1. Agenda Item #14.1.1 Presenter: Craig Williams (Australia) Presenter’s Organization: Construction & Mining Equipment Industry Group (CMEIG) 25 th Joint Technical Liaison Meeting 16th-17th April, 2015 Tokyo, Japan

2. 14.1.1 Australia Regulatory Update

3. CMEIG – Construction & Mining Equipment Industry Group This presentation is made by CMEIG, the peak industry body in Australia, comprising most of the major manufacturers and suppliers of equipment to the construction and mining industry. CMEIG is represented on the Australian Standards and ISO development committees, and maintains close liaison with the statutory and regulatory authorities. 25 th JTLM 16th-17th April, 2015

4. Diesel Emission Standards Background: Currently there are no diesel emission standards for off-highway diesel engines mandated for use in Australia. (Euro 5 is mandated for on-highway diesel engines). Diesel fuel in Australia contains <10ppm sulfur since 2009. Australia has only 1 tier of diesel fuel, so what is used on Euro 5 cars and road trucks, is the same as is used on plant/machinery. Current Status / Implementation Date: One state in Australia (NSW), is investigating the implementation to Tier 4 in a few years. The national environmental authority has not noticeably moved towards any position. Actions to be taken: CMEIG are actively involved in discussions. 25 th JTLM 16th-17th April, 2015

5. Regulatory Authorities Overriding Standards The Work Health and Safety Act and Regulations (WHS) in Australia overrides ISO and Australian Standards. Under WHS, a machine must be ‘safe’, and this is determined outside of the ISO or Australian Standards. Unlike Europe, with CE, compliance to ISO/AS does not confirm a machine is deemed ‘safe’ under WHS, and hence the legal system. Thus, there is an increase in extra safety related information and modifications required for machines, depending on the specific environment they are working in. Various authorities can independently determine an ISO Standard is insufficient, and release their own ‘position paper’. 25 th JTLM 16th-17th April, 2015

6. Adoption of ISO / EN Standards Background: SAI Global in Australia has mandated that existing ISO Standards be adopted, before consideration of developing new Australian Standards, unless there are definite local requirements needed. Current Status / Implementation Date: We are now seeing a greater adoption of ISO standards, rather than the drawn out process of developing specific Australian Standards. 25 th JTLM 16th-17th April, 2015

7. Mining Industry Status Background: The international price of coal has reduced significantly enough that the mining industry in Australia has come to a standstill with respect to capital equipment purchase. Current Status / Implementation Date: There is a massive oversupply of used mining equipment available in the market. This position is not expected to change for quite a while. 25 th JTLM 16th-17th April, 2015

8. Non Compliant Imports Background: Australia is seeing mobile plant coming in from China, which do not comply to ISO and Australian Standards. Often, these are brought in by small companies, which close up when an issue occurs. Current Status / Implementation Date: Industry groups, such as CMEIG and AITA (Australian Industrial Truck Association) are undertaking marketing campaigns to make consumers aware of the risks of purchasing this non-compliant and unsupported machinery. 25 th JTLM 16th-17th April, 2015