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This is a Bill, not an Act. For current law, see the Acts databases.
2019-2020-2021
The Parliament of the
Commonwealth of Australia
HOUSE OF REPRESENTATIVES
Presented and read a first time
Australian Local Power Agency Bill 2021
No. , 2021
(Dr Haines)
A Bill for an Act to establish the Australian Local
Power Agency, and for related purposes
No. , 2021
Australian Local Power Agency Bill 2021
i
Contents
Part 1--Preliminary
1
1
Short title ........................................................................................... 1
2
Commencement ................................................................................. 2
3
Object ................................................................................................ 2
4
Definitions ......................................................................................... 3
5
Meaning of community energy project .............................................. 5
6
Financial assistance ........................................................................... 7
Part 2--Australian Local Power Agency
8
Division 1--Establishment, functions, powers etc.
8
7
Establishment .................................................................................... 8
8
ALPA's functions .............................................................................. 8
9
General rules about performance of functions ................................... 9
10
Minister may direct ALPA to provide advice .................................. 10
11
Constitutional limits ........................................................................ 10
12
Powers ............................................................................................. 11
13
ALPA does not have privileges and immunities of the Crown ........ 11
14
Taxation ........................................................................................... 12
Division 2--ALPA's financial assistance function
13
15
ALPA's financial assistance function .............................................. 13
16
General rule about performance of financial assistance
function............................................................................................ 13
17
Provision of financial assistance to be in accordance with
general strategy ................................................................................ 13
18
Minister may request ALPA to consider funding for
specified projects ............................................................................. 13
19
Ministerial approval where grants exceed $50 million .................... 14
Division 3--ALPA's investment function
15
Subdivision A--ALPA's investment function
15
20
Investment function ......................................................................... 15
21
Complying investments ................................................................... 15
22
Australian based investments .......................................................... 16
23
Prohibited technology ...................................................................... 17
Subdivision B--Performance of investment function
17
24
Financial assets ................................................................................ 17
25
Investment Mandate ........................................................................ 18
ii
Australian Local Power Agency Bill 2021
No. , 2021
26
Limits on Investment Mandate ........................................................ 19
27
Board to be consulted on Investment Mandate ................................ 19
28
Compliance with Investment Mandate ............................................ 20
29
Derivatives ...................................................................................... 21
Division 4--Community investment in large renewable energy
projects
22
30
Community investment in large renewable energy projects ............ 22
31
Constitutional basis of this Division ................................................ 23
Part 3--Board of ALPA
25
Division 1--Establishment and functions
25
32
Establishment .................................................................................. 25
33
Functions of the Board .................................................................... 25
Division 2--General strategy, guidelines and work plans
26
Subdivision A--General strategy
26
34
General strategy ............................................................................... 26
35
Approval of general strategy ........................................................... 27
36
When a general strategy for a year is in force.................................. 27
37
Variation of general strategy ........................................................... 27
38
General strategy to be published on ALPA's website ..................... 28
Subdivision B--Guidelines
28
39
Guidelines ........................................................................................ 28
40
Approval of guidelines for financial assistance in excess of
$15 million ...................................................................................... 29
41
Guidelines to be published on ALPA's website .............................. 29
Subdivision C--Work plans
30
42
Work plan ........................................................................................ 30
43
Work plan to be taken into account ................................................. 31
Subdivision D--Investment policies
31
44
Investment policies .......................................................................... 31
Division 3--Board members
33
45
Membership ..................................................................................... 33
46
Appointment of Board members ..................................................... 33
47
Chair ................................................................................................ 33
48
Term of appointment ....................................................................... 33
49
Acting appointments ........................................................................ 34
50
Remuneration .................................................................................. 34
51
Leave of absence ............................................................................. 35
52
Disclosure of interests to the Minister ............................................. 35
No. , 2021
Australian Local Power Agency Bill 2021
iii
53
Resignation of appointed members.................................................. 36
54
Termination of appointment of appointed members ........................ 36
55
Other terms and conditions of appointed members.......................... 37
Division 4--Meetings of the Board
38
56
Convening meetings ........................................................................ 38
57
Secretary may nominate alternate to attend Board meetings ........... 38
58
Presiding at meetings ....................................................................... 38
59
Quorum............................................................................................ 39
60
Voting at meetings ........................................................................... 39
61
Conduct of meetings ........................................................................ 39
62
Minutes ............................................................................................ 39
63
Decisions without meetings ............................................................. 39
Division 5--Committees
41
64
Committees ...................................................................................... 41
65
Remuneration and allowances ......................................................... 41
Part 4--Chief Executive Officer, staff and consultants
43
Division 1--Chief Executive Officer of ALPA
43
66
Establishment .................................................................................. 43
67
Role ................................................................................................. 43
68
Appointment .................................................................................... 43
69
Acting appointments ........................................................................ 44
70
Outside employment ........................................................................ 44
71
Remuneration .................................................................................. 44
72
Leave ............................................................................................... 45
73
Disclosure of interests to the Minister ............................................. 45
74
Resignation ...................................................................................... 45
75
Termination of appointment ............................................................ 46
76
Other terms and conditions .............................................................. 46
Division 2--Staff and consultants
47
77
Chief Financial Officer .................................................................... 47
78
Other staff ........................................................................................ 47
79
Consultants ...................................................................................... 47
Part 5--Miscellaneous
48
80
Matters relating to subsidiaries ........................................................ 48
81
Publication of investment reports .................................................... 48
82
Publication of reports etc. ................................................................ 49
83
Extra matters to be included in annual report .................................. 50
iv
Australian Local Power Agency Bill 2021
No. , 2021
84
Delegation by ALPA ....................................................................... 51
85
Delegation by Board ........................................................................ 51
86
Subdelegation by CEO .................................................................... 52
87
Disclosure of information to Australian Renewable Energy
Agency or Clean Energy Finance Corporation ................................ 52
88
Review of operation of Act ............................................................. 52
89
Regulations ...................................................................................... 53
No. , 2021
Australian Local Power Agency Bill 2021
1
A Bill for an Act to establish the Australian Local
1
Power Agency, and for related purposes
2
The Parliament of Australia enacts:
3
Part 1--Preliminary
4
5
1 Short title
6
This Act is the
Australian Local Power Agency Act 2021
.
7
Part 1
Preliminary
Section 2
2
Australian Local Power Agency Bill 2021
No. , 2021
2 Commencement
1
(1) Each provision of this Act specified in column 1 of the table
2
commences, or is taken to have commenced, in accordance with
3
column 2 of the table. Any other statement in column 2 has effect
4
according to its terms.
5
6
Commencement information
Column 1
Column 2
Column 3
Provisions
Commencement
Date/Details
1. The whole of
this Act
The later of:
(a) the day after this Act receives the Royal
Assent; and
(b) the day the Consolidated Revenue Fund
is appropriated under an Act to the
Department in which this Act is
administered for payment to the
Australian Local Power Agency.
However, the provisions do not commence
at all if the event mentioned in paragraph (b)
does not occur.
Note:
This table relates only to the provisions of this Act as originally
7
enacted. It will not be amended to deal with any later amendments of
8
this Act.
9
(2) Any information in column 3 of the table is not part of this Act.
10
Information may be inserted in this column, or information in it
11
may be edited, in any published version of this Act.
12
3 Object
13
The object of this Act is to:
14
(a) increase the number of community energy projects in
15
Australia; and
16
(b) increase the competitiveness of renewable energy supplied by
17
community energy projects in Australia; and
18
Preliminary
Part 1
Section 4
No. , 2021
Australian Local Power Agency Bill 2021
3
(c) ensure that regional communities share in the benefits of
1
renewable energy.
2
4 Definitions
3
In this Act:
4
acquire
includes acquire by way of issue.
5
agreement
includes a contract or deed.
6
ALPA
is short for
Australian Local Power Agency
.
7
appointed member
means a Board member appointed under
8
section 46.
9
asset
means:
10
(a) any kind of real or personal property; or
11
(b) any legal or equitable estate or interest in real or personal
12
property; or
13
(c) any legal or equitable right.
14
Australia
, when used in a geographical sense, includes the external
15
Territories.
16
Board
means the Board of the Australian Local Power Agency.
17
Board member
means a member of the Board.
18
CEO
means the Chief Executive Officer of the Australian Local
19
Power Agency.
20
Chair
means the Chair of the Board.
21
Chief Financial Officer
means the person employed under
22
section 77.
23
Climate Change Convention
means the United Nations
24
Framework Convention on Climate Change done at New York on
25
9 May 1992, as in force for Australia from time to time.
26
Part 1
Preliminary
Section 4
4
Australian Local Power Agency Bill 2021
No. , 2021
Note:
The Climate Change Convention is in Australian Treaty Series 1994
1
No. 2 ([1994] ATS 2) and could in 2021 be viewed in the Australian
2
Treaty Library on the AustLII website (www.austlii.edu.au).
3
community energy project
: see section 5.
4
community organisation
: see section 5.
5
complying investment
: see section 21.
6
derivative
means a derivative (within the meaning of Chapter 7 of
7
the
Corporations Act 2001
) that is a financial asset.
8
energy
means electricity.
9
Finance Minister
means the Minister who administers the
Public
10
Governance, Performance and Accountability Act 2013
.
11
financial asset
: see section 24.
12
financial assistance
means:
13
(a) grants; or
14
(b) any other kinds of assistance specified under section 6.
15
financial assistance function
: see section 15.
16
GFS Australia
means the publication of the Australian Bureau of
17
Statistics known as Australian System of Government Finance
18
Statistics: Concepts, Sources and Methods, as updated from time to
19
time. This updating takes 2 forms:
20
(a) from time to time, a new version of the publication is
21
produced; and
22
(b) from time to time, material in the current version of the
23
publication is updated by other publications of the Australian
24
Bureau of Statistics.
25
GFS system
has the same meaning as in GFS Australia.
26
investment
means:
27
(a) any mode of application of money or financial assets for the
28
purpose of gaining a return (whether by way of income,
29
capital gain or any other form of return); or
30
Preliminary
Part 1
Section 5
No. , 2021
Australian Local Power Agency Bill 2021
5
(b) without limiting paragraph (a)--giving a guarantee.
1
investment function
: see section 20.
2
Investment Mandate
: see section 25.
3
large renewable energy generation facility
: see section 30.
4
prohibited technology
: see section 23.
5
quarter
: see subsection 81(2).
6
realise
includes redeem or dispose of.
7
renewable energy
means energy produced using renewable energy
8
technologies.
9
renewable energy technologies
has the same meaning as in the
10
Australian Renewable Energy Agency Act 2011
.
11
responsible Ministers
means:
12
(a) the Minister administering this Act; and
13
(b) the Finance Minister.
14
Secretary
means the Secretary of the Department.
15
section 24 investments
: see section 24.
16
solely or mainly Australian-based
: see section 22.
17
subsidiary
of ALPA means a subsidiary of ALPA for the purposes
18
of the
Public Governance, Performance and Accountability Act
19
2013
.
20
vacancy
, in relation to the office of an appointed member, has a
21
meaning affected by subsection 49(3).
22
5 Meaning of community energy project
23
(1) A project is a
community energy project
if ALPA is satisfied, in
24
accordance with guidelines made under subsection (4), that:
25
(a) the main activity of the project is:
26
Part 1
Preliminary
Section 5
6
Australian Local Power Agency Bill 2021
No. , 2021
(i) generating renewable energy; or
1
(ii) storing energy; or
2
(iii) increasing energy efficiency;
3
in a local community in Australia; and
4
(b) the project is carried out mainly by the community or by
5
community organisations; and
6
(c) the main purpose of the project is to benefit the community
7
or community organisations; and
8
(d) the community has a significant role in decision-making on
9
the project.
10
(2)
Community organisation
includes the following:
11
(a) a not-for-profit body corporate or unincorporated association;
12
(b) a local council;
13
(c) a for-profit body corporate or unincorporated association if
14
the main purpose of the body or association is to profit:
15
(i) one or more other community organisations; or
16
(ii) a wide membership consisting exclusively or
17
predominantly of other community organisations or
18
members of the community;
19
(d) any entity or business arrangement (including a partnership
20
or joint venture) controlled (whether directly or indirectly)
21
by:
22
(i) one or more other community organisations; or
23
(ii) a large number of persons, all or most of whom are
24
other community organisations or members of the
25
community.
26
(3) For the purposes of determining whether a project is a
community
27
energy project
, ALPA must disregard any investment in the project
28
under Division 3 of Part 2 (ALPA's investment function).
29
Guidelines
30
(4) The Board must, by writing, make guidelines setting out
31
circumstances, conditions or other matters to which ALPA will
32
have regard in satisfying itself that:
33
Preliminary
Part 1
Section 6
No. , 2021
Australian Local Power Agency Bill 2021
7
(a) paragraph (1)(a), (b), (c) or (d) apply to a project; or
1
(b) an entity is a community organisation.
2
(5) The Board must publish guidelines made under subsection (4) on
3
ALPA's website.
4
(6) Guidelines made under subsection (4) are not a legislative
5
instrument.
6
6 Financial assistance
7
For the purposes of paragraph (b) of the definition of
financial
8
assistance
in section 4, the Minister may, by legislative instrument,
9
specify kinds of assistance.
10
Part 2
Australian Local Power Agency
Division 1
Establishment, functions, powers etc.
Section 7
8
Australian Local Power Agency Bill 2021
No. , 2021
Part 2--Australian Local Power Agency
1
Division 1--Establishment, functions, powers etc.
2
7 Establishment
3
(1) The Australian Local Power Agency is established by this section.
4
(2) The ALPA:
5
(a) is a body corporate; and
6
(b) must have a seal; and
7
(c) may sue and be sued.
8
Note:
The
Public Governance, Performance and Accountability Act 2013
9
applies to ALPA. That Act deals with matters relating to corporate
10
Commonwealth entities, including reporting and the use and
11
management of public resources.
12
(3) ALPA's seal is to be kept in such custody as the Board directs and
13
must not be used except as authorised by the Board.
14
8 ALPA's functions
15
ALPA has the following functions:
16
(a) ALPA's financial assistance function (see Division 2);
17
(b) ALPA's investment function (see Division 3);
18
(c) to give advice to the Minister under regulations made for the
19
purposes of subsection 30(1) (community investment in large
20
renewable energy projects);
21
(d) to provide technical expertise (including to governments,
22
community organisations and the public) for the purposes of
23
developing community energy projects;
24
(e) to enter into agreements for the purpose of performing its
25
financial assistance function and to administer such
26
agreements;
27
(f) to collect, analyse, interpret and disseminate information and
28
knowledge relating to community energy projects;
29
Australian Local Power Agency
Part 2
Establishment, functions, powers etc.
Division 1
Section 9
No. , 2021
Australian Local Power Agency Bill 2021
9
(g) to provide advice to the Minister relating to community
1
energy projects, including advice about the following:
2
(i) increasing the number of community energy projects in
3
Australia;
4
(ii) increasing the competitiveness of renewable energy
5
supplied by community energy projects in Australia;
6
(iii) ensuring that regional communities share in the benefits
7
of renewable energy;
8
(h) to liaise with relevant persons and bodies, including the
9
Australian Renewable Energy Agency, the Clean Energy
10
Finance Corporation, the Clean Energy Regulator, other
11
Commonwealth agencies and State and Territory
12
governments, for the purposes of facilitating:
13
(i) its financial assistance function; or
14
(i) its investment function; or
15
(iii) its function under paragraph (c);
16
(i) any other functions that are prescribed by the regulations;
17
(j) any other functions conferred on ALPA by this Act or any
18
other Commonwealth law;
19
(k) to do anything incidental to, or conducive to, the performance
20
of the above functions.
21
9 General rules about performance of functions
22
In performing its functions, ALPA must:
23
(a) act in a proper, efficient and effective manner; and
24
(b) if appropriate:
25
(i) act collaboratively with other persons, organisations and
26
governments (including international organisations and
27
foreign governments); and
28
(ii) promote the sharing of information and knowledge
29
about community energy projects.
30
Part 2
Australian Local Power Agency
Division 1
Establishment, functions, powers etc.
Section 10
10
Australian Local Power Agency Bill 2021
No. , 2021
10 Minister may direct ALPA to provide advice
1
(1) The Minister may, in writing, direct ALPA to provide advice to the
2
Minister in relation to a matter mentioned in paragraph 8(g).
3
(2) ALPA must comply with the direction.
4
11 Constitutional limits
5
(1) ALPA may perform its functions only:
6
(a) for purposes relating to a corporation to which
7
paragraph 51(xx) of the Constitution applies; or
8
(b) for purposes related to external affairs, including:
9
(i) giving effect to the Climate Change Convention,
10
including by performing functions in relation to
11
renewable energy technologies that could reasonably be
12
expected to control, reduce or prevent anthropogenic
13
emissions of greenhouse gases; or
14
(ii) giving effect to another international agreement to
15
which Australia is a party; or
16
(iii) addressing matters of international concern; or
17
(iv) by way of the performance of its functions in a place
18
outside Australia; or
19
(c) for purposes relating to the collection of statistics; or
20
(d) for purposes relating to trade and commerce:
21
(i) between Australia and places outside Australia; or
22
(ii) among the States; or
23
(iii) within a Territory, between a State and a Territory or
24
between 2 Territories; or
25
(e) by way of the use of a postal, telegraphic, telephonic or other
26
like service within the meaning of paragraph 51(v) of the
27
Constitution; or
28
(f) by way of the provision of service, or financial assistance, to:
29
(i) the Commonwealth; or
30
(ii) an authority of the Commonwealth;
31
for a purpose of the Commonwealth; or
32
Australian Local Power Agency
Part 2
Establishment, functions, powers etc.
Division 1
Section 12
No. , 2021
Australian Local Power Agency Bill 2021
11
(g) for purposes relating to the granting of financial assistance to
1
a State; or
2
(h) in, or for purposes relating to, a Territory; or
3
(i) in or with respect to a Commonwealth place (within the
4
meaning of the
Commonwealth Places (Application of Laws)
5
Act 1970
); or
6
(j) for purposes relating to the implied power of the Parliament
7
to make laws with respect to nationhood; or
8
(k) for purposes relating to the executive power of the
9
Commonwealth; or
10
(l) for purposes relating to matters incidental to the execution of
11
any of the legislative powers of the Parliament or the
12
executive power of the Commonwealth.
13
(2) This section does not apply in relation to ALPA's function of
14
giving advice to the Minister under regulations made for the
15
purposes of subsection 30(1) (community investment in large
16
renewable energy projects).
17
Note:
See section 31 (constitutional basis of Division 4).
18
12 Powers
19
(1) ALPA has power to do all things necessary or convenient to be
20
done for or in connection with the performance of its functions.
21
(2) ALPA's powers include, but are not limited to, the following
22
powers:
23
(a) the power to enter contracts;
24
(c) the power to acquire, hold and dispose of real and personal
25
property; and
26
(c) the power to accept gifts, grants, bequests and devises made
27
to it.
28
13 ALPA does not have privileges and immunities of the Crown
29
ALPA does not have the privileges and immunities of the Crown in
30
right of the Commonwealth.
31
Part 2
Australian Local Power Agency
Division 1
Establishment, functions, powers etc.
Section 14
12
Australian Local Power Agency Bill 2021
No. , 2021
14 Taxation
1
ALPA is not subject to taxation under a law of the Commonwealth
2
or of a State or Territory.
3
Australian Local Power Agency
Part 2
ALPA's financial assistance function
Division 2
Section 15
No. , 2021
Australian Local Power Agency Bill 2021
13
Division 2--ALPA's financial assistance function
1
15 ALPA's financial assistance function
2
ALPA's
financial assistance function
is to provide financial
3
assistance for:
4
(a) research into community energy projects; or
5
(b) the development, commercialisation or deployment of
6
community energy projects; or
7
(c) the storage and sharing of information and knowledge about
8
community energy projects.
9
16 General rule about performance of financial assistance function
10
In performing its financial assistance function, ALPA must ensure
11
that decisions about the provision of financial assistance are based
12
on merit.
13
17 Provision of financial assistance to be in accordance with general
14
strategy
15
ALPA must not enter into an agreement for the provision of
16
financial assistance unless the financial assistance provided for is
17
in accordance with the general strategy that is in force under
18
Subdivision A of Division 2 of Part 3 at the time when the
19
agreement is entered into.
20
18 Minister may request ALPA to consider funding for specified
21
projects
22
(1) The Minister may, in writing, request ALPA to consider providing
23
financial assistance for a particular project specified in the request.
24
(2) ALPA must consider the request.
25
Part 2
Australian Local Power Agency
Division 2
ALPA's financial assistance function
Section 19
14
Australian Local Power Agency Bill 2021
No. , 2021
19 Ministerial approval where grants exceed $50 million
1
ALPA must not, without the written approval of the Minister, make
2
grants totalling more than $50 million for a particular project.
3
Note:
Guidelines for grant programs enabling grants exceeding $15 million
4
for a particular project must be approved by the Minister under
5
section 40.
6
Australian Local Power Agency
Part 2
ALPA's investment function
Division 3
Section 20
No. , 2021
Australian Local Power Agency Bill 2021
15
Division 3--ALPA's investment function
1
Subdivision A--ALPA's investment function
2
20 Investment function
3
(1) ALPA's
investment function
is to invest, directly and indirectly, in
4
community energy projects.
5
(2) Without limiting subsection (1), ALPA may perform its investment
6
function by doing any or all of the following:
7
(a) investing in businesses or projects for the development or
8
commercialisation of community energy projects;
9
(b) investing in businesses that supply goods or services needed
10
to develop or commercialise, or needed for use in,
11
community energy projects.
12
(3) ALPA may perform its investment function by making investments
13
itself (including as a participant in partnerships, trusts, joint
14
ventures or similar arrangements), through subsidiaries or other
15
investment vehicles or by any combination of these means.
16
(4) An investment may be an investment for the purposes of ALPA's
17
investment function, regardless of the means by which it is made.
18
21 Complying investments
19
(1) The Board must take all reasonable steps to ensure that investments
20
for the purposes (or purportedly for the purposes) of ALPA's
21
investment function are at all times complying investments.
22
(2)
Complying investments
are investments that are:
23
(a) in community energy projects (see section 5); and
24
(b) solely or mainly Australian based (see section 22); and
25
(c) not in a prohibited technology (see section 23).
26
(3) As soon as practicable after the Board becomes aware that an
27
investment for the purposes (or purportedly for the purposes) of
28
Part 2
Australian Local Power Agency
Division 3
ALPA's investment function
Section 22
16
Australian Local Power Agency Bill 2021
No. , 2021
ALPA's investment function has ceased to be, or never was, a
1
complying investment, the Board must give the responsible
2
Ministers a written statement:
3
(a) informing the responsible Ministers; and
4
(b) setting out the action that the Board proposes to take in order
5
to ensure that all investments made for the purposes of
6
ALPA's investment function are complying investments.
7
(4) If the responsible Ministers are satisfied that an investment has
8
ceased to be, or was never, a complying investment, the
9
responsible Ministers may (whether or not the Board has given the
10
Minister a statement under subsection (3)), by written notice given
11
to the Board, direct the Board:
12
(a) to give the responsible Ministers, within a period specified in
13
the notice, a written explanation; and
14
(b) to take action specified in the notice, within a period
15
specified in the notice, in order to ensure that all investments
16
for the purposes of ALPA's investment function are
17
complying investments.
18
(5) The Board must comply with a direction under subsection (4).
19
(6) The fact that an investment has ceased to be, or never was, a
20
complying investment, does not affect the validity of any
21
transaction.
22
(7) A direction under subsection (4) is not a legislative instrument.
23
22 Australian based investments
24
(1) An investment for the purposes of ALPA's investment function is
25
solely or mainly Australian based
if the Board is satisfied, in
26
accordance with guidelines made under subsection (2), that the
27
investment is solely or mainly Australian based.
28
(2) The Board must, by writing, make guidelines setting out
29
circumstances, conditions or other matters to which the Board will
30
have regard in satisfying itself that an investment is solely or
31
mainly Australian based.
32
Australian Local Power Agency
Part 2
ALPA's investment function
Division 3
Section 23
No. , 2021
Australian Local Power Agency Bill 2021
17
(3) The guidelines must not be inconsistent with the Investment
1
Mandate.
2
(4) The Board must publish guidelines made under subsection (2) on
3
ALPA's website.
4
(5) Guidelines made under subsection (2) are not a legislative
5
instrument.
6
23 Prohibited technology
7
An investment for the purposes of ALPA's investment function is
8
an investment in a
prohibited technology
if it is an investment in a
9
project involving:
10
(a) carbon capture and storage (within the meaning of the
11
National Greenhouse and Energy Reporting Act 2007
); or
12
(b) nuclear technology; or
13
(c) nuclear power; or
14
(d) coal or gas power.
15
Subdivision B--Performance of investment function
16
24 Financial assets
17
(1) Investments for the purposes of ALPA's investment function,
18
made directly by ALPA or directly by a subsidiary of ALPA
19
(
section 24 investments
), must only be made by way of acquisition
20
of financial assets.
21
(2) A reference in this Act to a
financial asset
is a reference to:
22
(a) an asset that, in accordance with GFS Australia, is treated as
23
a financial asset for the purposes of the GFS system in
24
Australia; or
25
(b) an asset specified in regulations made for the purposes of this
26
paragraph;
27
but does not include a reference to an asset that, under the
28
regulations, is taken to be a non-financial asset for the purposes of
29
this Act.
30
Part 2
Australian Local Power Agency
Division 3
ALPA's investment function
Section 25
18
Australian Local Power Agency Bill 2021
No. , 2021
Note:
For specification by class, see subsection 13(3) of the
Legislation Act
1
2003
.
2
(3) If an asset held by ALPA for the purposes of ALPA's investment
3
function ceases to be, or never was, a financial asset:
4
(a) ALPA must realise the asset as soon as practicable after
5
ALPA becomes aware that the asset has ceased to be, or
6
never was, a financial asset; and
7
(b) this Act (other than this subsection) applies in relation to the
8
asset (including in relation to the realisation of the asset) as if
9
the asset had been, or had remained, a financial asset, and an
10
investment for the purposes of ALPA's investment function,
11
at all times until the realisation.
12
(4) Subsection (3) applies to a subsidiary of ALPA in the same way as
13
it applies to ALPA.
14
25 Investment Mandate
15
(1) The responsible Ministers may, by legislative instrument, give the
16
Board directions about the performance of ALPA's investment
17
function, and must give at least one such direction. The directions
18
together constitute the
Investment Mandate
.
19
Note:
For variation and revocation, see subsection 33(3) of the
Acts
20
Interpretation Act 1901
.
21
(2) In giving a direction, the responsible Minister must have regard to
22
the object of this Act and any other matters the responsible
23
Ministers consider relevant.
24
(3) Without limiting subsection (1), a direction may set out the policies
25
to be pursued by ALPA in relation to any or all of the following:
26
(a) matters of risk and return;
27
(b) technologies, projects and businesses that are eligible for
28
investment;
29
(c) the allocation of investments between the various classes of
30
community energy projects;
31
(d) making investments on concessional terms;
32
Australian Local Power Agency
Part 2
ALPA's investment function
Division 3
Section 26
No. , 2021
Australian Local Power Agency Bill 2021
19
(e) the types of financial instruments in which ALPA may
1
invest;
2
(f) the types of derivatives which ALPA may acquire;
3
(g) the nature of the guarantees ALPA may give and the
4
circumstances in which they may be given;
5
(h) broad operational matters relating to ALPA's investment
6
function;
7
(i) other matters the responsible Ministers consider appropriate
8
to deal with in a direction under subsection (1).
9
26 Limits on Investment Mandate
10
The responsible Ministers must not give a direction under
11
subsection 25(1):
12
(a) that has the purpose, or has or is likely to have the effect, of
13
directly or indirectly requiring the Board to, or not to, make a
14
particular investment; or
15
(b) that is inconsistent with this Act (including the object of this
16
Act).
17
27 Board to be consulted on Investment Mandate
18
(1) Before giving the Board a direction under subsection 25(1), the
19
responsible Ministers must:
20
(a) send a draft of the direction to the Board; and
21
(b) invite the Board to make a submission to the responsible
22
Ministers on the draft direction within a reasonable time limit
23
specified by the responsible Ministers; and
24
(c) consider any submission that is received from the Board
25
within that time limit.
26
(2) If:
27
(a) the responsible Ministers give the Board a direction under
28
subsection 25(1); and
29
(b) the Board made a submission to the responsible Ministers on
30
a draft of the direction within the time limit specified by the
31
responsible Ministers;
32
Part 2
Australian Local Power Agency
Division 3
ALPA's investment function
Section 28
20
Australian Local Power Agency Bill 2021
No. , 2021
the submission is to be tabled in each House of the Parliament with
1
the direction.
2
Note:
For tabling of the direction, see section 38 of the
Legislation Act 2003
.
3
28 Compliance with Investment Mandate
4
(1) The Board must take all reasonable steps to ensure that ALPA and
5
its subsidiaries comply with the Investment Mandate.
6
(2) As soon as practicable after the Board becomes aware that ALPA
7
or one of its subsidiaries has failed to comply with the Investment
8
Mandate, the Board must give the responsible Ministers a written
9
statement:
10
(a) informing the responsible Ministers; and
11
(b) setting out the action that the Board proposes to take in order
12
to ensure that ALPA or subsidiary complies with the
13
Investment Mandate.
14
(3) If the responsible Ministers are satisfied that ALPA or one of its
15
subsidiaries has failed to comply with the Investment Mandate, the
16
responsible Ministers may (whether or not the Board has given the
17
Minister a statement under subsection (2)), by written notice given
18
to the Board, direct the Board:
19
(a) to give the responsible Ministers, within a period specified in
20
the notice, a written explanation; and
21
(b) to take action specified in the notice, within a period
22
specified in the notice, in order to ensure that ALPA or
23
subsidiary complies with the Investment Mandate.
24
(4) The Board must comply with a direction under subsection (3).
25
(5) A failure to comply with:
26
(a) the Investment Mandate; or
27
(b) a direction under subsection (3);
28
does not affect the validity of any transaction.
29
(6) A direction under subsection (3) is not a legislative instrument.
30
Australian Local Power Agency
Part 2
ALPA's investment function
Division 3
Section 29
No. , 2021
Australian Local Power Agency Bill 2021
21
29 Derivatives
1
(1) ALPA may only acquire a derivative for the purpose of:
2
(a) protecting the value of an investment of ALPA (other than a
3
derivative); or
4
(b) protecting the return on an investment of ALPA (other than a
5
derivative); or
6
(c) achieving indirect exposure to financial assets (other than
7
derivatives) for a purpose in connection with ALPA's
8
investment function; or
9
(d) achieving transactional efficiency for a purpose in connection
10
with ALPA's investment function;
11
but must not acquire a derivative for the purpose of:
12
(e) speculation; or
13
(f) leverage.
14
(2) The acquisition of a derivative under subsection (1) must be
15
consistent with the investment strategy embodied in a policy
16
formulated by the Board under subsection 44(1).
17
Part 2
Australian Local Power Agency
Division 4
Community investment in large renewable energy projects
Section 30
22
Australian Local Power Agency Bill 2021
No. , 2021
Division 4--Community investment in large renewable
1
energy projects
2
30 Community investment in large renewable energy projects
3
(1) The regulations must establish a scheme under which:
4
(a) a project involving the construction, modification or
5
expansion of a large renewable energy generation facility in
6
Australia must not be carried out without the approval of the
7
Minister; and
8
(b) such approval must be granted if, and only if, the Minister is
9
satisfied, on the basis of advice given to the Minister by
10
ALPA, that all individuals living within 30 km of the facility
11
(the
locals
) have been given a reasonable opportunity to
12
invest in the project in accordance with subsection (3).
13
(2) A
large renewable energy generation facility
is a renewable
14
energy generation facility that has a maximum capacity of 10 MW
15
or more; and
16
(3) For the purposes of paragraph (1)(b), the opportunity must involve:
17
(a) rights to at least 20% of the profits from the project being
18
offered to the locals; and
19
(b) the locals having been given a reasonable opportunity to
20
consider and respond to the offer; and
21
(c) the consideration (if any) payable in exchange for the rights
22
being reasonable, having regard to the market value of the
23
rights; and
24
(d) the offer being structured in a way that is intended to ensure
25
that the rights are acquired by a large number of locals rather
26
than by just a few individuals.
27
(4) Subsection (3) does not prevent the rights mentioned in
28
paragraph (3)(a) being offered to anyone else, after the offer
29
mentioned in that subsection closes, to the extent the locals do not
30
accept the offer.
31
Australian Local Power Agency
Part 2
Community investment in large renewable energy projects
Division 4
Section 31
No. , 2021
Australian Local Power Agency Bill 2021
23
(5) Without limiting subsection (1), the regulations may provide for
1
any of the following:
2
(a) the matters that ALPA must take into account in giving the
3
advice mentioned in paragraph (1)(b);
4
(b) delegation of the Minister's power to approve a project;
5
(c) review of a decision not to approve a project;
6
(d) penalties, not exceeding 1,000 penalty units, for offences
7
against regulations made for the purposes of that subsection;
8
(e) pecuniary penalties, not exceeding 10,000 penalty units, for
9
contravening civil penalty provisions in regulations made for
10
the purposes of that subsection.
11
Approval required from 1 July 2023
12
(6) This section applies to a project if the project starts to be carried
13
out on or after 1 July 2023.
14
(7) The first regulations establishing a scheme for the purposes of
15
subsection (1) must be made on or before 1 July 2022.
16
31 Constitutional basis of this Division
17
This Division applies to a project involving the construction,
18
modification or expansion of a large renewable energy generation
19
facility if:
20
(a) the project is carried out by a corporation to which
21
paragraph 51(xx) of the Constitution applies; or
22
(b) the facility is located in:
23
(i) a place that is external to Australia for the purposes of
24
paragraph 51(xxix) of the Constitution; or
25
(ii) a Commonwealth place (within the meaning of the
26
Commonwealth Places (Application of Laws) Act 1970
);
27
or
28
(iii) a Territory; or
29
(c) energy generated by the facility is intended to be supplied in
30
trade or commerce:
31
(i) among the States; or
32
Part 2
Australian Local Power Agency
Division 4
Community investment in large renewable energy projects
Section 31
24
Australian Local Power Agency Bill 2021
No. , 2021
(ii) within a Territory, between a State and a Territory or
1
between 2 Territories.
2
Board of ALPA
Part 3
Establishment and functions
Division 1
Section 32
No. , 2021
Australian Local Power Agency Bill 2021
25
Part 3--Board of ALPA
1
Division 1--Establishment and functions
2
32 Establishment
3
There is to be a Board of the Australian Local Power Agency.
4
33 Functions of the Board
5
(1) The functions of the Board are:
6
(a) the functions the Board has under Division 2 relating to
7
general strategies, guidelines, work plans and investment
8
policies; and
9
(b) to decide the other strategies, objectives and policies to be
10
followed by ALPA; and
11
(c) to ensure that ALPA complies with this Act.
12
(2) The Board has the power to do all things necessary or convenient
13
to be done for or in connection with the performance of its
14
functions.
15
(3) Anything done in the name of, or on behalf of, ALPA by the
16
Board, or with the authority of the Board, is taken to have been
17
done by ALPA.
18
Part 3
Board of ALPA
Division 2
General strategy, guidelines and work plans
Section 34
26
Australian Local Power Agency Bill 2021
No. , 2021
Division 2--General strategy, guidelines and work plans
1
Subdivision A--General strategy
2
34 General strategy
3
(1) The Board must, for the 2021-2022 financial year and each later
4
financial year, develop a strategy for:
5
(a) the provision of financial assistance under this Act; and
6
(b) the collection, analysis, interpretation and dissemination of
7
information and knowledge relating to community energy
8
projects by ALPA; and
9
(c) the provision of technical expertise by ALPA for the
10
purposes of developing community energy projects; and
11
(d) anything else prescribed by the regulations.
12
(2) The general strategy for the 2021-2022 financial year must be
13
developed as soon as practicable after the start of that year. A
14
general strategy for a later financial year must be developed during
15
the previous financial year.
16
(3) A general strategy must:
17
(a) be in writing; and
18
(b) be expressed to relate to the financial year for which the
19
strategy is developed and the next 2 financial years; and
20
(c) state ALPA's principal objectives and priorities for the
21
matters mentioned in subsection (1) during the financial year
22
for which the strategy is developed and the next 2 financial
23
years.
24
(4) A general strategy must not require financial assistance,
25
information or technical expertise to be provided to a particular
26
person, or for a particular project.
27
Board of ALPA
Part 3
General strategy, guidelines and work plans
Division 2
Section 35
No. , 2021
Australian Local Power Agency Bill 2021
27
35 Approval of general strategy
1
(1) As soon as practicable after developing a general strategy for a
2
financial year, the Board must give a copy of the strategy to the
3
Minister for approval.
4
(2) A general strategy developed by the Board and approved by the
5
Minister is a legislative instrument made by the Minister on the
6
day on which the strategy is approved, but section 42
7
(disallowance) of the
Legislation Act 2003
does not apply to a
8
general strategy.
9
36 When a general strategy for a year is in force
10
(1) A general strategy for a financial year comes into force at the later
11
of the following times:
12
(a) the time when the Minister approves the strategy;
13
(b) the start of the financial year.
14
(2) A general strategy for a financial year ceases to be in force when
15
the general strategy for the next financial year comes into force.
16
37 Variation of general strategy
17
(1) The Board must, during a financial year, regularly review the
18
general strategy that is in force for the year and consider if any
19
variations should be made to the strategy.
20
(2) The Board may vary a general strategy.
21
(3) A variation must be in writing.
22
(4) As soon as practicable after developing a variation, the Board must
23
give a copy of the variation to the Minister for approval.
24
(5) A variation comes into force at the later of the following times:
25
(a) the time when the Minister approves the variation;
26
(b) the commencement time specified in the instrument of
27
variation (not being a time before the instrument is made).
28
Part 3
Board of ALPA
Division 2
General strategy, guidelines and work plans
Section 38
28
Australian Local Power Agency Bill 2021
No. , 2021
(6) A variation developed by the Board and approved by the Minister
1
is a legislative instrument made by the Minister on the day on
2
which the variation is approved, but section 42 (disallowance) of
3
the
Legislation Act 2003
does not apply to a variation.
4
38 General strategy to be published on ALPA's website
5
The Board must ensure that the general strategy that is in force
6
from time-to-time under this Subdivision is published on ALPA's
7
website.
8
Subdivision B--Guidelines
9
39 Guidelines
10
(1) Subject to subsection (2), the Board may:
11
(a) develop guidelines for the provision of financial assistance
12
under this Act; and
13
(b) vary or revoke such guidelines.
14
(2) The Board must develop guidelines for a grant program if, under
15
the program, the total of all grants for a particular project could
16
exceed $15 million.
17
(3) Guidelines, or a variation or revocation of guidelines, must be in
18
writing.
19
(4) Unless section 40 applies, guidelines, or a variation or revocation
20
of guidelines, come into force at the commencement time specified
21
in the instrument making, varying or revoking the guidelines (not
22
being a time before the instrument is made).
23
(5) None of the following are legislative instruments:
24
(a) guidelines;
25
(b) a variation or revocation of guidelines.
26
Board of ALPA
Part 3
General strategy, guidelines and work plans
Division 2
Section 40
No. , 2021
Australian Local Power Agency Bill 2021
29
40 Approval of guidelines for financial assistance in excess of $15
1
million
2
(1) The Board must give to the Minister, for his or her approval:
3
(a) guidelines for a grant program referred to in
4
subsection 39(2); and
5
(b) any variation of such guidelines, unless the variation is of a
6
minor nature (a
minor variation
); and
7
(c) any revocation of such guidelines.
8
Note:
Grants totalling more than $50 million for a particular project must be
9
approved by the Minister under section 19.
10
(2) If the Board makes a minor variation, the Board must inform the
11
Minister of the variation.
12
(3) Guidelines, or a variation or revocation, referred to in
13
subsection (1) come into force at the later of the following times:
14
(a) the time when the Minister approves the guidelines, or the
15
variation or revocation (unless the variation is a minor
16
variation);
17
(b) the commencement time specified in the instrument making,
18
varying or revoking the guidelines (not being a time before
19
the instrument is made).
20
41 Guidelines to be published on ALPA's website
21
The Board must ensure that guidelines that are in force from
22
time-to-time under this Subdivision are published on ALPA's
23
website.
24
Part 3
Board of ALPA
Division 2
General strategy, guidelines and work plans
Section 42
30
Australian Local Power Agency Bill 2021
No. , 2021
Subdivision C--Work plans
1
42 Work plan
2
(1) The Board must, for the 2021-2022 financial year and each later
3
financial year, develop a work plan and give it to the Minister.
4
(2) The work plan for the 2021-2022 financial year must be developed
5
as soon as practicable after the start of that year. A work plan for a
6
later financial year must be developed during the previous financial
7
year.
8
(3) Subject to subsection (4), a work plan for a financial year must set
9
out details of:
10
(a) how the general strategy in force under Subdivision A of this
11
Division for the year is proposed to be implemented during
12
the year; and
13
(b) without limiting paragraph (a)--the main activities proposed
14
to be undertaken by ALPA and the Board during the year,
15
and how they are proposed to be undertaken.
16
(4) A work plan must not deal with carrying out ALPA's investment
17
function.
18
(5) The Board may, in writing, vary a work plan.
19
(6) Before finalising a work plan, or a variation of a work plan, the
20
Board must:
21
(a) prepare a draft of the plan or variation and give it to the
22
Minister; and
23
(b) have regard to any comments or requests made by the
24
Minister in relation to the draft.
25
(7) A work plan, or a variation of a work plan, comes into force at the
26
commencement time specified in the instrument making or varying
27
the work plan (not being a time before the instrument is made).
28
(8) A work plan is not a legislative instrument.
29
Board of ALPA
Part 3
General strategy, guidelines and work plans
Division 2
Section 43
No. , 2021
Australian Local Power Agency Bill 2021
31
43 Work plan to be taken into account
1
(1) When performing functions and exercising powers in a financial
2
year, ALPA, the Board and the CEO must take into account the
3
work plan for that financial year.
4
(2) Subsection (1) does not apply in relation to ALPA's investment
5
function.
6
Subdivision D--Investment policies
7
44 Investment policies
8
(1) The Board must formulate written policies to be complied with by
9
ALPA in relation to the following matters:
10
(a) the investment strategy of ALPA;
11
(b) benchmarks and standards for assessing the performance of
12
ALPA's investments and of ALPA itself;
13
(c) risk management for:
14
(i) ALPA's investments; and
15
(ii) ALPA itself, in relation to ALPA's investment function;
16
(d) a matter specified in the regulations.
17
Note:
For variation and revocation, see subsection 33(3) of the
Acts
18
Interpretation Act 1901
.
19
(2) The Board must ensure that the policies are consistent with the
20
Investment Mandate.
21
(3) The Board must cause copies of the policies to be published on
22
ALPA's website.
23
(4) The Board must ensure that the first policies are published as soon
24
as practicable and in any event no later than 1 July 2022.
25
(5) The Board must conduct periodic reviews of the policies.
26
(6) If there is a change in the Investment Mandate, the Board must
27
review any affected policies.
28
(7) ALPA must comply with the policies.
29
Part 3
Board of ALPA
Division 2
General strategy, guidelines and work plans
Section 44
32
Australian Local Power Agency Bill 2021
No. , 2021
(8) A failure to comply with a policy does not affect the validity of any
1
transaction.
2
(9) A policy formulated under subsection (1) is not a legislative
3
instrument.
4
Board of ALPA
Part 3
Board members
Division 3
Section 45
No. , 2021
Australian Local Power Agency Bill 2021
33
Division 3--Board members
1
45 Membership
2
The Board consists of:
3
(a) up to 6 appointed members; and
4
(b) the Secretary.
5
46 Appointment of Board members
6
(1) Board members (other than the Secretary) are to be appointed:
7
(a) by the Minister by written instrument; and
8
(b) on a part-time basis.
9
(2) In appointing the members (other than the Secretary), the Minister
10
must ensure that the Board (taken as a whole) has experience or
11
knowledge of the following:
12
(a) community energy projects;
13
(b) regional development;
14
(c) Indigenous community development;
15
(d) development or commercialisation of renewable energy
16
businesses;
17
(e) environmental and natural resource management.
18
47 Chair
19
The Minister must, by written instrument, appoint one Board
20
member to be the Chair.
21
48 Term of appointment
22
(1) An appointed member holds office for the period specified in the
23
instrument of appointment. The period must not exceed 2 years.
24
Note:
An appointed member is eligible for reappointment: see section 33AA
25
of the
Acts Interpretation Act 1901
.
26
Part 3
Board of ALPA
Division 3
Board members
Section 49
34
Australian Local Power Agency Bill 2021
No. , 2021
(2) A person must not hold office as an appointed member for a
1
continuous period of more than 6 years.
2
49 Acting appointments
3
(1) The Minister may, by written instrument, appoint a Board member
4
to act as the Chair:
5
(a) during a vacancy in the office of Chair (whether or not an
6
appointment has previously been made to the office); or
7
(b) during any period, or during all periods, when the Chair:
8
(i) is absent from duty or from Australia; or
9
(ii) is, for any reason, unable to perform the duties of the
10
office.
11
(2) The Minister may, by written instrument, appoint a person to act as
12
an appointed member:
13
(a) during a vacancy in the office of an appointed member
14
(whether or not an appointment has previously been made to
15
the office); or
16
(b) during any period, or during all periods, when an appointed
17
member:
18
(i) is absent from duty or from Australia; or
19
(ii) is, for any reason, unable to perform the duties of the
20
office.
21
Note:
For rules that apply to acting appointments, see sections 33AB and
22
33A of the
Acts Interpretation Act 1901
.
23
(3) For the purposes of a reference in:
24
(a) this Act to a
vacancy
in the office of appointed member; or
25
(b) the
Acts Interpretation Act 1901
to a
vacancy
in the
26
membership of a body;
27
there are taken to be 6 offices of appointed member.
28
50 Remuneration
29
(1) An appointed member is to be paid, by the Commonwealth, the
30
remuneration that is determined by the Remuneration Tribunal. If
31
Board of ALPA
Part 3
Board members
Division 3
Section 51
No. , 2021
Australian Local Power Agency Bill 2021
35
no determination of that remuneration by the Tribunal is in
1
operation, the member is to be paid, by the Commonwealth, the
2
remuneration that is prescribed by the regulations.
3
(2) An appointed member is to be paid, by the Commonwealth, the
4
allowances that are prescribed by the regulations.
5
(3) Subsections 7(9) and (13) of the
Remuneration Tribunal Act 1973
6
do not apply in relation to the office of an appointed member.
7
Note:
The effect of this subsection is that remuneration or allowances of an
8
appointed member will be paid out of money appropriated by an Act
9
other than the
Remuneration Tribunal Act 1973
.
10
(4) This section has effect subject to the
Remuneration Tribunal Act
11
1973
(except as provided by subsection (3)).
12
51 Leave of absence
13
Chair
14
(1) If the Chair is an appointed member, the Minister may grant leave
15
of absence to the Chair on the terms and conditions that the
16
Minister determines.
17
Other appointed members
18
(2) The Chair may grant leave of absence to any other appointed
19
member on the terms and conditions that the Chair determines.
20
(3) The Chair must notify the Minister if the Chair grants an appointed
21
member leave of absence for a period that exceeds 3 months.
22
52 Disclosure of interests to the Minister
23
(1) A disclosure by a Board member under section 29 of the
Public
24
Governance, Performance and Accountability Act 2013
(which
25
deals with the duty to disclose interests) must be made to the
26
Minister.
27
(2) Subsection (1) applies in addition to any rules made for the
28
purposes of that section.
29
Part 3
Board of ALPA
Division 3
Board members
Section 53
36
Australian Local Power Agency Bill 2021
No. , 2021
(3) For the purposes of this Act and the
Public Governance,
1
Performance and Accountability Act 2013
, the Board member is
2
taken not to have complied with section 29 of that Act if the
3
member does not comply with subsection (1) of this section.
4
53 Resignation of appointed members
5
(1) An appointed member may resign his or her appointment by giving
6
the Minister a written resignation.
7
(2) The resignation takes effect on the day it is received by the
8
Minister or, if a later day is specified in the resignation, on that
9
later day.
10
54 Termination of appointment of appointed members
11
(1) The Minister may terminate the appointment of an appointed
12
member:
13
(a) for misbehaviour; or
14
(b) if the member is unable to perform the duties of his or her
15
office because of physical or mental incapacity.
16
(2) The Minister may terminate the appointment of an appointed
17
member if:
18
(a) the member:
19
(i) becomes bankrupt; or
20
(ii) applies to take the benefit of any law for the relief of
21
bankrupt or insolvent debtors; or
22
(iii) compounds with his or her creditors; or
23
(iv) makes an assignment of his or her remuneration for the
24
benefit of his or her creditors; or
25
(b) the member is absent, except on leave of absence, from 3
26
consecutive meetings of the Board.
27
Note:
The appointment of an appointed member may also be terminated
28
under section 30 of the
Public Governance, Performance and
29
Accountability Act 2013
(which deals with terminating the
30
appointment of an accountable authority, or a member of an
31
accountable authority, for contravening general duties of officials).
32
Board of ALPA
Part 3
Board members
Division 3
Section 55
No. , 2021
Australian Local Power Agency Bill 2021
37
55 Other terms and conditions of appointed members
1
An appointed member holds office on the terms and conditions (if
2
any) in relation to matters not covered by this Act that are
3
determined by the Minister.
4
Part 3
Board of ALPA
Division 4
Meetings of the Board
Section 56
38
Australian Local Power Agency Bill 2021
No. , 2021
Division 4--Meetings of the Board
1
56 Convening meetings
2
(1) The Board must hold such meetings as are necessary for the
3
efficient performance of its functions.
4
(2) Meetings are to be held at the times and places that the Board
5
determines.
6
Note:
See also section 33B of the
Acts Interpretation Act 1901
, which
7
contains extra rules about meetings by telephone etc.
8
(3) The Chair:
9
(a) may convene a meeting at any time; and
10
(b) must convene at least 6 meetings each calendar year; and
11
(c) must convene a meeting within 30 days after receiving a
12
written request to do so from:
13
(i) 3 or more other Board members; or
14
(ii) the Minister.
15
57 Secretary may nominate alternate to attend Board meetings
16
(1) The Secretary may, by writing, nominate a specified person who is
17
an SES employee or acting SES employee in the Department to
18
attend a particular meeting, or all meetings, of the Board at which
19
the Secretary is not present.
20
(2) A person so nominated may attend a meeting to which the
21
nomination applies and, if the person does so, he or she is taken to
22
be a Board member.
23
58 Presiding at meetings
24
(1) The Chair must preside at all meetings at which he or she is
25
present.
26
(2) If the Chair is not present at a meeting, the other Board members
27
present must appoint one of themselves to preside.
28
Board of ALPA
Part 3
Meetings of the Board
Division 4
Section 59
No. , 2021
Australian Local Power Agency Bill 2021
39
59 Quorum
1
(1) At a meeting of the Board, a quorum is constituted by a majority of
2
the members of the Board.
3
(2) However, if:
4
(a) a Board member is required by rules made for the purposes
5
of section 29 of the
Public Governance, Performance and
6
Accountability Act 2013
not to be present during the
7
deliberations, or to take part in any decision, of the Board
8
with respect to a particular matter; and
9
(b) when the member leaves the meeting concerned there is no
10
longer a quorum present;
11
the remaining members at the meeting constitute a quorum for the
12
purpose of any deliberation or decision at that meeting with respect
13
to that matter.
14
60 Voting at meetings
15
(1) A question arising at a meeting is to be determined by a majority of
16
the votes of the Board members present and voting.
17
(2) The person presiding at a meeting has a deliberative vote and, in
18
the event of an equality of votes, a casting vote.
19
61 Conduct of meetings
20
The Board may, subject to this Division, regulate proceedings at its
21
meetings as it considers appropriate.
22
62 Minutes
23
The Board must keep minutes of its meetings.
24
63 Decisions without meetings
25
(1) The Board is taken to have made a decision at a meeting if:
26
Part 3
Board of ALPA
Division 4
Meetings of the Board
Section 63
40
Australian Local Power Agency Bill 2021
No. , 2021
(a) without meeting, a majority of the Board members entitled to
1
vote on the proposed decision indicate agreement with the
2
decision; and
3
(b) that agreement is indicated in accordance with the method
4
determined by the Board under subsection (2); and
5
(c) all the Board members were informed of the proposed
6
decision, or reasonable efforts were made to inform all the
7
members of the proposed decision.
8
(2) Subsection (1) applies only if the Board:
9
(a) has determined that it may make decisions of that kind
10
without meeting; and
11
(b) has determined the method by which Board members are to
12
indicate agreement with proposed decisions.
13
(3) For the purposes of paragraph (1)(a), a Board member is not
14
entitled to vote on a proposed decision if the member would not
15
have been entitled to vote on that proposal if the matter had been
16
considered at a meeting of the Board.
17
(4) The Board must keep a record of decisions made in accordance
18
with this section.
19
Board of ALPA
Part 3
Committees
Division 5
Section 64
No. , 2021
Australian Local Power Agency Bill 2021
41
Division 5--Committees
1
64 Committees
2
(1) The Board may establish committees to advise or assist in the
3
performance of ALPA's functions or the Board's functions.
4
(2) A committee may be constituted:
5
(a) wholly by Board members; or
6
(b) wholly by persons who are not Board members; or
7
(c) partly by Board members and partly by other persons.
8
(3) The Board may determine, in relation to a committee established
9
under this section:
10
(a) the committee's terms of reference; and
11
(b) the terms and conditions of appointment of the members of
12
the committee; and
13
(c) the procedures to be followed by the committee.
14
65 Remuneration and allowances
15
(1) This section applies if a committee is established under section 64.
16
(2) A committee member is to be paid, by the Commonwealth, the
17
remuneration that is determined by the Remuneration Tribunal. If
18
no determination of that remuneration by the Tribunal is in
19
operation, the member is to be paid, by the Commonwealth, the
20
remuneration that is prescribed by the regulations.
21
(3) A committee member is to be paid, by the Commonwealth, the
22
allowances that are prescribed by the regulations.
23
(3) Subsections 7(9) and (13) of the
Remuneration Tribunal Act 1973
24
do not apply in relation to the office of a committee member.
25
Note:
The effect of this subsection is that remuneration or allowances of a
26
committee member will be paid out of money appropriated by an Act
27
other than the
Remuneration Tribunal Act 1973
.
28
Part 3
Board of ALPA
Division 5
Committees
Section 65
42
Australian Local Power Agency Bill 2021
No. , 2021
(4) This section has effect subject to the
Remuneration Tribunal Act
1
1973
(except as provided by subsection (3)).
2
Chief Executive Officer, staff and consultants
Part 4
Chief Executive Officer of ALPA
Division 1
Section 66
No. , 2021
Australian Local Power Agency Bill 2021
43
Part 4--Chief Executive Officer, staff and
1
consultants
2
Division 1--Chief Executive Officer of ALPA
3
66 Establishment
4
There is to be a Chief Executive Officer of the Australian Local
5
Power Agency.
6
67 Role
7
(1) The CEO is responsible for the day-to-day administration of
8
ALPA.
9
(2) The CEO has power to do all things necessary or convenient to be
10
done for or in connection with the performance of his or her duties.
11
(3) The CEO is to act in accordance with policies determined by the
12
Board.
13
(4) The Board may give written directions to the CEO about the
14
performance of the CEO's responsibilities.
15
(5) The CEO must comply with a direction under subsection (4).
16
(6) A direction under subsection (4) is not a legislative instrument.
17
68 Appointment
18
(1) The CEO is to be appointed by the Minister on the
19
recommendation of the Board.
20
(2) The CEO is to be appointed:
21
(a) by written instrument; and
22
(b) on a full-time basis.
23
Part 4
Chief Executive Officer, staff and consultants
Division 1
Chief Executive Officer of ALPA
Section 69
44
Australian Local Power Agency Bill 2021
No. , 2021
(3) The CEO holds office for the period specified in the instrument of
1
appointment. The period must not exceed 3 years.
2
Note:
A CEO is eligible for re-appointment: see section 33AA of the
Acts
3
Interpretation Act 1901
.
4
(4) The Minister must not appoint a Board member as the CEO.
5
69 Acting appointments
6
(1) The Minister may, by written instrument, appoint a person
7
(including an appointed member) to act as the CEO:
8
(a) during a vacancy in the office of the CEO (whether or not an
9
appointment has previously been made to the office); or
10
(b) during any period, or during all periods, when the CEO:
11
(i) is absent from duty or from Australia; or
12
(ii) is, for any reason, unable to perform the duties of the
13
office.
14
(2) If the Minister appoints an appointed member to act as the CEO,
15
the member is to be appointed to act on a part-time basis.
16
Note:
Sections 33AB and 33A of the
Acts Interpretation Act 1901
have rules
17
that apply to acting appointments.
18
70 Outside employment
19
The CEO must not engage in paid work outside the duties of his or
20
her office without the Minister's approval.
21
71 Remuneration
22
(1) The CEO is to be paid, by the Commonwealth, the remuneration
23
that is determined by the Remuneration Tribunal. If no
24
determination of that remuneration by the Tribunal is in operation,
25
the CEO is to be paid, by the Commonwealth, the remuneration
26
that is prescribed by the regulations.
27
(2) The CEO is to be paid, by the Commonwealth, the allowances that
28
are prescribed by the regulations.
29
Chief Executive Officer, staff and consultants
Part 4
Chief Executive Officer of ALPA
Division 1
Section 72
No. , 2021
Australian Local Power Agency Bill 2021
45
(3) Subsections 7(9) and (13) of the
Remuneration Tribunal Act 1973
1
do not apply in relation to the office of an appointed member.
2
Note:
The effect of this subsection is that remuneration or allowances of the
3
CEO will be paid out of money appropriated by an Act other than the
4
Remuneration Tribunal Act 1973
.
5
(4) This section has effect subject to the
Remuneration Tribunal Act
6
1973
(except as provided by subsection (3)).
7
72 Leave
8
(1) The CEO has the recreation leave entitlements that are determined
9
by the Remuneration Tribunal.
10
(2) The Minister may grant the CEO leave of absence, other than
11
recreation leave, on the terms and conditions as to remuneration or
12
otherwise that the Minister determines.
13
73 Disclosure of interests to the Minister
14
(1) A disclosure by the CEO under section 29 of the
Public
15
Governance, Performance and Accountability Act 2013
(which
16
deals with the duty to disclose interests) must be made to the
17
Minister.
18
(2) Subsection (1) applies in addition to any rules made for the
19
purposes of that section.
20
(3) For the purposes of this Act and the
Public Governance,
21
Performance and Accountability Act 2013
, the CEO is taken not to
22
have complied with section 29 of that Act if the CEO does not
23
comply with subsection (1) of this section.
24
74 Resignation
25
(1) The CEO may resign his or her appointment by giving the Minister
26
a written resignation.
27
Part 4
Chief Executive Officer, staff and consultants
Division 1
Chief Executive Officer of ALPA
Section 75
46
Australian Local Power Agency Bill 2021
No. , 2021
(2) The resignation takes effect on the day it is received by the
1
Minister or, if a later day is specified in the resignation, on that
2
later day.
3
75 Termination of appointment
4
(1) The Minister may terminate the appointment of the CEO:
5
(a) for misbehaviour; or
6
(b) if the CEO is unable to perform the duties of his or her office
7
because of physical or mental incapacity.
8
(2) Before the Minister terminates the appointment of the CEO under
9
subsection (1) the Minister must consult the Board.
10
(3) The Minister may terminate the appointment of the CEO if:
11
(a) the CEO:
12
(i) becomes bankrupt; or
13
(ii) applies to take the benefit of any law for the relief of
14
bankrupt or insolvent debtors; or
15
(iii) compounds with his or her creditors; or
16
(iv) makes an assignment of his or her remuneration for the
17
benefit of his or her creditors; or
18
(b) the CEO is absent, except on leave of absence, for 14
19
consecutive days or for 28 days in any 12 months; or
20
(c) the CEO fails, without reasonable excuse, to comply with
21
section 29 of the
Public Governance, Performance and
22
Accountability Act 2013
(which deals with the duty to
23
disclose interests) or rules made for the purposes of that
24
section; or
25
(d) the CEO engages, except with the Minister's approval, in
26
paid work outside the duties of his or her office (see
27
section 70).
28
76 Other terms and conditions
29
The CEO holds office on the terms and conditions (if any) in
30
relation to matters not covered by this Act that are determined by
31
the Minister.
32
Chief Executive Officer, staff and consultants
Part 4
Staff and consultants
Division 2
Section 77
No. , 2021
Australian Local Power Agency Bill 2021
47
Division 2--Staff and consultants
1
77 Chief Financial Officer
2
(1) ALPA may employ a person to perform chief financial officer
3
functions in ALPA.
4
(2) The person is to be employed on the terms and conditions that
5
ALPA determines in writing.
6
78 Other staff
7
(1) The other staff necessary to assist ALPA are to be persons engaged
8
under the
Public Service Act 1999
who are:
9
(a) employed in the Department; and
10
(b) made available for the purpose by the Secretary.
11
(2) ALPA must not otherwise engage or employ such staff.
12
(3) The Secretary must make available persons employed in the
13
Department to assist ALPA.
14
79 Consultants
15
(1) ALPA may engage consultants to provide technical and specialist
16
advisory services to assist ALPA in the performance of its
17
functions.
18
(2) The consultants are to be engaged on the terms and conditions that
19
ALPA determines.
20
(3) A person must not be engaged as a consultant to perform
21
operational or administrative duties of a kind that are performed, or
22
are capable of being performed, by the staff referred to in
23
section 78.
24
Part 5
Miscellaneous
Section 80
48
Australian Local Power Agency Bill 2021
No. , 2021
Part 5--Miscellaneous
1
2
80 Matters relating to subsidiaries
3
(1) ALPA must not incorporate or otherwise form a subsidiary:
4
(a) for purposes other than the purposes of ALPA's investment
5
function; or
6
(b) in a place other than Australia.
7
(2) In making investments for the purposes of ALPA's investment
8
function, a subsidiary of ALPA must:
9
(a) only make complying investments; and
10
(b) take all reasonable steps to comply with the Investment
11
Mandate, to the extent to which the Investment Mandate is
12
capable of applying to the activities of the subsidiary; and
13
(c) comply with policies formulated by the Board under
14
section 44, to the extent to which the policies are capable of
15
applying to the activities of the subsidiary; and
16
(d) only acquire derivatives for a purpose for which ALPA may
17
do so under section 29.
18
81 Publication of investment reports
19
(1) ALPA must, within one month after the end of each quarter,
20
publish a report on its website for the quarter:
21
(a) containing a general summary of each investment made in
22
that quarter for the purposes of ALPA's investment function,
23
including at least the following:
24
(i) the form of the investment;
25
(ii) the value of the investment or the amount invested;
26
(iii) when the investment was made; and
27
(iv) the length and expected rate of return of the investment;
28
and
29
(v) for a guarantee--the fee for the guarantee; and
30
Miscellaneous
Part 5
Section 82
No. , 2021
Australian Local Power Agency Bill 2021
49
(vi) the place or places where the main activities to which
1
the investment relates are carried out; and
2
(c) setting out any other matters ALPA considers appropriate.
3
Note:
ALPA must also publish these reports about investments made by its
4
subsidiaries: see subsection 80(2).
5
(2) A
quarter
is a period of 3 months ending on:
6
(a) 31 March; and
7
(b) 30 June; and
8
(c) 30 September; and
9
(d) 31 December.
10
82 Publication of reports etc.
11
(1) Either of the responsible Ministers may publish, on the internet or
12
in any other way the Minister considers appropriate, a report,
13
document or information given to the responsible Ministers, or to
14
the Finance Minister in his or her capacity as Finance Minister,
15
under paragraph 19(1)(b) of the
Public Governance, Performance
16
and Accountability Act 2013
.
17
(2) The Minister must omit from the published report, document or
18
information any information that the Board is satisfied in
19
accordance with subsection (3) is commercial-in-confidence.
20
(3) The Board may be satisfied that information is
21
commercial-in-confidence if a person demonstrates to the Board
22
that:
23
(a) release of the information would cause competitive detriment
24
to the person; and
25
(b) the information is not in the public domain; and
26
(c) the information is not required to be disclosed under another
27
law of the Commonwealth, a State or a Territory; and
28
(d) the information is not readily discoverable.
29
Part 5
Miscellaneous
Section 83
50
Australian Local Power Agency Bill 2021
No. , 2021
83 Extra matters to be included in annual report
1
(1) The annual report prepared by the Board and given to the Minister
2
under section 46 of the
Public Governance, Performance and
3
Accountability Act 2013
for a period must include the following:
4
(a) particulars of each request given to ALPA by the Minister
5
under section 18, during the period;
6
(b) particulars of each direction given to ALPA by the Minister
7
under section 10, during the period;
8
(c) for each person to whom financial assistance has been
9
provided, or committed, under an agreement during the
10
period, particulars of:
11
(i) the name of the person; and
12
(ii) the nature and amount of the financial assistance
13
provided or committed; and
14
(iii) the clean energy projects to which the assistance relates;
15
(d) an assessment of the extent to which agreements for the
16
provision of financial assistance entered into during the
17
period have progressed, or are expected to progress, the
18
principal objectives and priorities as stated in the general
19
strategy in force under Subdivision A of Division 2 of Part 3
20
for the period;
21
(e) state the total value of section 24 investments as at the end of
22
the period, by reference to the class of community energy
23
projects to which the investments relate;
24
(f) set out details of the realisation of any section 24 investments
25
in the period;
26
(g) state the total value of concessions given by ALPA in the
27
period;
28
(h) include a balance sheet setting out, as at the end of the
29
period, the assets and liabilities of ALPA and a statement of
30
cash flows;
31
(i) set out the remuneration and allowances of Board members
32
and senior staff of ALPA for the period;
33
(j) set out ALPA's operating costs and expenses for the period;
34
Miscellaneous
Part 5
Section 84
No. , 2021
Australian Local Power Agency Bill 2021
51
(k) benchmark ALPA's operating costs and expenses for the
1
period against the operating costs and expenses of other
2
comparable entities for that period;
3
(l) set out details of any procurement contracts to which ALPA
4
is party that are in force at any time in the period and have a
5
value of more than $80,000.
6
(2) An annual report must also do the things referred to in
7
paragraphs (1)(e) to (h) in relation to each subsidiary of ALPA in
8
existence at the end of the period.
9
84 Delegation by ALPA
10
(1) ALPA may, in writing under its seal, delegate all or any of its
11
powers or functions under this Act to:
12
(a) a Board member; or
13
(b) the CEO.
14
(2) In exercising any powers or performing any functions under the
15
delegation, the delegate must comply with any directions of ALPA.
16
85 Delegation by Board
17
(1) The Board may, in writing, delegate to a Board member or the
18
CEO any of its powers or functions under this Act, other than
19
Subdivision A of Division 2 of Part 3 (general strategy).
20
(2) In exercising any powers or performing any functions under the
21
delegation, the delegate must comply with any directions of the
22
Board.
23
(3) A delegation under this section:
24
(a) may be revoked by the Board (whether or not constituted by
25
the Board members who constituted the Board when the
26
power was delegated); and
27
(b) continues in force even if the membership of the Board
28
changes.
29
Part 5
Miscellaneous
Section 86
52
Australian Local Power Agency Bill 2021
No. , 2021
86 Subdelegation by CEO
1
(1) If ALPA or the Board delegates a power or function under
2
subsection 84(1) or 85(1) to the CEO, the CEO may, in writing,
3
subdelegate the power or function to:
4
(a) the Chief Financial Officer; or
5
(b) a member of staff referred to in section 78 who:
6
(i) is an SES employee or acting SES employee in the
7
Department; or
8
(ii) is an APS employee in the Department who is classified
9
as Executive Level 2, or is acting in a position usually
10
occupied by an APS employee who is so classified.
11
(2) In exercising any powers or performing any functions under the
12
subdelegation, the subdelegate must comply with any directions of
13
the CEO.
14
(3) Sections 34AA, 34AB and 34A of the
Acts Interpretation Act 1901
15
apply in relation to the subdelegation in a corresponding way to the
16
way in which they apply in relation to a delegation.
17
87 Disclosure of information to Australian Renewable Energy
18
Agency or Clean Energy Finance Corporation
19
ALPA may disclose information to the Australian Renewable
20
Energy Agency or the Clean Energy Finance Corporation if the
21
disclosure will enable or assist the Australian Renewable Energy
22
Agency or the Clean Energy Finance Corporation to perform or
23
exercise any of its functions or powers.
24
88 Review of operation of Act
25
(1) The Minister must arrange for an independent review of the
26
operation of this Act to be undertaken as soon as practicable after
27
1 July 2025 by an appropriately qualified person or persons.
28
(2) The review must include a review of the effectiveness of ALPA in
29
facilitating increased flows of finance into the community energy
30
sector.
31
Miscellaneous
Part 5
Section 89
No. , 2021
Australian Local Power Agency Bill 2021
53
(3) The review must make provision for public consultation.
1
(4) The person or persons who undertake the review must give the
2
Minister a written report of the review.
3
(5) The Minister must cause a copy of the report to be tabled in each
4
House of the Parliament within 15 sitting days of the day the report
5
is given to the nominated Minister.
6
89 Regulations
7
The Governor-General may make regulations prescribing matters:
8
(a) required or permitted by this Act to be prescribed; or
9
(b) necessary or convenient to be prescribed for carrying out or
10
giving effect to this Act.
11