Breakdown of NZ Passport Fees

Brian Mendham made this Official Information request to Department of Internal Affairs

The request was partially successful.

From: Brian Mendham

Dear Department of Internal Affairs,

Could you please provide a breakdown of the costs involved in producing a New Zealand passport and how this relates to the application fee. Please provide costs in relation to the following passport application types:

1. Adult Passport first time application.
2. Adult Passport Renewal.
3. Child Passport first time application.
4. Child Passport Renewal.

Thank you.

Yours faithfully,

Brian Mendham

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From: Geoff May
Department of Internal Affairs

Dear Mr. Mendham,


Thank you for your email of 17 August requesting, under the Official
Information Act 1992, a breakdown of the costs involved in producing a New
Zealand passport and how this relates to the application fee.


The passport service is a cost recovery service and passport fees are
therefore set to recover the full cost of passport operations, including
overheads. This revenue cannot be used to cross-subsidise the provision of
other services provided by the Department of Internal Affairs. Some
exceptions to full cost recovery have been made for child passports,
refugee travel documents and certificates of identity. These exceptions to
full cost recovery are consistent with Treasury and Office of the
Auditor-General guidelines on pricing in the public sector.


Passport fees were last fully revised in 2005 (please refer to the
approximate breakdown of passport production costs in the Table 1 below).
At that time, passport fees were increased predominantly to cover the
costs of the Passport Redevelopment Programme (PRP). The PRP, due for
completion by the end of this year, introduced a new improved passport
with additional security features and a new production system that enables
the public to apply for passport renewals online, a service which is more
cost-effective and convenient. The enhanced functionality and efficiency
gained by the significant system upgrade is expected to impact on the
different component costs of passports production.


A fees review is planned to occur after the completion of the PRP to
ensure that the actual benefits and costs are fully understood in the
calculation of the fee and the fee accurately reflects the cost-recovery
for the production of the passport.


Table 1 below, details the approximate long-run costs which were
determined by the last passports fees review in 2005.


Table 1: Passport cost analysis
(approximate long-run costs which were determined by the last
passports fees review in 2005)
Personnel 33.70
Passport book 11.80
e-Passport chip and protective inlay 21.97
Online checking of application against birth, death and citizenship 3.91
(etc) registers
Freight, postage, forms, storage, bank fees, tolls etc 6.16
Computer costs 3.82
Office space 4.08
Overseas posts agency costs 5.52
Passport system developments 11.04
Depreciation and capital charge 7.00
Corporate overheads 9.30
Subsidy for children's passports, refugee travel documents and 15.00
certificates of identity
GST 20.00
GST exclusive cost 133.30

You may be aware that the prices for adult passports were also reduced
when the online renewal was introduced in November 2012. This was because
the Department managed a significant increase in passport application
volumes without costs increasing at a commensurate rate.


The current fees are available on the [1]Department’s website. Please note
that there are fee variations for urgent, after hour’s services and online
applications. Fees may also vary depending on where you are applying


I hope this information satisfactorily answers your questions on this


Many thanks,



Geoff May

General Manager


The Department of Internal Affairs






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