The regulation of industrial chemicals in Australia is governed by the Industrial Chemicals Act 2019 (IC Act), which came into force on March 12, 2019. This Act established the Australian Industrial Chemicals Introduction Scheme (AICIS) and its Executive Director and provides the regulatory framework for the importation and manufacture (referred to as "introduction") of industrial chemicals into the country. The IC Act is further supported by the Industrial Chemicals (General) Rules and the Industrial Chemicals Categorisation Guidelines, which provide technical and operational details for compliance. The AICIS, which replaced the National Industrial Chemicals Notification and Assessment Scheme (NICNAS) on July 1, 2020, operates under the Office of Chemical Safety (OCS) within the Department of Health and Aged Care. Its primary objective is to protect human health and the environment by regulating, assessing, and managing the risks associated with the introduction of industrial chemicals.

At the national level, chemicals are regulated according to their intended use, with four main authorities overseeing different sectors. The AICIS regulates industrial chemicals, including those found in paints, adhesives, inks, plastics, soaps, and cosmetics. The Australian Pesticides and Veterinary Medicines Authority (AVPMA) regulates agricultural and veterinary chemicals, such as pesticides, insect repellents, and veterinary medicines. The Therapeutic Goods Administration (TGA) is responsible for medicinal and therapeutic products, including skin-whitening lotions, complementary medicines, and blood products. Finally, Food Standards Australia and New Zealand (FSANZ) regulates food ingredients and additives, ensuring the safety of processing aids, colourings, vitamins, and minerals. These regulatory bodies work together to ensure that chemicals introduced into Australia meet safety, health, and environmental standards.
 

Key News from 2024

Australia and New Zealand Adopt Updated Sunscreen Standard

On April 11, 2024, the Therapeutic Goods Administration (TGA) announced the adoption of the new Australian/New Zealand Sunscreen Standard: AS/NZS 2604:2021. The update aims to align sunscreen regulations in both countries, ensuring higher standards of safety and efficacy for consumers. Key changes include improved UV protection, stricter testing requirements, updated labelling guidelines, and regulatory harmonization to facilitate smoother cross-border trade. Transitional arrangements are in place, with all new sunscreen products registered after July 1, 2024, being required to comply with the new standard. Existing products have been granted transition periods to meet the updated requirements. These changes are expected to improve public health by ensuring that only high quality sunscreen products are available on the market. Read more here.

AICIS Implements New Categorisation, Reporting, and Record-Keeping Requirements

Effective April 24, 2024, the Australian Industrial Chemicals Introduction Scheme (AICIS) implemented new categorization, reporting, and record-keeping requirements. These updates are designed to streamline compliance processes and enhance regulatory oversight. Introducers of industrial chemicals must now ensure adherence to the revised requirements in order to remain in compliance. The changes reflect the AICIS’s ongoing efforts to improve chemical regulation in Australia. Read more here.

AICIS Releases Version 3 of Industrial Chemicals Categorisation Guidelines

On September 24, 2024, the Australian Industrial Chemicals Introduction Scheme (AICIS) released Version 3 of its Industrial Chemicals Categorisation Guidelines. The major update includes a significantly expanded list of high hazard chemicals, adding nearly 600 unique entries. The revised list consolidates chemicals recognized as highly hazardous by trusted national and international bodies, such as the European Chemicals Agency (ECHA) and Japan's Chemical Substances Control Law (CSCL). This expansion is designed to assist introducers in accurately categorizing chemicals as exempted, reported, or assessed, ensuring compliance with current hazard assessment standards and aligning with recent regulatory changes. Read more here.

Australia Updates IChEMS Register with New Substances and Amendments

On December 5, 2024, Australia updated the Industrial Chemicals Environmental Management Standard (IChEMS) Register, with changes taking effect on July 1, 2025. Five substances, including polychlorinated biphenyls (PCBs), hexachlorobenzene, and polychlorinated terphenyls (PCTs), were added to Schedule 7 (banned use), while certain surfactants were added to Schedule 3 (controlled use). Amendments were also made to existing listings, including perfluorooctanoic acid (PFOA) and pentachlorobenzene. These updates aim to strengthen environmental protection and align with global chemical management standards. Read more here.

The Australian Government has launched the National Circular Economy Framework (NCEF), a landmark initiative designed to double the circularity of Australia’s economy by 2035. This ambitious strategy aims to redefine how resources are used, reused, and regenerated across all industries, promoting environmental sustainability and economic resilience.

A Vision for Circularity

The framework envisions a future where economic growth and environmental protection go hand in hand. It outlines plans to transition from a linear “take, make, dispose” model to a circular economy where waste is minimized, and materials are kept in continuous use. With a current circularity rate of 4.6%, below the global average of 7.2%, Australia’s target to double circularity underlines the Government’s commitment to systemic change.

Key Objectives and Targets

The NCEF has set three overarching targets:

1. Reduce the Material Footprint by 10%: By emphasizing sustainable design and longer-lasting materials, Australia aims to reduce its per capita material consumption, which is currently the highest among G20 nations.

2. Increase Material Productivity by 30%: This will involve optimizing the use of raw materials in production processes, promoting innovation in recycling and manufacturing, and improving supply chain efficiency.

3. Recover 80% of Resources Safely: By increasing resource recovery rates from the current 63% to 80%, the Framework aims to minimize landfill waste and increase the recycling of critical materials.

Addressing Chemicals of Concern

A critical aspect of the Framework is to address chemicals that hinder safe recycling and reuse. The government plans to implement advanced detection technologies and green chemistry to design safer products and ensure confidence in recycled goods. These measures align with the broader vision of creating a toxin-free circular economy.

Economic and Environmental Benefits

According to modelling by the Commonwealth Scientific and Industrial Research Organisation (CSIRO), meeting the targets could:

• Add $26 billion annually to Australia’s GDP by 2035.

• Reduce greenhouse gas emissions by 14%.

• Divert 26 million tonnes of material from landfill each year.

By promoting a circular economy, the framework is expected to increase Australia’s competitiveness in global markets for sustainable goods, reduce dependence on virgin materials, and mitigate environmental challenges.

Sectoral Focus Areas

The NCEF prioritizes four key sectors:

• Industry: Promoting the use of recycled materials in manufacturing and investing in durable, reusable goods.

• Built Environment: Promote the use of sustainable construction materials and refurbish existing structures to reduce waste.

• Food and Agriculture: Reducing food waste and valorizing agricultural residues for biofuels and other products.

• Resources: Improving the recovery of critical minerals from mining tailings and end-of-life products.

Collaborative Implementation

The framework emphasizes collaboration across governments, businesses, investors, researchers, and individuals. Key initiatives include:

• Embedding circular principles in public procurement.

• Investing in advanced recycling technologies and shared infrastructure.

• Educating consumers about sustainable practices and promoting behavior change.

Commitment to Indigenous Knowledge

Recognizing the longstanding stewardship of Aboriginal and Torres Strait Islander peoples, the Framework integrates traditional ecological knowledge into its strategies. This approach ensures that the transition to a circular economy also advances equity and inclusion.

A Pathway to Sustainability

The NCEF is Australia’s first comprehensive commitment to a national transition to a circular economy. With its targets, sectoral priorities, and collaborative approach, the framework provides a blueprint for aligning economic progress with environmental stewardship, paving the way for a sustainable future.