01 August 2017
Species: All livestock
Country: N/A
For information:
- Livestock Exporters
- LiveCorp
- Australian Livestock Export Industry (ALEC)
- Department Officers
Purpose
To advise of the cessation of the remission program for the Live Animal Export Cost Recovery Arrangement (the arrangement) from 02 August 2017. Remissions currently applied to cost recovered levies for throughput will cease immediately.
Background/Key points
Remissions are a temporary reduction in charges. They are subject to industry consultation and government approval, and may be implemented within existing legislation. This allows the department to adjust charges without a cost recovery review, which may require legislation and may take up to twelve months. When a remission is agreed, the legislated fees and levies do not change, a remission is applied to reduce the amount payable. The Live Animal Exports Cost Recovery Impact Statement outlines the fees and levies for 2015-16 through to 2018-19.
All remissions are temporary and are closely monitored to ensure ongoing affordability. Remissions may need to be adjusted if trade volumes and/or costs change unexpectedly. Any adjustments are subject to industry consultation, with an agreed lead time for industry to respond to a change in price.
The arrangement currently has remissions in place for throughput levies (Table 1) which were implemented as part of the 2014-15 fee review following consultation with industry.
The arrangement is under recovering and the current remission program is no longer financially sustainable. Remissions on Throughput will be ceased from 02 August 2017. Table 1 provides a summary of the 2016-17 Remission Program showing the legislated rate, the remission rates and amount payable pre and post 02 August 2017.
Table 1: Summary of the charges payable
| Activity Stream | Unit of Charge | Type of Charge | Legislated Rate $ | Remission Rate $ 1 July 2016 to 1 August 2017 |
Amount Payable $ 1 July 2016 to 1 August 2017 |
Remission Rate $ From 2 August 2017 |
Amount Payable $ From 2 August 2017 |
|---|---|---|---|---|---|---|---|
| Throughput - Full Unit (Cattle/Buffalo/Camelids) |
Animal | Levy | 1.21 | 0.01 | 1.20 | - | 1.21 |
| Throughput - Full Unit (Sheep/Goat) |
Animal | Levy | 0.31 | 0.01 | 0.30 | - | 0.31 |
Instructions
Live animal exporters will be affected by the removal of the remission program. The removal of the remissions increase charges payable for Throughput rates, but does not impact the legislated rate.
Invoices will reflect the relevant rate for services to be provided from 02 August 2017 inclusive.
Details of the fees and levies recoverable for the Live Animal Export industry are published on the Department’s website, Cost Recovery Implementation Statement available at Live Animal Export Cost Recovery Implementation Statement (CRIS) and Charging guidelines 2017.
If you have any further questions regarding this adjustment to the remission program please contact the Cost Recovery Operations team:
Contact area: Cost Recovery
Phone: 1800 900 090
Email: Cost Recovery