National Fuel Quality Standards Regulation Impact Statement 1 ...
National Fuel Quality Standards Regulation Impact Statement 1 ...
National Fuel Quality Standards Regulation Impact Statement 1 ...
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Appendix 3: Summary of Costs and Benefits<br />
COSTS<br />
Compliance<br />
Socioeconomic<br />
Environmental<br />
BENEFITS<br />
Compliance<br />
Socioeconomic<br />
Environmental<br />
States and<br />
Territories<br />
Commonwealth<br />
legislation will<br />
override<br />
inconsistent<br />
standards in the<br />
jurisdictions.<br />
Potential closure<br />
of local refineries<br />
- implications for<br />
dependent<br />
industries eg<br />
petrochemicals.<br />
Concern about<br />
worse<br />
environmental<br />
outcome from less<br />
stringent standards<br />
States and<br />
Territories<br />
Reduced<br />
monitoring and<br />
enforcement for<br />
State agencies.<br />
Improved health<br />
and reduced<br />
associated costs.<br />
Level playing<br />
field for industry.<br />
Decrease in<br />
emissions from<br />
road transport.<br />
Refining Industry<br />
Average capital<br />
investment per refinery<br />
of $185M. An increase<br />
in operating<br />
expenditure of $17M<br />
per refinery.<br />
Possible closure of<br />
refineries and related<br />
industries - potential<br />
job losses. Note that job<br />
loses may occur<br />
through restructuring,<br />
separate from the fuel<br />
quality standards<br />
process. Timing issue<br />
for investment<br />
approvals etc.<br />
Potential for increased<br />
greenhouse gas<br />
emissions at refineries.<br />
Refining Industry<br />
Consistent approach to<br />
fuel standards<br />
nationally Reduced<br />
compliance costs in the<br />
long-term. Certainty for<br />
future investment<br />
Avoided competition<br />
problems and trade<br />
barriers - level playing<br />
field. More viable<br />
industry.<br />
Cleaner fuels -<br />
improved public<br />
profile.<br />
<strong>Fuel</strong> importers &<br />
distributors<br />
Comprehensive and<br />
accurate record<br />
keeping procedures.<br />
Potential for<br />
increased storage<br />
costs for<br />
distributors.<br />
Small increase in<br />
the price of fuel<br />
distributors<br />
purchase from<br />
major refiners.<br />
<strong>Fuel</strong> importers &<br />
distributors<br />
Reduced<br />
compliance costs<br />
due to national<br />
uniform standards.<br />
Certainty of future<br />
requirements.<br />
Protection from<br />
unscrupulous<br />
operators that<br />
adulterate fuel -<br />
damaging business<br />
and reputations.<br />
Reduced<br />
adulteration of fuel<br />
causing harmful<br />
toxic effects.<br />
<strong>Fuel</strong><br />
retailers<br />
Comprehensi<br />
ve and<br />
accurate<br />
record<br />
keeping<br />
procedures.<br />
Small<br />
increase in<br />
the price of<br />
fuel<br />
purchased<br />
from<br />
distributors.<br />
<strong>Fuel</strong><br />
retailers<br />
Consistent<br />
approach.<br />
Reduced<br />
compliance<br />
costs.<br />
Reduced<br />
evaporative<br />
emissions at<br />
the pump and<br />
less<br />
adulteration<br />
of fuel.<br />
Automotive<br />
Industry Consumers<br />
Misfuelling<br />
issue if 91 &<br />
95 RON fuel<br />
is available<br />
at the same<br />
time.<br />
Potential<br />
competitive<br />
disadvantage<br />
Increased<br />
fuel prices at<br />
the pump -<br />
diesel - 1.5c<br />
per litre<br />
petrol - 1.1c<br />
per litre<br />
Potential for<br />
increased<br />
refinery<br />
emissions.<br />
Automotive<br />
Industry Consumers<br />
More<br />
efficient<br />
operation of<br />
vehicle<br />
technology -<br />
reduced<br />
emissions.<br />
Appropriate<br />
fuel available<br />
for new<br />
ADRs<br />
Effective<br />
emissions<br />
control<br />
technology -<br />
reduced<br />
emissions.<br />
More<br />
efficient<br />
operation of<br />
vehicles -<br />
improved<br />
fuel<br />
economy.<br />
Avoided<br />
health costs.<br />
Net health &<br />
environment<br />
al benefits<br />
between<br />
$1577M &<br />
$2180M.<br />
Improved air<br />
quality -<br />
substantial<br />
reductions in<br />
emissions.<br />
Improved<br />
health.
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