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2019
THE PARLIAMENT OF THE COMMONWEALTH OF AUSTRALIA
SENATE
ROAD VEHICLE STANDARDS LEGISLATION AMENDMENT BILL 2019
EXPLANATORY MEMORANDUM
(Circulated by authority of the Minister for Infrastructure, Transport and Regional
Development, the Hon Michael McCormack MP)
ROAD VEHICLE STANDARDS LEGISLATION AMENDMENT BILL 2019
OUTLINE
Purpose
The purpose of the Bill is to amend the Road Vehicle Standards Act 2018 and the Road
Vehicle Standards (Consequential and Transitional Provisions) Act 2018 to postpone the
commencement of the substantive provisions of these Acts.
The Road Vehicle Standards Act 2018 and related legislation replaces the Motor Vehicle
Standards Act 1989. It will provide a strengthened and modernised framework for the
regulation of road vehicles in Australia, which will maintain and improve vehicle safety,
provide more choice for specialist and enthusiast vehicles and be responsive to emerging
technologies. The postponed commencement of the Road Vehicle Standards Act 2018 and
related legislation will provide more time for the Government, and for manufacturers,
importers and in-service regulators of vehicles to prepare to transition to the new
arrangements under this legislation.
Effect of principal provisions
The effect of the principal provisions of the Bill is to ensure that the substantive provisions of
the Road Vehicle Standards Act 2018 and the Road Vehicle Standards (Consequential and
Transitional Provisions) Act 2018 commence on a date to be fixed by Proclamation, or on
1 July 2021 if not proclaimed before that date.
Policy background
The Road Vehicle Standards Act 2018 and related legislation is the most important and
extensive set of changes to the regulation of road vehicles in almost three decades. The
reforms affect every aspect of existing practice. More time is needed for all affected parties to
ensure the smooth implementation of the reforms and avoid needless disadvantage to
Australian businesses in transitioning to the new legislative arrangements.
Postponement of the commencement of the substantive provisions of the legislation will give
stakeholders the opportunity to become familiar with their obligations under the new
legislation, engage in detailed planning with the Government and properly sequence required
changes to business processes to maximise the benefits available to them, once the substantive
provisions of the legislation commence.
The Government will use the additional time to continue engaging with stakeholders through
established consultation arrangements, and coordinate readiness across Commonwealth, state
and territory governments to ensure the timing for commencement of the legislation is right
and make the transition to the Road Vehicle Standards legislation as smooth as possible.
Financial impact statement
No significant direct or indirect financial impact on the Commonwealth will arise from the
passage of this Bill.
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Statement of Compatibility with Human Rights
Prepared in accordance with Part 3 of the Human Rights (Parliamentary Scrutiny) Act 2011
Road Vehicle Standards Legislation Amendment Bill 2019
This Bill is compatible with the human rights and freedoms recognised or declared in the
international instruments listed in section 3 of the Human Rights (Parliamentary Scrutiny) Act
2011.
Overview of the Bill/Legislative Instrument
The Road Vehicle Standards Legislation Amendment Bill 2019 (the Bill) is compatible with
the human rights and freedoms recognised or declared in the international instruments listed
in section 3 of the Human Rights (Parliamentary Scrutiny) Act 2011.
The purpose of the Bill is to postpone the commencement of the substantive provisions of the
Road Vehicle Standards Act 2018 and Road Vehicle Standards (Consequential and
Transitional Provisions) Act 2018. It will ensure that the substantive provisions of these Acts
commence on a date to be fixed by Proclamation, or on 1 July 2021 if not proclaimed before
that date. It does not affect the operation of the substantive provisions once they commence.
In this regard, the Bill has limited legal effect.
The postponed commencement of the Road Vehicle Standards Act 2018 and related
legislation will provide more time for the Government, and for manufacturers, importers and
in-service regulators of vehicles to prepare to transition to the new arrangements under this
legislation. The Road Vehicle Standards Act 2018 and related legislation replaces the Motor
Vehicle Standards Act 1989.
Human rights implications
Given the limited legal effect of the Bill, it does not engage or otherwise affect the human
rights or freedoms relevant to the Human Rights (Parliamentary Scrutiny) Act 2011.
The Bill preserves the substantive provisions of the Road Vehicle Standards Act 2018 and
Road Vehicle Standards (Consequential and Transitional Provisions) Act 2018, which sets
out transitional arrangements to support the Road Vehicle Standards Act 2018. To the extent
that these Acts engage human rights relevant to the Human Rights (Parliamentary Scrutiny)
Act 2011, and promote or limit these rights in a reasonable and proportionate way as set out in
the Statements of Compatibility with Human Rights relevant to these Acts, this is maintained
by the Bill.
The postponed commencement does not deprive the Australian community of a framework
for the regulation of road vehicles at the point they are supplied to the Australian market.
Until commencement of the Road Vehicle Standards Act 2018 and related legislation, the
Motor Vehicle Standards Act 1989 will continue in force, and is the existing regulatory
framework to ensure that vehicles supplied to the Australian market and used on public roads
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meet safety, environmental and anti-theft standards. The Competition and Consumer Act 2010
currently provides for safety recalls for road vehicles that are also consumer goods.
Conclusion
The Road Vehicle Standards Legislation Amendment Bill 2019 is compatible with human
rights as it does not raise any human rights issues.
Minister for Infrastructure, Transport and Regional Development,
the Hon Michael McCormack MP
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NOTES ON CLAUSES
Clause 1: Short title
1. Clause 1 provides that the short title of the Act, if made, will be the Road Vehicle
Standards Legislation Amendment Act 2019.
Clause 2: Commencement
2. Clause 2 provides that the whole of the Road Vehicle Standards Legislation Amendment
Act 2019 will commence the day after this Act receives Royal Assent. The Road Vehicle
Standards Act 2018 and Road Vehicle Standards (Consequential and Transitional
Provisions) Act 2018 are amended from this date.
Clause 3: Schedules
3. Clause 3 provides that there will be Schedules to the Act. It provides that items in
Schedules can amend or repeal legislation as set out by the terms of the items, or have
another effect according to the terms of the items.
4. Items in Schedule 1 amend provisions of the Road Vehicle Standards Act 2018 (items 1 to
7) and Road Vehicle Standards (Consequential and Transitional Provisions) Act 2018
(items 8 to 9) related to the commencement of that legislation.
5. In summary, where commencement dates of provisions of the Road Vehicle Standards Act
2018 and Road Vehicle Standards (Consequential and Transitional Provisions) Act 2018
were the day after the end of the 12 month period after Royal Assent, the commencement
dates will be amended to be a date set by Proclamation but no later than 1 July 2021.
Where commencement dates were the day after the Acts received Royal Assent, these
commencement dates remain the same.
6. Schedule 1 provides flexibility for different commencement dates to be fixed by
Proclamation for different provisions of the Road Vehicle Standards Act 2018 and Road
Vehicle Standards (Consequential and Transitional Provisions) Act 2018, if required.
7. The last date on which the provisions of the Road Vehicle Standards Act 2018 and Road
Vehicle Standards (Consequential and Transitional Provisions) Act 2018 may commence
is 1 July 2021, although these provisions may commence earlier if an earlier date is fixed
by Proclamation. This is potentially a significant deferral for commencement of
substantive provisions of this legislation. The reason for this deferral is that the Road
Vehicle Standards Act 2018 and related legislation is the most important and extensive set
of changes to the regulation of road vehicles in almost three decades. A longer
implementation period is needed for all affected parties to ensure the smooth
implementation of the reforms and avoid needless disadvantage to Australian businesses
in transitioning to the new legislative arrangements.
8. Postponement of the commencement of the substantive provisions of the legislation up to
no later than 1 July 2021 will give stakeholders the opportunity to become familiar with
their obligations under the new legislation. It will also give stakeholders further
opportunity to engage in detailed planning with the Government, and to develop, test,
properly sequence and implement changes to business processes to maximise the benefits
available to them once the substantive provisions of the legislation commence.
9. Postponement of commencement will also allow the Government to finalise regulatory
business processes including IT systems support, provide the guidance required by
industry stakeholders, continue engaging with stakeholders through established
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consultation arrangements, and coordinate readiness across Commonwealth, state and
territory governments to ensure the timing for commencement of the legislation is right
and make the transition as smooth as possible.
10. Allowing a commencement date to be set by Proclamation, with a default of 1 July 2021,
will allow the incorporation of time contingency and for commencement to be set at a
time that is appropriate having regard to business operations.
11. The postponed commencement does not deprive the Australian community of a
framework for the regulation of road vehicles at the point they are supplied to the
Australian market. Until commencement of the Road Vehicle Standards Act 2018 and
related legislation, the Motor Vehicle Standards Act 1989 will continue in force, and is the
existing regulatory framework to ensure that vehicles supplied to the Australian market
and used on public roads meet safety, environmental and anti-theft standards. The
Competition and Consumer Act 2010 currently provides for safety recalls for road
vehicles that are also consumer goods.
SCHEDULE 1 - AMENDMENTS
Item 1- Subsection 2(1) (table item 3)
12. Item 1 amends the commencement table in the Road Vehicle Standards Act 2018 related
to sections 15 to 18 of that Act. Sections 15 to 18 are substantive provisions relating to the
entry of vehicles on a Register of Approved Vehicles.
13. Sections 15 to 18 were to commence on the day after the end of the period of 12 months
beginning on the day the Act received Royal Assent. Item 1 amends this commencement
date to be a date to be fixed by Proclamation. Item 1 also provides that if no
commencement date is fixed by Proclamation before 1 July 2021, then the
commencement date is 1 July 2021.
Item 2 - Subsection 2(1) (table item 5)
14. Item 2 amends the commencement table in the Road Vehicle Standards Act 2018 related
to section 22 of that Act. Section 22 creates an offence and civil penalty provision related
to the importation of road vehicles without permission.
15. Section 22 of the Road Vehicle Standards Act 2018 was to commence on the day after the
end of the period of 12 months beginning on the day the Act received Royal Assent.
Item 2 amends this commencement date to be a date to be fixed by Proclamation. Item 2
also provides that if no commencement date is fixed by Proclamation before 1 July 2021,
then the commencement date is 1 July 2021.
Item 3 - Subsection 2(1) (table item 7)
16. Item 3 amends the commencement table in the Road Vehicle Standards Act 2018 related
to section 24 of that Act. Section 24 creates an offence and civil penalty provision related
to the provision of a vehicle for the first time in Australia if the vehicle is not entered on
the Register of Approved Vehicles.
17. Section 24 of the Road Vehicle Standards Act 2018 was to commence on the day after the
end of the period of 12 months beginning on the day the Act received Royal Assent.
Item 3 amends this commencement date to be a date to be fixed by Proclamation. Item 3
also provides that if no commencement date is fixed by Proclamation before 1 July 2021,
then the commencement date is 1 July 2021.
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Item 4 - Subsection 2(1) (table item 9)
18. Item 4 amends the commencement table in the Road Vehicle Standards Act 2018 related
to section 26 of that Act. Section 26 creates an offence and civil penalty provision related
to the modification of a vehicle after it is entered on the Register of Approved Vehicles
but before it is provided to a consumer for the first time in Australia.
19. Section 26 of the Road Vehicle Standards Act 2018 was to commence on the day after the
end of the period of 12 months beginning on the day the Act received Royal Assent. Item
4 amends this commencement date to be a date to be fixed by Proclamation. Item 4 also
provides that if no commencement date is fixed by Proclamation before 1 July 2021, then
the commencement date is 1 July 2021.
Item 5 - Subsection 2(1) (table item 11)
20. Item 5 amends the commencement table in the Road Vehicle Standards Act 2018 related
to section 29 of that Act. Section 29 creates an offence and civil penalty provision related
to the breach of a condition of an approval related to the export or destruction of a vehicle.
21. Section 29 of the Road Vehicle Standards Act 2018 was to commence on the day after the
end of the period of 12 months beginning on the day the Act received Royal Assent.
Item 5 amends this commencement date to be a date to be fixed by Proclamation. Item 5
also provides that if no commencement date is fixed by Proclamation before 1 July 2021,
then the commencement date is 1 July 2021.
Item 6 - Subsection 2(1) (table item 13)
22. Item 6 amends the commencement table in the Road Vehicle Standards Act 2018 related
to sections 38 to 47 of that Act. Sections 38 to 47 set out arrangements relating to recalls
of road vehicles and approved road vehicle components.
23. Sections 38 to 47 of the Road Vehicle Standards Act 2018 were to commence on the day
after the end of the period of 12 months beginning on the day the Act received Royal
Assent. Item 6 amends this commencement date to be a date to be fixed by Proclamation.
Item 6 also provides that if no commencement date is fixed by Proclamation before 1
July 2021, then the commencement date is 1 July 2021.
Item 7- Subsection 2(1) (table item 15)
24. Item 7 amends the commencement table in the Road Vehicle Standards Act 2018 related
to sections 75 to 78 of that Act. Sections 75 to 78 are miscellaneous matters relating to
how conditions relating to authority to take delivery of a vehicle may be satisfied, what
may considered to be a safety standard for the purpose of the Australian Consumer Law,
and certain interactions between the Road Vehicle Standards Act 2018 and state and
territory laws relating to road vehicles.
25. Sections 75 to 78 of the Road Vehicle Standards Act 2018 were to commence on the day
after the end of the period of 12 months beginning on the day the Act received Royal
Assent. Item 7 amends this commencement date to be a date to be fixed by Proclamation.
Item 7 also provides that if no commencement date is fixed by Proclamation before 1
July 2021, then the commencement date is 1 July 2021.
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Item 8 - Item 1 of Schedule 1 (heading)
26. Item 8 amends a subheading under Schedule 1 of the Road Vehicle Standards
(Consequential and Transitional Provisions) Act 2018, which sets out transitional
arrangements relating to national road vehicle standards. The subheading currently reads
'Transitional national road vehicle standards for the first 12 months'. The subheading will
be amended to read simply 'Transitional national road vehicle standards'.
27. This reflects that the transition period between the date of Royal Assent for the Road
Vehicle Standards Act 2018 and related legislation and the date that standards are required
to be considered to be in force, will be amended by item 9 of the Road Vehicle Standards
Legislation Amendment Act 2019.
Item 9 - Subitem 1(1) of Schedule 1
28. Item 9 amends subitem 1(1) of Schedule 1 of the Road Vehicle Standards (Consequential
and Transitional Provisions) Act 2018, which sets out transitional arrangements relating
to national road vehicle standards. Subitem 1(1) currently provides that the transitional
arrangements set out in that Schedule apply for the period of 12 months beginning on the
day that the Road Vehicle Standards Act 2018 received Royal Assent.
29. The amended subitem 1(1) will instead provide that the transitional arrangements set out
in Schedule 1 of the Road Vehicle Standards (Consequential and Transitional Provisions)
Act 2018 apply for the period of 10 December 2018 (the date that the Road Vehicle
Standards Act 2018 received Royal Assent) to the day before section 15 of the Road
Vehicle Standards Act 2018 commences. This will ensure that the date of commencement
of Schedule 1 Road Vehicle Standards (Consequential and Transitional Provisions) Act
2018 will also be consistent with the dates that Schedules 2 and 3 of that Act (which also
relate to the transition of national road vehicle standards) commence.
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