Commonwealth of Australia Explanatory Memoranda

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RECYCLING AND WASTE REDUCTION BILL 2020

                              2019-2020




 THE PARLIAMENT OF THE COMMONWEALTH OF AUSTRALIA




                 HOUSE OF REPRESENTATIVES




      RECYCLING AND WASTE REDUCTION BILL 2020




      SUPPLEMENTARY EXPLANATORY MEMORANDUM



Amendments and New Clauses to be Moved on Behalf of the Government




     (Circulated by authority of the Minister for the Environment,
                      the Hon. Sussan Ley MP)


AMENDMENTS TO THE RECYCLING AND WASTE REDUCTION BILL 2020 GENERAL OUTLINE The proposed amendments to the Recycling and Waste Reduction Bill 2020 (the Bill) will strengthen the objects of the Act in relation to product stewardship, increase transparency around the granting of export licences and exemptions to waste export provisions, strengthen the consultation requirements for the Minister's priority list, require the Minister to take certain action in relation to the Minister's priority list, change the timeframe for a review of the Bill to five years, and update minor administrative matters. FINANCIAL IMPACT The proposed amendments have no financial impact and will not alter the financial impact of the Bill. STATEMENT OF COMPATIBILITY WITH HUMAN RIGHTS The proposed amendments are 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 full Statement of Compatibility with Human Rights is at the end of this supplementary explanatory memorandum. 1


NOTES ON AMENDMENTS Amendment 1 This amendment will replace the current text within column 2 of item 1 of the table to subclause 2(1). The effect of the amendment will be to change the commencement date of the Recycling and Waste Reduction Act 2020 to the day after the Bill receives the Royal Assent. It is intended that this amendment will enable the regulation of the export of waste glass to commence by 1 January 2021 if the Bill is enacted. Amendment 2 This amendment will omit the word 'promote' from paragraph 3(1)(c) and replace it with 'develop'. Clause 3 deals with the objects of the Bill and the amendment will have the effect of clarifying that the relevant object is intended to focus on developing a circular economy, rather than promoting a circular economy. Amendment 3 This amendment will amend paragraph 3(2)(b) to insert the words 'remanufacture' after 'reuse'. This amendment recognises that the remanufacture of products complements the reuse, recycling and recovery of products as a means of developing a circular economy, and thereby reduces the impacts on human and environmental health of products and waste material. Amendment 4 This amendment will omit the words 'those responsible for using, designing, manufacturing and distributing products to take responsibility for those products' from paragraph 3(2)(c) and will replace those words with 'manufacturers, importers, distributors, designers and other persons to take responsibility for products'. This amendment clarifies that persons such as manufacturers, importers, distributors and designers will primarily be responsible for both the manufacture and end of life of products in relation to product stewardship measures under the Bill, rather than placing this responsibility on 'users' or 'consumers'. Amendment 5 This amendment will amend the simplified outline of Chapter 2 of the Bill to reflect the changes proposed by amendments 6 and 7 in relation to publishing information about licences and exemptions that have been granted, and preparing quarterly reports with the information. Amendment 6 This amendment will substitute a new clause 65 that requires the Minister to publish on the Department's website certain information in relation to export licences and exemptions granted under Chapter 2 of the Bill. The information required to be published will include the 2


name of the holder of the licence or exemption, the regulated waste material covered by the licence or exemption and the period of effect for the licence or exemption. The substituted clause 65 will also provide that the Minister must not publish any information under the section if the Minister is satisfied that there is a risk that publishing the information might substantially prejudice the commercial interests of a person and publishing the information is not in the public interest. The publishing of this information is intended to provide transparency and assist the waste export industry in understanding who holds an export licence or exemption and the regulated waste materials covered by the licences or exemptions. It is acknowledged that, to the extent that any licence or exemption holders are individuals rather than body corporates, this clause will require the Minister to publish personal information within the meaning of the Privacy Act 1988. However, it is anticipated that most holders of export licences or exemptions will be body corporates, for which the protections in the Privacy Act 1988 will not apply. In addition, publishing the names of holders of export licences or exemptions can assist entities to find a licensed exporter, as well as provide assurance that they are dealing with a person who is legally able to export the relevant waste material. The advantages of this increased transparency by reporting on licence holders and exemptions granted will outweigh the potential adverse consequences to the individual's right to privacy. Amendment 7 This amendment will insert a new clause 65A. Subclause 65A(1) and paragraph 65A(3)(a) will have the combined effect of requiring the Minister to prepare a report in each quarter of the financial year that includes the information that is published under clause 65. Paragraph 65A(3)(b) will also allow the rules to prescribe other matters that must be included in the quarterly report. Allowing the rules to prescribe additional matters that must be included in the quarterly report will provide the necessary flexibility as the requirements in the quarterly report may need to be tailored to the different waste streams that are regulated now and in the future. Subclause 65A(2) will require the Minister to prepare the quarterly report as soon as practicable after the end of each quarter of each financial year. Subclause 65A(4) will clarify that the Minister must not publish any information in the report if the Minister must not publish that information under clause 65. Subclause 65A(5) will require the Minister to publish a copy of the report on the Department's website. Amendment 7 is intended to provide greater transparency in relation to the regulation of waste material exports under the Bill. 3


Amendment 8 This amendment will substitute a new subclause 67(2) requires the Minister, in preparing a Minister's priority list, to consult with each State and Territory and relevant Centres of Excellence (if any). This amendment will ensure that certain key stakeholders, including each State and Territory, and any relevant product stewardship Centres of Excellence that will be established, must be consulted each time the Minister's priority list is prepared. Amendment 9 This amendment will insert a new subclause 67(2A) that provides that the Minister may, in preparing the Minister's priority list, consult with one or more of the listed stakeholders, or any other person or organisation the Minister considered should be consulted. The listed stakeholders are largely the same as the previous subclause 67(2) in the Bill, the only difference being that States and Territories are now a mandatory consultation requirement under new subclause 67(2). This amendment will ensure that appropriate consultation with relevant stakeholders occurs each time the Minister's priority list is prepared. Amendment 10 This amendment will require the Minister, when preparing the Minister's priority list, to have regard to any relevant national waste policy or plans. Current examples of such policies or plans would include the current National Waste Policy Action Plan 2019 as prepared by the Commonwealth, State and Territory governments and the Australian Local Government Association, and the National Waste Policy 2018. This amendment will ensure that relevant national waste policies or plans will be considered each time a Minister's priority list is prepared, which is intended to encourage greater consistency between product stewardship measures taken under this Bill and Australia's current national waste policies or plans. Amendment 11 This amendment is a consequential amendment to amendment 9. It will amend clause 67 to reference the new subclause 67(2A) that will be inserted by amendment 9. The effect will be that, when preparing the Minister's priority list each financial year, the Minister is able to have regard to information obtained in any consultations with persons covered by proposed subclause 67(2A). Amendment 12 This amendment will omit the word 'may' in paragraph 67(4)(b) and replace the word with 'if the recommended action has not been taken in relation to the product within the 4


recommended time - must'. This will require the Minister to either make further recommendations, or decide that some form of regulation under the Act is appropriate, where recommended actions for products have not been taken within the recommended times. This amendment is intended to ensure that there are consequences for the relevant industry if recommended actions are not met within the specified timeframes as it will require the Minister to take further action. This will provide a pathway for transition from a voluntary scheme to possible regulation under the Bill through a co-regulatory or mandatory scheme, where the voluntary scheme has not met the recommended actions in the specified timeframes. Amendment 13 This amendment will amend subclause 92(8) to insert the word 'remanufacture' after 'reuse'. This is a consequential amendment consistent with the change to the objects of the Bill proposed by Amendment 3. The effect will be to clarify that a product return payment, in relation to a product, includes a payment that a person is required to make to another person if the other person returns that kind of product for remanufacture. Amendment 14 This amendment will amend paragraph 144(2)(a) to insert the word 'remanufacture' after 'reuse'. This is a consequential amendment consistent with the change to the objects of the Bill proposed by Amendment 3. The effect will be to expand the rule-making power in clause 144(2) to allow rules to be made requiring information from constitutional corporations concerning the remanufacture of products. Amendment 15 This amendment will amend paragraph 144(2)(e) to insert the word 'remanufacture' after 'reuse'. This is a consequential amendment consistent with the change to the objects of the Bill proposed by Amendment 3. The effect will be to expand the rule-making power in clause 144(2) to allow rules to be made requiring information from constitutional corporations concerning activities relating to the remanufacturing. Amendment 16 This amendment will amend subclause 185(2) to provide that a review of the operation of the Act must commence no later than five years after the commencement of the Act. 5


This amendment will ensure the timely review of the new legislation to regulate waste material exports and product stewardship. 6


STATEMENT OF COMPATIBILITY WITH HUMAN RIGHTS Prepared in accordance with Part 3 of the Human Rights (Parliamentary Scrutiny) Act 2011 Amendments to the Recycling and Waste Reduction Bill 2020 The proposed amendments to the Bill are 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 amendments The Recycling and Waste Reduction Bill 2020 (the Bill) will strengthen the objects of the Act in relation to product stewardship, increase transparency around the granting of export licences and exemptions to waste export provisions, strengthen the consultation requirements for the Minister's priority list, require the Minister to take certain action in relation to the Minister's priority list, change the timeframe for a review of the Bill to five years, and update minor administrative matters. Human rights implications The proposed amendments to the Bill engage the following human rights:  the right to privacy in Article 17 of the International Covenant on Civil and Political Rights (ICCPR). Right to privacy Article 17 of the ICCPR prohibits arbitrary or unlawful interference with an individual's privacy, family, home or correspondence. The United Nations Human Rights Committee has given a liberal interpretation to the term 'home', which includes a person's workplace. The right to privacy can be limited to achieve a legitimate objective where the limitations are lawful and not arbitrary. In order for an interference with the right to privacy to be permissible, the interference must be authorised by law, be for a reason consistent with the ICCPR and be reasonable in the circumstances. Right to privacy - use and publication of information Amendment 6 will require the Minister to publish certain information on the Department's website relating to persons granted export licences and exemptions from provisions in the Bill relating to the regulation of waste material exports. The relevant information includes the name of the holder of the exemption or licence, the kind of regulated waste material covered, and the period the licence or exemption is in effect. The Minister must not publish any information under clause 65, introduced by amendment 6, if the Minister is satisfied that there is a risk that publishing the information might substantially prejudice the commercial interests of a person, and publishing the information is not in the public interest. Amendment 7 will insert a new clause 65A that requires the Minister to prepare and publish on the Department's website a report in relation to exemptions and export licences for each quarter of each financial year. This report will contain the information set out in clause 65, as introduced by Amendment 6, along with other information (if any) prescribed by the rules. 7


Amendment 7 will also require that the Minister does not publish any information in the report that the Minister is prevented from publishing under clause 65. The purpose of such publications of information is to provide transparency to industry and the public on regulation of waste export operations. It is acknowledged that, to the extent that any licence or exemption holders are individuals rather than body corporates, this clause will require the Minister to publish personal information within the meaning of the Privacy Act 1988. However, it is anticipated that most holders of export licences or exemptions will be body corporates, for which the protections in the Privacy Act 1988 will not apply. In addition, publishing the names of holders of export licences or exemptions can assist entities to find a licensed exporter, as well as provide assurance that they are dealing with a person who is legally able to export the relevant waste material. The advantages of this increased transparency by reporting on licence holders and exemptions granted will outweigh the potential adverse consequences to the individual's right to privacy. On this basis, the disclosure of the information specified in new clauses 65 and 65A, to the extent that they limit the right to privacy, is considered reasonable, necessary and proportionate to achieve legitimate objectives. Accordingly, the proposed amendments are consistent with the right to privacy in Article 17 of the ICCPR. Conclusion The proposed amendments are compatible with human rights as, to the extent that it engages and limits human rights (namely those under Article 17 of the ICCPR), those limitations are reasonable, necessary and proportionate to achieve the legitimate aims of the Bill. The Hon. Sussan Ley MP, Minister for the Environment 8


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