THE Joint Standing Committee on Treaties has tabled the report on its inquiry into the Convention between Australia and the Portuguese Republic for the Elimination of Double Taxation with respect to Taxes on Income and the Prevention of Tax Evasion and Avoidance (Australia-Portugal Tax Treaty).

The treaty is a taxation agreement with Portugal aimed primarily at eliminating double taxation for residents of Australia and Portugal, preventing opportunities for tax evasion or avoidance, and strengthening economic ties.

Committee Chair, Lisa Chesters MP said, "Portugal and Australia have a more than 64-year history of strong diplomatic relations. The two countries share a range of priorities, particularly in multilateral institutions, and this agreement will further develop these links.

"It will provide tax certainty for Australian businesses, encourage trade between the two countries by reducing tax barriers, decrease costs to Australian businesses, and enable better access to Portuguese capital and technology. The committee supports the ratification of this treaty."

The report also contains nine minor treaty actions that have been considered and endorsed by the committee:

• Six of these minor treaty actions are amendments to the International Convention for the Prevention of Pollution from Ships 1973;
• Two minor treaty actions concern amendments to the Agreement establishing the European Bank for Reconstruction and Development 1990 and the Articles of Agreement of the International Bank for Reconstruction and Development 1945; and
• One minor treaty action concerns amendments to the Convention on International Trade in Endangered Species of Wild Fauna and Flora.

The report can be accessed online and further information about the inquiry is available on the Committee website.  

ends

AUSTRALIA'S PRODUCTIVITY continued to stagnate in the December quarter, suggesting that the country's productivity problem may be part of a long-term trend. 

The Productivity Commission's latest quarterly productivity bulletin shows labour productivity declined by 0.1% in the December quarter and by 1.2% over the year.

"The data makes it clear that our productivity problem is not a flash in the pan – this is a long-term, structural challenge that requires dedicated attention from government and industry," said PC Deputy Chair Alex Robson.

In a new article, the PC takes a closer look at the drivers of the COVID 'productivity bubble'. The PC will expand further upon this work in a detailed research paper to be released in the future.

‘The COVID pandemic was a massive global economic shock," Dr Robson said. "The pandemic and the policy response to it drove a sharp rise – and then a crash – in measured productivity. Now that the dust has settled, we're back to the stagnant productivity we saw in the period between 2015 to 2019 leading up to the pandemic. 

"Ultimately the COVID productivity bubble was just that: a bubble. We saw a sharp rise in productivity driven by the lockdowns which was then wiped out as lockdowns ended and hours worked reached record highs," he said.

"There are lessons to be learned from these fluctuations, but they aren't likely to have a meaningful long-term effect on productivity.

"The real issue is that Australia's labour productivity has not significantly improved in over 10 years. With global policy uncertainty again on the rise, addressing productivity directly via targeted reforms will be the best way to sustainably boost Australians' living standards," Dr Robson said.

"To that end, the PC is undertaking a program of five inquiries, each focusing on a different pillar related to productivity. We will identify the highest priority reforms under each of the five pillars which will improve Australia’s long-run productivity growth."

www.pc.gov.au

ends

THE Joint Committee of Public Accounts and Audit has today published the report of its inquiry into the administration of Commonwealth regulations.

The inquiry was informed by audits into regulatory responsibilities of five entities: Department of Health and Aged Care; Aged Care Quality and Safety Commission; Department of Home Affairs; Department of Industry, Science and Resources; and the Australian Taxation Office.

These audits dealt with: management of non-compliance with the Therapeutic Goods Act 1989 for unapproved therapeutic goods; early implementation of aged care reforms; regulation of migration agents; trade measurement; and the management and oversight of fraud control arrangements for the goods and services tax.

Chair of the committee, Linda Burney MP said, "Government regulation has a profound effect on the daily lives of all Australians. When it is administered effectively, regulation protects the public interest, ensures the efficient delivery of services, promotes trust, and improves community safety and wellbeing.

'The committee found that overall the agencies were meeting their requirements but there are areas where improvements could be made. We noted gaps and inconsistencies, as well as partial regulation and, in some cases, failure to regulate effectively."

During the inquiry, the committee also examined the adequacy of the current principles-based policy guidance from the Department of Finance and found regulators required more practical advice on how to go about their regulatory responsibilities.

"To ensure improvements, we made nine recommendations. These deal with specific entity shortcomings discovered during the inquiry, the need for greater transparency and accountability, and the nature of policy advice," Ms Burney said.

The report can be downloaded from the Committee website.

ends

THE Joint Committee of Public Accounts and Audit has released its report on the contract management frameworks operated by Commonwealth entities, which examined whether they are fit for purpose to ensure project delivery and value for money.

The Australian National Audit Office audits examined by the committee revealed areas of good practice in this regard, underpinned by effective governance. They also exposed deficiencies, including insufficient record-keeping and poor documentation of value for money in contract variations.

The inquiry also highlighted the need for entities to maintain an appropriate arm’s length relationship with suppliers and to establish and monitor effective and measurable key performance indicators (KPIs).

Committee Chair, Linda Burney MP, said, "It became clear from this inquiry that value for money cannot be achieved for the taxpayer if a well-managed procurement process is not followed up with effective contract management."

The following requirements are among the committee’s six recommendations:

1. That the Department of Finance’s annual self-assessment survey for contract management capability becomes mandatory, contains clearer indicators of this capability and that corrective action is taken when shortfalls are revealed.
2. That the Department of Finance consults with relevant agencies to ensure that guidance and training address weaknesses in contract management, as outlined by the Committee.
3. That updates be provided on the management of the My Health Record and the Adult Migrant English Program contracts, and on their upcoming tendering processes.

"The Department of Finance has a pivotal role to play in addressing shortfalls in contract management across the Commonwealth. The Department needs to be more than just a policy steward that provides advice and resources," Ms Burney said.

The report can be downloaded from the inquiry website.

ends

THE Department of the House of Representatives is seeking a suitably qualified and experienced service provider to develop and deliver a National Youth Parliament to be held in Canberra in 2026.

Participants in the National Youth Parliament will have the unique opportunity to learn about aspects of being a Member of Parliament, including the process by which bills are drafted, considered, and pass Parliament to become law.

The provider will manage the event and deliver a program for 150 senior students, one per federal electorate, which complies with all child safety requirements and will achieve best practice educational outcomes.

An open tender is available via AusTender for interested suppliers.

ends

THE Human Rights Subcommittee of the Joint Standing Committee on Foreign Affairs, Defence and Trade (JSCFADT) has published its report into the operation of amendments made by the Autonomous Sanctions Amendment (Magnitsky-style and Other Thematic Sanctions) Act 2021.

Chair of the Subcommittee, Maria Vamvakinou MP said, "Sanctions can and do play a vital role in tackling human rights abuses, curbing serious corruption, and addressing other issues of international concern.

"Recent legislative developments have strengthened Australia’s sanctions framework. But as this review makes clear, there are opportunities for us to have an even greater global impact through our use of autonomous sanctions."

This report makes five recommendations aimed at strengthening Australia’s autonomous sanctions framework, including:

• sanctions decisions be accompanied by detailed reasoning;
• reasons for sanctions decisions be included in the Consolidated List of sanctioned individuals and entities;
• the Parliament receive an annual report on sanctions decisions taken during the previous year;
• the regulations for imposing autonomous sanctions be updated to include listing criteria for all thematic areas;
• a humanitarian exemption be legislated to ensure humanitarian assistance is not adversely affected by the imposition of sanctions.

The report is now available on the JSCFADT website.

ends

THE House of Representatives Standing Committee on Health, Aged Care and Sport has published an issues paper concerning the health impacts of alcohol and other drugs (AOD) in Australia.

After launching an inquiry into this topic on August 22 last year, the committee received more than 200 written submissions and heard from witnesses across seven days of public hearings in Melbourne, Brisbane, and Canberra. This significant level of public engagement underscored the critical importance of efforts aimed at addressing and curtailing AOD-related harms across the country.

"Alcohol and other drug use is not just a health issue – it is a complex social challenge that cuts across multiple measures of wellbeing for communities throughout Australia," Committee Chair, Mike Freelander MP, said.

Highlighting the often complex and wide-ranging consequences of substance use, Dr Freelander noted that "the impacts extend far beyond individual health, touching on critical social issues such as family violence, child protection, community services, and the criminal justice system".

The issues paper explores several key themes underpinning the evidence presented during the inquiry, such as the national coordination of the AOD sector, service demand and provision, prevention and harm reduction strategies, workforce development and tailored support for high-risk population groups.

Recognising the depth and complexity of the inquiry subject matter, the committee acknowledged that multiple aspects of the terms of reference could not be fully explored within the available time frame. The committee has recommended that the inquiry be continued in the next Parliament.

The report is now available on the Committee's website.

ends

THE House of Representatives Standing Committee on Communications and the Arts has today released a report, Am I Ever Gonna See You Live Again?, following its inquiry into the challenges and opportunities within the Australian live music industry.

Over the course of the inquiry, the committee held 18 public hearings in Canberra, Brisbane, Sydney, Melbourne, Adelaide and Perth, and received many submissions from a wide range of stakeholders, including all levels of government, artists, broadcasters, promoters, venues, festivals, service providers and peak industry bodies.

Committee Chair Brian Mitchell, the Federal MP for Lyons in Tasmania, said the inquiry’s recommendations, if taken up by government, would help ensure a strong and sustainable future for live music in Australia.

"It was clear to us that many people across the country are doing a lot of work on live music," Mr Mitchell said.

"There was broad agreement about the myriad challenges and a lot of good ideas about how to grasp the opportunities of a fast-changing technological landscape.

"Our committee hasn’t sought to reinvent the wheel, but rather bring all that work and evidence together in a report and a set of recommendations that are practical and achievable."

The report is being tabled in the parliament out of session and can be found on the Committee’s webpage on the Commonwealth Parliament’s website.

ends