Cost Recovery legislation

04 September 2002

Government has introduced legislation to validate a number of Cost Recovery Levy Orders made under the Fisheries Act, following advice from the Crown Law Office that there had been procedural failures in passing these orders.

A spokesman for the Ministry of Fisheries, Russell Burnard said that if procedural failures were confirmed by a Court, the Crown could be liable for repaying in excess of $240 million to the fishing industry. This was unacceptable when the concern is of a procedural nature, Mr Burnard stated.

The proposed legislation protects these Orders from legal challenge but does not remove the need for the Minister to actively consider under and over recoveries when he next sets levy orders," Mr Burnard said. The Ministry will continue with high level discussions to resolve these issues with industry leaders.

The proposed legislation does not override any judicial actions already under way before this Act was passed" Mr Burnard said.

Ends