43—Ability of councils to establish a regional subsidiary
(1) Two or more
councils (the "constituent councils") may establish a
provide a specified service or services or to carry out a specified activity
or activities; or
perform a function of the councils under this or another Act.
(2) If a
regional subsidiary is established to perform a regulatory activity of the
constituent councils, the subsidiary cannot also perform a significant and
related service activity.
A service activity is related to a regulatory activity if the service is one
that is regulated under the regulatory activity.
(3) The establishment
of a regional subsidiary under this section is subject to obtaining the
approval of the Minister to the conferral of corporate status under this Act.
(4) The establishment
of a regional subsidiary does not derogate from the power of a
constituent council to act in a matter.
Schedule 2 contains other provisions relevant to a regional subsidiary
established by two or more councils under this section.