Bounty and Capitalisation Grants (Textile Yarns) Regulations 1991 No. 29
EXPLANATORY STATEMENT STATUTORY RULES 1991 No. 29
BOUNTY AND CAPITALISATION GRANTS (TEXTILE YARNS) ACT 1981
BOUNTY AND CAPITALISATION GRANTS (TEXTILE YARNS) REGULATIONS
ISSUED BY THE AUTHORITY OF THE MINISTER OF STATE FOR SMALL BUSINESS AND CUSTOMS
Paragraph 23(a) of the Bounty and Capitalisation Grants (Textile Yarns) Act 1981 (the Act) provides in part that:
"The Governor-General may make regulations, not inconsistent with this Act, prescribing all matters required or permitted by this Act to be prescribed, or necessary or convenient to be prescribed for carrying out or giving effect to this Act, and, in particular, prescribing:
(a) "the manner in which, and the time within which, applications for bounty are to be made; ..."
Background
Part 3 of the Act provides persons who are eligible for bounty assistance with an alternative assistance scheme in the form of a once-off capitalisation grant paid in lieu of possible future bounty receipts.
Under paragraph 21B(1)(b) of the Act, application by a person for a capitalisation grant must be lodged with the Textile, Clothing and Footwear Development Authority (the Authority) before the end of the bounty period or, if a lesser period is specified in the regulations, within that lesser period. The bounty period is currently defined in subsection 2(1) of the Act as extending until 30 June 1995.
It was anticipated in the Government's announcement of the capitalisation grants scheme on 30 January 1990 that applications for such grants would be made, and the grants would be available, within the first two years of the scheme. Hence, the facility is available, under paragraph 21B(1)(b), to prescribe an earlier date within which an application must be made, to effectively enable the capitalisation scheme to be brought to an end in circumstances where, for example, most of the 140 producers of bountiable yarn have availed themselves of the opportunity to seek a capitalisation grant.
The Government has decided that the lesser period which should be specified in the regulations is the period up until 31 December 1991.
Regulation 1: provides that the regulations may be cited as the Bounty and Capitalisation Grants (Textile Yarns) Regulations.
Regulation 2: provides that in the regulations, "the Act" means the Bounty and Capitalisation Grants (Textile Yarns) Act 1981.
Regulation 3: provides that the period during which an application may be lodged for a capitalisation grant is the period ending on 31 December 1991.
Overview
The Bounty and Capitalisation Grants (Textile Yarns) Regulations 1991 were enacted to provide further detail and clarity on the application process for capitalisation grants under the Bounty and Capitalisation Grants (Textile Yarns) Act 1981. The regulations were issued under the authority of the Minister of State for Small Business and Customs, and they aim to effectively manage and conclude the capitalisation grants scheme for textile yarns. The primary policy objective behind these regulations is to streamline the application process for capitalisation grants, ensuring that the scheme can be efficiently brought to an end once the majority of eligible producers have applied. By specifying that applications for such grants must be made by 31 December 1991, the regulations aim to provide a clear timeframe within which the capitalisation grants scheme can be finalised, ensuring that all eligible participants have had the opportunity to apply within a defined period.
Scope and Application
The Bounty and Capitalisation Grants (Textile Yarns) Regulations 1991 govern the application and administration of the Bounty and Capitalisation Grants (Textile Yarns) Act 1981, specifically focusing on the capitalisation grants provided to eligible persons within the textile yarns industry. The Act applies to individuals and entities involved in the production of textile yarns who are eligible for bounty assistance and are seeking a once-off capitalisation grant in lieu of potential future bounty receipts. The application process for these grants must be completed in accordance with the regulations, specifically within the time frame set out by the regulations, which in this instance, is up until 31 December 1991. These regulations extend the application of the Act by specifying a clear and earlier timeframe for application submission, ensuring that the capitalisation grants scheme can be effectively managed and concluded in a timely manner. The regulations also stipulate that the Textile, Clothing and Footwear Development Authority is the entity responsible for processing applications for these grants.
Key Provisions
The Bounty and Capitalisation Grants (Textile Yarns) Regulations 1991 No. 29, made under the Bounty and Capitalisation Grants (Textile Yarns) Act 1981 (the Act), primarily address the procedural aspects of applying for a capitalisation grant. Regulation 3, for instance, specifies that applications for a capitalisation grant must be made by 31 December 1991 (Reg 3). This regulation sets a clear timeframe for eligibility, ensuring that the capitalisation grant scheme can be efficiently concluded once most eligible producers have applied. Such regulations are critical for maintaining the orderly administration of the grant scheme and ensuring that all eligible applicants have a fair opportunity to apply within a defined period.
The Act imposes several obligations and requirements on the parties involved. Firstly, it mandates that applications for a capitalisation grant must be lodged with the Textile, Clothing and Footwear Development Authority (the Authority) within the specified period (s 21B(1)(b)). This obligation ensures that the Authority can process applications in a timely manner and manage the grant distribution effectively. Secondly, the Act requires that any regulations made under it must not be inconsistent with the Act and must be necessary or convenient for its operation (s 23(a)). This ensures that any regulations introduced are aligned with the legislative intent and facilitate the smooth running of the grant scheme.
Breaching the requirements of the Act or the Regulations can lead to various legal consequences. Although the specific penalties for non-compliance are not detailed in the explanatory statement, it is reasonable to infer that breaches could result in civil or administrative penalties, given the structured nature of the Act and its regulatory framework. For instance, failure to submit an application within the stipulated period could potentially disqualify an applicant from receiving the grant. Furthermore, the Government's decision to specify an earlier date for applications reflects a desire to streamline the process and avoid prolonged eligibility periods, which might otherwise complicate the administration of the scheme.