David Littleproud (Maranoa, National Party, Shadow Minister for Agriculture) Share this | Link to this | Hansard source

I rise to speak on the Special Recreational Vessels Amendment Bill 2023. The purpose of this bill is to extend the application of the Special Recreational Vessels Act 2019 by a further two years to 30 June 2025. Currently, the act is scheduled to sunset on 30 June 2023. The act enables foreign special recreational vessels, otherwise known as superyachts, to be able to operate in Australia and be made available for hire or charter. The federal coalition welcomes this bill and supports its passage through the parliament. The bill is seeking to extend the application of legislation that was introduced and implemented by the former coalition government. This is legislation the coalition parties believed was important in 2019 to provide opportunities for foreign flagged recreational vessels to operate and offer charters in Australian coastal waters. We believe it remains important.

In Australia, superyachts include vessels greater than or equal to 24 metres. However, internationally they are defined as luxury vessels 30 metres and longer, with a mast and crew, carrying 12 guests or fewer—not including staff. Superyachts represent an important economic opportunity for Australia—especially, but not solely, in Queensland. Queensland has the Queensland Superyacht Strategy, intended to support the sector and grow Australia's reputation as a destination for superyachts, with four major hubs providing high-quality support services to the sector in Cairns, the Whitsundays, Brisbane and the Gold Coast. The Queensland government estimates that superyacht activity has the potential to contribute more than $2 billion to the economy and support more than 5,360 full-time jobs between 2021 and 2025.

Important support services to benefit from the superyacht sector include maintenance, food and catering, onshore accommodation, hospitality and tourism. It is estimated there will be more than 6,600 superyachts worldwide by 2025. In 2019-20, there were an estimated 364 superyachts operating in Australian waters, of which approximately one-quarter were foreign vessels. Significantly, the Brisbane 2032 Olympic and Paralympic games are anticipated to attract at least 200 additional foreign flagged vessels to Australia, generate $1.8 billion within the Australian economy and support more than 7,600 full-time jobs nationally. I've outlined this to highlight that both the domestic and foreign flagged superyacht sector makes a valuable contribution to our nation's economy. It's important for government to facilitate the sector and make sure that Australia remains an attractive destination. It would be to the detriment of our nation if foreign flagged superyachts pass by Australia for other destinations.

The former coalition government introduced the Special Recreational Vessels Amendment Act 2019 to permit foreign flagged superyachts to opt into the regulatory regime under the Coastal Trading Act, and to allow them to apply for temporary licenses to offer charter services in Australia. Prior to the act, there was no mechanism by which foreign superyachts could be offered for hire or charter services in Australian waters, as recreational vessels were not covered by the Coastal Trading Act. This was a flaw in the coastal trading legislation introduced by the Rudd government. The Special Recreational Vessels Act was necessary because efforts by the former coalition government to reform the Coastal Trading Act to accommodate superyachts had been frustrated by the then opposition and now government.

Under the Special Recreational Vessels Act 2019, the owner, charter or agent of a vessel is able to apply for and obtain a special recreational vessel temporary licence for 12 months, enabling the vessel to be offered for hire or charter. The original act include a sunset clause to expire on 30 June 2021. The sunset clause was inserted at the time at the request of the then opposition. The sunset date was extended to 30 June 2023 in 2021 to give the former coalition government additional time to consider reforms to coastal trading legislation that would have accommodated superyachts.

The COVID-19 pandemic and associated supply chain disruptions delayed attempts to finalise a long-term legislative solution for the sector. The government has indicated it will consider the outcomes of the work of the Strategic Fleet Taskforce that it established, including any wider reforms to the coastal trading legislation and longer term proposals for regulating superyachts. The federal coalition is willing to work constructively with the government on any proposal to streamline the legislative system that will enable the superyacht sector to operate in Australian waters.

There are major benefits for regional communities, especially in coastal areas, from growth in superyacht visitation and activities. The federal coalition therefore supports the passage of this bill and commends it to the House.

Debate adjourned.