Scrap metal dealers who are currently licensed will be able to operate under the new law to regulate the industry until next April—once they consent to the entry of authorised officers to their compounds.
Attorney General Reginald Armour announced this yesterday in Parliament, in piloting the new bill to modernise regulation of the scrap metal industry.
The bill will replace the Old Metals and Marine Stores Act, which came into force in 1904 and is being repealed. The new bill required only a simple majority vote for passage.
Armour said the new bill eliminates copper trading.
“There’s going to be no capability to deal in copper as part of scrap metal until the Government revisits this particular issue and that’s not likely to happen for at least another year while this new law, if passed, brings the regulation of the industry into manageable proportions,” Armour said.
Armour, who detailed the extent of the big business, including exports, which the industry has become, said, “This exponential increase in exports has also unfortunately involved a concurrent increase in the larceny of various metals that support the country’s critical infrastructure on a scale which has threatened our very national security capacity.”
He detailed millions in theft of iron and similar materials from state and private sector locations and entities.
“Significant also in the scourge of illegality associated with this industry, is the proliferation of illegal scrap yards, money laundering, concealment of illegal firearms,” he said.
Armour detailed stakeholder consultations on the bill including with the T&T Scrap Iron Dealers’ Association—and the Law Reform Commission’s quick efficient work on the bill.
Listing clauses, Armour said Government proposed to introduce a new transitional provision, Section 39, to allow licences under the current Old Metal and Marine Stores Act to be deemed scrap metal dealers’ licences under this new bill until April 14, 2023, or such later date as determined.
“In order to benefit from this provision, however, the licence holder would have to make a declaration that he consents to the entry of authorised officers on his scrap metals site,” he added
“This amendment will also ensure that current licensed scrap metal dealers will be able to operate once this new Section 39 comes into force.”
The Trade Minister will be empowered to impose terms/conditions on these transitional scrap metal dealer’s licences and to specify the scrap metal sites to which they apply.
Armour added, “The deeming of existing licences to be scrap metal dealer’s licences would make existing licence holders, scrap metal dealers under the act. This is consistent with the discussions we’ve had with stakeholders, to permit the industry to re-open under this bill, once passed into law, in the shortest possible time, even while we build out the further regulatory regime, which is a work in progress.
“This way, the Government is able to bring certain enforcement and other provisions of this bill when it becomes the law, which relate to the regulation of dealers, into force before full proclamation of the act.
“For example, authorised officers would be able to begin entering and inspecting scrap metal sites, charging scrap metal dealers for offences under the act, and monitoring the loading of containers for the export of scrap metal.”
Under the new bill:
• A licence is valid for one year but renewable on application.
• Licences won’t be issued retrospectively, nor in relation to a dwelling house - or to applicants under 18 years.
• Applicants must consent to the entry of authorised officers on their scrap metal site to allow inspection of the site, records and scrap metal stored there. Officers may enter sites without a warrant.
• Dealers must keep material received for 15 days, which will permit people who fear their premises have been stripped to go to a scrap metal site and alert the inspector.
• Dealers/collectors will buy/receive only during 7 am to 6 pm. Business cannot be done with/or employ children of people appearing to be under the influence of intoxicating liquor/drug.
