Andrew Gee (Calare, National Party, Assistant Minister to the Deputy Prime Minister) Share this | Link to this | Hansard source

I present the explanatory memorandum to this bill and move:

That this bill be now read a second time.

Australian aviation is an essential part of our economy. It links our regions to our cities, and our cities to the world.

A strong aviation industry requires continuous improvement in the regulatory system which governs it. While Australia has an enviable record in aviation safety—built on a modern regulatory framework—any regulator must continue to keep pace with the industry it regulates.

Some sectors of the general aviation industry are seeking assurance that CASA takes into consideration the economic and cost impacts on industry, and the relative risk environment in the different aviation sectors, when developing broadly applicable aviation safety standards.

The Australian government is very conscious of the challenges faced by small business in Australia and the need to remove unnecessary costs and regulatory burden.

We are committed to aviation safety being the most important consideration in safety regulation and recognise that CASA must be allowed to ensure aviation in Australia is safe and reliable.

Costs and risks are both carefully weighed by CASA when it develops aviation safety standards. The requirements behind this process are spelt out in the government's statement of expectations issued to the CASA board.

Today I introduce into the parliament a bill that incorporates those guiding principles from the government's statement of expectations into the Civil Aviation Act 1988.

The Civil Aviation Amendment Bill is in direct response to the concerns raised by the general aviation industry.

The bill will allow the government to ensure CASA continues to consider the economic and cost impact on individuals, businesses and the community. It will take into account the differing risks posed by those sectors when developing legislative aviation safety standards.

It is important we continue to support an aviation industry that is dynamic and sustainable, with a regulatory system that is responsive and proportionate to risks. The government seeks a level of regulation that maintains the safety of the system without unreasonably restricting innovation and growth.

I commend this bill to the House.

Ms Catherine King (Ballarat, Australian Labor Party, Shadow Minister for Infrastructure, Transport and Regional Development) Share this | Link to this | Hansard source

The opposition has a very proud record of bipartisanship when it comes to aviation safety. There are, frankly, no margins for error when it comes to aviation safety. As more and more travel, freight movement and recreation is undertaken in our skies, it is important that our aviation safety system keeps people safe. At the same time, Labor understands that the viability of the general aviation industry can be jeopardised by unreasonable regulatory burden.

We understand the importance of the aviation industry in the day-to-day lives of Australians, and this is nowhere more the case than in regional Australia. We also understand that some members of the general aviation sector have raised concerns about red tape and the impact on their operational costs, and the viability of the general aviation sector and jobs in the general aviation industry. Clearly, the regulatory burden that small airline operators in general aviation can carry is vastly different to what can be carried by the larger airlines. If we as legislators don't get that right it could have unintended consequences for the smaller operators and, by extension, regional communities and aviation sector jobs.

We are broadly satisfied that this bill the government has brought forward does take a balanced approach between the need to protect the safety of the travelling public as the pre-eminent operating reason for CASA's existence—it's primary operating order, in essence—and, of course ensuring that red tape does not get in the way of the general aviation sector being viable. This bill responds to concerns from some in the general aviation sector who have been concerned that overregulation is costly for smaller operators. While we understand that there will always be groups who say the balance is completely wrong one way or the other, and that the legislation will never be perfect, on balance we are supporting this bill. We will continue to monitor implementation, however, of these reforms. We do know that this bill does not go as far as some in the general aviation sector would like, but we also know that there are others concerned that any change in the Civil Aviation Act could be seen to water down CASA's primary purpose of ensuring that aviation safety is paramount in their regulatory activities. They are concerned about this bill as well.

We are very strong in and very proud of our track record when it comes to the aviation industry. In government, the now Leader of the Opposition, as transport minister, delivered Australia's first, and only, aviation white paper. One of the stated objectives of that white paper was the maintenance of a safe, efficient and innovative general aviation sector. The white paper provided a comprehensive and balanced framework, bringing together all aspects of aviation policy into a single, coherent and forward-looking statement. Importantly, it included initiatives designed to give the general aviation industry the certainty and incentive to plan and invest for the longer term. To this end, the former Labor government introduced more generous accelerated depreciation rates for aircraft as an incentive for owners to upgrade their aircraft; reduced the number of 24-hour restricted airspace areas from 81 to 15; committed to the continued operation and growth of secondary capital city airports; ensured that the master plans for secondary airports maintained a strong focus on aviation development, not non-aeronautical uses that could compromise future aviation activities; and we lessened the financial burden of regulation on the sector by restricting increases in CASA regulatory service charges to rises in the consumer price index.

These were very important reforms, and I would say to the government that I think there is a distinct lack of coherence today when it does actually come to aviation policy. It may well be time for the government to look, particularly, at the general aviation sector but also at the overall aviation sector in a more comprehensive way once again. Labor will continue to advocate for the aviation sector, to ensure safe and effective aviation services are available to the Australian community.

In conclusion, the opposition will continue to monitor the implementation of the Civil Aviation Amendment Bill 2019 to ensure that safety is not compromised and that the regulatory burden remains manageable for the sector. But with that, we will be supporting this bill.

Question agreed to.

Bill read a second time.