Explanatory Memorandum(Circulated by the authority of the Treasurer, the Hon Wayne Swan MP)
General outline and financial impact
The Excise Tariff Amendment (Condensate) Bill 2008 amends the Excise Tariff Act 1921 to apply the Crude Oil Excise regime to condensate produced in the North West Shelf project area and onshore Australia. This has the effect of removing the current exemption of condensate from the Crude Excise Oil regime.
The Excise Legislation Amendment (Condensate) Bill 2008 amends the Excise Act 1901 , the Petroleum Excise (Prices) Act 1987 , and the Petroleum Revenue Act 1985 to facilitate this policy change.
Date of effect : These amendments apply to condensate which is produced after midnight (by legal time in the Australian Capital Territory) on 13 May 2008.
Proposal announced : This measure was announced in the Treasurer's Press Release No. 045 of 13 May 2008.
Financial impact : This measure has an ongoing net revenue gain, which is estimated at around $2.5 billion over the period 2007-08 to 2011-12, as set out in the table below.
Compliance cost impact: Low.