House debates

Thursday, 29 March 2007

Australian Wine and Brandy Corporation Amendment Bill (No. 1) 2007

Second Reading

9:18 am

Photo of Peter McGauranPeter McGauran (Gippsland, National Party, Deputy Leader of the House) Share this | | Hansard source

I move:

That this bill be now read a second time.

The Australian Wine and Brandy Corporation Amendment Bill (No. 1) 2007 (the bill) amends the Australian Wine and Brandy Corporation Act 1980 (the act) to implement the outcome of the assessment of the Australian Wine and Brandy Corporation against the Uhrig review templates.

The Australian Wine and Brandy Corporation (AWBC) is an Australian government statutory authority established to provide strategic support to the Australian wine industry with its core functions being export regulation and promotion of Australian wine.

The amendments will provide for the corporation to come into line with the Uhrig review recommendations. The objective of the Uhrig review was to identify issues surrounding existing governance arrangements and to provide options for government to improve the performance of statutory authorities and office holders, and improve their accountability frameworks.

My department carried out an assessment of the corporation against the Uhrig review findings and concluded that a board is the best and most appropriate management structure for the corporation. The assessment recommended a small number of changes to bring the corporation into line with the Uhrig review recommendations.

The assessment concluded that the current practice of appointing a government member, typically a public servant, on the corporation’s board should be discontinued. Given the abolition of the specific government member position, the assessment found that the skills set for board member selection should be expanded to include expertise in public administration. The bill before the parliament implements these recommendations which flow from the Uhrig report.

This decision will also address the potential for a conflict of interest for serving public servants. There will no longer be a potential conflict between their responsibilities to the government and parliament and as a board member to the corporation. 

The bill also includes a provision for the corporation’s selection committee to provide me as minister with an annual report on its operations. It is proposed that the committee commence reporting for the 2007-08 financial year and continue in subsequent years. This provision strengthens the governance arrangements and transparency of the Australian Wine and Brandy Corporation’s operations. I commend the bill to the House.

Debate (on motion by Mr Edwards) adjourned.