Cattle Export Charge Regulations (Amendment) 1994 No. 121
EXPLANATORY STATEMENT
STATUTORY RULES 1994 No. 121
Issued by the authority of the Minister for Primary Industries and Energy
CATTLE EXPORT CHARGE ACT 1990
CATTLE EXPORT CHARGE REGULATIONS (AMENDMENT)
The Cattle Export Charge Act 1990 (the Act) provides that the Governor-General may make regulations, not inconsistent with the Act, prescribing matters for the purposes of the Act.
The Act imposes a charge on the export of cattle, other than dairy cattle and this charge consists of two components, which raise funds for the following purposes:
(a) financing of the Australian Meat and Live-stock Corporation (AMLC); and
(b) financing of the Meat Research Corporation (MRC).
Subsections 8(4) and 8(6) of the Act provide that the two Corporations may not make recommendations to the Minister in relation to the rates of charge unless a motion to endorse a recommendation has been put before the annual general meeting of the appropriate Corporation and has been carried. Additionally, the Act requires the Corporations to provide, in writing, details of the voting on the motion to the Minister.
The purpose of the regulations is to implement recommendations from the AMLC and MRC to reduce their respective charge components because of higher than expected collections from the charge since its introduction on 1 February 1991. The effect of the AMLC charge reductions is to reduce the Corporation's level of reserves, while the MRC charge reductions are aimed at returning to the industry past overcollections from this period.
The AMLC put a motion before its annual general meeting on 25 November 1993 proposing decreases in the operative rates of the AMLC components of the Cattle Export Charge, the Beef Production Levy and the Cattle Transaction Levy from 1 July 1994. This motion was passed and the AMLC has notified the Minister for Primary Industries and Energy, in writing, of details of the voting on this motion, as required by the Act.
The MRC similarly put a motion before its annual general meeting on 24 November 1993 proposing decreases in the operative rates of the MRC components of the Cattle Export Charge, the Beef Production Levy and the Cattle Transaction Levy from 1 July 1994. This motion was also passed and the MRC has notified the Minister for Primary Industries and Energy, in writing, of details of the voting on this motion, as required by the Act.
The relevant operative rates of charge and the prescribed maximum rates are as follows:
(per kg live weight) | Rates from
1 July 1993 | Rates from
1 July 1994 | Prescribed
maximum rates |
AMLC | 0.95 cents | 0.80 cents | 2.0 cents |
MRC | 0.27 cents | 0.247 cents | 0.5 cents |
Total | 1.22 cents | 1.047 cents | |
Overview
The Cattle Export Charge Regulations (Amendment) 1994 No. 121 were enacted to adjust the charge rates on the export of cattle, excluding dairy cattle, as provided for in the Cattle Export Charge Act 1990. This Act was introduced to create a charge on cattle exports, with the funds raised being allocated towards the Australian Meat and Livestock Corporation (AMLC) and the Meat Research Corporation (MRC). The 1994 Amendment Regulations were issued under the authority of the Minister for Primary Industries and Energy to implement the recommendations made by the AMLC and MRC to reduce their respective charge components due to higher than expected collections since the charge's introduction on 1 February 1991. The policy objective was to balance the Corporations' reserves and rectify past overcollections.
Both the AMLC and MRC passed motions at their respective annual general meetings on 25 November 1993 and 24 November 1993, respectively, to decrease the operative rates of their components of the Cattle Export Charge, the Beef Production Levy, and the Cattle Transaction Levy, effective from 1 July 1994. The new rates were communicated to the Minister for Primary Industries and Energy in writing, as mandated by the Act. The new rates saw the AMLC component reduce from 0.95 cents to 0.80 cents per kg live weight, and the MRC component reduce from 0.27 cents to 0.247 cents per kg live weight. These adjustments were made to align with the policy objective of maintaining appropriate financial reserves and correcting prior overcollections.
Scope and Application
The Cattle Export Charge Act 1990 applies to the export of cattle, excluding dairy cattle, and imposes a charge on such exports to raise funds for the Australian Meat and Livestock Corporation and the Meat Research Corporation. This legislation is a Commonwealth Act, extending its reach across the entire nation. The Act mandates that any recommendations regarding the rates of the charge must first be approved by a motion passed at the annual general meeting of the respective Corporation, and details of this vote must be provided to the Minister for Primary Industries and Energy. The Cattle Export Charge Regulations (Amendment) 1994 No. 121 implement these recommendations to adjust the charge rates downward, reflecting higher-than-expected collections since the charge's introduction. The new rates, effective from 1 July 1994, are 0.80 cents per kg live weight for the AMLC and 0.247 cents per kg live weight for the MRC, with prescribed maximum rates of 2.0 cents and 0.5 cents respectively. These regulations, being subordinate instruments, extend the application of the Act by modifying the charge rates as recommended by the relevant Corporations.
Key Provisions
The Cattle Export Charge Regulations (Amendment) 1994 No. 121 amend the existing Cattle Export Charge Regulations under the Cattle Export Charge Act 1990. These regulations primarily focus on adjusting the charge rates for the export of cattle, excluding dairy cattle. Section 8(4) and 8(6) of the Act require that any recommendation for changes in the charge rates must first be proposed by either the Australian Meat and Livestock Corporation (AMLC) or the Meat Research Corporation (MRC), and then approved by their respective annual general meetings. Once approved, the Corporations must notify the Minister for Primary Industries and Energy in writing of the details of the voting outcome on these motions.
The obligations under these regulations primarily rest with the AMLC and MRC. Both Corporations are required to propose any changes in the charge rates through a formal motion at their annual general meetings. Once these motions are passed, the Corporations must provide written documentation to the Minister detailing the voting results. These regulations ensure transparency and adherence to the legislative process outlined in the Act for any changes to the charge rates. The aim of these obligations is to maintain a clear and accountable mechanism for adjusting the cattle export charges.
Failure to comply with the requirements set out in the Cattle Export Charge Act 1990 and its regulations could lead to legal consequences. Specifically, if the AMLC or MRC does not follow the prescribed process for proposing and passing motions to change the charge rates, or if they fail to notify the Minister of the voting outcomes, they may face penalties. Although the specific penalties are not detailed in the explanatory statement, breaches of such legislative requirements could potentially lead to enforcement actions or other legal repercussions, depending on the nature and severity of the non-compliance. The overarching goal is to ensure that any adjustments to the cattle export charges are made in a lawful and transparent manner, reflecting the decisions made by the relevant stakeholders.