EXPLANATORY STATEMENT
STATUTORY RULES 1988 No. 251
Issued by the Authority of the Minister for Primary Industries and Energy
HONEY LEVY (NO 1) REGULATIONS (AMENDMENT)
Section 7 of the Honey Levy Act (No 1) 1962 (the Levy Act) provides that the Governor-General may make regulations for the purposes of carrying out or giving effect to the Levy Act.
The Levy Act imposes a levy on honey produced and sold in Australia. The levy has two components. The component referred to in paragraph 5(1)(b) of the Act is, by virtue of the Rural Industries Research Act 1985, designated for research funding.
Under paragraph 5(1)(b) of the Act, the rate of levy for research purposes may be varied, by regulation, from 0.25 cent up to a maximum of 0.5 cent per kilogram of honey. The present prescribed rate is 0,40 cent.
Subsection 5(3) of the Levy Act provides that before making regulations for the purposes of paragraph 5(1)(b) the Governor-General shall take into consideration any recommendation made to the Minister by the Honey Research Council or by the producers’ organisation.
Both the Honey Research Council and the Federal Council of Australian Apiarists’ Associations, the producers’ organisation, have recommended to the Minister an increase in the operative rate of levy for research purposes from 0.40 cent to 0.45 cent per kilogram of honey.
The recommendation is in accordance with the Government’s objective of encouraging rural industries to increase their contributions for research.
The purpose of the proposed Regulations is to increase the rate of levy, for research purposes, to 0.45 cent per kilogram of honey. The increase is to come into effect from 1 November 1988.
Overview
The Honey Levy (No 1) Regulations (Amendment) Statutory Rules 1988 were enacted to adjust the levy imposed on honey produced and sold in Australia, specifically targeting the research component of the levy. The legislation, issued under the authority of the Minister for Primary Industries and Energy, amends Section 7 of the Honey Levy Act (No 1) 1962. This Act originally imposed a levy on honey with a portion designated for research funding, and allows for the variation of this levy rate by regulation. The current problem or gap these regulations address is the need to increase the research levy rate in line with recommendations from the Honey Research Council and the Federal Council of Australian Apiarists’ Associations, aiming to encourage greater contributions from rural industries towards research. The proposed amendment increases the levy rate for research from 0.40 cent to 0.45 cent per kilogram of honey, effective from 1 November 1988.
Scope and Application
The Honey Levy (No 1) Regulations (Amendment) Statutory Rules 1988 No. 251, issued by the Authority of the Minister for Primary Industries and Energy, applies to honey produced and sold within Australia, thereby affecting honey producers and sellers across the nation. The Act specifically targets the levy imposed on honey, with the intent of funding research within the rural industry sector. The amendment pertains to the rate of levy designated for research purposes, which can be adjusted from 0.25 cent up to a maximum of 0.5 cent per kilogram of honey, as outlined in the Honey Levy Act (No 1) 1962. The current amendment seeks to increase the rate from 0.40 cent to 0.45 cent per kilogram, effective from 1 November 1988, following recommendations by the Honey Research Council and the producers’ organisation, the Federal Council of Australian Apiarists’ Associations. The regulations are designed to align with the government's objective of encouraging increased contributions from rural industries for research.
Key Provisions
The key provisions of the Honey Levy (No 1) Regulations (Amendment) involve amending the rate of the levy on honey for research purposes. Under section 7 of the Honey Levy Act (No 1) 1962, the Governor-General has the authority to make regulations for the purposes of implementing the Act. Currently, section 5(1)(b) of the Act specifies that the levy rate for research purposes can range from 0.25 cent to 0.5 cent per kilogram of honey. The existing rate is 0.40 cent per kilogram, but the proposed amendment seeks to increase this rate to 0.45 cent per kilogram of honey. This increase is intended to align with the government's goal of encouraging rural industries to contribute more towards research initiatives.
In terms of obligations, the regulations require the Governor-General to consider any recommendations made by the Honey Research Council or the producers' organisation, which is the Federal Council of Australian Apiarists' Associations, before making any changes. Both the Honey Research Council and the Federal Council of Australian Apiarists' Associations have recommended an increase in the levy rate to 0.45 cent per kilogram of honey, supporting the government's objective of enhancing research contributions. The regulations will come into effect from 1 November 1988, thereby mandating all parties involved to comply with the new levy rate from that date.
As for consequences, the legislation does not explicitly outline specific offences, penalties, or civil or criminal consequences for non-compliance with the new levy rate. However, the underlying principle is that adherence to the regulations is necessary to ensure the intended funding for research is adequately sourced. Any failure to comply with the new levy rate could potentially undermine the research funding goals set by the government, and thus, may lead to scrutiny or further regulatory measures to enforce compliance. The exact repercussions of non-compliance would depend on how strictly the regulations are enforced and the specific context in which they are breached.