Public Governance, Performance and Accountability (Section 75 Transfers) Amendment Determination 2020-2021 (No. 2)

Administered by Department of Finance

Legislation au F2021L00733 Not in force Legislative Instrument

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EXPLANATORY STATEMENT

Public Governance, Performance and Accountability Act 2013

Public Governance, Performance and Accountability (Section 75 Transfers) Amendment Determination 20202021 (No. 2) (the amendment determination)

Purpose of the determination

The amendment determination is made under section 75 of the Public Governance, Performance and Accountability Act 2013 (PGPA Act), to adjust amounts appropriated to non-corporate Commonwealth entities in response to recent Machinery of Government changes.

Following the commencement of Schedule 2 of Part 2 of the Treasury Laws Amendment (2020 Measures No. 6) Act 2020 on 28 February 2021, the Consumer Data Right rules and sectors assessment function transferred from the Australian Competition and Consumer Commission to the Department of the Treasury.

On 15 April 2021, the Governor-General made amendments to the Administrative Arrangements Order made on 18 March 2021 including the transfer of responsibility for small business functions from the Industry, Science, Energy and Resources portfolio to the Treasury portfolio.

On 15 April 2021, the Governor-General made an order to abolish the Infrastructure and Project Financing Agency (IPFA) as an executive agency commencing from the end of 30 April 2021. IPFA will continue as a separately branded activity within the Department of the Treasury.

The amendment determination modifies the Appropriation Acts to reflect these transfers.

The amendment determination results in no change to the total amount appropriated by Parliament.

Commencement

The amendment determination commences on the day after registration.

Authority for the determination

Section 75 of the PGPA Act enables the Finance Minister to determine that one or more Schedules to one or more Appropriation Acts are modified in a specified way in relation to the transfer of a function from one non-corporate Commonwealth entity to another.

Under section 107 of the PGPA Act, the Finance Minister has delegated the power to make determinations under section 75 to the Secretary of the Department of Finance. Under section 109 of the PGPA Act, the Secretary has, in turn, subdelegated this power to certain officials within the Department of Finance, including the official who made this determination.

The amendment determination amends the Public Governance, Performance and Accountability (Section 75 Transfers) Determination 20202021 (the Determination), which is a legislative instrument for the purposes of section 8 of the Legislation Act 2003.

Statement of Compatibility with Human Rights

A Statement of Compatibility with Human Rights is not required for the amendment determination.

Subsection 9(1) of the Human Rights (Parliamentary Scrutiny) Act 2011 requires a Statement of Compatibility with Human Rights for all legislative instruments subject to disallowance under section 42 of the Legislation Act 2003. A determination, including an amendment determination, under section 75 of the PGPA Act is exempt from disallowance under subsection 75(7) of the PGPA Act. As such, a Statement of Compatibility with Human Rights is not required.

Consultation

Consistent with Chapter 3, Part 1 of the Legislation Act 2003, the affected entities were consulted in the preparation of the determination.


Summary of Modifications

  1. Item 1 of the amendment determination modifies the definition of Appropriation Act in section 4 of the Determination to include the four most recent 20202021 Appropriation Acts.
  2. Item 2 of the amendment determination adds items 6 and 7 to the table in subsection 5(3) of the Determination. The items affect the relevant appropriation items in Schedule 1 to the Supply Act (No. 1) 20202021 in the following way:

Item

Entity

Appropriation item

Amount previously transferred by the Determination ($)

Amount transferred by the amendment determination

 ($)

Amended amount transferred by the Determination ($)

6

Department of Industry, Science, Energy and Resources

Departmental item

0.00 

-1,771,000.00

-1,771,000.00

7

Department of the Treasury

Departmental item

0.00 

+1,771,000.00

+1,771,000.00

Note: A positive amount reflects an increase in an appropriation item and a negative amount reflects a decrease in an appropriation item.

3.      Item 3 of the amendment determination adds sections 6 and 7 to the Determination which apply to appropriation items in Schedule 2 to the Supply Act (No. 2) 20202021 and to appropriation items in Schedule 1 to the Appropriation Act (No. 1) 20202021, respectively.

4.      The table at subsection 6(2) affects relevant appropriation items in Schedule 2 to the Supply Act (No. 2) 20202021 in the following way:

Item

Entity

Appropriation item

Amount previously transferred by the Determination ($)

Amount transferred by the amendment determination

 ($)

Amended amount transferred by the Determination ($)

1

Department of Industry, Science, Energy and Resources

Other departmental item (Equity Injections)

0.00 

-237,000.00

-237,000.00

2

Department of the Treasury

Other departmental item (Equity Injections)

0.00 

+237,000.00

+237,000.00

Note: A positive amount reflects an increase in an appropriation item and a negative amount reflects a decrease in an appropriation item.

5.      The table at subsection 7(2) affects relevant appropriation items in Schedule 1 to the Appropriation Act (No. 1) 20202021 in the following way:


 

Item

Entity

Appropriation item

Amount previously transferred by the Determination ($)

Amount transferred by the amendment determination

 ($)

Amended amount transferred by the Determination ($)

1

Department of Industry, Science, Energy and Resources

Administered item, Outcome 4

0.00

-4,762,000.00

-4,762,000.00

2

Department of the Treasury

Administered item, Outcome 1

0.00

+4,762,000.00

+4,762,000.00

3

Australian Competition and Consumer Commission

Departmental item

0.00

-3,438,378.20

-3,438,378.20

4

Infrastructure and Project Financing Agency

Departmental item

0.00

-1,578,665.87

-1,578,665.87

5

Department of the Treasury

Departmental item

0.00

+5,017,044.07

+5,017,044.07

Note: A positive amount reflects an increase in an appropriation item and a negative amount reflects a decrease in an appropriation item.

 

Overview

The Public Governance, Performance and Accountability (Section 75 Transfers) Amendment Determination 2020-2021 (No. 2) was enacted to address the need for adjusting appropriations to non-corporate Commonwealth entities in response to recent Machinery of Government changes. This amendment determination is made under section 75 of the Public Governance, Performance and Accountability Act 2013, with the policy objective of reflecting recent transfers of functions and responsibilities among various entities. This was necessitated by changes including the transfer of the Consumer Data Right rules and sectors assessment function from the Australian Competition and Consumer Commission to the Department of the Treasury, the transfer of small business functions from the Industry, Science, Energy and Resources portfolio to the Treasury portfolio, and the abolition of the Infrastructure and Project Financing Agency as an executive agency. The amendment determination ensures that these transfers are appropriately reflected in the Appropriation Acts without altering the total amount appropriated by Parliament. The determination was made by officials within the Department of Finance, who have been delegated this power by the Secretary of the Department of Finance under section 107 of the PGPA Act. Consultation with the affected entities was conducted in accordance with the Legislation Act 2003, and a Statement of Compatibility with Human Rights is not required as the determination is exempt from disallowance. The amendment determination modifies previous determinations to include the most recent Appropriation Acts and adjusts the appropriation items accordingly, ensuring that the financial allocations are correctly aligned with the current organisational structures and responsibilities.

Scope and Application

The Public Governance, Performance and Accountability (Section 75 Transfers) Amendment Determination 2020-2021 applies to appropriations for non-corporate Commonwealth entities, specifically modifying the amounts appropriated in response to recent machinery of government changes. This includes the transfer of the Consumer Data Right rules and sectors assessment function from the Australian Competition and Consumer Commission to the Department of the Treasury, as well as the transfer of small business functions from the Industry, Science, Energy and Resources portfolio to the Treasury portfolio. Additionally, it reflects the abolition of the Infrastructure and Project Financing Agency as an executive agency, with its functions continuing as a separately branded activity within the Department of the Treasury. The amendment determination modifies the Appropriation Acts to reflect these transfers and applies nationally as it pertains to Commonwealth entities and their appropriated funds. There are no stated exclusions or exemptions in this determination, and it does not extend or restrict its application through subordinate instruments. The amendment determination is made under section 75 of the Public Governance, Performance and Accountability Act 2013, and the Finance Minister has delegated the power to make such determinations to the Secretary of the Department of Finance, who in turn has sub-delegated this power to certain officials within the Department of Finance. The amendment determination is a legislative instrument for the purposes of section 8 of the Legislation Act 2003, and a Statement of Compatibility with Human Rights is not required as the determination is exempt from disallowance under subsection 75(7) of the PGPA Act. The affected entities were consulted in the preparation of the determination, consistent with Chapter 3, Part 1 of the Legislation Act 2003.

Key Provisions

The Public Governance, Performance and Accountability (Section 75 Transfers) Amendment Determination 2020-2021 (No. 2) modifies the appropriations of non-corporate Commonwealth entities in response to recent machinery of government changes. Section 1 of the amendment determination expands the definition of Appropriation Act in section 4 of the original determination to include the four most recent 2020-2021 Appropriation Acts. Section 2 of the amendment determination amends the table in subsection 5(3) of the original determination, adjusting the appropriation items for the Department of Industry, Science, Energy and Resources and the Department of the Treasury. Specifically, it decreases the appropriation for the Department of Industry, Science, Energy and Resources by $1,771,000 and increases the appropriation for the Department of the Treasury by the same amount. Similarly, it adjusts the "Equity Injections" appropriation item for both departments by $237,000, with a corresponding decrease and increase respectively. Furthermore, section 3 introduces new sections 6 and 7 to the original determination, affecting the appropriation items in Schedule 2 of the Supply Act (No. 2) 2020-2021 and Schedule 1 of the Appropriation Act (No. 1) 2020-2021. It reduces the appropriation for the Department of Industry, Science, Energy and Resources by $4,762,000 and increases the appropriation for the Department of the Treasury by the same amount. It also decreases the appropriation for the Australian Competition and Consumer Commission by $3,438,378.20, abolishes the Infrastructure and Project Financing Agency, and increases the appropriation for the Department of the Treasury by $5,017,044.07. The amendment determination imposes specific obligations on the Department of Finance and the relevant non-corporate Commonwealth entities. The Department of Finance must ensure that the appropriations are adjusted in accordance with the amendment determination. The non-corporate Commonwealth entities are required to utilise the modified appropriations for their specified purposes as outlined in the amended Appropriation Acts. These entities must also comply with any additional conditions or requirements imposed by the Finance Minister under section 75 of the Public Governance, Performance and Accountability Act 2013 (PGPA Act). There are no specific offences, penalties, or consequences for breach outlined in the amendment determination. However, non-compliance with the PGPA Act or any related legislation could potentially result in civil or criminal penalties. Under the PGPA Act, breaches may lead to disciplinary actions against public officers or employees, and in severe cases, criminal charges could be brought. The maximum penalties for offences under the PGPA Act vary depending on the nature and severity of the offence, and could include fines and imprisonment. It is essential for the entities to adhere to the provisions of the amendment determination and the broader legislative framework to avoid any legal repercussions.

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