ENERGY GRANTS (CLEANER FUELS) SCHEME REGULATIONS 2004
These Regulations are the Energy Grants (Cleaner Fuels) Scheme Regulations 2004. REGULATION 2 2 COMMENCEMENT
These Regulations are taken to have commenced on the commencement of the Energy Grants (Cleaner Fuels) Scheme Act 2004.
Note:
The Act commenced on 18 September 2003.
REGULATION 3 3 DEFINITIONSIn these Regulations:
Act
means the Energy Grants (Cleaner Fuels) Scheme Act 2004.
(a) for use in an internal combustion engine; and
(b) that is a blend, in any proportion, of:
(i) biodiesel; and
(ii) diesel that, if used as automotive diesel, would comply with the applicable fuel standard for automotive diesel.
Note:
By definition, biodiesel is fuel that complies with the applicable fuel standard for such fuel. See subsection 4(1) of the Act.
duty rate
means the excise duty rate for biodiesel.
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low sulphur PULP
means premium unleaded petrol that:
(a) has 50 milligrams or less of sulphur content per kilogram; and
(b) complies with the applicable fuel standard for premium unleaded petrol, specified in the Fuel Standard (Petrol) Determination 2001 as in force from time to time.
ultra low sulphur automotive diesel
means automotive diesel fuel that:
(a) has 10 milligrams or less of sulphur content per kilogram; and
(b) complies with the applicable fuel standard for automotive diesel, specified in the Fuel Standard (Automotive Diesel) Determination 2001 as in force from time to time. REGULATION 3A EFFECT ON THE DUTY RATE OF PROPOSED EXCISE TARIFF ALTERATIONS 3A(1)
For the purposes of the definition of duty rate in regulation 3, if an Excise Tariff alteration, proposed by a motion moved in the House of Representatives, relates to the excise duty rate for biodiesel, the alteration is taken to have effect as if:
(a) it is an amendment of the Act it proposes to alter; and
(b) that amendment is in force.
3A(2)
However, the alteration does not have, and is taken never to have had, that effect unless, before whichever of the following first happens:
(a) the close of the session in which the Excise Tariff alteration is proposed;
(b) the expiration of 12 months after the Excise Tariff alteration is proposed;
one or more amendments of an Act come into force that have the effect proposed by the alteration.
3A(3)
For the purposes of subregulation (2), Excise Tariff alteration is taken to have been proposed at the time the motion referred to in subregulation (1) was moved.
For paragraph (b) of the definition of cleaner fuel in subsection 4(1) of the Act, the following fuels are prescribed:
(a) biodiesel blend;
(b) low sulphur PULP;
(c) ultra low sulphur automotive diesel. REGULATION 5 START AND END DAYS FOR ENTITLEMENTS 5(1)
For paragraph 5(1)(i) of the Act, this regulation sets out a requirement for a provisional entitlement to a cleaner fuel grant for fuel mentioned in an item of the table in subregulation (2).
5(2)
The qualifying time mentioned in paragraph 5(1)(c) of the Act must occur:
(a) on or after the start day mentioned in the item; and
(b) before the end day (if any) mentioned in the item.
| Item | Fuel | Start day | End day |
| 1 | Biodiesel blend | 18 September 2003 | |
| 2 | Low sulphur PULP | 1 January 2006 | 31 December 2007 |
| 3 | Ultra low sulphur automotive diesel | 1 January 2007 | 31 December 2008 |
5(3)
For paragraph 5(1)(a) of the Act, the start day for fuel mentioned in an item of the table in subregulation (2) is the start day for that paragraph.
For subsection 4A(2) of the Act, the amount of the final fuel that is taken to be renewable diesel (the renewable diesel amount ) is worked out using the formula:
| 0.924 × V |
where:
V
is the volume, in litres, of tallow chemically altered through a process of hydrogenation.
5A(2)
The tallow mentioned in subregulation (1) must not contain more than 0.5% by weight (mass) in total of water and/or solids or other impurities.
5A(3)
The renewable diesel amount, taken as a proportion of the total volume of final fuel, must not exceed any limitation on the proportion of biodiesel in a blend of biodiesel and diesel that complies with the Determination for automotive diesel made under section 21 of the Fuel Quality Standards Act 2000, whether that limitation is specified in the Determination for automotive diesel or another Determination.
For subsection 8(1) of the Act, the amount of grant to which a claimant is entitled in relation to a quantity of biodiesel is:
| (V × Relevant duty rate) − Previous grant |
where:
(a) the volume, in litres, of the biodiesel; or
(b) if regulation 8 applies to the claimant - the volume, in litres, of the biodiesel, worked out in accordance with subregulation 8(2).
relevant duty rate
means the duty rate at the time when the biodiesel is entered.
previous grant
means the total amount of cleaner fuel grant worked out in relation to any of the biodiesel, contained in the quantity of biodiesel, for which any provisional entitlements arose before the qualifying time under section 5 of the Act.
Note:
A quantity of biodiesel might contain some components of biodiesel for which provisional entitlements arose before the qualifying time under section 5 of the Act.
For subsection 8(1A) of the Act, the amount of grant to which a claimant is entitled in relation to a quantity of biodiesel blend is:
| (V × biodiesel % × biodiesel rate) − previous grant |
where:
(a) the volume, in litres, of the biodiesel blend; or
(b) if regulation 8 applies to the claimant - the volume, in litres, of the blend, worked out in accordance with subregulation 8(2).
biodiesel %
means the percentage, by volume, of biodiesel in the blend.
biodiesel rate
means the rate that would have been the duty rate for the quantity of biodiesel in the blend, if the quantity of biodiesel were taken to have been entered as a cleaner fuel at the time when the blend is entered.
Note:
For the meaning of duty rate , see subsection 8(1) of the Act.
previous grant
means the total amount of cleaner fuel grant worked out in relation to any of the biodiesel, contained in the quantity of biodiesel blend, for which any provisional entitlements arose before the qualifying time under section 5 of the Act.
Note:
A quantity of biodiesel blend might contain some components of biodiesel for which provisional entitlements arose before the qualifying time under section 5 of the Act.
REGULATION 7A GRANT AMOUNT - LOW SULPHUR PULP 7A(1)For subsection 8(1A) of the Act, the amount of grant to which a claimant is entitled for the quantity of low sulphur PULP to which a claim relates is:
| (volume − returns) × grant rate − previous grant |
where:
volume
means the volume, in litres, of the low sulphur PULP, worked out in accordance with subregulation 8(2).
returns
means the volume, in litres, of low sulphur PULP returned to the claimant during the claim period, worked out in accordance with subregulation 8(2), subject to subregulation (2).
grant rate
means 1.1 cents per litre.
previous grant
means the total amount of cleaner fuel grant worked out in relation to any low sulphur PULP, contained within the quantity of low sulphur PULP to which the claim relates, for which any provisional entitlements arose before the qualifying time under section 5 of the Act, other than any cleaner fuel grant worked out in relation to an amount of low sulphur PULP that is part of the low sulphur PULP mentioned in the definition of
returns
for any claim period.
Note:
A quantity of low sulphur PULP might contain some components of fuel for which provisional entitlements arose before the qualifying time under section 5 of the Act.
7A(2)
For the definition of returns in subregulation (1):
(a) a quantity of low sulphur PULP returned to the claimant must satisfy the following conditions:
(i) the claimant must be provisionally entitled to a cleaner fuel grant under section 5 of the Act in relation to the low sulphur PULP;
(ii) the low sulphur PULP must have been returned to the claimant after the provisional entitlement arose;
(iii) as a consequence of the return of the low sulphur PULP, the claimant is entitled to:
(A) a refund of excise duty under paragraph 50(1)(v) of the Excise Regulations 1925; or
(B) a refund of customs duty under paragraph 126(1)(p) of the Customs Regulations 1926; and
(b) if low sulphur PULP is returned to the claimant mixed with other fuel, the volume is the volume of the component of the mixture that is low sulphur PULP.
7A(3)
In this regulation:
claim period
, in relation to a grant, has the meaning given by section 12 of the Product Grants and Benefits Administration Act 2000.
REGULATION 7B GRANT AMOUNT - ULTRA LOW SULPHUR AUTOMOTIVE DIESEL 7B(1)
For subsection 8(1A) of the Act, the amount of grant to which a claimant is entitled for the quantity of ultra low sulphur automotive diesel to which a claim relates is:
| (volume − returns) × grant rate − previous grant |
where:
volume
means the volume, in litres, of the ultra low sulphur automotive diesel, worked out in accordance with subregulation 8(2).
returns
means the volume, in litres, of ultra low sulphur automotive diesel returned to the claimant during the claim period:
(a) worked out in accordance with subregulation 8(2); and
(b) subject to subregulation (2).
grant rate
means 1.0 cents per litre.
(a) means the total amount of cleaner fuel grant worked out in relation to any ultra low sulphur automotive diesel, contained within the quantity of ultra low sulphur automotive diesel to which the claim relates, for which any provisional entitlements arose before the qualifying time under section 5 of the Act; but
(b) does not include any cleaner fuel grant worked out in relation to an amount of ultra low sulphur automotive diesel that is part of the ultra low sulphur automotive diesel mentioned in the definition of returns for any claim period.
Note 1:
If the ultra low sulphur automotive diesel contains a quantity of biodiesel, making it a biodiesel blend, the claimant may also be eligible for grant in relation to the quantity of biodiesel in the biodiesel blend: see regulation 7.
Note 2:
A quantity of ultra low sulphur automotive diesel might contain some components of fuel for which provisional entitlements arose before the qualifying time under section 5 of the Act.
7B(2)
For the definition of returns in subregulation (1):
(a) a quantity of ultra low sulphur automotive diesel returned to the claimant must satisfy the following conditions:
(i) the claimant must be provisionally entitled to a cleaner fuel grant under section 5 of the Act in relation to the ultra low sulphur automotive diesel;
(ii) the ultra low sulphur automotive diesel must have been returned to the claimant after the provisional entitlement arose;
(iii) as a consequence of the return of the ultra low sulphur automotive diesel, the claimant is entitled to:
(A) a refund of excise duty under paragraph 50(1)(v) of the Excise Regulations 1925; or
(B) a refund of customs duty under paragraph 126(1)(p) of the Customs Regulations 1926; and
(b) if ultra low sulphur automotive diesel is returned to the claimant mixed with other fuel, the volume is the volume of the component of the mixture that is ultra low sulphur automotive diesel.
7B(3)
In this regulation:
claim period
, in relation to a grant, has the meaning given by section 12 of the Product Grants and Benefits Administration Act 2000.
REGULATION 7C 7C GRANT AMOUNT - RENEWABLE DIESEL
For subsection 8(1) of the Act, the amount of grant to which a claimant is entitled in relation to a quantity of renewable diesel is worked out using the formula:
| (Renewable diesel amount × Relevant duty rate) − Previous grant |
where:
renewable diesel amount
means the amount worked out under subregulation 5A(1).
relevant duty rate
means the duty rate at the time when the renewable diesel is entered.
previous grant
means the total amount of cleaner fuel grant worked out in relation to any of the final fuel for which provisional entitlements arose before the qualifying time under section 5 of the Act.
Note:
A quantity of final fuel might contain some components of renewable diesel for which provisional entitlements arose before the qualifying time under section 5 of the Act.
In relation to biodiesel and biodiesel blend, this regulation applies to a claimant for a cleaner fuel grant if the claimant:
(a) is a licensed person for the fuel at the qualifying time; and
(b) holds a relevant licence that contains a condition to the effect that the quantity of that kind of fuel is to be determined, for the purpose of excise duty, by reference to the quantity of the fuel at 15º Celsius.
8(2)
For regulations 6, 7, 7A and 7B, the volume of the fuel is:
(a) if the fuel is to be measured through a bulk filling meter - the volume of the fuel measured on the totaliser of the meter corrected to 15º Celsius; or
(b) in any other case - the volume determined by physical measurement of the fuel, converted to its notional volumetric equivalent at 15º Celsius.
8(3)
In this regulation:
relevant licence
means any of the following that makes the claimant a licensed person for the fuel at the qualifying time:
(a) a manufacturer licence as defined in the Excise Act 1901;
(b) a storage licence as defined in the Excise Act 1901;
(c) a permission given under section 61C of the Excise Act 1901;
(d) a permission granted under section 69 of the Customs Act 1901.