Exposure Draft - National Greenhouse and Energy Reporting (Audit) Amendment (Auditors)

National GreenhouseandEnergyReporting(Audit)Amendment(Auditors)Determination2017

I, Josh Frydenberg, Minister for the Environment and Energy, make the followingdetermination.

Dated2017

JoshFrydenberg[DRAFTONLY—NOTFOR SIGNATURE]

MinisterfortheEnvironmentand Energy

Contents

1
Name1

2Commencement...... 1

3Authority...... 1

4Schedules...... 1

Schedule1—Amendments2

NationalGreenhouse and Energy Reporting(Audit)Determination20092

NationalGreenhouse andEnergyReporting (Audit)Amendment(Auditors)i

Determination2017

1Name

Thisinstrument isthe NationalGreenhouseandEnergyReporting(Audit)Amendment(Auditors)Determination 2017.

2Commencement

(1)Each provision ofthisinstrumentspecifiedin column 1 of thetablecommences,or istakento havecommenced,inaccordancewithcolumn 2 of thetable. Anyotherstatementincolumn 2has effectaccordingto itsterms.

Commencementinformation
Column1 / Column2 / Column3
Provisions / Commencement / Date/Details
1.The wholeofthisinstrument / 1July2017. / 1July2017

Note:This table relates onlytotheprovisionsofthisinstrumentasoriginally made. It willnotbe amendedto dealwithanylateramendments ofthisinstrument.

(2)Anyinformationincolumn 3 ofthetableis notpartofthisinstrument.Informationmay be inserted inthiscolumn, or information initmay be edited, inanypublishedversionofthisinstrument.

3Authority

Thisinstrument is madeundersubsection75(1) oftheNationalGreenhouseandEnergy ReportingAct2007.

4Schedules

Each instrumentthatisspecifiedin aSchedule tothisinstrumentisamended orrepealed assetoutintheapplicableitems inthe Scheduleconcerned, andanyotheritemin a Scheduletothisinstrumenthaseffectaccordingtoitsterms.

Schedule1Amendments

EXPOSUREDRAFT

Schedule1—Amendments

NationalGreenhouse andEnergyReporting(Audit)Determination2009

1Section1.4

Insert:

non-Part6 serviceor activitymeansanyservice (whetheranauditservice oranon-auditservice)or activity, otherthan:

(a)preparingfor anassuranceengagement;or

(b)carryingoutan assuranceengagement;or

(c)preparingan assuranceengagementreport.

2After paragraph2.5(b)

Insert:

;and(c) theauditingstandards(withinthemeaningoftheCorporationsAct2001);and

Note:In2017,relevantauditing standards included Auditing Standard ASQC 1QualityControlfor Firmsthat Perform AuditsandReviews ofFinancialReportsandOther FinancialInformation,Other Assurance Engagementsand RelatedServicesEngagements.

(d)theauditingandassurancestandards(asin force on 1July2017)formulated bythe Auditingand AssuranceStandardsBoard underparagraph227B(1)(b)oftheAustralianSecurities andInvestmentsCommissionAct2001,includingthefollowing:

(i)StandardonAssuranceEngagementsASAE 3000AssuranceEngagementsOtherthan Audits orReviewsofHistoricalFinancialInformation;

(ii)StandardonAssuranceEngagementsASAE 3100ComplianceEngagements;

(iii)StandardonAssuranceEngagementsASAE 3410AssuranceEngagements onGreenhouseGasStatements;

(iv)StandardonAssuranceEngagementsASAE 3450AssuranceEngagementsinvolvingCorporateFundraisingsand/orProspectiveFinancialInformation.

3Atthe end of subsection3.7(1)

Add:

;and(c) is:

(i)a Category2 auditor (within the meaningof theRegulations);or

(ii)a registeredcompanyauditor(withinthe meaningoftheCorporationsAct 2001).

4Paragraph3.21(3)(e)

Omit“were”,substitute“was”.

Note:Thisitem fixes a grammatical error.

2NationalGreenhouse andEnergyReporting (Audit)Amendment(Auditors)

Determination2017

EXPOSUREDRAFT

5Atthe end of subsection3.21(3)

Add:

;(k) details oftheamountspaidor payable totheauditteam leader(orhisor herfirmorcompany, as mentioned insubsection(4))forpreparingfor andcarryingouttheassuranceengagementand preparingtheassuranceengagementreport, includingthe totalpersonhourstheauditteam spentonthe assuranceengagement;

(l)details oftheamountspaidor payable totheauditteam leader(orhisor herfirmor company)fornon-Part 6 services or activitiesprovidedbytheauditteamleader(or hisorherfirmorcompany, or byanotherpersonorfirmonthe auditteamleader’sbehalf)totheaudited body duringthe period:

(i)starting12 monthsbeforetheauditteamleadersignedtheterms ofengagementfortheaudit;and

(ii)endingwhenthe auditteamleadersignedPartAof theassuranceengagementreport;

(m)an explanationas to whytheprovisionofthenon-Part 6 servicesoractivitiesdidnotresultinaconflictofinterestsituation(withinthemeaningof the Regulations)existinginrelationtotheauditedbodyandanyof theprofessional members oftheauditteam.

6Atthe end of section3.21

Add:

(4)A referenceinparagraph(3)(k)or(l)totheauditteam leaderincludes areferenceto:

(a)ifthe auditteamleaderis apartner oremployee of anauditfirm—the firm;or

(b)ifthe auditteamleaderis amemberor employee of anauditcompany—thecompany.

7Atthe end ofthe Determination

Add:

Part5—Transitionalprovisions

5.1Amendmentsmadeby theNational Greenhouse and Energy Reporting (Audit)Amendment(Auditors)Determination2017

Theamendments ofthisDeterminationmade bythe NationalGreenhouseandEnergy Reporting(Audit)Amendment(Auditors)Determination2017applyinrelationtoanauditiftheauditteamleadersignsthe terms ofengagementfortheauditon orafter1July2017.