Questions to Ask?
The ACB Group, the company at the centre of the Derrimut fires, has entered voluntary liquidation, leaving behind more than $5.3 million in unpaid debts. However, liquidation does not absolve the company from accountability—WorkSafe and the EPA continue their investigations, and directors may still face legal action, fines, or even prosecution.
This incident raises some important questions for businesses that manage dangerous goods:
- Why do some companies attempt to work around regulations rather than meeting compliance obligations?
- Do they believe non-compliance will save them money, reduce operational overheads, or improve efficiency?
- Are businesses fully aware of their regulatory obligations, or is there a lack of understanding in their operations?
- When businesses cut corners on compliance, do they truly achieve their objectives, or does it lead to greater risks and financial losses in the long run?
More details on the Derrimut Industrial Fires on ABC News website (here).
Is Non-Compliance a Cost-Saving Strategy or a Long-Term Liability?
Many businesses might justify non-compliance as a cost-saving measure, but history has shown that avoiding compliance often leads to higher long-term costs. While businesses may temporarily reduce expenses by neglecting compliance measures, they expose themselves to operational disruptions, legal fines, reputational damage, and increased insurance costs. The Derrimut incident is a clear example of how failing to adhere to safety standards can lead to business failure, legal repercussions, and tragic consequences.
Regulatory Blind Spots: Are Companies Aware of Their Compliance Gaps?
In some cases, businesses may not intentionally disregard regulations—they may simply lack awareness of their obligations. With the right approach and planning, complying with the relevant Dangerous Goods and WHS Regulations does not have to be complex. A structured compliance framework ensures that businesses can integrate regulatory requirements into their operations, rather than seeing them as a burden. However, ignorance of the law is not a defence, and failing to meet these obligations still exposes businesses to significant financial and legal consequences.
Our experience at Dangerous Goods Network shows that businesses seeking assistance with dangerous goods compliance are increasingly facing scrutiny from WorkSafe. WorkSafe is becoming more vigilant, conducting site inspections and issuing Improvement Notices and Prohibition Notices. This places businesses on a strict timeline with the regulator to address compliance issues. If these issues are not managed proactively, they can lead to significant disruptions in operations and, in some cases, temporary shutdowns until compliance is achieved.
The Bigger Picture: How Compliance Supports Long-Term Business Success
Rather than viewing compliance as a regulatory burden, businesses should see it as an investment in sustainability, safety, and efficiency. These elements do not exist in isolation; they reinforce and support each other in an interconnected way that ensures:
- A safer working environment for employees, which reduces workplace incidents and fosters a strong safety culture.
- Reduced financial risks, as compliance mitigates exposure to regulatory fines, legal action, and liability claims.
- Stronger business continuity, as safety-driven operations reduce downtime, prevent shutdowns, and enable consistent service delivery and agility with the ability to implement systems and adapt to changes in business circumstances.
- Enhanced industry reputation, where businesses known for robust compliance and safety standards find it easier to secure contracts, attract clients, and build trust with stakeholders.
By recognising that compliance is not an administrative burden but an important pillar of operational success, businesses can create workplaces that are not only safer and legally compliant but also more efficient and sustainable in the long run.
Our Dangerous Goods Solutions
At Dangerous Goods Network, we provide solutions and services to businesses looking to manage their dangerous goods using best practices and ensuring compliance with relevant regulations.
Our services include specialist consulting for the safe storage and handling dangerous goods, ensuring compliance with regulations and Australian Standards. This includes site assessments, gap analysis, and the development of DG management plans tailored to specific facility needs. Additionally, we offer training courses (including CASA- and AMSA-recognised courses) via DG Trainer, SDS management software support via SDS Connect, and specialist transport services through Marair.
For a tailored consultation to assess your business’s specific lithium battery and dangerous goods compliance needs, please contact us at info@dgnetwork.com.au.
Disclaimer: The content provided above is only intended to provide guidelines and does not constitute legal or expert advice. Please note that each business’s situation is unique, and these guidelines should be evaluated individually to ensure full compliance. Please consult an appropriate professional for specific advice on dangerous goods for your business – info@dgnetwork.com.au.