Capital Funding in the Budget process:
Australian Government entities are appropriated ongoing capital funding, through the Budget process, in:
Non-ongoing capital funding is appropriated through appropriation Acts (No. 2/4/6) as departmental equity injections and administered assets and liabilities.
Entities may also fund the purchase of assets from other sources such as cash reserves and external revenue.
Entities are expected to manage capital expenditure within their respective funding arrangements. An increase in capital funding, either a one-off or ongoing basis, must be undertaken through new policy proposals (NPP) where the increase is due to:
- a change to accounting standards
- asset revaluations
- additional asset purchases.
An NPP is required when expenditure on project procurement, purchase of an asset, or a group of assets with a similar purpose is: