Kevin Hogan (Page, National Party, Assistant Minister to the Deputy Prime Minister) Share this | Hansard source

Firstly, I would like to thank those members who have contributed to this debate on the Treasury Laws Amendment (2021 Measures No. 1) Bill 2021. Schedule 1 to the bill extends temporary relief, allowing companies to host meetings virtually and to send meeting related materials and validly execute documents electronically. This will enable companies to continue to operate while uncertainties remain due to COVID-19, and public health orders are introduced from time to time.

This extension contains enhancements to the original temporary relief, in response to feedback received during consultation. The relief ensures regulatory obligations are essentially the same regardless of the technology used to comply with them. In response to the positive feedback from consultation, the government proposes to put in place permanent reforms that will continue to allow companies to electronically sign company documents and send meeting related materials electronically when this temporary extension ends.

The government also proposes to conduct an opt-in pilot for hybrid annual general meetings in which shareholders can choose whether to attend meetings in person or to attend them virtually. This pilot will commence when the extension to the temporary relief ends. The aim of the pilot will be to encourage companies and shareholders to engage with technology, with a view to considering whether future permanent reforms are needed to further support companies to use technology effectively to engage positively with their shareholders.

The government is committed to evaluating and improving regulatory settings to support Australia's economic recovery plan to create jobs, rebuild our economy and secure Australia's future. Schedule 2 to the bill will amend our continuous disclosure laws so that companies and their officers will only be liable for civil penalty proceedings where they have acted with knowledge, recklessness or negligence with respect to updates on price-sensitive information to the market. Introducing this requirement means that companies and their officers can more confidently provide guidance to the market. This will benefit investors and businesses by ensuring the market continues to stay informed and function effectively. Reforming continuous disclosure obligations will allow businesses to allocate resources towards improving efficiency and output. This will make it easier for businesses to invest, to create jobs and to grow the economy. I commend this bill to the House.

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