EXPLANATORY STATEMENT
STATUTORY RULES 1986 NO. 396
CUSTOMS (IMPORT LICENSING) REGULATIONS (AMENDMENT)
ISSUED BY THE AUTHORITY OF THE MINISTER OF STATE FOR INDUSTRY, TECHNOLOGY AND COMMERCE
On 1 April 1985 the Government announced, as part of the revised arrangements for Customs administration, the establishment of an independent Australian Customs Service (ACS), which was achieved by the passage of the Customs Administration Act 1985 (Act No. 38 of 1985). The Government’s decision on the establishment of the ACS included the transfer of the responsibilities of the Minister for Industry, Technology and Commerce deemed to be administrative in character to the Comptroller-General of Customs, so that the responsibility for the day to day running of the Service would be vested in that position.
The various responsibilities were transferred by two stages; the first set of powers were transferred by the Customs Administration (Transitional Provisions and Consequential Amendments) Act 1985 (Act No 39 of 1985) and the second set transferred by the Customs Administration (Transitional Provisions and Consequential Amendments) Act 1986 (Act No. 10 of 1986). In addition, consequential amendments to various Regulations occurred.
It was originally determined that certain of the Minister’s powers contained in the Customs (Import Licensing) Regulations should be transferred from the Minister to the Comptroller-General, on the basis that those powers were already the subject of a delegation. These powers were transferred by Statutory Rules 1985, No 104.
Following a re-examination of the transferred powers however, it was considered that powers with respect to import licensing could not be regarded as merely administrative, as the power to issue licenses is directly related to Government action on Indistries Assistance Commission reports. Accordingly, the proposed amendments re-transfer the powers pertaining to import licensing from the Comptroller-General to the Minister.
The Schedule of Amendments amends the Customs (Import Licensing) Regulations as follows:
• Paragraph 9(a) is amended to transfer from the Comptroller back to the Minister the power to approve the granting of an import licence prior to the exportation of goods to Australia;
• Regulation 11 is amended to transfer from the Comptroller back to the Minister the power to grant or refuse to grant an import licence in respect of all or part of the goods included in an application;
• Sub-regulation 12(1) is amended to transfer from the Comptroller back to the Minister the power to grant an import licence subject to conditions or requirements.
• Sub-regulation 12(2) is amended to transfer from the Comptroller back to the Minister the power to vary the conditions or requirements of an import licence.
• Regulation 15 is amended to transfer from the Comptroller back to the Minister the power to revoke an import licence.
Overview
The Customs (Import Licensing) Regulations (Amendment) 1986 was enacted to address a gap identified in the administration of import licensing within the Customs framework. This regulation was introduced to ensure that the power to issue import licenses remained aligned with the overarching policy objectives of the Government, particularly those related to industry assistance and trade regulation. The regulations were issued by the authority of the Minister of State for Industry, Technology and Commerce, as part of the broader legislative efforts to establish and refine the operations of the Australian Customs Service (ACS). The policy objective of this amendment was to re-transfer specific import licensing powers from the Comptroller-General of Customs back to the Minister, recognising that these powers were integral to the Government's strategic decisions on industry assistance. This legislative action sought to maintain the integrity of the import licensing process, ensuring that it was effectively managed within the context of broader economic and trade policies.
Scope and Application
The Customs (Import Licensing) Regulations (Amendment) Statutory Rules 1986 No. 396 applies to the Minister of State for Industry, Technology and Commerce, the Comptroller-General of Customs, and all relevant parties involved in the importation of goods into Australia. These regulations specifically pertain to the approval, granting, variation, and revocation of import licenses, and they are part of the broader Customs administration framework established by the Customs Administration Act 1985. The amendments made by these Statutory Rules were necessitated by the re-examination of the powers initially transferred to the Comptroller-General, determining that certain powers related to import licensing should remain under the purview of the Minister due to their direct link to Government action on Industries Assistance Commission reports. The geographic reach of these regulations is national, affecting all entities involved in the importation of goods across Australia. The stated amendments transfer specific powers from the Comptroller-General back to the Minister, ensuring that the authority for crucial decisions on import licensing remains appropriately aligned with policy and regulatory frameworks.
Key Provisions
The Customs (Import Licensing) Regulations (Amendment) Statutory Rules 1986 No. 396, issued under the authority of the Minister of State for Industry, Technology and Commerce, revise the responsibilities regarding import licensing, transferring them back to the Minister from the Comptroller-General of Customs. Specifically, section 9(a) of the regulations now mandates that the Minister must approve the granting of an import licence before goods can be exported to Australia (Paragraph 9(a)). Regulation 11 grants the Minister the authority to either grant or refuse an import licence for goods specified in an application (Regulation 11). Furthermore, sub-regulation 12(1) empowers the Minister to issue an import licence with specific conditions or requirements (Sub-regulation 12(1)), while sub-regulation 12(2) allows the Minister to modify these conditions or requirements (Sub-regulation 12(2)). Lastly, Regulation 15 vests the Minister with the power to revoke an import licence as necessary (Regulation 15).
These provisions impose several obligations on parties involved in the import process. Importers must ensure they have obtained the necessary approvals and licences from the Minister before exporting goods to Australia. They must also comply with any conditions or requirements set by the Minister as part of the licensing process. Should there be any changes to the goods or the circumstances of the import, importers are required to notify the Minister and potentially seek modifications to their import licence. Additionally, the Minister has the authority to revoke an import licence if the conditions are not met or if it is deemed necessary in the public interest.
Failure to comply with these regulations can result in significant consequences. For example, exporting goods without the necessary import licence or contravening the conditions of an existing licence can lead to legal penalties. The precise nature and severity of these penalties are not detailed within the explanatory statement, but they could potentially include fines, legal action, or other administrative sanctions. Additionally, revocation of an import licence could disrupt business operations for importers, potentially leading to financial losses and reputational damage.