ASSISTANT SECRETARY, ENERGY SECURITY BRANCH
DEPARTMENT OF THE ENVIRONMENT AND ENERGY
NOTICE UNDER SECTION 17E (3) OF THE FUEL QUALITY STANDARDS ACT 2000 CONCERNING A DECISION TO VARY APPROVALS GRANTED UNDER SECTION 13 OF THAT ACT
I, Tim Wyndham, A/g Assistant Secretary, Energy Security Branch, delegate of the Minister for the Environment, provide the following information concerning my decision to vary approvals granted under section 13 of the Fuel Quality Standards Act 2000.
Name of approval holder
International Motorsport Solutions Pty Ltd
Details of the variation
On 1 December 2015 and 10 December 2105 approvals were granted to International Motorsport Solutions Pty Ltd to vary the Fuel Standard (Petrol) Determination 2001 to permit the supply of specialist leaded and unleaded racing fuel, respectively, as specified in the approval. International Motorsport Solutions Pty Ltd has since applied to vary the approval by adding the following regulated persons:
Name | ABN | Street Address |
Cessnock KTM Pty Ltd T/A Hunter Valley Motorsports | 60 161 257 254 | 387 New England Highway RUTHERFORD NSW 2320 |
Petrogas Pty Ltd | 64 006 960 372 | 58-66 Ajax Road ALTONA VIC 3018 |
Petrogas Pty Ltd | 64 006 960 372 | 46 Plumpton Road HORSHAM VIC 3400 |
|
Period of operation
The variation comes into force on the date of signing and remains in force until 30 June 2019.
Summary of reasons for the variation
I grant the variation as provided for in section 15 of the Act for the following reasons:
a) The protection of the environment
This variation does not amend any of the conditions imposed on the original approval and does not create any additional impacts on the environment. Adding or removing regulated persons to the approval is not expected to significantly alter the volume of fuel to be supplied.
Specialist racing fuels are supplied to regulated persons in small quantities and they must comply with any conditions imposed on the original approval. Additionally, the fuel is expensive compared with normal fuels available to the public and the price provides a disincentive for any waste, misuse or spillage.
b) The protection of occupational and public health and safety
Exposure to certain substances in specialist racing fuel and vehicle exhaust can be toxic. A variety of negative health effects can occur, depending upon the substance, the level and duration of exposure. At venues that use specialist racing fuels, exposure may extend to drivers, team members, race officals and spectators.
All regulated persons must comply with the conditions imposed on the original approval, including supplying the fuel in sealed drums and using safe handling procedures. This minor change to the number of regulated persons does not impact on occupational and public health and safety.
c) The interests of consumers
Specialist racing fuel meets the needs of a niche market for specific classes of motor and water sport. The consumers using these fuels seek the performance and operability characteristics provided by these fuels. This minor change to the number of regulated persons does not impact on the interests of consumers.
d) The impact on economic and regional development
Motor or water sport events provide an ongoing financial benefit to regional communities. This minor change to the number of regulated persons does not impact on economic and regional development.
The variation is granted subject to the conditions specified in section 17 of the Act.
Tim Wyndham
Acting Assistant Secretary, Energy Security Branch
Department of the Environment and Energy
6 February 2019
Overview
The Fuel Quality Standards Act 2000 was enacted by the Parliament of Australia to regulate the quality of fuel and fuel products supplied in Australia, aiming to protect the environment, public health, and safety. This Act established a framework for setting fuel quality standards and managing approvals for the supply of fuel that does not meet these standards. The Act provides the Minister for the Environment with the authority to grant approvals for the supply of fuel that does not comply with the prescribed standards, subject to specific conditions that mitigate any potential environmental and health risks. The policy objective of the Act is to balance the need for high-quality fuel that protects public health and the environment with the practical requirements of certain industries, such as motorsports, that may require specialised fuel formulations. The Act ensures that any variations to approvals, such as adding or removing approved entities, are carefully considered to maintain these protections and objectives.
Scope and Application
The Fuel Quality Standards Act 2000 applies to entities involved in the supply of fuel, specifically those who wish to vary the standards for the supply of petrol, and those who seek to supply specialist racing fuels. This Act falls within the Commonwealth jurisdiction, meaning it is applicable across Australia, including territories. The Act governs the conditions under which approvals can be granted for the supply of fuels that do not conform to standard specifications, such as specialist leaded and unleaded racing fuels. The Act includes provisions for varying these approvals, as demonstrated in the decision to add regulated persons to an existing approval held by International Motorsport Solutions Pty Ltd. The Act does not specify any exclusions or thresholds for approval variations, and its application can be extended through subordinate instruments, such as determinations and regulations. The decision to vary approvals is subject to conditions outlined in the Act, ensuring that environmental, occupational, public health, consumer interests, and economic considerations are adequately addressed.
Key Provisions
The main operative sections of this notice under Section 17E(3) of the Fuel Quality Standards Act 2000 involve the variation of approvals granted under Section 13 of the Act. Specifically, the approval holder, International Motorsport Solutions Pty Ltd, has applied to add three new regulated persons to their existing approval, which permits the supply of specialist leaded and unleaded racing fuel. These additional regulated persons are Cessnock KTM Pty Ltd, T/A Hunter Valley Motorsports, Petrogas Pty Ltd at Ajax Road, Altona, and Petrogas Pty Ltd at Plumpton Road, Horsham. The variation is effective from the date of signing and will remain in force until 30 June 2019.
The obligations and requirements imposed by the Act on the parties it governs are primarily related to the conditions under which the supply of specialist racing fuel can occur. The approval holder must ensure that all regulated persons comply with the conditions imposed on the original approval. These include supplying the fuel in sealed drums and using safe handling procedures to mitigate potential environmental, health, and safety risks. The addition of new regulated persons must not significantly alter the volume of fuel supplied or create additional impacts on the environment or public health and safety.
In terms of offences, penalties, or civil and criminal consequences for breach, the Act does not specify maximum penalties within this notice. However, any breaches of the conditions imposed on the original approval or failure to comply with the conditions specified in Section 17 of the Act could potentially lead to enforcement actions. These actions may include fines, revocation of approvals, or other regulatory sanctions. The specific consequences would depend on the nature and severity of the breach, as well as any relevant provisions within the broader legal framework governing fuel quality standards and environmental protection.