Industrial Chemicals (Notification and Assessment) Amendment (Fees and Charges) Regulations 2019

Administered by Department of Health, Disability and Ageing

Legislation au F2019L01007 Regulations Not in force Legislative Instrument

Legislation content

 

Explanatory STATEMENT

 

 

Issued under the authority of the Minister for Regional Services, Decentralisation and Local Government

 

Industrial Chemicals (Notification and Assessment) Act 1989

 

Industrial Chemicals (Notification and Assessment) Amendment (Fees and Charges) Regulations 2019

 

 

The Industrial Chemicals (Notification and Assessment) Act 1989 (the Act) establishes the National Industrial Chemicals Notification and Assessment Scheme (NICNAS), a national system of notification and assessment of industrial chemicals.

 

Section 111 of the Act provides, in part, that the Governor-General may make regulations, not inconsistent with the Act, prescribing matters required or permitted by the Act to be prescribed, or necessary or convenient to be prescribed for carrying out or giving effect to the Act. 

 

Subsection 110(1) of the Act provides that the regulations may prescribe fees for specified NICNAS services.  Subsections 110(1A) to 110(6) set out details for when fees are due, the payment schedules and other arrangements.  NICNAS fees are calculated in accordance with the Australian Government Charging Framework and the Australian Government Cost Recovery Guidelines. 

 

Subsection 80T(2) of the Act provides that the regulations may prescribe the amount of registration charge payable by a chargeable person in relation to a registration year.  A chargeable person is one who introduces relevant industrial chemicals above a value of $100,000 per annum (Levels B-D) in a four tiered registration framework (known as Levels A – D).

 

The purpose of the Industrial Chemicals (Notification and Assessment) Amendment (Fees and Charges) Regulations 2019 (the Regulations) is to:

 

  1. give effect to increases in NICNAS fees for 2019-20 for services provided to notifiers of new industrial chemicals, holders of confidence and other parties, based on ‘fee for service’; and

 

2.        give effect to increases in charges for registration.

 

Fees and Charges

It is government policy that the full costs of NICNAS activities are recovered from the regulated industry through fees and charges. 

 

The fees for services for 2019-20 are indexed in line with wage price and consumer price pressures.  An increase of 2.3 per cent in the registration fee per registrant will be applied across all registration levels, to accommodate anticipated cost increases, based on a weighted average indexation of wage price index (WPI - public sector group)/consumer price index (CPI - all groups), currently 2.3 per cent. An increase of approximately 1.3 per cent will be applied to the core registration charge (Levels B to D) currently imposed under NICNAS.  This increase is required to adequately fund the effort required to deliver the regulatory service concurrently with preparatory work required to implement the Australian Industrial Chemicals Introduction Scheme (AICIS), in accordance with the Industrial Chemicals Act 2019.  AICIS is due to commence on 1 July 2020.

 

Consultation

NICNAS published the draft Cost Recovery Implementation Statement 2019‑20, which was open for consultation from 21 March to 5 April 2019. Three submissions were received.  Stakeholders were not supportive of the increase in fees for services. Industry submissions also did not support the proposed additional charge of 1.3 per cent on Levels B to D.

 

AICIS will commence from 1 July 2020.  The proposed fees and charges strike a balance between stakeholder views and the resources required to fund concurrent activities in 2019-20; business continuity under the Act and preparation for implementing the new scheme.

 

For transparency, a summary of stakeholder comments and NICNAS responses will be included in the final Cost Recovery Implementation Statement 2019-20 to be published on the NICNAS website.

 

 

REGULATORY IMPACT ANALYSIS

The Office of Best Practice Regulation (OBPR) determined that the increase in fees and charges is minor and machinery in nature and therefore no RIS is required. (OBPR Ref: 25094)

 

Details of the Regulations are set out in the Attachment.

 

The Act specifies no conditions that need to be satisfied before the power to make the proposed Regulations may be exercised. 

 

The Regulations would be a legislative instrument for the purposes of the Legislation Act 2003.

 

The regulations would commence on 1 August 2019.

 

 

 

 

        

 

 

 

 

 

 

 


ATTACHMENT A

 

Details of the Industrial Chemicals (Notification and Assessment) Amendment (Fees and Charges) Regulations 2019

 

Section 1 – Name of regulations

 

Section 1 provides for the regulations to be referred to as the Industrial Chemicals (Notification and Assessment) Amendment (Fees and Charges) Regulations 2019.

 

Section 2 – Commencement

 

Section 2 provides for the regulations to commence on the later of 1 August 2019, or the day after the instrument is registered.

 

Section 3 – Authority

 

Section 3 states that the regulations are made under the Industrial Chemicals (Notification and Assessment) Act 1989.

 

Section 4 – Schedule

 

Section 4 provides that each instrument that is specified in a Schedule to this instrument is amended or repealed as set out in the applicable items in the Schedule concerned, and any other item in a Schedule to this instrument has effect according to its terms.

 

Schedule 1 - Amendments

 

Part 1 - Amendments to NICNAS registration charges

 

Items 1 to 3 – Regulation 11AB

This regulation sets out the amount of registration charge persons must pay in order to introduce industrial chemicals into Australia. The charge is used to fund the cost of all NICNAS regulatory activities except fee-for-service activities. The amount of the registration charge is prescribed in subsection 80T(2) of the Act and is based on a tier system with persons who introduce industrial chemicals of higher total value for a year, paying a higher charge. The amendment details the registration charges for the 2019-20 registration year.

 

Part 2 – Amendments to NICNAS fees for services

 

Item 4 – Schedule 2 of the Regulations

Schedule 2 of the regulations prescribes the various fees for NICNAS services, and penalties for late registration.

 

Item 4 amends the fees for services in the table in Schedule 2 of the Regulations except for penalties for late renewal of registration which remain unchanged from the 2017-18 financial year.

Statement of Compatibility with Human Rights

 

Prepared in accordance with Part 3 of the Human Rights (Parliamentary Scrutiny) Act 2011

 

Industrial Chemicals (Notification and Assessment) Amendment (Fees and Charges) Regulation 2019

 

This disallowable legislative instrument is compatible with the human rights and freedoms recognised or declared in the international instruments listed in section 3 of the Human Rights (Parliamentary Scrutiny) Act 2011

 

Overview of the legislative instrument

The Industrial Chemicals (Notification and Assessment) Regulations 1990 (the Principal Regulations) require minor amendments relating to changes in fees and charges which are indexed in line with wage cost pressures.

 

The changes to the Principal Regulations:

 

  1. give effect to increases in NICNAS fees for 2019-20 for services provided to notifiers of new industrial chemicals, holders of confidence and other parties, based on ‘fee for service’; and
  2. give effect to increases in charges for registration.

 

Fees and charges

The National Industrial Chemicals Notification and Assessment Scheme (NICNAS) administers the Principal Regulations and it is current government policy that its functions are fully cost recovered from industry through fees and charges. These amendments will not make any substantive changes, as fees for services and charges will be indexed in line with wage cost pressures for 2019-20, and a small additional levy is imposed to fund business continuity in 2019-20. 

 

Human rights implications

These amendments do not engage any of the applicable rights or freedoms.

 

Conclusion

This legislative instrument is compatible with human rights as it does not raise any human rights issues.

 

The Honourable Mark Coulton MP, Minister for Regional Services, Decentralisation and Local Government

Overview

The Industrial Chemicals (Notification and Assessment) Amendment (Fees and Charges) Regulations 2019 were enacted to update the fees and charges associated with the National Industrial Chemicals Notification and Assessment Scheme (NICNAS). These regulations, introduced by the Minister for Regional Services, Decentralisation and Local Government, provide for the implementation of fee increases for 2019-20, aimed at ensuring that the full costs of NICNAS activities are recovered from the regulated industry. The policy objective underpinning these amendments is to align NICNAS fees with wage price and consumer price pressures, as well as to accommodate anticipated cost increases and the preparatory work required to implement the Australian Industrial Chemicals Introduction Scheme (AICIS), which is scheduled to commence on 1 July 2020. These adjustments were indexed to reflect economic factors and to ensure adequate funding for NICNAS activities and the transition to the new regulatory framework. The regulations were developed following public consultation, where stakeholders expressed concerns about the proposed increases. Despite this, the amendments aim to balance stakeholder views with the necessary resources to maintain business continuity and prepare for the new regulatory scheme. The Office of Best Practice Regulation determined that the increase in fees and charges was minor and machinery in nature, thereby not requiring a Regulatory Impact Statement. The regulations will commence on 1 August 2019, or the day after the instrument is registered, and they are compatible with human rights, as confirmed by the Statement of Compatibility with Human Rights.

Scope and Application

The Industrial Chemicals (Notification and Assessment) Amendment (Fees and Charges) Regulations 2019, issued under the authority of the Minister for Regional Services, Decentralisation and Local Government, amend the Industrial Chemicals (Notification and Assessment) Regulations 1990 to update the fees and charges associated with the National Industrial Chemicals Notification and Assessment Scheme (NICNAS). The Act applies to the introduction and regulation of industrial chemicals in Australia, with a focus on ensuring the safety and efficacy of chemicals entering the market. The Act applies to persons or entities involved in the introduction of industrial chemicals into Australia, including manufacturers, importers, and suppliers, who must notify and assess these chemicals under the NICNAS scheme. The Regulations are designed to index NICNAS fees for 2019-20, reflecting wage price and consumer price pressures, and to increase registration charges for those introducing chemicals above a specified monetary threshold. These changes are intended to ensure the full cost recovery of NICNAS activities from the regulated industry. The regulations extend the application of the Act through the prescribed fees and charges, and the scope is national, applying across all Australian jurisdictions. There are no specific exclusions noted within the text, but the fees and charges are structured to accommodate different levels of chemical introduction, as outlined in the four-tiered registration framework. The Regulations commence on the later of 1 August 2019, or the day after the instrument is registered.

Key Provisions

The Industrial Chemicals (Notification and Assessment) Amendment (Fees and Charges) Regulations 2019 introduces changes to fees and charges for the National Industrial Chemicals Notification and Assessment Scheme (NICNAS). Section 4 of the Regulations specifies that the amendments will update the fees and charges for the 2019-20 financial year in line with wage price and consumer price pressures. This includes an increase of 2.3 per cent in the registration fee across all levels and a 1.3 per cent increase in the core registration charge for levels B to D. The changes are designed to ensure that the full costs of NICNAS activities are recovered from the industry and to fund the preparatory work required for the Australian Industrial Chemicals Introduction Scheme (AICIS), which is set to commence on 1 July 2020. Entities and individuals governed by the Act must comply with the new fee structures outlined in the Regulations. This includes chargeable persons who introduce industrial chemicals above a value of $100,000 per annum and need to pay the registration charge. Notifiers of new industrial chemicals and holders of confidence must also be aware of the updated fees for NICNAS services. The Regulations require these parties to adjust their payment schedules to align with the new fees. The Regulations do not specify any new offences or penalties for non-compliance; however, failure to pay the prescribed fees and charges may result in consequences under the Industrial Chemicals (Notification and Assessment) Act 1989. This could potentially include delays in the notification and assessment process, which might affect the introduction and distribution of industrial chemicals in Australia. Additionally, ongoing non-compliance could lead to administrative actions or legal proceedings under the relevant provisions of the Act.

Legal classification tags

Area of Law
Environmental Law
Instrument
Regulation
Concepts
Definitions & Interpretation
Fees and Charges
Regulatory Standards

Interactions

Authorises

All Versions

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.