Commonwealth Numbered Regulations - Explanatory Statements

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FISHING LEVY AMENDMENT REGULATIONS 2001 (NO. 1) 2001 NO. 23

STATUTORY RULES 2001 No. 23

Issued by the authority of the Minister for Agriculture, Forestry and Fisheries

Fishing Levy Act 1991

Fisheries Management Act 1991

Fishing Levy Amendment Regulations 2001 (No. 1)

Section 8 of the Fishing Levy Act 1991 (the Levy Act) empowers the Governor-General to make regulations for the purposes of section 6 of the Levy Act.

Section 5 of the Levy Act imposes a levy in respect of a fishing concession. Section 6 of the Levy Act provides that the amount of levy imposed on the fishing concession is the amount prescribed by the Regulations.

Section 168 of the Fisheries Management Act 1991 (the Management Act) empowers the Governor-General to make regulations for the purposes of the Management Act. Section 110 of the Management Act provides that the levy imposed by the Levy Act is due and payable at a time or times ascertained in accordance with the regulations made under the Management Act.

"Fishing Concession" is defined under the Levy Act and the Management Act to mean, among other things, a fishing permit.

In accordance with government policy, AFMA recovers from the holders of fishing concessions (operators) in each fishery:

•       the costs of management attributable to the operators' activities, such as surveillance costs and costs of running the Management Advisory Committee; and

•       the fishing industry's contribution to the Fisheries Research & Development Corporation (FRDC) to fund research in each fishery. This contribution is known as the research component and is recovered from each of the holders of fishing concessions in the fishery and is calculated to be equal to 0.25% of the Gross Value of Product (GVP) of the fishery averaged over the preceding three years.

The Fishing Levy Amendment Regulations (the Regulations) insert provisions into the Fishing Levy Regulations 2000 (the principal Regulations) to allow for the collection of levy in relation to the Bass Strait Scallop Fishery (BSSF) and the Southern Shark Fishery (SSF). Parts 2 and 17 of the principal Regulations were reserved for future use to allow for the insertion of these provisions at a later date.

The Regulations set the levy payable for a BSSF fishing permit in force on 1 March 2001.

The levy payable is $1,525. The levy is made up of management costs of $1,465, and a research component of $60. The levy amount that is set by the proposed

Regulations is calculated on the 'basis of the cost of managing the fishery, and includes staffing costs, costs associated with the development of long-term management arrangements, a Bycatch. Action Plan, and the costs of an industry-funded scientific survey. However, due to a serious downturn in the fishery, the levy amount above only reflects 50% of the costs associated with managing the fishery in the 2000/2001 fishing year (including those costs carried forward from the 1999/2000 fishing year). In light of the poor financial returns to operators, the AFMA Board has agreed to carry over the remaining 50% to the 2001/2002 fishing year.

Levy for the BSSF will be payable on 28 March 2001 or 28 days after the invoice date for the levy, whichever is the later.

The Regulations also set the levy payable for a SSF fishing permit in force during the period from 1 January 2001 to 31 December 2001.

An individual transferable quota (ITQ) system has been implemented in the SSF as of 1 January 2001. Each quota unit allows the holder of the units to take a particular quantity (by weight) of one of the two species of shark (quota species) that are subject to quota restrictions in the fishery. AFMA sets the weight of fish that can be taken under a quota unit.

The levy payable in 2000/2001 for permits that allow fishing in the SSF is calculated by adding two amounts. The first amount is a set amount of $400 which relates to the costs of managing the fishery. The second amount is calculated by multiplying the number of permanent units of quota on a SSF fishing permit by 31 cents. This amount also relates to the costs of managing the fishery but includes a research component of 0.014 cents.

The total amount of levy to be collected has increased compared to that collected in 1999/2000 due to costs associated with the implementation and management of the ITQ system.

Levy for the SSF is payable on 31 March 2001 or 28 days after the invoice date for the levy, whichever is the later.

The Regulations commenced on gazettal.

Regulation 1 provides for the Regulations to be cited as the Fishing Levy Amendment Regulations 2001 (No. 1).

Regulation 2 provides that the Regulations commence on gazettal.

Regulation 3 provides that Schedule 1 amends the principal Regulations.

Schedule 1 Item 1 inserts provisions that set the amount of levy to be collected in respect of BSSF permits and the dates for collection of levy.

Schedule 1 Item 2 omits a note in the principal Regulations that reserved Part 2 for future use.

Schedule 1 Item 3 corrects a minor typographical error in the principal Regulations.

Schedule 1 Item 4 inserts provisions that set the amount of levy to be collected in respect of SSF permits and the dates for collection of levy.

Schedule 1 Item 5 omits a note in the principal Regulations that reserved Part 17 for future use.