Wheat Industry Fund Repeal Regulations 1999

Overview

The Wheat Industry Fund Repeal Regulations 1999, enacted under the authority of the Minister for Agriculture, Fisheries and Forestry, serve to repeal the Wheat Industry Fund Regulations made under the Wheat Marketing Act 1989. This legislative action addresses the need to align regulatory frameworks with the privatisation of AWB Ltd, a subsidiary of the Australian Wheat Board, which took effect on 1 July 1999. The Wheat Marketing Legislation Amendment Act 1998 facilitated this privatisation by amending the Wheat Marketing Act 1989 to cease the operation of the Wheat Industry Fund and its associated levy from the same date. Consequently, the Wheat Industry Fund Repeal Regulations 1999 were introduced to formally repeal the existing Wheat Industry Fund Regulations and ensure that the regulatory environment reflects the changed operational landscape. The Wheat Industry Fund, which had been funded by a compulsory levy and managed by the Australian Wheat Board, was converted into B Class shares in AWB Ltd and distributed to WIF equity holders. The policy objective behind these regulations is to streamline and modernise the regulatory framework in response to the structural changes in the wheat industry, ensuring that the new corporate entity operates under a clear and relevant set of regulations. By repealing the Wheat Industry Fund Regulations and all subsequent amendments, the Wheat Industry Fund Repeal Regulations 1999 provide a clear and definitive transition from the old regulatory structure to the new one.

Scope and Application

The Wheat Industry Fund Repeal Regulations 1999 apply to the Wheat Industry Fund and its operations, particularly following the privatisation of AWB Ltd on 1 July 1999. This legislation is issued under the authority of the Minister for Agriculture, Fisheries and Forestry and it repeals the existing Wheat Industry Fund Regulations that were made under the Wheat Marketing Act 1989. The repeal reflects the transition of the Wheat Industry Fund from a compulsory levy managed by the Australian Wheat Board to a conversion of the fund into B Class shares in AWB Ltd, which is now privately owned. The regulations are designed to align with the Wheat Marketing Legislation Amendment Act 1998, which allowed for the privatisation of AWB Ltd and the cessation of the Wheat Industry Fund from the specified date. The scope of these regulations is focused on the formal repeal of the Wheat Industry Fund Regulations and any subsequent amendments, ensuring that no prior regulations conflict with the new legislative framework.

Key Provisions

The Wheat Industry Fund Repeal Regulations 1999 (F1999B00127) primarily serve to repeal the Wheat Industry Fund Regulations (F1990B00028), which were made under the Wheat Marketing Act 1989 (WMA). This repeal aligns with the legislative changes introduced by the Wheat Marketing Legislation Amendment Act 1998, which provided for the privatisation of AWB Ltd and the cessation of the Wheat Industry Fund (WIF) and its levy from 1 July 1999 (regs 1 and 3). Regulation 2 stipulates that these repealing regulations themselves will commence on 1 July 1999 (reg 2). These regulations impose several obligations and requirements on the entities involved. Notably, they require the cessation of the compulsory levy that previously funded the WIF and the conversion of the WIF assets into B Class shares in AWB Ltd, which are then issued to WIF equity holders. This transition ensures that the WIF's equity is transferred to AWB Ltd as part of the broader privatisation process (reg 3). Additionally, the regulations necessitate the formal repeal of any subsequent amendments to the Wheat Industry Fund Regulations, ensuring a clean slate for the new regulatory environment. The Wheat Marketing Legislation Amendment Act 1998 does not explicitly detail specific offences or penalties for non-compliance with the Wheat Industry Fund Repeal Regulations 1999. However, the overarching framework of the Wheat Marketing Act 1989, which these regulations are based upon, provides a basis for potential enforcement actions. Under the WMA, breaches of regulations may lead to civil or criminal penalties, including fines and imprisonment, depending on the nature and severity of the offence. The exact penalties would be determined by the courts, considering the specific circumstances of any non-compliance.