Posted on Tuesday, 11 October 2016 by CarTakeBack

New South Wales Parliament has just passed a new law relating to recycling cars. The Scrap Metal Industry Bill 2016 is aimed at combating metal theft and regulating scrap metal operators, it's expected to be enforced from February next year.

In brief, the legislation will require scrap metal dealers to be registered and adopt a code of conduct which will be administered by the NSW Police Commissioner.

The main implications to the public are that paying cash for scrap metal, including cash for scrap cars, is now illegal, and all scrap metal buyers must maintain records which will prove transactions and identify sellers.

The bill was introduced by assembly member Troy Grant, who commented that the new laws will benefit businesses and make them safer. “The proposed legislation will not impact on anyone legitimately looking to offload scrap metal. More and more businesses are relying on [electronic and cheque] payments, so this is not considered onerous. It will also remove the need for scrap metal businesses to keep large volumes of cash on hand, which could also be a security risk for them.”

A spokesperson from CarTakeBack Victoria was optimistic about the changes: "We're hopeful that unlicensed businesses will be impacted by this legislation as their trading has been detrimental to licensed businesses for a long time."

CarTakeBack Australia welcomes the changes and hopes the bill will help to put a stop to the unscrupulous operators trading unjustly in the industry. We expect that after a successful trial period in NSW, the legislation could be adopted across the country.