Public Governance, Performance and Accountability (Relevant Company) Amendment (2019 Measures No. 1) Rules 2019

Administered by Department of Finance

Legislation au F2019L00388 Rules Not in force Legislative Instrument

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EXPLANATORY STATEMENT

 

Issued by the Authority of the Minister for Finance and the Public Service

 

Public Governance, Performance and Accountability Act 2013

 

Public Governance, Performance and Accountability (Relevant Company) Rule 2016

 

Public Governance, Performance and Accountability (Relevant Company) Amendment (2019 Measures No. 1) Rules 2019

 

Section 85(1)(a) of the Public Governance, Performance and Accountability Act 2013 (PGPA Act) provides the Finance Minister with the authority to form, or participate in forming a relevant company on behalf of the Commonwealth. A relevant company is a company of a kind prescribed, including its objects or proposed activities, by a rule. 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. Relevant companies are prescribed in the Public Governance, Performance and Accountability (Relevant Company) Rule 2016 (the PGPA Relevant Company Rule).

 

The Public Governance, Performance and Accountability (Relevant Company) Amendment (2019 Measures No. 1) Rules 2019 (the Amendment Rules) amend the PGPA Relevant Company Rule. This amendment provides the legislative authority for the Finance Minister, on behalf of the Commonwealth, to participate in forming a relevant company that is limited by shares whose objects or proposed activities are to own, operate and maintain a fibre optic cable system between Sydney, Australia; Port Moresby, Papua New Guinea; and Honiara, Solomon Islands; and to make the fibre optic cable system available in the telecommunications markets in Papua New Guinea and Solomon Islands.

 

Details of the Amendment Rules are set out at Attachment A. A Statement of Compatibility with Human Rights is at Attachment B.

 

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

 

The Amendment Rules will commence on the day after registration on the Federal Register of Legislation.

 

Consultation

 

In accordance with section 17 of the Legislation Act 2003, consultation has taken place with the Department of Foreign Affairs and Trade.


Attachment A

 

Details of the Public Governance, Performance and Accountability (Relevant Company) Amendment (2019 Measures No. 1) Rules 2019

 

Section 1 – Name

 

This section provides that the title of the instrument is the Public Governance, Performance and Accountability (Relevant Company) Amendment (2019 Measures No. 1) Rules 2019 (the Amendment Rules).

 

Section 2 – Commencement

 

This section provides that the Amendment Rules commence on the day after they are registered on the Federal Register of Legislation.

 

Section 3 – Authority

 

This section provides that the Amendment Rules are 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 (Relevant Company) Rule 2016 is amended as set out in the Schedule to the Amendment Rules.

 

Schedule 1 – Amendments

 

Public Governance, Performance and Accountability (Relevant Company) Rule 2016

 

Item 1 – Section 5 (at the end of the table)

 

This item amends the table of relevant companies in section 5 of the Public Governance, Performance and Accountability (Relevant Company) Rule 2016 by adding a company that is limited by shares whose objects or proposed activities are to own, operate and maintain a fibre optic cable system between Sydney, Australia; Port Moresby, Papua New Guinea; and Honiara, Solomon Islands; and to make the fibre optic cable system available in the telecommunications markets in Papua New Guinea and Solomon Islands.

 

This item provides the Finance Minister, on behalf of the Commonwealth, with authority under section 85(1)(a) of the PGPA Act to participate in forming a relevant company with Papua New Guinea and Solomon Islands. The Commonwealth’s involvement in the kind of company prescribed by the Amendment Rules would improve internet connectivity in Papua New Guinea and Solomon Islands, supporting economic growth and positive development outcomes in both countries.


Attachment B

 

Statement of Compatibility with Human Rights

 

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

 

The Public Governance, Performance and Accountability (Relevant Company) Amendment (2019 Measures No. 1) Rules 2019 (the Amendment Rules) are 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) establishes a framework for the use and management of public resources by the Commonwealth and relevant entities. 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 Amendment Rules amend the Public Governance, Performance and Accountability (Relevant Company) Rule 2016 to provide the Finance Minister, on behalf of the Commonwealth, with the legislative authority to participate in forming a relevant company:

  • that is limited by shares; and
  • whose objects or proposed activities are to own, operate and maintain a fibre optic cable system between Sydney, Australia; Port Moresby, Papua New Guinea; and Honiara, Solomon Islands; and to make the fibre optic cable system available in the telecommunications markets in Papua New Guinea and Solomon Islands.

 

Human rights implications

 

The Amendment Rules do not engage any of the applicable rights or freedoms.

 

Conclusion

 

The Amendment Rules are compatible with human rights as they do not raise any human rights issues.

 

 

 

 

Senator the Hon Mathias Cormann

Minister for Finance and the Public Service

 

Overview

The Public Governance, Performance and Accountability (Relevant Company) Amendment (2019 Measures No. 1) Rules 2019 amend the Public Governance, Performance and Accountability (Relevant Company) Rule 2016 to enable the Minister for Finance to participate in forming a relevant company on behalf of the Commonwealth. This amendment specifically provides the legislative authority for the Minister to participate in forming a company limited by shares with the objective of owning, operating, and maintaining a fibre optic cable system between Sydney, Australia; Port Moresby, Papua New Guinea; and Honiara, Solomon Islands. The purpose of this amendment is to enhance internet connectivity in Papua New Guinea and Solomon Islands, thereby supporting economic growth and positive development outcomes in these countries. The rules were introduced by the Australian Government and are compatible with human rights, as confirmed by a Statement of Compatibility with Human Rights. These Amendment Rules are made under section 101 of the Public Governance, Performance and Accountability Act 2013 and will commence on the day after their registration on the Federal Register of Legislation.

Scope and Application

The Public Governance, Performance and Accountability (Relevant Company) Amendment (2019 Measures No. 1) Rules 2019 provide the Minister for Finance and the Public Service with the authority to participate in the formation of a specific type of company on behalf of the Commonwealth. This authority is granted under section 85(1)(a) of the Public Governance, Performance and Accountability Act 2013 (PGPA Act) and pertains to a company that is limited by shares, with the specific objects or proposed activities of owning, operating, and maintaining a fibre optic cable system linking Sydney, Australia, with Port Moresby, Papua New Guinea, and Honiara, Solomon Islands, while also making the cable system available in the telecommunications markets of Papua New Guinea and Solomon Islands. This amendment to the Public Governance, Performance and Accountability (Relevant Company) Rule 2016 aims to facilitate improved internet connectivity in these countries, thereby supporting economic growth and positive development outcomes. The Amendment Rules are legislative instruments under the Legislation Act 2003 and will commence on the day after they are registered on the Federal Register of Legislation. The instrument is compatible with human rights, as it does not engage any of the applicable rights or freedoms as declared in the international instruments listed in the Human Rights (Parliamentary Scrutiny) Act 2011.

Key Provisions

The Public Governance, Performance and Accountability (Relevant Company) Amendment (2019 Measures No. 1) Rules 2019 provide the legislative framework for the Finance Minister to participate in forming a relevant company, specifically a company limited by shares, for the purpose of owning, operating, and maintaining a fibre optic cable system connecting Sydney, Australia; Port Moresby, Papua New Guinea; and Honiara, Solomon Islands. This is achieved through an amendment to the Public Governance, Performance and Accountability (Relevant Company) Rule 2016, which originally prescribed the types of companies that can be formed by the Commonwealth. The primary purpose of this amendment is to enable the Commonwealth to enhance internet connectivity in Papua New Guinea and Solomon Islands, thereby supporting economic growth and positive development outcomes in these countries (Section 4, Schedule 1, Item 1). The Amendment Rules impose specific obligations on the Finance Minister and the relevant entities involved. The Finance Minister, acting on behalf of the Commonwealth, must ensure that the company adheres to the objects and proposed activities outlined in the Amendment Rules. This includes the formation of a company limited by shares and the management of the fibre optic cable system, ensuring it operates within the specified parameters and serves the intended markets in Papua New Guinea and Solomon Islands. Additionally, the relevant company must comply with the governance, performance, and accountability standards set forth by the PGPA Act to ensure transparency and efficiency in its operations (Section 101, PGPA Act). There are no explicit offences, penalties, or civil/criminal consequences outlined in the Amendment Rules themselves. However, the PGPA Act provides a broader framework under which the relevant company must operate, including compliance with governance and performance standards. Breaches of these standards may lead to accountability measures under the PGPA Act, which could include administrative or disciplinary actions against the relevant entities. The specific consequences for non-compliance would depend on the nature and severity of the breach, as well as the provisions of the PGPA Act (Section 85, PGPA Act).

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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.