Productivity Commission Act 1998

Administered by Department of the Treasury

Legislation au C2004A05326 In force Act

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Productivity Commission Act 1998

No. 14, 1998

Compilation No. 11

Compilation date: 1 January 2024

Includes amendments: Act No. 69, 2023

Registered: 8 January 2024

About this compilation

This compilation

This is a compilation of the Productivity Commission Act 1998 that shows the text of the law as amended and in force on 1 January 2024 (the compilation date).

The notes at the end of this compilation (the endnotes) include information about amending laws and the amendment history of provisions of the compiled law.

Uncommenced amendments

The effect of uncommenced amendments is not shown in the text of the compiled law. Any uncommenced amendments affecting the law are accessible on the Register (www.legislation.gov.au). The details of amendments made up to, but not commenced at, the compilation date are underlined in the endnotes. For more information on any uncommenced amendments, see the Register for the compiled law.

Application, saving and transitional provisions for provisions and amendments

If the operation of a provision or amendment of the compiled law is affected by an application, saving or transitional provision that is not included in this compilation, details are included in the endnotes.

Editorial changes

For more information about any editorial changes made in this compilation, see the endnotes.

Modifications

If the compiled law is modified by another law, the compiled law operates as modified but the modification does not amend the text of the law. Accordingly, this compilation does not show the text of the compiled law as modified. For more information on any modifications, see the Register for the compiled law.

Self-repealing provisions

If a provision of the compiled law has been repealed in accordance with a provision of the law, details are included in the endnotes.

 

 

 

Contents

Part 1—Preliminary

1 Short title

2 Commencement

3 Definitions

4 Act binds Crown

Part 2—Establishment and functions of Productivity Commission

5 Establishment of Commission

6 Functions of Commission

7 General power of Commission

8 General policy guidelines for Commission

9 Flexibility and range of working methods in performance of Commission’s functions

10 Annual report

Part 3—Inquiries

Division 1—Reference to Commission for inquiry and report

11 Reference of matters to Commission for inquiry

12 Report of inquiry to be tabled

Division 2—Conduct of inquiries

13 Notice of inquiry

14 Notice of hearings

15 Procedure at hearings

16 Written statements etc. to be made public

Part 4—Other functions of the Commission

Division 1—Advice, research and secretariat functions

17 Requests for advice

18 Minister may publish Commission’s advice

19 Secretariat services and research services to government bodies

20 Research services on request of other bodies

Division 2—Competitive neutrality complaints

21 Complaints to the Commission

22 Discretion not to investigate complaints

Part 5—Constitution and operation of Commission

Division 1—Structure of Commission

23 Constitution of Commission

24 Appointment of Commissioners

25 Appointment of Associate Commissioners

26 Terms and conditions of appointment of members

27 Outside employment

28 Remuneration and allowances

29 Leave of absence for full‑time members

30 Leave of absence for part‑time…

Overview

The Productivity Commission Act 1998 was enacted to establish the Productivity Commission, which is tasked with advising the government on matters relating to industry, industry development, and productivity. The Act was introduced to address the need for an independent body to review and report on economic and industry policies to improve the overall economic performance of the economy through higher productivity. The Productivity Commission Act 1998 was enacted by the Australian Parliament, with the policy objective of promoting economic growth and enhancing the competitiveness and efficiency of Australian industries. The Act outlines the establishment, functions, and operational procedures of the Productivity Commission, including its role in conducting inquiries, providing advice, and investigating complaints about competitive neutrality arrangements.

Scope and Application

The Productivity Commission Act 1998 establishes the Productivity Commission, an independent statutory authority responsible for investigating and reporting on various matters relating to industry, industry development, and productivity within Australia. The Act applies to the Commission itself, its members, staff, consultants, and any individuals or entities involved in inquiries or investigations conducted by the Commission. Geographically, the Act applies across the Commonwealth of Australia, encompassing all states and territories. The Commission’s functions include holding inquiries, providing advice to the Minister, conducting research, and investigating complaints regarding competitive neutrality. The Act also outlines the structure and operation of the Commission, including the appointment, terms, and responsibilities of its members. Furthermore, the Act specifies the powers and limitations of the Commission, including the ability to require information, hold private hearings, and restrict the publication of evidence. It also provides immunity from civil actions for actions taken in good faith in the course of the Commission’s functions. The Act allows for the making of regulations necessary for carrying out its provisions, extending its application through subordinate instruments.

Key Provisions

  • The Productivity Commission Act 1998 establishes the Productivity Commission, which is tasked with enhancing economic performance through higher productivity, reducing industry regulation, and facilitating the development and growth of efficient, innovative, and competitive Australian industries (sections 6, 7, 8). The Act also requires the Commission to consider various social and economic goals, including employment, regional development, ecological sustainability, and meeting international obligations (section 8). The Commission has broad powers to conduct inquiries, receive and investigate complaints, provide advice, and undertake research on its own initiative (sections 6, 21, 22). It must provide a variety of viewpoints and options in its reports and, if using economic models, must either use at least two different models or appoint an independent reference panel (section 9).
  • The Act imposes obligations on the Commission to act flexibly and consult with a broad range of stakeholders, including the public and industry representatives (section 9). It also requires the Commission to submit an annual report detailing its activities, inquiries, and findings to the Minister, who must then table the report in Parliament (sections 10, 12). Additionally, the Act mandates that the Commission provide secretariat and research services to government bodies upon request and may undertake research projects for other bodies with ministerial consent (sections 17–20).
  • The Act outlines the structure and operation of the Commission, including the appointment and terms of service of Commissioners and Associate Commissioners, their qualifications, and the procedures for their resignation, retirement, and termination (sections 23–37). It also specifies the role and powers of the Chair, the conduct of Commission meetings, and the establishment of Divisions within the Commission (sections 38–43).
  • Regarding offences, the Act criminalises actions that obstruct or hinder the Commission's functions, threaten or intimidate individuals who provide information or evidence to the Commission, and fail to comply with Commission notices or summonses (sections 46–50). It also prohibits the provision of false or misleading information and the unauthorised publication of evidence from private hearings (sections 52, 53). Penalties for these offences include imprisonment for up to six months, with additional provisions for fines and corporate penalties (sections 46–53).
  • Finally, the Act provides protections from civil actions for Commission members and persons acting under their direction or authority, limits the circumstances under which fees may be charged for Commission services, and sets out rules for the conduct of directors, employees, and agents of body corporates in relation to offences under the Act (sections 57–59). The Governor-General has the authority to make regulations necessary for the Act's implementation (section 60).

Legal classification tags

Area of Law
Administrative Law
Economic Law
Instrument
Act
Concepts
Definitions & Interpretation
Commencement Provisions
Repeal & Amendment
Transitional Provisions
Delegated & Subordinate Legislation
Offence Provisions
Reporting & Disclosure Obligations
Enforcement Powers

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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.