Explanatory Statement

Select Legislative Instrument 2006

Issued by the Authority of the Minister for Foreign Affairs

Charter of the United Nations Act 1945

Charter of the United Nations (Sanctions – Democratic Republic of Korea) Luxury Goods List 2006

The Charter of the United Nations (Sanctions – Democratic People’s Republic of Korea) Regulations 2006 (‘the Regulations’) entered into force on 10 November 2006.  The purpose of the Regulations is to implement Australia’s obligations under United Nations Security Council Resolution (UNSCR) 1718, adopted on 14 October 2006, to impose a range of sanctions against the Democratic People’s Republic of Korea (DPRK).  UNSCR 1718 was adopted under Article 41 of Chapter VII of the Charter of the United Nations, and the measures are binding on Australia pursuant to Article 25.

Under UNSCR 1718, Australia was required to take necessary measures to prevent the direct or indirect supply, sale or transfer to the DPRK of, inter alia, luxury goods.  This prohibition applies extraterritorially, including to Australian nationals abroad, and the use of Australian vessels and aircraft.

Regulation 19 of the Regulations provides that the Minister for Foreign Affairs may, by legislative instrument, determine a list of goods (the luxury goods list) that are to be treated as luxury goods for the purposes of these Regulations.  By this instrument, the Minister for Foreign Affairs has determined a list of goods to be included on the luxury goods list for the purposes of Regulation 19.

Once this legislative instrument comes into effect, the Regulations make it an offence, inter alia, to engage in conduct which assists, or results in, the sale, supply or transfer of specified goods on the luxury goods list to the DPRK, or any recipient in the DPRK, or any person or entity acting on behalf of, or owned or controlled by, the DPRK.  This prohibition does not extend to resident or visiting DPRK diplomats entitled to privileges and immunities under the Diplomatic Privileges Act 1967, or the DPRK Embassy, for use in Australia.

The relevant United Nations Security Council Resolutions can be found on the UN website (www.un.org).  Australia has an obligation under Article 25 of the United Nations Charter to carry out decisions of the Security Council.  All relevant Commonwealth Government Departments were consulted prior to the drafting of this instrument.

(initialled by the Hon. Alexander Downer, Minister for Foreign Affairs)