Western Australian Coastal Shipping Commission Act 1965

The Act operates around a limited set of core concepts: a statutory commission as corporate Crown agency; transfer and continuity of a pre‑existing State trading concern; commercial powers to run shipping services; bounded autonomy through ministerial and financial controls; statutory financial architecture; personnel continuity with some public service overlay; and delegated regulatory instruments such as by‑laws and regulations.

1. Commission as corporate Crown agency. The Commission is a body corporate with perpetual succession and a common seal, capable of holding property and suing or being sued (s 5(2)(a)-(d)). It is also a corporate agency of the Crown in right of the State (s 5(2)(c)). The seal is prima facie duly affixed for court purposes (s 5(3)).

2. Functions and non‑duty. The Commission’s enumerated functions are to maintain and operate the State Shipping Service functions transferred to it and to establish, maintain and operate additional shipping services for passengers, goods and mails between places inside and outside the State (s 13(a)-(c)). Crucially, the Act expressly states that the Commission has no legal duty to operate any shipping service (s 13, final clause). That is a textual constraint on any implied obligation to continue particular routes or services.

3. Commercial powers. The Commission may do all things necessary or convenient for performance of its functions (s 14(1)), and the Act lists ship‑owning activities, acquisition/disposal of vessels and property, stevedoring, agency functions, training, and settlement of claims among permitted activities (s 14(2)(a)-(m)). It may also contract out works and services (s 16).

4. Governance architecture. The Governor appoints three Commissioners and designates a Chair and Vice‑Chair (s 6(1)-(2)). Commissioners’ terms are specified (s 6(3)-(4)), can be reappointed (s 6(6)), and may be dismissed for inability, inefficiency or misbehaviour (s 10). Commissioners must disclose conflicts of interest (s 11(2)-(3)). The Minister may appoint acting Commissioners (s 7), grant leave (s 8), and give directions to the Commission that must be implemented (s 5(5)).

5. Delegation and management. The Commission may delegate powers, other than the power of delegation itself, to a Commissioner, the General Manager or another person by instrument under its seal (s 15(1)). Delegations are revocable at will (s 15(2)). The General Manager is the Commission’s CEO and is appointed by the Governor on the Commission’s recommendation (s 23(1)).

6. Personnel and industrial overlay. The Act preserves employees of the former State Shipping Service who agree to continue (s 21(2)-(3)), recognises entitlements under the Superannuation and Family Benefits Act 1938 for former staff (s 21(3)(a)), and requires compliance with relevant awards and industrial agreements from the relevant industrial legislation (s 22(1), s 24). Section 24A resolves inconsistencies for officers who are members of the Senior Executive Service under the Public Sector Management Act 1994.

7. Financial structure and Crown exposure. Funds include parliamentary appropriations, receipts and borrowings (s 25(1)). A specific account must be established (s 25(2)), and moneys are available to meet operational costs and payroll (s 25(3)). The Commission may borrow from the Treasurer or a Treasurer‑approved bank, with interest as the Treasurer determines (s 26). Additional borrowing on security requires Governor approval and Treasurer sign‑off on loan particulars (s 27(1)-(2)); the Treasurer may guarantee repayment and the liability is charged to the Consolidated Account (s 27(3)). Borrowings under s 26 are guaranteed by the Treasurer in respect of amounts outstanding (s 26(3)), making the Crown fiscally exposed. Sinking fund, interest and contribution arrangements are prescribed (ss 27(5), 28).

8. Accountability and reporting. The Commission’s operations are subject to the Financial Management Act 2006 and the Auditor General Act 2006 (s 31(1)). Ministerial directions must be included in the Commission’s annual report (s 5(6)). The Commission must inform the Minister periodically and furnish requested information (s 33).

9. Regulatory instruments and enforcement. The Commission may make by‑laws with the Governor’s approval dealing with operational matters, protection of property, order, disposal of unclaimed goods, interference and limits on liability; maximum penalties for by‑law breaches are $1,000 (s 38). The Governor may make regulations for matters required or convenient to carry out the Act, again with penalties not exceeding $1,000 (s 39).

10. Continuity of rights and proceedings. On commencement, the assets, rights, debts, contracts and legal proceedings of the previous State Shipping Service are transferred to the Commission without conveyance (s 35(c)-(g)). Statutory and documentary references to the Minister for State Shipping Services or the State Shipping Service are to be read as references to the Commission (s 36).

These concepts shape incentives and constraints: the Commission is empowered to act commercially but remains embedded within executive control over prices, borrowing and direction. The Act creates operational flexibility but also places fiscal and reporting obligations that link the Commission to central government decision‑makers.

The Act creates stakeholders across public and private sectors. The primary affected parties, and how they are affected as shown in the text, are the following.

1. The State and executive officers. The Governor, Minister, and Treasurer are recurrent decision‑makers in the Act. The Governor appoints Commissioners and approves by‑laws (ss 6, 38), and may terminate Commissioner appointments for inability, inefficiency or misbehaviour (s 10). The Minister may give directions to the Commission which the Commission must implement, and those directions must be disclosed in the Commission’s annual report (ss 5(5)-(6)). The Minister must approve rates of charges for carriage (s 20(1)). The Treasurer is a central financial actor who may lend moneys to the Commission, determine interest payable on Treasurer loans (s 26(2)), require payments to the Consolidated Account (s 30), direct investment of temporarily held funds (s 29), and authorise bank borrowings and Crown guarantees subject to conditions (s 27).

2. Commission governance and management. Commissioners, the Chairman and Vice‑Chairman are appointed under s 6 and are paid such remuneration as determined by the Governor (s 9). The General Manager is the Chief Executive Officer, appointed by the Governor on the Commission’s recommendation (s 23). The Commission as a corporate entity is directly affected in its capacity to hold assets, sue and be sued, and administer shipping operations (s 5(2)(a)-(d)).

3. Employees and unions. All officers and employees of the former State Shipping Service who are willing and able to be employed become officers and employees of the Commission on the same terms as before (s 21(2)). Existing and accruing rights, including superannuation entitlements referenced under the Superannuation and Family Benefits Act 1938, are preserved for those employees (s 21(3)(a)-(b)). The Act requires compliance with relevant awards and industrial agreements under the applicable industrial relations legislation for temporary, casual and other staff (ss 22(1), 24). Section 24A addresses officers who are members of the Senior Executive Service and stipulates that where there is an inconsistency the Public Sector Management Act 1994 prevails.

4. Customers and freight interests. Passengers, shippers and mail services are directly within the Commission’s scope (s 13(b)). Tariffs and charges for carriage are subject to Ministerial approval (s 20(1)), and the Commission has statutory powers to recover unpaid fares and charges, including detention and sale of goods in its possession (s 37). The Commission also may set by‑laws governing the conditions of service, preservation of property, order, liability and claims (s 38), which can affect contractual rights and operational conditions for customers.

5. Creditors and financiers. The Commission may borrow under ss 26-27, and borrowings have implications for creditors, who may receive security over Commission assets where Governor and Treasurer approvals are obtained (s 27(1)). The Treasurer may guarantee payments on behalf of the Crown (s 27(3)), and amounts borrowed under s 26 are charged against accounts and assets with a Crown guarantee in respect of outstanding amounts (s 26(3)). These provisions affect risk allocation between private lenders and the Crown.

6. Counterparties to pre‑existing contracts. Contracts, securities and rights that were in force for the former Minister for State Shipping Services are transferred to and enforceable by or against the Commission (s 35(e)-(f)). Parties to such contracts are affected because the legal counterparty changes by force of the Act without conveyance (s 35(c), (e)-(g)).

7. Ports, stevedores, agents and infrastructure owners. The Commission’s powers to acquire, lease and operate wharves, engage in stevedoring and appoint agents (s 14(d), (h), (i)) mean that port operators, wharf owners and stevedoring businesses may be direct counterparties or competitors, depending on whether the Commission contracts out services (s 16) or carries them on directly.

8. Courts and litigants. Courts are required to take notice of the Commission’s seal and presume its proper affixation (s 5(3)). Proceedings that might have been brought by or against the Minister in respect of the State Shipping Service can be continued or commenced by or against the Commission (s 35(g)). These provisions affect litigation strategy, jurisdictional pleadings and enforcement.

9. The public/exchequer. Parliamentary appropriations are a permitted fund source for the Commission (s 25(1)(a)), and the Treasurer may require payments to the Consolidated Account (s 30). Crown guarantees of borrowing (ss 26(3), 27(3)) create contingent fiscal exposure for the State.

10. Regulatory and auditing agencies. The Financial Management Act 2006 and the Auditor General Act 2006 apply to the Commission (s 31(1)), meaning the Commission is subject to public sector financial reporting, disclosure, audit and accountability standards set by those Acts.

The Act therefore affects a broad set of parties, with effects ranging from contractual continuity (s 35) and employment continuity (s 21(2)-(3)) to pricing controls (s 20(1)) and fiscal arrangements (ss 26-30). The mix of commercial powers (s 14) and executive oversight (s 5(5), s 20(1), ss 26-27) shapes incentives for private counterparties and financiers when dealing with the Commission.

This section summarises the principal statutory duties imposed on the Commission, the rights and powers conferred on it, and specific obligations applying to Commissioners, staff and financial officers as set out in the Act.

Commission’s duties and reporting obligations

• To perform the functions in s 13: maintain and operate prior State Shipping Service services and establish or provide for additional shipping services for carriage of passengers, goods and mails (s 13(a)-(c)). The Act qualifies that the Commission “has no legal duty to operate any shipping service” (s 13, final clause), which is an explicit limitation on positive statutory obligations to maintain services.
• To give effect to Ministerial directions in writing (s 5(5)). The Act requires inclusion of the text of any Ministerial direction in the Commission’s annual report submitted under the Financial Management Act 2006 (s 5(6)).
• To keep the Minister informed concerning the general conduct of its business and to furnish information to the Minister when required (s 33(a)-(b)).
• To keep proper accounts and, with Treasurer approval, establish reserve accounts; the Commission must keep accounts adequate for audit and financial management purposes (s 32(2), and s 31 requires compliance with the Financial Management Act 2006 and Auditor General Act 2006).

Commercial powers (rights)

• Broad operational powers: authority to do all things necessary or convenient to perform its functions (s 14(1)). Enumerated commercial activities include operating as a ship owner, purchasing, leasing or chartering ships, acquisition and disposal of property (including wharves), stevedoring, training, appointing agents, acting as agent for others, and settling claims (s 14(2)(a)-(m)). These are rights to carry on commercial activities customary to maritime operators.
• Contracting and subcontracting: may contract for execution of works and services (s 16), and may delegate powers to Commissioners, the General Manager or other persons (s 15(1)), subject to revocation at will (s 15(2)).
• Statutory proprietary rights: as a body corporate it may acquire, hold and dispose of real and personal property in or outside the Commonwealth, sue and be sued (s 5(2)(a)-(b)).
• Rights as carrier: subject to statutory limitations and regulations, the Commission has the same liabilities, obligations, rights and protections as common carriers (s 17).

Financial rights and duties

• Funds and account: entitlement to appropriations, receipts and borrowings; funds to be credited to The Western Australian Coastal Shipping Account; accountability for defraying costs and paying remuneration and salaries from that account (s 25(1)-(3)).
• Borrowing mechanics: power to borrow from the Treasurer or Treasurer‑approved banks with interest set by the Treasurer (s 26(1)-(2)); additional borrowing on security requires Governor approval and Treasurer sign‑off on particulars, and borrowing may be guaranteed by the Treasurer with liability charged to the Consolidated Account (s 27(1)-(4)).
• Sinking fund and contributions: an obligation to set aside half‑yearly sums for a sinking fund at a rate approved by the Governor and Treasurer when borrowing under s 27 (s 27(5)), and annual debits for interest and sinking fund contributions as fixed by the Treasurer for portions of the Consolidated Account applied to Commission functions (s 28(1)-(2)).
• Treasurer powers concerning funds: may direct temporary investment of Commission funds in securities permitted for the Public Bank Account and credit resulting interest to the Commission’s account (s 29). The Treasurer may require payment to the Consolidated Account (s 30).

Regulatory and enforcement capacities

• Recovery powers: where a person defaults on payment of fares or charges, the Commission may detain and sell goods in its possession and retain proceeds for the fare and charges and costs of sale, returning any surplus (s 37).
• By‑laws and regulations: authority (with Governor approval) to make by‑laws on operational, property, order and liability matters, with penalties not exceeding $1,000 for breaches (s 38); the Governor may make regulations with similar penalty caps (s 39).

Duties and restrictions on Commissioners and staff

• Conflict disclosure and participation limits: a Commissioner with a direct or indirect interest in a contract (except for carriage of the Commissioner’s own goods) must disclose the interest at a meeting, have the disclosure recorded, not take part in related deliberations or decisions, and be disregarded for quorum for that decision (s 11(2)-(3)).
• Appointment and termination: Commissioners are appointed by the Governor for fixed terms (s 6) and may be dismissed for inability, inefficiency or misbehaviour (s 10). The Governor declares vacancy in specified circumstances (s 11(1)).
• Staff terms: the Commission determines terms and conditions of employment, subject to relevant awards or industrial agreements; the Commission must not set salaries above a public service benchmark without Ministerial approval (s 22(1)-(2)). Existing staff of the State Shipping Service retain rights, including superannuation entitlements, when transferred (s 21(2)-(3)).

Statutory presumptions and continuity

• Courts must take notice of the Commission’s seal and presume it was duly affixed (s 5(3)).
• Transfer mechanics on commencement: assets, contracts, debts, securities and proceedings of the former State Shipping Service vest in the Commission by force of the Act and may be enforced by or against the Commission (s 35(c)-(g)); references in laws and documents to the Minister for State Shipping Services or the State Shipping Service are to be read as references to the Commission (s 36).

Taken together, the Act confers operational, commercial, and recovery rights comparable to a private ship owner while layering public sector oversight through Ministerial directions, approval of charges, financial reporting obligations, and Crown involvement in borrowing and guarantees. The Act also prescribes governance duties and disclosure obligations for Commissioners and operational constraints through industrial relations references and statutory caps on by‑law/regulation penalties.

Penalties under the Act are concentrated in the by‑law and regulation provisions and in the administrative avenues for enforcement of financial and contractual obligations. The Act itself prescribes limited criminal or monetary sanctions, but provides administrative remedies and statutory mechanisms for recovery and Crown liability exposure.

By‑laws and regulations

• The Commission may make by‑laws with the Governor’s approval governing operation of services, protection of property, maintenance of order, disposal of unclaimed goods, prohibition of interference with services, limitation of liability and the making of claims (s 38(a)-(f)). By‑laws may prescribe penalties, not exceeding a fine of $1,000, for breach of a by‑law (s 38(g)). The Governor may make regulations, not inconsistent with the Act, for matters required or convenient for carrying out the Act; regulations may prescribe penalties not exceeding a fine of $1,000 (s 39). These monetary caps on by‑law and regulation offences are explicit statutory maxima.

Recovery and property enforcement

• Where a person fails to pay fares or charges on demand, the Commission may detain and sell goods of the person that are in its possession, retain the fare or charge and costs of detention and sale from the proceeds, and render any surplus or unsold goods to the person entitled thereto (s 37). This is a statutory self‑help enforcement mechanism that transfers enforcement costs and risk to the debtor, subject to the procedural steps required by s 37 (detention, sale, accounting for surplus).

Administrative enforcement and oversight mechanisms

• Ministerial directions: the Minister may give directions in writing to the Commission with respect to its powers and functions (s 5(5)), and the Commission is required to give effect to any such direction. Non‑compliance with a Ministerial direction would engage administrative remedies (including ministerial action) rather than a specified criminal sanction; however, directions must be included in the Commission’s annual report (s 5(6)), which subjects direction‑compliance to public and audit scrutiny under the Financial Management Act 2006 and the Auditor General Act 2006 (s 31).

Personnel control and remedies

• The Governor may terminate the appointment of a Commissioner for inability, inefficiency or misbehaviour (s 10). The Governor may declare a Commissioner’s office vacant on specific grounds (s 11(1)). The Minister may terminate an acting Commissioner at any time (s 7(2)). These are administrative sanctions available to the executive.

Financial and contractual remedies

• The Commission has the same liabilities and protections as common carriers, subject to limitations in the Act and in any regulations, by‑laws or contracts (s 17). That grants the Commission and claimants the rights and remedies that attach to common carrier status in contract and tort, subject to any statutory or contractual limits.
• Borrowing liabilities: debts borrowed under s 26 are a charge on the Commission’s account and assets, and the Treasurer guarantees repayment in the name and on behalf of the Crown (s 26(3)). For additional borrowing under s 27, the Treasurer may guarantee repayment and the Crown’s liability is charged to the Consolidated Account (s 27(3)). This creates a creditor enforcement path through standard debt recovery and the practical backstop of Crown guarantee.

Courts and procedural presumptions

• Courts, judges and persons acting judicially must take notice of the seal of the Commission on a document and presume it was duly affixed (s 5(3)). Proceedings that could have been commenced or continued by or against the Minister in respect of the State Shipping Service may be continued or commenced by or against the Commission (s 35(g)), providing procedural continuity for enforcement actions.

Limits on maximum penalties and practical effect

• The statutory penalty ceilings for by‑law and regulation breaches (maximum $1,000) are fixed in the Act (ss 38(g), 39). The ceiling constrains criminal or quasi‑criminal enforcement tools available to the Commission and the executive; enforcement of larger monetary claims must proceed by civil suit or other statutory mechanisms such as detention and sale (s 37) or contract enforcement in courts.

Audit, reporting and transparency as enforcement

• The application of the Financial Management Act 2006 and the Auditor General Act 2006 to the Commission (s 31(1)) subjects the Commission to formal audit oversight and public reporting requirements. Ministerial directions are required to be recorded in annual reports (s 5(6)). While these are not penal measures, audit findings and public reporting create accountability channels that can lead to political or financial consequences if obligations are not met.

In short, enforcement under the Act mixes statutory self‑help (s 37), civil remedies and carrier liabilities (s 17), administrative removal or termination of Commissioners (ss 7, 10-11), and oversight through audit and financial controls (s 31). Monetary penalties directly tied to by‑law and regulation contraventions are capped at $1,000 (ss 38(g), 39). Crown guarantees of borrowing (ss 26(3), 27(3)) create an avenue for creditor recourse backed by the Consolidated Account where the Treasurer exercises guarantee powers.

The Act is drafted with express cross‑references to several other statutes and legal constructs. Its interaction with other laws changes how powers are exercised, how financial management applies, and how employment and superannuation rights are preserved. These interactions, as specified in the text, are the following.

Financial and audit legislation

• Financial Management Act 2006 and Auditor General Act 2006: The Act explicitly subjects the Commission to the financial administration, audit and reporting provisions of these Acts (s 31(1)), requiring compliance with public sector financial controls, reporting standards and audit oversight. The Commission must prepare annual reports in accordance with the Financial Management Act, and must include in its annual report text of any Ministerial directions as they are received (s 5(6), s 31(2)). The Western Australian Coastal Shipping Account is established either as an agency special purpose account under s 16 of the Financial Management Act 2006 or as an approved bank account (s 25(2)).

State Trading Concerns Act 1916 and continuity

• State Shipping Service and the State Trading Concerns Act 1916: Defined terms and Part III establish that the Commission takes over the State Shipping Service, which ceases to be a State Trading Concern (s 35(a)-(b)), and all property, contracts, rights and obligations formerly vested in the Minister for State Shipping Services under s 6 of the State Trading Concerns Act 1916 are transferred to the Commission by force of the Act (s 35(c)-(g)). References in other laws and documents to the Minister or State Shipping Service are to be read as references to the Commission (s 36). This creates legal continuity for statutory references and obligations that relied on the State Shipping Service.

Industrial relations and employment law

• Industrial Arbitration Act 1912 (and successor industrial relations Acts): The Act requires terms and conditions of employment to be subject to any relevant award or industrial agreement in force under the industrial legislation (s 22(1)). Section 24 makes a similar reference for temporary and casual employees. The compilation notes indicate the relevant industrial statutes have been replaced or renamed (notes to s 22, compilation table). For Senior Executive Service members, where inconsistencies exist the Public Sector Management Act 1994 prevails over the Commission’s Division (s 24A).

Superannuation legislation

• Superannuation and Family Benefits Act 1938 (and successor arrangements): The Act preserves existing rights for former State Shipping Service officers and employees, including rights under the Superannuation and Family Benefits Act 1938, and treats service with the State Shipping Service as service with the Commission for purposes of determining those rights (s 21(3)(a)-(b)). Compilation notes explain repeals and transitional provisions affecting superannuation legislation but the Act preserves entitlements for transferred staff (Notes, Other notes 1).

Interpretation Act and bankruptcy

• The Act references the Interpretation Act 1984 s 13D on bankruptcy in the context of Commissioner vacation of office (s 11(1)(a)), making insolvency rules under the Interpretation Act applicable to Commissioners holding office.

Crown and public finance law

• Consolidated Account and Treasurer powers: The Act authorises the Treasurer to require payments to the Consolidated Account (s 30), to lend to the Commission (s 26), to guarantee borrowing under s 27 and to charge liabilities to the Consolidated Account (s 27(3)). The Act therefore interacts with public finance law and the State’s fiscal management architecture, importing fiscal constraints and processes into the Commission’s borrowing and repayment mechanics.

Common law and statutory carrier law

• Liability as a carrier: The Commission’s liabilities and protections are those of common carriers subject to the Act, regulations and contracts (s 17). This preserves common law and statutory rules that govern carriage, liability limits, and claims.

Other statutes on governance

• Public Sector Management Act 1994: Section 24A cross‑references the Public Sector Management Act 1994 for Senior Executive Service inconsistencies, making that Act prevail to the extent of inconsistency. The Commission’s appointment and staff provisions must be read with that overlay.

Effect of interactions

• The Act places the Commission at the intersection of commercial company‑like powers and public sector financial, employment and audit controls. It imports the Financial Management Act and Auditor General Act obligations (s 31) while simultaneously allowing commercial borrowing and Crown guarantees (ss 26-27), and preserves industrial and superannuation entitlements for transferred employees (s 21). It also converts references to the former State Shipping Service across the statute book to the Commission (s 36), affecting how other laws apply to shipping services historically provided by the State.

When advising or operationalising the Act, practitioners must consider these cross‑links: procurement, borrowing and investment decisions implicate Financial Management Act processes; staff issues must be managed against industrial awards and public sector senior executive rules; and contractual counterparties must assess the consequences of asset transfer and the Crown guarantee foundations. The Act itself required later amendments to align with financial and administrative reform Acts, as shown in the compilation table.

The Act as supplied includes an explicit compilation table and in‑text amendment notes that identify statutory amendments and changes to particular provisions. The compilation table records the following legislative instruments and key dates. Where the text notes a specific section amendment, that is indicated after the provision citation in the Act text; the sequence below follows the compilation table entries and the in‑text notes.

1. Western Australian Coastal Shipping Commission Act 1965 (No. 44 of 1965)

   • Assent: 8 Nov 1965; Commencement: 15 Nov 1965 (s 2; Gazette references). This is the original enactment establishing the Commission.

2. Acts Amendment (Financial Administration and Audit) Act 1985 (No. 98 of 1985)

   • Assent: 4 Dec 1985; Commencement: 1 Jul 1986. The in‑text amendments cited include s 31 being inserted (the 1985 amendment is noted at s 31 insertion in the main text). The compilation table lists this as an amendment affecting financial administration and audit applicability.

3. Acts Amendment (Public Service) Act 1987 (No. 113 of 1987)

   • Assent: 31 Dec 1987; Commencement: 16 Mar 1988. Section 24A was inserted by No. 113 of 1987 s 32 (as visible in the text: Section 24A inserted: No. 113 of 1987 s. 32). The Act notes that this provision governs the status of General Manager and officers who are members of the Senior Executive Service.

4. Financial Administration Legislation Amendment Act 1993 (No. 6 of 1993)

   • Assent: 27 Aug 1993; Commencement: 1 Jul 1993. The compilation table lists s 11 and s 15 as affected; in‑text notes indicate amendments to ss 27 and 28 by No. 6 of 1993 s. 11 and s. 15, relating to borrowing and sinking fund arrangements.

5. Sentencing (Consequential Provisions) Act 1995 (No. 78 of 1995)

   • Assent: 16 Jan 1996; Commencement: 4 Nov 1996. The in‑text amendments include changes to s 38 and s 39 indicating the maximum penalties for breaches in by‑laws and regulations (noting the insertion of $1,000 penalty caps by No. 78 of 1995 s 147).

6. Financial Legislation Amendment Act 1996 (No. 49 of 1996)

   • Assent: 25 Oct 1996; Commencement: 25 Oct 1996. The in‑text notes show s 25 and s 29 affected (No. 49 of 1996 s. 63 and s. 64), touching on funds and investment powers.

7. Western Australian Coastal Shipping Commission Amendment Act 1997 (No. 35 of 1997)

   • Assent: 19 Nov 1997; Commencement: 19 Nov 1997. In‑text notes: amendments to s 5, s 13, s 14, s 15, s 30 and others are marked as No. 35 of 1997 s. 4-9. The 1997 Act appears to have modernised governance and financial controls.

8. Machinery of Government (Miscellaneous Amendments) Act 2006 (No. 28 of 2006)

   • Assent: 26 Jun 2006; Commencement: 1 Jul 2006. The compilation table notes Pt. 13 Div. 3; in‑text references show changes linked to reorganisation of machinery of government functions.

9. Financial Legislation Amendment and Repeal Act 2006 (No. 77 of 2006)

   • Assent: 21 Dec 2006; Commencement: 1 Feb 2007. The in‑text notes show multiple amendments by No. 77 of 2006 (Sch. 1 cl. 180(1)-(4), s. 4), including updates to s 5 and s 25 and to align with the Financial Management Act 2006 and Auditor General Act 2006. Section 31 is noted as having been amended and/or inserted earlier and then updated to reflect the 2006 financial legislation changes.

10. Statutes (Repeals and Miscellaneous Amendments) Act 2009 (No. 8 of 2009)

    • Assent: 21 May 2009; Commencement: 22 May 2009. The in‑text note shows s 20(1) amended by No. 8 of 2009 s. 134 (the deletion of subsection (2) is noted in the Act).

11. Acts Amendment (Bankruptcy) Act 2009 (No. 18 of 2009)

    • Assent: 16 Sep 2009; Commencement: 17 Sep 2009. The in‑text notes for s 11 indicate amendment referencing the Interpretation Act 1984 s 13D (bankruptcy) via No. 18 of 2009 s. 90.

Reprints

• The compilation table lists Reprint 1 as at 8 Mar 2002 and Reprint 2 as at 10 Aug 2012, incorporating the above amendments in those reprints.

Deleted provisions

• The Act notes specific deletions: s 3 deleted by No. 113 of 1987 s. 32; sections 18 and 19 deleted by No. 35 of 1997 s. 8; s 34 deleted by No. 98 of 1985 s. 3. These deletions appear in the in‑text marginal notes and the compilation table.

Notes to other statutes

• The compilation table and “Other notes” explain that the Superannuation and Family Benefits Act 1938 was repealed but certain provisions continue under transitional arrangements (note to s 21), and that references to industrial legislation have been updated to modern titles (Industrial Arbitration Act 1912 to Industrial Relations Act 1979) (note to s 22). Section 24A cross‑references the Public Sector Management Act 1994 and its interpretation in the Reprints Act 1984 (note to s 24A).

What the amendment history shows, on the face of the text, is periodic alignment to broader financial and public sector reform Acts (notably 1985, 1993, 1997, 2006), updates to penalties and deletion of obsolete provisions, and integration with modern financial management and audit regimes (s 31 as updated). The in‑text marginal notes identify where particular sections were amended and by which Act and section number. Practitioners must consult the specified amending Acts and the reprint dates for precise textual history when tracking the evolution of specific provisions.

The Act text and the compilation table provided do not record any judicial decisions, reported litigation, or case law that interprets the Western Australian Coastal Shipping Commission Act 1965. The statutory text contains provisions that affect litigation and procedural matters, and those features indicate likely litigation pathways, but the source does not supply case law.

Statutory provisions that shape litigation and standing to litigate

• Transfer of proceedings: s 35(g) provides that any legal or other proceedings that might, but for the section, have been continued or commenced by or against the Minister for State Shipping Services may be continued or commenced by or against the Commission under its corporate name. That is a statutory continuity mechanism affecting party status in litigation.
• Seal presumption: s 5(3) requires courts and judicial officers to take notice of the Commission’s seal affixed to a document and to presume it was duly affixed. This is a procedural presumption that can simplify evidentiary proof in litigation involving the Commission.
• Common carrier status: s 17 states that, subject to limitations in the Act and any regulations, by‑laws or contract, the Commission has the same liabilities, obligations, rights and protections as common carriers. Litigation involving loss, damage or carriage claims will therefore proceed against the Commission with the legal character of carrier law in view.
• Recovery mechanism: s 37 gives the Commission statutory power to detain and sell goods for unpaid fares and charges. Affected parties may litigate over the propriety of detention and sale, or for return of surplus proceeds, but the Act provides the statutory mechanism and compliance steps will be relevant to judicial scrutiny.

Practical implications for litigation without case law in the text

• Absent reported decisions in the provided material, practitioners must rely on the statutory text to advise clients on standing, procedural presumptions and remedies. For example, parties with existing contracts with the former State Shipping Service should be advised that such contracts and claims are now enforceable by or against the Commission by operation of s 35(e)-(f), and potential claimants may continue or commence proceedings under the Commission’s name (s 35(g)).
• The Commission’s status as a corporate agency of the Crown (s 5(2)(c)) may invoke sovereign immunity and Crown procedural rules in some contexts, depending on general law and other statutory provisions, but the Act does not itself delineate altered immunities; it simply makes the Commission a corporate agency of the Crown with capacity to sue and be sued (s 5(2)(a)-(b), (c)). Where litigation involves Crown guarantees of borrowing (ss 26-27), creditors may have recourse to the Consolidated Account pursuant to the statutory charge on that account.

Areas where litigation is plausible

• Contract enforcement and disputes arising from transferred contracts (s 35(e)-(f)).
• Claims in tort or contract concerning carriage as a common carrier, where limits set by by‑laws, regulations or contract are invoked (s 17, s 38(f)).
• Disputes over detention and sale of goods under s 37 (procedural fairness and accounting for surplus).
• Judicial review of administrative decisions, including potential Ministerial directions (s 5(5)) and their implementation, although the Act itself requires the Commission to give effect to Ministerial directions and to include their text in annual reports (s 5(5)-(6). Challenges would need to invoke general administrative law grounds and judicial review principles external to the Act.
• Disputes over borrowing arrangements, guarantees and state exposure in relation to s 26 and s 27, where lenders, the Treasurer or the Commission’s decision‑makers contest the validity or scope of guarantees.

Because the provided source includes no reported cases, practitioners must conduct a separate legal‑research search for case law that applies this Act, interprets specific provisions (for example, s 17 on carrier liability or s 37 on recovery), or addresses the Commission’s legal personality and Crown agency status. The Act’s procedural features (seal presumption, transfer of proceedings) will be relevant in any such litigation, and the Financial Management Act and Auditor General Act overlay (s 31) may generate audit findings or reports that become evidence in disputes.

In sum, the text sets out clear legal pathways that affect litigation but contains no litigation history or judicial interpretation in the supplied material. For authoritative case law, search of WA decisions and subsequent judicial treatment of the Commission and its powers will be required.

The Act contains several provisions that may produce operational or legal surprises for practitioners, managers and counterparties. The following are concrete “gotchas” derived from the text and their mechanisms, with section references.

1. No statutory duty to operate services (s 13, final clause). Although the Commission’s functions include maintaining and operating former State Shipping Service services and establishing additional services (s 13(a)-(c)), the Act expressly states the Commission has no legal duty to operate any shipping service. Practically, this means neither statutory entitlements for users nor implied obligations run to continued operation of routes or services. Governments or regulators wishing to ensure continued service must rely on directions (s 5(5)), contractual commitments, or separate statutory obligations.

2. Ministerial direction is binding and must be implemented (s 5(5)). The Minister can give directions in writing with respect to the Commission’s powers and functions, and the Commission is required to give effect to them. The text does not specify judicial review limits or merits review mechanisms in the Act itself. Directions also must be included in the Commission’s annual report (s 5(6)), exposing them to public audit and parliamentary scrutiny. Operational independence is therefore constrained by executive direction power.

3. Charges require Ministerial approval (s 20(1)). The Commission cannot unilaterally set its rates for carriage of persons or goods; the Minister must approve rates. That affects pricing autonomy, revenue strategies, commercial competitiveness and the ability to respond quickly to market changes. The deleted subsection (2) suggests prior procedural mechanics may have been removed, but current law directly mandates Ministerial approval.

4. Borrowing requires multiple executive sign‑offs with Crown guarantee implications (ss 26-27). Borrowing from the Treasurer or Treasurer‑approved banks is permitted (s 26), but additional borrowing on security requires Governor approval after the Treasurer has approved a written proposal with full particulars (s 27(1)-(2)). The Treasurer may guarantee repayment and any Crown liability is charged to the Consolidated Account (s 27(3)). Borrowings under s 26 are already guaranteed by the Treasurer (s 26(3)). This can expose the Crown fiscally and create dependencies on central government for funding, constrain agility in financing and produce contingent liabilities.

5. Treasurer may require payments to Consolidated Account (s 30) and set interest/contribution liabilities (s 28). The Treasurer’s power to require payment and to fix annual interest and sinking fund contributions that the Commission must pay (s 28) puts monetary pressure on the Commission and ties it to central fiscal management priorities, potentially reducing retained earnings available for investment.

6. Low penalty caps for by‑law and regulation contraventions (ss 38(g), 39). By‑laws and regulations may prescribe penalties not exceeding $1,000. For breaches that may cause significant commercial harm, the statutory penalty may be inadequate to deter misconduct; commercial parties may need to rely on civil remedies or contractual penalties.

7. Transfer of contracts and proceedings "by force of this section" (s 35(c)-(g)). On commencement, all property, contracts, rights and proceedings vested in the Minister for State Shipping Services automatically transfer to the Commission without conveyance. Counterparties may find the new legal counterparty and its internal authorisations differ from the previous Minister’s arrangements; due diligence on new contracting terms and operational arrangements is therefore important.

8. Commissioners’ conflict disclosure and vacancy rules are strict (s 11). A Commissioner with an interest in a contract must disclose at a meeting and cannot participate in deliberations or count for quorum (s 11(2)-(3)). Failure to disclose can result in vacancy being declared under the circumstances in s 11(1). Practically, corporate governance processes and minute‑taking must be rigorously enforced.

9. Delegations revocable at will (s 15(2)). Although the Commission may delegate powers to the General Manager or others (s 15(1)), every delegation is revocable at will (s 15(2)). Delegations do not prevent the Commission from exercising the powers itself. This introduces operational risk for delegates who may be subject to sudden revocation.

10. Employee rights preserved but industrial landscape changed (s 21(2)-(3), s 22). Staff from the State Shipping Service are deemed to be appointed on the same terms as previously (s 21(2)), and their superannuation and service continuity are protected (s 21(3)). However, the Act ties employment terms to whatever awards or industrial agreements are “relevant” under industrial legislation (s 22(1)). Reforms in industrial law and award modernisation outside the Act can therefore change employment obligations. Section 24A also creates an overlay for Senior Executive Service members.

11. The Commission is a Crown agency yet also a corporate entity (s 5(2)(a)-(d), (c)). This hybrid status means traditional corporate commercial dealings must be reconciled with public law obligations, audit and reporting duties (s 31), and potential requirements to give effect to Ministerial directions (s 5(5)). Counterparties should note the potential for executive influence on corporate decisions.

12. Common carrier liability with statutory exceptions (s 17). The Commission has the same liabilities, obligations and protections as common carriers subject to limitations under the Act, regulations, by‑laws and contracts. Parties should carefully review contractual terms and by‑laws to understand limits on liability.

13. Seal presumption (s 5(3)). Courts must presume the Commission’s seal was duly affixed to documents. While this aids evidentiary proof, it also places the onus on parties challenging the validity of documents to rebut a statutory presumption.

14. Discretion over by‑laws subject to Governor approval (s 38). The Commission’s ability to regulate operational matters via by‑laws is constrained by the need for Governor approval, which may slow implementation of local operational rules that would otherwise be managed internally.

Practitioners and managers should map these provisions to governance, treasury, contracting and employment processes to avoid unintended exposure. Many operational choices the Commission might make commercially are constrained or conditioned by Ministerial or Treasurer approvals set out in the Act; failure to anticipate these constraints can impede financing, pricing and service continuity.

This section sets out concrete steps and control points for compliance with the Act as it is written, identifying statutory checkpoints, documentation, approvals and reporting required by the Commission, Commissioners, officers and counterparties. Each recommended action is grounded in the applicable section(s) of the Act.

Governance and commissioners

• Appointments and terms: ensure Governor appointments of Commissioners and designation of Chairman and Vice‑Chairman are correctly documented and gazetted as required by the Act (s 6(1)-(2), s 11). Maintain appointment letters specifying term lengths and re‑appointment rights (s 6(3)-(6)).
• Meetings and minutes: convene meetings in line with s 12, ensuring minutes record attendance, quorum (2 Commissioners), decisions by majority and any disclosures under s 11(2). Keep minutes as formal records of disclosures to demonstrate compliance with conflict rules and quorum exclusions (s 11(2)-(3), s 12(5)-(6)).
• Conflict of interest procedures: implement a standard disclosure protocol for Commissioners and senior management so that any direct or indirect interest in a contract is disclosed at the earliest meeting and recorded. Ensure that the interested Commissioner does not participate in deliberation or count towards quorum (s 11(2)-(3)). Link this protocol to procurement and contracting workflows to prevent prohibited participation.

Ministerial directions and reporting

• Direction handling: treat any written Ministerial direction under s 5(5) as legally binding; maintain a direction register and implement tracking to evidence that the Commission has given effect to directions. Include the full text of each direction in the Commission’s annual report as required (s 5(6)).
• Information obligations: respond to Ministerial information requests promptly and in full as required by s 33. Establish a responsibility matrix allocating who provides what information and when.

Financial management, borrowing and audit

• Western Australian Coastal Shipping Account: establish and control The Western Australian Coastal Shipping Account as either an agency special purpose account under the Financial Management Act 2006 or an approved bank account as authorised by s 25(2). Ensure account reconciliation, chart of accounts and internal controls comply with the Financial Management Act 2006 and the Auditor General Act 2006 (s 31(1)).
• Borrowing approvals: where internal cash flows are insufficient, follow s 26 and s 27 processes precisely. For borrowing from the Treasurer or a Treasurer‑approved bank (s 26), document the Treasurer’s approval and track interest obligations determined by the Treasurer (s 26(2)). For additional borrowing on security under s 27, prepare a written proposal that specifies term, interest rate, purposes and repayment manner for Treasurer approval before seeking Governor approval (s 27(1)-(2)). Maintain formal records of any Crown guarantee and the consequential charge to the Consolidated Account (s 27(3)).
• Sinking fund and contributions: set aside half‑yearly sinking fund amounts at a rate approved by the Governor and Treasurer for any loans under s 27 (s 27(5)). Ensure annual accounts record interest and sinking fund contributions as debits fixed by the Treasurer for any Consolidated Account portions applied to the Commission (s 28(1)-(2)). Implement treasury workflows that book these items for budget planning and compliance.
• Temporary investment: where funds are temporarily invested, follow Treasurer directions regarding permitted securities, and ensure all interest derived is credited to the Commission’s account (s 29).
• Payment to Consolidated Account: be ready to comply with any Treasurer requirement to make payment to the Consolidated Account (s 30). Budget and cashflow planning should anticipate this possibility.

Contracts, assets and transfers

• Document continuity after transfer: on commencement, all real and personal property, contracts and proceedings transferred by s 35 automatically vest in the Commission. Prepare an index of transferred assets and contracts, confirm counterparties’ acknowledgement where necessary, and update title and registration records. Record any encumbrances, debts and liabilities affecting transferred assets as preserved under s 35(c)-(f).
• Seal and execution: maintain formalities for documents executed under the Commission’s seal, noting courts will presume the seal was duly affixed (s 5(3)). Ensure delegated signatories and execution processes are clearly documented and consistent with s 15 delegation instruments where applicable.

Pricing, tariffs and by‑laws

• Tariff approval workflow: before implementing any rates or charges for passengers or goods, obtain Ministerial approval as required by s 20(1). Maintain submissions demonstrating reasoned tariff proposals, public interest assessments or cost analyses to support Ministerial approvals.
• Drafting and approving by‑laws: prepare proposed by‑laws where operational rules are needed; submit by‑laws for Governor approval per s 38. Ensure any penalties in by‑laws do not exceed the statutory maximum of $1,000 (s 38(g)). Maintain contemporaneous records of the approval process and legal advice.

Employment and industrial compliance

• Employee transfers and entitlements: for officers and employees transferred from the State Shipping Service, document that they were appointed on the same terms as immediately preceding the transfer (s 21(2)), record preserved superannuation and rights (s 21(3)(a)-(b)), and account for service continuity in HR records. For new appointments, ensure terms and conditions comply with relevant awards or industrial agreements and seek Minister approval for any salary determinations exceeding the public service benchmark noted in s 22(2).
• Senior executives: where officers are members of the Senior Executive Service, resolve inconsistencies by applying the Public Sector Management Act 1994 as required by s 24A.

Operational controls and dispute handling

• Delegation instruments: where the Commission delegates powers under s 15, do so by instrument under seal specifying the matters or class of matters and any area limitations. Track delegation revocation authority and maintain a current delegation register because all delegations are revocable at will (s 15(2)).
• Enforcement procedures: for unpaid fares and charges, follow the strict steps in s 37 for detention, sale, retention of proceeds and return of surplus funds or unsold goods. Keep sale and accounting records sufficient to demonstrate compliance and to respond to any claim asserting improper sale or detention.
• Common carrier obligations: operational contracts should reflect carrier liabilities and any negotiated limits consistent with s 17 and any applicable by‑laws, regulations or contracts.

Reporting, audit and transparency

• Annual reporting: prepare annual reports in accordance with the Financial Management Act 2006 and include the text of any Ministerial directions as required by s 5(6) and s 31(2). Ensure financial statements separately disclose operations subject to directions by the Governor under any relevant provision if that applies (s 31(2) references operations in respect of services under a Governor’s direction).
• Audit readiness: maintain books, records and supporting documents meeting the Auditor General’s standards under the Auditor General Act 2006 (s 31(1)). Prepare for audits of both financial statements and compliance activities, including records of Ministerial direction implementation, borrowing approvals and sinking fund set‑asides.

Interaction with external parties

• Lenders and guarantees: when negotiating financing, document any Governor and Treasurer approvals required under s 27 and confirm whether a Crown guarantee is in place. Ensure loan documents reflect the statutory charge on Commission accounts and assets and, where applicable, the charge to the Consolidated Account that arises from guaranteed borrowing (s 27(3)).
• Counterparty due diligence: counterparties to contracts transferred by s 35 should establish that the Commission is the legal party and confirm amendments to contact points, performance obligations and dispute resolution forums.

Recordkeeping and legal advice

• Maintain comprehensive record systems for Ministerial directions, Crown approvals, delegation instruments, board minutes, by‑laws, borrowings, sinking fund payments, superannuation entitlements and all ministerial/treasurer correspondence.
• Obtain legal advice where the Act interacts with other statutes (Financial Management Act, Auditor General Act, Public Sector Management Act, industrial relations and superannuation regimes) to ensure the Commission’s policies and practices conform to overlapping legal obligations (s 31(1), s 24A, s 21(3), s 22).

Following these concrete steps will create an auditable compliance trail tied to the Act’s specific requirements, reduce operational and legal risk, and provide evidence for auditors or prosecutors of appropriate governance and statutory compliance.