NSWIn ForceAct
Water Industry Competition Act 2006
8DMeaning of “suitable corporation”
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#### 8D Meaning of “suitable corporation”
8D Meaning of “suitable corporation”
> > (1) A corporation is a suitable corporation to be granted a licence under this Part only if the Minister has determined that—
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> > > (a) the corporation has the capacity, including technical, financial and organisational capacity, to comply with obligations under this Act and to carry out the activities to be authorised by the licence, and
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> > > (b) the corporation is otherwise suitable to be granted the licence, taking into account the mandatory considerations under this section and the non-mandatory considerations under this section that the Minister thinks appropriate.
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> > (2) For the purpose of determining whether a council is a suitable corporation, the only relevant capacity for determination is technical capacity and none of the mandatory or non-mandatory considerations are to be taken into account.
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> > (3) A council is a suitable corporation if the Minister has determined that the council has the technical capacity to comply with obligations under this Act and to carry out the activities to be authorised by the licence.
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> > (4) A corporation is not a suitable corporation to be granted a licence if the corporation is a disqualified corporation.
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> > (5) The following considerations are the mandatory considerations to be taken into account in determining whether a corporation is a suitable corporation to be granted a licence—
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> > > (a) whether an insolvency official has been appointed for the corporation or the whole or part of the property of the corporation, an order has been made for the winding-up of the corporation or a resolution has been passed for the winding-up of the corporation,
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> > > (b) whether the corporation or a director of the corporation has committed an offence against this Act or another law of this State, the Commonwealth, another State or a Territory relating to the water industry, public health, environment protection, development control or consumer protection,
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> > > (c) whether the corporation or a director of the corporation has held a statutory authorisation that has been cancelled or suspended or has been disqualified from obtaining a statutory authorisation,
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> > > (d) whether a director of the corporation is of good repute and character, having particular regard to honesty and integrity,
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> > > (e) whether a director of the corporation has become, within the previous 3 years, an insolvent under administration within the meaning of the [Corporations Act 2001](http://www.legislation.gov.au/) of the Commonwealth,
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> > > (f) whether a director of the corporation has been, within the previous 3 years, the director of a body corporate when an insolvency official has been appointed for the corporation or the whole or part of the property of the corporation, an order has been made for the winding-up of the corporation or a resolution has been passed for the winding-up of the corporation,
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> > > (g) other matters prescribed by the regulations.
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> > (6) The following considerations are the non-mandatory considerations that may be taken into account in determining whether a corporation is a suitable corporation to be granted a licence—
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> > > (a) each of the mandatory considerations for a related corporation of the corporation under consideration as if a reference in the mandatory considerations to the corporation were a reference to a related corporation of that corporation,
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> > > (b) each of the mandatory considerations for a person concerned in the management of the corporation under consideration as if a reference in the mandatory considerations to a director of the corporation were a reference to a person concerned in the management of the corporation,
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> > > (c) whether the corporation is a related corporation of a disqualified corporation,
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> > > (d) other considerations the Minister considers relevant.
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> > (7) For the purposes of determining whether a corporation has the relevant capacity to be a suitable corporation to be granted a licence, the following must be taken into account—
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> > > (a) the extent to which the corporation relies on arrangements with contractors or subcontractors, including related corporations, for the necessary capacity,
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> > > (b) the suitability of the arrangements,
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> > > (c) proposed licence conditions relating to the arrangements.
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> > (8) In this section, statutory authorisation means a licence, approval or other authorisation whether under the law of this State, the Commonwealth, another State or a Territory.
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> **s 8D:** Ins 2021 No 26, Sch 1\[4\].