Warren Truss (Wide Bay, National Party, Leader of the Nationals) Share this | Link to this | Hansard source

I move:

That this bill be now read a second time.

The Aviation Transport Security Amendment (Cargo) Bill 2015 will amend the Aviation Transport Security Act 2004 to ensure Australia's air cargo security arrangements keep pace with international standards. In particular, the amendments will ensure that Australia's $4.8 billion worth of airfreight exports to the United States continue without disruption.

The United States obliges all airlines transporting air cargo to the US on passenger flights to examine 100 per cent of air cargo at piece level. This means that each individual box, carton or other item in a shipment must be examined by technology or physically inspected before it is loaded onto a US-bound aircraft. This is a US government legislative requirement. The US has recently re-evaluated Australia's air cargo security arrangements and determined that they do not meet US standards.

The Australian government has negotiated a two-year time frame to implement the changes required by the US. This will give Australian based exporters, freight forwarders and airlines time to adopt new security measures for the preparation of US-bound air cargo. The amendments proposed in the bill are an important element of the government's two-part strategy to respond to the US requirements, a strategy which will be implemented in partnership with industry.

The first element in the response is already being implemented. Approved businesses are now able to examine air cargo off-airport and have this process recognised under the Aviation Transport Security Regulations 2005. Cargo screened under these arrangements is not required to undergo further examination at the airport cargo terminal.

The second element in the response is the establishment of a known consignor scheme under the Aviation Transport Security Act 2004.

'Known consignor' is an internationally recognised method of meeting air cargo security requirements that focuses on ensuring the security of goods from early in the supply chain through to their ultimate loading onto an aircraft. It can be an effective, alternative means of securing air cargo from unlawful interference compared to the traditional methods of screening or alternative examination techniques.

The purpose of the known consignor concept is to place the emphasis for the practical implementation of security controls on the actual shipper or the originator of the goods and to ensure the security of air cargo and mail as they move through the supply chain. This requires goods to be produced, packaged, stored, transported and handled in a manner that ensures their integrity and protects them from unauthorised interference from the point of origin and throughout the secure supply chain.

The Aviation Transport Security Act 2004establishes a regulatory framework to safeguard against unlawful interference with aviation. This includes measures to ensure the security of air cargo.

The act gives effect to Australia's international obligations under the Convention on International Civil Aviation, also known as the Chicago convention, in particular annex 17 to that convention, which deals with security.

The amendments proposed by the bill are required to establish the legal authority for the establishment of the known consignor category of industry participant.

The amendments clarify what is meant by cargo receiving clearance and being cleared for carriage through a secure supply chain. They will also establish a framework to enable the making of additional regulations and other legislative instruments to provide the details of the new enhanced measures.

The government has an ongoing commitment to ensuring the safety and security of Australians and Australian interests. The government is also committed to maintaining and growing Australia's international trade.

This bill ensures that Australia is positioned to deal with emerging security risks and continues to have a sound, effective and internationally recognised air cargo security framework.

I commend the bill to the House.

Debate adjourned.