The Queensland Department of Infrastructure and Planning recently released the draft Local Government (Beneficial Enterprises and Business Activities) Regulation 2009 for public comment. Councils and other parties interested in the new enterprise powers regime have until 14 September 2009 to make submissions to the Department on its terms.

Overall, therefore, the proposed new framework appears to go a long way towards removing the complexity of the current regime while still maintaining various safeguards and restrictions on the exercise of the enterprise powers by local governments.

However, in striving for a "principles-based" approach to regulation and by removing much of the prescription from the current enterprise powers regime, there is a risk that the new framework may pose practical challenges for local governments. Accordingly, only time will tell whether the new enterprise powers framework is a real improvement on the current regime.

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