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Mines and Energy Legislation Amendment Bill 2008
Mines and Energy Legislation
Amendment Bill 2008
Explanatory Notes
Short Title of the Bill
The short title of the Bill is the Mines and Energy Legislation Amendment
Bill 2008.
Objectives of the Bill
The objective of the Bill is to amend the following Acts:
· Coal Mining Safety and Health Act 1999;
· Electricity Act 1994;
· Energy Ombudsman Act 2006;
· Mineral Resources Act 1989;
· Mining and Quarrying Safety and Health Act 1999;
· Petroleum Act 1923; and
· Petroleum and Gas (Production and Safety) Act 2004.
The Bill:
· prohibits the exploration and development of the McFarlane oil shale
deposit for 20 years to protect that region's high environmental values
and provides a legislative framework to implement the Queensland
Government's oil shale policy;
· legislatively enshrines the Queensland Government's guaranteed
assistance package for Collingwood Park landowners whose
properties have been affected by subsidence damage and creates a
legislative mechanism for the noting of that guaranteed assistance
package in the freehold land register maintained under the Land Title
Act 1994;
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Mines and Energy Legislation Amendment Bill 2008
· amends the due date for rental payments for mining claims, mining
leases and mineral development licences from 31 December to 31
August;
· provides regulation powers to meet national gas safety certification
and labelling requirements;
· amends the regulatory framework applying to street lighting
customers in the contestable retail market for electricity;
· clarifies the status of mining leases granted under the Special
Agreement Acts and change the rental due date for these mining
leases; and
· clarifies and improves administration and operation provisions of the
mining, petroleum and electricity regulatory frameworks.
Policy rationale
Oil shale
Queensland contains 94 per cent of Australia's known shale oil resources.
A number of companies have investigated the development of shale oil in
Queensland. Major potential environmental (including health and safety)
concerns relate to development of shale oil. In shale oil deposit areas, there
are also significant potential conflicts between current or potential high
value land uses incompatible with developing the underlying shale oil
resources. The amendments support the Queensland Government's stated
policy of adopting a cautious approach to permitting oil shale development
and processing.
Collingwood Park
Amendments to the Mineral Resources Act 1989 will allow the Queensland
Government's package of assistance for houses in Collingwood Park
damaged by mine subsidence to be noted in the freehold land register under
the Land Title Act 1994 (LTA). This legislative guarantee (the
"Collingwood Park guarantee") is a reflection of the Government's
commitment to a package of support for property owners in Collingwood
Park affected by mine subsidence.
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Mines and Energy Legislation Amendment Bill 2008
Due date for rental payments
Amendments to introduce a common date for payment of all mining
tenures other than exploration permits will improve administrative
efficiencies for both industry and Government. These amendments move
the payment dates outside the Christmas and New Year holiday period
when the Department of Mines and Energy (the Department) and many
mining businesses are closed or operating with a reduced staff complement.
Regulation powers to meet national gas safety certification and labelling
requirements
Amendments to provide regulation powers to support the adoption of a
nationally agreed `gas mark' attached to approved gas appliances will
ensure that appliances available to Queensland consumers meet certified
safety standards.
Amendments to provide for the placement of energy efficiency labels on
approved gas appliances which fall under the proposed national energy
efficiency labelling scheme reflect a national regulatory agenda for
consistency and best practice for certification of gas appliances in
Australia.
Street lighting
Proposed amendments to the Electricity Act 1994 ensure that street lighting
customers (Department of Main Roads and local authorities) are subject to
the same regulatory framework as other large consumers of electricity.
Special Agreement Acts
When it commenced on 1 September 1990, the Mineral Resources Act
1989 included transitional provisions relating to certain "Special
Agreement Acts" (Alcan Queensland Pty. Limited Agreement Act 1965,
Aurukun Associates Agreement Act 1975, Central Queensland Coal
Associates Agreement Act 1968, Commonwealth Aluminium Corporation
Pty. Limited Agreement Act 1957, Mount Isa Mines Limited Agreement Act
1985, Queensland Cement & Lime Company Limited Agreement Act 1977,
Queensland Nickel Agreement Act 1970 and Thiess Peabody Mitsui Coal
Pty. Ltd. Agreements Act 1962. The amendments clarify the application of
these transitional provisions.
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Mines and Energy Legislation Amendment Bill 2008
Administrative and operational provisions of the mining, petroleum and
electricity regulatory frameworks
The Bill authorises administrative and operational amendments to mining,
petroleum and electricity frameworks. These amendments support the
policy objectives of these frameworks by streamlining administrative
processes, removing overly burdensome and repetitive requirements, and
clarifying a number of statutory requirements.
How objectives are achieved
Oil shale
The oil shale amendments support the Premier's announcement on 24
August 2008 of a 20 year moratorium on the exploration for and mining of
oil shale, the processing of oil shale or preparatory activities for mining of
oil shale at the McFarlane oil shale deposit. This will be achieved through
the introduction of a 20 year statutory moratorium for the McFarlane oil
shale deposit.
The Mineral Resources Act 1989 is also being amended to introduce a
power to reject applications for the grant, renewal or variation of mining
tenements in the public interest and to introduce a power to impose
conditions on the grant, renewal or variation of mining tenements in the
public interest, where those powers do not already exist under the Mineral
Resources Act 1989, These amendments will give the Minister the broad
discretion required to implement the Queensland Government's stated oil
shale policy when the Minister considers it is in the public interest to do so.
Collingwood Park
Amendments to the Mineral Resources Act 1989 will enshrine the broad
principles of the Collingwood Park guarantee and will use a notification in
the land register under the LTA to provide a mechanism for public
notification that the guarantee applies to a particular property in the event it
is damaged by subsidence. The notification on title is at the option of the
land owner.
Due date for rental payments
Changes to rental period dates for mining leases, mining claims and
mineral development licences will be phased in by issuing eight month pro
rata rental invoices in late 2008 for the period from 1 January 2009 to 31
August 2009.
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Mines and Energy Legislation Amendment Bill 2008
Regulation powers to meet national gas safety certification and labelling
requirements
The amendments include a head of power to allow for the future use of a
nationally agreed compliance label to be attached as part of the certification
of an approved gas appliance.
Street lighting
The Bill expands upon the provisions which establish the regulatory
framework for large customers to ensure that these provisions include street
lighting customers.
Special Agreement Acts
The amendments clarify the intent of the transitional provisions relating to
mining leases granted pursuant to those Special Agreement Acts. The
amendments also clarify the status of any renewals or approvals to mining
leases made under any Special Agreement Act after the date of
commencement of the transitional arrangements under the Mineral
Resources Act 1989 (1 September 1990). The amendments provide that
any such renewals or approvals made under any Special Agreement Act are
taken to have been made under the Mineral Resources Act 1989.
Administrative and operational provisions of the mining, petroleum and
electricity regulatory frameworks
The Bill clarifies and improves administration and operational provisions
of the mining, petroleum and electricity frameworks by streamlining
administrative processes, removing onerous and repetitive requirements,
and clarifying certain requirements under the legislation.
Alternative method of achieving policy objectives
There is no alternative method of achieving the policy objectives as all
require amendment of existing legislation.
Estimated cost for Government implementation
There are no administrative costs to the Government in relation to this Bill.
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Mines and Energy Legislation Amendment Bill 2008
Consistency with Fundamental Legislative Principles
Oil shale
The amendments about oil shale are generally consistent with fundamental
legislative principles set out in section 4 of the Legislative Standards Act
1992. One departure from these principles relates to the proposed
moratorium for the McFarlane oil shale deposit in that it affects the rights
of nominated tenure holders. The amendment is necessary to implement
the overriding public interest to provide certainty with regard to the
impacts of these activities on the environment. The 20 year moratorium is
considered essential in protecting that region's high environmental values.
It fulfils the Queensland Government's commitment to properly assessing
the appropriateness and desirability of exploring for and mining the
McFarlane oil shale resources before these resources are further developed.
The proposed amendments will still allow limited, low impact activities for
the purposes of rehabilitation and environmental management,
environmental monitoring and improvement restoration.
The regulation making provision of proposed section 318ELAA may be
considered to depart from the fundamental legislative principle of sufficient
regard for the institution of Parliament in that it allows an extension of the
area subject to moratorium by regulation. The regulation making power is
however constrained by requiring any additional area to be contiguous to
the area defined in the provision. This is consistent with the Government's
policy for development of oil shale resources in this region.
Collingwood Park
The amendments about Collingwood Park are generally consistent with
fundamental legislative principles. A potential departure from these
principles could be the inclusion of the notification of the Collingwood
Park guarantee on a land title. It could be considered that the amendments
may affect existing land rights of owners, however, the notification on land
title is an option only and will only occur if the property owner requests it.
The amendments legislatively support an overall assistance package. The
overriding public interest is to provide certainty for Collingwood Park
residents that the assistance package will endure beyond the life of the
current Government.
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Mines and Energy Legislation Amendment Bill 2008
Special Agreement Acts
The amendments are generally consistent with fundamental legislative
principles set out in section 4 of the Legislative Standards Act 1992.
The Mineral Resources Act 1989, when it commenced in 1 September
1990, included transitional provisions relating to the "Special Agreement
Acts" (Alcan Queensland Pty. Limited Agreement Act 1965, Aurukun
Associates Agreement Act 1975, Central Queensland Coal Associates
Agreement Act 1968, Commonwealth Aluminium Corporation Pty. Limited
Agreement Act 1957, Mount Isa Mines Limited Agreement Act 1985,
Queensland Cement & Lime Company Limited Agreement Act 1977,
Queensland Nickel Agreement Act 1970 and Thiess Peabody Mitsui Coal
Pty. Ltd. Agreements Act 1962).
The transitional arrangements operated to bring existing tenure grants
made under the Special Agreement Acts, as well as future renewals of
tenure, under the Mineral Resources Act 1989.
The transitional provisions were repealed by the Offshore Minerals Act
1998. This repeal, which was never intended to affect their operation,
resulted in some confusion about whether the Mineral Resources Act 1989
or a particular Special Agreement Act applied to the renewal of a lease, or
an approval for a lease, originally granted under the Special Agreement
Act.
Among other things, the proposed amendments will retrospectively revive
the original transitional provisions that were repealed in 1998 and clarify
the intention of the transitional provisions for mining leases originally
granted under the Special Agreement Acts. While this particular
amendment will operate retrospectively, no rights are affected by the
amendment. This retrospective application is necessary to achieve the
required clarification.
Administrative and operational provisions of the mining, petroleum and
electricity regulatory frameworks
The administrative and operational amendments are generally consistent
with fundamental legislative principles set out in section 4 of the
Legislative Standards Act 1992.
Amendments to section 548 of the Petroleum and Gas (Production and
Safety) Act 2004 and section 76B of the Petroleum Act 1923 provide for
how, and in what format, records (reports) about authorised activities
conducted on petroleum tenure or authorities are to be submitted to the
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Mines and Energy Legislation Amendment Bill 2008
Department. The inclusion of these amendments in this Bill, rather than in
subordinate legislation, is necessary as the proposed system to be used to
submit records is not currently present in primary or subordinate
legislation.
It may be considered that that the proposed amendments to these sections
would not have sufficient regard for the institution of Parliament.
However, it should be noted that the system to be used to submit specific
records, as detailed in these amendments, is arguably legislative, and is not
currently in primary or subordinate legislation. These file formats are
standard throughout the petroleum industry, and are substantially those
agreed to by the Government Geoscience Information Committee (GGIC)
and adopted by all States and Territories, after consultation with the
petroleum industry.
The amendments to section 877 of the Petroleum and Gas (Production and
Safety) Act 2004 and its transitional provision affect an authority to
prospect (ATP) converted on 31 December 2004 (the commencement date
of the Petroleum and Gas (Production and Safety) Act 2004 ) from an ATP
administered under the Petroleum Act 1923 to an ATP administered under
the Petroleum and Gas (Production and Safety) Act 2004 .
Currently, section 877 of the Petroleum and Gas (Production and Safety)
Act 2004 provides that that land that was in a coal or oil shale mining
tenement (that is, a coal or oil shale exploration permit or coal or oil shale
mining lease) and also in any notional sub-block of an ATP administered
under the Petroleum Act 1923 at the time of its conversion, does not form
part of the converted ATP and is taken to be excluded land for the ATP.
The amendments to section 877 of the Petroleum and Gas (Production and
Safety) Act 2004 and its transitional provision now provide that land that
was in a coal or oil shale mining lease, and also in any notional sub-block
of an ATP administered under the Petroleum Act 1923 at the time of its
conversion, does not form part of the converted ATP and is taken to be
excluded land for the ATP.
The proposed amendments have a retrospective effect. However, no
fundamental legislative principle is breached, as these amendments are
beneficial to the holder of an ATP administered under the Petroleum Act
1923 that was converted to an ATP administered under the Petroleum and
Gas (Production and Safety) Act 2004 on 31 December 2004, and these
amendments do not adversely affect the rights of any person by their
operation.
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Mines and Energy Legislation Amendment Bill 2008
The amendment to insert chapter 15, part 3, division 5, subdivision 3 in the
Petroleum and Gas (Production and Safety) Act 2004 applies as if the
amendment inserting section 901A under the Mines and Energy Legislation
Amendment Act 2008 had commenced on 31 December 2004. This
amendment also provides that the petroleum lease numbered 200 is a
converted lease that is to be administered under the provisions of the
Petroleum and Gas (Production and Safety) Act 2004.
Although this petroleum lease was granted pursuant to the Petroleum Act
1923, it should have been converted to a petroleum lease under the
Petroleum and Gas (Production and Safety) Act 2004 on the
commencement of that Act on 31 December 2004, similar to how the
petroleum leases detailed in section 893 of the Petroleum and Gas
(Production and Safety) Act 2004 were converted.
It may be considered that there is a breach of a fundamental legislative
principle triggered by this retrospective provision. However, this provision
only affects the holder of the petroleum lease numbered 200, and does not
affect this holder's rights adversely. Moreover, the holder of the petroleum
lease numbered 200 may have more rights as a petroleum lease holder
under the Petroleum and Gas (Production and Safety) Act 2004 than as a
holder of a lease granted pursuant to the Petroleum Act 1923.
Consultation
Oil shale
Consultation has been undertaken with industry stakeholders in the
development of the proposed oil shale amendments. The key company
affected by the moratorium has contributed to the development of
legislative provisions since the whole-of-Government policy position was
announced in relation to the development of oil shale in Queensland. The
Queensland Resources Council has been advised of the proposed changes
with ongoing discussions to clarify the proposed amendments.
Collingwood Park
The Mineral Resources Act 1989 amendments to provide for a
Collingwood Park guarantee through notification on title have been advised
to residents at public meetings in Collingwood Park.
Due date for rental payments
The amendments to change the due date for payment of rental for mining
tenures other than exploration permits to 31 August were announced
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Mines and Energy Legislation Amendment Bill 2008
publicly in the 2008-09 State Budget. These amendments also formed part
of a presentation to key industry stakeholders in mid-June 2008.
Regulation powers to meet national gas safety certification and labelling
requirements
Consultation occurred through a Gas Technical Regulators Committee
forum. Consultation with appliances organisations, gas suppliers and gas
fitters was undertaken via the LPGA Queensland Executive Committee,
Australian Gas Association and Queensland Gas Association. Comments
were also sought from other State regulators.
Street lighting
The Energy Competition Committee (ECC) undertook extensive
consultation with industry, consumer and government stakeholders on full
retail competition including street lighting. The ECC issued a consultation
paper on 28 February 2006 which proposed the introduction of
contestability for street lighting customers and that these customers would
not be permitted to revert to regulated tariffs. Following this consultation
process this policy was restated in the ECC's Full Retail Competition Final
Policy Decisions of 26 July 2006.
All councils and the Local Government Association of Queensland had an
opportunity to provide submissions to the Consultation Paper Introduction
of Street Lighting Contestability which was released on 22 January 2008.
A number of meetings and briefing sessions were held with interested
councils (not all attended) at which issues around contestability, retail
pricing deregulation and the rebalancing of ENERGEX's network charges
were discussed.
Special Agreement Acts
The proposed amendments relating to Special Agreement Acts reinforce
the transitional provisions that were present in the Mineral Resources Act
1989. The Queensland Resources Council and companies with mining
leases that were originally granted under the Special Agreement Acts were
informed of the proposed amendments.
Administrative and operational provisions of the mining, petroleum and
electricity regulatory frameworks
Consultation was conducted with the Australian Petroleum Production and
Exploration Association and key petroleum industry representatives
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Mines and Energy Legislation Amendment Bill 2008
following the identification by departmental business reviews of proposed
administrative improvements.
Proposed amendments to allow the holder of a coal or oil shale mining
lease to offer, then give incidental coal seam gas to the holder of an
overlapping petroleum tenure were developed as a result of consultation
with the Australian Coal Seam Gas Council.
The other amendments do not represent significant policy changes but
rather seek to improve and streamline the administrative processes and
Queensland Resources Council has been informed of the proposed
changes.
Notes on Provisions
Part 1 Preliminary
Short title
Clause 1 states that the short title of the Act may be cited as the Mines and
Energy Legislation Amendment Act 2008.
Commencement
Clause 2 provides for the commencement of certain provisions.
Part 2 Amendment of Coal Mining
Safety and Health Act 1999
Act amended in pt 2 and schedule
Clause 3 provides that part 2 and the schedule amend the Coal Mining
Safety and Health Act 1999.
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Mines and Energy Legislation Amendment Bill 2008
Amendment of s 279 (Notices about coal industry statistics or
information)
Clause 4 inserts new subsection 279(4). It provides that the chief executive
may use information to produce statistics and other data. It also provides
that these statistics and other data may be published.
Part 3 Amendment of Electricity Act
1994
Act amended in pt 3
Clause 5 provides that part 3 amends the Electricity Act 1994.
Amendment of s 23 (Customers and their types)
Clause 6 amends section 23 to define street lighting customers as
customers for premises which are street lights where the customer is the
State (Department of Main Roads) or a local government.
Amendment of s 40DF (Provisions for large customers)
Clause 7 amends section 40DF to provide that street lighting customers
have the same provisions for negotiated connection contracts as large
customers, in particular, that the contract terms must be fair and reasonable.
Amendment of s 48D (When area retail entity must provide the
services to an applicant)
Clause 8 amends section 48D to provide that the financially responsible
retailer for a premises has no obligation to offer customer retail services to
a street lighting customer unless the street lighting customer has taken up
occupation of a premises immediately after an applicant who was a
non-market customer. This has the effect of preventing street lighting
customers from reverting to the notified prices once they have moved onto
a negotiated retail contract, consistent with the arrangements for all large
electricity customers.
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Mines and Energy Legislation Amendment Bill 2008
Amendment of s 49 (Retail contract types)
Clause 9 amends section 49 to provide that where there is no negotiated
contract in place a street lighting customer is subject to a standard large
customer retail contract.
Amendment of s 51 (Retail contract with financially responsible
retail entity)
Clause 10 amends section 51, which deems the customer to have entered
into a retail contract with the financially responsible retail entity for the
premises for the provision of customer retail services to the premises where
there is no negotiated contract in place. The amendment ensures that, if the
customer is a street lighting customer for the premises, the contract is a
standard large customer contract.
Amendment of s 53 (Making or amending terms of standard
large customer retail contract)
Clause 11 amends section 53 to require retailers to give street lighting
customers a copy of their standard large customer retail contracts and
advise street lighting customers if there are any amendments to standard
large customer retail contracts.
Amendment of s 54 (Required and permitted terms of standard
large customer retail contract)
Clause 12 amends section 54 to ensure that the terms or amended terms of
a retail entity's standard large customer retail contract also apply to street
lighting customers.
Amendment of s 135AA (How main purposes are achieved)
Clause 13 amends section 135AA to reflect the fact that gas-fired
electricity certificate liabilities applicable under the Queensland Gas
Scheme are no longer fixed at 13 per cent (but are specified in section
135ELA).
Amendment of s 214 (Who may apply for review etc.)
Clause 14 amends section 214 to allow street lighting customers to apply to
the Queensland Competition Authority for a review of a decision regarding
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Mines and Energy Legislation Amendment Bill 2008
connection services or retail service applications, like other large
customers.
Amendment of sch 1 (Appeals against administrative
decisions)
Clause 15 amends schedule 1 to provide that the District Court has the
jurisdiction to review a decision regarding connection services or retail
service applications for a street lighting customer.
Amendment of sch 5 (Dictionary)
Clause 16 inserts a definition of street lighting customer into the Act.
Part 4 Amendment of Energy
Ombudsman Act 2006
Act amended in pt 4
Clause 17 provides that part 4 amends the Energy Ombudsman Act 2006.
Amendment of s 6 (Who is a small customer)
Clause 18 amends the definition of small customer for the purposes of the
Energy Ombudsman Act to exclude street lighting customers. The intention
is to ensure that street lighting customers cannot refer disputes with their
electricity retailer to the Ombudsman, consistent with the arrangements for
large electricity customers.
Part 5 Amendment of Mineral
Resources Act 1989
Act amended in pt 5 and schedule
Clause 19 provides that part 5 and the schedule amend the Mineral
Resources Act 1989.
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Mines and Energy Legislation Amendment Bill 2008
Insertion of new s 10AA
Clause 20 inserts a new section to clarify joint ownership of mining
tenements. While the presumption of joint ownership of mining tenure
arises from the Property Law Act 1974 (section 33), there is some
confusion from persons applying for mining tenements as to its application
under the Mineral Resources Act 1989.
To clarify this issue and in line with existing property interest provisions in
the Land Title Act 1994 (section 56) and the Land Act 1994 (section 145),
this section is inserted to remove any doubt as to how joint ownership will
be dealt with in the register. A person who is eligible to hold a mining
tenement under the Mineral Resources Act 1989 may hold it as a joint
tenant or as a tenant in common. However, if an application for a mining
tenement or a dealing with a mining tenement, e.g. an assignment or a
mortgage, is lodged and does not show whether co-owners are to hold as
tenants in common or as joint tenants, the co-owners will be recorded as
tenants in common. Where the application shows applicants as tenants in
common and no shares, the register will show their shares as being equal.
Amendment of s 24 (Grant of prospecting permit)
Clause 21 inserts new subsection 24(4) to give a mining registrar the power
to refuse to grant a prospecting permit if the registrar considers it is not in
the public interest.
Amendment of s 25 (Conditions of prospecting permit)
Clause 22 inserts new subsection 25(3A) to give a mining registrar the
power to impose a condition on a prospecting permit if the registrar
considers it is in the public interest.
Amendment of s 36 (Cancellation of prospecting permit)
Clause 23 inserts new subsection 36(2) to give a mining registrar the power
to cancel a prospecting permit if the registrar considers the cancellation is
in the public interest.
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Mines and Energy Legislation Amendment Bill 2008
Amendment of s 74 (Grant of mining claim to which no
objection is lodged)
Clause 24 inserts new subsection 74(3) to give a mining registrar the power
to refuse to grant a mining claim if the registrar considers the grant is not in
the public interest.
Amendment of s 78 (Land Court's determination on hearing)
Clause 25 amends section 78(2)(d) by replacing the phrase "public right
and interest" with the phrase, "public interest" which is used throughout
the rest of the Act.
Amendment of s 81 (Conditions of mining claim)
Clause 26 inserts new subsection 81(1AA) to give a mining registrar the
power to impose a condition on a mining claim if the registrar considers it
is in the public interest.
Amendment of s 82 (Variation of conditions of mining claim)
Clause 27 inserts new subsection 82(3) to give a mining registrar the power
to refuse to vary a condition of a mining claim if the mining registrar
considers it is not in the public interest.
Amendment of s 93 (Renewal of mining claim)
Clause 28 inserts new subsection 93(4) to give a mining registrar the power
to refuse the renewal of a mining claim if the mining registrar considers it
is not in the public interest.
Clause 28 inserts new subsection 93(5) to give the mining registrar the
power to determine a condition of a renewed mining claim if the mining
registrar considers the condition is in the public interest.
Amendment of s 95 (Rental payable on mining claim)
Clause 29 amends section 95, by changing the due date for payment of
annual rental from 31 December to 31 August. It also changes the statutory
date for notification of outstanding rental from 31 January to 30 September
and the subsequent date for payment from 1 April to 1 December.
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Mines and Energy Legislation Amendment Bill 2008
Amendment of s 106 (Contravention by holder of mining claim)
Clause 30 amends section 106 by changing the date, from 1 April to 1
December, when cancellation of a mining claim may occur following a
failure to pay rental.
Amendment of s 133A (Minister may request other information)
Clause 31 amends section 133A to omit the word `other'. Removal of the
word `other' allows for the Minister to request any information required to
assess the application, even where prescribed under another section.
Amendment of s 137 (Grant of exploration permit)
Clause 32 inserts new subsection 137(1A) to give the Minister the power to
refuse to grant an exploration permit if the Minister considers the grant is
not in the public interest.
Clause 32 inserts new subsection 137(3) to prohibit the Minister from
granting an exploration permit unless the applicant has paid the first year's
rent and the Minister has approved the proposed program of work. At the
moment, the non-payment of rent by a permit holder may result in
cancellation action being taken. Once a permit has been cancelled, the land
is then held up during a two month moratorium. This imposes an
unnecessary administrative burden on the department and also prevents
others from being able to take up the opportunity to explore that land.
Clause 32 inserts new subsection 137(3B) to give the Minister the power to
refuse to approve a program of work if the Minister considers it is not in the
public interest.
Clause 32 inserts new subsection 137(5A)(b) which requires the Minister
the power to reject unsuccessful applications for exploration permits where
all or any part of the land is already subject to an exploration permit for the
same mineral. An application for an exploration permit may be applied for
over available land. More than one application in respect of an area of land
for the same purpose and mineral may be lodged on the same day (referred
to as `same day applications'). The priority of these applications is
determined using a merit process. Where the priority application is granted
and no land remains for any other application, the remaining applications
are determined to be unsuccessful.
Similarly, an application for an exploration permit may be lodged over an
area of land for the same purpose and mineral and over an existing
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Mines and Energy Legislation Amendment Bill 2008
exploration permit application (referred to `secondary applications') but on
a different day. The secondary application is lodged to cover the possibility
that the first application is unsuccessful. Where the first application is
successful, the secondary application is determined to be unsuccessful.
Amendment of s 138 (Rental payable on exploration permit)
Clause 33 amends section 138 to provide that rent for the first rental period
is payable before the granting of the permit.
The requirement to pay rent prior to the grant is to avoid the administrative
burden to the State where, after grant, rent monies have not been paid, even
on further demand. Cancellation action must then be instituted. The
holder ties up ground until the cancellation process is completed at no
financial cost to that person. Once cancellation action is completed, the
Act imposes a further two month moratorium before the land can be
released for further applications.
Amendment of s 141 (Conditions of exploration permit)
Clause 34 deletes current subsection 141(2) because it has been rendered
obsolete by section 141C and deletes current subsection 141(3) as this
obligation is being transferred to section 141C by this Bill.
Clause 34 inserts new subsection 141(2) to give the Minister the power to
determine a condition of an exploration permit if the Minister considers it
is in the public interest.
Amendment of s 141C (Application to vary conditions of
existing permit)
Clause 35 inserts new subsection 141C(4) to give the Minister the power to
refuse to approve a variation of an exploration permit if the Minister
considers the variation is not in the public interest.
Clause 35 inserts new subsection 141C(6) to impose a requirement on the
chief executive to give the administering authority under the Environmental
Protection Act 1994 as the administering authority written notice of any
variation approved by the Minister within 5 business days. This obligation
has been transferred from section 141(3).
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Mines and Energy Legislation Amendment Bill 2008
Amendment of s 147AA (Minister may request other
information)
Clause 36 amends section 147AA to omit the word `other'. Removal of the
word `other' allows for the Minister to request any information required
assess the application, even where prescribed under another section.
Amendment of s 147A (Decision on application)
Clause 37 inserts new subsection 147A(4) to give the Minister the power to
decide a condition of an exploration permit, when the renewal of the
exploration permit is being decided, if the Minister considers it is in the
public interest.
Clause 37 inserts new subsection 147A(6) to give the Minister the power to
refuse the renewal of an exploration permit if the Minister considers the
renewal is not in the public interest.
Replacement of s 147C (Continuation of permit while
application being dealt with)
Clause 38 replaces section 147C to provide a mechanism to deal with
deficient applications for renewal of an exploration permit. This
amendment addresses the administrative burden that arises when an
application is deficient or there is non-compliance with a request for
additional information. The current process requires the undertaking of a
show cause action under the provisions of section 147A or 160 of the
Mineral Resources Act 1989 to deal with the issue.
The effect of the amendment is that where an application is not properly
made and the holder has been afforded natural justice through a request to
provide further information under section 147AA, the exploration permit
expires; or where information has been requested post the expiry date, the
exploration permit lapses on the date the information was required.
Amendment of s 151 (Assignment of exploration permit)
Clause 39 amends section 151 to provide that an application for assignment
of an exploration permit is to be made in the approved form.
This clause also provides that the Minister cannot approve the assignment
unless the assignee provides information that the assignee has the
appropriate human, technical and financial resources to comply with the
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Mines and Energy Legislation Amendment Bill 2008
conditions set under section 141. This requirement is consistent with
making an application for an exploration permit, or an application for
renewal of an exploration permit.
This amendment also provides that the proposed assignee must commit to
the existing terms and conditions of the exploration permit. This is to
ensure that the assignee is aware of the assignee's requirement/entitlements
under the permit, this ensuring compliance by the assignee.
Amendment of s 183 (Application for mineral development
licence)
Clause 40 separates the "decision making" power - `acceptable to the
Minister' - from the requirements for making an application for a mineral
development licence. Those "decision making" powers are now contained
in section 186.
Insertion of new s 183A
Clause 41 inserts a new section 183A which gives the Minister the power to
request information required to assess an application for a mineral
development licence.
Where the information contained in an application is inadequate to allow
appropriate consideration and for a determination to be made, this
amendment gives discretion to the Minister to request further information.
The information is to be provided within a reasonable timeframe as
determined by the Minister. Where the applicant fails to provide the
information required or does not provide the information within the
allocated timeframe, the application may be rejected.
Replacement of s 186 (Minister may grant or reject application
for mineral development licence)
Clause 42 inserts new subsection 186(2) to give the Minister the power to
refuse to grant a mineral development licence if the Minister considers the
grant is not in the public interest.
Clause 42 also amends section 186 to allow the Minister to grant a mineral
development licence if the applicant is an eligible person, the requirements
of the legislation in relation to the application have been satisfied, the
Minister considers the application is made bona fide for the purposes of the
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Mines and Energy Legislation Amendment Bill 2008
legislation, and the applicant complies with any requirement as to the
lodgement of rent and a security deposit as determined by the Minister.
In determining whether to grant an application, the Minister must
determine the appropriateness of the proposed programs of work in relation
to the area applied for. The statements submitted with the application must
be approved before the Minister decides to grant the application for a
mineral development licence.
The Minister may grant the application for a mineral development licence
with or without conditions.
Where there is more than one application in an area of land and one of the
applications has been granted, any remaining applications over the subject
land will be rejected. Where only part of the area of an application is
within the subject land, the Minister will only reject that part.
This clause also provides that the Minister has the discretion to retain all or
part of an application fee if the application for a mineral development
licence is rejected.
Further, this clause provides that the chief executive must give the
administering authority under the Environmental Protection Act 1994
written notice of any grant approved by the Minister, or of any refusal of an
application, within 5 business days.
Amendment of s 193 (Rental payable on mineral development
licence)
Clause 43 amends section 193 to provide that rent for the first rental period
is payable before the granting of the licence. The requirement to pay prior
to the grant is to avoid the administrative issue where such monies are not
paid and cancellation action is required. The holder ties up ground until the
cancellation process is completed.
Clause 43 also amends section 193 to change the due date for payment of
annual rental from 31 December to 31 August. It changes the statutory
date for notification of outstanding rental from 31 January to 30 September
and the subsequent date for payment from 1 April to 1 December.
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Mines and Energy Legislation Amendment Bill 2008
Amendment of s 194 (Conditions of mineral development
licence)
Clause 44 amends section 194(1)(f) to clarify the timeframes for certain
reports required on a mineral development licence. In addition to the
prescribed reporting requirements, the Minister has the discretion to
request any further reports or request any materials obtained.
Clause 44 also deletes current subsection 194(2) because it has been
rendered obsolete by section 194AC and deletes current subsection 194(3)
as this obligation is being transferred to section 194AC by this Bill.
Clause 44 inserts new subsection 194(2) to give the Minister the power to
determine a condition of a mineral development licence if the Minister
considers it is in the public interest.
Amendment of s 194AC (Application to vary conditions of
existing licence)
Clause 45 inserts new subsection 194AC(4) to give the Minister the power
to refuse to make a variation of a mineral development licence if the
Minister considers the variation is not in the public interest.
Clause 45 also inserts new subsection 194AC(6) to make it a requirement
for the chief executive to give the EPA administering authority written
notice of any variation made by the Minister within 5 business days. This
requirement has been transferred from section 194(3).
Amendment of s 197 (Application for renewal of mineral
development licence)
Clause 46 amends section 197 to provide a mechanism to deal with
deficient applications for renewal of a mineral development licence.
Insertion of new s 197AA
Clause 47 inserts a new section 197AA after section 197. The new section
will provide the Minister with the power to request information required to
assess an application for renewal of a mineral development licence.
Where the information contained in an application is inadequate to allow
appropriate consideration and for a determination to be made, this
amendment gives discretion to the Minister to request further information.
The information is to be provided within a reasonable timeframe as
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Mines and Energy Legislation Amendment Bill 2008
determined by the Minister. Where the applicant fails to provide the
information required or does not provide the information within the
allocated timeframe, the application may be rejected.
Amendment of s 197A (Decision on application)
Clause 48 inserts new subsection 197A(4) to give the Minister the power to
decide a condition of a renewed mineral development licence if the
Minister considers the condition is in the public interest.
Clause 48 inserts new subsection 197A(6) to give the Minister the power to
refuse the renewal of a mineral development licence if the Minister
considers the renewal is not in the public interest.
Replacement of s 197C (Continuation of licence while
application being dealt with)
Clause 49 replaces section 197C to provide a mechanism to deal with
deficient applications for renewal of a mineral development licence.
This amendment is to address the administrative burden that arises where
an application is deficient or there is non-compliance with a request for
additional information. The current process requires the undertaking of a
show cause action under the provisions of section 197A or 209 of the MRA
to deal with the issue.
The effect of the amendment is that where an application is not properly
made and the holder has been afforded natural justice through a request to
provide further information under section 197AA, the mineral development
licence expires; or where information has been requested post the expiry
date, the mineral development licence lapses on the date the information
was required.
Amendment of s 198 (Assignment or mortgage of mineral
development licence)
Clause 50 amends section 198 to provide that an application for assignment
of a mineral development licence is to be made in the approved form.
This clause also provides that the Minister cannot approve the assignment
unless the assignee provides information that the assignee has the
appropriate human, technical and financial resources to comply with the
conditions set under section 194. This is a requirement is consistent with
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Mines and Energy Legislation Amendment Bill 2008
making an application for a mineral development licence, or an application
for renewal of a mineral development licence.
This amendment also ensures that the assignee commits to the existing
terms and conditions of the mineral development licence. This is to ensure
that the assignee is aware of the assignee's obligations under the licence to
ensure compliance by the assignee.
Amendment of s 208 (Adding other minerals to licence)
Clause 51 inserts new subsection 208(3B) to give the Minister the power to
reject an application for approval to add other minerals to the licence if the
Minister considers approving it is not in the public interest.
Clause 51 inserts new subsection 208(4A) to give the Minister the power to
decide a condition when giving approval to add other minerals to the
licence if the Minister considers the condition is in the public interest.
Amendment of s 209 (Contravention by holder of mineral
development licence)
Clause 52 amends section 209 by changing the date, from 1 April to 1
December, when cancellation of a mineral development licence may occur
following a failure to pay rental.
Amendment of s 231 (Variation of access to mineral
development licence land)
Clause 53 inserts new subsection 231(4) to give the Minister the power to
reject an application for a variation of the land used to access a mineral
development licence and if the Minister considers the variation is not in the
public interest.
Clause 53 inserts new subsection 231(5) to give the Minister the power to
impose conditions when varying access to mineral development licence
land.
Clause 53 inserts new subsection 231(6) to give the Minister the power to
impose a condition if the Minister considers the condition is in the public
interest.
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Mines and Energy Legislation Amendment Bill 2008
Amendment of s 231E (Minister may grant or reject application
for mineral development licence (186))
Clause 54 inserts new subsection 231E(3) to give the Minister the power to
reject an application for a mineral development licence if the Minister
considers it is not in the public interest.
Clause 54 inserts new subsection 231E(7) to give the Minister the power to
decide a condition to which a mineral development licence is subject if the
Minister considers the condition is in the public interest.
Amendment of s 231G (Conditions of mineral development
licence (194))
Clause 55 inserts new subsection 231G(2) to give the Minister the power to
decide a condition of a mineral development licence if the Minister
considers the condition is in the public interest.
Clause 55 inserts new subsection 231G(4) to give the Minister the power to
decide not to vary a condition proposed by the holder of a mineral
development licence if the Minister considers the variation is not in the
public interest.
Amendment of s 231H (Renewal of licence (197A))
Clause 56 amends subsection 231H(3) to give the Minister the power to
impose conditions on the renewed mineral development license.
Clause 56 inserts new subsection 231H(3A) to give the Minister the power
to impose a condition on the renewed mineral development license if the
Minister considers the condition is in the public interest.
Clause 56 inserts new subsection 231H(4A) to give the Minister the power
to refuse the renewal of a mineral development licence if the Minister
considers the renewal is not in the public interest.
Clause 56 then renumbers subsections 231H(3A) to (6) as subsections
231H(4) to (8).
Amendment of s 234 (Governor in Council may grant mining
lease)
Clause 57 omits the words "and cause to be issued" in subsection (1). The
amendment recognises that the physical issuing of the instrument of lease
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Mines and Energy Legislation Amendment Bill 2008
is an administrative arrangement. The words in section 234 "and cause (a
lease) to be issued" have been interpreted in some quarters that there is a
physical issuing of the document by the Governor in Council. As a
business arrangement a copy of the lease will be issued by the Minister to
the lessee when requested by the lessee. The recommendation to the
Governor in Council is that the lease be granted.
Insertion of new s 245A
Clause 58 inserts a new section 245A which gives the mining registrar the
power to request information required to assess an application for a mining
lease.
Where the information contained in an application is inadequate to allow
appropriate consideration and for a determination to be made, this
amendment gives discretion to the mining registrar to request further
information. The information is to be provided within a reasonable
timeframe as determined by the mining registrar. Where the applicant fails
to provide the information required or does not provide the information
within the allocated timeframe, the application may be rejected.
Amendment of s 276 (General conditions of mining lease)
Clause 59 inserts new subsection 276(1A) to give the Governor in Council
the power to determine a condition of a mining lease if the Governor in
Council considers the condition is in the public interest.
Amendment of s 286AA (Mining registrar may request other
information)
Clause 60 amends section 286AA to omit the word `other'. Removal of the
word `other' allows for the Mining Registrar to request any information
required to make a decision about the renewal application, even where
prescribed under another section.
Amendment of s 286A (Decision on application)
Clause 61 inserts new subsection 286A(5) to give the Governor in Council
the power to decide a condition of a renewed mining lease if the Governor
in Council considers the condition is in the public interest.
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Mines and Energy Legislation Amendment Bill 2008
Clause 61 inserts new subsection 286A(7) to give the Minister the power to
refuse the renewal of a mining lease if the Minister considers the renewal is
not in the public interest.
Amendment of s 290 (Rental payable on mining lease)
Clause 62 amends section 290 by changing the due date for payment of
annual rental from 31 December to 31 August. It also changes the statutory
date for notification of outstanding rental from 31 January to 30 September
and the subsequent date for payment from 1 April to 1 December.
Amendment of s 294 (Variation of conditions of mining lease)
Clause 63 inserts new subsection 294(3) to give the Governor in Council
the power to refuse to vary a condition of a mining lease if the Governor in
Council considers the variation is not in the public interest.
Amendment of s 298 (Mining other minerals or use for other
purposes)
Clause 64 renumbers subsections 298(9), (10), (11) and (12) as subsections
298(10), (12), (13) and (14) respectively.
Clause 64 inserts new subsection 298(9) to give the Minister the power to
reject an application to vary a mining lease to add other minerals or another
use if the Minister considers it is not in the public interest.
Clause 64 inserts new subsection 298(11) to give the Minister the power to
impose a condition on the approval of the Minister if the Minister considers
the condition is in the public interest.
Amendment of s 300 (Assignment, mortgage or sublease of
mining lease)
Clause 65 amends section 300 to provide that an application for assignment
of a mining lease is to be made in the approved form.
This clause also provides that the Minister cannot approve the assignment
unless the assignee provides information that the assignee has the
appropriate human, technical and financial resources to comply with the
conditions set under section 276. This is a requirement consistent with
making an application for a mining lease, or an application for renewal of a
mining lease.
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Mines and Energy Legislation Amendment Bill 2008
This amendment also ensures that the assignee commits to the existing
terms and conditions of the mining lease. This is to ensure that the
assignee is aware of the assignee's responsibilities under the lease to ensure
compliance by the assignee.
Amendment of s 308 (Contravention by holder of mining lease)
Clause 66 amends section 308 by changing the date, from 1 April to 1
December, when cancellation of a mining lease may occur following a
failure to pay rental.
Amendment of s 317 (Variation of access to mining lease land)
Clause 67 inserts new subsection 317(5A) to give the Land Court the power
to determine that consent to a proposed variation of the access to mining
lease land should not be given if the court considers the variation is not in
the public interest.
Clause 67 inserts new subsection 317(9A) to give the Land Court the power
to impose terms and conditions to be complied with before consent is given
if the court considers the condition is in the public interest.
Amendment of s 318AAH (General conditions of mining lease
(276))
Clause 68 inserts new subsection 318AAH(2) to give the Governor in
Council the power to decide a condition of a mining lease if the Governor
in Council considers the condition is in the public interest.
Amendment of s 318CN (Use that may be made under mining
lease of incidental coal seam gas)
Clause 69 provides that where a coal or oil shale mining lease is over land
that is also in an area of a petroleum lease, the holder of the coal or oil shale
mining lease may offer, then give, incidental coal seam gas (ICSG) to the
holder of the petroleum lease.
This provides the opportunity for the optimisation of the use of coal seam
gas by reducing the potential for ICSG to be flared or vented.
For example, where a coal or oil shale mining lease (ML) holder may be
required to extract coal seam gas (CSG) from the area of the ML
coincidental with the area of a petroleum lease, the coal or oil shale ML
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Mines and Energy Legislation Amendment Bill 2008
holder may decide to bring forward its schedule for the commencement of
mining operations and therefore require accelerated degassing of the coal
seam [as provided for in section 318CM(1) of the Mineral Resources Act
1989]. The CSG produced by the coal or oil shale ML holder in such a
case is called incidental coal seam gas (ICSG). The ICSG, extracted by the
coal or oil shale ML holder in this case, may now be offered, then given, to
the overlapping petroleum lease holder.
The amendment gives the ML holder another option of what to do with
ICSG ensuring that flaring or venting is not carried out unless there is no
other feasible way of using the ICSG beneficially. This will make sure that
the ICSG is used for the maximum benefit of the State.
Amendment of section 318CO (Restriction on flaring or venting
of incidental coal seam gas)
Clause 70 provides consequential amendments as a result of amendments
to section 318CN (Use that may be made under mining lease of incidental
coal seam gas).
This clause now provides another requirement that must be met, prior to
authorisation being given under section 318CO of the Mineral Resources
Act 1989 for a coal or oil shale mining lease (ML) holder to flare or vent
incidental coal seam gas (ICSG).
Where an ML is over land that is also in an area of a petroleum lease, the
holder of the ML cannot be authorised under section 318CO of the Mineral
Resources Act 1989 to flare or vent ICSG, unless the ICSG has first been
offered to the holder of the overlapping petroleum lease, and the holder has
not accepted the offer of the ICSG, or has not responded to the offer of the
ICSG within 20 business days after being notified in writing of the offer.
Insertion of new pt 7AAB
Clause 71 inserts a new part 7AAB (Provisions for McFarlane oil shale
deposit).
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Mines and Energy Legislation Amendment Bill 2008
Part 7AAB Provisions for McFarlane oil
shale deposit
Division 1 Preliminary
318ELAA Application of pt 7AAB
Clause 71 inserts new section 318ELAA, which provides that this part
applies to land in the area of mineral development licence 202 and land in
the area of any other oil shale mining tenement prescribed by regulation.
Land may only be prescribed by regulation if it is contiguous to mineral
development licence 202. The part applies from the date of assent, or
(where land is prescribed by regulation) from the date the regulation
commences, to 17 August 2028.
318ELAB What is an oil shale mining tenement
Clause 71 inserts new section 318ELAB, which provides a definition of
"oil shale mining tenement", which applies even if the mining tenement is
also granted for minerals other than oil shale.
318ELAC Relationship with other provisions of this Act
Clause 71 inserts new section 318ELAC, which provides that part 7AAB
applies, despite other provisions of the Mineral Resources Act 1989 and the
conditions or other provisions of an oil shale mining tenement, and that
part 7AAB prevails where there is any inconsistency with the rest of the
Act.
Division 2 Moratorium provisions
318ELAD Prohibition on granting oil shale mining tenements
Clause 71 inserts new section 318ELAD, which provides that an oil shale
mining tenement can not be granted for the land during the moratorium
period and that this prohibition does not apply to renewals of current oil
shale mining tenements under new section 318ELAK.
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Mines and Energy Legislation Amendment Bill 2008
318ELAE Suspension of oil shale activities
Clause 71 inserts new section 318ELAE, which provides that any right to
carry out activities relating to oil shale that would ordinarily be authorised
for an oil shale mining tenement for the land are suspended during the
moratorium period. During this suspension, the oil shale activity is not
authorized for the mining tenements and anyone carrying out oil shale
activity commits an offence under section 402 of the Mineral Resources
Act 1989.
318ELAF Access rights for particular activities
Clause 71 inserts new section 318ELAF, which authorizes the holder of an
oil shale mining tenement to enter the land during the moratorium period,
but only for limited, low impact purposes. This is to ensure the holder is
able to meet the holder's rehabilitation and environmental management
obligations under the Environmental Protection Act 1994, to meet the
holder's obligations to carry out improvement restoration under the
Mineral Resources Act 1989 and, where the mining tenement is not a
prospecting permit or exploration permit, to allow the holder to carry out
low impact environmental monitoring during the moratorium period.
The holder of a prospecting permit or exploration permit will be able to
carry out low impact track construction or maintenance and will be able to
put in place or maintain low impact infrastructure only if it is reasonably
necessary for them to do so to carry out rehabilitation or environmental
management. The purpose of this limitation is to ensure that the holder of a
prospecting permit or exploration permit will not get any greater rights of
access under this part than they had before the commencement of this part.
When accessing the land during the moratorium period, the holder of the
mining tenement will be subject to the same rights and obligations as
would ordinarily apply in relation to land access. For example, the holder
will have to comply with the landowner compensation provisions and the
notice of entry provisions of the Mineral Resources Act 1989 but, having
given the appropriate notice, will be entitled to access the land without the
landowner's consent.
318ELAG Ministerial power to suspend rental obligation
Clause 71 inserts new section 318ELAG, which gives the Minister the
power to suspend rental obligations when satisfied the holder of an oil
shale mining tenement is not able to or will not be able to carry out any oil
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Mines and Energy Legislation Amendment Bill 2008
shale activity authorised under the holder's mining tenement during all or
part of the moratorium period. That suspension may be for all or any part
of the current term of the mining tenement, but cannot take effect before 1
January 2009.
318ELAH Suspension or waiver of reporting obligations
Clause 71 inserts new section 318ELAH, which provides that the reporting
obligation of the holder of an oil shale mining tenement is suspended
during the moratorium period to the extent it relates to oil shale activities.
The Minister may waive a holder's reporting obligation for all or part of the
current term of the mining tenement.
318ELAI Suspension or waiver of performance requirements
Clause 71 inserts a new section 318ELAI, which provides that the
performance requirements of the holder of an oil shale mining tenement are
suspended during the moratorium period to the extent they relate to oil
shale activities. The Minister may waive or reduce a holder's performance
requirements during the current term of the mining tenement.
318ELAJ Assignments
Clause 71 inserts a new section 318ELAJ, which provides for the
assignment of oil shale mining tenements and interests in them and for the
assignment of applications for oil shale mining tenements during the
moratorium period. There is no other provision in the Mineral Resources
Act 1989 which allows the assignment of applications. As no oil shale
mining tenements can be granted for the land until at least 18 August 2028,
it would be unfair not to allow applicants for oil shale mining tenements to
assign their applications if they wish to during the moratorium period.
318ELAK Renewals
Clause 71 inserts a new section 318ELAK, which provides for the
automatic renewal of an oil shale mining tenement when it reaches its
expiry day. The tenement is taken to have been renewed for the same term
and on the same terms.
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Mines and Energy Legislation Amendment Bill 2008
318ELAL Rights and obligations under other Acts not affected
Clause 71 inserts a new section 318ELAL, which clarifies that the
moratorium does not limit or otherwise affect or suspend the rights or
obligations of the holder of a mining tenement under the Environmental
Protection Act 1994, the holder's environmental authority, chapter 3 of the
Petroleum and Gas (Production and Safety) Act 2004 and other relevant
Acts.
For example, if another party applied for a petroleum lease for coal seam
gas over land also subject to an oil shale mining tenement, the rights and
obligations of the oil shale mining tenement holder under chapter 3 of the
Petroleum and Gas (Production and Safety) Act 2004 would still apply,
despite part 7AAB.
Insertion of new pt 10AA
Clause 72 inserts a new part 10AA after section 381.
Part 10AA Collingwood Park State
guarantee
381A Definitions for pt 10AA
Clause 72 inserts a new section 381A to clearly define the suburb of
Collingwood Park, the public record of the Gazetteer of Place Names under
the Place Names Act 1994 is used to identify the suburb. This is
deliberately done as the Government's package of assistance under this part
applies only to that suburb.
Mining activity has been also defined because the subsidence in
Collingwood Park arose as a result of underground coal mining activity.
381B What is the Collingwood Park State guarantee
Clause 72 inserts a new section 381B for the broad principles of the
Collingwood Park guarantee. Of particular importance is the definition of
"subsidence damage" which limits damage particularly to buildings or
structures in existence prior to the mine subsidence occurrence on 25 April
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Mines and Energy Legislation Amendment Bill 2008
2008. This is to ensure buildings or structures constructed after that time
are outside the ambit of the guarantee.
381C Registering guarantee in freehold land register
Clause 72 inserts a new section 381C, which relates to the notification of
the guarantee in the freehold land register under the Land Title Act 1994.
The notification operates through section 29(1) of the Land Title Act 1994
by providing a power for the Registrar of Titles (the Registrar) to record
information against land in the freehold land register either permitted by
that Act or another Act. To activate this "permitted by another Act"
mechanism, the Chief Executive of the Department of Mines and Energy
will have the power to request the Registrar to place a notification of the
guarantee on the land title of any property in Collingwood Park. A request
to the Registrar will only be made if the owner of a residential property
requests the notification be made.
381D Removing guarantee from registrar's records
Clause 72 inserts a new section 381D, which relates to the notification of
the guarantee in the freehold land register under the Land Title Act 1994.
Once recorded, a notification can only be removed by the Registrar at the
request of the Chief Executive responding to a request from the land owner.
381E No fee payable
Clause 72 inserts a new section 381E, which provides for a fee exemption
simply to remove the need for the State to pay a fee to itself.
Amendment of s 391 (Restriction on grants etc.)
Clause 73 amends section 391. Restricted area notifications under the
Mineral Resources Act 1989 prevent or limit applications for tenure. The
amendment is to ensure that where an application is lodged prior to the
creation of the restricted area, the application and any application for a
subsequent or higher tenement can be processed without the effect of the
restricted area notification. Application for subsequent or higher tenement
includes a conditional surrender of the mining tenement or consolidation of
mining leases. For example the holder of the original granted tenement
may apply for a subsequent or higher tenure i.e. exploration permit, mining
claim, mineral development licence or mining lease without the restriction
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Mines and Energy Legislation Amendment Bill 2008
applying provided that no ground additional to the original grant has been
applied for.
Amendment of s 404C (Information requirements for holders of
mining tenements)
Clause 74 amends section 404C to clarify the information that may be
collected from a holder of a mining tenement.
Insertion of new pt 19, div 1AA
Clause 75 inserts a new part 19, division 1AA.
Division 1AA Transitional provisions for Act No. 10
of 1998
Subdivision 1 Preliminary
722H Definitions for div 1AA
Clause 75 inserts new section 722H, which provides definitions which
apply to part 19, division 1A.
722I Relationship with special agreement Acts and repealed
transitional schedule
Clause 75 inserts new section 722I, which provides that if there is any
conflict between these amendments and any provision of a Special
Agreement Act or the repealed transitional schedule, these amendments
prevail.
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Mines and Energy Legislation Amendment Bill 2008
Subdivision 2 Continuance of repealed transitional
schedule
722J Schedule continues in effect
Clause 75 inserts new section 722J, which provides that despite its repeal,
section 20A of the Acts Interpretation Act 1954 applies and always applied
to the repealed transitional schedule. This clarifies that the declaratory
effect of the provisions of that schedule did not end when they were
repealed by the Offshore Minerals Act 1998.
Subdivision 3 Provisions for special agreement Act
leases
722K Purpose of sdiv 3
Clause 75 inserts new section 722K, which provides that the purpose of
subdivision 3 is to provide for how a Special Agreement Act lease may be
renewed and how the Mineral Resources Act 1989 applies to those renewed
leases.
722L Future renewals only under this Act
Clause 75 inserts a new section 722L, which clarifies that a Special
Agreement Act lease not renewed since the Mineral Resources Act 1989
commenced may only be renewed under that Act, and not the Special
Agreement Act.
722M Status on renewal
Clause 75 inserts a new section 722M, which clarifies that a Special
Agreement Act lease renewed under the Mineral Resources Act 1989 is
subject only to that Act and any conditions imposed on renewal under that
Act, and not the Special Agreement Act.
722N Leases renewed under special agreement Act
Clause 75 inserts a new section 722N, which clarifies that if a Special
Agreement Act lease was renewed under the Special Agreement Act after
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Mines and Energy Legislation Amendment Bill 2008
the Mineral Resources Act 1989 commenced and before this section
commences, that renewal is taken to be a renewal under the Mineral
Resources Act 1989 and anything done under that renewed lease is taken to
have been done under that Act. This amendment is designed to ensure
there is no confusion about the status of any lease purportedly renewed
under a Special Agreement Act after the Mineral Resources Act 1989
commenced.
Amendment of s 741 (Unfinished special coal mining lease
applications)
Clause 76 provides for minor consequential amendments to section 741.
Insertion of new pt 19, div 11
Clause 77 inserts a new division 11 into part 19 of the Mineral Resources
Act 1989.
Division 11 Transitional provision for Mines and
Energy Legislation Amendment Act
2008
Subdivision 1 Provisions for amendments to due
dates and reminder dates
768 Application of div 11
Clause 77 inserts a new section 768, which outlines that division 11 applies
to a mining tenement granted before 1 January 2009 if it is a mining claim,
mineral development licence or mining lease.
769 Transitional provision for rental
Clause 77 inserts a new section 769, which provides for transitional
arrangements for mining claims, mineral development licences and mining
leases granted prior to 1 January 2009. In this instance the rental period
shall be 1 January 2009 to 31 August 2009 (nominal year, eight months)
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Mines and Energy Legislation Amendment Bill 2008
and the rental payable is taken to be two-thirds of the amount payable for a
full rental year (12 months).
770 Transitional provision for contravention provisions
Clause 77 inserts a new section 770, which provides transitional provisions
for the contravention provisions relating to the non-payment of rental
within the Mineral Resources Act 1989.
Subdivision 2 Provision for special agreement Acts
771 Application of this Act to payment of rent for special
agreement Act leases
Clause 77 inserts a new section 771 for transitional provisions for the
relevant tenure holders who have contravened the requirement to pay their
eight months pro rata rental on or by 31 December 2008 have been
included. The statutory reminder date is 31 January 2009 and the
subsequent date for payment is 1 April 2009.
Amendment of schedule (Dictionary)
Clause 78 amends the schedule (Dictionary). The amendments include
new definitions of "affected land" for part 10AA, "Collingwood Park State
guarantee" (or "guarantee) for part 10AA, "moratorium period", "oil shale
activity", "oil shale mining tenement", "registrar" and "rental year".
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Mines and Energy Legislation Amendment Bill 2008
Part 6 Amendment of Mining and
Quarrying Safety and Health Act
1999
Act amended in pt 6 and schedule
Clause 79 provides that part 6 and the schedule amend the Mining and
Quarrying Safety and Health Act 1999.
Amendment of s 259 (Notices about industry statistics or
information)
Clause 80 amends section 259 to clarify that the chief executive may use
and publish information collected under that section.
Part 7 Amendment of Petroleum Act
1923
Act amended in pt 7 and schedule
Clause 81 provides that part 7 amends the Petroleum Act 1923.
Amendment of s 2 (Definitions)
Clause 82 provides that the definition of `permitted dealing' is omitted,
with the definition of `dealing' inserted in its place. This will align the
definition with the amendment to section 80E of the Petroleum Act 1923.
Amendment of s 7AA (Qualification of 1923 Act petroleum
tenure holders)
Clause 83 makes clear that a company must be a registered body under the
Corporations Act 2001 (Cwlth) to apply for and hold an authority to
prospect or petroleum lease under the Petroleum Act 1923.
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Mines and Energy Legislation Amendment Bill 2008
Omission of s 19 (Variation of authority to prospect)
Clause 84 omits section 19 of the Petroleum Act 1923 be omitted.
The introduction of the Petroleum and Gas (Production and Safety) Act
2004 and the significant amendments to the Petroleum Act 1923 brought
about by the commencement of the Petroleum and Other Legislation
Amendment Act 2004 were intended to ensure that the provisions of each
petroleum Act be reflected in the other.
Amendments to the Petroleum Act 1923, by the commencement of the
Petroleum and Other Legislation Amendment Act 2004, were intended to
prevent an authority to prospect (ATP) holder applying for a variation
(available under section 19) to a condition, provision or stipulation. No
such extensive variation provisions are included in the Petroleum and Gas
(Production and Safety) Act 2004, and omitting section 19 from the
Petroleum Act 1923 aligns this Act with the Petroleum and Gas
(Production and Safety) Act 2004.
The most requested variations made under section 19 of the Petroleum Act
1923 have been to vary the work and expenditure conditions of an authority
to prospect administered under the Petroleum Act 1923. However, the
Petroleum and Gas (Production and Safety) Act 2004 provides very
specific circumstances as to when a work program (the equivalent of the
work and expenditure conditions) may be amended. Similar provisions are
already reflected in sections 25G to 25K (inclusive) of the Petroleum Act
1923.
Amendment of s 75Q (Transfer of water observation bore or
water supply bore to landowner)
Clause 85 amends section 75Q so that a holder of a petroleum tenure may
transfer a water supply bore or water observation bore to a landholder, who
is the owner of the land on which the bore is located, without the need for
the landholder to have a licence under the Water Act 2000.
However, the transfer is only in the ownership of the bore. If the landowner
is required under the Water Act 2000 to have a licence to take water from
the transferred bore, this must be obtained by the landowner prior to the
taking of the water from the transferred bore.
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Mines and Energy Legislation Amendment Bill 2008
Amendment of s 76B (Requirement to lodge records and
samples)
Clause 86 amends section 76B to provide for how, and in what format,
records (reports) about authorised activities conducted on petroleum tenure
or authorities are to be submitted to the Department.
The system (which at the time of writing is called the "Queensland Digital
Exploration Reports System", or QDEX) allows for the required records to
be submitted by a petroleum explorer or producer electronically and via the
Department's internet website. As the information contained in the records
is of a technical geological nature, a document that is available through the
QDEX system provides for what electronic file format the various
technical information is to be provided in.
These file formats are standard throughout the petroleum industry, and are
substantially those agreed to by the Government Geoscience Information
Committee (GGIC) and adopted by all States and Territories, after
consultation with the petroleum industry.
Amendment of s 80B (Keeping of register)
Clause 87 is a consequential amendment as a result of amendments to part
6N, sections 80E, 80J and 80K of the Petroleum Act 1923 (`the 1923 Act').
This clause provides that only a dealing approved, or taken to be approved,
under part 6N of the 1923 Act must be recorded in the petroleum register.
Amendment of s 80E (What is a permitted dealing)
Clause 88 provides for an amendment so that a `permitted dealing' is now a
`dealing'. The words `permitted dealing' have been changed as it may
have been perceived that the word `permitted' suggested that these are the
only types of commercial dealings that may be undertaken on petroleum
authorities. This is not the case.
To clarify this view, the word `dealing' is now used. `Dealings' as listed in
section 80E of the Petroleum Act 1923 (`the 1923 Act') are those that the
Minister requires to be notified of, or needs to approve, and which are to be
recorded on the petroleum register kept by the chief executive.
This clause also provides that for these purposes, a dealing does not include
a dealing that has the effect of transferring a divided part of the area of a
1923 Act petroleum tenure.
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Mines and Energy Legislation Amendment Bill 2008
There are other dealings (such as overriding royalty agreements, farm-in
agreements, farm-out agreements etc) that the petroleum authority holder
may enter into as commercial dealings. These are allowed to be entered
into by a petroleum authority holder in the normal course of commercial
activities, but the Minister does not need to be notified of nor approve these
dealings, nor have them recorded on the petroleum register.
As outlined in the amendment to section 80B of the 1923 Act, only
dealings approved, or taken to be approved, under part 6N of the 1923 Act
must be recorded in the petroleum register.
This clause also makes clear that a mortgage of a petroleum authority, or a
mortgage in a share of a petroleum authority and a release, transfer or
surrender of a mortgage of these types, are dealings.
Further, this clause also provides that a sublease, or a share in a sublease, of
a petroleum lease may be transferred, irrespective of whether it is the
subject of a coordination arrangement or not.
This clause also provides that a dealing with a petroleum authority does not
include a dealing as detailed in section 80E(2) of the 1923 Act.
Amendment of s 80J (Deciding application)
Clause 89 provides consequential amendments as a result of amendments
made to section 80E of the Petroleum Act 1923.
This clause also provides that certain dealings are now taken to be granted.
For example, a release of a mortgage is now taken to be granted, as the
Minister should not have to approve a dealing that is strictly a commercial
transaction to which the Minister is not a party and to which the Minister is
not expected to provide input to the mortgagee.
Further, this clause provides for a requirement that where the Minister has
given an indication of likely conditions upon a proposed dealing, these
conditions must be complied with within six months after the Minister gave
the indication. Otherwise, the proposed dealing is not taken to be granted
if an application is made to approve the dealing for which the indication
was sought.
Amendment of s 80K (Criteria for decision)
Clause 90 provides consequential amendments as a result of amendments
made to section 80J of the Petroleum Act 1923.
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Mines and Energy Legislation Amendment Bill 2008
This clause also provides the decision criteria that must be considered
when the Minister is deciding whether to approve a dealing. This clause
now provides more realistic decision criteria than those which existed prior
to this amendment. Unclear decision criteria have been omitted, such as
the `hardship the applicant would suffer if the dealing is not approved'.
Insertion of new pt 12
Clause 91 inserts a new part 12 into the Act. The new part 12 provides a
transitional provision for the Mines and Energy Legislation Amendment Act
2008.
Part 12 Transitional provision for Mines
and Energy Legislation
Amendment Act 2008
185 Provision for repeal of section 19
This transitional provision deals with an application for variation of an
authority to prospect (ATP) made under former section 19 but not decided
before the repeal of that section.
The application is taken to be a request for an amendment to the work
program for the ATP made under sections 25H and 25I of the Petroleum
Act 1923 (`the 1923 Act') and decided under sections 25G, 25J and 25K of
the 1923 Act.
If the application cannot be dealt with under this transitional provision,
other options may exist in the 1923 Act (for example, section 125) for a
person to make an application, the type of which may have been made
previously under section 19 of the 1923 Act before its repeal.
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Mines and Energy Legislation Amendment Bill 2008
Part 8 Amendment of Petroleum and
Gas (Production and Safety) Act
2004
Act amended in pt 8 and schedule
Clause 92 provides that part 8 and the schedule amend the Petroleum and
Gas (Production and Safety) Act 2004.
Insertion of new s 30A
Clause 93 provides for the insertion of section 30A, which deals with joint
holders of a petroleum authority. While the presumption of joint
ownership of petroleum tenements arises from the Property Law Act 1974
(section 33 at the time of writing), there is apparent confusion from persons
applying for tenure as to its application under the Petroleum and Gas
(Production and Safety) Act 2004.
To clarify this issue and in line with existing property interest provisions in
the Land Title Act 1994 (section 56) and the Land Act 1994 (section 145),
this section is inserted to remove any doubt as to how joint ownership will
be dealt with in the register. A person who is eligible to hold a tenement
under the Petroleum and Gas (Production and Safety) Act 2004 may hold it
as a joint tenant or as a tenant in common. However, if an application for a
tenement or dealing with a tenement, e.g. an assignment or a mortgage is
lodged and does not show whether co-owners are to hold as tenants in
common or as joint tenants, the co-owners will be recorded as tenants in
common. Where the application shows applicants as tenants in common
and no shares, the register will show their shares as being equal.
Amendment of s 236 (Ministerial approval of proposed
coordination arrangement)
Clause 94 provides that the Minister may approve the coordination
arrangement only if the Minister is satisfied the spatial relationship
between the leases which are the subject of the arrangement is appropriate.
Before this amendment, section 236 of the Petroleum and Gas (Production
and Safety) Act 2004 provided that the Minister may not approve a
coordination arrangement if the arrangement provides for a party to the
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Mines and Energy Legislation Amendment Bill 2008
arrangement to be granted a pipeline licence and the spatial relationship
between the leases is not considered appropriate.
This clause now provides that the Minister may not approve the
coordination arrangement, if the spatial relationship between the leases is
not considered appropriate, irrespective of whether or not the coordination
arrangement provides for a party to the arrangement to be granted a
pipeline licence.
Amendment of s 288 (Transfer of water observation bore or
water supply bore to landowner)
Clause 95 amends section 288 so that a holder of a petroleum tenure or
water monitoring authority may transfer a water supply bore or water
observation bore to a landholder, who is the owner of the land on which the
bore is located, without the need for the landholder to have a licence under
the Water Act 2000.
However, the transfer is only in the ownership of the bore. If the landowner
is required under the Water Act 2000 to have a licence to take water from
the transferred bore, this must be obtained by the landowner prior to the
taking of the water from the transferred bore.
Amendment of s 419A (Notice to chief inspector before
construction starts)
Clause 96 amends section 419A to allow the applicant for a pipeline
licence to give notice to the Chief Inspector regarding the proposed
construction of a pipeline. The situation that may have arisen previously
where the pipeline holder would have to wait 20 days after the licence is
granted before construction could start has been avoided by allowing the
applicant to also be able to give the notice.
Amendment of s 548 (Requirement to lodge records and
samples)
Clause 97 amends section 548 to provide for how, and in what format,
records (reports) about authorised activities conducted on petroleum tenure
or authorities are to be submitted to the Department.
The system (which at the time of writing is called the "Queensland Digital
Exploration Reports System", or QDEX) allows for the submission of the
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Mines and Energy Legislation Amendment Bill 2008
required records to be submitted by a petroleum explorer or producer
electronically and via the Department's internet website.
As the information contained in the records is of a technical geological
nature, a document that is available through the QDEX system provides for
what electronic file format the various technical information is to be
provided in.
These file formats are standard throughout the petroleum industry, and are
substantially those agreed to by the Government Geoscience Information
Committee (GGIC) and adopted by all States and Territories, after
consultation with the petroleum industry.
Amendment of s 565 (Keeping of register)
Clause 98 is a consequential amendment as a result of amendments to
chapter 5, part 10, sections 568, 573 and 574 of the Petroleum and Gas
(Production and Safety) Act 2004.
This clause provides that only a dealing approved, or taken to be approved,
under chapter 5, part 10 of the Petroleum and Gas (Production and Safety)
Act 2004, must be recorded in the petroleum register.
Amendment of s 568 (What is a permitted dealing)
Clause 99 provides for an amendment so that a `permitted dealing' is now
known as a `dealing'. The words `permitted dealing' have been changed as
it may have been perceived that the word `permitted' suggested that these
are the only types of commercial dealings that may be undertaken on
petroleum authorities. This is not the case.
To clarify this view, the word `dealing' is now used. `Dealings' as listed in
section 568 of the Petroleum and Gas (Production and Safety) Act 2004 are
those that the Minister requires to be notified of, or needs to approve, and
which are to be recorded on the petroleum register kept by the chief
executive.
This clause also provides that for these purposes, a dealing does not include
a prohibited dealing as detailed in section 569(1) of the Petroleum and Gas
(Production and Safety) Act 2004.
There are other dealings (such as overriding royalty agreements, farm-in
agreements, farm-out agreements etc) that the petroleum authority holder
may enter into as commercial dealings. These are allowed to be entered
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Mines and Energy Legislation Amendment Bill 2008
into by a petroleum authority holder in the normal course of commercial
activities, but the Minister does not need to be notified of nor approve these
dealings, nor have them recorded on the petroleum register.
As outlined in the amendment to section 565 of the Petroleum and Gas
(Production and Safety) Act 2004 as made by the Mines and Energy
Legislation Amendment Act 2008, only dealings approved, or taken to be
approved, under chapter 5, part 10 of the Petroleum and Gas (Production
and Safety) Act 2004 must be recorded in the petroleum register.
This clause also provides clarification that a mortgage of a petroleum
authority, or a mortgage in a share of a petroleum authority and a release,
transfer or surrender of a mortgage of these types, are dealings.
Further, this clause also provides that a sublease, or a share in a sublease, of
a petroleum lease may be transferred, irrespective of whether it is the
subject of a coordination arrangement or not.
Amendment of s 573 (Deciding application)
Clause 100 provides consequential amendments as a result of amendments
made to section 568 of the Petroleum and Gas (Production and Safety) Act
2004.
This clause also provides that certain dealings are now taken to be granted.
For example, a release of a mortgage is now taken to be granted, as the
Minister should not have to approve a dealing that is strictly a commercial
transaction to which the Minister is not a party and to which the Minister is
not expected to provide input to the mortgagee.
Further, this clause provides for a requirement that where the Minister has
given an indication of likely conditions upon a proposed dealing, these
conditions must be complied with within six months after the Minister gave
the indication. Otherwise, the proposed dealing is not taken to be granted
if an application is made to approve the dealing for which the indication
was sought.
Amendment of s 574 (Criteria for decision)
Clause 101 amends section 574 to provide for necessary consequential
amendments as a result of amendments made to section 573 of the
Petroleum and Gas (Production and Safety) Act 2004.
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Mines and Energy Legislation Amendment Bill 2008
This clause also clarifies the decision criteria that must be considered when
the Minister is deciding whether to approve a dealing. .
Amendment of s 590 (Imposition of petroleum royalty on
petroleum producers)
Clause 102 amends section 590 to provide for a situation when a petroleum
producer is required to pay the State petroleum royalty, as a consequence to
amendments made to section 318CN of the Mineral Resources Act 1989.
A petroleum producer must now pay the State petroleum royalty for
petroleum that the producer produces or that the petroleum producer
accepts from the holder of a coal or oil shale mining lease (as defined in the
Mineral Resources Act 1989), where the coal or oil shale mining lease area
overlaps any area of the petroleum producer's petroleum lease.
This ensures that a mining lease holder does not pay royalty on any
incidental coal seam gas that is offered, then given to the overlapping
petroleum lease holder pursuant to the amendment to section 318CN of the
Mineral Resources Act 1989, by the Mines and Energy Legislation
Amendment Act 2008.
Replacement of ch 9, pt 1, hdg (Safety requirements)
Clause 103 amends the heading of chapter 9, part 1 from "Safety
requirements" to "Safety requirements and labelling".
Insertion of new s 669A
Clause 104 inserts a new section 669A to provide a head of power to make
regulations in relation to the certification and labelling of gas devices and
fittings with respect to energy efficiency requirements.
Amendment of s 726 (Gas devices (type A))
Clause 105 inserts a new subsection that makes it an offence for someone
(i.e. an employer) to direct an employee or contractor to undertake gas
work in a manner that contravenes the safety requirements, for example
AS5601 Gas Installations. As the gas installer is responsible for their work
and is required to sign off their work as meeting the safety requirements,
this offence will act as a deterrent to anyone directing the licence holder to
undertake non-compliant work.
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Mines and Energy Legislation Amendment Bill 2008
Clarification is also made that the simple disconnection and connection of a
gas cylinder to a fitting/appliance (for example, a barbeque) is not an
offence.
Amendment of s 727 (Gas devices (type B))
Clause 106 inserts a new section 727(3) that makes it an offence for
someone (i.e. an employer) to direct an employee or contractor to
undertake gas work in a manner that contravenes the safety requirements.
Amendment of s 733 (Certification of gas device or gas fitting)
Clause 107 amends section 733(1) to require gas devices or fittings to
comply with any labelling requirements made under regulation.
Consequential amendments to definitions are made.
Amendment of s 734 (Safety obligations of gas system
installer)
Clause 108 amends the requirement in section 734 to certify an installation
(as compliant) to allow the approved form (gas system compliance
certificate) to clarify exactly what must be certified. It is intended that the
form will clarify the elements of the existing system that must be certified.
Provision is made for the use of compliance plates for installations to be
prescribed in a regulation. Not attaching a plate as prescribed becomes an
offence. It is intended that the use of compliance plates will allow for the
installer to be more easily identified, and for compliance action to be more
easily taken. The requirement to notify the owner/operator about safety
risks has been moved to a new section.
Insertion of new s 734A
Clause 109 inserts a new section 734A so that there is a clear obligation
that if any person doing gas work knows or ought reasonably to know or
suspect that the gas system does not comply with relevant safety
requirements, eg installation standards, they must issue a notice in the
prescribed form (i.e. a defect notice). It is intended that this means any part
of the system they are working on and in the immediate vicinity or any
other part of the system that they would be required to inspect under the
safety requirements.
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Mines and Energy Legislation Amendment Bill 2008
If there is an imminent risk of material harm they must take measures so
that the risk is controlled such as isolating a faulty or leaking appliance. In
such a case an Inspector and the gas supplier must be notified immediately
by phone. These requirements apply at any time not just with respect to a
new installation.
Amendment of s 844 (Amending applications)
Clause 110 amends section 844 to provide, for an applicant that is a
corporation, that a change of name or type of corporation for an applicant
may be made at any stage, providing that the change of name or type of
corporation does not change the company's ACN or ARBN. An example
might be where an applicant for the tender of an authority to prospect has
applied as (Company) Limited but after the closing date for the tenders and
before the preferred tenderer is appointed, the applicant changes the
company name to (Company) Pty Limited. To avoid the administrative
necessity of an assignment and where the ACN or ARBN remains the
same, the change of name should be allowed.
Amendment of s 877 (Exclusion from area of land in area of
coal mining lease or oil shale mining lease)
Clause 111 amends section 877 to provide for what is excluded land for an
authority to prospect (ATP), converted on 31 December 2004 [which is the
commencement date of the Petroleum and Gas (Production and Safety) Act
2004] from an ATP administered under the Petroleum Act 1923 to an ATP
administered under the Petroleum and Gas (Production and Safety) Act
2004.
Prior to this amendment, land that was in a coal or oil shale mining
tenement (that is, a coal or oil shale exploration permit or a coal or oil shale
mining lease) and also in any notional sub-block of an ATP administered
under the Petroleum Act 1923 at the time of its conversion, did not form
part of the converted ATP and was taken to be excluded land for the ATP.
The amendments to section 877 of the Petroleum and Gas (Production and
Safety) Act 2004 and its transitional provision now provide that only land
that was in a coal or oil shale mining lease, and also in any notional
sub-block of ATP administered under the Petroleum Act 1923 at the time of
its conversion, does not form part of the converted ATP and is taken to be
excluded land for the ATP.
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Mines and Energy Legislation Amendment Bill 2008
Insertion of new ch 15, pt 3, div 5, sdiv 3
Clause 112 inserts a new chapter 15, part 3, division 5, subdivision 3.
Subdivision 3 Conversion provision inserted under
Mines and Energy Legislation
Amendment Act 2008 for PL 200
901A Application of sdivs 1 and 2
Clause 112 inserts new section 901A, which provides that chapter 15, part
3, division 5, subdivision 3 applies as if the amendment inserting section
901A under the Mines and Energy Legislation Amendment Act 2008 had
commenced on 31 December 2004. This clause also provides that the
petroleum lease numbered 200 is a converted lease that is to be
administered under the provisions of the Petroleum and Gas (Production
and Safety) Act 2004.
Although this petroleum lease was granted pursuant to the Petroleum Act
1923 this lease should have been converted to a petroleum lease under the
Petroleum and Gas (Production and Safety) Act 2004 on its
commencement day of 31 December 2004, similar to how the petroleum
leases detailed in section 893 of the Petroleum and Gas (Production and
Safety) Act 2004 were converted.
Amendment of s 903 (Applications for CSG-related 1923 Act
ATPs)
Clause 113 corrects a typographical error. The wording in section
903(1)(b) is amended, as it refers to a `mining tenement' which includes
coal exploration tenement or an oil shale exploration tenement, and
subsection (1)(a) has already referred to these tenements. Further, chapter
3, part 3, division 2 or 3 relates only to a coal or oil shale mining lease.
Insertion of new ch 15, pt 8
Clause 114 inserts a new chapter 15, part 8.
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Mines and Energy Legislation Amendment Bill 2008
Part 8 Transitional provision for Mines
and Energy Legislation
Amendment Act 2008
Provision for amendment of s 877
Clause 114 inserts new chapter 15, part 8, which provides that the
amendment made by the Mines and Energy Legislation Amendment Act
2008 to section 877 applies as if the amendment of that section under the
Petroleum and Other Legislation Amendment Act 2005 had never been
made.
Prior to the clause amending section 877 by the Mines and Energy
Legislation Amendment Act 2008, land that was in a coal or oil shale
mining tenement (that is, a coal or oil shale exploration permit or a coal or
oil shale mining lease) and also in any notional sub-block of an ATP
administered under the Petroleum Act 1923 at the time of its conversion,
did not form part of the converted ATP and was taken to be excluded land
for the ATP.
The amendments to section 877 of the Petroleum and Gas (Production and
Safety) Act 2004, made by the Mines and Energy Legislation Amendment
Act 2008, and this transitional provision, now provide that only land that
was in a coal or oil shale mining lease, and also in any notional sub-block
of an ATP administered under the Petroleum Act 1923 at the time of its
conversion, does not form part of the converted ATP and is taken to be
excluded land for the ATP.
It may be considered that there is a breach of a fundamental legislative
principle triggered by the clause that amends section 877 and this
transitional provision, as this is a retrospective provision. However, these
amendments are beneficial to the holder of an ATP administered under the
Petroleum Act 1923 that was converted to an ATP administered under the
Petroleum and Gas (Production and Safety) Act 2004 on 31 December
2004, and these amendments do not adversely affect the rights of any
person by their operation.
Amendment of sch 2 (Dictionary)
Clause 115 provides that the dictionary definition of "permitted dealing" is
omitted, with the definition of "dealing" inserted in its place. This will
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Mines and Energy Legislation Amendment Bill 2008
align the dictionary definition with the amendment to section 568 of the
Petroleum and Gas (Production and Safety) Act 2004, as made by the
Mines and Energy Legislation Amendment Act 2008.
Schedule Minor amendments
This schedule makes a number of minor and consequential amendments to
the Coal Mining Safety and Health Act 1999, Mineral Resources Act 1989,
Mining and Quarrying Safety and Health Act 1999 and Petroleum and Gas
(Production and Safety) Act 2004.
© State of Queensland 2008
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