Fuel Standard (Petrol) Amendment Determination 2007 (No. 1)

Administered by Department of the Environment and Energy

Legislation au F2007L03952 Not in force Legislative Instrument

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EXPLANATORY STATEMENT

 

Issued by the authority of the Minister for the Environment and Water Resources

 

Fuel Quality Standards Act 2000

 

Fuel Standard (Petrol) Amendment Determination 2007 (No. 1)

 

The Fuel Quality Standards Act 2000 (the Act) establishes a regulatory regime in relation to activities involving fuel and fuel additives.

 

The Act and the Fuel Quality Standards Regulations 2001 provides the framework for making and enforcing national fuel quality standards and national fuel quality information standards.

 

Section 21 of the Act provides that the Minister may, in writing, determine that specified matters constitute a fuel standard in respect of a specified kind of fuel.

 

The Fuel Standard (Petrol) Amendment Determination 2007 (No. 1) (the Determination) amends the maximum level of oxygen that is permitted in all grades of petrol containing ethanol, and specifies a testing method for benzene in all grades of petrol.

 

The Minister has had regard to the main objects of the Act before making the Determination, as required by subsection 21(5).  The objects of the Act are to:

(a)  regulate the quality of fuel supplied in Australia in order to:

(i)          reduce the level of pollutants and emissions arising from the use of fuel that may cause environmental and health problems; and

(ii)        facilitate the adoption of better engine technology and emission control technology; and

(iii)     allow the more effective operation of engines; and

(b)  ensure that, where appropriate, information about fuel is provided when the fuel is supplied.

 

The Determination is consistent with meeting objective (a).

 

The Minister has consulted with the Fuel Standards Consultative Committee as required by paragraph 24A(1)(b) of the Act and has had regard to the recommendation of the Committee arising out of those consultations as required by sub-section 24A(4).  The Australian Institute of Petroleum (AIP), along with other industry bodies, is represented on the Committee.  The AIP undertook consultation with the major petroleum companies.  Public consultation was not required because of the technical nature of the amendments.

 

Details of the Determination are set out in Attachment A.

 

This instrument is a legislative instrument for the purposes of the Legislative Instruments Act 2003.

 

The instrument commenced on the day after registration on the Federal Register of Legislative Instruments.

 

 

Authority:  Section 21 of the Fuel Quality Standards Act 2000


Attachment A

 

Fuel Standard (Petrol) Amendment Determination 2007 (No. 1)

 

Clause 1 – Name of Determination

 

This clause provides that the name of the Determination is the Fuel Standard (Petrol) Amendment Determination 2007 (No. 1).

 

Clause 2 – Commencement

 

This clause provides that the Determination takes effect on the day after it is registered on the Federal Register of Legislative Instruments.

 

Clause 3 – Amendment of Fuel Standard (Petrol) Determination 2001

 

This clause provides that Schedule 1 amends the Fuel Standard (Petrol) Determination 2001.

 

Schedule 1 – Amendments

 

Item 1 – Subsection 3(1), table, item 6, paragraph (b), column 4

This item amends the maximum permitted level of oxygen for all grades of petrol containing ethanol from 3.5% mass by mass to 3.9% mass by mass.  Since 1 July 2003, the Fuel Standard (Petrol) Determination 2001 has prescribed a maximum ethanol content of 10% volume by volume.  Ethanol is most commonly blended by volume but it is appropriate that the measurement units for oxygen are mass by mass, i.e. mass of oxygen atoms per unit mass of fuel.  Testing has shown that, in practice, the 3.5% oxygen limit will be exceeded where ethanol is blended with petrol to the full permitted 10% by volume limit.  The density of the fuel also has a bearing on the oxygen content.  This amendment is an alignment of the oxygen parameter with the permitted 10% ethanol level.

 

Item 2 – Subsection 3(1), table, item 6, paragraph (b), column 5

This item specifies the date from when the revised oxygen parameter takes effect, being 1 November 2007.

 

Item 3 – Subsection 4, table, after item 1

This item specifies the testing method that will be used by the Australian Government to ascertain whether fuel meets the specified limit for the benzene parameter.  The Fuel Standard (Petrol) Determination 2001 limits benzene in petrol to 1% volume by volume but, until now, has not specified what method will be used to test for compliance.

Overview

The Fuel Quality Standards Act 2000, enacted by the Australian Parliament, aims to establish a regulatory framework for fuel quality and information standards across Australia. This Act, along with the Fuel Quality Standards Regulations 2001, provides the authority to set and enforce national standards for fuel quality and information. The legislation was introduced to address the need for a cohesive regulatory approach to fuel quality, with the overarching goal of reducing environmental and health issues arising from fuel use, facilitating advancements in engine and emission control technology, and ensuring the efficient operation of engines. The Act also seeks to mandate the provision of fuel-related information where appropriate. In 2007, the Minister for the Environment and Water Resources issued the Fuel Standard (Petrol) Amendment Determination 2007 (No. 1), which amends the maximum permissible level of oxygen in petrol containing ethanol and specifies a testing method for benzene in petrol. This amendment aligns with the objectives of the Fuel Quality Standards Act by furthering the reduction of pollutants and emissions. The Minister consulted with the Fuel Standards Consultative Committee, which includes industry representatives such as the Australian Institute of Petroleum, before making this determination. This legislative instrument, registered under the Legislative Instruments Act 2003, came into effect the day after its registration on the Federal Register of Legislative Instruments.

Scope and Application

The Fuel Quality Standards Act 2000 applies to the regulation of activities involving fuel and fuel additives across Australia, establishing a national framework for fuel quality standards and information. The Act applies to various entities, including fuel producers, importers, and suppliers, and encompasses the conduct and transactions related to the supply and use of fuel within the Australian jurisdiction. The Act extends its reach to all grades of petrol, including those containing ethanol, and specifies standards that must be adhered to in order to mitigate environmental and health issues arising from fuel use. The Act’s regulatory scope is further extended through subordinate instruments, such as the Fuel Quality Standards Regulations 2001, which provide detailed mechanisms for enforcing the standards. The Fuel Standard (Petrol) Amendment Determination 2007 (No. 1) amends the maximum oxygen content permitted in petrol containing ethanol and specifies the testing method for benzene in petrol, thereby refining the standards set by the Act. This Determination was made in consultation with industry representatives and aims to align the technical parameters of petrol quality with contemporary environmental and technological considerations.

Key Provisions

The main operative sections of the Fuel Standard (Petrol) Amendment Determination 2007 (No. 1) (Clause 3) are those that amend the Fuel Standard (Petrol) Determination 2001. These amendments primarily concern the maximum level of oxygen permitted in petrol containing ethanol and the specification of a testing method for benzene in all grades of petrol. Specifically, the amendment raises the maximum permitted level of oxygen for petrol containing ethanol from 3.5% mass by mass to 3.9% mass by mass (Schedule 1, Item 1). This change is effective from 1 November 2007 (Schedule 1, Item 2). Additionally, the Determination specifies a testing method to be used by the Australian Government to ascertain whether petrol meets the specified limit for benzene (Schedule 1, Item 3). The obligations and requirements imposed by this Determination on parties and entities governed by the Act include compliance with the revised oxygen content limit and adherence to the specified benzene testing method. Suppliers of petrol must ensure that their products comply with the new oxygen limits and must use the specified testing method to verify benzene levels. The Minister has consulted with relevant industry bodies, including the Australian Institute of Petroleum, to facilitate understanding and compliance with the new standards. This engagement ensures that industry stakeholders are aware of the changes and can implement them effectively. The Act does not explicitly outline offences, penalties, or consequences for breach in this Determination. However, non-compliance with fuel quality standards can result in regulatory action under the broader provisions of the Fuel Quality Standards Act 2000. Penalties for breaches of fuel quality standards can include fines and other civil or criminal penalties as prescribed by the relevant state or territory legislation. The severity of penalties can vary depending on the nature and extent of the breach, and they may be subject to the courts' discretion. It is crucial for entities involved in the supply and distribution of petrol to ensure compliance to avoid potential enforcement actions and associated penalties.

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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.