Industrial Chemicals Charges (General) Bill 2017 [2017] AUSStaCSBSD 172 (14 June 2017)

• Industrial Chemicals Charges (General) Bill 2017
• Charges in delegated legislation 81

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Industrial Chemicals Charges (General) Bill 2017

Purpose	This bill seeks to allow for the imposition of an annual registration charge on a person introducing chemicals under the Industrial Chemicals Bill 2017
Portfolio	Health
Introduced	House of Representatives on 1 June 2017
Scrutiny principle	Standing Order 24(1)(a)(iv)

Charges in delegated legislation ^[81]

1.112 This bill provides for the imposition of an annual registration charge on persons introducing chemicals into Australia (by import or manufacture) in accordance with the Industrial Chemical Bill 2017. The bill enables regulations to describe the methods of working out the annual registration charge applicable to each introducer of industrial chemicals.

1.113 Subclause 7(1) states that the amount of charge payable by a person is the amount:

(a) prescribed by the regulations; or

(b) worked out in accordance with a method prescribed by the regulations.

1.114 Subclause 7(2) provides that the regulations may also prescribe different charges or methods depending on the value of industrial chemicals.

1.115 Where charges are able to be prescribed by regulation the committee generally considers that some guidance in relation to the method of calculation of the charge and/or a maximum charge should be provided on the face of the primary legislation, to enable greater parliamentary scrutiny.

1.116 The explanatory memorandum suggests that the charges are to be imposed for the purposes of cost recovery:

It is anticipated that the amount of the charge will be determined having regard to the value of the industrial chemicals introduced by the introducer in the registration year. Prior to the introduction of any regulations prescribing the charge, the proposed approach will be documented in a cost recovery implementation statement (consistent with the Australian Government Cost Recovery Guidelines) and subject to public consultation.^[82]

1.117 However, no guidance is provided on the face of the bill as to the method of calculation (for example, there is no provision limiting the charge to cost recovery) nor is a maximum charge specified.

1.118 The committee notes that the same issue arises in relation to the Industrial Chemicals Charges (Customs) Bill 2017 and the Industrial Chemicals Charges (Excise) Bill 2017.

1.119 The committee requests the Minister's advice as to why there are no limits on the charge specified in primary legislation and whether guidance in relation to the method of calculation of the charge and a maximum charge can be specifically included in each of the proposed Industrial Chemical Charges bills.

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[81] Clause 7. The committee draws Senators’ attention to this provision pursuant to principle 1(a)(iv) of the committee’s terms of reference.

[82] Explanatory memorandum, p. 4.