EXPLANATORY STATEMENT
STATUTORY RULES 1987 NO 170
ISSUED BY THE AUTHORITY OF THE MINISTER FOR FINANCE
SUBJECT: SUPERANNUATION ACT 1976
SUPERANNUATION (APPROVED AUTHORITIES) REGULATIONS (AMENDMENT)
Section 168 of the Superannuation Act 1976 (the Act) provides that the Governor-General may make regulations, not inconsistent with the Act, prescribing all matters which the Act requires or permits to be prescribed or which are necessary or convenient to be prescribed for carrying out or giving effect to the Act.
The Act makes provision for and in relation to an occupational superannuation scheme for persons employed by the Commonwealth and for certain other persons.
By virtue of the definitions of “eligible employee”, “permanent employee” and “temporary employee” in sub-section 3(1) of the Act, those eligible to contribute under the Act include officers and employees for the purposes of the Public Service Act 1922, any other persons employed by the Commonwealth and persons employed by an approved authority.
Section 3 defines “approved authority” as:
(a) an authority or other body specified in the regulations as an approved authority for the purposes of the Act, being an authority or body of a kind described in the definition; or
(b) an authority or body that was an approved authority for the purposes of the Superannuation Act 1922 immediately before 1 July 1976, the date of commencement of the Act.
Authorities or bodies that have become approved authorities since 1 July 1976 are specified in the Superannuation (Approved Authorities) Regulations (the Principal Regulations).
Sub-section 168(3) of the Act provides that regulations for the purpose of the “approved authority” definition made after 31 December 1978 may be expressed to have taken effect from and including a day not earlier than twelve months before the making of the regulations.
Sub-regulation 3(1) of the Regulations amends the Principal Regulations to specify the Australian Nuclear Science and Technology organisation as an approved authority for the purposes of the Act. The Australian Atomic Energy Commission was an approved authority for the purposes of the Superannuation Act 1922 on 30 June 1976 and therefore became on 1 July 1976, and has continued to be, an approved authority for the purposes of the Act by virtue of paragraph (b) of the definition of “approved authority” in sub-section 3(1) of the Act. Sub-section 4(1) of the Australian Nuclear Science and Technology Organisation Act 1987 (Act No 3 of 1987 assented to on 13 March 1987) provides for the Australian Atomic Energy Commission to continue in existence as a body corporate, under and subject to the provisions of that Act, under the name Australian Nuclear Science and Technology Organisation. That Act came into operation on 27 April 1987. By sub-regulation 1(1) of the Regulations, sub-regulation 3(1) is deemed to have taken effect from and including 27 April 1987.
Sub-regulation 3(2) of the Regulations amends the Principal Regulations to remove the reference to the Northern Territory Development Corporation. The Corporation ceased to exist with effect from 24 December 1986 as a consequence of the repeal of the Territory Development Act 1978 of the Northern Territory by the Territory Loans Management Corporation Act 1986 of the Northern Territory. By sub-regulation 1(2) of the Regulations, sub-regulation 3(2) is deemed to have taken effect from and including 24 December 1986.
Sub-regulation 3(3). of the Regulations amends the Principal Regulations to remove the reference to the Northern Territory Electricity Commission and sub-regulation 3(4) amends them to specify the Power and Water Authority as an approved authority for the purposes of the Act. The Northern Territory Electricity Commission was specified as an approved authority for the purposes of the Act with effect from 27 September 1979 by amendment of the Principal Regulations by Statutory Rules 1979 No 186. The Northern Territory Electricity Commission ceased to exist with effect from and including 1 July 1987 as a consequence of an amendment to the Electricity Commission Act 1978 of the Northern Territory by the Electricity Commission Amendment Act 1987 of the Northern Territory. The Power and Water Authority Act 1987 of the Northern Territory established the Power and Water Authority to replace the Northern Territory Electricity Commission with effect from and including 1 July 1987. By sub-regulation 1(3) of the Regulations, sub-regulations 3(3) and 3(4) are deemed to have taken effect from and including 1 July 1987.
Sub-regulation 3(5) of the Regulations amends the Principal Regulations to specify the Trade Development Zone Authority as an approved authority for the purposes of the Act. The Authority was established by the Trade Development Zone Act 1985 of the Northern Territory with effect from 25 September 1985. Eligible employees for the purposes of the Act first became employed by the Authority on 1 September 1986. By sub-regulation 1(4) of the Regulations, sub-regulation 3(5) is deemed to have taken effect from and including 1 September 1986.
The Australian Nuclear Science and Technology Organisation, the Power and Water Authority and the Trade Development Zone Authority are bodies of a kind described in the definition of “approved authority” in sub-section 3(1) of the Act.
Overview
The Superannuation (Approved Authorities) Regulations (Amendment) 1987, enacted by the Parliament of Australia, aim to update the list of approved authorities under the Superannuation Act 1976. The amendments were necessary to reflect changes in the entities that have become eligible to participate in the occupational superannuation scheme for Commonwealth employees and those employed by approved authorities. The Minister for Finance issued the regulations under the authority granted by section 168 of the Superannuation Act 1976, ensuring that the regulations align with the Act and facilitate the smooth operation of the superannuation scheme. The policy objective is to maintain an accurate and current list of approved authorities, thereby ensuring that all eligible employees can participate in the superannuation scheme without interruption.
The regulations specifically address the changes in entities that occurred due to legislative and organisational restructuring. For instance, the Australian Nuclear Science and Technology Organisation was specified as an approved authority to replace the Australian Atomic Energy Commission, which was an approved authority prior to the commencement of the Superannuation Act 1976. Similarly, the Power and Water Authority was specified to replace the Northern Territory Electricity Commission, and the Trade Development Zone Authority was added to the list of approved authorities. These amendments ensure that the scheme remains relevant and effective in providing superannuation benefits to employees of these authorities.
Scope and Application
The Superannuation (Approved Authorities) Regulations (Amendment) pertains to the Superannuation Act 1976, which is concerned with occupational superannuation schemes for Commonwealth employees and certain other individuals. The Act applies to eligible employees, which include officers and employees under the Public Service Act 1922, any other persons employed by the Commonwealth, and individuals employed by approved authorities. Approved authorities are specified in the regulations and include entities like the Australian Nuclear Science and Technology Organisation, which succeeded the Australian Atomic Energy Commission, and new authorities such as the Trade Development Zone Authority. These regulations amend the principal regulations to update the list of approved authorities, reflecting changes in corporate entities and authorities since the original Superannuation Act of 1976. The amendments also consider historical transitions, such as the Northern Territory Electricity Commission being replaced by the Power and Water Authority. The regulations can specify the effective dates of these changes, ensuring continuity in the application of superannuation benefits.
Key Provisions
The key operative sections of the Superannuation (Approved Authorities) Regulations (Amendment) focus on specifying entities as approved authorities under the Superannuation Act 1976. According to sub-regulation 3(1), the Australian Nuclear Science and Technology Organisation is designated as an approved authority. This designation stems from its predecessor, the Australian Atomic Energy Commission, which was already an approved authority under the previous legislation. Sub-regulation 3(2) removes the Northern Territory Development Corporation from the list of approved authorities due to its dissolution. Similarly, sub-regulation 3(3) removes the Northern Territory Electricity Commission, and sub-regulation 3(4) replaces it with the Power and Water Authority. Finally, sub-regulation 3(5) includes the Trade Development Zone Authority as an approved authority. These amendments ensure that the list of approved authorities reflects current entities and excludes those that no longer exist or are not relevant.
The obligations and requirements imposed by these regulations primarily concern the entities now designated as approved authorities under the Superannuation Act 1976. These authorities are responsible for ensuring that their employees are eligible for the occupational superannuation scheme. They must comply with the provisions of the Superannuation Act, which include making the necessary contributions on behalf of their employees and maintaining records of these contributions. The approved authorities must also ensure that their employees are aware of their rights and obligations under the Act. By specifying these authorities, the regulations aim to streamline the administration of the superannuation scheme and ensure that all eligible employees are covered.
Failure to comply with the requirements of the Superannuation Act and the associated regulations can lead to various consequences. Although the specific penalties are not detailed in the provided excerpt, breaches of superannuation laws can generally result in civil or criminal penalties. Civil penalties may include fines, and in some cases, the court may order the rectification of non-compliance, such as making unpaid contributions. Criminal penalties can include imprisonment for more severe breaches, particularly those involving fraud or intentional misrepresentation. The maximum penalties would depend on the specific nature and severity of the breach, as outlined in the Superannuation Act and other relevant legislation.
In summary, the Superannuation (Approved Authorities) Regulations (Amendment) clarify and update the list of approved authorities under the Superannuation Act 1976. These regulations impose obligations on the specified authorities to ensure their employees are eligible for the superannuation scheme and comply with the Act's requirements. Non-compliance can result in civil or criminal penalties, with the specifics of these penalties governed by the broader superannuation legislation.