The Committee's research confirmed that there is no specific enabling legislation for PPP projects in Victoria. The Committee was advised by the Department of Treasury and Finance that 'in Victoria, Ministers of the Crown have broad powers to contract for matters falling within the normal matters of government and no legislation enabling private sector investment in public infrastructure is generally required'.88
Deacons law firm advised the Committee that 'provisions of the Financial Management Act 1994 and Project Development and Construction Management Act 1994' superseded previous centralised infrastructure procurement arrangements. Further, 'the Project Development and Construction Management Act 1994 can be used to give powers to statutory bodies within government to control and expedite projects and in terms of construction management, the process is decentralised with departments and agencies now complying with Ministerial Guidelines and Directions as to the procurement of the necessary services for government construction work'.89
It has been necessary from time to time, however, to enact legislation for major projects or amend existing Acts to enable infrastructure to proceed. Deacons law firm informed the Committee that common provisions have been used in the Health Act 1958, the Corrections Act 1986, and the Casino Control Act 1991 to facilitate projects.
More extensive provisions appear in the Melbourne City Link Act 1995 and the EastLink Project Act 2004.90 These legislative changes enabled the establishment of the Mildura and Latrobe hospitals, privately owned and operated prisons, Crown Casino and the Melbourne CityLink and EastLink projects.
__________________________________________________________________________________________________
88 Department of Treasury and Finance, submission no.35, p.8
89 Deacons law firm, submission no.14, p.3
90 ibid.