corporate governance framework

ENERGEX Limited is a “Company Government Owned Corporation” by virtue of the Government Owned Corporations Act 1993.  The  Government Owned Corporations Act 1993 provides that the Corporations Act 2001 applies to ENERGEX Limited except so far as the Government Owned Corporations Act  otherwise provides.  This same principle applies to the subsidiary companies for which ENERGEX Limited is the ultimate holding company.

The Board of Directors aims to ensure that the shareholders of ENERGEX Limited, the shareholding Ministers, are informed of all major developments affecting the ENERGEX Group’s status of affairs.  Information is communicated to shareholding Ministers through:

• The Annual Report;
• The Quarterly Report to shareholding Ministers;
• The Annual Statement of Corporate Intent and Statutory Corporate Plan;
• Investment proposals as required by Investment guidelines; and
• Other ad-hoc reports as necessary.

internal control framework

The Board acknowledges its responsibility for the overall internal control framework.  To assist in discharging this responsibility, the Board has implemented a comprehensive Delegation of Authority Policy, which is reviewed on an annual basis to ensure that the contents and levels of authority remain relevant.  The Board has also instigated an internal control framework which falls under the following five headings:

• Financial reporting;
• Quality and integrity of personnel;
• Operating unit controls;
• Functional speciality reporting; and
• Investment appraisal.

Internal auditors assist the Board in ensuring compliance with these internal controls.  The Audit and Compliance Committee is responsible for endorsing the program of internal audits to be conducted each financial year, and for the scope of the work to be performed at each location.