REPLACEMENT EXPLANATORY STATEMENT

Consumer Goods (Elastic luggage straps) Safety Standard 2017

Overview

The Commonwealth Minister for Small Business (the Minister) has made a safety standard for elastic luggage straps pursuant to section 104 of the Australian Consumer Law (ACL), which is Schedule 2 of the Competition and Consumer Act 2010 (Cth) (CCA). This safety standard updates the safety standard for elastic luggage straps and repeals Regulation 11C of the Trade Practices (Consumer Product Safety Standards) Regulations 1979 – Elastic luggage straps – consumer product safety standard from 1 December 2004 (Act s 65C(2)) (Federal Register of Legislation No. F2004C00303).

The safety standard comes into effect on the day after it is registered on the Federal Register of Legislation. Suppliers are able to continue to supply elastic luggage straps, which meet either the previous safety standard or new safety standard until 1 July 2019. After this date, suppliers will need to ensure they comply with the new standard.

The purpose of the safety standard is to reduce the risk of death, injuries to the face and head area and permanent blindness associated with use of elastic luggage straps. The ACCC estimates that 28 injuries are associated with luggage straps in Australia each year. While the number of injuries has decreased significantly, an unreasonable risk of injury remains, and the warning label is still required. The safety standard reduces this risk by updating the wording on the warning labelling in line with consumer comprehension testing and best practice for safety warnings.

Repealed Standard

The standard for elastic luggage straps was Regulation 11C of the Trade Practices (Consumer Product Safety Standards) Regulations 1979 made pursuant to 65C of the Trade Practices Act 1974 (TPA). Item 4 of Schedule 7 of the Trade Practices Amendment (Australian Consumer Law) Act (No. 2) 2010 provides that a product safety standard made under 65C of the TPA will continue in force under the ACL as if it had been made under section 104 of the ACL.

Requirements of the safety standard

The safety standard includes the following definition:

elastic luggage strap means an elastic strap or cord or two or more elastic straps or cords permanently joined and:

(a)          having a hook, buckle or other fastening device at each extremity; and

(b)          designed to be used for the purpose of securing luggage or other objects;

except for:

(c)           an elasticised cargo net; or

(d)          an elasticised strap specifically made for the purpose of securing a vehicle jack or toolkit with a vehicle.

The safety standard requires that an elastic luggage strap must have a prescribed warning label or notice that is fixed securely and permanently to, or stamped on the strap.

New warning (example only)

The new warning must:

• Bear the word ‘WARNING’ and  the words ‘DO NOT’ in upper case black letters of not less than 5 millimetres in height on a yellow background;
• Bear the remaining words in upper and lower case letters as shown above, the upper case letters being of not less than 5 millimetres in height on a yellow background; and
• Be conspicuously displayed.

Transitional arrangements

Prior to 1 July 2019, the safety standard requires that an elastic luggage strap have the new warning, or that an elastic luggage strap have the previous warning from Regulation 11C(3) of the Trade Practices (Consumer Product Safety Standards) Regulations 1979 made pursuant to 65C of the Trade Practices Act 1974 (TPA).

Previous warning (example only)

On and after 1 July 2019, suppliers must supply elastic luggage straps, which meet the requirements of the new standard, with the new warning.

Consultation

The Australian Competition and Consumer Commission (ACCC) conducted a review of the safety standard for elastic luggage straps and recommended to the Australian Government Minister for Small Business that the text of the mandatory warning label be amended to be consistent with good practice for effective warnings.

Following initial discussion with industry, the ACCC released a consultation paper for the review of the standard and circulated it to manufacturers, suppliers and consumer groups. The consultation ran for over six weeks. The paper outlined the proposal to change the text of the mandatory warning label and asked for comment on transition arrangements.

A total of ten submissions were received from retailers, wholesalers, a government agency and consumer groups. All submissions supported the proposed change and there was support to retain part of the existing warning text for overstretching and wear and tear. There was agreement that there would be little or no cost to suppliers associated with the change.

On the basis of the comments received, the transition period was set as at least 24 months.

Disallowance

This legislative instrument is not subject to disallowance due to section 44 of the Legislation Act 2003.

Sunsetting

This legislative instrument is not subject to sunsetting due to section 54 of the Legislation Act 2003.