Decision RIS-Proposal for national licencing of the Refrigeration and Air-Conditioning Occupations.

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1 16 August 2013 ARC AUSTRALIAN REFRIGERATION COUNCIL ABN Queensland Competition Authority Office of Best Practice Regulation Inquiries and Investigation GPO Box2257 BRISBANE QLD 4001 Dear Sirs, Decision RIS-Proposal for national licencing of the Refrigeration and Air-Conditioning Occupations. Since 2005 Australia has had in place an effective and efficient national licencing scheme for refrigeration and air conditioning (RAC) technicians and businesses successfully administered on behalf of the Australian Government by the Australian Refrigeration Council Ltd (ARC). The ARC is the peak national RAC Industry body and regulator for technicians. ARC's membership includes fifteen RAC Industry associations from which ARC Directors are elected. The Board is on record that the ARC would be happy to work with COAG and/or the States in hosting any occupational licence requirements. The ARC licence scheme is a comprehensive one with ARC hosting approximately 75,000 licences nationally. The majority of Australia's States and Territories defer to the ARC scheme, preferring not to host a duplicate licence scheme. The ARC scheme is a function of a successful partnership between the Australian Government and the RAC Industry. Enclosed is a briefing paper which outlines the ARC administered scheme and how it might benefit you. Such a solution is compelling. The Decision RIS identifies the ARC scheme as having the greatest net benefit by a considerable margin, meaning less cost to both Government and Industry through duplicated schemes. A unique opportunity exists to reduce regulatory burden while maintaining safety, environmental and consumer protection standards. We would be delighted to discuss this opportunity further with you. Please do not hesitate to contact me on (03) or gevans@arctick.org Yours Faithfully, Glenn Evans Chief Executive Officer Loc ked Bag 3033 Box Hill Vic toria 3128 Toll Free: Fax: engujre@arctick.org Website :

2 National licencing of the Refrigeration and Air- Conditioning Occupations Australian Refrigeration Council Ltd. August 2013

3 Contents 1 Preface 2 ARC 3 Synergies 4 Efficient 5 Effective 6 Practical 7 Communications 8 Governance 9 Contact

4 Preface Since 2005 Australia has had in place an effective and efficient national licensing scheme for technicians and businesses in the refrigeration and air conditioning (RAC) sector. Since its inception the scheme has been successfully administered on behalf of the Australian Government by the Australian Refrigeration Council Ltd (ARC). The Australian Government has released a Decision Regulatory Impact Statement (RIS) regarding a proposal for national licensing of RAC occupations. The RIS identifies the ARC scheme as having the greatest net benefit by a compelling margin. A unique opportunity exists to reduce regulatory burden while maintaining safety, environmental and consumer protection standards through the ARC scheme. The majority of Australia s States and Territories defer to the ARC scheme, preferring not to host a duplicate licence scheme. ARC The ARC is the peak national RAC Industry body and regulator for technicians. ARC s membership includes fifteen RAC Industry associations from which our Directors are elected. The ARC is a unique organisation, being part Industry body and part regulator. These functions are managed effectively and under strict guidance by both the ARC Board and the Government. The ARC has offices in 5 States. The ARC Board is on record that the ARC would be happy to work with COAG and/or the States in hosting any occupational licence requirements. Synergies While originally for the purpose of administering the Australian Licence scheme for Ozone Depleting Substances (ODS) and Synthetic Greenhouse Gases (SGG) refrigerant the Government s RIS highlights that the competencies for an ARC licence are consistent with current State Occupational licences and therefore could easily be accommodated within the current ARC national framework. Licence categories are broadly split into two businesses and individuals. They also spread across two Industry sectors, stationary and automotive. The Government s Decision RIS identifies that each State and Territory has in place adequate consumer protection and OH&S requirements in addition to any current licence requirements such that the removal of any current State licence scheme would not be detrimental to consumer protection or worker safety.

5 Efficient The ARC licence scheme is a comprehensive one with ARC hosting approximately 75,000 licences nationally, representing market saturation across the whole of the nation. The scheme is run on a not-for-profit basis, thereby keeping licence fees to a minimum. The cost of a 2 year business licence is $420 while the cost for a 2 year individual licence is $130. There is a regulatory requirement to process licences within a 30 day time limit, however most licences are processed within 5 business days. The ARC has devoted considerable resources to ensure we are efficient, effective and add value to those who utilise our services. Licence applications are able to be done on-line, allowing for 24 hour issuing of licences. Approximately 85% of licence applications take advantage of this process. As a single point of reference in the Industry the ARC handles approximately 1200 phone calls a week on a host of RAC matters. Effective The ARC scheme is a function of a successful partnership between the Australian Government and the RAC Industry. Fundamentally the scheme ensures that the RAC Industry is skilled and knowledgeable. The scheme is Australian Qualifications Framework based, consistent with existing State licence schemes. The ARC conduct over 6000 audits per year of licence holders and those reported to be operating without a licence. In the six months between October 2012 and March licences were refused due to non-compliance matters. While ARC worked collaboratively with 83 of those so they gained compliance, 50 refused to comply and their licence was not renewed, putting them out of business. ARC Field Officers conduct follow up investigations on expired licences to ensure they are no longer operating. Practical The ARC scheme is already well supported by the mainstream RAC Industry. All key mainstream RAC organisations are represented on the ARC Board resulting in a heightened awareness and responsiveness to key Industry matters within the context of discharging responsibilities under the Australian Government s Licence Contract. The fundamental infrastructure is already in place and can easily be configured to support specific State and Territory requirements.

6 Communications The ARC conducts a comprehensive communications strategy with Industry and consumers. ARC maintains effective working relationships and partnerships with key Industry and aligned bodies. ARC distributes a quarterly newsletter to Industry informing and updating on key Industry matters (circulation of 75,000) and has an ongoing consumer awareness presence in mainstream and local media. Some specific indicators of the effectiveness of ARC s Communications activities include: Regular newsletter distributed to over 75,000 RAC technicians and businesses Australia-wide: largest RAC communication tool in the sector Manage both industry and consumer website/education tools o 110,000 people visit and use the industry/licence administration website p/a o 70,000 people visit the consumer licence search facility p/a o 10,000 downloads of ARC s Air-Conditioning Guide between Dec/Mar Ongoing industry surveys and feedback initiatives ensure we continue to provide relevant communications and services to the RAC sector ARCTick logo is synonymous with qualified and professional RAC businesses and technicians Governance The ARC is headed by a Board of six key RAC Industry representatives. The CEO is the Executive Director. The ARC Board has in place a strategic plan which focusses on delivery of the Licence Contract. Regular comprehensive reporting is undertaken to the Government in relation to key Licence Contract performance and governance indicators on a weekly, quarterly and annual basis. All monies from licence fees obtained are reconciled on a weekly basis direct to the Government, while the ARC is paid a contract fee in the manner of a usual commercial venture. This provides various governance enhancements. Contact Utilising the ARC scheme is a compelling opportunity that is pragmatic, practical and delivers the greatest net benefit by quite a margin. Should you require any further information or clarification or wish to discuss this opportunity further please do not hesitate to contact Glenn Evans, CEO on (03) or gevans@arctick.org

7 Appendix Licence and Authorisation Categories Individual Licences Automotive Air Conditioning. Commercial Refrigeration and Air Conditioning. Online Charging for Automotive Manufacturers (i.e. GM, Ford, and Toyota). Heavy Vehicle Production Line Assembly (i.e. Kenworth). Domestic Refrigeration and Air Conditioning. Split System Air Conditioning. Aviation Refrigeration and Air Conditioning (i.e. Air Services Australia). Marine Refrigeration and Air Conditioning (i.e. AMSA, Oil Rigs and Commercial Fishing). Queensland Rail Rolling Stock. Refrigerant Wholesaler staff decanting. End of Life equipment decommissioning (i.e. Auto Wreckers, Metal Recyclers, and Council waste facilities). Transport Refrigeration. Australian Antarctic Division (i.e. Refrigeration and Air Conditioning). Business Licences Automotive Air Conditioning. Commercial Refrigeration and Air Conditioning. Domestic Refrigeration and Air Conditioning. Split System Air Conditioning. Aviation Refrigeration and Air Conditioning. Marine Refrigeration and Air Conditioning. Refrigerant Wholesalers. Automotive Parts Recyclers. Metal Recyclers. Waste Management (i.e. Council waste facilities). Refrigeration and Air Conditioning Equipment Manufacturers. Transport Refrigeration.

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