Motor Vehicles (International Circulation) (Amendment) Order 2010

My Lords, on 21 October 2009, the European Union adopted a group of three Community regulations known as "the Road Transport Package". This order makes consequential amendments to Article 5 of the Motor Vehicles (International Circulation) Order 1975 to update references to Community legislation, in particular on account of two of the regulations in the package; that is, EC Regulations 1072/2009 and 1073/2009. By way of background, I should explain that Regulation 1072/2009 on common rules for access to the international road haulage market, sets out new rules governing hauliers transporting goods by road for hire or reward in the EU. This regulation also introduces clearer rules and evidence requirements as to when cabotage is allowed. Cabotage is domestic goods operations by operators registered in another EU state. The regulation also repeals and replaces existing EC rules governing the carriage of goods by road. Regulation 1073/2009 on common rules for access to the international market for coach and bus services, sets out new rules for operators engaging in international journeys in the EU using vehicles designed to carry 10 or more persons, including the driver, either on their own account or to carry passengers for hire and reward. The regulation amends EC rules governing such journeys. As the Committee will know, European Community regulations here are directly applicable. Article 5 of the 1975 order exempts from vehicle excise duty certain categories of vehicles engaged in international operations, including cabotage, and brought temporarily into the UK which are regulated by EC rules. The amendments being made to the 1975 order serve simply to update references to EC legislation, in particular that being replaced by Regulations 1072/09 and 1073/09. They do not make any changes to our policy position. The order applies to the whole of the United Kingdom. Vehicle excise duty is an excepted matter and so does not fall within the jurisdiction of the Northern Ireland Assembly. I should explain to the Committee that Regulations 1072/2009 and 1073/2009 were negotiated over two years. Overall, the Government regarded the outcome of those EU negotiations as positive, and satisfactory and we believe that the deal achieved was a good one because it balances the need to maintain and improve road safety standards with those of the industry and consumers. It should also help to improve the environmental performance of the international road haulage industry by reducing the number of empty runs. The Road Haulage Association, the Freight Transport Association Limited and the Confederation of Passenger Transport UK have welcomed the new regulations and indeed, industry representatives participated actively in their development. Close contact was maintained with industry bodies throughout the decision-making process, which led to the adoption of the regulations. I commend the order to the Committee.