Commonwealth of Australia Explanatory Memoranda

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SPACE ACTIVITIES AMENDMENT (LAUNCHES AND RETURNS) BILL 2018

                              2016-2017-2018



    THE PARLIAMENT OF THE COMMONWEALTH OF AUSTRALIA




                              THE SENATE




SPACE ACTIVITIES AMENDMENT (LAUNCHES AND RETURNS)
                     BILL 2018




                          ADDENDUM TO THE

                   EXPLANATORY MEMORANDUM




      (Circulated by authority of the Minister for Jobs and Innovation,
                  Senator the Honourable Michaelia Cash)
BACKGROUND TO THE ADDENDUM

This addendum responds to consideration of the Space Activities Amendment (Launches and
Return) Bill 2018 (the Bill) by the Senate Standing Committee for the Scrutiny of Bills (the
Committee).

In its Scrutiny Digest No. 6 of 2018 the Committee sought advice from the Minister regarding
advice as to:

      why it is necessary and appropriate that the rules incorporate documents as in force or
       existing from time to time, rather than as in force or existing at a particular time (for
       example, when the rules are made);
      the type of documents that it is envisaged may be applied, adopted or incorporated by
       reference in rules made under proposed section 110; and
      whether these documents will be made freely available to all persons interested in the
       law.

In Scrutiny Digest No. 8 of 2018, released on 15 August 2018, the Committee requested that
the information provided by the Minister in response to its request be included in the
explanatory memorandum to the Bill.

NOTES ON CLAUSES

Schedule 1--Main Amendments

Space Activities Act 1998

Item 187: Section 110

After paragraph 218 (page 32), insert:

218A. Rules will be disallowable legislative instruments. Several rules are proposed in
      relation to a number of subjects including defining high power rockets, fees and
      insurance, and requirements for licences and permits.

After paragraph 219 (page 32), insert:

219A. It is necessary and appropriate that the proposed rules incorporate documents as in
      force or existing from time to time to increase the flexibility of the instrument to
      respond to the rapidly evolving nature of space technologies (therefore supporting the
      growth of the sector), and the need to agilely review and update insurance in response
      to safety and market interests.

219B. Documents such as the Flight Safety Code and the Maximum Probable Loss
      Methodology are envisaged being applied, adopted, or incorporated by reference into
      the proposed rules.



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219C. For example, the definition for 'high power rocket' will be prescribed by the rules.
      This provides the flexibility for the definition to be readily updated when necessary to
      maintain currency with changing practice. It is anticipated that this proposed rule will
      incorporate by reference the Flight Safety Code. The Flight Safety Code may also be
      incorporated by reference in proposed rules dealing with the application process for
      (for example) launches to space; as it sets out requirements for applicants to
      demonstrate that their proposed launch activities will be safe and effective. Flexibility
      is needed in case safety requirements change.

219D. Insurance required for each launch or return will be specified in the rules, noting that
      the amount will not exceed $100 million. Moving the detail of the insurance
      requirements to the rules allows for greater flexibility to update requirements as the
      nature of space activities evolves. It is anticipated that this proposed rule will
      incorporate by reference the Maximum Probable Loss Methodology as this is a
      method for determining insurance requirements based on risks and potential
      consequences during phases of flight of space vehicles beginning at ignition and
      ending either on orbit, impact or recovery.

219E. All documents applied, adopted, or incorporated by reference into the rules will be
      made freely available on the Australian Space Agency website. Where documents
      relate to licensing they will be identified on the Australian Business Licence and
      Information Service website.

219F. All explanatory statements will include information about the incorporated
      documents, and where they can be freely accessed in accordance with the Senate
      Standing Committee on Regulations and Ordinances' Guideline on incorporation of
      documents.




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