Security Legislation Amendment (Critical Infrastructure Protection) Act 2022 (33 of 2022)

Schedule 1   Amendments

Security of Critical Infrastructure Act 2018

71   After Part 6

Insert:

Part 6A - Declaration of systems of national significance by the Minister

Division 1 - Simplified outline of this Part

52A Simplified outline of this Part

The Minister may privately declare a critical infrastructure asset to be a system of national significance.

The Minister must notify each reporting entity for an asset that is a declared system of national significance.

If a reporting entity for an asset that is a declared system of national significance ceases to be such a reporting entity, or becomes aware of another reporting entity for the asset, the entity must notify the Secretary.

Note: It is an offence to disclose that an asset has been declared a system of national significance (see section 45).

Division 2 - Declaration of systems of national significance by the Minister

52B Declaration of systems of national significance by the Minister

(1) The Minister may, in writing, declare a particular asset to be a system of national significance if:

(a) the asset is a critical infrastructure asset; and

(b) the Minister is satisfied that the asset is of national significance.

(2) In determining whether an asset is of national significance for the purposes of subsection (1), the Minister must have regard to:

(a) the consequences that would arise for:

(i) the social or economic stability of Australia or its people; or

(ii) the defence of Australia; or

(iii) national security;

if a hazard were to occur that had a significant relevant impact on the asset; and

(b) if the Minister is aware of one or more interdependencies between the asset and one or more other critical infrastructure assets - the nature and extent of those interdependencies; and

(c) such other matters (if any) as the Minister considers relevant.

(3) The Minister must notify the following of the declaration, in writing, within 30 days after making the declaration in relation to an asset:

(a) each reporting entity for the asset;

(aa) the Parliamentary Joint Committee on Intelligence and Security;

(b) if the asset is a tangible asset located (wholly or partly) in a State, the Australian Capital Territory or the Northern Territory - the First Minister of the State, the Australian Capital Territory or the Northern Territory, as the case requires.

(4) A declaration under subsection (1) is not a legislative instrument.

(5) To avoid doubt, an asset may be the subject of a declaration under subsection (1) even if the asset is not a system.

52C Consultation - declaration

(1) Before making a declaration under section 52B in relation to an asset, the Minister must give the responsible entity for the asset a notice:

(a) setting out the proposed declaration; and

(b) inviting the entity to make submissions to the Minister about the proposed declaration within:

(i) 28 days after the notice is given; or

(ii) if a shorter period is specified in the notice - that shorter period.

(2) The Minister must consider any submissions received within:

(a) the 28-day period mentioned in subparagraph (1)(b)(i); or

(b) if a shorter period is specified in the notice - that shorter period.

(3) The Minister must not specify a shorter period in the notice unless the Minister is satisfied that the shorter period is necessary due to urgent circumstances.

(4) The notice must set out the reasons for making the declaration, unless the Minister is satisfied that doing so would be prejudicial to security.

52D Notification of change to reporting entities for asset

Scope

(1) This section applies if a reporting entity (the first entity ) for an asset declared under subsection 52B(1) to be a system of national significance:

(a) ceases to be a reporting entity for the asset; or

(b) becomes aware of another reporting entity for the asset (whether or not as a result of the first entity ceasing to be a reporting entity).

Notification

(2) The first entity must, within 30 days, notify the Secretary of the following:

(a) the fact in paragraph (1)(a) or (b) (as the case requires);

(b) if another entity is a reporting entity for the asset - the name of each other entity and the address of each other entity's head office or principal place of business (to the extent known by the first entity).

Civil penalty: 150 penalty units.

(3) The first entity must use the entity's best endeavours to determine the name and relevant address of any other entity for the purposes of paragraph (2)(b).

(4) If the Secretary is notified of another entity under paragraph (2)(b), the Secretary must notify the other entity of the declaration under subsection 52B(1), in writing, within 30 days after being notified under that paragraph.

52E Review of declaration

Scope

(1) This section applies if an asset is declared under subsection 52B(1) to be a system of national significance.

Request

(2) The responsible entity for the asset may, by written notice given to the Secretary, request the Secretary to review whether the asset is of national significance.

Requirement

(3) The Secretary must, within 60 days after the request is given:

(a) review whether the asset is of national significance; and

(b) give the Minister:

(i) a report of the review; and

(ii) a statement setting out the Secretary's findings.

(4) The review must be undertaken in consultation with the responsible entity for the asset.

(5) In reviewing whether the asset is of national significance, the Secretary must have regard to:

(a) the consequences that would arise for:

(i) the social or economic stability of Australia or its people; or

(ii) the defence of Australia; or

(iii) national security;

if a hazard were to occur that had a significant relevant impact on the asset; and

(b) if the Secretary is aware of one or more interdependencies between the asset and one or more other critical infrastructure assets - the nature and extent of those interdependencies; and

(c) such other matters (if any) as the Secretary considers relevant.

Limit

(6) The responsible entity for the asset must not make more than one request under subsection (2) in relation to the asset during a 12-month period.

52F Revocation of determination

Scope

(1) This section applies if:

(a) a declaration under subsection 52B(1) is in force in relation to an asset; and

(b) the Minister is no longer satisfied that the asset is of national significance.

Duty to revoke declaration

(2) The Minister must, in writing, revoke the declaration.

Revocation is not a legislative instrument

(3) A revocation of the declaration is not a legislative instrument.

Application of Acts Interpretation Act 1901

(4) This section does not, by implication, affect the application of subsection 33(3) of theActs Interpretation Act 1901to an instrument made under a provision of this Act.