EXPLANATORY STATEMENT

 

Issued by the authority of the Assistant Minister for Climate Change and Energy

 

Greenhouse and Energy Minimum Standards Act 2012

 

Greenhouse and Energy Minimum Standards (Rotary Clothes Dryers) Determination 2024

1.        Purpose and Operation

The Greenhouse and Energy Minimum Standards (Rotary Clothes Dryers) Determination 2024 (the Determination) sets minimum energy efficiency requirements, energy labelling requirements, product performance requirements, and associated requirements for conducting tests, of household rotary clothes dryers.

The Determination revokes and replaces the previous Greenhouse and Energy Minimum Standards (Rotary Clothes Dryers) Determination 2015 (old Determination).

Changes made in the Determination compared to the old Determination include:

The Determination continues to set minimum energy performance requirements and requirements for other key performance criteria for clothes dryers in addition to energy performance, including being capable of drying a full load in a single operation and maximum fabric temperature limits to avoid damage to clothes. These are to ensure that products supplied to market are fit for purpose.

2.        Background

The Greenhouse and Energy Minimum Standards Act 2012 (the Act) established a national framework for regulating the energy efficiency of products supplied or used within Australia, replacing individual state and territory legislative frameworks. The Act implemented the former Council of Australian Governments’ (COAG) commitment to establish national legislation to regulate energy efficiency and labelling standards for appliances and other products.

The Act permits the Australian Government to set mandatory minimum efficiency requirements that are generally applied to drive energy efficiency improvements for regulated products. The Act also allows the Australian Government to set nationally-consistent labelling requirements, to increase Australian consumers’ awareness of options to improve energy efficiency and reduce energy consumption, costs, and greenhouse gas emissions.

Minimum efficiency requirements are the minimum allowable energy efficiency of a product. These are referred in the Determination as greenhouse and energy minimum standards (GEMS) level requirements and are generally known as minimum energy performance standards (MEPS). Including MEPS allows the specification, and therefore enforcement, of drying and fabric temperature requirements that are integral to energy labelling requirements and also ensure that clothes dryers meet consumers’ drying and fabric temperature performance expectations.

Other regulatory requirements possible under the Act include requirements relating to energy labelling, product performance, and the impact of the product on the environment or the health of human beings. Energy labelling and product performance requirements are set in the Determination.

Subsections 44(1) and 54(1) of the Legislation Act 2003 (Legislation Act) provide that instruments are not subject to disallowance and sunsetting where the enabling legislation facilitates the establishment or operation of an intergovernmental body or scheme involving the Commonwealth and one or more States. The Act underpins and facilitates the operation of an intergovernmental scheme for product energy efficiency, giving effect to the Inter-governmental Agreement for the GEMS Legislative Scheme. Consequently the Determination is not subject to disallowance or sunsetting. Further details are provided at Attachment B.

3.        Authority

Under subsection 23(1) of the Act the Minister may, by legislative instrument, make a determination (a GEMS determination) that specifies one or more classes of products if the products in those classes use energy or affect the amount of energy used by other products. A GEMS determination is the vehicle by which energy efficiency requirements (GEMS level requirements), energy labelling requirements (GEMS labelling requirements), and other requirements for a product class are established.

Section 35 of the Act allows the Minister to make replacement determinations through revoking the previous determination and making a new determination to replace the old Determination. The new determination can specify the new requirements and retain any relevant existing requirements from the old Determination. The old Determination ceases to be in force immediately before the replacement determination comes into force.

Under section 36 of the Act, a replacement determination must specify whether it affects the registration of models of GEMS products that were covered by the old Determination. Under subsection 36(2) of the Act, if the replacement determination specifies that it does not affect a model’s registration, the model is taken to be registered against the replacement determination.  If a replacement determination specifies that it affects a model’s registration, then under paragraph 48(2)(c) of the Act, the model’s registration ceases to be in force from the time the replacement determination comes into force or the beginning of the day a registration of the model against the replacement determination comes into force, whichever is the earlier.

Under section 25 of the Act, the GEMS level requirements specified in a GEMS determination may be:

Under section 26 of the Act, the GEMS labelling requirements for a product class specified in a GEMS determination may be: 

Under section 27 of the Act, other requirements that may be specified in a GEMS determination are:

4.        Incorporated material and copyright

5.        Consultation

The Australian Government has worked with industry on the new requirements for electric household rotary clothes dryers since 2017. In early 2017, industry representatives led the development of the revised Australian/New Zealand standards referenced in the Determination. This work continued until 2021 when the revised Australian/New Zealand standards were published.

In 2021, a draft Determination was developed in consultation with industry and other stakeholders. On 2 February 2022, an exposure draft of the Determination was released for public comment over a 4-week period. Three responses were received, seeking an extension to the proposed 6 month commencement period in the determination. As a result of the comments received the commencement period was extended.

6.        Regulatory Impact

The former Office of Best Practice Regulation (now the Office of Impact Assessment) advised a Regulation Impact Statement was not required for the Determination. Consequently, no further regulatory impact analysis was considered necessary in relation to the proposal.

7.        Statement of Compatibility with Human Rights

In accordance with subsection 15J(2) of the Legislation Act, as the Determination is not a disallowable instrument, a statement of compatibility prepared under subsection 9(1) of the Human Rights (Parliamentary Scrutiny) Act 2011 is not required.

 

 

Attachment A

Details of the Determination

Section 1 – Name

This section sets out the title of the Determination.

 

Section 2 – Commencement

This section provides that the Determination commences and comes into force on the day after the end of the period of 12 months beginning on the day the Determination is registered.

 

Section 3 – Authority

This section identifies the sections of the Act which authorise the Minister to make the Determination.

 

Section 4 – Schedules

This section provides that each instrument that is specified in a Schedule to this instrument is amended or repealed as set out in the applicable items in the Schedule concerned, and any other item in a Schedule to this instrument has effect according to its terms.

 

Section 5 – This instrument revokes and replaces the old determination

This section provides that the Determination revokes and replaces the old Determination.

 

Section 6 – Definitions

This section sets out definitions for key terms used in the Determination. The definitions include:

Section 7 – Specified product class covered by this instrument

This section sets out the scope of the Determination.

 

Subsection 7(1)

This subsection provides that the Determination covers electric household rotary clothes dryers which use a dryer control mechanism, whether they are used in a domestic or commercial context. This reflects the scope of the old Determination, and that of AS/NZS 2442.1:2021 and AS/NZS 2442.2:2021.

 

Subsection 7(2)

This subsection specifies that rotary clothes dryers covered by the Determination form a single product class.

 

Section 8 – GEMS level requirements

Energy use and greenhouse gas production

Subsection 8(1)

This subsection specifies GEMS level requirements (also known as MEPS levels) for energy use for rotary clothes dryers covered by the Determination under paragraphs 24(1)(a) and 25(a) of the Act. The GEMS level requirements in relation to energy use are those set out in clause 4.4 of AS/NZS 2442.1:2021.

Conducting tests

Subsection 8(2)

This subsection specifies requirements for conducting tests for products covered by the Determination under paragraphs 24(1)(a) and 25(b) of the Act. The requirements for conducting tests are those set out in sections 2 and 3 of AS/NZS 2442.1:2021.

Section 9 – GEMS labelling requirements

Subsection 9(1)

This subsection states that section9 specifies, for the purposes of paragraph 24(1)(b) of the Act, GEMS labelling requirements for products covered by the Determination.

Labelling and communication requirements

Subsection 9(2)

This subsection specifies GEMS labelling requirements for rotary clothes dryers covered by the Determination, in order to demonstrate compliance with the energy labelling requirements, under paragraph 24(1)(b) of the Act.

 

A rotary clothes dryer’s energy rating label must meet the requirements mentioned in section 5 of AS/NZS 2442.2:2021.

 

Subsection 9(3)

This subsection requires that an energy rating label must accompany a product or its packaging covered by the Determination when it is supplied, or offered for supply, at a GEMS retail premises.

Conducting tests

Subsection 9(4)

This subsection specifies requirements for conducting labelling requirement tests for products covered by the Determination under paragraphs 24(1)(b) and 26(1)(c) of the Act.

 

The requirements for conducting tests are those mentioned in section 2 of AS/NZS 2442.2:2021.

 

Impact of replacement determination

 

Subsection 9(5)

This subsection provides a mechanism, in the event that this Determination is replaced in the future, to allow a transitional labelling provision to be specified in that replacement determination (the new determination) with the effect that complying with its requirements will be taken to be compliance with the labelling requirements of this Determination. This is to prevent the situation arising, in circumstances where a registrant chooses to register to the new determination between the time it is made and when it comes into force (as allowed by section 44 of the Act), of a product needing to comply with the labelling requirements of both determinations.

 

Section 10 – Transitional GEMS labelling requirements

This section provides that requirements of this section are made for the purpose of providing a transition to regulation of products in the product class under a GEMS determination (including because the products were not previously covered by a GEMS determination or because the GEMS determination is a replacement determination).

 

This section provides transitional arrangements with the effect that complying with the requirements of the old Determination will be taken to be compliance with the labelling requirements of the Determination. This is to prevent the situation arising, in circumstances where a registrant chooses to register to the Determination between the time it is made and when it comes into force (as allowed by section 44 of the Act), of a product needing to comply with the labelling requirements of both determinations.

Section 11 – Other GEMS requirements

Product performance

Subsection 11(1)

This subsection specifies other GEMS requirements for the purposes of subsection 24(2) and paragraph 27(1)(b) of the Act. It requires that products covered by the Determination meet the following performance requirements mentioned in section 3 of AS/NZS 2442.2:2021: drying clothes in a single operation and maximum fabric temperature.

Conducting tests

Subsection 11(2)

This subsection specifies that the requirements for conducting product performance tests for the purposes of subsection 24(2) and paragraph 27(1)(e) of the Act are those mentioned in section 3 of AS/NZS 2442.2:2021.

 

Section 12 – Families of models

Section 28 of the Act provides that a GEMS determination must specify, for each product class covered by the Determination, the circumstances in which two or more models in that product class are in the same family of models.

 

Subsection 12(1)

This subsection specifies that two or more models are only in the same family if they have been declared to the GEMS Regulator as a family and they satisfy the requirements of this section.

 

Subsection 12(2)

This subsection specifies that for two or more models to be in the same family of models they must have the same energy performance and relevant physical characteristics, and rely on a single test report.

 

Section 13 – Product categories

Section 29 of the Act requires that a GEMS determination specify whether the products it covers are category A or category B products. Category B products are subject to higher penalties than category A products for certain offences under the Act, on the basis that category B products have a high impact on energy use or greenhouse gas production.

 

This section specifies that rotary clothes dryers covered by the Determination are category A products.

 

Section 14 – This instrument does not affect registrations under the old determination

Paragraph 36(1)(c) of the Act provides that if a replacement determination specifies that it does not affect a model’s registration, the model is taken to be registered against the replacement determination.

 

This section specifies that the Determination does not affect the registration of any model registered against the old Determination. Consequently, all models registered under the old Determination are considered to be registered against the Determination.

 

Schedule 1 – Repeals

 

This Schedule repeals the old Determination.

 

Attachment B

Details of the exemptions from disallowance and sunsetting in the Legislation Act 2003

Source of exemptions

Legislative instruments made under the Greenhouse and Energy Minimum Standards Act 2012 (the GEMS Act) (excluding regulations) are exempt from disallowance under subsection 44(1) of the Legislation Act 2003 (the Legislation Act), and from sunsetting under subsection 54(1) of the Legislation Act.

Subsections 44(1) and 54(1) of the Legislation Act relevantly provide that instruments are not subject to disallowance and sunsetting where the enabling legislation (not being the Corporations Act 2001) facilitates the establishment or operation of an intergovernmental scheme involving the Commonwealth and one or more States and Territories, and authorises the instrument to be made for the purposes of that scheme.

The GEMS Act creates a national framework for product energy efficiency in Australia (the GEMS Scheme) and underpins the Equipment Energy Efficiency (E3) Program. The E3 program is an initiative of the Australian, state, selfgoverning territory, and New Zealand Governments. The GEMS Scheme is an intergovernmental scheme, given that:

Legislative instruments made under the GEMS Act are made for the purposes of this intergovernmental scheme. Therefore, such legislative instruments are exempt from sunsetting and disallowance.

Justification for exemptions

Through the E3 program, the Australian Government works with states and selfgoverning territories and the New Zealand Government:

In this context, the exemptions from disallowance and sunsetting have the effect that, where the intergovernmental scheme has agreed to introduce specific regulatory requirements (including with participating jurisdictions’ consent to the key requirements of GEMS determinations), the Commonwealth Parliament cannot then override that agreement. The exemptions therefore promote confidence in the E3 program and encourage ongoing, cooperative participation from jurisdictions.

As well as implementing an intergovernmental scheme, these exemptions are justified on the bases that:

In view of their detailed scientific and technical content, GEMS determinations and associated legislative instruments are confined in the matters that they deal with, and so do not deal with broad matters of policy or with politically contentious issues. The exemptions ensure that the Commonwealth Parliament cannot override the consideration given to these matters through expert and stakeholder consultation, and the collaborative E3 program.