Infrastructure Australia Amendment Commencement Proclamation 2014

Overview

The Infrastructure Australia Amendment Act 2014 was enacted to address the need for a more robust and independent framework for Infrastructure Australia, an expert advisory body providing advice on national infrastructure priorities. The Act, passed by the Australian Parliament, aimed to strengthen Infrastructure Australia's governance structure and clarify its functions. The legislation introduces significant changes, including establishing Infrastructure Australia as a separate entity under the Public Governance, Performance and Accountability Act 2013, governed by a Board and managed by a Chief Executive Officer, thereby replacing the existing Advisory Council and the role of Infrastructure Coordinator. The Act received Royal Assent on 17 July 2014, with certain provisions commencing on 1 September 2014 under the Infrastructure Australia Amendment Commencement Proclamation 2014, allowing adequate time for the necessary transition arrangements. The overarching policy objective is to enhance the effectiveness and independence of Infrastructure Australia in providing expert advice on national infrastructure priorities.

Scope and Application

The Infrastructure Australia Amendment Act 2014 serves to enhance the role and governance structure of Infrastructure Australia, establishing it as a separate entity under the Public Governance, Performance and Accountability Act 2013. This Act applies to Infrastructure Australia, effectively transforming its governance by creating a Board and appointing a Chief Executive Officer, thereby abolishing the previous Advisory Council and the position of Infrastructure Coordinator. The legislative changes also include consequential amendments to the Income Tax Assessment Act 1997. These provisions, outlined in Schedule 1, commenced on 1 September 2014 as per the Infrastructure Australia Amendment Commencement Proclamation 2014. The remaining sections of the Amendment Act, excluding the specified schedules, took effect on 17 July 2014, the date the Act received Royal Assent. The transition arrangements detailed in Schedule 2 (Parts 2 to 4 and 6 to 8) were designed to facilitate the establishment of Infrastructure Australia as a new entity, ensuring that all financial, regulatory, and administrative functions were appropriately aligned with the new governance model. The Act's reach is nationwide, applying across the Commonwealth of Australia, and it extends its application through subordinate instruments as necessary.

Key Provisions

The Infrastructure Australia Amendment Act 2014, as outlined in the Explanatory Statement, introduces significant changes to the governance structure and operational clarity of Infrastructure Australia, an advisory body under the Infrastructure Australia Act 2008. Specifically, Section 2(1) of the Amendment Act mandates that the provisions of Schedule 1 and Parts 2 to 4 and 6 to 8 of Schedule 2 should commence on a date determined by proclamation. This date was set as 1 September 2014, as per the Infrastructure Australia Amendment Commencement Proclamation 2014. The provisions not covered by this schedule commenced on the day the Act received Royal Assent, which was 17 July 2014. The primary operative sections of the Amendment Act, particularly those covered by Schedule 1, establish Infrastructure Australia as an independent entity governed by a Board and managed by a Chief Executive Officer, distinct from its previous Advisory Council and Infrastructure Coordinator roles. This restructuring aims to enhance its expert advisory capabilities and operational independence. Additionally, Schedule 2 provides the necessary transition arrangements, including financial, regulatory, and administrative functions, to facilitate the establishment of Infrastructure Australia as a separate entity under the Public Governance, Performance and Accountability Act 2013. The changes also encompass consequential amendments to the Income Tax Assessment Act 1997 to align with the new governance structure. The Amendment Act imposes specific obligations and requirements on Infrastructure Australia, primarily centred around its new governance framework. As a separate entity governed by a Board, Infrastructure Australia must operate under the guidelines set forth by the Public Governance, Performance and Accountability Act 2013. This includes adherence to accountability and performance standards, ensuring that its advisory functions are carried out independently and effectively. The Act also requires Infrastructure Australia to manage its financial and administrative operations in accordance with the new regulatory framework, which includes maintaining transparency and reporting as stipulated by the PGPA Act. In terms of compliance, the Amendment Act does not explicitly outline specific offences or penalties for non-compliance within its provisions. However, breaches of the Public Governance, Performance and Accountability Act 2013, under which Infrastructure Australia now operates, could result in civil or criminal consequences. For instance, non-compliance with the PGPA Act could lead to penalties such as fines or imprisonment, depending on the severity of the breach. The exact penalties are determined by the relevant legislative provisions and the courts, but they underscore the importance of adhering to the governance and operational standards set by the Act.