Western Australia
Electricity Corporations Act 2005
Western Australia
Electricity Corporations Act 2005
CONTENTS
Part 1 — Preliminary
1. Short title 2
2. Commencement 2
3. Terms used in this Act 2
Part 2 — Electricity Corporations
Division 1 — Establishment of corporations
4. Corporations established 5
5. Corporations not agents of the State 5
6. Corporations and officers not part of Public Service 5
7. Head office of Regional Power Corporation 6
Division 2 — Boards of directors
8. Boards of directors 6
9. Role of boards 7
10. Provisions about the constitution and proceedings of boards 7
11. Remuneration 7
12. Conflict of duties 7
13. Committees 8
Division 3 — Staff
Subdivision 1 — Chief executive officer
14. Appointment 8
15. Role of chief executive officer 9
16. Resignation 9
17. Acting appointments 9
Subdivision 2 — Other staff
18. Powers in relation to staff 9
19. Certain industrial matters excluded from employment agreements 10
20. Designation of executive officers 11
Subdivision 3 — Minimum standards for staff management
21. Standards to be set out in instrument 11
22. Reports to Commissioner for Public Sector Standards 12
Subdivision 4 — Joint policy on staff transfers
23. Corporations to have joint policy approved by Minister 12
24. Amendment of policy statement 13
25. Consultation with staff 13
Subdivision 5 — General
26. Superannuation 14
Division 4 — Duties of, and relating to, directors and staff
27. Duties of, and relating to, directors 15
28. Chief executive officer, duties imposed 15
29. Executive officers, duties imposed 15
30. Members of staff, duties imposed 16
31. Codes of conduct 16
32. Reports to Commissioner for Public Sector Standards 16
33. Reports to Minister 17
Part 3 — Functions and powers of corporations
Division 1 — Functions, powers and related provisions
Subdivision 1 — Preliminary
34. Terms used in this Division 18
Subdivision 2 — Electricity Generation Corporation
35. Principal functions 19
36. Other functions 20
37. Restriction on area in which corporation may operate 20
38. Restriction on sale of electricity to consumers 21
39. Review of restriction 22
40. Extension of designated period 22
Subdivision 3 — Electricity Networks Corporation
41. Principal functions 22
42. Other functions 23
43. Restriction on area in which corporation may operate 24
Subdivision 4 — Electricity Retail Corporation
44. Principal functions 24
45. Other functions 25
46. Restriction on area in which corporation may operate 26
47. Prohibition on generation of electricity for a designated period 26
48. Review of prohibition 26
49. Extension of designated period 26
Subdivision 5 — Regional Power Corporation
50. Principal functions 27
51. Other functions 28
52. Restriction on area in which corporation may operate 29
Subdivision 6 — Special function in respect of certain assets and liabilities
53. Administration under delegated power 29
Subdivision 7 — Use of distribution systems for the retail supply of electricity
54. Electricity Networks Corporation and Regional Power Corporation not to supply services for certain purposes30
55. Review as to introduction of further retail competition 32
Subdivision 8 — Provisions applying to functions of all corporations
56. Corporations may act at their discretion 32
57. Where corporation may operate 32
58. Corporation to act in accordance with policy instruments 33
59. Powers 33
60. Certain works exempt from planning laws 35
61. Corporation to act on commercial principles 36
62. Segregation of functions of corporations 37
63. Interruption or restriction of supply 37
64. Acquisition of subsidiary 38
65. Control of subsidiary 38
66. Corporations Act, effect of section 65 39
67. Disposals that require a Ministerial order 40
68. Other transactions that require Ministerial approval 40
69. Exemptions from section 68 41
70. Minister to be consulted on major initiatives 42
71. Delegation 42
Division 2 — Role of Economic Regulation Authority
72. Advisory function 43
73. Public consultation 43
74. Advice to be published 44
Division 3 — Arrangements authorised or approved by Governor
75. Governor may make certain regulations 44
Division 4 — Protection of persons dealing with a corporation
76. Person dealing with corporation may make assumptions 45
77. Third party may make assumptions 45
78. Assumptions that may be made 46
79. Exception to sections 76 and 77 47
Part 4 — Operation of corporations, imposition of requirements
80. Meaning of terms used in this Part 48
81. Object of this Part 48
82. Minister may prescribe contracts 48
83. Matters that may be provided for 48
84. Amendment and cancellation 49
85. Enforcement 49
86. Advice of Economic Regulation Authority to be obtained 50
87. Trade practices exemption 50
Part 5 — Provisions about accountability
Division 1 — Strategic development plans
88. Draft strategic development plan to be submitted to Minister51
89. Transitional provision 51
90. Matters to be included in strategic development plan 51
91. Strategic development plan to be agreed if possible 52
92. Minister’s powers in relation to draft strategic development plan 53
93. Strategic development plan pending agreement 53
94. Minister’s agreement to draft strategic development plan 54
95. Modifications of strategic development plan 54
96. Concurrence of Treasurer 54
Division 2 — Statement of corporate intent
97. Draft statement of corporate intent to be submitted to Minister 55
98. Transitional provision 55
99. Matters to be included in statement of corporate intent 55
100. Statement of corporate intent to be agreed if possible 57
101. Minister’s powers in relation to draft statement of corporate intent 57
102. Statement of corporate intent pending agreement 58
103. Minister’s agreement to draft statement of corporate intent59
104. Modifications of statement of corporate intent 59
105. Concurrence of Treasurer 60
Division 3 — Quarterly and annual reports
106. Quarterly reports 60
107. Annual reports 61
108. Contents of annual reports 62
109. Deletion of commercially sensitive matters from reports 63
Division 4 — Ministerial directions
110. Directions to corporation 63
111. Directions generally 63
112. Directions contrary to commercial interest 64
113. When directions take effect 65
114. Directions relating to the supply of gas 65
Division 5 — Consultation and provision of information
115. Consultation 66
116. Minister to have access to information 66
117. Provision of information in compiled form 67
118. Minister to be kept informed 68
119. Notice of financial difficulty 69
Division 6 — Protection from liability
120. No liability for certain acts or omissions 70
Part 6 — Financial provisions
Division 1 — General
121. Bank account 71
122. Investment 71
123. Exemption from rates 71
Division 2 — Payments to State
124. Payment of amount in lieu of rates 71
125. Determination of amounts under section 124 72
126. Dividend 72
Division 3 — Borrowing
127. Borrowing 73
128. Borrowing limits 74
129. Hedging transactions 75
Division 4 — Guarantees
130. Guarantees 76
131. Charges for guarantee 76
Division 5 — Financial administration and audit
132. Limited application of Financial Management Act 2006 or the Auditor General Act 2006, those Acts77
133. Financial administration and audit 77
Part 7 — Miscellaneous
134. Supplementary provision for laying document before Parliament 79
135. Execution of documents 79
136. Contract formalities 80
137. Delegation by Treasurer 81
138. Regulations 81
Part 8 — Amendments to other written laws
139. Amendments to other Acts 82
140. Power to amend subsidiary legislation 82
Part 9 — Transitional provisions for succession from Western Power Corporation to new corporations
Division 1 — Preliminary
141. Purpose of this Part 83
142. Terms used in this Part 83
143. Saving 85
Division 2 — Powers conferred on Minister
144. Power for certain agreements to be made before commencement day 85
145. Minister may give directions 86
146. Directions to be laid before Parliament 87
Division 3 — Passing of Western Power Corporation’s assets and liabilities to new corporations or the State
Subdivision 1 — Making of transfer orders
147. Minister to make order for allocation of assets and liabilities87
148. Order may provide for transfer to subsidiary 88
149. Transfer order schedules 89
150. Treatment of certain internal arrangements of Western Power Corporation 89
151. Power to make subsequent order 90
152. References in Government agreements 90
153. Amendment of transfer orders 91
Subdivision 2 — Operation of transfer orders
154. Allocation to one new corporation 92
155. Order for transfer to subsidiary 93
156. Allocation to more than one new corporation 94
157. Replacement of Western Power Corporation in proceedings96
158. Handing over of records 97
159. Changes to Government agreements 97
Subdivision 3 — Re‑allocation of assets, rights and liabilities
160. Order for re‑allocation 97
161. Re‑allocation to have effect from commencement day 99
162. Handing over of records 100
Subdivision 4 — Order that allocated assets or liabilities pass instead to the State
163. Minister may order that section 169 is to apply 100
164. Effect of order 101
165. Handing over of records 102
Subdivision 5 — Replacement of party in proceedings
166. Order for replacement 103
167. Effect of order 103
168. Handing over of records 104
Subdivision 6 — Assets, liabilities and proceedings not otherwise provided for
169. Unallocated assets and liabilities to be dealt with by Minister104
170. Provisions incidental to section 169 105
171. State to be party to proceedings if no provision made 106
172. Handing over of records 107
Subdivision 7 — Other matters relating to passing of assets and liabilities
173. Continuation of guarantees in respect of Western Power Corporation 107
174. Guarantees to which section 173 does not apply 108
175. Certain joint tenancies preserved 109
176. Western Power Corporation to complete necessary transactions 109
177. Exemption from State taxation 110
178. Registration of documents 111
Division 4 — Staff
179. Transition of employment 112
180. Employees’ rights preserved 112
Division 5 — Contracts with tariff customers
181. Minister to prescribe contracts 113
Division 6 — Other transitional provisions
182. Annual report 113
183. Continuation of certain directions given to Western Power Corporation 114
184. Completion of things commenced 114
185. Continuing effect of things done 115
186. Immunity to continue 115
187. Agreements and instruments generally 115
188. Western Power Corporation to perform necessary transitional functions 116
Division 7 — Making of further provision by regulation
189. Powers of rectification and similar matters 117
190. Further provision may be made by regulation 118
191. Regulations may operate from the commencement day 118
Division 8 — Indemnities and guarantees
192. Treasurer may give indemnity and guarantee 119
Schedule 1 — Provisions about the constitution and proceedings of boards
1. Meaning of “director” 120
2. Term of office 120
3. Resignation and removal 120
4. Chairperson and deputy chairperson 120
5. Alternate directors 121
6. Meetings 122
7. Telephone and video meetings 122
8. Resolution may be passed without meeting 122
9. Minutes and records 123
10. Leave of absence 124
11. Board to determine own procedures 124
Schedule 2 — Provisions about the duties of directors and related provisions
Division 1 — Preliminary
1. Attempts to commit offences 125
Division 2 — Certain duties stated
2. Duty to act honestly 125
3. Duty to exercise reasonable care and diligence 125
4. Duty not to make improper use of information 126
5. Duty not to make improper use of position 126
6. Fiduciary duty 127
Division 3 — Recovery from director
7. Payment of compensation may be ordered 127
8. Civil proceedings for recovery from director 127
Division 4 — Relief from liability
9. Court may grant relief 128
10. Application for relief 128
11. Case may be withdrawn from jury 128
Division 5 — Personal interests of directors, disclosure and voting
12. Disclosure 129
13. Voting by interested directors 129
Division 6 — Other prohibited conduct
14. Prohibition on loans to directors and related persons 130
15. Directors and auditors not to be indemnified for certain matters 131
16. False or misleading information 132
Schedule 3 — Provisions to be included in constitution of subsidiary
1. Disposal of shares 135
2. Directors 135
3. Further shares 135
4. Subsidiaries of subsidiary 135
Schedule 4 — Financial administration and audit
Division 1 — Preliminary
1. Meaning of terms used in this Schedule 137
Division 2 — Financial records
2. Obligation to keep financial records (cf. Corporations Act s. 286) 137
3. Physical format (cf. Corporations Act s. 288) 137
4. Place where records are kept (cf. Corporations Act s. 289) 138
5. Director access (cf. Corporations Act s. 290) 138
Division 3 — Financial reporting
Subdivision 1 — Annual financial reports and directors’ reports
6. Preparation of annual financial reports and directors’ reports (cf. Corporations Act s. 292)139
7. Contents of annual financial report (cf. Corporations Act s. 295) 139
8. Compliance with accounting standards and regulations (cf. Corporations Act s. 296) 140
9. True and fair view (cf. Corporations Act s. 297) 140
10. Annual directors’ report (cf. Corporations Act s. 298) 140
11. Annual directors’ report — general information (cf. Corporations Act s. 299) 141
12. Annual directors’ report — specific information (cf. Corporations Act s. 300) 142
13. Annual directors’ report — other specific information (cf. Corporations Act s. 300A) 144
14. Audit of annual financial report (cf. Corporations Act s. 301) 144
Subdivision 2 — Audit and auditor’s report
15. Audit opinion (cf. Corporations Act s. 307) 144
16. Auditor General’s report on annual financial report (cf. Corporations Act s. 308) 145
17. Auditor General’s power to obtain information (cf. Corporations Act s. 310) 146
18. Assisting Auditor General (cf. Corporations Act s. 312) 146
Subdivision 3 — Special provisions about consolidated financial statements
19. Directors and officers of controlled entity to give information (cf. Corporations Act s. 323)146
20. Auditor General’s power to obtain information from controlled entity (cf. Corporations Act s. 323A)146
21. Controlled entity to assist the Auditor General (cf. Corporations Act s. 323B) 147
22. Application of subdivision to entity that has ceased to be controlled (cf. Corporations Act s. 323C)147
Subdivision 4 — Financial years of the corporation and the entities it controls
23. Financial years (cf. Corporations Act s. 323D) 147
Division 4 — Accounting standards
24. Accounting standards (cf. Corporations Act s. 334) 148
25. Equity accounting (cf. Corporations Act s. 335) 148
26. Interpretation of accounting standards (cf. Corporations Act s. 337) 148
27. Evidence of text of accounting standard (cf. Corporations Act s. 339) 148
Division 5 — Exemptions and modifications
28. Treasurer’s power to make specific exemption orders (cf. Corporations Act s. 340) 149
29. Criteria for specific exemption orders and class orders (cf. Corporations Act s. 342) 150
30. Extension of time 150
Division 6 — Sanctions for contraventions of this Schedule
31. Contravention of Divisions 2 and 3 (cf. Corporations Act s. 344) 151
Division 7 — Miscellaneous
32. Deadline for reporting to the Minister (cf. Corporations Act s. 315) 151
33. Annual financial reporting to the Minister (cf. Corporations Act s. 314) 151
34. Audit 152
35. Powers and duties of the Auditor General 152
Schedule 5 — Amendments to other Acts
Division 1 — Constitution Acts Amendment Act 1899
1. The Act amended 153
2. Schedule V amended 153
Division 2 — Economic Regulation Authority Act 2003
3. The Act amended 154
4. Section 20 amended 154
Division 3 — Electricity Act 1945
5. The Act amended 154
6. Section 5 amended 154
Division 4 — Electricity Corporation Act 1994
7. The Act amended 154
8. Long title amended 155
9. Section 1 amended 155
10. Sections 2 and 3 replaced by section 2 155
2. Terms used in this Act 155
11. Parts 2, 3, 4 and 5 repealed 156
12. Part 6 heading replaced 156
Part 6 — Access to electricity transmission and distribution systems
13. Section 89 amended 156
14. Sections 92 and 93 repealed 158
15. Section 94 amended 158
16. Section 95 amended 158
17. Section 95A amended 158
18. Section 96 inserted 159
96. Regulations 160
19. Part 7 and Schedules 1, 2, 3 and 4 repealed 160
20. Schedule 5 amended 160
4. Obligation to provide information 162
21. Schedule 6 amended 164
4. Obligation to provide information 166
22. Schedule 7 repealed and saving provisions 168
Division 5 — Electricity Industry Act 2004
23. The Act amended 168
24. Section 3 amended 169
25. Section 12 amended 169
26. Section 31 amended 170
27. Section 39 amended 170
28. Section 39A inserted 170
39A. Reviewof code standards applying to Regional Power Corporation 171
29. Section 45 amended 173
30. Section 46 amended 173
31. Sections 54A and 54B inserted 174
54A. Electricity corporations required to offer to supply electricity under prescribed form of contract174
54B. Enforcement of obligation in section 54A(2) 176
32. Sections 55 and 56 repealed 176
33. Section 60 amended 176
34. Section 71 amended 177
35. Section 106 amended 177
36. Section 119 amended 178
37. Part 9A inserted 178
Part 9A — Tariff equalisation
129A. Purpose of this Part 178
129B. Terms used in this Part 178
129C. Tariff Equalisation Fund 179
129D. Determination of tariff equalisation contributions180
129E. Treasurer may seek advice from the Authority181
129F. Payment and passing on of tariff equalisation contributions 181
129G. Payments from the Fund 183
129H. Information 183
129I. Treasurer to recommend regulations 183
129J. Delegation by Treasurer 183
Division 6 — Energy Corporations (Transitional and Consequential Provisions) Act 1994
38. The Act amended 184
39. Section 50 amended 184
Division 7 — Energy Operators (Powers) Act 1979
40. The Act amended 184
41. Section 4 amended 184
42. Section 124 amended 186
Division 8 — Equal Opportunity Act 1984
43. The Act amended 187
44. Section 139 amended 187
Division 9 — Gas Pipelines Access (Western Australia) Act 1998
45. The Act amended 187
46. Section 80 amended 187
Division 10 — Land Administration Act 1997
47. The Act amended 188
48. Section 160 amended 188
Division 11 — Metropolitan Region Town Planning Scheme Act 1959
49. The Act amended 189
50. Second Schedule amended 189
Division 12 — Public Sector Management Act 1994
51. The Act amended 189
52. Schedule 1 amended 189
Division 13 — Public Works Act 1902
53. The Act amended 190
54. Section 5A amended 190
55. Section 5B amended 190
Division 14 — State Records Act 2000
56. The Act amended 190
57. Schedule 3 amended 190
Division 15 — Town Planning and Development Act 1928
58. The Act amended 191
59. Section 27A amended 191
Notes
Compilation table 192
Provisions that have not come into operation 192
Western Australia
Electricity Corporations Act 2005
An Act —
·to establish 3 corporations in place of Western Power Corporation each with particular responsibilities relating to the provision of electricity in the South West of the State, and a corporation in place of Western Power Corporation with responsibility for the provision of electricity outside the South West of the State;
·to provide for the passing of the assets and liabilities of Western Power Corporation to the new corporations or to the State and for other transitional matters;
·to amend and rename the Electricity Corporation Act 1994, and to amend other Acts, as a consequence of Western Power Corporation being replaced by the new corporations,
and to make related provisions.
Part 1 — Preliminary
1. Short title
This is the Electricity Corporations Act 2005.
2.
(1) Except as stated in subsection (2), this Act comes into operation on the day on which it receives the Royal Assent.
(2) The provisions of —
(a) Parts 2, 3, 4, 5, 6, 7 and 8;
(b) Part 9, other than sections 141, 142, 144, 145, 146, 147, 148, 149, 150, 151, 152, 153(1) and 179; and
(c) Schedules 1, 2, 3, 4 and 5,
come into operation on a day fixed by proclamation.
(3) Different days may be fixed under subsection (2) for different provisions.
(4) A day is not to be fixed for the purposes of subsection (2) until the Minister is of the opinion that the transfer order or transfer orders required by section 147(1) has or have been made.
3.
(1) In this Act, unless the contrary intention appears —
board means a board of directors provided for by section 8;
chief executive officer means an officer appointed under section 14 and, except in sections 14 and 16, includes an acting chief executive officer appointed under section 17;
Commissioner for Public Sector Standards means the person for the time being holding the office created by the Public Sector Management Act 1994 section 16(1);
corporation means a body established by section 4(1);
Corporations Act means the Corporations Act 2001 of the Commonwealth;
director means a member of a board;
Economic Regulation Authority means the Economic Regulation Authority established by the Economic Regulation Authority Act 2003;
electricity includes electrical energy of any kind however produced, stored, transported or consumed;
Electricity Generation Corporation means the body established by section 4(1)(a);
Electricity Networks Corporation means the body established by section 4(1)(b);
Electricity Retail Corporation means the body established by section 4(1)(c);
executive officer means a member of the staff of a corporation designated under section 20 as an executive officer;
function includes powers, duties and authorities, except in —
(a) Part 3 Division 1 Subdivisions 1 to 6; and
(b) sections 56 and 59;
gas means any gas or mixture of gases, whether naturally occurring or manufactured, intended for use —
(a) as a fuel; or
(b) in any chemical process;
member of staff means a person engaged under section 18;
non‑executive director, in relation to a corporation, means a director other than the chief executive officer if he or she is a director of the corporation;
Regional Power Corporation means the body established by section 4(1)(d);
South West interconnected system means the interconnected transmission and distribution systems, generating works and associated works —
(a) located in the South West of the State and extending generally between Kalbarri, Albany and Kalgoorlie; and
(b) into which electricity is supplied by one or more of the electricity generation plants at Kwinana, Muja, Collie and Pinjar,
as expanded or altered from time to time;
subsidiary, in relation to a corporation, means —
(a) a body determined to be a subsidiary of the corporation under subsection (2); and
(b) an interest or other rights of the corporation in a unit trust, joint venture or partnership where the interest or other rights of the corporation in connection with the unit trust, joint venture or partnership entitle the corporation to —
(i) control the composition of the governing body of the unit trust, joint venture or partnership;
(ii) cast, or control the casting of, more than one‑half of the maximum number of votes that might be cast at a general meeting of the unit trust, joint venture or partnership; or
(iii) control the business affairs of the unit trust, joint venture or partnership;
Treasurer means the Treasurer of the State.
Part 2 — Electricity Corporations
Division 1 — Establishment of corporations
4. Corporations established
(1) Each of the following is established as a body corporate with perpetual succession —
(a) the Electricity Generation Corporation;
(b) the Electricity Networks Corporation;
(c) the Electricity Retail Corporation; and
(d) the Regional Power Corporation.
(2) Proceedings may be taken by or against a corporation in its corporate name.
(3) A corporation may use, and operate under, one or more trading names approved by the Minister being —
(a) an abbreviation or adaptation of its corporate name; or
(b) a name other than its corporate name.
5. Corporations not agents of the State
A corporation is not an agent of the State and does not have the status, immunities and privileges of the State.
6. Corporations and officers not part of Public Service
(1) A corporation is not, and is not to become, a public sector body under the Public Sector Management Act 1994.
(2) Neither —
(a) the chief executive officer; nor
(b) any member of staff,
of a corporation is to be included in the Senior Executive Service provided for by the Public Sector Management Act 1994.
7. Head office of Regional Power Corporation
The head office of the Regional Power Corporation is to be located in a part of the State that is not served by the South West interconnected system.
Division 2 — Boards of directors
8. Boards of directors
(1) A corporation is to have a board of directors comprising not less than 4, nor more than 6, persons appointed by the Governor on the nomination of the Minister.
(2) The chief executive officer of a corporation may be a director of the corporation.
(3) A member of staff of a corporation is not to be a director of the corporation.
(4) In making nominations for appointment to the board of a corporation the Minister is to ensure that —
(a) each nomination is made only after consultation with the board; and
(b) in the case of an appointment to the board of the Regional Power Corporation, a nominee is a person ordinarily resident in a part of the State that is not served by the South West interconnected system so far as is necessary for the majority of the directors of the corporation, at the time of the appointment, to be persons so resident.
(5) Where a vacancy occurs in the membership of a board, the board may recommend a candidate to the Minister.
(6) Subsection (4)(a) does not apply —
(a) to the initial appointments to a board; or
(b) where the nominee was recommended by a board under subsection (5).
9. Role of boards
The board of a corporation —
(a) is its governing body; and
(b) in the name of the corporation and subject to this Act, is to perform the functions, determine the policies and control the affairs of the corporation.
10. Provisions about the constitution and proceedings of boards
Schedule 1 has effect with respect to the directors and the board of a corporation.
11. Remuneration
(1) A non‑executive director of a corporation is to be paid out of the funds of the corporation such remuneration and allowances as are determined by the Minister in the case of that corporation and that director.
(2) Remuneration is not to be paid to a non‑executive director who holds a full‑time office or position that is remunerated out of moneys appropriated by Parliament.
12. Conflict of duties
(1) In subsection (2) —
public service officer means a person who is employed in the Public Service under the Public Sector Management Act 1994 Part 3.
(2) If a public service officer is a director —
(a) his or her duties as a director are to prevail if a conflict arises between those duties and his or her other duties as a public service officer; and
(b) he or she does not have any immunity of the State in respect of the duties and liabilities imposed on directors by this Act.
13. Committees
(1) The board of a corporation may —
(a) appoint committees of such directors of the corporation as it thinks fit; and
(b) discharge, alter or reconstitute any committee.
(2) A committee is to comply with any direction or requirement of the board by which it was appointed.
(3) A committee may invite any person, including a member of staff of the corporation concerned, to participate in a meeting of the committee but such a person cannot vote on any resolution.
(4) Subject to subsection (2), a committee may determine its own procedures.
Division 3 — Staff
Subdivision 1 — Chief executive officer
14. Appointment
(1) A corporation is to have a chief executive officer.
(2) The powers —
(a) to appoint and remove the chief executive officer of a corporation; and
(b) to fix and alter his or her terms and conditions of service,
are vested in the board of the corporation.
(3) Despite subsection (2), the Minister is to appoint the initial chief executive officer of a corporation.
(4) It is a condition of service of the chief executive officer of the Regional Power Corporation that, while he or she holds office, his or her ordinary place of residence is to be in or near the town where the head office of that corporation is located.
(5) The board is to obtain the concurrence of the Minister before it exercises any of the powers conferred by subsection (2).
15. Role of chief executive officer
Subject to the control of the board, the chief executive officer of a corporation is responsible for, and has the powers needed to administer, the day to day operations of the corporation.
16. Resignation
(1) The chief executive officer of a corporation may resign from office by giving notice in writing to the board of the corporation.
(2) If the chief executive officer’s terms and conditions of service deal with the matter of resignation, the right to resign under subsection (1) can only be exercised in accordance with those terms and conditions.
17. Acting appointments
The board of a corporation may appoint a person to act in place of the chief executive officer of the corporation —
(a) during a vacancy in that office; or
(b) during any period when the chief executive officer is on leave or otherwise unable to carry out his or her duties or is absent from the State.
Subdivision 2 — Other staff
18. Powers in relation to staff
(1) The power to engage and manage the staff of a corporation is vested in its board.
(2) The power conferred by subsection (1) —
(a) includes powers to determine remuneration and other terms and conditions of service and to remove, suspend and discipline staff; and
(b) does not preclude the delegation of any matter under section 71.
(3) The remuneration of a member of staff and other terms and conditions of employment are to be such that the overall entitlements do not, on balance, disadvantage the person in comparison to the entitlements he or she would have under —
(a) an applicable award, order or agreement under the Industrial Relations Act 1979; or
(b) the Minimum Conditions of Employment Act 1993.
(4) Nothing in this Act, other than section 19(2), affects the operation of the Industrial Relations Act 1979 Part VID.
19. Certain industrial matters excluded from employment agreements
(1) There are excluded from the operation of the Industrial Relations Act 1979 Part II Division 2B —
(a) any matters dealt with by an instrument issued under section 21 except —
(i) rates of remuneration;
(ii) leave;
(iii) hours of duty; and
(iv) matters that are similar to matters prescribed for the purposes of the Public Sector Management Act 1994 section 99(1)(a)(iv);
and
(b) matters concerning the management of the staff that are similar to matters prescribed for the purposes of the Public Sector Management Act 1994 section 99(1)(c).
(2) A matter referred to in subsection (1) cannot be varied or affected by an employer‑employee agreement made under the Industrial Relations Act 1979 Part VID.
20. Designation of executive officers
For the purposes of section 29, the board of a corporation may designate a member of the staff of the corporation as an executive officer by resolution —
(a) passed by the board; and
(b) notified in writing to the employee,
and may in the same manner revoke such a designation.
Subdivision 3 — Minimum standards for staff management
21. Standards to be set out in instrument
(1) The board of a corporation must, after consultation with the Commissioner for Public Sector Standards, prepare and issue an instrument setting out minimum standards of merit, equity and probity applicable to the management of the staff of the corporation.
(2) In subsection (1) —
management includes recruitment, selection, appointment, transfer, secondment, performance management, redeployment, discipline and termination of employment.
(3) In complying with subsection (1) a board is to have regard to the principles set out in the Public Sector Management Act 1994 section 8.
(4) Section 14(5) is not affected by the requirements of subsection (3).
(5) The Commissioner for Public Sector Standards may at any time recommend to a board any amendment that he or she thinks should be made to an instrument issued under this section.
(6) A board may —
(a) amend an instrument issued under this section; or
(b) revoke it and substitute a new instrument,
but, except where subsection (5) applies, is to do so only after consultation with the Commissioner for Public Sector Standards.
22. Reports to Commissioner for Public Sector Standards
(1) The Commissioner for Public Sector Standards may in writing require a board —
(a) to report to him or her on the observance of the minimum standards in force under section 21; and
(b) to make the reports at such times, but not more often than half‑yearly, as the Commissioner may specify.
(2) A board must comply with a requirement made under subsection (1).
(3) The Commissioner for Public Sector Standards may at any time report to the Minister on the content or observance of the minimum standards in force under section 21.
Subdivision 4 — Joint policy on staff transfers
23. Corporations to have joint policy approved by Minister
(1) The corporations must have, and comply with, a joint policy on staff transfers that has been approved or determined by the Minister under this section.
(2) The purpose of the joint policy referred to in subsection (1) is to ensure that members of staff of the corporations and of their subsidiaries have the opportunity to transfer between the corporations and their subsidiaries —
(a) for temporary or permanent employment;
(b) on secondment or temporary deployment; or
(c) for training,
without loss of entitlements.
(3) Within 2 months after the commencement of this section, the corporations must jointly prepare a draft policy statement for the purposes of subsection (1) and submit it to the Minister.
(4) The Minister may —
(a) approve a draft policy statement submitted under subsection (3); or
(b) request that it be amended and approve it in an amended form.
(5) If a policy statement has not been approved by the Minister within a period that he or she considers reasonable and notifies to the corporations, the Minister may determine the contents of the policy statement.
24. Amendment of policy statement
(1) With the approval of the Minister, the corporations may jointly —
(a) amend a policy statement for the time being in force under section 23; or
(b) revoke it and replace it with another policy statement.
(2) The Minister may, in writing, direct the corporations —
(a) to amend a policy statement for the time being in force under section 23 in a specified way; or
(b) to revoke it and replace it with another policy statement containing specified provisions,
and the corporations are to comply with any such direction.
25. Consultation with staff
A corporation must —
(a) in preparing the draft policy statement under section 23(3); and
(b) before agreeing to make any amendment or replacement under section 24(1),
consult the members of its staff and the staff of its subsidiaries by making the draft statement, amendment or replacement, as the case may be, available for their comment.
Subdivision 5 — General
26. Superannuation
(1) In this section —
members of staff includes —
(a) a chief executive officer;
(b) dependants of members of staff; and
(c) former members of staff and their dependants.
(2) A corporation may grant, or make provision for the grant of, retirement benefits to members of staff of the corporation and, for that purpose may —
(a) establish, manage and control; or
(b) enter into an arrangement with any body for the establishment, management and control by such body either alone or jointly with the corporation of,
any fund or scheme for the purpose of providing for such retirement benefits.
(3) The corporation concerned may make contributions to any fund or scheme referred to in subsection (2).
(4) Subsections (2) and (3) have effect subject to the State Superannuation Act 2000 section 30.
(5) Nothing in this section affects the operation of the State Superannuation Act 2000 in relation to a corporation or any member of staff.
Division 4 — Duties of, and relating to, directors and staff
27. Duties of, and relating to, directors
Schedule 2 has effect in relation to —
(a) the duties of directors;
(b) the duties of a corporation in respect of directors and related persons; and
(c) the other matters provided for in that Schedule.
28. Chief executive officer, duties imposed
(1) Schedule 2 clauses 2 to 11, 15 and 16 apply to the chief executive officer of a corporation in his or her capacity as such in addition, if he or she is a director of the corporation, to their application to him or her in that capacity.
(2) Schedule 2 clauses 4 and 7 to 11 apply to a former chief executive officer in his or her capacity as such in addition, if he or she was a director of the corporation, to their application to him or her in the capacity of former director.
(3) This section and section 27 do not operate so as to make a chief executive officer or a former chief executive officer liable to be punished twice for the same act or omission.
29. Executive officers, duties imposed
(1) Schedule 2 clauses 2 to 5, 7 to 11, 15 and 16 apply to an executive officer as if references to a director were replaced by references to an executive officer.
(2) Schedule 2 clauses 4 and 7 to 11 apply to a former executive officer as if references to a former director were replaced by references to a former executive officer.
30. Members of staff, duties imposed
(1) Schedule 2 clauses 4, 5 and 7 to 11 apply to any person engaged under section 18, other than an executive officer, as if references to a director were replaced by references to a person so engaged.
(2) Schedule 2 clauses 4 and 7 to 11 apply to a person formerly engaged under section 18, other than an executive officer, as if references to a former director were replaced by references to a person formerly so engaged.
31. Codes of conduct
(1) In this section and in sections 32 and 33 —
members of staff includes a chief executive officer.
(2) The board of a corporation must, after consultation with the Commissioner for Public Sector Standards, prepare and issue a code or codes of conduct setting out minimum standards of conduct and integrity to be observed by members of staff of the corporation.
(3) In complying with subsection (2) a board is to have regard to the principles set out in the Public Sector Management Act 1994 section 9.
(4) A board may, after consultation with the Commissioner for Public Sector Standards, amend any code of conduct in force under subsection (2) or revoke it and substitute a new code of conduct.
32. Reports to Commissioner for Public Sector Standards
(1) The Commissioner for Public Sector Standards may in writing require the board of a corporation —
(a) to report to him or her on the observance of any code of conduct in force under section 31 by members of staff of the corporation; and
(b) to make the reports at such times, but not more often than half‑yearly, as the Commissioner may specify.
(2) A board must comply with a requirement made under subsection (1).
(3) The Commissioner for Public Sector Standards may at any time report to the Minister on any matter that the Commissioner thinks should be brought to the Minister’s attention relating to the observance by members of staff of a corporation of a code of conduct in force under section 31.
33. Reports to Minister
(1) The board of a corporation, when it delivers to the Minister its annual report under section 107, must also deliver to the Minister a separate report on the observance of any code of conduct in force under section 31 by members of staff of the corporation.
(2) A board must give to the Commissioner for Public Sector Standards a copy of each report under subsection (1).
Part 3 — Functions and powers of corporations
Division 1 — Functions, powers and related provisions
Subdivision 1 — Preliminary
34. Terms used in this Division
(1) In this Division —
acquire, in relation to electricity or gas, includes acquire by way of exchange;
ancillary services means services that are necessary or expedient for the security or reliability of an electricity system;
energy efficient technologies means technologies, including but not limited to operating software, designed to improve the efficiency of electricity generation plant and equipment;
renewable sources means sources of energy that are replaced rapidly by natural processes, including sunlight, wind, biomass, water in motion and geothermal activity;
telecommunication services means services for carrying communications by one or more of the following means —
(a) guided electromagnetic energy;
(b) unguided electromagnetic energy;
(c) optical signals;
(d) other similar means.
(2) References in this Division to the performance of a corporation’s functions being limited to the South West interconnected system are —
(a) in the case of a function relating to electricity, references to performing the function for the purposes of that system or customers served by that system;
(b) in the case of the functions of —
(i) supplying gas or steam; or
(ii) providing telecommunication services,
references to performing those functions within the area served by that system.
Subdivision 2 — Electricity Generation Corporation
35. Principal functions
The functions of the Electricity Generation Corporation (in this Subdivision called the corporation) are, subject to this Subdivision —
(a) to generate, purchase or otherwise acquire, and supply electricity from sources of energy including renewable sources;
(b) to acquire, transport and supply —
(i) gas; and
(ii) steam;
(c) to acquire, develop, operate and supply energy efficient technologies;
(d) to provide ancillary services;
(e) by agreement with the Regional Power Corporation —
(i) to provide consultative and advisory services to that corporation in relation to electricity generation; and
(ii) to operate and maintain any electricity generation plant or equipment on behalf of that corporation;
and
(f) to undertake, maintain and operate any works, system, facilities, apparatus or equipment required for any purpose mentioned in this section.
36. Other functions
It is also a function of the corporation —
(a) in addition to its function under section 35(e)(i), to use its expertise and resources to provide consultative, advisory or other services for profit;
(b) to develop and turn to account any technology, software or other intellectual property that relates to a function under section 35;
(c) to manufacture and market any product that relates to a function under section 35 or paragraph (b);
(d) to use or exploit for profit the fixed assets it has for the purpose of performing a function under section 35 so long as the proper performance of the function is not affected;
(e) to do anything that the corporation determines to be conducive or incidental to the performance of a function under section 35 or this section; or
(f) to do anything that it is authorised to do by any other written law.
37. Restriction on area in which corporation may operate
(1) Within the State the performance of the corporation’s functions under section 35 is limited to the South West interconnected system.
(2) Subsection (1) does not apply to the performance of the corporation’s functions under section 35(a) so far as the performance involves only —
(a) the generation and supply of electricity from renewable sources; or
(b) the purchase or other acquisition and supply of electricity so generated.
(3) Subsection (1) does not apply to the performance of the corporation’s functions under subparagraph (ii) of section 35(e), but the functions under that subparagraph do not authorise the corporation to own or control any electricity generation plant or equipment.
(4) If —
(a) the sources of energy used to generate electricity are a combination of renewable sources and diesel or renewable sources and gas; and
(b) the renewable sources comprise a substantial proportion of those sources of energy,
then for the purposes of subsection (2) the electricity is taken to be generated from renewable sources.
[Section 37 amended by No. 8 of 2009 s. 50(2).]
38. Restriction on sale of electricity to consumers
(1) Except as may be authorised under subsection (3), the corporation, or a subsidiary, must not, until after the expiry of the designated period, supply electricity to a person under section 35(a) for the person’s own consumption.
(2) For the purposes of subsection (1) —
the designated period is —
(a) the period of 7 years; or
(b) if an order is made under section 40, the period of 10 years,
after the commencement of this section.
(3) The Minister may, by order published in the Gazette —
(a) authorise the corporation in the performance of its functions under section 35(a) to supply electricity to specified customers or any specified class of customers during the designated period; and
(b) amend or revoke an order made under paragraph (a).
39. Review of restriction
(1) The Minister is to review the operation of section 38(1) before the expiry of 5 years from the commencement of this section.
(2) The purpose of the review is to determine the effect that the operation of section 38(1) has had, and is likely to have, on the encouragement of competition in the generation, retail and wholesale electricity markets.
(3) Before the Minister carries out the review he or she must obtain, and take into account, the views of the Economic Regulation Authority on the matters mentioned in subsection (2).
40. Extension of designated period
(1) The Minister may by order made —
(a) after completion of the review required by section 39; and
(b) before the expiry of the period of 7 years after the commencement of this section,
declare that the designated period is extended to 10 years after that commencement.
(2) The Interpretation Act 1984 sections 41 and 42 apply to an order under subsection (1) as if it were a regulation.
Subdivision 3 — Electricity Networks Corporation
41. Principal functions
The functions of the Electricity Networks Corporation (in this Subdivision called the corporation) are —
(a) to manage, plan, develop, expand, enhance, improve and reinforce electricity transmission and distribution systems and provide and improve electricity transmission and distribution services;
(b) to do anything that it is authorised or required to do by the Electricity Industry Act 2004 Part 8 (which relates to network access) and regulations and Code made under that Part;
(c) to do anything that it is authorised or required to do by the Electricity Industry Act 2004 Part 9 (which relates to the wholesale electricity market) and regulations and market rules made under that Part;
(d) to provide services that improve the efficiency of electricity supply and the management of demand on electricity transmission and distribution systems;
(e) to provide ancillary services;
(f) by agreement with the Regional Power Corporation, to operate and maintain electricity transmission and distribution systems on behalf of that corporation;
(g) by agreement with the Electricity Generation Corporation, the Electricity Retail Corporation and the Regional Power Corporation, to provide procurement, financial and commercial services to those corporations;
(h) to provide telecommunication services; and
(i) to undertake, maintain and operate any works, system, facilities, apparatus or equipment required for any purpose mentioned in this section.
42. Other functions
It is also a function of the corporation —
(a) in addition to its functions under section 41(f) and (g), to use its expertise and resources, other than those relating to the functions referred to in section 41(c), to provide consultative, advisory or other services for profit;
(b) to develop and turn to account any technology, software or other intellectual property that relates to a function under section 41(a) or (d) to (i);
(c) to manufacture and market any product that relates to a function —
(i) under section 41(a) or (d) to (i); or
(ii) under paragraph (b) of this section;
(d) to use or exploit for profit the fixed assets it has for the purpose of performing a function under section 41(a) or (d) to (i) so long as the proper performance of the function is not affected;
(e) to do anything that the corporation determines to be conducive or incidental to the performance of a function under section 41 or this section; or
(f) to do anything that it is authorised to do by any other written law.
43. Restriction on area in which corporation may operate
(1) Within the State the performance of the corporation’s functions under section 41 is limited to the South West interconnected system.
(2) Subsection (1) does not apply to the performance of the corporation’s functions under section 41(f) and (g), but the functions under section 41(f) or (i) do not authorise the corporation to own or control any electricity transmission or distribution system.
Subdivision 4 — Electricity Retail Corporation
44. Principal functions
The functions of the Electricity Retail Corporation (in this Subdivision called the corporation) are —
(a) to supply electricity to consumers and services which improve the efficiency of electricity supply and the management of demand;
(b) to purchase or otherwise acquire electricity for the purposes of paragraph (a);
(c) to generate electricity, but only after the expiry of the designated period under section 47;
(d) to provide ancillary services;
(e) by agreement with the Regional Power Corporation, to provide retail support services to that corporation;
(f) to acquire gas and supply it to consumers;
(g) to provide telecommunication services; and
(h) to undertake, maintain and operate any works, system, facilities, apparatus or equipment required for any purpose mentioned in paragraph (a), (c), (e) or (g).
45. Other functions
It is also a function of the corporation —
(a) in addition to its function under section 44(e), to use its expertise and resources to provide consultative, advisory or other services for profit;
(b) to develop and turn to account any technology, software or other intellectual property that relates to a function under section 44;
(c) to manufacture and market any product that relates to a function under section 44 or paragraph (b);
(d) to use or exploit for profit the fixed assets it has for the purpose of performing a function under section 44 so long as the proper performance of the function is not affected;
(e) to do anything that the corporation determines to be conducive or incidental to the performance of a function under section 44 or this section; or
(f) to do anything that it is authorised to do by any other written law.
46. Restriction on area in which corporation may operate
(1) Within the State the performance of the corporation’s functions under section 44 is limited to the South West interconnected system.
(2) Subsection (1) does not apply to the performance of the corporation’s functions under section 44(e).
47. Prohibition on generation of electricity for a designated period
(1) The corporation, or a subsidiary of the corporation, must not generate electricity until after the expiry of the designated period.
(2) For the purposes of subsection (1) —
the designated period is —
(a) the period of 7 years; or
(b) if an order is made under section 49, the period of 10 years,
after the commencement of this section.
48. Review of prohibition
(1) The Minister is to review the operation of section 47 before the expiry of 5 years from the commencement of this section.
(2) The purpose of the review is to determine the effect that the operation of section 47 has had, and is likely to have, on the encouragement of competition in the generation, retail and wholesale electricity markets.
(3) Before the Minister carries out the review he or she must obtain, and take into account, the views of the Economic Regulation Authority on the matters mentioned in subsection (2).
49. Extension of designated period
(1) The Minister may by order made —
(a) after completion of the review required by section 48; and
(b) before the expiry of the period of 7 years after the commencement of this section,
declare that the designated period is extended to 10 years after that commencement.
(2) The Interpretation Act 1984 sections 41 and 42 apply to an order under subsection (1) as if it were a regulation.
Subdivision 5 — Regional Power Corporation
50. Principal functions
The functions of the Regional Power Corporation (in this Subdivision called the corporation) are —
(a) to generate, purchase or otherwise acquire electricity from sources of energy including renewable sources;
(b) to manage, plan, develop, expand, enhance, improve and reinforce electricity transmission and distribution systems and provide and improve electricity transmission and distribution services;
(c) to do anything that it is authorised or required to do by the Electricity Industry Act 2004 Part 8 (which relates to network access) and regulations and Code made under that Part;
(d) to supply electricity to consumers and services which improve the efficiency of electricity supply and the management of demand and which, so far as is practicable, are comparable to services provided by the Electricity Retail Corporation in the performance of its functions under section 44(a);
(e) to acquire, transport and supply —
(i) gas; and
(ii) steam;
(f) to acquire, develop, operate and supply energy efficient technologies;
(g) to provide ancillary services;
(h) by agreement with the Electricity Generation Corporation, to operate and maintain any electricity generation plant or equipment on behalf of that corporation;
(i) to provide telecommunication services; and
(j) to undertake, maintain and operate any works, system, facilities, apparatus or equipment required for any purpose mentioned in this section.
51. Other functions
It is also a function of the corporation —
(a) to use its expertise and resources to provide consultative, advisory or other services for profit;
(b) to develop and turn to account any technology, software or other intellectual property that relates to a function under section 50 other than the function under section 50(c);
(c) to manufacture and market any product that relates to a function under section 50 or paragraph (b);
(d) to use or exploit for profit the fixed assets it has for the purpose of performing a function under section 50, other than the function under section 50(c), so long as the proper performance of the function is not affected;
(e) to do anything that the corporation determines to be conducive or incidental to the performance of a function under section 50 or this section; or
(f) to do anything that it is authorised to do by any other written law.
52. Restriction on area in which corporation may operate
(1) Within the State the performance of the corporation’s functions under section 50(a) to (g) and (i) and (j) relating to electricity is limited to electricity systems in those parts of the State (the area of operations) that are not served by the South West interconnected system.
(2) Within the State the performance of the corporation’s functions of —
(a) supplying gas or steam; or
(b) providing telecommunication services,
is limited to supply or provision within the area of operations.
Subdivision 6 — Special function in respect of certain assets and liabilities
53. Administration under delegated power
(1) In this section —
unallocated asset or liability means an asset, right or liability that, under section 169 is to be dealt with by the Minister.
(2) Regulations may be made —
(a) declaring —
(i) any specified unallocated asset or liability; or
(ii) any specified group of such assets or liabilities,
to be an asset or liability or group to which this section applies (the declared matters); and
(b) designating a corporation to act in respect of the declared matters.
(3) If regulations are in force designating a corporation to act in respect of declared matters —
(a) the Minister may, in writing, delegate his or her powers or duties under section 166 in respect of those matters to that corporation; and
(b) it is a function of the corporation to exercise the powers or duties so delegated.
(4) A corporation exercising or performing a power or duty that has been delegated to it under this section is to be taken to do so in accordance with the terms of the delegation, unless the contrary is shown.
(5) A corporation may exercise or perform a power or duty that has been delegated to it under this section through an officer or agent.
(6) The regulations may prescribe provisions of this Act that —
(a) do not apply; or
(b) apply with specified modifications, other than in relation to quality and reliability of supply,
to the declared matters or the exercise of the powers or duties under this section.
(7) Regulations referred to in subsection (6) cannot limit or otherwise affect community service obligations, as defined in section 99(1), to be performed by a corporation under this Act.
Subdivision 7 — Use of distribution systems for the retail supply of electricity
54. Electricity Networks Corporation and Regional Power Corporation not to supply services for certain purposes
(1) In this section —
customer, distribution licence and integrated regional licence have the meanings given to those terms in the Electricity Industry Act 2004 section 3;
prescribed customer means a customer of a class prescribed by order under subsection (4);
services has the meaning given to that term in the Electricity Industry Act 2004 section 103.
(2) A distribution licence does not authorise the Electricity Networks Corporation, or a subsidiary of that corporation, to supply services for the purpose of the supply of electricity to a prescribed customer by a person other than the Electricity Retail Corporation or a subsidiary of the Electricity Retail Corporation.
(3) A distribution licence or an integrated regional licence does not authorise the Regional Power Corporation, or a subsidiary of that corporation, to supply services for the purpose of the supply of electricity to a prescribed customer by a person other than that corporation or a subsidiary of that corporation.
(4) The Minister may, by order published in the Gazette —
(a) declare a class of customers to be prescribed customers for the purposes of subsection (2) or (3); and
(b) amend or revoke an order made under paragraph (a).
(5) Without limiting subsection (4)(a), a class of customers may be declared by reference to —
(a) the amount of electricity that has been consumed by a customer within a specified period; or
(b) an estimate made by a specified person or a person of a specified class of the amount of electricity that will be consumed by a customer within a specified period.
(6) In subsection (5) —
specified means specified in the order.
(7) An order under subsection (4) cannot come into operation before the Electricity Transmission and Distribution Systems (Access) Act 1994 section 91 and Schedule 6 clause 2(1) have ceased to have effect.
(8) Subsections (2) and (3) have effect despite the Electricity Industry Act 2004 Part 8.
55. Review as to introduction of further retail competition
(1) The Minister is to cause a review to be undertaken of the operation of section 54 and any orders under section 54(4) as soon as practicable after the end of the period of 3 years beginning on the coming into operation of this section.
(2) The purpose of the review is to consider whether or not further competition (including full competition) in the retail supply of electricity should be introduced by amending or revoking any order under section 54(4) that is then in operation.
(3) As soon as practicable after the review is completed, the Minister is to cause a report based on the review to be laid before each House of Parliament.
Subdivision 8 — Provisions applying to functions of all corporations
56. Corporations may act at their discretion
The fact that a corporation has a function given to it by this Act does not impose a duty on it to do any particular thing and, subject to —
(a) this Act; and
(b) any direction given to the corporation under this Act,
it has a discretion as to how and when it performs the function.
57. Where corporation may operate
A corporation may perform any of its functions —
(a) outside the State; and
(b) except as provided in this Division, in any area of the State.
58. Corporation to act in accordance with policy instruments
A corporation must perform its functions in accordance with its strategic development plan and its statement of corporate intent as existing from time to time.
59. Powers
(1) In subsection (3)(g) —
business arrangement means a company, a partnership, a trust, a joint venture, or an arrangement for sharing profits;
participate includes form, promote, establish, enter, manage, dissolve, wind up, and do anything incidental to participating in a business arrangement.
(2) A corporation has all the powers it needs to perform its functions under this Act or any other written law.
(3) A corporation may for the purpose of performing any function —
(a) acquire, hold, manage, improve, develop and dispose of any real or personal property;
(b) enter into any contract or arrangement;
(c) apply for the grant or transfer of any mining tenement, petroleum licence or other licence or authority to the corporation;
(d) acquire, establish and operate —
(i) any undertaking (including any necessary tenements and licences) for the production, recovery, conversion, processing or transport of any fuel or source of energy; and
(ii) any associated undertaking;
(e) produce and deal in —
(i) any by‑product resulting from; or
(ii) any equipment, facilities or system associated with,
the performance of any function of the corporation;
(f) appoint agents or engage persons under contracts for services to provide professional, technical or other assistance to the corporation;
(g) subject to sections 64 and 68, participate in any business arrangement and acquire, hold and dispose of shares, units or other interests in, or relating to, a business arrangement;
(h) carry out any investigation, survey, exploration or boring;
(i) collaborate in, carry out, or procure the carrying out of, research and publish information that results from the research;
(j) for the purposes of section 36(b), 42(b), 45(b) or 51(b), as the case may be, apply for, hold, exploit and dispose of any patent, patent rights, copyright or similar rights; and
(k) promote and market the corporation and its activities.
(4) A corporation may —
(a) make gifts for charitable purposes or for other purposes of benefit to the community or a section of the community;
(b) undertake community service obligations within the meaning in section 99(1);
(c) make any ex gratia payment that the board considers to be in the corporation’s interest; and
(d) accept any gift, devise or bequest if it is absolute, or subject to conditions that are within the functions of the corporation.
(5) Subsection (3) or (4) does not limit subsection (2) or the other powers of a corporation under this Act or any other written law.
(6) If the generality of a power conferred on a corporation by this Act is restricted by a provision of the Energy Operators (Powers) Act 1979 that restriction applies, despite this Act.
60. Certain works exempt from planning laws
(1) In this section —
corporation means each of —
(a) the Electricity Networks Corporation; and
(b) the Regional Power Corporation;
electricity distribution system and electricity transmission system have the meanings given to those terms in the Electricity Transmission and Distribution Systems (Access) Act 1994 section 89.
(2) This section applies to the carrying out by a corporation of works for the extension, expansion or enhancement of an electricity distribution system or an electricity transmission system.
(3) Despite the Planning and Development Act 2005 sections 221 and 218, a corporation is not required to comply with the provisions of —
(a) an interim development order; or
(b) a local planning scheme,
in force under that Act in carrying out the works referred to in subsection (2).
(4) However, a corporation —
(a) is to carry out the works, so far as is reasonably practicable —
(i) in keeping with the design and intent of; and
(ii) so as not to destroy the amenity of,
any relevant scheme or order referred to in subsection (3); and
(b) is to consult with the responsible authority at the time when a proposal for any works referred to in subsection (2) is being formulated to ensure that paragraph (a) will be complied with.
(5) A corporation is to give the Minister and the Minister responsible for the administration of the Planning and Development Act 2005 written notice of a proposal to carry out works referred to in subsection (2) if those works will not comply with the provisions of an order or scheme referred to in subsection (3).
(6) A corporation is to include in its annual report under section 107 details of any works carried out by the corporation during the relevant financial year that did not comply with the provisions of an order or scheme referred to in subsection (3).
[Section 60 amended by No. 38 of 2005 s. 15.]
61. Corporation to act on commercial principles
(1) A corporation in performing its functions must —
(a) act in accordance with prudent commercial principles; and
(b) endeavour to make a profit, consistently with maximising its long term value.
(2) In respect of the function of the Electricity Networks Corporation referred to in section 41(c) —
(a) subsection (1) does not apply; and
(b) the corporation is required to ensure, so far as is practicable, that the reasonable cost of performing the function does not exceed its revenue from doing so.
(3) If there is any conflict or inconsistency between the duty imposed by subsection (1) and —
(a) a direction given under this Act; or
(b) any provision in the Electricity Transmission and Distribution Systems (Access) Act 1994 Schedule 5 or 6,
the direction, or provision of that Schedule, prevails.
62. Segregation of functions of corporations
(1) Regulations may be made —
(a) prescribing segments into which the functions or operations of a corporation are to be divided; and
(b) providing for, and in relation to —
(i) the segregation of any segment so prescribed in respect of a corporation from the other functions or operations of the corporation; or
(ii) the segregation from a corporation of any subsidiary of the corporation that has any functions or operations of a specified kind.
(2) Regulations referred to in subsection (1) may make provision for, or in relation to —
(a) the keeping of accounts and records;
(b) financial reporting;
(c) the apportionment of income, expenditure, assets and liabilities;
(d) the protection of information;
(e) the conduct of officers of a corporation; and
(f) controls and procedures, and the conferral of functions on a specified person, to ensure that any required segregation is effective.
63. Interruption or restriction of supply
(1) A corporation may interrupt, suspend or restrict the generation, transport or supply of electricity if in its opinion it is necessary to do so because of an accident, emergency, potential danger or other unavoidable cause.
(2) Subsection (1) does not apply if the Electricity Industry Act 2004 section 31(1) applies to the activity that is interrupted, suspended or restricted.
(3) A corporation is not liable for any loss or damage which arises from any such interruption, suspension or restriction except to the extent that an agreement to which the corporation is a party provides otherwise.
(4) This section is in addition to the provisions of —
(a) the Energy Operators (Powers) Act 1979 sections 48, 57 and 58; and
(b) regulations made under the Electricity Industry Act 2004 section 124,
and does not limit those provisions.
(5) This section has effect despite any provision of the Electricity Transmission and Distribution Systems (Access) Act 1994 Schedule 5 or 6.
64. Acquisition of subsidiary
(1) A corporation must obtain the approval of the Minister before it —
(a) forms or acquires a subsidiary; or
(b) enters into any transaction that will result in the formation or acquisition of a subsidiary.
(2) The Minister is not to give approval under subsection (1) except with the Treasurer’s concurrence.
65. Control of subsidiary
(1) A corporation must ensure that the constitution of every subsidiary of the corporation that under a written law or the Corporations Act is required to have a constitution —
(a) contains provisions to the effect of those required by Schedule 3;
(b) is consistent with this Act; and
(c) is not amended in a way that is inconsistent with this Act.
(2) A corporation must, to the maximum extent practicable, ensure that every subsidiary of the corporation complies with its constitution and with this Act.
(3) A director, the chief executive officer or a member of staff of a corporation may with the approval of the board of the corporation become —
(a) a member of the committee of an incorporated association; or
(b) a director of a company,
that is or is to be a subsidiary of the corporation and may represent the interests of the corporation on that committee or the board of directors of that company.
(4) The provisions of this Act prevail to the extent of any inconsistency with the constitution of any subsidiary of a corporation.
66. Corporations Act, effect of section 65
(1) Neither —
(a) section 65(1) or (2); nor
(b) provisions referred to in section 65(1)(a) included in the constitution of a subsidiary,
make a corporation or the Minister a director of a subsidiary for the purposes of the Corporations Act.
(2) The following provisions are declared to be Corporations legislation displacement provisions for the purposes of the Corporations Act section 5G in relation to the Corporations legislation as defined in the Corporations Act section 9 —
(a) section 65;
(b) subsection (1);
(c) Schedule 3.
67. Disposals that require a Ministerial order
(1) In this section —
dispose of means enter into any arrangement or series of arrangements that results in a corporation ceasing to have at least 75% of the beneficial interest in a significant asset;
significant asset means any property of a corporation (including any contract, shares in a company or interest in a joint venture) that has a value exceeding the greater of —
(a) the sum equal to 5% of the written down value of the corporation’s consolidated fixed assets and investments, as appearing in its last audited accounts; or
(b) the sum of $100 million.
(2) A corporation must not dispose of a significant asset except under and in accordance with an order (a disposal order) made by the Minister under this section.
(3) A corporation that intends to dispose of a significant asset must consult with the Minister before undertaking the disposal.
(4) The Minister may make a disposal order —
(a) authorising a corporation to dispose of a significant asset and to do so on such terms and conditions as may be specified in the order; and
(b) if the Minister thinks fit, prescribing the process to be followed by the corporation in undertaking the disposal.
(5) The Interpretation Act 1984 sections 41, 42, 43 and 44 apply to a disposal order as if it were a regulation.
68. Other transactions that require Ministerial approval
(1) In this section and section 69 —
transaction —
(a) includes a contract or other arrangement or any exercise of the power conferred by section 59(3)(g); but
(b) does not include —
(i) a disposal to which section 67 applies; or
(ii) any transaction under section 127 or 129.
(2) Despite anything in this Part, a corporation must obtain the approval of the Minister before a transaction to which this section applies is entered into.
(3) This section applies to a transaction if —
(a) it is to be entered into by a corporation or a subsidiary of the corporation;
(b) it is not exempt under section 69; and
(c) the corporation’s liability exceeds the prescribed amount.
(4) For the purposes of subsection (3)(c) a corporation’s liability is —
(a) the amount or value of the consideration; or
(b) the amount to be paid or received by the corporation or a subsidiary,
ascertained as at the time when the transaction is entered into.
(5) The prescribed amount in relation to a corporation is the greater of —
(a) the sum equal to 1% of the written down value of the consolidated fixed assets and investments of the corporation, as appearing in its last audited accounts; or
(b) the sum of $20 million.
69. Exemptions from section 68
(1) The Minister may by order exempt a transaction or class of transaction from the operation of section 68 either unconditionally or on specified conditions.
(2) An order under subsection (1) may be revoked or amended by the Minister.
(3) An order under subsection (1) or (2) is to show sufficient particulars of the transactions or class of transaction to which it relates to enable the transaction or class to be identified.
(4) The Minister must, within 14 days after an order under subsection (1) or (2) is made, cause a copy of it to be laid before each House of Parliament or dealt with in accordance with section 134.
70. Minister to be consulted on major initiatives
A corporation must consult the Minister before it enters upon a course of action that in its opinion —
(a) amounts to a major initiative; or
(b) is likely to be of significant public interest,
whether or not the course of action involves a transaction to which section 68 applies.
71. Delegation
(1) A corporation may delegate any power or duty of the corporation under —
(a) another provision of this Act; or
(b) another written law.
(2) A delegation under subsection (1) may be made to —
(a) a director or directors;
(b) a chief executive officer;
(c) a member or members of staff;
(d) a committee established under section 13; or
(e) any other person.
(3) The delegation must be in writing executed by the corporation.
(4) A person to whom a power or duty is delegated under this section cannot delegate that power or duty.
(5) A person exercising or performing a power or duty that has been delegated to the person under this section is to be taken to do so in accordance with the terms of the delegation, unless the contrary is shown.
(6) Nothing in this section limits the ability of a corporation to perform a function through an officer or agent.
Division 2 — Role of Economic Regulation Authority
72. Advisory function
It is a function of the Economic Regulation Authority (the Authority) to give advice for the purposes of sections 39(3) and 48(3) and to make any recommendation the Authority thinks fit.
73. Public consultation
(1) Before the Authority gives advice on a matter under section 72 it must seek public comment on the matter in accordance with subsection (2).
(2) The Authority must —
(a) cause a notice giving a general description of the matter to be —
(i) published in an issue of a daily newspaper circulating throughout the State; and
(ii) posted on an internet website maintained by the Authority;
and
(b) include in the notice the following information —
(i) a statement that written submissions on the matter may be made to the Authority by any person within a specified period; and
(ii) the address to which the submissions may be delivered or posted.
(3) The period specified under subsection (2)(b)(i) is not to be less than 30 days after the notice under subsection (2)(a) has been published.
(4) The Authority must have regard to any submission made in accordance with the notice.
74. Advice to be published
The Authority is to publish any advice given for the purposes of section 72 by either or both of the following means —
(a) by publishing the advice in a newspaper circulating throughout the State;
(b) by posting the advice on an internet website maintained by the Authority.
Division 3 — Arrangements authorised or approved by Governor
75. Governor may make certain regulations
(1) Regulations may be made authorising or approving any arrangement, act, matter or thing in relation to a corporation for the purposes of the Trade Practices Act 1974 of the Commonwealth and the Competition Code.
(2) Regulations referred to in subsection (1) may authorise or approve —
(a) any arrangement involving or relating to a corporation or any subsidiary or the performance by a corporation or any subsidiary of any of its functions;
(b) any act or thing done or proposed to be done in the State by a corporation or any subsidiary in the performance of its functions; or
(c) any other matter or thing necessary or convenient to facilitate or give effect to the authorisation or approval.
(3) For the purposes of this section —
(a) arrangement includes any contract, arrangement or understanding, or any market practice or market or customer restriction, division, allocation or segregation of any nature, or a course of conduct or dealing; and
(b) a reference to any act or thing done or proposed to be done includes a reference to an omission or proposed omission to do that act or thing.
Division 4 — Protection of persons dealing with a corporation
76. Person dealing with corporation may make assumptions
(1) A person having dealings with a corporation is entitled to make the assumptions mentioned in section 78.
(2) In any proceedings in relation to the dealings, any assertion by the corporation concerned that the matters that the person is entitled to assume were not correct must be disregarded.
77. Third party may make assumptions
(1) A person (the third party) having dealings with a person (the second party) who has acquired, or purports to have acquired, title to property from a corporation (whether directly or indirectly) is entitled to make the assumptions mentioned in section 78.
(2) In any proceedings in relation to the dealings, any assertion by the corporation concerned or the second party that the matters that the third party is entitled to assume were not correct must be disregarded.
78. Assumptions that may be made
The assumptions that a person is, because of section 76 or 77, entitled to make are —
(a) that, at all relevant times, this Act has been complied with;
(b) that a person who is held out by a corporation to be a director, the chief executive officer, an executive officer, a member of staff or an agent of a particular kind —
(i) has been properly appointed; and
(ii) has authority to perform the functions customarily performed by a director, the chief executive officer, an executive officer, a member of staff or an agent of that kind, as the case may require;
(c) that a member of staff or agent of a corporation who has authority to issue a document on behalf of a corporation has authority to warrant that the document is genuine;
(d) that a member of staff or agent of a corporation who has authority to issue a certified copy of a document on behalf of the corporation has authority to warrant that the copy is a true copy;
(e) that a document has been properly sealed by a corporation if —
(i) it bears what appears to be an imprint of the corporation’s seal; and
(ii) the sealing of the document appears to comply with section 135;
and
(f) that the directors, chief executive officer, members of staff and agents of a corporation have properly performed their duties to the corporation.
79. Exception to sections 76 and 77
(1) Despite sections 76 and 77, a person is not entitled to assume a matter mentioned in section 78 if —
(a) the person has actual knowledge that the assumption would be incorrect; or
(b) because of the person’s connection or relationship with the corporation concerned, the person ought to know that the assumption would be incorrect.
(2) If, because of subsection (1), a person is not entitled to make a particular assumption in relation to dealings with a corporation, section 76(2) does not apply to any assertion by the corporation in relation to the assumption.
(3) If, because of subsection (1), the third party is not entitled to make a particular assumption in relation to an acquisition or purported acquisition from a corporation of title to property, section 77(2) does not apply to any assertion by the corporation or the second party in relation to the assumption.
Part 4 — Operation of corporations, imposition of requirements
80. Meaning of terms used in this Part
In this Part —
corporation includes a subsidiary of a corporation;
prescribed contract means a contract referred to section 82(1);
specified means specified in a prescribed contract.
81. Object of this Part
The object of this Part is to confer on the Minister power to determine arrangements between the corporations in order to —
(a) encourage the development of competition in the generation, wholesaling and retailing of electricity; and
(b) establish the terms and conditions of the initial arrangements that are to have effect between them.
82. Minister may prescribe contracts
(1) The Minister may by order prescribe provisions that are to have effect as a contract between —
(a) a specified corporation and another specified corporation; or
(b) 2 or more specified corporations.
(2) The Minister is to cause an order under subsection (1) to be served on each of the corporations concerned.
83. Matters that may be provided for
(1) A prescribed contract may provide for such matters as the Minister considers necessary or expedient to achieve a purpose mentioned in section 81(a) or (b).
(2) Without limiting subsection (1), a prescribed contract may include provision for —
(a) a specified amount of electricity, or an amount of electricity determined in a specified manner, to be supplied or made available by a corporation to another corporation for a specified purpose; and
(b) the prices to be paid or price limits that are to apply.
(3) A prescribed contract may set out —
(a) the rights and obligations of the corporations concerned;
(b) arrangements and procedures that are to apply between them;
(c) requirements that are to be complied with by each of the corporations; and
(d) any incidental or supplementary provision that the Minister considers it necessary or expedient to include in the contract.
84. Amendment and cancellation
(1) The Minister may —
(a) vary or add to the provisions of a prescribed contract; or
(b) cancel the contract and replace it with another prescribed contract.
(2) The Minister is to cancel, without replacing, a prescribed contract made for the purpose mentioned in section 81(a) when he or she considers that the State electricity market is operating in an open and competitive manner.
(3) An amendment or cancellation is to be made by order served on the corporations concerned.
85. Enforcement
(1) A prescribed contract is taken to have been entered into between the corporations concerned, and the rights and obligations under the contract are enforceable accordingly.
(2) A prescribed contract has effect despite any other provision of this Act.
86. Advice of Economic Regulation Authority to be obtained
(1) Before the Minister cancels a prescribed contract under section 84(2) the Minister must obtain, and take into account, the views of the Economic Regulation Authority on the effect that the proposed cancellation is likely to have on the encouragement of competition in the generation, wholesaling and retailing of electricity.
(2) It is a function of the Economic Regulation Authority to give advice for the purposes of subsection (1).
87. Trade practices exemption
For the purposes of the Trade Practices Act 1974 of the Commonwealth and the Competition Code, each of the following —
(a) the making of an order under section 82(1) or 84;
(b) a prescribed contract;
(c) anything done under, or to give effect to, a prescribed contract,
is specifically authorised to the extent that it would otherwise contravene that Act or that Code.
Part 5 — Provisions about accountability
Division 1 — Strategic development plans
88. Draft strategic development plan to be submitted to Minister
(1) The board of a corporation must in each year prepare, and submit to the Minister for his or her agreement, a draft strategic development plan for the corporation and any subsidiary.
(2) The Minister may from time to time, with the concurrence of the Treasurer, by notice in writing to a corporation —
(a) fix a day in each year by which a draft strategic development plan is to be submitted under subsection (1); or
(b) cancel a notice given under paragraph (a).
(3) Each draft strategic development plan is to be submitted not later than —
(a) the day fixed under subsection (2); or
(b) if there is for the time being no day so fixed, 2 months before the start of the next financial year.
89. Transitional provision
The first strategic development plan of a corporation is to be in respect of the next full financial year after the commencement of this section.
90. Matters to be included in strategic development plan
(1) The strategic development plan must set out economic and financial objectives and operational targets and how those objectives and targets will be achieved.
(2) The matters which are to be considered in the preparation of the strategic development plan include competitive strategies (where appropriate), pricing of products, productivity levels, financial requirements, capital expenditure and personnel requirements.
(3) A strategic development plan is to cover a forecast period of 5 years or a lesser period agreed with the Minister.
(4) The regulations may make provision, not inconsistent with this section, for and in relation to the form and content of strategic development plans.
(5) The regulations may also make special provision —
(a) for and in relation to the content of strategic development plans for the Electricity Networks Corporation; and
(b) for the Minister administering the Electricity Industry Act 2004 to be consulted on the content of those plans,
so far as they apply to the performance of that corporation’s functions under section 41(c).
(6) Regulations are not to be made for subsections (4) and (5) except after consultation with the Treasurer.
91. Strategic development plan to be agreed if possible
The board of a corporation and the Minister must endeavour —
(a) to reach agreement on the draft strategic development plan as soon as possible, and in any event not later than the start of the next financial year; and
(b) to reach such agreement at the same time as they reach agreement on the draft statement of corporate intent under section 100.
92. Minister’s powers in relation to draft strategic development plan
(1) The Minister may return the draft strategic development plan to a board and request it to —
(a) consider or further consider any matter and deal with the matter in the draft plan; and
(b) revise the draft plan in the light of its consideration or further consideration.
(2) The board must comply with the request as soon as is practicable.
(3) If a board and the Minister have not reached agreement on a draft strategic development plan by one month before the start of the next financial year, the Minister may, by written notice, direct the board —
(a) to take specified steps in relation to the draft plan; or
(b) to make specified modifications to the draft plan.
(4) The board must comply with a direction under subsection (3) as soon as is practicable.
(5) The Minister must, within 14 days after a direction is given, cause a copy of it to be laid before each House of Parliament or dealt with in accordance with section 134.
93. Strategic development plan pending agreement
(1) In subsection (3) —
latest draft plan means the draft strategic development plan submitted, or last submitted, by the board concerned to the Minister before the start of the financial year with any modifications made by the board, whether before or after that time, at the direction of the Minister.
(2) This section applies if the board of a corporation and the Minister have not reached agreement on a draft strategic development plan for the corporation and any subsidiary before the start of a financial year.
(3) The latest draft plan is to be the strategic development plan for the corporation and any subsidiary until a draft strategic development plan is agreed to under section 94.
94. Minister’s agreement to draft strategic development plan
When the board of a corporation and the Minister have reached agreement on a draft strategic development plan for the corporation and any subsidiary, it becomes the strategic development plan for the corporation and any subsidiary for the relevant financial year or the remainder of the year, as the case may be.
95. Modifications of strategic development plan
(1) A strategic development plan may be modified by a board with the agreement of the Minister.
(2) The Minister may, by written notice, direct a board to modify the strategic development plan.
(3) Before giving a direction to a board under subsection (2) the Minister must consult with the board and take its views into account.
(4) The Minister must, within 14 days after a direction is given, cause a copy of it to be laid before each House of Parliament or dealt with in accordance with section 134.
96. Concurrence of Treasurer
The Minister is not to —
(a) agree to a draft strategic development plan under section 94; or
(b) agree to or direct any modification of a strategic development plan under section 95,
except with the concurrence of the Treasurer.
Division 2 — Statement of corporate intent
97. Draft statement of corporate intent to be submitted to Minister
(1) The board of a corporation must in each year prepare, and submit to the Minister for his or her agreement, a draft statement of corporate intent for the corporation and any subsidiary.
(2) The Minister may from time to time, with the concurrence of the Treasurer, by notice in writing to a corporation —
(a) fix a day in each year by which a draft statement of corporate intent is to be submitted under subsection (1); or
(b) cancel a notice given under paragraph (a).
(3) Each draft statement of corporate intent is to be submitted not later than —
(a) the day fixed under subsection (2); or
(b) if there is for the time being no day so fixed, 2 months before the start of the next financial year.
98. Transitional provision
The first statement of corporate intent of a corporation is to be in respect of the next full financial year after the commencement of this section.
99. Matters to be included in statement of corporate intent
(1) In subsection (3) —
community service obligations means obligations to perform functions or to meet performance targets that it is not in the commercial interests of the corporation concerned to perform or to meet.
(2) The statement of corporate intent of a corporation must be consistent with the strategic development plan under Division 1 for the corporation and any subsidiary.
(3) The statement of corporate intent for a corporation and any subsidiary must specify —
(a) the performance targets and other measures by which performances may be judged in relation to objectives for the relevant financial year;
(b) an outline of objectives;
(c) an outline of the nature and scope of the functions proposed to be performed during the relevant financial year;
(d) an outline of main undertakings during the relevant financial year;
(e) the dividend policy for the relevant financial year;
(f) accounting policies that apply to the preparation of accounts;
(g) the type of information to be given to the Minister, including information to be given in quarterly and annual reports;
(h) the nature and extent of community service obligations that are to be performed;
(i) the costings of, funding for, or other arrangements to make adjustments relating to, community service obligations;
(j) the ways in which, and the extent to which, compensation will be made for performing community service obligations; and
(k) such other matters as may be agreed on by the Minister and the board.
(4) The Minister may exempt a corporation from including any matter, or any aspect of a matter, mentioned in subsection (3) in its statement of corporate intent.
(5) The regulations may make provision, not inconsistent with this section, for and in relation to the form and content of statements of corporate intent.
(6) The regulations may also make special provision —
(a) for and in relation to the content of statements of corporate intent for the Electricity Networks Corporation; and
(b) for the Minister administering the Electricity Industry Act 2004 to be consulted on the content of those statements,
so far as they apply to the performance of the corporation’s functions under section 41(c).
(7) Regulations are not to be made for subsections (5) and (6) except after consultation with the Treasurer.
100. Statement of corporate intent to be agreed if possible
The board of a corporation and the Minister must endeavour —
(a) to reach agreement on the draft statement as soon as possible and, in any event not later than the start of the next financial year; and
(b) to reach such agreement in accordance with section 91(b).
101. Minister’s powers in relation to draft statement of corporate intent
(1) The Minister may return the draft statement of corporate intent to a board and request it to —
(a) consider or further consider any matter and deal with the matter in the draft statement; and
(b) revise the draft statement in the light of its consideration or further consideration.
(2) The board must comply with the request as soon as is practicable.
(3) If a board and the Minister have not reached agreement on a draft statement of corporate intent by one month before the start of the financial year, the Minister may, by written notice, direct the board —
(a) to take specified steps in relation to the draft statement; or
(b) to make specified modifications to the draft statement.
(4) The board must comply with a direction under subsection (3) as soon as is practicable.
(5) The Minister must, within 14 days after a direction is given, cause a copy of it to be laid before each House of Parliament or dealt with in accordance with section 134.
102. Statement of corporate intent pending agreement
(1) In subsection (3) —
latest draft statement means the draft statement of corporate intent submitted, or last submitted, by the board concerned to the Minister before the start of the financial year with any modifications made by the board, whether before or after that time, at the direction of the Minister.
(2) This section applies if the board of a corporation and the Minister have not reached agreement on a draft statement of corporate intent for the corporation and any subsidiary before the start of a financial year.
(3) The latest draft statement is to be the statement of corporate intent for the corporation and any subsidiary until a draft statement of corporate intent is agreed to under section 103.
103. Minister’s agreement to draft statement of corporate intent
(1) When the board of a corporation and the Minister have reached agreement on a draft statement of corporate intent for the corporation and any subsidiary, it becomes the statement of corporate intent for the relevant financial year or the remainder of the year as the case may be.
(2) The Minister must, within 14 days after agreeing to a draft statement of corporate intent under subsection (1), cause a copy of it to be laid before each House of Parliament or dealt with in accordance with section 134.
(3) A board may request the Minister to delete from the copy of a statement of corporate intent that is to be laid before Parliament a matter that is of a commercially sensitive nature, and the Minister may, despite subsection (2), comply with the request.
(4) Any copy of a statement of corporate intent to which subsection (3) applies must —
(a) contain a statement detailing the reasons for the deletion at the place in the document where the information deleted would otherwise appear; and
(b) be accompanied by an opinion from the Auditor General stating whether or not the information deleted is commercially sensitive.
(5) Nothing in subsection (3) affects, or is intended to affect, the operation of the Parliamentary Privileges Act 1891 or the Parliamentary Papers Act 1891.
104. Modifications of statement of corporate intent
(1) A statement of corporate intent may be modified by a board with the agreement of the Minister.
(2) The Minister may, by written notice, direct a board to modify the statement of corporate intent, and the board must comply with any such direction.
(3) Before giving a direction to a board under subsection (2), the Minister must consult with the board and take its views into account.
(4) The Minister must, within 14 days after a direction is given, cause a copy of it to be laid before each House of Parliament or dealt with in accordance with section 134.
105. Concurrence of Treasurer
The Minister is not to —
(a) agree to a draft statement of corporate intent under section 103; or
(b) agree to or direct any modification of a statement of corporate intent under section 104,
except with the concurrence of the Treasurer.
Division 3 — Quarterly and annual reports
106. Quarterly reports
(1) A corporation must, for each of the first 3 quarters of a financial year, give to the Minister a separate report on the operations of the corporation and of each subsidiary.
(2) A quarterly report is to be prepared by a corporation —
(a) on a consolidated basis; and
(b) for any segment of the corporation prescribed by regulations made for the purposes of section 62.
(3) A quarterly report must be given to the Minister —
(a) within one month after the end of the quarter; or
(b) if another period after the end of the quarter is agreed between the Minister and the board concerned, within the agreed period.
(4) A corporation must give a copy of each quarterly report to the Treasurer.