ALERT DIGEST 14 of 1994

Part 8

25.1

This Bill was introduced into the Legislative Assembly on 10 November 1994 by The Honourable Jim Plowman with The Honourable Ian Smith.

25.2

The purpose of this Act is:-

to restructure the gas industry;
to establish Gas Transmission Corporation and GASCOR;
to provide for the technical regulation of the gas industry;
to provide for the transfer or property, rights and liabilities from the Gas and Fuel Corporation of Victoria and for the transfer of staff;

25.3 _Ż Part 2 - Gas companies

Clause 2 is the commencement provision. Subclause (4) provides that Part 13 is to come into operation on a day to be proclaimed. Part 13 provides for a deemed referral of certain liabilities under GFCV's financial obligations by the Treasury Corporation of Victoria.

Clause 9 establishes the Gas Transmission Corporation, ("GTC"). Clause 13 establishes GASCOR. Clause 17 applies Schedule 1 to each company. The Committee notes that the persons to whom the powers are delegated under clause 1 in the Schedule are limited. Any other powers may be delegated to anyone with the consent of the Minister.

Clause 20 provides that any dispute as between any Government department and local authority may be finally and conclusively determined by the Governor in Council.

Clause 28 provides that the Minister with the approval of the Treasurer may in writing direct the board of a gas company to perform certain functions that the Minister considers to be in the public interest but that may cause the gas company to suffer financial detriment. Clause 32 gives a gas company the power to fix tariffs which must be published in the Government Gazette.

25.4 _Ż Part 4 - Technical Regulation

This Part imposes certain requirements on gas companies in relation to the installation of metres.

25.6 _Ż Part 5 - Property and Works

Clause 51 gives a gas company the power to compulsorily acquire land with the approval of the Minister. Such acquisition is governed by the Land Acquisition and Compensation Act 1986. Clause 53 gives a gas company, its officers and employees the power to enter public and private land for the purposes of the Act, ie: construction, maintenance, repairs etc. Any compensation caused by any damage by the company must be paid within 2 years. In the absence of agreement, the provisions of the Land Acquisition and Compensation Act 1986 govern the compensation payable. Clauses 55 - 60 set out the various offences.

25.7 _Ż Part 6 - Statutory easements

Clause 61 deems certain easements, right and privileges of a gas company to be an easement vested in the gas company. Clause 62 deals with easements over land held by Crown licensees or lessees.

25.8 _Ż Part 7 - Transfer of property

This Part provides for the transfer of GFCV's property rights and liabilities to the Treasurer, GTC and GASCOR. Pursuant to clause 68 there is also provision for property, rights and liabilities to be transferred by a gas company to another gas company, GFCV, the State or any two or more of them through the preparation of an allocation statement. On the relevant date, all property rights and liabilities allocated under an allocation statement will be transferred to the transferee. Clause 83 authorises each gas company to exercise rights and privileges in respect of easements to which the other gas company is entitled. A gas company must pay reasonable charges for the exercise of those rights and privileges in respect of easements. In the absence of agreement, the amount to be paid is to be determined by the Minister.

25.9 _Ż Part 8 - Staff

This Part provides for the transfer of GFCV staff to GASCOR and their superannuation.

25.10 _Ż Part 9 - General

Clause 88 provides that the Minister or the Treasurer may, in writing delegate to any person any function or power of the Minister or the Treasurer under the Act. The Committee notes that neither the powers which may be delegated are limited nor the persons or class or persons to whom those powers may be given. The Committee is of the view that this may contravene section 4D(a)(ii) in that it makes rights, freedoms or obligations dependent upon insufficiently defined administrative powers. The Committee has written to the Minister.

Clause 92 provides that an officer or employee of a gas company may enter any premises to which the company supplies or transmits gas to inspect any gas fitting or to find out the quantity of gas consumed, supplied or transmitted at any reasonable time. Clause 101 provides that regulations may provide for the authorisation of acts or things for the purposes of Part IV of the Commonwealth Trade Practices Act 1974. Clause 102 is the regulation making power.

25.11 _Ż Parts 10, 11, 12 and 13

Part 10 contains transitional provisions. Part 11 makes the necessary amendments to the Gas and Fuel Corporation Act 1958. Part 12 makes consequential amendments to various other Acts. Part 13 makes the necessary amendments to the Treasury Corporation of Victoria Act 1992.

The Committee makes no further comment.

SUPERANNUATION ACTS (FURTHER AMENDMENT) BILL

26.1

This Bill was introduced into the Legislative Assembly on 9 November 1994 by The Honourable Ian Smith MP with The Honourable Alan Stockdale MP.

26.2

This Bill makes miscellaneous amendments to specified Superannuation Acts. The amendments relate mainly to technical and administrative matters.

26.3_ŻAmendment of Emergency Services Superannuation Act 1986, the Police Regulation Act 1958 and the Hospital Superannuation Act 1988

Clause 2 is the commencement provision. The Committee notes the retrospective effect of some provisions. Clause 6 inserts various definitions into the Police Regulation Act 1958. Under the changes the assets and liabilities under Part III of that Act are to be managed by the Emergency Services Superannuation Board. Clause 8 replaces provisions which contravene the Commonwealth Sex Discrimination Act 1984.

Clause 14 inserts a new definition of disability which complies with the requirements under Commonwealth superannuation law about the payment of benefits before a person's normal retirement age. Clause 37 enables the Board, where a deferred benefit does not exceed $500 to pay the deferred benefit to the contributor at any time after he or she ceases to be an employee of a participating institution. Clause 22 inserts a new standard provision to comply with Commonwealth superannuation law in relation to temporary pensions. Clause 24 restores the bi-annual indexation of pensions and deferred benefits so that the Hospital Superannuation Fund complies with Commonwealth superannuation law.

26.4_Ż Amendment of Local Authorities Superannuation Act 1958, the Public Sector Superannuation (Administration) Act 1993, the Parliamentary Salaries and Superannuation Act 1968

Clause 26 makes provision for the transfer of assets from the Local Authorities Superannuation Fund to the Victorian Electricity Industry Superannuation Fund for the employees of municipal electrical undertakings that transferred to a new electricity distribution business on 3 October 1994. In the event of a failure to agree on the liabilities and assets and terms and conditions for the transfer, the Minister determines the matters. Clause 30 ensures that the Board which administers benefits for a group of members or beneficiaries that has been transferred under section 65 has the same powers that were available under the governing rules to the Board which previously administered those benefits.

Clause 32 amends section 15(1A) so that pensions for former members and other eligible beneficiaries are automatically adjusted by any movement in a member's basic salary. Clause 33 states the version of section 19 of the Act the trustees must apply when using sections 15(2) and 15(3). It also inserts a date to clarify which refund of contributions or retiring allowances must be taken into account. Clause 34 repeals the indexation of pensions provision. The Committee notes the comment in the explanatory memorandum that this provision in conjunction with clause 32 ensures that the Fund remains a complying superannuation scheme under Commonwealth superannuation law and receives concessional tax treatment on its income.

26.5_Ż Amendment of State Employees Retirement Benefits Act 1979, the State Superannuation Act 1988

Clause 42 sets the maximum percentage of the remuneration package which can be counted as salary for a person who is a member of the Principal Class as defined in the Teaching Service Act 1981. Clause 46 restores the bi-annual indexation of pensions and deferred benefits so that State Employees Retirement Benefits Fund continues to comply with Commonwealth superannuation law and therefore receives concessional tax treatment on its income. Clause 47 amends a number of provisions to comply with the Commonwealth Sex Discrimination Act 1984. It also introduces the procedure the Board is to follow to apportion a spouse pension when more than one person applies as the spouse to the deceased member. The Board has absolute discretion to determine which person qualifies to receive the pension.

Clause 55 sets the maximum percentage of the remuneration package which can be counted as salary for a person who is a member of the Principal Class as defined in the Teaching Service Act 1981. Clause 62 enables the payment of a temporary pension where the new scheme member is unable to continue in service but has not retired on the ground of disability. Clause 63 inserts a new standard provision to comply with Commonwealth superannuation law in relation to temporary benefits.

26.6_Ż Amendment of the Superannuation (Portability) Act 1989, the Transport Superannuation Act 1988

Clause 69 restores the quarterly indexation of deferred benefits so that the relevant statutory superannuation scheme continues to comply with the Commonwealth superannuation law and therefore receives concessional tax treatment on its income. Clause 75 specifies that there is no entitlement to a disability benefit under section 31 of the Transport Superannuation Act 1988 if the member is no longer employed and the cessation of employment was not a ground of disability. Clause 80 deletes the names of four superannuation boards that have been abolished.

The Committee makes no further comment.

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