Commonwealth of Australia Explanatory Memoranda

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AUSTRALIAN CENTRE FOR INTERNATIONAL AGRICULTURAL RESEARCH AMENDMENT BILL 2007

                            2004-2005-2006-2007

     THE PARLIAMENT OF THE COMMONWEALTH OF AUSTRALIA

                                  SENATE




AUSTRALIAN CENTRE FOR INTERNATIONAL AGRICULTURAL RESEARCH
                    AMENDMENT BILL 2007



          ADDITIONAL EXPLANATORY MEMORANDUM




         (Circulated by authority of the Minister for Foreign Affairs,
                   the Honourable Alexander Downer MP)
           AUSTRALIAN CENTRE FOR INTERNATIONAL AGRICULTURAL
                     RESEARCH AMENDMENT BILL 2007

                                           OUTLINE

The Australian Centre for International Agricultural Research Amendment Bill 2007 (referred to in
this Additional Explanatory Memorandum as the "Bill") was introduced into the House of
Representatives on 23 May 2007. The Bill was immediately referred to the Senate Standing
Committee on Foreign Affairs, Defence and Trade for consideration. The Bill passed the House of
Representatives on 23 May 2007. The Senate Committee tabled its report on the Bill to the Senate
on 12 June 2007.

The purpose of this additional explanatory memorandum is to provide further notes on the
provisions raised by the Senate Committee in its report.



                             FINANCIAL IMPACT STATEMENT

The Bill will have no financial impact.
                             ADDITIONAL NOTES ON CLAUSES

Schedule 1 - Amendments

Item 17 - Part III

Part III, Division 1, section 9 is a new provision and relates to the establishment under the Bill of
the Commission for International Agricultural Research ("the Commission"). The purpose of this
provision is to set out the functions of the Commission. Those functions are to provide a forum for
collective decision-making to ensure qualified expert advice is provided to the Minister for Foreign
Affairs on, inter alia, ACIAR's program formulation, priority setting and funding for research
related to identifying and solving the agricultural problems of developing countries. The
Commission will also be available to provide, upon request of the Minister, advice on any matter
relating to ACIAR's enabling legislation.

The Commission will be charged with providing regular advice to the Minister on the strategic
direction of ACIAR to ensure the Centre is focused on interventions that make tangible
improvements to agricultural practices in developing countries and are consistent with Australia's
overseas development program. This strategic direction will include the provision of advice on
ACIAR's overall program and funding priorities across the region as a whole, including their
coherence and intent. In addition, the Commission will provide advice to the Minister on the
establishment and funding of training schemes, the funding of development activities related to
ACIAR's research programs and the funding of international agricultural research centres. It is
envisaged that the Commission will meet regularly, at least four times each financial year (s. 16C).

Part III, Division 2, section 10 is a new provision relating to the appointment of Commissioners. It
provides that a Commissioner is appointed by the Governor-General and holds office for a period
not exceeding three years. To ensure clarity of purpose and distinction of roles between the
Commission and the Policy Advisory Council ("the Council"), the provision also provides that a
person cannot be appointed as a Commissioner if the person is a member of the Council.

The functions of the Commission and Council are complementary but quite distinct. The Council
provides advice to the Minister on the effectiveness of ACIAR's programs in specific partner
countries. Unlike the Commission, a substantial number of Council members are residents of
countries other than Australia. This enables partner country experts to provide direct advice to the
Minister about whether ACIAR programs are responding directly to partner country priorities and
making real improvements to livelihoods consistent with Australia's overseas development
program. The Council is also the vehicle for engaging major counterpart research agencies in
partner countries and for establishing and maintaining ongoing dialogue on agricultural
development issues in the region. The Council is not tasked with providing advice on priority
setting and funding or those matters referred to in new subsection 9(a) to (d), as these are the
functions of the Commission. That said, the findings of the PAC will enhance the Commission's
capacity to provide strategic advice on ACIAR's overall program and funding priorities. The
Council currently meets annually.

Item 25 - Part V

Part V, subsection 24(3) is a new provision relating to the appointment of the Chief Executive
Officer (CEO). The provision provides that a person may be appointed as both the CEO and a
Commissioner (including the Chair). The wording of this provision is intended to provide
flexibility to the Minister to be able to recommend that the CEO be appointed as a member of the
Commission on a case-by-case basis. In the interests of maximising flexibility, this provision has
been drafted to also permit an arrangement whereby the person occupying the position of Chair of
the Commission may also be appointed as the Chief Executive Officer under the Financial
Management and Accountability Act 1997. The Bill is drafted to enable the Minister to have
flexibility in determining whether it is in the interests of the Commission that the CEO be
recommended to the Governor-General to be appointed a member or Chair.

Item 36 - Section 41
Section 41 of the Act is repealed and a new provision dealing with delegation by the Minister is
substituted by the Bill. The new provision does not replicate part of the requirements of subsection
41(1) or subsections 41(2) and (3) as the requirements of those subsections are covered by the Acts
Interpretation Act 1901 (section 34AB). The substituted provision as drafted is consistent with
current drafting standards.