Sanctions permits, issued by the Minister for Foreign Affairs or their delegate, authorise activities that would otherwise contravene Australian sanctions laws. Different sanctions frameworks impose different criteria for the grant of a permit. The relevant sanctions framework will identify what activities can be authorised under a permit.

The criteria for sanctions permits under UNSC sanctions frameworks vary, as do the range of activities that the Minister can authorise. These activities tend to be more limited than those which can be authorised under autonomous sanctions frameworks. Additionally, some of the UNSC sanctions frameworks require the Minister to notify or receive the approval of the UNSC before granting a sanctions permit.

The ASO advocates for proactive risk management rather than relying on permits. Sanctions permits are generally appropriate only when there is a clear likelihood of a sanctions contravention occurring. For broad or non-specific sanctions risks, it's better to manage compliance through reasonable precautions and due diligence to prevent issues before they arise. To enable due consideration of any permit application, ASO must be provided sufficient detail of a specific contravention to which the application relates.

What is the 'national interest' test?

All permits issued under autonomous sanctions frameworks must meet the same criteria, in particular that the Minister must not grant the permit unless the Minister is satisfied that granting the permit is in the 'national interest'.

This generally requires the Minister to be satisfied that the grant of a permit is beneficial, or advantageous, to the national interest. It requires a consideration of whether something is advantageous to the nation as a whole, as opposed to only a particular company, group or section within the nation, or to a particular region or locality.

Applications for a sanctions permit can be made through Pax Portal When applying for a sanctions permit you will need to include information about the proposed activity. For example:

• a detailed description of the goods and services involved, including the technical specification for your goods (this information should match any supporting documentation such as Purchase Orders or Defence End Use Statements)
• a detailed description of the end use of the goods or services
• a detailed information on the end user and any other relevant parties to the proposed activities including end user certification
• the intended transport pathway for any goods and services you propose to provide, from you, through any intermediaries, to the end user.

You must ensure that the information you provide to the ASO is accurate and complete. It is a serious criminal offence to give false or misleading information in connection with the administration of sanctions laws. A sanctions permit will be treated as never being granted if false or misleading information was contained in the application for the permit.

General Permits

The Minister for Foreign Affairs has granted general permits authorising certain activities that would otherwise be prohibited under the Autonomous Sanctions Act 2011and theAutonomous Sanctions Regulations 2011. General permits constitute blanket authorisation for the activities described in the permit and apply to the class of persons described in the permit as the 'permit holder.'

Please note, for those who intend to rely on the permits, each permit sets out specific conditions, including reporting requirements. We recommend you read the terms of the permit carefully to ascertain whether it might apply to you, and ensure you understand any compliance obligations under the permit.

Intellectual Property (IP) Rights

SAN-2022-00061 - Permit authorising transactions to make certain assets, available to, or for the benefit of, certain designated entities for the purposes of IP protection made under the law of the Russian Federation and/or Eurasian Patent Convention (25 May 2022).

Legal Services

SAN-2022-00079 - Permit authorising making assets available to persons or entities designated under the Autonomous Sanctions Regulations 2011, and the use of, or dealing with 'controlled assets', where doing so is associated with the provision of legal and ancillary services (issued 7 November 2022).

Tax

SAN-2022-00069 - Permit authorising transactions to make certain assets, available to, or for the benefit of, certain designated entities for the purposes of payment of taxes as required by the laws of the Russian Federation (issued 13 July 2022).

Oil and Petroleum Price Caps SAN-2023-00094 - Permit authorising the transport by ship of Russian refined petroleum products purchased at or below a price cap (issued 15 February 2023).

SAN-2023-00096 - Permit authorising the transport by ship of Russian oil purchased at or below the price cap (issued 15 February 2023).Australia uses sanctions permits to implement price caps on Russian oil and refined petroleum products (Oil and Petroleum Price Caps). On 2 December 2022, G7 countries plus Australia agreed to a price cap of USD 60 per barrel of seaborne Russian-origin crude oil. On 4 February 2023, G7 countries plus Australia agreed to price caps of USD 100 per barrel for high value and USD 45 per barrel for low value Russian-origin refined petroleum products. The price caps have two key objectives: constraining Russian revenues that could otherwise be used to fund Russia's war of aggression against Ukraine; and maintaining global oil flows and protecting energy security.

Two Four general permits that previously authorised the provision of financial assistance and financial services in relation to Russian oil and refined petroleum products under the price caps (SAN-2022-00086 and SAN-2023-00095) were due to expire in December 2024 and February 2025. All entities that previously advised of their reliance on these two four permits were contacted by the ASO to arrange for replacement permits to be issued and the two four general permits were revoked in December 2024 shortly before their expiry.

Australia remains committed to implementing the Oil and Petroleum Price Caps alongside G7 partners. Entities can apply for a sanctions permit to authorise the transportation of Russian oil and petroleum products, and associated financial assistance and services, consistent with Oil and Petroleum Price Caps policy. ASO reminds entities that these activities are prohibited under Australian sanctions law if the entity does not hold a permit.

PAX Portal

The Pax Portal, managed by the Australian Sanctions Office (ASO), is the platform for submitting general enquiries and applying for sanctions permits. We aim to respond promptly; however, complex queries and applications may take longer to address.

Please note that the ASO does not provide legal advice, or tailored guidance on hypothetical activities. It is your responsibility to ensure compliance with Australian sanctions laws and determine if a permit is required, including seeking independent legal advice when required.

Timeframes

You should allow a minimum of three months for ASO to process an application, especially for complex activities and activities in high-risk countries or regions.

You should note any critical commercial deadlines in your application. The ASO will endeavour to prioritise applications with commercial deadlines, but there is often limited scope to reduce the time it takes to finalise the process.

The time taken to receive a response will depend on a range of factors, including:

• the complexity of your application
• whether all relevant information has been provided, including supporting documentation
• whether you respond promptly to any request for further information or documentation
• the time it takes to check the information you have given us
• the time it takes to get information from other Australian Government agencies or foreign governments (if necessary)
• the time it takes to consult, notify, or receive approval from the relevant United Nations Security Council sanctions committee (if necessary)
• whether your proposed activity is taking place in a high-risk country or region, which will require a higher degree of risk management
• our current caseload, as high caseloads can cause delays.