Anthony Chisholm (Queensland, Australian Labor Party, Assistant Minister for Education) 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—

CUSTOMS AMENDMENT (STRENGTHENING AND MODERNISING LICENCING AND OTHER MEASURES) BILL 2024

International trade and investment is critical to the Australian economy, creating jobs and prosperity, and opening up opportunities for Australian businesses to expand and diversify globally.

This Bill, the Customs Amendment Strengthening and Modernising Licensing and Other Measures Bill 2024, introduced together with the Customs Licensing Charges Amendment Bill 2024, forms the next steps in the Albanese Government's Simplified Trade System agenda, which makes trade faster, cheaper and easier.

These Bills represent some sensible and overdue steps to modernise Australia's customs processes.

These Bills will deliver reforms to simplify and support the digitalisation of border processes for both business and government, and improve the effectiveness of the Australian Border Force in protecting Australia's borders.

Many of these reforms will save business time and money, reducing regulatory burdens of complying with certain customs processes, and industry has been supportive of the proposed reforms.

The amendments in this Bill will also strengthen the customs licensing regime against threats of criminal infiltration and bolster the efforts of the Australian Border Force to ensure integrity in our supply chains.

It will align requirements across licence types, and close compliance gaps to enhance the integrity and security of Australia's borders.

There are over 450 licensed depots, 500 licensed warehouses, 400 airports, seaports and cargo terminals, 2,100 licensed brokers and numerous freight forwarders and cargo reporters currently being regulated.

Current legislative provisions for the management of these customs licences are complex, outdated and in some cases paper based. This puts additional burden and costs on the government to administer and for industry to comply.

The amendments to the Customs Act will, in particular:

a. modernise customs licence administration by allowing electronic communication methods;

b. streamline administration across depot, warehouse and broker licences;

c. strengthen the entry requirements to be eligible to hold a licence;

d. align and enhance powers to give directions in respect of depots and warehouses; and

e. strengthen the licensing regime by bolstering fit and proper checks of licensed entities.

The Bill will strengthen the eligibility to hold and maintain a customs licence that ensures the integrity of goods under customs control.

As well as reducing the regulatory burden on businesses, the amendments in this Bill will support an equal playing field for businesses. This Bill will help ensure that businesses that comply with their obligations are not undercut by entities who seek to circumvent controls.

The Bill will also make consequential amendments to the AusCheck Act 2007 to, among other things, permit the disclosure of information to an officer of customs for a purpose under the Customs Act. This will allow disclosure of the information under the AusCheck Act with respect to the cancellation, refusal or suspension of a Maritime Security Identification Card or an Aviation Security Identification Card held by a person, bolstering the fit and proper assessment.

The Bill is informed by "The Review of Customs Licensing Regimes Final Report" which was formally submitted to the Comptroller-General of Customs on 31 March 2017.

The Report noted that the Review's recommendations are intended, among other things, to strengthen and streamline the current licensing regimes, with the primary purpose of implementing savings and efficiencies for the Department and industry. The Report also assessed that the focus on the integrity of the licensing regime would only grow in importance in the future and that strengthening the integrity of the system would better protect the community.

The Australian Border Force conducted further consultation with key industry stakeholders in 2023 and 2024 to introduce the proposed amendments outlined in the Bills.

The Australian Border Force will continue to consult and support businesses with their transition to the changes, including through existing industry forums such as the National Committee for Trade Facilitation and its working groups.

The Bill being introduced today will enhance the integrity of Australia's borders, which is vital for a prosperous, secure and safe Australia.

I commend this Bill to the Chamber.

CUSTOMS LICENSING CHARGES AMENDMENT BILL 2024

The Customs Licensing Charges Amendment Bill 2024 will modernise, streamline and strengthen the calculation of depot licence charges in support of the Customs Amendment (Strengthening and Modernising Licensing and Other Measures) Bill 2024.

Alongside the primary changes to the Customs Act 1901, this Bill will amend the Customs Licensing Charges Act 1997 to align the calculation of depot licence charges with that of warehouse licence charges.

Streamlining licence fee processes and aligning payment requirements between customs licence types will support businesses to be better equipped in complying with their obligations under customs legislation.

The alignment will enhance licence compliance by closing a loophole that has allowed licence holders not to pay their first renewal fee charge if the new depot licence was first granted between 1 April and 30 June in any given year.

This Bill will amend the Charges Act to:

a. set the default annual cost of a licence at $4,000 where the licence comes into force on 1 July;

b. provide a formula based on a per diem value where the licence comes into force on a day in a financial year other than 1 July; and

c. set out the criteria where the renewal charge for a depot licence is by default $4,000 and only where the depot is licensed for a full period of 12 months and handles fewer than 300 transactions is the charge $1,500.

These amendments will support a level playing field for businesses by setting rules to ensure licence holders are not financially disadvantaged by the date on which their licence is granted.

Together with the Customs Amendment (Strengthening and Modernising Licensing and Other Measures) Bill, this Bill will modernise and strengthen the customs licensing regime, and have been consulted with industry.

I commend this Bill to the Chamber.

Debate adjourned.