NEWS FROM THE SENATE

Biodiesel Excise Exemption Reform rundown 18/6/2004 – Nothing has changed since.... Nothing will change until you and I change it!!

BEER's proposed amendment to the excise tax laws was tabled in the senate by Lyn Allison of the Democrats on the 15/6/04 . This is the same date that the Liberal government asserted that Australia will continue to use fossil fuels unabated, will not sign the Kyoto protocol and will not be lifting the 2% federal renewable energy mandate. That last move alone cost Australia AUD $5 000 000 000 ($5 Billion) in lost wind energy projects that are now heading overseas. 

On the same day in the senate Liberal and Labor knocked back an amendment to allow Australians to make there own renewable fuel for the family.

Small scale biodiesel was not supported by the liberals in the senate because of:

  1. They do not want to carve up the excise laws.
  2. Do not believe that beer is a fair comparison to biodiesel.
  3. Small scale biodiesel apparently would not meet the standard.
  4. Hazardous materials are used in production.

    And from the Labor party as stated in the senate:
  5. Hazardous materials may present a risk in residential areas etc.
  6. Will it meet the standard?
  7. Non commercial is not defined.
  8. Will engine life be affected?
  9. Need more time to look at the issue.

    BEER's comments:

The majority of the issues raised have already been addressed and sent to the Treasury (Liberal) some issues have been addressed with the Labor party. The Labor party are correct in claiming they have not had enough time to consider the issue as information sent to them has been hand balled to shadow Treasury who it is fair to say, have not really looked at the issue. It was noted by the Democrats that this amendment will save the ATO money on administering the miniscule amounts of revenue that would be collected.

Points to consider from the above: 

  1. Excise tax laws have included an amendment to allow the non commercial production of beer for 35 years. This 'tax carve up' has not posed a problem to date. I fail to see how the same treatment for biodiesel poses a carve up differing from any other tax laws.
  2. Beer receives the exact same treatment as fuel in the excise tax laws regarding taxation and licensing, they are comparative as they are administered under the same laws.
  3. Biodiesel that is not ‘supplied as an exchange, gift or sale’ does not currently have to be proven to meet the standard whether it is made large or small scale. Provide affordable testing facilities and people will be able to prove that they meet the standard – issue would easily be solved with government interest in it.
  4. Products used in biodiesel production are already found around the home, petrol is an extremely hazardous product for example It depends on what you do with the petrol as to whether it is hazardous to people and the environment or not.
  5. See 4.
  6. See 3. With attention and learning anyone can make biodiesel that meets the standard. Making it illegal only serves to make it too hard and risky to learn to make a standardized product.
  7. Non commercial can be defined by the Labor party and introduced as there proposal on the issue.
  8. Many, even 100s of credible reports exists on the topic of engine life concerning the use of biodiesel, search on www.biodiesel.org
  9. It is great that the Labor party is willing to look at supporting renewable energy produced big and small.

 

BEER WEBSITE www.biodiesel.id.au