Industry Research and Development Act 1986 - Section 19 - Additional Functions of Innovation Australia (02/06/2015)

Administered by Department of Industry, Science and Resources

Legislation au F2015L01112 In force Legislative Instrument

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EXPLANATORY STATEMENT

 

Issued by the Authority of the Minister for Industry and Science

 

INDUSTRY RESEARCH AND DEVELOPMENT ACT 1986  

Section 19

Additional Functions of Innovation Australia (02/06/2015)

 (the Direction)

 

Background

 

Innovation Australia (the Board) is a body established under the Industry Research and Development Act 1986 (the Act) to administer and provide advice in relation to the government’s innovation and venture capital programs.

 

Purpose

 

The purpose of the Direction is to give directions to the Board to conduct functions in addition to the functions which are set out in the Act. The additional functions included in the Direction relate to promoting the development, and improving the efficiency and international competitiveness of Australian industry by encouraging research and development activities, innovation activities and venture capital activities.

 

The Direction provides a framework by which the Board may provide advice to the Minister for Industry and Science (the Minister) on the implementation and operation of government research and development, innovation, commercialisation and venture capital programmes designed to meet the objects of the Act.

 

The Direction supersedes an earlier direction on additional functions given to the Board on 4 November 2009. The revised Direction requires the Board to cease a number of functions and assume a number of new functions, including providing oversight of the merit assessment of new industry and innovation programmes and collaborating with the Growth Centres Advisory Committee to provide advice on the Government’s Deregulation Agenda and on strategic issues, as directed by the Minister or the Minister’s department.

 

Details of the content of the Direction are set out in the Attachment.

 

The Direction is a legislative instrument for the purposes of the Legislative Instruments Act 2003.

 

Authority

 

This Direction is issued by the Minister for Industry and Science acting under section 19 of the Industry Research and Development Act 1986.

 

Consultation

 

The Board was consulted on the Direction at the Innovation Australia meeting on 1 April 2015, and the acting Chair of the Board was provided with a draft of the Direction prior to it being made by the Minister.

 

Commencement and application

 

The Direction commences on 2 June 2015, which is prior to the date of its registration.  As noted above, the Board was consulted on the Direction prior to its making. The Direction was provided to the Board by the Minister on the date it was made, accompanied by an explanatory letter. The Direction has no effect other than to set out additional functions to be conducted by the Board. Given this, the Direction will not affect the rights of, or impose liability on, a person other than the Commonwealth or an authority of the Commonwealth. It is therefore compatible with subsection 12(2) of the Legislative Instruments Act 2003 in relation to the requirements regarding retrospective operation of a legislative instrument.


ATTACHMENT

 

Details of the INDUSTRY RESEARCH AND DEVELOPMENT ACT 1986 - Section 19 -

Additional Functions of Innovation Australia (02/06/2015)

 

Section 1 – Revocation of previous direction

 

This provision revokes the direction given to the Board on 4 November 2009.

 

Section 2 – Directions in relation to additional functions

 

This provision sets out functions which the Board are directed to carry out in addition to their responsibilities under the Act. The additional functions include for the Board to:

  1. Oversee the delivery and performance of the programmes for which the Board has been directed to be responsible by separate Ministerial direction under sections 18A, 19 and 20 of the Act;
  2. Maintain the integrity of the programmes in accordance with the relevant assurance framework, and cooperate with any independent evaluation of them;
  3. Promote the benefit and awareness of the programmes and monitor their uptake and impact;
  4. Collaborate with the Growth Centres Advisory Committee and jointly provide the consultation mechanism for the Minister as required under the Government’s Industry Innovation and Competitiveness Agenda; and
  5. Provide advice on matters relating to the programmes when requested by the Minister or the Department of Industry and Science.


Statement of Compatibility with Human Rights

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

 

 

INDUSTRY RESEARCH AND DEVELOPMENT ACT 1986 

Section 19

Additional Functions of Innovation Australia (02/06/2015)

 

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 Direction has been issued by the Minister to require Innovation Australia to take into account the Australian Government’s broad policy framework and what the Minister sees as key priorities. The Direction supersedes an earlier direction on additional functions given to the Board on 4 November 2009. The revised Direction requires the Board to cease a number of functions and assume a number of new functions, including providing oversight of the merit assessment of new industry and innovation programmes and collaborating with the Growth Centres Advisory Committee to provide advice on the Government’s Deregulation Agenda and on strategic issues, as directed by the Minister or the Minister’s department.

 

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.

 

The Minister for Industry and Science, the Honourable Ian Elgin Macfarlane MP

 

Overview

The Industry Research and Development Act 1986 was enacted to promote and support research and development activities in Australia, aiming to enhance the competitiveness and innovation capabilities of Australian industry. The Act establishes Innovation Australia as the administering body responsible for providing advice and administering government programs related to research, development, innovation, and venture capital. To further align Innovation Australia’s functions with the government’s strategic priorities, the Minister for Industry and Science issued a Direction on 2 June 2015 under section 19 of the Act. This Direction supersedes a previous Direction from 2009, requiring Innovation Australia to undertake additional functions that focus on promoting research and development, enhancing the efficiency and competitiveness of Australian industry, and providing strategic advice to the Minister. The Direction was developed in consultation with Innovation Australia and includes provisions for overseeing program performance, maintaining program integrity, promoting program benefits, and collaborating with other advisory committees.

Scope and Application

The Industry Research and Development Act 1986, as supplemented by the Direction issued under section 19, applies to Innovation Australia, a body established to administer and advise on government innovation and venture capital programs. This legislation primarily concerns the additional functions assigned to Innovation Australia, which are aimed at promoting research and development, innovation, and venture capital activities to enhance the development and international competitiveness of Australian industry. The Direction, which came into effect on 2 June 2015, supersedes an earlier direction from 2009, outlining revised functions such as overseeing the merit assessment of new programs and collaborating with the Growth Centres Advisory Committee. The Direction does not affect any rights or impose liabilities on individuals or entities outside of the Commonwealth and its authorities. The Act operates on a national level within Australia, and while it sets out the primary functions, subordinate instruments may further specify or extend these provisions.

Key Provisions

The Industry Research and Development Act 1986 (the Act) is a significant piece of legislation aimed at fostering innovation and research within Australian industry. One of the key provisions of the Act is Section 19, which allows the Minister to issue directions to Innovation Australia regarding additional functions (Section 19). This provision was recently updated on 2 June 2015, superseding a previous direction issued on 4 November 2009. The new direction mandates Innovation Australia to perform various additional functions that support the government’s objectives in research, development, and innovation. These functions include overseeing the merit assessment of new industry and innovation programmes, maintaining programme integrity, promoting programme benefits and awareness, and collaborating with the Growth Centres Advisory Committee to provide strategic advice. Innovation Australia, as a body established under the Act, has specific obligations under this direction. It is required to conduct and manage these additional functions as per the Ministerial direction. This includes ensuring the delivery and performance of programmes are in line with set objectives, maintaining the integrity of these programmes through cooperation with independent evaluations, and actively promoting the benefits of these programmes to the industry. Furthermore, Innovation Australia must provide advice to the Minister or the Department of Industry and Science on matters related to these programmes when requested. Failure to comply with the obligations set out in the Direction can lead to various consequences. Although the explanatory statement does not detail specific offences or penalties, breaches of the Act or directions issued under it can potentially result in legal action. The Act itself does not specify maximum penalties for breaches, but breaches of statutory directions can often lead to civil or administrative penalties, depending on the nature and severity of the breach. Additionally, in more serious cases, criminal penalties could apply, although these are not explicitly detailed in the explanatory statement. The Direction issued under Section 19 of the Act is designed to align Innovation Australia’s activities with the government's broader policy framework, ensuring that research and development initiatives are efficiently and effectively managed. By clearly outlining the additional functions and the obligations of Innovation Australia, the Direction ensures that the entity can adequately support the government’s objectives in fostering innovation and competitiveness within Australian industry. The compatibility of this Direction with human rights is also assured, as it does not engage any of the applicable rights or freedoms.

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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.