Buyer Beware, Seller be Aware

By on July 2, 2000

Sellers and purchasers of used mobile and fixed plant used on site should be aware of the requirements of the Occupational Health and Safety Act, Plant Regulations 1995 and associated Approved Code of Practice for Plant when making decisions to sell or buy.

Failure to meet provisions of the legislation can result in prosecution and in the worst case in the event of an accident, liability under common law.

The OHS Act and Plant Regulations requires a seller of used equipment including mobile plant to provide the purchaser with all information relating to the operation, maintenance, and installation of the plant including operating and maintenance manuals, inspection or service reports, risk analysis, any emergency procedures, details of operator competency and any other information relevant to safety. In addition the seller of the plant must identify to the buyer any parts of the plant that are not fully serviceable – operational.

The Plant regulations also requires the Employer (owner- user) of the plant to undertake a risk analysis before the plant is used for the first time on the site and to implement any engineering or operational controls that would make the use of the machinery safe.

Where older used earthmoving equipment is sold and purchased, compliance with Australian Standards AS 2294 Earth moving machinery – Protective structures, and AS 2958 Earth moving machinery – Safety, must be considered.

As these Standards are incorporated in The Approved Code of Practice for Plant, they represent an effective minimum standard for designers and manufactures, and in the case of AS 2958 for users of the equipment. It should however be noted that compliance with the Standards does not mean that all of the obligations of designers, manufacturers or users of the machinery, to undertake risk analysis, keep documentation, etc under the Plant Regulations are met.

Where the equipment being brought or sold does not comply with the current Standards, the seller has the duty to ensure the risk analysis provided to the buyer, identifies the safety implications of non-compliance and establishes the operational limitations of the equipment.

Where the seller does not provide the risk analysis, the seller must provide information on where the equipment does not comply and the user or purchaser must consider this information in the risk analysis they undertake on site, before the equipment is used for the first time.

For example: The braking system on an old loader is designed to a superseded Australian Standard and stopping distances do not meet the current Standards.

The seller must pass this information to the purchaser. The new owner-user must systematically review the operation in which the loader will be put to work, identify and assess the hazards and risks associated with the increased stopping distance. Where risk to people, or property is high, the new owner must either make a decision to upgrade the machinery, or change the operation so that the increased stopping distance does not result in increased risk to either the operator, or people who may be in the vicinity of the loader.

Remember all records of the risk analysis must be kept and all personnel operating the equipment must be given adequate training, instruction and supervision.

If you would like further information or assistance in conducting Risk Analysis on Plant phone Glen Jordan of SysTec PL 9484-0086 who has contributed this article to guide you in this important area.

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