Export Market Development Grants (Australian Net Benefit Requirements) Determination 2018

Overview

The Export Market Development Grants (Australian Net Benefit Requirements) Determination 2018 was enacted by the Minister for Trade, Tourism and Investment under section 10 of the Export Market Development Grants Act 1997 (EMDG Act). This legislation serves to detail the requirements that the CEO of Austrade must comply with in determining whether applicants meet the Australian net benefit requirements, ensuring that businesses receiving grants under the EMDG Act contribute positively to the Australian economy. The primary purpose of this legislative instrument is to provide a clear framework for assessing the eligibility of applicants for grants by ensuring they meet specific performance measures and provide necessary information and documentation, thereby maintaining the integrity of the export market development grant program. This Determination was developed following extensive stakeholder consultation and is designed to replace the previous 2008 Determination, ensuring consistency and continuity in the application of these requirements.

Scope and Application

The Export Market Development Grants (Australian Net Benefit Requirements) Determination 2018 applies to Australian businesses seeking grants under the Export Market Development Grants Act 1997, specifically targeting those who have incurred expenses promoting the export of Australian goods, services, intellectual property rights, and know-how. It outlines the criteria that the CEO of Austrade must consider when deciding whether applicants meet the Australian net benefit requirements, particularly for those who have already received two grants and are choosing option B. This decision is crucial as it determines their eligibility for a partial reimbursement of their expenses. The scope of the legislation is national, as it is a Commonwealth instrument, and it extends to any Australian business that meets the criteria outlined in the EMDG Act. The legislation does not explicitly exclude any specific persons, entities, or industries but is inherently restricted to those within its jurisdictional reach and meeting the eligibility criteria. The Act allows for the application of further conditions or modifications through subordinate instruments, thereby extending or restricting its application as necessary.

Key Provisions

The Export Market Development Grants (Australian Net Benefit Requirements) Determination 2018 (section 1) outlines the criteria that the Chief Executive Officer (CEO) of Austrade must apply when assessing whether an applicant meets the Australian net benefit requirements. Specifically, section 3 of the determination specifies the information and documents that applicants must provide to demonstrate that their export activities yield a net benefit to Australia. This information includes details about the export activities undertaken, the financial benefits and costs associated with those activities, and how these activities contribute to Australia's economic interests (section 4). The determination also sets out the methodology for calculating the Australian net benefit, ensuring consistency and transparency in the assessment process (section 5). Under the Act, the CEO of Austrade has the obligation to review the provided information and documents meticulously to determine whether the applicant has indeed achieved the required net benefit (section 6). This involves a detailed analysis of the financial and economic impacts of the export activities, ensuring that they contribute positively to Australia's economy. Additionally, the CEO must consider the broader implications of the export activities, such as job creation, industry development, and competitive advantages gained (section 7). The determination also stipulates that the CEO must make a decision based on the evidence presented and provide reasons for the decision, thereby ensuring accountability and transparency in the grant application process (section 8). Failure to comply with the requirements outlined in the determination can result in serious consequences. If an applicant fails to meet the Australian net benefit requirements, they may be ineligible for the export market development grants. This ineligibility could lead to the denial of grant applications and the loss of potential financial support for their export activities (section 9). Moreover, if an applicant is found to have provided false or misleading information, they could face legal action, including fines and other penalties. The determination does not explicitly state maximum penalties but implies that such actions could result in severe repercussions under the EMDG Act (section 10). It is also worth noting that decisions made by the CEO can be reviewed by the Administrative Appeals Tribunal, providing applicants with a recourse to challenge decisions they deem unjust (section 11).