EXPLANATORY STATEMENT
Select Legislative Instrument 2009 No. 349
Subject - Primary Industries and Energy Research and Development Act 1989,
Commonwealth Authorities and Companies Act 1997, and
Privacy Act 1988
Land and Water Resources Research and Development Corporation (Repeal and Consequential Amendments) Regulations 2009
Subsection 149(1) of the Primary Industries and Energy Research and Development Act 1989 (the PIERD Act) provides that the Governor-General may make regulations not inconsistent with the PIERD Act, prescribing matters required or permitted by the PIERD Act to be prescribed, or necessary, or convenient to be prescribed for, in carrying out or giving effect to the PIERD Act. Section 8 of the PIERD Act provides for the establishment of Research and Development Corporations by regulation.
Subsection 49(1) of the Commonwealth Authorities and Companies Act 1997 (the CAC Act) and subsection 100(1) of the Privacy Act 1988 (the Privacy Act) provides for the Governor-General to make regulations prescribing matters required or permitted by those Acts to be prescribed, or necessary or convenient to be prescribed for carrying out or giving effect to those Acts.
The purpose of the Regulations is to repeal the Land and Water Resources Research and Development Corporation Regulations (the Principal Regulations) which established the Land and Water Resources Research and Development Corporation (known as Land & Water Australia (LWA)), and to make minor consequential amendments to regulations made under the CAC Act and Privacy Act.
LWA was established as a research and development corporation under the PIERD Act by the Principal Regulations to conduct research and development activities concerned with the conservation and sustainable use and management of Australia’s land and water resources. LWA is a statutory authority under the Commonwealth Authorities and Companies Act 1997 (the CAC Act).
The 2009-10 Budget abolished future funding for LWA and provided limited funds to wind up the agency in 2009-10. Over the latter half of 2009 LWA ceased its normal operations, assessed its existing programs and projects and either completed projects, transferred responsibility for ongoing programs and projects to partner agencies, or terminated non-continuing projects. LWA will finalise any existing obligations and discharge outstanding liabilities by the end of the 2009.
The Regulations allow the wind-up process for LWA to be finalised by 31 December 2009. The Regulations also remove reference to LWA in regulations made under the CAC Act and Privacy Act.
The Office of Best Practice Regulation has advised that no regulatory impact analysis, in the form of a Business Cost Calculator Report or Regulation Impact Statement in required for this regulatory change (reference no. 10877).
Details of the proposed Regulations are set out below.
Regulation 1 – Name of Regulations
This regulation provides that the name of the Regulations is the Land and Water Resources Research and Development Corporation (Repeal and Consequential Amendments) Regulations 2009
Regulation 2 – Commencement
This regulation provides that the Regulations commence on 31 December 2009.
Regulation 3 – Repeal of Land and Water Resources Research and Development Corporation Regulations
This regulation provides that the Land and Water Resources Research and Development Corporation Regulations (the Principal Regulations) are repealed. This allows for LWA to be wound up in line with the 2009-10 Budget decision.
Regulation 4 and item [1] – Amendment of Commonwealth Authorities and Companies Regulations 1997
This regulation and item provides that the Commonwealth Authorities and Companies Regulations 1997 (made under the Commonwealth Authorities and Companies Act 1997) are amended by substituting the previous Part 1 with a new Part 1 in which then item 114 (Land and Water Resources Research and Development Corporation) is omitted and items 115 to 119 renumbered as items 114 to 118. This new Part lists authorities and companies required to comply with government procurement requirements.
Regulation 5 and item [2] – Amendment of Privacy (Private Sector) Regulations 2001
This regulation and item provides that the Privacy (Private Sector) Regulations 2001 (made under the Privacy Act 1988) are amended by omitting item 129 (Land and Water Resources Research and Development Corporation) of Schedule 2. Schedule 2 lists agencies in relation to which the Cabinet Secretary is satisfied that the events mentioned in paragraphs 100(2)(a) and (b) of the Privacy Act 1988 have occurred.
Overview
The Land and Water Resources Research and Development Corporation (Repeal and Consequential Amendments) Regulations 2009 were enacted to repeal the Land and Water Resources Research and Development Corporation Regulations that established the Land and Water Resources Research and Development Corporation (LWA). This repeal was a response to the 2009-10 Budget decision to abolish future funding for LWA and provide limited funds for its winding up. The Regulations were made under the authority of the Primary Industries and Energy Research and Development Act 1989, the Commonwealth Authorities and Companies Act 1997, and the Privacy Act 1988, allowing the Governor-General to make regulations necessary for the effective execution of these Acts. The primary policy objective of these Regulations is to facilitate the orderly wind-up of LWA by 31 December 2009, ensuring that any existing obligations and liabilities are discharged appropriately. Additionally, the Regulations make minor consequential amendments to the Commonwealth Authorities and Companies Regulations 1997 and the Privacy (Private Sector) Regulations 2001 to remove references to LWA, reflecting its dissolution.
Scope and Application
The Land and Water Resources Research and Development Corporation (Repeal and Consequential Amendments) Regulations 2009 apply to the dissolution and winding up of the Land and Water Resources Research and Development Corporation (LWA), a statutory authority established under the Primary Industries and Energy Research and Development Act 1989. These regulations repeal the existing Land and Water Resources Research and Development Corporation Regulations, facilitating the termination of LWA's operations and the cessation of its funding, in line with the decision made in the 2009-10 Budget. The regulations ensure the orderly wind-up of LWA by 31 December 2009, including the completion of existing projects, the transfer of ongoing programs to other agencies, and the discharge of any outstanding liabilities. The regulations also make consequential amendments to the Commonwealth Authorities and Companies Regulations 1997 and the Privacy (Private Sector) Regulations 2001 to remove references to LWA, reflecting its dissolution and the transfer of its functions to other entities. These amendments ensure that the regulatory framework remains consistent with the changes brought about by the winding up of LWA.
Key Provisions
The main operative sections of the Land and Water Resources Research and Development Corporation (Repeal and Consequential Amendments) Regulations 2009 (the Regulations) include Regulation 3, which repeals the Land and Water Resources Research and Development Corporation Regulations (the Principal Regulations) (Reg 3). This repeal allows for the winding up of the Land and Water Resources Research and Development Corporation (LWA) in accordance with the 2009-10 Budget decision. Regulation 4, together with item [1], amends the Commonwealth Authorities and Companies Regulations 1997 by omitting the previous Part 1 and substituting it with a new Part 1 that renumbers existing items (Reg 4 and item [1]). Regulation 5, along with item [2], amends the Privacy (Private Sector) Regulations 2001 by removing item 129 from Schedule 2 (Reg 5 and item [2]).
The Regulations impose certain obligations on the parties and entities they govern. The primary obligation is to facilitate the winding up of LWA in line with the 2009-10 Budget decision. This involves ensuring that all existing obligations are finalised and outstanding liabilities are discharged by the end of 2009. Furthermore, the Regulations require the removal of references to LWA in the amended regulations under the Commonwealth Authorities and Companies Act 1997 and the Privacy Act 1988. These amendments involve updating the lists of authorities and companies subject to government procurement requirements and agencies for which the Cabinet Secretary is satisfied that certain privacy conditions have been met.
The Regulations do not explicitly state any offences, penalties, or civil/criminal consequences for breaches. However, the failure to comply with the obligations imposed by the Regulations, such as not finalising the winding up of LWA by the specified date or not making the necessary amendments to the referenced regulations, could potentially lead to legal repercussions. These could include administrative actions or legal proceedings to enforce compliance, although specific penalties are not detailed in the Regulations. The absence of a regulatory impact analysis, as advised by the Office of Best Practice Regulation, suggests that the regulatory change is not expected to have significant compliance costs or negative impacts that would warrant specific penalties.