Nigel Scullion (NT, Country Liberal Party, Minister for Indigenous Affairs) Share this | Link to this | Hansard source

I move:

That these bills be now read a second time.

I seek leave to have the second reading speeches incorporated in Hansard.

Leave granted.

The speeches read as follows—

EXCISE TARIFF AMENDMENT (PRODUCT STEWARDSHIP FOR OIL) BILL 2014

This Bill amends the Excise Tariff Act 1921 and is part of a package of Bills that will give effect to the Government’s commitment to restore the Product Stewardship for Oil Scheme to being budget neutral over the forward estimates.

The Product Stewardship for Oil Scheme aims to ensure the environmentally sustainable management, re refining and reuse of used oil and to support economic recycling options for used oil. The Scheme offers a subsidy for the proper recycling of old oils, funded by a levy on new oils and greases.

The Scheme was intended to be self-funding, with the levy covering the anticipated cost of stewardship rebates. However, in 2013-14 the Scheme is estimated to run a deficit of approximately $10 million which is expected to grow.

This Bill increases the rate of the Scheme’s levy payable by oil producers for petroleum based oils and their synthetic equivalents from 5.449 cents per litre of oil or kilogram of grease to 8.5 cents.

The Government intends to separately make corresponding amendments to the Product Stewardship (Oil) Regulations 2000 which will ensure that Category 8 oils, being those which are a low risk to the environment, continue to not be affected by the rate of the levy.

Further details of this Bill are contained in the explanatory memorandum.

CUSTOMS TARIFF AMENDMENT (PRODUCT STEWARDSHIP FOR OIL) BILL 2014

This Bill is part of a package of bills that will give effect to the Government’s commitment to restore the budget neutrality of the Product Stewardship for Oil Scheme over the forward estimates period.

Specifically, this Bill amends the Customs Tariff Act 1995 to increase the excise-equivalent customs duty on imported petroleum-based oils and grease and their synthetic equivalents to 8.5 cents per litre of oil or kilogram of grease from 5.449 cents.

Further details of this Bill are contained in the explanatory memorandum.

Debate adjourned.