Announcement date
May 9 2023
Link to announcement
Budget 2023-24 - Sustainable funding for a strong biosecurity system (agriculture.gov.au)
Problem being addressed
Australian Government biosecurity activity is funded through a combination of federal budget appropriations (ongoing and terminating) and industry fees and charges, predominantly applied to the cargo and conveyance import pathways. These funding arrangements have not kept pace with associated biosecurity system costs, as biosecurity risks grow and change.
Proposal
An open public consultation process obtained feedback on what sustainable funding and resourcing for Australia’s biosecurity system might look like. Stakeholders views were incorporated into implementation considerations. Findings and recommendations of previous reports into the biosecurity system were also considered.
Both stakeholders and previous biosecurity reports have highlighted the need for more funding avenues for biosecurity. In response to this, the Department of Agriculture, Fisheries and Forestry (DAFF) developed two revenue proposals. Together, these two new revenue streams would improve the alignment of funding mechanisms to beneficiaries and risk creators while supporting the delivery of a stronger and more sustainably funded biosecurity system. The streams are:
- The expansion of industry cost recovery arrangements to the biosecurity clearance of low value imported goods (those valued at or less than $1,000), consistent with the Australian Government Charging Framework and international trade law; and
- The application of a biosecurity protection levy to all domestic agricultural, fisheries and forestry producers.
Assessed Impact Analysis outcome
Adequate
Assessment comments
To be considered ‘good practice’ within the Australian Government Impact Analysis framework, the IA would have benefitted from:
- Further analysis of impacts, including quantification of costs, justification of costings, and description of qualitative impacts; and
- Further description of consultation, including the range of stakeholders consulted and areas of agreement and disagreement on the options.
Regulatory burden
DAFF estimates that the annual regulatory cost of these revenue proposals will be negligible (less than $1 million per year).