EXPLANATORY STATEMENT
Consumer Protection Notice No. 9 2008
Issued by the Authority of the Minister for Competition Policy and Consumer Affairs
Trade Practices Act 1974
Consumer Product Safety Standard – Vehicle Support Stands
Subsection 65E(1) of the Trade Practices Act 1974 (the Act) provides that the Minister may, by notice in writing, declare that, in respect of goods of a kind specified in the notice, a particular standard, or a particular part of a standard, prepared or approved by Standards Australia, with additions or variations specified in the notice, is a consumer product safety standard for the purposes of section 65C.
Paragraph 65C(1) of the Act provides that a corporation shall not, in trade or commerce, supply goods that are intended to be used, or are of a kind likely to be used, by a consumer, if the goods are of a kind in respect of which there is a consumer product safety standard and they do not comply with the standard.
This instrument (Consumer Protection Notice No. 9 2008) revokes the current Consumer Product Safety Standard for Vehicle Support Stands (Consumer Protection Notice No. 7 of 1997) and declares the Australian/New Zealand Standards for Vehicle Support Stands (AS/NZS 2538:1995 and AS/NZS 2538:2004), as varied, to be a Consumer Product Safety Standard for the purposes of section 65C. The purpose of the safety standard is to ensure that vehicle support stands have key safety features that address the product’s known safety hazards and so reduce the associated risk of injury.
The Australian/New Zealand Standard specifies safety requirements relating to the design, construction, and performance of vehicle support stands, together with instructions and warnings for their use.
The Consumer Product Safety Standard adopts only those parts of the Australian/New Zealand Standard considered necessary to address the critical safety hazards of the product, and comprises requirements that include performance requirements, markings and directions for safe use, and construction requirements. Clauses of the Australian/New Zealand Standard that are not considered primary safety requirements have not been included in the Consumer Product Safety Standard.
A Regulation Impact Statement (RIS) for this Consumer Product Safety Standard is at Attachment 1. This mandatory standard has been reviewed concurrently with the mandatory standard for trolley jacks because they relate to products used together in vehicle maintenance. The RIS identifies the product safety issues and considers the options for addressing those issues. The case is presented for updating the mandatory safety standards for both vehicle support stands and trolley jacks, and the rationale for the content of the new standards is explained.
A draft RIS was circulated for consideration by interested parties including manufacturers and suppliers of vehicle support stands, State and Territory Fair Trading/Consumer Affairs agencies, consumer groups and testing bodies. Comment received supported the proposed update of the mandatory standard and supported the variations from the voluntary Australian/New Zealand Standard. Consultation proceedings are reported in the RIS.
This Consumer Product Safety Standard is a legal instrument for the purposes of the Legislative Instruments Act 2003.
The Consumer Product Safety Standard commences on the day after it is registered on the Federal Register of Legislative Instruments, but in order to allow a reasonable period of time for suppliers to ensure that all stock complies with the new safety standard, a choice between the current and the new product safety standards is available until 31 July 2009. From 1 August 2009 only the new Consumer Product Safety Standard for Vehicle Support Stands will apply.
Overview
The Trade Practices Act 1974, enacted by the Australian Parliament, was designed to regulate anti-competitive behaviour and protect consumers from potentially unsafe products. In response to identified safety issues with vehicle support stands, Consumer Protection Notice No. 9 2008 was introduced by the Minister for Competition Policy and Consumer Affairs under subsection 65E(1) of the Trade Practices Act. This notice revokes the previous Consumer Product Safety Standard for Vehicle Support Stands (Consumer Protection Notice No. 7 of 1997) and establishes the Australian/New Zealand Standards for Vehicle Support Stands (AS/NZS 2538:1995 and AS/NZS 2538:2004), as varied, as the new Consumer Product Safety Standard. The policy objective of this safety standard is to ensure vehicle support stands incorporate key safety features that mitigate known safety hazards and reduce the risk of injury, by specifying requirements for design, construction, performance, and safe use instructions.
Scope and Application
The Consumer Protection Notice No. 9 2008, issued under the Trade Practices Act 1974, aims to enhance safety standards for vehicle support stands used by consumers, thereby reducing the risk of injury associated with their use. This notice revokes the existing Consumer Product Safety Standard for Vehicle Support Stands (Consumer Protection Notice No. 7 of 1997) and establishes the Australian/New Zealand Standards for Vehicle Support Stands (AS/NZS 2538:1995 and AS/NZS 2538:2004), as varied, as the new Consumer Product Safety Standard. This standard applies to corporations that supply vehicle support stands intended for consumer use in trade or commerce, ensuring compliance with the specified safety requirements. These requirements encompass performance, markings, directions for safe use, and construction criteria. Notably, the standard selectively adopts only those parts of the Australian/New Zealand Standard that address critical safety hazards, excluding non-essential clauses. The new standard commenced on the day following its registration on the Federal Register of Legislative Instruments, with a transition period until 31 July 2009 to allow suppliers to align their stock with the new requirements. From 1 August 2009, only the updated Consumer Product Safety Standard for Vehicle Support Stands will be applicable.
Key Provisions
The Consumer Protection Notice No. 9 2008, under the Trade Practices Act 1974, revokes the existing consumer product safety standard for vehicle support stands, which was established under Consumer Protection Notice No. 7 of 1997. It declares the Australian/New Zealand Standards for Vehicle Support Stands (AS/NZS 2538:1995 and AS/NZS 2538:2004), with specified variations, as the new Consumer Product Safety Standard (section 1). This safety standard is designed to ensure vehicle support stands possess essential safety features that mitigate known hazards, thereby reducing the risk of injury. The standard includes safety requirements for the design, construction, and performance of vehicle support stands, along with instructions and warnings for their safe use (section 2).
The Consumer Product Safety Standard incorporates only those parts of the Australian/New Zealand Standard deemed necessary for addressing critical safety hazards. It includes performance requirements, markings, directions for safe use, and construction requirements. Clauses from the Australian/New Zealand Standard that do not pertain to primary safety requirements have been excluded from the Consumer Product Safety Standard (section 3). This legislative instrument is intended to improve consumer safety by ensuring that vehicle support stands meet specific safety criteria.
Corporations are obligated to supply vehicle support stands that comply with the declared Consumer Product Safety Standard if the stands are intended for consumer use or are of a kind likely to be used by consumers. Failure to comply with the safety standard constitutes a breach of subsection 65C(1) of the Trade Practices Act 1974, which prohibits the supply of non-compliant goods in trade or commerce (section 4). Suppliers must ensure that their products adhere to the new standard to avoid legal repercussions.
Breaching the requirements of the Consumer Product Safety Standard can result in legal consequences for corporations. Under the Trade Practices Act 1974, supplying non-compliant vehicle support stands in trade or commerce is an offence, with potential penalties including fines and other civil or criminal sanctions as prescribed by the Act (section 5). The specific penalties are not detailed in the Consumer Protection Notice No. 9 2008 but are governed by the broader provisions of the Trade Practices Act 1974. Compliance with the new standard is mandatory from 1 August 2009, although suppliers are given a transition period until 31 July 2009 to ensure all stock complies with the updated safety requirements.