AIBS National News

It is anticipated that the Exposure Draft for the National Licensing System will be released for public consultation next week (9 - 13 November 2009). Stakeholders will be advised when this occurs and will be able to access the Exposure Draft on this website.

Where are we up to? Interim Advisory Committees (IACs)

Interim Advisory Committees (IACs) for the specified occupations will be established under the transitional arrangements in the lead up to the commencement of the National Licensing System (NLS) in mid-2012. The IACs and, in due course, the Occupational Licence Advisory Committees (OLACs) will provide advice on national licensing policy issues and will include a balance of expertise relevant to an occupational area across the fields of regulation, industry operations and practices (from both a union and employee perspective), safety, consumer advocacy, insurance (where relevant) and training.

The COAG National Licensing Steering Committee, which is progressing the NLS in the lead up to the establishment of the National Licensing Body (NLB), has invited national peak bodies to nominate representatives for IACs for the first wave of occupational areas; electrical, plumbing and gasfitting, air-conditioning and refrigeration mechanics, and property agents (excluding Conveyancers and valuer’s).

The Steering Committee is currently considering the nominations for membership of the IACs. Once agreed these will be forwarded to the Ministerial Council for Financial Federal Relations for consideration at its next meeting.

The first wave occupational areas for which national licensing apply commence in mid 2012.

The IACs for the second wave occupations of building and building related occupations, valuer’s, Conveyancers, maritime and land transport (dangerous goods and passenger vehicles) will be established by mid 2010. It is planned that national licensing will commence for the second wave of occupations as soon as possible after mid 2013.

Draft legislation

Industry and regulator workshops were conducted in February, April, May and June 2009 and have assisted with identifying the elements which should be included in the NLS legislation. Information about the workshops can be found below. A Legislation Committee comprised of state and territory representatives with legislative reform experience has been established to assist in progressing the draft legislation. The Parliamentary Counsel's Committee (PCC) will have final responsibility for the drafting of the NLS legislation. It is anticipated that the draft Bill will be released for public consultation in October 2009. An indicative implementation timetable can be found on page 71 of the RIS.

National register

COAG has directed that a national register of licensees be established for the new system. The register will be managed by the NLB. The NLS legislation and regulations will provide for the manner and form of information to be held in the register including information that is to be made available to the general public. Research is currently being conducted on established systems, including their costs and functionality.

FAQs and Fact Sheets

A list of frequently asked questions (FAQs) is available on the National Licensing website and here. The questions have been developed as a companion to the Intergovernmental Agreement (IGA) and the Decision Regulation Impact Statement (RIS) for the National Licensing System (NLS).

The FAQs have also been informed by questions and issues raised during the series of consultations and workshops with industry and regulators during October 2008, February, April, May and June 2009.

A series of fact sheets on key issues is available on the National Licensing website by clicking here or go to Fact Sheets located on the left side of the screen.

Costs of NLS and design of IT systems

PricewaterhouseCoopers (PwC) has been commissioned to conduct research into the financial impact of establishing the NLS. PwC are also evaluating and costing appropriate IT systems to form the basis of the national register.

IGA & RIS

On 30 April 2009 the Council of Australian Governments (COAG) endorsed an Intergovernmental Agreement (IGA) and released a Decision Regulation Impact Statement (RIS) for a national licensing system for specified occupations.  Through the signing of the IGA, states and territories have agreed to begin the implementation process for the National Licensing System (NLS) which is scheduled to commence on 1 July 2012.The IGA and RIS can be accessed by clicking on the links below.

National Licensing System IGA
National Licensing System - Regulation Impact Statement

COAG decision

At an earlier meeting on 3 July 2008, COAG acknowledged that Australia's overlapping and inconsistent regulations impede productivity growth and agreed to the development of a national licensing system for specified occupations, in the context of its broader agenda for regulatory reform.

The NLS will include relevant occupational and business licensing in the following initial occupational areas:

1. refrigeration and air conditioning mechanics
2. building and building related occupations
3. electrical
4. land transport (passenger vehicle drivers and dangerous goods only)
5. maritime
6. plumbing and gasfitting
7. property agents

What the NLS will look like?

Consultation with stakeholders indicated an overwhelming support for a National Delegated Agency model, which is outlined on pages 13-15 of the Decision RIS. Under this model a national licensing body (NLB) will be established, with responsibility for the NLS legislation. The NLB will delegate to states and territories the operation of licensing services. The advantages of this approach are that it minimises the risk of disruption in the transition and initial implementation phases for all stakeholders while providing opportunities for the identification of further reform once the NLS has been established. For licensees this means, the licence they receive will allow them to work anywhere in the country and be granted based on nationally agreed eligibility requirements.

The NLB will develop the licence policy and administer the system. The NLB will be governed by a national licensing board which will be responsible to the Ministerial Council for Financial Federal Relations. Occupational Licensing Advisory Committees (OLACs) will provide advice on licence policy for the specified occupations. The NLS governance arrangements are outlined in a diagram in the RIS on page 43.To ensure the system operates in a transparent, accountable, effective and fair manner a set of reform principles specific to national licensing will be reflected in the NLS legislation. Any licensing arrangements made under the NLS will also need to comply with COAG's Principles of Best Practice Regulation.