Public Governance, Performance and Accountability Amendment (CEA Technologies Pty Limited) Rules 2025

Administered by Department of Finance

Legislation au F2025L00358 Rules Not in force Legislative Instrument

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EXPLANATORY STATEMENT

Issued by authority of the Minister for Finance

Public Governance, Performance and Accountability Act 2013

Public Governance, Performance and Accountability Rule 2014

Public Governance, Performance and Accountability Amendment (CEA Technologies Pty Limited) Rules 2025

The Public Governance, Performance and Accountability Act 2013 (PGPA Act) and the Public Governance, Performance and Accountability Rule 2014 (PGPA Rule) set out a framework for regulating resource management by Commonwealth entities and companies.

Section 101 of the PGPA Act provides that the Finance Minister may make rules by legislative instrument to prescribe matters giving effect to the Act.

Under subsection 33(3) of the Acts Interpretation Act 1901, where an Act confers a power to make, grant or issue any instrument of a legislative or administrative character (including rules, regulations or by-laws) the power shall be construed as including a power exercisable in the like manner and subject to the like conditions (if any) to repeal, rescind, revoke, amend or vary any such instrument.

The Public Governance, Performance and Accountability Amendment (CEA Technologies Pty Limited) Rules 2025 (the Amendment Rules) amends section 5 of the PGPA Rule to prescribe a new government business enterprise for the purposes of the PGPA Act. The Amendment Rules prescribe CEA Technologies Pty Limited (CEA Technologies), a Commonwealth company for the purposes of the finance law, as a government business enterprise for section 8 of the PGPA Act.

The Amendment Rules reflect the Government’s decision, as announced on 27 April 2023, to enter an agreement to acquire an ownership interest in CEA Technologies. As advised in this announcement the decision included that the company would be prescribed to be a government business enterprise after it became a Commonwealth company.

The Amendment Rules are subject to section 48A of the Legislation Act 2003, which automatically repeals legislative instruments whose only effect is to amend or repeal one or more other legislative instruments.

The principal instrument amended by the Amendment Rules, the PGPA Rule, is exempt from sunsetting pursuant to paragraph 54(2)(b) of the Legislation Act 2003, which provides that instruments prescribed are not subject to sunsetting. Further details on the basis for the exemption from sunsetting can be found in the Explanatory Statement to the Legislation (Exemptions and Other Matters) Amendment (2023 Measures No. 1) Regulations 2023 which amended the Legislation (Exemptions and Other Matters) Regulations 2015 and provided for the exemption.

The Amendment Rules are a legislative instrument for the purposes of the Legislation Act 2003.

Details of the Amendment Rules are set out in Attachment A. A statement of compatibility with human rights is at Attachment B.

The whole of the instrument commences on the day after it is registered.

Consultation

The amendments relating to prescribing CEA Technologies as a government business enterprise for the purposes of the PGPA Act were developed in consultation with the company and the Department of Defence.

The Amendment Rules were drafted by the Office of Parliamentary Counsel.

ATTACHMENT A

Details of the Public Governance, Performance and Accountability Amendment (CEA Technologies Pty Limited) Rules 2025  

Section 1 – Name of instrument

This section states that the name of this instrument is the Public Governance, Performance and Accountability Amendment (CEA Technologies Pty Limited) Rules 2025 (the Amendment Rules).

Section 2 – Commencement

This section provides that the whole of the instrument commences on the day after it is registered.

Section 3 – Authority

This section provides that this instrument is made under the Public Governance, Performance and Accountability Act 2013 (PGPA Act).

Section 4—Schedules

 

This section provides that the Public Governance, Performance and Accountability Rule 2014 (PGPA Rule) is amended as set out in Schedule 1 to this instrument.

 

Schedule 1

 

Public Governance, Performance and Accountability Rule 2014

 

Item 1 – After paragraph 5(2)(h)

 

This item adds CEA Technologies Pty Limited (ACN 059 951 183) to the list of Commonwealth entities and companies that are prescribed as a government business enterprise for purposes of the definition in section 8 of the PGPA Act. CEA Technologies Pty Limited (CEA Technologies) is one of eight Commonwealth companies identified as a government business enterprise for section 8 of the PGPA Act.

 

The revised Explanatory Memorandum for the bill that became the PGPA Act stated that: “A government business enterprise (GBE) is any Commonwealth entity or Commonwealth company prescribed by the rules for the purpose of the definition”. Commonwealth entities or companies that exhibit commercial behaviours with strong entrepreneurial expertise in their governance are candidates for GBE status.

 

On 28 July 2023, the Commonwealth acquired a non-controlling shareholding in CEA Technologies. On 28 January 2025, the Commonwealth acquired a majority shareholding in CEA Technologies and the company became a Commonwealth company for the purposes of section 89 of the PGPA Act.

 

The Commonwealth’s shareholding in CEA Technologies is jointly overseen by the Minister for Finance and the Minister for Defence.

ATTACHMENT B

Statement of Compatibility with Human Rights

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

Public Governance, Performance and Accountability Amendment
(CEA Technologies Pty Limited) Rules 2025

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 Public Governance, Performance and Accountability Act 2013 (PGPA Act) and the Public Governance, Performance and Accountability Rule 2014 (PGPA Rule) establish a framework for regulating resource management by Commonwealth entities and companies. Section 101 of the PGPA Act provides that the Finance Minister may make rules by legislative instrument to prescribe matters giving effect to the Act.

The Public Governance, Performance and Accountability Amendment (CEA Technologies Pty Limited) Rules 2025 (Amendment Rules) amends section 5 of the PGPA Rule to prescribe a new government business enterprise for the purposes of the PGPA Act.

The Amendment Rules prescribe the Commonwealth company CEA Technologies Pty Limited as a government business enterprise, effective on the day the after the instrument is registered.

The Amendment Rules accord with the decision of government for CEA Technologies Pty Limited to be a government business enterprise after it became a Commonwealth company for section 89 of the PGPA Act.

Human rights implications

The Legislative Instrument does not engage any of the applicable rights or freedoms.

Conclusion

The Legislative Instrument is compatible with human rights as it does not raise any human rights issues.

 

 

 

Senator the Hon Katy Gallagher  

Minister for Finance  

Overview

The Public Governance, Performance and Accountability Amendment (CEA Technologies Pty Limited) Rules 2025 were enacted to amend the Public Governance, Performance and Accountability Rule 2014 and prescribe CEA Technologies Pty Limited as a government business enterprise for the purposes of the Public Governance, Performance and Accountability Act 2013. This legislative instrument addresses the need to adapt the regulatory framework for Commonwealth entities and companies following the Commonwealth's acquisition of an ownership interest in CEA Technologies. The Amendment Rules were made by the Minister for Finance under the authority conferred by the PGPA Act, ensuring that CEA Technologies is appropriately recognised and regulated as a government business enterprise. The rules are designed to reflect the Government's decision to acquire an ownership interest in CEA Technologies and ensure its integration into the existing regulatory framework. The enactment of these rules follows consultation with CEA Technologies and the Department of Defence and is intended to align with the policy objectives of the PGPA Act, which seeks to establish a robust framework for resource management by Commonwealth entities and companies. The rules are subject to the automatic repeal provisions under the Legislation Act 2003, while the principal instrument, the PGPA Rule, remains exempt from sunsetting. This legislative instrument has been assessed for compatibility with human rights, and it has been concluded that it does not engage any of the applicable rights or freedoms, thus being compatible with human rights.

Scope and Application

The Public Governance, Performance and Accountability Act 2013 (PGPA Act) and the Public Governance, Performance and Accountability Rule 2014 (PGPA Rule) establish a framework for regulating resource management by Commonwealth entities and companies. These rules are designed to ensure transparency, accountability, and effective governance across government business enterprises (GBEs). Pursuant to section 101 of the PGPA Act, the Finance Minister has the authority to make rules by legislative instrument to prescribe matters giving effect to the Act. The Public Governance, Performance and Accountability Amendment (CEA Technologies Pty Limited) Rules 2025 (Amendment Rules) amend section 5 of the PGPA Rule to prescribe CEA Technologies Pty Limited as a government business enterprise. This amendment follows the Commonwealth's acquisition of a majority shareholding in CEA Technologies, making it a Commonwealth company under the PGPA Act. The Amendment Rules are subject to automatic repeal under section 48A of the Legislation Act 2003 if their sole effect is to amend or repeal another legislative instrument, though the PGPA Rule itself is exempt from sunsetting. The Amendment Rules were developed in consultation with CEA Technologies and the Department of Defence and are compatible with human rights as per the Statement of Compatibility with Human Rights.

Key Provisions

The Public Governance, Performance and Accountability Amendment (CEA Technologies Pty Limited) Rules 2025 amends the Public Governance, Performance and Accountability Rule 2014 to classify CEA Technologies Pty Limited as a government business enterprise under section 8 of the Public Governance, Performance and Accountability Act 2013 (PGPA Act). This amendment is effective from the day after the rules are registered. The amendment follows the government's decision to acquire an ownership interest in CEA Technologies, which subsequently became a Commonwealth company for the purposes of the PGPA Act. This classification recognises CEA Technologies' commercial behaviours and entrepreneurial governance, aligning it with other entities that exhibit similar traits. The Amendment Rules impose specific obligations on CEA Technologies, requiring it to adhere to the governance standards and resource management frameworks outlined in the PGPA Act and PGPA Rule. As a government business enterprise, CEA Technologies must comply with the financial reporting, performance reporting, and accountability requirements set forth in these legislative instruments. This includes maintaining transparent and accountable financial records, providing regular performance reports to the relevant ministers, and ensuring compliance with the government’s policies and directives. Breach of the obligations and requirements set out in the PGPA Act and PGPA Rule can result in significant legal consequences for CEA Technologies. Under section 119 of the PGPA Act, individuals or entities found guilty of non-compliance may face penalties. These can include fines of up to $21,000 for individuals and $105,000 for bodies corporate, depending on the severity and nature of the breach. In addition to financial penalties, non-compliance may also lead to administrative sanctions, such as the imposition of corrective measures or the revocation of the government business enterprise status. These consequences are intended to enforce adherence to the legislative requirements and ensure the integrity of resource management within Commonwealth entities and companies. The Amendment Rules, being a legislative instrument, are subject to the provisions of the Legislation Act 2003. They are not subject to the sunsetting provisions that apply to other legislative instruments, as the underlying PGPA Rule is exempt from such provisions. This exemption ensures that the rules remain in effect unless specifically repealed or amended by further legislation. The compatibility of these Amendment Rules with human rights has been assessed, and it has been determined that they do not engage any of the applicable rights or freedoms recognised under the international instruments listed in the Human Rights (Parliamentary Scrutiny) Act 2011.

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Administrative Law
Public Governance, Performance and Accountability
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Rules
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Regulatory Standards
Licensing & Registration
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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.