Superannuation (prudential standard) determination No. 1 of 2019
EXPLANATORY STATEMENT
Prepared by the Australian Prudential Regulation Authority (APRA)
Superannuation Industry (Supervision) Act 1993 section 34C(6)
Under subsection 34C(1) of the Superannuation Industry (Supervision) Act 1993 (the Act), APRA has the power to determine standards (prudential standards), in writing, in relation to prudential matters to be complied with by all RSE licensees of registrable superannuation entities (RSEs). Under subsection 34C(6) of the Act, APRA may, in writing, vary or revoke a prudential standard.
On 14 February 2019 APRA made Superannuation (prudential standard) determination No 1 of 2019 which revokes Superannuation Prudential Standard SPS 410 MySuper Transition (SPS 410).
The instrument commences upon registration on the Federal Register of Legislation.
- Background
By Superannuation (prudential standard) determination No. 9 of 2012 dated 11 December 2012, APRA determined Prudential Standard SPS 410 MySuper Transition (SPS 410). The determination was made pursuant to subsection 34C(1) of the Act.
SPS 410 sets out minimum processes for RSE licensees in relation to an election made under sections 29SAA and 387 of the Act to attribute all accrued default amounts to a suitable MySuper product before 1 July 2017.
As the transition period to 1 July 2017 has passed, and the requirements of SPS 410 have been complied with by all affected RSE Licensees, SPS 410 is now redundant.
2. Purpose and operation of the instrument
As SPS 410 is now redundant, the purpose of this instrument is to revoke SPS 410.
3. Consultation
As the revocation of SPS 410 will not have any impact on business, community organisations or individuals, consultation was unnecessary and was not undertaken for this instrument.
4. Regulation Impact Statement
The Office of Best Practice Regulation has advised that a Regulation Impact Statement is not required for this legislative instrument.
5. Statement of compatibility prepared in accordance with Part 3 of the Human Rights (Parliamentary Scrutiny) Act 2011
A Statement of compatibility prepared in accordance with Part 3 of the Human Rights (Parliamentary Scrutiny) Act 2011 is provided at Attachment A to this Explanatory Statement.
ATTACHMENT A
Statement of Compatibility with Human Rights
Prepared in accordance with Part 3 of the Human Rights (Parliamentary Scrutiny) Act
2011
Superannuation (prudential standard) determination No. 1 of 2019
This Legislative Instrument is compatible with the human rights and freedoms recognised or declared in the international instrument listed in section 3 of the Human
Rights (Parliamentary Scrutiny) Act 2011 (HRPS Act).
Overview of the Legislative Instrument
The purpose of making this Legislative Instrument is to revoke Prudential Standard SPS 410 MySuper Transition (SPS 410), which sets out minimum processes for RSE licensees in relation to an election made under sections 29SAA and 387 of the Superannuation Industry (Supervision) Act 1993 to attribute all accrued default amounts to a suitable MySuper product before 1 July 2017.
As the transition period to 1 July 2017 has passed, and the requirements of SPS 410 have been complied with by all affected RSE Licensees, SPS 410 is now redundant and has been revoked.
Human rights implications
APRA has assessed the instrument against the international instruments listed in section 3 of the HRPS Act and has determined that it does not engage any of the applicable rights or freedoms.
Conclusion
This Legislative Instrument is compatible with human rights as it does not raise any human rights issues.