National Greenhouse and Energy Reporting (Auditor Registration) Instrument 2017 [F2017L00827]-Concluded matters [2017] AUSStaCSDLM 347 (13 September 2017)

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Instrument	National Greenhouse and Energy Reporting (Auditor Registration) Instrument 2017 [F2017L00827]
Purpose	Specifies the knowledge, qualifications and experience requirements to be met by applicants for registration as greenhouse and energy auditors
Authorising legislation	National Greenhouse and Energy Reporting Regulations 2008
Department	Environment and Energy
Disallowance	15 sitting days after tabling (tabled Senate 8 August 2017) Notice of motion to disallow currently must be given by 16 October 2017
Scrutiny principle	Standing Order 23(3)(a)
Previously reported in	Delegated legislation monitor 10 of 2017

The committee previously commented on two issues as follows:

Description of consultation

Section 17 of the Legislation Act 2003 (Legislation Act) directs a rule-maker to be satisfied that appropriate consultation, as is reasonably practicable, has been undertaken in relation to a proposed instrument. The ES which must accompany an instrument is required to describe the nature of any consultation that has been carried out or, if there has been no consultation, to explain why none was undertaken (paragraphs 15J(2)(d) and (e)).

The committee notes that the ES, in addressing the requirements of 15J(2)(c) of the Legislation Act, refers to public consultation conducted with respect to industry access to audit Standards.^[1] However, with reference to the consultation requirements in the Legislation Act, the ES does not provide information regarding consultation undertaken in relation to the instrument itself.

The committee's expectations in this regard are set out in the guideline on consultation published on the committee's website.^[2]

The committee requested the advice of the minister in relation to the above; and requested that the ES be updated in accordance with the requirements of the Legislation Act 2003.

Section 14 of the Legislation Act 2003 allows legislative instruments to make provision in relation to matters by incorporating Acts and disallowable legislative instruments, either as in force at a particular time or as in force from time to time. However, other documents may only be incorporated as in force at the commencement of the legislative instrument, unless authorising or other legislation alters the operation of section 14.

With reference to the above, the committee notes that the defintitions of ISAE 3000 and ISAE 3410 in section 4 incorporate the following documents:

• Handbook of International Quality Control, Auditing, Review, Other Assurance, and Related Services Pronouncements, published by the International Federation of Accountants, October 2014, ISBN 978-1-60815-185-1, as amended from time to time (the Handbook); and

• Assurance Engagements on Greenhouse Gas Statements, issued by the International Auditing and Assurance Standards Board, March 2012, as amended from time to time (the International Statement).

However, pursuant to section 14 of the Legislation Act 2003, the committee understands that, as the Handbook and the International Statement are not Commonwealth disallowable legislative instruments, they may only be incorporated as in force at a particular time, unless authorising or other legislation alters the operation of section 14 of the Legislation Act 2003.

The committee's expectations in this regard are set out in the guideline on incorporation of documents published on the committee's website.^[3]

The committee requested the advice of the minister in relation to the above.

Minister's response

The Minister for the Environment and Energy advised:

I am advised by the Clean Energy Regulator (CER) that it notes the issues identified by Senate Regulations and Ordinances Committee, in relation to the National Greenhouse and Energy Reporting (Auditor Registration) Instrument 2017 ('the Instrument') and its explanatory statement.
The CER will remake the Instrument and amend the explanatory statement, as soon as practicable, to correct both of the identified issues and maintain compliance with the Legislation Act 2003. This is expected to occur by the end of September 2017. The explanatory statement will make explicit reference to the consultation that was undertaken in June 2017.
Committee's response

The committee thanks the minister for his response and has concluded its examination of the above.

The committee notes the minister's undertaking that the CER will remake the instrument and amend the explanatory statement to address the committee's concerns, and that the committee will have the opportunity to examine the new instrument (and ES) once it is re-made.

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[1] Paragraph 15J(2)(c) of the Legislation Act 2003 requires the ES for a legislative instrument that incorporates a document to contain a description of that document and indicate how it may be obtained.

[2] See Regulations and Ordinances Committee, Guideline on consultation, http://www.aph.gov. au/Parliamentary_Business/Committees/Senate/Regulations_and_Ordinances/Guidelines/ consultation.

[3] See Regulations and Ordinances Committee, Guideline on incorporation of documents, http://www.aph.gov.au/Parliamentary_Business/Committees/Senate/Regulations_and_ Ordinances/Guidelines/Guideline_on_incorporation_of_documents.