management practices. Defence Expenditure for the year ended 30 June 2007 Defence expenditure for the year ended 30 June 2007 was $1.820 billion, exclusive of GST. Of this total, $347 million (19.1%) was returned to the Crown as capital charge for the use of Defence assets. A summary of expenditure is shown below and the full financial statements are shown at Section 6 of this report. 42 NEW ZEALAND DEFENCE FORCE

43 Statutory Committees The two statutory NZDF committees, with the number of meetings held during 2006/07 were: Chiefs of Service Committee 9 meetings Board of Review 4 meetings During the reporting period, 11 Executive Leadership Team meetings were also held Availability of Information Further information regarding the Defence Force is available to the public from the following sources: New Zealand Defence Force: Defence Public Relations: dpru@nzdf.mil.nz Headquarters New Zealand Defence Force 2 12 Aitken Street, Wellington Defence Library: defence.library@nzdf.mil.nz Headquarters New Zealand Defence Force 2 12 Aitken Street, Wellington Navy: Navy Today: (monthly publication) Defence at a Glance 2 Royal New Zealand Navy Museum: Devonport Naval Base, Auckland Army: Army News: (fortnightly publication) Queen Elizabeth II Army Memorial Museum: Waiouru Air Force: RNZAF News: (monthly publication) RNZAF Memorial Museum: Sockburn, Christchurch Ohakea Wing of the RNZAF Museum: RNZAF Base Ohakea (Towards the end of the reporting period, the Ohakea Wing of the RNZAF Museum was closed.) Ministry of Defence: 43

44 NEW ZEALAND DEFENCE FORCE Legislation Administered by NZDF New Zealand Defence Force: Acts Visiting Forces Act 2004 Armed Forces Canteens Act 1948 Armed Forces Discipline Act 1971 Courts Martial Appeals Act 1953 Defence Act 1990 Military Decorations and Distinctive Badges Act 1918 Military Manoeuvres Act Defence at a Glance Regulations and Orders Air Efficiency Award Regulations 1954 Armed Forces Canteens (Fees and Travelling Expenses) Regulations 1974 Armed Forces Discipline Act Commencement Order 1983 Armed Forces Discipline (Exemptions and Modifications) Order 1983 Armed Forces Discipline (Legal Services Fees and Allowances) Regulations 1991 Armed Forces Discipline Regulations 1990 Armed Forces Discipline Rules of Procedure 1983 Armed Forces Establishments Road Traffic Bylaws 1978 Courts Martial Appeals Act Commencement Order 1955 Courts Martial Appeals (Fees and Allowances) Regulations 1997 Courts Martial Appeal Rules 1954 Defence Regulations 1990 Efficiency Decoration Regulations 1966 Efficiency Medal Regulations 1966 Kayforce Wills Notice 1953 Medal for Long Service and Good Conduct (Military) Regulations 1959 New Zealand Cadet Forces Medal Regulations 1989 New Zealand Distinguished Service Decoration Regulations 2007 New Zealand General Service Medal (Kuwait) Regulations 1992 New Zealand General Service Medal (Sinai) Regulations 1992 New Zealand General Service Medal (Iraq) Regulations 2004 New Zealand General Service Medal (Peshawar) Regulations 1994 New Zealand General Service Medal (Somalia) Regulations 1994 New Zealand General Service Medal (Cambodia) Regulations 1995 New Zealand General Service Medal (Mozambique) Regulations 1995 New Zealand General Service Medal (Arabian Gulf) Regulations 2001 New Zealand General Service Medal (Bougainville) Regulations 2001 New Zealand General Service Medal (Afghanistan) Regulations 2002 New Zealand General Service Medal (Indian Ocean) Regulations 2002 New Zealand General Service Medal (Korea ) Regulations 2002 New Zealand General Service Medal (Malaya ) Regulations 2002 New Zealand General Service Medal (Near East) Regulations 2002 New Zealand General Service Medal (Rwanda) Regulations 2002 New Zealand General Service Medal (Solomon Islands) Regulations 2002 New Zealand General Service Medal (Vietnam) Regulations NEW ZEALAND DEFENCE FORCE

45 Legislation Administered by NZDF New Zealand General Service Medal (Thailand) Regulations 2003 New Zealand Special Service Medal (Asia Tsunami) Regulations 2005 New Zealand Special Service Medal (Nuclear Testing) Regulations 2002 New Zealand Operational Service Medal Regulations 2002 New Zealand White Ensign Regulations 1968 Queen s Medal for Champion Shots of the Air Forces Regulations 1954 Queen s Medal for Champion Shots of the New Zealand Naval Forces Regulations 1958 Royal Warrants The East Timor Medal Air Efficiency Award Cadet Forces Medal Efficiency Decoration Efficiency Medal Medal for Long Service and Good Conduct (Military) New Zealand Armed Forces Award New Zealand Army Long Service and Good Conduct Medal New Zealand General Service Medal 1992 New Zealand General Service Medal 1997 New Zealand General Service Medal 2002 New Zealand Memorial Cross New Zealand Meritorious Service Medal New Zealand Operational Service Medal New Zealand Service Medal New Zealand Service Medal New Zealand Special Service Medal Queen s Medal for Champion Shots of the Air Forces Queen s Medal for Champion Shots of the New Zealand Naval Forces Royal New Zealand Air Force Long Service and Good Conduct Medal Royal New Zealand Naval Reserves Officers Decorations Royal New Zealand Naval Volunteer Reserve Long Service and Good Conduct Medal Royal New Zealand Navy Long Service and Good Conduct Medal Vietnam Medal The activities of the Armed Forces are further regulated by Defence Force Orders issued pursuant to the Defence Act 1990 and the Armed Forces Discipline Act Veterans Affairs New Zealand: Acts The War Pensions Act 1954 The Veterans Affairs Act 1999 The Patriotic and Canteen Funds Act 1947 Regulations and Orders The War Pensions Regulations 1956 War Pensions (Rates of Pension, Lump Sum Payments and Allowances) Order 2007 War Pensions (Arrangement with Australia) Regulations 1967 War Pensions (Total Deafness) Order 1997 Defence at a Glance 2 45

46 NEW ZEALAND DEFENCE FORCE NEW ZEALAND DEFENCE FORCE

47 Key Priorities 3 Introduction For 2006/07, the Minister of Defence confirmed that his most immediate priorities for the NZDF continue to be focused on achieving the desired and required results of the DSI and continuing to progress the LTDP. The Minister s requirements have been incorporated into the NZDF Key Priorities (KPs). The details of the KPs and action steps are contained in the NZDF 2006/07 Output Plan. During 2006/07, the NZDF focused on two KPs to support the achievement of Defence objectives and intermediate outcomes. These KPs are shown below, while the progress achieved against them is detailed in the following pages. KP 1: The Development of Military Capability The expected result of the action steps under this KP is a military capability that meets the government s requirement, is combat viable, deployable, ready to be deployed, and sustainable once deployed. The aim is to build and develop the operational capability of the NZDF following a period of high levels of operational deployments, above average attrition rate and the introduction into service of new or upgraded equipment. This KP is linked to the government s three priority themes of National Identity, Economic Transformation and Families young and old. KP 2: The Strengthening and Development of the NZDF s Organisational Capability The expected result of the action steps under this KP is the regeneration and enhancement of the NZDF s organisational capability to ensure ongoing effectiveness, and to pursue efficiencies wherever possible. The aim is the development, deployment and sustainment of effective organisational capability, and the upgrading of the ability of HQ NZDF to manage present and future challenges efficiently and effectively. Actions will focus on improved planning and decision-making. This KP is linked to the government s three priority themes of National Identity, Economic Transformation and Families young and old. From the reporting year 2007/08, strategic initiatives will replace key priorities for reporting purposes. Key Priorities 3 The NZDF 2006 Statement of Intent identified key risks to the successful achievement of the NZDF strategic objectives and outlined the action steps, or risk mitigation strategies, in place or to be implemented to manage those risks. Table 1 below, sets out the risks, risk mitigation strategies and their status as at 30 June Table 1 NZDF s Strategic Risks, Controls and Status Risk Risk Mitigation Strategy Mitigation Status Implement the Government s direction for the recovery and regeneration of the NZDF as a result of the DCARR, including the active management of appropriated funds to ensure that expenditure is kept within the Defence allocation. This will be assisted by the development of a Strategic Plan. Unable to deliver the agreed outputs and to meet the Government s policy requirements leading to a loss of confidence in the NZDF. Military operations require interoperability levels not normally provided leading to an inability for NZDF units to work in with coalition forces. Implement all aspects of delivering the joint effect, transformation of the Navy, modernisation of the Army, and enhancing the RNZAF. Alliance and Relationship Management with our key allies, friends and coalition partners. Refer to KP 1: The Development of Military Capability: Delivery of Joint Effect. Refer to KP 2: The Strengthening and Development of the NZDF s Organisational Capability: Recovery and Regeneration of the NZDF. Refer to KP 1: The Development of Military Capability: Deliver Joint Effect, Continue to Enhance Alliance and Relationship Management with our Key Allies and Friends. 47

48 NEW ZEALAND DEFENCE FORCE 3 Key Priorities Risk Risk Mitigation Strategy Mitigation Status Lack of appropriate governance leading to a lack of control, proper monitoring and review of organisational activities. Effective organisational capability. Refer to KP 2: The Strengthening and Development of the NZDF s Organisational Capability: Implement and monitor the new governance arrangements and high-level structure of HQ NZDF. Inefficient and ineffective knowledge and information management systems, leading to poor decision making. Poor maintenance of the Defence Estate leading to an inability to recruit and retain regular force personnel. Inefficient and ineffective processes in the non-core logistics chain, leading to increasing costs and poor service delivery. Inability to adequately articulate what the NZDF is about and what it is doing, leading to a loss of Government and public support. Improved planning and decisionmaking. Develop plans for and commence approved implementation of the consolidation of the Air Force s operational capability at Ohakea. Develop and implement a Corporate Real Estate Strategy. Develop and implement a new Accommodation Policy. Improved planning and decisionmaking. Implement a programme of initiatives to raise and enhance internal and external awareness. Refer to KP 2: The Strengthening and Development of the NZDF s Organisational Capability: Complete the NZDF Information Management Framework and high-level operational and business requirements. Refer to KP 1: The Development of Military Capability: Continue to Work Towards Consolidation of the Air Force at Ohakea. Refer to KP 2: The Strengthening and Development of the NZDF s Organisational Capability: Complete a draft NZDF Footprint Review and Corporate Real Estate Strategy. Refer to KP 2: The Strengthening and Development of the NZDF s Organisational Capability: Complete the Development and Implementation of the Defence Housing and Accommodation Assistance Policy. Refer to KP 1: The Development of Military Capability: Implementation of Joint Engineering Management System. Refer to KP 2: The Strengthening and Development of the NZDF s Organisational Capability: Implement the Joint Logistics Support Organisation. Refer to KP2: Raise and enhance internal and external awareness of the NZDF s roles and capabilities. 1 The above table displays information at the highest level. 2. Note that risk mitigation strategies contribute to more than one identified risk. 48 NEW ZEALAND DEFENCE FORCE

49 Key Priority 1: The Development of Military Capability Targets: The main action steps of this KP are: Defining future force joint concepts as a basis for future force capability development. Developing the Defence Science and Technology Strategic Plan. Developing a Defence Simulation Policy, and Architecture and Analysis Tools to inform NZDF s future capability. Developing a draft Defence Experimentation Framework. Developing options and evaluating proposals to meet intelligence, surveillance and reconnaissance requirements in a land environment. Developing requirements for the acquisition and implementation of a Joint Command and Control System. Continue to develop communications interoperability. Continuing to improve information technology applications, including data management, personnel and coalition network interoperability systems to support operations. Continuing to improve relationships with other government departments and agencies, especially those with which the NZDF is involved in multi agency operations and tasks. Transformation of the Navy, modernisation of the Army, and implementing capability improvements in the Air Force. Continue to work towards consolidation of the Air Force at Ohakea. Continue to work towards the development of a stand-alone, fully manned Chemical, Biological, Radiological Explosive, Improvised Explosive Device Disposal (CBRE/IEDD) Response organisation. Continue to enhance alliance and relationship management with our key partners. Performance: The achievements of specific projects under the action steps above are as follows: Delivery of Joint Effect A draft scan of the trends likely to influence the NZDF s future operating environment and capability requirements has been completed. The scan will be used alongside policy guidance to inform the Strategic Capability Planning Process. Key Priorities 3 The NZDF s Joint Vision has been completed. The Joint Vision is an aspirational, challenging statement of who the NZDF is, what it stands for, and how it aspires to function as an organisation. A draft of the NZDF s Strategic Operating Concept has been completed. This concept provides an overarching conceptual framework for the strategic-level characteristics the NZDF will need to develop and how it will need to operate in a rapidly-evolving operating environment. A draft of the NZDF s Joint Operating Concept has been completed. This articulates the operational level concepts which form the conceptual and moral basis for NZDF operations and the characteristics that will ensure the NZDF remains a valued coalition partner. A revised capability management process, including gap analysis, is under development. This process involves the internal defence stakeholders in the development of the capability requirements for their respective capability areas to ensure capability development and management are integrated and fully aligned with strategic direction. Four pilot capability management plans have been put on hold due to higher priorities. The completed draft capability requirements list, which forms part of this process, has superseded the NZDF Missions and Effects concept. The master questions list process has also been developed. This process enables the identification, analysis and answering of capability questions facing the NZDF. The NZDF Governance Structure was updated to rationalise strategic asset management. Under this structure the Network Enabled Capability Sub Committee of the Executive Leadership Team was formed. It provides a single leadership framework to enable the NZDF to effectively integrate networks, systems, information, sensors, effectors and people as an indivisible superset of capability. The NEC Strategy and Roadmap has been developed to assist this process. 49

50 NEW ZEALAND DEFENCE FORCE 3 Key Priorities The Land Intelligence and Surveillance Project continued with project definition and operational requirements development. Joint Command and Control System (provide capability to exercise command and control over NZDF force elements into the future) and Defence Satellite Communications (provide high capacity communications bearers to support the information exchange requirements of deployed forces) projects, and the Tactical C4 component of the Land Intelligence and Surveillance Project were delayed while the Strategic Plan and NEC Strategy, against which requirements could be anchored was developed. Business cases were, however, developed for the acquisition of the Joint Command and Control System and a defence satellite communication capability. Army Tactical Trunk Communications (replace/upgrade existing land force high capacity communications) and Joint Communications Modernisation (replace/upgrade Defence long range communications capability) projects did not commence project definition because priority for resources was given to progressing NEC Strategy and Roadmap development. A draft Defence Simulation Open Architecture policy is available but is in abeyance pending incorporation into the NEC Roadmap. A ten year NZDF science and technology plan has been completed. This plan identifies the range of science and technology capabilities the NZDF requires, the level to which those capabilities need to be developed, and the actions and resources this will require. The Joint Doctrine Cell is coordinating the adoption and adaptation of ADF joint doctrine for use by the NZDF. The cell has conducted a review and rewrite of the NZDF s capstone doctrine publication and has written a publication on command and control in the NZDF. Work has continued on the development of operational requirements and an acquisition and through life management plan to improve the Army s intelligence, surveillance and reconnaissance capabilities. Work has also progressed on the acquisition of nine new NH-90 medium utility helicopters, and a number of training/light utility helicopters. These aircraft will replace the ageing fleet of Iroquois and Sioux helicopters. The RNZAF has established a programme management office to support the major sub projects, including the completion of operating concepts, introduction into service and integrated logistic support. It is expected the NH-90 helicopters will enter service from 2010 and the training/light helicopters from 2008/09. The Joint Engineering Management System has been implemented for Air Force plant maintenance. This system will provide a foundation for through life support and life cycle costing. The project to upgrade the NZDF s existing personnel management system is delivering results. A live online, web based application is now available to all NZDF personnel and brings a number of key benefits to the NZDF, including the ability to perform enlistments and manage leave online. A range of projects was also completed to improve coalition network interoperability, including the design and commissioning of multi-agency networks and expansion of the NZDF s secure wide area network. During the reporting period the NZDF held numerous meetings with a number of government departments and agencies, including the Department of the Prime Minister and Cabinet, Ministry of Defence, Ministry of Foreign Affairs and Trade, the Treasury, State Services Commission, New Zealand Aid, New Zealand Police, Ministry of Fisheries, New Zealand Customs Service and the Government Communications Security Bureau. The NZDF works with other government agencies with the Officials Domestic and External Security Committee [ODESC] to ensure an alignment of policy across the range of government security interests. A review of this key priority has found that a formal examination of well-tested existing networks is not required. Rather, the effectiveness of the existing government agency relationships would be improved by addressing the area of information management. This has already started under the auspices of the National Maritime Co-ordination Centre and the requirements of Project Protector. Transformation of the Navy Navy continued to contribute to the delivery of outputs of the current fleet and assist in the acquisition of the seven ships under Project Protector. Strategies to fill the gap between the withdrawal of the former frigate HMNZS Canterbury and the introduction into service of the Protector fleet have included trainees being posted to sea to take maximum advantage of the various phases of deployments. During the reporting year, the multi-role vessel, HMNZS Canterbury, was delivered to the NZDF at a ceremony in Melbourne on 31 May 2007 and arrived in New Zealand at the end of June HMNZS Otago, the first of the offshore patrol vessels [OPV], was launched in Melbourne late last year and is expected to be delivered to the NZDF towards the end of The second OPV HMNZS Wellington and the four new Inshore Patrol Vessels are due for delivery over the next year. 50 NEW ZEALAND DEFENCE FORCE

51 Recruiting for the Navy, while not meeting all targets, was generally successful on expanding on previous years results. While there are shortages of skilled personnel in the marine engineering and sea trades, a lateral recruitment cell is now in place and is actively engaging with overseas candidates and ex-nzdf personnel. A targeted retention project has also been launched that seeks to align retention initiatives with critical branch shortages. Attrition for Naval RF personnel was around 12% at the end of the reporting period. To assist the transformation of the Navy, a revised engineering support business model, competency framework and a distance learning concept have been developed. Restoration and Modernisation of the Army Army continued to contribute to a diverse and demanding range of outputs while also progressing its modernisation programme. While shortages are still evident at the mid-level group, Army is meeting its skilled enlistment targets and attrition is running at around 15%. A draft discussion paper on the future role of Waiouru Army Training Group was prepared and options for future use are being considered. The purchase of 105 LAVs has been completed and they have been successfully introduced into service. The last of the Pinzgauer Light Operational Vehicles (LOVs) have been handed over to the NZDF. A number have already been deployed to the Solomon Islands and Timor Leste and others have seen action in Afghanistan. All the LOVs, which include armoured, non armoured and special operations variants, have exceeded expectations. The Medium Range Anti-Armour Weapon and the cueing and identification system for the Mistral Very Low Level Air Defence System are being introduced into service. The Army Engineering Equipment project (combat tractors, rapid gap crossing system and water purification/ storage), Combat Service Support Equipment (additional vehicles and associated equipment to support the LAVs), Land Tactical Command and Control System (integrated command and control for the Army), Army Tactical Trunk Communications System (replace/upgrade existing Army short-range communications), and NZDF Service Weapon (replace/upgrade selected current small arms based weapon systems) are all in the development stage of acquisition. The operational requirements for the General Service Vehicle Fleet Replacement project are being revised. The establishment of the Army s Leadership Development Centre and associated leadership model is under development. Implementing Capability Improvements in the Air Force The Air Force continued to balance aircraft availability and readiness requirements with the demands of the major upgrade projects and rebuilding its personnel numbers through the RNZAF Personnel Recovery Management Plan (PRMP). Key Priorities 3 Attracting the right number of direct entry recruits continues to be a challenge in some specialisations and trades, but recruiting techniques and methodologies have been enhanced and modernised. The reenlistment process of ex-service persons within New Zealand continues to achieve good results, as does the UK recruitment project. The annual attrition rate is around 8%. The RNZAF continues to provide support to the MoD for the acquisition programmes associated with the introduction into service of the upgraded P-3K2 Orion, C-130 Hercules, and modified Boeing aircraft by providing personnel to staff resident project teams in the United States and Canada. RNZAF planning for the modified aircrafts introduction into service continued during the reporting period. The first Boeing 757 aircraft is currently undergoing conversion to a freight/passenger configuration during the period March 2007 to October 2007 and the second will undergo conversion between August 2007 to February Contingency plans for the provision of airlift are in place while both aircraft are out of service for the conversion. The RNZAF also provided advice on the functional requirements for self-protection systems for each of the C-130 and P-3K2 aircraft. The $21.2 million project to upgrade the self protection system fitted to the C-130 Hercules aircraft will be completed as part of the life extension project. The RNZAF contributed to the Ministry of Fisheries Short Range Maritime Patrol (SRMP) project. Nevertheless, the subsequent Cabinet paper was withdrawn. The RNZAF also provided advice on options for the provision of advanced pilot training aircraft on expiry of the leasing arrangements for the current King Air B200 fleet. 51

52 NEW ZEALAND DEFENCE FORCE Consolidation of the Air Force at Ohakea Beca Carter Hollings and Ferner Ltd. has been commissioned as the prime consultant to assist the NZDF in developing the necessary infrastructure. This involves development of a base master plan, preliminary designs, a manageable construction programme and improved cost estimates for over thirty separate building and infrastructure sub-projects. An interim report was provided to the Minister in April 2007, with a full report to Cabinet scheduled for this year. Improvised Explosive Device Disposal [IEDD] and Chemical and Biological Response [CBR] Organisation Most equipment has been purchased and is being introduced into service. Construction of facilities is underway, however, providing a comprehensive capability with fully trained personnel will take some time. Alliance and Relationship Management with our Key Partners During the year there have been a number of successful bilateral defence visits, political/military talks and security discussions with key partners in the region and globally. The Chief of Defence Force of Singapore, the Chief of Defence Force of Malaysia, the United Kingdom Chief of General Staff, the Vice Chairman of the Chinese Central Military Commission, the Japanese Chief of Staff of the Maritime Self Defence Force, the Deputy Chief of Staff of the United Nations Commission in Korea and the Chief of Defence Force of Qatar visited during 2006/07. Bilateral discussions with Australia, Singapore, Malaysia, Japan, South Korea, the UK and Canada have also taken place this year. 3 Key Priorities In addition to attending the Chiefs of Defence Staff meeting in Malaysia and the unveiling of the New Zealand memorial in London, the Chief of Defence Force visited Australia, China, Afghanistan and the Middle East during the year. Other senior NZDF officers made a number of defence diplomacy visits including to Australia, Singapore, Malaysia, the US, Canada, Brunei, Republic of Korea, Indonesia, Viet Nam, Niue, Cook Islands, Samoa, Solomon Islands, Tonga and the Middle East. NZDF personnel and assets, including HMNZ ships Te Mana and Te Kaha, and P-3K Orions, participated in exercises and conducted diplomacy visits both within our region and Australia, Singapore, Malaysia, Philippines, Viet Nam, Brunei, Samoa, New Caledonia, and further afield in, Japan, South Korea, China (Hong Kong), India, Sri Lanka, Canada, and the UK. Ministerial and Cabinet submissions have been prepared in respect to Operation Enduring Freedom and a range of other deployments including the UN missions in Lebanon, Sudan, Kosovo, and Iraq. Defence has been working closely with MFAT on coordinating policy approaches to a range of Pacific issues particularly our commitments to the Solomon Islands (RAMSI) and the international security force in Timor Leste. Military coups in Thailand and Fiji resulted in the suspension of bilateral activities with their respective Defence Forces. The various Australia New Zealand working groups have met throughout the year and reported to the ANZ Defence Coordinating Group meetings in November 2006 and May 2007 ahead of the annual ANZ Consultative Committee and Ministerial Meetings to be held in July. A range of MAP talks with our partners in Asia and the Pacific were conducted throughout the year. Defence has been represented at the annual round of ASEAN Regional Forum (ARF) meetings including the annual Security Policy Conference. The NZDF hosted the annual Quadrilateral Coordination Talks that saw participants from the US, Australia, New Zealand and France convene to discuss their respective military assistance programmes in the Pacific. Defence also attended the Operational Experts Group meetings of the Proliferation Security Initiative (PSI) and chaired the meeting hosted by New Zealand in Auckland in March. Defence representatives also took part in a large multinational PSI table-top exercise hosted by the US in June. 52 NEW ZEALAND DEFENCE FORCE

53 Key Priority 2: The Strengthening and Development of the NZDF s Organisational Capability Targets: The main action steps of this KP are: Finalise the development of and implement the government s direction for the recovery and regeneration of the NZDF in accordance with the DSI, including the active management of Defence funding to ensure the range of fiscal pressures are kept within the Defence allocation. Continue the comprehensive review of the military justice system. Complete the NZDF information management framework and implement phase one of the NZDF knowledge management framework. Monitor the implementation of the human resources strategic plan. Complete a draft NZDF footprint review and corporate real estate strategy. Complete and implement the Defence housing and accommodation assistance project. Implement the Joint Logistics Support Organisation. Implement a NZDF professional development framework. Continue to explore and implement information sharing processes between the NZDF and MoD. Continue to implement a programme of initiatives to raise and enhance internal and external awareness of the NZDF s role and capabilities. Performance: The achievements of specific projects under the main headings above are as follows: Recovery and Regeneration of the NZDF The management of the DSI programme, including the implementation phase, was migrated to business as usual from 1 July Progress of DSI initiatives are monitored and reported monthly to the ELT. A progress report on the DSI was forwarded to the Minister of Defence in December Separately, Cabinet has requested a review of DSI. Implementation of the new headquarters and governance structure occurred during the reporting period. Reviews identified during the DSI implementation phase are being progressively completed. Key Priorities 3 The development of a full NZDF Strategic Plan was completed in February 2007 in time for the corporate planning process for the 2007/08 financial year and beyond. This provides guidance for all subordinate strategic planning and for annual planning and budgeting. It sits within the wider architecture of the Defence Planning Framework and provides the measurement framework, via the NZDF Balanced Score Card, for corporate level reporting of progress against strategic objectives. These objectives are supported by annually updated strategic initiatives. The Defence Performance Management System, which aligns the requirements of the Strategic Plan and Output Plan, was further developed with the addition of tier reporting. The upper level will support the ELT in making decisions to ensure strategic goals will be met and inform the balanced scorecard. Lower level reporting tiers will be used as a management tool to enable unit commanders to improve unit performance and to provide data and information to ensure more alignment and transparency in decision making. The NZDF uses a Project Reporting System [PRS] to manage its capability projects. The programme monitoring and reporting group is staffed and active in providing strategic oversight of projects. A project document review has been completed and a project monitoring framework is being developed, including enhancements to the PRS. Review of Military Justice System Since the end of 2002, the NZDF has been conducting a comprehensive review of the military justice system to ensure its consistency with the New Zealand Bill of Rights Act 1990 while preserving the vital elements of the system; namely focus on the maintenance of discipline, consistency in all strategic environments, portability, expedition, fairness, efficiency and simplicity. During the period of this report the Armed Forces Law Reform Bill was introduced and read a first time in the House of Representatives. This Bill is the primary legislative vehicle for the reforms identified as necessary by the review. At the time of writing, the Bill is currently being considered by the Foreign Affairs, Defence and Trade select committee. 53

54 NEW ZEALAND DEFENCE FORCE Complete the NZDF Information Management Framework The knowledge management framework template has been completed and implementation of the consequential project management plan for information management and exploitation is underway. Monitor the Implementation of the Human Resources Strategic Plan A wide-range of initiatives have commenced as part of the implementation of the HR strategic plan. Information gathering tools have been revised to enhance understanding of antecedents to turnover and improve monitoring and reporting. Efforts are being targeted in key areas including leadership and career management to gain and maintain employee engagement. Workforce planners have been working collaboratively to develop an agreed model for identifying groups of highest risk to the delivery of capability. A survey of the potential recruit pool to develop an understanding of what potential recruits are looking for when making job and career choices and that the NZDF matches those expectations has been completed. This information is being used to develop an Employment Positioning Strategy to ensure that the NZDF is appropriately positioned to attract the right number of the right recruits into the future. At the time of writing progression of initiatives to support the development of a HR Performance Management System continues. The on-line reporting tool is ready for trial and roll out as part of the new Defence Kiosk application. A revised civil staff performance management system has been developed and a new policy for civilian performance management implemented. Efforts to enhance workforce well-being, force readiness and preservation continue. A Defence-wide accident and reporting system is currently being rolled out. A scoping strategy for a review of NZDF Remuneration has been developed. Civil staff employment agreements have been revised and implemented and work has begun on the development of a revised pay structure. An overarching Equity Strategy has been developed. A Territorial Force Strategic Plan is being developed within the new Directorate of Reserve Forces. 3 Key Priorities Complete a Draft NZDF Footprint Review and Corporate Real Estate Strategy The corporate real estate strategic plan has been developed. A project team has been established to commence the plan s delivery strategy. Strategic infrastructure plans for Devonport Naval Base and Waiouru Army Training Group have been incorporated into the strategic plan where practicable. Draft 10-year operating and capital funding plans for the development and maintenance of the estate were completed and reviewed to identify funding gaps. Complete the Development and Implementation of the Defence Housing and Accommodation Assistance Policy Core aspects of the policy have been identified and a transition strategy is being developed. Implement the Joint Logistic Support Organisation During the reporting period, the Joint Logistic Support Organisation was formally established and is now providing service delivery. The JLSO will continue its examination of major supplier relationships and key operational support functions to identify future cost savings. Options for review include commercial line vehicle management, catering services, telecommunications usage and software licensing. Implement a NZDF Professional Development Framework Project This project aims to identify the components of a high quality professional development system for NZDF personnel. A draft framework was developed and this is being refined to provide a more holistic approach. NZDF/MoD Information Sharing The MoD is the NZDF s key partner in implementing the government s defence policy. There are formal and informal arrangements in place to ensure opportunities for information sharing are exploited. Information sharing between the NZDF and the MoD has been improved with joint access to a secure and non-secure wide area network. The Strategic Coordination Group continues to meet regularly to identify and coordinate issues of mutual interest. The newly formed Strategic Capability Analysis Directorate within the MoD and the Corporate Planning Branch within the NZDF also work closely together. Awareness of NZDF s Role and Capabilities The New Zealand Defence Public Relations Unit provided issue management, PR co-ordination, media liaison, editorial services and audiovisual and design support across a variety of activities, events, and incidents involving all Services, both within New Zealand and overseas. 54 NEW ZEALAND DEFENCE FORCE

55 Key Priorities 3 55

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57 4 NZDF Statement of Service Performance Military Capability The annual outputs of the NZDF fall into two categories: performing predictable or routine tasks, such as providing policy advice or continuing to support existing peace support operations; and maintaining an ability to respond to unknown future security events. The latter preparedness requirement is specified in the NZDF Output Plan by detailing the level of military capability that must be maintained against the five Employment Contexts (ECs), depicted in Section 2 of this Report. These ECs identify representative security events that would pose a threat to New Zealand s national security outcomes, and to which the government would expect to provide a military response. The ECs provide the guidance to determine the Operational Level of Capability (OLOC) required to conduct such military tasks effectively and safely. Because of the high costs of maintaining OLOC, the NZDF is funded to routinely maintain a lower Directed Level of Capability (DLOC). This allows force elements to be raised to OLOC within specified warning times, before being deployed on operations. Raising forces to OLOC generally includes additional training and personnel preparation appropriate to the environment and task, additional equipment maintenance, any necessary upgrades to military equipment, and logistic support planning. Extra costs for OLOC generation and operational deployments are covered either by offsets within the existing vote (for example where operational tasks fulfil some of the routine DLOC training requirements); or by supplementary funding under Output Expense 16, Operationally Deployed Forces. Performance Measurement The following performance measurement is applicable to Output Expenses 2 to 14. Specific output performance measures are provided with Output Expenses 1, 15 and 16. Assessment of Output Performance by the Ministry of Defence The Evaluation Division of the Ministry of Defence confirms that the output specifications are consistent with Defence policy and examines whether the outputs are being delivered in the quantity and quality that meets policy objectives. Policy validation is available from current strategic guidance, existing Defence policy and Service documentation relevant to the Force Element. A detailed measurement system is used to assess whether force elements are fully, substantially, partially or not prepared. Assessment of Output Performance by the NZDF The NZDF evaluates military capability through the NZDF Operational Preparedness Reporting System (OPRES). Output delivery is evaluated in both quantity (force structure) and quality (preparedness) terms with emphasis being on the quality dimension. The OPRES reporting regime includes Biannual Operational Preparedness Reports, Quarterly Reports to the Minister of Defence and Special Reports on a change of preparedness state. Where appropriate and practicable, operational service performance evaluation will be conducted by external agencies, e.g. by Allied Forces. Operational commanders also draw on a range of routine inspections and other activities. The standards to be achieved are detailed in the applicable directive or instruction, but generally a 90 per cent or better achievement rate is expected. Statement of Service Performance 4 Measurement Areas The quality dimension is assessed against the Force Element s preparedness to perform in four Key Measurement Areas (KMAs): Readiness, Combat Viability, Deployability and Sustainability. The objective for each force is to achieve a P1 assessment (fully prepared at the required level of capability) in each of the four KMAs used to measure military preparedness. 57

58 NEW ZEALAND DEFENCE FORCE Measures The three Services have separate but similar Key Performance Indicators (KPIs). Indicative KPIs and performance measures used to quantify performance in achieving preparedness relative to DLOC are contained in the NZDF OPRES Directive. Each Force Element is assessed against: Readiness having completed the required individual and unit training to bring it to a state where the force can complete final preparation within the designated Response Time for applicable Employment Contexts. This requires each Force or Force Element to conduct a programme of readiness training against Mission Essential Tasks for the applicable Employment Contexts in accordance with Service Directives and Training Instructions. Combat Viability the in theatre ability to achieve its military tasks for applicable Employment Contexts using current resources. This is assessed with reference to collective proficiency and equipment condition in accordance with the operational readiness criteria statement. Deployability capable of reaching the OLOC (OLOC generation) and completing final preparation for appropriate Employment Contexts, thereby becoming available for deployment. This requires extra readiness training and stores in accordance with the appropriate operational readiness criteria statement. Sustainability with personnel and resources available for the sustainment/ rotation of deployed elements for a given period of operations, in accordance with the appropriate operational readiness criteria statement. Assessment of Output Performance by the Office of the Controller and Auditor General The role of the Office of the Controller and Auditor General (Audit New Zealand) is to audit the NZDF s Statement of Service Performance and to express an independent opinion as to whether it fairly reflects the NZDF s service performance achievements in relation to performance targets set out in the annual NZDF Statement of Intent and Output Plan. 4 Statement of Service Performance 58 NEW ZEALAND DEFENCE FORCE

59 Output Expense 1: Military Policy Development, Coordination and Advice Output Expense Components Provide military advice to the Minister of Defence on: New Zealand s defence interests (including intelligence); military options for safeguarding and advancing New Zealand s security interests; military options available for contributions to collective and regional security; and advice on the military capabilities required to meet the Government s defence policy objectives and to support its defence strategy. Outputs Within Output Expense 1 Output 1.1: Collection, Collation, and Dissemination of Military Intelligence The collection, collation and dissemination of military intelligence on areas of interest to New Zealand and as specified in the NZDF Intelligence Plan. Output 1.2: Development and Production of Military Policy The development and production of military policy and the provision of military advice to the Minister of Defence. Output 1.3: Operational Military Policy Advice The provision of advice on operational military policy to the Minister of Defence. Output 1.4: Ministerial Correspondence and Parliamentary Questions Draft responses to Ministerial Correspondence, to requests under the Official Information Act and to Parliamentary and other questions on behalf of the Minister, including Ombudsmen correspondence. Below: Headquarters New Zealand Defence Force Statement of Service Performance 4 59

60 NEW ZEALAND DEFENCE FORCE Performance Output performance will be measured by the degree of satisfaction expressed by the Minister, or by the appropriate committee or agency against the seven characteristics of quality advice: Purpose, Logic, Accuracy, Options, Consultation, Practicality and Presentation. 95% of the first drafts of all policy papers accepted by the Minister. 90% of all other responses accepted without amendment. The aim is the provision of a comprehensive service: the capacity to react urgently; the regular evaluation of military policy for effectiveness in achieving required outcomes and timely briefings on significant issues; and support for the Minister as required in Cabinet Committees, Select Committees and in the House. 4 Statement of Service Performance Targets Performance Achieved Quantity The number of occasions that the Minister will seek advice, or the CDF feels the need to offer it, will depend on a range of external and internal factors beyond the control of the NZDF. The anticipated range of key written submissions includes: Statutory Reports to Parliament: 2 2 (Annual Report and Statement of Intent) Submissions to Cabinet: (includes 39 in conjunction with MoD) Reports and Briefing Papers: (includes 86 in conjunction with MoD) Ministerial Correspondence 237 (includes 17 requests under the Official ( Ministerials ): Information Act) Parliamentary Questions : Select Committee Reports: 5 10 None Required Select Committee (FAD&T and F&E) Questions : Oral Briefs: Numerous Numerous Intelligence products will include an Annual Strategic Annual Strategic Assessment 0 Assessment, Quarterly Strategic Intelligence Survey, routine Intelligence Estimates and Summaries Annual Report 1 and regular briefings. Military Intelligence Notes, Intelligence Summaries 50 Indications and Warning Notices, and special Contributions to National Assessment briefings will be provided as necessary when new Papers 54 situations develop. In addition, the NZDF seconds intelligence personnel to various Government Contributions to Foreign Intelligence agencies. Requirements Committee Papers 4 Note: During the reporting period, there has been a Intelligence Reports 79 review of the quantity specifications for intelligence and security products. As a consequence, some of the above Military Threat Assessments 17 products have been rationalised, as shown and reported Security Surveys 12 opposite. Security Inspections 19 Security Threat Assessments 4 On-demand oral briefs and debriefs 199 Quality All reports and oral advice will be delivered within the agreed or statutory time frame. 95% of Ministerials will be provided within 20 days of receipt of request. 95% of Parliamentary Questions for Written Answer will be provided by due date. 86% of draft replies to Ministerial Correspondence were provided within 20 working days of receipt. The NZDF also responded to 99 non-ministerial OIA requests during FY 2006/07. 57% of draft replies to Parliamentary Questions were provided within five working days. The on-time performance by Quarter was 100%, 93%, 51% and 45%. Performance was affected during the third quarter by a surge of Parliamentary Questions (284), and in the fourth quarter by 151 FAD&T questions. 1 Parliamentary Questions include Questions for Written Answer and Questions for Oral Answer. 2 The Select Committee Questions from the Foreign Affairs, Defence and Trade (FAD&T) and Finance and Expenditure Committees (F&E) relate mainly to the Defence Force Estimates of Appropriations and the NZDF Annual Report. 60 NEW ZEALAND DEFENCE FORCE

61 Targets 95% of replies to Parliamentary Questions for Oral Answer will be provided by midday on that day that the reply is due in the House. The aim of the advice will be clearly stated and it will answer the questions set; the assumptions behind the advice will be explicit and the argument logical and supported by the facts; the facts provided will be accurate and all material facts will be included; an adequate range of options will be presented and the benefits, costs and consequences of each option to the Government will be assessed; other Government agencies and affected parties will be consulted and possible objections to proposals will be identified; and the problems of implementation, technical feasibility, timing and consistency with other policies will have been considered. The format will meet Cabinet Office requirements; the material will be effectively, concisely and clearly presented and will be free of spelling or grammatical errors; replies within 20 days of request, if not otherwise specified; and intelligence documents will follow agreed international formats. 95% of the first drafts of all policy papers accepted by the Minister. 90% of all other responses accepted without amendment. Performance Achieved 100% of replies to Parliamentary Questions for Oral Answer were provided by midday on that day that the reply is due in the House. The NZDF was able to supply suitable officers when required to brief the Minister for responses to all Oral Questions. There were no submissions returned due to the target criteria not being met. Formats complied with Cabinet Office requirements and were only re-presented when further information was provided by other departments after Ministerial consultation had taken place. 98% of first drafts were accepted by the Minister in accordance with the seven characteristics of quality advice. 94% of all responses were accepted without amendment in accordance with the seven characteristics of quality advice. Costs for Output Expense 1 (GST Exclusive) 2005/06 ($ million) Category Main Estimates ($ million) Supplementary Estimates ($ million) 2006/07 ($ million) Expenditure Personnel Operating Depreciation Capital Charge Total Expenses Revenue Revenue Crown Revenue Other Total Revenue Net Surplus (Deficit) Cost by Output Output Output Output Output Statement of Service Performance 4 61

62 NEW ZEALAND DEFENCE FORCE Output Expense 2: Naval Combat Forces Output Expense Components Provide Naval Combat Forces prepared for the conduct of maritime operations under Employment Contexts 1, 2, 3, 4, and 5. (For details on Employment Contexts, see Section 2). Overview The Naval Combat Force (NCF) comprises two ANZAC Class Frigates (HMNZS Te Kaha and HMNZS Te Mana) and five SH-2G Super Seasprite helicopters. The ANZACs, with embarked helicopters, are able to operate in New Zealand and around the world. They have a wide range of combat capabilities and communications capacity that enable them to participate in multi-national coalition operations and contribute towards the high end of the spectrum of operations. The principal role of the ANZACs is to conduct military tasks in support of the government s regional and international security objectives. They are able to contribute to the protection of New Zealand/Australian territorial sovereignty, to participate in FPDA activities in Singapore/Malaysia, support defence diplomacy objectives in bi-lateral and multi-lateral regional frameworks, and undertake operations in the Asia-Pacific region and beyond. A project has been included within the LTDP to ensure that the ANZAC frigates retain a credible military capability into the future. Highlights 4 Statement of Service Performance During the reporting period, the Naval Combat Force: provided support to multi-agency operations and tasking; took part in the Western Pacific Naval Symposium activity IMDEX and WMSX in Singapore; participated in the FPDA exercises Bersama Shield 07 and Bersama Padu; undertook a range of bilateral exercises with India, Singapore and Malaysia; conducted cooperative training with the ADF in support of Closer Defence Relations; carried out Defence Diplomacy activities in Japan, Korea, China, Malaysia, Singapore and India; and made the first visit by an RNZN ship to Port Blair in the Andaman Islands. Below: Checking damage control breathing apparatus on board HMNZS Te Kaha Above: Transferring ammunition from HMNZS Te Mana 62 NEW ZEALAND DEFENCE FORCE

63 Performance Performance measurement for this Output Expense is in accordance with the standard measures for operational force outputs shown earlier in this Section. Targets Two frigates each with embarked Seasprite helicopter 1, as required, available for military tasks. One frigate to be available for regional or collective security tasks and the second frigate to be available to deal with low-level security challenges in New Zealand or South Pacific waters. Crews at manning levels as specified in the RNZN Personnel States Equipment types, numbers and spares at the required configuration state, as represented in the configuration master database. Planned sea-days are: HMNZS Te Kaha will be mission available for 230 days, of which 141 to 161 will be at sea. HMNZS Te Mana will be mission available for 230 days, of which 131 to 151 will be at sea. Quantity Performance Achieved The required frigates were available, with embarked SH-2G Super Seasprite helicopters, throughout the reporting period for regional or collective security tasks and low-level security challenges in New Zealand or South Pacific waters. As reported last year, shortages in key positions and branches, particularly Aircrew, Bridge Watchkeeping and Warfare Officers, technicians and some Operations Branch personnel, continue to provide challenges in manning the NCF. Careful HR management will be required to keep the NCF fully mission capable; albeit only manned to an average of 97% of the established personnel level. The priority afforded to the ships has meant that shore posts in Auckland and Wellington continue to be staffed to around 75 80% of their established level. The number of trained Helicopter Crewmen, Helicopter Air Controllers, Anti Submarine Air Controllers and Flight Deck Officers still remains lower than required. An improvement across all personnel areas in meeting recruiting and retention targets is continuing as remedial strategies start to have the expected effect. Nevertheless, training personnel to the required standards is a lengthy process and it will be some time before required staffing levels are fully met. In some areas there is still a major concern and this may have an effect on some trades in the next 18 months. Current equipment and stores support is being maintained as specified in the Master Equipment Index and Consolidated Onboard Stores Listing and is suitable for the tasks conducted. Equipment obsolescence is being addressed as an integral part of the LTDP and the NZDF Minor Capital programme. There is still some operational and logistic risk being carried across the ANZAC Class and the shore infrastructure. However, plans are in place to mitigate these risks. The equipment types and availability of stores support did not preclude the NCF from achieving the required operational outputs. HMNZS Te Kaha was mission available for 260 days and achieved 139 sea days. HMNZS Te Mana was mission available for 216 days and achieved 151 sea days. Statement of Service Performance 4 Readiness: Frigates that meet the DLOC readiness criteria in accordance with Schedule 4 to the NZDF Output Plan. Quality The DLOC responsibilities were shared by the Naval Support Force (HMNZS Endeavour) and the DLOC criteria was met. 1 Details on the Seasprite helicopters are recorded under Output Expense 11: Naval Helicopter Forces. 63

64 NEW ZEALAND DEFENCE FORCE 4 Statement of Service Performance Targets Frigates carry out a range of training activities in accordance with the NZDF Exercise Activity Schedule (EAS), and the New Zealand Book of Reference (NZBR) 99 (RNZN Operational Sea Training Instructions) to achieve DLOC. Note: The Master Activity Schedule (MAS) referred to in the 2006 SOI has now been renamed the Exercise Activity Schedule (EAS). Combat Viability: Personnel that meet the collective training standards, experience levels, individual experience and competency requirements for military tasks. Equipment performance, reliability and technology that meet required standards for commitment to military tasks. Performance Achieved During the reporting period, HMNZS Te Kaha participated in Exercise Lion Zeal with Singapore and deployed to North and South East Asia via the Pacific Ocean. The ship subsequently deployed to Singapore for the FPDA exercise Bersama Padu. HMNZS Te Kaha also participated in the Australian bilateral anti-submarine warfare training exercise Aswex. In early 2007 HMNZS Te Kaha assisted HMNZS Te Mana with her DLOC generation and work up evaluation during the bilateral Australian/New Zealand exercise Tasmanex. These exercises were conducted in Australia and provided significant opportunities for, and improved interoperability between, the two Navies. HMNZS Te Mana commenced the year in Northern Australia returning back to New Zealand in late July In early 2007 HMNZS Te Mana commenced her DLOC generation and work up evaluation whilst also participating in the bilateral New Zealand/ Australia exercises Tasmanex. This exercise provided significant opportunities for improved interoperability with the RAN. HMNZS Te Mana also deployed to South East Asia to participate in FPDA exercise Bersama Shield 07, the bi-lateral exercise Lion Zeal with Singapore and the Singapore sponsored Western Pacific Naval Symposium activity IMDEX and WMSX (during which the ship supported an official visit by the Chief of Navy). She then conducted Defence Diplomacy visits to Singapore, Malaysia, India and Singapore before returning to NZ via the Eastern Australian ports of Cairns and Sydney. The Maritime Operational Evaluation Team (MOET) coordinated and assessed all DLOC training with the two frigates and confirmed the ships were at the required level of DLOC capability. These were validated by a MOET assessment at various times of the year for each unit. The required standard for collective training standards, experience levels and qualification requirements for military tasks and continuation training in core competencies has been met. Required standards were met. Participation in bilateral and regional exercises has brought about improvements in command and control functions, which have in turn led to an increased interoperability within a coalition context. The Self Defence Upgrade (SDU) and Platform System Upgrade (PSU) projects in the LTDP are critical to continued combat viability. The SH-2G Seasprite has effectively proved its range of capabilities during embarked operations and provided an effective asset to the frigates capabilities. The current Ship Helicopter Operating Limits place constraints on night flying operations. Plans are in place to resolve the operational limitations this has created. 64 NEW ZEALAND DEFENCE FORCE

65 Targets Effective interoperability when working with friendly forces. Deployability: Frigates capable of generating OLOC within designated response times, as specified in Schedule 4 to the NZDF Output Plan. Stores and provisions embarked to allow tasking. Materiel state satisfactory to permit tasking. Personnel state satisfactory to permit tasking. Sustainability: Munitions available, as specified in the Warrant of Armament Stores to maintain OLOC for the designated operational viability period (OVP). Fuel, stores and provisions available to maintain OLOC for the designated OVP. Personnel available for sustainment/ rotation of crews. Performance Achieved Interoperability has been proven during FPDA regional and bilateral exercises with the RAN. The RNZN has long had a close bilateral association with the Republic of Singapore Navy and this year has continued a similar relationship with the Royal Malaysian Navy. Both frigates were maintained at the required DLOC and were capable of generating OLOC for any assigned mission within Schedule 4. Stores and provisions were embarked to allow tasking. Material state was satisfactory to allow tasking. The personnel state was satisfactory to permit tasking. The training system continues to produce sufficient replacement personnel to sustain the frigates on-task; although this capacity remains fragile in some key areas and has impacted on some support functions ashore. Whilst there are some risks with respect to the sustainability of munitions, the current levels of munitions enabled the Naval Combat Forces to achieve OLOC for the OVP. Fuel, stores and provisions were available to maintain OLOC for the designated OVP. Personnel were available for sustainment/rotation of crews. The training system continues to produce sufficient replacement personnel to sustain the frigates on-task; although the capacity to sustain this remains fragile in some key areas and has impacted on some support functions ashore. Contribution to Services Provided to Government and the Community A consolidated NZDF summary of the availability to provide services to the Government and community, and of services provided during the year, is shown at the end of this Section. Costs for Output Expense 2 (GST Exclusive) 2005/06 ($ million) Category Main Estimates ($ million) Supplementary Estimates ($ million) 2006/07 ($ million) Expenditure Personnel Operating Depreciation Capital Charge Total Expenses Revenue Revenue Crown Revenue Other Total Revenue (0.275) Net Surplus (Deficit) (5.306) Statement of Service Performance 4 65

66 NEW ZEALAND DEFENCE FORCE Output Expense 3: Naval Support Forces Output Expense Components Provide a Replenishment Ship and a Multi-Role Vessel (MRV) prepared for the conduct of maritime logistic support and amphibious sealift operations for under Employment Contexts 1, 2, 3, 4, and 5. (For details on Employment Contexts see Section 2.) Outputs Within Output Expense 3 Output 3.1: Replenishment Forces The provision of the Fleet Replenishment Ship (HMNZS Endeavour) prepared to conduct operational and maritime logistic support for deployed military forces. This output also includes contributions by the Replenishment Forces to some community services when not committed to operations. Output 3.2: Amphibious Sealift Forces The provision of a Multi-Role Vessel (HMNZS Canterbury) prepared to conduct amphibious sealift operations for deployed military forces. This output also includes contributions by the MRV to some community services when not committed to operations. Overview The MRV HMNZS Canterbury was commissioned into RNZN service on 12 June 2007, and up until this date, the Naval Support Force (NSF) consisted of the replenishment tanker, HMNZS Endeavour. The ship s primary role is to provide fuel to the RNZN frigates or other allied naval ships. It is also capable of providing other logistics support such as food and stores. 4 Statement of Service Performance In addition to supporting the deployment of the Naval Combat Force, HMNZS Endeavour has provided support for two major combined exercises in South East Asian waters, Exercises Bersama Shield 07 and Lion Zeal, whilst participating in the Anti Submarine Warfare Exercise and providing support to the Principal Warfare Officers sea week. Highlights HMNZS Canterbury being commissioned into RNZN service and her first visit to her port of association Lyttelton. HMNZS Endeavour deployed to South East Asia in company with HMNZS Te Kaha returning to NZ via Western Australia for the first half of the reporting year. A leave period over Christmas was followed by a maintenance period before deploying to South East Asia for the last quarter of the reporting period in company with HMNZS Te Mana. Below: HMNZS Endeavour [right] along side HMNZS Te Kaha during a visit to Japan Above: Engine room of HMNZS Endeavour 66 NEW ZEALAND DEFENCE FORCE

67 Performance Performance measurement for this Output Expense relates to HMNZS Endeavour and is in accordance with the standard measures for operational force outputs shown earlier in this Section. The new MRV, HMNZS Canterbury, was commissioned into naval service on 12 June 2007 and has commenced an introduction into service and capability development programme. Due to the delay in its delivery, HMNZS Canterbury was mission available for 19 days and spent only 13 days at sea and has therefore been excluded from this performance assessment. Targets HMNZS Endeavour available for military tasks. The MRV, with embarked Seasprite helicopter, as required, will be available for military tasks once commissioned and accepted into service. (It is expected that the complete amphibious sealift capability of the MRV will not be realised until FY 2008/09). Crews at manning levels as specified by RNZN Personnel States. Equipment types, numbers and spares at the required configuration state, as represented in the configuration master database. The Naval Support Forces, the Replenishment Ship and in particular the MRV (when commissioned), will be involved in MAO&T. HMNZS Endeavour will be mission available for 230 days, of which 140 to 160 days will be at sea. The MRV will be mission available for 154 days, of which 95 to 115 days will be at sea. 1 Readiness: Replenishment ship and MRV that meet DLOC readiness criteria in accordance with Schedule 4 to the NZDF Output Plan. Ships carry out a range of training activities in accordance with the NZDF Exercise Activity Schedule, and the NZBR 99 (RNZN Operational Sea Training Instructions) to achieve DLOC. Combat Viability: Personnel that meet the collective training standards, experience levels, individual experience and competency requirements for military tasks. Equipment performance, reliability and technology that meet required standards for commitment to military tasks. Performance Achieved Quantity With the exception of a period of programmed maintenance, the ship was available to support all military tasks throughout the reporting period. The new MRV, HMNZS Canterbury, was commissioned into naval service on 12 June 2007, and at the time of writing is undergoing an introduction into service period. HMNZS Endeavour continues to be staffed to 91% of the Funded Personnel Level consistent with the ship s employment throughout the period. Key manning areas affected by lower levels of manning remain for GLX Watchkeeping Officers and Seaman Combat Specialists at the Leading Hand level. Provision of equipment and spares has been in accordance with the prescribed scale of supply suitable to achieve readiness targets. HMNZS Endeavour was involved in MAO&T while the ship conducted other activities inside the EEZ. HMNZS Endeavour was mission available for 289 days and spent 183 days at sea. The reason for the increased days being delivered was due to taking advantage of a training opportunity and Endeavour remaining at sea for an exercise and the RAN requesting a tanker remain available. Quality HMNZS Endeavour s DLOC readiness was maintained from the external evaluation in the previous FY, through this FY with a high level of exercise participation and time in company with foreign ships. HMNZS Endeavour was able to maintain DLOC status for the first half of the reporting period by participating in a number of major warfare exercises, providing support for major combined exercises in Australian waters and a high level of in company time. In the second half of the reporting period HMNZS Endeavour was in a planned major maintenance period followed by a post maintenance availability period including trials and a further deployment to South East Asia. HMNZS Endeavour s personnel state continued to be sufficient to enable the ship to achieve its assigned tasks. Nevertheless, levels of training, rank and experience have varied from the established levels. The equipment performance and reliability has seen HMNZS Endeavour fully prepared for all tasks. Statement of Service Performance 4 1 Until the MRV has been accepted into service, the NZDF s sealift capability will be by charter. 67

68 NEW ZEALAND DEFENCE FORCE Targets Effective interoperability when working with friendly forces. Deployability: Replenishment ship and MRV capable of generating OLOC within designated response time as specified in Schedule 4 to the NZDF Output Plan. Stores and provisions embarked to allow for tasking. Materiel state satisfactory to permit tasking. Personnel state satisfactory to permit tasking. Sustainability: Munitions available, as specified in the Warrant of Armament Stores, to maintain OLOC for the designated operational viability period (OVP). Fuel, stores and provisions available to maintain OLOC for the designated OVP. Personnel available for sustainment/rotation. Performance Achieved Interoperability was achieved and demonstrated to external agencies in exercises with RAN units. Communications interoperability requirements with Allied and national forces have provided some areas for improvement. With the exception of a period of programmed maintenance, OLOC generation was possible throughout the reporting period as required for HMNZS Endeavour. HMNZS Endeavour continued to maintain a full stores and provisions scale of allowance throughout the reporting period. There were no OLOC stores related shortfalls. HMNZS Endeavour continued to maintain a full materiel scale throughout the reporting period. There were no OLOC munitions related shortfalls. Personnel were available, however, any risk around shortfalls in key personnel areas continued to be managed. Munitions were available to maintain OLOC for the OVP. Fuel, stores and provisions were available to maintain OLOC for the designated OVP. Personnel were available, however, any risk around shortfalls in key personnel areas continued to be managed. 4 Statement of Service Performance Contribution to Services Provided to Government and the Community A consolidated NZDF summary of the availability to provide services to the government and community, and of services provided during the year, is shown at the end of this Section. Costs for Output Expense 3 (GST Exclusive) 2005/06 ($ million) Category Main Estimates ($ million) Supplementary Estimates ($ million) 2006/07 2 ($ million) Expenditure Personnel Operating Depreciation Capital Charge Total Expenses Revenue Revenue Crown Revenue Other Total Revenue (0.498) Net Surplus (Deficit) Cost by Output Output Output Note that the expenses recorded against this Output Expense are for a full year for the Replenishment Ship (HMNZS Endeavour) and for part year for the MRV (HMNZS Canterbury). 68 NEW ZEALAND DEFENCE FORCE

69 Output Expense 4: Mine Countermeasure (MCM) and MCM Diving Forces Output Expense Components Provide MCM and Diving Forces for the conduct of mine countermeasure operations (Q route surveys and conditioning) under Employment Contexts 1 and 2, and further prepared to support MCM and independent diving tasks under Employment Contexts 3 to 5. (For details on Employment Contexts, see Section 2.) Outputs Within Output Expense 4 Output 4.1: MCM Forces The provision of the MCM Support Vessel prepared to conduct MCM operations and diving support. This output also includes contributions to some community services when not committed to operations. Output 4.2: MCM Diving Forces The provision of the Operational Diving Team (ODT), including two integral Explosive Ordnance Disposal (EOD)/Improvised Explosive Device Disposal (IEDD) Teams, prepared to classify and clear surveyed Q-Routes, and to conduct independent diving tasks such as clearance diving. Overview Mine Counter Measures The Interim MCM capability delivered the first flight of the REMUS Autonomous Underwater Vehicle (AUV) and the replacement Side Scan Sonar equipment in February Both weapons systems achieved Initial Operational Capability in March 2007 and are programmed to achieve full operational capability in August Delivery of the second REMUS flight is due in July 2007 with a forecast Full Operational Capability anticipated towards the end of Highlights Underwater Explosive Ordnance Disposal. In November 2006 ODT supported by HMNZS Manawanui joined with RAN MCM Forces to conduct Exercise Dugong. For the ODT in particular this exercise provided an opportunity to conduct underwater explosive disposal, a capability that cannot be fully achieved in NZ territorial waters due to the lack of an underwater range. Future participation is being addressed in order to maintain an underwater EOD capability. Maritime Combat Support Centre. In December 2006 the ODT relocated to the Maritime Combat Support Centre. Currently collocated with MCM and DHSU Force Element, the ODT is ideally placed to move forward with the other Force Elements in developing the Advanced Force Operations concept. REMUS Introduction Into Service. The RNZN REMUS weapons system participated in the TTCP sponsored MCM Interoperability Trial in Panama City in June 2007 and achieved impressive results in comparison to AUVs operated by other TTCP nations. Below: RNZN diver at work Statement of Service Performance 4 Above: HMNZS Manawanui 69

70 NEW ZEALAND DEFENCE FORCE The manning of the MCM capability remains fragile which prevents concurrent activity of more than one MCM weapon system. MCM Route Conditioning will continue to be conducted by the ODT using divers and hand held sonar until the Interim MCM Capability delivers on the Diver Reconnaissance System in The Remotely Operated Vehicle (ROV) is not designed as an MCM weapon system but can be used in water depths in excess of 50 metres to assist in the location of larger objects which may foul the established Q-Route. Diving The RNZN divers have a range of capabilities that allow them to perform a variety of tasks in both the land and maritime environments. During the reporting period for example, members of the ODT have been deployed to Afghanistan and Southern Lebanon to assist with Explosive Ordnance Disposal tasks. Whilst the ODT s primary role is in MCM operations, their diving skills enable them to contribute to a number of other operational activities such as Under Water Engineering, Search And Recovery, Underwater Force Protection and Beach Survey. Assistance is also provided to Other Government Departments in particular NZ Customs. HMNZS Manawanui is the primary diving support platform and is capable of multi-point mooring, to keep it directly over the diving area. It carries a wet diving bell and a recompression chamber and is capable of supporting MCM and other diving operations in New Zealand and overseas. HMNZS Kahu is the standby Diving Support vessel. It has less capability, but can carry a portable recompression chamber. It is capable of supporting MCM and other diving operations only in New Zealand. Performance 4 Statement of Service Performance Performance measurement for this Output Expense is in accordance with the standard measures for operational force outputs shown earlier in this Section. Targets MCM Support Vessel (HMNZS Manawanui) and Operational Diving Team available for military tasks. If HMNZS Manawanui is deployed outside New Zealand waters, HMNZS Kahu will undertake the tasks of the MCM Support Vessel on the New Zealand station. Crews at manning levels as specified by RNZN Personnel States. 1 Equipment types, numbers and spares at the required configuration state, as represented in the configuration master database. Quantity Performance Achieved All listed Force Elements were available for military tasks. The ODT remained below the RNZN Funded Personnel Level and it is presently at 55% of the established levels and only one of the two specified teams is manned. An increased recruiting drive to attract direct entry diver candidates is having some beneficial effects. Lateral recruiting successes from the UK Royal Navy combined with forecast graduates from the Operational Divers Course indicate that a second team may be manned by the end of 2008/09 but will not be fully operational for another months due to inexperience at the junior rate level. Provision of equipment and spares has been in accordance with the prescribed scale of supply suitable to achieve readiness targets, as specified in the Master Equipment Index and Consolidated Onboard Stores Listing. 1 Shortages of personnel mean that the second Diving Team (including its integral EOD/IEDD Team) will not be provided until about NEW ZEALAND DEFENCE FORCE

71 Targets HMNZS Manawanui will be mission available for 230 days, of which 152 to 172 days will be at sea. HMNZS Kahu will be mission available for 230 days, of which 149 days will be at sea. Performance Achieved HMNZS Manawanui was mission available for 233 days and spent 160 days at sea. HMNZS Kahu was mission available for 212 days and spent 121 days at sea. HMNZS Kahu availability was affected by sea conditions and unserviceability. The Diving Team will spend approximately 360 The Diving Team conducted 232 hours dive training. hours (target range hours) on operational The reason for the reduced hours figure was the dive training, including a Heliox work-up, and MCM lack of divers, marginal weather conditions which readiness training in diving techniques for the prevented diving during planned diving periods disposal of mines and other explosive devices. (The supported by a Diving Support Vessel and the diving hours refer to actual time in the water.) decrease in the numbers of contacts located by HMNZS Manawanui during Operation Orion (route survey). Current manpower challenges will constrain the achievement of this target until the second team can be generated. Quality Readiness: MCM Support Vessel and Operational Diving Team that meet specified DLOC readiness criteria in accordance with Schedule 4 to the NZDF Output Plan. MCM Support Vessel and Operational Diving Team carry out a range of training activities in accordance with the NZDF Exercise Activity Schedule (EAS) and the NZBR 99 (RNZN Operational Sea Training Instructions) to achieve DLOC. Combat Viability: Personnel that meet the collective training standards, experience levels, individual experience and competency requirements for military tasks. DLOC readiness criteria were met and training activities were conducted in accordance with NZBR 99 and MONICAR (the Navy s preparedness reporting system). The provision of an interim MCM evaluation capability (Diver Signature Evaluation System) was realised in April 2006 and this equipment was successfully showcased at the TTCP sponsored MCM Interoperability Trial in Panama City in June. The system is expected to be fully operational in late 2007, which will enable a more complete evaluation of ODT personnel and equipment capabilities and training effectiveness. The introduction into service of the Murena Exercise mines in early 2008 will further enhance the evaluation of divers, the REMUS weapons system, remote operated vehicle and Surface Combatants. As above. Personnel met the required standards. The removal of the MCM function from all but one of the IPCs is consistent with the transfer of the Navy s total MCM capability to the Regular Force (RF). With the introduction of the REMUS weapons system, the replacement Side Scan Sonar and the associated mission planning, mission execution and subsequent data analysis functions, there is very little redundancy within the RF or the RNZNVR to conduct concurrent operations The lack of trained manpower within the MCM functional area is of concern and alternative courses of action to remedy the situation are being explored. These include RNZNVR on a long term contract, the redeployment of personnel and lateral recruitment. The MONICAR system has been a useful tool in ensuring that the ODT met the required collective training standards. Statement of Service Performance 4 71

72 NEW ZEALAND DEFENCE FORCE 4 Statement of Service Performance Targets Equipment performance, reliability and technology that meet required standards for commitment to military tasks. Effective interoperability when working with friendly forces. Deployability: Ships and Diving Teams capable of generating OLOC within the designated response time in accordance with Schedule 4 to the NZDF Output Plan. Stores and provisions embarked to allow tasking. Material state satisfactory to permit tasking. Personnel state satisfactory to permit tasking. Sustainability: Munitions available, as specified in the Warrant of Armament Stores, to maintain OLOC for the designated operational viability period (OVP). Fuel, stores and provisions available to maintain OLOC for the OVP. Personnel available for sustainment/rotation. Performance Achieved These were met, however, the MCAIS equipment remains in a fragile state and concerns regarding its availability, reliability and maintainability are recognised. New equipment procured in the NZDF Capital programme is providing a more effective and credible MCM capability. Forecast procurements will significantly enhance the MCM capability which is in a growth defence area. Interoperability was tested during the WPNS DIVEX/MCMEX in Malaysia (Jun 2006), Exercise Bersama Padu in Malaysia (Sept 2006) and Exercise Dugong (Nov 2006). The MCM Project has engaged with other mine warfare communities and has also contributed to the development of a Rapid Environmental Assessment and Advanced Force Operations capability. Standardisation with friendly forces continues to be developed. No MCM force elements were required to generate OLOC during the reporting period. The personnel shortages and equipment deficiencies outlined above would have made concurrent full OLOC generation for all MCM Force Elements unachievable. With allied support, OLOC generation for some Force Elements would be feasible. The ODT was required to achieve OLOC twice during the reporting period in order to provide two x three personnel EOD teams for Operation Lima. These targets were met, with the exception of difficult to source stores for the MCM computer system MCIAS (currently being phased out of service). Sufficient stocks were available during the reporting period. The ODT is currently at 55% manning and the MCM Force Element is at 100% strength in accordance with established manpower levels. Deployment Impact: The deployment of Operational Diving Team personnel for Output Expense 16 operations (such as to the Provincial Reconstruction Team in Afghanistan and the Explosive Remnants of War Disposal team in Southern Lebanon) impact on the provision of this output. The deployment of these personnel does have significant advantages in increased experience levels and retention issues. It also demonstrates that despite being undermanned, this Output Expense is at DLOC. Sufficient munitions were available during the reporting period to maintain OLOC for the designated OVP. Sufficient stocks were available during the reporting period to maintain OLOC for the OVP. The risk associated with the reliability of the MCAIS and the ability to source spares has been mitigated by the pooling of spares removed from three of the IPC s which have had the MCAIS system removed. The ODT is currently at 55% manning and the MCM Force Element is at 100% strength in accordance with established personnel levels. 72 NEW ZEALAND DEFENCE FORCE

73 Contribution to Services Provided to Government and the Community A consolidated NZDF summary of the availability to provide services to the government and community, and of services provided during the year, is also shown at the end of this Section. Costs for Output Expense 4 (GST Exclusive) 2005/06 ($ million) Category Main Estimates ($ million) Supplementary Estimates ($ million) 2006/07 ($ million) Expenditure Personnel Operating Depreciation Capital Charge Total Expenses Revenue Revenue Crown Revenue Other Total Revenue (0.018) Net Surplus (Deficit) Cost by Output Output Output Output Statement of Service Performance 4 2 The Inshore Patrol Craft that came under this output in the past have been transferred to the new Output Expense 5 Naval Patrol Forces under Output 5.2 Inshore Patrol Force. 73

74 NEW ZEALAND DEFENCE FORCE Output Expense 5: Naval Patrol Forces Output Expense Components Provide Offshore and Inshore Patrol Vessels prepared to conduct maritime operations (predominantly MAO&T) under Employment Contexts 1 and 2, as applicable to the type of vessel. 1 (For details on Employment Contexts, see Section 2.) Outputs in Output Expense 5 Output 5.1 Offshore Patrol Force The provision of Offshore Patrol Vessels (OPV) prepared to conduct maritime operations, predominantly MAO&T. This output also includes contributions to some community services when not committed for operations. Output 5.2 Inshore Patrol Force The provision of Inshore Patrol Vessels (IPV) prepared to conduct maritime operations, predominantly MAO&T. This output also includes contributions to some community services when not committed to operations. Overview The first of the OPVs, HMNZS Otago, was launched during November 2006 in Melbourne. It is expected this ship and the second OPV (HMNZS Wellington) will enter service during 2007/08. 4 Statement of Service Performance For the first half of the year the Inshore Patrol Force comprised four MOA Class Inshore Patrol Craft (IPC) (HMNZ Ships Moa, Kiwi, Wakakura, and Hinau). HMNZ Ships Moa and Hinau were decommissioned in January It is expected that HMNZ Ships Wakakura and Kiwi will be decommissioned during the coming year when it is expected IPVs 1 and 2 (HMNZ Ships Rotoiti and Hawea) will come into service. The other two IPVs (HMNZ Ships Pukaki and Taupo) are expected to enter service during Highlights The Navy s Inshore Patrol Craft made a significant contribution to multi-agency operations. They have provided adequate platforms from which Navy and other government agencies have conducted multiagency operations and gained experience that will be valuable in the transition to the Protector fleet. 1 Subject to availability and the government s requirements, tasking of these vessels may take place in other EC areas. Below: HMNZS Canterbury and crew. Above: Boat work on HMNZS Moa s last patrol, as Customs and RNZN personnel undertake investigations in the Bay of Islands north of Auckland. 74 NEW ZEALAND DEFENCE FORCE

75 Performance Performance measurement for this Output Expense is in accordance with the standard measures for operational force outputs shown earlier in this Section. Performance for this output has been assessed for the IPCs, as the OPVs and IPVs have yet to be delivered. Targets The first OPV, with embarked Seasprite helicopter, as required, and the first two IPVs available for tasking. OPV and IPV crews at manning levels as specified by RNZN personnel states. Equipment types, numbers and spares at the required configuration state, as represented in the configuration master database. Planned sea-days for each of the four IPCs is 120 days (a total of 480 days) of which 30 days each (or a total of 120 days) will be on MAO&T. (Each IPC will be withdrawn from service as each of the IPVs are delivered.) Quantity Performance Achieved The first OPV and first two IPVs are scheduled to be delivered towards the end of The IPCs were available for military tasks. Since May 2006, all four IPCs have been manned and operated by Regular Force personnel to an average level of 97% of their Funded Personnel level. On occasions manning supplementation has been provided by RNZNVR personnel. Configuration states were met, however, all IPCs have had the Mine Clearance Automated Information System (MCAIS) equipment removed and returned to the Naval Supply Depot in Auckland where they are stored to support the MCM capability. The IPCs spent a total of 407 days at sea, of which 111 days were utilised for MAO&T operations. The reason for fewer days being delivered was due to two IPCs (HMNZ Ships Hinau and Moa) being decommissioned mid way through the period. The first OPV (delivered in April 2007) will spend 30 days at sea during FY 2006/07. The first OPV and first two IPVs are scheduled to be delivered towards the end of Once in service, the IPVs will be mission available for 230 days and will spend 130 to 150 days at sea. Quality Readiness: Patrol Vessels that meet the OLOC criteria for MAO&T and the DLOC readiness criteria for other EC tasking, as required, in accordance with Schedule 4 to the NZDF Output Plan. Patrol vessels that carry a out a range of training activities in accordance with the NZDF Exercise Activity Schedule and the NZBR 99-(RNZN Operational Sea Training Instructions) to achieve DLOC. Combat Viability: Personnel that meet the collective training standards, experience levels, individual experience and competency requirements for military tasks. Equipment performance, reliability and technology that meet required standards for commitment to military tasks. Effective interoperability when working with friendly forces. The IPCs have been maintained to meet OLOC criteria for MAO&T and DLOC criteria for EC tasking as required. [The DLOC readiness criteria for Offshore and Inshore Patrol Vessels is currently being determined.] Training activities were conducted in accordance with NZBR 99 to achieve DLOC. The four IPCs and HMNZS Kahu conducted a concentration period during which DLOC capability was evaluated by the Maritime Operational Evaluation Team and IPC readiness to conduct MAO&T was verified. The removal of the MCM function from all but one of the IPCs has progressed well as the MCM capability is moved to the RF. All RNZN and RNZNVR units met the required collective training standards. Required standards were met, however, the MCAIS equipment is in a fragile state and concerns regarding its availability, reliability and maintainability are recognised. This is not unexpected and is being addressed in the medium and longer term through the NZDF capability acquisition process and by pooling MCAIS equipment removed from three IPC s in the short term. The provision of other government agency staff for MAO&T ensures an increasing level of cooperation and interoperability. This interoperability will increase as the Protector Fleet is introduced and the other government agency capability increases. Statement of Service Performance 75 4

76 NEW ZEALAND DEFENCE FORCE Targets Deployability: Patrol Vessels capable of generating OLOC within designated response times, as specified in Schedule 4 to the NZDF Output Plan. Stores and provisions embarked to allow tasking. Material state satisfactory to permit tasking. Personnel state satisfactory to permit tasking. Sustainability: Munitions available, as specified in the Warrant of Armament Stores, to maintain OLOC for the designated operational viability period (OVP). Fuel, stores and provisions available to maintain OLOC for the designated operational viability period. Personnel available for sustainment/rotation. Performance Achieved OLOC generation was possible throughout the reporting period, within designated response times. Munitions and stores appropriate to generate OLOC were available throughout the reporting period. Sufficient stocks were available during the reporting period. The personnel state was sufficient to permit tasking, however, the pool of personnel available to assist in sustaining concurrent multiagency operations is limited and dependent on prioritisation of tasking. Sufficient stocks were available during the reporting period to maintain OLOC for the designated OVP. Sufficient stocks were available during the reporting period. Personnel were available, however, the pool available to assist in sustaining concurrent multiagency operations is limited and dependent on prioritisation of tasking. 4 Statement of Service Performance Contribution to Services Provided to Government and the Community A consolidated summary of the support provided to MAO&T operations is shown at the end of this section. Costs for Output Expense 5 (GST Exclusive) 2005/06 ($ million) Category Main Estimates ($ million) Supplementary Estimates ($ million) 2006/07 ($ million) Expenditure Personnel Operating Depreciation Capital Charge Total Expenses Revenue Revenue Crown Revenue Other Total Revenue Net Surplus (Deficit) Cost by Output Output Output NEW ZEALAND DEFENCE FORCE

77 Output Expense 6: Military Hydrography, Hydrographic Data Collection and Processing for Land Information New Zealand Output Expense Components Provide Hydrographic Forces prepared for the conduct of military hydrography support to amphibious forces under Employment Contexts 1 to 5, and hydrographic data collection and processing in accordance with contractual arrangements with LINZ. (For details on Employment Contexts, see Section 2.) 1 Overview HMNZS Resolution is an offshore survey vessel, capable of operating across the NZ EEZ, from the Ross Sea to the Pacific Islands and is the main hydrographic data collector for the RNZN. Hydrographic survey work is also undertaken in the inshore areas by the Detached Hydrographic Survey Unit (DHSU) utilising Survey Motorboat (SMB) Adventure as required. Hydrographic data is processed onboard and ashore with some assistance provided by the Joint Geospatial Support Facility (JGSF) to meet the contractual requirements of LINZ. Additionally, some HMNZS Resolution sea time is made available to the Defence Technology Agency (DTA) to advance oceanographic research on behalf of the NZDF and a significant portion of sea time is allocated to supporting RNZN training, particularly the generation and maintenance of a military hydrography capability. The JGSF provides geospatial intelligence and products to support NZDF planning for military operations at all levels of command within the NZDF. Its products range from marine, topographical and aviation maps and charts, to sophisticated 3D digital models. The contracted output level has been achieved in accordance with the LINZ Memorandum of Understanding for HMNZS Resolution services. Highlights LINZ Shipping Lane Hydrographic Survey: During the period, HMNZS Resolution completed the hydrographic survey of shipping routes for the sea-lanes around Hawke s Bay. Military Hydrography Capability: HMNZS Resolution conducted self supporting rapid environmental assessments for amphibious operations around New Plymouth and the Marlborough Sounds. 1 The ability for HMNZS Resolution and SMB Adventure to leverage opportunities to help achieve the Ocean Survey 20/20 Vision and, also provide Output Expense 4 products (predominantly Q-route surveys) will continue to be explored, commensurate with primary output expense (Output Expense 6) tasking. Below: HMNZS Resolution. Statement of Service Performance 4 Above: Levelling Operations. 77

78 NEW ZEALAND DEFENCE FORCE Performance 4 Statement of Service Performance Performance measurement for this Output Expense is in accordance with the standard measures for operational force outputs shown earlier in this section. Targets HMNZS Resolution available to conduct military hydrography and hydrographic tasks for LINZ under contract. The Hydrographic Business Unit available to support the collection and processing programmes. Crew at manning levels as specified by RNZN Personnel States. Quantity Equipment types, numbers and spares at the required configuration state, as represented in the configuration master database. HMNZS Resolution will be mission available for 230 days during which 2,975 survey miles and 40 sea days will be on hydrographic tasks as contacted by LINZ 2. A further 14 sea days will be spent on military hydrography tasks. During sea time under contract to LINZ, the hydrographic vessel will maintain sea operational efficiency in accordance with the NZBR 99, RNZN Operational Sea-Training Instructions. Performance Achieved HMNZS Resolution spent 141 days at sea. This meets the requirement of the Memorandum of Understanding (MOU) with LINZ (2,975 survey line nautical miles [which equates to a rounded 60 days] plus 40 LINZ days (included in the total of 141 days at sea)) as well as exercising the Military Hydrography requirements. Throughout the year, the Joint Geospatial Support Facility (JGSF) provided the required support to meet operational and LINZ MOU requirements for HMNZS Resolution and the Deployable Hydrographic Support Unit (DHSU). Shortfalls in manning levels encountered last financial year in the area of Leading Hydrographic Survey Technician remain. These shortfalls also affect the manning of DHSU and its availability for survey tasks. HMNZS Resolution s manning levels have averaged 94% of the Funded Personnel Level. The required configuration state was met, however, age related defects of some key hydrographic equipment, evident last FY, continue to increase. HMNZS Resolution was mission available for 221 days and spent a total of 141 days at sea, 100 days of which were in support of the LINZ contract. The balance (41 days) were spent on military hydrography, Navy support tasks, and tasks in support of the DTA and other government agencies. Training to maintain operational effectiveness was achieved in accordance with NZBR 99. Quality Readiness: Hydrographic Vessel that meets the DLOC readiness DLOC readiness criteria was met. criteria in accordance with Schedule 4 to the NZDF Output Plan. Hydrographic Vessel that carries out a range of training activities in accordance with the NZDF Exercise Activity Schedule and the NZBR 99 (RNZN Operational Sea Training Instructions) to achieve DLOC. Combat Viability: Personnel that meet the collective training standards, experience levels, individual experience and competency requirements for military tasks. Equipment performance, reliability and technology that meet required standards for commitment to military tasks. Effective interoperability when working with friendly forces. Personnel met the collective training standards and qualification requirements to achieve DLOC for the tasks, although experience levels remain low. Insufficient replacement personnel were available to fill established Senior and Leading Hand Hydrographic Technician positions on HMNZS Resolution. The requirement to replace these personnel had and will have a direct impact on outputs from DHSU, important Naval Support functions, or possibly other output expenses. All achieved. Only tested on one occasion in company with HMNZS Te Kaha. 2 The 2,975 survey miles (Line Miles) for LINZ equates to 59.5 days for LINZ; in addition to the 40 days (a total of 99.5 days for LINZ). Navy and LINZ are in the process of a gradual change form sea days for LINZ to line miles for LINZ. 78 NEW ZEALAND DEFENCE FORCE

79 Targets Deployability: Hydrographic Vessel capable of generating OLOC within designated response times, as specified in Schedule 4 to the NZDF Output Plan. Stores and provisions embarked to allow tasking. Material state satisfactory to permit tasking. Personnel state satisfactory to permit tasking. Sustainability: Munitions available, as specified in the Warrant of Armament Stores to maintain OLOC for the designated operational viability period. Fuel, stores and provisions available to maintain OLOC for the designated operational viability period (OVP). Personnel available for sustainment/rotation. Performance Achieved Despite insufficient replacement personnel, HMNZS Resolution achieved this given that the ship maintained DLOC throughout the year. Achieved. With the exception of a period of programmed maintenance, OLOC generation was possible throughout the reporting period as required for HMNZS Resolution. Insufficient replacement personnel were available to fill established Senior and Leading Hand Hydrographic Technician positions on HMNZS Resolution. The requirement to replace these personnel had and will have a direct impact on outputs from DHSU, Naval Support functions, or possibly other output expenses. The ship maintained a full munitions and technical stores scale of allowance throughout the reporting period. There were no OLOC stores related shortfalls. Fuel, stores and provisions were available to maintain OLOC for the designated OVP. Insufficient replacement personnel were available to fill established Senior and Leading Hand Hydrographic Technician positions on HMNZS Resolution. The requirement to sustain these personnel had and will have a direct impact on outputs from DHSU, Naval Support functions, or possibly other output expenses. Costs for Output Expense 6 (GST Exclusive) 2005/06 ($ million) Category Main Estimates ($ million) Supplementary Estimates ($ million) 2006/07 ($ million) Expenditure Personnel Operating Depreciation Capital Charge Total Expenses Revenue Revenue Crown Revenue Other Total Revenue Net Surplus (Deficit) (.002) Cost by Output Output Output Statement of Service Performance 4 79

80 NEW ZEALAND DEFENCE FORCE Output Expense 7: Land Combat Forces Output Expense Components Provide land combat forces (command, control and intelligence, infantry and reconnaissance force elements) prepared for the conduct of land operations under Employment Contexts 1, 2, 3, 4 & 5. (For details on Employment Contexts see Section 2.) Contribute to a range of services in support of other government departments, the community, and foreign and defence policy objectives when not committed to operations, using the capabilities developed for the operational role. Outputs Within Output Expense 7 Output 7.1: Command, Control and Intelligence The provision of a deployable headquarters prepared to provide operational command, control and intelligence for deployed land forces and for formation training in New Zealand. This output also provides command of contributions, as required, to a range of services provided to the government and the community. Output 7.2: Manoeuvre Elements The provision of manoeuvre elements (infantry and reconnaissance) prepared for the conduct of land operations. It includes the provision of these elements for a force of up to battalion group size (motorised or non-motorised). It also includes the requirement to maintain the framework of a brigade group for training in New Zealand, and the provision of some community support services. Overview 4 Statement of Service Performance The Land Combat Forces are based on two Infantry Battalions (1st Royal New Zealand Infantry Regiment [1 RNZIR] and 2nd/1st Royal New Zealand Infantry Regiment [2/1 RNZIR]) and a Reconnaissance Squadron (Queen Alexandra s Mounted Rifles (QAMR)). 1RNZIR and QAMR are equipped with the New Zealand Light Armoured Vehicle (NZLAV). 1RNZIR is a motorised infantry unit, whilst 2/1 RNZIR is a non-motorised infantry unit. The Territorial Force provides additional capability for reinforcement of these Regular Force units. If a battalion group is deployed under Output Expense 16, the Army would be required to focus its efforts on supporting that group, which would affect DLOC training activities. Deployments under Output Expense 16, which have a high component of Land Combat Forces personnel, can accumulatively create a shortfall in training and support staff in New Zealand. The reduced preparedness states of Land Combat Forces are consistent with government s expectations and priorities during the recovery phases of the Defence Sustainability Initiative, and the effects of current operational commitments. Below: A NZ Army soldier carrying a 84mm Anti- Armour Weapon. Above: NZ Army infantry soldiers exiting a Light Armoured Vehicle. 80 NEW ZEALAND DEFENCE FORCE

81 Highlights Over the past 12 months 1RNZIR has focused on supporting current operational commitments within Afghanistan and Timor Leste. 1RNZIR has conducted a variety of training activities aimed at maintaining a motorised company available at the directed level of capability. 2/1 RNZIR has continued to focus on supporting current operational commitments within Afghanistan, Solomon Islands, and Timor Leste. 2/1 RNZIR has conducted a number of training activities such as Exercise Taiaha Tombak in order to maintain light infantry capabilities. QAMR has provided armoured vehicle crew skills and generated a motorised troop at the directed level of capability. Headquarters 2nd Land Force Group, augmented by unit personnel attended Exercise Kiwi Spirit in Singapore over the period 1 to 18 August This was a command post exercise focused at brigade level and conducted in conjunction with the Singaporean Armed Forces. Performance Performance measurement for this Output Expense is in accordance with the standard measures for operational force outputs shown earlier in this Section. Targets Performance Achieved Quantity: Army, drawing on HQ 2 LFG, HQ 3 LFG, 1 RNZIR, QA Sqn, and the Force Intelligence Group (FIG) and with supplementation from the Territorial Force Battalion Groups, as required, will provide the initial and rotation land combat force elements to constitute: A Company Group (motorised or non-motorised) An Infantry Company Group was substantially for tasks under ECs 1 and 2. prepared for tasks under EC 1 whilst providing concurrent support to the UN and other coalition operations in the South Pacific region and the Middle East. The requirement to provide a company group under EC 2 has been achieved through the land deployment to Timor Leste. Up to an Infantry Battalion Group (motorised or non-motorised) for tasks under ECs 2 5 (inclusive). Sub-unit elements as options for independent contribution to a combined force. (See notes below.) An appropriate headquarters (including intelligence and communications support) for command and control of a deployed force. Army will also provide an appropriate Brigadelevel headquarters, and the framework for an Infantry Brigade Group for combined-arms training. The framework for a Brigade Group requires supplementation by TF Battalion Groups. The provision of an infantry battalion to meet lower end operational spectrum contingencies 1 was unachievable given the extent of current operational commitments. Battalion Group responses for ECs 3 5 were unable to be achieved due to current operational commitments, equipment shortfalls and personnel shortfalls. However, this output has been achieved at a reduced level with the land deployment of a company group to Afghanistan. Selected sub-unit elements were available to provide independent contributions to a combined force, however, this was at the expense of continuing the modernisation and re-equipping programme. An appropriate headquarters is currently deployed as Army s contribution to the National Command Element for the company group deployed to Afghanistan. Army was able to provide an appropriate headquarters based on HQ 2LFG in order to support simulation based command post exercises in a combined arms and coalition environment. The land combat forces (inclusive of TF), are capable of providing the framework of an infantry brigade group for training to support simulation based command post exercises in a combined arms and coalition environment Statement of Service Performance 4 1 Refer to Section 2 for description of ECs. 81

82 NEW ZEALAND DEFENCE FORCE 4 Statement of Service Performance Targets Performance Achieved Elements contributing to the above forces available at manning levels as specified in Army Tables of Organisation and Equipment. Notes: Most units are staffed at below 75% of establishment. Ongoing current deployments continue to highlight the shortages of infantry personnel and equipment available for rotation. 1. Availability of munitions will depend on inventory holdings to meet OLOC generation requirements and holdings of Contingency Reserve Stocks. 2. Notwithstanding the requirement for the Land Combat Forces to be available to constitute a Company Group and a Battalion Group, smaller sub-unit elements (motorised or non-motorised), as options for contribution to a combined force, are maintained. Quality Readiness: Designated force elements that meet specified readiness criteria in accordance with Schedule 4 to the NZDF Output Plan: DLOC for Company and Battalion Group. Army was able to provide a company group at BLOC for Brigade Group framework units (TF DLOC for EC 1. Army s requirement to provide a company group for EC 2 is achieved with the Land contribution to the company group deployed to Timor Leste. The personnel and equipment required for a Battalion Group could not be achieved given the extent of current operational commitments. BLOC was sustained for TF units. Battalion Groups). Land Combat Forces carry out a range of training The Land Combat Forces conducted a range of activities in accordance with the NZDF Exercise Activity Schedule (EAS), Army Mission Essential Task Lists (METLs), and Formation and Unit Training Directives. This will include participation in Battalion Group exercises and Formation level Command Post Exercises. training activities, including sub-unit exercises and a variety of simulation Command Post Exercises. Operational commitments during the reporting period did, however, mean that some exercises had to be cancelled. Note: Referred to as the Master Activity Schedule (MAS) in the 2006 SOI. Now renamed Exercise Activity Schedule (EAS). Combat Viability: Personnel that meet the collective training standards, experience levels and qualification requirements for military tasks. Equipment performance, reliability and technology that meet required standards for commitment to military tasks. Effective standardisation when working with friendly forces. Deployability: Force elements capable of generating OLOC within the designated response time, as specified in Schedule 4 to the NZDF Output Plan. The trained state of the Army force elements is sufficient to meet this target for low-level contingencies only. ECs 3 5 are unachievable at this time given Army s commitment to current operations. Army Force Elements were partially prepared for low-level conflict but not for higher-threat situations under ECs 3 5. Deficiencies in command and control, firepower, and compatible protection for combat service support elements would impair effectiveness in conventional military operations and the more demanding peace support operations. The NZLAV, light operational vehicles, communications equipment and the introduction into service of direct fire support weapons will continue to address some of these deficiencies. There have been no significant problems with interoperability and effective standardisation. Army force elements were substantially prepared to meet the specified readiness standards for a company group for the EC 1 low-level operations and unable to meet the specified requirements for a battalion group due to Army s current operational commitments. 82 NEW ZEALAND DEFENCE FORCE

83 Targets Munitions, stores and equipment available for OLOC generation, as specified in unit Tables of Establishment / Contingency Plans Sustainability: Munitions, expendable and technical stores available, as specified in CONPLANS to maintain OLOC for the designated operational viability period. Personnel available for reinforcement and rotation of deployed forces for continuous operations in accordance with Schedule 4 to the NZDF Output Plan. Performance Achieved Ongoing equipment refurbishment and replacement requirements, together with shortages in a range of protective equipment, tentage, radios and night vision equipment have limited the support available for OLOC generation. Munitions, expendable and technical stores are able to be provided from within total Army resources. Due to personnel shortfalls, Army would not have been capable of providing all the personnel required for reinforcement and rotation if all force elements had been deployed concurrently. Contribution to Services Provided to Government and the Community A consolidated NZDF summary of the availability to provide services to the government and community, and of services provided during the year, is shown at the end of this Section. Costs for Output Expense 7 (GST Exclusive) 2005/06 ($ million) Category Main Estimates ($ million) Supplementary Estimates ($ million) 2006/07 ($ million) Expenditure Personnel Operating Depreciation Capital Charge Total Expenses Revenue Revenue Crown Revenue Other Total Revenue Net Surplus (Deficit) (1.599) Cost by Output Output Output Statement of Service Performance 4 83

84 NEW ZEALAND DEFENCE FORCE Output Expense 8: Land Combat Support Forces Output Expense Components Provide land combat support force elements (artillery, engineers, communications, including strategic communications, and military police) for the support of land operations under Employment Contexts 1, 2, 3, 4, & 5, as applicable. (For details on Employment Contexts, see Section 2.) Contribute to a range of services in support of other government departments, the community, and foreign and defence policy objectives when not committed to operations, using the capabilities developed for the operational role. Outputs Within Output Expense 8 Output 8.1: Artillery The provision of artillery elements prepared for the support of land operations, coordination of joint fires including terminal guidance, and capable of supporting up to a battalion group sized force (motorised or non-motorised). It also includes the requirement to provide artillery elements to the framework of a brigade group for training in New Zealand, and the provision of some community support services. Output 8.2: Engineers The provision of engineer elements prepared for the support of land operations and capable of supporting up to a battalion group sized force (motorised or non-motorised). It also includes the requirement to provide engineer elements to the framework of a brigade group for training in New Zealand, and the provision of some community support services. 4 Statement of Service Performance Output 8.3: Communications The provision of communications elements prepared for the support of land operations and capable of supporting up to a battalion group sized force (motorised or non-motorised). It also includes the requirement to provide communications elements to the framework of a brigade group for training in New Zealand, and the provision of some community support services. Output 8.4: Military Police The provision of military police elements prepared for the support of land operations and capable of supporting up to a battalion group sized force (motorised or non-motorised). It also includes the requirement to provide military police elements to the framework of a brigade group for training in New Zealand, and the provision of some community support services. Below: A Light Operational Vehicle equipped with communications equipment. Above: Firing a VLLAD Mistral missile. 84 NEW ZEALAND DEFENCE FORCE

85 Overview The Land Combat Support Forces are provided from 16 Field Regiment, 2 Engineer Regiment, 2 Signals Squadron, 3 Signals Squadron, and Force Military Police Company with additional support from the Territorial Force for reinforcement and rotation of these Regular Force units. These forces are integrated with, and complement, the land combat forces. They include artillery and air defence to enable manoeuvre, engineers to enhance mobility and survivability of friendly forces and to obstruct enemy movement, communications to support command, control and the passage of information, and military police support to conduct military investigations and provide close personal protection. The reduced preparedness states of Land Combat Support Forces are consistent with government s expectations and priorities during the recovery phases of the Defence Sustainability Initiative, and the effects of current operational commitments. Highlights The priority of effort for 16 Field Regiment over the last year has been the maintenance of the artillery fire support capability for conventional combat operations, and providing personnel to support current land operations in Afghanistan. 16 Field Regiment conducted a range of training activities to maintain the directed level of capability for artillery fire support. 16 Field Regiment also supported Exercise Thunder Warrior during the period 11 December February This is an annual Singapore Armed Forces live firing artillery exercise conducted in the Waiouru Training Area. 2 Engineer Regiment has continued to focus on supporting current operational commitments within Afghanistan, Timor Leste and Lebanon. 2 Engineer Regiment has conducted a variety of training activities aimed at maintaining engineering skills and capabilities to support a company group, and regenerating engineering capabilities to support a battalion group to the directed level of capability. 2 and 3 Signals Squadrons primary focus for the last year has been the provision of trained personnel to support UN and other coalition operations. The Force Military Police Company has continued to provide and maintain Military Police support within New Zealand, whilst supporting current operations. Performance Performance measurement for this Output Expense is in accordance with the standard measures for operational force outputs shown earlier in this Section. Statement of Service Performance 4 85

86 NEW ZEALAND DEFENCE FORCE 4 Statement of Service Performance Targets Performance Achieved Quantity: Army, drawing on 2 LFG and 3 LFG Regular Force artillery, engineer and communications and military police units (16 Field Regt, 2 Engineer Regt, 2 Signal Sqn and 3 Signal Sqn, and the Force Military Police Company respectively), and with supplementation from the Territorial Force (TF), as required, will provide the initial and rotation land combat support force elements to support, as applicable: A Company Group (motorised or non-motorised) Army was substantially prepared to provide the for tasks under ECs 1 and 2. engineer elements, communication elements and Military Police required to support an infantry company group for the low-level EC 1 and 2 tasks. Up to a Battalion Group (motorised or non- An artillery battery (of six guns) and a motorised) for tasks under ECs 2 5 (inclusive). commensurate number of Forward Observer Parties were substantially prepared to support an infantry battalion group. The Very Low Level Air Defence Troop has not achieved the directed level of capability requirements as it is still not fully equipped to integrate effectively on the battlefield with other air defence capabilities. This capability is still under procurement action and is expected to be at DLOC during FY 2007/08. Army was unable to provide a sustainable Engineer Squadron to support an infantry battalion group given the level of engineering support required to meet current operational commitments. However, Army was substantially prepared to provide a oneoff non-sustainable Light Engineer Squadron to support an infantry battalion for the low-level EC 2, EC 3 and EC 5 tasks. Army was unable to provide a sustainable Signals Squadron to support an infantry battalion group given the level of communication support required to meet current operational commitments. Sub-unit elements as options for independent contribution to a combined force. (See notes below.) Army will also provide artillery, engineer, communications and military police force elements to support the framework for an Infantry Brigade Group for combined-arms training; this will require supplementation by TF Battalion Groups. Land Combat Support Force elements contributing to the above forces available at manning levels as specified in Army Tables of Organisation and Equipment (TOE). Notes: Notwithstanding the requirement for the Land Combat Support Forces to be available to contribute to the Company and Battalion Groups (motorised or nonmotorised) elements, as options for an independent contribution to a combined force, are maintained. Availability of munitions will depend on inventory holdings to meet OLOC generation requirements and holdings of Contingency Reserve Stocks (CRS). Of the four Combat Support Elements, Artillery and limited Engineer elements were available. Military Police and Communications elements could not have made a viable independent contribution due to the current operational tempo and manning situation. Army was able to provide artillery, engineer communications and military police elements to support simulation based Command Post Exercises in a combined arms and coalition environment. Most Land Combat Support units were staffed at between 69 83% of establishment (target is 85%). However, in many cases personnel are junior soldiers with less than two years service. Ongoing support to current operational commitments has highlighted shortages in specialist communications trades in particular. Communications sustainability continues to remain difficult with the number of concurrent missions. 86 NEW ZEALAND DEFENCE FORCE

87 Targets Performance Achieved Quality Readiness: Designated force elements that meet specified readiness criteria in accordance with Schedule 4 to the NZDF Output Plan: DLOC for units contributing to Company and An artillery battery (of six guns) and a Battalion Groups. BLOC for Brigade Group framework units (TF commensurate number of Forward Observer Parties were available at DLOC to support an infantry battalion group. Engineer and communications, and military police elements were available at DLOC to support Company Group tasks. Army was unable to provide a sustainable Engineer Squadron, a Signals Squadron and Military Police Platoon to support an infantry battalion group due to the support provided to current operational commitments. However a one-off non-sustainable Light Engineer Squadron was available at DLOC to support an infantry battalion for the low-level EC 2, EC 3 and EC 5 tasks. BLOC was maintained. Battalion Groups). Land Combat Support Forces carry out a range of training activities in accordance with the NZDF Exercise Activity Schedule (EAS), Army Mission Essential Task Lists (METLs), and Formation and Unit Training Directives. This will include participation in Battalion Group exercises and Formation level Command Post Exercises. Combat Viability: Personnel that meet the collective training standards, experience levels and qualification requirements for military tasks. Equipment performance, reliability and technology that meet required standards for commitment to military tasks. Effective standardisation when working with friendly forces. The Land Combat Forces conducted a range of training activities, including sub-unit exercises and a variety of simulation Command Post Exercises. Operational commitments during the reporting period did, however, mean that some exercises had to be cancelled. The collective trained state was sufficient to meet the requirements for low-level EC1 and 2 company group deployments with the exception of specialist communication trades. The collective trained state required for a battalion group deployment was unachievable due to the level of support provided to current operational commitments. Land Combat Support Force elements were substantially prepared for low-level conflict (EC 1 and EC 2). There are limitations on the ability to respond to contingencies involving a higher threat environment, due to deficiencies in communications, mobility and combat field engineer equipment. These deficiencies degrade the Army s effectiveness in conventional combat operations and the more demanding peace support operations. These issues are being addressed as part of the Defence Funding Package. There have been no significant problems with interoperability and standardisation, except for the lack of cueing and identification equipment for the Air Defence capability, which is still being introduced into service and the ongoing currency requirements for Forward Observer (FO) and Forward Air Controlling (FAC) parties. Statement of Service Performance 4 87

88 NEW ZEALAND DEFENCE FORCE 4 Statement of Service Performance Targets Deployability: Force elements capable of generating OLOC within the designated response time, as specified in Schedule 4 to the NZDF Output Plan. Munitions, stores and equipment available for OLOC generation, as specified in unit Table of Establishment / Contingency Plans. Sustainability: Munitions, expendable and technical stores available, as specified in CONPLANS, to maintain OLOC for the designated operational viability period. Personnel available for reinforcement and rotation of deployed forces for continuous operations in accordance with Schedule 4 to the NZDF Output Plan. Performance Achieved The Artillery was capable of generating OLOC within the response time, however, additional time in theatre would have been required for FAC training and NATO accreditation. The Engineers, Communications, and Military Police elements were capable of generating OLOC for a company group response. Combat support force elements were unable to meet the specified requirements to support a battalion group due to Army s current operational commitments. Engineering and communications equipment included in the LTDP is necessary to ensure deployability. Munitions, expendable and technical stores could be provided from within total Army resources. Munitions, expendable and technical stores could be provided from within total Army resources. Personnel were available for reinforcement and rotation of deployed forces for continuous operations in accordance with Schedule 4 in order to support a company group deployment to meet lower-level EC1 and EC 2 tasks. Army was incapable of providing all personnel required for reinforcement and rotation of deployed forces for continuous operations in accordance with Schedule 4 in order to support a battalion group deployment, due to the level of support required to meet current operational commitments. Contribution to Services Provided to Government and the Community A consolidated NZDF summary of the availability to provide services to the government and community, and of services provided during the year, is shown at the end of this Section. Costs for Output Expense 8 (GST Exclusive) 2005/06 ($ million) Category Main Estimates ($ million) Supplementary Estimates ($ million) 2006/07 ($ million) Expenditure Personnel Operating Depreciation Capital Charge Total Expenses Revenue Revenue Crown Revenue Other Total Revenue Net Surplus (Deficit) Cost by Output Output Output Output Output NEW ZEALAND DEFENCE FORCE

89 Output Expense 9: Land Combat Service Support Forces Output Expense Components Provide land combat service support force elements (transport, medical, supply, repair and movements) required for the support of land operations under Employment Contexts 1, 2, 3, 4, & 5, as applicable. (For details on Employment Contexts, see Section 2.) Contribute to a range of services in support of other government departments, the community, and foreign and defence policy objectives when not committed to operations, using the capabilities developed for the operational role. Outputs Within Output Expense 9 Output 9.1: Transport The provision of transport elements prepared for the support of land operations and capable of supporting up to a battalion group sized force (motorised or non-motorised). It also includes the requirement to provide transport elements to the framework of a brigade group for training in New Zealand, and the provision of some community support services. Output 9.2: Medical The provision of medical elements, including dental elements, prepared for the support of land operations and capable of supporting up to a battalion group sized force (motorised or non-motorised). It also includes the requirement to provide medical elements to the framework of a brigade group for training in New Zealand, and the provision of some community support services. (The Army medical capability can be stretched when it is required to support a large number of concurrent deployments.) Output 9.3: Supply The provision of supply units prepared for the support of land operations and capable of supporting up to a battalion group sized force (motorised or non-motorised). It also includes the requirement to provide supply elements to the framework of an infantry brigade group for training in New Zealand, and the provision of some community support services. Output 9.4: Repair The provision of repair units prepared for the support of land operations and capable of supporting up to a battalion group sized force (motorised or non-motorised). It also includes the requirement to provide repair elements to the framework of a brigade group for training in New Zealand, and the provision of some community support services. This output includes the provision of recovery assets. Below: NZ Army dental personnel attending to a patient in the field. Statement of Service Performance 4 Above: NZ Army automotive mechanic working on a vehicle. 89

90 NEW ZEALAND DEFENCE FORCE Output 9.5: Movements The provision of movements elements (including strategic movements, air dispatch and terminal operations staff) prepared for the support of land operations and capable of supporting up to a battalion group sized force (motorised or non-motorised). It also includes the requirement to provide movements elements to the framework of a brigade group for training in New Zealand, and the provision of some community support services. Overview Combat Service Support (CSS) is an integral part of the planning, preparation and execution of any operation. Logistics support for Land Combat and Land Combat Support forces includes transport, movements, supply, repair, and medical elements. These elements are drawn from two Logistics Battalions (2 Log Bn and 3 Log Bn), and 2nd Health Services Battalion. All of these elements (particularly specialist medical support) would rely on the Territorial Force to supplement and sustain any major deployment. The reduced preparedness states of Land Combat Service Support Forces are consistent with government s expectations and priorities during the recovery phases of the Defence Sustainability Initiative, and the effects of current operational commitments. Highlights Throughout the last year CSS units have continued to support current operational commitments within Afghanistan, the Sinai, Solomon Islands, and Timor Leste. A number of collective training activities such as exercises Badcoe Hall, Rickshaw Bandit, and Rorkes Drift, have been conducted which have focused on the continued regeneration of capability for conventional operations, whilst the units have continued to transition to support the implementation of new capabilities. Performance Performance measurement for this Output Expense is in accordance with the standard measures for operational force outputs shown earlier in this Section. 4 Statement of Service Performance Targets Army, drawing on 2 Logistics Battalion, 3 Logistics Battalion and 2 Health Support Battalion, as part of 2 LFG and 3 LFG, and with supplementation from the TF Battalion Groups, as required, will provide the initial and rotation combat service support force elements to support, as applicable: A Company Group (motorised or non-motorised) for tasks under ECs 1 and 2. Up to a Battalion Group (motorised, or nonmotorised) for tasks under ECs 2 5 (inclusive). Quantity: Sub-unit elements as options for independent contribution to a combined force. Notes: Notwithstanding the requirement for the Land Combat Services Support Forces to be available to contribute to the Company and Battalion Groups (motorised and nonmotorised), elements, as options for an independent contribution to a combined force, are maintained. Availability of munitions will depend on inventory holdings to meet OLOC generation requirements and holdings of Contingency Reserve Stocks (CRS). Army will also provide combat service support elements to support the framework for a Brigade Group for combined-arms training in New Zealand; this will require supplementation by the TF Battalion Groups. Performance Achieved The Army was unable to provide CSS elements to support a company group or a battalion group for EC 2 to EC 5, given the current level of logistic support required to sustain current operational commitments. Army was substantially prepared to provide CSS and medical elements for EC1 tasks. EC2 capability was delivered through operations in Afghanistan and Timor Leste. The Army was unable to provide the CSS and medical support for a Battalion Group due to current operational commitments, equipment and personnel shortfalls. With the current level of operational commitments, only limited CSS elements were available to contribute to other combined forces. Army was able to provide CSS elements to support simulation based Command Post Exercises in a combined arms and coalition environment. 90 NEW ZEALAND DEFENCE FORCE

91 Targets Performance Achieved Land Combat Service Support Force elements Most units were staffed between 70 to 100% of contributing to the above forces available at manning establishment, and in most cases are heavily levels as specified in Army Tables of Organisation weighted with junior personnel and soldiers with and Equipment (TOE). less than two years service. Quality Readiness: Designated force elements that meet specified readiness criteria in accordance with Schedule 4 to the NZDF Output Plan: DLOC for units contributing to Company and Battalion Groups. Army was able to provide CSS and medical elements to support a company group at DLOC for EC 1 tasks. Army s requirement to provide CSS and medical elements to support a company group at DLOC for EC 2 is achieved with the land contribution to the company group deployed to Timor Leste. CSS and Medical requirements to support a battalion group could not be achieved given current operational commitments. BLOC for Brigade Group framework units (TF TF elements were at BLOC. Battalion Groups). Land Combat Service Support Forces carry out a range of training activities in accordance with the NZDF Exercise Activity Schedule (EAS), Army Mission Essential Task Lists (METLs), and Formation and Unit Training Directives. This will include participation in Battalion Group exercises and Formation level Command Post Exercises. Combat Viability: Personnel that meet the collective training standards, experience levels and qualification requirements for military tasks. Equipment performance, reliability and technology that meet required standards for commitment to military tasks. Effective standardisation when working with friendly forces. Deployability: Force elements capable of generating OLOC within the designated response time, as specified in Schedule 4 to the NZDF Output Plan. Munitions, stores and equipment available for OLOC generation, as specified in unit TOE (Tables of Organisation and Establishment) / Contingency Plans (CONPLANS). Sustaining current operational commitments, whilst providing ongoing garrison support and transitioning to support new capability, has continued to cause considerable strain on CSS units. As a result, only a limited number of collective training activities were conducted. Support to current operations continued to impact on the level of competence of individual trade skills and the depth of experience across the whole range of CSS functions. Trade qualified and experienced personnel were required to support operations therefore decreasing the number of individuals available as instructors and supervisors to provide continuation training and on the job supervision. CSS elements were substantially equipped for lowlevel EC 1 and EC 2 conflicts. The ability to respond to major conventional contingencies was limited due to deficiencies including communications, self-protection, specialist CSS vehicles and bulk handling equipment. These issues will be addressed as part of the equipment procurement process. There were no significant problems with interoperability or standardisation when working with friendly forces. Army CSS force elements were capable of meeting EC 1 contingencies in support of a company group, however, they were unable to meet the requirements of a battalion group due to the current level of support required to meet current operational commitments. Munitions, stores and equipment were available for OLOC generation. Statement of Service Performance 4 91

92 NEW ZEALAND DEFENCE FORCE Targets Sustainability: Munitions, expendable and technical stores available, as specified in CONPLANS, to maintain OLOC for the designated operational period. Personnel available for reinforcement and rotation of deployed forces for continuous operations in accordance with the NZDF Output Plan. Performance Achieved Munitions stores and equipment were available for OLOC generation for the designated operational period. Army was unable to meet the personnel requirements to provide reinforcement and rotational force personnel for continuous operations to support a deployed battalion group given the level of CSS support required to meet current operational commitments. 4 Statement of Service Performance Contribution to Services Provided to Government and the Community A consolidated NZDF summary of the availability to provide services to the government and community, and of services provided during the year, is shown at the end of this Section. Costs for Output Expense 9 (GST Exclusive) 2005/06 ($ million) Category Main Estimates ($ million) Supplementary Estimates ($ million) 2006/07 ($ million) Expenditure Personnel Operating Depreciation Capital Charge Total Expenses Revenue Revenue Crown Revenue Other Total Revenue Net Surplus (Deficit) (1.406) Cost by Output Output Output Output Output Output This amount relates to Military Police, which is now included with Output Expense 8 Land Combat Support Forces as Output NEW ZEALAND DEFENCE FORCE

93 Output Expense 10: Specialised Forces Output Expense Components Provide Special Operations Forces prepared for: Special Operations (NZ SAS green role ) under Employment Contexts 1 to 5. Counter-Terrorist Operations (NZ SAS black role ) under Employment Context 1D. National Response for Chemical, Biological, Radiological, Explosive, Improvised Explosive Device Disposal (CBRE IEDD). (For details of Employment Contexts, see Section 2). Outputs Within Output Expense 10: Output 10.1: Special Forces The provision of Special Forces prepared for the conduct of special operations in support of land operations. Output 10.2: Counter-Terrorist Forces The provision of forces at the operational level of capability prepared to conduct counter-terrorist operations within specified response times, either in New Zealand, or in South Pacific countries when requested. Output 10.3: Chemical, Biological, Radiological, Explosive, Improvised Explosive Device Disposal The provision of a dedicated military organisation of specialised teams at the operational level of capability prepared for Chemical, Biological, Radiological, Explosive, Improvised Explosive Device Disposal [CBRE IEDD] that threaten public safety or national interests. This organisation would not normally be available for other community support services. Overview Special Operations Forces are maintained at a high state of readiness for the conduct of short notice special operations in support of land combat operations, counter-terrorist operations, and the disposal of improvised explosive devices that threaten public safety or national interests. These forces are drawn from the 1st NZ Special Air Service Group (1 NZSAS Gp) and 1st NZ Explosive Ordnance Squadron (1 NZ EOD Sqn). Below: Special Forces personnel rappelling from an Iroquois helicopter. Statement of Service Performance 4 Above: Special Forces soldier with shotgun. 93

94 NEW ZEALAND DEFENCE FORCE Highlights During the last 12 months the 1 NZSAS Gp has focused on regenerating specialist skills to achieve the operational level of capability to meet directed tasks. 1 NZSAS has conducted a range of activities in order to evaluate and maintain a variety of specialist skills including exercises Saracen and Tropic Wing. 1 NZ EOD Sqn has continued to grow during the last year and it is anticipated it will be fully established by July Until this time, 1 NZ EOD Sqn will be reliant on supplementation from Navy, Army and Air Force qualified personnel to meet directed output requirements. The capability to neutralise chemical and biological devices continued to be developed. There is also provision in the LTDP to further develop special operations mobility, communications and firepower. Performance Performance measurement for this Output Expense is in accordance with the standard measures for operational force outputs shown earlier in this Section. 4 Statement of Service Performance Targets Performance Achieved Quantity: Army, drawing on 1st NZ Special Air Service (SAS) Group and Army/NZDF-wide resources, will provide: The initial and rotation elements of a SAS Sqn The Special Forces, including 1 NZSAS Gp, were to conduct special operations in support of land combat operations under Employment Contexts 1 5 (inclusive), and to provide elements, as appropriate, in support of a Company and/or Battalion Group (motorised or non-motorised). able to meet this requirement. A Counter-Terrorist Group (CTG) to assist the NZ Police in counter terrorist (CT) operations, including Maritime CT. A CBRE IEDD/EOD organisation of squadron strength, which has the ability to provide three IEDD Response Teams (one each based at Auckland, Wellington and Christchurch) and a specialist CBR Response Team to undertake emergency national IEDD/CBRE Response tasks. Notes: Although CBRE IEDD is a NZDF responsibility directed by government, Army has been designated the lead Service. Navy and Air Force will provide trained manpower and specialist support to CBRE IEDD/EOD, as required until 1 NZ EOD Sqn is fully established. If a major element of the Special Forces is committed in support of land combat operations, the Army is not able to provide, concurrently, a like commitment to another operation/mission. A commitment under this output expense in support of land combat operations will not affect the NZDF s ability to provide the required forces for counter-terrorist operations and CBRE IEDD/EOD tasks as contained in the NZDF Output Plan. Army will also maintain a SAS Squadron to support This capability was maintained. the framework of a brigade group for training in New Zealand. Quality Readiness: Special Forces, Counter-Terrorist (CT) Forces and CBRE IEDD Teams that meet the degrees of notice and DLOC and OLOC readiness criteria in accordance with Schedule 4 to the NZDF Output Plan. Special Forces, CT Forces and CBRE IEDD Teams carry out a range of readiness training activities in accordance with the NZDF Exercise Activity Schedule, Mission Essential Task Lists, and Formation and Unit Training Directives to maintain DLOC and OLOC, as appropriate, in accordance with Schedule 4 to the NZDF Output Plan. A CTG and a Counter-Terrorist Assault Group were available to assist the NZ Police with these operations under EC 1 requirements. This capability was maintained (noting that this capability has yet to be fully developed), by 1 NZ EOD Sqn with considerable supplementation of qualified personnel from other Navy, Army and Air Force units. The adhoc arrangement will continue until the unit is fully established. Equipment shortages and a shortage of qualified personnel continue to affect this capability. Special Forces force elements were able to meet the specified readiness standards. Personnel met the training standards, experience levels and qualifications requirements. There are significant shortfalls in personnel within this output to meet the CBRE IEDD requirements, which are being managed by Army. This shortfall is currently being addressed. 94 NEW ZEALAND DEFENCE FORCE

95 Targets Combat Viability: Personnel that meet the experience levels and qualification requirements for special operations, CT tasks and CBRE IEDD tasks. Equipment performance, reliability and technology that meet required OLOC standards for commitment to special operations, CT tasks and CBRE IEDD tasks. Effective standardisation when working with friendly forces. Deployability 1 : Special Forces, CT Forces and CBRE IEDD Teams capable of deploying within specified degrees of notice/response times, as applicable, in accordance with Schedule 4 of the NZDF Output Plan. Munitions and specialist stores available to OLOC standards. Sustainability: Munitions and specialist stores available for the period of special operations, CT tasks and CBRE IEDD tasks. Personnel available for reinforcement and rotation of deployed forces for continuous operations in accordance with Schedule 4 of the NZDF Output Plan. Performance Achieved Personnel met the training standards, experience levels and qualifications requirements, with the exception of CBRE. However, skilled IEDD personnel and equipment shortages continue to affect this capability on occasion. Equipment partially met performance and reliability standards for CBRE IEDD. There are specialist equipment shortfalls, which continue to be addressed as part of the procurement process. There were no significant problems with interoperability or standardisation when working with friendly forces. Special Forces were capable of deploying within specified response times. Munitions and specialist stores were available. Munitions and specialist stores were available. Personnel were available for CT tasks, however, shortages of skilled CBRE/IEDD personnel continue. Costs for Output Expense 10 (GST Exclusive) 2005/06 ($ million) Category Main Estimates ($ million) Supplementary Estimates ($ million) 2006/07 ($ million) Expenditure Personnel Operating Depreciation Capital Charge Total Expenses Revenue Revenue Crown Revenue Other Total Revenue Net Surplus (Deficit) Cost by Output Output Output Output Statement of Service Performance 4 1 Deployment Impact: If a high proportion of Output 10.1 were employed on operations under Output Expense 16, any other concurrent contribution from this output would be very limited. This does not, however, affect the ability of the NZDF to continue to fully deliver force elements for the other two outputs in this output expense (Outputs 10.2 and 10.3). 95

96 NEW ZEALAND DEFENCE FORCE Output Expense 11: Naval Helicopter Forces Output Expense Components Provide Naval Helicopter Forces (NHF) from No 6 Squadron RNZAF prepared to support the Naval Combat Forces, Naval Support Forces and Naval Patrol Forces, and to conduct limited independent operations under Employment Contexts 1, 2 3, 4 and 5. (For details on Employment Contexts, see Section 2.) Contribute to a range of services, including Multi-Agency Operations and Tasks (MAO&T), in support of other government departments, the community, and foreign and defence policy objectives, when not committed to operations, using the capabilities developed for the operational role. Overview Five SH-2G Seasprites are supported by the RNZAF and operated by the RNZN. The Seasprites have primarily been employed as organic air assets from the two ANZAC Frigates in order to provide a range of capabilities from logistic support to combat operations. During the reporting period, No. 6 Squadron provided embarked air assets on every occasion the Fleet programme demanded a SH-2G Seasprite in support of a frigate. One Seasprite has not flown for three years due to spares availability and has effectively become the spare parts source to maintain the other four aircraft in an airworthy state. Highlights 4 Statement of Service Performance During the reporting period the NHF: Initiated the introduction of an embarked maritime helicopter night vision goggle capability. Provided embarked aviation support to the RNZN during two operational deployments. Provided operational support to four MAO&T. Performance Performance measurement for this Output Expense is in accordance with the standard measures for operational force outputs shown earlier in this Section. Below: A Navy Seasprite winches a crewmember aboard during Warriors at Wigram at Wigram Airfield, Christchurch. Above: Navy Seasprite helicopter on HMNZS Te Mana. 96 NEW ZEALAND DEFENCE FORCE

97 Targets Three SH-2G(NZ) Seasprite helicopters available for military tasks; to be sustainable on operations in accordance with Schedule 4 of the NZDF Output Plan. (Provided from a total fleet of five Seasprite helicopters). Crews at manning levels as specified by RNZN Personnel States and RNZAF directed personnel levels. Equipment types, numbers and spares at the required configuration state, as represented in the configuration master database and the Air Force publication NZAP(S) 700 and Standing Operating Procedures. Planned Seasprite flying hours are 1,403, made up as follows: 1 For flying while embarked with force elements of the Navy, a total of 420 hours (target range hours). For shore-based DLOC readiness training a total of 983 hours (target range 940 1,020 hours). Readiness: Naval Helicopter Forces that meet the DLOC readiness criteria in accordance with Schedule 4 to the NZDF Output Plan. Quantity: Naval Helicopter Forces carry out a range of training activities in accordance with the NZDF Exercise Activity Schedule (EAS), the Squadron Training Programme, and the NZBR 99 (RNZN Operational Sea Training Instructions) to achieve DLOC. Note: Referred to as the Master Activity Schedule (MAS) in the 2006 SOI. Now renamed Exercise Activity Schedule (EAS). Combat Viability: Air and ground crews that meet the collective training standards, experience levels and qualification requirements for military tasks. Aircraft and equipment performance, reliability and technology that meet required standards for commitment to military tasks. Effective standardisation when working with friendly forces. Performance Achieved Two aircraft were available for sustained embarked operations from an effective fleet of four. In addition, sufficient aircraft were available to meet all shore-based training requirements. The fifth aircraft has not flown for over three years due to spares shortages. RNZN personnel states for aircrew have been short by one crew during the period. RNZAF maintenance manpower has been under establishment by approximately 15% for FY06/07. There has been some improvement in contractor support for spares, however, this support remains below that desired. One aircraft has not flown for three years so that it can be used as a source of spares for the remaining four aircraft. Work is ongoing to resolve the problem and return the fifth aircraft to service. The NHF flew 1,238 hours made up of 416 embarked and 822 from ashore. The reduction in shore-based DLOC readiness training hours was due to shortages in aircrew and serviceability issues. Quality The NHF met DLOC readiness criteria to conduct naval helicopter operations as demonstrated in embarked deployments with the Naval Combat Force. Nevertheless, this was limited to two deployable Seasprites due to spares and personnel. The NHF was able to practice most mission essential tasks in conjunction with a wide cross section of potential coalition partners to achieve DLOC. It participated in complex multinational warfare exercises as organic air assets of deployed Naval Combat Forces throughout Asia, Australia and the Pacific. All air and ground crews were qualified in accordance with their respective manuals of training. Experience across all aircrew categories was adequate. Experience amongst technical personnel, particularly with respect to embarked operations is increasing. The Seasprite airframe and engines are suitable for all of the tasks assigned and the aircraft is proving to be a reliable platform. The mission equipment is generally adequate for most low threat level tasks. However many deficiencies exist for operations in medium or higher threat military environments. Naval Helicopter Forces doctrine, training and operating procedures allowed integration with friendly forces as demonstrated during international exercises. Statement of Service Performance 4 1 No. 6 Squadron will remain under full command of the Chief of Air Force (CAF). Operational command will be exercised through the Air Component Commander (ACC) and OC 485 Wing for shore-based activities. When ships flights are required to embark, operational command will be assigned by ACC to the Maritime Component Commander (MCC), who will in turn assign operational control to the ship s Commanding Officer. The RNZAF is responsible for the training of RNZN Seasprite Helicopter aircrew and the provision of training of ship s flights maintenance personnel, for operational deployment by the RNZN. 97

98 NEW ZEALAND DEFENCE FORCE Targets Deployability: Naval Helicopter Forces capable of generating OLOC within the designated response time, as specified in Schedule 4 to the NZDF Output Plan. Aircraft, expendable and technical stores available to generate OLOC, as specified in Schedule 4 to the NZDF Output Plan and NZAP(S) 700. Sustainability Aircraft, expendable and technical stores available, as specified in NZAP(S) 700, to maintain OLOC for the designated operational viability period (OVP). Personnel available for sustainment/rotation of the Naval Helicopter Forces on continuous operations as specified in Schedule 4 to the NZDF Output Plan. Performance Achieved The NHF was prepared to deploy to conduct lower threat level employment contexts; however it is unable to generate OLOC for some capabilities in the medium to high threat environment due to constraints of mission equipment. The NHF was capable of generating OLOC for basic surveillance and attack roles in a low threat environment. Maintaining OLOC for the designated OVP was marginal due to limited spares availability. There were insufficient personnel to sustain the NHF on continuous operations. 4 Statement of Service Performance Contribution to Services Provided to Government and the Community A consolidated NZDF summary of the availability to provide services to the government and community, and of services provided during the year, is shown at the end of this Section. Costs for Output Expense 11 (GST Exclusive) 2005/06 ($ million) 2 Category Main Estimates ($ million) Supplementary Estimates ($ million) 2006/07 ($ million) Expenditure Personnel Operating Depreciation Capital Charge Total Expenses Revenue Revenue Crown Revenue Other Total Revenue Net Surplus (Deficit) This Output Expense was costed as part of Output Expense 2 during 2005/06. NEW ZEALAND DEFENCE FORCE

99 Output Expense 12: Maritime Patrol Forces Output Expense Components Provide Maritime Patrol Forces (MPF) from No 5 Squadron RNZAF prepared for the conduct of maritime surveillance, search and rescue missions, and maritime air operations under Employment Contexts 1, 2, 3, 4 and 5. (For details of Employment Contexts, see Section 2). Contribute to a range of services, including Multi-Agency Operations and Tasks (MAO&T), in support of other government departments, the community, and foreign and defence policy objectives, when not committed to operations, using the capabilities developed for the operational role. The induction of the P-3K Orion aircraft fleet in 2006/07 through to 2009/10, on a rolling upgrade programme, will reduce the full capacity of this Output Expense during the upgrade period. While the number of aircraft required by the Output Plan for OLOC should be maintained, the reduced fleet size will make it difficult to provide any significant operational deployments. The requirement to sustain core and DLOC training will also affect the nature and extent of tasking that can be undertaken by the unit during the period. Overview The MPF maintains six P-3K Orion aircraft as the operational platforms forming the basis of this Output. One aircraft was under the Mission Systems Upgrade (MSU) programme throughout the reporting period. The Orion aircraft is ideally suited to long-range maritime surveillance. The current MSU, combined with the 1999 structural refurbishment, will extend the aircraft service life out to around The contract for the P3 MSU was let to L3 Communications Integrated Systems in 2004, under the LTDP. The upgrade includes many of the aircraft s sensors, the data management system, and the communications and navigation systems. The first upgraded aircraft is due for completion in mid The remaining five aircraft upgrades will be completed by SAFE AIR in Woodbourne, with the last completed by late The obsolescent mission systems onboard the remaining P-3K Orions continue to limit availability and effectiveness for missions due to low sensitivity, limited capability, and regular equipment failures. The WESCAM MX20 electro-optical system has been fitted to three aircraft already and has provided an early return on investment with an enhanced ability to undertake military and civilian tasks, including overland surveillance. The LTDP also includes projects to upgrade the aircraft s self-protection and weapon systems. Over the last 12 months, crews have performed most of the major roles required of the Force, including the deployment for cooperative international exercises in support of New Zealand s various Defence agreements, routine surveillance of the New Zealand and South Pacific Island EEZs, completion of trials for operations to/from Antarctica, coverage of the Southern Ocean fishery area, and a variety of Search and Rescue missions. However, operational capacity has been limited by the loss of experienced personnel and shortages of both maintenance and aircrew personnel. Below: RNZAF flight engineer checking instruments on the flight deck of a P-3K Orion. Statement of Service Performance 4 Above: RNZAF P-3K Orion dropping a bomb. 99

100 NEW ZEALAND DEFENCE FORCE Highlights During the reporting period the MPF: conducted two deployments to FPDA exercises in South East Asia; conducted one deployment to an exercise with the Navies of the Republic of Korea and Japan; conducted several deployments to exercises in Australia; successfully completed Antarctic flight trials to enable greater support for Southern Ocean surveillance; conducted initial exercises with the NZ Army in overland operations; conducted South Pacific surveillance; conducted New Zealand EEZ surveillance, coordinated through the National Maritime Coordination Centre; maintained one aircraft and crew at two hours notice for Search and Rescue and contingency missions throughout New Zealand and the South Pacific; and completed the successful introduction of the new Electro-Optics capability. Performance Performance measurement for this Output Expense is in accordance with the standard measures for operational force outputs shown earlier in this Section. 4 Statement of Service Performance Targets Quantity: Two P-3K Orion aircraft available for deployed military tasks; aircraft to be sustainable on operations in accordance with Schedule 4 of the Output Plan. Provided from a total fleet of six Orions. A third P-3K Orion for maritime Search and Rescue and other emergency tasks, as required. Air and ground crews up to the RNZAF directed personnel levels. Equipment types and numbers as specified in Schedule 4 to the NZDF Output Plan, the Air Force publication NZAP(S) 700 and Standard Operating Procedures. Planned annual total Orion flying hours are 2,636 (target range 2,600 2,680 hours). Readiness Maritime Patrol Forces that meet the specified DLOC readiness criteria in accordance with Schedule 4 to the NZDF Output Plan. Performance Achieved Two P-3K Orion aircraft were available for deployed military tasks in accordance with Schedule 4 of the Output Plan. One P-3K Orion was available for maritime Search and Rescue and other emergency tasks. There were short periods of less than one day when a P-3K could not be provided due to unserviceability. There were insufficient aircrew personnel to generate the number of crews required to sustain the deployment requirements of Schedule 4 of the NZDF Output Plan. Efforts to regenerate aircrew numbers remain a high priority, but retention remains an issue. Equipment remains satisfactory for the most basic surveillance tasks, although the age of most sensors increases maintenance costs and limits surveillance information. Increased failure rates impact on mission completion rates and result in increasing maintenance and logistic support overheads. Interim, partial fleet-fit equipment modifications are problematic to operate and support due to their limited availability and the additional management cost of rotating equipment. No 5 Squadron flew a total of 2,256 hours, of which 1,736 hours directly contributed to the maintenance of DLOC. Other significant activities included EEZ surveillance patrols, disaster relief, and search and rescue operations. The reduction in the total hours flown was due to a variety of serviceability issues coupled with some activities not requiring the full flying hour allocation. Quality The MPF achieved the DLOC readiness criteria to conduct maritime surveillance in a low threat environment but was only partially prepared to conduct complex maritime air operations. The conduct of routine patrols of the NZ and South Pacific EEZs, and the surveillance of the Southern Ocean fisheries, demonstrates readiness for the basic surveillance mission. 100 NEW ZEALAND DEFENCE FORCE

101 Targets Maritime Patrol Forces carry out a range of training activities in accordance with the NZDF Exercise Activity Schedule (EAS), RNZAF Mission Essential Task Lists (under update) and the Squadron Training Programme. Combat Viability: Air and ground crews that meet the collective training standards, experience levels and qualification requirements for military tasks. Aircraft and equipment performance, reliability and technology that meet required standards for commitment to military tasks. Effective standardisation when working with friendly forces. Deployability: Maritime Patrol Forces capable of generating OLOC within designated Response Times, as specified in Schedule 4 to the NZDF Output Plan. Aircraft, munitions, expendable and technical stores available to generate OLOC, as specified in Schedule 4 to the NZDF Output Plan and NZAP(S) 700. Sustainability: Aircraft, munitions, expendable and technical stores available, as specified in relevant RNZAF publications, to maintain OLOC for the designated operational viability period. Personnel available for sustainment/rotation of the Maritime Patrol Forces on continuous operations as specified at Schedule 4 to the NZDF Output Plan. Performance Achieved The MPF carried out a range of training activities and exercised most Mission Essential Tasks in conjunction with a wide cross section of potential coalition partners during the period. During the year it participated in regional and local exercises with South and North East Asian, Australian and South Pacific forces. These exercises helped crews to develop and maintain a basic level of proficiency in military surveillance tasks, maritime anti-surface warfare, and a very basic level of anti-submarine warfare. All air and ground crews were qualified in accordance with their respective manuals of training. Experience across all aircrew categories was adequate, although a growth requirement to counter resignations and the need to expand flying outputs in future will dilute experience levels. Experience levels amongst technical personnel were critical but is improving under careful management. A shortfall in some readiness training activities due to aircraft unserviceability and exercise cancellation over the period limited DLOC generation for those activities. With focused effort, this shortfall is recoverable next FY. The P-3K Orion airframe and engines are suitable for all of the tasks assigned. The mission equipment limits output for many tasks. The number of partial-fit options, partial upgrades, and the lack of configuration consistency across the fleet reduces aircrew and maintenance crew readiness. Aircraft self-protection, under-surface sensors and weapon capability are inadequate for full employment across all contemporary P3 roles. These issues are under consideration by Defence Development staff. Some of these deficiencies will be addressed during the P3 MSU. MPF doctrine, training and operating procedures allowed integration with friendly forces as demonstrated during international exercises. However, mission systems and communication systems equipment limitations reduced the level of interoperability achievable in anything other than low intensity operations. The MPF demonstrated it was prepared to deploy to conduct lower level employment contexts through the range of exercises and deployments undertaken. The MSU and current obsolescent equipment and critical personnel shortages limited the ability to generate OLOC for the higher-end ECs. The MPF had insufficient weapons, expendables and technical stores to generate OLOC for other than short term, low threat environments. Extended lead time and limited suppliers of stores and munitions impacts on deployability. The MPF had insufficient weapons, expendables and technical stores to sustain OLOC for other than short term, low threat environments. Extended lead time and limited suppliers of stores and munitions impacts on sustainability. There were insufficient personnel to sustain the MPF on continuous operations in accordance with Schedule 4. Statement of Service Performance 4 101

102 NEW ZEALAND DEFENCE FORCE Contribution to Services Provided to Government and the Community A consolidated NZDF summary of the availability to provide services to the government and community, and of services provided during the year, is shown at the end of this Section. Costs for Output Expense 12 (GST Exclusive) 2005/06 ($ million) Category Main Estimates ($ million) Supplementary Estimates ($ million) 2006/07 ($ million) Expenditure Personnel Operating Depreciation Capital Charge Total Expenses Revenue Revenue Crown Revenue Other Total Revenue (0.124) Net Surplus (Deficit) Statement of Service Performance 102 NEW ZEALAND DEFENCE FORCE

103 Output Expense 13: Fixed Wing Transport Forces Output Expense Components Provide Fixed Wing Transport Forces (FWTF) from No. 40 Squadron RNZAF prepared for the conduct of strategic and tactical air transport operations under Employment Contexts 1, 2, 3, 4, and 5. For details of Employment Contexts, see Section 2. Contribute to a range of services in support of other government departments, the community, and foreign and defence policy objectives, when not committed to operations, using the capabilities developed for the operational role. Outputs Within Output Expense 13 Output 13.1: B757 Transport Force The provision of Boeing aircraft prepared for strategic air transport tasks, and support services for government and the community. The modifications to the B aircraft in FY 2006/07 through to 2007/08 will reduce the full availability of the fleet during this period. Output 13.2: C-130 Transport Force The provision of C-130 Hercules aircraft prepared for both strategic and tactical air transport operations, and support services for government and the community. The induction of the C-130 Hercules aircraft fleet in FY 2005/06 through to FY 2010/11 on a rolling upgrade programme will reduce the full capacity of this Output during the upgrade period. While the number of aircraft required by the Output Plan for OLOC should be maintained, the reduced fleet size will make it difficult to support any significant operational deployments during the upgrade programme. The requirement to sustain core and DLOC training will also affect the nature and extent of tasking that can be undertaken by the unit during the period. Overview The C-130 Hercules and Boeing 757 aircraft supported a wide range of NZDF, government and community activities during the year. These included operational support by both aircraft types to NZDF deployments in Afghanistan, the Solomon Islands, Timor Leste, Tonga, the United Kingdom and C-130 support to the New Zealand Antarctic Research Programme. Both aircraft types also supported a wide range of NZDF exercises and VIP tasks. Below: NZDF and Tongan Defence Personnel in Tonga with a RNZAF Boeing 757 aircraft in the background. Statement of Service Performance 4 Above: NZDF personnel with a RNZAF C-130 Hercules in Afghanistan. 103

104 NEW ZEALAND DEFENCE FORCE The Boeing serviceability has improved over FY 2006/07 largely due to revised engine overhaul processes and the improvement in spares provisioning. The induction of one Boeing to the upgrade process in March 2007 has meant an increased rate of effort on the remaining Boeing, particularly during April The modification process includes provision of a cargo capability which should reduce the demand on C-130 support in the future. The upgrade of the first aircraft is currently on target for a November 2007 rollout. The second aircraft will commence its modification in August 2007 with its planned completion in February The programme will see both aircraft unavailable over the August December 2007 period at least. Strategies are in place to manage strategic air transport over this period. The LTDP includes a C-130 Life Extension Project (LEP) which is being undertaken concurrently with an upgrade to the C-130 Communications and Navigation systems. These improvements will be completed over the FY2005/06 FY2010/11 timeframe and are designed to extend the aircraft s life, improve the reliability of avionics and environmental systems, and meet evolving global air traffic management standards. In the meantime, however, the C-130 fleet continues to suffer poor reliability largely due to age-related component failures. Whilst scheduled servicings and inspections successfully identify and rectify many critical areas, C-130 tasks continue to be affected by unpreventable system failures. Due to the limited overall airlift while both aircraft types are being upgraded, there is a requirement for greater planning certainty in order to ensure activities are supported adequately. Unscheduled maintenance now has a greater impact because of reduced fleet size due to the aircraft modification programmes. In addition, the criticality of personnel is now being realised because of concurrent training, operational commitments, and introduction into service activities. Highlights During the reporting period the FWTF: 4 Statement of Service Performance B757 Supported NZDF Operations: TGs Crib, Gyro, Rata and Koru. Supported Exercises: Bersama Pardu, Kiwi Spirit, Taiaha Tombak and Kerpimpinen. Transported the NZDF Command and Staff College to China as part of the Senior Staff Course Overseas Study Tour. Provided support for the funeral of the King of Tonga. Supported two Longlook exchange programs to the UK. Provided airshow support internationally (Waddington (UK), Kemble (UK), and Avalon (Australia)) and within NZ at the Whenuapai Open Day, Wigram, and Omaka. Transported 310 personnel as part of Operation Union Jack, the memorial commemorations in Hyde Park, London. Supported Operations Vivendi Foxtrot [Fiji] and Vivendi Tango [Tonga]. C-130 Provided support for the funeral of the King of Tonga. Successfully trialled the Generation III Missile Approach Warning System (MAWS) to subsequently support TG Teal deployments in October 2006 and April Successfully completed two TG Teal deployments in support of TG Crib 8 and 9 (October 2006 and April 2007 respectively) rotations. Conducted the deployment and re-deployment of NZDF elements to Tonga in support of Operation Vivendi Tango in November 2006, concurrent with Operation Icecube. Completed a successful Exercise Skytrain in Napier, meeting all training objectives and returning Hercules Flight to full DLOC capability. Deployed 3 Squadron to Timor Leste. 104 NEW ZEALAND DEFENCE FORCE

105 Performance Performance measurement for this Output Expense is in accordance with the standard measures for operational force outputs shown earlier in this Section. Targets Quantity: Two C-130 Hercules aircraft available for deployed military tasks; to be sustainable on operations in accordance with Schedule 4 of the NZDF Output Plan. (Provided from a total fleet of five C-130 Hercules aircraft.) 1 A third Hercules to be available for specified tasks under EC 1D and emergency tasks as required. One Boeing available for strategic transport tasks; to be sustainable for the expected duration of strategic transport tasks in accordance with Schedule 4 of the NZDF Output Plan. (Provided from a fleet of two B aircraft.) 2 An Aeromedical Evacuation (AE) element for strategic and tactical AE in support of land operations 3. Air and ground crews up to the RNZAF directed personnel levels. Crews include AE support staff; this will include joint and/or civilian medical staff for strategic and tactical AE, as required. The Boeings will fly a total of 1,278 hours (target range 1, ) and the Hercules will fly a total of 2,200 hours (target range 2,120 2,200). (The 2,200 Hercules hours reflects the total number of airframe hours that can be generated and supported during this period). Performance Achieved Two C-130 Hercules aircraft were available for deployed military tasks in accordance with Schedule 4 of the Output Plan. Apart from short periods due to unserviceability, a C-130 Hercules was available for these tasks. In the event of a contingency occurring during periods of unavailability, an aircraft would have been diverted from other tasking. Both Boeing aircraft were available for the majority of the period but from March 2007, the NZDF was limited to one B757 due to the commencement of the modification programme. Routine scheduled maintenance now has an increased impact, reducing the fleet to zero for short periods on a recurring basis. Limited operational AE was available. AE of high dependency cases requires civilian agency medical support and specialist equipment. Action has been taken to address equipment deficiencies, while specialist personnel requirements are the subject of further study. Aircrews were maintained at the manning levels specified, although identification of suitable AE support staff is required. Ground crews continue to be undermanned in critical supervision areas. The Boeing 757s flew a total of 1,393 hours that contributed directly to the maintenance of DLOC. The increase in serviceability has enabled a higher rate of effort and has allowed the ability to pick up any shortfall in the C-130 Hercules tasking. The C-130 Hercules flew a total of 1,985 hours of which 1,298 hours contributed towards the maintenance of DLOC. The reason for the reduced hours flown by the C-130 Hercules was due to a number of factors including: poor aircraft serviceability rates, particularly due to periods of unscheduled maintenance because of numerous age-related system faults that affected the ability to complete planned tasks; the cancellation of the later part of Exercise Tacex due to the requirement to support the King of Tonga s funeral and the cancellation of a significant portion of Operation Icecube, due to a reduced need to provide airlift support for the 2006/07 season. Statement of Service Performance 4 1 The number of C-130 Hercules aircraft available through to FY 2010/11 will be affected by the C-130 LTDP upgrade programme. At least one aircraft will be removed from service at any one time for the upgrade. In addition, the remaining aircraft will continue to be cycled through group and phase servicing requirements. 2 The ability of the B aircraft to support concurrent tasks will be affected by the planned modification programme. During that programme, for the period August 2007 to December 2007 at least, no B757 aircraft will be available. Strategies are in place to manage strategic air transport over this period. 3 The RNZAF is required to provide forward, tactical and strategic Aeromedical Evacuation (AE) services, including responsibility for the provision of AE-qualified personnel and associated AE equipment. For fixed wing tactical and strategic AE it is likely that, for high dependency cases, specialist support would be sought from other Services of the NZDF and/or non-defence resources. 105

106 NEW ZEALAND DEFENCE FORCE 4 Statement of Service Performance Targets Readiness: Fixed Wing Transport Forces that meet the specified DLOC readiness standards in accordance with Schedule 4 to the NZDF Output Plan. Fixed Wing Transport Forces (FWTF) carry out training activities in accordance with the NZDF Exercise Activity Schedule (EAS), RNZAF Mission Essential Task Lists (METLs) (under update action) and the Squadron Training Programme. Quality Combat Viability: Air and ground crews that meet the collective training standards, experience levels and qualification requirements for military tasks. Performance Achieved The Boeing 757 was partially prepared to meet required outputs. The C-130 Hercules was substantially prepared for operations at the lower end of the threat spectrum across the range of ECs. The FWTF carried out training activities in accordance with the EAS, METLs and training programme. The Boeing 757 provided strategic airlift support to a wide range of NZDF activities. The C-130 Hercules also provided strategic airlift support to a wide range of NZDF activities and also participated in exercises designed to practice the Mission Essential tactical airlift skills required of the unit. These exercises involved the integration of New Zealand tactical transport operations with those of a number of allied forces. FWTF air and ground crews were trained in accordance with the appropriate manuals, and met the standards and qualification requirements for all assigned military tasks. Shortfalls continue to exist in numbers of fully trained maintenance personnel. Although this has improved, it remains a challenge, particularly at the supervisory level, to meet the agility demanded by the training cycle and operational tasking. Unit personnel strength is consistently below establishment. The high operational tempo and government directed short notice tasks resulted in a shortfall in a number of DLOC training hours flown, especially for tactical operations. Participation in a number of operations and exercises, ranging from the tropical environment of the Solomon Islands and Timor Leste, through the mountainous regions of Afghanistan in support of Operation Enduring Freedom, to the ice runways of Antarctica, demonstrated the ability of the C-130 Hercules and its crews to operate in challenging environments globally. 106 NEW ZEALAND DEFENCE FORCE

107 Targets Aircraft and equipment performance, reliability and technology that meet required standards for commitment to military tasks. Effective standardisation when working with friendly forces. Deployability: Fixed Wing Transport Forces capable of generating OLOC within designated Response Times, as specified in Schedule 4 to the NZDF Output Plan. Aircraft, expendable and technical stores available to generate OLOC, as specified in Schedule 4 to the NZDF Output Plan and NZAP(S) 700. Sustainability: Aircraft, expendable and technical stores available, as specified in NZAP(S) 700, to maintain OLOC for the designated operational viability period (OVP). Performance Achieved Modifications, including cargo door, strengthened floor, and air stairs are required before the Boeing 757 can fully meet its capability requirements. The modification program commenced in March 2007 with each aircraft taking approximately seven months. Modifications to the first aircraft are due to be completed in November 2007, while the second aircraft is due to be completed in late February The reliability and other age-related factors of the C-130 Hercules continue to deteriorate. The limited availability of rotable spares has had an adverse effect on serviceability. In particular, the aircraft radar, the self- protection system, hydraulics, powerplant and propeller, electrical subsystems, fuel systems, navigation systems, and fire/overheat warning systems are affected. The upgrade of avionics and structural components during the C-130 life-extension program will address most of these issues. Extensive modification to the C-130 Missile Approach Warning System [MAWS] was conducted throughout the period and has significantly improved the serviceability of this system. Continued self protection system [SPS] deficiencies, outside MAWS serviceability, present a significant risk to the conduct of C-130 operations in medium to high threat operations, but should be addressed through the recently approved SPS upgrade programme. The FWTF continue to utilise doctrine, standards and procedures that allow the smooth integration with a variety of friendly forces. Equipment limitations, such as the lack of night vision capability, are now affecting interoperability. Capital acquisitions and the introduction of the C-130 LEP into service will address such deficiencies in the short and medium term. The Boeing was partially prepared to meet required outputs as they still require modification to fully meet the Output. The Boeing 757 was held at DLOC, which equates to OLOC for its strategic transport tasks. The C-130 fleet was capable of generating OLOC, within the designated response times, for low to medium threat environments. Sufficient expendable and technical stores were available to generate OLOC. Spares availability for the Boeing has substantially improved, although corrosion in some components continues to be of concern. Spares availability is improving with experience and maturing support systems, but long lead-times are a reality when dealing with the logistics support of the Boeing 757. Sufficient expendable and technical stores were available to maintain OLOC at medium intensity levels in a low-threat environment for the prescribed periods. Statement of Service Performance 4 107

108 NEW ZEALAND DEFENCE FORCE Targets Personnel available for sustainment/rotation of the Fixed Wing Transport Forces on continuous operations as specified in Schedule 4 to the NZDF Output Plan. Performance Achieved Sufficient aircrews were available to sustain deployed operations. However, the occurrence of multiple, concurrent and short notice deployments placed significant and unsustainable strain on the entire Squadron. The posting of two C-130 crews to the LEP will significantly reduce capability further for the FY2008/09 period. The introduction into service of the Boeing 757 will also impact with personnel being reduced to two crews, vice establishment of four, for a short time while both aircraft are undergoing modification. Generation of crews is a critical area that will require appropriate prioritisation of training in the short-term so that by mid 2008 four crews will be on strength. 4 Statement of Service Performance Contribution to Services Provided to Government and the Community A consolidated NZDF summary of the availability to provide services to the government and community, and of services provided during the year, is shown at the end of this Section. Costs for Output Expense 13 (GST Exclusive) 2005/06 ($ million) Category Main Estimates ($ million) Supplementary Estimates ($ million) 2006/07 ($ million) Expenditure Personnel Operating Depreciation Capital Charge Total Expenses Revenue Revenue Crown Revenue Other Total Revenue (0.533) Net Surplus (Deficit) (1.214) Cost by Output Output Output NEW ZEALAND DEFENCE FORCE

109 Output Expense 14: Rotary Wing Transport Forces Output Expense Components Provide Rotary Wing Transport Forces (RWTF) from No. 3 Squadron RNZAF prepared for the conduct of tactical air transport operations, including Aeromedical Evacuation (AE), and counter-terrorist operations, under Employment Contexts 1, 2, 3, 4, and 5. (For details on Employment Contexts, see Section 2.) Contribute to a range of services, including Multi-Agency Operations and Tasks (MAO&T), in support of other government departments, the community, and foreign and defence policy objectives, when not committed to operations, using the capabilities developed for the operational role. Overview The 14 UH-1H Iroquois helicopters perform a wide range of tasks in support of NZDF operations and activities, in addition to supporting other government agencies and the community. The primary role of the Iroquois is the provision of tactical air transport to both conventional and counter-terrorist military operations. Other tasks include Aeromedical Evacuation and Search and Rescue. The RNZAF Iroquois fleet has provided 41 years service and limitations in its capabilities are becoming more pronounced. In particular, the limited lifting capacity in hot environments and high altitudes, and the lack of self-protection equipment are placing greater constraints on the operational utility of the aircraft. A contract has now been signed with NH Industries to replace the Iroquois with the NH-90, and at the time of writing tender evaluation is still progressing for the procurement of a Training/Light Utility Helicopter, which will replace the aging Sioux fleet. Highlights During the reporting period the RWTF: prepared and successfully deployed two crews and two Iroquois to Dili, Timor Leste for TG Manu; completed Exercise Steel Talon that successfully validated RWTF preparedness and training; and provided helicopter support to the NZ Army, RNZN, NZ Police, NZ Civil Defence, DOC, and a variety of other civil and government agencies. Performance Performance measurement for this Output Expense is in accordance with the standard measures for operational force outputs shown earlier in this Section. Below: RNZAF Iroquois helicopter preparing for takeoff at Exercise Skytrain in Napier. Statement of Service Performance 4 Above: RNZAF Iroquois helicopter crewman winches a search and rescue volunteer into rugged bush on Mount Arthur during a search and rescue operation. 109

110 NEW ZEALAND DEFENCE FORCE 4 Statement of Service Performance Targets Quantity: Six UH-1H Iroquois helicopters available for military tasks; to be sustainable on operations in accordance with Schedule 4 of the NZDF Output Plan. (Provided from a total fleet of 14 Iroquois helicopters.) 1 Two additional helicopters on standby for rapid response tasks under EC1 and for search and rescue. A forward and tactical Aero Medical Evacuation (AE) element for the support of land operations. 2 Air and ground crews up to the RNZAF directed personnel levels. Equipment types and numbers as specified in Schedule 4 to the NZDF Output Plan, and relevant RNZAF publications. Performance Achieved Six helicopters were available for military tasks in accordance with Schedule 4, however crew shortages limited capability. Two aircraft were available for rapid response tasks under EC1 and one aircraft was available for search and rescue in accordance with Schedule 4 of the NZDF Output Plan. Forward and Tactical AE was available when required. High dependency cases require Army medical support on board. Air and ground crew numbers have generally been around percent of establishment, with a slight trend upward late in the period. In particular, the aircrew state has compromised the ability of the RWTF to meet its designated outputs for other than EC 1. The Iroquois helicopter was equipped and supported as specified. Planned annual Iroquois flying hours are 4,708 (target No. 3 Squadron flew a total of 4,089 Iroquois hours range 4,650 4,770 hours). for the 06/07 FY. The reduction of hours is mainly attributed to: reduced aircrew numbers, efficiencies in management of continuation flying, and the cancellation of Exercises Pekapeka and Tropic Astra. Offsetting the hours savings was an increase in tasking hours to NZDF and other government agencies of 388 hours and an additional 165 hours in support of TG Manu in Timor Leste. Quality Readiness: Rotary Wing Transport Forces that meet the specified DLOC readiness standards in accordance with Schedule 4 to the NZDF Output Plan. Rotary Wing Transport Forces carry out a range of training activities in accordance with the NZDF Exercise Activity Schedule (EAS), RNZAF Mission Essential Task Lists (METLs) (under update action) and the Squadron Training Programme. Combat Viability: Air and ground crews that meet the collective training standards, experience levels and qualification requirements for military tasks. Aircraft and equipment performance, reliability and technology that meet required standards for commitment to military tasks. RWTF personnel met the readiness requirements for DLOC across all roles/tasks. The shortfall of personnel, however, still leaves the RWTF only partially prepared for lower level contingencies. The RWTF maintained OLOC for EC1D. The RWTF conducted training activities with other NZDF units, NZ government agencies and foreign forces. Activities included Exercise Steel Talon (tactical transport operations), and Exercise Blackbird (mountain flying). Exercise Tropic Astra (tropical operations) and Exercise Pekapeka (night vision goggle operations) were cancelled due to the TG Manu deployment to Timor Leste. Air and ground crews were trained in accordance with the appropriate standards and met the levels of experience required for the conduct of military tasks. Aircraft and equipment performance and reliability continue to limit the capability of the RWTF. In particular, the performance of the aircraft in bad weather, at night and in hot and high conditions is unsatisfactory. The problem of main rotor blade delamination continues to be effectively managed, but at additional cost in both increased consumption of rotor blades and an increased maintenance burden. 1 Seasprite naval helicopters are provided under Output Expense 11. No. 6 Sqn, RNZAF is responsible for their maintenance and for the training of crews to DLOC. For the planned annual Seasprite flying hours see Output Expense The RNZAF is required to provide forward and tactical Rotary Wing AE services, including responsibility for the provision of AE-qualified personnel and associated AE equipment. 110 NEW ZEALAND DEFENCE FORCE

111 Targets Effective standardisation when working with friendly forces. Deployability: Rotary Wing Transport Forces capable of generating OLOC within the designated response time, as specified in Schedule 4 to the NZDF Output Plan. Aircraft, expendable and technical stores available to generate OLOC, as specified in Schedule 4 to the NZDF Output Plan and NZAP(S) 700. Sustainability: Aircraft, expendable and technical stores available, as specified in relevant RNZAF publications, to maintain OLOC for the designated operational viability period. Personnel available for sustainment/rotation of the Rotary Wing Transport Forces on continuous operations as specified in Schedule 4 to the NZDF Output Plan. Performance Achieved RWTF doctrine, training and procedures allow smooth integration with a variety of friendly forces in limited, low-level contingency operations such as in the Solomon Islands. The lack of RWTF exposure to a large scale combined exercise for a decade limits the ability to effectively measure standardisation in higher level, combined arms operations. The RWTF was capable of generating OLOC within the designated response time, albeit for a smaller commitment due to aircrew manning. The current Iroquois fleet lacks adequate levels of aircraft performance and self-protection to meet the OLOC requirements in a medium/high-threat environment, as specified in Schedule 4 to the NZDF Output Plan. Sufficient stores were available to generate OLOC. Additional aircraft spares are being purchased to allow concurrent operations and deployments within New Zealand. Purchases will be completed in time to achieve tasks as scheduled. Aircraft, expendable and technical stores were available to maintain OLOC for designated periods. The RWTF is not currently manned to support continuous or surge operations as specified in Schedule 4 to the NZDF Output Plan. Squadron personnel were available to provide for the sustainment/rotation of the RWTF at significantly lower commitment levels. Contribution to Services Provided to Government and the Community A consolidated NZDF summary of the availability to provide services to the government and community, and of services provided during the year, is shown at the end of this Section. Costs for Output Expense 14 (GST Exclusive) 2005/06 ($ million) Category Main Estimates ($ million) Supplementary Estimates ($ million) 2006/07 ($ million) Expenditure Personnel Operating Depreciation Capital Charge Total Expenses Revenue Revenue Crown Revenue Other Total Revenue (0.136) Net Surplus (Deficit) Statement of Service Performance 4 111

112 NEW ZEALAND DEFENCE FORCE Output Expense 15: Miscellaneous Support Activities Output Expense Components The provision of the NZDF training infrastructure and planned support to regional Defence Forces and the New Zealand community that is provided by identified elements of the NZDF. It includes support provided under the auspices of the Mutual Assistance Programme, support for the New Zealand Cadet Forces, training of Limited Service Volunteers and the provision of Service Museums. Outputs Within Output Expense 15 Output 15.1: Mutual Assistance Programme The provision of instructors, facilities and resources to conduct training for, and provide technical advice to, regional defence forces and law enforcement agencies under the Mutual Assistance Programme (MAP). Assistance is provided in New Zealand and in participant countries. Output 15.2: NZ Cadet Forces Support The provision of personnel to provide general policy guidance, uniforms, administrative support and military training assistance, for all approved New Zealand Cadet Forces (NZCF) units. 1 Output 15.3: Limited Service Volunteer Training The provision of NZDF training staff and facilities required for participation in the community training scheme to encourage the unemployed or disadvantaged youth towards employment under the Limited Service Volunteer (LSV) scheme. 2 Output 15.4: Service Museums The provision of staff, infrastructure and resources to Service Museums to ensure the preservation and presentation of New Zealand s significant military history. 4 Statement of Service Performance 1 As at 1 July 2006, the NZCF comprised of 293 NZCF officers and 3,158 cadets within 106 Cadet Force Units across New Zealand. The personnel figures fluctuate from month to month, especially at the end of school year. 2 The Memorandum of Understanding (MOU) between the Ministry of Social Development (MSD) and the NZDF relating to the conduct of the LSV Scheme was due for renewal by 30 June It is not expected there will be any changes to existing arrangements. Below: Chief of Army (standing at right) addresses MAP students during their staff course in New Zealand. Above: New Zealand and Canadian cadets at Naval Air Station Whidby Island, USA, as part of the New Zealand Cadet Force International Exchange Programme. 112 NEW ZEALAND DEFENCE FORCE

113 Highlights During the reporting period, the NZDF continued to provide valuable training and technical assistance to countries in the Asia and Pacific regions under the MAP. Talks were conducted with the Cook Islands, Brunei, Malaysia, Philippines and Singapore to encourage the development of long-term training plans based on mutually assessed needs. Talks were also conducted with the Australian Defence Cooperation Programme staff and other donors such as France and USA to ensure better co-ordination between our respective military assistance programmes in the Pacific. Despite ongoing operational commitments, the NZDF continued to provide a high level of support to NZCF and LSV training activities. For the NZCF, this comprised 42 courses for cadets and 34 courses for NZCF officers. Five courses were provided for LSVs. Output 15.4 (Service Museums) is being reported for the first time in the 2006/07 year. All museums attracted a growing number of visitors and provided a range of exhibitions and activities to promote the proud heritage and history of the three Services. Performance Output performance is measured by the degree of satisfaction expressed by the authorities requesting the assistance in accordance with their annual programmes. Training and administrative support will be provided in accordance with NZDF quality standards as modified with senior staff from the requesting organisation. Quality will be assessed by the regular evaluation of significant issues, the capacity to react to requests for assistance and the provision of adequate support from the limited resources available. This will include: For MAP. The monitoring and analysis of MAP activities within each country programme through various processes, including post-activity reports and evaluation of the training outcomes against identified needs. For NZCF. The effectiveness of the support provided to the NZCF is assessed from the reports of Area Coordinators, Cadet Unit Commanders, feedback from the public and the overall evaluation by the Commandant NZCF. For LSVs. Analysis of the training objectives achieved, the reported post-course employment status of scheme participants, and feedback from the public and the Ministry of Social Development. For Service Museums. Annual review against Service Museum benchmarks and periodic review against the New Zealand Museum Standards Scheme. Targets Training and technical assistance for the Mutual Assistance Programme (MAP) anticipated to be in the range of 200 to 250 activities. Each activity could include formal training, technical advice, attachments, study, mobile training teams, exchanges and minor construction teams both in New Zealand and overseas. Quantity: Performance Achieved The MAP delivered 94 out of 155 activities, which included training assistance provided to the defence forces and law enforcement agencies of MAP partners via Mutual Assistance Training Teams (MATTs), technical advisors, NZDF courses, tertiary study, exchanges and attachments. The drop in the initial targets of 200 to 250 activities can be attributed partly to the suspension of Fiji and Thailand from the MAP, delay with Timor Leste joining the MAP as planned due to ongoing operations there under Output 16, a number of courses not being available due to the increasing specialist requirements and NZDF specific only e.g., SAP (high-end finance application) making them unsuitable for MAP students. In addition, some of the planned MAP activities were unable to be delivered due to course cancellation by the NZDF Services or by the MAP countries concerned. Of the total training activities completed, about 70% were undertaken with Pacific MAP partners while the rest were conducted with Asian MAP partners. Approximately 75% of the MAP operating and personnel expenditure of about $2m was spent on Pacific MAP activities while the majority of the rest was expended on MAP activities conducted with Asian partners. Statement of Service Performance 4 113

114 NEW ZEALAND DEFENCE FORCE 4 Statement of Service Performance Targets Support for the New Zealand Cadet Forces (NZCF) in 2006/07 will involve the conduct of 36 courses for NZCF officers and 38 courses for cadets amounting to about 2,911 officer training days and 10,086 cadet training days. Permanent staff includes 27 Tri-Service, Regular Force training and support staff and four civilian administrative staff. (Training days do not include community projects completed at the local level). Special Training for Limited Service Volunteers (LSV), to include five courses (each of six weeks duration) for up to a total of 720 unemployed people between the ages of 17 and 25 years for the training year (1 Jul Jun 07). Provision of staff, infrastructure and resources to Service Museums to ensure the preservation and presentation of New Zealand s significant military history. Performance Achieved The main outcomes were: MAP talks were conducted with the Cook Islands, Brunei, Fiji [pre coup], Malaysia, Philippines and Singapore. A continuing objective of MAP talks has been to encourage MAP partners to develop longterm training plans based on mutually assessed needs. This is now being reflected in the range and type of courses and activities being requested. Thailand and Fiji were suspended from the MAP. MAP will sponsor a Timor Leste National Defence Force officer to attend the 2008 NZ Army Commissioning Course. Talks were conducted with the Australian Defence Cooperation Programme (DCP) staff and other donors such as France and USA to ensure better co-ordination between our respective military assistance programmes in the Pacific. Ongoing collaboration with NZ Police on the provision of training assistance to disciplined forces in the South Pacific. This includes holding joint NZDF-NZ Police MAP talks with MAP partners as appropriate. Four MATTs were successfully completed as follows: Tonga: Junior leadership training and Logistics/ Stores procedures (two MATTS). Papua New Guinea: Recruit Instructor Training and Training Design. Philippines: Instructional Techniques. A summary of MAP activities provided during the reporting period, by country, is shown at the end of this section. Support has been achieved for 103 cadet units comprising 330 officers and 3,671 cadets. A total of 3,082 officer training days and 9,920 cadet training days were provided. This comprised 34 courses for NZCF officers and 42 courses for cadets. The average cadet parade attendance during the year was 2,416. Five LSV courses of six weeks were held offering 720 places (144 per course). A total of 431 trainees commenced training and 345 trainees completed training. Management of the LSV scheme was achieved during the training year by a Memorandum of Understanding (MOU) between NZDF and Ministry of Social Development (MSD) valid for 12 months only. Recently, MSD submitted a proposal which would provide for an increase in the annual subsidy for the LSV scheme and also proposed that a new MOU be drawn up for a three year period commencing 1 July At the time of writing, this proposal is currently under consideration by NZDF. Staff, infrastructure and resources were provided to Service Museums to ensure the preservation and presentation of New Zealand s significant military history. 114 NEW ZEALAND DEFENCE FORCE

115 Targets Service Museums at Devonport (Navy), Waiouru (Army), and Wigram and Ohakea (Air Force). Complete the MAP country programmes and activities consistent with the MAP policy objectives and standards agreed with the participant defence forces and law enforcement agencies, and consistent with NZDF practices. Meet the training, course and exercise objectives of the NZ Cadet Forces. Conduct courses that meet the requirements of the NZQA framework, where appropriate. Meet NZDF standards for the administrative support provided to NZCF units. Complete training courses to standards agreed with the Ministry of Social Development (MSD). Performance Achieved Total visitors for the Navy Museum were 11,292 compared with 8,619 for the same period in the 05/06 FY. This demonstrates an increase in total visitor numbers of 31 % over the previous year. The figures included casual visitors, visitor groups, school groups and service groups. The Navy Museum delivered four major exhibitions and eight smaller exhibitions or displays, of which nine exhibitions or displays were held at venues other than the Navy Museum. This strategy supported the Museum Board s outreach objectives and also assisted in making the naval heritage story more accessible. The first edition of the Navy Museum heritage journal The White Ensign was published in March 2007 and the Museum s website was launched in November During the last year the Army Museum had around 50,000 visitors. Key activities which occurred through the year included: Conducting restoration work on the Army Museum vehicle collection utilising volunteers. Projects include the restoration of the Centurion Tank, the M41 Tank Turret, the Valentine Tank and the Diamond T Truck. Supporting the Passchendaele Exhibition held in Belgium. Providing Charles Upham s medals on long term loan to the Imperial War Museum. Total visitors for the Air Force Museums were 55,900. For Wigram, visitor numbers increased by 30% and were the highest since Education visitors were 5080 an increase of 5% on 2005/6 FY. The Air Force Museum at Wigram held a very successful open day in February 2007 and over 700 people attended its annual ANZAC Day commemoration service. The Exhibition Centre at Ohakea was closed during the reporting period. Quality Based on the feedback received, all MAP training and projects undertaken achieved the standards identified with recipient countries. Training delivered by the NZDF to the NZCF has been consistent throughout the organisation and has met the nationally agreed objectives. NZDF delivered training and support to NZCF units has been of a nature commensurate with the civilian and voluntary nature of the NZCF. Permanent staff support during the year has been maintained at 27 Regular Force personnel and five civilian staff and met the required standard. Training courses were completed to agreed standards. The MSD has stated that the LSV scheme continues to be a useful component to the Residential Motivational Programmes (RMT) sponsored by the Ministry. Work outcomes for LSV graduates compare very favourably with trainees from other RMT courses. Statement of Service Performance 4 115

116 NEW ZEALAND DEFENCE FORCE Targets Services provided in accordance with the relevant trust deeds and the Memorandums of Understanding (MOU) between each of the Services and the individual Museum Trust Boards. Performance Achieved During the year, services were provided in accordance with relevant trust deeds and MOUs to the satisfaction of visitors. Visitor feedback for the Navy Museum was gathered daily during the reporting period with the Visitor Satisfaction Index indicating almost 98% found the Museum s exhibitions excellent or very good and 100% of visitors rated their overall visit as either excellent or very good. Results from the in-house surveys conducted by the Army Museum indicate patrons have provided positive feedback on the museum, facilities provided and exhibitions. A 100% visitor survey rating of satisfied or better was maintained for the Air Force Museums. Summary of MAP Activities by Country for the 2006/07 Reporting Year Brunei Cook Is Fiji (6) Malaysia Niue PNG Philippines Samoa Singapore Solomon Is Thailand (6) Timor Leste Tonga Vanuatu Other 4 Statement of Service Performance NZDF Command and Staff College (1) (2) Training in NZ (RNZN) (1) Training in NZ (NZ Army) (1) Training in NZ (RNZAF) (1) Attachments in NZ (1) NZDF Technical Advisers (3) Mutual Assistance Training Teams visiting (4) Sponsored Activities (5) MAP talks Notes: 1. Where a number is expressed that is the number of people from that country who took part in training. 2. Indonesia and China have one officer each on course. 3. Based in country for 2 3 year tours of duty. 4. Denotes number of NZDF teams, not people. 5. MAP sponsor a student from China and Republic of Korea on the MPhil degree programme with Massey University. 6. Country was suspended from MAP programme following NZ government direction. 116 NEW ZEALAND DEFENCE FORCE

117 Costs for Output Expense 15 (GST Exclusive) 2005/06 ($ million) Category Main Estimates ($ million) Supplementary Estimates ($ million) 2006/07 ($ million) Expenditure Personnel Operating Depreciation Capital Charge Total Expenses Revenue Revenue Crown Revenue Other Total Revenue (0.158) Net Surplus (Deficit) (0.215) Cost by Output Output Output Output 15.3 Output Statement of Service Performance 4 3 This Output commenced from 2006/

118 NEW ZEALAND DEFENCE FORCE Output Expense 16: Operationally Deployed Forces Output Expense Components Provide individuals, small detachments, units and equipment prepared to meet government s agreed commitments to peace support activities, and military operations. Overview Operational deployments directed by the government require input from all three Services. Operational command of these forces is assigned to Commander Joint Forces New Zealand for military operations and for mutually agreed Joint (more than one Service) and Combined (more than one Nation) training. New Zealand currently contributes to a wide range of peace support activities and military operations under Output Expense 16 (as described in the following pages). Headquarters Joint Forces New Zealand facilitates the planning, command and conduct of these operations, along with the provision of operational support to other government departments such as Customs, the Department of Conservation, NZ Police, and the Ministry of Fisheries. Highlights Over the last twelve months the main effort for Headquarters Joint Forces New Zealand has continued to be the campaign planning, deployment and the rotation of force elements in support of Operation Enduring Freedom, operations in Timor Leste and the Solomon Islands as well as the various smaller missions. Towards the end of 2006, a contingent of 72 NZDF troops deployed to Tonga to help restore calm following riots and disorder. The NZDF were also on standby to evacuate New Zealand nationals from Fiji following the military coup there in December A C-130 Hercules aircraft and support staff deployed on two occasions in support of rotations for the Provincial Reconstruction Team. Performance 4 Statement of Service Performance Output performance is measured by the degree of satisfaction expressed by the authorities requesting the assistance. The key elements are complete satisfaction with the performance of duties throughout deployments, and satisfactory performance of equipment provided by the NZDF, when applicable. The performance measures are the evaluation of reports from the host organisation, the evaluation of reports from the senior in-theatre NZDF commander, and the evaluation of reports from visiting NZDF staff. The level of capability achieved by individuals, detachments or units before departure is assessed by the designated Operational Commander. Quantity Targets Maintain the commitments specified by government in its approval for each task/mission/operation. Below: A NZDF engineer clearing mines in Lebanon. Above: A NZDF soldier greets a young boy in Timor Leste. 118 NEW ZEALAND DEFENCE FORCE

119 Performance Achieved All missions were successfully achieved. At the start of the reporting period, 444 NZDF personnel were posted overseas on operations; in June 2007 this number had reduced slightly to 420. The number of personnel deployed operationally overseas peaked at 538 during the November 2006 TG Ariki change over. In addition to these operations, NZDF ships, aircraft and military units have routinely been deployed in the Asia/Pacific region for training exercises, patrols and surveillance support to Pacific nations. These activities have seen up to an additional 372 (Feb 2007) personnel deployed. NZDF personnel served on the following missions during : Region and Mission Pacific United Nations Integrated Mission in Timor Leste (UNMIT) NZDF Commitment The NZDF has deployed United Nations Military Observers (UNMO) to Timor Leste since October There is currently one NZDF UN Military liaison Officer deployed in Timor Leste. In November 2006, the NZDF deployed one Logistics Officer and one Personnel Officer to support the Office of Defence Force Development (ODFD). These officers provide advice and policy to the Defence Force Timor Leste. Since late May 2006, an Infantry Company Group has also been deployed. Current total strength is 148 (including seven in Darwin). In late April 2007, NZDF deployed a 3 Squadron detachment consisting of 2 UH-1H helicopters and 32 personnel to provide support to Combined Joint Task Force (CJTF) 631. NZDF has been operating in the Solomon Islands since July A NZ platoon of 43 persons is currently in theatre operating under the command of Combined Task Force (CTF) 635 conducting Provincial presence patrols, CBD security patrols in Honiara and external security at Rove Prison. One NZDF officer is posted as Deputy Commander of CTF 635. A contingent of 72 troops deployed to Tonga on 16 November 2006 to help restore calm following riots and disorder. The contingent returned to New Zealand 2 December For two weeks New Zealand led a combined task force with Australian troops to assist the Tongan Defence Services and government. (Operation KORU) (Task Group TOA) (Task Group KAIHANGA) (Task Group GYRO) (Task Group MANU) Regional Assistance Mission Solomon Islands (RAMSI) (Operation RATA II) Operation VIVENDI TANGO (Tonga) Asia Support to Multinational Operations against transnational terrorism in Afghanistan (Operation ARIKI) One NZDF Officer is currently deployed to the Coalition Joint Task Force HQ (CJTF 82). Two NZDF Sergeants are attached to a British battalion as part of the United Kingdom Leadership Training Team (UKLTT-A) of the Office of Military Cooperation in Afghanistan (OMC-A). Statement of Service Performance 4 119

120 NEW ZEALAND DEFENCE FORCE 4 Statement of Service Performance Region and Mission (Task Group KEA/RUA) (Task Group TROY) (Task Group CRIB) (Task Group SPEAK) (Task Group AFFIRM) (Task Group TEAL) UN Command Military Armistice Commission in Korea (UNCMAC) (Operation MONITOR) Middle East United Nations Assistance Mission to Iraq (UNAMI) (Operation HAVEN) (Task Group IRON) New Zealand Contingent Multinational Force and Observers (NZCMFO) (Operation FARAD) UN Truce and Supervisory Organisation (UNTSO) (Operation SCORIA) NZDF Commitment Three NZDF personnel are deployed to the International Security Assistance Force (ISAF) HQ in Kabul, two as Staff Officers and one as a driver in the support, works, plans and mine awareness areas. Five NZDF personnel provide a support mechanism for NZDF Force Elements deployed to the Gulf Region and to assist co-located coalition partners. The NZDF maintains a presence of 110 personnel as a Provincial Reconstruction Team (PRT) in Bamian, Afghanistan. 12 personnel are based in Bagram as the PRT National Support Element. Three NZDF officers are based at US CENTCOM in Florida to provide planning advice and assistance for Operation ENDURING FREEDOM in Afghanistan. The NZDF contributes one officer to work as a Military Advisor for the United Nations Assistance Mission in Afghanistan (UNAMA) for the Military Advisory Unit (MAU). The incumbent, works as the Chief of Staff and Deputy to the Senior Military Advisor in Kabul. The MAU provides the strategic interface between the UN and Afghan authorities, and primary liaison between ISAF and the UN, for security sector reform. In October 2006, and April 2007, a NZDF C-130 Hercules aircraft, and 42 NZDF personnel deployed to the Middle East in support of TG CRIB rotations in Afghanistan. Three NZDF officers are deployed to the United Nations Command Military Armistice Commission (UNCMAC) in South Korea as part of an ongoing NZ commitment. The three posts currently filled are: Assistant Operations Officer, Assistant Corridor Control Officer-West, and Assistant Corridor Control Officer-East. This mission comprises of one NZDF Liaison Officer who is a Military Advisor (MILAD) for the UN Assistance Mission in Iraq (UNAMI) providing liaison between UNAMI, the Multinational Force and Iraqi security forces, as well as providing advice on military matters to the UN Special representative of the Secretary General (SRSG). The Multinational Force and Observers (MFO) is an 11 nation commitment based at El Gorah in the north of the Sinai Peninsula, established to uphold the conditions set down in the Treaty of Peace signed between Egypt and Israel in The NZDF contribution commenced in 1982 and currently consists of a 26-person contingent providing expertise in operations, driving and training. Personnel fill headquarters staff, liaison, operations, engineering, logistics, driver and training team positions Since 1954 NZ has supported UNTSO. The NZDF currently have eight personnel committed to the mission. NZDF personnel are located in UNTSO HQ, Jerusalem; Observer Group Golan Damascus and Tiberias (OGG-D and OGG-T); and Observer Group Lebanon (OGL). 120 NEW ZEALAND DEFENCE FORCE

121 Region and Mission United Nations Mine Action Co-ordination Centre Southern Lebanon (UNMACC-SL) (OP LIMA) Europe European Union Force Command (EUFOR) (Operation STANDARD) (Operation FORD II) UN Mission In Kosovo (UNMIK) (Operation KOSTER) Africa United nations Mission in Sudan (UNMIS) (Operation SUDDEN) NZDF Commitment In February 2007, NZDF deployed a 10 person Explosive Remnants of War Disposal (ERWD) team to Southern Lebanon. The Team is operating in Direct Support to UNMACC-SL for one year. The team locates, map and destroy unexploded ordinance. The Team consists of an Explosive Ordnance Disposal (EOD) team and a Technical Assistance team. NZ s commitment to the Balkan states commenced in Three officers are currently attached to the Headquarters of the Liaison and Observation Teams (LOT) in Banja Luka, Bosnia-Herzegovina. The withdrawal and closure of the Mission is scheduled for 30 June Eight NZDF personnel were attached to British Army units assigned to EUFOR in Bosnia- Herzegovina as a Liaison and Observation Team (LOT). This mission closed on 30 April In Jun 1999, the Security Council authorised the establishment of an interim civil administration in Kosovo. NZDF maintains one staff officer as a Military Liaison Officer attached to the UNMIK HQ in Pristina. In Sep 2005 the NZDF deployed one UNMO to UNMIS. This was increased to three officers from Nov The performance of the NZDF against the following targets was assessed against United Nations Department of Peace Keeping Operations requirements. Targets Personnel to be at OLOC before deployment. Services provided to the satisfaction of Coalition Commanders, Contingent Commanders and staff responsible for each task. Standards achieved as agreed with the parent organisation requesting NZDF participation. Timely replacement of each element or individual, when requested. Performance Achieved Personnel were at OLOC before departure. Services were provided to the satisfaction of Coalition Commanders, Contingent Commanders and staff responsible for each task. A number of personnel achieved citations and certificates of merit from various missions. Standards were met. In most instances, individuals were replaced as required with suitably qualified personnel. NZDF wide personnel shortfalls remain a risk. Statement of Service Performance 4 121

122 NEW ZEALAND DEFENCE FORCE 4 Statement of Service Performance Quality The NZDF continues to receive positive feedback on its performance on overseas missions. During the year under review, the US government awarded NZDF personnel medals and citations for their service in Afghanistan. At the time of writing, the Prime Minister, Helen Clark, announced that the Queen had conferred New Zealand Gallantry Awards for overseas operational service on four members of the New Zealand Special Air Service (NZSAS), including a Victoria Cross for Corporal Bill (Willy) Apiata. Speaking at the New Zealand Defence Industry Forum in October 2006, the Minister of Defence, Phil Goff, applauded our efforts in promoting stability and the opportunity for development in many places overseas. Advice and feedback also been received from the liaison officers to the United Nations that indicates that the NZDF is held in very high regard as a troop contributing nation. Letters of appreciation were received from government departments for inter-departmental support provided by the NZDF to local and overseas operations. Costs for Output Expense 16 (GST Exclusive) /06 ($ million) Category Main Estimates ($ million) Supplementary Estimates ($ million) 2006/07 ($ million) Expenditure Personnel Operating Depreciation Capital Charge Total Expenses Revenue Revenue Crown Revenue Other Total Revenue Net Surplus (Deficit) Cost by Output Output Output Output Expense 16 is subject to a three-year, Multi-Year Appropriation (MYA) for funding purposes. The original allocation for this was $66.999M for the period NEW ZEALAND DEFENCE FORCE

123 Services in Support of the Government and the Community (including Multi-Agency Operations and Tasks [MAO&T]) Overview Conducting the training activities needed to maintain DLOC for operational employment also produces within the NZDF the capacity to deliver a range of services in support of other government departments, the community, and foreign and defence policy objectives. The provision, at short notice, of trained personnel and their specialist equipment often provides considerable assistance to those government departments and agencies that hold the primary responsibility for coordinating emergency or resource protection services. The following pages describe the availability of NZDF units for emergency tasks, and a summary of services provided to the government and community during the year. This support was delivered by a combination of both deployable Force Elements and non-deployable support or training units. Performance The Output Performance standard is that Services are provided to the satisfaction of the requesting authority. Availability For Emergency Tasks Availability Navy: One Frigate (or alternative vessel) available at eight hours degree of notice (DON) for emergency tasks, including SAR and Medical Assistance/Evacuation. Three Inshore Patrol Craft (IPC) available at eight hours DON for emergency tasks, including SAR. One diving team at 12 hours DON for emergency tasks, including underwater search and explosive ordnance disposal (EOD). One 25 person Civil Defence Response Group. On-shore personnel for fire fighting, as available. Army: Personnel in North Island and South Island at 48 hours DON for emergency tasks, including SAR, fire fighting, and casualty/medical evacuation. Personnel On Call for Civil Defence: HQ elements in North Island and South Island to support a Civil Defence HQ. Four 25 person Civil Defence Response Groups. Two 100 person Civil Defence National Reserve Groups. One 500 person Reserve. EOD Teams in North Island and South Island at 12 hours DON. In-camp personnel for fire fighting, as available. Air: One Iroquois helicopter at two hours DON for emergency tasks, including SAR, fire fighting and casualty evacuation. One Orion (or one Hercules if an Orion is not available) at two hours DON for emergency tasks, including SAR and medical evacuation. One C-130 Hercules at 14 hours DON for emergency flights. Performance Achieved One frigate or alternative vessel was available at the DON. Inshore Patrol Craft were available for emergency tasks at the DON. Availability was maintained throughout the period at the DON. One 25 person Civil Defence Response Group was available at Devonport. Availability was maintained throughout the period. Nominated units were available at the DON. These elements were available from HQ JFNZ. The designated personnel and groups were available at each of Waiouru, Linton, Trentham and Burnham. The designated personnel from 2 and 3 Land Force Groups were available albeit at the expense of DLOC training in the event of activation. The designated personnel from 2 and 3 Land Force Groups were available albeit at the expense of DLOC training in the event of activation. EOD teams were available at the DON. Availability was maintained throughout the period. One Iroquois was available for tasking at two hours notice. One aircraft (Orion/Hercules) was available at two hours notice for tasking. One C130-Hercules aircraft was maintained on 14 hours notice for emergency flights. Statement of Service Performance 4 123

124 NEW ZEALAND DEFENCE FORCE Availability One EOD team at 12 hours DON. One 25 person Civil Defence Response Group at each air base, and elements to support a Civil Defence HQ. On-base personnel for fire-fighting, as available. Multi-Agency Operations and Tasks (MAO&T) Performance Achieved An EOD team was available at 12 hours notice. A 25 person Civil Defence response group was maintained at each of Whenuapai, Ohakea and Woodbourne. Staff Officers to support National Civil Defence Headquarters were available from HQ JFNZ. Availability was maintained throughout the period. The term Multi-Agency Operations and Tasks (MAO&T) is used within the NZDF Output Specification Tables to highlight a clear distinction between general support to the community and the more formal, preplanned support to specific government departments and agencies. It encompasses the mutually agreed training, operations and tasks that the NZDF conducts, and those being developed, with other government departments and agencies. MAO&T is mainly concerned with the New Zealand EEZ/maritime environment of New Zealand, including border control. The Navy and Air Force, in particular, work closely, individually and/or collectively with these departments and agencies such as the Ministry of Fisheries, NZ Customs Service, NZ Police, Department of Conservation and Maritime New Zealand. The scale and frequency of such tasks, unless pre-programmed, are not forecast. Government and Community Support Provided The NZDF provided a wide range of services in support of foreign and defence policy objectives, other government departments and the community. This included the following activities: 4 Statement of Service Performance Agency NZ Police (excluding SAR) Land, Sea and Air SAR (in support of NZ Police, RCCNZ or other requesting agency) Ministry of Civil Defence and Emergency Management Support Provided By NZDF The NZ Army provided a variety of military support to the NZ Police including assistance with traffic control, vehicle checkpoints, traffic accidents, scene assistance, search assistance, homicide enquiry assistance and domestic disturbances during the reporting period. Various forms of logistic support were also provided at various times, as was daily catering for Police staff at the NZ Police Dog School. Approximately 2,495 km were driven and 365 personnel days were used. RNZAF 3 Squadron Iroquois helicopters flew 378 hrs in support of 17 NZ Police operations and training requirements. RNZAF aircraft flew 17 flights transporting 67 NZ Police personnel, equipment and charitable freight totalling 4896 kg to the Solomon Islands, Tonga and Timor Leste involving 119 flying hours. RNZAF P-3K Orion crews conducted five tasks in the vicinity of the NZ coast and Tasman Sea areas. Total time flown was 42 hours. RNZAF helicopters flew 134 hours in support of NZ Police SAR tasking and training. RNZAF provided personnel for land based SAR searches and exercises on 12 separate occasions totalling 116 personnel days and 881 km driven. The Rescue Coordination Centre New Zealand (RCCNZ) called on the services of RNZAF Liaison Officers and communications staff on 23 occasions involving 73 personnel days. NZ Army personnel attended Civil Defence meetings and exercises in support of local councils. The activities involved a total of 13 mandays. NZ Army personnel provided support for the Ruapehu Lahar totalling 3.8 personnel days and 40 km travelled. RNZAF 3 Sqn helicopters provided three hours flying time for Wairarapa flood surveys. 124 NEW ZEALAND DEFENCE FORCE

125 Agency Department of Conservation (DOC) Support Provided By NZDF RNZAF Iroquois helicopters flew 13 hours in support of DOC at Taupo and Mt Cook. RNZAF P-3K Orion aircraft conducted two Raoul Island mail drops which involved eight hours flying time. A surveillance flight to the Snares and Auckland Islands also involved eight hours flying time. RNZAF SH-2G helicopters provided winching support to DOC personnel totalling one flying hour. RNZAF personnel provided 80 personnel hours communications and intelligence support to DOC patrols. HMNZ Ships Te Mana, Te Kaha, Endeavour, Hinau, Kahu, Kiwi, Manawanui, Resolution, and Wakakura provided 137 days of patrolling in support of DOC operations during the year. NZ Army provided support in the vicinity of Manawatu Prison and a contraband operation totalling 36 km travelled and over four personnel days. Nil Department of Corrections Environmental Risk Management Authority NZ Fire Service and National Rural Fire Authority NZ Army Units at Linton and Waiouru and RNZAF Base Auckland attended 361 callouts in support of the NZ Fire Service, covering motor vehicle accidents, fire alarm activations, medical assistance, training, domestic and scrub fires and hazardous substance spillages involving over 1,185 personnel days and 4,334 km travelled. RNZAF Iroquois helicopters flew 19 hours in support of Rural Fire Fighting training. The RNZAF provided 33 flying hours transporting staff and equipment to Australia for Bushfire Support. RNZAF P-3K Orion aircraft provided 171 flying hours on 22 separate occasions on Fishery Patrol duties. RNZAF operations and communications personnel provided 29 personnel days support to these flights. HMNZ Ships Te Kaha, Endeavour, Hinau, Kiwi, Manawanui, Moa, Wakakura and Kahu conducted 129 days patrolling combined with training within the NZ coastal area. 6 Sqn Naval Helo Flight provided six flying hours in support of Ministry of Fisheries tasking. NZ Army provided temporary shelter to a Ministry of Fisheries patrol boat. HMNZ Ships Te Kaha, Te Mana, Endeavour, Resolution, Manawanui, Hinau, Kahu, Kiwi, Moa, and Wakakura provided a total of 153 days surveillance and enforcement tasking in Department of Conservation, Ministry of Fisheries and NZ Customs areas around the NZ coast during the period. RNZAF P-3K Orion aircraft conducted patrols in the Northern EEZ for all ministries totalling 4.4 flying hours HMNZ Ships Te Kaha, Te Mana, Endeavour and Manawanui conducted Defence diplomacy visits to Singapore, Viet Nam, Australia, China, Japan, India, and Malaysia for a combined total of 296 days. RNZAF P-3K Orion aircraft conducted 13 EEZ surveillance patrols in support of Pacific Island Nations (Tonga, Cook Islands, Fiji, Nauru, Nuie, Papua New Guinea, Samoa, Vanuatu, Kiribati, Solomon Islands, Tokelau, and Tuvalu). A total of 352 hours were flown in the South Pacific, South China Sea and Antarctic regions. NZDF communications, operations and intelligence staff provided support to these flights totalling 43 personnel days. RNZAF Boeing 757 and Hercules C-130 aircraft transported freight, charitable freight and personnel to/from East Timor, Australia, Fiji, Solomon Islands, Rarotonga, Vanuatu and within NZ. A total of 566 combined flying hours were conducted by B757 and C-130 aircraft. RNZAF Boeing 757 aircraft flew 115 hours in support of Operation Union Jack [New Zealand Memorial in London]. Ministry of Fisheries National Maritime Coordination Centre (includes all combined Multi-Agency Tasking) Ministry of Foreign Affairs and Trade (MFAT) Statement of Service Performance 4 125

126 NEW ZEALAND DEFENCE FORCE 4 Statement of Service Performance Agency Government House Ministry Of Health Department of Internal Affairs Maritime New Zealand (MNZ) New Zealand Customs Service Department of Prime Minister and Cabinet (DPM&C) Explosive Ordnance Disposal (EOD) Support to the NZ Antarctic Programme (NZAP) Disaster Relief (South Pacific) Support Provided By NZDF NZDF personnel provided Guards, Bands, Flag Orderlies, Buglers, Drummers, Door Openers and Maori Cultural groups as ceremonial support to the Governor Generals for three Credential Ceremonies during the period, involving a total of 428 personnel days and 6,620 km travelled. RNZAF 42 Sqn King Air VIP air transport conveyed the Governor General of NZ between a numbers of cities/venues during the period on five separate occasions. A total of 17 hours were flown. NZ Army provided provide personnel and equipment for a medical display over a four day period. NZDF personnel provided ceremonial and logistical support (Guards, Gun Salutes, Bands, Door Openers, Maori Cultural Groups, SAR standby, Transport etc) for visits by HRH Prince Andrew, foreign Heads of State and other dignitaries including the visit to NZ by the Prime Ministers of Greece, Tanzania and Uganda and the Presidents of Korea, Finland, Chile, Vanuatu and the Philippines plus the Deputy President of South Africa and the Singaporean Defence Minister. NZDF personnel were involved in a vast range of planning and ceremonial activities for Waitangi Day, Anzac Day, Remembrance Day, Royal Anniversaries, as well as commemorations for Year of the Veteran and Operation Union Jack. The involvement for all activities totalled over 3,192 personnel days and 38,584 km driven. RNZAF aircraft support was: B757, four hours; King Air, 31 hours; and C-130, four hours. Nil. HMNZ Ships Te Kaha, Endeavour, Hinau, Kahu, Kiwi, Wakakura, Manawanui and Moa provided a combined 160 days of patrols within NZ coastal waters to identify and investigate breaches of the Customs and Excise Act. RNZN divers provided 166 hours diving support to NZ Customs activities. RNZAF P-3K Orion aircraft flew 193 hours patrol and surveillance time in the NZ EEZ. Operations and communications support to these flights totalled 48 personnel days. RNZAF SH-2G helicopters provided 20 hours flying time, and personnel from 6 Sqn provided 22 man days and travelled 620 km in support of NZ Customs activities. The NZ Army and RNZAF provided facilities, team building training and logistics support for NZ Customs activities totalling 10 personnel days. RNZAF aircraft provided several internal flights for the Prime Minister, the Minister of Defence other Government Ministers. Flying support totalled hours. NZDF EOD personnel attended 25 callouts during the period. The wide range of items dealt with included detonators, projectiles, powergel, anti-personnel mines, flares, marine markers, various types of fragmentation grenades and ammunition, fireworks, black powder and practice rounds as well as practice and Mortar bombs. Personnel days totalled 15.5 and 3,404 km travelled. Up to 70 NZDF personnel supported both Antarctic New Zealand and the United States Antarctic Programme (USAP) Logistics Pool over the period August 2006 to February 2007, providing air transport, logistics, personnel support aircraft and crews for Emergency Rescue Support and Search and Rescue plus terminal operations at Harewood and McMurdo terminals. RNZAF C-130 Hercules aircraft completed a total of 131 flying hours while carrying over 110 passengers and 101,229 kg of freight. RNZAF aircraft carried a total of 18,500 kg of blankets, mosquito nets and aid in support of tsunami relief. Flying support totalled 60 hours by C-130 Hercules aircraft. 126 NEW ZEALAND DEFENCE FORCE

127 Agency General Medical Assistance/Support Civil Aviation Authority Detection Of Pollution General Community Support General Training Courses Support Provided By NZDF Army Training Group Hospital staff in Waiouru provided medical support to the local community and St John Ambulance involving 205 emergency treatments, which equated to 51 personnel days. NZ Army and RNZAF personnel provided support for exercises totalling nine personnel days and 40 km travelled. Nil. The Navy, Army and Air Force provided a wide range of support to communities throughout New Zealand. This included the Child Cancer Foundation, Hospice Foundation, NZ Blood Service, Heart Foundation, Lions Clubs, Plunket Society, Red Cross, NZRSA, NZ Rugby Union, TVNZ, Waitangi Committee, Citizenship ceremonies, Rotary Clubs as well as activities for schools, sports clubs, sport events, air shows, charities, veterans groups, and youth organisations. Activities included ceremonial, band performances, logistics support, funeral support, Base visits, provision of personnel and facilities, street marches, marae visits and training. In excess of 5,128 personnel days have been provided and 147,572 km driven over the period. RNZAF aircraft flying hour totals were Boeing 757, 120: C-130 Hercules, 14: Iroquois, 40: and Seasprite: 20. RNZN, NZ Army and RNZAF Units provided facilities, personnel and equipment for various forms of training in support of other government agencies and the community involving 89 personnel days and 204 km driven. Statement of Service Performance 4 127

128 NEW ZEALAND DEFENCE FORCE Costs for Services in Support of The Government and the Community (Including Multi- Agency Operations and Tasks [MAO&T]) The NZDF costs its outputs on the basis of maintaining training activities needed to maintain DLOC for operational employment, and pre-planned support to other government departments and agencies under MAO&T. As a consequence of the DLOC training activities, the NZDF also has the capacity to deliver a range of services to respond to emergency and other tasks. No direct attribution of cost has been made for these services. All costs for these activities are budgeted within Output Expenses 2 to 14. Below: RNZN rigid hull boat alongside fishing boat. Above: NZDF personnel practising rescue skills. 4 Statement of Service Performance 128 NEW ZEALAND DEFENCE FORCE

129 Statement of Service Performance 4 129

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131 5 Veterans Affairs New Zealand Veterans Affairs New Zealand: Information and Management Veterans Affairs New Zealand is the Government s principal adviser on veterans issues. Veterans Affairs New Zealand is responsible for providing advice on, and facilitating the delivery of, a range of services to individual veterans and their families, in recognition of the needs generated as a result of the veteran s service. To achieve this intent, Veterans Affairs New Zealand is responsible for the delivery of a wide range of services. Veterans Affairs New Zealand does this by: Providing advice to the Minister of Veterans Affairs and other Ministers and departments and agencies on aspects of policy relating to veterans. Managing the government s relationship with veterans and their representative organisations. Ensuring that the assessment of veterans entitlements is undertaken fairly and accurately. Facilitating and co-ordinating the services provided to veterans and their families by other government departments and agencies. The Veterans Affairs portfolio comprises two appropriations under one Vote: Vote Veterans Affairs Defence. This vote is administered by Veterans Affairs New Zealand and includes the provision of policy advice on, and administration of, a wide range of issues relating to veteran entitlements care and recognition. Vote Veterans Affairs Social Development. This vote is administered by the Ministry of Social Development, and includes the processing and payment of War Disablement and Veterans Pensions and concessions, and Rehabilitation Loan Scheme payments. This vote will be covered in the Ministry of Social Development Annual Report to Parliament. Accountability Arrangements The Chief of Defence Force, as Chief Executive of the New Zealand Defence Force, is responsible to the Minister of Veterans Affairs for the financial management of Veterans Affairs New Zealand under the Public Finance Act The Director, Veterans Affairs, on behalf of the Chief of Defence Force, is responsible to the Minister of Veterans Affairs for the delivery of the Veterans Affairs New Zealand outcomes and outputs. As a semi-autonomous body within the New Zealand Defence Force, Veterans Affairs New Zealand is subject to the accountability and monitoring provisions of the Public Finance Act 1989 but does not come under the auspices of the State Sector Act Primary Legislation The primary legislation associated with Veterans Affairs New Zealand is contained in: The War Pensions Act 1954 The Burial and Cremation Act 1954 The Patriotic and Canteen Funds Act 1947 The Veterans Affairs Act 1999 The Defence Act 1990 Veterans Affairs 5 131

132 NEW ZEALAND DEFENCE FORCE Links with the Government s Policy and Themes The provision of specific services to veterans, in recognition of their contribution to the development of New Zealand s national identity, contributes to Government Theme 3: National Identity. The provision of policy advice on veterans related issues, the co-ordination of the services provided to veterans and their families by other government departments and agencies, facilitating access to services within the broader community and the development of constructive working relationships with veterans organisations, contributes to Government Theme 2: Families young and old. The work undertaken by Veterans Affairs New Zealand contributes to achieving the following outcomes for veterans: The veterans perspective is considered as part of government decision-making on issues that impact on their lives. Eligible veterans and their dependants have access to the appropriate services in recognition of their Service. The community will be aware of the role veterans played and continue to play in developing New Zealand as a nation. Contracts for Service Veterans Affairs New Zealand maintains a number of contracts for the manufacture and installation of plaques and headstones, the maintenance and development of Services Cemeteries throughout New Zealand, and the provision of services under the auspices of case management. Outcomes: Veterans Affairs New Zealand The specific initiatives addressed within the Veterans Affairs New Zealand outcomes for 2006/2007 are reported below. The veterans perspective is considered as part of government decision making on issues that impact on their lives. The veteran community is diverse and has a broad range of issues that cross the boundaries of a number of agencies. It is critical therefore, that Veterans Affairs New Zealand is able to work effectively with other state sector agencies to ensure that issues that are of concern to veterans can be pursued and that there is consultation on issues that may impact on the veteran community. Veterans Affairs New Zealand is included in the Ministry of Health s consultation process on the health of the elderly and the sustainability of disability support services. Veterans Affairs New Zealand is also a member of the organochlorines monitoring group. Veterans Affairs New Zealand has also been included in a number of cross sector working groups and forums. Veterans Affairs New Zealand has worked closely with the Ministry of Social Development over the changes to National Superannuation to meet the requirements of the Confidence and Supply Agreement with New Zealand First. 5 Veterans Affairs Work has been undertaken with the Ministry of Social Development over the introduction of the veterans version of the SuperGold Card. A veterans version of the SuperGold Card will be released in late August Work has been done to ensure that as many veterans as possible receive this card in the first mail out. Veterans Affairs New Zealand works closely with and is actively involved in a collaborative grouping of Veterans Affairs agencies from Australia, Canada, the United Kingdom and United States of America. This forum provides a number of opportunities to share information and current practices. Eligible veterans and their dependants have access to the appropriate services in recognition of their Service. A major piece of work is the rewrite of the War Pensions Act Considerable amount of thought and discussion has taken place to establish the best way to move forward with this work. As a result, work has been undertaken to draft a Cabinet paper with a strategy that will serve as the vehicle for formal consultation on the proposed intent and coverage of the revised war pensions legislation. The Secretary for War Pensions reviews 10% of the decisions made by the War Pensions Claims Panels to ensure consistency of decision making. Any issues identified as a result of this process are addressed by the Secretary and form part of the claims panels training process. Any veteran with any query relating to a War Disablement or Veterans Pension can raise the query with the Secretary for War Pensions. 132 NEW ZEALAND DEFENCE FORCE

133 Veterans Affairs New Zealand is continually reviewing the way it provides information to the veteran community and to other agencies that provide support and assistance to veterans in their communities. The Director Veterans Affairs/Secretary for War Pensions continues to attend meetings of welfare officers from various veterans organisations and takes part in various RSA regional training and information seminars outlining the services available to veterans. The Veterans Affairs New Zealand case managers and memorials and cemeteries staff work closely with local representatives of ex-service and veterans organisations. Veterans Affairs New Zealand staff provided an information stand at the RNZRSA Annual Council Meeting so that Welfare Officers were made aware of the services available and at an Ageing in New Zealand Conference run by the Ministry of Social Development. Work has been undertaken to identify the areas where there are delays in the processing of war pensions. The aim of this project is to identify controllable time where time savings can be made. The main focus is on a reduction in the time veterans wait for claims to be processed. The schedules for the war pensions claims panels have also been amended to ensure that there are sufficient claims panel meetings to hear the claims that are awaiting resolution. Administrative changes have been made to the way claims are sent to a medical specialist for assessment, reducing the amount of time between claims being received and medical opinions being sought. The operational policy surrounding Services Cemeteries is being reviewed constantly to ensure that it accurately reflects the intent of the legislation. Work has been undertaken to redesign the memorials and cemeteries database to allow for more effective management of orders and special requirements, such as unveilings and other special events. Once implemented, the new database will allow for direct ordering from the manufacturer, reducing the manufacturing time and data entry errors. In December the Government signed an MOU with the RNZRSA and EVSA to address the concerns of Viet Nam veterans. This has involved VANZ in the: Development of a registration process for Viet Nam veterans and their families. Implementation of the payment of ex-gratia payments to veterans and their family members who have specified conditions. Development of a structure for the one-off comprehensive medical check. Development of Centres of Excellence in Veterans Homes. Development of a suitable mechanism for providing information to clinicians on the health conditions suffered by Viet Nam veterans and their families. Review of the services provided to the children and grandchildren of Viet Nam veterans by other governments. Identification of options for on-going research into the effects of exposure to dioxins and other similar hazardous substances, including intergenerational effects. The registration of Viet Nam veterans and their families has commenced. A process for registration was developed in conjunction with the veterans groups. Data is being collected from the registration forms to formulate a statistical picture. Ex-gratia payments have been made to veterans and their families. Work has been done on the implementation of the one-off comprehensive medical check. This work is being undertaken in consultation with the veterans groups over the implementation of this work. Veterans Affairs 5 133

134 NEW ZEALAND DEFENCE FORCE The community will be aware of the role veterans played and continue to play in developing New Zealand as a nation. A commemoration was held in Gallipoli in April 2007 to commemorate the 92nd anniversary of the Gallipoli Landings. Veterans Affairs New Zealand co-ordinated and provided support for 32 veterans who travelled to London for the official dedication of the New Zealand Memorial on 11 November In addition, Veterans Affairs New Zealand administers funding for veterans groups to hold reunions and to allow veterans to undertake battlefield revisits. In the 2006/07 year, funding was provided to 96 veterans to assist them to travel overseas to attend commemorations of events or reunions of the units of which they were a part, and which had special significance to them. Veterans were funded to travel to commemorations marking the Battle of Long Tan, the Korean War, the 50th anniversary of Merdeka the independence of the Federated States of Malaya and the State of Singapore from Britain. Funding has also been provided to nine groups to assist with the organisation of New Zealand based events and reunions. The Year of the Veteran The government declared 2006 as the Year of the Veteran. This was a major focus of the commemorations programme as it provided opportunities for all veterans to be acknowledged and recognised by their communities. Veterans Affairs New Zealand s role in the Year of the Veteran included the management and administration of a one million dollar contestable community grants fund, the administration of applications for and distribution of veterans lapel pins and certificates acknowledging veterans service, and the promotion of the Year of the Veteran. The Year of the Veteran community grants fund has enabled communities and schools to seek and receive funding for projects that focus on the recognition of the role veterans have in the community and to commemorate significant military anniversaries. Funding was granted to support over 347 community based projects. These included oral and written histories, restoration and building of war memorials, exhibitions and educational displays and local veterans appreciation days to acknowledge veterans within their communities. An additional $200,000 was also provided for National Events. 20,000 certificates of appreciation and commemorative pins were issued to veterans. This has proven to be such a popular programme that it will be continued. The Minister of Veterans Affairs presented 10 commendations and 33 certificates of commendation to individuals nominated for their role in Veteran Welfare. The three Veterans Homes, Ranfurly, Rannerdale and Montecillo were also given commendations, as was the Dunedin RSA Choir. Passchendaele Archives Project Veterans Affairs New Zealand has assisted with the establishment of the Passchendaele Archives. This project was initiated in 2005 by the Memorial Museum Passchendaele 1917, with the aim of building a database of all soldiers killed in action during the Battle of Passchendaele. Veterans Affairs New Zealand, in conjunction with Archives New Zealand, has provided digital copies of the casualty forms held for the New Zealand servicemen killed during the Battle of Passchendaele. These forms will be presented to the Museum for use in the Passchendaele Archive. 5 Veterans Affairs 134 NEW ZEALAND DEFENCE FORCE

135 Statement of Objectives and Service Performance Departmental Output Expense D1 Policy and Administration Description Under this output expense the Minister of Veterans Affairs purchases the provision of policy advice on, and administration of, a wide range of issues relating to veterans entitlements care and recognition. This includes: Policy advice to the Minister of Veterans Affairs on veterans entitlements, care and recognition, including legislation, major policy proposals and the development of new initiatives of significance to the sector. Ministerial servicing and support briefings, draft responses to Ministerial correspondence and Parliamentary questions, Official Information Act enquiries, and Ombudsman enquiries. The provision of administration for the War Pensions Advisory Board and the War Pensions Appeal Board. The administration of the Rehabilitation Loan Scheme. The administration of the contracts for service relating to the maintenance and development of Services Cemeteries. Quality audits of the maintenance and development work carried out in Services Cemeteries. The co-ordination of New Zealand s participation in the commemoration of significant military anniversaries. Links to Veterans Affairs New Zealand Outcomes 1 and 3. Output Performance Achieved Quantity Provide policy advice to the Minister of Veterans Policy advice was provided. Affairs on veterans entitlements, care and recognition. The number of occasions that the Minister will seek advice, or the CDF feels the need to offer it, will depend on a range of factors beyond the control of Veterans Affairs New Zealand. The anticipated range of key submissions include the following: Statutory Reports to Parliament 2 Statutory Reports to Parliament 3 Submissions to Cabinet 5 12 Submissions to Cabinet 2 Special Briefing Papers Special Briefing Papers 27 Quality The Minister will expect expert advice to be delivered in accordance with the agreed statutory timeframes and in accordance with the defined characteristics of quality advice: purpose, logic, accuracy, options, consultation, practicality and presentation. Replies within 20 days of receipt of requests, if not otherwise specified. 95% of first drafts of all policy papers accepted by Minister. 90% of all other responses accepted without amendment. Advice was delivered within the agreed or statutory timeframes and in accordance with the defined characteristics of quality advice. 85% of all responses were completed within requested timeframes. This measure did not meet the required percentage due to staffing constraints. 96% of first drafts of all policy papers were accepted without amendment. 96% of all responses were accepted without amendment. Veterans Affairs 5 135

136 NEW ZEALAND DEFENCE FORCE Output Performance Achieved Quantity Provide Ministerial servicing and support. Ministerial servicing and support was provided. The anticipated range of key submissions include the following: Ministerial Correspondence Ministerial Correspondence 263 Parliamentary Questions Parliamentary Questions 45 Select Committee Reports 2 5 Select Committee Reports 5 Quality Submissions will be delivered in accordance with the agreed timeframes and in accordance with Cabinet Office guidelines. Submissions were delivered in accordance with the agreed timeframes and met Cabinet Office guidelines. The aim is the provision of a comprehensive service: the capacity to react quickly; the regular evaluation of policy for effectiveness in achieving required outcomes and timely briefings on significant issues; and support for the Minister, as required, in Cabinet Committees, Select Committees and in the House. Other government agencies and affected parties were consulted, and possible objections to proposals were identified. 95% of all responses will be completed within requested timeframes: 20 working days if not otherwise specified. 85% of all responses were completed within requested timeframes. This measure did not meet the required percentage due to staffing constraints. 5 Veterans Affairs 95% of all responses will be accepted without amendment. Quantity Provide administration for the War Pensions Advisory Board and War Pensions Appeal Board. Meetings of the War Pensions Appeal Board will be arranged at least 6 weekly. 96% of all responses were accepted without amendment. Administration was provided for the War Pensions Appeal Board. The War Pensions Appeal Board did not meet. The War Pensions Appeal Board had a sitting schedule over 42 weeks. It met seven times during this period; an average of six weekly. Meetings of the War Pensions Advisory Board will The War Pensions Advisory Board did not meet. be arranged as required. Quality All arrangements and actions will meet the Board s All arrangements and actions met the Board s requirements. requirements. 95% of all actions defined by the Boards will be 100% of the decisions made by the War Pensions completed within 20 working days of receipt, if Appeal Board were notified to claimants within 20 not otherwise specified. working days of receipt. Quantity Provide Management of the Rehabilitation Loan The Rehabilitation Loan Scheme was managed. Scheme. The monitoring of loan payment schedules will be completed by the 7th of the month following receipt. Quality The information provided will be of sufficient quality to enable the Ministry of Social Development to make payments. 100% of all actions will be completed within the agreed timeframe. 24 loan schedules were cleared for payment. Two schedules per month were processed. The information provided to the Ministry of Social Development was of sufficient quality to enable the payments to be made. 100% of actions were completed within the agreed timeframe, by the 7th of the month following receipt. 136 NEW ZEALAND DEFENCE FORCE

137 Output Administration of maintenance agreements and contracts for service relating to the maintenance and development of Services Cemeteries. Administering maintenance agreements covering an estimated 181 Services Cemeteries. Quantity Performance Achieved The maintenance agreements and contracts for service relating to the maintenance and development of Services Cemeteries were administered. 181 maintenance agreements have been agreed with cemetery authorities and are being administered. An estimated 100 (in the range of 50 to 150) 76 contracts for service were administered. contracts for service to be administered. Two contracts for manufacture and 47 contracts Two contracts for manufacture and 48 contracts for for installation will be administered. installation are being administered. Quality Contracts to be current, legally correct and clearly specify requirements. There will be no breaches of contracts by Veterans Affairs New Zealand. All contracts were current, followed a standardised format, were legally correct and clearly specified requirements. Quality audits have confirmed there were no breaches of contract by Veterans Affairs New Zealand. Serious breaches of contracts by contractors will be managed as per the conditions in the contract. Quality audits have confirmed there were no breaches of contract by contractors. Quantity Quality Audit Services Cemeteries. Quality audits were provided. Quality audits will cover the 181 Services There were 98 quality audits of Services Cemeteries Cemeteries in New Zealand on a rotational basis carried out. over a three year period. Quality Quality audits will ensure that specifications outlined The specifications outlined in contracts were met. in contract have been met. Services Cemeteries were maintained to the Services Cemeteries standards are being satisfaction of Veterans Affairs New Zealand, maintained to the satisfaction of Veterans Affairs Local Authorities, the Royal New Zealand Returned New Zealand, Local Authorities, the RSA and Services Association and veterans representative veterans representative organisations organisations. Quantity Co-ordinate New Zealand s official participation Veterans Affairs New Zealand co-ordinated in the commemoration of significant military participation in two commemorative events. anniversaries. The number of anniversaries that New Zealand will be involved in will depend on a range of factors beyond the control of Veterans Affairs New Zealand. An anticipated range of two to four events will require coordination. VANZ co-ordinated and provided support for 32 veterans who travelled to London for the official dedication of the New Zealand Memorial on 11 November As the NZ lead for the co-ordination of Anzac Day Services at Gallipoli, VANZ was involved in the coordination of the services for the 92nd anniversary of the Gallipoli Landings. The co-ordination of the Dawn Service is undertaken in conjunction with Department of Veterans Affairs, Australia (DVA). VANZ has responsibility for the co-ordination of the New Zealand service at Chunuk Bair. Funding was also provided through the Minister s Commemorations Discretionary Fund to 96 veterans to assist them to travel overseas to attend commemorations; and to nine groups to assist with the organisation of New Zealand based events and reunions. Veterans Affairs 5 137

138 NEW ZEALAND DEFENCE FORCE Output Quality The Minister will expect participation to be delivered in accordance within agreed parameters and budget. The event co-ordination will be to the satisfaction of the key stakeholders. Performance Achieved Events were delivered in accordance within agreed parameters. Anzac Day commemorations at Gallipoli exceeded budget as the share of costs with the DVA increased due to the requirement for additional infrastructure support. The Ministers Commemorations Discretionary Fund exceeded budget due to an increased demand from individual veterans wishing to attend commemorations and, or revisit battlefield sites. Costs for Departmental Output Expense Policy and Administration 2005/06 ($ million) Category Main Estimates ($ million) Supplementary Estimates ($ million) 2006/07 ($ million) Expenditure Personnel Operating Total Expenses Revenue Revenue Crown Revenue Other Total Revenue Net Surplus (Deficit) (0.030) 5 Veterans Affairs Below: Queen Elizabeth inspects the New Zealand Guard of Honour at the official dedication ceremony of the New Zealand Memorial in London on Armistice Day. Above: The Duke of York (second right) with Members of Parliament, senior military personnel and local dignitaries at the award ceremony held in Rotorua for Lance Sergeant Haani Manahi s heroic actions more than 60 years ago. 138 NEW ZEALAND DEFENCE FORCE

139 Departmental Output Expense D2 Services to Veterans Description Under this output expense the Minister of Veterans Affairs purchases the assessment of entitlements and benefits and the provision of appropriate services. This includes: The assessment and review of entitlements and benefits War Disablement Pensions, Veterans Pension and burial in Services Cemeteries. The provision and installation of ex-service memorials for eligible veterans. The provision of Case Management for veterans and their families. Links to Veterans Affairs New Zealand Outcome 2. Output Quantity Assess and Review Entitlements to War Pensions and Veteran s Pensions. An estimated 14,000 (in the range 13,500 14,500) decisions on new or reviewed disabilities will be made by the War Pensions Claims Panels. An estimated 500 (in the range of ) decisions on applications for War Disablement Pensions will be reviewed by the National Review Officer. An estimated 300 (in the range of ) decisions on applications for claims on War Disablement Pensions to be re-opened will be considered by the National Review Office. An estimated 600 (in the range ) administrative reviews will be undertaken by the Secretary of War Pensions. An estimated 50 (in the range of 45 55) decisions will be reviewed by the War Pensions Appeal Board. An estimated 150 (in the range ) decisions on eligibility for Veterans Pension will be made by the Secretary for War Pensions. Quality Assessments and reviews will be conducted against extant policy. 95% of assessments will be completed within 10 working days of receipt by the War Pensions Claims Panel. 95% of reviews and re-openings will be completed within three months of receipt by the National Review Officer. Performance Achieved War Pensions and Veteran s Pensions were assessed and reviewed. The War Pensions Claims Panels made decisions on 15,659 applications for specific disabilities to be included in a War Disablement Pension. There were 12,057 applications for new disabilities that had not previously been covered, 1,838 applications for reviews of the level of War Disablement Pension paid for already accepted disabilities and 396 claims for additional pensions under Section 23 of the War Pensions Act The war pensions claims panels also considered the attributability of death of 1,368 veterans. The National Review Officer undertook 405 reviews of the decisions of the War Pensions Claims Panel, at the request of the veteran concerned. The National Review Officer considered the reopening of 389 claims for re-consideration by the War Pensions Claims Panel, on the basis of the new information provided by the veteran concerned. The Secretary for War Pensions undertook 735 reviews of War Disablement Pension claims. This included 487 reviews of War Disablement Pension claims at the request of the veteran concerned and 248 claims for the reconsideration of Surviving Spouse Pensions. The War Pensions Appeal Board considered 96 individual war pension cases. The Secretary for War Pensions undertook 265 reviews of Veteran s Pension issues at the request of the veteran concerned. Assessments and reviews were conducted in line with extant policy. The War Pensions Claims Panel completed 100% of assessments and reviews for a War Disablement Pension within 10 working days of receipt by the War Pensions Claims Panel. The National Review Officer completed 91% of reviews and reopenings within three months of receipt. Veterans Affairs 5 139

140 NEW ZEALAND DEFENCE FORCE Output 95% of reviews will be completed within three months of receipt by the Secretary for War Pensions. Performance Achieved The Secretary for War Pensions completed 96% of reviews of War Disablement Pension issues within three months of receipt. 95% of Appeals will be heard within three months of receipt by the War Pensions Appeal Board. The War Pensions Appeal Board heard 53% of appeals within three months of receipt by the War Pensions Appeal Board. This is up from 6% in the 2005/06 year. This was due to the fact that the structure of the previous Board meant that it was unable to meet regularly. The Board was restructured and the new Board is meeting regularly and has increased its caseload. The War Pensions Appeal Board is on track to meet the target of hearing appeals within three months of receipt. The Secretary for War Pensions completed 79% of reviews of Veteran s Pension issues within one month of receipt by the Secretary for War Pensions. This measure did not meet the required percentage due to the complex nature of some of the abatement claims being considered. Quantity Provide plaques and headstones for eligible veterans Plaques and headstones were provided for eligible veterans. Administration of applications for ex service memorials. This includes assessment of entitlement, arranging supply and installation. An estimated 2,100 (in the range of 1,500 2,500) applications for plaques and headstones will be approved. The manufacture of plaques and headstones will meet technical specifications and be manufactured in accordance with agreed contract standards. Applications for plaques and headstones were administered within agreed terms of the contract for supply. 2,733 orders for ex-service memorial plaques and headstones were assessed for eligibility, ordered from the manufacturer and installation arranged. Quality The manufacture of plaques and headstones met technical specifications and were manufactured in accordance with agreed contract standards. Decisions on eligibility will be made within legislative parameters. 99.5% of ex-service Memorials will be factually correct, meet technical specifications as contracted and be correctly installed. 75% of ex-service Memorials to be manufactured and installed within four months (where correct documentation has been supplied with the application). Decisions on eligibility were made within legislative parameters. 99% of ex-service memorials were factually correct, technically correct and correctly installed. 5 Veterans Affairs When correct documentation was supplied 41% of all ex-service memorials were manufactured and installed within four months of receipt. This measure covers the time from receipt of the order to installation. Several issues have impacted on the achievement of this measure. In March there were three times the normal number of ex-service memorial plaque orders which put pressure on the manufacturing process. All the plaques are hand cast. The installation process has also been delayed in some areas as a result of the weather. The increased cost of petrol has also impacted on installations with some installers unwilling to travel a distance to undertake a single installation, preferring to wait until they have a number of ex- Service memorials to install. 140 NEW ZEALAND DEFENCE FORCE

141 Output Performance Achieved Quantity Provide Case Management. Case management was provided. An estimated 2,000 (in the range of 2,000 2,500) 3,894 veterans were case managed. Their needs veterans will be case managed. The veterans were individually assessed and appropriate needs will be individually assessed and services services and supports were put in place from within and support from within the veteran s community the veteran s own community. will be put in place where required. An estimated 70 (in the range of 60 80) veterans 50 veteran s families were provided with additional families will be provided with counselling. counselling assistance. An estimated 20 (within the range of 15 25) 29 children of Viet Nam and Operation Grapple children of Viet Nam and Operation Grapple veterans were provided with additional health veterans will be provided with additional health services. These included counselling and genetic services. counselling. An estimated 300 (in the range of ) 1,241 contracts for service were administered. contracts for service will be administered. Quality The service provided will be based on the needs of the veterans and/or their family. The provision of the service will be timely. The range of services provided will be appropriate to the needs of the veterans and, or their family. An holistic approach will be taken to the provision of services and supports. The service provided was based on the professionally assessed needs of the veteran and or the family member seeking case management. This assessment is undertaken before services are put in place. The needs assessment is regularly monitored to ensure that needs continue to be met. A range of services was provided: counselling, personal care, home help, and assistance with additional medical care. 95% of all new referrals to case management will be assigned a case manager within five working days. 100% of all active cases will be contacted every four months to monitor the progress and effectiveness of the interventions put in place. 85% of veterans and their families that are part of the case management service will be satisfied that the service delivered is appropriate to meet their needs. 98% of all new referrals to case management were assigned to a case manager within five working days of receipt. 100% of all active cases were contacted every four months to monitor the progress and the effectiveness of the interventions put in place. In a survey 100% of veterans and their families that were surveyed were satisfied that the service delivered is appropriate to meet their needs. 36% rated their overall satisfaction as excellent and 64% rated their overall satisfaction as good. Veterans Affairs 5 141

142 NEW ZEALAND DEFENCE FORCE Costs for Departmental Output Expense D2 Services to Veterans 2005/06 ($ million) Category Main Estimates ($ million) Supplementary Estimates ($ million) 2006/07 ($ million) Expenditure Personnel Operating Total Expenses Revenue Revenue Crown Revenue Other Total Revenue Net Surplus (Deficit) Veterans Affairs Below: Year of the Veteran Military Pageant held in Wellington. Above: Guarding the Tomb of the Unknown Soldier on Anzac Day. 142 NEW ZEALAND DEFENCE FORCE

143 Non Departmental Output Expense 01 Development and Maintenance of Services Cemeteries Description Under this output expense the Minister of Veterans Affairs purchases the maintenance and development of Services Cemeteries. Output Performance Achieved Quantity Develop and maintain Services Cemeteries. Service Cemeteries were developed and maintained. All 181 Services Cemeteries will have a 181 Services Cemeteries have maintenance maintenance agreement specifying maintenance agreements, specifying maintenance standards, in standards in place. place. Contracts for capital works in Service s Capital works were managed in accordance with Cemeteries will be managed in accordance with the annual agreed programme. an agreed annual programme. Quality 90% of all contracts for capital works and maintenance in Services Cemeteries will comply with agreed contract standards. Works to the satisfaction of Local Authorities, the RSA and veterans representative organisations. All contracts for capital works and maintenance in Services Cemeteries complied with agreed contract standards. Works were to the satisfaction of Veteran s Affairs New Zealand, Local Authorities, the RSA and veterans representative organisations. Costs for Non Departmental Output Expense O1 Development and Maintenance of Services Cemeteries 2005/06 ($ million) Category Main Estimates ($ million) Supplementary Estimates ($ million) 2006/07 ($ million) Total Expenses Below: New Zealand Catafalque Party at the Messines Ridge British Cemetery during a ceremony marking the 90th anniversary of the Battle of Messines held in Mesen, Belgium on 7 June Veterans Affairs 5 Above: Inscription on the Ataturk Memorial, Wellington. 143

144 NEW ZEALAND DEFENCE FORCE Non Departmental Output Expense O2 Support for Veterans and their Families Description Under this output expense the Minister of Veterans Affairs purchases support for veterans and their families. This includes: The provision of counselling for veterans families. Reimbursement of out of pocket expenses for veterans children with specified conditions. Additional support for veterans to facilitate them remaining in their own homes for as long as possible. Additional support for veterans to facilitate their rehabilitation. Interim support for the surviving partner of a veteran after the death of a veteran. Output Performance Achieved Quantity Support for veterans and their families. Support for veterans and their families was provided. The number of interventions put in place will depend on a range of factors beyond the control 1,241 contracts for service for the provision of of Veterans Affairs New Zealand. It is estimated services to support veterans and their families are that contracts for service will be put in in place. place. Quality 95% of all contracts will comply with agreed contract standards. The services provided will be to the satisfaction of the veteran and, or their family. All contracts for the provision of services to support veterans and their families complied with agreed contract standards. Feedback provided from the veterans and their families during routine call backs to check on the services provided indicate that the services delivered were to their satisfaction. Costs for Non Departmental Output Expense 02 Support for Veterans and their Families 2005/06 ($ million) Category Main Estimates ($ million) Supplementary Estimates ($ million) 2006/07 ($ million) Total Expenses Veterans Affairs Below: Veterans catch up during Anzac Day. Above: Wreath Laying on Anzac Day. 144 NEW ZEALAND DEFENCE FORCE

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