Section 51(i) of the Australian Constitution
- Section 51(i) of the Australian Constitution
Section 51(i) is a subsecton of Section 51 of the Australian Constitution enables the Commonwealth Government of Australia both to regulate and to participate in trade and commerce with other countries and among the States. The potential reach of s51(i) is very broad. The words "trade" and "commerce" in s51(i) also occur in Section 92 of the Constitution, where the expression used is "trade, commerce, and intercourse".
"Trade" and "commerce" have been broadly construed. The early case of "W & A McArthur Ltd v Queensland" held that the words extended to "the mutual communings, the negotiations, verbal and by correspondence, the bargain, the transport and the delivery".
In "Australian National Airways Pty Ltd v Commonwealth" (ANA Case) (1945), the High Court held that the Commonwealth could use s51(i) to establish its own government-owned instrumentality in the form of the Trans Australia Airlines, which had been established by the Australian National Airlines Commission, but could not prevent private sector competition.
ection 92 of the Constitution
Section 92 states that "trade, commerce, and intercourse among the States... shall be absolutely free". In the case of "James v Commonwealth", the High Court decided that this requirement restricted the Commonwealth Parliament as well as State governments. This impacted on the Parliament's ability to exercise powers under subsection s51(i), regarding "trade and commerce with other countries, and among the States".
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