Notice of Decision to Vary an Approval under the Fuel Quality Standards Act 2000 for Just Fuel Petroleum Services Pty Ltd

Overview

The Fuel Quality Standards Act 2000 was enacted to regulate the quality of fuel supplied in Australia, addressing issues related to environmental protection, public health and safety, and economic considerations. The Act was designed to mitigate potential negative impacts of fuel quality on the environment, including air and water pollution, and to protect occupational and public health by setting standards for the composition of petrol and other fuels. The Parliament of Australia established this Act to ensure that fuel supplied within Australia meets certain quality standards, balancing these objectives with the needs of various sectors, including the motor sport industry. In granting an approval for a variation of the fuel standard for petrol under this Act, Andrew McNee, the Assistant Secretary of the Environment Protection Branch, delegate of the Minister for the Environment, considered the protection of the environment, the safeguarding of occupational and public health, the interests of consumers, and the impact on economic and regional development. The approval allows the supply of specialist leaded and unleaded racing fuels containing specific parameters to be used in legitimate motor sport activities, subject to certain conditions, ensuring that these activities can continue with minimal environmental and health risks while supporting the economic benefits provided by motor sport events.

Scope and Application

The Fuel Quality Standards Act 2000 governs the quality standards of fuels in Australia, and under section 13 of the Act, the Assistant Secretary of the Environment Protection Branch of the Department of the Environment has the authority to grant approvals for variations to the fuel standards. The notice under section 17A of the Act outlines a specific decision to grant an approval for a variation of the Fuel Standard (Petrol) Determination 2001. This approval applies to Just Fuel Petroleum Service Pty Ltd and is effective from 1 January 2015 for a period of two years. The approval allows specialist leaded and unleaded racing fuels with specified parameters to be considered compliant with the standard for the purpose of legitimate motor sport activities. The approval is subject to conditions outlined in section 17 of the Act and detailed in Annexure 2 of the approval, and it applies to the approval holder and regulated persons listed in Annexure 1 of the instrument. The decision to grant the approval was based on the need to balance environmental protection, occupational and public health and safety, consumer interests, and economic and regional development considerations, ensuring that the use of these fuels in controlled and limited circumstances does not pose an unacceptable risk to the environment or public health.

Key Provisions

The main operative sections of this legislation concern the decision by Andrew McNee, the Assistant Secretary of the Environment Protection Branch, to grant an approval under section 13 of the Fuel Quality Standards Act 2000 for a variation of the Fuel Standard (Petrol) Determination 2001 (sections 13 and 17A). This approval allows Just Fuel Petroleum Service Pty Ltd to supply specialist leaded and unleaded racing fuel for motor sport activities for a period of two years starting from 1 January 2015 (section 13). This approval takes effect under the conditions specified in section 17 of the Act and in Annexure 2 of the approval itself. Under the Act, the obligations imposed on the parties governed include ensuring that the specialist racing fuels are supplied in sealed containers of up to 200 litres and are used in small quantities for motor sport activities, primarily in off-road locations. Safe handling information must be provided with the fuel, and the volume of fuel supplied under the approval is limited, restricting its use to a small number of competitors. The Act also requires the holder of the approval to ensure that the fuel not be used in activities occurring on freshwater lakes and waterways if it contains more than the permitted amount of methyl tertiary-butyl ether (MTBE). Any breach of the conditions of the approval may result in civil or criminal penalties. Specifically, the Fuel Quality Standards Act 2000 provides for a maximum penalty of $13,200 for an individual and $66,000 for a body corporate for each breach of the Act (section 20). Furthermore, the Act provides that any person who contravenes a condition specified in the approval is liable to a penalty of $1,320 for an individual and $6,600 for a body corporate for each occurrence of the contravention (section 17). These penalties are in addition to any other civil or criminal consequences that may apply.