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CROWN ENTITIES ACT 2004

- As at 27 August 2025
- Act 115 of 2004

TABLE OF PROVISIONS

   1.      Title
   2.      Commencement

   PART 1 - Preliminary provisions

   3.      Purpose
   4.      Application of Acts to Crown entities
   5.      Application of this Act to school boards
   6.      Application of this Act to tertiary education institutions
   7.      Meaning of Crown entity and categories of Crown entities
   7A.     Meaning of multi-parent subsidiary
   8.      Meaning of parent Crown entity
   9.      Power to amend Schedules 1 and 2
   10.     Interpretation
   10A.    Provisions affecting application of amendments to this Act
   10B.    Status of examples
   11.     Act binds the Crown
   12.     Outline of main Crown entity provisions

   PART 2 - Establishment and governance of Crown entities

           SUBPART 1 - Statutory entities

   13.     Establishment of statutory entity
   14.     Functions
   15.     Status of statutory entity
   16.     Core things statutory entities can do
   17.     Other things statutory entities can do
   18.     Acts must be for purpose of functions
   19.     Acts in breach of statute are invalid
   20.     Some natural person acts protected
   21.     Limits on protection of natural person acts
   22.     Acts that are not in best interests of statutory entity
   23.     Dealings between statutory entities and other persons
   24.     Interpretation
   25.     Board's role
   26.     Accountability of members to responsible Minister
   27.     Responsible Minister's role
           Note
   27A.    Monitor's role
   28.     Method of appointment of members
   29.     Criteria for appointments or recommendations by responsible Minister
   30.     Qualifications of members
   31.     Requirements before appointment
   32.     Term of office of members
   33.     Elected, co-opted, etc, members
   34.     Validity of members' acts
   35.     Validity of appointments
   36.     Removal of members of Crown agents
   37.     Removal of members of autonomous Crown entities
   38.     Removal of elected members of Crown agents and autonomous Crown entities
   39.     Removal of members of independent Crown entities
   40.     Just cause
   41.     Process for removal
   42.     Judges serving as members
   43.     No compensation for loss of office
   44.     Resignation of members
   45.     Members ceasing to hold office
   46.     Member of corporation sole not to hold concurrent office
   47.     Remuneration of members
   48.     Expenses of members
   49.     Entity must act consistently with objectives, functions, statement of intent, and statement of performance expectations
   50.     Manner in which functions must be performed
   51.     Entity must operate in financially responsible manner
   52.     Subsidiaries and other interests
   53.     Duty to comply with this Act and entity's Act
   54.     Duty to act with honesty and integrity
   55.     Duty to act in good faith and not at expense of entity's interests
   56.     Duty to act with reasonable care, diligence, and skill
   57.     Duty not to disclose information
   58.     Accountability for collective board duties
   59.     Accountability for individual duties
   60.     Court actions requiring or restraining board or members
   61.     When members may rely on certain information and advice
   62.     When interests must be disclosed
   63.     Obligation to disclose interest
   64.     Who disclosure of interests must be made to
   65.     What must be disclosed
   66.     Consequences of being interested in matter
   67.     Consequences of failing to disclose interest
   68.     Permission to act despite being interested in matter
   69.     Entity may avoid certain acts done in breach of conflict of interest rules
   70.     What is fair value
   71.     Onus of proving fair value
   72.     Effect of avoidance on third parties
   73.     Ability to delegate
   74.     Powers of delegate
   75.     Effect of delegation on entity or board
   76.     Revocations of delegations
   77.     Vacancies in membership of board
   78.     Appointment of chairperson, etc, and board procedure

           SUBPART 2 - Crown entity companies

   79.     Formation and acquisition of shares in Crown entity companies
   80.     Restrictions relating to shares in Crown entity companies
   81.     Crown entity company must have constitution stating it is Crown entity
   82.     Constitution must be presented to House of Representatives
   83.     Shares to be held by person holding office as Minister
   84.     Appointment of representative of shareholding Minister
   85.     Interface with Companies Act 1993 and other Acts
   86.     Board's role
   87.     Accountability of members to shareholding Ministers
   88.     Shareholding Ministers' role
           Note
   88A.    Monitor's role
   89.     Criteria for appointments by shareholding Minister
   90.     Members must disclose interests before appointment
   91.     No compensation for removal from office
   92.     Duty to act consistently with objectives, functions, statement of intent, and statement of performance expectations
   93.     Subsidiaries
   94.     Accountability for collective board duties
   95.     Duty to comply with this Act and entity's Act

           SUBPART 3 - Crown entity subsidiaries

   96.     Acquisition of subsidiaries
   97.     Subsidiaries: rules applying to all Crown entities
   98.     Subsidiaries: rules applying only to statutory entities
   99.     Application to multi-parent subsidiaries
   100.    Acquisition of shares or interests in companies, trusts, and partnerships, etc
   101.    Corporation sole may not acquire interests in bodies corporate
   102.    Interface with Companies Act 1993 and other Acts

   PART 3 - Operation of Crown entities

           SUBPART 1 - Provisions applying generally to Crown entities
           Note

   103.    Power to direct Crown agents to give effect to government policy
   104.    Power to direct autonomous Crown entities to have regard to government policy
   105.    No power to direct independent Crown entities or Crown entity companies on government policy unless provided in another Act
   106.    Directions to members and office holders of entities
   107.    Directions to support whole of government approach
   108.    Process for giving directions under section 107
   109.    House of Representatives may resolve to disapply direction under section 107
   110.    Obligation to give effect to direction
   111.    Publication of direction under section 107
   112.    Power to add functions if authorised by entity's Act or constitution
   113.    Safeguarding independence of Crown entities
           Note
   114.    Crown entities must comply with directions given under statutory power of direction
   115.    Procedure for ministerial directions on government policy
   115A.   Review and expiry of all directions
   116.    Employment of employees
   117.    Employment of chief executive
   118.    Crown entity to be good employer
   119.    Application of clauses 12 to 14 of Schedule 8 of the Public Service Act 2020

           SUBPART 2 - Statutory entities

   120.    Protections from liabilities of statutory entity
   121.    Immunity from civil liability
   122.    Indemnities in relation to excluded act or omission
   123.    Insurance for liability of member, office holder, or employee
   124.    Saving of judicial protections from liability
   125.    Breach of indemnity and insurance limits
   126.    Definitions for protections from liability
   127.    Method of contracting
   128.    Seal
   129.    Attorneys
   130.    Address for service

           SUBPART 3 - Miscellaneous provisions

   131.    Application of Ombudsmen Act 1975 and Official Information Act 1982
   132.    Review of Crown entity's operations and performance
   133.    Power to request information
   134.    Good reasons for refusing to supply requested information
   135.    Members, office holders, and employees are officials

   PART 4 - Crown entity reporting and financial obligations

           SUBPART 1 - Interpretation for this Part

   136.    Interpretation for this Part

           SUBPART 2 - Reporting obligations

   137.    Application of this subpart
   138.    Purpose of statement of intent
   139.    Obligation to prepare statement of intent
   139A.   Minister may require Crown entity to prepare new statement of intent at any time
   139B.   Minister may grant extension of time for, or waive, requirement to provide statement of intent
   139C.   Responsible Minister may grant extension of time for requirement to provide statement of intent: COVID-19
   140.    Statement of intent for newly established Crown entities
   141.    Content of statement of intent
   142.    Extra information required in statement of intent for first financial year
   143.    Exemption for certain outputs
   144.    Application and term of statement of intent
   145.    Ministerial involvement in statements of intent
   146.    Process for providing statement of intent to responsible Minister
   147.    Amendments to final statement of intent by responsible Minister
   148.    Amendments to final statement of intent by Crown entity
   149.    Obligation to publish and present statement of intent
   149A.   Obligation to publish and present amendments to statement of intent
           Note
   149B.   Purpose of statement of performance expectations
   149C.   Obligation to prepare statement of performance expectations
   149CA.  Responsible Minister may grant extension of time for obligation to prepare statement of performance expectations: COVID-19
   149D.   Statement of performance expectations for newly established Crown entities
   149E.   Content of statement of performance expectations
   149F.   Exemption for certain outputs
   149G.   Forecast financial statements
   149H.   Ministerial involvement in statements of performance expectations
   149I.   Process for providing statement of performance expectations to responsible Minister
   149J.   Amendments to final statement of performance expectations by responsible Minister
   149K.   Amendments to final statement of performance expectations by Crown entity
   149L.   Obligation to publish and present statement of performance expectations
   149M.   Obligation to publish and present amendments to statement of performance expectations
   150.    Obligation to prepare, present, and publish annual report
   150A.   Special annual reporting requirements
   151.    Form and content of annual report
   152.    Disclosure of payments in respect of members, committee members, and employees
   153.    Form and content of statement of performance
   154.    Annual financial statements
   155.    Statement of responsibility
   156.    Audit report
           Note
   156A.   Application of this subpart to Crown entity groups
   156B.   Minister of Finance may require additional reporting
           Note
   157.    Multi-parent subsidiaries part-owned by school board
   157A.   Other multi-parent subsidiaries

           SUBPART 3 - Other provisions for financial accountability

   158.    Bank accounts of Crown entities
           Note
   159.    Application of acquisition of financial products, borrowing, guarantees, indemnities, and derivatives rules
   160.    Further provision relating to acquisition of financial products, borrowing, guarantees, indemnities, and derivatives rules
   161.    Restrictions on acquisition of financial products
   162.    Restrictions on borrowing
   163.    Restrictions on giving of guarantees and indemnities
   164.    Restrictions on use of derivatives
   165.    Net surplus payable by certain statutory entities and Crown entity companies
   166.    Capital charge payable by certain statutory entities
   167.    Gifts
   168.    Accounting records to be kept

           SUBPART 4 - Miscellaneous

   169.    Taxation of statutory entities
   170.    Responsible Minister may set standards, terms, and conditions in respect of certain classes of outputs
   171.    Offences
   172.    Penalties for offences
   173.    Regulations under this Part
   174.    Minister of Finance instructions
   175.    Consultation with House of Representatives on reporting standards
   176.    Application of provisions of Public Finance Act 1989

   PART 5 - Miscellaneous provisions

   177.    Application of liquidation provisions of Companies Act 1993 to statutory entities
   178.    Application of Archives Act 1957
   179.    Public Bodies Contracts Act 1959 does not apply to Crown entities
   180.    Local Authorities (Members' Interests) Act 1968 does not apply to Crown entities
   181.    Administration of Crown entity provisions
   182.    Existing members exempt from qualification requirements
   183.    Term of office of existing members other than ex officio members
   184.    Term of office of existing ex officio members
   185.    Term of office of existing chairpersons and deputy chairpersons
   186.    Continuation of existing board committees
   187.    Continuation of existing employment
   188.    Existing compensation provision
   189.    Existing protection from liability provisions
   190.    Existing insurance cover
   191.    Existing rights under Government Superannuation Fund Act 1956 unaffected
   192.    Existing delegations and directions to continue
   193.    Other existing things protected
   194.    Existing shareholdings in Crown entity subsidiaries
   195.    Existing bank accounts
   196.    Existing law on securities, borrowing, guarantees, indemnities, and derivative transactions continues to apply until 1 April 2005
   197.    Continuation of pre-1 April 2005 securities, borrowing, guarantees, indemnities, and derivative transactions
   198.    Reporting obligations in respect of financial years ending before 1 July 2006
   199.    Regulations for transitional, savings, and general purposes
   199A.   Application, savings, and transitional provisions relating to amendments to Act
   200.    Amendments to other enactments
   201.    Amendment to Gas Amendment Act 2004
           SCHEDULE 1AAA
           SCHEDULE 1
           SCHEDULE 2
           SCHEDULE 3
           SCHEDULE 4
           SCHEDULE 5
           SCHEDULE 6


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