Explanatory Statement
Statutory Rules 1985 No. 6
Petroleum Retail Marketing Sites Regulations (Amendment)
Issued by Authority of the Minister of State for Industry, Technology and Commerce
The Petroleum Retail Marketing Sites Act 1980 (the Sites Act) was substantially amended by the Petroleum Retail Marketing Sites Amendment Act 1984, which came into operation on 1 January 1985. The amendments made to the Sites Act necessitate consequential amendments to the Sites Act Regulations.
These regulations effect those changes as follows:
(a) regulations 1 and 2 are machinery provisions
(b) regulation 3 repeals two existing regulations and substitutes three new regulations;
(i) Regulation 3 specifies six oil companies for the purposes of the new definition of “prescribed oil company” in sub-section 3(1) of the Act, which is defined to mean a corporation that is specified in the regulations for the purposes of the definition. The six oil companies specified for the purposes of the definition are the six major refiner-marketers in Australia; Ampol-Limited, the British Petroleum Company of Australia Limited, Caltex Oil (Australia) Pty Limited, Esso Australia Limited, Mobil Oil Australia Limited, and Shell Australia Limited.
(ii) Regulation 4 implements the restrictions imposed by Section 10 of the Act on the number of retail sites a prescribed oil company may operate. A quota of permitted retail sites is allocated to each of the six specified oil companies, similar to the quota arrangements in the current Schedule to the Act, with the exception of the figures for the British Petroleum Company of Australia Limited (BP). The quota numbers for that Company include the previous numbers for Amoco Holdings Pty Limited, to reflect the takeover of Amoco by BP on 2 July 1984.
(iii) Regulation 4A specifies the appropriate forms for the purposes of the returns provision of Section 11 of the Act. The forms are set out in Schedule 2 to the regulations. Two new forms have been added and the existing two forms have been amended slightly to reflect the change in the application of the Act from a daily to a monthly basis and the new term for companies subject to the Act, ie prescribed oil company.
(c) regulations 4 and 5 effect changes to the Regulations resulting from the repeal of the Schedule to the Act and the introduction of the two new Schedules to the Regulations specifying the number of retail sites as imposed by Regulation 4 and the forms required for the purposes of Regulation 4A.
Overview
The Petroleum Retail Marketing Sites Regulations (Amendment) Statutory Rules 1985 No. 6 were enacted to address the need for consequential amendments to the Petroleum Retail Marketing Sites Act 1980, following the substantial changes introduced by the Petroleum Retail Marketing Sites Amendment Act 1984. This legislative update was necessary to ensure that the regulatory framework remained aligned with the new statutory provisions. The regulations were issued by authority of the Minister of State for Industry, Technology and Commerce, and the policy objective was to streamline and refine the quota arrangements for major oil companies, ensuring a fair and regulated market environment.
The amendments include the specification of six oil companies as "prescribed oil companies" under the new definition in the Act, the allocation of retail site quotas for these companies, and the modification of forms required for compliance purposes. These regulatory changes reflect the takeover of Amoco by BP and the shift from daily to monthly reporting, thereby maintaining the integrity and effectiveness of the regulatory framework in governing the petroleum retail sector.
Scope and Application
The Petroleum Retail Marketing Sites Regulations (Amendment) Statutory Rules 1985 No. 6, issued under the authority of the Minister of State for Industry, Technology and Commerce, provide the consequential amendments necessary to the Petroleum Retail Marketing Sites Regulations 1985 in light of the substantial amendments made to the Petroleum Retail Marketing Sites Act 1980 by the Petroleum Retail Marketing Sites Amendment Act 1984. These regulations apply to the six major refiner-marketers in Australia: Ampol-Limited, the British Petroleum Company of Australia Limited, Caltex Oil (Australia) Pty Limited, Esso Australia Limited, Mobil Oil Australia Limited, and Shell Australia Limited, which are now defined as "prescribed oil companies" under the Act. The amendments introduced by these regulations are designed to reflect the new quota arrangements for the number of retail sites these companies can operate, and to update the forms required for returns under Section 11 of the Act, reflecting the change from daily to monthly reporting. The regulations also incorporate the new Schedules which specify the number of retail sites permitted for each company and the forms required for reporting purposes.
Key Provisions
The main operative sections of the Petroleum Retail Marketing Sites Regulations (Amendment) are regulation 3, which specifies six oil companies as prescribed oil companies, and regulation 4, which imposes restrictions on the number of retail sites that these companies can operate. Regulation 3 identifies the six major refiner-marketers in Australia—Ampol-Limited, British Petroleum Company of Australia Limited, Caltex Oil (Australia) Pty Limited, Esso Australia Limited, Mobil Oil Australia Limited, and Shell Australia Limited—as prescribed oil companies for the purposes of the Act. Regulation 4 allocates a quota of permitted retail sites to each of these companies, with specific adjustments for British Petroleum Company of Australia Limited to reflect the takeover of Amoco Holdings Pty Limited.
The obligations imposed on the parties governed by the Act include adherence to the specified quota of retail sites and compliance with the forms required for returns under Section 11. The new definition of prescribed oil company means that only these six major companies are subject to the restrictions and requirements set out in the Act. They must ensure that their operations do not exceed the allocated quota of retail sites and must use the appropriate forms specified in Regulation 4A for reporting purposes.
Failure to comply with the provisions of the Act can result in civil or criminal consequences. While the specific penalties are not detailed in the explanatory statement, non-compliance with regulatory quotas and reporting requirements could potentially lead to enforcement actions by the relevant authorities. This might include fines, orders to cease operations at non-compliant sites, or other administrative penalties. The exact nature and severity of these penalties would be determined based on the specific circumstances of each case and under the applicable laws and regulations in place at the time of enforcement.