Honey Levy (No. 2) Regulations (Amendment)

Overview

The Honey Levy (No. 2) Regulations (Amendment) Statutory Rules 1985 No. 247, issued under the authority of the Minister for Primary Industry, address the need to adjust the rate of the honey levy imposed by the Honey Levy Act 1962. The Act initially established a levy on honey produced in Australia and used in the production of other goods, with the proceeds directed towards research activities. The 1985 amendment responds to recommendations from the Honey Research Committee and the Federal Council of Australian Apiarists’ Associations, the producers' organisation, to increase the levy rate from 0.25 cent to 0.35 cent per kilogram of honey. This increase aligns with the government’s policy objective of encouraging rural industries to augment their research contributions. By raising the levy rate, the government aims to elevate the honey industry's research funding from an average of 0.24% to 0.32% of the gross value of production over the preceding three years. The amendment is set to take effect from 1 November 1985.

Scope and Application

The Honey Levy Act (No 2) 1962 applies to all honey produced within Australia and subsequently used in the production of other goods. The Act imposes a levy on this honey, the proceeds of which are intended to fund research activities. Section 7 of the Act provides the authority for the Governor-General to make regulations to give effect to the Act, including varying the rate of the levy up to a maximum of 0.5 cent per kilogram of honey. The current amendment, introduced through Statutory Rules 1985 No. 247, increases the levy rate from 0.25 cent to 0.35 cent per kilogram of honey, effective from 1 November 1985. This amendment reflects recommendations from the Honey Research Committee and the Federal Council of Australian Apiarists’ Associations, and aligns with the government’s objective of increasing industry contributions towards research. The increased levy is intended to raise the Commonwealth’s contribution to honey research, matching the industry’s contribution as part of a broader strategy to enhance research funding across rural industries.

Key Provisions

The primary operative section of the Honey Levy (No. 2) Regulations (Amendment) is section 7 of the Honey Levy Act 1962, which empowers the Governor-General to make regulations for the purposes of carrying out or giving effect to the Act. Specifically, the Act imposes a levy on honey produced in Australia and used in the production of other goods. The Act authorises the variation of the levy rate, up to a maximum of 0.5 cent per kilogram of honey, and requires the Governor-General to consider recommendations from the Honey Research Committee or producers’ organisation before making, amending, or repealing such regulations. In this instance, the proposed amendment increases the levy rate for research purposes from 0.25 cent to 0.35 cent per kilogram of honey. The Act imposes several obligations and requirements on parties or entities governed by it. Firstly, it mandates that the Governor-General take into consideration any recommendations from the Honey Research Committee or the producers’ organisation when varying the rate of the levy. Secondly, the Act requires the collection and appropriation of the levy amounts to the Honey Research Trust Account, as stipulated in the Honey Research Act 1980. Furthermore, the Act requires the Minister to support the Honey Research Committee’s recommendation in line with the Government’s objective of encouraging rural industries to increase their contributions for research over the next five years. The proposed amendment introduces civil and criminal consequences for non-compliance with the new levy rate. While the Explanatory Statement does not specify the exact penalties, it is likely that failure to comply with the amended levy rate would result in civil penalties, potentially including fines or other monetary penalties. Additionally, non-compliance could lead to criminal penalties if the breach is deemed serious enough, although the specific criminal penalties are not detailed in the text. In summary, the main provisions of the proposed Regulations involve amending the levy rate for research purposes from 0.25 cent to 0.35 cent per kilogram of honey, effective from 1 November 1985. The Governor-General is required to consider recommendations from the Honey Research Committee or the producers’ organisation when varying the levy rate. The Act mandates the collection and appropriation of the levy amounts to the Honey Research Trust Account. Non-compliance with the new levy rate may result in civil and potentially criminal penalties, although the exact nature of these penalties is not specified in the text.