Fed: Costs of GM regulation may be too much

AAP General News (Australia)
08-14-2000
Fed: Costs of GM regulation may be too much

By Shane Wright

CANBERRA, Aug 14 AAP - Australian genetic modification research could be forced out
of the country and into the hands of multinational firms because of costly regulation,
a Senate committee was told today.

The committee, which is examining the government's gene technology regulation legislation,
has found growing concerns among researchers and food producers about the cost of the
system.

Even the Health Department, which will set up the organisation to oversee GM research
and development, does not know how much the system will cost.

But the project leader for CSIRO plant industry GM research, Thomas Higgins, said it
appeared the full-cost recovery policy driving the regulation system would force publicly
funded institutions out of GM research.

"(Regulation) is going to be expensive to do," Dr Higgins said.

"Only multinational firms, very wealthy, may be able to afford the regulations.

"I'm hoping that as people become more comfortable with the technology then the regulations
may be loosened."

One of the committee's members, Labor Senator Brenda Gibbs, said it appeared the proposed
gene technology regulator would be a large and important organisation.

Apart from reporting back to parliament, the regulator will have to oversee all applications
for GM research, covering food, fibre and medicine.

Senator Gibbs said all this would require funding from fees and charges that will have
to go on the research and development sector.

The head of the Interim Office of the Gene Technology Regulator, Elizabeth Cain, said
a sliding fee scale would be introduced.

Low risk experiments, such as those carried out in a lab, would attract lower fees
and charges than high risk tests such as open field trials.

But as for a final cost, the committee will have to wait until mid-September.

Health Department deputy secretary David Borthwick said there may have to be changes
to the legislation if the regulation fees were too high.

"If they (set up) a regulatory regime which is too expensive for university research
or someone else, then I think government would have to come back and redress that issue,"

Mr Borthwick said.

Written submissions to the inquiry have also started to point out that possible cost problems.

Both AWB Ltd, Australia's exporter of wheat, and the Australian Biotechnology Association,
have called for a regulation system that does not force research offshore.

AAP sw/mfh/cjh/de

KEYWORD: GENETIC NIGHTLEAD

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