Commonwealth of Australia Explanatory Memoranda

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ROAD TRANSPORT CHARGES (AUSTRALIAN CAPITAL TERRITORY) AMENDMENT BILL 2000

2000





THE PARLIAMENT OF THE COMMONWEALTH OF AUSTRALIA





HOUSE OF REPRESENTATIVES







ROAD TRANSPORT CHARGES (AUSTRALIAN CAPITAL TERRITORY) AMENDMENT BILL 2000








EXPLANATORY MEMORANDUM











(Circulated by Authority of the Minister for Transport and Regional Services, the Honourable John Anderson MP)

ISBN: 0642 429057



ROAD TRANSPORT CHARGES (AUSTRALIAN CAPITAL TERRITORY) AMENDMENT BILL 2000



OUTLINE

The purpose of the Road Transport Charges (Australian Capital Territory) Amendment Bill 2000 (the Bill) is to amend the Road Transport Charges (Australian Capital Territory) Act 1993 to implement updated nationally consistent heavy vehicle registration charges, that have been agreed by the Australian Transport Council, comprising the Commonwealth and State and Territory Ministers responsible for Transport.

The Bill forms part of a system of nationally consistent road transport laws envisaged under the Inter-governmental Agreements on Road Transport signed by Heads of Government in 1991 (the Heavy Vehicles Agreement) and 1992 (the Light Vehicles Agreement), which are scheduled to the National Road Transport Commission Act 1991. In accordance with the Agreements, it is intended that the Bill will amend the substantive law of the Australian Capital Territory (the ACT) in respect of heavy vehicle registration charging. Victoria and the Northern Territory intend to adopt the Bill unchanged as the law in their respective jurisdictions. The remaining States, and the Commonwealth, intend to adopt the substance of the Bill in their own legislation.

The Bill contains provisions relating to:

• revisions to definitions of classes of heavy vehicles for charging purposes; and

• the levels of heavy vehicle registration charges to be levied from 2000/2001.

The Bill has been developed by the National Road Transport Commission (the NRTC) in consultation with State and Territory registration authorities and transport agencies, the Commonwealth, the transport industry, and other interested parties.


FINANCIAL IMPACT STATEMENT

There will be no direct financial impact for the Commonwealth, as it deals with charges to be applied and collected by the ACT Government.

The revised registration charges are estimated to raise an additional $115,000 for the ACT Government (increasing registration revenue from $2.081m to $2.196m). The proposed annual registration charges, when nationally implemented by the Commonwealth and all States and Territories, are estimated to raise around $424 m across Australia, an increase of 5.5% on the sum collected at the existing rates of charges.

There would be no change in annual charges for around 80% of heavy vehicles. Charges for the heaviest classes of heavy vehicles increase, as current charge levels for these vehicles under-recover the costs of their road use.

REGULATION IMPACT STATEMENT


The Regulation Impact Statement is attached.

NOTES ON CLAUSES

Clause 1 – Short Title

This clause provides for the Act to be cited as the Road Transport Charges (Australian Capital Territory) Amendment Act 2000.

Clause 2 – Commencement

Clause 2 provides that the Act commences on a day to be fixed by proclamation, and that it will commence automatically on 1 January 2001 if it has not been proclaimed by that date. The Act will be adopted by reference by the Victorian and Northern Territory Governments, and adopted in substance by other jurisdictions. Transport Minsters have agreed to target an implementation date of 1 July 2000 for the implementation of the updated charges. However, if, for practical reasons, the Australian Capital Territory Government business and administrative systems are not ready at that date, the provision allows for the Act to commence at a later date, up to 1 January 2001. The 1 January 2001 date provides certainty that the new charges will commence no later than the beginning of the calender year 2001.

Clause 3 – Schedule

This clause explains that the effective provisions of the amendments are contained in the Schedule to the Act.

Schedule 1 – Amendment of the Road Transport Charges (Australian Capital Territory) Act 1993

Paragraph 1 – Section 2

In the Act, existing section 2 sets out the ACT Government’s obligation to determine heavy vehicle registration charges in accordance with the charges contained in Part 2 of the Schedule to the Act.
As the charges in Part 2 are updated by these amendments, this paragraph substitutes a new section that specifies that the ACT Government will determine charges from the commencement of the amendments, according to the new charges in Part 2. It explains that if the Act commences by 1 July 2000, the new charges will be applied from 1 July 2000, but if the Act commences later than 1 July 2000, the new charges will apply from that later date.


A similar provision specifies that permit charges will be updated from the same date.

The new charges do not apply before 1 July 2000, even if the Act is proclaimed before that time.

Paragraphs 2 to 37 – Part 1 of Schedule

These paragraphs amend, repeal or insert a number of definitions in the Act. The new and amended definitions are of vehicles and vehicle components, which change and clarify how some vehicles are defined for charging purposes and also to simplify the calculation of charges. In particular, paragraphs 2, 3, 4, 7, 9, 10, 11, 13, 18, 19, 20, 21, 24, 26, 27, 34, 35, 36 and 37 amend or insert definitions in order to provide greater consistency between the Act and other national legislation developed under the road transport reform process through the National Road Transport Commission.

There are revised definitions of ‘axle’, ‘axle group’, ‘bus’, ‘bus (type 2)’, ‘dog trailer’, ‘medium combination truck’, ‘pig trailer’, ‘pole type trailer, ‘semi-trailer’, ‘short combination truck’, ‘special purpose vehicle’, and ‘trailer’.

There are new definitions inserted for: ‘converter dolly’, ‘drawbar’, ‘driver’, ‘fifth wheel coupling’, ‘load carrying trailer’, ‘long combination prime mover’, ‘low loader’, ‘low loader dolly’, ‘quad axle group’, ‘road’, ‘road related area’, ‘single axle’, ‘single axle group’, ‘special purpose vehicle (type o)’, ‘special purpose vehicle (type p)’, ‘special purpose vehicle (type t)’, ‘tandem axle group’, ‘tri-axle group’, and ‘twin-steer axle group’.

If a trailer does not meet the definition of load carrying trailer, it may be classified as a Special Purpose Vehicle.

Paragraph 13 establishes a new definition of long combination prime mover in place of the separate definitions for long combination prime mover (type 1) and long combination prime mover (type 2), which are repealed in Paragraphs 14 and 15. A single charge will now apply to all long combination prime movers, removing the need for operators of these vehicles to distinguish between the two types when they nominate how the vehicle should be registered.

The primary definition of special purpose vehicles is amended (Paragraph 28) to refer to the construction of a vehicle rather than its use. The key component of the amended definition is that the primary purpose (that is, the primary purpose for which the vehicle was built or permanently modified) is not to carry goods or passengers. For example, a piece of self-propelled plant or machinery would be considered a special purpose vehicle because it is built to undertake a specific function such as (for example) earth moving, agricultural harvesting or laying bitumen. Similarly, a truck that has been permanently modified for a primary purpose that does not involve carrying goods or passengers would also be considered a special purpose vehicle.

In the definitions of special purpose vehicles:

type p refers to ‘plant-based vehicles’ – a special purpose vehicle that is not a modified truck, but rather a specialised piece of plant such as (for example) a backhoe or agricultural harvester.

type o and type t refer to ‘truck-based vehicles’ – a special purpose vehicle based on a modified truck or truck design. The distinction between type t and type o depends on whether or not the vehicle exceeds mass limits specified by regulation. ‘Truck-based’ special purpose vehicles that have at least one axle or axle group that exceeds these mass limits are ‘overmass vehicles’, that is type o. ‘Truck-based’ special purpose vehicles that do not have any axle or axle group that exceeds these limits are categorised as type t.

Administrative guidelines prepared by the National Road Transport Commission will assist in the application of these definitions of special purpose vehicles.

A number of definitions are repealed, because they have been made redundant by new and amended definitions. Definitions repealed are: ‘dolly’, ‘long combination vehicle (type 1)’, ‘long combination vehicle (type 2)’, ‘special purpose vehicle (type 1)’, and ‘special purpose vehicle (type 2)’.

Paragraph 38 – Part 1 of the Schedule (third last sentence)

This new sentence clarifies the method of determining the number of axles a vehicle has for the purpose of calculating the appropriate charge so as to ensure that it does not apply to the new definitions of axle groups, which also rely on numbers of axles.

Paragraph 39 - Part 1 of the Schedule (second last sentence)

The new paragraphs insert further definitions to make clear that where a semi trailer is used with a converter dolly, or where a low loader is used with a low loader dolly, these are to be regarded as a single trailer when determining how many trailers a prime mover may tow. This is important, as different charges are applied to a short combination prime mover, a medium combination prime mover, and a long combination prime mover, and prime movers may fall into different classes depending on the number of trailers they are nominated to tow.

Interpretation provisions relating to what should be considered goods and passengers in relation to the definitions of special purpose vehicles are included to add clarity.

Paragraph 40 - Part 2 of the Schedule

Paragraph 40 repeals existing Part 2, which contains the current charges, and inserts a new Part 2 containing the updated charges. The charges that apply from the commencement of these amendments are simply calculated from Part 2 of the Schedule.

New item 1 outlines the charges for load carrying vehicles in a table by vehicle type and by number of axles.

New item 2 explains how to calculate the charge for a load carrying trailer, converter dolly or low loader dolly.

New item 3 lays out charges for buses in a table by vehicle type and number of axles.

New item 4 lays out charges for special purpose vehicles in a table by vehicle type and number of axles.

New item 5 specifies that if a vehicle can be classified under 2 or more of the classes of vehicles in Part 2, then the higher or highest of the applicable charges will be applied.

It is not intended that vehicles that may be eligible for “higher mass limits” (mass concessions available if certain conditions are met, including road friendly suspensions) would be subject to higher registration charges under these amendments because they operate at the concessional mass.

Paragraph 42 - Part 3 of the Schedule (heading)

This paragraph replaces the existing heading for Part 3 of the schedule and substitutes a new simplified heading. The charges for permits in Part 3 are unchanged by these amendments.

Paragraph 43 - Amendments not to affect requirements to determine certain charges.

This paragraph makes clear that prior to the commencement of these amendments, the ACT Government will continue to determine heavy vehicle charges as it does now. This means that until these amendments commence, the ACT Government will continue to determine charges in accordance with the amounts and provisions of the existing Act.

 


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