The Australian Government is investing in large-scale reform to modernise Australia’s trade environment. This includes streamlining and harmonising regulations, and maximising the use of technology. Australia’s trade regulations need to keep pace with our future operating systems, to enable a simplified and user-designed approach to global trade.
As a key border agency, the Australian Border Force (ABF) identified an opportunity to partner with industry and other government agencies through regulatory sandboxes. The Customs Legislation Amendment (Controlled Trials and Other Measures) Act 2023 amends the Customs Act 1901 to establish a regulatory framework for conducting controlled trials (also known as a Regulatory Sandbox).
Controlled Trials
Controlled trials conducted in the Regulatory Sandbox are building the evidence base for future, longer-term regulatory and technology reforms to customs and border processes. Trials are proposed by current users of our trade system, including industry or government. We assess trial proposals based on feasibility and legislative requirements. Once a trial has been established, entities may apply or be invited to participate. They will need to satisfy both the general qualification criteria as well as any rules specific to that trial.
Controlled trials are limited to the following parts of the Customs Act:
- Part IV (importation of goods); other than Division 1 of that Part (which deals with prohibited imports)
- Part IVA (depots)
- Part V (warehouses)
- Part VI (exportation of goods), other than Division 1 of that Part (which deals with prohibited exports)
- Part VIA (electronic communications)
- Part XI (agents and customs brokers)
- Part XVA (tariff concession orders)
- Regulations made for the purposes of a provision covered by paragraph (a), (b), (c), (d), (e), (f) or (g).
Trials can run for a maximum of 12 months, but may be extended once for up to 6 months on a case-by-case basis. Trials are monitored and participants need to follow guidelines to uphold the integrity of the border. The Comptroller-General of Customs may vary, suspend or revoke an entity’s approval to participate in a controlled trial. Trial participants undertake regular reporting and can provide feedback.
Proposing a Trial
You are welcome to propose a trial. We will not select all proposals for a controlled trial in the Regulatory Sandbox. We will acknowledge receipt of your trial proposal and contact you if we need more information.
Propose a Regulatory Sandbox trial
