Published Impact Analyses

COAG Decision Regulation Impact Statement – Australian Building Codes Board (ABCB)

On 21 May 2020, the Australian Building Codes Board agreed to include in the Governing Requirements of the National Construction Code (NCC) 2019 Amendment 1 a process for the development and documenting Performance Solutions.

Following a number of high profile building failures, a 2018 review of building regulatory systems found public confidence in industry’s ability to deliver safe building outcomes was diminishing.  The approach to Performance Solutions was singled out in two recommendations, for their lack of adequate processes and documentation required.

Regulation Impact Statement – Department of Industry, Science, Energy and Resources

On 13 May 2020, the Australian Government introduced legislation to establish a Payment Times Reporting Scheme, which would require qualifying entities (large businesses with more than $100 million annual turnover) to report on their payment performance to small businesses (defined as businesses with a turnover of up to $10 million per annum). Introducing the scheme was an election commitment.

The RIS identified that long payment times from large to small businesses are a significant issue in Australia. In 2017–18, payments from large to small businesses were worth around $281 billion, with around $77 billion of payments paid later than 30 days. The cashflow and financing pressures arising from longer payment times in turn constrain small businesses’ ability to hire, invest and grow – and are associated with higher bankruptcy and exit rates.

Regulation Impact Statement – Department of Agriculture, Water and the Environment

On 31 March 2020, the Department of Agriculture, Water and the Environment announced (https://www.agriculture.gov.au/export/controlled-goods/live-animals/livestock/information-exporters-industry/sheep-to-middle-east) new regulation to limit the risk of heat stress in live sheep exported to, or through, the Middle East during the Northern Hemisphere summer, from 1 May to 31 October inclusive.

The Department of Agriculture, Water and the Environment released a draft Regulation Impact Statement (RIS) for consultation on 20 December 2019 for a 6 week public consultation period. Stakeholder feedback was considered and consequential amendments made when preparing the RIS for publication.

COAG Decision Regulation Impact Statement – COAG Energy Council

On 20 March 2020, the Council of Australian Governments (COAG) Energy Council endorsed a Regulation Impact Statement (RIS) containing measures to improve gas market transparency, which are expected to generate benefits in terms of:

COAG Decision Regulation Impact Statement – Australian Energy Market Commission

On 2 April 2020, the Australian Energy Market Commission (AEMC) released a final rule determination making changes to the frameworks for the procurement, testing and deployment of system restart ancillary services (SRAS) that need to take effect prior to the procurement of the next round of SRAS contracts by the Australian Energy Market Operator (AEMO). These changes will allow AEMO, transmission network service providers (TNSPs) and other parties involved in the restoration of the power system to more effectively prepare for, and respond to, a major supply disruption, increasing the likelihood that energy supply can be restored promptly following a major blackout.

On 26 March 2020, the Australian Energy Market Commission (AEMC) released a final rule determination to require all scheduled and semi-scheduled generators in the National Electricity Market (NEM) to support the secure operation of the power system by responding automatically to changes in power system frequency.                                                                                             

Due to truly urgent and unforeseen events related to the spread of COVID-19, on 18 March 2020 OBPR announced that the Prime Minister has granted an exemption from the need to complete regulatory impact analysis in the form of Regulation Impact Statements (RISs) for all urgent and unforeseen Australian Government measures made in response to COVID-19.

Due to the time-limited nature of such measures, and the difficulty in ascribing impacts to measures in isolation, the Prime Minister set aside the requirement for Post-Implementation Reviews for measures falling under this Prime Minister’s exemption.

To date, matters that fell within this exemption are as follows:

Attorney-General’s Department

• Paid Pandemic Leave

Department of Education, Skills and Employment

COAG Decision Regulation Impact Statement – Australian Energy Market Commission

On 12 March 2020, the Australian Energy Market Commission (AEMC) released a final rule determination and accompanying final rule titled: National Electricity Amendment (Victorian Jurisdictional Derogation - RERT Contracting) Rule 2020.

This rule applies only in Victoria, and complements the reliability and emergency reserve trader (RERT), which is a last resort mechanism allowing the Australian Energy Market Operator (AEMO) to pay for additional capacity to be on stand-by in case of emergencies when the electricity demand and supply balance is tight.

COAG Decision Regulation Impact Statement – Australian Energy Market Commission

On 12 March 2020, the Australian Energy Market Commission (AEMC) released a second draft rule determination and accompanying second draft rule titled: Draft National Electricity Amendment (Wholesale demand response mechanism) Rule 2020 to provide a mechanism to facilitate wholesale demand response in the National Electricity Market. On 12 March 2020, the Australian Energy Market Operator (AEMO) also published a high level design to assist stakeholders in understanding the implementation of the wholesale demand response mechanism.

COAG Decision Regulation Impact Statement – Department of Agriculture, Water and the Environment

On 13 March 2020, the Council of Australian Governments (COAG) agreed to ban the exports of waste plastic, paper, tyres and glass with additional supporting government interventions to build recycling markets and associated demand.

The Department of Agriculture, Water and the Environment (formerly the Department of the Environment and Energy) prepared a Decision RIS titled Phasing out exports of waste plastic, paper, glass and tyres for COAG consideration. The Decision RIS examined the following options and their impacts: