Export Finance and Insurance Corporation Amendment (Strategic Reserve) Act 2026

Export Finance and Insurance Corporation Amendment (Strategic Reserve) Act 2026

No. 21, 2026

An Act to amend the Export Finance and Insurance Corporation Act 1991, and for related purposes

Contents

1 Short title

2 Commencement

3 Schedules

Schedule 1—Amendments

Part 1—Strategic Reserve

Export Finance and Insurance Corporation Act 1991

Part 2—Other amendments

Export Finance and Insurance Corporation Act 1991

Export Finance and Insurance Corporation Amendment (Strategic Reserve) Act 2026

No. 21, 2026

An Act to amend the Export Finance and Insurance Corporation Act 1991, and for related purposes

[Assented to 1 April 2026]

The Parliament of Australia enacts:

1  Short title

  This Act is the Export Finance and Insurance Corporation Amendment (Strategic Reserve) Act 2026.

2  Commencement

 (1) Each provision of this Act specified in column 1 of the table commences, or is taken to have commenced, in accordance with column 2 of the table. Any other statement in column 2 has effect according to its terms.

Note: This table relates only to the provisions of this Act as originally enacted. It will not be amended to deal with any later amendments of this Act.

 (2) Any information in column 3 of the table is not part of this Act. Information may be inserted in this column, or information in it may be edited, in any published version of this Act.

3  Schedules

  Legislation that is specified in a Schedule to this Act is amended or repealed as set out in the applicable items in the Schedule concerned, and any other item in a Schedule to this Act has effect according to its terms.

Schedule 1—Amendments

Part 1—Strategic Reserve

Export Finance and Insurance Corporation Act 1991

1  Subsection 3(1)

Insert:

EFIC’s Strategic Reserve function means the function set out in paragraph 7(1)(dh).

Resources Minister means the Minister administering the Offshore Minerals Act 1994.

SR arrangement means an arrangement of a kind referred to in paragraph 23BA(1)(d) or (e).

Note: Paragraphs 23BA(1)(a), (b) and (c) refer to other things that are not covered by this definition.

strategic material means:

 (a) a thing specified in the list titled Critical Minerals List published by the Department administered by the Resources Minister, as existing from time to time; or

 (b) each of the following fuels:

 (i) gasoline;

 (ii) diesel;

 (iii) kerosene;

 (iv) crude oil;

 (v) fuel oil;

 (vi) a fuel of a kind determined under subsection (6); or

 (c) any material, good, or other thing, of a kind that:

 (i) may be imported into Australia, or could be produced in Australia; and

 (ii) is experiencing, or is vulnerable to experiencing, supply chain disruptions.

Paragraphs (a) and (b) of this definition do not limit paragraph (c) of this definition.

Note: In relation to paragraph (a), the Critical Minerals List could in 2026 be viewed on the Department’s website (https://www.industry.gov.au).

2  At the end of section 3

Add:

Minister may determine fuels that are strategic materials

 (6) The Minister may, by legislative instrument, determine a kind of fuel for the purposes of subparagraph (b)(vi) of the definition of strategic material in subsection (1).

3  Paragraph 3B(m)

Omit “business.”, substitute “business;”.

4  At the end of section 3B

Add:

 (n) an activity with respect to bounties on the production or export of goods;

 (o) an activity with respect to matters incidental to the execution of any of the legislative powers of the Parliament or the executive power of the Commonwealth.

5  Section 3C (heading)

After “products”, insert “, or SR arrangements,”.

6  Subsection 3C(1)

Omit “or provides a financial service or product,”, substitute “provides a financial service or product, or enters into an SR arrangement,”.

7  Subsection 3C(2)

Omit “or the financial service or product is provided,”, substitute “the financial service or product is provided, or the SR arrangement is entered into,”.

8  After subsection 7(1)(dg)

Insert:

 (dh) to engage in, encourage and facilitate eligible activities that secure, or are intended to secure, a supply of strategic materials in support of Australia’s national and economic security interests;

9  At the end of section 7

Add:

 (4) In performing EFIC’s Strategic Reserve function, different strategic materials may be dealt with separately.

10  At the end of section 8

Add:

EFIC’s Strategic Reserve function

 (7) Subsection (1) and subparagraph (2)(b)(i) do not apply in relation to EFIC’s Strategic Reserve function.

11  Paragraphs 9(5)(a) and (b)

Repeal the paragraphs, substitute:

 (a) requiring any Minister’s approval of any of the following:

 (i) the entry by EFIC into a particular contract;

 (ii) the giving by EFIC of a particular guarantee;

 (iii) the making by EFIC of a particular loan;

 (iv) the entry by EFIC into a particular SR arrangement; or

 (b) giving any Minister power to determine that EFIC is or is not to do any of the following:

 (i) enter into a particular contract;

 (ii) give a particular guarantee;

 (iii) make a particular loan;

 (iv) enter into a particular SR arrangement.

12  Subsection 23(5)

Repeal the subsection (including the note).

13  Subsection 23A(4)

Repeal the subsection (including the note).

14  After section 23B

Insert:

23BA  Arrangements and other things to support EFIC’s Strategic Reserve function

 (1) EFIC may do one or more of the following things for the purposes of EFIC’s Strategic Reserve function:

 (a) enter into a contract of insurance or indemnity;

 (b) give a guarantee;

 (c) make a loan;

 (d) enter into an arrangement of another kind to facilitate any of the following things, including an arrangement for a third party to do such a thing:

 (i) buy, sell, transport or store a strategic material;

 (ii) buy or sell rights to, or relating to, a strategic material;

 (e) enter into an arrangement of any other kind specified in an instrument under subsection (3).

Note: A reference to a loan or to the lending of money includes a reference to the provision of finance, the provision of a financial accommodation or the making of equity investments, in any form: see subsection 3(2).

 (2) However, EFIC must not do a thing under this section unless an application for the doing of the thing has been referred to the Minister under section 25.

Note: A direction under section 26 may prevent such applications from being referred to the Minister. EFIC cannot do a thing under this section in those circumstances.

 (3) The Minister may, by legislative instrument, make a determination specifying a kind of arrangement for the purposes of paragraph (1)(e).

Certain instruments relating to Commonwealth procurement not applicable

 (4) An instrument made under section 105B of the Public Governance, Performance and Accountability Act 2013 does not apply in relation to EFIC’s Strategic Reserve function.

Note: Section 105B of the Public Governance, Performance and Accountability Act 2013 provides for the making of instruments relating to procurement.

15  Paragraph 25(1)(c)

Omit “Part 4.”, substitute “Part 4; or”.

16  At the end of subsection 25(1)

Add:

 (d) enter into an SR arrangement.

Note: For SR arrangement, see subsection 3(1).

17  At the end of section 25

Add:

 (4) An application relating to a proposed SR arrangement may be referred to the Minister whether or not EFIC is authorised to enter into the arrangement on the terms and conditions proposed.

18  After subsection 27(4B)

Insert:

 (4C) The Minister may approve of EFIC making a loan under section 23BA if the Minister is satisfied that it is in the national interest that EFIC make the loan.

Note: The provision of loans includes providing finance, providing a financial accommodation or making an equity investment, in any form: see subsection 3(2).

 (4D) The Minister may approve of EFIC entering into an SR arrangement if the Minister is satisfied that it is in the national interest that EFIC enter into the arrangement.

19  Subsections 27(8) and (9)

Omit “or make a loan”, substitute “make a loan, or enter into an SR arrangement,”.

20  Paragraph 28(c)

Omit “given.”, substitute “given; and”.

21  At the end of section 28

Add:

 (d) where the approval relates to an SR arrangement:

 (i) conditions relating to the volume and price of the strategic material to which the arrangement relates; and

 (ii) conditions relating to any other terms and conditions of the arrangement.

22  After subsection 29(3)

Insert:

 (3A) The Minister may direct that whenever EFIC receives an application for EFIC to enter into an SR arrangement included in a specified class of SR arrangements, EFIC is to enter into the arrangement, whether or not EFIC would, apart from this section, be authorised to enter into the arrangement on the terms and conditions proposed.

23  Paragraph 29(5)(c)

Omit “given.”, substitute “given; or”.

24  At the end of subsection 29(5)

Add:

 (d) where the direction relates to an SR arrangement:

 (i) the volume and price of the strategic material to which the arrangement relates; and

 (ii) any other terms and conditions of the arrangement.

25  Subsections 29(8) and (9)

Omit “or make a loan,”, substitute “, make a loan, or enter into an SR arrangement,”.

26  Subsection 30(1)

Repeal the subsection, substitute:

 (1) If, in accordance with an approval or direction under this Part, EFIC:

 (a) enters into a contract; or

 (b) gives a guarantee; or

 (c) makes a loan; or

 (d) enters into an SR arrangement;

EFIC must cause notice of the contract, guarantee, loan or arrangement to be published in the Gazette.

27  Paragraph 30(2)(c)

Omit “lent.”, substitute “lent;”.

28  At the end of subsection 30(2)

Add:

 (d) in the case of an SR arrangement—particulars of the nature and extent of the arrangement.

29  Subsection 30(4)

Repeal the subsection, substitute:

 (4) A notice under subsection (1) must not state the name of:

 (a) any of the parties to a contract; or

 (b) any person in respect of whom a guarantee has been given by EFIC; or

 (c) any of the parties to an SR arrangement.

30  Paragraph 54(9)(c)

Omit “liability.”, substitute “liability; and”.

31  At the end of subsection 54(9)

Add:

 (d) an expected loss by, or liability of, EFIC under or in relation to an SR arrangement is to be ignored to the extent that the Commonwealth would be liable to pay an amount to EFIC under section 66AA in relation to the loss or liability.

32  Paragraph 56(2)(c)

Omit “matter.”, substitute “matter; and”.

33  At the end of subsection 56(2)

Add:

 (d) a likely liability of EFIC in relation to an SR arrangement is to be ignored to the extent that the Commonwealth would be liable to pay an amount to EFIC under section 66AA in relation to the same matter.

34  After section 66

Insert:

66AA  SR arrangements in the national interest

 (1) This section applies to an SR arrangement if the arrangement is entered into by EFIC in accordance with an approval or direction under Part 5.

 (2) Subject to subsection (7), EFIC is required to pay to the Commonwealth, from time to time, as directed by the Finance Minister, all of the receipts by EFIC from SR arrangements to which this section applies.

 (3) For the purposes of subsection (2), the receipts from an SR arrangement are calculated by deducting from the total of the amounts received by EFIC in relation to the arrangement all amounts paid or payable by EFIC in relation to the arrangement.

 (4) Subject to subsection (6), the Commonwealth is liable to pay to EFIC the amount needed to discharge any liability of EFIC under an SR arrangement to which this section applies.

 (5) Instead of the Commonwealth paying the amount due under subsection (4) when the liability of the Commonwealth arises, the Minister may, on behalf of the Commonwealth, direct EFIC to seek approval under section 59 for EFIC to borrow an amount equal to the amount due by the Commonwealth.

 (6) If the Finance Minister gives approval under section 59, the Commonwealth’s liability under subsection (4) is replaced by a liability to pay EFIC the amount needed to discharge the borrowing by EFIC and to pay all costs (including interest) incurred by EFIC in connection with the borrowing.

 (7) EFIC may deduct from any amount that it is required to pay under subsection (2) in relation to SR arrangements to which this section applies:

 (a) an administration fee, to be ascertained in such manner as the Finance Minister directs in writing; and

 (b) any costs (including interest) incurred by EFIC in connection with the arrangements.

35  Section 67

Repeal the section, substitute:

67  Subsidy to EFIC

 (1) The Minister may, by legislative instrument, determine principles according to which the Commonwealth will pay to EFIC a subsidy in respect of the following:

 (a) contracts entered into by EFIC;

 (b) guarantees given by EFIC;

 (c) loans made by EFIC;

 (d) SR arrangements entered into by EFIC.

 (2) Where a thing mentioned in subsection (1) has been done by EFIC, EFIC is entitled to be paid by the Commonwealth such amount (if any) by way of subsidy as is payable according to a determination in force under subsection (1).

36  Paragraph 84A(1)(b)

Omit “function.”, substitute “function;”.

37  At the end of subsection 84A(1)

Add:

 (c) EFIC’s Strategic Reserve function.

38  Paragraph 87(6)(c)

Omit “Act.”, substitute “Act; or”.

39  At the end of subsection 87(6)

Add:

 (d) an SR arrangement entered into, or proposed to be entered into, under this Act.

40  Subsection 88(1) (paragraph (c) of the definition of application)

Omit “EFIC.”, substitute “EFIC; or”.

41  Subsection 88(1) (at the end of the definition of application)

Add:

 (d) an application to EFIC to enter into an SR arrangement.

42  Subsection 88(1) (paragraph (c) of the definition of claim)

Omit “EFIC.”, substitute “EFIC; or”.

43  Subsection 88(1) (at the end of the definition of claim)

Add:

 (d) a claim under an SR arrangement entered into by EFIC.

44  Paragraph 89(1)(c)

Omit “EFIC.”, substitute “EFIC; or”.

45  At the end of subsection 89(1)

Add:

 (d) an SR arrangement entered into by EFIC.

46  Transitional provision—subsection 67(1) Determination

A determination that was in force under subsection 67(1) of the Export Finance and Insurance Corporation Act 1991 immediately before the commencement of this item continues in force (and may be dealt with) on and after that commencement as if it had been made under subsection 67(1) of that Act as substituted by this Part.

Part 2—Other amendments

Export Finance and Insurance Corporation Act 1991

47  After section 47

Insert:

48  Remuneration and allowances for committee members

Committee members who are also Board members

 (1) If:

 (a) a committee member is also a Board member; and

 (b) the Board decides that the committee member is to be remunerated in relation to the member’s committee membership;

the committee member is to be paid the remuneration that is determined by the Remuneration Tribunal. If no determination of that remuneration by the Tribunal is in operation, the committee member is to be paid the remuneration that is determined under subsection (4).

 (2) A committee member who is a Board member is to be paid the allowances that are determined under subsection (4).

 (3) Subsections (1) and (2) have effect subject to the Remuneration Tribunal Act 1973.

 (4) The Minister may, by legislative instrument, determine:

 (a) remuneration for the purposes of subsection (1); and

 (b) allowances for the purposes of subsection (2).

Committee members who are not Board members

 (5) If the Board decides that a committee member other than a Board member is to be remunerated, the committee member is to be paid the remuneration and allowances determined by EFIC in writing.

48  Subsection 84(1)

Omit “sections 48, 54, 71 and 72”, substitute “sections 54, 71 and 72”.

49  After section 90

Insert:

90A  Periodic reviews of the operation and effectiveness of this Act

 (1) The Minister must cause periodic independent reviews to be conducted in relation to the operation and effectiveness of:

 (a) this Act; and

 (b) any instruments made under this Act.

 (2) Without limiting subsection (1), the review must include consideration of:

 (a) the scope of this Act; and

 (b) EFIC’s functions; and

 (c) EFIC’s governance; and

 (d) whether amendments to this Act, including to expand the scope of this Act, are necessary or desirable to improve the operation or effectiveness of this Act.

Timing of reviews

 (3) The first review must be completed before 31 December 2029.

 (4) Each later review must be completed before the end of 5 years after the completion of the previous review.

Minister to be given report of review

 (5) The persons conducting each review must give the Minister a written report of the review as soon as practicable after the review is completed. The report must not include information that is commercially sensitive.

Minister to table copy of report of review

 (6) The Minister must cause a copy of the report of each review to be tabled in each House of the Parliament within 15 sitting days of that House after the Minister receives the report.

[Minister’s second reading speech made in—

House of Representatives on 30 March 2026

Senate on 31 March 2026]