{"id":"C2004A04976","name":"Ozone Protection and Synthetic Greenhouse Gas (Import Levy) Act 1995","slug":"ozone-protection-and-synthetic-greenhouse-gas-import-levy-act-1995","collection":"act","jurisdiction":"commonwealth","status":"in_force","isInForce":true,"actNumber":"126 of 1995","makingDate":null,"administeringDepartment":null,"currentVersion":{"id":38894,"registerId":"commonwealth-C2004A04976-current","compilationNumber":null,"startDate":"2026-04-01","status":"InForce","reasons":null,"registeredAt":null},"sections":[{"sectionNumber":"1","sectionType":"section","heading":"Short title","content":"#### 1 Short title\n\n This Act may be cited as the Ozone Protection and Synthetic Greenhouse Gas (Import Levy) Act 1995.","sortOrder":0},{"sectionNumber":"2","sectionType":"section","heading":"Commencement","content":"#### 2 Commencement\n\n This Act commences on 1 January 1996.","sortOrder":1},{"sectionNumber":"2A","sectionType":"section","heading":"Definitions","content":"#### 2A Definitions\n\n In this Act:\n\n> amount includes a nil amount.\n\n> Management Act means the Ozone Protection and Synthetic Greenhouse Gas Management Act 1989.\n\n> Manufacture Levy Act means the Ozone Protection and Synthetic Greenhouse Gas (Manufacture Levy) Act 1995.\n\n> medical equipment includes pharmaceutical equipment.","sortOrder":2},{"sectionNumber":"3","sectionType":"section","heading":"Interpretation","content":"#### 3 Interpretation\n\n (1) An expression used in this Act has the same meaning in this Act as it has in the Management Act.\n (2) Without limiting subsection (1), section 9 (references to scheduled substances and equipment) of the Management Act applies in relation to this Act in the same way as that section applies in relation to the Management Act.\n (3) In determining for the purposes of this Act whether a licence allows the licensee to carry out an activity, disregard any suspension of the licence.\n\n> Note: For the effect of a licence suspension, see subsection 19D(4) of the Management Act.","sortOrder":3},{"sectionNumber":"3A","sectionType":"section","heading":"Import levy—SGGs","content":"#### 3A Import levy—SGGs\n\n (1) If:\n (a) a controlled substances licence allows the licensee to import SGGs; and\n (b) the licensee imports an SGG during a reporting period during which the licence is in force;\n levy is imposed on the licensee in respect of that import.\n\n> Note: This subsection applies only in relation to the import of SGGs that are bulk scheduled substances (see subsection 3(2) of this Act and subsection 9(1) of the Management Act). For SGG equipment imported under an equipment licence, see section 4A of this Act.\n\n (2) Subsection (1) does not apply to the import of an SGG in circumstances, or for a purpose, prescribed for the purposes of subsection 13AA(2) of the Management Act.\n (3) Subsection (1) does not apply to the import of an SGG that is to be used for a purpose prescribed by the regulations.\n (4) Subsection (1) does not apply to the import of an SGG if:\n (a) the SGG is imported for the purpose of the destruction of the SGG; and\n (b) the conditions specified in the regulations are satisfied.\n (6) For the purposes of this section, if a licence is in force for only part of a particular reporting period, that part is taken to be a reporting period.\n (6A) Subsection (6B) applies for the purposes of:\n (a) this section and any other section of this or any other Act that relates to this section; and\n (b) any regulations made under this or any other Act that relate to this section.\n (6B) The quantity of an SGG that is taken to be imported is the quantity actually imported reduced by the heel allowance percentage for the SGG.\n (7) The amount of levy imposed by subsection (1) on a licensee in respect of the import of an SGG in a reporting period is the amount worked out using the following formula:\n ![Start formula Number of tonnes of the SGG times Prescribed rate end formula](image.002.png)\n where:\n\n> prescribed rate means the amount prescribed by the regulations for the purposes of this definition.\n\n (9) If:\n (a) levy is imposed by subsection (1) on a licensee in respect of an import of an SGG; and\n (b) the Minister is satisfied that the SGG:\n (i) is to be used in medical equipment; or\n (ii) is to be used in the manufacture of medical equipment; or\n (iii) is to be used in equipment of a kind prescribed for the purposes of paragraph 13(4)(a) or (6)(a) of the Management Act; or\n (v) is to be used for a purpose prescribed by the regulations;\n the Minister may, by written notice given to the licensee, determine that the licensee is exempt from the levy.\n (11) In making a determination under subsection (9), the Minister must have regard to such matters as are specified in the regulations.\n (12) The Minister may, by writing, delegate the Minister’s power under subsection (9) to:\n (a) the Secretary; or\n (b) an SES employee or acting SES employee in the Department; or\n (c) an APS employee who holds, or is acting in, an Executive Level 2, or equivalent, position in the Department.\n\n> Note: Sections 34AA to 34A of the Acts Interpretation Act 1901 contain provisions relating to delegations.\n\n (13) In exercising a delegated power, the delegate must comply with any written directions of the Minister.\n (14) Before the Governor‑General makes regulations for the purposes of a provision mentioned in column 1 of an item in the following table, the Minister must be satisfied of the matter, or one or more of the matters, mentioned in column 2 of that item.\n\n```html\n

Matters the Minister must be satisfied of before regulations are made

Item

Column 1

Provision

Column 2

Matters

1

subsection (3)

(a) that it would be impracticable to impose levy on the import of an SGG that is to be used for a purpose to be prescribed by those regulations; or

(b) that a purpose to be prescribed by those regulations is a medical, veterinary, health or safety purpose

2

the definition of prescribed rate in subsection (7)

that the effect of this Act and the Manufacture Levy Act will be to recover no more than the Commonwealth’s likely costs of the kind mentioned in paragraph 65D(a), (b), (c) or (ca) of the Management Act, being costs that are unlikely to be offset by fees charged under the Management Act or regulations made under it

3

subparagraph (9)(b)(v)

(a) that it would be impracticable to require payment of levy imposed on the import of an SGG that is to be used for a purpose to be prescribed by those regulations; or

(b) that a purpose to be prescribed by those regulations is a medical, veterinary, health or safety purpose

\n```","sortOrder":4},{"sectionNumber":"4","sectionType":"section","heading":"Import levy—substances other than SGGs","content":"#### 4 Import levy—substances other than SGGs\n\n (1) If:\n (a) a controlled substances licence allows the licensee to import a substance or substances (other than an SGG); and\n (b) the licensee imports any such substance during a reporting period during which the licence is in force;\n then levy is imposed on the licensee in respect of that import.\n\n> Note: This subsection applies only in relation to the import of scheduled substances (other than SGGs) that are bulk scheduled substances (see subsection 3(2) of this Act and subsection 9(1) of the Management Act).\n\n (4) For the purposes of this section, if a licence is in force for only part of a particular reporting period, that part is taken to be a reporting period.\n (4A) For the purposes of this section, the quantity of a substance that is taken to be imported is the quantity of the substance that is actually imported reduced by the heel allowance percentage for the substance.\n (5) The amount of levy imposed by subsection (1) on a licensee in respect of the import of a substance other than an SGG in a reporting period is the amount prescribed, or worked out in accordance with a method prescribed, by the regulations for the purposes of this subsection.\n (6) Before the Governor‑General makes regulations for the purposes of subsection (5), the Minister must be satisfied that the effect of this Act and the Manufacture Levy Act will be to recover no more than the Commonwealth’s likely costs of the kind mentioned in paragraph 65D(a), (b), (c) or (ca) of the Management Act.\n (7) For the purposes of subsection (6), disregard any costs that are likely to be offset by fees charged under the Management Act or regulations made under it.","sortOrder":5},{"sectionNumber":"4A","sectionType":"section","heading":"Import levy—SGG equipment","content":"#### 4A Import levy—SGG equipment\n\n (1) If:\n (a) an equipment licence allows the licensee to import SGG equipment; and\n (b) the licensee imports SGG equipment during a reporting period during which the licence is in force;\n levy is imposed on the licensee in respect of that import.\n (2) Subsection (1) does not apply to the import of SGG equipment prescribed by the regulations.\n (3) Subsection (1) does not apply to the import of SGG equipment if:\n (a) the equipment contains an SGG and the import is covered by the low volume imports exemption under subsection 13AA(4) of the Management Act; or\n (b) the import is covered by any of subsections 13AA(6) to (9) of that Act (which provide exceptions in certain circumstances from the prohibitions in that Act that apply to importing equipment).\n (4) For the purposes of this section, if a licence is in force for only part of a particular reporting period, that part is taken to be a reporting period.\n (5) The amount of levy imposed by subsection (1) on a licensee in respect of the import of SGG equipment during a reporting period is the amount worked out using the following formula:\n ![Start formula Number of tonnes of the SGG contained in the equipment times Prescribed rate end formula](image.003.png)\n where:\n\n> prescribed rate means the amount prescribed by the regulations for the purposes of this definition.\n\n (7) For the purposes of subsection (5), disregard an SGG that is used, or for use, for a purpose prescribed by the regulations.\n (8) Before the Governor‑General makes regulations for the purposes of a provision mentioned in column 1 of an item in the following table, the Minister must be satisfied of the matter, or one or more of the matters, mentioned in column 2 of that item:\n\n```html\n

Matters the Minister must be satisfied of before regulations are made

Item

Column 1

Provision

Column 2

Matters

1

definition of prescribed rate in subsection (5)

that the effect of this Act and the Manufacture Levy Act will be to recover no more than the Commonwealth’s likely costs of the kind mentioned in paragraph 65D(a), (b), (c) or (ca) of the Management Act, being costs that are unlikely to be offset by fees charged under the Management Act or regulations made under it

2

subsection (7)

(a) that it would be impracticable to work out an amount of levy by reference to an SGG that is used, or for use, for a purpose to be prescribed by those regulations; or

(b) that a purpose to be prescribed by those regulations is a medical, veterinary, health or safety purpose

\n```","sortOrder":6},{"sectionNumber":"5","sectionType":"section","heading":"Regulations","content":"#### 5 Regulations\n\n The Governor‑General may make regulations prescribing matters:\n (a) required or permitted by this Act to be prescribed by the regulations; or\n (b) necessary or convenient to be prescribed for carrying out or giving effect to this Act.","sortOrder":7}],"analysis":{"flash_summary":{"complexity_score":6,"scope_assessment":{"changed":false,"description":"The supplied text sets out the levy framework and the conditions for regulation-making and exemptions. The Act itself contains no provision within the supplied text that indicates a change in its scope from an earlier or original intention; it establishes levy imposition, calculation methods to be prescribed by regulation, exemptions and ministerial delegation as its operative scope (see sections 3A, 4, 4A and 5)."},"complexity_factors":["Cross-references to the Ozone Protection and Synthetic Greenhouse Gas Management Act 1989 for definitions and cost categories (section 3(1) and multiple referral points)","Multiple levy streams with distinct calculation rules: bulk SGGs (quantity × prescribed rate, section 3A(7)), SGG equipment (section 4A(5)), and other scheduled substances (regulation-prescribed amount or method, section 4(5))","Exemptions and exceptions spread across the Act and deferred to regulations (3A(2)–(4), 4A(2)–(3), section 5)","Heel allowance percentage that reduces taxable quantity (3A(6B), 4(4A)) and partial-reporting‑period rules (3A(6), 4(4))","Ministerial discretion to grant exemptions and the ability to delegate that power, with delegation constrained by written directions (3A(9), 3A(11)–(13))","Requirement that the Minister be satisfied of particular matters before regulations can be made, adding procedural checks that affect regulatory design (3A(14), 4(6), 4A(8))","Operational reliance on regulations for key parameters (prescribed rates, exclusions), increasing dependence on subordinate instruments (section 5)"],"plain_english_summary":"What this law does (mechanically)\n\n- The Act imposes import levies on licence holders who import certain scheduled substances and equipment related to ozone-depleting or synthetic greenhouse gases (SGGs).\n - A levy applies when a controlled substances licence lets the licensee import SGGs and the licensee imports an SGG during a reporting period while the licence is in force (section 3A(1)).\n - A levy applies when a controlled substances licence lets the licensee import scheduled substances other than SGGs and the licensee imports such substances during a reporting period (section 4(1)).\n - A levy applies when an equipment licence lets the licensee import SGG equipment and the licensee imports that equipment during a reporting period (section 4A(1)).\n\n- How levy amounts are worked out:\n - For bulk SGGs the levy amount is the quantity (in tonnes) taken to be imported multiplied by a prescribed rate (section 3A(7)). The quantity is reduced by a “heel allowance percentage” (section 3A(6B)).\n - For SGG equipment the levy is the tonnes of SGG contained in the equipment times a prescribed rate (section 4A(5)), subject to similar exclusions (section 4A(7)).\n - For scheduled substances other than SGGs the levy amount is the amount or method prescribed by regulation (section 4(5)).\n - If a licence is in force only part of a reporting period, that part counts as a reporting period for levy purposes (sections 3A(6) and 4(4)).\n\n- Exemptions and qualifications provided in the Act:\n - The levy does not apply where the import falls within circumstances or purposes prescribed as exceptions under the Management Act or these regulations (3A(2), 3A(3), 4A(2), 4A(3)).\n - The levy does not apply to SGG imports intended for destruction if regulatory conditions are met (3A(4)).\n - The Minister may exempt a licensee by written notice where the imported SGG is to be used in or to manufacture medical equipment, or for other prescribed purposes (3A(9)). In making such determinations the Minister must have regard to matters specified in the regulations (3A(11)).\n - Regulations may prescribe other exemptions or details (section 5).\n\n- Decision‑making, administration and delegation:\n - The Minister may make written determinations exempting licensees from levy (3A(9)) and may delegate that power to departmental senior officials or equivalent (3A(12)). Delegates must follow any written directions of the Minister (3A(13)).\n - The Governor‑General makes regulations, but the Minister must be satisfied of specified matters before regulations are made for certain provisions (see the tables in sections 3A(14), 4A(8) and 4(6)).\n\nWhat the Act says the levy is for (claim in the text)\n\n- The Act conditions regulation-making for prescribed rates on the Minister being satisfied that the combined effect of this Act and the Manufacture Levy Act will recover no more than the Commonwealth’s likely costs of the kinds listed in paragraph 65D(a),(b),(c) or (ca) of the Ozone Protection and Synthetic Greenhouse Gas Management Act 1989 (see 3A(14) item 2, 4(6), 4A(8) item 1). That is an explicit statutory constraint tying prescribed rates to a cost‑recovery ceiling.\n\nTesting the stated purpose against likely costs, incentives and trade-offs (mechanisms, not judgements)\n\n- Who pays: licensed importers — the levy is imposed on the licensee who imports a covered substance or equipment (3A(1), 4(1), 4A(1)).\n\n- Who decides and how: the amount per unit is set in regulations (prescribed rate) or by a prescribed method (3A(7), 4A(5), 4(5)); the Minister must be satisfied of specific matters before those regulations can be made (3A(14), 4(6), 4A(8)). The Minister can exempt particular imports in writing (3A(9)) and may delegate that power (3A(12)–(13)).\n\n- Incentives and likely behavioural effects:\n - The levy raises the marginal cost of importing covered substances or equipment for licensees (3A(7), 4A(5), 4(5)), which can reduce import volumes or encourage substitution with non-covered products or domestic manufacture.\n - Because the levy is applied to licensees rather than at point of sale, licensees bear the direct compliance and payment burden (3A(1), 4(1), 4A(1)). They may pass costs on through prices, change sourcing, or seek exemptions.\n\n- Revenue and cost‑recovery constraints:\n - Regulations setting rates must be made so the combined levy outcome does not recover more than the Commonwealth’s specified likely costs (3A(14) item 2; 4(6); 4A(8) item 1). This ties the policy mechanically to a cost‑recovery objective and limits upward pressure on rates in law, but the precise calculation and scope of the recoverable costs are implemented through the Management Act references (see section 3(1) and the tables).\n\n- Compliance burden and implementation complexity:\n - Licensees must track imports by reporting period and apply heel allowances to quantities (3A(6), 3A(6B), 4(4A)).\n - Levy rates and calculation methods are set by regulation rather than the Act, which requires licence‑holders to follow regulatory detail that is not in the Act itself (3A(7), 4(5), 4A(5)).\n - The Minister’s role in approving regulation content and granting exemptions introduces administrative discretion that affects predictability for businesses (3A(9), 3A(11), 3A(12)–(13), 3A(14), 4(6), 4A(8)).\n\n- Risks and trade‑offs identified by the Act’s structure:\n - Administrative discretion: the Minister’s exemption power and the requirement that delegated officers comply with Ministerial directions concentrate decision rights in the executive (3A(9), 3A(12)–(13)).\n - Regulatory detail deferred to regulation: key parameters (prescribed rates, specific exemptions, heel allowance percentage) are set in regulations, so operational outcomes depend on administrative rule‑making (3A(7), 4(5), 4A(5), section 5).\n - Measurement and calculation risks: levies are quantity‑based and reduced by fixed heel allowances (3A(6B), 4(4A)), so accurate measurement, classification and recordkeeping are necessary for correct levy calculation.\n\nSummary statement of effects\n\n- Mechanically, the Act creates a framework for levying importers of scheduled substances and SGG equipment, with amounts calculated using quantities and prescribed rates or methods (3A(7), 4(5), 4A(5)). The licensing regime supplies who pays (the licensee), the executive supplies exemptions and regulatory detail (3A(9), 3A(12)–(13), section 5), and the Act conditions regulation‑making on the Minister being satisfied that levies will not exceed specified Commonwealth costs (3A(14) item 2; 4(6); 4A(8) item 1). These are the concrete mechanisms by which the policy is implemented and constrained."},"kimi_summary":{"content_quality":"ok","complexity_score":6,"scope_assessment":{"changed":true,"description":"The original 1995 Act focused on ozone-depleting substances. The scope expanded significantly with amendments to cover synthetic greenhouse gases (SGGs) and equipment containing them, reflecting the shift from ozone protection to climate change mitigation. The title itself was amended to include 'Synthetic Greenhouse Gas', and sections 3A and 4A were added or substantially expanded to create parallel levy structures for SGGs and SGG equipment, effectively doubling the Act's coverage while maintaining the original ozone substance framework."},"complexity_factors":["Heavy reliance on definitions and concepts from a separate Act (the Ozone Protection and Synthetic Greenhouse Gas Management Act 1989) — section 3(1) imports all meanings from that Act","Multiple nested exceptions: exemptions for destruction (s 3A(4)), prescribed purposes (s 3A(3)), medical equipment (s 3A(9)), and cross-referenced exemptions from the Management Act (s 4A(3))","Delegated legislative power with preconditions: Minister must be satisfied of specific matters before regulations can be made (tables in ss 3A(14) and 4A(8))","Formula-based calculations with regulatory gaps: 'prescribed rate' and 'heel allowance percentage' are defined by regulations, not in the Act itself","Complex licensing framework: distinctions between 'controlled substances licence' and 'equipment licence', and treatment of partial reporting periods (ss 3A(6), 4(4), 4A(4))","Ministerial discretion with delegation: exemption power (s 3A(9)) delegated to SES/EL2 officers with written directions required (ss 3A(12)-(13))","Cross-referencing between three related Acts: this Act, the Management Act 1989, and the Manufacture Levy Act 1995"],"plain_english_summary":"This law puts a **tax (levy)** on businesses that import certain harmful chemicals into Australia. Specifically, it targets:\n\n- **Synthetic greenhouse gases (SGGs)** — like hydrofluorocarbons (HFCs) used in air conditioning and refrigeration\n- **Ozone-depleting substances** — older chemicals that damage the Earth's ozone layer\n- **Equipment containing these substances** — such as fridges or air conditioners that come pre-charged with these gases\n\n**Who pays?**\nBusinesses that hold a licence to import these substances or equipment. If you import without a licence, you're breaking a different law (the Management Act) — this Act just handles the money side.\n\n**How is it calculated?**\nThe levy is based on **tonnes of gas imported** multiplied by a rate set in regulations (rules made by the government). There's a \"heel allowance\" — a small reduction to account for gas that stays in containers and isn't actually used.\n\n**Exceptions and exemptions:**\n- Imports for **destruction** of the gas (if conditions are met)\n- Uses for **medical, veterinary, health or safety purposes** (Minister can grant exemptions)\n- **Low-volume imports** of equipment\n- Any purposes specifically listed in regulations\n\n**Why does this exist?**\nAustralia charges this levy to recover the government's costs of running the ozone protection and greenhouse gas programs — things like monitoring, compliance, and administration. The law ensures the tax never exceeds what it costs the government to run the scheme.\n\n**Key point:** This is a **cost-recovery mechanism**, not a general revenue-raising tax. The money collected should only cover the program's expenses."},"summary":{"complexity_score":6,"scope_assessment":{"changed":true,"description":"The Act originally focused on ozone-depleting substances under the Montreal Protocol framework. Over time its scope expanded significantly to cover Synthetic Greenhouse Gases (SGGs) — reflected in the Act's title amendment and the addition of sections 3A and 4A. This brought climate change gases (like HFCs) within the levy regime, extending the law's reach well beyond its original ozone-protection purpose into broader greenhouse gas management."},"complexity_factors":["Heavy cross-referencing to multiple external Acts (Management Act, Manufacture Levy Act, Acts Interpretation Act), requiring readers to consult several pieces of legislation simultaneously","Multiple layered exemptions with cascading conditions — each exemption category has its own prerequisites and some require ministerial discretion","Regulatory delegation — many key details (rates, prescribed purposes, conditions) are not in the Act itself but in regulations made under it, making the full picture impossible to see from this document alone","Technical subject matter involving specialised chemical categories (SGGs vs other scheduled substances vs SGG equipment) that require understanding of the parent Management Act to fully interpret","Ministerial satisfaction requirements before regulations can be made add a procedural layer that affects how the law operates in practice","The 'heel allowance percentage' concept requires understanding of industry-specific practices around residual gas in transport containers","Distinction between bulk scheduled substances and equipment licences creates parallel levy regimes that must be read together"],"plain_english_summary":"## What This Law Does\n\nThis Act imposes a **levy (a charge/tax) on businesses that import** certain environmentally harmful chemicals and equipment into Australia. Specifically, it targets:\n\n- **Ozone-depleting substances** (chemicals that damage the ozone layer, like older refrigerants)\n- **Synthetic Greenhouse Gases (SGGs)** (man-made gases that contribute to climate change, like HFCs used in air conditioners and refrigerators)\n- **Equipment that contains SGGs** (like pre-charged refrigeration or air conditioning units)\n\n## Who Does This Affect?\n\nThis law directly affects **businesses that hold an import licence** under the related Ozone Protection and Synthetic Greenhouse Gas Management Act 1989. If you import bulk quantities of these chemicals, or equipment containing them, you will be charged a levy.\n\n**Ordinary consumers are not directly affected** — this targets licensed commercial importers.\n\n## How Is the Levy Calculated?\n\nFor SGGs and SGG equipment, the levy is calculated by multiplying the **number of tonnes imported by a rate set in the regulations**. There's also a \"heel allowance\" — a small reduction to account for residual gas left in containers that can't practically be removed.\n\nFor other ozone-depleting substances, the amount is set or calculated according to a method in the regulations.\n\n## Are There Any Exemptions?\n\nYes — you may **not** have to pay the levy if:\n- The substance is being imported purely to be **destroyed**\n- The substance is for use in **medical or pharmaceutical equipment**\n- The import falls under a **low-volume exemption**\n- Certain other purposes prescribed by regulations apply\n\nThe Minister (or a delegated senior public servant) can also grant individual exemptions in writing for medical or other approved uses.\n\n## Why Does This Levy Exist?\n\nThe levy is designed to **recover the Commonwealth government's costs** of administering the licensing and management system for these substances — it's a cost-recovery mechanism, not a revenue-raising tax. The law explicitly requires that the levy collected (combined with a similar manufacturing levy) doesn't exceed the government's actual administrative costs.\n\n## The Bigger Picture\n\nAustralia's obligations under international agreements like the **Montreal Protocol** (which phases out ozone-depleting substances) and climate commitments drive this regulatory framework. This levy is one tool that makes the system financially self-sustaining."},"issue_detection":{"absurdities":[{"type":"other","section":"3A(9)","severity":"medium","reasoning":"Subparagraph numbering skips from (iii) to (v) with no explanation. If (iv) was repealed, its absence without a placeholder or note creates interpretive uncertainty. If it was a drafting error, the gap means the provision as enacted is structurally incomplete. Either way, the numbering anomaly is a logical flaw in legislative drafting.","confidence":0.95,"description":"Missing subparagraph (iv): The list of exempt purposes in subsection 3A(9)(b) jumps from (iii) to (v), with no subparagraph (iv). This is either a drafting error creating a permanent legislative gap, or an intentional omission that creates uncertainty about whether a fourth category was ever intended."},{"type":"impossible_compliance","section":"3(3) and 3A(1)","severity":"high","reasoning":"Section 3(3) directs that licence suspensions be disregarded when determining whether a licence 'allows' an activity. Section 3A(1) imposes levy when a licence 'allows' import and the licensee imports during a period the licence is 'in force'. A suspended licensee is prohibited from importing under the Management Act (per s.19D(4) referenced in the note), yet this Act treats the licence as operative for levy purposes. This means a licensee who imports in breach of a suspension could simultaneously be liable for levy (because the suspension is disregarded) and in breach of the Management Act. More absurdly, it could be read as imposing levy liability on lawful importers whose licences happen to be suspended, even though no lawful import could have occurred.","confidence":0.8,"description":"Licence suspension is disregarded for levy imposition purposes, meaning a licensee whose licence is suspended may still have levy imposed on imports they are legally prohibited from making under the suspended licence. A suspended licensee cannot lawfully import, yet the Act deems their licence 'in force' for levy purposes, creating an impossible compliance scenario."},{"type":"other","section":"3A(6B)","severity":"low","reasoning":"The Act defines 'amount' to include nil but does not define 'heel allowance percentage' or constrain its upper bound. A regulatory heel allowance of 100% would eliminate levy entirely for every import, effectively nullifying sections 3A and 4 by subordinate legislation without primary legislative authority to do so. This is a structural vulnerability rather than an immediate absurdity, but represents a logical flaw.","confidence":0.65,"description":"The 'heel allowance percentage' reduces the quantity of SGG taken to be imported below the quantity actually imported, potentially to zero or a negative number if the heel allowance percentage is 100% or greater. The Act does not cap the heel allowance percentage, and the definition of 'amount' in s.2A explicitly includes a nil amount, suggesting zero levy is contemplated. However, if regulations prescribed a heel allowance exceeding 100%, the formula would yield a negative quantity, rendering the levy formula mathematically absurd."},{"type":"other","section":"3A(7) and 3A(9)","severity":"low","reasoning":"Section 3A(3) exempts SGG imports 'to be used for a purpose prescribed by the regulations' from levy imposition entirely. Section 3A(9) allows the Minister to exempt a licensee from levy already imposed, including for medical equipment use (s.3A(9)(b)(i)). The table in s.3A(14) sets the same satisfaction criteria (medical/veterinary/health/safety purpose) for both the regulatory exemption (item 1, subsection (3)) and the ministerial exemption (item 3, subparagraph (9)(b)(v)). This means the Minister could be satisfied of the same matter to create both a regulatory blanket exemption and a case-by-case ministerial exemption for identical purposes, creating redundancy and potential inconsistency.","confidence":0.7,"description":"Two parallel exemption mechanisms exist for medical use SGGs with different procedural requirements: subsection (3) provides a blanket regulatory exemption from levy imposition, while subsection (9) provides a ministerial discretionary exemption after levy has already been imposed. A licensee importing SGGs for medical use could be caught by levy under (1), exempt under (3) by regulation, or exempt under (9) by ministerial determination. The coexistence of these overlapping regimes creates uncertainty about which pathway applies and whether both can operate simultaneously."},{"type":"other","section":"4A(5) and 4A(7)","severity":"low","reasoning":"The structure imposes levy under s.4A(1) and then requires calculation under s.4A(5) that may produce zero. This is legally coherent given s.2A's nil amount definition, but creates unnecessary regulatory burden where levy is imposed, assessed, and found to be nil—all steps of a levy regime apply to a transaction that generates no revenue and was presumably intended to be excluded.","confidence":0.6,"description":"The levy formula for SGG equipment in subsection 4A(5) is based on 'Number of tonnes of SGG contained in the equipment', but subsection 4A(7) directs that SGGs used for prescribed purposes be disregarded for this calculation. This means equipment containing only SGGs used for prescribed purposes would have zero tonnes of SGG in the formula, yielding zero levy. However, subsection 4A(1) would still formally 'impose' levy on the licensee—it would simply be a nil amount. While s.2A defines 'amount' to include nil, imposing a nil levy creates administrative absurdity: levy is formally imposed, compliance obligations attach, but the actual liability is zero."}],"contradictions":[{"severity":"high","section_a":"3A(1) (levy imposed when licence 'allows' import)","section_b":"3(3) (disregard suspension when determining if licence allows activity)","confidence":0.82,"description":"Section 3(3) requires that licence suspensions be disregarded when assessing whether a licence 'allows' an activity for levy purposes. This directly contradicts the practical and legal effect of a suspension under the Management Act (s.19D(4)), which prohibits the licensee from carrying out the licensed activity. The result is that the Import Levy Act treats a suspended licence as operative for levy purposes while the Management Act treats the same licence as inoperative for compliance purposes, creating two irreconcilable legal realities for the same licence at the same time."},{"severity":"medium","section_a":"3A(3) (regulatory exemption from levy for prescribed purposes)","section_b":"3A(9)(b)(v) (ministerial exemption for purposes prescribed by regulations)","confidence":0.72,"description":"Both provisions allow the same regulatory prescription of purposes to create exemptions from levy for SGG imports, but through fundamentally different mechanisms. Under s.3A(3), regulations prescribe purposes that prevent levy from ever being imposed. Under s.3A(9)(b)(v), regulations prescribe purposes for which the Minister may (but need not) grant an exemption after levy is imposed. If the same purpose is prescribed under both provisions, an importer would simultaneously never be subject to levy (s.3A(3)) and potentially be subject to levy subject to ministerial discretion (s.3A(9)(b)(v)), which is contradictory in its legal effect."},{"severity":"low","section_a":"3A(14) table item 2 (Minister must be satisfied levy will recover no more than Commonwealth costs)","section_b":"4(6) and 4(7) (same cost-recovery constraint for non-SGG substances)","confidence":0.6,"description":"The cost-recovery cap constraint in s.3A(14) item 2 applies only to the SGG prescribed rate and requires the Minister to consider the combined effect of 'this Act and the Manufacture Levy Act'. Section 4(6)-(7) imposes the same constraint for non-SGG substances. However, the two provisions use different formulations: s.3A(14) item 2 expressly qualifies the costs as those 'unlikely to be offset by fees' within the constraint itself, while s.4(6) states the constraint and then s.4(7) adds the fee offset as a separate disregard instruction. This structural inconsistency means the two cost-recovery tests, which are intended to be equivalent, may be applied differently by a court or regulator interpreting whether the Minister's satisfaction was validly formed."}]}},"importantCases":[],"_links":{"self":"/api/acts/ozone-protection-and-synthetic-greenhouse-gas-import-levy-act-1995","history":"/api/acts/ozone-protection-and-synthetic-greenhouse-gas-import-levy-act-1995/history","analysis":"/api/acts/ozone-protection-and-synthetic-greenhouse-gas-import-levy-act-1995/analysis","conflicts":"/api/acts/ozone-protection-and-synthetic-greenhouse-gas-import-levy-act-1995/conflicts","importantCases":"/api/acts/ozone-protection-and-synthetic-greenhouse-gas-import-levy-act-1995/important-cases","documents":"/api/acts/ozone-protection-and-synthetic-greenhouse-gas-import-levy-act-1995/documents"}}