Explanatory Memorandum
(Circulated by authority of the Treasurer, the Hon Peter Costello, MP)3 Financial impact statement
3.1 The Bill will reduce compliance costs for business by removing unnecessary regulation, reducing the complexity of the rules and simplifying their expression.
3.2 The Bill will remove the current immunity of the Federal Government from the fundraising provisions, except in relation to offers of government guaranteed debt securities. It is anticipated that this will not have any impact on government expenditure because the Federal Government currently undertakes privatisations as if the fundraising provisions applied.
3.3 The Bill will also remove the current immunity of the Federal Government from the takeover provisions. It is anticipated that this will not have any impact on government expenditure because there is limited Government activity in this area.
3.4 Any impact on government expenditure would be outweighed by competitive neutrality benefits, ensuring that government activity in these areas is subject to the same legal requirements as private sector activity.