New South Wales Bills Explanatory Notes New South Wales Bills Explanatory Notes[Index] [Search] [Download] [Bill] [Help]
Explanatory note
This explanatory note relates to this Bill as introduced into Parliament.*
(a) to strengthen the powers of the Department of Health concerning the
safety of drinking water. and
( b ) to replace the companies responsible for water supply and other
matters in the Sydney and Hunter regions with new statutory
corporations (Sydney Water Corporation and Hunter Water
Corporation). and
* Amended i n committee-see table at end of volume.
(c)
to disestablish those companies as company State owned corporations
("company SOCs") and to establish the new statutory corporations as
statutory State owned corporations ("statutory SOCs"), and
(d)
to facilitate the giving of certain directions to boards of statutory SOCs
and the compliance by them with any such directions.
Clause 2 provides for the commencement of the proposed Act on a day or
days to be appointed by proclamation.
Clause 3 is a formal provision giving effect to the amendments to the Public
Health Act 1991 set out in Schedule 1.
Clause 4 is a formal provision giving effect to the amendments to the State
Owned Corporations Act 1989 set out in Schedule 2.
Clause 5 is a formal provision giving effect to the amendments to the Water
Board (Corporatisation) Act 1994 set out in Schedule 3.
Clause 6 is a formal provision giving effect to the amendments to the
Hunter Water Board (Corporatisation) Act 1991 set out in Schedule 4.
Clause 7 is a formal provision giving effect to the amendments to Acts as
set out in Schedule 5.
Clause 8 contains a transitional provision to deal with the possibility that
references may be made in legislation to a new statutory corporation before
the corresponding company ceases to be a State owned corporation. The
clause treats such a reference as extending to the company.
Clause 9 provides that notes in the proposed Act do not form part of the
Act.
Schedule 1
Amendment of Public Health Act 1991
Schedule 1 [l] replaces the current heading (Health risks) to Part 2 of the
Public Health Act 1991 (the principal Act) in consequence of the proposed
insertion of the new Part 2A (Safety of drinking water) by Schedule 1 [3].
Schedule 1 [2] repeals section 7 (Closure of
water supply) of the principal
Act. The section is proposed to be re-enacted in the proposed new Part 2A.
Schedule 1 [3] inserts proposed Part 2A (sections 10A-10M).
Proposed section 10A defines certain terms (including
boil water advice.
drinking water and supplier of drinking water) for the purposes of the
proposed Part.
Explanatory note page 2
Proposed section 10B provides that the Chief Health Officer of the
Department of Health (the Chief Health Officer) may from time to time
prepare advice for the benefit of the public concerning the safety of available
drinking water (or drinking water available from a particular supplier). The
advice is to be provided to the relevant supplier and issued to the public by it
in the form and manner specified by the Director-General of the Department
of Health (the Director-General). However, the Chief Health Officer may also
issue the advice to the public.
Proposed section 10C enables the Chief Health Officer to require a supplier
of drinking water to retract or correct any information or advice relating to
the safety of drinking water issued to the public by or on behalf of the
supplier if the Chief Health Officer considers the information or advice to be
misleading.
Proposed section 10D makes it clear that the Chief Health Officer may
delegate any of his or her functions (other than the power of delegation).
Proposed section 10E permits the Director-General to declare that, in relation
to a particular supplier of drinking water. the function of determining whether
or not a "boil water advice" should be issued or withdrawn (and of
determining the additional information (if any) that is to be provided in
connection with such an advice). is to be exercised only by the Chief Health
Officer. (However. the Chief Health Officer may delegate the power to
exercise that function.) Such declarations are taken to have been made in
respect of Sydney Water Corporation and Hunter Water Corporation on the
commencement of the proposed section.
Proposed section 10F empowers a person authorised by the Director-General
for the purposes of the proposed section to enter premises of a supplier of
drinking water and carry out the various examinations and inspections. and
take the various samples. recordings and copies of records. specified in the
proposed section.
Proposed section 10G empowers the Director-General to require a supplier of
drinking water to carry out various tests in relation to water that it has
available for supply.
Proposed section 10H enables the Director-General to require a supplier of
drinking water to produce certain information to the Director-General
(including the results of any tests carried out under proposed section 10G).
Explanatory note page 3
Proposed section 101 re-enacts section 7 (Closure of water supply) with
modifications and additions. The proposed section allows the Minister
administering the Act to give certain directions in relation to drinking water
that the Minister has reason to suspect is not fit for human consumption and
any other water that the Minister suspects on reasonable grounds constitutes
(or is likely to constitute) a risk to public health. However, before giving such
a direction to certain suppliers of drinking water (or to a person who treats or
supplies water on behalf of any of those suppliers). the Minister must consult
with the Minister administering the Act under which the supplier is
constituted (and, in the case of local councils and county councils. with the
Minister administering the Water Supply Authorities Act 1987 as well as the
Minister administering the Local Government Act 1993).
Proposed section 10J protects the State of New South Wales, Ministers of the
Crown in right of New South Wales and officers of the Department of Health
from any action. liability, claim or demand arising from the provision of any
information or advice concerning drinking water by the Chief Health Officer
exercising certain functions under proposed Part 2A for the purpose of
executing the principal Act.
Proposed section 10K is an evidentiary provision. It provides that a
certificate signed by the Minister, the Director-General or the Chief Health
Officer to the effect that the signatory gave a specified direction to a specified
person on a specified day is admissible in evidence and is prima facie
evidence of the facts stated in it.
Proposed section 10L provides that proceedings for offences under the
proposed Part may be dealt with summarily by the Supreme Court in its
summary jurisdiction. The proceedings may be commenced at any time
within 2 years after the date of the alleged offence.
Proposed section 10M empowers the making of regulations concerning
specific matters dealt with by the proposed Part.
Schedule 1 [4] makes a consequential amendment to section 79 (Proceedings
for offences).
Schedule 1 [5] amends Schedule 4 (Savings and transitional provisions) to
the principal Act so as to allow the making of savings and transitional
provisions consequent on the enactment of proposed Schedule 1. Schedule 1
[6] makes a consequential amendment.
Explanatory note page 4
Schedule 2
Amendment of State Owned Corporations
Act 1989
Part 1 of Schedule 2 deals with the status of the companies mentioned in the
Overview above as company SOCs.
Schedule 2 [1] and [2] omit the names of the companies from Schedule 1 to
the State Owned Corporations Act 1989. This will have the effect of
disestablishing the companies as company SOCs, as the expression company
SOC is defined in the Act as "a company for the time being specified in
Schedule 1".
Part 2 of Schedule 2 makes other amendments to the Act.
Schedule 2 [3] makes it clear that directors and other officers of a SOC have
no personal liability in connection with anything done to comply with a
public sector policy notified to the board by the portfolio Minister under the
Act. a direction of the portfolio Minister given in the public interest to the
board under the Act. or a request of the portfolio Minister under the Act to
the board for information relating to the affairs of the SOC or of its
subsidiaries.
Schedule 2 [4] makes a consequential amendment to the Act.
The Act will also be amended by provisions proposed to be inserted into the
Acts being amended by Schedules 3 and 4 to the proposed Act. These
amendments will insert the names of the new statutory corporations into
Schedule 5 to the Act.
Schedule 3
Amendment of Water Board (Corporatisation)
Act 1994
Schedule 3 creates a new statutory corporation named "Sydney Water
Corporation", and establishes it as a statutory SOC.
Schedule 3 [ 1 ] changes the name of the Act. so as to remove the reference in
i t to the previous Water Board. Section 70 of the Interpretation Act 1987
provides for references to Acts whose citations have changed to be read as
references to the changed citations.
Schedule 3 [5] inserts provisions that create a new statutory corporation with
the name "Sydney Water Corporation". and that insert its name into
Schedule 5 of the State Owned Corporations Act 1989, thereby making it a
statutory SOC.
Explanatory note page 5
Schedule 3 [ 6 ] amends provisions relating to the transfer of assets. rights and
liabilities, so that they apply for the transfer of assets, rights and liabilities of
the existing company (Sydney Water Corporation Limited) to the new
statutory corporation.
Schedule 3 [10] inserts provisions that enable the portfolio Minister to give
the new statutory corporation a direction in the public interest under section
20P of the State Owned Corporations Act 1989, without the necessity of
consulting the board of the corporation and requesting its advice as to
whether the direction would be in the best interests of the corporation. This
action will be able to be taken if the Minister decides that it is warranted on
grounds involving urgency, public health or public safety. A statement of
reasons will be required to be published.
Schedule 3 [20] inserts provisions of a savings or transitional nature. These
provisions state that the existing company ceases to have relevant functions,
makes further provisions for the transfer of the assets. rights and liabilities of
the existing company to the new statutory corporation, and provides that the
new statutory corporation is the successor to the existing company.
Schedule 3 contains other amendments of a minor, consequential or ancillary
nature.
Schedule 4
Amendment of Hunter Water Board
(Corporatisation) Act 1991
Schedule 4 creates a new statutory corporation named "Hunter Water
Corporation". and establishes it as a statutory SOC.
Schedule 4 [ l ] changes the name of the Act. so as to remove the reference in
it to the previous Hunter Water Board. Section 70 of the Interpretation Act
1987 provides for references to Acts whose citations have changed to be read
as references to the changed citations.
Schedule 4 [5] inserts provisions that create a new statutory corporation with
the name "Hunter Water Corporation". and that insert its name into Schedule
5 of the State Owned Corporations Act 1989, thereby making it a statutory
SOC.
Schedule 4 [6] amends provisions relating to the transfer of assets, rights and
liabilities. so that they apply for the transfer of assets. rights and liabilities of
the existing company (Hunter Water Corporation Limited) to the new
statutory corporation.
Explanatory note p a g e 6
Schedule 4 [9] inserts provisions that enable the portfolio Minister to give
the new statutory corporation a direction in the public interest under section
20P of the State Owned Corporations Act 1989, without the necessity of
consulting the board of the corporation and requesting its advice as to
whether the direction would be in the best interests of the corporation. This
action will be able to be taken if the Minister decides that it is warranted on
grounds involving urgency, public health or public safety. A statement of
reasons will be required to be published.
Schedule 4 [12] inserts provisions of a savings or transitional nature. These
provisions state that the existing company ceases to have relevant functions,
makes further provisions for the transfer of the assets, rights and liabilities of
the existing company to the new statutory corporation, and provides that the
new statutory corporation is the successor to the existing company.
Schedule 4 contains other amendments of a minor, consequential or ancillary
nature.
Schedule 5 Consequential amendments
Schedule 5 contains consequential amendments to other Acts.
Explanatory note page 7