New Zealand Business Number Funding (Validation and Authorisation) Bill

Thank you, Madam Chair. I think one of the important things about this bill is the actual revenue-making power—the ability to charge entities a fee for, obviously, being able to access the New Zealand Business Number mechanism, and for its maintenance. I think, just in terms of its general overreach, or the extent of this bill, this bill has, obviously, got three elements to it. One of the primary aspects is it amends the NZBN—the New Zealand Business Number—Act to insert a regulation-making power that will enable the New Zealand Business Number Register and related functions to be funded from fees, charges, or levies payable by entities that have been allocated a New Zealand Business Number.

I think the regulating powers—and I’m talking specifically here about clause 9, new section 37A. One of the things I would like to ask the Minister is I think it’s very important for businesses in New Zealand to have clarity around what sort of fee they are likely to have imposed on them in the future. One is the quantum of fee, which is obviously very important, because that should be no more than what the system is required to operate on—and be kept to a minimum, of course. But I think, obviously, we’ve been using a mechanism through the Companies Act, and that’s one of the reasons why we’re putting through this validation and authorisation bill, but I’d quite like to know from the Minister for Small Business what the future intent is.

I know this gives a regulation-making power, which is a very wide power. It basically means the Minister can make changes without having to come back through Parliament. What is the likely form of those charges? Is it going to be a levy of some sort, or is it going to have some other sort of aspect to it, as noted before? I think that the mechanism is really important, because the whole intent of this was to make sure—not only is the business number very useful for people to be able to interact with the 60 Government departments but also we don’t want to now impose another imposition in terms of how they pay for it.

The simplicity of the model as it is at the moment is that it is charged under the Companies Act, even though it relates not only to companies but also to partnerships and sole traders. So perhaps the Minister could provide us with some more clarity around the future levy- or fee-making mechanism that he’s intending to pursue. Of course, there is some time, but one of the things about today, and the reason why there is urgency, is because in the bill itself, there is a requirement to make sure that we only—we have to make a change. This bill has to go through today, because some of the powers expire at the end of today, and so it’s very important that this happens today. But just that clarity around the future revenue-making power and the mechanism would be very helpful. I look forward to the Minister’s contribution on that matter.

Part 2 agreed to.

Clauses 1 and 2