Regulation Impact Statement – Australian Securities and Investment Commission

On 27 March 2017, the Australian Securities and Investment Commission (ASIC) released guidance on risk management systems of responsible entities.

Australian financial services (AFS) licensees have an ongoing legal obligation to have adequate risk management systems in place. The released guidance on risk management systems provides tailored guidance for responsible entities on how to meet the obligation, and seeks to set minimum standards and address inconsistencies among existing arrangements of various responsible entities.

Department of the Treasury

On 4 April 2017, the Treasurer prescribed the Competition and Consumer (Industry Code—Sugar) Regulations 2017 (‘the Code’) as a mandatory industry code under the Competition and Consumer Act 2010.

The Code:

• provides for an arbitration process for supply contracts between sugar suppliers and millers;

• provides for an arbitration process for on-supply agreements between millers and marketers; and

• ensures that growers have a right to choose who markets their sugar.

COAG Energy Council

On 14 December 2016, the Council of Australian Governments (COAG) Energy Council agreed to implement a compulsory arbitration framework for gas pipeline access.

In making this decision the COAG Energy Council did not comply with the Council of Australian Governments’ best practice regulation requirements to prepare a Regulation Impact Statement (RIS).

Class Order Relief for Business Introduction or Matching Services – Australian Securities and Investments Commission

On 29 March 2017, the Australian Securities and Investments Commission (ASIC) remade the Class Order (CO 02/273) without significant amendments.

The Class Order 02/273 provides conditional exemptions from the fundraising and debenture requirements in the Corporations Act 2001 (the Act) for persons involved in making or calling attention to offers of securities through a business introduction service. It intends to facilitate the growth of small and medium enterprises (SMEs) by reducing the regulatory burden of small-scale fundraising and assist SMEs to locate potential investors.

Post-implementation Review – Department of Defence

On 8 August 2014 the Defence Legislation Amendment (Woomera Prohibited Area) Act 2014 received royal assent. The Act amended the Defence Act 1903 to establish a regulatoryframework to administer access to the Woomera Prohibited Area (WPA) following recommendations made in the Government Review of the Woomera Prohibted Area 2011.

A Regulation Impact Statement was required, however exceptional circumstances were granted by the then Prime Minister. Consequently, a post-implementation review (PIR) was required.

Regulation Impact Statement – Department of Communications

On 10 November 2016, the Interactive Gambling Amendment Bill 2016 was introduced in Parliament, following the Review of Illegal Offshore Wagering which found that between $64 and $400 million is spent on illegal online wagering services each year. The Bill amends the Interactive Gambling Act 2001 to prohibit ‘click to call’ in-play betting services and increases powers of the Australian Communications and Media Authority to enforce privisions within the Interactive Gambling Act 2001.

A Regulation Impact Statement (RIS) was prepared and certified by the Department of Communications and has been assessed as compliant and best practice by the Office of Best Practice Regulation.

The RIS estimates the preferred option will have an annual average regulatory cost of $58,000 per year, and identifies regulatory offsets.

Regulation Impact Statement – Department of Agriculture and Water Resources

On 20 March 2017, the Government announced a public consultation period on the pre exposure draft legislation to strengthen the management of safety risks for imported food. 

The proposed legislation will increase the accountability of importers, taking into consideration the food safety and regulatory systems in countries of origin and introducing stronger traceability requirements.

A Regulation Impact Statement (RIS) was prepared and certified by the Department of Agriculture and Water Resources, and was assessed as compliant and consistent with best practice by the Office of Best Practice Regulation.

The RIS estimates that the preferred option will have an annual average net regulatory cost of $0.0216 million, and identifies offsets.  

Independent Review – Australian Competition and Consumer Commission

On 3 February 2017, the Australian Competition and Consumer Commission (ACCC) released a report of its final decision to extend Declaration of the wholesale Asymmetrical Digital Subscriber Line (ADSL) service (the Declaration) for five years until 13 February 2022.

Independent Review – Department of Employment

On 1 March 2017, the Fair Work Amendment (Protecting Vulnerable Workers) Bill 2017 was introduced into Parliament.

The Government introduced amendments to the Fair Work Act 2009 to protect workers from exploitation by unscrupulous employers and improve compliance with Australia’s workplace laws.

The Department of Employment certified the following reports as independent reviews which have undertaken a process and analysis equivalent to a RIS:

• The Fair Work Ombudsman’s A Report of the Fair Work Ombudsman’s Inquiry into 7-Eleven, April 2016;

• Senate Standing Committee on Education and Employment’s report titled A National Disgrace: The Exploitation of Temporary Work Visa Holders, March 2016;

• The Productivity Commission’s Productivity Commission Inquiry Report: Workplace Relations Framework, No. 76, November 2015;

COAG Decision Regulation Impact Statement – The Australian Building Codes Board

On 1 March 2017, the Australian Building Codes Board released the final Decision Regulation Impact Statement (RIS) which considers options to mandate automatic fire suppressions systems for covered balconies over 25 meters in effective height.