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Committees There was no requirement for the Hazardous Waste Technical Advisory group to meet this year. Compliance and enforcement



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Committees

There was no requirement for the Hazardous Waste Technical Advisory group to meet this year.



Compliance and enforcement

The department continued to strengthen its enforcement activities and acted in cooperation with the Australian Customs and Border Protection Service to prevent illegal traffic in hazardous waste.

Those with information that may be helpful in stopping illegal exports can contact the department’s hazardous waste unit by calling 1800 803 772 or emailing hwa@environment.gov.au.

Resources

The following resources relate to information referred to in Outcome 2, Sustainable Environment Legislation.



For more information on the Hazardous Waste Act and its operation www.environment.gov.au/settlements/chemicals/hazardous-waste

Permit applications and decisions under the Hazardous Waste Act
www.ag.gov.au/portal/govgazonline.nsf/0/BBBB7C8630DA58EBCA256D0800089121?OpenDocument

Operation of the Ozone Protection and Synthetic Greenhouse Gas Management Act 1989

The Ozone Protection and Synthetic Greenhouse Gas Management Act 1989 is the legislative mechanism under which Australia meets its obligations to phase out ozone-depleting substances under the Montreal Protocol on Substances that Deplete the Ozone Layer, and to limit greenhouse gas emissions by controlling the use of synthetic greenhouse gases under the Kyoto Protocol.

The Act controls the import, export, manufacture, acquisition, use, storage, handling and disposal of these substances. In implementing these measures, Australia has adopted a progressive approach. Australia has a longstanding agreement between the state and territory governments and industry for an accelerated phase out of ozone-depleting substances. Australia will phase out hydrochlorofluorocarbons (HCFCs) by meeting phase out obligations of 99.5 per cent in 2016. In the process, Australia will use some 60 per cent less HCFCs than permitted under the Montreal Protocol. Australia has adopted parallel import, manufacture and end-use controls for synthetic greenhouse gases, as these are common replacements for ozone-depleting substances. This initiative provides a consistent approach for industry and results in reduced emissions of these substances.

Purpose

The purpose of the Ozone Protection and Synthetic Greenhouse Gas Management Act 1989 is to:



  • implement the provisions of the 1985 Vienna Convention for the Protection of the Ozone Layer and the 1987 Montreal Protocol on Substances that Deplete the Ozone Layer

  • institute specific controls on the manufacture, import, export, distribution and use of ozone-depleting substances

  • encourage Australian industry to replace ozone-depleting substances and achieve a faster and greater reduction than are provided for in the Vienna Convention and the Montreal Protocol to the extent that is reasonably possible given the availability of suitable alternative substances and appropriate technology and devices

  • control the manufacture, import, export and use of synthetic greenhouse gases that are used to replace ozone-depleting substances, to give effect to Australia’s obligations under the United Nations Framework Convention on Climate Change

  • promote the responsible use of ozone-depleting substances and synthetic greenhouse gases to minimise their effect on the atmosphere.

Operation

Licensing

The Ozone Protection and Synthetic Greenhouse Gas Management Act 1989 establishes a licensing system to enable Australia to meet its international obligations. The Act applies consistent controls on the use of ozone-depleting substances, and the synthetic greenhouse gases used to replace them, to minimise the emission of these substances to the atmosphere. The Act:



  • prohibits the import, export or manufacture of chlorofluorocarbons (CFCs), halons (halon 1211, 1301 and 2402), carbon tetrachloride, methyl chloroform, bromochloromethane and hydrobromofluorocarbons (HBFCs) without either an essential use licence or a used substance licence

  • establishes a system of controlled substance licences and reporting requirements for the import, export or manufacture of HCFCs, methyl bromide, hydrofluorocarbons (HFCs) and perfluorocarbons (PFCs), consistent with Australia’s obligations under the Montreal Protocol and the United Nations Framework Convention on Climate Change

  • establishes a licensing system for the import of refrigeration and air conditioning equipment that contains an HFC or HCFC refrigerant charge (pre-charged equipment), thereby applying the same conditions and responsibilities for these substances when imported in equipment that apply to their importation in bulk form.

Quota

The quantity of controlled HCFCs that can be imported into Australia is stipulated in the Ozone Protection and Synthetic Greenhouse Gas Management Act 1989. The quota reduced from 100 ozone-depleting potential (ODP) tonnes in 2009 to 70 ODP tonnes per year for 2010 and 2011. It will further reduce by 30 ODP tonnes every second year until 2016, when 2.5 ODP tonnes can be imported annually for equipment servicing until completion of the phase-out in 2030.



Revenue

The Ozone Protection and Synthetic Greenhouse Gas Management Act 1989 establishes administrative fees for licences issued, at the levels set under the Ozone Protection and Synthetic Greenhouse Gas Management Regulations 1995. The Act also establishes the Ozone Protection and SGG (Synthetic Greenhouse Gas) Account. This allows revenue from the licensing system, import and manufacture levies and the National Halon Bank, to be directed towards the cost of administration; phase out programs for ozone-depleting substances; emission minimisation programs, and the operation of the National Halon Bank.



End-use regulations

Under the Ozone Protection and Synthetic Greenhouse Gas Management Act 1989 creates regulation-making powers to allow the Australian Government to develop end-use controls on acquisition, purchase, sale, handling, use, storage and disposal of ozone-depleting substances and synthetic greenhouse gases.

End-use regulations have been implemented for the use of ozone-depleting and synthetic greenhouse gases in the refrigeration and air conditioning and fire protection industries. Regulations also control the use of methyl bromide as a feedstock and as a fumigant for approved critical uses, and quarantine and pre-shipment uses.

These regulations assist Australia to meet its phase out obligations under the Montreal Protocol. They also lead to reduced emissions of ozone-depleting substances and synthetic greenhouse gases through the establishment of minimum industry standards.

The Australian Refrigeration Council and the Fire Protection Association of Australia were appointed to administer the permit schemes in the refrigeration and air conditioning industry and the fire protection industry respectively.

Product stewardship

Holders of import licences under the Ozone Protection and Synthetic Greenhouse Gas Management Act 1989 are required, as a condition of their licence, to meet product stewardship obligations. To date all licensees have elected to do so by joining Refrigerant Reclaim Australia. Membership obliges licensees to pay to Refrigerant Reclaim Australia $2 per kilogram of ozone-depleting substance or synthetic greenhouse gas refrigerant imported. This money is used to fund collection of used refrigerant at end-of-life and its subsequent destruction.

In 2010–11 Refrigerant Reclaim Australia collected and destroyed 450 tonnes of ozone-depleting substances and synthetic greenhouse gas refrigerants. This continues a steady year-on-year increase, from 200 tonnes in 2003–04.

Permits

Licences issued

Four types of licences can be issued under the Ozone Protection and Synthetic Greenhouse Gas Management Act 1989: controlled substance; essential use; used substance, and pre-charged equipment. There is one type of exemption under section 40 for essential use.

In 2009 a partial fee waiver for pre-charged equipment licences was introduced for one-off, low-volume importers to reduce costs for importers who could be considered as personal importers. People who import five or fewer pieces of equipment containing 10 kilograms or less of refrigerant can apply for a partial waiver of the application fee, reducing the cost from $3 000 to $400.

Essential use exemptions and licences for controlled substances, used substances, essential uses and pre-charged equipment are granted for a period of up to two years. The current licensing period ends on 31 December 2011.

Up until the recent amendments to the Ozone Protection and Synthetic Greenhouse Gas Management Act 1989 all licences that were granted fell within a fixed two-year licence period. Since the changes, the new licensing period will not be a set period. While the licences granted remain valid for two years, they are two years from the date of issue, rather than valid within a prescribed two year period.

There were 1 413 licences active during the 2010–11 licensing period.

Table 1: Active licences as at 30 June 2011

Type of licence

Number

Controlled substances HCFC

9

Controlled substances HFC

21

Controlled substances methyl bromide

7

Pre-charged refrigeration and air conditioning equipment1

1 176

Used substances

2

Section 40 exemptions

15

Note:

1 Does not include ‘one-off’ licences for imports of less than five items of equipment containing less than 10 kilograms of refrigerant.

Revenue

The Ozone Protection and Synthetic Greenhouse Gas Management Act 1989 provides for licence and exemption application fees to be levied.



Table 2: Licence and exemption fees

Type of licence/exemption

Fee

Controlled substance

$15 000 per licence period

Essential use

$3 000 per licence period

Used substance

$15 000 per licence period

Pre-charged equipment

$3 000 per licence period

$400 for single use low volume import licence



Section 40

$3 000 per exemption period

Levies on imports and manufacturing activity under a controlled substance licence are payable each quarter under the Ozone Protection and Synthetic Greenhouse Gas (Import Levy) Act 1995 and the Ozone Protection and Synthetic Greenhouse Gas (Manufacture Levy) Act 1995. The levies are applied according to the quantity and ozone-depleting potential of hydrochlorofluorocarbons (HCFCs) imported or manufactured or the quantity of methyl bromide, hybrid fibre-coaxial (HFC) or perfluorinated compound (PFC) imported or manufactured (see Table 3). Australia has not manufactured ozone-depleting substances since 1996 and has never manufactured HFCs or PFCs.

Table 3: Activity fees

Licensed activity

Fee

Import HCFCs

$3 000 per ODP1 tonne

Import HFCs and PFCs

$165 per metric tonne

Import methyl bromide

$135 per metric tonne

Note:

1 Ozone-depleting potential (ODP) is a comparative measure, using chlorofluorocarbon as a base level of 1. For example, one metric tonne of methyl bromide equals 0.6 ODP tonnes.

Licence fees and levies are set at the level estimated to be the cost to the government of administering the legislation and undertaking programs associated with phase-out and emission minimisation. These fees are held in the Ozone Protection and Synthetic Greenhouse Gas Account.

The purpose of the account is to reimburse the government for the costs associated with:



  • administration of the Act and Regulations

  • progressing the ozone-depleting substance phase out and the ozone-depleting substance and synthetic greenhouse gas emission minimisation programs

  • management of the National Halon Bank.

Funds received during 2010–11 from operation of the National Halon Bank and licence fees and levies are shown in Table 4.

Table 4: Ozone protection and SGG account receipts and expenditure

Activity

Amount received in 2010–11 ($)

Levies

908 750

Licence Fees

1 209 503

National Halon Bank Sales and Services

718 482

Total

2 877 862

Account

Amount received in 2010–11 ($)

Grants

Nil

Suppliers

118 461

Other

3 727 442

Total

2 023 842

Projects funded from the Ozone Protection and SGG Account

A research project to obtain data on emissions of ozone-depleting substances and synthetic greenhouse gases from landfill conducted at the Rye Landfill in Melbourne was finalised in 2010–11. The study provided data for estimating emission levels from municipal solid waste that may also have contained end-of-life equipment or components. The data will be used to refine existing models, which contribute to formulating Australia’s National Greenhouse Gas Inventory.

Funding was provided for the development of training and assessment materials to support the fire protection industry competencies, which are the basis of the Fire Protection Industry Regulations. Funding of $78 650 was provided for 2010–11.

Funding for the Experienced Persons Licence Transition Program was provided to four organisations across Australia in 2010–11. The program assessed competency against the four national refrigeration and air conditioning licence requirements: full refrigeration and air conditioning; automotive air conditioning; split-systems air conditioning, and domestic appliances. Funding was provided under the program to improve access to competency assessment for refrigeration and air conditioning technicians who do not hold formal trade qualifications. The program focused on geographic areas that had limited access to these services.

The strategy to encourage Australian ozone science continued this year. The Ozone Science Group met three times during 2010–11 and continued to collaborate on ozone science activities and publications. The top-up scholarship for a student commencing a PhD this year was advertised, but no applications were received. The top-up scholarship processes will be reviewed before advertising in 2011.

Refrigeration and air conditioning

The Ozone Protection and Synthetic Greenhouse Gas Management Regulations 1995 establish a competency-based permit scheme for the refrigeration and air conditioning (RAC) industry in Australia. Four types of permits are issued:



  • Refrigerant Handling Licence allows the holder to handle controlled refrigerants in the RAC industry

  • Refrigerant Trading Authorisation allows the holder to acquire, possess and dispose of controlled refrigerants

  • Restricted Refrigerant Trading Authorisation allows the holder to acquire, possess and dispose of controlled refrigerants but only where they have been reclaimed from end-of-life RAC equipment, and only where the refrigerant is supplied to the operator of an approved refrigerant destruction facility

  • Refrigeration Equipment Manufacturers Authorisation allows the holder to acquire and use controlled refrigerants in the manufacture of RAC equipment.

The operation of the permit scheme is contracted to the Australian Refrigeration Council.

Table 5: Permits issued at 30 June 2011

Permits

Issued

Authorisations

16 573

Licences

52 937

Compliance and enforcement activities

The Australian Refrigeration Council (ARC) conducts a compliance audit program under its contract. A range of audits are conducted, including on-site (planned, scheduled audits); remote (paper-based); desktop (telephone-based); drive-by (random drop-in audits). Technical assistance is also provided to the Australian Customs and Border Protection Service where illegal import is suspected, and the ARC follows up on complaints about permit holders.



Table 6: Number of compliance audit program audits conducted in 2010–11

Audits

Number

On-site and remote audits

3 584

Drive-by audits

3 044

Desktop audits

361

Assisting Customs

13

Complaint-related site visits

38

Finances

The permit system operated by the ARC collected $4 576 752 in permit application fees to 1 July 2011. The department paid the ARC $4 951 779 (GST exclusive) in operating expenses over the same period.



Fire protection

The Ozone Protection and Synthetic Greenhouse Gas Management Regulations have established a competency-based permit scheme for the fire protection industry in Australia for systems using halocarbon-extinguishing agents. Four types of permits are issued.



Table 7: Permits issued at 30 June 2011

Permits

Issued

Authorisations

115

Licences

1 286

Halon special permits

33

Special purpose exemptions

3

Finances

The permit system operated by the Fire Protection Association of Australia collected $151 400 to 30 June 2011 in permit application fees. The department paid the Fire Protection Association of Australia $387 679 in operating expenses over the same period.



Montreal Protocol’s Multilateral Fund

Australia provides financial assistance through the Montreal Protocol’s Multilateral Fund to assist developing countries to comply with the phase out requirements under the protocol. In 2009 Australia was one of 14 members of the Executive Committee of the Multilateral Fund that oversees governance of the funding, including considering project approvals and outcomes. Australia continued to participate in the Executive Committee in 2011 sharing membership with Canada.



Resources

The following resources relate to information referred to in Outcome 2, Sustainable Environment Legislation.



Ozone protection and synthetic greenhouse gas management www.environment.gov.au/atmosphere/ozone

Operation of the product stewardship arrangements for oil, including the Product Stewardship (Oil) Act 2000

The Product Stewardship for Oil Program is underpinned by a package of legislation and associated regulations:



  • The Product Stewardship (Oil) Act 2000 (the PSO Act) is the primary piece of legislation that establishes the general framework and benefit entitlements. The policy settings for the stewardship arrangements are established and governed by the minister. The PSO Act also establishes the Oil Stewardship Advisory Council.

  • The Product Stewardship (Oil) Regulations 2000 prescribe the product stewardship benefit rates.

  • The Excise Tariff Amendment (Product Stewardship for Waste Oil) Act 2000 and the Customs Tariff Amendment (Product Stewardship for Waste Oil) Act 2000 and associated regulations establish the product stewardship levy.

  • The Product Stewardship (Oil) (Consequential Amendments) Act 2000 contributes to the establishment of the levy and the general administrative provisions in the Product Grants and Benefits Administration Act 2000.

  • The Product Grants and Benefits Administration Act 2000 sets out eligibility criteria and establishes the administrative mechanisms used by the Australian Taxation Office to pay benefits to recyclers.

Used oil collection unit.

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