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Schedule 2Agreement between the Government of Australia and the Government of New Zealand to provide for the termination of the Christmas Island Agreement 1958 ‑ 81

10

In addition to the payments provided for by the preceding provisions of this Article, the said Governments may, for any other purposes agreed upon by them, from time to time jointly determine that an amount shall be paid to them by the Commission in respect of each ton of phosphate exported from Christmas Island and may direct the time at which and the manner in which those payments are to be made by the Commission.

Article 7

1. Subject to the next succeeding paragraph, the said Governments shall, from time to time and upon such terms as are jointly agreed upon, make available to the Commission, in equal shares, such moneys as the said Governments consider necessary for additional capital funds, working expenses or other purposes approved by them.

2. The said Governments may authorize the Commission to borrow moneys in such manner and up to such limits as the said Governments may from time to time agree.

Article 8

Any surplus funds which the Commission has accumulated, or may from time to time accumulate, through the sale of phosphate or by other means or circumstances (other than the special fund provided for in Article 6 of this Agreement) shall, if and as the said Governments jointly so direct from time to time, be paid to the said Governments in equal shares but, subject to any such direction, the surplus funds may be used by the Commission for the working of the said property.

Article 9

1. So long as the Commission continues to function, the Commission shall meet the net expenditure incurred by the Government of Australia in administering Christmas Island.

2. For this purpose, the Government of Australia may require the Commission to make advance payments on the understanding that an adjustment will be made as soon as convenient after the thirtieth day of June in each year on the basis of a statement supplied by that Government which shows in reasonable detail the net cost to that Government of administering Christmas Island and which is duly certified by the Auditor‑General for the Commonwealth of Australia. The Government of Australia will, at the same time, supply a copy of that statement to the Government of New Zealand.

3. The cost of the establishment or maintenance on Christmas Island of any aerodrome or works shall not, to the extent that that aerodrome or those works go beyond the reasonable requirements of the administration of Christmas Island, be payable by the Commission.

Article 10

1. The Commission shall continue to enjoy the same exemptions from income tax and land tax as it enjoyed under the legislation of the Commonwealth of Australia and New Zealand immediately before this Agreement came into force, and shall not be liable to pay income tax or land tax under any law of Christmas Island.

2. No duties of customs shall be imposed under any law of the Commonwealth of Australia or of Christmas Island on, or in respect of, the importation of goods into Christmas Island by the Commission, other than goods imported for the purposes of resale by the Commission.

3. No royalty, tax, duty, levy or charge shall be imposed under any law of the Commonwealth of Australia or of Christmas Island on, or in respect of,—

(a) the production of phosphate in Christmas Island; or (b) the export of phosphate from Christmas Island to Australia or New Zealand.

4. Nothing in this Article shall affect the provisions of Articles 5, 6 or 9 of this Agreement.

Article 11

The Government of Australia will not, unless the said Governments otherwise agree, establish, or promote the establishment of, an industry on Christmas Island which is likely to affect the phosphate industry on Christmas Island prejudicially.

Article 12

The Government of Australia will consult with the Government of New Zealand in the exercise of its administrative authority over Christmas Island in any matters, including the erection of any aerodrome or defence or other works, which materially affect the working of the said property by the Commission.

Article 13

1. Subject to the provisions of this Agreement and to general directions on policy given to the Commission by the said Governments jointly, the management and control of the working of the said property shall be left in the hands of the Commission.

2. The said Governments agree to join in the giving of all directions and to take any other action necessary for the purpose of ensuring the performance by the Commission of its responsibilities and duties as set out in this Agreement.

Article 14

1. This Agreement shall come into force on the date on which Christmas Island is placed under the authority of the Commonwealth of Australia, and shall, unless otherwise agreed between the said Governments, and except for paragraphs 8 and 9 of Article 6, terminate when, in the opinion of the said Governments, the phosphate on Christmas Island is commercially exhausted, or when the Commission ceases to function, whichever is the later.

2. This Agreement shall be subject to review at the instance of either of the said Governments upon notice being given to the other Government.

Article 15

1. Except as otherwise provided in this Agreement, and without affecting in any way the past operation of the Christmas Island Agreement 1949, this Agreement shall replace the Christmas Island Agreement 1949.

2. This Agreement shall be known as the Christmas Island Agreement 1958.

IN WITNESS whereof the undersigned, duly authorized thereto, have signed the present Agreement, and have affixed thereto their seals.

DONE at Canberra this thirtieth day of September 1958.

For the Government of the Commonwealth of Australia:

PAUL HASLUCK (L.S.)

For the Government of New Zealand:

F. JONES (L.S.)

Schedule 2—Agreement between the Government of Australia and the Government of New Zealand to provide for the termination of the Christmas Island Agreement 1958‑81

Section 4

The Government of Australia and the Government of New Zealand, (hereinafter referred to as “the said Governments”),

Desiring to revise their mutual rights and obligations under the Christmas Island Agreement 1958‑81, in the light of the proposed winding up of the Christmas Island Phosphate Commission

HAVE AGREED AS FOLLOWS:

ARTICLE I

The Christmas Island Phosphate Commission constituted under the Agreement made on 26 November 1949 between the Government of Australia and the Government of New Zealand, and incorporated by the Christmas Island Agreement Act 1949 of Australia (hereinafter referred to as the “Commission”), shall cease to function as soon as practicable after the date of entry into force of this Agreement.

ARTICLE II

The Commission shall transfer or otherwise divest itself of all licences, authority, powers, assets and liabilities at a date or dates and upon terms acceptable to the said Governments.

ARTICLE III

The administration and distribution of moneys held in the special fund created pursuant to paragraph 3 of Article 6 of the Christmas Island Agreement 1958‑81 shall, from the date of entry into force of this Agreement, be the responsibility of the Government of Australia.

ARTICLE IV

The Christmas Island Agreement 1958‑81 and this Agreement shall, notwithstanding Article 14 of the Christmas Island Agreement 1958‑81, terminate when the Commission ceases to function.

ARTICLE V

This Agreement shall enter into force on the date on which the Government of Australia notifies the Government of New Zealand that it has completed the processes necessary in Australia to give effect to this Agreement.

IN WITNESS WHEREOF the undersigned, duly authorised thereto, have signed the present Agreement and affixed thereto their seals.

DONE at Canberra this Twenty‑second day of November 1982.

A. A. STREET

L. J. FRANCIS

For the

For the

Government of Australia

Government of New Zealand

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