Appendix 1: Exemptions - statements of corporate intent and statements of intent

Council-controlled organisations and council-controlled trading organisations

The Governor-General may, by Order of Council made on the recommendation of the Minister, exempt an organisation from being classified as a council-controlled organisation (and therefore required to produce a statement of intent). The Minister must first be satisfied that the organisation's accountability under the enactment under which it is established is appropriate for the purposes of the Local Government Act 2002.

A local authority may exempt a small organisation that is not a council-controlled trading organisation. Exemption must be granted by resolution of the local authority and take account of the following matters:

1. the nature and scope of the activities provided by the organisation; and
2. the costs and benefits, if an exemption is granted, to the local authority, the council-controlled organisation, and the community.

(Such exemptions must be reviewed every three years.)

If the shares of a council-controlled organisation, holding company of a council-controlled organisation, or controlling companies of a council-controlled organisation, are listed on the stock exchange, then the organisation does not have to deliver a statement of intent.

Specifically exempted organisations include: electricity companies, energy companies, port companies and subsidiaries, Infrastructure Auckland and subsidiaries, New Zealand Local Government Association Incorporated and subsidiaries, Watercare Services Limited and subsidiaries, and any company under direct or indirect control of New Zealand Local Government Association Incorporated.

Crown Research Institutes

Shareholding Ministers may grant exemptions from a requirement for a statement of corporate intent to cover a multi-parent subsidiary (or contain any particular information in relation to a multi-parent subsidiary) if they are satisfied that it would be unduly onerous on a parent Crown Research Institute to comply with the requirement.

Energy companies

Exempt from producing statements of corporate intent are:

• energy companies whose establishment plans did not provide for a controlling interest to be held by local authorities, or any approved person or approved persons, or any combination of one or more local authorities and one or more approved persons; and
• energy companies whose controlling interest ceases to be held by local authorities, or any approved persons, or the combination of the two.

Port companies

A port company is no longer required to produce a statement of corporate intent upon listing its shares on a registered exchange's market.

State-owned enterprises

No exemptions.