PETROLEUM EXCISE (PRICES) REGULATIONS
(#DATE 17:06:1996)
- In force under the Petroleum Excise (Prices) Act 1987
- Updated as at 17 June 1996
*1* The Petroleum Excise (Prices) Regulations (in force under the Petroleum
Excise (Prices) Act 1987) as shown in this reprint comprise Statutory Rules
1988 No. 22 amended as indicated in the Tables below.
Table of Statutory Rules
Year and Date of Date of Application,
number notification commencement saving or
in Gazette transitional
provisions
1988 No. 22 25 Feb 1988 25 Feb 1988
1989 No. 352 7 Dec 1989 7 Dec 1989 -
1991 No. 68 17 Apr 1991 17 Apr 1991 -
177 28 June 1991 1 July 1991 (see -
r. 1.1)
299 30 Sept 1991 30 Sept 1991 -
1992 No. 410 16 Dec 1992 Rr. 3 and 4: -
1 Feb 1993
Remainder:
16 Dec 1992
1996 No. 84 5 June 1996 5 June 1996 -
Table of Amendments
ad=added or inserted am=amended rep=repealed rs=repealed and substituted
Provision affected How affected
R. 2 am. 1992 No. 410
R. 2A ad. 1991 No. 68
R. 3 am. 1992 No. 410
R. 5 am. 1989 No. 352
Schedule ad. 1991 No. 68
am. 1991 Nos. 177 and 299
rs. 1992 No. 410; 1996 No. 84
PETROLEUM EXCISE (PRICES) REGULATIONS - TABLE OF PROVISIONS
TABLE
TABLE OF PROVISIONS
Regulation
1. Citation
2. Interpretation
2A. Oil producing regions and VOLWARE commencement dates
3. Definition of reference price
4. Transactions entered into: prescribed information
5. Transaction prices: manner of calculating
6. Oil transport costs
7. Conversion into Australian dollars of amounts expressed
in foreign currency
SCHEDULE
PETROLEUM EXCISE (PRICES) REGULATIONS - REG 1
Citation
1. These Regulations may be cited as the Petroleum Excise (Prices)
Regulations. *1*
SEE NOTES TO FIRST ARTICLE OF THIS CHAPTER .
PETROLEUM EXCISE (PRICES) REGULATIONS - REG 2
Interpretation
2. (1) In these Regulations, unless the contrary intention appears:
"due date", in relation to payment of the sale price under a contract:
(a) where a period is provided under the contract within which that payment
is to be made - means the date of the last day of that period; or
(b) in any other case - means the date identified under the contract for
that payment;
"effective credit day", in relation to a transaction comprising the sale
under a contract of a quantity of crude petroleum oil, means the day
immediately preceding any period allowed under the contract for payment of the
sale price;
"f.o.b. contract" means a contract for the sale of a quantity of crude
petroleum oil by the oil producer of that oil under which:
(a) the oil is to be loaded on a ship or ships; and
(b) the producer bears none of the costs of:
(i) freight;
(ii) insurance;
(iii) demurrage at the port of destination;
(iv) lighterage at the port of destination;
(v) wharfage at the port of destination;
(vi) heating of the oil; or
(vii) bunkers;
relating to the transport of that oil to the purchaser after the oil is
loaded;
"maximum indicator interest rate", in relation to a day, means the higher or
the highest, as the case may be, of the range of rates of interest per annum
current on that day quoted by the Reserve Bank, on the basis of reports by
each bank regarded by the Reserve Bank as a major trading bank operating in
Australia in respect of overdrafts of $100,000 or more;
"Reserve Bank mid-rate", in relation to a foreign currency on a day, is the
rate, expressed as an amount in that currency that is equivalent to the
Australian dollar, quoted by the Reserve Bank as at 4 p.m. Eastern Standard
Time, or Eastern Summer Time, as the case may be, on that day;
"Reuters Database Services" means the daily crude oil price information
published under that name by Reuters Australia Pty Limited;
"sale price", in relation to a contract for the sale of a quantity of crude
petroleum oil by an oil producer, means the total amount payable to the
producer under that contract for that quantity of oil;
"the Act" means the Petroleum Excise (Prices) Act 1987.
(2) For the purposes of these Regulations, 2 or more persons shall be
regarded as associates of each other if they would be deemed to be associates
of each other in accordance with paragraph 1 (k) of Schedule 1 to the
Petroleum Revenue Act 1985 if that paragraph applied to them.
(3) In these Regulations, unless the contrary intention appears:
(a) a reference to the number of credit days allowed under a contract for
the sale of crude petroleum oil is a reference to the duration, expressed as a
number of days, of any period within which payment of the sale price is to be
made under the contract;
(b) a reference to credit days allowed under such a contract that exceed or
do not exceed a specified number is a reference to such a period the duration
of which exceeds or does not exceed the specified number of days;
whether or not the duration of that period is expressed in the contract in
terms of days.
(4) In these Regulations, unless the contrary intention appears, a reference
to the delivery of oil by pipeline is a reference to the loading of oil into a
pipeline otherwise than for the purpose of loading on a ship.
PETROLEUM EXCISE (PRICES) REGULATIONS - REG 2A
Oil producing regions and VOLWARE commencement dates
2A. (1) For the purposes of the definition of "oil producing region" in
subsection 4 (1) of the Act, the production areas listed in column 3 of an
item in the Schedule are, together, the oil producing region specified in
column 2 of that item.
(2) For the purposes of the definition of "VOLWARE commencement date" in
subsection 4 (1) of the Act, the date specified in column 4 of an item in the
Schedule is the VOLWARE commencement date in relation to excisable crude
petroleum oil obtained from the oil producing region specified in column 2 of
that item.
PETROLEUM EXCISE (PRICES) REGULATIONS - REG 3
Definition of reference price
3. For the purposes of paragraph 5 (3) (b) of the Act, the amounts of the
adjustments to be made for the purpose of determining a reference price for
the month of March 1988, or for a subsequent month, (in this regulation called
"the reference price month") in accordance with subsection 5 (2) of the Act
shall be calculated in accordance with the formula:
RP = IV(M - 2) X P(M - 1) X E(M - 2)
P(M - 2) E(M - 1);
where:
RP is the reference price (expressed as an amount of Australian dollars,
calculated to the nearest cent, per kilolitre) for the reference price month;
IV(M - 2) is the interim VOLWARE price, per kilolitre, for the month that
ends immediately before the month immediately preceding the reference price
month;
P(M - 1) is the price (expressed as an amount of United States dollars,
calculated to 3 decimal places, per kilolitre) that is the average of:
(a) the mid-range of the spot prices for Dubai crude oil prices; and
(b) the mid-range of the spot prices for Oman crude oil prices;
for oil to be delivered in the reference price month, being the spot prices
for such oil that are notified in Reuters Database Services for each of the
last 5 days, in respect of which such prices are so notified, immediately
preceding the twentieth day of the month immediately preceding the reference
price month;
P(M - 2) is the price (expressed as an amount of United States dollars,
calculated to 3 decimal places, per kilolitre) that is the average of:
(a) the mid-range of the spot prices for Dubai crude oil prices; and
(b) the mid-range of the spot prices for Oman crude oil prices;
for oil to be delivered in the month immediately preceding the reference price
month, being the spot prices for such oil that are notified in Reuters
Database Services for each of the last 5 days, in respect of which such prices
are so notified, immediately preceding the twentieth day of the month that
ends immediately before the month immediately preceding the reference price
month;
E(M - 1) is the rate, calculated to 4 decimal places, that is the average of
the Reserve Bank mid-rate for the United States dollar for the last 5 days, in
respect of which such a rate is quoted by the Reserve Bank, immediately
preceding the twentieth day of the month immediately preceding the reference
price month;
E(M - 2) is the rate, calculated to 4 decimal places, that is the average of
the Reserve Bank mid-rate for the United States dollar for the last 5 days, in
respect of which such a rate is quoted by the Reserve Bank, immediately
preceding the twentieth day of the month that ends immediately before the
month immediately preceding the reference price month.
PETROLEUM EXCISE (PRICES) REGULATIONS - REG 4
Transactions entered into: prescribed information
4. (1) Subject to subregulation (2), the following information is prescribed
for the purposes of subsection 6 (1) of the Act in respect of a transaction,
entered into by an oil producer of excisable crude petroleum oil entered for
home consumption, comprising the sale of that oil:
(a) whether the producer and the other party or parties to the transaction,
or the producer and any of the parties to the transaction, are associates of
each other;
(b) whether under the transaction the oil is to be loaded on a ship or ships
or delivered by pipeline;
(c) where under the transaction all or part of that oil is loaded on a ship
under a contract:
(i) the name of the producer;
(ii) the date of the contract;
(iii) the number of the contract, or the shipment number,
allocated by the producer;
(iv) the purchaser's name;
(v) whether the sale is a domestic sale or an export sale;
(vi) where the contract so specifies - the destination of the
oil;
(vii) the name of the ship;
(viii) the number of the bill of lading relating to the oil;
(ix) the date of entry of the oil for home consumption;
(x) the quantity of the oil loaded on the ship (expressed as
an amount of kilolitres and as an equivalent amount of barrels);
(xi) where the contract is not an f.o.b. contract or any
other contract under which the quantity of oil sold is the quantity of oil
loaded on the ship - the quantity of the oil delivered under the contract
(expressed as an amount of kilolitres or as an equivalent amount of barrels);
(xii) whether the contract is an f.o.b. contract;
(xiii) the price per kilolitre or per barrel for the oil;
(xiv) the due date for payment of the sale price under the
contract;
(xv) the currency in which payment of the sale price is to be
effected (in this paragraph called "the currency of payment");
(xvi) where the currency of payment is not Australian dollars
- the Reserve Bank mid-rate for the currency of payment as quoted by the
Reserve Bank for the due date for payment of the sale price or, if that rate
is not quoted for that date, the Reserve Bank mid-rate for the currency of
payment for the last day, preceding that date, for which that rate is so
quoted;
(xvii) where the currency of payment is not Australian
dollars - the sale price under the contract (expressed as an amount of that
currency and as an equivalent amount of Australian dollars);
(xviii) the date of the effective credit day;
(xix) the number of credit days allowed; and
(xx) the maximum indicator interest rate quoted by the
Reserve Bank for the date of entry for home consumption of the oil or, if that
rate is not quoted for that date, the maximum indicator interest rate for the
last day, preceding that date, for which that rate is so quoted;
(d) where all or part of that oil is loaded on a ship under a contract other
than an f.o.b. contract - the value applicable under paragraph 6 (1) (b) to
each type of cost, referred to in a subparagraph of paragraph 6 (1) (a),
incurred by the producer under that contract together with sufficient
particulars to enable the nature of that cost to be readily identified;
(e) in a case where particulars of 2 or more types of cost are given in
accordance with paragraph (d) - the total of those costs; and
(f) where all or part of that oil is delivered by pipeline under a
contract:
(i) the name of the producer;
(ii) that date of the contract;
(iii) the number of the contract allocated by the producer;
(iv) the purchaser's name;
(v) date of entry of the oil for home consumption;
(vi) the quantity of the oil (expressed as an amount of
kilolitres and as an equivalent amount of barrels);
(vii) the price per kilolitre or per barrel for the oil;
(viii) the due date for payment of the sale price under the
contract;
(ix) the currency in which payment of the sale price is to be
effected (in this paragraph called "the currency of payment");
(x) where the currency of payment is not Australian dollars -
the Reserve Bank mid-rate for the currency of payment as quoted by the Reserve
Bank for the due date for payment of the sale price or, if that rate is not
quoted for that date, the Reserve Bank mid-rate for the currency of payment
for the last day, preceding that date, for which that rate is so quoted;
(xi) where the currency of payment is not Australian dollars
- the sale price under the contract (expressed as an amount of that currency
and as an equivalent amount of Australian dollars);
(xii) the date of the effective credit day;
(xiii) the number of credit days allowed; and
(xiv) the maximum indicator interest rate quoted by the
Reserve Bank for the date of entry for home consumption of the oil or, if that
rate is not quoted for that date, the maximum indicator interest rate for the
last day preceding that date for which that rate is so quoted.
(2) For the purposes of subregulation (1):
(a) where a producer is required to give information that comprises an
amount the producer shall give the actual amount or, if it is not reasonably
practicable for the producer to give the actual amount, the producer's best
estimate of that amount; and
(b) where information comprises an estimated amount, the producer shall
indicate in relation to that amount that the information is an estimate.
PETROLEUM EXCISE (PRICES) REGULATIONS - REG 5
Transaction prices: manner of calculating
5. (1) In this regulation:
"applicable whole cost", in relation to a quantity of crude petroleum oil
loaded on a ship under a contract of sale, other than an f.o.b. contract, by
the oil producer of that oil means the total of the values applicable under
paragraph 6 (1) (b) to any of the costs referred to in paragraph 6 (1) (a)
incurred by the producer under the contract;
"applicable whole price", in relation to a quantity of crude petroleum oil
loaded on a ship, or delivered by pipeline, under a contract of sale, means:
(a) where the contract is a contract, other than an f.o.b. contract or any
other contract under which the quantity of oil sold is the quantity of oil
loaded on the ship, under which a quantity of oil is loaded on a ship (in this
paragraph called "the loaded quantity") and the amount of the sale price under
the contract is to be computed by reference to the quantity of oil delivered
under the contract (in this paragraph called "the delivered quantity") and the
loaded quantity exceeds the delivered quantity by more than 0.5% of the loaded
quantity - the value of the loaded quantity, expressed as an amount of
Australian dollars to the nearest cent, calculated in accordance with the
following formula:
AWP = (LQ - 0.005 X LQ) X P
where:
AWP is the applicable whole price;
LQ is the loaded quantity; and
P is the price per kilolitre of the oil under the contract; and
(b) in any other case - the price indicated in the contract as the sale
price, expressed as an amount of Australian dollars to the nearest cent;
"excisable quantity cost", in relation to a quantity of crude petroleum oil
loaded on a ship under a contract of sale, other than an f.o.b. contract,
being oil all or part of which is entered for home consumption during a month,
means the amount (expressed as an amount of Australian dollars to the nearest
cent) that is the same proportion of the applicable whole cost for that oil as
the proportion:
TEO
TO;
where:
TEO is the total quantity of excisable crude petroleum oil entered for home
consumption during that month;
TO is the total quantity of excisable crude petroleum oil entered for home
consumption during that month and of any other crude petroleum oil mixed with
that oil at the time of that entry;
"excisable quantity price", in relation to a quantity of crude petroleum oil
loaded on a ship, or delivered by pipeline, under a contract of sale being oil
all or part of which is entered for home consumption during a month, means the
amount (expressed as an amount of Australian dollars to the nearest cent) that
is the same proportion of the applicable whole price for that oil as the
proportion:
TEO
TO;
where:
TEO is the total quantity of excisable crude petroleum oil entered for home
consumption during that month;
TO is the total quantity of excisable crude petroleum oil entered for home
consumption during that month and of any other crude petroleum oil mixed with
that oil at the time of that entry;
"relevant delivery price", in relation to a quantity of crude petroleum oil
loaded on a ship, or delivered by pipeline, under a contract of sale:
(a) in the case of oil loaded on a ship under an f.o.b. contract or
delivered by pipeline - means the excisable quantity price for that oil; or
(b) in any other case - means the excisable quantity price for that oil less
the excisable quantity cost for that oil.
(2) For the purposes of paragraph 7 (5) (a) of the Act, the transaction
price for a quantity of excisable crude petroleum oil, comprising all or part
of a quantity of oil loaded on a ship, or delivered by pipeline, under a
contract of sale under which:
(a) no more than 15 credit days are allowed - is the relevant delivery price
of that oil; or
(b) more than 15 credit days are allowed - shall be calculated by deducting
from the relevant delivery price of that oil a credit allowance determined in
accordance with the formula specified in subregulation (3) or (4), as the case
requires.
(3) Subject to subregulation (4), the formula for the purposes of paragraph
(2) (b), is:
CA = (CD - 15) X IR X RDP
N;
where:
CA is the credit allowance (expressed as an amount of Australian dollars to
the nearest cent);
CD is the number of credit days allowed;
IR is the maximum indicator interest rate quoted by the Reserve Bank for the
date of entry for home consumption of the oil or, if that rate is not quoted
for that date, the maximum indicator interest rate for the last day, preceding
that date, for which that rate is so quoted;
N is:
(a) where under the contract the effective credit day and the due date for
payment are in the same year - the number of days in that year; or
(b) where under the contract the effective credit day is in one year and the
due date for payment is in the immediately succeeding year and the number of
credit days allowed under the contract that occur in the first of those years
is no more than 15 - the number of days in the second of those years;
RDP is the relevant delivery price of the oil.
(4) Where:
(a) the effective credit day under the contract is in one year (in this
subregulation called "the first year") and the due date for payment under the
contract is in the immediately succeeding year (in this subregulation called
"the second year"); and
(b) the number of credit days allowed under the contract that occur in the
first year is more than 15;
the formula for the purposes of paragraph (2) (b) is as follows:
CA = (CD1 - 15) X IR X RDP + CD2 X IR X RDP
N1 N2;
where:
CA, IR and RDP have the meanings respectively attributed to them in
subregulation (3);
CD1 is the number of credit days allowed that occur in the first year;
CD2 is the number of credit days allowed that occur in the second year;
N1 is the number of days in the first year;
N2 is the number of days in the second year.
PETROLEUM EXCISE (PRICES) REGULATIONS - REG 6
Oil transport costs
6. (1) For the purposes of paragraph 4 (1) (d) and the definition of
"applicable whole cost" in subregulation 5 (1):
(a) the costs are:
(i) freight;
(ii) insurance;
(iii) demurrage at the port of destination not caused by any
action of the producer;
(iv) lighterage at the port of destination;
(v) wharfage at the port of destination;
(vi) heating of the oil;
(vii) bunkers; and
(viii) survey; and
(b) the value of a cost referred to in a subparagraph of paragraph (a) is:
(i) where the Minister, or an authorised person, and the
producer agree on that value - the value as agreed; or
(ii) in any other case - the amount (if any) incurred in
respect of that cost;
and shall be expressed as an amount of Australian dollars to the nearest cent.
(2) In subregulation (1):
"authorised person" means a person for the time being authorised by the
Minister to exercise the Minister's powers under section 7 of the Act.
PETROLEUM EXCISE (PRICES) REGULATIONS - REG 7
Conversion into Australian dollars of amounts expressed in foreign currency
7. For the purposes of paragraph 4 (1) (d) and the definitions of
"applicable whole cost" and "applicable whole price" in subregulation 5 (1),
where the amount indicated in a contract of sale as the sale price, or an
amount incurred under a contract of sale in respect of a cost of a type
referred to in paragraph 6 (1) (a) is expressed in a foreign currency, the
exchange rate to convert the amount of the sale price or cost into Australian
dollars shall be the Reserve Bank mid-rate for the foreign currency as quoted
by the Reserve Bank for the due date for payment of the sale price under that
contract or, if that rate is not quoted for that date, the Reserve Bank
mid-rate for that currency for the last day, preceding that date, for which
that rate is so quoted.
PETROLEUM EXCISE (PRICES) REGULATIONS - SCHEDULE
SCH
SCHEDULE Regulation 2A
Column 1 Column 2 Column 3 Column 4
Item No. Oil producing Production areas VOLWARE
region commencement date
1 Jackson Jackson 1 November 1990
2 Thevenard Island Saladin Roller/Skate Date on which
production of stabilised
crude petroleum oil
in production area
exceeds 4767.3 megalitres
3 Varanus Island Harriet/Lenita Date on which
production of stabilised
crude petroleum oil
in production area
exceeds 4767.3 megalitres
4 North West Shelf Wanaea Cossack Date on which
project area production of stabilised
crude petroleum oil
in production area
exceeds 4767.3 megalitres
(NOTE: The VOLWARE commencement date for items 2, 3 and 4 is the date
on which production from the field containing the production area
specified in column 3 ceases to be exempt from duties of excise under
the Excise Tariff Act 1921.)