Order to Establish the Infrastructure and Project Financing Agency as an Executive Agency

Overview

The Public Service Act 1999 was enacted to address the need for efficient and effective management of public services within the Commonwealth of Australia. The Act, overseen by the Parliament, aims to ensure that public administration is conducted with integrity, accountability, and efficiency. The 2017 Order under this Act establishes the Infrastructure and Project Financing Agency as an Executive Agency, designed to assist in identifying, developing, and assessing innovative financing options for transformative economic infrastructure projects. The overarching policy objective is to support the government in making informed decisions on significant infrastructure investments by providing expert advice and facilitating the development of robust financing strategies. This initiative reflects the government's commitment to leveraging innovative financing to drive economic growth and infrastructure development effectively.

Scope and Application

The Public Service Act 1999, as amended by the Order to Establish the Infrastructure and Project Financing Agency as an Executive Agency, establishes a new entity focused on economic infrastructure projects. This Order applies to the Infrastructure and Project Financing Agency, which is designated as an Executive Agency under the Commonwealth of Australia. The functions of this agency include assisting relevant portfolio ministers and agencies in identifying, developing, and assessing financing options for transformative economic infrastructure projects, as well as brokering financing arrangements and managing these investments. The Chief Executive Officer is designated as the head of the agency, and the Prime Minister is identified as the responsible minister. The agency is tasked with providing advice and reports to the Cabinet on suitable financing options and innovative opportunities for transformative economic infrastructure on a quarterly basis. This legislation applies nationally across the Commonwealth and is not subject to state or territory jurisdiction, thereby ensuring a unified approach to infrastructure financing. The Order came into effect on 1 July 2017, and its provisions can be further extended or detailed through subordinate instruments as necessary.

Key Provisions

The Infrastructure and Project Financing Agency is established as an Executive Agency under the Public Service Act 1999, with specific roles outlined in the Order to Establish the Infrastructure and Project Financing Agency as an Executive Agency (sections 1-5). The Agency's primary function is to assist relevant portfolio ministers and agencies in identifying transformative economic infrastructure projects that could benefit from innovative financing (section 1(i)). Additionally, it is tasked with helping develop and assess financing options, including engaging early in the creation of business cases with project proponents (section 1(ii)). The Agency also supports the brokering of financing arrangements and the ongoing commercial management of investments as appropriate (section 1(iii)). Furthermore, it provides independent advice to the Cabinet on financing options, benefits, and risks for projects seeking Commonwealth funding or financing for economic infrastructure (section 1(iv)). Finally, the Agency is required to submit a quarterly report to the Cabinet on all innovative financing opportunities for transformative economic infrastructure, including those that could be further considered by relevant portfolio ministers and Infrastructure Australia (section 1(v)). The Act imposes several obligations on the Infrastructure and Project Financing Agency and the relevant portfolio ministers and agencies it assists. The Agency must ensure that it provides timely and accurate advice to the Cabinet and other stakeholders, facilitating well-informed decision-making regarding financing options. It must also engage early in the development of business cases and financing arrangements to support the successful identification and funding of transformative economic infrastructure projects. The Agency is required to maintain transparency in its operations and reporting, ensuring that all financing opportunities and associated risks are communicated effectively to relevant parties. Additionally, the Act mandates that the Agency collaborate effectively with other government entities to achieve its objectives, leveraging its expertise in innovative financing to support broader economic infrastructure goals. Breaches of the provisions of the Public Service Act 1999 or failure to comply with the requirements outlined in the Order can result in various civil and criminal consequences. While the specific penalties are not detailed in the provided text, breaches of public service legislation generally attract penalties under the Public Service Act and other relevant laws. Civil penalties may include fines and other monetary sanctions, while criminal penalties could include imprisonment, depending on the severity of the breach. The precise penalties for non-compliance would be determined by the courts based on the nature and extent of the violation, as well as any applicable legal provisions.