EXPLANATORY STATEMENT

Issued by authority of the Treasurer

Competition and Consumer Act 2010

MONITORING OF THE PRICES, COSTS AND PROFITS RELATING TO THE SUPPLY OF PETROLEUM PRODUCTS IN THE PETROLEUM INDUSTRY IN AUSTRALIA DIRECTION 2017

Section 95ZE of the Competition and Consumer Act 2010 (the Act) provides that the Minister may give written directions to the Australian Competition and Consumer Commission (ACCC) to monitor prices, costs and profits relating to the supply of goods or services by persons in a specified industry, and to give the Minister reports on the monitoring.  

The legislative instrument (the Direction) gives effect to the Government’s decision that the ACCC monitor and report on the prices, costs and profits relating to the supply of petroleum and related services in the petroleum industry in Australia.

The Direction provides that the ACCC will monitor the price of petroleum products and related services from 20 December 2017 for a period of two years, and provide quarterly reports to the Treasurer.

The Direction is a legislative instrument for the purposes of the Legislation Act 2003.

The Direction was provided to the ACCC by the Treasurer on 20 December 2017.

The ACCC was consulted on the Direction. Public consultation was not considered necessary as the Direction is of a minor or machinery nature and does not substantially alter existing arrangements.

The Direction commences on the day after it is registered on the Federal Register of Legislation.