THE Australia Financial Security Authority (AFSA) has announced Federal Gobvernment changes to bankruptcy laws that were amended in 2020 to cope with the COVID-19 economic situation.

In March 2020, the Australian Government announced a series of changes to bankruptcy law, as part of the wider economic response to the COVID-19 pandemic.. The temporary changes included:

• an increase in the debt threshold, which enables creditors to apply for a bankruptcy notice;
• an increase to the timeframe for a debtor to respond to a bankruptcy notice;
• an increase to the temporary debt protection period available to debtors.

As of January 1, 2021, those temporary changes will cease, according to AFSA. An amendment has also been made to adjust the bankruptcy threshold. This means:

• the minimum amount of debt that can trigger bankruptcy is $10,000, down from $20,000;
• the amount of time an individual has to respond to a bankruptcy notice is 21 days, reduced from six months;
• temporary debt protection allows for 21 days relief from creditors, instead of six months.

Before the temporary changes were implemented in response to the COVID-19 pandemic, the minimum amount of debt that could trigger a bankruptcy was $5,000. The Federal Gvernment has amended the bankruptcy regulations to adjust the threshold for petitioning bankruptcy to $10,000 or more.

www.afsa.gov.au

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THE Parliamentary Joint Committee on Intelligence and Security (PJCIS) has commenced a review into the Security Legislation Amendment (Critical Infrastructure) Bill 2020.

The Bill review was referred to the Committee by Christian Porter MP, Attorney-General. As part of the referral, the Attorney-General suggested the Committee also launch the review of the Security of Critical Infrastructure Act 2018 (the Act), required by section 60A of that Act, at the same time. The Committee has agreed to undertake both reviews simultaneously, as the Bill amends the Act to be reviewed.

The Bill is introduced to amend and build on the existing regulatory regime created by the the Act, to enhance security and resilience of critical infrastructure assets and systems of national significance. Expansion of the concepts to include systems of national significance is intended to widen the regime to address threats such as natural disasters and cyber-attacks.

The Bill seeks to achieve this expansion by amending the Act to:

• identify critical infrastructure assets across 11 industry sectors (increased from the current 4 sectors);
• establish positive security obligations for critical infrastructure assets, including to adopt and maintain a critical infrastructure risk management program (to be delivered through sector-specific requirements) and mandatory cyber incident reporting;
• introduce enhanced cyber security obligations to ensure Government and industry can work collaboratively to strengthen the cyber preparedness and resilience of entities that operate assets of the highest criticality to Australia's national interests (defined as systems of national significance); and
• provide Government with the necessary and proportionate powers to be exercised as a last resort in circumstances where a cyber security incident has, is, or is likely to impact a critical infrastructure asset and Australia's national interest.

The statutory review of the Security of Critical Infrastructure Act 2018 will analyse the operation, effectiveness and implications of the reforms introduced in the Act.

As per section 60A of the Act, the review will:

• consider whether it would be appropriate to have a unified scheme that covers all infrastructure assets (including telecommunication assets) that are critical to:
  1. the social or economic stability of Australia or its people; or
  2. the defence of Australia; or
  3. national security; and
• review the circumstances in which any declarations have been made under Part 6 of this Act (declarations of assets by the Minister); and
• report the Committee’s comments and recommendations to each House of the Parliament.

More information regarding the two reviews and their referral can be found at the review website.

The Committee requests submissions to both reviews by Friday 12 February 2021. Submitters may wish to address both reviews in the one submission if the separation between the two scopes and interrelated elements are clearly identified in the submission.

Prospective submitters are advised that any submission to the Committee’s inquiry must be prepared solely for the inquiry and should not be published prior to being accepted by the Committee.

Further information about making a submission to a committee inquiry can be found at the following link.

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ON DECEMBER 18, the Federal Court of Australia sentenced Brisbane based Kent Scott Hacker to seven and a half months in prison. He, and his related companies, were also fined over $640,000  for multiple offences under the Tax Agent Services Act 2009 (TASA).

The court granted the Tax Practitioners Board’s (TPB) request for permanent injunctions against each entity, restraining Mr Hacker, One Stop Global Staffing Pty Ltd (OSGS) and Naleview Pty Limited, from further provision of unregistered tax agent services. Mr Hacker was also restrained from providing BAS services whilst unregistered.

It is a welcome outcome after a protracted investigation and litigation, during which Mr Hacker continued to act illegally, according to the TPB.

This saga commenced when the Australian Taxation Office (ATO) raided OSGS offices in November 2018 and uncovered evidence validating ATO suspicions that Mr Hacker had been preparing and lodging tax returns for thousands of taxpayers whilst unregistered with the board. The TPB acted swiftly on the information, and by February 2019 had launched a Federal Court action against Mr Hacker and his two companies. 

During the proceedings, Mr Hacker gave an undertaking to the Federal Court that he would stop providing tax agent services to clients for a fee or other reward. Intelligence from the ATO confirmed that despite this undertaking, he continued to provide services to clients.

The TPB, concerned of the potential risk to the public, successfully sought a court order forcing Mr Hacker to display large notices at the OSGS offices warning taxpayers of the risks of using Mr Hacker’s services.

In June 2020, the Federal Court ruled that Mr Hacker and his businesses had repeatedly been in contempt of court. The court also found that Mr Hacker had contravened the TASA 45 times and his two companies 42 times.

Chair of the TPB, Ian Klug said, "The TPB will act firmly against those that act outside the law and supports the imposition of the penalties handed down to Mr Hacker and his associated companies. For nearly two years, Mr Hacker has brazenly and consistently ignored court orders and his behaviour has put his clients at risk and undermined the integrity of the taxation system. The TPB will continue to target unregistered preparers to ensure the professional and ethical standards of the tax profession is maintained.

"The sentencing, fines of over $640,000 and the imprisonment of Mr Hacker, sends a strong message to other rogue advisers and the community that illegal acts of this nature will not be tolerated."

About the Tax Practitioners Board

The TPB regulates tax practitioners in order to protect consumers. The TPB aims to assure the community that tax practitioners meet appropriate standards of professional and ethical conduct. Twitter_@TPB_gov_au, LinkedIn and Facebook. 

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THE Parliamentary Joint Committee on Intelligence and Security (PJCIS) has commenced a review into the Intelligence Oversight and Other Legislation Amendment (Integrity Measures) Bill 2020.

The bill review was referred to the Committee by Christian Porter MP, Attorney-General.

The Intelligence Oversight and Other Legislation Amendment (Integrity Measures) Bill 2020 introduces specialized intelligence oversight for additional agencies with intelligence functions in the national intelligence community.

The Bill proposes to:

• expand the oversight of the Inspector-General of Intelligence and Security (IGIS) to the intelligence functions of the Australian Transaction Reports and Analysis Centre (AUSTRAC) and the Australian Criminal Intelligence Commission;
• expand the oversight of the PJCIS to the intelligence functions of AUSTRAC; and
• make amendments to the Inspector-General of Intelligence and Security Act 1986 to improve clarity, modernise drafting expressions and remove redundant provisions, as well as amendments to address certain limitations in the IGIS’s oversight functions and powers in order to strengthen the integrity of inquiry processes.

The Committee requests submissions to the inquiry by Friday 12 February 2021.

Prospective submitters are advised that any submission to the Committee’s inquiry must be prepared solely for the inquiry and should not be published prior to being accepted by the Committee.

Further information about making a submission to a committee inquiry can be found at the following link.

Further information on the inquiry can be obtained from the Committee’s website.

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IRISH Smart Grid technology company, VIOTAS, has established a base in Melbourne from which it will deliver its leading-edge Demand Response (DR) services to commercial and industrial electricity consumers throughout Australia from 2021.

Supported by Enterprise Ireland for its market entry, the company, which specialises in the development of technologies that enable electricity consumers to earn revenue by providing critical services to the power system, has earmarked Melbourne as a regional hub from which it will roll-out further operations throughout the Asia-Pacific region.

VIOTAS was founded in 2013 in Limerick, Ireland with a mission to enable zero-carbon power systems by harnessing the flexibility of electricity consumers to accelerate the use of renewable energy on the wider power system.

The company’s services leads to a reduction in the continued reliance on fossil fuel generation to balance renewable generation by instead contracting large electricity consumers to provide this balancing function and other, higher-value services that ensure the reliability and security of the power system. By reducing the percentage of power reserved for fossil fuel generation in-turn increases the percentage of zero-carbon renewable generation that can be delivered by the power system.

For VIOTAS’s commercial and industrial clients, by electing certain non-critical electricity loads to be automatically reduced at key times, they will receive payments in the same way that power stations do for generating electricity. This presents a significant opportunity at times when the wholesale electricity market price reaches highs of $14.50 per kilowatt-hour.

The company’s high-speed technology boasts the ability to detect and react to power system issues faster than the blink of a human eye, enabling their Demand Response clients to access a broader range of high-value payments that are typically the domain of grid-scale batteries.

VIOTAS has been the fastest growing Demand Response provider since entering Ireland's highly competitive market and was titled Ireland’s fastest growing technology company in the 2019 Deloitte Technology Fast 50 Awards.  The company’s disruptive technology has played a key role in shaping their home market as Ireland has, by necessity, turned to innovative solutions to achieve increasingly ambitious national renewable energy targets.

“Our services are underpinned by our best in class technology that is designed from the ground up to meet the challenges associated with integrating increasing amounts of renewable energy onto the power system," VIOTAS co-founder, CEO and CTO, Paddy Finn said.

"We are a company that looks towards the future, and Australia, a country whose coat of arms symbolises moving forward, never backwards, clearly shares our view of the world. We are excited to deliver our services to commercial and industrial clients in Australia to help facilitate the use of more renewable energy on the wider power system in a way that retains value in the economy.”

While investing heavily in its global expansion, VIOTAS has focused its attention on Australia as a key market on account of the challenges arising due to the increasing prevalence of renewable energy on the power system. Ireland’s response to similar challenges in recent years is highly regarded as a global exemplar by power system operators worldwide.

VIOTAS Australia managing director, Michael Zammit said, “I am truly delighted to be leading VIOTAS Australia having seen the extent of what they have achieved in Ireland. The technology behind our services is complex but our business model is simple; we generate significant revenue for our clients, improving their competitiveness, and retaining value in the Australian economy.”

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AUSTRALIANS turned to retail therapy to counter feelings of loneliness or to stave off boredom and anxiety caused by the COVID-19 lockdowns, a new report by Monash University researchers has found.

As the pandemic restrictions adversely affected the mental health of many Australians, research by Monash Business School’s Australian Consumer and Retail Studies (ACRS) node found people turned to their wallets to help them cope during those uncertain times.

Findings of the latest report, found more than two-thirds of Aussie shoppers felt moderately to a great deal happy, in control and experienced a level of normalcy when shopping for non-grocery products.

More than 55 percent of shoppers said they did not feel lonely, stressed or bored while shopping for non-grocery retail products.

This year, Aussies bought the most of clothing, footwear and accessories (59%); homeware and hardware (45%); and personal care products, such as cosmetics and baby care (37%).

A higher proportion of women made purchases in clothing, footwear, and accessories (70% to 48% men) and personal care (48% to 25% men).

Unsurprisingly, at the supermarket checkout, Aussies stocked up big on toilet paper, tissues and paper towels (14%); pasta and noodles (13%); cleaning supplies (12%); frozen foods (11%) and sanitisers and soaps (10%). The biggest stocked piled grocery items were canned goods and soups (15%).

And while delivery timings of online purchases were a pain-point in 2020, with 38 percent of shoppers reporting that delivery times were worse than the previous year, overall the retail experience of online shopping was viewed as being better than the previous year (25%) and so too was customer service online (21%).

To understand the effect COVID-19 has had on the retail industry and Australian shoppers, Monash Business School’s Australian Consumer and Retail Studies (ACRS) has been conducting a monthly shopper pulse survey since September 2020.\

The report, containing feedback from nearly 5,000 shoppers across Australia, highlights the fluctuating retail trends and the out-of-the-ordinary purchases made on certain products because of the COVID-19 pandemic.

“Those surveyed said they rushed to the shops to stock up on those goods because they wanted to ensure their family/household was taken care of, they expected disruptions to supply chains, and they expected to spend more time at home and wanted appropriate products,” Stephanie Atto, principal research consultant at the ACRS, said.

“Similarly, Australians also made a number of out-of-the-ordinary purchases because of COVID-19, including casual/loungewear (12%), sports clothing and shoes (8%); face/body care (9%) and haircare (7%); as well as household items for cooking and baking (7% and 6% respectively) and drinks appliances, such as coffee makers (6%).”

Aussies also binged on subscriptions to online movies and TV platforms, such as Netflix, Disney+ and Stan (8%), bought new laptops/tablets (7%) and smartphones (6%), and stocked up the home gym with weights and exercise balls (5%).

However, shoppers were most concerned about being COVID-safe while shopping in store for essential items.

Shoppers agreed that most retailers introduced appropriate safety measures (84%), acted in the interests of their customers (77%), and made it convenient for customers to shop with them (76%).

As small businesses struggled and many closed their doors, shoppers said they would do what they could to support the Australian retail industry, with many expected to shop more for products that are locally produced (61%).

Aussies are also expected to be more conservative with their spending (58%) and will seek out sales or special deals (66%) in the future.

“Although we can’t know exactly what the next year will bring, this year has demonstrated the need for a seamless connection between the physical store, online offerings and improved technology integration into the retail experience. We can also expect some of the shopping behaviours that have changed this year to continue into the future,” Ms Atto said.

To read the more detailed article, visit Monash Business School’s Impact.

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INDUSTRY superannuation fund MTAA Super has named 15 auto and related industries workers as recipients of the MTAA Super Scholarship, a sub-fund of the Australian Communities Foundation.

The scholarships — worth up to $5,000 and funded through donations from the MTAA Super Board members and the CEO — are designed to help individuals in the automotive and related industries pursue further education and training.

With over $50,000 awarded to 15 recipients across Australia, the fund will support studies in business, technology, innovation, communication, and more.

MTAA Super chair, John Brumby, said the scholarship program will help new and experienced workers deal with the impacts of COVID-19.  

"Like many industries, Australia's auto industry has been seriously impacted by the pandemic and the recession," Mr Brumby said. "Many workers have had hours cut or lost access to important educational opportunities. This adds a lot of pressure to businesses, workers, and their families.

"The MTAA Super Scholarship will support individuals to upskill and find new career pathways in the industry and will help the industry to grow and innovate."

MTAA Super engaged the Australian Communities Foundation to administer the program. Overall, it received 59 applications from all Australian states and territories, almost half from rural and regional areas. Recipients of the scholarships include both MTAA Super members and non-members. 

MTAA Super Board member Geoff Lowe said that the calibre of applications for the funds was exceedingly high.

"We were blown away by the quality of the applicants from across the country. From vehicle mechanics to students to marketers and business owners, they all had a clear vision for their future and were deeply committed to and passionate about this industry," Mr Lowe said.

Mr Lowe hoped the MTAA Super Scholarships wpuld help individuals take further steps along their automotive career pathway.

"I hope the recipients genuinely grab hold of this opportunity. Whether they're using it to help with their studies or adding additional skills, there are many, many pathways in this industry. That's why it plays a multi-faceted role in the Australian economy for hundreds of thousands of people daily."

MTAA Super Scholarship recipients:

Changco Quelino (Vic), Claire Dunne (Vic), Daniel Purtle (Vic), Darren Rapsey (Vic), Edward Maddock (Vic), Flynn Grace (Vic), Joel Terpstra (Vic), Mitchell Douglas Lambert (Vic), Tanara Absolom (Vic), Emily Munro (NSW), Gavin Brauer (NSW), Jamie Firebrace (NSW), Scott Parkes (NSW), Macauley Taunton (NT), David Wylie (SA).

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THE Australian Parliament’s Agriculture and Water Resources Committee has published its report Growing Australia: Inquiry into growing Australian agriculture to $100 billion by 2030.

The committee’s inquiry considered how the Australian agriculture could reach the target set by the National Farmers’ Federation to grow the sector to a farmgate value of $100 billion by 2030.

The Committee Chair, Rick Wilson MP, described this target as ambitious but achievable and noted that "Australian producers have a strong track record of taking advantage of economic opportunities and delivering productivity growth over the long-term.

"Australian farmers have consistently identified and embraced new technologies and techniques that can improve their businesses. This innovative mindset makes our producers well placed to benefit from the digital technologies that are rapidly becoming central to the process of farming," Mr Wilson said.

Mr Wilson also highlighted the importance of exports to the sector, stating,  "There is perhaps no issue that will affect the trajectory of Australian agriculture more than our ability to expand and diversify our export markets.

"The quality of Australian produce is recognised globally, and to take advantage of this reputation we must continually look for opportunities to expand into new markets, as well as seek productivity improvements that allow our producers to remain ahead of the game in competitive international markets," Mr Wilson added.

The report includes recommendations aimed at promoting adoption of innovative new technologies, developing a national biosecurity strategy, increasing export market access for Australian producers, and attracting young people to undertake a career in agriculture.

The report can be found at the inquiry website.

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