Commonwealth of Australia Explanatory Memoranda

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ROAD VEHICLE STANDARDS CHARGES (IMPOSITION-EXCISE) BILL 2018

                                   2016-2017-2018




       THE PARLIAMENT OF THE COMMONWEALTH OF AUSTRALIA




                         HOUSE OF REPRESENTATIVES




ROAD VEHICLE STANDARDS CHARGES (IMPOSITION--CUSTOMS) BILL 2018
ROAD VEHICLE STANDARDS CHARGES (IMPOSITION--EXCISE) BILL 2018
ROAD VEHICLE STANDARDS CHARGES (IMPOSITION--GENERAL) BILL 2018




                            ADDENDUM TO THE
                        EXPLANATORY MEMORANDUM




      (Circulated by authority of the Minister for Urban Infrastructure and Cities
                              the Hon Paul Fletcher MP)
           Road Vehicle Standards Charges (Imposition--Customs) Bill 2018
            Road Vehicle Standards Charges (Imposition--Excise) Bill 2018
           Road Vehicle Standards Charges (Imposition--General) Bill 2018


This addendum responds to concerns raised by the Senate Standing Committee for the
Scrutiny of Bills in the Scrutiny Digest No.2 of 2018, dated 14 February 2018.


After the fourth paragraph in the 'Outline' section of the Explanatory Memorandum,
insert:
       The types of costs that this package of Bills will recover are matters such as
       development of the national vehicle standards, a comprehensive compliance and
       enforcement system, and the establishment and maintenance of the regulatory
       framework for recalls. These are core activities for the Government to ensure the
       objectives of the Road Vehicle Standards Bill 2018 are met.
       These activities are dynamic rather than predictable in nature, reflecting the
       complexity and rapid change in the vehicle industry. For example, the issuing of a
       recall notice may occur in an urgent timeframe and can affect a wide range of
       approval holders. In such circumstances, the Government needs to be able to fund an
       adequate response, requiring cost recovery measures to be developed quickly and
       responsively. This is most effectively implemented by having charging points and
       amounts in legislative instruments, rather than being prescriptive in these Bills. In
       such a circumstance, the charge would still need to be consistent with the
       Government's Cost Recovery Guidelines. The charge would be subject to
       Parliamentary scrutiny through the disallowance process.
       The amount of the charge imposed would reflect the overall costs of the activity being
       recovered and be set at a level that is designed to recover no more than the estimated
       cost of regulating the type of application.




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