Primary Industries (Excise) Levies Amendment Regulations 2000 (No. 5) 2000 No. 320
EXPLANATORY STATEMENT
STATUTORY RULES 2000 No. 320
Issued by Authority of the Parliamentary Secretary to the Minister for Agriculture, Fisheries and Forestry
Primary Industries (Excise) Levies Act 1999
Primary Industries (Excise) Levies Amendment Regulations 2000 (No. 5)
Section 8 of the Primary Industries (Excise) Levies Act 1999 (Excise Levies Act) provides that the Governor-General may make regulations prescribing matters required or permitted to be prescribed by the Act, or necessary or convenient to be prescribed for carrying out or giving effect to the Act.
The Regulations amended the Primary Industries (Excise) Levies Regulations 1999 (the Principal Regulations) to:
i) vary the levy rate components in relation to lot-fed cattle;
ii) alter levy rates in relation to meat chicken;
iii) impose a levy on kangaroo meat for human consumption, for research and development; and
iv) migrate certain provisions from regulations to be repealed.
The exercise of the power under section 8 of the Act to make regulations for the purposes of Schedules 3, 19 and 27 must be done in accordance with conditions specified in those Schedules.
Clause 8 of Schedule 3 (relating to lot-fed cattle) to the Act provides that if a declaration is in force under subclause 8(1), then, before the Governor-General makes regulations for the purposes of the paragraph to which the regulation relates, the Minister must take into consideration any relevant recommendation made to the Minister by the body specified in the declaration in relation to that paragraph. There are no bodies declared under subclause 8(1) of Schedule 3 to the Act.
Subclause 5(2) of Schedule 19 (relating to meat chickens) to the Act provides that before the Governor-General makes a regulation prescribing an amount for the purposes of paragraph 3(b) of Schedule 19, the Minister must take into account any relevant recommendation made to the Minister by:
(a) the Australian Chicken Meat Federation Incorporated (ACMF); or
(b) if a declaration under subclause 5(3) of Schedule 19 to the Act is in force, the body specified in the declaration.
[There are no declarations in force under subclause 5(3) of Schedule 19 to the Act.]
Paragraph 3(b) of Schedule 19 to the Act identifies the amounts of levy that, under the Australian Animal Health Council (Live-stock Industries) Funding Act 1996, are destined for the Australian Animal Health Council (AAHC).
Subclause 5(2) further provides that the regulations must not prescribe an amount greater than the amount last recommended to the Minister by the Australian Chicken Meat Federation Incorporated or the body specified in the declaration as the case requires.
Schedule 27 (Miscellaneous) provides that if there is a designated body in relation to a particular product, then before the Governor-General makes regulations in relation to that product, the Minister must take into account any relevant recommendation made to the Minister by that body. There is no designated body in relation to kangaroo meat intended for human consumption.
Variation of levy rates in relation to lot fed cattle
In relation to lot-fed cattle, levy is imposed on each transaction entered into by which the ownership of cattle is transferred from one person to another (subject to certain exceptions). The Regulations increased that component of the levy that is destined for marketing purposes from $1.95 per head to $2.27 per head. The Regulations decreased that component of the levy that is destined for R&D purposes from $0.93 per head to $0.61 per head. The total of the marketing and R&D components will accordingly remain at $1.54. The alteration in marketing and R&D apportionment was consistent with a request from the Australian Lot Feeders' Association.
Alteration of levy rates in relation to meat chicken
In relation to meat chickens, the Regulations altered the levy rate, for the purposes of paragraph 3(b) of Schedule 19, used to fund the Australian Animal Health Council, from 0.0132 cents per meat chicken to 0.0194 cents per meat chicken. Pursuant to subclause 5(2) of Schedule 19, the Minister had considered a recommendation by the ACMF for an increase in levy rate in order to meet the cost of the increased annual membership fee of Australian Animal Health Council. The levy rate is consistent with that recommendation.
There was no change in the levy prescribed for the purpose of paragraph 3(a) of Schedule 19 of the Act.
Imposition of a levy on kangaroo meat for human consumption
Schedule 27 to the Act essentially allows for the imposition of levies on primary industry commodities that are not already specified in the Act.
The Regulations imposed an R&D levy for the kangaroo meat for human consumption industry. The R&D levy of 3.5 cents per carcase, was required by industry as a source of funding for R&D projects. The previous voluntary "levy" raised insufficient funds for R&D purposes.
There was a contemporaneous reduction, under separate regulations, in the National Residue Survey levy in relation to the kangaroo meat for human consumption industry. The reduction was 3.5 cents per carcase. Accordingly there was no change in the previous overall levy rate of 4 cents per carcase.
Migration of regulations under the repealed Laying Chicken Levy Act 1988 and the repealed Meat Chicken Levy Act 1969 to the Principal Regulations
The Regulations also served to migrate the relevant provisions of regulations made under the repealed Laying Chicken Levy Act 1988 and the repealed Meat Chicken Levy Act 1969 to Schedule 16 and Schedule 19 respectively of the Principal Regulations. Regulations made under the Laying Chicken Levy Act 1988 and the Meat Chicken Levy Act 1969 had remained in force by virtue of clause 7 of Schedule 16 to the Act and clause 6 of Schedule 19 to the Act respectively. Regulations made under the Laying Chicken Levy Act 1988 and the Meat Chicken Levy Act 1969 will be repealed under separate regulations. The date of effect of that repeal will be the same date as the commencement of the Regulations.
The Regulations commence on 1 January 2001.
Details of the Regulations are in the Attachment.
ATTACHMENT
PRIMARY INDUSTRIES (EXCISE) LEVIES AMENDMENT REGULATIONS 2000 (NO. 5)
Regulation 1 gives the name of the Regulations as the Primary Industries (Excise) Levies Amendment Regulations 2000 (No. 5)
Regulation 2 provides for the Regulations to commence on 1 January 2001.
Regulation 3 states that Schedule 1 amends the Primary Industries (Excise) Levies Regulations 1999.
SCHEDULE 1 - AMENDMENTS
Item 1 omits $1.95 from Schedule 3, subclause 2 (1), and inserts $2.27.
Item 2 omits $0.93 from Schedule 3, subclause 2 (2), and inserts $0.61.
Item 3 inserts Clause 1 into Schedule 16 of the Primary Industries (Excise) Levies Regulations 1999 relating to the rate of levy on Laying Chickens
Item 4 inserts Clause 1 into Schedule 19 of the Primary Industries (Excise) Levies Regulations 1999 setting altered rates of levy on Meat Chickens in respect of the AAHC component of the levy.
Item 5 inserts after Schedule 26, new Schedule 27 into the Primary Industries (Excise) Levies Regulations 1999. Schedule 27 will comprise one part, that is Part 1 Kangaroos, in turn comprising 4 clauses as follows
Clause 1 provides for a definition of the term "kangaroo".
Clause 2 provides for imposition of the levy and the circumstances regarding the imposition of that levy. That is, the levy is imposed on the processing at a processing establishment of kangaroos intended for human consumption, provided that the processing occurs after the commencement of the Schedule.
Clause 3 sets the operative rate of the levy specified in Part 1 of Schedule 27. That operative rate will be 3.5 cents per carcase.
Clause 4 provides that the levy imposed by Part 1 of Schedule 27 will be paid by the producer of the kangaroos.