EXPLANATORY STATEMENT
STATUTORY RULES 1984 No.123
BOUNTY (PENICILLIN) REGULATIONS (AMENDMENT)
Issued by the Authority of the Minister of State for Industry and Commerce.
The purpose of the regulations is to amend the Bounty (Penicillin) Regulations to prescribe factors by which:
(i) the rates of bounty specified in section 7 of the Bounty (Penicillin) Act 1980; and
(ii) the amounts available for payment of bounty specified in section 8 of that Act are to be multiplied to effect a change in those rates.
These rates are reviewed annually by the Departments of Industry and Commerce and Health.
The report of the third annual review of the penicillin bounty for the period 1 June 1983 to 31 May 1984 recommended new bounty rates adjusted to reflect local cost movements as reflected by the Consumer Price Index and changing world prices for penicillin on the basis of price data supplied by the industry. The local cost movements and changing world prices are reflected in the new bounty rates and bounty limits.
The factors to be effective from 1 June 1983 have been determined following consultation between the Ministers for Industry and Commerce, Health and Finance.
The new factors for bounty rates are 1.482758 for penicillin G and 1.578947 for penicillin V.
The existing bounty rates for penicillin G and penicillin V therefore increase to $43 per kilogram and $60 per kilogram respectively when multiplied by the prescribed factors.
The new factor for amounts available for payment of bounty for penicillin V is 1.2923. The factor for pencillin G remains unchanged.
The amount available for the payments of bounty for penicillin V will therefore increase from $770,000 to $850,000. The amount available for payments of bounty for penicillin G remains unchanged at $280,000.