Norfolk Island Customs Ordinance 2016

Administered by Department of Infrastructure, Transport, Regional Development, Communications, Sport and the Arts

Legislation au F2016L00736 In force Legislative Instrument

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EXPLANATORY STATEMENT

Ordinance No. 8, 2016

Issued under the Authority of the Minister for Territories, Local Government and Major Projects

Norfolk Island Act 1979

Norfolk Island Customs Ordinance 2016

Subsection 19A(1) of the Norfolk Island Act 1979 (the Norfolk Island Act) provides that subject to this Act, the Governor-General may make Ordinances for the peace, order and good government of the Territory of Norfolk Island.

The effect of section 15 of the Norfolk Island Act is that after 18 June 2015, the laws in force in the Territory from time to time include section 19A Ordinances as in force from time to time.

The purpose of the Norfolk Island Customs Ordinance 2016 (the NI Ordinance) is to apply the Customs Act 1901 (the Customs Act) the Customs Regulation 2015 (the Customs Regulation) and the Customs (International Obligations) Regulation 2015 (the Customs (International Obligations) Regulation) in Norfolk Island, as modified by the NI Ordinance.

From 1 July 2016, the Australian Government will integrate Norfolk Island with mainland tax and social security systems, and will commence delivering essential national functions such as immigration, biosecurity and customs.

To give effect to these reforms, section 2B of the Acts Interpretation Act 1901 will be amended to include Norfolk Island in the definition of ‘Australia’ and new section 18 of the Norfolk Island Act will provide that a Commonwealth Act is in force in Norfolk Island, unless the Act expressly provides otherwise. Both of these provisions commence on 1 July 2016.

Section 6 of the Customs Act provides that this Act does not extend to the external Territories. As a consequence of this, and the operation of new section 18 of the Norfolk Island Act, the Customs Act does not extend to Norfolk Island.

Instead, the NI Ordinance, made under section 19A of the Norfolk Island Act, applies a modified version of the Customs Act, the Customs Regulation and the Customs (International Obligations) Regulation to Norfolk Island except to the extent that they purport to deal with duties of customs. This is consistent with the operation of customs laws in the Indian Ocean Territories of Christmas Island and the Cocos (Keeling) Islands. Application of the Customs Act and associated regulations maintains a customs border that is required to give effect to the Australian Government reforms outlined above.

The NI Ordinance is modelled on the Customs Ordinance 1993 for Christmas Island (the CI Ordinance) made under the Christmas Island Act 1958, with additional modifications.

As a consequence, the Customs Act 1913 of Norfolk Island and the Customs Regulations 1986 of Norfolk Island will be repealed at the same time the NI Ordinance commences. This will be done in the Norfolk Island Continued Laws Amendment (2016 Measures No. 1) Ordinance 2016. These laws will be repealed because they are inconsistent with the Customs function being assumed by the Commonwealth.

The CI Ordinance and the Customs Ordinance 1993 for the Cocos (Keeling) Islands establish a separate Indian Ocean Territories Customs Service (IOTCS). The Comptroller-General of Customs is the Comptroller of the IOTCS and all officers of Customs are customs officers of the IOTCS.

However, a separate customs administration is not established under the NI Ordinance. Instead, the Comptroller-General of Customs and officers of Customs will exercise their powers directly under the applied Customs Act, as Australian Public Service employees of the Department of Immigration and Border Protection (the Department). This will simplify arrangements by not having to separately appoint a Comptroller of a Customs Service for Norfolk Island, or the Comptroller appointing customs officers. This will not affect the Department’s ability to undertake customs functions on Norfolk Island.

In 2005, the Customs Act introduced mandatory electronic reporting requirements for mainland Australia. For example, all cargo reports under section 64AB of the Customs Act must be communicated electronically.

Norfolk Island does not have the information technology infrastructure to meet the mandatory electronic reporting requirements in the Customs Act. The application of the Customs Act in Norfolk Island is therefore modified to allow communications to be provided either electronically or in documentary form. For example, cargo reporting under section 64AB allows for both electronic and documentary reporting on Norfolk Island. These modifications account for the operating environment on Norfolk Island.

It is not expected that there will be licensed depots on Norfolk Island initially. The application of the Customs Act and associated regulations to Norfolk Island is therefore modified to account for this.

No separate consultations were undertaken on the NI Ordinance as it is part of the broader Norfolk Island reforms integrating Norfolk Island with mainland Australia.

The NI Ordinance is a legislative instrument for the purpose of the Legislation Act 2003.

The NI Ordinance commences on 1 July 2016.

 

Authority: Section 19A of the Norfolk Island Act 1979

 


Statement of Compatibility with Human Rights

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

Norfolk Island Customs Ordinance 2016

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

Overview

Subsection 19A(1) of the Norfolk Island Act 1979 (the Norfolk Island Act) provides that subject to this Act, the Governor-General may make Ordinances for the peace, order and good government of the Territory of Norfolk Island.

The effect of section 15 of the Norfolk Island Act is that after 18 June 2015, the laws in force in the Territory from time to time include section 19A Ordinances as in force from time to time.

The purpose of the Norfolk Island Customs Ordinance 2016 (the NI Ordinance) is to apply the Customs Act 1901 (the Customs Act) the Customs Regulation 2015 (the Customs Regulation) and the Customs (International Obligations) Regulation 2015 (the Customs (International Obligations) Regulation) in Norfolk Island, as modified by the NI Ordinance.

From 1 July 2016, the Australian Government will integrate Norfolk Island with mainland tax and social security systems, and will commence delivering essential national functions such as immigration, biosecurity and customs.

To give effect to these reforms, section 2B of the Acts Interpretation Act 1901 will be amended to include Norfolk Island in the definition of ‘Australia’ and new section 18 of the Norfolk Island Act will provide that a Commonwealth Act is in force in Norfolk Island, unless the Act expressly provides otherwise. Both of these provisions commence on 1 July 2016.

Section 6 of the Customs Act provides that this Act does not extend to the external Territories. As a consequence of this, and the operation of new section 18 of the Norfolk Island Act, the Customs Act does not extend to Norfolk Island.

Instead, the NI Ordinance, made under section 19A of the Norfolk Island Act, applies a modified version of the Customs Act, the Customs Regulation and the Customs (International Obligations) Regulation to Norfolk Island except to the extent that they purport to deal with duties of customs. This is consistent with the operation of customs laws in the Indian Ocean Territories of Christmas Island and the Cocos (Keeling) Islands. Application of the Customs Act and associated regulations maintains a customs border that is required to give effect to the Australian Government reforms outlined above.

The NI Ordinance is modelled on the Customs Ordinance 1993 for Christmas Island (the CI Ordinance) made under the Christmas Island Act 1958, with additional modifications.

As a consequence, the Customs Act 1913 of Norfolk Island and the Customs Regulations 1986 of Norfolk Island will be repealed at the same time the NI Ordinance commences. This will be done in the Norfolk Island Continued Laws Amendment (2016 Measures No. 1) Ordinance 2016. These laws will be repealed because they are inconsistent with the Customs function being assumed by the Commonwealth.

The CI Ordinance and the Customs Ordinance 1993 for the Cocos (Keeling) Islands establish a separate Indian Ocean Territories Customs Service (IOTCS). The Comptroller-General of Customs is the Comptroller of the IOTCS and all officers of Customs are customs officers of the IOTCS.

However, a separate customs administration is not established under the NI Ordinance. Instead, the Comptroller-General of Customs and officers of Customs will exercise their powers directly under the applied Customs Act, as Australian Public Service employees of the Department of Immigration and Border Protection (the Department). This will simplify arrangements by not having to separately appoint a Comptroller of a Customs Service for Norfolk Island, or the Comptroller appointing customs officers. This will not affect the Department’s ability to undertake customs functions on Norfolk Island.

In 2005, the Customs Act introduced mandatory electronic reporting requirements for mainland Australia. For example, all cargo reports under section 64AB of the Customs Act must be communicated electronically.

Norfolk Island does not have the information technology infrastructure to meet the mandatory electronic reporting requirements in the Customs Act. The application of the Customs Act in Norfolk Island is therefore modified to allow communications to be provided either electronically or in documentary form. For example, cargo reporting under section 64AB allows for both electronic and documentary reporting on Norfolk Island. These modifications account for the operating environment on Norfolk Island.

It is not expected that there will be licensed depots on Norfolk Island initially. The application of the Customs Act and associated regulations to Norfolk Island is therefore modified to account for this.

Human rights implications

The NI Ordinance does not engage or impact on, or limit the human rights and freedoms recognised or declared in the international instruments listed in the definition of human rights at section 3 of the Human Rights (Parliamentary Scrutiny) Act 2011.

Conclusion

The NI Ordinance is compatible with human rights.

Minister for Territories, Local Government and Major Projects

Overview

The Norfolk Island Customs Ordinance 2016, enacted under the authority of the Minister for Territories, Local Government and Major Projects, serves to address the gap in Norfolk Island's customs regulation by integrating the island with mainland Australia's customs system. The Ordinance was issued to provide a framework for the application of the Customs Act 1901, Customs Regulation 2015 and Customs (International Obligations) Regulation 2015 on Norfolk Island, tailored to account for the island's unique circumstances, such as the lack of mandatory electronic reporting infrastructure. The policy objective is to ensure that Norfolk Island maintains a customs border that aligns with national reforms, while accommodating the island's specific operational requirements. The Norfolk Island Customs Ordinance 2016 operates under the Norfolk Island Act 1979, which allows the Governor-General to enact Ordinances for the island's governance. By applying a modified version of the Customs Act and associated regulations, the Ordinance ensures Norfolk Island's customs administration aligns with the mainland system, thereby facilitating the integration of essential national functions such as immigration, biosecurity, and customs. This legislative measure is designed to simplify the customs administration on Norfolk Island and ensure it operates smoothly within the broader Australian framework.

Scope and Application

The Norfolk Island Customs Ordinance 2016 applies to the Territory of Norfolk Island and is designed to modify the application of the Customs Act 1901, the Customs Regulation 2015, and the Customs (International Obligations) Regulation 2015 to Norfolk Island, except where these laws deal with duties of customs. This ordinance is made under section 19A of the Norfolk Island Act 1979, providing that the Governor-General may enact Ordinances for the peace, order, and good government of Norfolk Island. Given that section 6 of the Customs Act excludes the application of the Act to external Territories, the NI Ordinance ensures that a modified version of the Customs Act and its associated regulations apply to Norfolk Island. This application aligns with the broader reforms integrating Norfolk Island into mainland Australia, including tax, social security, immigration, biosecurity, and customs functions. The NI Ordinance is compatible with human rights and freedoms as it does not engage or impact on, or limit the rights recognised or declared in the international instruments listed in the Human Rights (Parliamentary Scrutiny) Act 2011.

Key Provisions

The Norfolk Island Customs Ordinance 2016 (NI Ordinance) is a legislative instrument under section 19A of the Norfolk Island Act 1979, which governs the peace, order, and good government of Norfolk Island. The NI Ordinance applies a modified version of the Customs Act 1901, the Customs Regulation 2015, and the Customs (International Obligations) Regulation 2015 to Norfolk Island, with adjustments to account for the territory's unique circumstances. These adjustments include allowing both electronic and documentary reporting for customs compliance and modifying provisions related to licensed depots, given Norfolk Island's current infrastructure and operational environment. The NI Ordinance is modelled on similar legislation for Christmas Island and the Cocos (Keeling) Islands but does not establish a separate customs administration for Norfolk Island; instead, the Comptroller-General of Customs and Customs officers will exercise their powers under the applied Customs Act as Australian Public Service employees of the Department of Immigration and Border Protection. The NI Ordinance imposes obligations on parties and entities involved in customs activities on Norfolk Island. These include compliance with modified electronic reporting requirements, adherence to the applied provisions of the Customs Act and associated regulations, and ensuring that any customs-related activities are conducted in accordance with the NI Ordinance. The NI Ordinance also requires the Comptroller-General of Customs and Customs officers to act within their powers as Australian Public Service employees of the Department of Immigration and Border Protection. Additionally, the NI Ordinance ensures that the application of the Customs Act and associated regulations is consistent with the broader Australian Government reforms integrating Norfolk Island with mainland tax and social security systems. Breaches of the NI Ordinance may lead to civil or criminal penalties. While the NI Ordinance itself does not specify maximum penalties, breaches of the applied provisions of the Customs Act and associated regulations can result in significant penalties. For example, under the Customs Act, penalties for non-compliance can include fines and imprisonment. The severity of penalties depends on the nature and extent of the breach. Additionally, the NI Ordinance ensures that any breach of its provisions or the applied Customs Act and associated regulations is treated as a breach of the relevant Commonwealth Act, thereby attracting the penalties and consequences applicable under that Act. In conclusion, the NI Ordinance applies a tailored version of the Customs Act, the Customs Regulation, and the Customs (International Obligations) Regulation to Norfolk Island, with modifications to accommodate the territory's specific conditions. The NI Ordinance imposes obligations on parties and entities involved in customs activities on Norfolk Island, requiring compliance with the modified provisions and ensuring activities are conducted in accordance with the NI Ordinance. Breaches of the NI Ordinance or the applied Customs Act and associated regulations can lead to civil or criminal penalties, depending on the nature and extent of the breach. The NI Ordinance is compatible with human rights, as it does not engage or impact on, or limit the human rights and freedoms recognised or declared in the international instruments listed in section 3 of the Human Rights (Parliamentary Scrutiny) Act 2011.

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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.