Annex 2: Enhancing the cultural value of government investment in the screen sector: comparison of status quo and proposed options
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Overarching aim and purpose
The current Significant New Zealand Content test seeks to provide cultural benefits to New Zealand by supporting the creation of New Zealand content and stories. The new criteria would seek to support the development of high-quality, compelling New Zealand content and build the quality, quantity and diversity of New Zealand’s creative talent.
Specific cultural and creative objectives
The current Significant New Zealand Content Test does not identify specific cultural and creative objectives. New criteria could incentivise, telling New Zealand stories, building, enhancing and showcasing New Zealand creative talent and expressing Māori culture or wider cultural perspectives.
Who does it apply to?
- The current Significant New Zealand Content Test applies to all New Zealand productions.
- Under Option 1, new cultural content and creative talent criteria would apply to New Zealand productions (excluding official co-productions).
- Under Option 2, New Zealand productions and official co-productions that are eligible for the NZSPG-NZ base incentive (20%) could apply for the stackable incentives, potentially qualifying for an overall maximum of 40%.
How does it work?
Current Significant New Zealand Content Test
All New Zealand Productions (including Official Co-productions) that meet the base eligibility criteria for the NZSPG can access funding equivalent to 40% of Qualifying New Zealand Production Expenditure (QNZPE), up to $15 million QNZPE. New Zealand Productions are those productions that are deemed to have significant New Zealand content, as determined by the Significant New Zealand Content Test. Official Co-productions are deemed to have significant New Zealand content and do not have to pass the test.
Option 1
- New cultural content and creative talent criteria would be introduced for New Zealand productions and would replace the current Significant New Zealand Content Test.
- New Zealand productions applying for the rebate of 40% of QNZPE through the NZSPG-NZ would be required to meet the new cultural content and creative talent criteria explicitly targeting key cultural and creative objectives.
- Official co-productions would not be required to meet the criteria.
Option 2
All New Zealand productions and official co-productions that are eligible for the new base NZSPG-NZ incentive (worth 20%), can also access a series of stackable incentives based on the new cultural content and creative talent criteria.New Zealand productions applying for the rebate of 40% of QNZPE through the NZSPG-NZ would be required to meet the new cultural content and creative talent criteria explicitly targeting key cultural and creative objectives.
Key components of the criteria
Current Significant New Zealand Content Test
The Significant New Zealand Content Test has criteria across four key areas:
- New Zealand subject matter
- New Zealand production activity
- New Zealand personnel
- New Zealand businesses.
These broadly reflect provisions in section 18(2) of the New Zealand Film Commission Act 1978
New Zealand Film Commission Act 1978(external link) — New Zealand Legislation
Options 1 and 2
3 proposed approaches for achieving the government’s cultural and creative objectives through new criteria are presented for public feedback:
- Targeting cultural content directly through a range of content-based criteria,
- Targeting cultural content indirectly through focusing on the quality, quantity and diversity of New Zealand creative personnel involved in the production,
- Targeting a mix of both content and personnel.
Proposed content-based criterion that are significantly different from current criteria in the Significant New Zealand Content Test include:
- The project is an effective stimulus to the promotion, development and enhancement of creativity and New Zealand culture
- Use of Te Reo Māori, or telling a story that amplifies Māori culture
- Telling a story that amplifies cultural perspectives of underrepresented communities e.g. Pacific, Asian
Proposed personnel-based criterion that are significantly different from current criteria in the Significant New Zealand Content Test include:
- The screenplay, underlying material, or textual basis from which the story is derived was created by a New ZealanderKey creative roles (e.g., writers, directors, editors, cast, composers) are held by Māori or other underrepresented communities such as Pacific, Asian
Assessment process
Current Significant New Zealand Content Test
Significant New Zealand content for New Zealand productions is determined by a points test. A production that receives at least 20 points out of 32 will generally be considered to have significant New Zealand content for the purposes of the NZSPG, subject to there being no relevant factors that mitigate against eligibility.
All productions will generally be expected to receive a minimum of 3 points related to New Zealand subject matter. All productions will generally be expected to receive at least 3 out of the total of 6 points available for New Zealand personnel in relation to director, producer and scriptwriter.
Option 1
A points test could be applied with New Zealand productions required to meet a minimum level of points in order to access the incentive. Awarding of points would be cumulative, and would be based on meeting a minimum number of criteria such as those proposed in the column above.
Enabling a degree of flexibility in the assessment process, to ensure each application is considered on its own merits and the assessment criteria are applied in a way that takes account of the specific elements of the proposed project may be appropriate. Maintaining flexibility to determine cultural value on a case-by-case basis would help to avoid an overly prescribed or tick-the-box approach.
Option 2
The design of the cultural content and creative talent incentive could retain flexibility to determine on a case-by-case basis if a production has met key criteria to access the 5% stackable incentives up to a maximum of 20%. This could include devolving decision making to a group of people and/or organisations with the cultural competency and screen-sector expertise to assess if a production meets the criteria.