Legal metrology priorities 2024–25

Australia’s measurement system underpins confidence in trade

The National Measurement Institute (NMI) is a division of the Department of Industry, Science and Resources. It maintains Australia’s measurement system by administering the National Measurement Act 1960 (the Act).

The Act:

• establishes a national system of units and standards of measurement 
• provides for the consistent use of these uniform units and standards of measurement throughout Australia, to ensure traceability of measurement
• regulates measurement-based transactions, including sales of measured quantities and packaged goods
• sets out specific requirements for measuring instruments used for trade.

Regulation of measurement

Legal metrology refers to the legislative and regulatory framework that underpins measurements and measuring instruments used for trade and legal purposes.

Consistency and certainty in measurement provides a level playing field for businesses. This ensures that market participants of all sizes and financial strengths follow the same rules and have equal opportunity to compete.

Reducing regulatory burdens for industry can lower costs to businesses and encourage innovation. It is also important that the regulatory environment balances efficient markets with community expectations. To support this, NMI’s regulatory approach aligns with the 3 principles of the government’s Regulator Performance Guide:

• continuous improvement and building trust;
• risk based and data driven; and
• collaboration and engagement

The NMI National Compliance Policy includes further information on our regulatory approach.

A vision of trusted measurement for Australia

Australia’s measurement legislation and associated activities support a vision of trusted measurement for Australia.

Our objectives

To achieve this vision, NMI’s measurement regulator has 4 objectives. Our aim is that:

1. Measuring instruments are fit for purpose – measuring instruments used for trade give accurate and reliable information under varying conditions.
2. Measurements are made correctly – the measurement system ensures that Australians have confidence in measurement results.
3. Measurements used in trade are accurate – consumers and businesses get the amount they have paid for.
4. We have the people and capabilities to deliver – we invest meaningfully in our people and frameworks to get the job done.

2024–25 priorities

NMI’s measurement regulation arm aims to achieve the following priorities and outcomes in the 2024–25 financial year. Priorities may link to one or more of our objectives.

Objective: Measuring instruments are fit for purpose

Priorities

• Assess and approve the design of measuring instruments used for trade.
• Inspect recently verified instruments across various industries to ensure they have been tested correctly.
• Ensure verifiers have the knowledge and skills to verify many types of measuring instruments.
• Administer and monitor the servicing licensee framework to support the integrity of verification work.
• Test complex instruments such as vehicle-mounted flow metering systems and weighbridges across various industry sectors (Complex Measuring Instrument Program).

Performance measures

• 70% of all pattern approval certificates are issued within 90 days of receiving an application using the ‘stop the clock’ methodology.
• 90% of reported licensing non-compliances are considered, actioned or reported in accordance with Legal Metrology Branch (LMB) procedures as follows: 
  • minor non-compliance within 10 days of being reported to licensing 
  • significant non-compliances within 30 days of being reported to licensing
  • substantial non-compliances within 90 days of being reported to licensing.
• Verifier assessments are completed within 3 months of receipt.
• Instrument compliance levels increase following NMI intervention.

Objective: Measurements are made correctly

Priorities

• Provide calibration services for trade measurement inspectors, servicing licensees, verifiers, other regulators and manufacturers to ensure reference-standard equipment is accurate and traceable to Australian primary standards of measurement.
• Participate in international forums to:
  • influence and adapt International Organisation of Legal Metrology (OIML) recommendations for the Australian market 
  • support innovation to help Australian businesses be competitive internationally.
• Innovate and engage with partners, industry, government and the community to maintain Australia’s measurement system.
• Provide administrative and monitoring functions to support the effective appointment of third parties to perform regulatory functions.
• Promote good measurement practice by providing measurement training services to verifiers, weighbridge operators, government agencies and other enterprises involved in commercial measurement.
• Ensure businesses are aware of their obligations; whenever possible, NMI will work cooperatively with businesses to promote good measurement practice and reduce the risk of non-compliance.
• Collaborate with Asia-Pacific Legal Metrology Forum (APLMF) member economies to focus on businesses importing prepackaged frozen seafood.

Performance measures

• 90% of reference standards of measure are calibrated within 21 days in laboratories accredited by the National Association of Testing Authorities, Australia (NATA).
• Deliver training courses. 
• 95% of authorised third-party applications are resolved within 90 days of receipt.
• 95% of licences are issued within 28 days of receiving an application (servicing or public weighbridge licence).
• Conduct international engagements to promote the global coordination of the legal metrology procedures that underpin and facilitate international trade.
• Hold formal stakeholder engagement sessions to increase awareness of legislative obligations.
• Deliver an education program to relevant traders to build awareness of taring practices.

Objective: Measurements used in trade are accurate

Priorities

• Regulatory responses are timely, consistent, proportional and transparent, and focus on changing non-compliant behaviour.
• Inspect businesses within the seasoning herbs and spices, coffee, prepared meals, chocolate and confectionary sectors to inform the industry risk profile (Marketplace Intelligence Program).
• Continued from 2023–24, focus on businesses that import and retail international foods (International Foods Program).
• Inspect businesses in the bakery products, hardware and building supplies sectors through week-long concentrated programs to raise awareness and compliance with trade measurement legislation (Concentrated Audit Programs).
• Inspect and educate businesses located in regional, remote and First Nations communities (Regional and Remote Communities Program and First Nations Businesses Program) to ensure that industry and consumers are not unfairly disadvantaged because of their locality.
• Inspect businesses in previously targeted industries (Compliance Confidence Program) to evaluate change in behaviour and ensure ongoing compliance.
• Provide an easily accessible way for complaints to be made, and act on each complaint according to our service standards.

Performance measures

• Proportionate regulatory action to non-compliance is taken within specified timeframes.
• Follow-up audits are completed within 60 days for non-compliance relating to detriment or up to 120 days for minor non-compliance/no detriment. The timeframe can be extended if the trader is in a remote or regional area.
• Follow up trader audit compliance rate is higher than the initial trader audit compliance rate.
• Review, update and publish the NMI National Compliance Policy by 1 April 2025.
• Acknowledge trade measurement complaints within 5 business days.
• Acknowledge enquiries within 5 business days and aim to resolve the enquiry within 3 weeks.

Objective: We have the people and capabilities to deliver

Priorities

• Continue reforming Australia’s measurement legislation, modernising outdated and prescriptive legislation while balancing the needs of government, industry and the community.
• Transition our procedures and processes to effectively administer the new measurement legislation.
• Be a regulator of choice for the Australian Government, deliver work programs under interdepartmental memorandums of understanding (MOUs) and proactively engage on new MOU opportunities.
• Support enhancements to customer relationship management systems.
• Skills and abilities of all our people are fit for purpose through maintaining appropriate training and professional development.
• Maintain registered training organisation compliance to support the delivery of quality training.
• Be an employer of choice and provide a workplace that is physically and psychologically safe, diverse and offers flexibility to its people.

Performance measures

• Work programs under interdepartmental MOUs are delivered in line with agreed performance targets.
• All legislative transition plans have commenced and are tracking on schedule. 
• Appropriately skilled workforce recruited and retained.
• Build staff capability though internal and external training opportunities. 
• Laboratory quality systems are maintained to a NATA standard that enables measurement standards and pattern approval services.

Industry compliance

NMI’s measurement regulator combines market intelligence, consumer complaints, stakeholder feedback and compliance history to inform the national inspection programs.

Annual inspection programs run throughout the financial year, with trade measurement inspectors delivering multiple programs at the same time.

Trade measurement inspectors use program plans to inform inspection planning and responses to complaints or in-field intelligence. NMI’s measurement regulator functions may also work with industry sectors and businesses that request specialist advice or support to meet their measurement regulation responsibilities. These requests may inform future inspections during the financial year.

The 2024–25 compliance targets are informed by:

• 1, 3 and 5-year risk assessments for industry sectors and businesses
• stakeholder feedback
• current cost-of-living pressures
• anecdotal feedback from trade measurement inspectors.

Table 1 shows the 2024–25 program activities and rationale for selection.

Table 1 Program activities for 2024–25