Commonwealth of Australia Explanatory Memoranda

[Index] [Search] [Download] [Bill] [Help]

CUSTOMS LEGISLATION AMENDMENT (CONTROLLED TRIALS AND OTHER MEASURES) BILL 2022

                              2022-2023




   THE PARLIAMENT OF THE COMMONWEALTH OF AUSTRALIA




                               SENATE




CUSTOMS LEGISLATION AMENDMENT (CONTROLLED TRIALS AND
               OTHER MEASURES) BILL 2022




      ADDENDUM TO THE EXPLANATORY MEMORANDUM




       (Circulated by authority of the Minister for Home Affairs,
                   the Honourable Clare O'Neil MP)
                                              1


CUSTOMS LEGISLATION AMENDMENT (CONTROLLED TRIALS AND
OTHER MEASURES) BILL 2022

This addendum responds to concerns raised by the Senate Standing Committee for the
Scrutiny of Bills in Scrutiny Digest No. 5, dated 10 May 2023.

The purpose of this addendum is to provide additional clarifying material in the Explanatory
Memorandum to the Customs Legislation Amendment (Controlled Trials and Other
Measures) Bill 2022 (the Bill). This addendum replicates the information provided by the
Minister for Home Affairs to the Senate Standing Committee for the Scrutiny of Bills (the
Committee) on 30 March 2023, in relation to leaving information relating to the scope and
operation of the new Customs time-limited trial scheme to delegated legislation.

SCHEDULE 1 - Main Amendments

Customs Act 1901

Division 4 - Instruments

1. Immediately after paragraph 75 on page 13 of the Explanatory Memorandum, insert the
   following new paragraphs:

     75A. Placing the framework for establishment of trials in delegated legislation
          provides greater flexibility regarding scope and operation of trials within trial
          rules, so long as they are within scope of the controlled trial provisions. It also
          ensures that potential applicants are not accidentally or unreasonably
          excluded. The framework provisions set out in Part XB of the Bill provide
          necessary limits on the scope of how sandboxes are established and monitored.
          It would not be reasonably possible nor practical to anticipate every possible
          future sandbox in primary legislation. Nor would it be appropriate as these
          amendments contemplate future trials that necessarily involve technical
          system requirements or respond to business processes and innovations not
          currently in place.

     75B.    If the Customs Act needed to be amended each time the scope or operation of
             a trial needed to be changed, it would likely cause crucial delay to the trial due
             to waiting for the amendments. This would undermine the policy intent of the
             Bill, frustrate trial participants and impact the ABF's ability to arrange and
             conduct trials. Administering controlled trials in delegated legislation, rather
             than the Customs Act, enables trials to be managed with greater certainty and
             a timelier manner, which is essential given short trial timeframes of 12 months
             (plus up to 6 months).

     75C.    As a safeguard, the scope of the Bill is intentionally contained to those areas
             in which Controlled Trials would be appropriate. For example, provisions that
             relate to prohibited imports and exports or international obligations have been
             specifically excluded, as any flexibility in the operation of these provisions
             may create unacceptable risk to the Australian community.
                                      2


75D. Moreover, every element of trial rules and controlled trial provisions,
     including scope and operation, will be set out in trial rules, and will still be
     subject to parliamentary oversight and potential disallowance.