Kim Carr (Victoria, Australian Labor Party, Minister for Innovation, Industry, Science and Research) Share this | Hansard source

It is my understanding that all universities are currently compliant with the old code. I do not believe there is an issue at this point. The government’s view is that there would have to be a substantial breach for there to be a question about noncompliance—a substantial breach, not a minor issue—because these protocols are quite prescriptive. I will go to that in a moment. In the case of a substantial breach, the normal provisions of the act would cut in. That is, a process of discussion would occur and the university would have to show good cause as to why there should not be a reduction in the grant or other action taken. So the normal provisions of the act would apply. What the government is seeking to do is to take away this arbitrary imposition of a 7.5 per cent penalty—