Overview

The Tariff Concessions Revocation Instrument No 21/2009 was enacted to address the issue of tariff concessions on certain imported goods. The Customs Act 1901, under Part XVA, establishes a scheme where Tariff Concession Orders (TCOs) may be made and revoked by the Chief Executive Officer of Customs. This particular revocation was prompted by a request from Boronia Technologies Pty Ltd to revoke TCO 0700604, which pertains to water-cooled chillers. The policy objective is to ensure that tariff concessions are only granted when there are no substitutable goods produced in Australia, thus fostering fair competition and supporting local manufacturing. The revocation took effect from 9 December 2008, as mandated by the provisions in the Customs Act 1901, which require that such revocations be made in accordance with the criteria specified in sections 269SC and 269SD of the Act.

Scope and Application

The Tariff Concessions Revocation Instrument 21/2009 applies to Boronia Technologies Pty Ltd, a producer of substitutable goods in relation to water cooled chillers, and pertains to the revocation of Tariff Concession Order (TCO) 0700604 under the Customs Act 1901. This Act governs the administration of customs and excise duties in Australia and provides for the making and revocation of TCOs by the Chief Executive Officer of Customs. The revocation of TCO 0700604 was necessitated by the CEO's satisfaction that Boronia Technologies Pty Ltd is a producer of substitutable goods and that the CEO would not have made the TCO if the request for revocation had been made on the day the initial application was lodged. The instrument was made on 6 February 2009, and the revocation came into effect from 9 December 2008, despite the prohibition against retrospective legislative instruments as provided by the Legislative Instruments Act 2003. The Act's application is not restricted to any specific industry or geographic area within Australia, but rather it applies nationally across the Commonwealth.

Key Provisions

The Tariff Concessions Revocation Instrument 21/2009, made under section 269SC of the Customs Act 1901, revokes Tariff Concession Order (TCO) 0700604, which pertained to water cooled chillers. This instrument was issued in response to a request from Boronia Technologies Pty Ltd for the revocation of the TCO, which was subsequently revoked by the Chief Executive Officer of Customs (CEO) on 6 February 2009. The revocation took effect from 9 December 2008, the date the revocation request was lodged. The CEO's decision to revoke the TCO was based on the satisfaction that Boronia Technologies Pty Ltd is a producer in Australia of goods that are substitutable to the ones covered by the TCO, and that if the TCO had not been in force on the day the revocation request was lodged, the CEO would not have made the TCO. The Act imposes several obligations on the parties involved. Under section 269SB, a person who claims to be a producer of substitutable goods can request the CEO to revoke a TCO. The CEO, under section 269SC, must make an order revoking the TCO if satisfied that the requester is a producer of substitutable goods and that the CEO would not have made the TCO if the request had been lodged on the day the original application for the TCO was made. Additionally, under section 269SC(1A), the CEO is required to publish a notice in a Gazette as soon as practicable after receiving a request for revocation, including the details of the TCO in question. Failure to comply with the provisions of the Customs Act 1901 can result in various consequences. While the specific offences, penalties, or consequences for breach are not detailed in the explanatory statement, it is implied that breaches of the Act, such as non-compliance with the revocation process or providing false information in a revocation request, could lead to legal actions. Penalties for breaches of the Customs Act could include fines or other sanctions as prescribed by the Act, depending on the nature and severity of the breach. The exact penalties would be determined in accordance with the relevant sections of the Act and any applicable regulations or guidelines.