Jackson WillieHon WILLIE JACKSON (Minister of Employment): Madam Chair—Kieran McAnulty: Here we go. Hon WILLIE JACKSON: Oh thank you Kieran. I'm just pleased to talk on this theme. I was taking a look at the bill and it leads me to understand that it continues to uphold the provisions contained in the current Act and obviously at the same time modernising the language.One of the things that stands out in terms of this part is that business particularly is supporting the bill and its new provisions because it provides greater flexibility and certainty and that's important I think for all businesses that are involved in the import industry. What's great about it also is that the importers will be able to declare provisional values if the value cannot be known at the time of import.Furthermore the importers will be able to under this bill seek binding valuation rulings to get certainty about their duty liability before deciding to import. Keeping abreast of the technology available today traders will be able to share business records in the cloud as well as offshore enabling them to add greater efficiency in terms of cost and time to their business. Continuing with the efficiency trend traders can opt for a simple and cheap internal process to review duty assessments.I think one of the other good things about this bill is the fact that customs are required to report annually on initiatives to reduce compliance costs—in particular for highly compliant traders. Just looking at the Act under the current Act there's an unduly punitive additional duty regime that I think is unnecessary. I will be looking for some clarification from the Minister particularly in this area about this punitive side because it probably goes too far and under the new provisions that have been proposed I wouldn't mind some clarification around that. Are they going to be replaced with fairer more proportionate compensatory interests and a late penalty regime? I think that this is an area a crucial part for myself.In terms of the clauses it is important to acknowledge I think the work of the select committee with regard to the clauses they've recommended which clarify and strengthened the bill. In terms of clause 11 this looks like an amended clause that introduces and provides us a guide to schedule 3 of the bill which levies excise and excise equivalent in respect of alcohol tobacco and fuel that is manufactured in or imported into New Zealand. It provides that excise and excise equivalent are levied when goods are manufactured or imported. I think the select committee you can see amended subclause (1) to clarify that excise duty and excise-equivalent duty are levied when goods are manufactured or imported".Schedule 3 clause 10 is another new clause and I can see that it restricts the discretion of the chief executive to allow dutiable motor spirits to be removed from a customs-controlled area without being removed for home consumption. The clause also preserves the existing excise point when fuel leaves the refinery and creates a new excise point at the tank farms. Regulations may be made to set a formula to determine the additional volume from blending at tank farms. It sets out rules relating to the removal of motor spirits from customs-controlled areas and blending making their purpose and operation clearer.Finally the clause by clause detail paid to the raft of provisions related to the bill is detailed and thorough and I wish to commend the Minister of Customs but particularly the Foreign Affairs Defence and Trade Committee which has worked on this. In doing so the bill and its provisions are well-thought-out and of course I have no hesitation in commending this to the committee."