02 Governance, Structure & People RESPONSIBLE MINISTERS

CEFC ANNUAL REPORT / 2014–15

RESPONSIBLE MINISTERS

The CEFC has two Responsible Ministers, and for the 2014–15 year sat within the Treasury portfolio.

Under the CEFC Act, the Responsible Ministers are the Treasurer and the Finance Minister. During the reporting period this was the Hon Joe Hockey MP as Treasurer and Senator the Hon Mathias Cormann, as Finance Minister, with no changes.

The Nominated Minister is one of the Responsible Ministers who exercises additional powers and functions under the CEFC Act. The CEFC Act provides that the Responsible Ministers must determine between them which is to be the Nominated Minister. The Treasurer is designated as the Nominated Minister by the Clean Energy Finance Corporation (Nominated Minister) Determination 2012 agreed and made 7 February 2013.

There were two Administrative Arrangements Orders (AAOs) current during the 2014–2015 year, and each of them affirmed that primary responsibility for administration of the CEFC’s enabling legislation remained with the Treasurer.

Note that after the reporting period, on 21 September 2015 amendments were made to the AAO to transfer the CEFC Act from the Treasury portfolio to the Environment portfolio.

In consequence, this Annual Report is transmitted to the Hon Greg Hunt MP, Minister for the Environment, and Senator the Hon Mathias Cormann, Minister for Finance.

Ministerial powers of direction

The CEFC Act is structured in such a way as to maximise operational independence (particularly in regards investment decision making), and Ministerial powers to direct under that Act are limited, primarily to the Investment Mandate (see discussion on the Investment Mandate).

The CEFC also requested and on 18 February 2015 received a Ministerial Direction to pay monies the Board identifies as surplus back into the Special Account. This reflects the fact that the CEFC was not conceived as having a large cash management function.

Apart from the Investment Mandate, the CEFC did not receive any other Ministerial Directions under the enabling legislation or other legislation during the reporting period.