MOTOR VEHICLE STANDARDS ACT 1989
Vehicle Standard (Australian Design Rule 81/02 —
Fuel Consumption Labelling for Light Vehicles) 2008 Amendment 6
E X P L A N A T O R Y S T A T E M E N T
Issued by the authority of the Minister for Infrastructure and Transport
May 2012
1. Legislative Context for ADR 81/02
Vehicle Standard (Australian Design Rule 81/02 – Fuel Consumption Labelling for Light Vehicles) 2008 Amendment 6 is made under the Motor Vehicle Standards Act 1989 (the Act). The Act enables the Australian Government to establish nationally uniform standards for road vehicles when they are first supplied to the market in Australia. The Act applies to such vehicles whether they are manufactured in Australia or are imported as new or second hand vehicles.
The making of the vehicle standards necessary for the Act's effective operation is provided for in subsection 7 which empowers the Minister to "determine vehicle standards for road vehicles or vehicle components".
2. Content and Effect of ADR 81/02 Amendment 6
Australian Design Rule (ADR) 81/02 prescribes the fuel consumption labelling requirements for light vehicles and the test procedures for determining the fuel consumption and carbon dioxide emission results reported on the label.
Schedule 1 of Amendment 6 amends ADR 81/02 to allow manufacturers to submit fuel consumption and carbon dioxide emissions data based on the technical requirements of the latest versions of UN Regulation 101 and UN Regulation 83, which are based on Euro 5 test procedures.
The amendment adds a consolidated version of UN Regulation 101 incorporating all amendments up to and including the 01 series of amendments as Appendix C to ADR 81/02. Appendix C also includes updated cross references to UN Regulation 83 incorporating the 06 series of amendments, as applied under ADR 79/03 and ADR 79/04.
3. Consultation Arrangements
3.1 General Arrangements
It has been longstanding practice to consult widely on proposed new or amended vehicle standards. For many years there has been cooperation between the Australian and the state/territory Governments, as well as consultation with industry and consumer groups. The analysis and documentation prepared in a particular case, and the bodies consulted, depend on the degree of impact the new or amended standard is expected to have on industry or road users.
Proposals that are regarded as significant need to be supported by a Regulation Impact Statement meeting the requirements of the Office of Best Practice Regulation as published in the Best Practice Regulation Handbook and the Council of Australian Governments’ Principles and Guidelines for National Standard Setting and Regulatory Action for Ministerial Councils and Standard-Setting Bodies.
3.2 Specific Arrangements for this ADR
The amendments outlined in Section 2 of this explanatory statement represent minor changes which do not change the intent or stringency of the ADR.
The Office of Best Practice Regulation has confirmed that a Regulation Impact Statement is not required (OBPR ref no. 2012/13672).
Statement of Compatibility with Human Rights
Prepared in accordance with Part 3 of the Human Rights (Parliamentary Scrutiny) Act 2011
Vehicle Standard (Australian Design Rule 81/02 —
Fuel Consumption Labelling for Light Vehicles) 2008 Amendment 6
This Legislative Instrument is compatible with the human rights and freedoms recognised or declared in the international instruments listed in section 3 of the Human Rights (Parliamentary Scrutiny) Act 2011.
Overview of the Legislative Instrument
Australian Design Rule (ADR) 81/02 prescribes the fuel consumption labelling requirements for light vehicles and the test procedures for determining the fuel consumption and carbon dioxide emission results reported on the label.
Schedule 1 of Amendment 6 amends ADR 81/02 to allow manufacturers to submit fuel consumption and carbon dioxide emissions data based on the technical requirements of the latest versions of UN Regulation 101 and UN Regulation 83 based on Euro 5 test procedures.
Human rights implications
This Legislative Instrument does not engage any of the applicable rights or freedoms.
Conclusion
This Legislative Instrument is compatible with human rights as it does not raise any human rights issues.
The Hon Anthony Albanese MP
Minister for Infrastructure and Transport
Overview
The Motor Vehicle Standards Act 1989, enacted by the Commonwealth Parliament, was introduced to establish nationally uniform standards for road vehicles, ensuring that vehicles supplied to the market in Australia meet safety, emissions, and performance criteria, regardless of whether they are manufactured domestically or imported. The Act empowers the Minister for Infrastructure and Transport to determine vehicle standards for road vehicles or vehicle components. One of the amendments to this Act is the Vehicle Standard (Australian Design Rule 81/02 — Fuel Consumption Labelling for Light Vehicles) 2008 Amendment 6, which was introduced to allow manufacturers to submit fuel consumption and carbon dioxide emissions data based on updated international standards, specifically the latest versions of UN Regulation 101 and UN Regulation 83, which reflect Euro 5 test procedures. This amendment ensures that the labelling of fuel consumption and emissions for light vehicles remains current and reflective of the latest technical requirements, thereby enhancing consumer information and potentially encouraging more environmentally friendly vehicle choices.
Scope and Application
The Motor Vehicle Standards Act 1989 applies to road vehicles and vehicle components supplied in Australia, encompassing both domestically manufactured vehicles and those imported as new or second-hand. The Act mandates nationally uniform standards to ensure vehicle safety and performance. The Vehicle Standard (Australian Design Rule 81/02 – Fuel Consumption Labelling for Light Vehicles) 2008 Amendment 6, made under this Act, specifically concerns the fuel consumption labelling requirements for light vehicles, allowing manufacturers to submit data based on the latest versions of UN Regulations 101 and 83, which use Euro 5 test procedures. This amendment aims to harmonise Australian standards with international practices, ensuring that fuel consumption and carbon dioxide emission results are accurately reported on vehicle labels. The Act extends its jurisdiction across the Commonwealth and is applicable to all light vehicles supplied within Australia. There are no stated exclusions or exemptions in this particular amendment, and the application of the Act is further detailed through subordinate instruments as necessary.
Key Provisions
The Motor Vehicle Standards Act 1989 (section 7) empowers the Minister to determine vehicle standards for road vehicles or vehicle components, including amendments to existing Australian Design Rules (ADR). Section 81/02 of the ADR prescribes the fuel consumption labelling requirements for light vehicles and the test procedures for determining the fuel consumption and carbon dioxide emission results reported on the label. The 2008 Amendment 6 to this ADR allows manufacturers to submit fuel consumption and carbon dioxide emissions data based on the technical requirements of the latest versions of UN Regulation 101 and UN Regulation 83, which are based on Euro 5 test procedures. This amendment enhances the precision and accuracy of fuel consumption and emissions reporting for light vehicles sold in Australia.
The obligations under the amended ADR 81/02 require vehicle manufacturers to ensure that the fuel consumption and carbon dioxide emissions data they submit are based on the technical requirements of UN Regulation 101 and UN Regulation 83. This includes adhering to the test procedures outlined in these regulations and ensuring that the data submitted is accurate and reflects the actual fuel consumption and emissions of the vehicles. Manufacturers must also ensure that the fuel consumption and emissions labels on the vehicles comply with the requirements set out in ADR 81/02. Compliance with these obligations is essential to maintain the integrity of the labelling system and provide consumers with accurate information about the environmental impact of the vehicles they are purchasing.
Failure to comply with the provisions of ADR 81/02 and the 2008 Amendment 6 can result in civil and criminal consequences. Under section 116 of the Motor Vehicle Standards Act 1989, a person who contravenes a vehicle standard is liable to a penalty. The maximum penalty for a corporation is $21,000, and for an individual is $4,200. Additionally, a person who sells a non-compliant vehicle can be subject to a civil penalty of up to $50,400. These penalties serve as a deterrent to non-compliance and ensure that manufacturers adhere to the fuel consumption and emissions labelling requirements. Furthermore, non-compliance can also lead to reputational damage and loss of consumer trust, which can have long-term negative effects on a manufacturer's business.