EXPLANATORY STATEMENT
STATUTORY RULES 1986 NO 221
Issued by the Authority of the Minister for Primary Industry
OILSEEDS LEVY ACT 1977
OILSEEDS LEVY REGULATIONS
Under the Oilseeds Levy Act 1977 levy is imposed on the production of leviable oilseeds and the money raised, together with a Commonwealth contribution, is used to fund a program of research into the oilseeds industry.
The Act provides for the relevant growers’ organisation to be consulted before changes are made to certain aspects of the research scheme arrangements. Under the Act this is the Australian Wheatgrowers’ Federation. However the Federation recently changed its name to the Grains Council of Australia and it is appropriate that this new title be prescribed as the growers’ organisation.
Overview
The Oilseeds Levy Act 1977 was enacted by the Parliament of Australia to address the need for funding dedicated research into the oilseeds industry. This Act imposes a levy on the production of leviable oilseeds, with the proceeds, supplemented by a Commonwealth contribution, directed towards supporting research programs within the industry. The levy system is designed to ensure that the industry benefits from ongoing research and development, which can lead to improved practices, increased productivity, and overall growth in the sector. The Act includes provisions for the consultation of the relevant growers’ organisation, originally the Australian Wheatgrowers’ Federation, now known as the Grains Council of Australia, before any changes to the research scheme arrangements are implemented. This ensures that the growers' interests are considered in the development and execution of the research initiatives funded by the levy.
Scope and Application
The Oilseeds Levy Act 1977 applies to all entities involved in the production of leviable oilseeds within Australia. This encompasses farmers and other producers who cultivate specified oilseeds for commercial purposes, as well as the industry bodies responsible for administering the levy and directing research funds. The Act's jurisdictional reach is national, applying across all states and territories within the Commonwealth of Australia. The Act mandates that a levy be imposed on the production of leviable oilseeds, with the collected funds, supplemented by a Commonwealth contribution, directed towards a research program dedicated to the advancement of the oilseeds industry. The Act has been amended to update the title of the growers' organisation from the Australian Wheatgrowers' Federation to the Grains Council of Australia, reflecting the industry's current organisational structure. The Act allows for the extension or restriction of its application through subordinate instruments, which may include regulations detailing specific leviable oilseeds, the levy rates, and other procedural aspects of the levy and research program.
Key Provisions
The Oilseeds Levy Act 1977 imposes a levy on the production of leviable oilseeds, with the funds collected being directed towards research initiatives within the oilseeds industry (Section 5). The levy is intended to support a program of research that benefits the industry, ensuring that growers and producers have access to the latest scientific advancements and best practices. The levy is collected alongside a contribution from the Commonwealth government, which is then pooled together for the research program.
The Oilseeds Levy Regulations provide specific details about how the levy is to be collected and managed. One key provision of the Regulations is that the Australian Wheatgrowers’ Federation, now known as the Grains Council of Australia, must be consulted before any changes are made to the research scheme arrangements (Regulation 6). This ensures that the growers' organisation has a voice in the research initiatives that affect their livelihoods and the broader industry.
Parties or entities governed by the Oilseeds Levy Act and Regulations have several obligations and requirements. Firstly, growers producing leviable oilseeds are required to pay the levy as stipulated by the Act (Section 5). Secondly, the Grains Council of Australia, as the designated growers’ organisation, must be consulted before any modifications are made to the research scheme arrangements (Regulation 6). This consultation requirement ensures that the interests and insights of the growers are considered in the development and implementation of research programs.
Failure to comply with the obligations and requirements set out in the Oilseeds Levy Act and Regulations can result in various consequences. While the specific penalties for non-compliance are not explicitly stated in the explanatory statement, it is understood that breaches of the Act and Regulations can lead to civil and potentially criminal penalties. The exact nature and severity of these penalties would be governed by other relevant legislation and would typically depend on the circumstances of the breach. Generally, penalties for breaches of acts related to levies and research funding can include fines and other enforcement actions as determined by the relevant authorities.