National Competition Policy Review of the Professional Standards Act 1994


Terms of Reference

Review of the Professional Standards Act 1994

1 The review of the Professional Standards Act 1994 shall be conducted in accordance with the principles for legislation reviews set out in the Competition Principles Agreement. The guiding principle of the review is that legislation should not restrict competition unless it can be demonstrated that:

(a) the benefits of the restriction to the community as a whole outweigh the costs; and
(b) the objectives of the legislation can only be achieved by restricting competition.

(a) the policy objectives of the Act remain valid; and
(b) the terms of the Act remain appropriate for securing those objectives.

(a) clarify the objectives of the legislation, their continuing appropriateness, and whether the Act remains appropriate for securing those objectives;
(b) identify the nature of the restrictive effects on competition;
(c) analyse the likely effect of any identified restriction on competition on the economy generally;
(d) assess and balance the costs and benefits of the restrictions identified;
(e) consider alternative means for achieving the same result, including non-legislative approaches; and
(f) consider the functions of the Professional Standards Council.

(a) identify any issues of market failure which need to be, or are being addressed by the legislation; and
(b) consider whether the effects of the legislation contravene the competitive conduct rules in Part IV of the Trade Practices Act 1974 (Cth) and the NSW Competition Code.

6 The review shall consult with, and take submissions from, consumers, professions peak bodies, representatives of business and the insurance industry, and other interested parties.