Various control mechanisms are part of the checks and balances of any governance model, but it is essential in both their design and operation to keep in mind the ultimate goal, and ensure that control mechanisms do not inhibit the ability to achieve that outcome. Before going on to discuss what is necessary for the appropriate control regime, let me briefly highlight three propositions inherent in my discussion of a control regime. No one can effectively control everything. It is important to be explicit about this because it is a temptation, particularly of those at the centre or at headquarters, to believe they can control everything. Too much control at any particular point in a governance regime can defeat the ultimate outcome - i.e., we may have perfect books but fail to deliver to the public what it is we exist to do.
Risks are inevitable - no governance scheme or control mechanism within it can eliminate risks.
Hence the issue is how to best manage the risks in light of the ultimate objective. Let me illustrate with a few examples. Air traffic control is now managed and delivered by an organization separate from government, but the public still expects the Minister of Transport to be responsible for the overall safety and effectiveness of air navigation services. Legislation provides the framework and limits on actions by the corporation as well as ensuring the ultimate control on safety issues lies with the Minister. Those most interested in the effective operation of the organization select those to run the organization.