Environment (Financial Assistance) Act 1977

Legislation au C2004A01788 Not in force Act

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ENVIRONMENT (FINANCIAL ASSISTANCE) ACT 1977

No. 150 of 1977

An Act to grant financial assistance to the States in connexion with projects related to the environment, and for other purposes.

BE IT ENACTED by the Queen, and the Senate and House of Representatives of the Commonwealth of Australia, as follows:

Short title

1. This Act may be cited as the Environment (Financial Assistance) Act 1977.

Commencement

2. This Act shall come into operation on the day on which it receives the Royal Assent.

Interpretation

3. In this Act, unless the contrary intention appears—

“agreement” means an agreement in force under section 4;

“approved body” means a body approved by the Minister for the purposes of this Act, being—

(a) an authority of a State;

(b) a local governing body; or

(c) any body corporate constituted for purposes other than the acquisition of gain by its individual members;

“environment” includes all aspects of the surroundings of man, whether affecting him as an individual or in his social groupings.

Agreement for financial assistance

4. (1) The Minister may, from time to time, on behalf of the Commonwealth, agree with a State upon financial assistance, whether by way of loan or otherwise, to be provided by the Commonwealth to the State under this Act in respect of amounts expended by the State or an approved body in respect of projects related to the environment.

 

 (2) An agreement with a State under sub-section (1) shall be in writing and may relate to projects approved, or to be approved, by the Minister and the appropriate Minister of the State, acting jointly.

 

(3) An agreement with a State under sub-section (1) may specify conditions to which the grant of financial assistance in accordance with the agreement is subject.

 

(4) An agreement with a State under sub-section (1) may include provision for—

(a) the review of the operation of the agreement; and

(b) the amendment of the agreement by a further agreement in consequence of such a review.

Financial assistance

5. Subject to this Act, financial assistance is payable to a State in accordance with an agreement.

Agreements to be tabled in Parliament

6. The Minister shall cause a copy of every agreement, including every amending agreement, to be laid before each House of the Parliament within 15 sitting days of that House after the date on which the agreement is made.

Payments to the States

7. A payment (including an advance) to a State under this Act shall be made out of moneys available under an appropriation made by the Parliament for the purpose.

Advances

8. (1) The Treasurer may, at such times as he thinks fit, make advances to a State of such amounts as he thinks fit on account of an amount that may become payable to the State under this Act.

 

(2) Without limiting the discretion of the Treasurer under sub-section (1), the Treasurer may refrain from making an advance to a State under that sub-section until the State has furnished to the Treasurer such documents and other evidence to justify the making of the advance to the State or to show how an amount, or part of an amount, advanced to the State under that sub-section has been used or applied, as the Treasurer requests.

Evidence of expenditure

9. A State is not entitled to a payment of financial assistance under section 5 in respect of any expenditure unless the State has furnished the Treasurer with—

(a) a statement in respect of that expenditure, in accordance with a form approved by the Treasurer, accompanied by a certificate of the Auditor-General of the State certifying that, in his opinion, the amounts shown in the statement as having been expended were expended in accordance with an agreement; and

(b) such further information (if any) as the Treasurer requires in respect of that expenditure.

Conditions

10. (1) Payment of an amount (including an advance) to a State under this Act in accordance with an agreement is subject to the condition that, if the Minister informs the Treasurer of the State that he is satisfied that the State has failed to fulfil a condition in the agreement, the State will repay the amount paid to the State under this Act in accordance with the agreement, or such part of that amount as the Minister specifies, to the Commonwealth.

 

(2) Payment of an amount (including an advance) to a State under this Act is subject to the condition that the State will repay to the Commonwealth, on demand by the Treasurer, the amount by which, at the time of the demand, the total of the amounts paid to the State under this Act exceeds the total of the amounts that have become payable to the State under this Act.

Deduction of amount payable or repayable by State

11. The Treasurer may deduct any amount payable or repayable by a State to the Commonwealth under this Act from an amount payable by the Commonwealth to the State under this Act.

Amendment of States Grants (Nature Conservation) Act

12. Section 4 of the States Grants (Nature Conservation) Act 1974 is amended by adding at the end thereof the following sub-section:

 

 “(4) The Minister shall not agree on a program, or enter into an agreement, under this section after the commencement of this sub-section, but this sub-section does not prevent the Minister from agreeing to a variation of a program or agreement that was agreed upon, or entered into, before the commencement of this sub-section.”.

 

Overview

The Environment (Financial Assistance) Act 1977 was enacted to provide financial assistance from the Commonwealth to the States for environmental projects, thereby addressing the need for coordinated funding to support state-level environmental initiatives. This Act was introduced by the Australian Parliament, with the objective of facilitating financial support for environmental projects across the nation. The legislation enables the Minister to enter into agreements with States for financial assistance, including loans, to be used for environmental projects approved by both the Commonwealth and the respective State governments. Such agreements are subject to conditions that ensure the proper use of funds and allow for repayment in case of non-compliance. Additionally, the Act mandates that any agreements be tabled in Parliament and that payments are made from appropriations provided by the Parliament.

Scope and Application

The Environment (Financial Assistance) Act 1977 applies to the granting of financial assistance by the Commonwealth to the states for environmental projects. The Act allows the Minister to enter into agreements with states for the provision of financial assistance in respect of environmental projects carried out by the state or approved bodies such as authorities of a state or local governing bodies. The Act applies to the entire Commonwealth of Australia. The Act requires that agreements be tabled in Parliament and sets out the conditions under which financial assistance is paid. The Act also provides for the making of advances and the repayment of amounts by the states. The Act does not specify any exclusions, exemptions, or thresholds. The Act may be extended or restricted through subordinate instruments, such as regulations or guidelines issued by the Minister.

Key Provisions

The Environment (Financial Assistance) Act 1977 provides a legal framework for the Commonwealth to grant financial assistance to states for environmental projects. Section 4 of the Act allows the Minister to agree with a state on financial assistance to be provided by the Commonwealth, whether by way of loan or otherwise, for environmental projects. This agreement must be in writing and may specify conditions to which the grant of financial assistance is subject. Section 5 stipulates that financial assistance is payable to a state in accordance with an agreement, while section 6 mandates that the Minister shall lay a copy of every agreement before each House of the Parliament within 15 sitting days of that House after the date on which the agreement is made. Section 7 details that payments to a state under the Act shall be made out of moneys available under an appropriation made by the Parliament for the purpose. The Act imposes several obligations and requirements on the parties it governs. For instance, section 8(2) gives the Treasurer discretion to refrain from making an advance to a state until the state has furnished such documents and other evidence to justify the making of the advance as the Treasurer requests. Section 9 further requires a state to furnish the Treasurer with a statement in respect of any expenditure on environmental projects, accompanied by a certificate of the Auditor-General of the State certifying that, in his opinion, the amounts shown in the statement as having been expended were expended in accordance with an agreement. Section 10 imposes conditions on the payment of an amount to a state under the Act. For example, if the Minister informs the Treasurer of a state that he is satisfied that the state has failed to fulfil a condition in the agreement, the state will repay the amount paid to it under the Act in accordance with the agreement, or such part of that amount as the Minister specifies, to the Commonwealth. The Act also provides for offences, penalties, or civil/criminal consequences for breach. For instance, section 10(1) provides that payment of an amount to a state under the Act is subject to the condition that, if the Minister informs the Treasurer of the state that he is satisfied that the state has failed to fulfil a condition in the agreement, the state will repay the amount paid to it under the Act in accordance with the agreement, or such part of that amount as the Minister specifies, to the Commonwealth. Failure to comply with this condition may result in the state being liable to repay the amount to the Commonwealth. Additionally, section 11 allows the Treasurer to deduct any amount payable or repayable by a state to the Commonwealth under the Act from an amount payable by the Commonwealth to the state under the Act. Failure to comply with this provision may result in the state being liable to repay the amount to the Commonwealth.

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Area of Law
Environmental Law
Instrument
Act
Concepts
Definitions & Interpretation
Offence Provisions
Compliance Obligations

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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.