EXPLANATORY STATEMENT
STATUTORY RULES 1987 No 106
Issued by the Authority of the Minister for Primary Industry
HONEY LEVY (NO, 2) REGULATIONS (AMENDMENT)
Section 7 of the Honey Levy Act (No. 2) 1962 (the Act) provides that the Governor-General may make regulations for the purposes of carrying out or giving effect to the Act.
The Act imposes a levy on honey produced in Australia and used in the production of other goods. 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 cents up to a maximum of 0.5 cents per kilogram of honey. The present prescribed rate is 0.35 cents.
Sub-section 5(3) of the 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 0.35 cent to 0.40 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 0.40 cent per kilogram of honey. The increase is to come into effect from 1 July 1987.
Overview
The Honey Levy (No. 2) Regulations (Amendment) Statutory Rules 1987, enacted by the Minister for Primary Industry, amends the Honey Levy Act 1962 to address the need for increased funding for honey-related research within the Australian rural industry. This regulation responds to the recommendations from the Honey Research Council and the Federal Council of Australian Apiarists’ Associations, both of which have advised on the necessity of elevating the levy for research purposes to support the government’s objective of enhancing research contributions from rural industries. The amendment proposes to raise the levy rate for research from 0.35 cents to 0.40 cents per kilogram of honey, effective from 1 July 1987, aiming to bolster research efforts and development within the sector.
Scope and Application
The Honey Levy (No. 2) Regulations (Amendment) pertain to the Honey Levy Act (No. 2) 1962, which applies to honey produced in Australia and used in the manufacture of other goods. This legislation imposes a levy on such honey, with a specific component allocated for research funding purposes. The proposed amendments aim to adjust the rate of this research levy, which currently stands at 0.35 cents per kilogram of honey, to 0.40 cents per kilogram, effective from 1 July 1987. The decision to amend the levy rate is made by the Governor-General in consultation with recommendations from the Honey Research Council and the Federal Council of Australian Apiarists’ Associations, the producers’ organisation, as stipulated under the Act. This adjustment aligns with the government's broader objective of increasing contributions from rural industries towards research funding.
Key Provisions
The primary operative sections of the Honey Levy (No. 2) Regulations (Amendment) involve the adjustment of the levy rate for research purposes, which is currently set at 0.35 cents per kilogram of honey under section 5(1)(b) of the Honey Levy Act (No. 2) 1962. This amendment, as outlined in the explanatory statement, proposes to increase this rate to 0.40 cents per kilogram of honey. The regulations seek to implement this change, with the new rate to take effect from 1 July 1987. This increase aligns with the recommendations from the Honey Research Council and the Federal Council of Australian Apiarists’ Associations, both of which have advised on the need to raise the levy rate to better support research funding.
The obligations imposed by these regulations primarily involve honey producers and other entities subject to the Honey Levy Act. Honey producers will be required to pay the increased levy rate of 0.40 cents per kilogram of honey for research purposes. This obligation is crucial for funding research initiatives that benefit the rural industries, specifically those related to honey production and its broader applications. The producers' organisation and the Honey Research Council are also expected to continue their role in advising on the appropriate level of the levy based on research needs and industry contributions.
The proposed amendment includes potential civil and criminal consequences for non-compliance with the new levy rate. Although specific offences and penalties are not detailed in the explanatory statement, it is reasonable to infer that breaches of the Honey Levy Act could lead to fines or other legal penalties, as is common with regulatory compliance issues in Australia. The maximum penalties would depend on the specific nature and severity of the breach, but they could potentially include financial penalties or other sanctions prescribed under the relevant legislation.
Furthermore, entities that fail to adhere to the new levy requirements could face legal action, which may result in additional costs and reputational damage. It is also important for affected parties to ensure they understand and comply with the updated levy rate to avoid any potential enforcement actions. The regulatory framework is designed to ensure that the research funding needs are met, thereby supporting the ongoing development and sustainability of the honey industry in Australia.