Commonwealth Authorities and Companies Amendment Regulations 2002 (No. 1)

Overview

The Commonwealth Authorities and Companies Amendment Regulations 2002 (No. 1) were enacted to address gaps and update provisions in the Commonwealth Authorities and Companies Act 1997. This regulatory framework was established to govern the reporting, accountability, and operational guidelines for Commonwealth authorities and companies. The 2002 amendment was introduced to ensure the legislative framework remains current and effective in reflecting changes in the entities it governs. The regulations were issued by the Authority of the Minister for Finance and Administration, aligning with the overarching policy objective of maintaining transparency and accountability in the operations and financial dealings of Commonwealth entities. The primary goal of these regulations was to revise the lists of government business enterprises and statutory marketing authorities, update ministerial responsibilities, and refine reporting requirements to ensure comprehensive oversight and compliance with the Act.

Scope and Application

The Commonwealth Authorities and Companies Amendment Regulations 2002 (No. 1) apply to entities within the Commonwealth’s jurisdiction, specifically those designated as government business enterprises (GBEs) and statutory marketing authorities (SMAs) under the Commonwealth Authorities and Companies Act 1997. These regulations update the lists of GBEs and SMAs to reflect current Commonwealth holdings and activities, ensuring that the Act accurately governs the appropriate entities. Additionally, the regulations impose obligations on responsible Ministers to provide detailed information regarding the Commonwealth's acquisition or disposal of interests in companies, including the type of company involved. The changes in the regulations also rectify references to align with the Corporations Act 2001. The geographic reach of these regulations is national, as they pertain to Commonwealth entities and activities across Australia. The amendments do not introduce any exclusions or exemptions beyond what is specified in the regulations themselves, and they operate under the authority granted by the Act, extending its application through subordinate instruments as necessary.

Key Provisions

The Commonwealth Authorities and Companies Amendment Regulations 2002 (No. 1) make several significant changes to the Commonwealth Authorities and Companies Regulations 1997 (Regulations), primarily updating the lists of government business enterprises (GBEs) and statutory marketing authorities (SMAs) under the Commonwealth Authorities and Companies Act 1997 (Act). Section 4 of the Regulations now includes Bankstown Airport Limited (BAL), Camden Airport Limited (CAL) and Hoxton Park Airport Limited (HPAL) as GBEs, while removing Essendon Airport Limited (EAL), which has been sold and is no longer a Commonwealth company (Schedule 1, Item 1). Similarly, Schedule 1, Item 2 amends CAC Regulation 4A by including BAL, CAL and HPAL as Commonwealth companies and removing EAL. The Australian Pork Corporation, which has ceased to exist due to the repeal of its enabling Act, is omitted from the list of SMAs under Schedule 1, Item 3. Moreover, Schedule 1, Item 4 and 5 amend CAC Regulation 7 to require responsible Ministers to specify the type of company involved—whether it is a public company, a large proprietary company, a small proprietary company or a single member company—when the Commonwealth acquires or disposes of an interest in a company. Finally, Schedule 1, Item 5 updates the reference from "Corporations Law" to "Corporations Act 2001" in CAC Regulation 7. The Regulations impose several obligations on the responsible Ministers and entities they govern. For instance, they require Ministers to provide detailed information regarding the type of company involved when the Commonwealth acquires or disposes of an interest in a company. This is intended to ensure transparency and accountability in dealings involving Commonwealth companies. Additionally, by updating the lists of GBEs and SMAs, the Regulations clarify the scope of entities subject to the Act's provisions, ensuring that appropriate oversight and reporting requirements are applied to the correct entities. Breach of the obligations or requirements set out in the Regulations could potentially lead to civil or criminal consequences, although the specific penalties are not detailed in the explanatory statement. However, given that these Regulations amend existing rules aimed at ensuring accountability and transparency in Commonwealth authorities and companies, non-compliance could result in legal action, fines, or other penalties as prescribed under the relevant sections of the Act. For instance, failure to table the required notices in Parliament as mandated by section 45 of the Act could be seen as a breach of parliamentary procedures, attracting appropriate sanctions under parliamentary rules and regulations.