Export Finance and Insurance Corporation Amendment Act (No. 2) 1976

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EXPORT FINANCE AND INSURANCE CORPORATION AMENDMENT ACT (No. 2) 1976

No. 148 of 1976

An Act to amend the Export Finance and Insurance Corporation Act 1974.

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

Short title, &c.

1. (1) This Act may be cited as the Export Finance and Insurance Corporation Amendment Act (No. 2) 1976.

(2) The Export Finance and Insurance Corporation Act 1974 is in this Act referred to as the Principal Act.

Commencement.

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

Loans in national interest.

3. Section 41 of the Principal Act is amended—

(a) by inserting after sub-section (4) the following sub-section:—

“(4a) Where, under sub-section (3), the Minister has approved the making of a loan by the Corporation, the Minister may, on behalf of the Commonwealth, guarantee to the Corporation the repayment of the whole or any part of the moneys lent, or to be lent, by the Corporation and the payment of the whole or any part of any interest or other charges that may become payable to the Corporation in respect of the moneys lent, or to be lent, by the Corporation.

(b) by inserting in sub-section (6), after the words “under sub-section (3),”, the words “not being a loan in respect of which a guarantee has been, or is to be, given under sub-section (4a),”; and

(c) by adding at the end of sub-section (7) the words “and, if the Minister gives a guarantee under sub-section (4a) in respect of the loan, particulars of the nature and extent of the liability of the Commonwealth under the guarantee.”

Terms and conditions of employment of officers.

4. Section 62 of the Principal Act is amended by omitting from sub-section (2) the words “at a rate exceeding $17,775 per annum or such higher rate as is prescribed” and substituting the words “at a rate exceeding $23,245 per annum or such other rate as is ascertained in accordance with the regulations”.

5. Section 64 of the Principal Act is repealed and the following section substituted:—

Superannuation.

“64. Nothing in this Act authorizes the provision of superannuation benefits to a person appointed or employed under this Act otherwise than under the Superannuation Act 1976.”.

Capital of Corporation.

6. Section 67 of the Principal Act is amended by inserting in paragraph (b) of sub-section (2), after the words “under sub-section (1)”, the words “(other than amounts that the Treasurer directs are not to be treated as part of the capital of the Corporation)”.

Loans in national interest.

7. Section 74 of the Principal Act is amended by adding at the end of sub-section (1) the words “, other than a loan in respect of which a guarantee has been given under sub-section (4a) of that section”.

Formal amendments.

8. The Principal Act is amended as set out in the Schedule.


SCHEDULE Section 8

FORMAL AMENDMENTS

1. The following provisions of the Principal Act are amended by omitting the word “Australia” (wherever occurring) and substituting the words “the Commonwealth”:—

Sections 67(3) and (4), 68(4), 69, 71(2)(b), 73(3), (4), (5) and (6), 74(3), (4), (5) and (6), 80(1), 82, 87(1), 95, 97.

2. Sub-section 62(1) of the Principal Act is amended by omitting the word “Australian”.

 

Overview

The Export Finance and Insurance Corporation Amendment Act (No. 2) 1976 was enacted to amend the Export Finance and Insurance Corporation Act 1974. This Act was introduced by the Queen, with the authority of the Senate and House of Representatives of the Commonwealth of Australia. The primary aim of this legislation is to modify the financial and operational provisions of the Export Finance and Insurance Corporation, ensuring it can effectively support Australian exports and the national interest. It addresses issues such as the guarantee of loans by the Commonwealth, updates to the terms and conditions of employment, and adjustments to superannuation benefits for officers. Additionally, the Act makes formal amendments to various sections of the Principal Act, replacing references to "Australia" with "the Commonwealth" and making other technical adjustments to improve the clarity and functionality of the legislation.

Scope and Application

The Export Finance and Insurance Corporation Amendment Act (No. 2) 1976 amends the Export Finance and Insurance Corporation Act 1974. It applies to the Export Finance and Insurance Corporation (EFIC) and its officers, providing authority for loans in the national interest with the possibility of Commonwealth guarantees. The Act applies to the Efic and its employees, and it extends to the entire Commonwealth of Australia. The Act does not specify any exclusions or exemptions, but it does mention that the Minister can direct certain amounts not to be treated as part of the Corporation's capital. The Act also amends certain terms and conditions of employment for officers, and it makes changes to the superannuation provisions. The Act's application may be further extended or restricted through subordinate instruments, such as regulations or directions by the Treasurer.

Key Provisions

The Export Finance and Insurance Corporation Amendment Act (No. 2) 1976 (Act) introduces several amendments to the Export Finance and Insurance Corporation Act 1974 (Principal Act), which is primarily concerned with the operations of the Export Finance and Insurance Corporation (EFIC). Section 3 of the Act introduces a new sub-section (4a) to Section 41 of the Principal Act, allowing the Minister to guarantee loans made by the Corporation if they are in the national interest. This provision enables the Minister to provide assurance to the Corporation for the repayment of loans and associated charges. Sub-section (6) is also amended to exclude loans covered by this guarantee from certain provisions, and sub-section (7) is updated to require disclosure of the Commonwealth's liability under the guarantee. In terms of employment conditions, Section 4 of the Act modifies the salary cap for officers of the Corporation, replacing the previous cap of $17,775 per annum with a new rate determined by regulation, which at the time of the Act was set at $23,245 per annum. This change is intended to align officer remuneration with broader regulatory standards. Furthermore, Section 5 repeals and replaces Section 64 of the Principal Act, explicitly stating that superannuation benefits must be provided under the Superannuation Act 1976, thereby ensuring compliance with national superannuation laws. The Act also addresses the Corporation's capital and loan provisions. Section 6 amends Section 67 of the Principal Act to clarify that certain amounts directed by the Treasurer not to be treated as part of the Corporation's capital will be excluded from its total capital. This ensures that the Corporation's financial standing is accurately represented. Section 7 of the Act further amends Section 74 of the Principal Act to exclude loans guaranteed by the Commonwealth under the new sub-section (4a) from certain other provisions. Finally, Section 8 of the Act makes formal amendments to various sections of the Principal Act by replacing instances of the word "Australia" with "the Commonwealth," thereby aligning the terminology throughout the Act and ensuring consistency in the legislative framework. These changes collectively aim to enhance the operational clarity and regulatory compliance of the Efic within the broader Australian financial and insurance landscape.

Legal classification tags

Area of Law
Commercial Law
Finance & Banking Law
Instrument
Amending Act
Concepts
Commencement Provisions
Repeal & Amendment
Definitions & Interpretation
Loans in national interest
Terms and conditions of employment of officers

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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.