A/G ASSISTANT SECRETARY, ENERGY SECURITY BRANCH

DEPARTMENT OF THE ENVIRONMENT AND ENERGY

NOTICE UNDER SECTION 17A OF THE FUEL QUALITY STANDARDS ACT 2000 CONCERNING AN APPROVAL TO VARY

THE FUEL STANDARD (PETROL) DETERMINATION 2001

AND THE FUEL QUALITY STANDARDS (PETROL) DETERMINATION 2019
GRANTED UNDER SECTION 13 OF THAT ACT

I, Tim Wyndham, A/g Assistant Secretary, Energy Security Branch, delegate of the Minister for the Environment, provide the following information concerning my decision to grant an approval under section 13 of the Fuel Quality Standards Act 2000.

Name of approval holder

Muranno Group Pty Ltd, trading as Panta Distribution Australia

Period of operation

The approval comes into force on the date below and remains in force until 30 June 2022.  

Details of the approval

The approval varies the fuel standard for petrol set out in the Fuel Standard (Petrol) Determination 2001 and fuel standard set out in the Fuel Qualty Standards (Petrol) Determination 2019 (the Petrol Determinations) so that petrol containing:

• a maximum ethanol content of up to 20 per cent v/v
• a maximum methyl tertiary-butyl Ether (MTBE) content of up to 20 per cent v/v
• a maximum oxygen content of up to 4.65 per cent m/m

are taken to comply with the relevant parameters specified in the Petrol Determinations in respect of the supply of specialist racing fuel for use in legitimate motor sport activities on land until 30 June 2022.

The approval applies to petrol supplied by the approval holder and the regulated persons specified in Annexure 1 of this approval.

The approval is granted subject to the conditions specified in section 17 of the Act and the conditions specified in Annexure 2 of the approval.

Summary of reasons for the approval

Having consulted with the Fuel Standards Consultative Committee as required by section 24A of the Act, I grant the approval as provided for in section 15 of the Act for the following reasons:

a)            The protection of the environment

As the fuel subject to this approval is supplied and used in small quantities for legitimate motor sport activities, the higher levels of ethanol and MTBE are not expected to impact significantly on ambient air quality.

The consequences of even a small amount of MTBE contaminating water sources can be significant. It is therefore a standard condition of approving a variation of the Petrol Determination in relation to fuel containing MTBE above the limit specified in that determination, that the fuels are not used on freshwater lakes or waterways. It will be a condition of approval that the containers are labelled stating that the fuels must not be used near fresh water, and that any spills are to be contained appropriately and disposed of to protect groundwater.

The fuel is expensive relative to normal fuels and the price provides a disincentive for any waste, misuse, or spillage.

It is therefore not expected that permitting the supply of the fuels covered by this approval for legitimate motor sport activities would have an irreversible effect on the environment.

b)         The protection of occupational and public health and safety

Exposure to certain substances in petrol can be toxic. The risks associated with exposure to racing fuels may be higher than for petrol because of the additional substances contained in them. A variety of negative health effects can occur, depending upon the substance, the level, and duration of exposure. At venues that use racing fuels, exposure may extend to drivers, team members, race officials, spectators, and the immediate environment. 

Specialist racing fuels are supplied in sealed containers of up to 200 litres capacity and are used in small quantities, predominantly in off-road activities, and in widely dispersed locations. Safe handling information will be provided with the fuel. The volume of fuel to be supplied under an approval is limited. Under these conditions, occupational and public health and safety risks resulting from short-term/intermittent use of these fuels will be minimised. 

c)            The interests of consumers

Specialist racing fuels meet the needs of a niche market for specific categories of motor racing. The consumers using these fuels seek the performance and operability characteristics provided by these fuels. Without them, motor sport competitors may not be able to operate their vehicles effectively with currently available technology. Panta’s application represents an additional choice for racing consumers with a range of European products which can be used in circuit, rally, motorcycle, and kart racing. Fuels are sold in relatively small volumes, with relatively few suppliers to the Australian market.

d)         The impact on economic and regional development

Many racing venues are located outside major population areas. Motor and water sports events provide an ongoing financial benefit to these regional communities. A decision to disallow the continued and controlled supply of specialist racing fuels would have an adverse effect on national and regional motor sport competitions and the economic benefits that flow from them.

Tim Wyndham

A/g Assistant Secretary, Energy Security Branch

5 April 2019