ASIC has today released a consultation paper proposing to repeal 59 class orders that are due to expire between 2015 and 2022.
ASIC proposes to repeal these class orders as in our view they no longer serve a regulatory purpose.
Consultation Paper 229 Repealing redundant ASIC class orders (CP 229) outlines the class orders to be repealed and our rationale for repealing them.
ASIC Commissioner John Price said, ‘ASIC is focused on reducing unnecessary regulation. We believe repealing these redundant class orders will help reduce the complexity of the regulatory regime. However, we would welcome any feedback if people consider repealing any of these instruments would in some way impose a regulatory burden on business.’
Submissions on CP 229 are due on Wednesday 17 June 2015.
Under the Legislative Instruments Act 2003, all class orders are repealed automatically or ‘sunset’ after a specified period of time (mostly 10 years) unless we take action to exempt or preserve them. This ensures that legislative instruments like class orders are kept up to date and only remain in force while they are fit for purpose and relevant.
Where an instrument is deemed to no longer serve a regulatory purpose we will consult on repealing it. We will repeal instruments rather than allow them to sunset so that industry is certain of our intentions and confident that where instruments are removed, this was our intention.