Drugs Misuse Regulation 1987

The Regulation introduces and operationalises several key concepts. A “controlled substance” and “controlled thing” are defined by the Act, but the Regulation specifies the documentation and record-keeping obligations when they are supplied under a “relevant transaction”. Section 5 clarifies that any act by which a controlled substance is supplied by a person in connection with the person’s business (including a gift) is a relevant transaction. This broad definition captures both sales and gratuitous transfers as long as they occur in the course of business. The “end user declaration” is a document the supplier must obtain before supplying the substance or thing; it must include the recipient’s name and address, details of the recipient’s official document (e.g. passport or driver licence), the written order details, the name and quantity of the substance or thing, the serial number or unique identifier if a thing is supplied, the date of supply, and the purpose (s 6(2)). The “register” is a record that must contain the prescribed details about each relevant transaction, including the recipient’s company number (if a company) or the official document details (if an individual), and entries must be made within seven days (s 7). The “invoice” must be made immediately upon supply and show the recipient’s name and address, order number, date, and name and quantity (s 6(4)). Non-compliance with the invoicing requirement carries a maximum penalty of 20 penalty units. For industrial cannabis, the concept of “certified cannabis seed” is central. Section 11 sets out when cannabis seed is taken to have been harvested from a 0.5% THC plant, which is necessary for the seed to qualify as “planting seed” under the Act. Seed originating in Queensland can be certified either by an authorised person arranging analysis of a representative sample (with results showing THC not more than 0.5%) and labelling with the required particulars, or by the authorised person authorising another person to arrange for analysis in a NATA accredited laboratory. Seed from interstate or overseas can be certified if the recipient licensee takes reasonable steps to confirm substantially equivalent analysis results and labels the seed. “Authorised person” for these purposes includes an inspector or a person authorised by the chief executive (s 11(5)). Other concepts include “consigned cannabis” for carriers (ss 12-14), “class A or class B research cannabis” (ss 15-17), “processed cannabis” (ss 17, 20, 21), and “relevant authority” for which monitoring fees are payable (s 28A). The “research plan” must describe the research, locations, risks and risk management measures including security of crops, seed, equipment, information and records, and employee screening protocols (s 27B). “Labelling method” is prescribed in s 27C with precise formatting requirements: information must be written or stamped on the container or a label, or if bulk supply makes that unreasonable, in a written notice before or at delivery; the text must be in English, at least 1.5mm high, and in contrasting colours (dark on light or light on dark). The fee provisions in s 28A allow monitoring fees to be calculated per hour using 15-minute periods, plus travel time (up to two hours per day) and reasonable analysis costs.

The Regulation affects a range of persons and entities across different industries. Firstly, anyone who disposes of a hypodermic syringe or needle, whether an individual or a professional, must follow the prescribed procedures in section 3. This includes members of the public, medical practitioners, pharmacists, and authorised persons under s 10(3) of the Act. Persons disposing of dangerous drugs, including trace amounts in syringes, must comply with section 4, which requires giving the thing to an inspector under the Medicines and Poisons Act 2019 at the first reasonable opportunity. Secondly, the controlled substances part (part 3) affects persons who supply a controlled substance or controlled thing in connection with their business. This clearly includes pharmacies, chemical suppliers, wholesalers, and manufacturers who deal with precursors such as ephedrine, pseudoephedrine, acetic anhydride, and the other substances listed in schedule 8A. The example in section 5 illustrates partners in a chain of pharmacies supplying ephedrine. The obligations to obtain end user declarations, verify identity, make invoices, and keep registers apply to these suppliers. Recipients of controlled substances or things are indirectly affected because they must provide identification and end user information. The commissioner of the police service is affected because suppliers must give a copy of each end user declaration to the commissioner as soon as practicable (s 6A). Thirdly, the industrial cannabis part (part 4) affects a wide array of persons involved in the commercial production of industrial cannabis. Licensees under part 5B of the Act (researchers, growers, seed handlers) are directly subject to record-keeping (ss 25, 26), notification (s 27A), labelling (s 27C), and fee payment (s 28A) requirements. Their immediate family members are authorised to produce, possess or supply substances if necessary for or incidental to the licensee’s activities (s 22). Employees of authorised persons (including licensees, carriers, DPI researchers, inspectors, manufacturers and analysts) are authorised to produce, possess, supply or transport substances if necessary for or incidental to their employment (s 23). Carriers who are engaged or employed by a researcher, grower, DPI researcher, inspector or seed supplier to transport consigned cannabis are authorised to do so for the time necessary and while acting in accordance with their engagement (ss 12-14). DPI researchers are authorised to supply, produce and possess industrial cannabis and research cannabis plants and seed for plant breeding programs (ss 15-17). Inspectors are authorised to supply and possess cannabis plants and seed for delivery to analysts or persons lawfully entitled (ss 18-19). Manufacturers (owners or operators of facilities where processed cannabis is used to manufacture product for sale) are authorised to possess processed cannabis for that purpose (s 20). Analysts are authorised to possess standard THC material for instrument calibration and substances for analysis when engaged by an authorised person (s 21). The chief executive may publish guidelines for research plans (s 27B(3)). The Regulation also affects the broader industry by prescribing licence conditions in schedule 8 that apply to all licensees unless otherwise stated (s 29). Finally, fee provisions affect holders of relevant authorities, who must pay monitoring fees calculated per hour plus travel and analysis costs (s 28A).

The Regulation imposes a number of specific duties and confers corresponding rights. The key duties arise in relation to controlled substances and industrial cannabis. Under part 3, a person who supplies a controlled substance or controlled thing under a relevant transaction must, before supply, obtain from the recipient an end user declaration showing the recipient’s name and address (and if for another person, that person’s details), the official document details, the written order number and date, the name and quantity of the substance or thing, the serial number or unique identifier if a thing, the date of supply, and the purpose (s 6(2)). If the recipient is an individual, the supplier must require production of an official document containing the recipient’s photograph, such as a passport or driver licence, as evidence of identity (s 6(3)). Immediately upon supply, the supplier must make an invoice showing the recipient’s name and address, order number, date of supply, and name and quantity (s 6(4)). Failure to make the invoice carries a maximum penalty of 20 penalty units. The supplier must also, as soon as practicable after obtaining the end user declaration, give a copy to the commissioner of the police service (s 6A). The supplier must record specified details in the register (name and address of recipient, order number, invoice number, company number or official document details, name and quantity of substance or thing, date of supply, purpose) and do so as soon as practicable but no later than seven days after the day of supply (s 7). If a controlled substance or controlled thing is lost or stolen, the supplier must record the day and place the report was made to a police officer, the officer’s name and registered number, and the name and quantity of the substance or thing lost or stolen (s 8). The register, documents and invoice must be kept at the principal or only place in Queensland where the person engages in relevant transactions, and for two years from the day of supply (s 9). For industrial cannabis, licensees who are researchers or growers must make a written record of strains, varieties, source and quantity of seed and plants, delivery details, planting dates, supply to recipients (including recipient’s intended use), and disposal or destruction (s 25). Seed handlers must record source and quantity of seed received, delivery details, denaturing information if applicable, and supply details (s 26). All records must be made as soon as practicable but no later than seven days after the information becomes available. Records must be kept for two years after the holder stops being the holder of the relevant authority, or three years after the authority ends, whichever is first (s 27). The record must be in a readily accessible, usable, and interpretable form. Notification duties apply: a researcher or grower must give written notice to an inspector of planting (within 14 days), if plants will not be harvested (within three months of planting), and that a crop of industrial cannabis or class B research cannabis is ready for THC testing (at least four weeks before intended harvest) (s 27A). Research plans must contain prescribed information including risk identification and management measures (s 27B). Labelling requirements impose duties on persons required to label cannabis seed or containers; the information must be in English, in characters at least 1.5mm high, dark on light or light on dark background, and placed on the container or a label, or if bulk supply, in a written notice given before or at delivery (s 27C). The holder of a relevant authority must pay monitoring fees for travel and analysis costs as prescribed (s 28A). On the rights side, the Regulation authorises specified persons to carry out activities that would otherwise be unlawful under the Act. Carriers are authorised to transport and possess consigned cannabis (ss 13,14). DPI researchers are authorised to supply, produce, and possess industrial and research cannabis (ss 15-17). Inspectors are authorised to supply and possess cannabis for delivery to analysts or persons entitled (ss 18-19). Manufacturers are authorised to possess processed cannabis for manufacturing (s 20). Analysts are authorised to possess standard THC material and substances for analysis (s 21). Family members of licensees are authorised to produce, possess or supply substances if necessary for or incidental to the licensee’s authorised activities (s 22). Employees of authorised persons are authorised to produce, possess, supply or transport substances if necessary for or incidental to their employment (s 23). Licensees have the right to rely on the conditions in schedule 8 to conduct their licensed activities subject to compliance.

The Regulation itself contains only one express penalty provision. Section 6(4) requires a person to make an invoice immediately upon supplying a controlled substance or controlled thing under a relevant transaction, and the maximum penalty for contravening that subsection is 20 penalty units. No other penalty amounts are stated within the Regulation text. However, the Regulation operates under the Drugs Misuse Act 1986, which contains its own offence provisions. Many obligations in the Regulation are expressed as “must” requirements, and a breach of those requirements is likely to constitute an offence under the Act by virtue of provisions such as s 43D (which requires the keeping of a register and other documents) or s 110E (record-keeping for licensees). Section 29 of the Regulation prescribes conditions in schedule 8 for all licensees under part 5B of the Act; non-compliance with a licence condition may be an offence under the Act and could also lead to suspension or cancellation of the licence. The Regulation does not specify enforcement mechanisms, but inspectors under the Medicines and Poisons Act 2019 (referred to in s 4(b)) and police officers (as noted in s 8 regarding loss or theft) are likely the primary enforcement officers. The commissioner of the police service receives copies of end user declarations (s 6A), which suggests that law enforcement monitors compliance with part 3. The transitional provisions in sections 30 and 31 indicate that earlier versions of the Regulation continue to apply to offences committed before certain amendment dates, and proceedings may be continued or started as if the amending regulation had not been made. This suggests that enforcement actions are not time-limited by regulatory amendments. The fees regime in section 28A provides for the charging of monitoring fees, including travel costs and analysis costs, for the monitoring of activities performed under a relevant authority. While not a penalty, the requirement to pay these fees can be seen as a cost of compliance that may be enforced through debt recovery or as a condition of the authority. Overall, the enforcement framework relies heavily on the Act’s provisions, and practitioners should refer to the Act for specific penalties for unlicensed production, supply, and possession of controlled substances and industrial cannabis.

The Regulation is made under the Drugs Misuse Act 1986 and must be read in conjunction with that Act. Many references are made to specific sections of the Act, such as s 10(4A) (disposal procedures), s 125 (disposal of dangerous drugs), ss 43C and 43D (controlled substance transactions), and part 5B (industrial cannabis). The dictionary in schedule 9 defines words used in the Regulation, but section 10(3) provides that if a word used in part 4 or schedules 7 and 8 is not defined in the dictionary but is defined for part 5B of the Act, the word has the same meaning. The Regulation also interacts with other Queensland legislation. Section 4(b) requires that dangerous drugs (other than trace amounts in syringes) be given to an inspector under the Medicines and Poisons Act 2019, linking the Regulation to that Act’s enforcement framework. The industrial cannabis provisions reference the Medicines and Poisons Act 2019 inspectors and also refer to NATA (National Association of Testing Authorities) accreditation for laboratories analysing THC concentration (s 11(3)(a)(i)). This ties the Regulation to Australian standards for testing facilities. The licensing regime under part 5B of the Act is supported by the Regulation’s conditions in schedule 8 and the record-keeping and notification requirements. The Regulation does not interact directly with Commonwealth legislation, but the substances listed in schedule 8A (precursors such as pseudoephedrine, acetic anhydride, etc.) are also regulated under Commonwealth poisons and drug precursor laws, so suppliers may have dual obligations. The fee provisions in sections 28 and 28A have been amended annually by subsequent regulations (as reflected in the amendment history noting annual fee amendments from 2004 to 2022), which indicates a close relationship with the state’s fees and charges framework. The transitional provisions (ss 30,31) expressly preserve the application of earlier versions of the Regulation to offences committed before amendment dates, which interacts with the general criminal law principle against retrospective application. The interaction with other laws is also evident in the definition of “supply” in the Act, which the Regulation notes includes give, distribute, sell or supply (s 5 note), so the Regulation’s requirements apply to business transactions even if no money changes hands. Finally, the Regulation allows a single register to be kept for the Act and another Act if the keeping is not contrary to the other Act and the details are easily identifiable (s 7(3)), which facilitates integrated record-keeping with other regulatory regimes (e.g. medicines and poisons legislation).

The Drugs Misuse Regulation 1987 has undergone numerous amendments since its initial enactment. The regulation was first made in 1987 and has been amended by subsequent subordinate legislation, as recorded in the editorial notes throughout the text. Key amendments include those in 1996 (by SL No.309) which inserted provisions relating to controlled substances, including a now-repealed definition of “supply” and the introduction of sections that later became part 3 on controlled substances. The renumbering amendments in 2002 (SL No.255) restructured the regulation significantly, moving provisions from earlier positions and inserting the entire part 4 on commercial production of industrial cannabis. The industrial cannabis regime was further amended in 2018 (Act No.5) which introduced record-keeping requirements (s 24 - s 26F), notification requirements for researchers and growers (s 27A), the research plan requirements (s 27B), labelling methods (s 27C), and renumbered sections. The 2018 amendment also omitted earlier versions of sections 20, 21, 22 and others. The fee provisions in s 28 have been amended almost annually from 2004 to 2022 by separate SL numbers, reflecting annual adjustments to fee amounts. Section 28A was inserted in 2022 (SL No.6) to provide for monitoring fees under s 110G of the Act, and was amended later in 2022 (SL No.52). Section 6A was inserted in 2008 (Act No.4) requiring end user declarations to be given to the commissioner of the police service. Section 5 was originally inserted in 1996 and renumbered in 2002. The schedules have also been amended over time, with schedule 8A (precursors) presumably introduced after 2008 (given its reference to substances like APAAN and ANPP which were scheduled later). The transitional provisions (ss 30 and 31) indicate that amendments in 2001 and 2002 required explicit savings clauses to avoid retrospective effect on existing offences. The dictionary in schedule 9 (section 2) has been relocated over time, with definitions of “occupier’s notice”, “record of proceedings”, and “search warrant” moved to the schedule in 1998. The regulation’s amendment history shows that the legislative focus shifted from disposal procedures and basic controlled substance controls in the early years to a comprehensive industrial cannabis regulation scheme from 2002 onwards, with ongoing refinements to record-keeping, notification, and fee structures. Practitioners should always check the latest reprint and any subsequent amending regulations, as the version provided may not reflect subsequent amendments (especially fee adjustments which occur annually).

The Regulation text itself does not cite any cases or litigation history. No court decisions are mentioned in any section, schedule, or editorial note. However, as subordinate legislation that supports the Drugs Misuse Act 1986, the Regulation is likely to have been considered in criminal proceedings under the Act. The transitional provisions in sections 30 and 31 explicitly contemplate that proceedings for offences against the Act committed before certain amendment dates may be continued or started under the earlier version of the Regulation. This suggests that litigation has arisen or could arise concerning the temporal application of the Regulation. For example, a person charged with an offence under the Act that occurred before an amendment might challenge which version of the Regulation’s procedures or definitions apply. The Regulation’s detailed requirements for end user declarations, invoices, and registers (part 3) could be relevant evidence in prosecutions for unlawful supply of controlled substances; non-compliance with those requirements may be used to demonstrate that a transaction was not a legitimate business transaction. Similarly, the authorisations for industrial cannabis activities (part 4) define the scope of lawful conduct; any prosecution for unauthorised production or possession would likely need to consider whether the accused fell within one of the authorised categories (carrier, DPI researcher, inspector, etc.) and complied with the conditions. The fee and monitoring provisions (s 28A) could be subject to judicial review if a licensee disputes the calculation of fees or the reasonableness of analysis costs. The research plan requirements (s 27B) may be relevant in licence application appeals under the Act. The labelling requirements (s 27C) could be raised in prosecutions for mislabelled cannabis seed. Despite these potential areas of litigation, the Regulation does not provide any specific case references, and no judgments are noted in the text. Therefore, any analysis of litigation history would require research beyond the source. The absence of case citations in the regulation itself is typical for subordinate legislation, which is intended to be read in conjunction with the principal Act and any case law interpreting it. Users of the Regulation should be aware that the meaning of terms such as “supply”, “possession”, and “production” are defined by the Act and may have been judicially considered. The examples in the Regulation (e.g. s 5 example) are explanatory only and do not carry legal weight.

Several provisions in the Regulation contain traps for the unwary. The seven-day deadline for recording details in the register (s 7(2)) and for making written records of information by licensees (ss 25(2), 26(2)) is not a mere guideline: it is a strict “as soon as practicable but in no case later than 7 days” requirement. A delay of even one day beyond seven could constitute non-compliance. Similarly, the invoice required under s 6(4) must be made “immediately” upon supply; there is no grace period. The maximum penalty for failing to make the invoice is 20 penalty units, which is the only express penalty in the Regulation, but other breaches may attract penalties under the Act. The end user declaration must be obtained before supply (s 6(2)), not after; supplying first and then obtaining the declaration afterwards would breach the requirement. The identity verification under s 6(3) applies only if the recipient is an individual; if the recipient is a company, the supplier must still obtain the end user declaration but does not need to require a photographic official document from an individual , but the supplier must record the company’s Australian Company Number in the register (s 7(1)(d)(i)). A common oversight might be forgetting that the end user declaration must be given to the commissioner of the police service “as soon as practicable” (s 6A) , no specific time limit, but a significant delay could be questioned. The definition of “relevant transaction” in s 5 includes a gift of a controlled substance made in connection with the person’s business. A pharmacy that gives away a small quantity of a precursor (e.g. ephedrine) is subject to the same documentation and record-keeping requirements as a sale. The disposal requirements in section 4(b) require giving dangerous drugs (other than trace amounts in syringes) to an inspector under the Medicines and Poisons Act 2019; handing them to a police officer or a medical practitioner is not sufficient unless that person is also an inspector under that Act. For industrial cannabis, the labelling requirements (s 27C) are prescriptive: the text must be in English, at least 1.5mm high, in contrasting colours, and on the container or a clearly visible label. If seed is supplied in bulk, a written notice must be given before or at delivery. A label that is too small, poorly contrasted, or not in English would not comply. The monitoring fee provisions (s 28A) include travel time calculated at the hourly rate for up to two hours per day, plus the reasonable cost of THC analysis if a sample is taken. Licensees may not anticipate that they must pay for the inspector’s travel time to and from the monitoring site. The record-keeping obligations for researchers and growers (s 25) require recording the name of the individual who actually delivered any cannabis plants or seed (if delivered by a carrier) (s 25(1)(f)). If a carrier uses a different driver than expected, the record must still capture the actual individual. Failure to do so within seven days would be non-compliance. The family member authorisation (s 22) requires that the family member’s production, possession or supply be “necessary for, or incidental to” the licensee’s activities , merely being a relative does not confer authorisation. Similarly, employees (s 23) are authorised only to the extent that their actions are necessary or incidental to their employment. An employee who takes processed cannabis home for personal use would not be covered. Finally, the transitional provisions (ss 30,31) mean that if an offence was committed before a particular amendment, the earlier version of the Regulation applies. This could catch out a person who relies on a current version of the regulation but is prosecuted under an older version.

Compliance with the Drugs Misuse Regulation 1987 requires a systematic approach tailored to the specific activities undertaken. For any person who disposes of hypodermic syringes or needles, the procedure in section 3 must be followed: either place the item in a rigid-wall, puncture-resistant container that is sealed or securely closed, or give it to a medical practitioner, pharmacist, or other authorised person under s 10(3) of the Act. For dangerous drugs (other than trace amounts in syringes), the thing must be given at the first reasonable opportunity to an inspector under the Medicines and Poisons Act 2019 (s 4(b)). Entities that supply controlled substances or controlled things in the course of business should establish a compliance system that covers the following steps. Before any supply, obtain a completed end user declaration from the recipient. If the recipient is an individual, require production of an official document with a photograph (e.g. passport or driver licence) and record the document details on the declaration. The declaration must include the recipient’s name and address (and the other person’s name and address if for another person), document details, the written order number and date, the name and quantity of the substance or thing, the serial number or unique identifier if a thing, the date of supply, and the purpose. Immediately upon making the supply, create an invoice showing the recipient’s name and address, order number, date of supply, and name and quantity. As soon as practicable after obtaining the end user declaration, send a copy to the commissioner of the police service. Within seven days of the day of supply, record the prescribed details in the register: recipient’s name and address, order number, invoice number, company number or official document type and details, name and quantity of substance/thing, date of supply, and purpose. If a loss or theft of a controlled substance or thing occurs, report it to a police officer and record the day and place of report, the officer’s name and registered number, and the name and quantity lost or stolen. Keep the register, invoices, and all related documents at the principal or only place in Queensland where you conduct relevant transactions, and retain them for two years from the day of supply. For licensees under part 5B of the Act (industrial cannabis), additional compliance measures apply. Researchers and growers must make a written record within seven days of information becoming available, including strains, varieties, source and quantity of seed/plants, delivery details, planting dates, supply to recipients (including intended use), and disposal/destruction details. Seed handlers must record source and quantity of seed received, delivery details, denaturing information, and supply details. All records must be kept for two years after you stop being the holder or three years after the authority ends (whichever occurs first), and in a readily accessible, usable, interpretable form. Notification obligations require you to give written notice to an inspector: within 14 days of planting cannabis seed, within three months if plants will not be harvested (specifying how they will be destroyed), and at least four weeks before harvesting an industrial cannabis or class B research cannabis crop (stating it is ready for THC testing). For researchers, the research plan submitted with the licence application must include a description of the research and associated activities, locations, risks of non-compliance, and measures to manage those risks (including security of crops, seed, equipment, information, and records; security screening protocols; access restrictions; and safe storage, handling and transport). The chief executive may publish additional guidelines on the department’s website (s 27B(3)). Labelling of cannabis seed must comply with s 27C: information must be written in English, characters at least 1.5mm high, dark on light or light on dark background, and placed on the outside of the container or on a fixed label; if bulk supply, a written notice must be given before or at delivery. Pay monitoring fees as calculated under s 28A, including travel time (up to two hours per day) and reasonable analysis costs if a sample is taken. Ensure that carriers, family members, and employees who act under the authorisations in part 4 understand that their authorisation is limited to actions that are necessary for or incidental to their role or the licensee’s activities. Maintain all records and documents in a secure and accessible manner, and be prepared to produce them to an inspector on request. Compliance with the conditions in schedule 8, which apply to all licensees, must also be verified. Finally, keep up to date with annual fee adjustments and any new amending regulations, as the fee provisions are updated frequently.