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Second Reading of the Arms and Explosives (Amendment) Bill 2006
Posted on Monday, January 22, 2007 - 08:00 PM

Second Reading Speech for the Arms and Explosives (Amendment) Bill 2006 by Minister of Home Affairs, Assoc Prof Ho Peng Kee, in Parliament on 22 January 2007.

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Mr Speaker, Sir, I beg to move that the Bill be now read a second time.

Introduction

2. Sir, increasingly, terrorists are using explosive precursors like ammonium nitrate as a substitute for explosives. Palestinian terrorists started using these in the 1990s when controls on access to conventional explosives were tightened. The local Jemaah Islamiyah network that ISD disrupted in 2001 and 2002 had planned to procure 17 tonnes of ammonium nitrate for the manufacture of truck bombs to carry out attacks in Singapore. Overseas, the Jemaah Islamiyah successfully used explosive precursors, nitrate-based chemicals and potassium chlorate mixtures respectively, to carry out the Bali and Jakarta Marriot bombings in Indonesia. The seizure of large quantities of ammonium nitrate in London in Mar 2004 and the theft of 1,200 kg of the same material from storage facilities in France in May 2004 highlight the need for control over explosive precursors. The foiled UK airline plot, with the intended use of such precursors, uncovered in Aug 2006 further reinforces the need to control explosive precursors in Singapore.

Background to the control of Explosive Precursors

3. The Arms and Explosives Act currently regulates the dealing in, importation, transportation, storage, purchase and disposal of explosives. It does not include explosive precursors such as ammonium nitrate and potassium perchlorate. Explosive precursors are oxidizing agents with legitimate industrial usage that unfortunately, can also be easily converted into improvised explosive materials. After a study in 2002 for dual use goods, a list of explosive precursors was identified for control. The explosive precursors that have been identified are widely used for research, industrial and agricultural purposes. However, despite their legitimate uses in different industries, they pose a security risk should they fall into wrong hands. Explosive precursors were assessed based on their chemical properties and their widespread use in Singapore and also on their potential for use by terrorist in improvised explosive devices. However, in determining effective enforcement controls over these substances, security has to be balanced against stifling the commercial and research activities related to their usage.

Establishing a new licensing structure

4. With these Amendments to the Arms and Explosives Act, the Singapore Police Force will take over the control of explosive precursors from the National Environment Agency. The Amendments will establish a new licensing structure for explosive precursors to prohibit the possession, storage, importation, exportation, manufacture of or dealing in any explosive precursor unless the person is authorised by the Police. To ensure that appropriate security measures are in-place to safeguard the precursors, Police will conduct threat and risk assessments on the applicants and storage sites prior to the approval of licences. New sections 21A to 21H will provide for the licensing of explosive precursors, with sections, 21A to 21E providing for the regulation of explosive precursors while sections, 21F to 21H set out the provisions that apply generally to licenses issued under the Act.

5. The types of licenses required will depend on the activity that a licensee will be involved in. A single license will cover all the explosive precursors for each type of activity, e.g. storage, and it will state the description of the explosive precursors as well as their quantity cap. However if a licensee is involved in more than one type of activity, e.g. storage and deal in, the licensee will require different licenses, one to store the explosive precursors and another to deal in the explosive precursors. This is because of the current limitations in the Police Licensing Computerised System. Police will be reviewing this and make it easier for applicants to apply for only one license for all types of explosive precursors and activities. The detailed regulatory provisions will be set out in the Arms and Explosives (Explosive Precursors) Rules.

6. As new chemicals will be introduced in the market, and new synthesis methods will be developed with the advancement of technology, we will constantly review the list of explosive precursors and make appropriate changes when necessary. A new Schedule will be introduced to specify the explosive precursors that are to be regulated by the Act. There are currently 15 chemicals of concern locally, including ammonium nitrate, which are common explosive precursors used by terrorists. The Minister will have the power, by order published in the Gazette, to amend the schedule, with the amendment of section 45, to add or delete chemicals according to the threat situation. Those chemicals currently controlled under Environmental Pollution Control Act will be taken off the Schedule once these Amendments are brought into force. The Minister will have the power, by order published in the Gazette, to grant exemption under the new section 44B, and make rules to regulate explosive precursors by the amendment of section 46.

7. However, not everyone who uses fertilizers and the related chemicals of interest will have to be licensed. To illustrate, only ammonium nitrate fertilizers with nitrogen concentrations of more than 28% will be controlled. This 28 % threshold is consistent with the approach in other developed countries with similar legislation, such as the United Kingdom which has identified ammonium nitrate with less than 28% of nitrogen content as not normally presenting an explosion hazard. The European Fertilisers Manufacturers Association grades ammonium nitrate with less than 28% nitrogen as Type C fertilizers and these are considered non-hazardous and non-dangerous. Moreover, there are also alternatives, such as calcium sulphate, that users can easily switch to so that impact on the public will be negligible. For more information about the chemicals to be controlled, members of public may contact the Police Arms and Explosives branch or visit its website.

Penalty for corporations or persons

8. While it is not our intention to stifle the legitimate industrial application of explosive precursors, for example in agriculture as fertilizers, the penalties for mishandling these must be commensurate with the possible threat it poses to society if it falls into the hands of terrorists.

9. Owing to their dual use nature, explosive precursors could be licensed to corporations and companies or directly to individuals. Having separate penalties for corporations and individuals is to hold the companies accountable for securing and preventing the misuse of explosive precursors. Corporations may be fined up to $100,000 if they contravene any sub-provisions. For individuals, the fine is $50,000/- or/and a jail sentence not exceeding 2 years. The penalties are consistent with that of the Chemical Weapons (Prohibition) Act, and the Environmental Pollution Control Act. This, however, is still lower than the penalties for offence relating to breaches of licences for explosives, which attract a maximum sentence of 3 years imprisonment. For offences with criminal intent, other criminal legislations will be used.

Definition of Arms, Electronic Dart Guns & Stun Guns

10. MHA is also updating other provisions in the Act to take into account changes in the security landscape. New definitions of “arms”, “electronic dart guns” and “stun guns” will be amended or introduced to provide for a wider range of new “arms”, “electronic guns”, “stun guns” and new weapon accessories in the market. The Minister will have the power, by order published in the Gazette, to specify any weapon, accessory, article or thing to be “arms” for the purpose of this Act.

District Courts to have jurisdiction to hear offences

11. Currently, offences under the Act can be heard in a District Court or a Magistrate’s Court. However a Magistrate’s Court can only award fines not exceeding $2,000 or imprisonment not exceeding 6 months. This restriction curtails the punitive effect of the Act. With the Amendments, offences under the Act will only be heard in a District Court, and the Court will be given jurisdiction to hear and determine all prosecutions for offences under the Act, and to impose the full penalty or punishment prescribed under the Act, notwithstanding the provisions of the Criminal Procedure Code.

Impact on industry

12. MHA has consulted the industry players extensively, and has taken into consideration their feedback. One example is the 3-month grace period that will be given to all non-licence holders who possess, import, export, manufacture or deal in any explosive precursors to apply for a licence after the Amendments come into force. During this period, they will be deemed to hold a licence until their application for licence is approved or the application is refused or withdrawn. For persons who do not wish to apply for a licence under this Act, they will have a 6-month grace period to use up their stock of explosive precursors or terminate their trade dealings in explosives precursors. For existing licence holders under the Environmental Pollution Control Act, they will be deemed to hold a licence under this Act.

Conclusion

13. Mr Speaker, Sir, in the current security climate, we cannot afford to be lax about the control of explosive precursors. Time and again, terrorists are known to have exploited the ease of acquiring common dual use chemicals for nefarious purposes. We need to tighten and put in place a comprehensive regime to regulate security sensitive material.

Sir, I beg to move.

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