EXPLANATORY STATEMENT
Select Legislative Instrument 2010 No. 72
Issued by the authority of the Minister for Innovation, Industry, Science and Research
Trans-Tasman Mutual Recognition Act 1997
Trans-Tasman Mutual Recognition (Modification of Act) Regulations 2010 (No. 1)
The Trans-Tasman Mutual Recognition Arrangement (TTMRA) is a non-treaty agreement between the Commonwealth, State and Territory Governments of Australia and the Government of New Zealand, which gives effect to mutual recognition principles relating to the sale of goods and the registration of occupations. In respect of goods, a good that can be sold legally in Australia may be sold in New Zealand and vice versa; in respect of occupations, a person registered to practise an occupation in Australia is entitled to practise the same occupation in New Zealand and vice versa. The Minister for Innovation, Industry, Science and Research (the Minister) is responsible for the goods component of the TTMRA.
The Trans-Tasman Mutual Recognition Act 1997 (the Act) recognises, within Australia, those regulatory standards adopted in New Zealand regarding goods and occupations. However, the Act also provides for circumstances where the mutual recognition principle will not apply; these circumstances are covered by provisions for exclusions, permanent exemptions, special exemptions and temporary exemptions, and are set out at Schedules to the Act.
The purpose of the Regulations is to convert the treatment of the laws prescribed at Schedule 3 to the Act (which provides for special exemptions for laws relating to certain goods) to Schedule 2 to the Act (which sets out legislation which is permanently exempted from the operation of the Act).
Schedule 3 set out special exemptions for laws relating to therapeutic goods; radio communications devices; road vehicles; gas appliances; and hazardous substances, industrial chemicals, and dangerous goods (including certain consumer product safety standards).
Heads of government of participating jurisdictions consider that the conversion of the special exemptions to permanent exemptions will result in significant administrative savings for all participating jurisdictions. The conversion will dispense with the need to make fresh regulations annually to maintain the special exemptions, and it is considered that the Regulations will not prevent continued Trans-Tasman collaboration in the pursuit of regulatory harmonisation or mutual recognition. The attached Regulation Impact Statement was prepared by the Department of the Prime Minister and Cabinet.
Subsection 45 (3) of the Act prescribes that the Governor-General may make regulations amending Schedule 2. Paragraph 45 (5)(a) provides that, if such a regulation relates solely to one or more laws specified or described in Schedule 3 and will not take effect within 5 years after the commencement of section 48, the regulation may be made if at least two-thirds of the then participating jurisdictions have endorsed the regulation.
In accordance with paragraph 45 (5)(a) of the Act, it has been agreed by at least two-thirds of participating jurisdictions to make a Permanent Exemption for the laws prescribed at Schedule 3.
Endorsements of the Regulations have been published in the official gazettes of participating jurisdictions as required under subsection 43(1) of the Act. The making of these Regulations represents endorsement by the Commonwealth as prescribed in subsection 43(2) of the Act.
The Regulations are a legislative instrument for the purposes of the Legislative Instruments Act 2003.
The Regulations commenced on the day after they were registered on the Federal Register of Legislative Instruments.
Overview
The Trans-Tasman Mutual Recognition (Modification of Act) Regulations 2010 (No. 1) were introduced by the Minister for Innovation, Industry, Science and Research to amend the Trans-Tasman Mutual Recognition Act 1997. The Act was designed to facilitate the mutual recognition of regulatory standards between Australia and New Zealand, particularly in relation to the sale of goods and the registration of occupations. However, the Act also included provisions for exclusions, permanent exemptions, special exemptions, and temporary exemptions for certain laws and goods. The Regulations aim to convert the treatment of laws listed in Schedule 3, which previously had special exemptions, to permanent exemptions in Schedule 2. This change is expected to result in administrative savings for all participating jurisdictions by eliminating the need for annual regulation updates.
The policy objective behind these Regulations is to streamline the regulatory framework under the TTMRA, enhancing administrative efficiency while maintaining the integrity of regulatory standards. The conversion of special exemptions to permanent exemptions was endorsed by at least two-thirds of participating jurisdictions, as required by the Act, and was subsequently registered on the Federal Register of Legislative Instruments. These Regulations do not alter the core principles of the TTMRA but aim to refine its application, ensuring continued collaboration and regulatory harmonisation between Australia and New Zealand.
Scope and Application
The Trans-Tasman Mutual Recognition (Modification of Act) Regulations 2010 (No. 1) are a legislative instrument issued under the authority of the Minister for Innovation, Industry, Science and Research, aimed at modifying the Trans-Tasman Mutual Recognition Act 1997. This Act facilitates the mutual recognition of regulatory standards between Australia and New Zealand in relation to the sale of goods and the registration of occupations. The Regulations convert certain special exemptions, specified in Schedule 3 of the Act, to permanent exemptions, as outlined in Schedule 2. This conversion applies to laws concerning therapeutic goods, radio communications devices, road vehicles, gas appliances, and hazardous substances, industrial chemicals, and dangerous goods, including certain consumer product safety standards. These changes are intended to simplify administration and enhance regulatory collaboration between Australia and New Zealand, while ensuring that the mutual recognition principle remains robust and effective. The Regulations came into effect following endorsement by at least two-thirds of the participating jurisdictions, as required by the Act, and were registered on the Federal Register of Legislative Instruments.
Key Provisions
The Trans-Tasman Mutual Recognition (Modification of Act) Regulations 2010 (No. 1) primarily modifies the Trans-Tasman Mutual Recognition Act 1997 by converting special exemptions to permanent exemptions for certain categories of goods and occupations. Specifically, these regulations amend the Act by moving laws that were previously under Schedule 3 (special exemptions) to Schedule 2 (permanent exemptions). This change affects laws related to therapeutic goods, radio communications devices, road vehicles, gas appliances, and hazardous substances, industrial chemicals, and dangerous goods, including certain consumer product safety standards (Section 45(3)).
The obligations imposed by the Act on the parties and entities it governs include the recognition of regulatory standards adopted in New Zealand, provided there are no exclusions, permanent exemptions, special exemptions, or temporary exemptions that apply. The Act requires that the regulatory standards must be equivalent to those in Australia to ensure mutual recognition. Additionally, the Regulations require that the laws previously under special exemptions now fall under permanent exemptions, thereby relieving the jurisdictions of the need to annually renew these exemptions (Section 45(5)(a)).
There are no explicit offences or penalties mentioned in the text for breach of the Act or Regulations, but the non-compliance with the mutual recognition principles could lead to legal challenges or disputes over the validity of the regulatory standards. The primary consequence of not adhering to the Act's provisions would be the inability to recognise the equivalent New Zealand standards, thereby affecting the sale of goods and the registration of occupations across the Tasman. The administrative savings mentioned in the text are intended to streamline regulatory processes and reduce the burden on participating jurisdictions.