EXPLANATORY STATEMENT
Statutory Rules 1988 No. 377
Snowy Mountains Engineering Corporation Act 1970
Snowy Mountains Engineering Corporation Regulations (Amendment)
Issued by the Authority of the Minister for Science, Customs and Small Business.
1. These Regulations are made under section 55 of the Snowy Mountains Engineering Corporation Act 1970 (the Act).
2. Regulation 1 inserts new Regulation 1A which defines “the Act” to mean the Snowy Mountains Engineering Corporation Act 1970.
3. Regulation 2 inserts new Regulation 6 which prescribes an amount of $5,000,000 for short term interest bearing investment contracts of surplus working capital funds for the purposes of subsection 48(1) of the Act.
4. The effect of new Regulation 6 is that the Corporation only requires Ministerial approval for short term interest bearing investments of its surplus working capital if such investments exceed $5,000,000. This is necessary to enable the Corporation to conduct its day to day affairs in a commercial manner.
5. All other investments by the Corporation in excess of $500,000 still require Ministerial approval.