Change to Biosecurity Cost Recovery Charges

Monday, September 17, 2018
The revised charges are:

Participants who operate a single approved arrangement under the Automatic Entry Processing (AEP) scheme will no longer pay a $2900 fee, instead will pay:
  • an annual registration charge of $500; and
  • a charge of $18 per AEP entry. 
NOTE : FTA argued for a $0 annual fee with an increased fee per AEP entry to ensure importers pay at net cost. Instead the department opted for continuation of an annual charge (albeit reduced from $2900 to $500) with the rationale that it ensures customs brokers who are approved to operate in the AEP scheme but do not process any AEP entries still contribute to the cost of operating the scheme.

Participants that participate in the AEP scheme and also operate another approved arrangement (equivalent of what was formerly referred to as Quarantine Approved Premise) will pay:
  • an annual registration charge of $2,900; and
  • a charge of $18 per AEP entry.
Biosecurity industry participants with one approved arrangement site that is not under the AEP scheme will pay an annual charge of $2,500.

Biosecurity industry participants with more than one approved arrangement site will pay an annual charge of $2,900.
The new annual charges apply for the 2018-19 financial year. Annual billing will be issued in mid October 2018.

For further detail please refer to notice 117-2018 Change to Biosecurity Cost Recovery Charges

BIOSECURITY IMPORTS LEVY

The 2018 - 19 Federal Budget announced the introduction of a new levy on all containerised and non-containerised sea cargo.

FTA argued against the introduction of the levy as a tax to general revenue, preferring that any increase in fees be used to manage biosecurity risk with an appropriate level of transparency in departmental administration. As outlined in the advocacy for reform for Approved Arrangement cost recovery, FTA also argued that an increase in fees be administered on a per entry basis to ensure that importers pay at a net rate.

The following is an extract of a response has been received from the assistant Secretary, Biosecurity Policy and Response:

"I would like to take this opportunity to thank you for your participation in the consultation, your constructive feedback on the Levy design and the valuable insights into your operations. All the feedback received is being taken into account in progressing recommendations to government to inform the final Levy design and associated legislative drafting.

We will continue to engage with you to ensure parties are ready for commencement of the Levy on 1 July 2019. This includes consulting on an exposure draft of the Bill, ahead of its introduction in Parliament this year. You will receive an email notification of the timing and process for providing feedback on the exposure draft closer to the date. The department will also be hosting a meeting in Canberra, once the exposure draft has been released, to provide and outline of the draft legislation, which will give interested parties an additional opportunity to discuss, and provide feedback on the Bill and Levy design.

Once the Bill is introduced in Parliament, the department will work closely with affected industry parties to support the development of the necessary systems and processes required to implement the Levy upon its commencement on 1 July 2019."

For further detail please click HERE


Andrew Crawford - FTA / APSA