Public Works Committee Amendment Regulations 2004 (No. 1)

Administered by Department of Finance

Legislation au F2004B00201 Regulations Not in force Legislative Instrument

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Public Works Committee Amendment Regulations 2004 (No. 1) 2004 No. 178

EXPLANATORY STATEMENT

STATUTORY RULES 2004 No. 178

Issued by the Authority of the Parliamentary Secretary to the Minister for Finance and Administration

Public Works Committee Act 1989

Public Works Committee Amendment Regulations 2004 (No. 1)

Section 40 of the Public Works Committee Act 1969 (the Act) provides in part that the Governor-General may make regulations, not inconsistent with the Act, prescribing matters required or permitted by this Act to be prescribed, or necessary or convenient to be prescribed for carrying out or giving effect to this Act.

Section 5 of the Act provides that a regulation may declare a work to be a public work.

Section 5 of the Act defines a work to mean an architectural or engineering work, and includes:

(a)       the construction, alteration, repair, refurbishment or fitting out of buildings and other structures;

(b)       the installation, alteration or repair of plant and equipment design to be used in, or in relation to, the provision of services for buildings and other structures;

(c)       the undertaking, construction, alteration or repair of landscaping and earthworks (whether or not in relation to buildings and other structures);

(d)       the demolition, destruction, dismantling or removal of:

i.       buildings and other structures;

ii.       plant and equipment falling within paragraph (b); and

iii.       earthworks;

(e)       the clearing of land and the development of land for use as urban land or otherwise; and

(f)       any other matter declared by the regulations to be a work; but does not include:

(g)       the production of, or anything done in relation to, intangible things;

(h)       the production of, or anything done in relation to, movable property unless the work is, under regulations, a movable work to which this Act applies;

(j)       the installation, alteration or repair of plant or equipment where the plant or equipment:

i       is not designed to be used in, or in relation to, the provision of services for a building or other structure; and

ii       is not necessary or desirable to make a building or structure a complete building or structure; and

(k)       any other matter declared by the regulations not to be a work.

Section 5 of the Act defines a public work to mean:

(a)       a work:

i.       that is proposed to be carried out by or for the Commonwealth, either within or outside Australia; and

ii.       in respect of the carrying out of which public moneys which are appropriated by the Parliament are proposed to be expended by the Commonwealth;

(b)       a work:

i.       that is proposed to be carried out, either within or outside Australia, by or for an authority of the Commonwealth to which this Act applies; and

ii.       in respect of the carrying out of which moneys appropriated by the Parliament, or moneys of the authority, are proposed to be expended by the authority;

(c)       a work:

i.       that is proposed to be carried out, either within or outside Australia, otherwise that by or for the Commonwealth or an authority of the Commonwealth for which this Act applies;

ii.       of which the Commonwealth, or an authority of the Commonwealth to which this Act applies, is proposed to become the owner, and

iii.       in relation to which moneys appropriated by he Parliament are proposed to be expended by the Commonwealth or an authority of the Commonwealth; or

(ca)       a work declared by the regulations to be a public work;

but does not include:

(d)       a work that is proposed to be carried out within the Parliamentary zone;

(e)       a work that is proposed to be carried out by or for the Commonwealth by way of assistance to an overseas country; or

(f)       a work declared by the regulations not to be a public work.

Subsection 18(8) of the Act requires that all public works for the Commonwealth, which are estimated to cost more than $6 million (with certain exceptions), cannot commence unless the work has been referred to the Public Works Committee.

The purpose of the proposed Regulations is to amend the Public Works Committee Regulations 1969, (the Principal Regulations) to provide that a work includes a temporary and/or demountable building or structure. The Principal Regulations currently do not expand on the definitions of 'work' or 'public work', as set out in Section 5 of the Act.

The Public Works Committee has expressed concern about the practices agencies sometimes adopt, seemingly to avoid the obligation of referring construction projects to it. The Committee welcomes the proposed Regulations as a measure which will facilitate appropriate scrutiny of Commonwealth expenditure.

The proposed Regulations will provide that a temporary building or structure, or a demountable building or structure, is declared as a work for the purposes of paragraph (f) of the definition of work in Section 5 of the Act. This will mean that it would be taken into account when determining whether the work meets the threshold for referral to the Public Works Committee.

Paragraph 40(2)(b) of the Act provides that the Governor-General shall take into consideration any relevant recommendations made to the Minister by the Public Works Committee, before making regulations for the purposes of paragraph (ca) or (f) of the definition of public work in subsection 5(1) and paragraph (f) or (k) of the definition of work in subsection 5(1).

The Regulations will commence on the date of their notification in the Gazette.

 

Overview

The Public Works Committee Amendment Regulations 2004 (No. 1) were enacted to address the issue of certain agencies avoiding the requirement to refer significant construction projects to the Public Works Committee, which is established under the Public Works Committee Act 1969. The Parliament of Australia introduced these regulations to amend the Public Works Committee Regulations 1969, ensuring that temporary or demountable buildings and structures are included within the definition of "work" as per Section 5 of the Act. This change ensures that such works, if they meet the financial threshold, are subject to the necessary scrutiny by the Committee, thereby promoting transparency and accountability in Commonwealth expenditure. The regulations aim to close any loopholes that might be exploited to bypass the referral process, thus ensuring that all substantial public works are appropriately vetted.

Scope and Application

The Public Works Committee Amendment Regulations 2004 (No. 1) aims to modify the Public Works Committee Regulations 1969 by expanding the definition of 'work' to include temporary and demountable buildings or structures. These regulations apply to the Commonwealth and authorities of the Commonwealth within Australia and overseas, ensuring that all works estimated to cost more than $6 million, with certain exceptions, must be referred to the Public Works Committee before commencement. This legislative amendment is intended to ensure that all relevant construction activities, including those involving temporary or demountable structures, are subject to the appropriate scrutiny and authorisation processes, thereby safeguarding the prudent use of public funds. The exclusions from the definition of 'work' remain consistent with the Act, excluding intangible things, certain movable property, and other specified matters as declared by the regulations. The Regulations will come into effect on the date they are notified in the Gazette, thereby extending the jurisdictional reach of the Act through subordinate instruments.

Key Provisions

The Public Works Committee Amendment Regulations 2004 (No. 1) amend the Public Works Committee Regulations 1969 by expanding the definition of 'work' to include temporary and/or demountable buildings or structures. This amendment is crucial as it ensures that all types of construction activities, including those involving temporary or demountable structures, are subject to the same scrutiny and oversight as permanent structures. This change is intended to prevent agencies from circumventing the requirement to refer construction projects to the Public Works Committee by opting for temporary or demountable options that would otherwise fall outside the scope of the regulations. These regulations impose obligations on government agencies and entities to ensure that any construction work, including temporary or demountable buildings, is appropriately referred to the Public Works Committee if the estimated cost exceeds $6 million. This requirement aims to facilitate appropriate scrutiny of Commonwealth expenditure and ensure that all significant construction projects are reviewed to maintain fiscal responsibility and adherence to public works standards. Agencies must now include temporary and demountable structures in their planning and budgeting processes, ensuring that they comply with the regulatory requirements and submit the necessary referrals to the Public Works Committee. The Act includes provisions for offences and penalties for non-compliance. Agencies that fail to refer works exceeding the specified threshold to the Public Works Committee may face legal consequences. Although the specific penalties are not detailed in the explanatory statement, it is reasonable to infer that non-compliance could result in fines or other legal actions, as is typical with regulatory breaches under Australian law. These measures underscore the importance of adhering to the regulations to maintain transparency and accountability in public spending. The Public Works Committee Amendment Regulations 2004 (No. 1) are designed to strengthen the oversight of construction projects by the Public Works Committee, ensuring that all significant works, including those involving temporary or demountable buildings, are subject to the appropriate level of scrutiny. This amendment aims to prevent any attempts to bypass the regulatory framework by adopting alternative construction methods that would otherwise avoid the referral requirements. By including temporary and demountable structures within the scope of the Act, the regulations promote a more comprehensive and consistent approach to managing public works projects.

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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.