Notice Under Section 17A of the Fuel Quality Standards Act 2000 for Variation of the Fuel Quality Standards (Conventional Diesel) Determination 2025 – Viva Energy Australia Pty Ltd (Expiry 31 December 2028)

Overview

The Fuel Quality Standards Act 2000, enacted by the Parliament of Australia, was introduced to regulate the quality of liquid fuels, ensuring they meet environmental, safety, and health standards. This legislation provides the legal framework for setting and enforcing fuel quality standards, thereby protecting public health, safety, and the environment. One of its key policy objectives is to reduce the life-cycle greenhouse gas emissions of fuels, while also supporting the development of the biofuels industry. The Act allows for variations in fuel quality standards, such as the approval for Viva Energy Australia Pty Ltd to supply diesel containing up to 5% biodiesel, under specific conditions that ensure environmental protection, public health safety, and economic benefits. This variation supports the Australian biodiesel industry by facilitating the supply of more sustainable fuel options, ultimately contributing to national environmental goals.

Scope and Application

The Fuel Quality Standards Act 2000, administered by the Department of Climate Change, Energy, the Environment and Water, applies to entities involved in the supply of fuel within Australia, particularly in relation to the quality standards of conventional diesel. This Act governs the standards for fuel quality to ensure environmental protection, safeguard public and occupational health and safety, and promote consumer interests. In this context, the Act applies to Viva Energy Australia Pty Ltd, which has been granted a specific approval to supply diesel-biodiesel blends containing up to 5% biodiesel, referred to as B5. This approval is subject to certain conditions, including the biodiesel content, density, and cetane number of the fuel, and is in force until 31 December 2028. The Act’s application is extended through subordinate instruments, such as the Fuel Quality Standards (Conventional Diesel) Determination 2025, which sets out the specific standards for conventional diesel, and the approval granted under the Act modifies these standards to accommodate the B5 blends. This legislative framework ensures that the supply of modified fuel complies with environmental, health, safety, and consumer protection requirements.

Key Provisions

The key provisions of the notice provided by Paula Svarcas, Head of Division, Gas and Liquid Fuels Division, under section 17D of the Fuel Quality Standards Act 2000, pertain to the variation of an existing approval for Viva Energy Australia Pty Ltd to supply diesel-biodiesel blends (B5). The existing approval (section 13) allows Viva Energy Australia Pty Ltd to supply diesel containing up to 5% biodiesel, which is deemed to comply with the Fuel Quality Standards (Conventional Diesel) Determination 2025 (section 13A). This approval is valid until 31 December 2028. The obligations imposed on Viva Energy Australia Pty Ltd by this Act are primarily centred around the supply of B5 diesel within the specified parameters. The company must ensure that the supplied fuel meets the biodiesel content of up to 5%, a maximum density of 852 kg/m³, and a minimum derived cetane number of 46. This is to ensure that the fuel complies with the Conventional Diesel Standard and does not adversely affect the environment, occupational health and safety, or consumer interests. The company must also adhere to the safety and handling protocols applicable to conventional diesel. Failure to comply with the conditions set out in this approval may lead to civil or criminal consequences. Under the Fuel Quality Standards Act 2000, breaches may result in penalties, including fines and potential criminal charges. The specific maximum penalties are not detailed in the notice but can be found in the relevant sections of the Act. Non-compliance could also lead to the revocation of the approval, cessation of the permitted fuel supply, and other regulatory actions as deemed appropriate by the Department of Climate Change, Energy, the Environment and Water.