Auditor‑General Act 1997
No. 151, 1997
Compilation No. 18
Compilation date: 17 October 2023
Includes amendments up to: Act No. 71, 2023
Registered: 25 October 2023
About this compilation
This compilation
This is a compilation of the Auditor-General Act 1997 that shows the text of the law as amended and in force on 17 October 2023 (the compilation date).
The notes at the end of this compilation (the endnotes) include information about amending laws and the amendment history of provisions of the compiled law.
Uncommenced amendments
The effect of uncommenced amendments is not shown in the text of the compiled law. Any uncommenced amendments affecting the law are accessible on the Register (www.legislation.gov.au). The details of amendments made up to, but not commenced at, the compilation date are underlined in the endnotes. For more information on any uncommenced amendments, see the Register for the compiled law.
Application, saving and transitional provisions for provisions and amendments
If the operation of a provision or amendment of the compiled law is affected by an application, saving or transitional provision that is not included in this compilation, details are included in the endnotes.
Editorial changes
For more information about any editorial changes made in this compilation, see the endnotes.
Modifications
If the compiled law is modified by another law, the compiled law operates as modified but the modification does not amend the text of the law. Accordingly, this compilation does not show the text of the compiled law as modified. For more information on any modifications, see the Register for the compiled law.
Self‑repealing provisions
If a provision of the compiled law has been repealed in accordance with a provision of the law, details are included in the endnotes.
Readers Guide
This Guide aims to give you a general overview of the matters covered by this Act. It also gives you some information about the way this Act is organised.
Overview of this Act
This Act establishes an office of Auditor‑General for the Commonwealth and sets out the Auditor‑General’s functions. This Act also establishes the Australian National Audit Office and provides for the appointment of an Independent Auditor to audit the Office.
Summary of this Act
Part 1 Preliminary: This Part deals with the commencement of this Act, its application to things outside Australia and its application to the Crown.
Part 2 Interpretation: This Part contains definitions of terms that are frequently used throughout this Act.
Part 3 The Auditor‑General: This Part establishes the office of Auditor‑General. Schedule 1 deals with administrative matters relating to the office of Auditor‑General, such as the Auditor‑General’s appointment, conditions, resignation and removal.
Part 4 Main functions and powers of the Auditor‑General: This Part set out the functions and powers of the Auditor‑General.
Part 5 Information‑gathering powers and secrecy: This Part gives the Auditor‑General various powers to gather information. It also places restrictions…
Overview
The Auditor-General Act 1997, enacted in 1997, establishes the office of the Auditor-General for the Commonwealth and delineates the functions and powers of the Auditor-General. The legislation was introduced to address the need for an independent entity to audit the financial statements and operations of Commonwealth entities and companies, ensuring transparency, accountability, and adherence to public sector governance standards. The Act was enacted by the Commonwealth Parliament, with the policy objective of providing an independent audit function to oversee the financial and operational integrity of government entities and to report findings to Parliament and relevant ministers. The Act ensures that the Auditor-General operates with complete discretion and independence, free from external direction in conducting audits and investigations.
Scope and Application
The Auditor-General Act 1997 establishes the office of the Auditor-General for the Commonwealth of Australia and sets out the Auditor-General's functions. This Act applies to the Commonwealth, including Norfolk Island, and extends to acts, omissions, matters, and things outside Australia, unless otherwise specified. The Act applies to the Crown in right of the Commonwealth but does not make the Crown liable for prosecution. The Auditor-General is an independent officer of the Parliament, and the Act specifies the functions, powers, rights, immunities, and obligations of the Auditor-General. The Auditor-General has broad discretion in exercising their functions, free from direction by any person, including in deciding which audits to conduct and how they are to be conducted. The Act outlines the appointment process for the Auditor-General, including a requirement for the Minister to refer any recommendation to the Joint Committee of Public Accounts and Audit for approval. The Auditor-General's functions include auditing the annual financial statements and performance statements of Commonwealth entities, companies, and subsidiaries, as well as conducting performance audits and assurance reviews. The Auditor-General also has the authority to gather information and set auditing standards. The Act provides for the establishment of the Australian National Audit Office and the appointment of an Independent Auditor to audit the Office. Subordinate instruments may extend or restrict the application of the Act, and specific modifications apply to intelligence or security agencies.
Key Provisions
- The Auditor-General Act 1997 establishes the office of the Auditor-General, setting out the functions and powers of the Auditor-General. The Act mandates that the Auditor-General must audit the annual financial statements of Commonwealth entities, Commonwealth companies, and subsidiaries, as well as the annual consolidated financial statements of these entities. The Act also provides for the auditing of annual performance statements of Commonwealth entities. Furthermore, it allows the Auditor-General to conduct performance audits of Commonwealth entities, companies, and subsidiaries, as well as broader performance audits of the Commonwealth public sector. The Auditor-General must table audit reports in Parliament and provide copies to relevant ministers and officials. The Act grants the Auditor-General various information-gathering powers, which can be used for the purpose of any Auditor-General function except for specific exceptions. The Act also outlines the obligations of the Auditor-General, including the duty to have regard to the audit priorities of Parliament and to set auditing standards. In addition to these, the Act establishes the Australian National Audit Office and the role of the Independent Auditor, who is tasked with auditing the financial statements and performance of the Audit Office. The Act imposes civil and criminal penalties for breaches of its provisions, particularly concerning the unauthorised disclosure of confidential information. For example, unauthorised disclosure of information obtained in the course of performing an Auditor-General function carries a penalty of imprisonment for two years. Similarly, the unauthorised disclosure of sensitive information that should not be included in public reports also carries a penalty of imprisonment for two years.
- Area of Law
- Administrative Law
- Auditing Law
- Instrument
- Act
- Concepts
- Commencement Provisions
- Delegated & Subordinate Legislation
- Reporting & Disclosure Obligations
- Enforcement Powers
- Regulatory Standards
- Confidentiality of Information