Everyone is eligible to be considered for appointment to a Crown board, barring any disqualifications that may apply as stated in section 151(2) of the Companies Act 1993 and, for statutory Crown entity boards, in section 30 of the Crown Entities Act 2004.

Public servants from core government departments are generally not eligible for appointment to Crown boards, but Ministers may exercise discretion to allow appointment. Likewise, the staff of an entity cannot generally be appointed to the board of their own organisation, although they may be appointed to subsidiary boards.

In considering a Crown board appointment you will be required to declare all interests (which could be financial, personal, private or business interests) that have some connection to the entity for which you are being considered, and which could result in an actual, potential or perceived conflict of interest.

• An actual conflict of interest exists where you actually have competing or conflicting interests.
• A potential conflict of interest exists where a conflict is reasonably foreseeable or will arise, but does not yet exist.
• A perceived conflict of interest exists where a reasonable observer, viewing the transaction, relationship or decision in question, is likely to think that you have competing interests (whether or not you actually do).

Once appointed board directors are expected to keep their interests regularly updated, often in an entity’s interest register. Further guidance and details on conflicts of interest in the public sector are covered here: Conflicts of interest - Te Kawa Mataaho Public Service Commission.

The Code of Conduct for Crown Entity Board Members, issued by the Public Service Commissioner under section 17(3) of the Public Service Act 2020 and the Code of Conduct for Directors of Schedule 4A Companies issued by the Public Service Commissioner under section 17(3) of the Public Service Act 2020 set out some minimum standards of integrity and conduct for board members. They should be read in conjunction with other duties and relevant legislation.

One important duty contained in both Codes is political neutrality, which requires all Crown board members to act in a politically impartial manner irrespective of their personal political views, and conduct themselves in a way that enables them to act effectively under both current and future governments. Consistent adherence to these Codes is critical to ensure Crown boards, and board members, conduct themselves in a way that maintains public trust and confidence.

For further expectations of boards of companies and entities which Treasury provides appointments and performance to, see the Owner’s Expectation Manual.