Bounty (Ship Repair) (Registration) Regulations (Amendment)

Legislation au C2004L04057 Regulations Not in force Legislative Instrument

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EXPLANATORY STATEMENT

BOUNTY (SHIP REPAIR) ACT 1986

STATUTORY RULES 1988 NO. 175

BOUNTY (SHIP REPAIR) (REGISTRATION) REGULATIONS (AMENDMENT)

ISSUED BY THE AUTHORITY OF THE MINISTER OF STATE FOR SCIENCE, CUSTOMS AND SMALL BUSINESS

Statutory Rules 1987 No. 53 prescribed certain conditions to be fulfilled by a registered ship repairer and to be fulfilled generally in the repair of ships a claim for bounty for a claim for bounty under the Act could be made.

Paragraph 4(1)(c) of the Regulations required registered ship-builders to forward to the Minister for his or her approval the names of any additional subcontractors the registered ship-repairer intended using in the repair of a ship. (Where the Minister refuses to approve the additional subcontractors, the ship-repairer is ineligible to receive bounty for work done by the unapproved subcontractor.)

The Senate Standing Committee on Regulations and Ordinances was concerned that this discretion could not be reviewed on its merits by an independent body.

The attached Statutory Rules discharge an undertaking made to the Committee by the Minister for Science, Customs and Small Business on 19 November 1987 to give a person affected by the above discretion the right to have an Minister’s decision reviewed by the Administrative Appeals Tribunal.

Details of the Regulations are as follows:

Principal Regulations

Regulation 1 identifies the Bounty (Ship Repair) (Registration) Regulations as the Regulations being amended by these Statutory Rules.

Conditions for the purposes of subsection 19(8) of the Act

Regulation 2 amends subregulation 4(1) of the Principal Regulations as follows:

- paragraph (a) amends paragraph 4(1)(c) of the Principal Regulations and requires the applicant to provide to the Minister such information about the applicant as may reasonably be required to assist the Minister to determine whether the subcontractor should approved for the purposes of the Act.

 Regulation 3(c) currently requires a ship repairer applying for registration under the Scheme to nominate those persons who are to be subcontractors of the ship-repairer. After registration, should the


registered ship-repairer wish to add to the list of subcontractors, regulation 4(c) requires the ship-repairer to submit the names of the new subcontractors to the Minister for approval. Should the Minister withhold his or her approval for the registered ship-repairer to use the subcontractor, the registered ship-repairer is precluded by paragraph 4(d)(ii) of the Regulations from making a claim for bounty for work done by that subcontractor.

- paragraph (b) amends subparagraph 4(d)(ii) of the Principal Regulations, to make clear that the the non-approval of a subcontractor by the Minister is a “decision” for the purposes of the Administrative Appeals Act 1975.

- paragraph (c) adds a new subregulation 4(4) to the Principal Regulations, which positively requires the Minister to decide whether he or she will approve or not approve the name of a subcontractor nominated by a registered ship-repairer under paragraph 4(1)(c).

Regulation 3 adds two new regulations to the principal regulations:

Application for review

- New regulation 5 allows a decision of the Minister made pursuant to subregulation 4(4) of the Principal Regulations (discussed above) to be reviewed by the Administrative Appeals Tribunal.

Notice of reviewability

- New regulation 6 obliges the Minister to advise the person whose interests are affected by a decision of the Minister pursuant to the new regulation 5 (discussed above) of his or her right to have the Minister’s decision reviewed by the Administrative Appeals Tribunal.

 new subregulation 6(2) provides that a failure to issue the notice will not itself invalidate the decision of the Minister.

Overview

The Bounty (Ship Repair) (Registration) Regulations (Amendment) Statutory Rules 1988 No. 175 were enacted to address concerns raised by the Senate Standing Committee on Regulations and Ordinances regarding the review process for decisions made by the Minister under the Bounty (Ship Repair) Act 1986. This legislation was introduced to provide a mechanism for individuals affected by decisions concerning the approval of subcontractors in ship repair operations to seek an independent review of the Minister's decisions. The policy objective is to ensure that the Minister’s discretion in approving subcontractors for ship repairs can be reviewed by the Administrative Appeals Tribunal, thereby providing an additional layer of scrutiny and ensuring fairness and accountability in the decision-making process. This amendment was issued by the authority of the Minister of State for Science, Customs and Small Business, in response to an undertaking made on 19 November 1987.

Scope and Application

The Bounty (Ship Repair) (Registration) Regulations (Amendment) Statutory Rules 1988 No. 175, issued under the authority of the Minister of State for Science, Customs and Small Business, amend the Bounty (Ship Repair) (Registration) Regulations to enhance the review process for decisions made by the Minister regarding the approval of subcontractors for registered ship-repairers. The Regulations are designed to ensure that decisions regarding subcontractor approval can be reviewed on their merits by an independent body, specifically the Administrative Appeals Tribunal, thereby addressing concerns raised by the Senate Standing Committee on Regulations and Ordinances. The scope of the Regulations applies to registered ship-repairers who intend to use subcontractors in ship repair activities, thereby impacting their eligibility for bounty claims under the Bounty (Ship Repair) Act 1986. The Regulations modify existing subregulation 4(1)(c) to require the submission of additional information to the Minister to facilitate a more informed decision-making process. Furthermore, they introduce new provisions that explicitly recognise the Minister's decision on subcontractor approval as a reviewable decision under the Administrative Appeals Act 1975, and mandate the Minister to decide on subcontractor nominations and notify affected parties of their right to seek a review by the Administrative Appeals Tribunal. These amendments aim to provide greater transparency and accountability in the regulatory framework governing ship repair activities in Australia.

Key Provisions

The Bounty (Ship Repair) (Registration) Regulations, as amended by the Statutory Rules 1988 No. 175, introduce significant changes to the process by which a ship repairer can nominate and use subcontractors in the repair of ships for bounty claims. Regulation 2(a) modifies subregulation 4(1)(c) of the Principal Regulations to require the applicant to provide the Minister with all information necessary to determine whether the subcontractor should be approved. Regulation 2(b) clarifies that the Minister's non-approval of a subcontractor constitutes a "decision" under the Administrative Appeals Act 1975. Regulation 2(c) adds a new subregulation 4(4), mandating the Minister to decide on the approval of any subcontractor nominated by a registered ship-repairer. These changes impose new obligations on registered ship-repairers and the Minister. Under the amended regulation, ship-repairers must provide detailed information to the Minister to facilitate an informed decision on subcontractor approval (Regulation 2(a)). The Minister, in turn, is required to make a decision on the approval of any nominated subcontractor (Regulation 2(c)). Additionally, Regulation 3 introduces new regulations that allow a decision of the Minister to be reviewed by the Administrative Appeals Tribunal (Regulation 5) and requires the Minister to notify affected parties of their right to such a review (Regulation 6). Breaches of these obligations may lead to consequences under the Administrative Appeals Act 1975. For instance, failure to provide the necessary information as required by Regulation 2(a) could result in a decision that adversely affects the ship-repairer's eligibility to claim bounty for work done by unapproved subcontractors. Moreover, if the Minister fails to advise an affected party of their right to review under Regulation 6, it does not invalidate the Minister's decision (Regulation 6(2)). However, if a decision is found to be incorrect upon review by the Administrative Appeals Tribunal, it may be set aside or varied. The penalties for non-compliance are not explicitly stated in the text, but they could include financial penalties or other remedies as determined by the Tribunal.

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Sourced from the Federal Register of Legislation at 26 August 2026. For the latest information on Australian Government law please go to https://www.legislation.gov.au.