Financial Management and Accountability Act 1997 Determination 2013/05 – Section 32 (Transfer of Functions from DCCEE to DIICCSRTE and DRET)

EXPLANATORY STATEMENT

Issued by the authority of the Minister for Finance and Deregulation

Financial Management and Accountability Act 1997

FMA Act Determination 2013/05 – Section 32 (Transfer of Functions from DCCEE to DIICCSRTE and DRET) (the Determination)

Purpose of the Determination

The Determination is made under section 32 of the Financial Management and Accountability Act 1997 (FMA Act), to transfer appropriations due to a change in the Administrative Arrangements Order made on 25 March 2013.

The Determination transfers amounts for functions related to climate change from the abolished Department of Climate Change and Energy Efficiency (DCCEE) to the renamed Department of Industry, Innovation, Climate Change, Science, Research and Tertiary Education (DIICCSRTE).

The Determination also transfers amounts for functions related to energy efficiency from the abolished DCCEE to the Department of Resources, Energy and Tourism (DRET).

The Determination transfers further appropriations in relation to the transfer of the functions related to climate change from DCCEE to DIICCSRTE and the transfer of functions related to energy efficiency from DCCEE to DRET. An initial transfer of appropriations occurred under FMA Act Determination 2013/01 – Section 32 (Transfer of Functions from DCCEE to DIICCSRTE and DRET).

Transfer of Functions generally

Section 32 of the FMA Act enables the Finance Minister to determine that one or more Schedules to one or more Appropriation Acts under section 32 are amended in relation to the transfer of a function from one Agency to another.

Under section 62 of the FMA Act, the Finance Minister has delegated the power to make determinations under section 32 to the Secretary of the Department of Finance and Deregulation (Finance). Under section 53 of the FMA Act, the Secretary of Finance has delegated the power to certain Senior Executive Service officials within Finance, including the official who made the Determination.

The Determination is a legislative instrument for the purposes of section 5 of the Legislative Instruments Act 2003.

Statement of Compatibility with Human Rights

A Statement of Compatibility with Human Rights is not required for the Determination. 
Subsection 9(1) of the Human Rights (Parliamentary Scrutiny) Act 2011 requires a Statement of Compatibility with Human Rights for all legislative instruments subject to disallowance under
section 42 of the Legislative Instruments Act 2003. A determination under section 32 of the FMA Act is exempt from disallowance under subsection 32(7) of the FMA Act. As such, a Statement of Compatibility with Human Rights is not required.

Consultation and Impact

Consistent with Part 3 of the Legislative Instruments Act 2003, DIICCSRTE and DRET were consulted in the preparation of the determination. DCCEE was not consulted as the agency was abolished on 25 March 2013.

Summary of Changes

The Determination affects Appropriation Acts in the following way, which results in no change to the total amount appropriated by Parliament:

As a result of amendments to the Administrative Arrangements Order, made on 14 December 2011, the former Department of Innovation, Industry, Science and Research (DIISR) was renamed the Department of Industry, Innovation, Science, Research and Tertiary Education (DIISRTE).

Subsequently, amendments to the Administrative Arrangements Order, made on 25 March 2013, renamed DIISRTE to DIICCSRTE. Orders made under section 19B of the Acts Interpretation Act 1901  have[k1] the effect that any references to DIISR or DIISRTE in the Determination or this Explanatory Statement should be read as reference to DIICCSRTE.

A new Outcome 4 for DIICCSRTE has been inserted in some of the acts referred to above. This Outcome is “Reduction of Australia’s greenhouse gas emissions, adaptation to the impacts of climate change, and negotiation of an effective global solution, through the development and implementation of a national response to climate change; and bilateral, regional and multilateral engagement internationally”. This was formerly an outcome for the abolished DCCEE.

Outcome 1 for DRET has been amended in Appropriation Act (No. 3) 2011‑2012. This Outcome is “The improved strength, competitiveness and sustainability of the Resources, Energy and Tourism industries to enhance Australia’s prosperity through implementation of government policy and programs (including to perform the activities indicated in the Portfolio Budget Statements and Portfolio Additional Estimate Statements for 2011‑2012 of the Department of Climate Change and Energy Efficiency as being activities in respect of Outcome 1 for that Department)”. This Outcome was formerly “The improved strength, competitiveness and sustainability of the Resources, Energy and Tourism industries to enhance Australia’s prosperity through implementation of government policy and programs”.

The Determination results in a net increase to Appropriation Act (No. 2) 2010‑2011 and a net decrease to Appropriation Act (No. 4) 2010‑2011, however, the increases and decreases in both Acts offset to result in no change to the total amount appropriated. 

[k1]I'm assuming that such orders were made.