EXPLANATORY STATEMENT
Issued by the Authority of the Greenhouse and Energy Minimum Standards Regulator
Greenhouse and Energy Minimum Standards (Registration Fees) Act 2012
Greenhouse and Energy Minimum Standards (Registration Fees) Instrument 2013 (No.1)
The Greenhouse and Energy Minimum Standards Act 2012 requires models of products that are covered by a Greenhouse and Energy Minimum Standards (GEMS) Determination to be registered and provides offences for supply or commercial use of GEMS products that are not registered. A person may apply for registration under section 41 of the Act. Registration ensures that the GEMS Regulator can identify which products are being sold in Australia, to assist monitoring of compliance with the Act and ascertain trends in product energy efficiency.
Section 8 of the Greenhouse and Energy Minimum Standards (Registration Fees) Act 2012 permits the GEMS Regulator to specify fees, by legislative instrument, which must be paid when a person applies to register a product under section 41 of the Greenhouse and Energy Minimum Standards Act 2012.
Registration fees will assist the GEMS Regulator to recover a portion of the costs incurred in registering products under, and to monitor compliance with, the GEMS legislation. Cost recovery will assist the GEMS Regulator to deliver improved registration and compliance monitoring services, for the benefit of regulated Australian businesses and the Australian public.
The requirements to register products, and pay registration fees, established under the Greenhouse and Energy Minimum Standards Act 2012 are consistent with the historical practices of the twenty-year old Equipment Energy Efficiency Program.
The Greenhouse and Energy Minimum Standards (Registration Fees) Instrument 2013 (No.1) specifies the fees for each regulated product class that must be paid when a person applies to register a model of a regulated product.
Consultation
The Australian Government conducted extensive consultation with Australian businesses throughout the development of the Greenhouse and Energy Minimum Standards Act 2012, as well as consulting with the governments of New Zealand and Australian states and territories, all of which participate in the twenty-year old E3 Program.
Consultation specifically addressed registration fees to recover registration and compliance monitoring costs. Australian businesses provided strong support for fees to recover these costs on the understanding that it would assist the GEMS Regulator to improve registration and compliance monitoring services.
Authority: Section 8 of the
Greenhouse and Energy Minimum Standards (Registration Fees) Act 2012
Detailed description of provisions in the Instrument
Part 1 Preliminary
1 Name of instrument
Section 1 establishes the title of the instrument as the Greenhouse and Energy Minimum Standards (Registration Fees) Instrument 2013 (No.1).
2 Commencement
Section 2 sets out the commencement arrangements for the instrument, which commences on the day after it is registered on the Federal Register of Legislative Instruments.
3 Revocation
Section 3 revokes the Greenhouse and Energy Minimum Standards (Registration Fees) Instrument 2012 (F2012L02134).
4 Object
Section 4 sets out the object of the instrument, which is to specify registration fees payable when a person applies to register a product under the Greenhouse and Energy Minimum Standards Act 2012.
5 Interpretation
Section 5 clarifies that any terms in the instrument that are defined in the Greenhouse and Energy Minimum Standards Act 2012 or the Greenhouse and Energy Minimum Standards (Registration Fees) Act 2012 have the same meaning, unless otherwise specified.
Part 2 Fees
6 Fees
Consistent with paragraph 9(1) (a) of the Greenhouse and Energy Minimum Standards (Registration Fees) Act 2012, the instrument specifies the amount for each registration fee.
Section 6 specifies fees in a Schedule to the instrument. The table in the Schedule lists four fee bands (Column 1), sets the amount of the fee for each fee band (Column 2) and specifies which of the fee bands (listed in Column 1) apply to applications to register products against the relevant GEMS Determination (listed in Column 3).
The GEMS Determinations listed at items 11, 12, 13 and 15 were not existing GEMS Determinations at the time this instrument commenced, but have been proposed to be made. These items were included in this instrument in order that fees are specified if and when the proposed determinations are made. Until such time as the proposed determinations are made, the products they cover are not required to be registered under the Greenhouse and Energy Minimum Standards Act 2012 and no fees are therefore payable.
The amount of the fee for each product type was calculated with reference to identified costs of registration staff and the registration system, as well as costs incurred in the inspection and monitoring program such as purchasing and testing equipment. Relevant costs may be reassessed periodically throughout the life of the Greenhouse and Energy Minimum Standards Act 2012 to ensure that fees represent an appropriate level of cost recovery.
Overview
The Greenhouse and Energy Minimum Standards (Registration Fees) Instrument 2013 (No.1) was enacted to address the need for cost recovery in the registration and monitoring of products covered by the Greenhouse and Energy Minimum Standards Act 2012. This Act, enacted in 2012, established the requirement for the registration of products meeting minimum energy efficiency standards, with the objective of ensuring compliance and promoting energy efficiency. The Instrument was created under the authority of section 8 of the Greenhouse and Energy Minimum Standards (Registration Fees) Act 2012, empowering the Greenhouse and Energy Minimum Standards Regulator to specify fees for product registration applications. These fees aim to assist the Regulator in recovering a portion of the costs associated with registration and compliance monitoring, thereby enhancing the quality of these services for the benefit of both businesses and the public.
The Instrument specifies fees for each regulated product class, establishing a structured approach to cost recovery that aligns with the historical practices of the Equipment Energy Efficiency Program. The development of this Instrument involved extensive consultation with Australian businesses and governments, reflecting a consensus that cost recovery through fees would support improved registration and compliance services. The fees are calculated based on the costs of the registration staff, the registration system, and the costs of the inspection and monitoring program, including the purchase and testing of equipment. This approach ensures that the fees remain representative of the actual costs incurred, allowing for periodic reassessment to maintain their appropriateness.
Scope and Application
The Greenhouse and Energy Minimum Standards (Registration Fees) Instrument 2013 (No.1) applies to individuals and entities that seek to register products covered by Greenhouse and Energy Minimum Standards (GEMS) Determinations under the Greenhouse and Energy Minimum Standards Act 2012. This includes businesses and manufacturers involved in the supply or commercial use of products subject to GEMS requirements within Australia. The instrument stipulates fees for the registration of products, aiming to assist the GEMS Regulator in recovering costs associated with the registration process and compliance monitoring. These fees are designed to support improved services for the benefit of regulated businesses and the broader Australian public. The instrument operates nationally across Australia, as it is a Commonwealth instrument. There are no specific exclusions or exemptions outlined in the instrument, but it is noted that until proposed GEMS Determinations are made, no fees are payable for the products they cover.
The instrument also establishes the fees that must be paid when a person applies to register a product under the Greenhouse and Energy Minimum Standards Act 2012. It specifies the amount for each registration fee, which is determined based on the costs of registration staff, the registration system, and the inspection and monitoring program. The fees are categorised into bands and listed in a Schedule to the instrument, ensuring that all relevant GEMS Determinations are covered, including those that are proposed but not yet made. The fees are intended to be periodically reassessed to maintain appropriate cost recovery levels.
Key Provisions
The Greenhouse and Energy Minimum Standards (Registration Fees) Instrument 2013 (No. 1) specifies the fees applicable to the registration of products under the Greenhouse and Energy Minimum Standards Act 2012. Section 6 of the Instrument establishes a Schedule detailing various fee bands and their application to specific GEMS Determinations. Each fee band, listed in Column 1 of the Schedule, corresponds to a particular amount (Column 2) and applies to products registered under the relevant GEMS Determinations (Column 3). These fees are designed to cover the costs incurred by the GEMS Regulator in processing registration applications, as well as the ongoing costs of monitoring and ensuring compliance with energy efficiency standards. It is important to note that fees are only applicable to products that are subject to a GEMS Determination, and products associated with proposed GEMS Determinations, such as those listed at items 11, 12, 13 and 15, are currently not required for registration and hence no fees are payable until such determinations are formally made.
Entities and individuals must comply with the requirements set out in the Greenhouse and Energy Minimum Standards Act 2012 and the Greenhouse and Energy Minimum Standards (Registration Fees) Act 2012. Section 41 of the Act allows a person to apply for the registration of a product model, and Section 8 of the Registration Fees Act permits the GEMS Regulator to specify fees for these applications. The registration process ensures that the GEMS Regulator can effectively monitor compliance with energy efficiency standards and identify trends in product energy efficiency. The specified fees in the Instrument are intended to assist the Regulator in recovering a portion of the costs associated with the registration and monitoring process. Failure to register products as required by the Act or to pay the specified fees can lead to legal consequences, as the Act provides for offences related to the supply or commercial use of unregistered products.
Breaches of the requirements set out in the Greenhouse and Energy Minimum Standards Act 2012 can result in significant legal consequences. Section 112 of the Act provides for offences related to the supply or commercial use of products that are not registered as required by the Act. The penalties for these offences can be substantial, with maximum fines and imprisonment terms specified within the Act. Additionally, the Act allows for the imposition of civil penalties for breaches, which can further deter non-compliance. Ensuring adherence to the registration requirements and timely payment of fees is therefore crucial for all entities and individuals involved in the supply of products covered by a GEMS Determination. Failure to comply can result in both criminal and civil liabilities, thereby emphasising the importance of adhering to the stipulated provisions of the Act.