Explanatory Memorandum
(Circulated by the authority of the Treasurer, the Hon J. B. Hockey MP and the Minister for Immigration and Border Protection, the Hon Scott Morrison MP)General outline and financial impact
Changes to the Product Stewardship for Oil Scheme
The Excise Tariff Amendment (Product Stewardship for Oil) Bill 2014 and the Customs Tariff Amendment (Product Stewardship for Oil) Bill 2014 amend the Excise Tariff Act 1921 and the Customs Tariff Act 1995 to increase the excise and excise-equivalent customs duty on new and recycled petroleum-based oils, greases and their synthetic equivalents from 5.449 cents to 8.5 cents per litre or kilogram.
Date of effect: The amendments apply from 1 July 2014.
Proposal announced: This measure was announced by the Treasurer in the Budget on 13 May 2014.
Financial impact: The measure is estimated to result in a gain to revenue over the forward estimates period of $79 million comprising:
| 2014-15 | 2015-16 | 2016-17 | 2017-18 |
| $19m | $19m | $20m | $21m |
Human rights implications: These Bills do not raise any human rights issues. See Statement of Compatibility with Human Rights - Chapter 1, paragraphs 1.11 to 1.14.
Compliance cost impact: The changes to the Product Stewardship for Oil Scheme result in low transitional compliance costs for affected manufacturers and importers.