Commonwealth Consolidated Acts Commonwealth Consolidated Acts
Section 3
AN AGREEMENT made the day of One thousand nine hundred and
sixty- between THE
COMMONWEALTH OF AUSTRALIA (in this agreement called "the Commonwealth") of the
one part and THE STATE OF TASMANIA (in this agreement called "the State") of
the other part.
WHEREAS—
(a) the State is undertaking a development
programme to augment the hydro-electric resources of that State;
(b) the
programme is being carried out by the Hydro-Electric Commission constituted
and appointed under the Hydro-Electric Commission Act 1944 of the State;
(c)
it is estimated that the cost of carrying out the programme will amount to
approximately Two hundred and twelve million dollars ($212,000,000) over a
period of five years ending on the thirtieth day of June, 1972;
(d) the State
has sought financial assistance from the Commonwealth towards meeting the cost
of carrying out the programme; and
(e) the Parliament of the Commonwealth has
authorized the grant of financial assistance to the State on the terms and
conditions set out in this agreement.
NOW IT IS HEREBY AGREED as
follows:—
Definitions
1. In this agreement, unless the contrary
intention appears—
"clause" means clause of this agreement;
"financial year" means a year commencing on a first day of July;
"the Commission" means the Hydro-Electric Commission constituted and appointed
under the Hydro-Electric Commission Act 1944 of the State;
"the five year period" means the period of five years commencing on the first
day of July, 1967;
"the State Treasurer" means the Treasurer of the State and includes a Minister
for the time being acting for and on behalf of that Treasurer;
"the Treasurer" means the Treasurer of the Commonwealth and includes a
Minister or other member of the Federal Executive Council for the time being
acting for and on behalf of that Treasurer; and
"the works" means the works comprised in the programme for electricity
development which is being undertaken by the State as aforesaid and which,
subject to clause 10, consists of—
(a) the completion of works in
the Lower Derwent and Mersey-Forth Areas;
(b) the installation of a 120
megawatt thermal station in the vicinity of Bell Bay;
(c) the carrying out of
the first stage of development of the Gordon River Power Development,
and
includes such works as are required to effect the transmission of power and
the completion of power stations, sub-stations and reticulation works.
Financial assistance
2. (1) Subject to compliance by the State with the
provisions of this agreement, the Commonwealth shall, in accordance with and
subject to the provisions of this agreement, provide financial assistance to
the State towards financing the carrying out of the works.
(2) The total
amount of the financial assistance to be provided by the Commonwealth shall
not exceed the amount by which the expenditure on or in connexion with the
carrying out of the works incurred by the Commission during the five year
period exceeds either—
(a) the total sum of the moneys available to the
Commission during the five year period for the purpose of carrying out the
works by way of—
(i) loans to the Commission by the State;
(ii) other
moneys borrowed by the Commission; and
(iii) amounts provided by the
Commission from its internal resources; or
(b) the sum of One hundred and
sixty-five million dollars ($165,000,000),
whichever is the greater, but
shall not in any event exceed Forty-seven million dollars ($47,000,000).
Responsibility of the State
3. The State shall take such action as is from
time to time appropriate to ensure that the total sum of the moneys referred
to in sub-paragraph (a) of sub-clause (2) of clause 2 is as large as
reasonably practicable.
Payments by the Commonwealth
4. (1) The amount of
the moneys that may be paid by the Commonwealth to the State under this
agreement during a financial year within the five year period shall be such
amount as the Treasurer, after consultation with the State Treasurer,
determines in respect of the financial year.
(2) Each determination by the
Treasurer shall be made as early as practicable in the relevant financial year
and shall be notified forthwith by the Treasurer to the State Treasurer.
(3)
The Commonwealth shall, at the request of the State Treasurer from time to
time, make payments to the State of the moneys that may be paid by the
Commonwealth to the State during a financial year at such times during the
relevant financial year and in such amounts as the Treasurer considers
appropriate.
(4) If the total amount of the payments made by the Commonwealth
to the State under sub-clause (3) of this clause during the five year period
exceeds the maximum amount of the financial assistance provided for by
clause 2, the amount of the excess shall be refunded by the State to the
Commonwealth upon request being made therefor by the Treasurer to the State
Treasurer.
Use of payments
5. The State shall ensure that financial
assistance provided to the State under this agreement is not used or applied
except as finance to provide for the carrying out of the works.
Interest
6.
(1) Interest at the rate provided in this clause shall accrue in respect of
each payment under sub-clause (3) of clause 4 calculated from the date on
which the payment was made on so much of the payment as for the time being has
not been refunded under sub-clause (4) of that clause or repaid under
clause 7.
(2) The amount of the interest that has accrued under this
clause shall be calculated as at each fifteenth day of June and fifteenth day
of December and each amount shall be paid to the Commonwealth on the date to
which each such amount has been calculated.
(3) The rate at which interest is
to accrue under this clause in respect of a payment shall be the maximum rate
that is authorized by the Australian Loan Council to be paid in respect of
private borrowings having a term of eight years that might be raised by
semi-governmental authorities at the time the payment is made.
Repayments
7.
(1) The State shall, subject to the provisions of this clause, repay to the
Commonwealth the total amount of the payments made to the State under
sub-clause (3) of clause 4 and not refunded by the State under sub-clause
(4) of that clause by sixteen equal half-yearly instalments, the first
instalment to be paid on the fifteenth day of December, 1972, and succeeding
instalments on each fifteenth day of June and fifteenth day of December
thereafter until the whole of the total amount has been repaid.
(2) The
payment of any one of the first six instalments to be paid under sub-clause
(1) of this clause may, at the request of the State Treasurer and with the
consent of the Treasurer, be deferred and in that event the amount of the
instalment shall be repayable by the State to the Commonwealth on the date for
payment under that sub-clause that next succeeds the date for payment of the
last of the instalments which under that sub-clause are to be paid after the
instalment that has been deferred or, if payment of any instalment or
instalments has or have already been deferred under this sub-clause, the date
for payment of the amount of that instalment or of the instalment last
deferred.
(3) In addition to making payments in accordance with sub-clause
(1) or sub-clause (2) of this clause the State may on the fifteenth day of
June or on the fifteenth day of December in any year, after having given the
Treasurer notice in writing of at least one month of its intention to do so,
pay to the Commonwealth an amount of $100,000 or a multiple thereof in
repayment of the total amount of the payments made to the State under this
agreement.
(4) For the purpose of the calculation of interest under
clause 6, if more than one rate of interest is payable under that clause,
the amount of an instalment that is deferred under sub-clause (2) of this
clause or an amount that is paid under sub-clause (3) of this clause shall be
allocated by way of deferment or payment, as the case may require, among the
payments made to the State under this agreement according to the respective
proportions that the balance of each payment for the time being unpaid to the
Commonwealth bears to the total sum of those balances.
Financial statement
8. As soon as reasonably practicable after each thirtieth day of June during
the five year period, the State Treasurer shall furnish to the Treasurer a
statement prepared by the State Treasurer that—
(a) shows the
expenditure that has been incurred on or in connexion with the carrying out of
the works up to and including that date;
(b) shows the respective amounts
that up to and including that date have been available to the Commission by
the methods referred to in paragraph (a) of sub-clause (2) of
clause 2 for the purpose of the carrying out of the works; and
(c)
contains a certificate of the Auditor-General of the State that the financial
assistance provided by the Commonwealth under this agreement has been expended
in accordance with the provisions of this agreement.
Supply of information
9. The State shall from time to time at the request of the Treasurer furnish
to him such information as he may reasonably require for the purposes of or in
relation to this agreement.
Variation of the electricity development
programme
10. (1) If at any time it is necessary and appropriate to do so in
order to secure the more effective use of the hydro-electric resources of the
State, the programme for electricity development to which this agreement
relates may, at the request of the State Treasurer and with the approval of
the Treasurer, be varied by amending the description of such works as are for
the time being comprised therein or by including therein other works than
those works.
(2) When the programme for electricity development is varied in
accordance with sub-clause (1) of this clause, the works comprised in the
programme as so varied shall for the time being constitute the works for the
purposes of this agreement.
Notices, etc.
11. A notice, request or other
communication to be given or made under this agreement shall be deemed to have
been duly given or made—
(a) in the case of a communication by the
Commonwealth or the Treasurer to the State or the State Treasurer—if it
is signed by the Treasurer or a person thereunto authorized in writing by him
and is sent by prepaid post addressed to the State Treasurer; or
(b) in the
case of a communication by the State or the State Treasurer to the
Commonwealth or the Treasurer—if it is signed by the State Treasurer or
by a person thereunto authorized in writing by him and sent by prepaid post
addressed to the Treasurer.