The following minute has been submitted with the request for advice as to whether there is any serious objection to the course proposed:

2. As will be gathered from the Solicitor-General's opinion, the determination of the commencement and termination of the engagement of an oversea ship in the coasting trade (which was the point submitted for opinion) will be a matter of some difficulty. It would appear, for example, that in the case, say, of an Orient vessel carrying oversea passengers for various ports, inclusive of Brisbane, and picking up at Fremantle a passenger or some cargo for Adelaide, her engagement in the coasting trade would commence at the time such passenger embarked, or such cargo was taken on board, and would terminate on the disembarkation of the last oversea passenger, or the landing of the last oversea cargo at Brisbane. On the return voyage she would not be deemed to be engaging in the coasting trade until she again took on a passenger or cargo for landing or delivering at another Australian port. She might therefore proceed to Sydney as exempt from the coasting trade provisions of the Act. If, however, she then took on a passenger for Melbourne, she would again come within the scope of those provisions and so remain until she finally departed from Fremantle.
3. The administration of the Act along these lines will be difficult. It would be vastly simpler if as a matter of practice it was ruled that on the licensing of an oversea ship to engage in the coasting trade she then became, from the time when she first took on passengers or cargo for another Australian port until she finally left the Australian coast, subject to the coasting trade provisions.
4. If the Minister will approve of such a course-which though perhaps not strictly legal, is along common-sense lines-instructions will be prepared and inquirers informed, accordingly.
5. The matter is submitted for directions.

As pointed out in my opinion of 25 November 1919⁽¹⁾, the test provided in section 7 of the Act is not exhaustive and a vessel may well be engaged in the coasting trade notwithstanding the fact that she has on board no passengers or cargo taken on at Australian ports and intended for an Australian destination.

I have carefully considered the proposal outlined in the minute above set forth and appreciate the desirableness of its adoption for reasons of administrative expediency.

I am, however, unable to advise that all oversea vessels which take on board passengers or cargo at an Australian port for landing or delivery at another Australian port are in all cases engaged in the coasting trade, within the meaning of the Navigation Act 1912-1919, from the time the passengers or cargo were taken on board until the vessels finally leave the Australian coast.

[Vol. 16, p. 357]

(1)Opinion No. 941.