National Clean Air Agreement

Mid-term Review Report

November 2016

Purpose of this Report

This Mid-term Review Report gives a progress update against the National Clean Air Agreement’s initial two-year work plan since its establishment on 15 December 2015. This precedes a formal review of the agreement and its work plan by Environment Ministers, scheduled for December 2017.

The report also highlights activities undertaken by jurisdictions in addition to those on the initial work plan towards improving air quality.

The report has been compiled by the Air Project Management Group, established in October 2015 to support the implementation of the agreement. The Group comprises representatives from the Australian Government Department of the Environment and Energy and each state and territory from agencies responsible for air quality issues.

Introduction

Australia’s Environment Ministers established the National Clean Air Agreement on 15December 2015, recognising the challenges facing Australia’s air quality now and into the future.1

The agreement complements and builds on existing air quality management strategies to ensure a clean air future.2 It sets an overarching framework to assist Australian governments to identify and prioritise air quality actions that would benefit from national collaboration to deliver health, environmental and economic outcomes for Australians. It acknowledges the role of different levels of government in managing air quality and recognises that business and the community need to be active to achieve good air quality outcomes.

At the establishment of the agreement, Environment Ministers agreed an initial two-year work plan that comprises a range of new, existing and complementary actions and identifies the roles and responsibilities and timeframes for implementing those actions to address agreed priorities.2

Progress Updates

The agreement’s initial two-year work plan identifies priority actions under each of four strategic approaches:

·  Standards (Section 4)

·  Emission reduction measures (Section 5)

·  Partnerships and cooperation (Section 6)

·  Better knowledge, education and awareness (Section 7).

The following sections of this report provide progress updates against each of the actions under these strategic approaches over the first 12 months since the agreement was established. Actions undertaken by jurisdictions in addition to those on the initial two-year work plan towards improving air quality are also highlighted in Section 9.

Standards

Standards ensure a consistent approach to monitoring and reporting air quality, reducing air pollution and limiting emissions from certain sources. The agreement’s initial two-year work plan includes implementing strengthened reporting standards for particulate matter; work towards strengthening the reporting standards for sulfur dioxide, nitrogen dioxide and ozone; a review of the need for two National Environment Protection Measures related to air toxics and diesel vehicle emissions; and a review of the Fuel Quality Standards Act 2000.

National Environment Protection (Ambient Air Quality) Measure
The National Environment Protection (Ambient Air Quality) Measure (the Ambient Air Quality NEPM) establishes a national ambient (outdoor) air quality management framework by setting national standards for six key pollutants and monitoring and reporting requirements. The goals set by the Ambient Air Quality NEPM drive the implementation of air quality management strategies in order to meet the standards. The Ambient Air Quality NEPM is implemented by the states and territories, who tailor air quality management strategies specifically suited to their jurisdiction.
These standards are set by the National Environment Protection Council (the Council) under the National Environment Protection Council Act (1994) (the NEPC Act).3 They are generally based on World Health Organization guidelines to ensure the adequate protection of human health from air pollution. It is important that these standards are reviewed periodically as the latest scientific evidence regarding the health impacts of air pollutants becomes available.
A 2011 review of the Ambient Air Quality NEPM recommended that all of the standards be reviewed to consider new evidence around the health effects of air pollution.4

The agreement’s work plan includes two key initial actions for the Ambient Air Quality NEPM including strengthening the reporting standards for particles and undertaking a review of the ozone (O3), nitrogen dioxide (NO2) and sulfur dioxide (SO2) standards, with a view to strengthen these standards as well.

Strengthened reporting standards for particles

The work to vary the reporting standards for particles was led by the New South Wales Environment Protection Authority (NSW EPA).

On 15 December 2015, the Council agreed to strengthen the reporting standards for particles, taking into account the latest scientific evidence which shows that any level of airborne particles can be harmful to human health. The most compelling epidemiological evidence and the greatest health impacts and costs are associated with exposure to fine particulate matter (PM2.5). In addition, the Council considered over 140 public submissions on the proposed updated standards.5

The updated standards (Table 1) came into effect on 4 February 2016 after the varied Ambient Air Quality NEPM was registered on the Federal Register of Legislation.

Table 1: Updated reporting standards for particles

Pollutant / Averaging period / Standard / Goal by 2025 / Change /
PM2.5 / 24-hour / 25 μg/m3 / 20 μg/m3 / Same limits. Both 24-hour and annual standards are now compliance (not advisory) reporting standards.
Goals to move to tighter 24-hour and annual PM2.5 standards by 2025 introduced.
Annual / 8 μg/m3 / 7 μg/m3
PM10 / 24-hour / 50 μg/m3 / N/A / No change—retained.
Annual / 25 μg/m3 / N/A / Introduced.

Other updates made to the Ambient Air Quality NEPM are:

·  Replacement of the five-day exceedance form of the 24-hour PM10 standard with an exceptional events rule, that also applies to the 24-hour PM2.5 standard. In addition to the required daily and annual reporting requirements, this rule allows for extenuating circumstances such as fire activity (bushfires and authorised hazard reduction burns) and dust storms that lead to high pollution days (exceedance of the 24-hour standards) to be recorded and described.

·  A nationally consistent and more transparent approach to reporting population exposure to PM2.5 (to commence from June 2018).

·  Updates to references to current Australian Standards which set out monitoring methods undertaken by the states and territories in reporting against the standards.

The states and territories are adopting these updates in their jurisdictions according to their legislative arrangements and policies, as outlined in Table 2. The Commonwealth does not implement the new standards and requirements but has an administrative role.

The new national standards for PM2.5 are more health protective than World Health Organization guidelines, and are the most health protective package of particle standards and long-term targets of any country in the world.

Victoria has adopted a more stringent PM10 annual average reporting standard of 20 μg/m3 to reflect World Health Organization guidelines and national Environmental Health Standing Committee recommendations.6 The Australian Capital Territory has also adopted this standard, and South Australia is considering adopting this standard. These jurisdictions will also continue to report against the national PM10 annual average reporting standard of 25μg/m3.

Reporting against both a more stringent PM10 annual average standard of 20 μg/m3 and the new national PM10 annual average standard of 25μg/m3 will assist the review of the PM10 standards in 2018, agreed by the Council. Victoria and New South Wales will co-lead this review, to commence following the current review of World Health Organization guidelines.

Table 2: Implementation of the updated particle standards by states and territories

/ Mechanism / Status /
NSW / Approved Methods for the Modelling and Assessment of Air Pollutants in New South Wales (Approved Methods) under the Protection of the Environment Operations (Clean Air) Regulation 2010 / The Approved Methods list the statutory methods to model and assess air pollutant emissions from stationary sources. They have historically adopted the Ambient Air Quality NEPM standards as assessment criteria for pollutants including PM10, NO2, SO2, carbon monoxide and lead. The NSW EPA is reviewing the Approved Methods as part of the NSW Government’s response to implement revised national particle standards.A review of the particle impact assessment criteria is planned to be finalised in early 2017.
VIC / Victoria’s State Environment Protection Policy (Ambient Air Quality) / The policy was updated on 28 July 2016 to give statutory effect to the updated standards and requirements. A PM10 annual reporting standard of 20 μg/m3 was also adopted.
QLD / Environmental Protection (Air) Policy 2008 (EPP Air) under the Environmental Protection Act 1994 / Will consider incorporating the updated standards for regulatory purposes in the EPP Air when it is reviewed (due 2018). In the interim, monitoring against the new standards has commenced and this information will be reflected in Queensland’s 2016 annual reporting.
TAS / State Policy under the State Policies and Projects Act 1993 / Automatically adopted upon variation to the Ambient Air Quality NEPM.
WA / National Environment Protection Council (Western Australia) Act 1996 (sections 7 and 23) / Automatically adopted. The 2015 Western Australian air monitoring report complies with the updated Ambient Air Quality NEPM reporting requirements. The Department of Environment Regulation also presents air quality information from its monitoring stations as an air quality index. The current indices are updated hourly.7
SA / The varied Ambient Air Quality NEPM (including the strengthened particle standards) is adopted in its own right in South Australia, but has not been formally adopted into other State legislation.
The Environment Protection (Air Quality) Policy 2016 includes criteria that are numerically equivalent to the PM2.5 24-hour and annual standards, and 24-hour PM10 standards, but they do not invoke the national standards per se. These values are now South Australian ground level concentration (GLC) criteria. A PM10 annual GLC is yet to be formally decided. / No practical changes have been required for reporting against the two PM2.5 standards and the PM10 24-hour standard by the South Australian Government, which has been reporting against the advisory reporting standards since their inception. Adoption of a more stringent PM10 annual reporting standard of 20 μg/m3 is being considered.
Relevant GLCs are applied as South Australian criteria for regulatory assessments of environmental risks (at receptors) of activities of environmental significance, under Part 6 of the Environment Protection Act 1993. This is based on the robust health assessments undertaken when they were originally made. However, the protocols for measurement and reporting have not been adopted into the Policy, providing for flexibility in applying them within the regulatory environment.
NT / There is no formal adoption mechanism at this stage. AnEnvironment Protection Objective under the Waste Management and Pollution Control Act is being considered. / The new standards and requirements have been adopted administratively.
ACT / Environment Protection Act 1997 / Adopted March 2016. A PM10 annual average reporting standard of 20μg/m3 was also adopted. Reporting against the new standards and requirements will be included in the ACT’s Annual Air Quality Report.8

Review of sulfur dioxide, nitrogen dioxide and ozone standards

The Victorian Environment Protection Authority is currently leading a review of the reporting standards in the Ambient Air Quality NEPM for maximum ozone (O3), nitrogen dioxide (NO2) and sulfur dioxide (SO2) concentrations.

It is anticipated that the Council will consider whether to form an intent to vary the Ambient Air Quality NEPM in relation to these standards in the second half of 2017. Should the Council decide to form the intent, a public consultation process will be triggered under the NEPC Act. This includes the release of an Impact Statement that considers the latest health evidence, options for strengthened standards and their likely costs and benefits.

The review of the standards is currently expected to be completed and recommendations for new standards presented to the Council in mid-2018 for a final decision on whether to vary the standards in the Ambient Air Quality NEPM. In making the final decision, the Council would also consider the public submissions received.

Review of Fuel Quality Standards Act 2000

The Fuel Quality Standards Act 2000 (the Act) provides the legislative basis for national fuel quality and fuel quality information standards for Australia. The Act requires the fuel industry and fuel suppliers to supply fuel that meets strict environmental requirements, in order to reduce emissions that may cause environment and health problems.

A review of the Act was completed in April 2016.9 The review found that the Act has led to a significant reduction in the level of pollutants and emissions arising from the use of fuel that may cause environmental and health problems. It recommended that the Act be retained, with amendments.

To further reduce toxic emissions and improve air quality, the legislative instruments made under the Act will be reviewed, including individual fuel standards such as those for petrol and diesel.

This work complements the work of the Ministerial Forum on Vehicle Emissions, which was established to reduce harmful emissions on Australian roads and in our cities from motor vehicles (Section 9 refers).

Review need for Air Toxics and Diesel Vehicles NEPMs

The third review of the National Environment Protection Acts (Commonwealth, State and Territory) found that the Air Toxics and Diesel Vehicle Emissions NEPMs are close to having achieved their desired outcomes.10 The Council responded that they would give consideration to determining if these two NEPMs are still required to meet future needs or if revocation should be considered.

The review also noted that the legislated process to revoke a NEPM is a significant barrier to revoking otherwise redundant regulation and recommended that the NEPC Act should be amended to allow for a streamlined process to revoke NEPMs.

Preliminary assessment by the Commonwealth, as lead, has highlighted that ongoing costs associated with implementing the Air Toxics and Diesel Vehicle Emissions NEPMs are limited and that the process to review and vary or revoke the NEPMs would be unduly time and cost-intensive under the current requirements of the NEPC Act. As such, review or revocation of these two NEPMs would be best considered following amendments to the NEPC Act to better streamline the legislative processes to review and vary or revoke a NEPM.

Emission reduction measures

Emission reduction measures are targeted towards reducing air pollution and/or population exposure to air pollution, with associated health benefits. They focus on sources, including from products, which continue to significantly contribute to air pollution levels and may not currently be managed by other means.