Notice of decision to vary an approval under the Fuel Quality Standards Act 2000 - BP Australia Pty Ltd

Overview

The Fuel Quality Standards Act 2000 was enacted by the Parliament of Australia to regulate the quality of fuel supplied in Australia, aiming to ensure that it meets certain environmental, safety, and consumer protection standards. The Act was introduced to address the need for consistent and high-quality fuel standards across the country, ensuring that the fuel supplied does not negatively impact the environment or consumer safety. This legislation is overseen by the Department of the Environment, which has the authority to grant and vary approvals under the Act, as demonstrated in the decision to vary an approval for BP Australia Pty Ltd concerning the supply of racing fuel. The policy objective behind the Act is to maintain high standards of fuel quality while facilitating economic and regional development, ensuring that changes to the approved entities do not adversely affect these objectives.

Scope and Application

The Fuel Quality Standards Act 2000 applies to entities and individuals involved in the supply of fuel in Australia, specifically those who operate as regulated persons under the Act. The Act provides for the regulation of the quality of fuel supplied in Australia, including the approval of variations to the supply of racing fuel as outlined in the Act. The variation of approval granted to BP Australia Pty Ltd applies to the addition of two and removal of six regulated persons involved in the supply of racing fuel. This variation is effective from the date of signing until 31 December 2016. The decision to vary the approval was made by Kim Farrant, the Assistant Secretary, Assessments (NSW, ACT) and Fuel Branch, Department of the Environment, who is a delegate of the Minister for the Environment. The decision to vary the approval was made on the basis that the volume of fuel supplied is unlikely to change significantly and that there will be no significant additional impact on the environment, safety, or the interests of consumers and economic and regional development. The Act extends to the whole of Australia and applies to all entities and individuals involved in the supply of fuel within the country. However, certain exclusions and exemptions may apply, and these are outlined in the Act. The Act may also be extended or restricted through subordinate instruments.

Key Provisions

The notice provided by Kim Farrant, Assistant Secretary, Assessments (NSW, ACT) and Fuel Branch, Department of the Environment, concerns a decision to vary an approval granted under section 13 of the Fuel Quality Standards Act 2000 (section 17(1)(b)). The approval, initially granted to BP Australia Pty Ltd on 5 December 2014, modifies the Fuel Standard (Petrol) Determination 2001 to allow the supply of racing fuel as specified. BP Australia Pty Ltd subsequently applied for a variation to the approval, seeking to add two regulated persons and remove six others. The variation, effective from the date of signing, remains in force until 31 December 2016. The obligations imposed by this notice pertain to the management of fuel quality standards, specifically the approval process for entities supplying racing fuel. BP Australia Pty Ltd and the newly added regulated persons must comply with the terms of the approval, which includes ensuring that the fuel supplied meets the specified standards and does not negatively impact the environment, consumer interests, or regional economic development. The notice specifies the addition of Ocwen Energy Pty Ltd (trading as Lowes Petroleum Service) and Hi-Tec Oil Traders Pty Ltd (trading as Hi-Tec Racing Fuels) to the list of approved entities, while removing several entities associated with the Nulsen and McWhirter families from the approval. The notice does not explicitly outline specific offences or penalties for breaches of the approval terms. However, any non-compliance with the Fuel Quality Standards Act 2000, including the provisions related to the approval of regulated persons, may result in legal consequences. Penalties for breaches of the Act could include fines or other civil remedies, depending on the nature and severity of the breach. The maximum penalties for breaches of the Act are not detailed in the notice but can be found in the Act itself, which may impose significant fines for non-compliance with fuel quality standards.