Faafoi KrisParts 1 and 2 schedule and clauses 1 and 2Hon KRIS FAAFOI (Acting Minister of Customs): Madam Chair can I thank you for the opportunity to speak in this committee stage of the Maritime Powers Extension Bill. This bill has two main components both of which are contained within Part 1 and the related schedule. Firstly it amends the Misuse of Drugs Act 1975 to make drug smuggling in international waters an offence under New Zealand's domestic law. Secondly it amends the Customs and Excise Act 2018 to provide a framework for customs to investigate and prosecute these offences—these powers are set out in new schedule 5A.The bill makes drug-smuggling in international waters an offence under domestic law. As members may be aware current offences under the Misuse of Drugs Act only occur at importation and exportation when items cross the 12 - nautical mile limit. However this bill gives customs the ability to respond to drug-smuggling activities in international waters before importation occurs. Therefore this part introduces two new offences relating to the smuggling of controlled drugs as well as prohibited equipment or material outside of New Zealand. These offences can be committed on board any ship in international waters provided there is an intention to import into New Zealand or to further the exportation of illicit drugs from New Zealand. These offences can be committed both by individuals who have possession of the drugs and by those on board other ships where they take steps to receive the drugs. This ensures that others who are directly involved in a drug-smuggling operation are also liable even if they are apprehended before they had actually handled the drugs. Establishing new offences is a critical part of this bill. It means that New Zealand can take necessary prosecution against those involved in these smuggling activities.The bill also establishes a framework for customs to exercise powers in international waters. The new schedule 5A as I mentioned earlier outlines the new powers that will be available to customs for dealing with drug smuggling outside of New Zealand. This includes stopping boarding and searching ships and taking enforcement actions where evidence of offending is found. These powers are broadly in line with relevant customs powers in territorial and contiguous waters. However there are some differences to reflect New Zealand's obligations and commitments under relevant international conventions. These are the UN Convention on the Law of the Sea and the UN Convention Against Illicit Traffic in Narcotic Drugs and Psychotropic Substances also known as the drug-trafficking convention. These powers can only be exercised where the ship is suspected of being involved in drug smuggling and customs will not have the powers to take action in response to other types of offending. In the case of foreign ships customs must seek consent from relevant States to exercise any of these powers. More intrusive powers such as full searches of people and electronic devices and arrest are subject to a higher threshold. Customs officers may take further searches of persons and electronic devices only where there is a reasonable cause to believe that there is drug smuggling evidence on the person or contained in the device. These powers achieve the right balance between ensuring that customs has the tools to do its job ensuring New Zealand's rights and obligations under international conventions and ensuring the rights of individuals that may or may not be committing an offence.Can I also thank the parties around the House for their unanimous support for this piece of legislation. I also note the hard work done by the Foreign Affairs Defence and Trade Committee in dealing with this piece of legislation in the select committee.