Coronavirus Economic Response Package (Deferral of Sunsetting—Treasury Portfolio Instruments) Determination 2020

Administered by Department of the Treasury

Legislation au F2020L00895 In force Legislative Instrument

Legislation content

EXPLANATORY STATEMENT

Issued by authority of the Assistant Minister for Superannuation, Financial Services and Financial Technology

Coronavirus Economic Response Package Omnibus Act 2020

Coronavirus Economic Response Package (Deferral of Sunsetting—Treasury Portfolio Instruments) Determination 2020

In March 2020, the Government announced its economic response to the spread of the Coronavirus known as COVID-19, including measures in the Coronavirus Economic Response Package Omnibus Act 2020 (the Act). Schedule 16 to the Act provides that a Minister who administers legislation in the Minister’s portfolio that is due to sunset on or before 15 October 2020 may defer, by up to six months, the sunsetting date of that legislation.

Ordinarily, the Attorney‑General is responsible for deferring the sunsetting date of all legislative instruments by way of a certificate made under paragraph 51(1)(c) of the Legislation Act 2003. However, time and resource constraints during the current Coronavirus pandemic necessitates a more streamlined approach, such that responsibility is given to each portfolio to defer the sunsetting of legislation for which it has administrative responsibility. Deferring the sunsetting date provides sufficient time to properly review and remake the sunsetting legislation, following public consultation processes.

The Coronavirus Economic Response Package (Deferral of Sunsetting—Treasury Portfolio Instruments) Determination 2020 (the Determination) defers the sunsetting date of the ASIC Class Order [CO 10/407], ASIC Class Order [CO 10/654] and Australian Securities and Investments Commission Act 2001 – Takeovers Panel – Procedural Rules (12/04/2010) until 1 April 2021.

The Act specifies no conditions that need to be met before the power to make the Determination is exercised.

The Australian Securities and Investments Commission and the Takeovers Panel requested the deferral of the sunsetting of the legislative instruments that are the subject of this Determination as the preparation of replacement instruments was delayed by urgent work in response to the Coronavirus pandemic and constraints on public consultation as a result of the availability of stakeholders.

The Australian Securities and Investments Commission and the Takeovers Panel were consulted in making the Determination and supported the Determination. The Attorney-General’s Department was provided an opportunity to comment on the Determination and expressed no concerns. The Office of Best Practice Regulation was also consulted. It advised that a regulation impact statement was not required for the Determination, as the Determination merely postpones consideration of whether a regulation impact statement needs to be prepared for each of the legislative instruments that has its sunsetting date deferred. No public consultation was undertaken as the instrument is machinery in nature.

Details of the Determination are set out in Attachment A.

The Determination is a legislative instrument for the purposes of the Legislation Act 2003.

The Determination commenced on the day after it was registered.

A statement of Compatibility with Human Rights is at Attachment B.

ATTACHMENT A

Details of the Coronavirus Economic Response Package (Deferral of Sunsetting—Treasury Portfolio Instruments) Determination 2020

Section 1 – Name of the Determination

This section provides that the name of the Determination is the Coronavirus Economic Response Package (Deferral of Sunsetting—Treasury Portfolio Instruments) Determination 2020.

Section 2 – Commencement

The Determination commenced on the day after the instrument was registered on the Federal Register of Legislation.

Section 3 – Authority

The Determination is made under Schedule 16 of the Coronavirus Economic Response Package Omnibus Act 2020.

Section 4 – Definitions

Section 4 includes a definition of sunsetting instrument which sets the scope of the Determination.

Section 5 – Deferral of original sunset date

Section 5 defers the sunsetting date of three Treasury portfolio legislative instruments, due to be repealed by section 50 of the Legislation Act 2003 (that is, due to sunset) on 1 October 2020. These instruments are:

        ASIC Class Order [CO 10/407] (Federal Register of Legislation ID F2010L01522);

        ASIC Class Order [CO 10/654] (Federal Register of Legislation ID F2017C00172); and

        Australian Securities and Investments Commission Act 2001 – Takeovers Panel – Procedural Rules (12/04/2010) (Federal Register of Legislation ID F2010L000948).

The sunsetting date of each of these instruments is deferred until the earlier of the following days (known as the later sunset day):

        1 April 2021 (six months after the original sunset day of each of these instruments);

        the day that sunsetting instrument is repealed if it is remade and repealed before 1 April 2021.

Each instrument is repealed on that later sunset day.


ATTACHMENT B

Statement of Compatibility with Human Rights

Prepared in accordance with Part 3 of the Human Rights (Parliamentary Scrutiny) Act 2011

Coronavirus Economic Response Package (Deferral of Sunsetting—Treasury Portfolio Instruments) Determination 2020

This Legislative Instrument is compatible with the human rights and freedoms recognised or declared in the international instruments listed in section 3 of the Human Rights (Parliamentary Scrutiny) Act 2011.

Overview of the Legislative Instrument

The Coronavirus Economic Response Package (Deferral of Sunsetting—Treasury Portfolio Instruments) Determination 2020 defers the sunsetting date of the following legislative instruments that are due to sunset on 1 October 2020:

        ASIC Class Order [CO 10/407];

        ASIC Class Order [CO 10/654]; and

        Australian Securities and Investments Commission Act 2001 – Takeovers Panel – Procedural Rules (12/04/2010).

Each of these instruments now continue to operate until the earlier of the following days (known as the later sunset day):

        1 April 2021;

        the day that sunsetting instrument is repealed.

Human rights implications

This Legislative Instrument does not engage any of the applicable rights or freedoms.

Conclusion

This Legislative Instrument is compatible with human rights as it does not raise any human rights issues.

Overview

The Coronavirus Economic Response Package Omnibus Act 2020 was enacted to provide the Australian Government with the flexibility to implement a wide range of measures in response to the economic impact of the COVID-19 pandemic. The Act allows for the deferral of sunsetting dates of certain legislative instruments administered by the Treasury portfolio, ensuring these instruments remain in effect until a later date, providing sufficient time for proper review and consultation before their eventual repeal. The Coronavirus Economic Response Package (Deferral of Sunsetting—Treasury Portfolio Instruments) Determination 2020 implements this by deferring the sunsetting date of specific instruments until 1 April 2021. This was enacted by the Parliament of Australia to address the urgency of the situation caused by the pandemic, enabling the government to effectively manage legislative instruments without immediate pressure to replace them. The policy objective is to ensure that the legislative framework remains stable and functional, allowing for adequate time to prepare and consult on necessary replacements.

Scope and Application

The Coronavirus Economic Response Package (Deferral of Sunsetting—Treasury Portfolio Instruments) Determination 2020, issued under Schedule 16 of the Coronavirus Economic Response Package Omnibus Act 2020, applies to specific legislative instruments within the Treasury portfolio that were due to sunset on or before 15 October 2020. These instruments include ASIC Class Order [CO 10/407], ASIC Class Order [CO 10/654], and Australian Securities and Investments Commission Act 2001 – Takeovers Panel – Procedural Rules (12/04/2010). The Determination defers their sunsetting date until 1 April 2021, providing additional time for their review and replacement following public consultations, necessitated by the urgency and constraints arising from the COVID-19 pandemic. This streamlined approach, which bypasses the usual process of deferring sunsetting dates through a certificate by the Attorney-General, was adopted due to time and resource constraints during the pandemic. The Determination extends the operational period of these instruments, allowing for continued regulation within the financial services sector, until they are either repealed or continue beyond 1 April 2021 if they are remade and repealed before that date.

Key Provisions

The Coronavirus Economic Response Package (Deferral of Sunsetting—Treasury Portfolio Instruments) Determination 2020 (the Determination) is a legislative instrument made under Schedule 16 of the Coronavirus Economic Response Package Omnibus Act 2020 (the Act) (s 3). It defers the sunsetting date of certain legislative instruments managed by the Treasury portfolio. Specifically, the Determination defers the sunsetting date of the ASIC Class Order [CO 10/407], the ASIC Class Order [CO 10/654], and the Australian Securities and Investments Commission Act 2001 – Takeovers Panel – Procedural Rules (12/04/2010) (s 5). These instruments were originally set to sunset on 1 October 2020 but will now remain in effect until the earlier of 1 April 2021 or the day they are repealed if they are remade and repealed before that date (s 5). Each of these instruments will be repealed on the later sunset day. The Determination imposes certain obligations on the Australian Securities and Investments Commission (ASIC) and the Takeovers Panel. They are responsible for ensuring compliance with the legislative instruments that have had their sunsetting dates deferred. This includes administering and enforcing the provisions of the ASIC Class Orders and the Takeovers Panel Procedural Rules. The Determination also mandates that these entities prepare replacement instruments for the legislative measures that have been deferred, following appropriate consultation processes. This requirement aims to ensure that the regulatory framework remains effective and responsive to the needs arising from the COVID-19 pandemic. The Act and the Determination do not explicitly outline specific offences, penalties, or civil/criminal consequences for non-compliance with the deferred sunsetting provisions. However, the general legal framework in Australia provides that failure to comply with legislative instruments can lead to various penalties. For instance, non-compliance with ASIC Class Orders or procedural rules set by the Takeovers Panel can result in administrative penalties, fines, or legal action. The exact penalties would depend on the specific nature of the non-compliance and the relevant legislation governing the enforcement of the Class Orders and Procedural Rules. These penalties are typically detailed in the respective primary legislation that the Class Orders and Procedural Rules are derived from.

Legal classification tags

Area of Law
Financial Services Law
Instrument
Statutory Instrument
Concepts
Commencement Provisions
Repeal & Amendment
Deferral of Sunsetting

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Sourced from the Federal Register of Legislation at 26 August 2026. For the latest information on Australian Government law please go to https://www.legislation.gov.au.