Offshore Petroleum and Greenhouse Gas Storage Act 2006
- C2009C00139
Superseded | View Series
Act No. 14 of 2006 as amended, taking into account amendments up to Act No. 12 of 2009
An Act about petroleum exploration and recovery, and the injection and storage of greenhouse gas substances, in offshore areas, and for other purposes
Administered by: Resources, Energy and Tourism
Prepared 01 Apr 2009 by OLDP
Prepared 01 Apr 2009
Registered 06 Apr 2009
Start Date 01 Apr 2009
End Date 30 Jun 2009
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Collapse Volume 1Volume 1
Chapter 1—Introduction
Expand Part 1.1—Legislative formalities and backgroundPart 1.1—Legislative formalities and background
Expand Part 1.2—InterpretationPart 1.2—Interpretation
Expand Part 1.3—Joint Authorities and Designated AuthoritiesPart 1.3—Joint Authorities and Designated Authorities
Expand Part 1.4—Application of State and Territory laws in offshore areasPart 1.4—Application of State and Territory laws in offshore areas
Chapter 2—Regulation of activities relating to petroleum
Expand Part 2.1—IntroductionPart 2.1—Introduction
Expand Part 2.2—Petroleum exploration permitsPart 2.2—Petroleum exploration permits
Expand Part 2.3—Petroleum retention leasesPart 2.3—Petroleum retention leases
Expand Part 2.4—Petroleum production licencesPart 2.4—Petroleum production licences
Expand Part 2.5—Infrastructure licencesPart 2.5—Infrastructure licences
Expand Part 2.6—Pipeline licencesPart 2.6—Pipeline licences
Expand Part 2.7—Petroleum special prospecting authoritiesPart 2.7—Petroleum special prospecting authorities
Expand Part 2.8—Petroleum access authoritiesPart 2.8—Petroleum access authorities
Expand Part 2.9—Petroleum scientific investigation consentsPart 2.9—Petroleum scientific investigation consents
Expand Part 2.10—Standard proceduresPart 2.10—Standard procedures
Expand Part 2.11—Variation, suspension and exemptionPart 2.11—Variation, suspension and exemption
Expand Part 2.12—Surrender of titlesPart 2.12—Surrender of titles
Expand Part 2.13—Cancellation of titlesPart 2.13—Cancellation of titles
Expand Part 2.14—Other provisionsPart 2.14—Other provisions
Chapter 3—Regulation of activities relating to injection and storage of greenhouse gas substances
Expand Part 3.1—IntroductionPart 3.1—Introduction
Expand Part 3.2—Greenhouse gas assessment permitsPart 3.2—Greenhouse gas assessment permits
Expand Part 3.3—Greenhouse gas holding leasesPart 3.3—Greenhouse gas holding leases
Expand Part 3.4—Greenhouse gas injection licencesPart 3.4—Greenhouse gas injection licences
Expand Part 3.5—Greenhouse gas search authoritiesPart 3.5—Greenhouse gas search authorities
Expand Part 3.6—Greenhouse gas special authoritiesPart 3.6—Greenhouse gas special authorities
Expand Part 3.7—Greenhouse gas research consentsPart 3.7—Greenhouse gas research consents
Expand Part 3.8—Standard proceduresPart 3.8—Standard procedures
Expand Part 3.9—Variation, suspension and exemptionPart 3.9—Variation, suspension and exemption
Expand Part 3.10—Surrender of titlesPart 3.10—Surrender of titles
Expand Part 3.11—Cancellation of titlesPart 3.11—Cancellation of titles
Expand Part 3.12—Other provisionsPart 3.12—Other provisions
Chapter 4—Registration of transfers of, and dealings in, petroleum titles
Expand Part 4.1—IntroductionPart 4.1—Introduction
Expand Part 4.2—Register of titles and petroleum special prospecting authoritiesPart 4.2—Register of titles and petroleum special prospecting authorities
Expand Part 4.3—Transfer of titlesPart 4.3—Transfer of titles
Expand Part 4.4—Devolution of titlePart 4.4—Devolution of title
Expand Part 4.5—Change in name of companyPart 4.5—Change in name of company
Expand Part 4.6—Dealings relating to existing titlesPart 4.6—Dealings relating to existing titles
Expand Part 4.7—Dealings in future interestsPart 4.7—Dealings in future interests
Expand Part 4.8—Correction and rectification of RegisterPart 4.8—Correction and rectification of Register
Expand Part 4.9—Information‑gathering powersPart 4.9—Information‑gathering powers
Expand Part 4.10—Other provisionsPart 4.10—Other provisions
Chapter 5—Registration of transfers of, and dealings in, greenhouse gas titles
Expand Part 5.1—IntroductionPart 5.1—Introduction
Expand Part 5.2—Register of titles and greenhouse gas search authoritiesPart 5.2—Register of titles and greenhouse gas search authorities
Expand Part 5.3—Transfer of titlesPart 5.3—Transfer of titles
Expand Part 5.4—Devolution of titlePart 5.4—Devolution of title
Expand Part 5.5—Change in name of companyPart 5.5—Change in name of company
Expand Part 5.6—Dealings relating to existing titlesPart 5.6—Dealings relating to existing titles
Expand Part 5.7—Dealings in future interestsPart 5.7—Dealings in future interests
Expand Part 5.8—Correction and rectification of RegisterPart 5.8—Correction and rectification of Register
Expand Part 5.9—Information‑gathering powersPart 5.9—Information‑gathering powers
Expand Part 5.10—Other provisionsPart 5.10—Other provisions
Chapter 6—Administration
Expand Part 6.1—OperationsPart 6.1—Operations
Expand Part 6.2—Directions relating to petroleumPart 6.2—Directions relating to petroleum
Expand Part 6.3—Directions relating to greenhouse gasPart 6.3—Directions relating to greenhouse gas
Expand Part 6.4—Restoration of the environmentPart 6.4—Restoration of the environment
Expand Part 6.5—Offences and enforcementPart 6.5—Offences and enforcement
Expand Part 6.6—Safety zones and the area to be avoidedPart 6.6—Safety zones and the area to be avoided
Expand Part 6.7—Collection of fees and royaltiesPart 6.7—Collection of fees and royalties
Expand Part 6.8—Occupational health and safetyPart 6.8—Occupational health and safety
Expand Part 6.9—National Offshore Petroleum Safety AuthorityPart 6.9—National Offshore Petroleum Safety Authority
Chapter 7—Information relating to petroleum
Expand Part 7.1—Data management and gathering of informationPart 7.1—Data management and gathering of information
Expand Part 7.2—Release of regulatory informationPart 7.2—Release of regulatory information
Expand Part 7.3—Release of technical informationPart 7.3—Release of technical information
Chapter 8—Information relating to greenhouse gas
Expand Part 8.1—Data management and gathering of informationPart 8.1—Data management and gathering of information
Expand Part 8.2—Release of regulatory informationPart 8.2—Release of regulatory information
Expand Part 8.3—Release of technical informationPart 8.3—Release of technical information
Chapter 9—Miscellaneous
Expand Part 9.1—Reconsideration and review of decisionsPart 9.1—Reconsideration and review of decisions
Expand Part 9.2—Expert advisory committeesPart 9.2—Expert advisory committees
Expand Part 9.3—Information relevant to the making of designated agreementsPart 9.3—Information relevant to the making of designated agreements
Expand Part 9.4—Liability for acts and omissionsPart 9.4—Liability for acts and omissions
Expand Part 9.5—Jurisdiction of courtsPart 9.5—Jurisdiction of courts
Expand Part 9.6—Service of documentsPart 9.6—Service of documents
Expand Part 9.7—Publication in GazettePart 9.7—Publication in Gazette
Expand Part 9.8—Delegation by responsible Commonwealth MinisterPart 9.8—Delegation by responsible Commonwealth Minister
Expand Part 9.9—Public interestPart 9.9—Public interest
Expand Part 9.10—Compensation for acquisition of propertyPart 9.10—Compensation for acquisition of property
Expand Part 9.11—RegulationsPart 9.11—Regulations
Expand Part 9.12—Transitional provisionsPart 9.12—Transitional provisions
Expand Volume 2Volume 2

Offshore Petroleum and Greenhouse Gas Storage Act 2006

Act No. 14 of 2006 as amended

This compilation was prepared on 1 April 2009
taking into account amendments up to Act No. 12 of 2009

Volume 1 includes:       Table of Contents
                                    Chapters 1–9 (ss. 1–791)

The text of any of those amendments not in force
on that date is appended in the Notes section

The operation of amendments that have been incorporated may be
affected by application provisions that are set out in the Notes section

Volume 2 includes:       Table of Contents
                                    Schedules 1–7
                                    Note 1
                                    Table of Acts
                                    Act Notes
                                    Table of Amendments
                                    Repeal Table
                                    Table A
                                    Renumbering Table

Prepared by the Office of Legislative Drafting and Publishing,
Attorney‑General’s Department, Canberra

  

  

  


Contents

Chapter 1—Introduction                                                                                                     1

Part 1.1—Legislative formalities and background                                               1

1............ Short title [see Note 1]....................................................................... 1

2............ Commencement.................................................................................. 1

3............ Object................................................................................................. 2

4............ Simplified outline................................................................................ 2

5............ Commonwealth‑State agreement (the Offshore Constitutional Settlement)            5

6............ Simplified maps.................................................................................. 7

Part 1.2—Interpretation                                                                                                    11

Division 1—General                                                                                                    11

7............ Definitions........................................................................................ 11

8............ Offshore areas of the States and Territories..................................... 34

9............ Spaces above and below offshore areas............................................ 38

10.......... Term of titles.................................................................................... 38

11.......... Renewal of titles............................................................................... 40

12.......... Variation of titles.............................................................................. 42

13.......... Tied titles.......................................................................................... 42

14.......... Vacated area...................................................................................... 43

15.......... Infrastructure facilities...................................................................... 45

16.......... Terminal station................................................................................ 46

17.......... Terminal point.................................................................................. 47

18.......... Declared greenhouse gas facility....................................................... 47

19.......... Extended meaning of explore............................................................ 47

20.......... Potential greenhouse gas storage formation...................................... 49

21.......... Eligible greenhouse gas storage formation......................................... 49

22.......... Potential greenhouse gas injection site.............................................. 52

23.......... Incidental greenhouse gas‑related substance..................................... 52

24.......... Site plan—identified greenhouse gas storage formation................... 53

25.......... Significant risk of a significant adverse impact—approval of key petroleum operations       53

26.......... Significant risk of a significant adverse impact—grant of petroleum production licence        54

27.......... Significant risk of a significant adverse impact—approval of key greenhouse gas operations                56

28.......... Significant risk of a significant adverse impact—grant of greenhouse gas injection licence     58

29.......... Significant risk of a significant adverse impact—power of responsible Commonwealth Minister to protect petroleum.......................................................................................................... 60

30.......... Direction given by the responsible Commonwealth Minister.......... 61

31.......... Securities........................................................................................... 61

32.......... Designated agreements...................................................................... 62

33.......... Graticulation of Earth’s surface and constitution of blocks............. 63

34.......... External Territories........................................................................... 65

35.......... Application of Act........................................................................... 65

36.......... Certain pipelines provisions to apply subject to international obligations             65

Division 2—Datum provisions                                                                               67

Subdivision A—Datum for ascertaining the position of points etc.                 67

37.......... Objects.............................................................................................. 67

38.......... Definitions........................................................................................ 67

39.......... Australian Geodetic Datum.............................................................. 68

40.......... Geocentric Datum of Australia......................................................... 68

41.......... Current datum, previous datum and changeover time...................... 69

42.......... Use of current datum........................................................................ 69

43.......... Use of previous datum..................................................................... 70

44.......... Variation of titles and instruments................................................... 72

45.......... Variation of applications for titles.................................................... 73

46.......... No change to actual position of point, line or area........................... 73

47.......... Transitional regulations.................................................................... 73

48.......... International Seabed Agreements...................................................... 73

Subdivision B—Certain points etc. specified in an International Seabed Agreement to be ascertained by other means                                                                                                         73

49.......... Certain points etc. specified in an International Seabed Agreement to be ascertained by other means   73

Division 3—Apportionment of petroleum recovered from adjoining title areas               75

50.......... Title.................................................................................................. 75

51.......... Titleholder and title area................................................................... 75

52.......... Petroleum recovered through inclined well....................................... 75

53.......... Petroleum pool straddling 2 title areas etc........................................ 76

54.......... Petroleum pool straddling Commonwealth title area and State title area etc.          76

55.......... Unit development............................................................................. 77

Part 1.3—Joint Authorities and Designated Authorities                                79

Division 1—Joint Authorities                                                                                79

56.......... Joint Authorities............................................................................... 79

57.......... Functions and powers of Joint Authorities...................................... 80

58.......... Procedure of Joint Authority........................................................... 80

59.......... Decision‑making............................................................................... 81

60.......... Opinion or state of mind of Joint Authority.................................... 82

61.......... Records of decisions of Joint Authority.......................................... 82

62.......... Signing of documents........................................................................ 82

63.......... Communications with Joint Authority............................................ 82

64.......... Judicial notice of signature of member of a Joint Authority............ 83

65.......... Issue of documents, and service of notices, on behalf of Joint Authority               84

66.......... Delegation by a Joint Authority for a State or the Northern Territory.. 84

67.......... Delegation by Greater Sunrise Offshore Petroleum Joint Authority 86

68.......... Delegation by Joint Authority for an external Territory.................. 86

69.......... Greater Sunrise Offshore Petroleum Joint Authority—consultations 87

Division 2—Designated Authorities                                                                   88

70.......... Designated Authorities..................................................................... 88

71.......... Functions and powers of Designated Authorities............................ 89

72.......... Delegation by Designated Authority................................................ 90

73.......... Eastern Greater Sunrise Designated Authority—consultations....... 90

74.......... Judicial notice of signature of Designated Authority....................... 90

Division 3—Finance                                                                                                    92

75.......... Payments by the Commonwealth to Western Australia—Royalty Act payments                92

76.......... Payments by the Commonwealth to the States and the Northern Territory          94

77.......... Appropriation.................................................................................. 95

Part 1.4—Application of State and Territory laws in offshore areas       96

78.......... Simplified outline.............................................................................. 96

79.......... Meaning of laws............................................................................... 96

80.......... Application of State and Territory laws in offshore areas............... 96

81.......... Disapplication and modification of laws.......................................... 98

82.......... Limit on application of laws............................................................. 99

83.......... Inconsistent law not applied............................................................ 99

84.......... Criminal laws not applied................................................................. 99

85.......... Tax laws not applied........................................................................ 99

86.......... Appropriation law not applied........................................................ 99

87.......... Applied laws not to confer Commonwealth judicial power........... 100

88.......... Applied laws not to contravene constitutional restrictions on conferral of powers on courts               100

89.......... State or Northern Territory occupational health and safety laws do not apply in relation to facilities  100

90.......... No limits on ordinary operation of law.......................................... 103

91.......... Jurisdiction of State courts............................................................. 103

92.......... Jurisdiction of Territory courts...................................................... 103

93.......... Validation of certain acts................................................................ 103

94.......... Certain provisions not affected by this Part.................................. 104

Chapter 2—Regulation of activities relating to petroleum                         105

Part 2.1—Introduction                                                                                                      105

95.......... Simplified outline............................................................................ 105

Part 2.2—Petroleum exploration permits                                                              107

Division 1—General provisions                                                                          107

96.......... Simplified outline............................................................................ 107

97.......... Prohibition of unauthorised exploration for petroleum in offshore area  108

98.......... Rights conferred by petroleum exploration permit........................ 108

99.......... Conditions of petroleum exploration permits................................ 109

100........ Declared petroleum exploration permit—approval by responsible Commonwealth Minister of key petroleum operations....................................................................................... 111

101........ Declared petroleum exploration permits........................................ 114

102........ Duration of petroleum exploration permit..................................... 116

103........ Extension of petroleum exploration permit if permittee applies for petroleum retention lease or petroleum production licence............................................................................................. 117

Division 2—Obtaining a work‑bid petroleum exploration permit    119

104........ Application for work‑bid petroleum exploration permit—advertising of blocks    119

105........ Grant of work‑bid petroleum exploration permit—offer document 120

106........ Ranking of multiple applicants for work‑bid petroleum exploration permit           121

107........ Grant of work‑bid petroleum exploration permit........................... 123

108........ Withdrawal of application.............................................................. 123

109........ Effect of withdrawal or lapse of application.................................. 124

Division 3—Obtaining a cash‑bid petroleum exploration permit      126

110........ Application for cash‑bid petroleum exploration permit................. 126

111........ Grant of cash‑bid petroleum exploration permit—only one application                127

112........ Grant of cash‑bid petroleum exploration permit—2 or more applications             128

113........ Grant of cash‑bid petroleum exploration permit............................ 130

114........ Extension of cash‑bid petroleum exploration permit...................... 131

Division 4—Obtaining a special petroleum exploration permit over a surrendered block or certain other blocks                                                                                                      133

115........ Application for a special petroleum exploration permit over a surrendered block or certain other blocks             133

116........ Grant of special petroleum exploration permit—only one application.. 135

117........ Grant of special petroleum exploration permit—2 or more applications                135

118........ Grant of special petroleum exploration permit.............................. 138

Division 5—Renewal of petroleum exploration permits                        139

119........ Application for renewal of petroleum exploration permit............. 139

120........ Non‑renewable cash‑bid petroleum exploration permits................ 140

121........ Limit on renewal of cash‑bid petroleum exploration permits......... 140

122........ Limits on renewal of work‑bid petroleum exploration permits and special petroleum exploration permits           140

123........ Standard halving rules..................................................................... 142

124........ Modified halving rules.................................................................... 144

125........ Renewal of petroleum exploration permit—offer document.......... 144

126........ Refusal to renew petroleum exploration permit............................. 145

127........ Renewal of petroleum exploration permit...................................... 146

Division 6—Locations                                                                                              147

128........ Simplified outline............................................................................ 147

129........ Nomination of blocks as a location................................................. 147

130........ Requirement to nominate blocks as a location................................ 148

131........ Declaration of location.................................................................... 149

132........ Revocation of declaration............................................................... 150

133........ Variation of declaration................................................................... 152

Part 2.3—Petroleum retention leases                                                                      154

Division 1—General provisions                                                                          154

134........ Simplified outline............................................................................ 154

135........ Rights conferred by petroleum retention lease............................... 154

136........ Conditions of petroleum retention leases....................................... 155

137........ Declared petroleum retention lease—approval by responsible Commonwealth Minister of key petroleum operations........................................................................................................ 158

138........ Declared petroleum retention leases............................................... 161

139........ Duration of petroleum retention lease............................................ 162

140........ Extension of petroleum retention lease if lessee applies for petroleum production licence    162

Division 2—Obtaining a petroleum retention lease                                 164

Subdivision A—Application for petroleum retention lease by the holder of a petroleum exploration permit                164

141........ Application for petroleum retention lease by the holder of a petroleum exploration permit  164

142........ Grant of petroleum retention lease—offer document..................... 165

143........ Refusal to grant petroleum retention lease..................................... 165

144........ Grant of petroleum retention lease................................................. 166

145........ Petroleum exploration permit ceases to be in force when petroleum retention lease comes into force   166

146........ Petroleum exploration permit transferred—transferee to be treated as applicant   166

Subdivision B—Application for petroleum retention lease by the holder of a life‑of‑field petroleum production licence                                                                                                       167

147........ Application for petroleum retention lease by the holder of a life‑of‑field petroleum production licence               167

148........ Grant of petroleum retention lease—offer document..................... 168

149........ Refusal to grant petroleum retention lease..................................... 168

150........ Grant of petroleum retention lease................................................. 169

151........ Petroleum production licence ceases to be in force when petroleum retention lease comes into force   169

152........ Petroleum production licence transferred—transferee to be treated as applicant   169

Division 3—Renewal of petroleum retention leases                               171

153........ Application for renewal of petroleum retention lease.................... 171

154........ Renewal of petroleum retention lease—offer document................ 172

155........ Refusal to renew petroleum retention lease.................................... 173

156........ Renewal of petroleum retention lease............................................. 175

Division 4—Revocation of petroleum retention leases                         177

157........ Notice of proposal to revoke petroleum retention lease................ 177

158........ Revocation of petroleum retention lease........................................ 178

Part 2.4—Petroleum production licences                                                               180

Division 1—General provisions                                                                          180

159........ Simplified outline............................................................................ 180

160........ Prohibition of unauthorised recovery of petroleum in offshore area 181

161........ Rights conferred by petroleum production licence......................... 181

162........ Conditions of petroleum production licences................................. 182

163........ Declared petroleum production licence—approval by responsible Commonwealth Minister of key petroleum operations....................................................................................... 185

164........ Declared petroleum production licences......................................... 188

165........ Duration of petroleum production licence...................................... 189

166........ Termination of life‑of‑field petroleum production licence if no recovery operations for 5 years           191

167........ Petroleum production licences to which the Royalty Act applies. 192

Division 2—Obtaining a petroleum production licence as a result of an application made by a petroleum exploration permittee or a petroleum retention lessee 193

168........ Application for petroleum production licence by permittee.......... 193

169........ Application period......................................................................... 194

170........ Application for petroleum production licence by lessee................ 195

171........ Offer document............................................................................... 196

172........ Consultation—Greater Sunrise unit reservoir petroleum production licence          198

173........ Refusal to grant petroleum production licence............................... 199

174........ Joint Authority may defer taking action on application for petroleum production licence if there is a pending application for a greenhouse gas assessment permit...................... 203

175........ Grant of petroleum production licence........................................... 204

176........ Petroleum exploration permit or petroleum retention lease ceases to be in force when petroleum production licence comes into force.............................................................................. 204

177........ Petroleum exploration permit or petroleum retention lease transferred—transferee to be treated as applicant     204

Division 3—Obtaining a cash‑bid petroleum production licence over a surrendered block or similar block                                                                                                        206

178........ Application for cash‑bid petroleum production licence over surrendered blocks or similar blocks        206

179........ Grant of cash‑bid petroleum production licence—only one application 207

180........ Grant of cash‑bid petroleum production licence—2 or more applications              208

181........ Grant of cash‑bid petroleum production licence............................ 210

Division 4—Obtaining petroleum production licences over individual blocks  212

182........ Applications for petroleum production licences over individual blocks 212

183........ Grant of petroleum production licences over individual blocks..... 212

Division 5—Renewal of fixed‑term petroleum production licences 214

184........ Application for renewal of fixed‑term petroleum production licence 214

185........ Renewal of fixed‑term petroleum production licence—offer document  215

186........ Refusal to renew fixed‑term petroleum production licence............ 217

187........ Renewal of fixed‑term petroleum production licence..................... 218

Division 6—What happens if a block is not taken up                              219

188........ Revocation of petroleum exploration permit or petroleum retention lease to the extent to which it relates to a block not taken up.......................................................................................... 219

Division 7—Petroleum field development                                                    221

Subdivision A—Directions about the recovery of petroleum                          221

189........ Direction to recover petroleum....................................................... 221

190........ Directions about the rate of recovery of petroleum....................... 221

Subdivision B—Unit development                                                                         222

191........ Unit development........................................................................... 222

Part 2.5—Infrastructure licences                                                                               227

Division 1—General provisions                                                                          227

192........ Simplified outline............................................................................ 227

193........ Prohibition of unauthorised construction or operation of an infrastructure facility in an offshore area 227

194........ Rights conferred by an infrastructure licence................................. 228

195........ Conditions of infrastructure licences.............................................. 228

196........ Duration of infrastructure licence................................................... 229

197........ Termination of infrastructure licence if no operations for 5 years. 229

Division 2—Obtaining an infrastructure licence                                        231

198........ Application for infrastructure licence............................................. 231

199........ Grant of infrastructure licence—offer document............................ 231

200........ Refusal to grant infrastructure licence............................................ 231

201........ Grant of infrastructure licence........................................................ 232

202........ Consultation with petroleum titleholders—grant of infrastructure licence             232

203........ Consultation with greenhouse gas titleholders—grant of infrastructure licence      234

Division 3—Varying an infrastructure licence                                             236

204........ Application for variation of infrastructure licence......................... 236

205........ Variation of infrastructure licence................................................... 236

206........ Consultation with petroleum titleholders—variation of infrastructure licence       237

207........ Consultation with greenhouse gas titleholders—variation of infrastructure licence                238

Division 4—Directions by responsible Commonwealth Minister    241

208........ Directions by responsible Commonwealth Minister..................... 241

Part 2.6—Pipeline licences                                                                                            242

Division 1—General provisions                                                                          242

209........ Simplified outline............................................................................ 242

210........ Prohibition of unauthorised construction or operation of a pipeline in an offshore area        242

211........ Rights conferred by pipeline licence............................................... 244

212........ Conditions of pipeline licences....................................................... 245

213........ Approval by Joint Authority of greenhouse gas substance to be conveyed in a pipeline      246

214........ Duration of pipeline licence............................................................ 247

215........ Termination of pipeline licence if no operations for 5 years.......... 248

216........ Alteration or removal of pipeline constructed in breach of this Act 249

Division 2—Obtaining a pipeline licence                                                       251

217........ Application for pipeline licence..................................................... 251

218........ Rights of petroleum production licensees following application for petroleum‑related pipeline licences by other persons........................................................................................... 252

219........ Rights of petroleum production licensees following application for greenhouse gas‑related pipeline licences by other persons........................................................................................... 253

220........ Rights of greenhouse gas injection licensees following application for greenhouse gas‑related pipeline licences by other persons........................................................................................... 254

221........ Grant of petroleum‑related pipeline licence—offer document....... 255

222........ Grant of greenhouse gas‑related pipeline licence—offer document 257

223........ Refusal to grant petroleum‑related pipeline licence........................ 262

224........ Refusal to grant greenhouse gas‑related pipeline licence................ 263

225........ Grant of pipeline licence................................................................. 266

Division 3—Varying a pipeline licence                                                            267

226........ Variation of pipeline licence on application by licensee................. 267

227........ Variation of pipeline licence at the request of a Minister or a statutory body        268

Division 4—Pipeline operation                                                                            270

228........ Ceasing to operate pipeline without consent................................. 270

Part 2.7—Petroleum special prospecting authorities                                      271

Division 1—General provisions                                                                          271

229........ Simplified outline............................................................................ 271

230........ Rights conferred by petroleum special prospecting authority....... 271

231........ Conditions of petroleum special prospecting authorities............... 272

232........ Duration of petroleum special prospecting authority.................... 272

233........ Petroleum special prospecting authority cannot be transferred..... 272

Division 2—Obtaining a petroleum special prospecting authority   273

234........ Application for petroleum special prospecting authority.............. 273

235........ Grant or refusal of petroleum special prospecting authority......... 273

236........ Holders to be informed of the grant of another petroleum special prospecting authority      274

237........ Holders to be informed of the grant of greenhouse gas search authority 274

Part 2.8—Petroleum access authorities                                                                 276

Division 1—General provisions                                                                          276

238........ Simplified outline............................................................................ 276

239........ Rights conferred by petroleum access authority............................ 276

240........ Conditions of petroleum access authorities.................................... 276

241........ Duration of petroleum access authority......................................... 277

Division 2—Obtaining a petroleum access authority                              278

242........ Application for petroleum access authority................................... 278

243........ Grant or refusal of petroleum access authority.............................. 279

244........ Consultation—grant of petroleum access authority in same offshore area             280

245........ Consultation—approval of grant of petroleum access authority in adjoining offshore area   281

Division 3—Variation of petroleum access authorities                          283

246........ Variation of petroleum access authority......................................... 283

247........ Consultation—variation of petroleum access authority in same offshore area       283

248........ Consultation—approval of variation of petroleum access authority in adjoining offshore area             284

Division 4—Reporting obligations of holders of petroleum access authorities                286

249........ Reporting obligations of holders of petroleum access authorities.. 286

Division 5—Revocation of petroleum access authorities                     287

250........ Revocation of petroleum access authority..................................... 287

Part 2.9—Petroleum scientific investigation consents                                   288

251........ Simplified outline............................................................................ 288

252........ Rights conferred by petroleum scientific investigation consent..... 288

253........ Conditions of petroleum scientific investigation consents............. 288

254........ Grant of petroleum scientific investigation consent....................... 288

Part 2.10—Standard procedures                                                                                290

255........ Application to be made in an approved manner............................. 290

256........ Application fee............................................................................... 290

257........ Application may set out additional matters................................... 291

258........ Designated Authority may require further information................. 292

259........ Offer documents............................................................................. 294

260........ Acceptance of offer—request by applicant................................... 295

261........ Acceptance of offer—payment...................................................... 299

262........ Consultation—adverse decisions.................................................... 299

263........ Responsible Commonwealth Minister may require information about negotiations for a designated agreement   301

Part 2.11—Variation, suspension and exemption                                             303

Division 1—Variation, suspension and exemption decisions relating to petroleum exploration permits, petroleum retention leases, petroleum production licences, infrastructure licences and pipeline licences                                                                                303

264........ Variation, suspension and exemption—conditions of titles........... 303

265........ Extension of term of petroleum exploration permit or petroleum retention lease—suspension or exemption       305

266........ Suspension of rights—petroleum exploration permit or petroleum retention lease                306

267........ Extension of term of petroleum exploration permit or petroleum retention lease—suspension of rights               306

Division 2—Variation, suspension and exemption decisions relating to petroleum special prospecting authorities and petroleum access authorities                    308

268........ Variation, suspension and exemption—conditions of petroleum special prospecting authorities and petroleum access authorities....................................................................................... 308

Part 2.12—Surrender of titles                                                                                      310

Division 1—Surrender of petroleum exploration permits, petroleum production licences, petroleum retention leases, infrastructure licences and pipeline licences       310

269........ Application for consent to surrender title...................................... 310

270........ Consent to surrender title............................................................... 310

271........ Surrender of title............................................................................. 313

Division 2—Surrender of petroleum special prospecting authorities and petroleum access authorities                                                                                                                    315

272........ Surrender of petroleum special prospecting authority................... 315

273........ Surrender of petroleum access authority........................................ 315

Part 2.13—Cancellation of titles                                                                                 316

Division 1—Cancellation of petroleum exploration permits, petroleum production licences, petroleum retention leases, infrastructure licences and pipeline licences       316

274........ Grounds for cancellation of title..................................................... 316

275........ Cancellation of title......................................................................... 317

276........ Consultation................................................................................... 317

277........ Cancellation of title not affected by other provisions.................... 318

Division 2—Cancellation of petroleum special prospecting authorities                321

278........ Cancellation of petroleum special prospecting authority............... 321

Part 2.14—Other provisions                                                                                         322

279........ Reservation of blocks..................................................................... 322

280........ Interference with other rights......................................................... 323

281........ No conditions about payment of money........................................ 324

282........ Certain portions of blocks to be blocks.......................................... 324

283........ Changes to the boundary of the coastal waters of a State or Territory 326

284........ Notification of discovery of petroleum in petroleum exploration permit area or petroleum retention lease area   327

285........ Property in petroleum not recovered from a Greater Sunrise unit reservoir           328

286........ Property in petroleum recovered from a Greater Sunrise unit reservoir  329

Chapter 3—Regulation of activities relating to injection and storage of greenhouse gas substances       331

Part 3.1—Introduction                                                                                                      331

287........ Simplified outline............................................................................ 331

Part 3.2—Greenhouse gas assessment permits                                                333

Division 1—General provisions                                                                          333

288........ Simplified outline............................................................................ 333

289........ Prohibition of unauthorised exploration for potential greenhouse gas storage formation, or potential greenhouse gas injection site, in offshore area......................................................... 334

290........ Rights conferred by greenhouse gas assessment permit................. 334

291........ Conditions of greenhouse gas assessment permits......................... 335

292........ Approval by responsible Commonwealth Minister of key greenhouse gas operations          337

293........ Duration of greenhouse gas assessment permit.............................. 340

294........ Extension of greenhouse gas assessment permit if permittee applies for a declaration of an identified greenhouse gas storage formation............................................................................ 342

295........ Extension of greenhouse gas assessment permit if permittee applies for a greenhouse gas holding lease or greenhouse gas injection licence......................................................................... 342

Division 2—Obtaining a work‑bid greenhouse gas assessment permit                344

296........ Application for work‑bid greenhouse gas assessment permit—advertising of blocks            344

297........ Retention lessee or production licensee to be notified of proposal to advertise blocks          345

298........ Grant of work‑bid greenhouse gas assessment permit—offer document                346

299........ Ranking of multiple applicants for work‑bid greenhouse gas assessment permit   347

300........ Grant of work‑bid greenhouse gas assessment permit................... 349

301........ Withdrawal of application.............................................................. 350

302........ Effect of withdrawal or lapse of application.................................. 351

Division 3—Obtaining a cash‑bid greenhouse gas assessment permit 353

303........ Application for cash‑bid greenhouse gas assessment permit......... 353

304........ Retention lessee or production licensee to be notified of proposal to advertise blocks          354

305........ Grant of cash‑bid greenhouse gas assessment permit—only one application         355

306........ Grant of cash‑bid greenhouse gas assessment permit—2 or more applications      356

307........ Grant of cash‑bid greenhouse gas assessment permit..................... 358

Division 4—Renewal of greenhouse gas assessment permits           360

308........ Application for renewal of greenhouse gas assessment permit...... 360

309........ Renewal of greenhouse gas assessment permit—offer document.. 361

310........ Refusal to renew greenhouse gas assessment permit...................... 364

311........ Renewal of greenhouse gas assessment permit............................... 365

Division 5—Declaration of identified greenhouse gas storage formation            367

312........ Declaration of identified greenhouse gas storage formation............ 367

313........ Variation of declaration of identified greenhouse gas storage formation  370

314........ Revocation of declaration of identified greenhouse gas storage formation               372

315........ Register of Identified Greenhouse Gas Storage Formations........... 373

Division 6—Directions                                                                                             374

316........ Responsible Commonwealth Minister may give directions to greenhouse gas assessment permittees  374

317........ Compliance with directions............................................................ 375

Part 3.3—Greenhouse gas holding leases                                                            376

Division 1—General provisions                                                                          376

318........ Simplified outline............................................................................ 376

319........ Rights conferred by greenhouse gas holding lease.......................... 377

320........ Conditions of greenhouse gas holding leases.................................. 378

321........ Approval by responsible Commonwealth Minister of key greenhouse gas operations          379

322........ Duration of greenhouse gas holding lease....................................... 383

323........ Extension of greenhouse gas holding lease if lessee applies for a special greenhouse gas holding lease or greenhouse gas injection licence............................................................................... 383

Division 2—Obtaining a greenhouse gas holding lease                         386

Subdivision A—Application for greenhouse gas holding lease by the holder of a greenhouse gas assessment permit                                                                                                       386

324........ Application for greenhouse gas holding lease by the holder of a greenhouse gas assessment permit      386

325........ Grant of greenhouse gas holding lease—offer document................ 389

326........ Refusal to grant greenhouse gas holding lease................................. 390

327........ Grant of greenhouse gas holding lease............................................ 391

328........ Greenhouse gas assessment permit ceases to be in force when greenhouse gas holding lease comes into force      391

329........ Greenhouse gas assessment permit transferred—transferee to be treated as applicant          392

Subdivision B—Application for greenhouse gas holding lease by the holder of a greenhouse gas injection licence  392

330........ Application for greenhouse gas holding lease by the holder of a greenhouse gas injection licence          392

331........ Grant of greenhouse gas holding lease—offer document................ 393

332........ Refusal to grant greenhouse gas holding lease................................. 394

333........ Grant of greenhouse gas holding lease............................................ 394

334........ Greenhouse gas injection licence ceases to be in force when greenhouse gas holding lease comes into force          395

335........ Greenhouse gas injection licence transferred—transferee to be treated as applicant               395

Subdivision C—Application for special greenhouse gas holding lease by an unsuccessful applicant for a greenhouse gas injection licence                                                                         396

336........ Application for special greenhouse gas holding lease by an unsuccessful applicant for a greenhouse gas injection licence........................................................................................................ 396

337........ Grant of special greenhouse gas holding lease—offer document.... 397

338........ Grant of special greenhouse gas holding lease................................ 398

339........ Greenhouse gas assessment permit ceases to be in force when special greenhouse gas holding lease comes into force........................................................................................................ 399

340........ Ordinary greenhouse gas holding lease ceases to be in force when special greenhouse gas holding lease comes into force........................................................................................................ 399

341........ Greenhouse gas assessment permit transfer—transferee to be treated as applicant               399

342........ Greenhouse gas holding lease transfer—transferee to be treated as applicant         400

Subdivision D—Application for greenhouse gas holding lease by the holder of a petroleum retention lease               400

343........ Application for greenhouse gas holding lease by the holder of a petroleum retention lease    400

344........ Grant of greenhouse gas holding lease—offer document................ 401

345........ Grant of greenhouse gas holding lease............................................ 402

346........ Retention lease transfer—transferee to be treated as applicant..... 402

Division 3—Renewal of greenhouse gas holding leases                       403

347........ Application for renewal of greenhouse gas holding lease............... 403

348........ Renewal of greenhouse gas holding lease—offer document............ 404

349........ Refusal to renew greenhouse gas holding lease............................... 406

350........ Renewal of greenhouse gas holding lease........................................ 408

Division 4—Directions                                                                                             409

351........ Responsible Commonwealth Minister may give directions to greenhouse gas holding lessees               409

352........ Compliance with directions............................................................ 410

Division 5—Special greenhouse gas holding lessee may be requested to apply for a greenhouse gas injection licence                                                                                 411

353........ Responsible Commonwealth Minister may request special greenhouse gas holding lessee to apply for a greenhouse gas injection licence............................................................................... 411

Division 6—Cancellation of certain greenhouse gas holding leases granted to the holders of petroleum retention leases                                                                                 412

354........ Cancellation of certain greenhouse gas holding leases granted to the holders of petroleum retention leases           412

Part 3.4—Greenhouse gas injection licences                                                      413

Division 1—General provisions                                                                          413

355........ Simplified outline............................................................................ 413

356........ Prohibition of unauthorised injection and storage of substances in offshore area   414

357........ Rights conferred by greenhouse gas injection licence..................... 414

358........ Conditions of greenhouse gas injection licences............................. 416

359........ Duration of greenhouse gas injection licence.................................. 419

360........ Termination of greenhouse gas injection licence if no injection operations for 5 years           420

Division 2—Obtaining a greenhouse gas injection licence                  422

Subdivision A—Application for greenhouse gas injection licence by the holder of a greenhouse gas assessment permit or greenhouse gas holding lease                                            422

361........ Application for greenhouse gas injection licence by greenhouse gas assessment permittee or greenhouse gas holding lessee............................................................................................... 422

362........ Offer document............................................................................... 425

363........ Refusal to grant greenhouse gas injection licence............................ 433

364........ Grant of greenhouse gas injection licence....................................... 433

365........ Deferral of decision to grant greenhouse gas injection licence—pending application for post‑commencement petroleum exploration permit.......................................................................... 434

366........ Greenhouse gas assessment permit or greenhouse gas holding lease ceases to be in force when greenhouse gas injection licence comes into force.................................................................. 434

367........ Greenhouse gas assessment permit transfer—transferee to be treated as applicant               435

368........ Greenhouse gas holding lease transfer—transferee to be treated as applicant         435

Subdivision B—Application for greenhouse gas injection licence by the holder of a petroleum production licence   436

369........ Application for greenhouse gas injection licence by the holder of a petroleum production licence        436

370........ Grant of greenhouse gas injection licence—offer document........... 440

371........ Refusal to grant greenhouse gas injection licence............................ 442

372........ Grant of greenhouse gas injection licence....................................... 443

373........ Petroleum production licence transferred—transferee to be treated as applicant   443

Division 3—Variations                                                                                             445

374........ Variation of matters specified in greenhouse gas injection licence—general            445

375........ Variation of matters specified in greenhouse gas injection licence—declaration of identified greenhouse gas storage formation varied.............................................................................. 446

Division 4—Directions                                                                                             447

376........ Responsible Commonwealth Minister may give greenhouse gas injection licensee directions to protect geological formations containing petroleum pools etc.................................... 447

377........ Consultation—directions to do something outside the licence area 449

378........ Compliance with directions............................................................ 450

Division 5—Dealing with serious situations                                                 452

379........ Serious situation............................................................................. 452

380........ Powers of responsible Commonwealth Minister to deal with serious situations   454

381........ Consultation—directions to do something outside the licence area 456

382........ Compliance with directions............................................................ 458

Division 6—Protection of petroleum discovered in the title area of a pre‑commencement petroleum title                                                                                                                    459

383........ Powers of responsible Commonwealth Minister to protect petroleum discovered in the title area of a pre‑commencement petroleum title................................................ 459

384........ Consultation—directions to do something outside the licence area 464

385........ Compliance with directions............................................................ 466

Division 7—Site closing certificates                                                                 467

386........ Application for site closing certificate............................................ 467

387........ Variation of application for site closing certificate......................... 470

388........ Issue of site closing certificate—pre‑certificate notice................... 471

389........ Acknowledgement of receipt of application for site closing certificate 473

390........ Refusal to give pre‑certificate notice.............................................. 473

391........ Pre‑certificate notice—security etc................................................ 474

392........ Issue of site closing certificate........................................................ 475

393........ Greenhouse gas injection licence transferred—transferee to be treated as applicant               475

394........ Duration of site closing certificate.................................................. 476

395........ Transfer of site closing certificate................................................... 476

396........ Transfer of securities...................................................................... 476

397........ Discharge of securities.................................................................... 477

398........ Recovery of the Commonwealth’s costs and expenses.................. 477

Division 8—Long‑term liabilities                                                                       478

399........ Closure assurance period................................................................ 478

400........ Indemnity—long‑term liability....................................................... 479

401........ Commonwealth to assume long‑term liability if licensee has ceased to exist          479

Part 3.5—Greenhouse gas search authorities                                                    481

Division 1—General provisions                                                                          481

402........ Simplified outline............................................................................ 481

403........ Rights conferred by greenhouse gas search authority..................... 482

404........ Conditions of greenhouse gas search authorities............................ 482

405........ Duration of greenhouse gas search authority.................................. 482

406........ Greenhouse gas search authority cannot be transferred................. 483

Division 2—Obtaining a greenhouse gas search authority                  484

407........ Application for greenhouse gas search authority........................... 484

408........ Grant or refusal of greenhouse gas search authority....................... 484

409........ Holders to be informed of the grant of another greenhouse gas search authority    485

410........ Holders to be informed of the grant of a petroleum special prospecting authority 485

Part 3.6—Greenhouse gas special authorities                                                   487

Division 1—General provisions                                                                          487

411........ Simplified outline............................................................................ 487

412........ Rights conferred by greenhouse gas special authority.................... 487

413........ Conditions of greenhouse gas special authorities........................... 487

414........ Duration of greenhouse gas special authority................................. 488

Division 2—Obtaining a greenhouse gas special authority                  489

415........ Application for greenhouse gas special authority.......................... 489

416........ Grant or refusal of greenhouse gas special authority...................... 490

417........ Consultation—grant of greenhouse gas special authority.............. 491

Division 3—Variation of greenhouse gas special authorities              493

418........ Variation of greenhouse gas special authority................................ 493

419........ Consultation—variation of greenhouse gas special authority........ 493

Division 4—Reporting obligations of holders of greenhouse gas special authorities    495

420........ Reporting obligations of holders of greenhouse gas special authorities 495

Division 5—Revocation of greenhouse gas special authorities         496

421........ Revocation of greenhouse gas special authority............................. 496

Part 3.7—Greenhouse gas research consents                                                    497

422........ Simplified outline............................................................................ 497

423........ Rights conferred by greenhouse gas research consent.................... 497

424........ Conditions of greenhouse gas research consents............................ 498

425........ Grant of greenhouse gas research consent...................................... 498

Part 3.8—Standard procedures                                                                                   499

426........ Application to be made in an approved manner............................. 499

427........ Application fee............................................................................... 499

428........ Application may set out additional matters................................... 500

429........ Responsible Commonwealth Minister may require further information 500

430........ Offer documents............................................................................. 501

431........ Acceptance of offer—request by applicant................................... 503

432........ Acceptance of offer—payment...................................................... 505

433........ Acceptance of offer—lodgment of security................................... 505

434........ Consultation—adverse decisions.................................................... 505

435........ Responsible Commonwealth Minister may require information about negotiations for a designated agreement   507

Part 3.9—Variation, suspension and exemption                                                509

Division 1—Variation, suspension and exemption decisions relating to greenhouse gas assessment permits, greenhouse gas holding leases and greenhouse gas injection licences   509

436........ Variation, suspension and exemption—conditions of titles........... 509

437........ Extension of term of greenhouse gas assessment permit or greenhouse gas holding lease—suspension or exemption........................................................................................................ 511

438........ Suspension of rights—greenhouse gas assessment permit or greenhouse gas holding lease    512

439........ Extension of term of greenhouse gas assessment permit or greenhouse gas holding lease—suspension of rights   512

Division 2—Variation, suspension and exemption decisions relating to greenhouse gas search authorities and greenhouse gas special authorities       514

440........ Variation, suspension and exemption—conditions of greenhouse gas search authorities and greenhouse gas special authorities....................................................................................... 514

Part 3.10—Surrender of titles                                                                                      516

Division 1—Surrender of greenhouse gas assessment permits, greenhouse gas holding leases and greenhouse gas injection licences                                           516

441........ Application for consent to surrender title...................................... 516

442........ Consent to surrender title............................................................... 516

443........ Surrender of title............................................................................. 520

Division 2—Surrender of greenhouse gas search authorities and greenhouse gas special authorities                                                                                                                    521

444........ Surrender of greenhouse gas search authority................................. 521

445........ Surrender of greenhouse gas special authority................................ 521

Part 3.11—Cancellation of titles                                                                                 522

Division 1—Cancellation of greenhouse gas assessment permits, greenhouse gas holding leases and greenhouse gas injection licences                                           522

446........ Grounds for cancellation of title..................................................... 522

447........ Cancellation of title......................................................................... 523

448........ Consultation................................................................................... 524

449........ Cancellation of title not affected by other provisions.................... 524

Division 2—Cancellation of greenhouse gas search authorities       527

450........ Cancellation of greenhouse gas search authority............................ 527

Part 3.12—Other provisions                                                                                         528

451........ Notification of eligible greenhouse gas storage formation............... 528

452........ Notification of discovery of petroleum in greenhouse gas assessment permit area etc.          529

453........ Disposing of waste or other matter................................................ 530

454........ Additional securities etc................................................................. 531

455........ Transfer of securities...................................................................... 533

456........ Discharge of securities.................................................................... 533

457........ Approved site plans....................................................................... 533

458........ Co‑existence of greenhouse gas titles and petroleum titles............. 535

459........ Reservation of blocks..................................................................... 535

460........ Interference with other rights......................................................... 537

461........ No conditions about payment of money........................................ 538

462........ Certain portions of blocks to be blocks.......................................... 538

463........ Changes to the boundary of the coastal waters of a State or Territory 540

464........ Commonwealth may monitor the behaviour of a greenhouse gas substance stored in a part of a geological formation........................................................................................................ 541

465........ Monitoring information may be made publicly available............... 541

Chapter 4—Registration of transfers of, and dealings in, petroleum titles               542

Part 4.1—Introduction                                                                                                      542

466........ Simplified outline............................................................................ 542

467........ Definitions...................................................................................... 542

468........ Dealing—series of debentures........................................................ 543

Part 4.2—Register of titles and petroleum special prospecting authorities              544

469........ Register to be kept.......................................................................... 544

470........ Entries in Register—general............................................................ 544

471........ Entry in Register—cessation, revocation or expiry of title............ 546

Part 4.3—Transfer of titles                                                                                            547

472........ Approval and registration of transfers........................................... 547

473........ Application for approval of transfer.............................................. 547

474........ Documents to accompany application........................................... 547

475........ Application and documents to be forwarded to the responsible Commonwealth Minister    548

476........ Time limit for application............................................................... 548

477........ Date of application to be entered in Register................................. 548

478........ Approval of transfer....................................................................... 549

479........ Registration of transfer................................................................... 550

480........ Instrument of transfer does not create an interest in the title......... 550

481........ Limit on effect of approval of transfers......................................... 551

Part 4.4—Devolution of title                                                                                         552

482........ Application to have name entered on the Register as the holder of a title               552

483........ Entry of name in the Register......................................................... 552

Part 4.5—Change in name of company                                                                   553

484........ Application to have new name entered on the Register................. 553

485........ Alteration in the Register................................................................ 553

Part 4.6—Dealings relating to existing titles                                                      554

486........ Dealings to which this Part applies................................................ 554

487........ Approval and registration of dealings............................................. 555

488........ Application for approval of dealing............................................... 555

489........ Documents to accompany application........................................... 556

490........ Application and documents to be forwarded to the responsible Commonwealth Minister    557

491........ Timing of application..................................................................... 557

492........ Application date to be entered in Register..................................... 558

493........ Approval of dealing........................................................................ 558

494........ Entry of dealing in Register............................................................ 559

495........ Retention, inspection and return of instruments............................ 560

496........ Strict compliance with application provisions not required........... 561

497........ Limit on effect of approval of dealing............................................ 561

Part 4.7—Dealings in future interests                                                                     562

498........ Provisional application for approval of dealing.............................. 562

499........ Documents to accompany provisional application........................ 562

500........ Application and documents to be forwarded to the responsible Commonwealth Minister    564

501........ Timing of provisional application.................................................. 564

502........ Provisional application to be treated as an application under section 488 when title comes into existence           565

503........ Limit on approval of dealing........................................................... 565

Part 4.8—Correction and rectification of Register                                          567

504........ Corrections of clerical errors or obvious defects............................ 567

505........ General power of correction of Register......................................... 567

506........ Rectification of Register................................................................. 568

Part 4.9—Information‑gathering powers                                                               570

507........ Designated Authority may obtain information from applicants.... 570

508........ Designated Authority may obtain information from a party to an approved dealing             571

509........ Production and inspection of documents....................................... 572

510........ Designated Authority may retain documents................................. 574

Part 4.10—Other provisions                                                                                         575

511........ Designated Authority etc. not concerned with the effect of instrument lodged under this Chapter       575

512........ True consideration to be shown..................................................... 575

513........ Making a false entry in a Register.................................................. 576

514........ Falsified documents........................................................................ 576

515........ Inspection of Register and instruments.......................................... 576

516........ Evidentiary provisions................................................................... 577

517........ Assessment of fee........................................................................... 579

Chapter 5—Registration of transfers of, and dealings in, greenhouse gas titles   581

Part 5.1—Introduction                                                                                                      581

518........ Simplified outline............................................................................ 581

519........ Definitions...................................................................................... 581

520........ Dealing—series of debentures........................................................ 582

Part 5.2—Register of titles and greenhouse gas search authorities     583

521........ Register to be kept.......................................................................... 583

522........ Entries in Register—general............................................................ 583

523........ Entry in Register—cessation or expiry of title............................... 585

Part 5.3—Transfer of titles                                                                                            586

524........ Approval and registration of transfers........................................... 586

525........ Application for approval of transfer.............................................. 586

526........ Documents to accompany application........................................... 586

527........ Time limit for application............................................................... 587

528........ Date of application to be entered in Register................................. 587

529........ Approval of transfer....................................................................... 587

530........ Registration of transfer................................................................... 589

531........ Instrument of transfer does not create an interest in the title......... 590

532........ Limit on effect of approval of transfers......................................... 590

Part 5.4—Devolution of title                                                                                         591

533........ Application to have name entered on the Register as the holder of a title               591

534........ Entry of name in the Register......................................................... 591

Part 5.5—Change in name of company                                                                   592

535........ Application to have new name entered on the Register................. 592

536........ Alteration in the Register................................................................ 592

Part 5.6—Dealings relating to existing titles                                                      593

537........ Dealings to which this Part applies................................................ 593

538........ Approval and registration of dealings............................................. 594

539........ Application for approval of dealing............................................... 594

540........ Documents to accompany application........................................... 595

541........ Timing of application..................................................................... 596

542........ Application date to be entered in Register..................................... 596

543........ Approval of dealing........................................................................ 596

544........ Entry of dealing in Register............................................................ 597

545........ Retention, inspection and return of instruments............................ 598

546........ Strict compliance with application provisions not required........... 599

547........ Limit on effect of approval of dealing............................................ 599

Part 5.7—Dealings in future interests                                                                     600

548........ Provisional application for approval of dealing.............................. 600

549........ Documents to accompany provisional application........................ 600

550........ Timing of provisional application.................................................. 602

551........ Provisional application to be treated as an application under section 539 when title comes into existence           602

552........ Limit on approval of dealing........................................................... 603

Part 5.8—Correction and rectification of Register                                          604

553........ Corrections of clerical errors or obvious defects............................ 604

554........ General power of correction of Register......................................... 604

555........ Rectification of Register................................................................. 605

Part 5.9—Information‑gathering powers                                                               607

556........ Responsible Commonwealth Minister may obtain information from applicants   607

557........ Responsible Commonwealth Minister may obtain information from a party to an approved dealing   608

558........ Production and inspection of documents....................................... 609

559........ Responsible Commonwealth Minister may retain documents....... 611

Part 5.10—Other provisions                                                                                         612

560........ Responsible Commonwealth Minister not concerned with the effect of instrument lodged under this Chapter    612

561........ True consideration to be shown..................................................... 612

562........ Making a false entry in the Register............................................... 613

563........ Falsified documents........................................................................ 613

564........ Inspection of Register and instruments.......................................... 613

565........ Evidentiary provisions................................................................... 614

566........ Assessment of fee........................................................................... 616

Chapter 6—Administration                                                                                            618

Part 6.1—Operations                                                                                                        618

567........ Simplified outline............................................................................ 618

568........ Commencement of works or operations......................................... 618

569........ Work practices................................................................................ 619

570........ Work practices................................................................................ 621

571........ Insurance......................................................................................... 625

572........ Maintenance and removal of property etc. by titleholder.............. 626

Part 6.2—Directions relating to petroleum                                                          629

Division 1—Simplified outline                                                                              629

573........ Simplified outline............................................................................ 629

Division 2—General power to give directions                                            630

574........ General power to give directions.................................................... 630

575........ Notification of a direction that has an extended application.......... 632

576........ Compliance with direction.............................................................. 633

Division 3—Designated Authority may take action if there is a breach of a direction  635

577........ Designated Authority may take action if there is a breach of a direction                635

Division 4—Defence of taking reasonable steps to comply with a direction      637

578........ Defence of taking reasonable steps to comply with a direction..... 637

Part 6.3—Directions relating to greenhouse gas                                              638

Division 1—Simplified outline                                                                              638

579........ Simplified outline............................................................................ 638

Division 2—General power to give directions                                            639

580........ General power to give directions.................................................... 639

581........ Notification of a direction that has an extended application.......... 641

582........ Compliance with directions............................................................ 642

Division 3—Responsible Commonwealth Minister may take action if there is a breach of a direction                                                                                                                    644

583........ Responsible Commonwealth Minister may take action if there is a breach of a direction      644

Division 4—Defence of taking reasonable steps to comply with a direction      646

584........ Defence of taking reasonable steps to comply with a direction..... 646

Part 6.4—Restoration of the environment                                                            647

Division 1—Petroleum                                                                                             647

585........ Simplified outline............................................................................ 647

586........ Remedial directions to current holders of permits, leases and licences 647

587........ Remedial directions to former holders of permits, leases, licences and authorities etc.           650

588........ Designated Authority may take action if a direction has been breached 652

589........ Removal, disposal or sale of property by Designated Authority—breach of direction          653

590........ Removal, disposal or sale of property—limitation of action etc... 655

Division 2—Greenhouse gas                                                                                656

591........ Simplified outline............................................................................ 656

592........ Remedial directions to current holders of permits, leases and licences 656

593........ Site closing directions to current holders of greenhouse gas injection licences        659

594........ Consultation—directions to do something outside the licence area 662

595........ Remedial directions to former holders of permits, leases, licences and authorities etc.           663

596........ Responsible Commonwealth Minister may take action if a direction has been breached       665

597........ Removal, disposal or sale of property by responsible Commonwealth Minister—breach of direction 667

598........ Removal, disposal or sale of property—limitation of action etc... 669

Part 6.5—Offences and enforcement                                                                       670

Division 1—Petroleum                                                                                             670

599........ Simplified outline............................................................................ 670

600........ Appointment of petroleum project inspectors.............................. 670

601........ Monitoring powers of petroleum project inspectors..................... 671

602........ Warrants to enter residential premises........................................... 674

603........ Interfering with offshore petroleum installations or operations..... 675

604........ Forfeiture orders etc....................................................................... 676

Division 2—Greenhouse gas                                                                                678

605........ Simplified outline............................................................................ 678

606........ Appointment of greenhouse gas project inspectors....................... 678

607........ Monitoring powers of greenhouse gas project inspectors.............. 679

608........ Warrants to enter residential premises........................................... 682

609........ Interfering with greenhouse gas installations or operations............ 682

610........ Forfeiture orders etc....................................................................... 683

Division 3—Time for bringing proceedings for offences                       685

611........ Time for bringing proceedings for offences.................................... 685

Part 6.6—Safety zones and the area to be avoided                                         686

Division 1—Introduction                                                                                        686

612........ Simplified outline............................................................................ 686

613........ Simplified map of the area to which Schedule 2 applies................ 687

614........ Definitions...................................................................................... 688

615........ Authorised persons........................................................................ 691

Division 2—Petroleum safety zones                                                                 693

616........ Petroleum safety zones.................................................................. 693

Division 3—Greenhouse gas safety zones                                                    695

617........ Greenhouse gas safety zones.......................................................... 695

Division 4—Unauthorised vessel not to enter area to be avoided  697

618........ Designated Authority may authorise entry into area to be avoided 697

619........ Unauthorised vessel not to enter area to be avoided...................... 697

Division 5—Powers of authorised persons                                                   700

620........ Requirement to move vessel etc..................................................... 700

621........ Other powers of authorised persons.............................................. 701

622........ Warrants......................................................................................... 704

623........ Exercise of powers in serious circumstances.................................. 704

Part 6.7—Collection of fees and royalties                                                            706

Division 1—Fees payable under the Annual Fees Act                           706

624........ When fee due for payment............................................................. 706

625........ Late payment penalty.................................................................... 706

626........ Recovery of annual fee debts.......................................................... 707

627........ Amounts payable to the Designated Authority............................. 707

628........ Amounts payable to the Commonwealth....................................... 707

Division 2—Fees payable under the Registration Fees Act               708

629........ Fees payable to the Designated Authority..................................... 708

630........ Fees payable to the Commonwealth.............................................. 708

Division 3—Royalties payable under the Royalty Act                            709

631........ When royalty due for payment...................................................... 709

632........ When adjusted amount due for payment........................................ 709

633........ Late payment penalty.................................................................... 710

634........ Recovery of royalty debts.............................................................. 710

635........ Amounts payable to the Designated Authority............................. 711

Division 4—Fees payable under this Act                                                       712

636........ Fees payable under this Act........................................................... 712

Part 6.8—Occupational health and safety                                                             713

637........ Occupational health and safety...................................................... 713

638........ Listed OHS laws............................................................................. 713

639........ Regulations relating to occupational health and safety................... 714

640........ Commonwealth maritime legislation does not apply in relation to facilities located in offshore areas   714

641........ Commonwealth maritime legislation does not apply in relation to facilities located in designated coastal waters 715

Part 6.9—National Offshore Petroleum Safety Authority                           717

Division 1—Introduction                                                                                        717

642........ Simplified outline............................................................................ 717

643........ Definitions...................................................................................... 717

644........ Designated coastal waters............................................................... 721

Division 2—Establishment, functions and powers of the Safety Authority          723

645........ Establishment of the National Offshore Petroleum Safety Authority 723

646........ Safety Authority’s functions......................................................... 723

647........ Policy principles............................................................................. 724

648........ Safety Authority’s ordinary powers.............................................. 725

649........ References to functions and powers of the Safety Authority........ 725

650........ Safety Authority may be given additional powers in certain circumstances           726

651........ Power to refer matters to NOGSAC.............................................. 727

652........ Safety Authority is a body corporate............................................ 727

Division 3—National Offshore Petroleum Safety Authority Board  729

Subdivision A—Establishment, functions and membership                            729

653........ Establishment of Board.................................................................. 729

654........ Functions of the Board................................................................... 729

655........ Powers of the Board....................................................................... 730

656........ Membership................................................................................... 730

Subdivision B—Board procedures                                                                       731

657........ Board procedures............................................................................ 731

Subdivision C—Terms and conditions for Board members                            732

658........ Term of appointment and related matters for Board members...... 732

659........ Remuneration and allowances of Board members.......................... 732

660........ Leave of absence of Board members............................................... 732

661........ Resignation of Board members....................................................... 733

662........ Termination of appointment of Board members............................ 733

663........ Other terms and conditions of Board members.............................. 733

664........ Acting Board members................................................................... 734

Division 4—Chief Executive Officer and staff of the Safety Authority 735

665........ Appointment of the CEO............................................................... 735

666........ Duties of the CEO.......................................................................... 735

667........ Working with the Board................................................................. 735

668........ Remuneration and allowances of the CEO..................................... 736

669........ Leave of absence of the CEO.......................................................... 736

670........ Resignation of the CEO.................................................................. 736

671........ Notification of possible conflict of interest by CEO..................... 736

672........ Termination of CEO’s appointment.............................................. 737

673........ Other terms and conditions............................................................ 738

674........ Acting appointments...................................................................... 738

675........ Delegation by CEO......................................................................... 739

676........ Staff of the Safety Authority......................................................... 739

677........ Consultants and persons seconded to the Safety Authority.......... 739

Division 5—Corporate plans                                                                                741

678........ Corporate plans.............................................................................. 741

679........ Responsible Commonwealth Minister’s response to corporate plan 741

Division 6—OHS inspectors                                                                                 743

680........ Appointment of OHS inspectors................................................... 743

681........ Identity cards.................................................................................. 743

Division 7—National Offshore Petroleum Safety Account                   745

682........ National Offshore Petroleum Safety Account................................ 745

683........ Credits to the Account................................................................... 745

684........ Purposes of the Account................................................................ 746

Division 8—Other financial matters                                                                 747

685........ Fees for expenses incurred by the Safety Authority...................... 747

686........ Safety investigation levy................................................................ 747

687........ Safety case levy.............................................................................. 748

688........ Pipeline safety management plan levy........................................... 750

689........ Liability to taxation........................................................................ 750

Division 9—Miscellaneous                                                                                    752

690........ Annual reports................................................................................ 752

691........ Ministers may require the Safety Authority to prepare reports or give information             753

692........ Responsible Commonwealth Minister may give directions to the Safety Authority             754

693........ Prosecutions by the Director of Public Prosecutions under mirror provisions       756

694........ Australian Industrial Relations Commission may exercise powers under mirror provisions  756

695........ Reviews of operations of Safety Authority................................... 757

Chapter 7—Information relating to petroleum                                                   759

Part 7.1—Data management and gathering of information                        759

Division 1—Introduction                                                                                        759

696........ Simplified outline............................................................................ 759

Division 2—Data management                                                                            760

697........ Direction to keep records............................................................... 760

698........ Regulations about data management............................................... 761

Division 3—Information‑gathering powers                                                   764

699........ Designated Authority or petroleum project inspector may obtain information and documents             764

700........ Copying documents—reasonable compensation............................ 765

701........ Power to examine on oath or affirmation........................................ 766

702........ Self‑incrimination............................................................................ 766

703........ Copies of documents...................................................................... 766

704........ Designated Authority or petroleum project inspector may retain documents        767

705........ False or misleading information...................................................... 767

706........ False or misleading documents....................................................... 767

707........ False or misleading evidence........................................................... 768

Part 7.2—Release of regulatory information                                                      769

708........ Notifiable events—Gazette notice.................................................. 769

709........ Designated Authority to make documents available to responsible Commonwealth Minister               770

Part 7.3—Release of technical information                                                         771

Division 1—Introduction                                                                                        771

710........ Simplified outline............................................................................ 771

711........ Definitions...................................................................................... 771

Division 2—Protection of confidentiality of information and samples 773

Subdivision A—Information and samples obtained by the Designated Authority                773

712........ Protection of confidentiality of documentary information obtained by the Designated Authority        773

713........ Protection of confidentiality of petroleum mining samples obtained by the Designated Authority       773

714........ Designated Authority may make information or samples available to a Minister, a State Minister or a Northern Territory Minister.......................................................................... 774

Subdivision B—Information and samples obtained by a Minister                  774

715........ Protection of confidentiality of information obtained by a Minister 774

716........ Protection of confidentiality of petroleum mining samples obtained by a Minister               775

Subdivision C—Miscellaneous                                                                             775

717........ Fees................................................................................................. 775

718........ Review by Minister........................................................................ 775

719........ Privacy Act..................................................................................... 776

Division 3—Copyright                                                                                              777

720........ Publishing or making copies of applicable documents not an infringement of copyright        777

Division 4—Release of technical information given to the Designated Authority before 7 March 2000                                                                                                                    778

721........ Release of technical information given to the Designated Authority before 7 March 2000    778

Chapter 8—Information relating to greenhouse gas                                      779

Part 8.1—Data management and gathering of information                        779

Division 1—Introduction                                                                                        779

722........ Simplified outline............................................................................ 779

Division 2—Data management                                                                            780

723........ Direction to keep records............................................................... 780

724........ Regulations about data management............................................... 781

Division 3—Information‑gathering powers                                                   783

725........ Responsible Commonwealth Minister or greenhouse gas project inspector may obtain information and documents........................................................................................................ 783

726........ Copying documents—reasonable compensation............................ 785

727........ Power to examine on oath or affirmation........................................ 785

728........ Self‑incrimination............................................................................ 785

729........ Copies of documents...................................................................... 785

730........ Responsible Commonwealth Minister or greenhouse gas project inspector may retain documents       786

731........ False or misleading information...................................................... 786

732........ False or misleading documents....................................................... 787

733........ False or misleading evidence........................................................... 787

Part 8.2—Release of regulatory information                                                      788

734........ Notifiable events—Gazette notice.................................................. 788

Part 8.3—Release of technical information                                                         789

Division 1—Introduction                                                                                        789

735........ Simplified outline............................................................................ 789

736........ Definitions...................................................................................... 789

737........ Documents and samples given to the responsible Commonwealth Minister          790

Division 2—Protection of confidentiality of information and samples 791

Subdivision A—Information and samples obtained by the responsible Commonwealth Minister    791

738........ Protection of confidentiality of documentary information obtained by the responsible Commonwealth Minister........................................................................................................ 791

739........ Protection of confidentiality of eligible samples obtained by the responsible Commonwealth Minister               791

740........ Responsible Commonwealth Minister may make information or samples available to a Minister, a State Minister or a Northern Territory Minister.......................................................... 792

Subdivision B—Miscellaneous                                                                             792

741........ Fees................................................................................................. 792

742........ Privacy Act..................................................................................... 792

Division 3—Copyright                                                                                              793

743........ Publishing or making copies of applicable documents not an infringement of copyright        793

Chapter 9—Miscellaneous                                                                                            794

Part 9.1—Reconsideration and review of decisions                                        794

744........ Simplified outline............................................................................ 794

745........ Definitions...................................................................................... 794

746........ Reconsideration of reviewable delegated decision.......................... 795

747........ Review of reviewable Ministerial decision..................................... 797

Part 9.2—Expert advisory committees                                                                   798

748........ Establishment of expert advisory committees................................ 798

749........ Function of expert advisory committees........................................ 798

750........ Appointment of expert advisory committee members etc............. 800

751........ Procedures of expert advisory committees..................................... 800

752........ Remuneration and allowances......................................................... 800

753........ Leave of absence............................................................................. 801

754........ Resignation..................................................................................... 801

755........ Disclosure of interests to the responsible Commonwealth Minister 802

756........ Disclosure of interests to an expert advisory committee............... 802

757........ Other terms and conditions............................................................ 803

758........ Protection of information............................................................... 803

Part 9.3—Information relevant to the making of designated agreements  805

Division 1—Information‑gathering powers                                                   805

759........ Responsible Commonwealth Minister may obtain information and documents     805

760........ Copying documents—reasonable compensation............................ 806

761........ Self‑incrimination............................................................................ 807

762........ Copies of documents...................................................................... 807

763........ Responsible Commonwealth Minister may retain documents....... 807

764........ False or misleading information...................................................... 808

765........ False or misleading documents....................................................... 808

Division 2—Protection of information etc.                                                    809

766........ Protection of information............................................................... 809

767........ Disclosure of information to titleholder etc.................................... 809

Part 9.4—Liability for acts and omissions                                                            811

768........ Liability for acts and omissions...................................................... 811

Part 9.5—Jurisdiction of courts                                                                                   813

769........ Jurisdiction of State courts............................................................. 813

770........ Jurisdiction of Territory courts...................................................... 813

Part 9.6—Service of documents                                                                                  814

771........ Service of documents...................................................................... 814

772........ Service of documents on Joint Authority....................................... 816

773........ Service of documents on responsible Commonwealth Minister.... 816

774........ Service of documents on 2 or more registered holders of a petroleum title             816

775........ Service of documents on 2 or more registered holders of a greenhouse gas title      818

Part 9.7—Publication in Gazette                                                                                 820

776........ Publication in Gazette—State or external Territory....................... 820

777........ Publication in Gazette—Northern Territory.................................. 820

Part 9.8—Delegation by responsible Commonwealth Minister               821

778........ Delegation by responsible Commonwealth Minister..................... 821

Part 9.9—Public interest                                                                                                 822

779........ Public interest................................................................................. 822

Part 9.10—Compensation for acquisition of property                                    823

780........ Compensation for acquisition of property..................................... 823

Part 9.11—Regulations                                                                                                    824

781........ Regulations..................................................................................... 824

782........ Regulations dealing with specific matters....................................... 824

783........ Regulations may provide for matters by reference to codes of practice or standards             828

784........ Unconditional or conditional prohibition....................................... 828

785........ Regulations not limited by conditions provisions.......................... 828

786........ Exercise of Australia’s rights under international law—petroleum in the continental shelf    828

787........ Exercise of Australia’s rights under international law—injection and storage of greenhouse gas substances in the continental shelf.............................................................................. 829

788........ Exercise of Australia’s rights under international law—petroleum within territorial limits    829

789........ Exercise of Australia’s rights under international law—injection and storage of greenhouse gas substances within territorial limits............................................................................... 829

790........ Offences.......................................................................................... 830

Part 9.12—Transitional provisions                                                                            831

791........ Transitional provisions................................................................... 831


An Act about petroleum exploration and recovery, and the injection and storage of greenhouse gas substances, in offshore areas, and for other purposes

  

Chapter 1Introduction

Part 1.1Legislative formalities and background

  

1  Short title [see Note 1]

                   This Act may be cited as the Offshore Petroleum and Greenhouse Gas Storage Act 2006.

2  Commencement

             (1)  Each provision of this Act specified in column 1 of the table commences, or is taken to have commenced, in accordance with column 2 of the table. Any other statement in column 2 has effect according to its terms.

 

Commencement information

Column 1

Column 2

Column 3

Provision(s)

Commencement

Date/Details

1.  Sections 1 and 2 and anything in this Act not elsewhere covered by this table

The day on which this Act receives the Royal Assent.

29 March 2006

2.  Sections 3 to 5

A single day to be fixed by Proclamation.

1 July 2008 (see F2008L02273)

3.  Parts 1.2, 1.3 and 1.4

At the same time as the provision(s) covered by table item 2.

1 July 2008

4.  Chapters 2 to 6

At the same time as the provision(s) covered by table item 2.

1 July 2008

5.  Schedules 1, 2, 3, 4 and 5

At the same time as the provision(s) covered by table item 2.

1 July 2008

6.  Schedule 6, clauses 1 to 38

At the same time as the provision(s) covered by table item 2.

1 July 2008

7.  Schedule 6, clause 39

The day on which this Act receives the Royal Assent.

29 March 2006

8.  Schedule 6, clauses 40 to 42

At the same time as the provision(s) covered by table item 2.

1 July 2008

Note:          This table relates only to the provisions of this Act as originally passed by the Parliament and assented to. It will not be expanded to deal with provisions inserted in this Act after assent.

             (2)  Column 3 of the table contains additional information that is not part of this Act. Information in this column may be added to or edited in any published version of this Act.

3  Object

                   The object of this Act is to provide an effective regulatory framework for:

                     (a)  petroleum exploration and recovery; and

                     (b)  the injection and storage of greenhouse gas substances;

in offshore areas.

4  Simplified outline

                   The following is a simplified outline of this Act:

•      This Act sets up a system for regulating the following activities in offshore areas:

               (a)     exploration for petroleum;

               (b)     recovery of petroleum;

               (c)     construction and operation of infrastructure facilities relating to petroleum or greenhouse gas substances;

               (d)     construction and operation of pipelines for conveying petroleum or greenhouse gas substances;

               (e)     exploration for potential greenhouse gas storage formations;

               (f)     injection and storage of greenhouse gas substances.

•      An offshore area:

               (a)     starts 3 nautical miles from the baseline from which the breadth of the territorial sea is measured; and

               (b)     extends seaward to the outer limits of the continental shelf.

•      This Act provides for the grant of the following titles:

               (a)     a petroleum exploration permit (see Part 2.2);

               (b)     a petroleum retention lease (see Part 2.3);

               (c)     a petroleum production licence (see Part 2.4);

               (d)     an infrastructure licence (see Part 2.5);

               (e)     a pipeline licence (see Part 2.6);

               (f)     a petroleum special prospecting authority (see Part 2.7);

               (g)     a petroleum access authority (see Part 2.8);

               (h)     a greenhouse gas assessment permit (see Part 3.2);

                (i)     a greenhouse gas holding lease (see Part 3.3);

                (j)     a greenhouse gas injection licence (see Part 3.4);

               (k)     a greenhouse gas search authority (see Part 3.5);

                (l)     a greenhouse gas special authority (see Part 3.6).

•      Generally, the administration of this Act in relation to an offshore area of a State is divided between:

               (a)     the Joint Authority for the State (the Joint Authority is constituted by the responsible State Minister and the responsible Commonwealth Minister); and

               (b)     the Designated Authority for the State (the Designated Authority is the responsible State Minister).

•      Generally, the administration of this Act in relation to the Principal Northern Territory offshore area is divided between:

               (a)     the Joint Authority for that area (the Joint Authority is constituted by the responsible Northern Territory Minister and the responsible Commonwealth Minister); and

               (b)     the Designated Authority for that area (the Designated Authority is the responsible Northern Territory Minister).

•      The responsible Commonwealth Minister is responsible for the administration of greenhouse gas injection and storage provisions.

•      The National Offshore Petroleum Safety Authority is responsible for the administration of occupational health and safety provisions.

Note:          Generally, the baseline is the line of lowest astronomical tide along the coast, but it also encompasses straight lines across bays (bay closing lines), rivers (river closing lines) and between islands, as well as along heavily indented areas of coastline (straight baselines) under certain circumstances.

5  Commonwealth‑State agreement (the Offshore Constitutional Settlement)

             (1)  This section explains the agreement known as the Offshore Constitutional Settlement, to the extent to which that agreement relates to exploring for, and exploiting, petroleum.

             (2)  The Commonwealth, the States and the Northern Territory have agreed that:

                     (a)  Commonwealth offshore petroleum legislation should be limited to the area that is outside the coastal waters of the States and the Northern Territory; and

                     (b)  for this purpose, the outer limits of State and Northern Territory coastal waters should start 3 nautical miles from the baseline of the territorial sea; and

                     (c)  the States and the Northern Territory should share, in the manner provided by this Act, in the administration of the Commonwealth offshore petroleum legislation; and

                     (d)  State and Northern Territory offshore petroleum legislation should apply to State and Northern Territory coastal waters; and

                     (e)  the Commonwealth, the States and the Northern Territory should try to maintain, as far as practicable, common principles, rules and practices in regulating and controlling the exploration for, and exploitation of, offshore petroleum beyond the baseline of Australia’s territorial sea.

             (3)  The table summarises other Acts that provide background to the Offshore Constitutional Settlement:

 

Other Acts

Item

Act

Summary of Act

1

Seas and Submerged Lands Act 1973

This Act:

(a) declared and enacted that the sovereignty in respect of the territorial sea and the associated airspace, seabed and subsoil is vested in and exercisable by the Crown in right of the Commonwealth; and

(b) gave the Governor‑General power to declare, by Proclamation, the limits of the territorial sea; and

(c) declared and enacted that the sovereignty in respect of waters of the sea that are on the landward side of the baseline of the territorial sea (but not within the limits of a State) and in respect of the associated airspace, seabed and subsoil is vested in and exercisable by the Crown in right of the Commonwealth; and

(d) declared and enacted that the sovereign rights of Australia as a coastal state in respect of the continental shelf of Australia (for the purpose of exploring it and exploiting its natural resources) are vested in and exercisable by the Crown in right of the Commonwealth; and

(e) gave the Governor‑General power to declare, by Proclamation, the limits of the continental shelf of Australia.

2

Coastal Waters (State Powers) Act 1980

This Act was enacted following a request from the Parliaments of all the States under paragraph 51(xxxviii) of the Constitution of the Commonwealth and provided that the legislative powers exercisable under the Constitution of each State extended to the making of certain laws that would operate offshore.

3

Coastal Waters (Northern Territory Powers) Act 1980

This Act makes similar provision to the Coastal Waters (State Powers) Act 1980 in relation to the Northern Territory.

4

Coastal Waters (State Title) Act 1980

This Act vested in each State certain property rights in the seabed beneath the coastal waters of the State.

5

Coastal Waters (Northern Territory Title) Act 1980

This Act makes similar provision to the Coastal Waters (State Title) Act 1980 in relation to the Northern Territory.

6

Offshore Minerals Act 1994

This Act makes provision, based on the Offshore Constitutional Settlement, for the licensing regime that applies to the exploration for, and recovery of, minerals (other than petroleum) in offshore areas.

6  Simplified maps

             (1)  This section sets out simplified maps illustrating areas off the coast of Australia that are relevant to this Act.

             (2)  In the interests of simplification:

                     (a)  coastlines and boundaries have been smoothed; and

                     (b)  the maps do not show certain waters within the limits of a State or Territory; and

                     (c)  the line marking the outer limits of the coastal waters of a State or Territory appears to be further out to sea than it actually is.

Map 1

             (3)  Map 1 illustrates the offshore areas and the scheduled areas:

Note 1:       As at the day on which the Bill that became this Act was introduced into the House of Representatives, certain maritime areas adjacent to Australia remained subject to delimitation with other countries. The full extent of Australia’s claimed exclusive economic zone and continental shelf jurisdiction has not been shown in this map. The claimed jurisdiction extends beyond the areas shown in this map.

Note 2:       Generally, the territorial sea baseline is the line of lowest astronomical tide along the coast, but it also encompasses straight lines across bays (bay closing lines), rivers (river closing lines) and between islands, as well as along heavily indented areas of coastline (straight baselines) under certain circumstances.

Note 3:       The location of the Joint Petroleum Development Area established under the Timor Sea Treaty is indicated on this map as the unshaded space abutting the offshore areas of Western Australia and the Northern Territory. The Joint Petroleum Development Area is not included in any offshore area as defined by this Act.

Map 2

             (4)  Map 2 zooms in and illustrates the offshore area of South Australia:

Map 3

             (5)  Map 3 zooms in and illustrates coastal waters and waters within the limits of South Australia:

Note:          The bays shown as being within the limits of South Australia are for illustrative purposes only.


 

Part 1.2Interpretation

Division 1General

7  Definitions

                   In this Act, unless the contrary intention appears:

Annual Fees Act means the Offshore Petroleum and Greenhouse Gas Storage (Annual Fees) Act 2006.

applied provisions has the meaning given by subsection 80(2).

approved:

                     (a)  when used in any of the following provisions:

                              (i)  Chapter 3;

                             (ii)  Chapter 5;

                            (iii)  Chapter 8;

                            (iv)  section 775;

                            means approved in writing by the responsible Commonwealth Minister; or

                     (b)  in any other case—means approved in writing by the Designated Authority.

This definition does not apply to the expression approved site plan.

approved site plan means a site plan in respect of which an approval is in force under the regulations.

Note:          See section 457.

authority area:

                     (a)  when used in relation to a petroleum special prospecting authority—means the area constituted by the block or blocks that are the subject of the petroleum special prospecting authority; or

                     (b)  when used in relation to a petroleum access authority—means the area to which the petroleum access authority relates; or

                     (c)  when used in relation to a greenhouse gas search authority—means the area constituted by the block or blocks that are the subject of the greenhouse gas search authority; or

                     (d)  when used in relation to a greenhouse gas special authority—means the area to which the greenhouse gas special authority relates.

block means a block constituted as provided by section 33 or 282.

cash‑bid greenhouse gas assessment permit means a greenhouse gas assessment permit granted under Division 3 of Part 3.2.

cash‑bid petroleum exploration permit means:

                     (a)  a petroleum exploration permit granted under Division 3 of Part 2.2 of this Act; or

                     (b)  an exploration permit granted under section 22B of the repealed Petroleum (Submerged Lands) Act 1967; or

                     (c)  a petroleum exploration permit granted under Division 5 of Part 2.2 of this Act by way of the renewal of a permit referred to in paragraph (a) or (b); or

                     (d)  an exploration permit granted under section 32 of the repealed Petroleum (Submerged Lands) Act 1967 by way of the renewal of a permit referred to in paragraph (b).

charge, when used in relation to the assets of a body corporate, has the same meaning as in section 263 of the Corporations Act 2001.

closure assurance period has the meaning given by section 399.

COAG Reform Fund means the COAG Reform Fund established by section 5 of the COAG Reform Fund Act 2008.

coastal waters, in relation to a State or the Northern Territory, means so much of the scheduled area for the State or Territory as consists of:

                     (a)  the territorial sea; and

                     (b)  any waters that are:

                              (i)  on the landward side of the territorial sea; and

                             (ii)  not within the limits of the State or Territory.

For this purpose, assume that the breadth of the territorial sea of Australia had never been determined or declared to be greater than 3 nautical miles, but had continued to be 3 nautical miles.

construct includes place.

continental shelf means the continental shelf (within the meaning of the Seas and Submerged Lands Act 1973) adjacent to the coast of:

                     (a)  Australia (including the coast of any island forming part of a State or Territory); or

                     (b)  a Territory.

datum means a reference frame for defining geographic coordinates.

Note:          If the position on the surface of the Earth of a particular point is identified by a coordinate that is determined by reference to a particular datum, the use of a different datum will result in the same point being identified by a different coordinate.

debenture has the same meaning as in section 263 of the Corporations Act 2001.

declared greenhouse gas facility has the meaning given by section 18.

declared petroleum exploration permit has the meaning given by section 101.

declared petroleum production licence has the meaning given by section 164.

declared petroleum retention lease has the meaning given by section 138.

designated agreement has the meaning given by section 32.

Designated Authority has the meaning given by section 70 and, when used in the expression the Designated Authority, means the Designated Authority for the offshore area concerned.

detection agent means a substance, whether in a gaseous or liquid state, that:

                     (a)  when added to:

                              (i)  another substance; or

                             (ii)  a mixture of other substances;

                            facilitates the monitoring of the behaviour of that other substance or that mixture, as the case may be; and

                     (b)  is specified in the regulations.

Eastern Greater Sunrise offshore area has the meaning given by Schedule 7.

Note:          The Eastern Greater Sunrise offshore area is a part of the offshore area of the Northern Territory.

eligible greenhouse gas storage formation has the meaning given by section 21.

engage in conduct means:

                     (a)  do an act; or

                     (b)  omit to perform an act.

expert advisory committee means a committee established under section 748.

expert advisory committee member means a member of an expert advisory committee, and includes the Chair of an expert advisory committee.

expiry date:

                     (a)  when used in relation to a petroleum exploration permit, petroleum retention lease or petroleum production licence—has the meaning given by subsection 10(1); or

                     (b)  when used in relation to a greenhouse gas assessment permit or a greenhouse gas holding lease (other than a special greenhouse gas holding lease)—has the meaning given by subsection 10(2).

explore:

                     (a)  when used in relation to petroleum—has a meaning affected by subsection 19(1); or

                     (b)  when used in relation to a potential greenhouse gas storage formation—has a meaning affected by subsections 19(2) and (3); or

                     (c)  when used in relation to a potential greenhouse gas injection site—has a meaning affected by subsection 19(4).

Federal Court means the Federal Court of Australia.

fixed‑term petroleum production licence means a petroleum production licence covered by item 2 or 3 of the table in subsection 165(1).

fundamental suitability determinants:

                     (a)  when used in relation to an eligible greenhouse gas storage formation—has the meaning given by subsection 21(8); or

                     (b)  when used in relation to an identified greenhouse gas storage formation—has the meaning given by subsection 312(11).

geographic coordinate includes:

                     (a)  a meridian of longitude by itself; and

                     (b)  a parallel of latitude by itself.

geological formation includes:

                     (a)  any seal or reservoir of a geological formation; and

                     (b)  any associated geological attributes or features of a geological formation.

good oilfield practice means all those things that are generally accepted as good and safe in:

                     (a)  the carrying on of exploration for petroleum; or

                     (b)  petroleum recovery operations.

good processing and transport practice means all those things that are generally accepted as good and safe in:

                     (a)  the processing, conveyance, transport and storage of petroleum; and

                     (b)  the preparation of petroleum for transport.

graticular section has the meaning given by section 33.

Greater Sunrise unit area has the meaning given by Schedule 7.

Greater Sunrise unitisation agreement means the Agreement between the Government of Australia and the Government of the Democratic Republic of Timor‑Leste relating to the Unitisation of the Sunrise and Troubadour Fields, done at Dili on 6 March 2003.

Note:          In 2007, the text of international agreements was accessible through the Australian Treaties Library on the AustLII Internet site (www.austlii.edu.au).

Greater Sunrise unit reservoir petroleum production licence means a petroleum production licence in respect of one or more blocks within the Eastern Greater Sunrise offshore area that would allow the licensee to recover petroleum from either or both of the Greater Sunrise unit reservoirs.

Greater Sunrise unit reservoirs means the unit reservoirs within the meaning of the Greater Sunrise unitisation agreement.

Greater Sunrise visiting inspector means a petroleum project inspector who is specified in the identity card issued to that inspector under subsection 600(2) as being a Greater Sunrise visiting inspector.

greenhouse gas assessment permit means a greenhouse gas assessment permit granted under Part 3.2.

greenhouse gas assessment permit area means the permit area of a greenhouse gas assessment permit.

greenhouse gas assessment permittee means the registered holder of a greenhouse gas assessment permit.

greenhouse gas facility line means a pipe, or system of pipes, that is:

                     (a)  for conveying a greenhouse gas substance; and

                     (b)  part of a declared greenhouse gas facility.

greenhouse gas holding lease means a greenhouse gas holding lease granted under Part 3.3.

greenhouse gas holding lease area means the lease area of a greenhouse gas holding lease.

greenhouse gas holding lessee means the registered holder of a greenhouse gas holding lease.

greenhouse gas infrastructure line means a pipe, or system of pipes, that is:

                     (a)  for conveying a greenhouse gas substance; and

                     (b)  part of an infrastructure facility.

greenhouse gas injection licence means a greenhouse gas injection licence granted under Part 3.4.

greenhouse gas injection licence area means the licence area of a greenhouse gas injection licence.

greenhouse gas injection licensee means the registered holder of a greenhouse gas injection licence.

greenhouse gas injection line means a pipe, or system of pipes, for:

                     (a)  conveying a greenhouse gas substance to be compressed, processed or otherwise prepared for injection into an identified greenhouse gas storage formation; or

                     (b)  conveying a greenhouse gas substance for storage prior to being injected into an identified greenhouse gas storage formation; or

                     (c)  conveying a greenhouse gas substance for injection into an identified greenhouse gas storage formation;

so long as the greenhouse gas substance does not pass through a terminal point on the pipe, or system of pipes, as the case may be, before it is injected into the identified greenhouse gas storage formation.

greenhouse gas pipeline means:

                     (a)  a pipe, or system of pipes, in an offshore area for conveying a greenhouse gas substance, other than:

                              (i)  a greenhouse gas injection line; or

                             (ii)  a greenhouse gas infrastructure line; or

                            (iii)  a greenhouse gas facility line; or

                            (iv)  a pipe, or a system of pipes, that is specified in the regulations; or

                     (b)  a part of a pipe covered by paragraph (a); or

                     (c)  a part of a system of pipes covered by paragraph (a).

greenhouse gas project inspector means a person appointed as a greenhouse gas project inspector under section 606.

greenhouse gas pumping station means equipment for pumping a greenhouse gas substance or water, and includes any structure associated with that equipment.

greenhouse gas research consent means a greenhouse gas research consent granted under Part 3.7.

greenhouse gas search authority means a greenhouse gas search authority granted under Part 3.5.

greenhouse gas special authority means a greenhouse gas special authority granted under Part 3.6.

greenhouse gas substance means:

                     (a)  carbon dioxide, whether in a gaseous or liquid state; or

                     (b)  a prescribed greenhouse gas, whether in a gaseous or liquid state; or

                     (c)  a mixture of any or all of the following substances:

                              (i)  carbon dioxide, whether in a gaseous or liquid state;

                             (ii)  one or more prescribed greenhouse gases, whether in a gaseous or liquid state;

                            (iii)  one or more incidental greenhouse gas‑related substances, whether in a gaseous or liquid state, that relate to either or both of the substances mentioned in subparagraphs (i) and (ii);

                            (iv)  a prescribed detection agent, whether in a gaseous or liquid state;

                            so long as:

                             (v)  the mixture consists overwhelmingly of either or both of the substances mentioned in subparagraphs (i) and (ii); and

                            (vi)  if the mixture includes a prescribed detection agent—the concentration of the prescribed detection agent in the mixture is not more than the concentration prescribed in relation to that detection agent.

greenhouse gas tank station means a tank, or system of tanks, for holding or storing a greenhouse gas substance, and includes any structure associated with that tank or system of tanks.

greenhouse gas valve station means equipment for regulating the flow of a greenhouse gas substance, and includes any structure associated with that equipment.

identified greenhouse gas storage formation has the meaning given by section 312.

incidental greenhouse gas‑related substance has the meaning given by section 23.

infrastructure facility has the meaning given by section 15.

infrastructure licence means an infrastructure licence granted under:

                     (a)  Part 2.5 of this Act; or

                     (b)  Division 3A of Part III of the repealed Petroleum (Submerged Lands) Act 1967.

infrastructure licence area means the licence area of an infrastructure licence.

infrastructure licensee means the registered holder of an infrastructure licence.

Joint Authority has the meaning given by section 56 and, when used in the expression the Joint Authority, means the Joint Authority for the offshore area concerned.

Joint Petroleum Development Area has the same meaning as in the Petroleum (Timor Sea Treaty) Act 2003.

key greenhouse gas operation means:

                     (a)  an operation to make a well; or

                     (b)  an operation to inject, on an appraisal basis, a greenhouse gas substance into a part of a geological formation; or

                     (c)  an operation to store, on an appraisal basis, a greenhouse gas substance in a part of a geological formation; or

                     (d)  an operation to inject, on an appraisal basis, air, petroleum or water into a part of a geological formation; or

                     (e)  an operation to store, on an appraisal basis, air, petroleum or water in a part of a geological formation; or

                      (f)  an operation to carry out a seismic survey or any other kind of survey; or

                     (g)  an operation to monitor the behaviour of:

                              (i)  a greenhouse gas substance; or

                             (ii)  air; or

                            (iii)  petroleum; or

                            (iv)  water;

                            stored in a part of a geological formation; or

                     (h)  an operation to carry out baseline investigations relating to the storage of a greenhouse gas substance in a part of the geological formation; or

                      (i)  an operation to take samples of the seabed or subsoil of an offshore area; or

                      (j)  an operation specified in the regulations.

key petroleum operation means:

                     (a)  an operation to make a well; or

                     (b)  an operation to inject a substance into a part of a geological formation; or

                     (c)  an operation to store a substance in a part of a geological formation; or

                     (d)  an operation to carry out a seismic survey or any other kind of survey; or

                     (e)  an operation to monitor the behaviour of a substance stored in a part of a geological formation; or

                      (f)  an operation to take samples of the seabed or subsoil of an offshore area; or

                     (g)  an operation specified in the regulations.

lease area:

                     (a)  when used in relation to a petroleum retention lease—means the area constituted by the block or blocks that are the subject of the petroleum retention lease; or

                     (b)  when used in relation to a greenhouse gas holding lease—means the area constituted by the block or blocks that are the subject of the greenhouse gas holding lease.

lessee:

                     (a)  when used in relation to a petroleum retention lease—means the registered holder of the petroleum retention lease; or

                     (b)  when used in relation to a greenhouse gas holding lease—means the registered holder of the greenhouse gas holding lease.

licence area:

                     (a)  when used in relation to an infrastructure licence—means the place in relation to which the infrastructure licence is in force; or

                     (b)  when used in relation to a petroleum production licence—means the area constituted by the block or blocks that are the subject of the petroleum production licence; or

                     (c)  when used in relation to a greenhouse gas injection licence—means the area constituted by the block or blocks that are the subject of the greenhouse gas injection licence.

Note:          The place in relation to which an infrastructure licence is in force must be a place in an offshore area—see subsection 198(2) and section 199.

licensee:

                     (a)  when used in relation to a petroleum production licence—means the registered holder of the petroleum production licence; or

                     (b)  when used in relation to an infrastructure licence—means the registered holder of the infrastructure licence; or

                     (c)  when used in relation to a pipeline licence—means the registered holder of the pipeline licence; or

                     (d)  when used in relation to a greenhouse gas injection licence—means the registered holder of the greenhouse gas injection licence.

life‑of‑field petroleum production licence means a petroleum production licence covered by item 1, 3A or 4 of the table in subsection 165(1).

listed OHS laws has the meaning given by section 638.

location means a block or blocks in relation to which a declaration under section 131 is in force.

natural resources has the same meaning as in paragraph 4 of Article 77 of the United Nations Convention on the Law of the Sea done at Montego Bay on 10 December 1982.

Note:          Paragraph 4 of Article 77 is as follows:

The natural resources referred to in this Part consist of the mineral and other non‑living resources of the seabed and subsoil together with living organisms belonging to sedentary species, that is to say, organisms which, at the harvestable stage, either are immobile on or under the seabed or are unable to move except in constant physical contact with the seabed or the subsoil.

New Zealand boundary treaty means the Treaty between Australia and New Zealand establishing certain exclusive economic zone boundaries and continental shelf boundaries that was signed at Adelaide on 25 July 2004.

Northern Territory title means an authority, however described, under a law of the Northern Territory, to explore for, or to recover, petroleum.

offshore area means:

                     (a)  the offshore area of New South Wales; or

                     (b)  the offshore area of Victoria; or

                     (c)  the offshore area of Queensland; or

                     (d)  the offshore area of Western Australia; or

                     (e)  the offshore area of South Australia; or

                      (f)  the offshore area of Tasmania; or

                     (g)  the Principal Northern Territory offshore area; or

                     (h)  the Eastern Greater Sunrise offshore area; or

                      (i)  the offshore area of Norfolk Island; or

                      (j)  the offshore area of the Territory of Christmas Island; or

                     (k)  the offshore area of the Territory of Cocos (Keeling) Islands; or

                      (l)  the offshore area of the Territory of Ashmore and Cartier Islands; or

                    (m)  the offshore area of the Territory of Heard Island and McDonald Islands;

and, when used in the expression the offshore area, means whichever of the areas referred to in paragraph (a), (b), (c), (d), (e), (f), (g), (h), (i), (j), (k), (l) or (m) is applicable.

Note 1:       The offshore area of a State or Territory is defined by section 8.

Note 2:       The offshore area of a State or Territory corresponds to the term adjacent area under the repealed Petroleum (Submerged Lands) Act 1967.

original greenhouse gas assessment permit means a greenhouse gas assessment permit that was granted otherwise than by way of renewal.

original petroleum exploration permit means a petroleum exploration permit granted otherwise than by way of renewal.

original petroleum production licence means a petroleum production licence granted otherwise than by way of renewal.

original petroleum retention lease means a petroleum retention lease granted otherwise than by way of renewal.

partly cancelled means:

                     (a)  in relation to a petroleum exploration permit or petroleum production licence—cancelled as to one or more, but not all, of the blocks the subject of the permit or licence; and

                     (b)  in relation to a pipeline licence—cancelled as to a part of the pipeline the subject of the licence.

partly revoked, in relation to a petroleum exploration permit or petroleum retention lease, means revoked as to one or more, but not all, of the blocks the subject of the permit or lease.

partly surrendered, in relation to a petroleum exploration permit, petroleum production licence or greenhouse gas injection licence, means surrendered as to one or more, but not all, of the blocks the subject of the permit or licence.

partly terminated, in relation to a pipeline licence, means terminated as to a part of the pipeline the subject of the licence.

part of a geological formation includes a part of a combination of geological formations.

permit area:

                     (a)  when used in relation to a petroleum exploration permit—means the area constituted by the block or blocks that are the subject of the petroleum exploration permit; or

                     (b)  when used in relation to a greenhouse gas assessment permit—means the area constituted by the block or blocks that are the subject of the greenhouse gas assessment permit.

permittee:

                     (a)  when used in relation to a petroleum exploration permit—means the registered holder of the petroleum exploration permit; or

                     (b)  when used in relation to a greenhouse gas assessment permit—means the registered holder of the greenhouse gas assessment permit.

petroleum means:

                     (a)  any naturally occurring hydrocarbon, whether in a gaseous, liquid or solid state; or

                     (b)  any naturally occurring mixture of hydrocarbons, whether in a gaseous, liquid or solid state; or

                     (c)  any naturally occurring mixture of:

                              (i)  one or more hydrocarbons, whether in a gaseous, liquid or solid state; and

                             (ii)  one or more of the following, that is to say, hydrogen sulphide, nitrogen, helium and carbon dioxide;

and:

                     (d)  includes any petroleum as defined by paragraph (a), (b) or (c) that has been returned to a natural reservoir; and

                     (e)  for the purposes of the pipeline provisions, also includes any petroleum as defined by paragraph (a), (b), (c) or (d), where:

                              (i)  one or more things have been added; or

                             (ii)  one or more things have been wholly or partly removed;

                            or both; and

                      (f)  for the purposes of the pipeline provisions, also includes any mixture that:

                              (i)  has been recovered from a well; and

                             (ii)  includes petroleum as defined by paragraph (a), (b), (c) or (d);

                            whether or not:

                            (iii)  one or more things have been added; or

                            (iv)  one or more things have been wholly or partly removed;

                            or both.

petroleum access authority means:

                     (a)  a petroleum access authority granted under Part 2.8 of this Act; or

                     (b)  an access authority granted under section 112 of the repealed Petroleum (Submerged Lands) Act 1967.

petroleum exploration permit means:

                     (a)  a work‑bid petroleum exploration permit; or

                     (b)  a cash‑bid petroleum exploration permit; or

                     (c)  a special petroleum exploration permit.

petroleum exploration permit area means the permit area of a petroleum exploration permit.

petroleum exploration permittee means the registered holder of a petroleum exploration permit.

petroleum pipeline means:

                     (a)  a pipe, or system of pipes, in an offshore area for conveying petroleum (whether or not the petroleum is recovered from an offshore area), other than a secondary line; or

                     (b)  a part of a pipe covered by paragraph (a); or

                     (c)  a part of a system of pipes covered by paragraph (a).

petroleum pool means a naturally occurring discrete accumulation of petroleum.

petroleum production licence means:

                     (a)  a petroleum production licence granted under Part 2.4 of this Act; or

                     (b)  a production licence granted under Division 3 of Part III of the repealed Petroleum (Submerged Lands) Act 1967; or

                     (c)  a production licence granted under section 148 of the repealed Petroleum (Submerged Lands) Act 1967.

petroleum production licence area means the licence area of a petroleum production licence.

petroleum production licensee means the registered holder of a petroleum production licence.

petroleum project inspector means a person appointed as a petroleum project inspector under section 600.

petroleum pumping station means equipment for pumping petroleum or water, and includes any structure associated with that equipment.

petroleum retention lease means:

                     (a)  a petroleum retention lease granted under Part 2.3 of this Act; or

                     (b)  a retention lease granted under Division 2A of Part III of the repealed Petroleum (Submerged Lands) Act 1967.

petroleum retention lease area means the lease area of a petroleum retention lease.

petroleum retention lessee means the registered holder of a petroleum retention lease.

petroleum scientific investigation consent means:

                     (a)  a petroleum scientific investigation consent granted under Part 2.9 of this Act; or

                     (b)  a scientific investigation consent granted under section 123 of the repealed Petroleum (Submerged Lands) Act 1967.

petroleum special prospecting authority means:

                     (a)  a petroleum special prospecting authority granted under Part 2.7 of this Act; or

                     (b)  a special prospecting authority granted under section 111 of the repealed Petroleum (Submerged Lands) Act 1967.

petroleum tank station means a tank, or system of tanks, for holding or storing petroleum, and includes any structure associated with that tank or system of tanks.

petroleum valve station means equipment for regulating the flow of petroleum, and includes any structure associated with that equipment.

pipeline means:

                     (a)  a petroleum pipeline; or

                     (b)  a greenhouse gas pipeline.

pipeline licence means a pipeline licence granted under:

                     (a)  Part 2.6 of this Act; or

                     (b)  Division 4 of Part III of the repealed Petroleum (Submerged Lands) Act 1967.

pipeline licensee means the registered holder of a pipeline licence.

pipeline provisions means the following:

                     (a)  Part 2.6;

                     (b)  the definition of greenhouse gas pipeline in this section;

                     (c)  the definition of greenhouse gas pumping station in this section;

                     (d)  the definition of greenhouse gas tank station in this section;

                     (e)  the definition of greenhouse gas valve station in this section;

                      (f)  the definition of petroleum pipeline in this section;

                     (g)  the definition of petroleum pumping station in this section;

                     (h)  the definition of petroleum tank station in this section;

                      (i)  the definition of petroleum valve station in this section;

                      (j)  the definition of pipeline in this section;

                     (k)  item 3 of the table in subsection 569(1).

post‑commencement petroleum exploration permit means:

                     (a)  an original petroleum exploration permit that was granted after the commencement of this section; or

                     (b)  a petroleum exploration permit that was granted by way of renewal, where the original petroleum exploration permit was granted after the commencement of this section.

post‑commencement petroleum production licence means:

                     (a)  a petroleum production licence that was granted to the registered holder of:

                              (i)  a post‑commencement petroleum exploration permit; or

                             (ii)  a post‑commencement petroleum retention lease;

                            that was in force over the block or blocks to which the petroleum production licence relates; or

                     (b)  a petroleum production licence granted under section 181; or

                     (c)  a petroleum production licence granted under section 183, where the initial petroleum production licence mentioned in section 182 was a post‑commencement petroleum production licence.

post‑commencement petroleum retention lease means:

                     (a)  an original petroleum retention lease that was granted to the registered holder of:

                              (i)  a post‑commencement petroleum exploration permit; or

                             (ii)  a post‑commencement petroleum production licence;

                            that was in force over the block or blocks to which the original petroleum retention lease relates; or

                     (b)  a petroleum retention lease that was granted by way of renewal, where the original petroleum retention lease was granted to the registered holder of:

                              (i)  a post‑commencement petroleum exploration permit; or

                             (ii)  a post‑commencement petroleum production licence;

                            that was in force over the block or blocks to which the original petroleum retention lease related.

post‑commencement petroleum title means:

                     (a)  a post‑commencement petroleum exploration permit; or

                     (b)  a post‑commencement petroleum retention lease; or

                     (c)  a post‑commencement petroleum production licence.

potential greenhouse gas injection site has the meaning given by section 22.

potential greenhouse gas storage formation has the meaning given by section 20.

pre‑commencement petroleum exploration permit means a petroleum exploration permit other than a post‑commencement petroleum exploration permit.

pre‑commencement petroleum production licence means a petroleum production licence other than a post‑commencement petroleum production licence.

pre‑commencement petroleum retention lease means a petroleum retention lease other than a post‑commencement petroleum retention lease.

pre‑commencement petroleum title means:

                     (a)  a pre‑commencement petroleum exploration permit; or

                     (b)  a pre‑commencement petroleum retention lease; or

                     (c)  a pre‑commencement petroleum production licence.

Principal Northern Territory offshore area means so much of the offshore area of the Northern Territory as does not consist of the Eastern Greater Sunrise offshore area.

Note:          The offshore area of the Northern Territory is defined by section 8.

pumping station means:

                     (a)  a greenhouse gas pumping station; or

                     (b)  a petroleum pumping station.

Register:

                     (a)  when used in Chapter 4—has the meaning given by section 467; or

                     (b)  when used in Chapter 5—has the meaning given by section 519.

registered holder, in relation to a title, means the person whose name is shown in the Register kept under section 469 or 521 as the holder of the title. For this purpose, a title is a petroleum exploration permit, petroleum retention lease, petroleum production licence, infrastructure licence, pipeline licence, petroleum special prospecting authority, petroleum access authority, greenhouse gas assessment permit, greenhouse gas holding lease, greenhouse gas injection licence, greenhouse gas search authority or greenhouse gas special authority.

Registration Fees Act means the Offshore Petroleum and Greenhouse Gas Storage (Registration Fees) Act 2006.

regulated operation means:

                     (a)  an activity to which Chapter 2 applies; or

                     (b)  an activity to which Chapter 3 applies.

For the purposes of paragraph (b), assume that each reference in subsection 356(1) to a substance were a reference to a greenhouse gas substance.

renewal:

                     (a)  when used in relation to a petroleum exploration permit, petroleum retention lease or petroleum production licence—has the meaning given by subsection 11(1); or

                     (b)  when used in relation to a greenhouse gas assessment permit or greenhouse gas holding lease—has the meaning given by subsection 11(2).

responsible Commonwealth Minister means:

                     (a)  the Minister who is responsible for the administration of this Act; or

                     (b)  another Minister acting for and on behalf of the Minister referred to in paragraph (a).

responsible Northern Territory Minister means:

                     (a)  the Minister of the Northern Territory who is authorised under a law of the Northern Territory to perform the functions of a Designated Authority under this Act; or

                     (b)  another Minister of the Northern Territory acting for and on behalf of the Minister referred to in paragraph (a).

responsible State Minister, in relation to a State, means:

                     (a)  the Minister of the State who is authorised under a law of the State to perform the functions of a Designated Authority under this Act; or

                     (b)  another Minister of the State acting for and on behalf of the Minister referred to in paragraph (a).

Royalty Act means the Offshore Petroleum (Royalty) Act 2006.

Safety Authority means the National Offshore Petroleum Safety Authority continued in existence by section 645.

scheduled area, in relation to a State or Territory, has the meaning given by Schedule 1.

secondary line means a pipe, or system of pipes, for:

                     (a)  returning petroleum to a natural reservoir; or

                     (b)  conveying petroleum for use for petroleum exploration operations; or

                     (c)  conveying petroleum for use for petroleum recovery operations; or

                     (d)  conveying petroleum that is to be flared or vented; or

                     (e)  conveying petroleum from a well, wherever located, to a terminal station in an offshore area without passing through another terminal station.

serious situation, in relation to an identified greenhouse gas storage formation, has the meaning given by section 379.

significant risk has a meaning affected by section 25, 26, 27, 28 or 29.

site closing certificate means a certificate issued under section 392.

site plan, in relation to an identified greenhouse gas storage formation, has the meaning given by section 24.

spatial extent of an eligible greenhouse gas storage formation has the meaning given by subsection 21(3).

special greenhouse gas holding lease means a greenhouse gas holding lease granted under section 338.

special petroleum exploration permit means:

                     (a)  a petroleum exploration permit granted under Division 4 of Part 2.2 of this Act; or

                     (b)  an exploration permit granted under section 27 of the repealed Petroleum (Submerged Lands) Act 1967; or

                     (c)  a petroleum exploration permit granted under Division 5 of Part 2.2 of this Act by way of the renewal of a permit referred to in paragraph (a) or (b); or

                     (d)  an exploration permit granted under section 32 of the repealed Petroleum (Submerged Lands) Act 1967 by way of the renewal of a permit referred to in paragraph (b).

State title means an authority, however described, under a law of a State, to explore for, or to recover, petroleum.

tank station means:

                     (a)  a greenhouse gas tank station; or

                     (b)  a petroleum tank station.

term:

                     (a)  when used in relation to a petroleum exploration permit, petroleum retention lease, petroleum production licence, infrastructure licence, pipeline licence, petroleum special prospecting authority or petroleum access authority—has the meaning given by subsection 10(1); or

                     (b)  when used in relation to a greenhouse gas assessment permit, greenhouse gas holding lease, greenhouse gas injection licence, greenhouse gas search authority or greenhouse gas special authority—has the meaning given by subsection 10(2).

terminal point has the meaning given by section 17.

terminal station has the meaning given by section 16.

Territory means a Territory in which this Act applies or to which this Act extends.

tied, in relation to a greenhouse gas holding lease or greenhouse gas injection licence, has the meaning given by section 13.

Timor Sea Treaty means the Timor Sea Treaty between Australia and East Timor, done on 20 May 2002 [2003] ATS 13, as amended from time to time.

Note:          In 2007, the text of international agreements in the Australian Treaty Series was accessible through the Australian Treaties Library on the AustLII Internet site (www.austlii.edu.au).

Timor Sea Treaty Designated Authority means the Designated Authority within the meaning of the Petroleum (Timor Sea Treaty) Act 2003.

title:

                     (a)  when used in the definition of registered holder—has the meaning given by the second sentence of that definition; or

                     (b)  when used in Subdivision A of Division 2 of Part 1.2—has the meaning given by section 38; or

                     (c)  when used in Division 3 of Part 1.2—has the meaning given by section 50; or

                     (d)  when used in section 76—has the meaning given by subsection 76(4); or

                     (e)  when used in section 282—has the meaning given by subsection 282(6); or

                      (f)  when used in section 462—has the meaning given by subsection 462(6); or

                     (g)  when used in Chapter 4—has the meaning given by section 467; or

                     (h)  when used in section 574—has the meaning given by subsection 574(1); or

                      (i)  when used in Chapter 5—has the meaning given by section 519; or

                      (j)  when used in section 580—has the meaning given by subsection 580(1).

title area:

                     (a)  when used in Division 3 of Part 1.2—has the meaning given by section 51; or

                     (b)  when used in section 572—has the meaning given by subsection 572(1); or

                     (c)  when used in section 586—has the meaning given by subsection 586(6).

titleholder:

                     (a)  when used in Division 3 of Part 1.2—has the meaning given by section 51; or

                     (b)  when used in section 572—has the meaning given by subsection 572(1).

vacated area has the meaning given by section 14.

valve station means:

                     (a)  a greenhouse gas valve station; or

                     (b)  a petroleum valve station.

vessel means a vessel used in navigation, other than air navigation, and includes a barge, lighter or other floating vessel.

water line means a pipe, or system of pipes, for conveying water in connection with:

                     (a)  petroleum exploration operations; or

                     (b)  petroleum recovery operations; or

                     (c)  exploration for potential greenhouse gas storage formations; or

                     (d)  exploration for potential greenhouse gas injection sites; or

                     (e)  the injection of a greenhouse gas substance into an identified greenhouse gas storage formation; or

                      (f)  the injection, on an appraisal basis, of a greenhouse gas substance into a part of a geological formation; or

                     (g)  the injection, on an appraisal basis, of air, petroleum or water into a part of a geological formation.

well means a hole in the seabed or subsoil made by drilling, boring or any other means in connection with:

                     (a)  exploration for petroleum; or

                     (b)  petroleum recovery operations; or

                     (c)  exploration for potential greenhouse gas storage formations; or

                     (d)  exploration for potential greenhouse gas injection sites; or

                     (e)  the injection of a greenhouse gas substance into an identified greenhouse gas storage formation; or

                      (f)  the injection, on an appraisal basis, of a greenhouse gas substance into a part of a geological formation; or

                     (g)  the injection, on an appraisal basis, of air, petroleum or water into a part of a geological formation;

but does not include a seismic shot hole.

Western Greater Sunrise area has the meaning given by Schedule 7.

Note:          Activities occurring in the Western Greater Sunrise area in relation to the exploration, development and exploitation of the Greater Sunrise unit reservoirs are dealt with under the Petroleum (Timor Sea Treaty) Act 2003.

wholly cancelled, in relation to a petroleum exploration permit, petroleum production licence or pipeline licence, means cancelled as to all the blocks, or as to the whole of the pipeline, the subject of the permit or licence.

wholly revoked, in relation to a petroleum exploration permit or petroleum retention lease, means revoked as to all the blocks the subject of the permit or lease.

wholly terminated, in relation to a pipeline licence, means terminated as to the whole of the pipeline the subject of the licence.

work‑bid greenhouse gas assessment permit means a greenhouse gas assessment permit granted under Division 2 of Part 3.2.

work‑bid petroleum exploration permit means:

                     (a)  a petroleum exploration permit granted under Division 2 of Part 2.2 of this Act; or

                     (b)  an exploration permit granted under section 22 of the repealed Petroleum (Submerged Lands) Act 1967; or

                     (c)  a petroleum exploration permit granted under Division 5 of Part 2.2 of this Act by way of the renewal of a permit referred to in paragraph (a) or (b); or

                     (d)  an exploration permit granted under section 32 of the repealed Petroleum (Submerged Lands) Act 1967 by way of the renewal of a permit referred to in paragraph (b).

8  Offshore areas of the States and Territories

             (1)  For the purposes of this Act, the table has effect:

 

Offshore areas

Item

The offshore area of...

is...

1

(a) New South Wales; or

(b) Victoria; or

(c) South Australia; or

(d) Tasmania

so much of the scheduled area for that State as comprises waters of the sea that are:

(a) beyond the outer limits of the coastal waters of that State; and

(b) within the outer limits of the continental shelf.

2

Queensland

both of the following areas:

(a) so much of the scheduled area for Queensland as comprises waters of the sea that are:

(i) beyond the outer limits of the coastal waters of Queensland; and

(ii) within the outer limits of the continental shelf;

(b) the Coral Sea area (as defined by subsection (2)).

3

Western Australia

so much of the scheduled area for Western Australia as comprises waters of the sea that are:

(a) beyond the outer limits of the coastal waters of Western Australia; and

(b) within the outer limits of the continental shelf; and

(c) not within the Joint Petroleum Development Area.

4

the Northern Territory

so much of the scheduled area for the Northern Territory as comprises waters of the sea that are:

(a) beyond the outer limits of the coastal waters of the Northern Territory; and

(b) within the outer limits of the continental shelf; and

(c) not within the Joint Petroleum Development Area.

5

the Territory of Ashmore and Cartier Islands

so much of the scheduled area for that Territory as consists of land and water that is:

(a) within the outer limits of the continental shelf; and

(b) not within the Joint Petroleum Development Area.

6

Norfolk Island

the area whose boundaries are:

(a) the coastline at mean low water of Norfolk Island; and

(b) the outer limit of the superjacent waters of the continental shelf adjacent to the coast of Norfolk Island.

7

the Territory of Heard Island and McDonald Islands

the area whose boundaries are:

(a) the coastlines at mean low water of the islands comprising that Territory; and

(b) the outer limit of the superjacent waters of the continental shelf adjacent to the coasts of those islands.

8

the Territory of Christmas Island

the area whose boundaries are:

(a) the coastline at mean low water of Christmas Island; and

(b) the outer limit of the superjacent waters of the continental shelf adjacent to the coast of Christmas Island.

9

the Territory of Cocos (Keeling) Islands

both of the following areas:

(a) the area whose boundaries are the coastline at mean low water of the north atoll of that Territory (otherwise called North Keeling Island), and the outer limit of the superjacent waters of the continental shelf adjacent to the coast of that Island;

(b) the area whose boundaries are the coastlines at mean low water of the remaining islands of that Territory, and the outer limit of the superjacent waters of the continental shelf adjacent to the coasts of those islands.

Note:          The offshore area of a State or Territory corresponds to the adjacent area under the repealed Petroleum (Submerged Lands) Act 1967.

             (2)  For the purposes of this section, the Coral Sea area is so much of the area to the east of the area described in paragraph (a) of item 2 of the table in subsection (1) as comprises waters of the sea that are within the outer limits of the continental shelf, other than any part of that area that is:

                     (a)  to the south of the parallel of Latitude 25° South; or

                     (b)  on the landward side of the coastline of any island at mean low water.

Note:          For datum, see section 40.

Territory of Ashmore and Cartier Islands—land taken to be beneath the sea etc.

             (3)  This Act has effect in relation to so much of the offshore area of the Territory of Ashmore and Cartier Islands as consists of land as if that land were:

                     (a)  beneath the sea; and

                     (b)  part of the seabed and subsoil of that offshore area.

Areas of the continental shelf over which Australia does not exercise sovereign rights

             (4)  For the purposes of:

                     (a)  an item in the table in subsection (1); and

                     (b)  subsection (2);

the continental shelf does not include any area of seabed and subsoil that, as a result of an agreement in force between Australia and a foreign country, is not an area over which Australia exercises sovereign rights.

9  Spaces above and below offshore areas

                   For the purposes of this Act:

                     (a)  the space above or below an offshore area is taken to be in that area; and

                     (b)  the space above or below an area that is part of an offshore area is taken to be in that part.

10  Term of titles

Petroleum titles

             (1)  For the purposes of this Act, the table has effect:

 

Term of title etc.

Item

A reference in this Act to...

is a reference to...

1

the term of:

(a) a petroleum exploration permit; or

(b) a petroleum retention lease; or

(c) a petroleum production licence; or

(d) an infrastructure licence; or

(e) a pipeline licence; or

(f) a petroleum special prospecting authority; or

(g) a petroleum access authority;

the period during which the permit, lease, licence or authority remains in force.

2

a year of the term of:

(a) a petroleum exploration permit; or

(b) a petroleum retention lease; or

(c) a petroleum production licence; or

(d) an infrastructure licence; or

(e) a pipeline licence;

a period of one year beginning on:

(a) the day on which the permit, lease or licence comes into force; or

(b) any anniversary of that day.

3

the expiry date of:

(a) a petroleum exploration permit; or

(b) a petroleum retention lease; or

(c) a petroleum production licence;

the day on which the permit, lease or licence ceases to be in force.

Greenhouse gas titles

             (2)  For the purposes of this Act, the table has effect:

 

Term of title etc.

Item

A reference in this Act to...

is a reference to...

1

the term of:

(a) a greenhouse gas assessment permit; or

(b) a greenhouse gas holding lease; or

(c) a greenhouse gas injection licence; or

(d) a greenhouse gas search authority; or

(e) a greenhouse gas special authority;

the period during which the permit, lease, licence or authority remains in force.

2

a year of the term of:

(a) a greenhouse gas assessment permit; or

(b) a greenhouse gas holding lease; or

(c) a greenhouse gas injection licence;

a period of one year beginning on:

(a) the day on which the permit, lease or licence comes into force; or

(b) any anniversary of that day.

3

the expiry date of:

(a) a greenhouse gas assessment permit; or

(b) a greenhouse gas holding lease (other than a special greenhouse gas holding lease);

the day on which the permit or lease ceases to be in force.

11  Renewal of titles

Petroleum titles

             (1)  For the purposes of this Act, the table has effect:

 

Renewal of titles

 

Column 1

Column 2

Item

A reference in this Act to...

is a reference to...

1

the renewal, or the grant of a renewal, of a petroleum exploration permit

the grant of a petroleum exploration permit over some or all of the blocks specified in the permit mentioned in column 1, to begin on:

(a) the day after the expiry date of the permit mentioned in column 1; or

(b) the day after the expiry date of the petroleum exploration permit granted on a previous renewal of the permit mentioned in column 1.

2

the renewal, or the grant of a renewal, of a petroleum retention lease

the grant of a petroleum retention lease over all of the blocks in relation to which the lease mentioned in column 1 was in force, to begin on:

(a) the day after the expiry date of the lease mentioned in column 1; or

(b) the day after the expiry date of the petroleum retention lease granted on a previous renewal of the lease mentioned in column 1.

3

the renewal, or the grant of a renewal, of a petroleum production licence

the grant of a petroleum production licence over the block or blocks specified in the licence mentioned in column 1, to begin on:

(a) the day after the expiry date of the licence mentioned in column 1; or

(b) the day after the expiry date of the petroleum production licence granted on a previous renewal of the licence mentioned in column 1.

Greenhouse gas titles

             (2)  For the purposes of this Act, the table has effect:

 

Renewal of title

 

Column 1

Column 2

Item

A reference in this Act to...

is a reference to...

1A

the renewal, or the grant of a renewal, of a greenhouse gas assessment permit

the grant of a greenhouse gas assessment permit over all of the blocks in relation to which the permit mentioned in column 1 was in force, to begin on the day after the expiry date of the permit mentioned in column 1.

1

the renewal, or the grant of a renewal, of a greenhouse gas holding lease

the grant of a greenhouse gas holding lease over all of the blocks in relation to which the lease mentioned in column 1 was in force, to begin on the day after the expiry date of the lease mentioned in column 1.

12  Variation of titles

Petroleum titles

             (1)  If a petroleum exploration permit, petroleum retention lease, petroleum production licence, infrastructure licence, pipeline licence, petroleum special prospecting authority or petroleum access authority is varied, a reference in this Act to the permit, lease, licence or authority is a reference to the permit, lease, licence or authority as varied.

Greenhouse gas titles

             (2)  If:

                     (a)  a greenhouse gas assessment permit; or

                     (b)  a greenhouse gas holding lease; or

                     (c)  a greenhouse gas injection licence; or

                     (d)  a greenhouse gas search authority; or

                     (e)  a greenhouse gas special authority;

is varied, a reference in this Act to the permit, lease, licence or authority is a reference to the permit, lease, licence or authority as varied.

13  Tied titles

Scope

             (1)  This section applies if a greenhouse gas holding lease (the greenhouse gas lease) is granted under section 345 to the registered holder of a petroleum retention lease (the petroleum lease).

Tied titles

             (2)  For the purposes of this Act, each of the following:

                     (a)  the greenhouse gas lease;

                     (b)  a greenhouse gas holding lease granted by way of renewal of the greenhouse gas lease;

                     (c)  a greenhouse gas injection licence derived from a lease referred to in paragraph (a) or (b);

is tied to each of the following:

                     (d)  the petroleum lease;

                     (e)  a petroleum retention lease granted by way of renewal of the petroleum lease;

                      (f)  a petroleum production licence derived from a lease referred to in paragraph (d) or (e).

14  Vacated area

                   For the purposes of this Act, the table has effect:

 

Vacated area

Item

In the case of...

the vacated area is...

1

a petroleum exploration permit, petroleum retention lease or petroleum production licence that has expired

the area constituted by the blocks over which the permit, lease or licence was in force but has not been renewed.

2

a petroleum exploration permit, petroleum retention lease or petroleum production licence that has been wholly revoked or partly revoked

the area constituted by the blocks as to which the permit, lease or licence was so revoked.

3

a petroleum exploration permit or petroleum production licence that has been wholly cancelled or partly cancelled

the area constituted by the blocks as to which the permit or licence was so cancelled.

4

a petroleum retention lease that has been cancelled

the lease area.

5

a petroleum production licence that has been terminated

the licence area.

6

an infrastructure licence that has been cancelled or terminated

the licence area.

7

a pipeline licence that has been wholly or partly terminated

the part of the offshore area in which the pipeline or the part of the pipeline was constructed.

8

a pipeline licence that has been wholly cancelled or partly cancelled

the part of the offshore area in which the pipeline or the part of the pipeline was constructed.

9

a petroleum special prospecting authority that:

(a) has been surrendered or cancelled; or

(b) has expired

the authority area.

10

a petroleum access authority that:

(a) has been revoked or surrendered; or

(b) has expired

the authority area.

11

a greenhouse gas assessment permit that has expired

the area constituted by the blocks over which the permit was in force but has not been renewed.

12

a greenhouse gas holding lease (other than a special greenhouse gas holding licence) that has expired

the area constituted by the blocks over which the lease was in force but has not been renewed.

13

a greenhouse gas assessment permit that has been cancelled

the permit area.

14

a greenhouse gas holding lease that has been cancelled

the lease area.

15

a greenhouse gas injection licence that has been cancelled

the licence area.

16

a greenhouse gas search authority that:

(a) has been surrendered or cancelled; or

(b) has expired

the authority area.

17

a greenhouse gas special authority that:

(a) has been revoked or surrendered; or

(b) has expired

the authority area.

15  Infrastructure facilities

Definition

             (1)  For the purposes of this Act, an infrastructure facility is a facility, structure or installation for engaging in any of the activities to which subsection (2) or (3) applies, so long as:

                     (a)  the facility, structure or installation rests on the seabed; or

                     (b)  the facility, structure or installation is fixed or connected to the seabed (whether or not the facility is floating); or

                     (c)  the facility, structure or installation is attached or tethered to a facility, structure or installation referred to in paragraph (a) or (b).

Petroleum activities

             (2)  This subsection applies to the following activities:

                     (a)  remote control of facilities, structures or installations used to recover petroleum in a petroleum production licence area;

                     (b)  processing petroleum recovered in any place, including:

                              (i)  converting petroleum into another form by physical or chemical means, or both (for example, converting it into liquefied natural gas or methanol); and

                             (ii)  partial processing of petroleum (for example, by removing water);

                     (c)  storing petroleum before it is transported to another place;

                     (d)  preparing petroleum for transport to another place (for example, pumping or compressing);

                     (e)  activities related to any of the above;

but, except as mentioned in paragraph (a), this subsection does not apply to exploring for, or recovering, petroleum.

Greenhouse gas activities

             (3)  This subsection applies to the following activities:

                     (a)  activities preparatory to injecting a greenhouse gas substance into an identified greenhouse gas storage formation (for example, controlling the flow of a greenhouse gas substance into the relevant well);

                     (b)  preparing a greenhouse gas substance for injection into an identified greenhouse gas storage formation (for example, pumping, processing or compressing);

                     (c)  preparing a greenhouse gas substance for transport to another place (for example, pumping or compressing);

                     (d)  storing a greenhouse gas substance before it is:

                              (i)  transported to another place; or

                             (ii)  injected into an identified greenhouse gas storage formation; or

                            (iii)  subjected to any other activity at a facility, structure or installation;

                     (e)  monitoring the behaviour of a greenhouse gas substance stored in an identified greenhouse gas storage formation;

                      (f)  remote control of facilities, structures or installations used to:

                              (i)  inject a greenhouse gas substance into an identified greenhouse gas storage formation; or

                             (ii)  store a greenhouse gas substance in an identified greenhouse gas storage formation; or

                            (iii)  do anything mentioned in any of the above paragraphs;

                     (g)  activities related to any of the above.

             (4)  For the purposes of subsection (3), the injection of a greenhouse gas substance into an identified greenhouse gas storage formation is taken to take place at the top of the relevant well.

16  Terminal station

             (1)  The Designated Authority may, by notice published in the Gazette, declare any of the following to be a terminal station for the purposes of this Act:

                     (a)  a specified petroleum pumping station in an offshore area;

                     (b)  a specified petroleum tank station in an offshore area;

                     (c)  a specified petroleum valve station in an offshore area.

             (2)  A declaration under subsection (1) has effect accordingly.

             (3)  To avoid doubt, a declaration may be made under subsection (1) whether or not a person has applied for a pipeline licence.

17  Terminal point

             (1)  The responsible Commonwealth Minister may, by notice published in the Gazette, declare that a specified point on a pipe, or system of pipes, for conveying a greenhouse gas substance is a terminal point for the purposes of this Act.

             (2)  A declaration under subsection (1) has effect accordingly.

             (3)  To avoid doubt, a declaration may be made under subsection (1) whether or not a person has applied for a pipeline licence.

18  Declared greenhouse gas facility

             (1)  The responsible Commonwealth Minister may, by notice published in the Gazette, declare that a specified facility, structure or installation in a greenhouse gas injection licence area is a declared greenhouse gas facility for the purposes of this Act.

             (2)  A declaration under subsection (1) has effect accordingly.

19  Extended meaning of explore

Petroleum

             (1)  For the purposes of this Act, if:

                     (a)  a person:

                              (i)  carries out a seismic survey, or any other kind of survey, in an offshore area; or

                             (ii)  takes samples of the seabed or subsoil of an offshore area; and

                     (b)  the person does so with the intention that the person or another could use the survey data, or information derived from the samples, as the case may be, for the purpose of discovering petroleum;

the person is taken to explore for petroleum.

Potential greenhouse gas storage formation

             (2)  For the purposes of this Act, if:

                     (a)  a person:

                              (i)  carries out a seismic survey, or any other kind of survey, in an offshore area; or

                             (ii)  takes samples of the seabed or subsoil of an offshore area; and

                     (b)  the person does so with the intention that the person or another could use the survey data, or information derived from the samples, as the case may be, for the purpose of discovering one or more potential greenhouse gas storage formations;

the person is taken to explore for those potential greenhouse gas storage formations.

             (3)  For the purposes of this Act, if:

                     (a)  a person has reasonable grounds to suspect that a part of a geological formation could be an eligible greenhouse gas storage formation; and

                     (b)  the person carries out an activity for the purposes of ascertaining either or both of the following:

                              (i)  the spatial extent of the eligible greenhouse gas storage formation;

                             (ii)  any of the fundamental suitability determinants of the eligible greenhouse gas storage formation;

the person is taken to explore for a potential greenhouse gas formation.

Potential greenhouse gas injection site

             (4)  For the purposes of this Act, if:

                     (a)  a person:

                              (i)  carries out a seismic survey, or any other kind of survey, in an offshore area; or

                             (ii)  takes samples of the seabed or subsoil of an offshore area; and

                     (b)  the person does so with the intention that the person or another could use the survey data, or information derived from the samples, as the case may be, for the purpose of discovering one or more potential greenhouse gas injection sites;

the person is taken to explore for those potential greenhouse gas injection sites.

20  Potential greenhouse gas storage formation

             (1)  For the purposes of this Act, a potential greenhouse gas storage formation is a part of a geological formation, where that part is suitable, with or without engineering enhancements, for the permanent storage of a greenhouse gas substance injected into that part.

             (2)  For the purposes of subsection (1), it is not necessary to identify the greenhouse gas substance.

             (3)  For the purposes of subsection (1), in determining whether a part of a geological formation is suitable, with or without engineering enhancements, for the permanent storage of a greenhouse gas substance injected into that part, regard may be had to reasonably foreseeable technological developments.

21  Eligible greenhouse gas storage formation

             (1)  For the purposes of this Act, an eligible greenhouse gas storage formation is a part of a geological formation, where that part:

                     (a)  is suitable, without engineering enhancements, for the permanent storage of a particular amount of a particular greenhouse gas substance injected at a particular point or points into that part over a particular period; or

                     (b)  is suitable, with engineering enhancements, for the permanent storage of a particular amount of a particular greenhouse gas substance injected at a particular point or points into that part over a particular period.

             (2)  An amount referred to in paragraph (1)(a) or (b) must be at least 100,000 tonnes.

Spatial extent

             (3)  For the purposes of this Act, the spatial extent of an eligible greenhouse gas storage formation is the expected migration pathway or pathways, over the period:

                     (a)  beginning at the start of the particular period referred to in whichever of paragraph (1)(a) or (b) is applicable; and

                     (b)  ending at the notional site closing certificate time;

of the particular amount of the particular greenhouse gas substance injected as mentioned in whichever of paragraph (1)(a) or (b) is applicable.

             (4)  In determining the spatial extent of an eligible greenhouse gas storage formation, regard must be had to:

                     (a)  the fundamental suitability determinants; and

                     (b)  such other matters as are relevant.

             (5)  The regulations may provide that the expected migration pathway or pathways are to be ascertained on the basis of:

                     (a)  one or more assumptions (if any) specified in the regulations; and

                     (b)  a level of probability specified in the regulations; and

                     (c)  a methodology (if any) specified in the regulations.

Notional site closing certificate time

             (6)  For the purposes of the application of this section to a part of a geological formation covered by paragraph (1)(a), the notional site closing certificate time is worked out as follows:

                     (a)  assume that the particular amount of the particular greenhouse gas substance referred to in that paragraph was injected at the particular point or points referred to in that paragraph over the particular period referred to in that paragraph;

                     (b)  assume that, throughout that period, that part was an identified greenhouse gas storage formation;

                     (c)  assume that, throughout that period, operations for the injection of the greenhouse gas substance into that part:

                              (i)  were authorised by a greenhouse gas injection licence; and

                             (ii)  complied with the requirements of this Act and the regulations;

                     (d)  assume that, at the end of that period, operations for the injection of the greenhouse gas substance into that part ceased;

                     (e)  estimate the earliest time after the end of that period when the responsible Commonwealth Minister would be in a position to issue a site closing certificate in relation to the identified greenhouse gas storage formation;

                      (f)  that time is the notional site closing certificate time.

             (7)  For the purposes of the application of this section to a part of a geological formation covered by paragraph (1)(b), the notional site closing certificate time is worked out as follows:

                     (a)  assume that the engineering enhancements referred to in that paragraph had been made;

                     (b)  assume that the particular amount of the particular greenhouse gas substance referred to in that paragraph was injected at the particular point or points referred to in that paragraph over the particular period referred to in that paragraph;

                     (c)  assume that, throughout that period, that part was an identified greenhouse gas storage formation;

                     (d)  assume that, throughout that period, operations for the injection of the greenhouse gas substance into that part:

                              (i)  were authorised by a greenhouse gas injection licence; and

                             (ii)  complied with the requirements of this Act and the regulations;

                     (e)  assume that, at the end of that period, operations for the injection of the greenhouse gas substance into that part ceased;

                      (f)  estimate the earliest time after the end of that period when the responsible Commonwealth Minister would be in a position to issue a site closing certificate in relation to the identified greenhouse gas storage formation;

                     (g)  that time is the notional site closing certificate time.

Fundamental suitability determinants

             (8)  For the purposes of this Act, the following are the fundamental suitability determinants of an eligible greenhouse gas storage formation:

                     (a)  the particular amount referred to in whichever of paragraph (1)(a) or (b) is applicable;

                     (b)  the particular greenhouse gas substance referred to in whichever of paragraph (1)(a) or (b) is applicable;

                     (c)  the particular point or points referred to in whichever of paragraph (1)(a) or (b) is applicable;

                     (d)  the particular period referred to in whichever of paragraph (1)(a) or (b) is applicable;

                     (e)  if paragraph (1)(b) is applicable—the engineering enhancements referred to in that paragraph;

                      (f)  the effective sealing feature, attribute or mechanism that enables the permanent storage referred to in whichever of paragraph (1)(a) or (b) is applicable.

22  Potential greenhouse gas injection site

                   For the purposes of this Act, a potential greenhouse gas injection site is a place that:

                     (a)  is a suitable place to make a well or wells to inject a greenhouse gas substance into a part of a geological formation; and

                     (b)  is wholly situated in one or more offshore areas.

23  Incidental greenhouse gas‑related substance

Scope

             (1)  This section applies if either or both of the following substances (primary greenhouse gas substances) are captured from a particular source material:

                     (a)  carbon dioxide;

                     (b)  one or more prescribed greenhouse gases.

Incidental greenhouse gas‑related substance

             (2)  For the purposes of this Act, the following are incidental greenhouse gas‑related substances in relation to a primary greenhouse gas substance:

                     (a)  any substance that is incidentally derived from the source material;

                     (b)  any substance that is incidentally derived from the capture;

                     (c)  if the primary greenhouse gas substance, whether in a pure form or in a mixture with other substances, is transported—any substance that is incidentally derived from the transportation;

                     (d)  if the primary greenhouse gas substance, whether in a pure form or in a mixture with other substances, is injected into a part of a geological formation—any substance that is incidentally derived from the injection;

                     (e)  if the primary greenhouse gas substance, whether in a pure form or in a mixture with other substances, is stored in a part of a geological formation—any substance that is incidentally derived from the storage.

24  Site plan—identified greenhouse gas storage formation

                   For the purposes of this Act, a site plan, in relation to an identified greenhouse gas storage formation, is a document that:

                     (a)  relates to the identified greenhouse gas storage formation; and

                     (b)  complies with such requirements as are specified in the regulations; and

                     (c)  is divided into the following parts:

                              (i)  Part A, which sets out predictions for the behaviour of a greenhouse gas substance stored in the identified greenhouse gas storage formation;

                             (ii)  Part B, which deals with other matters.

25  Significant risk of a significant adverse impact—approval of key petroleum operations

             (1)  For the purposes of sections 100, 101, 137, 138, 163 and 164 and paragraph 749(2)(a), the question of whether there is a significant risk that a key petroleum operation will have a significant adverse impact on:

                     (a)  operations for the injection of a greenhouse gas substance; or

                     (b)  operations for the storage of a greenhouse gas substance;

is to be determined in a manner ascertained in accordance with the regulations.

             (2)  A manner ascertained in accordance with regulations made for the purposes of subsection (1) must take into account:

                     (a)  the probability, or range of probabilities, of the occurrence of the adverse impact; and

                     (b)  the economic consequences of the adverse impact; and

                     (c)  the economic consequences of the adverse impact relative to the potential economic value of the operations referred to in whichever of paragraph (1)(a) or (b) is applicable.

             (3)  Subsection (2) does not limit the matters that may be taken into account.

             (4)  Subsections (1) and (2) have effect subject to subsections (5) and (6).

             (5)  For the purposes of sections 100, 101, 137, 138, 163 and 164 and paragraph 749(2)(a), a key petroleum operation will have an adverse impact on:

                     (a)  operations for the injection of a greenhouse gas substance; or

                     (b)  operations for the storage of a greenhouse gas substance;

(the relevant greenhouse gas operations) if, and only if, the key petroleum operation will result in:

                     (c)  an increase in the capital costs (other than prescribed costs) of the relevant greenhouse gas operations; or

                     (d)  an increase in the operating costs (other than prescribed costs) of the relevant greenhouse gas operations; or

                     (e)  a reduction in the rate of injection of the greenhouse gas substance; or

                      (f)  a reduction in the quantity of the greenhouse gas substance that will be able to be stored.

             (6)  For the purposes of sections 100, 101, 137, 138, 163 and 164 and paragraph 749(2)(a), if there is a risk that a key petroleum operation will have an adverse impact on:

                     (a)  operations for the injection of a greenhouse gas substance; or

                     (b)  operations for the storage of a greenhouse gas substance;

then that risk is not to be treated as significant, and that adverse impact is not to be treated as significant, if the amount that, under the regulations, is taken to be the probability‑weighted impact cost of the key petroleum operation is less than the amount that, under the regulations, is taken to be the threshold amount.

26  Significant risk of a significant adverse impact—grant of petroleum production licence

             (1)  For the purposes of sections 171 and 173, the question of whether there is a significant risk that any of the operations that could be carried on under a petroleum production licence will have a significant adverse impact on operations that are being, or could be, carried on under:

                     (a)  a greenhouse gas assessment permit; or

                     (b)  a greenhouse gas holding lease; or

                     (c)  a greenhouse gas injection licence;

is to be determined in a manner ascertained in accordance with the regulations.

             (2)  A manner ascertained in accordance with regulations made for the purposes of subsection (1) must take into account:

                     (a)  the probability, or range of probabilities, of the occurrence of the adverse impact; and

                     (b)  the economic consequences of the adverse impact; and

                     (c)  the economic consequences of the adverse impact relative to the potential economic value of the operations that are being, or could be, carried on under the permit, lease or licence referred to in whichever of paragraph (1)(a), (b) or (c) is applicable.

             (3)  Subsection (2) does not limit the matters that may be taken into account.

             (4)  Subsections (1) and (2) have effect subject to subsections (5) and (6).

             (5)  For the purposes of sections 171 and 173, an operation that could be carried on under a petroleum production licence (the petroleum production licence operation) will have an adverse impact on operations (the relevant greenhouse gas operations) that are being, or could be, carried on under:

                     (a)  a greenhouse gas assessment permit; or

                     (b)  a greenhouse gas holding lease; or

                     (c)  a greenhouse gas injection licence;

if, and only if, the petroleum production licence operation will result in:

                     (d)  an increase in the capital costs (other than prescribed costs) of the relevant greenhouse gas operations; or

                     (e)  an increase in the operating costs (other than prescribed costs) of the relevant greenhouse gas operations; or

                      (f)  a reduction in the rate of injection of the greenhouse gas substance; or

                     (g)  a reduction in the quantity of the greenhouse gas substance that will be able to be stored.

             (6)  For the purposes of sections 171 and 173, if there is a risk that an operation that could be carried on under a petroleum production licence (the petroleum production licence operation) will have an adverse impact on operations that are being, or could be, carried on under:

                     (a)  a greenhouse gas assessment permit; or

                     (b)  a greenhouse gas holding lease; or

                     (c)  a greenhouse gas injection licence;

then that risk is not to be treated as significant, and that adverse impact is not to be treated as significant, if the amount that, under the regulations, is taken to be the probability‑weighted impact cost of the petroleum production licence operation is less than the amount that, under the regulations, is taken to be the threshold amount.

27  Significant risk of a significant adverse impact—approval of key greenhouse gas operations

             (1)  For the purposes of sections 292 and 321 and paragraph 749(2)(b), the question of whether there is a significant risk that a key greenhouse gas operation will have a significant adverse impact on petroleum exploration operations, or petroleum recovery operations, that are being, or could be, carried on under:

                     (a)  an existing petroleum exploration permit; or

                     (b)  an existing petroleum retention lease; or

                     (c)  an existing petroleum production licence; or

                     (d)  a future petroleum exploration permit; or

                     (e)  a future petroleum retention lease; or

                      (f)  a future petroleum production licence;

is to be determined in a manner ascertained in accordance with the regulations.

             (2)  A manner ascertained in accordance with regulations made for the purposes of subsection (1) must take into account:

                     (a)  the probability, or range of probabilities, of the occurrence of the adverse impact; and

                     (b)  the economic consequences of the adverse impact; and

                     (c)  the economic consequences of the adverse impact relative to the potential economic value of the petroleum exploration operations, or petroleum recovery operations, that are being, or could be, carried on under the permit, lease or licence referred to in whichever of paragraph (1)(a), (b), (c), (d), (e) or (f) is applicable.

             (3)  Subsection (2) does not limit the matters that may be taken into account.

             (4)  Subsections (1) and (2) have effect subject to subsections (5) and (6).

             (5)  For the purposes of sections 292 and 321 and paragraph 749(2)(b), a key greenhouse gas operation will have an adverse impact on petroleum exploration operations, or petroleum recovery operations, that are being, or could be, carried on under:

                     (a)  an existing petroleum exploration permit; or

                     (b)  an existing petroleum retention lease; or

                     (c)  an existing petroleum production licence; or

                     (d)  a future petroleum exploration permit; or

                     (e)  a future petroleum retention lease; or

                      (f)  a future petroleum production licence;

if, and only if, the key greenhouse gas operation will result in:

                     (g)  an increase in the capital costs (other than prescribed costs) of the petroleum exploration operations or petroleum recovery operations; or

                     (h)  an increase in the operating costs (other than prescribed costs) of the petroleum exploration operations or petroleum recovery operations; or

                      (i)  a reduction in the rate of recovery of the petroleum; or

                      (j)  a reduction in the quantity of the petroleum that will be able to be recovered.

             (6)  For the purposes of sections 292 and 321 and paragraph 749(2)(b), if there is a risk that a key greenhouse gas operation will have an adverse impact on petroleum exploration operations, or petroleum recovery operations, that are being, or could be, carried on under:

                     (a)  an existing petroleum exploration permit; or

                     (b)  an existing petroleum retention lease; or

                     (c)  an existing petroleum production licence; or

                     (d)  a future petroleum exploration permit; or

                     (e)  a future petroleum retention lease; or

                      (f)  a future petroleum production licence;

then that risk is not to be treated as significant, and that adverse impact is not to be treated as significant, if the amount that, under the regulations, is taken to be the probability‑weighted impact cost of the key greenhouse gas operation is less than the amount that, under the regulations, is taken to be the threshold amount.

28  Significant risk of a significant adverse impact—grant of greenhouse gas injection licence

             (1)  For the purposes of sections 362 and 370 and paragraph 749(2)(c), the question of whether there is a significant risk that any of the operations that could be carried on under a greenhouse gas injection licence will have a significant adverse impact on operations that are being, or could be, carried on under:

                     (a)  an existing petroleum exploration permit; or

                     (b)  an existing petroleum retention lease; or

                     (c)  an existing petroleum production licence; or

                     (d)  a future petroleum exploration permit; or

                     (e)  a future petroleum retention lease; or

                      (f)  a future petroleum production licence;

is to be determined in a manner ascertained in accordance with the regulations.

             (2)  A manner ascertained in accordance with regulations made for the purposes of subsection (1) must take into account:

                     (a)  the probability, or range of probabilities, of the occurrence of the adverse impact; and

                     (b)  the economic consequences of the adverse impact; and

                     (c)  the economic consequences of the adverse impact relative to the potential economic value of the operations that are being, or could be, carried on under the permit, lease or licence referred to in whichever of paragraph (1)(a), (b), (c), (d), (e) or (f) is applicable.

             (3)  Subsection (2) does not limit the matters that may be taken into account.

             (4)  Subsections (1) and (2) have effect subject to subsections (5) and (6).

             (5)  For the purposes of sections 362 and 370 and paragraph 749(2)(c), an operation that could be carried on under a greenhouse gas injection licence (the injection licence operation) will have an adverse impact on operations (the relevant petroleum operations) that are being, or could be, carried on under:

                     (a)  an existing petroleum exploration permit; or

                     (b)  an existing petroleum retention lease; or

                     (c)  an existing petroleum production licence; or

                     (d)  a future petroleum exploration permit; or

                     (e)  a future petroleum retention lease; or

                      (f)  a future petroleum production licence;

if, and only if, the injection licence operation will result in:

                     (g)  an increase in the capital costs (other than prescribed costs) of the relevant petroleum operations; or

                     (h)  an increase in the operating costs (other than prescribed costs) of the relevant petroleum operations; or

                      (i)  a reduction in the rate of recovery of the petroleum; or

                      (j)  a reduction in the quantity of the petroleum that will be able to be recovered.

             (6)  For the purposes of sections 362 and 370 and paragraph 749(2)(c), if there is a risk that an operation that could be carried on under a greenhouse gas injection licence (the injection licence operation) will have an adverse impact on operations that are being, or could be, carried on under:

                     (a)  an existing petroleum exploration permit; or

                     (b)  an existing petroleum retention lease; or

                     (c)  an existing petroleum production licence; or

                     (d)  a future petroleum exploration permit; or

                     (e)  a future petroleum retention lease; or

                      (f)  a future petroleum production licence;

then that risk is not to be treated as significant, and that adverse impact is not to be treated as significant, if the amount that, under the regulations, is taken to be the probability‑weighted impact cost of the injection licence operation is less than the amount that, under the regulations, is taken to be the threshold amount.

29  Significant risk of a significant adverse impact—power of responsible Commonwealth Minister to protect petroleum

             (1)  For the purposes of section 383 and paragraph 749(2)(d), the question of whether there is a significant risk that any of the operations that are being, or could be, carried on under a greenhouse gas injection licence will have a significant adverse impact on:

                     (a)  operations to recover petroleum; or

                     (b)  the commercial viability of the recovery of petroleum;

is to be determined in a manner ascertained in accordance with the regulations.

             (2)  A manner ascertained in accordance with regulations made for the purposes of subsection (1) must take into account:

                     (a)  the probability, or range of probabilities, of the occurrence of the adverse impact; and

                     (b)  the economic consequences of the adverse impact; and

                     (c)  the economic consequences of the adverse impact relative to the potential economic value of the operations or recovery referred to in whichever of paragraph (1)(a) or (b) is applicable.

             (3)  Subsection (2) does not limit the matters that may be taken into account.

             (4)  Subsections (1) and (2) have effect subject to subsections (5) and (6).

             (5)  For the purposes of section 383 and paragraph 749(2)(d), an operation that could be carried on under a greenhouse gas injection licence (the injection licence operation) will have an adverse impact on:

                     (a)  operations to recover petroleum; or

                     (b)  the commercial viability of the recovery of petroleum;

if, and only if, the injection licence operation will result in:

                     (c)  an increase in the capital costs (other than prescribed costs) of the recovery of the petroleum; or

                     (d)  an increase in the operating costs (other than prescribed costs) of the recovery of the petroleum; or

                     (e)  a reduction in the rate of recovery of the petroleum; or

                      (f)  a reduction in the quantity of the petroleum that will be able to be recovered.

             (6)  For the purposes of section 383 and paragraph 749(2)(d), if there is a risk that an operation that is being, or could be, carried on under a greenhouse gas injection licence (the injection licence operation) will have an adverse impact on:

                     (a)  operations to recover petroleum; or

                     (b)  the commercial viability of the recovery of petroleum;

then that risk is not to be treated as significant, and that adverse impact is not to be treated as significant, if the amount that, under the regulations, is taken to be the probability‑weighted impact cost of the injection licence operation is less than the amount that, under the regulations, is taken to be the threshold amount.

30  Direction given by the responsible Commonwealth Minister

                   A reference in this Act to a direction given by the responsible Commonwealth Minister does not include a reference to a direction given by the responsible Commonwealth Minister:

                     (a)  in his or her capacity as, or as a member of, the Joint Authority for an offshore area; or

                     (b)  in his or her capacity as the Designated Authority for an offshore area.

31  Securities

Greenhouse gas titles

             (1)  For the purposes of this Act, if:

                     (a)  a greenhouse gas assessment permit, greenhouse gas holding lease or greenhouse gas injection licence is in force; and

                     (b)  either:

                              (i)  the successful applicant for the permit, lease or licence lodged a security with the responsible Commonwealth Minister in response to the offer document for the permit, lease or licence; or

                             (ii)  the registered holder, or a former registered holder, of the permit, lease or licence lodged a security with the responsible Commonwealth Minister in response to a notice under section 454; and

                     (c)  the security has not been wholly discharged;

the security is taken to be in force in relation to the permit, lease or licence.

Site closing certificate

             (2)  For the purposes of this Act, if:

                     (a)  a site closing certificate is in force; and

                     (b)  the successful applicant for the certificate lodged a security with the responsible Commonwealth Minister in response to the pre‑certificate notice for the site closing certificate; and

                     (c)  the security has not been wholly discharged;

the security is taken to be in force in relation to the site closing certificate.

Note:          For pre‑certificate notice, see section 388.

32  Designated agreements

                   For the purposes of this Act, a designated agreement is an agreement of the kind referred to in any of the following provisions:

                     (a)  paragraph 100(5)(f);

                     (b)  paragraph 100(6)(d);

                     (c)  subsection 100(10);

                     (d)  paragraph 137(5)(f);

                     (e)  paragraph 137(6)(d);

                      (f)  subsection 137(10);

                     (g)  paragraph 163(5)(f);

                     (h)  paragraph 163(6)(d);

                      (i)  subsection 163(10);

                      (j)  paragraph 292(5)(d);

                     (k)  paragraph 292(6)(d);

                      (l)  subsection 292(11);

                    (m)  subsection 292(12);

                     (n)  paragraph 321(5)(d);

                     (o)  paragraph 321(6)(d);

                     (p)  subsection 321(11);

                     (q)  subsection 321(12);

                      (r)  subparagraph 362(1)(d)(iii);

                      (s)  subparagraph 362(1)(e)(iii);

                      (t)  subparagraph 362(2)(d)(iii);

                     (u)  subparagraph 362(2)(e)(iii);

                     (v)  paragraph 362(3)(a);

                    (w)  subparagraph 370(d)(v);

                     (x)  paragraph 370(e);

                     (y)  paragraph 370(f);

                      (z)  paragraph 370(g);

                    (za)  paragraph 383(1)(e).

33  Graticulation of Earth’s surface and constitution of blocks

Graticular sections

             (1)  For the purposes of this Act, the surface of the Earth is taken to be divided:

                     (a)  by the meridian of Greenwich and by meridians that are at an angular distance from that meridian of 5 minutes, or a multiple of 5 minutes, of longitude; and

                     (b)  by the equator and by parallels of latitude that are at an angular distance from the equator of 5 minutes, or a multiple of 5 minutes, of latitude;

into sections called graticular sections, each of which is bounded:

                     (c)  by portions of 2 of those meridians that are at an angular distance from each other of 5 minutes of longitude; and

                     (d)  by portions of 2 of those parallels of latitude that are at an angular distance from each other of 5 minutes of latitude.

Simplified map

             (2)  This subsection sets out a simplified map illustrating graticular sections off the coast of Western Australia in the vicinity of Barrow Island:

Blocks

             (3)  For the purposes of this Act:

                     (a)  a graticular section that is wholly within an offshore area constitutes a block; and

                     (b)  if a part only of a graticular section is, or parts only of a graticular section are, within an offshore area, the area of that part, or of those parts, constitutes a block.

Note:          See also section 282 (certain portions of blocks to be blocks).

Block that is constituted by a graticular section

             (4)  A reference in this Act to a block that is constituted by a graticular section includes a reference to a block that is constituted by the area of a part only, or by the areas of parts only, of a graticular section.

Graticular section that constitutes a block

             (5)  A reference in this Act to a graticular section that constitutes a block includes a reference to:

                     (a)  a graticular section only part of which constitutes a block; or

                     (b)  a graticular section only parts of which constitute a block.

Note:          For datum, see section 39.

34  External Territories

                   This Act extends to the following external Territories:

                     (a)  Norfolk Island;

                     (b)  the Territory of Christmas Island;

                     (c)  the Territory of Cocos (Keeling) Islands;

                     (d)  the Territory of Ashmore and Cartier Islands;

                     (e)  the Territory of Heard Island and McDonald Islands.

35  Application of Act

                   This Act applies to:

                     (a)  all individuals, whether or not Australian citizens, and whether or not resident in the Commonwealth or a Territory; and

                     (b)  all corporations, whether or not incorporated or carrying on business in the Commonwealth or a Territory.

36  Certain pipelines provisions to apply subject to international obligations

             (1)  This section applies to the provisions of this Act to the extent to which they relate to a pipeline for the conveyance of petroleum recovered from a place beyond the outer limits of any offshore area.

             (2)  The provisions have effect subject to Australia’s obligations under international law, including obligations under any agreement between Australia and any foreign country or countries.


 

Division 2Datum provisions

Subdivision ADatum for ascertaining the position of points etc.

37  Objects

                   The objects of this Subdivision are:

                     (a)  to use the Australian Geodetic Datum to determine the position of graticular sections or blocks; and

                     (b)  to use the Geocentric Datum of Australia to determine the position of certain other areas; and

                     (c)  to enable the position of a point, line or area to be described, in a title or other instrument under this Act, using:

                              (i)  the Geocentric Datum of Australia; or

                             (ii)  another datum identified in the regulations;

                            (but not so as to change the position of a point, line or area).

38  Definitions

                   In this Subdivision:

Australian Geodetic Datum means the Australian Geodetic Datum as defined in Gazette No. 84 of 6 October 1966 (AGD66 geodetic data set).

Geocentric Datum of Australia means the Geocentric Datum of Australia as defined in Gazette No. 35 of 6 September 1995 (GDA94 geocentric data set).

greenhouse gas title means:

                     (a)  a greenhouse gas assessment permit; or

                     (b)  a greenhouse gas holding lease; or

                     (c)  a greenhouse gas injection licence; or

                     (d)  a greenhouse gas search authority; or

                     (e)  a greenhouse gas special authority.

instrument under this Act does not include the regulations.

petroleum title means:

                     (a)  a petroleum exploration permit; or

                     (b)  a petroleum retention lease; or

                     (c)  a petroleum production licence; or

                     (d)  an infrastructure licence; or

                     (e)  a pipeline licence; or

                      (f)  a petroleum special prospecting authority; or

                     (g)  a petroleum access authority.

this Act includes the regulations.

title means:

                     (a)  a greenhouse gas title; or

                     (b)  a petroleum title.

39  Australian Geodetic Datum

             (1)  For the purposes of this Act, the position on the surface of the Earth of a graticular section or block is to be determined by reference to the Australian Geodetic Datum.

Note:          Australian Geodetic Datum is defined in section 38.

             (2)  Subsection (1) does not apply for the purposes of describing, in a title or other instrument under this Act, the position on the surface of the Earth of a point, line or area.

40  Geocentric Datum of Australia

             (1)  For the purposes of this Act, the position on the surface of the Earth of:

                     (a)  the parallel of latitude described in subsection 8(2); or

                     (b)  an area described in Schedule 1; or

                     (c)  the area described in Schedule 2; or

                     (d)  the area described in Schedule 7;

is to be determined by reference to the Geocentric Datum of Australia.

Note 1:       Subsection 8(2) describes the Coral Sea area.

Note 2:       Schedule 1 describes the scheduled areas for the States and Territories. See also sections 48 and 49 (points and lines specified in the New Zealand boundary treaty).

Note 3:       Schedule 2 describes the area that includes the area to be avoided.

Note 3A:    Schedule 7 describes the Greater Sunrise unit area, the Eastern Greater Sunrise offshore area and the Western Greater Sunrise area.

Note 4:       Geocentric Datum of Australia is defined in section 38.

             (2)  Subsection (1) does not apply for the purposes of describing, in a title or other instrument under this Act, the position on the surface of the Earth of a point, line or area.

41  Current datum, previous datum and changeover time

             (1)  The regulations may declare that, for the purposes of describing, in a title or other instrument under this Act, the position on the surface of the Earth of a point, line or area:

                     (a)  a specified datum is the current datum; and

                     (b)  that datum replaces the previous datum.

             (2)  The previous datum is:

                     (a)  if a datum is the first datum declared to be the current datum under subsection (1)—the Geocentric Datum of Australia; or

                     (b)  in any other case—the datum that was the current datum immediately before the changeover time.

             (3)  The changeover time is the time when the declaration takes effect.

             (4)  Before the first declaration under subsection (1) takes effect, the Geocentric Datum of Australia applies for the purposes of describing, in a title or other instrument under this Act, the position on the surface of the Earth of a point, line or area.

42  Use of current datum

                   For the purposes of this Act, after the changeover time, for a title or instrument set out in the table, the position on the surface of the Earth of a point, line or area set out in the table is to be described by reference to the current datum, and the relevant title or instrument may be annotated accordingly:

 

Points, lines and areas

Item

Title or instrument

Point, line or area

1

a petroleum exploration permit

the permit area of a petroleum exploration permit granted after the changeover time

2

a petroleum retention lease

the lease area of a petroleum retention lease granted after the changeover time

3

a petroleum production licence

the licence area of a petroleum production licence granted after the changeover time

4

an infrastructure licence

the licence area of an infrastructure licence granted after the changeover time

5

a petroleum special prospecting authority

the authority area of a petroleum special prospecting authority granted after the changeover time

6

a petroleum access authority

the authority area of a petroleum access authority granted after the changeover time

7

a pipeline licence

the route of a pipeline authorised by a pipeline licence granted after the changeover time

8

any other instrument under this Act

a point, line or area set out in any other instrument under this Act made after the changeover time

Note:          A grant of a petroleum exploration permit, a petroleum retention lease or a petroleum production licence may be a grant by way of renewal—see section 11.

43  Use of previous datum

             (1)  For the purposes of this Act, after the changeover time, for a title or instrument set out in the table, the position on the surface of the Earth of a point, line or area set out in the table is to be described by reference to the previous datum:

 

Points, lines and areas

Item

Title or instrument

Point, line or area

1

a petroleum exploration permit

the permit area of a petroleum exploration permit that was in force immediately before the changeover time

2

a petroleum retention lease

the lease area of a petroleum retention lease that was in force immediately before the changeover time

3

a petroleum production licence

the licence area of a petroleum production licence that was in force immediately before the changeover time

4

an infrastructure licence

the licence area of an infrastructure licence that was in force immediately before the changeover time

5

a petroleum special prospecting authority

the authority area of a petroleum special prospecting authority that was in force immediately before the changeover time

6

a petroleum access authority

the authority area of a petroleum access authority that was in force immediately before the changeover time

7

a pipeline licence

the route of a pipeline authorised by a pipeline licence that was in force immediately before the changeover time

8

any other instrument under this Act

a point, line or area set out in any other instrument under this Act that was in force immediately before the changeover time

             (2)  Subsection (1) has effect subject to section 44 (which deals with variation of titles and instruments).

44  Variation of titles and instruments

                   The table has effect:

 

Variation of titles and instruments

Item

The regulations may authorise the Designated Authority to issue an instrument varying...

for the sole purpose of...

1

a petroleum exploration permit that was in force immediately before the changeover time

relabelling the permit area using geographic coordinates based on the current datum.

2

a petroleum retention lease that was in force immediately before the changeover time

relabelling the lease area using geographic coordinates based on the current datum.

3

a petroleum production licence that was in force immediately before the changeover time

relabelling the licence area using geographic coordinates based on the current datum.

4

an infrastructure licence that was in force immediately before the changeover time

relabelling the licence area using geographic coordinates based on the current datum.

5

a petroleum special prospecting authority or a petroleum access authority that was in force immediately before the changeover time

relabelling the authority area using geographic coordinates based on the current datum.

6

a pipeline licence that was in force immediately before the changeover time

relabelling the route of the pipeline using geographic coordinates based on the current datum.

7

any other instrument under this Act that:

(a) sets out a point, line or area; and

(b) was in force immediately before the changeover time

relabelling the point, line or area using geographic coordinates based on the current datum.

8

a title or other instrument under this Act

inserting an annotation about the applicable datum.

Note:          For publication in the Gazette of notice of the variation, see section 708.

45  Variation of applications for titles

                   The regulations may authorise the Designated Authority to issue an instrument varying an application for a title for the sole purpose of relabelling a point, line or area by reference to geographic coordinates based on the current datum.

46  No change to actual position of point, line or area

                   This Subdivision does not authorise any change to the position on the surface of the Earth of a point, line or area.

47  Transitional regulations

                   The regulations may make provision for matters of a transitional nature arising from the change from the previous datum to the current datum.

48  International Seabed Agreements

                   This Subdivision has effect subject to section 49.

Note:          Section 49 deals with International Seabed Agreements.

Subdivision BCertain points etc. specified in an International Seabed Agreement to be ascertained by other means

49  Certain points etc. specified in an International Seabed Agreement to be ascertained by other means

             (1)  This section applies if, for the purposes of this Act or the regulations, or for the purposes of an instrument under this Act or the regulations, it is necessary to determine the position on the surface of the Earth of:

                     (a)  a point or line specified in an International Seabed Agreement; or

                     (b)  a point on, or part of, such a line.

             (2)  That position must be determined in accordance with:

                     (a)  that Agreement; or

                     (b)  if that Agreement is varied—in accordance with that Agreement as varied for the time being.

             (3)  In this section:

International Seabed Agreement means:

                     (a)  the Agreement between Australia and Indonesia establishing certain seabed boundaries signed at Canberra on 18 May 1971; or

                     (b)  the Agreement between Australia and Indonesia establishing certain seabed boundaries in the area of the Timor and Arafura Seas supplementary to the Agreement referred to in paragraph (a) and signed at Jakarta on 9 October 1972; or

                     (c)  the Agreement between Australia and Indonesia concerning certain boundaries between Papua New Guinea and Indonesia signed at Jakarta on 12 February 1973; or

                     (d)  the Treaty between Australia and the Independent State of Papua New Guinea concerning sovereignty and maritime boundaries in the area between the 2 countries, including the area known as the Torres Strait, and related matters that was signed at Sydney on 18 December 1978; or

                     (e)  the New Zealand boundary treaty.


 

Division 3Apportionment of petroleum recovered from adjoining title areas

50  Title

                   In this Division:

title means:

                     (a)  a petroleum exploration permit; or

                     (b)  a petroleum retention lease; or

                     (c)  a petroleum production licence.

51  Titleholder and title area

                   For the purposes of this Division, the table has effect:

 

Titleholder and title area

Item

In the case of...

the titleholder is...

and the title area is...

1

a petroleum exploration permit

the permittee

the permit area.

2

a petroleum retention lease

the lessee

the lease area.

3

a petroleum production licence

the licensee

the licence area.

52  Petroleum recovered through inclined well

                   For the purposes of this Act, if:

                     (a)  a wellhead is situated in the title area of a title (the first title); and

                     (b)  the well from that wellhead is inclined so as to enter a petroleum pool at a place within an adjoining title area of a title (the second title) of the same titleholder; and

                     (c)  the pool does not extend to the title area of the first title;

any petroleum recovered through that well is taken to have been recovered in the adjoining title area under the second title.

53  Petroleum pool straddling 2 title areas etc.

             (1)  For the purposes of this Act, if:

                     (a)  a petroleum pool is partly in the title area of a title and partly in an adjoining title area of a title of the same titleholder (whether in the same offshore area or not); and

                     (b)  petroleum is recovered from that pool through a well or wells in one or both of the title areas;

then:

                     (c)  there is taken to have been recovered in each of the title areas, under the title in relation to the title area, such proportion of all petroleum so recovered as may reasonably be treated as being derived from that area, having regard to the nature and probable extent of the pool; and

                     (d)  the respective proportions are to be determined by agreement between:

                              (i)  the titleholder; and

                             (ii)  the Joint Authority;

                            or, in the absence of agreement, by the Federal Court or a relevant Supreme Court on the application of the titleholder or the Joint Authority.

Supreme Court

             (2)  A reference in this section to a relevant Supreme Court is a reference to the Supreme Court of the State, or one of the States, in the offshore area of which the petroleum pool is wholly or partly situated.

Northern Territory

             (3)  This section applies to the Northern Territory as if that Territory were a State.

Note:          The offshore area of a State or Territory is defined by section 8.

54  Petroleum pool straddling Commonwealth title area and State title area etc.

             (1)  For the purposes of this Act, if:

                     (a)  a petroleum pool is partly in the title area of a title and partly in an area (the State title area) in which the titleholder has authority under the law of a State to explore for, or recover, petroleum; and

                     (b)  petroleum is recovered from that pool through a well or wells in the title area of the title, the State title area, or both;

then:

                     (c)  there is taken to have been recovered in the title area of the title such proportion of all petroleum so recovered as may reasonably be treated as being derived from that area, having regard to the nature and probable extent of the pool; and

                     (d)  that proportion is to be determined by agreement between:

                              (i)  the titleholder of the title; and

                             (ii)  the Joint Authority; and

                            (iii)  the responsible State Minister;

                            or, in the absence of agreement, by the Federal Court or a relevant Supreme Court on the application of:

                            (iv)  the titleholder of the title; or

                             (v)  the Joint Authority; or

                            (vi)  the responsible State Minister.

Supreme Court

             (2)  A reference in this section to a relevant Supreme Court is a reference to the Supreme Court of the State, or one of the States, in the offshore area of which the petroleum pool is wholly or partly situated.

Northern Territory

             (3)  This section applies to the Northern Territory as if:

                     (a)  that Territory were a State; and

                     (b)  the responsible Northern Territory Minister were the responsible State Minister of that State.

Note:          The offshore area of a State or Territory is defined by section 8.

55  Unit development

                   For the purposes of this Act, if:

                     (a)  a petroleum pool is:

                              (i)  partly in a petroleum production licence area; and

                             (ii)  partly in another area (whether in the offshore area or not) in relation to which another person has authority (whether under this Act or under the law of a State or the Northern Territory) to explore for or recover petroleum; and

                     (b)  a unit development agreement in accordance with section 191 is in force between the licensee and that other person; and

                     (c)  petroleum is recovered from that pool through a well or wells in the licence area, the other area or both;

there is taken to have been recovered in that licence area such proportion of all petroleum so recovered as is specified in, or determined in accordance with, the agreement.


 

Part 1.3Joint Authorities and Designated Authorities

Division 1Joint Authorities

56  Joint Authorities

             (1)  For the purposes of this Act, there is a Joint Authority for each offshore area.

State

             (2)  The Joint Authority for an offshore area of a State is constituted by:

                     (a)  the responsible State Minister; and

                     (b)  the responsible Commonwealth Minister;

and is to be known as the Commonwealth‑[name of State] Offshore Petroleum Joint Authority.

             (3)  The Joint Authority for an offshore area of a State is taken to be the Joint Authority for the State.

Principal Northern Territory offshore area

             (4)  The Joint Authority for the Principal Northern Territory offshore area is constituted by:

                     (a)  the responsible Northern Territory Minister; and

                     (b)  the responsible Commonwealth Minister;

and is to be known as the Commonwealth‑Northern Territory Offshore Petroleum Joint Authority.

             (5)  The Commonwealth‑Northern Territory Offshore Petroleum Joint Authority is taken to be the Joint Authority for the Northern Territory.

Eastern Greater Sunrise offshore area

             (6)  The responsible Commonwealth Minister is the Joint Authority for the Eastern Greater Sunrise offshore area, and is to be known as the Greater Sunrise Offshore Petroleum Joint Authority.

             (7)  The Greater Sunrise Offshore Petroleum Joint Authority is taken not to be the Joint Authority for the Northern Territory.

External Territories

             (8)  The responsible Commonwealth Minister is the Joint Authority for the offshore area of each of the following external Territories:

                     (a)  Norfolk Island;

                     (b)  the Territory of Christmas Island;

                     (c)  the Territory of Cocos (Keeling) Islands;

                     (d)  the Territory of Ashmore and Cartier Islands;

                     (e)  the Territory of Heard Island and McDonald Islands;

and is to be known as the [name of Territory] Offshore Petroleum Joint Authority.

Note:          For example, the Joint Authority for the offshore area of the Territory of Ashmore and Cartier Islands is to be known as the Territory of Ashmore and Cartier Islands Offshore Petroleum Joint Authority.

             (9)  The Joint Authority for the offshore area of an external Territory is taken to be the Joint Authority for that Territory.

57  Functions and powers of Joint Authorities

             (1)  A Joint Authority for a State or Territory (other than the Northern Territory) has, in relation to the offshore area for that State or Territory, the functions and powers that this Act confers on a Joint Authority.

             (2)  The Joint Authority for the Principal Northern Territory offshore area has, in relation to that offshore area, the functions and powers that this Act confers on a Joint Authority.

             (3)  The Joint Authority for the Eastern Greater Sunrise offshore area has, in relation to that offshore area, the functions and powers that this Act confers on a Joint Authority.

58  Procedure of Joint Authority

             (1)  A Joint Authority for a State or the Northern Territory may conduct its business:

                     (a)  at meetings of the Joint Authority; or

                     (b)  by written or other communication between the members of the Joint Authority.

             (2)  A written communication under paragraph (1)(b) is not a legislative instrument for the purposes of the Legislative Instruments Act 2003.

59  Decision‑making

             (1)  This section applies to decisions to be made by a Joint Authority for a State or the Northern Territory on matters that are within the Joint Authority’s functions or powers.

             (2)  If:

                     (a)  the responsible Commonwealth Minister; and

                     (b)  the responsible State Minister or the responsible Northern Territory Minister, as the case may be;

disagree about a decision, the responsible Commonwealth Minister may decide the matter, and the responsible Commonwealth Minister’s decision has effect as the Joint Authority’s decision.

             (3)  If:

                     (a)  the responsible Commonwealth Minister gives:

                              (i)  in the case of a State—the responsible State Minister; or

                             (ii)  in the case of the Northern Territory—the responsible Northern Territory Minister;

                            written notice of a decision that the responsible Commonwealth Minister thinks should be made on a matter; and

                     (b)  30 days pass after the notice is given, and:

                              (i)  in the case of a State—the responsible State Minister has not told the responsible Commonwealth Minister what decision the responsible State Minister thinks should be made; or

                             (ii)  in the case of the Northern Territory—the responsible Northern Territory Minister has not told the responsible Commonwealth Minister what decision the responsible Northern Territory Minister thinks should be made;

the responsible Commonwealth Minister may decide the matter, and the responsible Commonwealth Minister’s decision has effect as the Joint Authority’s decision.

60  Opinion or state of mind of Joint Authority

                   For the purposes of this Act, the opinion or state of mind of the Joint Authority for a State or the Northern Territory is:

                     (a)  if:

                              (i)  the responsible Commonwealth Minister; and

                             (ii)  the responsible State Minister or the responsible Northern Territory Minister, as the case may be;

                            agree on the matter concerned—the opinion or state of mind of the 2 Ministers; or

                     (b)  if the 2 Ministers disagree—the opinion or state of mind of the responsible Commonwealth Minister.

61  Records of decisions of Joint Authority

             (1)  The Designated Authority must cause to be kept written records of the decisions of the Joint Authority for a State or the Northern Territory.

             (2)  A record kept under subsection (1) is prima facie evidence that the decision was duly made as recorded if the record is signed by a person who was a member of the Joint Authority at the time when the decision was made.

             (3)  A record kept under subsection (1) is not a legislative instrument for the purposes of the Legislative Instruments Act 2003.

62  Signing of documents

             (1)  If a document is signed by the Designated Authority on behalf of the Joint Authority for a State or the Northern Territory, the document is taken to have been duly executed by the Joint Authority.

             (2)  The document is taken to be in accordance with a decision of the Joint Authority unless the contrary is proved.

63  Communications with Joint Authority

                   All communications to or by the Joint Authority for a State or the Northern Territory are to be made through the Designated Authority.

64  Judicial notice of signature of member of a Joint Authority

Joint Authority for a State or the Northern Territory

             (1)  All courts must take judicial notice of:

                     (a)  the signature of a person who is, or has been:

                              (i)  a member of the Joint Authority for a State or the Northern Territory; or

                             (ii)  a delegate of the Joint Authority for a State or the Northern Territory; and

                     (b)  the fact that the person is, or was at a particular time:

                              (i)  a member of the Joint Authority for that State or the Northern Territory, as the case may be; or

                             (ii)  a delegate of the Joint Authority for that State or the Northern Territory, as the case may be.

Joint Authority for the Eastern Greater Sunrise offshore area

             (2)  All courts must take judicial notice of:

                     (a)  the signature of a person who is, or has been:

                              (i)  the Joint Authority for the Eastern Greater Sunrise offshore area; or

                             (ii)  a delegate of the Joint Authority for the Eastern Greater Sunrise offshore area; and

                     (b)  the fact that the person is, or was at a particular time:

                              (i)  the Joint Authority for that offshore area; or

                             (ii)  a delegate of the Joint Authority for that offshore area.

Joint Authority for an external Territory

             (3)  All courts must take judicial notice of:

                     (a)  the signature of a person who is, or has been:

                              (i)  the Joint Authority for the offshore area of an external Territory; or

                             (ii)  a delegate of the Joint Authority for the offshore area of an external Territory; and

                     (b)  the fact that the person is, or was at a particular time:

                              (i)  the Joint Authority for that offshore area; or

                             (ii)  a delegate of the Joint Authority for that offshore area.

Definition

             (4)  In this section:

court includes a person authorised to receive evidence:

                     (a)  by a law of the Commonwealth, a State or a Territory; or

                     (b)  by consent of parties.

65  Issue of documents, and service of notices, on behalf of Joint Authority

             (1)  If this Act requires or allows a Joint Authority for a State or the Northern Territory to:

                     (a)  execute or issue an instrument; or

                     (b)  give a notice; or

                     (c)  communicate a matter;

the Designated Authority is to do so on behalf of the Joint Authority in accordance with a decision of the Joint Authority.

             (2)  For the purposes of any proceedings:

                     (a)  an instrument that purports to be executed or issued by the Designated Authority on behalf of the Joint Authority is taken to have been executed or issued in accordance with a decision of the Joint Authority; and

                     (b)  a notice that purports to be given by the Designated Authority on behalf of the Joint Authority is taken to have been given in accordance with a decision of the Joint Authority; and

                     (c)  a communication that purports to be made by the Designated Authority on behalf of the Joint Authority is taken to have been made in accordance with a decision of the Joint Authority;

unless the contrary is proved.

66  Delegation by a Joint Authority for a State or the Northern Territory

             (1)  A Joint Authority for a State or the Northern Territory may, by written instrument, delegate any or all of the functions or powers of the Joint Authority under this Act or the regulations to 2 persons together, each of whom is one of the following:

                     (a)  an APS employee who is an SES employee or acting SES employee;

                     (b)  an employee of a State or of the Northern Territory.

Note:          The expressions APS employee, SES employee and acting SES employee are defined in section 17AA of the Acts Interpretation Act 1901.

             (2)  A delegation under this section:

                     (a)  must specify one person as representing the responsible Commonwealth Minister; and

                     (b)  must specify the other person as representing the responsible State Minister or responsible Northern Territory Minister of the Joint Authority; and

                     (c)  must be signed by both members of the Joint Authority.

Note:          See also sections 34AA and 34AB of the Acts Interpretation Act 1901.

             (3)  If the Joint Authority delegates a function or power under this section, the delegation continues in force despite:

                     (a)  a vacancy in the office of responsible Commonwealth Minister; or

                     (b)  a change in the identity of the holder of the office of responsible Commonwealth Minister; or

                     (c)  a vacancy in the office of responsible State Minister or responsible Northern Territory Minister, as the case may be; or

                     (d)  a change in the identity of the holder of the office of responsible State Minister or responsible Northern Territory Minister, as the case may be.

             (4)  Despite subsection (3), a delegation under this section may be revoked by the Joint Authority in accordance with subsection 33(3) of the Acts Interpretation Act 1901.

             (5)  If a delegation is made under this section, sections 59 and 60 do not apply to the delegates.

             (6)  If the delegates are unable to agree on a matter requiring decision, they must refer the matter to the Joint Authority.

             (7)  In the application to the delegates of a provision of this Act containing a reference to the opinion or state of mind of the Joint Authority, the reference is to be read as a reference to the opinion or state of mind of the 2 delegates of the Joint Authority unless they disagree.

             (8)  A referral under subsection (6) is not a legislative instrument for the purposes of the Legislative Instruments Act 2003.

67  Delegation by Greater Sunrise Offshore Petroleum Joint Authority

             (1)  The Greater Sunrise Offshore Petroleum Joint Authority may, by written instrument, delegate to:

                     (a)  an APS employee who is an SES employee or acting SES employee; or

                     (b)  an employee of the Northern Territory;

any or all of the functions or powers of the Joint Authority under this Act or the regulations.

Note 1:       The expressions APS employee, SES employee and acting SES employee are defined in section 17AA of the Acts Interpretation Act 1901.

Note 2:       See also sections 34AA and 34AB of the Acts Interpretation Act 1901.

             (2)  If the Joint Authority delegates a function or power under this section, the delegation continues in force despite:

                     (a)  a vacancy in the office of Joint Authority; or

                     (b)  a change in the identity of the holder of the office of Joint Authority.

             (3)  Despite subsection (2), a delegation under this section may be revoked by the Joint Authority in accordance with subsection 33(3) of the Acts Interpretation Act 1901.

             (4)  A copy of each instrument making, varying or revoking a delegation under this section must be published in the Gazette.

68  Delegation by Joint Authority for an external Territory

             (1)  The Joint Authority for the offshore area of any of the following external Territories:

                     (a)  Norfolk Island;

                     (b)  the Territory of Christmas Island;

                     (c)  the Territory of Cocos (Keeling) Islands;

                     (d)  the Territory of Ashmore and Cartier Islands;

                     (e)  the Territory of Heard Island and McDonald Islands;

may, by written instrument, delegate to a person any or all of the functions or powers of the Joint Authority under this Act or the regulations.

Note:          See also sections 34AA and 34AB of the Acts Interpretation Act 1901.

             (2)  If the Joint Authority delegates a function or power under this section, the delegation continues in force despite:

                     (a)  a vacancy in the office of Joint Authority; or

                     (b)  a change in the identity of the holder of the office of Joint Authority.

             (3)  Despite subsection (2), a delegation under this section may be revoked by the Joint Authority in accordance with subsection 33(3) of the Acts Interpretation Act 1901.

             (4)  A copy of each instrument making, varying or revoking a delegation under this section must be published in the Gazette.

             (5)  A Joint Authority may delegate a function or power to an APS employee only if the APS employee is an SES employee or acting SES employee.

Note:          The expressions APS employee, SES employee and acting SES employee are defined in section 17AA of the Acts Interpretation Act 1901.

69  Greater Sunrise Offshore Petroleum Joint Authority—consultations

                   The Greater Sunrise Offshore Petroleum Joint Authority may consult with the Timor Sea Treaty Designated Authority before exercising any power, or performing any function, that is conferred on the Joint Authority under this Act or the regulations.


 

Division 2Designated Authorities

70  Designated Authorities

             (1)  For the purposes of this Act, there is a Designated Authority for each offshore area.

State

             (2)  The Designated Authority for the offshore area of a State is the responsible State Minister.

             (3)  The Designated Authority for the offshore area of a State is taken to be the Designated Authority for the State.

Principal Northern Territory offshore area

             (4)  The Designated Authority for the Principal Northern Territory offshore area is the responsible Northern Territory Minister.

             (5)  The Designated Authority for the Principal Northern Territory offshore area is taken to be the Designated Authority for the Northern Territory.

Eastern Greater Sunrise offshore area

             (6)  The responsible Commonwealth Minister is the Designated Authority for the Eastern Greater Sunrise offshore area.

             (7)  The Designated Authority for the Eastern Greater Sunrise offshore area is taken not to be the Designated Authority for the Northern Territory.

External Territories

             (8)  The responsible Commonwealth Minister is the Designated Authority for the offshore area of each of the following external Territories:

                     (a)  Norfolk Island;

                     (b)  the Territory of Christmas Island;

                     (c)  the Territory of Cocos (Keeling) Islands;

                     (d)  the Territory of Ashmore and Cartier Islands;

                     (e)  the Territory of Heard Island and McDonald Islands.

             (9)  The Designated Authority for the offshore area of an external Territory is taken to be the Designated Authority for the external Territory.

71  Functions and powers of Designated Authorities

State

             (1)  A Designated Authority for a State has, in relation to the offshore area for that State, the functions and powers that this Act confers on a Designated Authority.

Principal Northern Territory offshore area

             (2)  The Designated Authority for the Principal Northern Territory offshore area has, in relation to that offshore area, the functions and powers that this Act confers on a Designated Authority.

Eastern Greater Sunrise offshore area

             (3)  The Designated Authority for the Eastern Greater Sunrise offshore area has, in relation to that offshore area, the functions and powers that this Act confers on a Designated Authority.

External Territories

             (4)  The Designated Authority for any of the following external Territories has, in relation to the offshore area for that Territory, the functions and powers that this Act confers on a Designated Authority:

                     (a)  Norfolk Island;

                     (b)  the Territory of Christmas Island;

                     (c)  the Territory of Cocos (Keeling) Islands;

                     (d)  the Territory of Ashmore and Cartier Islands;

                     (e)  the Territory of Heard Island and McDonald Islands.

72  Delegation by Designated Authority

             (1)  A Designated Authority may, by written instrument, delegate to:

                     (a)  an APS employee who is an SES employee or acting SES employee; or

                     (b)  an employee of a State or the Northern Territory;

any or all of the powers or functions of the Designated Authority under this Act or the regulations.

Note 1:       The expressions APS employee, SES employee and acting SES employee are defined in section 17AA of the Acts Interpretation Act 1901.

Note 2:       See also sections 34AA and 34AB of the Acts Interpretation Act 1901.

             (2)  If a Designated Authority delegates a function or power under this section, the delegation continues in force despite:

                     (a)  a vacancy in the office of Designated Authority; or

                     (b)  a change in the identity of the holder of the office of Designated Authority.

             (3)  Despite subsection (2), a delegation under this section may be revoked by a Designated Authority in accordance with subsection 33(3) of the Acts Interpretation Act 1901.

             (4)  A copy of each instrument making, varying or revoking a delegation under this section must be published in the Gazette.

73  Eastern Greater Sunrise Designated Authority—consultations

                   The Designated Authority for the Eastern Greater Sunrise offshore area may consult with the Timor Sea Treaty Designated Authority before exercising any power, or performing any function, that is conferred on the Designated Authority for that offshore area under this Act or the regulations.

74  Judicial notice of signature of Designated Authority

             (1)  All courts must take judicial notice of:

                     (a)  the signature of a person who is, or has been:

                              (i)  the Designated Authority for an offshore area; or

                             (ii)  a delegate of the Designated Authority for an offshore area; and

                     (b)  the fact that the person is, or was at a particular time:

                              (i)  the Designated Authority for that offshore area; or

                             (ii)  a delegate of the Designated Authority for that offshore area.

             (2)  In this section:

court includes a person authorised to receive evidence:

                     (a)  by a law of the Commonwealth, a State or a Territory; or

                     (b)  by consent of parties.


 

Division 3Finance

75  Payments by the Commonwealth to Western Australia—Royalty Act payments

Payments to Western Australia

             (1)  If, during a particular month, the Commonwealth receives:

                     (a)  an amount of royalty payable under the Royalty Act by the registered holder of:

                              (i)  a petroleum exploration permit; or

                             (ii)  a petroleum retention lease; or

                            (iii)  a petroleum production licence;

                            in relation to petroleum recovered under the permit, lease or licence in the offshore area of Western Australia; or

                     (b)  an amount payable under Part 6.7 because of late payment of any such royalty;

then, before the end of the next month, the Commonwealth must pay to Western Australia an amount worked out using the formula:

where:

royalty rate means the percentage rate at which royalty is payable by the holder under the Royalty Act in relation to that petroleum (disregarding any determination under section 9 of the Royalty Act in relation to a well).

Reduction of payments to Western Australia—refunds of royalty

             (2)  If:

                     (a)  the Commonwealth is liable to pay an amount under subsection (1) because the Commonwealth received, during a particular month, an amount mentioned in that subsection; and

                     (b)  during that month, the Commonwealth paid a refund under paragraph 16(3)(b) of the Royalty Act to the registered holder of:

                              (i)  a petroleum exploration permit; or

                             (ii)  a petroleum retention lease; or

                            (iii)  a petroleum production licence;

                            in respect of an amount of royalty payable under the Royalty Act;

the total of the amounts payable by the Commonwealth as mentioned in paragraph (a) is to be reduced by an amount worked out using the formula:

where:

adjusted amount means the amount that would have been paid under subsection (1) in respect of the amount of royalty if it were assumed that the provisional royalty (within the meaning of section 16 of the Royalty Act) had been equal to the determined royalty (within the meaning of that section).

Payment through COAG Reform Fund

             (3)  An amount that is payable by the Commonwealth under this section must be credited to the COAG Reform Fund for the purposes of paying the amount to Western Australia.

             (4)  The Treasurer must ensure that, as soon as practicable after an amount is credited to the COAG Reform Fund under subsection (3), the COAG Reform Fund is debited for the purposes of paying the amount to Western Australia.

             (5)  For the purposes of:

                     (a)  the COAG Reform Fund Act 2008; and

                     (b)  the Financial Management and Accountability Act 1997;

the payment of an amount that the Commonwealth is liable to pay under this section is taken to be a payment by way of a grant of financial assistance.

76  Payments by the Commonwealth to the States and the Northern Territory

Scope

             (1)  This section applies if, during a particular month, the Commonwealth receives an amount (the received amount):

                     (a)  that is payable under:

                              (i)  Chapter 2, 4 or 7 of this Act (other than an amount paid for the grant of a cash‑bid petroleum exploration permit, a special petroleum exploration permit or a section 181 petroleum production licence); or

                             (ii)  section 4 of the Annual Fees Act; or

                            (iii)  section 5 or 6 of the Registration Fees Act;

                            in connection with a title or other document that relates to:

                            (iv)  a block; or

                             (v)  an infrastructure facility; or

                            (vi)  a pipeline;

                            in the offshore area of a State or the Northern Territory; or

                     (b)  that is an amount (other than a royalty) payable to the Designated Authority, on behalf of the Commonwealth, under, or under regulations made for the purposes of:

                              (i)  Chapter 2; or

                             (ii)  Chapter 4; or

                            (iii)  Chapter 7; or

                            (iv)  Schedule 5;

                            in relation to the offshore area of a State or the Northern Territory; or

                     (c)  that is payable to the Commonwealth under subsection 577(3) or 589(4) or (5) in relation to costs or expenses incurred by the Designated Authority of a State or the Northern Territory.

Note:          The offshore area of a State or Territory is defined by section 8.

Payments

             (2)  Before the end of the next month, the Commonwealth must pay to the State or to the Northern Territory, as the case may be, an amount equal to:

                     (a)  if the received amount includes a component that is attributable to goods and services tax—so much of the received amount as does not consist of that component; or

                     (b)  in any other case—the received amount.

Safety Authority

             (3)  This section does not apply to an amount payable to the Safety Authority on behalf of the Commonwealth.

Definition

             (4)  In this section:

title means a petroleum exploration permit, petroleum retention lease, petroleum production licence, infrastructure licence, pipeline licence, petroleum special prospecting authority or petroleum access authority.

77  Appropriation

                   The Consolidated Revenue Fund is appropriated for the purposes of section 76.


 

Part 1.4Application of State and Territory laws in offshore areas

  

78  Simplified outline

                   The following is a simplified outline of this Part:

•      The general body of laws in force in a State or Territory applies, as laws of the Commonwealth, to:

               (a)     petroleum exploration, exploitation and conveyance activities in the offshore area of that State or Territory; and

               (b)     greenhouse gas injection and storage activities in the offshore area of that State or Territory.

•      However, prescribed State or Northern Territory occupational health and safety laws do not apply, as laws of the Commonwealth, in relation to a facility located in the offshore area of that State or the Northern Territory.

79  Meaning of laws

                   For the purposes of this Part, laws include:

                     (a)  written laws; and

                     (b)  unwritten laws (for example, the common law); and

                     (c)  instruments having effect under laws.

80  Application of State and Territory laws in offshore areas

             (1)  The laws in force in a State or Territory (other than laws of the Commonwealth) apply, as provided by this section, as laws of the Commonwealth in the offshore area of that State or Territory as if that area were:

                     (a)  part of that State or Territory; and

                     (b)  part of the Commonwealth.

Note 1:       See also sections 81 to 89.

Note 2:       The offshore area of a State or Territory is defined by section 8.

             (2)  For the purposes of this Act, the provisions of laws applied under subsection (1) are to be known as the applied provisions.

             (3)  Subsection (1) has effect subject to:

                     (a)  this Act; and

                     (b)  the regulations.

             (4)  The laws referred to in subsection (1) apply in relation to acts, omissions, matters, circumstances and things touching, concerning, arising out of or connected with:

                     (a)  exploring the seabed or subsoil of the offshore area for petroleum, and exploiting the petroleum which occurs as a natural resource of that seabed or subsoil; or

                     (b)  the conveyance of petroleum (wherever recovered) across the offshore area; or

                     (c)  exploring the seabed or subsoil of the offshore area for a potential greenhouse gas storage formation or a potential greenhouse gas injection site; or

                     (d)  the injection of a greenhouse gas substance into the seabed or subsoil of the offshore area; or

                     (e)  the storage of a greenhouse gas substance in the seabed or subsoil of the offshore area; or

                      (f)  the conveyance of a greenhouse gas substance across the offshore area.

             (5)  The laws referred to in subsection (1) apply:

                     (a)  to and in relation to:

                              (i)  an act or omission that takes place in, on, above, below or in the vicinity of; and

                             (ii)  a matter, circumstance or thing that exists or arises in relation to or in connection with;

                            a vessel, aircraft, structure or installation, or equipment or other property, that is in the offshore area for any reason touching, concerning, arising out of or connected with:

                            (iii)  exploring the seabed or subsoil of the offshore area for petroleum, or exploiting the petroleum which occurs as a natural resource of that seabed or subsoil; or

                            (iv)  the conveyance of petroleum (wherever recovered) across the offshore area; or

                             (v)  exploring the seabed or subsoil of the offshore area for a potential greenhouse gas storage formation or a potential greenhouse gas injection site; or

                            (vi)  the injection of a greenhouse gas substance into the seabed or subsoil of the offshore area; or

                           (vii)  the storage of a greenhouse gas substance in the seabed or subsoil of the offshore area; or

                           (viii)  the conveyance of a greenhouse gas substance across the offshore area; and

                     (b)  to and in relation to a person who:

                              (i)  is in the offshore area for a reason of the kind referred to in paragraph (a); or

                             (ii)  is in, on, above, below or in the vicinity of a vessel, aircraft, structure or installation, or equipment or other property, that is in the offshore area for a reason of the kind referred to in paragraph (a); and

                     (c)  to and in relation to a person in relation to:

                              (i)  the carrying on by the person of any operation; or

                             (ii)  the doing by the person of any work;

                            in the offshore area for a reason of the kind referred to in paragraph (a).

             (6)  Subsection (5) does not limit subsection (4).

             (7)  For the purposes of this section, a law is taken to be a law in force in a State or Territory even though that law applies to part only of that State or Territory.

81  Disapplication and modification of laws

             (1)  The regulations may provide that a law:

                     (a)  does not apply by reason of section 80 in an offshore area; or

                     (b)  applies by reason of section 80 in an offshore area with such modifications as are specified in the regulations.

             (2)  For the purposes of subsection (1), modifications includes additions, omissions and substitutions.

             (3)  Regulations made for the purposes of subsection (1) may make provision for, and in relation to:

                     (a)  investing a court of a State with federal jurisdiction; or

                     (b)  conferring jurisdiction on a court of a Territory.

82  Limit on application of laws

                   Section 80 does not give to the provisions of a law of a State or the Northern Territory an operation, as a law of the Commonwealth, that they would not have, as a law of the State or the Northern Territory, if it were assumed that the offshore area of the State or the Northern Territory were within the part of the scheduled area for the State or the Northern Territory that is on the landward side of the offshore area of the State or the Northern Territory.

83  Inconsistent law not applied

                   Section 80 does not apply a law in so far as the law would be inconsistent with a law of the Commonwealth (including this Act).

84  Criminal laws not applied

             (1)  Section 80 does not apply laws that are substantive criminal laws, or laws of criminal investigation, procedure and evidence, within the meaning of Schedule 1 to the Crimes at Sea Act 2000.

             (2)  This Act does not detract from the operation of the Crimes at Sea Act 2000.

85  Tax laws not applied

                   Section 80 does not operate so as to impose a tax.

86  Appropriation law not applied

                   Section 80 does not operate so as to appropriate any public money of a Territory.

87  Applied laws not to confer Commonwealth judicial power

                   Section 80 does not operate so as to confer the judicial power of the Commonwealth on a court, tribunal, authority or officer of a State or Territory.

88  Applied laws not to contravene constitutional restrictions on conferral of powers on courts

                   Section 80 does not operate so as to confer on a court of a State or Territory a power that cannot, under the Constitution, be conferred by the Parliament on such a court.

89  State or Northern Territory occupational health and safety laws do not apply in relation to facilities

State or Northern Territory OHS laws are not applied by section 80

             (1)  Section 80 of this Act, and section 6 of the Ashmore and Cartier Islands Acceptance Act 1933, do not apply a law in relation to:

                     (a)  a facility located in the offshore area of a State, the Northern Territory or the Territory of Ashmore and Cartier Islands; or

                     (b)  a person at such a facility; or

                     (c)  a person near such a facility, to the extent to which the person is affected by:

                              (i)  such a facility; or

                             (ii)  activities that take place at such a facility; or

                     (d)  activities that take place at such a facility;

if the law is:

                     (e)  a law of that State or the Northern Territory; and

                      (f)  prescribed in the regulations.

Note:          The offshore area of a State or Territory is defined by section 8.

             (2)  A law prescribed under subsection (1) must be:

                     (a)  a law relating to occupational health and safety; or

                     (b)  a law relating to occupational health and safety and to other matters.

State or Northern Territory OHS laws do not apply of their own force

             (3)  A law that is:

                     (a)  a law of a State or the Northern Territory; and

                     (b)  prescribed under subsection (1);

does not apply, by force of the law of that State or the Northern Territory, in relation to:

                     (c)  a facility located in the offshore area of that State or the Northern Territory; or

                     (d)  a person at such a facility; or

                     (e)  a person near such a facility, to the extent to which the person is affected by:

                              (i)  such a facility; or

                             (ii)  activities that take place at such a facility; or

                      (f)  activities that take place at such a facility.

Note:          The offshore area of a State or Territory is defined by section 8.

Substantive criminal provisions of State or Northern Territory OHS laws are not applied by Crimes at Sea Act 2000

             (4)  Despite subclauses 2(1) and (2) of Schedule 1 to the Crimes at Sea Act 2000, a law of a State or the Northern Territory that is:

                     (a)  referred to in those subclauses; and

                     (b)  prescribed in the regulations;

does not apply in relation to:

                     (c)  a facility located in the offshore area of that State, the Northern Territory or the Territory of Ashmore and Cartier Islands; or

                     (d)  a person at such a facility; or

                     (e)  a person near such a facility, to the extent to which the person is affected by:

                              (i)  such a facility; or

                             (ii)  activities that take place at such a facility; or

                      (f)  activities that take place at such a facility;

whether or not that application is:

                     (g)  by force of the law of that State or the Northern Territory; or

                     (h)  by force of section 6 of the Ashmore and Cartier Islands Acceptance Act 1933; or

                      (i)  by force of subclause 2(2) of that Schedule.

Note:          The offshore area of a State or Territory is defined by section 8.

             (5)  A law prescribed under subsection (4) must be:

                     (a)  a law relating to occupational health and safety; or

                     (b)  a law relating to occupational health and safety and to other matters.

Substantive criminal provisions of State or Northern Territory listed OHS laws are not applied by Crimes at Sea Act 2000

             (6)  Despite subclauses 2(1) and (2) of Schedule 1 to the Crimes at Sea Act 2000, provisions of a State or Territory PSLA, or of regulations under a State or Territory PSLA, that substantially correspond to the listed OHS laws do not apply in relation to:

                     (a)  a facility located in the offshore area of that State, the Northern Territory or the Territory of Ashmore and Cartier Islands; or

                     (b)  a person at such a facility; or

                     (c)  a person near such a facility, to the extent to which the person is affected by:

                              (i)  such a facility; or

                             (ii)  activities that take place at such a facility; or

                     (d)  activities that take place at such a facility;

whether or not that application is:

                     (e)  by force of the law of that State or the Northern Territory; or

                      (f)  by force of section 6 of the Ashmore and Cartier Islands Acceptance Act 1933; or

                     (g)  by force of subclause 2(2) of that Schedule.

Note:          The offshore area of a State or Territory is defined by section 8.

Definitions

             (7)  In this section:

facility has the same meaning as in Schedule 3.

law includes a part of a law.

State PSLA has the same meaning as in Part 6.9.

Territory PSLA has the same meaning as in Part 6.9.

Note:          See also section 640, which deals with the application of Commonwealth maritime legislation in the offshore area of a State or Territory.

90  No limits on ordinary operation of law

                   This Part does not limit the operation that a law has apart from this Part.

91  Jurisdiction of State courts

             (1)  The courts of a State are invested with federal jurisdiction in all matters arising under the laws applied under section 80 in the offshore area of the State.

Note:          The offshore area of a State is defined by section 8.

             (2)  Jurisdiction is invested under subsection (1) within the limits (other than the limits of locality) of the jurisdiction of the court (whether those limits are limits as to subject matter or otherwise).

92  Jurisdiction of Territory courts

             (1)  Jurisdiction is conferred on the courts that have jurisdiction in a Territory in all matters arising out of the laws applied under section 80 in the offshore area of the Territory.

Note:          The offshore area of a Territory is defined by section 8.

             (2)  Jurisdiction is conferred under subsection (1) within the limits (other than the limits of locality) of the jurisdiction of the court (whether those limits are limits as to subject matter or otherwise).

93  Validation of certain acts

                   If:

                     (a)  a person or a court does an act in the purported exercise of a power, or the purported performance of a function, under a law of a State or Territory; and

                     (b)  the act could have been done by the person or court in the exercise of a power, or the performance of a function, under the applied provisions;

the act is taken to have been done in the exercise of the power, or performance of the function, under the applied provisions.

Note:          Applied provisions is defined by section 7.

94  Certain provisions not affected by this Part

                   The following provisions have effect despite anything in this Part:

                     (a)  Division 2 of Part 1.2;

                     (b)  Chapters 2 to 9;

                     (c)  Schedule 5.


 

Chapter 2Regulation of activities relating to petroleum

Part 2.1Introduction

  

95  Simplified outline

                   The following is a simplified outline of this Chapter:

•      This Chapter provides for the grant of the following titles:

               (a)     a petroleum exploration permit (see Part 2.2);

               (b)     a petroleum retention lease (see Part 2.3);

               (c)     a petroleum production licence (see Part 2.4);

               (d)     an infrastructure licence (see Part 2.5);

               (e)     a pipeline licence (see Part 2.6);

               (f)     a petroleum special prospecting authority (see Part 2.7);

               (g)     a petroleum access authority (see Part 2.8).

•      A petroleum exploration permit authorises the permittee to explore for petroleum in the permit area.

•      If a petroleum pool is identified in a petroleum exploration permit area, the Designated Authority may declare a location over the blocks to which the petroleum pool extends.

•      After the declaration of a location, the permittee may apply for a petroleum retention lease or a petroleum production licence.

•      A petroleum retention lease is granted if the recovery of petroleum is not currently commercially viable, but is likely to become commercially viable within 15 years. The lessee may apply for a petroleum production licence.

•      A petroleum production licence authorises the licensee to carry out petroleum recovery operations in the licence area.

•      An infrastructure licence authorises the licensee to construct and operate an infrastructure facility in the licence area. An infrastructure facility may relate to petroleum or a greenhouse gas substance.

•      A pipeline licence authorises the licensee to construct and operate a pipeline. A pipeline may be used to convey petroleum or a greenhouse gas substance.

•      A petroleum special prospecting authority authorises the holder to carry on petroleum exploration operations in the authority area (but not to make a well).

•      A petroleum access authority authorises the holder to carry on certain petroleum exploration operations, and certain operations relating to the recovery of petroleum, in the authority area (but not to make a well).

•      Part 2.9 provides for the grant of petroleum scientific investigation consents. A petroleum scientific investigation consent authorises the holder to carry on petroleum exploration operations in the course of a scientific investigation.


 

Part 2.2Petroleum exploration permits

Division 1General provisions

96  Simplified outline

                   The following is a simplified outline of this Part:

•      It is an offence to explore for petroleum in an offshore area except:

               (a)     under a petroleum exploration permit; or

               (b)     as otherwise authorised or required by or under this Act.

•      This Part provides for the grant of petroleum exploration permits over blocks in an offshore area.

•      A petroleum exploration permit authorises the permittee to explore for petroleum in the permit area.

•      There are 3 types of petroleum exploration permits:

               (a)     a petroleum exploration permit granted on the basis of work program bidding (a work‑bid petroleum exploration permit);

               (b)     a petroleum exploration permit granted on the basis of cash bidding (a cash‑bid petroleum exploration permit);

               (c)     a petroleum exploration permit granted over a surrendered block or certain other blocks (a special petroleum exploration permit).

•      If a petroleum pool is identified in a petroleum exploration permit area, the Designated Authority may declare a location over the blocks to which the petroleum pool extends.

97  Prohibition of unauthorised exploration for petroleum in offshore area

             (1)  A person commits an offence if:

                     (a)  the person explores for petroleum; and

                     (b)  the exploration occurs in an offshore area.

Penalty:  Imprisonment for 5 years.

             (2)  Subsection (1) does not apply to conduct that is:

                     (a)  authorised by a petroleum exploration permit; or

                     (b)  otherwise authorised or required by or under this Act.

Note:          The defendant bears an evidential burden in relation to the matter in subsection (2)—see subsection 13.3(3) of the Criminal Code.

98  Rights conferred by petroleum exploration permit

             (1)  A petroleum exploration permit authorises the permittee, in accordance with the conditions (if any) to which the permit is subject:

                     (a)  to explore for petroleum in the permit area; and

                     (b)  to recover petroleum on an appraisal basis in the permit area; and

                     (c)  to carry on such operations, and execute such works, in the permit area as are necessary for those purposes.

             (2)  Express references in this Act to the injection or storage of a substance do not imply that subsection (1) does not operate so as to authorise the permittee:

                     (a)  to carry on operations to inject a substance into the seabed or subsoil of an offshore area; or

                     (b)  to carry on operations to store (whether on a permanent basis or otherwise) a substance in the seabed or subsoil of an offshore area.

             (3)  The regulations may provide that a petroleum exploration permit authorises the permittee, in accordance with the conditions (if any) to which the permit is subject:

                     (a)  to explore in the permit area for a potential greenhouse gas storage formation; and

                     (b)  to explore in the permit area for a potential greenhouse gas injection site; and

                     (c)  to carry on such operations, and execute such works, in the permit area as are necessary for those purposes.

             (4)  The rights conferred on the permittee by or under subsection (1) or (3) are subject to this Act and the regulations.

99  Conditions of petroleum exploration permits

             (1)  The Joint Authority may grant a petroleum exploration permit subject to whatever conditions the Joint Authority thinks appropriate.

Note:          A grant of a permit may be a grant by way of renewal—see section 11.

             (2)  The conditions (if any) must be specified in the permit.

Permit to which Royalty Act applies

             (3)  A petroleum exploration permit to which the Royalty Act applies is subject to a condition that the permittee will comply with the provisions of the Royalty Act.

Note:          The Royalty Act applies to a small number of North West Shelf titles.

             (4)  Despite subsection (2), the condition mentioned in subsection (3) does not need to be specified in the permit.

Work‑bid petroleum exploration permits and special petroleum exploration permits

             (5)  Any or all of the following conditions may be specified in a work‑bid petroleum exploration permit or a special petroleum exploration permit:

                     (a)  conditions requiring the permittee to carry out work in, or in relation to, the permit area (including conditions requiring the permittee to carry out the work during a period of 12 months or longer, or during periods each of which is 12 months or longer);

                     (b)  conditions relating to the amounts that the permittee must spend in carrying out such work;

                     (c)  conditions requiring the permittee to comply with directions that:

                              (i)  relate to the matters covered by paragraphs (a) and (b); and

                             (ii)  are given in accordance with the permit.

             (6)  Subsection (5) does not limit subsection (1) or (10).

Cash‑bid petroleum exploration permits

             (7)  Despite subsection (1), a cash‑bid petroleum exploration permit must not be granted subject to conditions requiring the permittee to:

                     (a)  carry out work in, or in relation to, the permit area; or

                     (b)  spend particular amounts on the carrying out of work in, or in relation to, the permit area.

Note:          A grant of a permit may be a grant by way of renewal—see section 11.

Declared petroleum exploration permits—approval of key petroleum operations

             (8)  A declared petroleum exploration permit is subject to the condition that the permittee will not carry on key petroleum operations under the permit unless the responsible Commonwealth Minister has approved the operations under section 100.

             (9)  Despite subsection (2), the condition mentioned in subsection (8) does not need to be specified in the permit.

           (10)  If, under section 100, the responsible Commonwealth Minister approves the carrying on of one or more key petroleum operations under a declared petroleum exploration permit, the responsible Commonwealth Minister may, by written notice given to the permittee, vary the permit by imposing one or more conditions to which the permit is subject.

           (11)  A variation of a declared petroleum exploration permit under subsection (10) takes effect on the day on which notice of the variation is given to the permittee.

           (12)  A condition imposed under subsection (10) may require the permittee to ensure that:

                     (a)  all wells; or

                     (b)  one or more specified wells;

made in the permit area by any person engaged or concerned in operations authorised by the permit are made in a manner, and to a standard, that will facilitate the plugging or closing off of the wells in a way that restores or maintains the suitability of a part of a geological formation for the permanent storage of greenhouse gas substances.

           (13)  Subsection (12) does not limit:

                     (a)  subsection (10); or

                     (b)  Part 6.2; or

                     (c)  Part 6.4.

           (14)  If:

                     (a)  a declared petroleum exploration permit is subject to a condition; and

                     (b)  the condition was imposed under subsection (10);

the responsible Commonwealth Minister may, by written notice given to the permittee, vary or revoke the condition.

           (15)  A variation of a declared petroleum exploration permit under subsection (14) takes effect on the day on which notice of the variation is given to the permittee.

           (16)  Subsection (14) does not limit section 264.

100  Declared petroleum exploration permit—approval by responsible Commonwealth Minister of key petroleum operations

             (1)  The registered holder of a declared petroleum exploration permit may apply to the responsible Commonwealth Minister for approval to carry on one or more key petroleum operations under the permit.

             (2)  If an application for approval is made under subsection (1), the responsible Commonwealth Minister may:

                     (a)  give the approval; or

                     (b)  by written notice given to the applicant, refuse to give the approval.

Responsible Commonwealth Minister must have regard to certain matters

             (3)  In deciding whether to give the approval, the responsible Commonwealth Minister must comply with subsections (4), (5), (6) and (7).

             (4)  The responsible Commonwealth Minister must have regard to the impact (if any) that any of those key petroleum operations could have on:

                     (a)  operations for the injection of a greenhouse gas substance; or

                     (b)  operations for the storage of a greenhouse gas substance;

that are being, or could be, carried on under:

                     (c)  an existing greenhouse gas assessment permit; or

                     (d)  an existing greenhouse gas holding lease; or

                     (e)  an existing greenhouse gas injection licence; or

                      (f)  if a greenhouse gas assessment permit or a greenhouse gas holding lease is in force over a block or blocks:

                              (i)  a future greenhouse gas holding lease over the block or any of the blocks; or

                             (ii)  a future greenhouse gas injection licence over the block or any of the blocks.

             (5)  If the responsible Commonwealth Minister is satisfied that there is a significant risk that any of those key petroleum operations will have a significant adverse impact on:

                     (a)  operations for the injection of a greenhouse gas substance; or

                     (b)  operations for the storage of a greenhouse gas substance;

that are being, or could be, carried on under:

                     (c)  an existing greenhouse gas assessment permit held by a person other than the applicant; or

                     (d)  an existing greenhouse gas holding lease held by a person other than the applicant; or

                     (e)  an existing greenhouse gas injection licence held by a person other than the applicant;

the responsible Commonwealth Minister must have regard to:

                      (f)  whether the registered holder of the greenhouse gas assessment permit, greenhouse gas holding lease or greenhouse gas injection licence, as the case may be, has agreed, in writing, to the applicant carrying on the key petroleum operations in respect of which the responsible Commonwealth Minister is so satisfied; and

                     (g)  if so—the terms of that agreement.

             (6)  If:

                     (a)  the responsible Commonwealth Minister is satisfied that there is a significant risk that any of those key petroleum operations will have a significant adverse impact on:

                              (i)  operations for the injection of a greenhouse gas substance; or

                             (ii)  operations for the storage of a greenhouse gas substance;

                            that could be carried on under:

                            (iii)  a future greenhouse gas holding lease over a block or blocks; or

                            (iv)  a future greenhouse gas injection licence over a block or blocks; and

                     (b)  a greenhouse gas assessment permit, greenhouse gas holding lease or greenhouse gas injection licence is in force over the block or any of the blocks; and

                     (c)  the greenhouse gas assessment permit, greenhouse gas holding lease or greenhouse gas injection licence is held by a person other than the applicant;

the responsible Commonwealth Minister must have regard to:

                     (d)  whether the registered holder of the greenhouse gas assessment permit, greenhouse gas holding lease or greenhouse gas injection licence covered by paragraph (b) has agreed, in writing, to the applicant carrying on the key petroleum operations in respect of which the responsible Commonwealth Minister is so satisfied; and

                     (e)  if so—the terms of that agreement.

             (7)  The responsible Commonwealth Minister must have regard to the public interest.

             (8)  Subsections (4), (5) and (6) do not limit subsection (7).

             (9)  Subsections (4), (5), (6) and (7) do not limit the matters to which the responsible Commonwealth Minister may have regard.

Responsible Commonwealth Minister must not give approval in certain circumstances

           (10)  If the responsible Commonwealth Minister is satisfied that there is a significant risk that any of those key petroleum operations will have a significant adverse impact on:

                     (a)  operations for the injection of a greenhouse gas substance; or

                     (b)  operations for the storage of a greenhouse gas substance;

that are being, or could be, carried on under an existing greenhouse gas injection licence, the responsible Commonwealth Minister must not give the approval unless the registered holder of the greenhouse gas injection licence has agreed, in writing, to the applicant carrying on the key petroleum operations in respect of which the responsible Commonwealth Minister is so satisfied.

No right to an approval

           (11)  To avoid doubt, section 98 does not imply that a petroleum exploration permittee who applies for approval under subsection (1) of this section is entitled to be given the approval.

Suspension of rights

           (12)  For the purposes of this section, disregard a suspension of rights under section 438.

101  Declared petroleum exploration permits

             (1)  If:

                     (a)  a post‑commencement petroleum exploration permit is in force; and

                     (b)  the responsible Commonwealth Minister is satisfied that there is a significant risk that any of the key petroleum operations that could be carried on under the permit will have a significant adverse impact on:

                              (i)  operations for the injection of a greenhouse gas substance; or

                             (ii)  operations for the storage of a greenhouse gas substance;

                            that are being, or could be, carried on under:

                            (iii)  an existing greenhouse gas assessment permit; or

                            (iv)  an existing greenhouse gas holding lease; or

                             (v)  an existing greenhouse gas injection licence; or

                            (vi)  a future greenhouse gas assessment permit; or

                           (vii)  a future greenhouse gas holding lease; or

                           (viii)  a future greenhouse gas injection licence;

the responsible Commonwealth Minister may, by written notice given to the petroleum exploration permittee, determine that the petroleum exploration permit is a declared petroleum exploration permit for the purposes of this Act.

             (2)  If:

                     (a)  a determination is in force under subsection (1) in relation to a post‑commencement petroleum exploration permit; and

                     (b)  the responsible Commonwealth Minister is not satisfied that there is a significant risk that any of the key petroleum operations that could be carried on under the permit will have a significant adverse impact on:

                              (i)  operations for the injection of a greenhouse gas substance; or

                             (ii)  operations for the storage of a greenhouse gas substance;

                            that are being, or could be, carried on under:

                            (iii)  an existing greenhouse gas assessment permit; or

                            (iv)  an existing greenhouse gas holding lease; or

                             (v)  an existing greenhouse gas injection licence; or

                            (vi)  a future greenhouse gas assessment permit; or

                           (vii)  a future greenhouse gas holding lease; or

                           (viii)  a future greenhouse gas injection licence;

the responsible Commonwealth Minister must, by written notice given to the petroleum exploration permittee, revoke the determination.

102  Duration of petroleum exploration permit

             (1)  The duration of a petroleum exploration permit is worked out using the table:

 

Duration of petroleum exploration permits

Item

This kind of permit...

remains in force...

1

an original petroleum exploration permit

for the period of 6 years beginning on:

(a) the day on which the permit is granted; or

(b) if a later day is specified in the permit as the day on which the permit is to come into force—that later day.

2

a petroleum exploration permit granted by way of renewal

for the period of 5 years beginning on:

(a) the day on which the permit is granted; or

(b) if a later day is specified in the permit as the day on which the permit is to come into force—that later day.

             (2)  Subsection (1) has effect subject to this Chapter.

Note 1:       For a special rule about the extension of the duration of a petroleum exploration permit if the permittee applies for a petroleum retention lease or petroleum production licence, see section 103.

Note 2:       For a special rule about the extension of the duration of petroleum exploration permits pending decisions on renewal applications, see subsection 119(5).

Note 3:       For a special rule about the extension of the duration of cash‑bid petroleum exploration permits, see section 114.

Note 4:       For special rules about the extension of the duration of a petroleum exploration permit following a suspension or exemption decision, see sections 265 and 267.

Note 5:       For the revocation of a petroleum exploration permit, see section 188 and clause 8 of Schedule 4.

Note 6:       For special rules about when a petroleum exploration permit ceases to be in force following the grant of a petroleum retention lease or petroleum production licence, see sections 145 and 176.

Note 7:       For the surrender of a petroleum exploration permit, see Part 2.12.

Note 8:       For the cancellation of a petroleum exploration permit, see Part 2.13.

103  Extension of petroleum exploration permit if permittee applies for petroleum retention lease or petroleum production licence

             (1)  If:

                     (a)  a petroleum exploration permit over a block or blocks cannot be renewed or further renewed; and

                     (b)  before the time when the permit would, apart from this subsection, expire, the permittee applies to the Designated Authority for the grant by the Joint Authority of a petroleum retention lease or petroleum production licence over the block or one or more of the blocks; and

                     (c)  the block or blocks covered by the application are included in a location;

the table has effect:

 

Extension of permit

Item

In this case...

the permit continues in force over the block or blocks covered by the application until...

1

the Joint Authority gives the permittee an offer document relating to a petroleum retention lease or petroleum production licence over the block or one or more of the blocks

the lease or licence is granted, the permittee withdraws the application or the application lapses.

2

the application is for a petroleum retention lease and the Joint Authority decides not to grant the lease to the permittee

the end of the period of one year after the day on which the notice of refusal was given to the permittee.

3

the application is for a petroleum production licence and the Joint Authority decides not to grant the licence to the permittee

notice of the decision is given to the permittee.

             (2)  Subsection (1) has effect subject to this Chapter but despite section 102.

Note:          See the notes at the end of section 102.


 

Division 2Obtaining a work‑bid petroleum exploration permit

104  Application for work‑bid petroleum exploration permit—advertising of blocks

Invitation to apply for a petroleum exploration permit

             (1)  The Joint Authority may, by notice published in the Gazette:

                     (a)  invite applications for the grant by the Joint Authority of a petroleum exploration permit over the block, or any or all of the blocks, specified in the notice; and

                     (b)  specify a period within which applications may be made.

             (2)  If the Joint Authority has published a notice under subsection 110(1) inviting applications for the grant of a petroleum exploration permit over a block, the block must not be specified in a notice under subsection (1) of this section at any time during the period specified in the subsection 110(1) notice.

Note:          Subsection 110(1) deals with cash‑bid petroleum exploration permits.

Application for petroleum exploration permit

             (3)  An application under this section must be accompanied by details of:

                     (a)  the applicant’s proposals for work and expenditure in relation to the block or blocks specified in the application; and

                     (b)  the technical qualifications of the applicant and of the applicant’s employees; and

                     (c)  the technical advice available to the applicant; and

                     (d)  the financial resources available to the applicant.

Note 1:       Part 2.10 contains additional provisions about application procedures.

Note 2:       Section 256 requires the application to be accompanied by an application fee.

Note 3:       Section 258 enables the Designated Authority to require the applicant to give further information.

Maximum number of blocks

             (4)  The number of blocks specified in an application under this section must not be more than 400.

Minimum number of blocks

             (5)  If 16 or more blocks are available, the number of blocks specified in an application under this section must not be less than 16.

             (6)  If less than 16 blocks are available, the number of blocks specified in an application under this section must be the number available.

             (7)  Subsections (5) and (6) do not apply to applications if the Joint Authority, for reasons that the Joint Authority thinks sufficient, includes in the subsection (1) notice a direction that subsections (5) and (6) do not apply to those applications.

Attributes of blocks

             (8)  The blocks specified in an application under this section must be blocks that are constituted by graticular sections that:

                     (a)  constitute a single area; and

                     (b)  are such that each graticular section in that area has a side in common with at least one other graticular section in that area.

             (9)  Subsection (8) does not apply to applications if the Joint Authority, for reasons that the Joint Authority thinks sufficient, includes in the subsection (1) notice a direction that subsection (8) does not apply to those applications.

105  Grant of work‑bid petroleum exploration permit—offer document

Scope

             (1)  This section applies if an application for the grant of a petroleum exploration permit has been made under section 104.

Offer document

             (2)  The Joint Authority may:

                     (a)  give the applicant a written notice (called an offer document) telling the applicant that the Joint Authority is prepared to grant the applicant a petroleum exploration permit over the block or blocks specified in the offer document; or

                     (b)  by written notice given to the applicant, refuse to grant a petroleum exploration permit to the applicant.

Note 1:       Section 259 sets out additional requirements for offer documents (for example, a requirement that an offer document must contain a summary of conditions).

Note 2:       If the applicant breaches a requirement under section 258 to provide further information, the Joint Authority may refuse to give the applicant an offer document—see subsection 258(3).

106  Ranking of multiple applicants for work‑bid petroleum exploration permit

Scope

             (1)  This section applies if:

                     (a)  the Joint Authority publishes a notice under subsection 104(1) inviting applications for the grant of a petroleum exploration permit; and

                     (b)  at the end of the period specified in the notice, 2 or more applications have been made under section 104 for the grant of a petroleum exploration permit over the same block or blocks.

Most deserving applicant may be given offer document

             (2)  The Joint Authority may give an offer document under section 105 to whichever applicant, in the Joint Authority’s opinion, is most deserving of the grant of the petroleum exploration permit.

             (3)  In determining which of the applicants is most deserving of the grant of the petroleum exploration permit, the Joint Authority must have regard to criteria made publicly available by the Joint Authority.

Ranking of applicants

             (4)  For the purposes of this section, the Joint Authority may rank the applicants in the order in which, in the Joint Authority’s opinion, they are deserving of the grant of the petroleum exploration permit, with the most deserving applicant being ranked highest.

             (5)  The Joint Authority may exclude from the ranking any applicant who, in the Joint Authority’s opinion, is not deserving of the grant of the petroleum exploration permit.

Applicants who are equally deserving of the grant of the petroleum exploration permit

             (6)  If the Joint Authority:

                     (a)  has considered the information accompanying the applications; and

                     (b)  is of the opinion that 2 or more of the applicants are equally deserving of the grant of the petroleum exploration permit;

the Joint Authority may, by written notice given to each of those applicants, invite them to give the Joint Authority details (the work/expenditure details) of their proposals for additional work and expenditure in relation to the block or blocks concerned.

             (7)  A notice under subsection (6) must:

                     (a)  specify the kinds of work/expenditure details that the Joint Authority considers to be relevant in determining which of the applicants is most deserving of the grant of the petroleum exploration permit; and

                     (b)  specify the period within which the work/expenditure details must be given to the Joint Authority.

             (8)  If an applicant gives work/expenditure details to the Joint Authority, and those details are:

                     (a)  of a kind specified in the notice; and

                     (b)  given within the period specified in the notice;

the Joint Authority must have regard to the details in determining which of the applicants is most deserving of the grant of the petroleum exploration permit.

Criteria

             (9)  An instrument setting out criteria under subsection (3) is not a legislative instrument for the purposes of the Legislative Instruments Act 2003.

Note:          See also section 109, which deals with the effect of the withdrawal or lapse of an application.

107  Grant of work‑bid petroleum exploration permit

                   If:

                     (a)  an applicant has been given an offer document under section 105; and

                     (b)  the applicant has made a request under section 260 in relation to the offer document within the period applicable under that section;

the Joint Authority must grant the applicant a petroleum exploration permit over the block or blocks specified in the offer document.

Note:          If the applicant does not make a request under section 260 within the period applicable under that section, the application lapses at the end of that period—see subsection 260(4).

108  Withdrawal of application

Scope

             (1)  This section applies if the Joint Authority publishes a notice under subsection 104(1) inviting applications for the grant of a petroleum exploration permit.

Withdrawal by single applicant

             (2)  If a person has made an application, the person may, by written notice given to the Joint Authority, withdraw the application at any time before a petroleum exploration permit is granted as a result of the application.

Withdrawal by all joint applicants

             (3)  If 2 or more persons have made a joint application, all of those persons may, by written notice given to the Joint Authority, withdraw the application at any time before a petroleum exploration permit is granted as a result of the application.

Withdrawal by one or more, but not all, joint applicants

             (4)  If:

                     (a)  a joint application was made under section 104 for the grant of a petroleum exploration permit; and

                     (b)  all of the joint applicants, by written notice given to the Joint Authority, tell the Joint Authority that one or more, but not all, of them, as specified in the notice, withdraw from the application;

then:

                     (c)  the application continues in force as if it had been made by the remaining applicant or applicants; and

                     (d)  if the Joint Authority had given the joint applicants an offer document in relation to the application—the Joint Authority is taken not to have given the offer document to the joint applicants.

109  Effect of withdrawal or lapse of application

Scope

             (1)  This section applies if:

                     (a)  2 or more applications have been made under section 104 for the grant of a petroleum exploration permit over the same block or blocks; and

                     (b)  one or more, but not all, of the applications are withdrawn or have lapsed.

Application is taken not to have been made

             (2)  A withdrawn or lapsed application is taken not to have been made.

Offer document is taken not to have been given

             (3)  If the Joint Authority gave an offer document in relation to a withdrawn or lapsed application, the Joint Authority is taken not to have given an offer document in relation to the withdrawn or lapsed application.

Request to grant petroleum exploration permit

             (4)  If the applicant, or one of the applicants, whose application had been withdrawn had requested the Joint Authority under section 260 to grant a petroleum exploration permit to the applicant concerned, the request is taken not to have been made.

Refusal to grant petroleum exploration permit

             (5)  If the following conditions are satisfied in relation to a remaining applicant:

                     (a)  the Joint Authority had refused to grant a petroleum exploration permit to the remaining applicant;

                     (b)  the Joint Authority did not exclude the remaining applicant from the ranking under subsection 106(5);

the refusal is taken not to have occurred.


 

Division 3Obtaining a cash‑bid petroleum exploration permit

110  Application for cash‑bid petroleum exploration permit

Invitation to apply for a petroleum exploration permit

             (1)  The Joint Authority may, by notice published in the Gazette:

                     (a)  invite applications by way of cash bidding for the grant by the Joint Authority of a petroleum exploration permit over the block or blocks specified in the notice; and

                     (b)  specify a period within which applications may be made.

             (2)  If the Joint Authority has published a notice under subsection 104(1) inviting applications for the grant of a petroleum exploration permit over a block, the block must not be specified in a notice under subsection (1) of this section at any time during the period specified in the subsection 104(1) notice.

Note:          Subsection 104(1) deals with work‑bid petroleum exploration permits.

             (3)  A notice under subsection (1) must:

                     (a)  state whether the permit is able to be renewed; and

                     (b)  contain a summary of the conditions to which the permit will be subject; and

                     (c)  specify the matters that the Joint Authority will take into account in deciding whether to reject an application.

             (4)  If a notice under subsection (1) specifies more than one block, those blocks must be constituted by graticular sections that:

                     (a)  constitute a single area; and

                     (b)  are such that each graticular section in that area has a side in common with at least one other graticular section in that area.

Application for petroleum exploration permit

             (5)  If a notice under subsection (1) specifies more than one block, an application under this section must be for a petroleum exploration permit over all of the specified blocks.

             (6)  An application under this section must:

                     (a)  be accompanied by details of:

                              (i)  the technical qualifications of the applicant and of the applicant’s employees; and

                             (ii)  the technical advice available to the applicant; and

                            (iii)  the financial resources available to the applicant; and

                     (b)  specify the amount that the applicant would be prepared to pay for the grant of the permit.

Note 1:       Part 2.10 contains additional provisions about application procedures.

Note 2:       Section 256 requires the application to be accompanied by an application fee.

Note 3:       Section 258 enables the Designated Authority to require the applicant to give further information.

111  Grant of cash‑bid petroleum exploration permit—only one application

Scope

             (1)  This section applies if:

                     (a)  the Joint Authority publishes a notice under subsection 110(1) inviting applications for the grant of a petroleum exploration permit over a block or blocks; and

                     (b)  at the end of the period specified in the notice, only one application has been made under section 110 in relation to the block or blocks.

Offer document

             (2)  The Joint Authority may:

                     (a)  give the applicant a written notice (called an offer document) telling the applicant that the Joint Authority is prepared to grant the applicant a petroleum exploration permit over that block or those blocks; or

                     (b)  by written notice given to the applicant, reject the application.

Note 1:       Section 259 sets out additional requirements for offer documents (for example, a requirement that an offer document must contain a summary of conditions).

Note 2:       If the applicant breaches a requirement under section 258 to provide further information, the Joint Authority may refuse to give the applicant an offer document—see subsection 258(3).

112  Grant of cash‑bid petroleum exploration permit—2 or more applications

Scope

             (1)  This section applies if:

                     (a)  the Joint Authority publishes a notice under subsection 110(1) inviting applications for the grant of a petroleum exploration permit over a block or blocks; and

                     (b)  at the end of the period specified in the notice, 2 or more applications have been made under section 110 in relation to the block or blocks.

Rejection of applications

             (2)  The Joint Authority may reject any or all of the applications.

Unrejected applications

             (3)  If the Joint Authority does not reject all of the applications, the table has effect:

 

Unrejected applications

Item

If...

the Joint Authority may give a written notice (called an offer document) to...

1

only one application remains unrejected

the applicant.

2

(a) 2 or more applications remain unrejected; and

(b) the amounts specified in the applications under paragraph 110(6)(b) are equal

one of those applicants.

3

(a) 2 or more applications remain unrejected; and

(b) the amounts specified in the applications under paragraph 110(6)(b) are not equal; and

(c) the amount specified in one of the applications is higher than the amount or amounts specified in the remaining application or applications

whichever of those applicants specified the highest amount.

4

(a) 3 or more applications remain unrejected; and

(b) 2 or more of the amounts specified in the applications under paragraph 110(6)(b) are:

(i) equal; and

(ii) higher than the amount or amounts specified in the remaining application or applications

one of the applicants who specified the equal highest amount.

             (4)  An offer document given to an applicant must tell the applicant that the Joint Authority is prepared to grant the applicant a petroleum exploration permit over the block or blocks.

Note 1:       Section 259 sets out additional requirements for offer documents (for example, a requirement that an offer document must contain a summary of conditions).

Note 2:       If an applicant breaches a requirement under section 258 to provide further information, the Joint Authority may refuse to give the applicant an offer document—see subsection 258(3).

             (5)  If:

                     (a)  an applicant is given an offer document under this section; and

                     (b)  the application lapses as provided by section 260 or 261; and

                     (c)  there are one or more remaining unrejected applications;

subsections (3) and (4) of this section apply in relation to the remaining unrejected applications.

Unsuccessful applications

             (6)  If the Joint Authority does not give an offer document to an applicant, the Joint Authority must, by written notice given to the applicant, inform the applicant that the application was unsuccessful.

113  Grant of cash‑bid petroleum exploration permit

             (1)  If:

                     (a)  an applicant has been given an offer document under section 111 or 112; and

                     (b)  the applicant has made a request under section 260 in relation to the offer document within the period applicable under that section; and

                     (c)  the applicant has paid the specified amount within the period applicable under section 261;

the Joint Authority must grant the applicant a petroleum exploration permit over the block or blocks specified in the offer document.

Note 1:       If the applicant does not make a request under section 260 within the period applicable under that section, the application lapses at the end of that period—see subsection 260(4).

Note 2:       If the applicant has not paid the specified amount within the period applicable under section 261, the application lapses at the end of that period—see subsection 261(1).

             (2)  For the purposes of this section, the specified amount is the amount specified in the offer document as the amount that the applicant must pay for the grant of the petroleum exploration permit.

114  Extension of cash‑bid petroleum exploration permit

Scope

             (1)  This section applies if:

                     (a)  a cash‑bid petroleum exploration permit expires; and

                     (b)  the permit cannot be renewed.

Note:          See section 120 (non‑renewable permits) and section 121 (limit on renewal of permits).

Extension of permit—requirement to nominate blocks as location

             (2)  If, before the expiry of the permit:

                     (a)  the Designated Authority had required the permittee to nominate, under section 130, a block or blocks in relation to which the permit was in force; and

                     (b)  the permittee had not complied with the requirement;

the permit continues in force over that block or those blocks until the end of the period the permittee has to comply with the requirement.

Extension of permit—nomination of blocks as location, declaration of location

             (3)  If, before the expiry of the permit:

                     (a)  a block or blocks in relation to which the permit was in force had been nominated under section 129; or

                     (b)  both:

                              (i)  a declaration under section 131 had been made in relation to a block or blocks in relation to which the permit was in force; and

                             (ii)  the permittee had not requested that the declaration be revoked;

the permit continues in force over that block or those blocks until whichever of the following events happens first:

                     (c)  a declaration under section 131 in relation to the block or blocks is revoked;

                     (d)  a petroleum retention lease or a petroleum production licence is granted in relation to the block or blocks;

                     (e)  the application period referred to in section 141 in relation to the block or blocks ends without the permittee making an application under that section for a petroleum retention lease in relation to the block or blocks;

                      (f)  if the Royalty Act does not apply to the permit—the application period referred to in section 169 in relation to the block or blocks ends without the permittee making an application under section 168 for a petroleum production licence over the block or blocks;

                     (g)  if the Royalty Act applies to the permit—the application period referred to in clause 3 of Schedule 4 in relation to the block or blocks ends without the permittee making an application under clause 2 of Schedule 4 for a petroleum production licence over the block or blocks.

             (4)  This section has effect subject to this Chapter but despite section 102.

Note:          See the notes at the end of section 102.


 

Division 4Obtaining a special petroleum exploration permit over a surrendered block or certain other blocks

115  Application for a special petroleum exploration permit over a surrendered block or certain other blocks

Invitation to apply for a petroleum exploration permit

             (1)  If:

                     (a)  a petroleum retention lease is surrendered, cancelled or revoked to the extent to which it relates to a block or blocks; or

                     (b)  a petroleum production licence is surrendered or cancelled to the extent to which it relates to a block or blocks; or

                     (c)  a petroleum production licence that relates to a block or blocks is terminated; or

                     (d)  both:

                              (i)  a petroleum exploration permit is surrendered, cancelled or revoked to the extent to which it relates to a block or blocks; and

                             (ii)  at the time of the surrender, cancellation or revocation, the block or blocks were, or were included in, a location;

the Joint Authority may, at any later time, by notice published in the Gazette:

                     (e)  invite applications for the grant by the Joint Authority of a petroleum exploration permit over that block or such of those blocks as are specified in the notice; and

                      (f)  specify a period within which applications may be made.

             (2)  A notice under subsection (1) must state that an applicant must specify an amount that the applicant would be prepared to pay for the grant of the permit.

Application for petroleum exploration permit

             (3)  If a notice under subsection (1) specifies more than one block, an application under this section must be for a petroleum exploration permit over all of the specified blocks.

             (4)  An application under this section must:

                     (a)  be accompanied by details of:

                              (i)  the applicant’s proposals for work and expenditure in relation to the block or blocks specified in the application; and

                             (ii)  the technical qualifications of the applicant and of the applicant’s employees; and

                            (iii)  the technical advice available to the applicant; and

                            (iv)  the financial resources available to the applicant; and

                     (b)  specify the amount that the applicant would be prepared to pay for the grant of the permit.

Note 1:       Part 2.10 contains additional provisions about application procedures.

Note 2:       Section 256 requires the application to be accompanied by an application fee.

Note 3:       Section 258 enables the Designated Authority to require the applicant to give further information.

             (5)  An application under this section must be accompanied by a deposit of 10% of the amount that the applicant has specified under paragraph (4)(b).

Refund of deposit

             (6)  If the permit is not granted, the deposit must be refunded to the applicant.

             (7)  Subsection (6) does not apply if:

                     (a)  the applicant has been given an offer document under section 116 or 117 in relation to the application; and

                     (b)  the applicant does not, under section 260, request the grant of the permit.

116  Grant of special petroleum exploration permit—only one application

Scope

             (1)  This section applies if:

                     (a)  the Joint Authority publishes a notice under subsection 115(1) inviting applications for the grant of a petroleum exploration permit over a block or blocks; and

                     (b)  at the end of the period specified in the notice, only one application has been made under section 115 in relation to the block or blocks.

Offer document

             (2)  The Joint Authority may:

                     (a)  give the applicant a written notice (called an offer document) telling the applicant that the Joint Authority is prepared to grant the applicant a petroleum exploration permit over that block or those blocks; or

                     (b)  by written notice given to the applicant, reject the application.

Note 1:       Section 259 sets out additional requirements for offer documents (for example, a requirement that an offer document must contain a summary of conditions).

Note 2:       If the applicant breaches a requirement under section 258 to provide further information, the Joint Authority may refuse to give the applicant an offer document—see subsection 258(3).

117  Grant of special petroleum exploration permit—2 or more applications

Scope

             (1)  This section applies if:

                     (a)  the Joint Authority publishes a notice under subsection 115(1) inviting applications for the grant of a petroleum exploration permit over a block or blocks; and

                     (b)  at the end of the period specified in the notice, 2 or more applications have been made under section 115 in relation to the block or blocks.

Rejection of applications

             (2)  The Joint Authority may reject any or all of the applications.

Unrejected applications

             (3)  If the Joint Authority does not reject all of the applications, the table has effect:

 

Unrejected applications

Item

If...

the Joint Authority may give a written notice (called an offer document) to...

1

only one application remains unrejected

the applicant.

2

(a) 2 or more applications remain unrejected; and

(b) the amounts specified in the applications under paragraph 115(4)(b) are equal

one of those applicants.

3

(a) 2 or more applications remain unrejected; and

(b) the amounts specified in the applications under paragraph 115(4)(b) are not equal; and

(c) the amount specified in one of the applications is higher than the amount or amounts specified in the remaining application or applications

whichever of those applicants specified the highest amount.

4

(a) 3 or more applications remain unrejected; and

(b) 2 or more of the amounts specified in the applications under paragraph 115(4)(b) are:

(i) equal; and

(ii) higher than the amount or amounts specified in the remaining application or applications

one of the applicants who specified the equal highest amount.

             (4)  An offer document given to an applicant must tell the applicant that the Joint Authority is prepared to grant the applicant a petroleum exploration permit over the block or blocks.

Note 1:       Section 259 sets out additional requirements for offer documents (for example, a requirement that an offer document must contain a summary of conditions).

Note 2:       If an applicant breaches a requirement under section 258 to provide further information, the Joint Authority may refuse to give the applicant an offer document—see subsection 258(3).

             (5)  If:

                     (a)  an applicant is given an offer document under this section; and

                     (b)  the application lapses as provided by section 260 or 261; and

                     (c)  there are one or more remaining unrejected applications;

subsections (3) and (4) of this section apply in relation to the remaining unrejected applications.

Unsuccessful applications

             (6)  If the Joint Authority does not give an offer document to an applicant, the Joint Authority must, by written notice given to the applicant, inform the applicant that the application was unsuccessful.

118  Grant of special petroleum exploration permit

             (1)  If:

                     (a)  an applicant has been given an offer document under section 116 or 117; and

                     (b)  the applicant has made a request under section 260 in relation to the offer document within the period applicable under that section; and

                     (c)  the applicant has paid the specified balance within the period applicable under section 261;

the Joint Authority must grant the applicant a petroleum exploration permit over the block or blocks specified in the offer document.

Note 1:       If the applicant does not make a request under section 260 within the period applicable under that section, the application lapses at the end of that period—see subsection 260(4).

Note 2:       If the applicant has not paid the specified balance within the period applicable under section 261, the application lapses at the end of that period—see subsection 261(2).

             (2)  For the purposes of this section, the specified balance is the balance specified in the offer document as the balance of the amount that the applicant must pay for the grant of the petroleum exploration permit.


 

Division 5Renewal of petroleum exploration permits

119  Application for renewal of petroleum exploration permit

             (1)  A petroleum exploration permittee may apply to the Designated Authority for the renewal by the Joint Authority of the permit in relation to such of the blocks the subject of the permit as are specified in the application.

Note 1:       Part 2.10 contains additional provisions about application procedures.

Note 2:       Section 256 requires the application to be accompanied by an application fee.

             (2)  Subsection (1) has effect subject to the following provisions:

                     (a)  section 120 (non‑renewable cash‑bid petroleum exploration permits);

                     (b)  section 121 (limit on renewal of cash‑bid petroleum exploration permits);

                     (c)  section 122 (limits on renewal of work‑bid petroleum exploration permits and special petroleum exploration permits);

                     (d)  section 123 (standard halving rules);

                     (e)  section 124 (modified halving rules).

             (3)  An application to renew a petroleum exploration permit must be made at least 90 days before the expiry date of the permit.

             (4)  Despite subsection (3), the Designated Authority may accept an application to renew a petroleum exploration permit if the application is made:

                     (a)  later than 90 days before the expiry date of the permit; and

                     (b)  before the expiry date of the permit.

Extension of duration of petroleum exploration permit pending decision on application

             (5)  If:

                     (a)  a petroleum exploration permittee makes an application to renew the permit; and

                     (b)  the permit would, apart from this subsection, expire:

                              (i)  before the Joint Authority grants, or refuses to grant, the renewal of the permit; or

                             (ii)  before the application lapses as provided by section 260;

the permit continues in force:

                     (c)  until the Joint Authority grants, or refuses to grant, the renewal of the permit; or

                     (d)  until the application so lapses;

whichever happens first.

             (6)  Subsection (5) has effect subject to this Chapter but despite section 102.

Note:          See the notes at the end of section 102.

120  Non‑renewable cash‑bid petroleum exploration permits

                   A petroleum exploration permittee must not apply to renew a cash‑bid petroleum exploration permit if the notice under subsection 110(1) relating to the grant of the permit stated that the permit was not able to be renewed.

121  Limit on renewal of cash‑bid petroleum exploration permits

                   A petroleum exploration permittee must not apply to renew a cash‑bid petroleum exploration permit if the Joint Authority has previously granted a renewal of the permit.

122  Limits on renewal of work‑bid petroleum exploration permits and special petroleum exploration permits

Scope

             (1)  This section applies to an application for renewal of a work‑bid petroleum exploration permit or a special petroleum exploration permit.

Limits

             (2)  The table has effect:

 

Limits on renewal

Item

In this case...

Do the standard halving rules in section 123 apply?

Do the modified halving rules in section 124 apply?

Can the permit be renewed more than twice?

1

an application for renewal of a work‑bid petroleum exploration permit, where the original petroleum exploration permit was granted:

(a) on or after 1 January 2003; and

(b) as a result of an application made in response to an invitation in a notice that was published under subsection 104(1) on or after 1 January 2003

Yes

No

No

2

an application for renewal of a special petroleum exploration permit, where the original petroleum exploration permit was granted on or after 1 January 2003

Yes

No

No

3

the first application after 6 March 2000 to renew a petroleum exploration permit, where the original petroleum exploration permit was granted before 7 March 2000

No

Yes

Yes, so long as the modified halving rules do not prevent the renewal

4

any other application for renewal of a petroleum exploration permit

Yes

No

Yes, so long as the standard halving rules do not prevent the renewal

Note:          Under clause 23 of Schedule 6 to this Act, the reference in item 1 of the table to subsection 104(1) of this Act includes a reference to subsection 20(1) of the Petroleum (Submerged Lands) Act 1967.

123  Standard halving rules

             (1)  This section sets out the standard halving rules.

Scope

             (2)  This section applies to:

                     (a)  an application for renewal of a cash‑bid petroleum exploration permit that is capable of being renewed; and

                     (b)  an application for renewal that is covered by item 1, 2 or 4 of the table in subsection 122(2).

Basic rule

             (3)  The maximum number of blocks in relation to which an application for a renewal of a permit may be made is worked out using the table:

 

Maximum number of blocks

Item

In this case...

the maximum number of blocks is...

1

the number of non‑location blocks in relation to which the permit is in force is a number (the divisible number) that is divisible by 2 without remainder

one‑half of the divisible number.

2

the number of non‑location blocks in relation to which the permit is in force is a number that is one less or one more than a number (the divisible number) that is divisible by 4 without remainder

one‑half of the divisible number.

             (4)  Subsection (3) has effect subject to subsections (5), (6), (7), (8) and (9).

Additional rules

             (5)  An application to renew a permit may include, in addition to the blocks worked out under subsection (3):

                     (a)  a block that is, or is included in, a location and in relation to which the permit is in force; or

                     (b)  2 or more blocks covered by paragraph (a).

             (6)  An application cannot be made to renew a permit in relation to only one block.

             (7)  If a permit is in force in relation to 5 or 6 blocks, an application may be made to renew the permit in relation to 4 of those blocks.

             (8)  If a permit is in force in relation to 2, 3 or 4 blocks, an application may be made to renew the permit in relation to all those blocks.

             (9)  If a permit is renewed as a result of an application referred to in subsection (8), an application may not be made for the further renewal of the permit.

Definition

           (10)  In this section:

non‑location block means a block that is neither a location nor included in a location.

124  Modified halving rules

             (1)  This section sets out the modified halving rules.

Scope

             (2)  This section applies to an application for renewal that is covered by item 3 of the table in subsection 122(2).

Modification of standard halving rules

             (3)  The modified halving rules are the rules set out in subsections 123(3), (4), (5), (7), (8), (9) and (10), modified as follows:

                     (a)  if the maximum number of blocks in relation to which an application for renewal of a permit may be made in accordance with those rules is less than 16, the Joint Authority may, by written notice given to the permittee:

                              (i)  tell the permittee that the number of blocks in relation to which the application may be made is such number, not more than 16, as is specified in the notice; and

                             (ii)  give such directions as the Joint Authority thinks fit about the blocks in relation to which the application may be made;

                     (b)  if a permit is in force in relation to only one block, an application may be made for renewal of the permit in relation to that block.

125  Renewal of petroleum exploration permit—offer document

Scope

             (1)  This section applies if an application to renew a petroleum exploration permit has been made under section 119.

Offer document—compliance with conditions etc.

             (2)  If each of the following has been complied with:

                     (a)  the conditions to which the petroleum exploration permit is, or has from time to time been, subject;

                     (b)  the provisions of this Chapter, Chapter 4, Chapter 6 and Part 7.1;

                     (c)  the regulations;

the Joint Authority must give the applicant a written notice (called an offer document) telling the applicant that the Joint Authority is prepared to renew the permit.

Note:          Section 259 sets out additional requirements for offer documents (for example, a requirement that an offer document must contain a summary of conditions).

Offer document—non‑compliance with conditions etc.

             (3)  If:

                     (a)  any of:

                              (i)  the conditions to which the petroleum exploration permit is, or has from time to time been, subject; or

                             (ii)  the provisions of this Chapter, Chapter 4, Chapter 6 and Part 7.1; or

                            (iii)  the provisions of the regulations;

                            have not been complied with; and

                     (b)  the Joint Authority is satisfied that there are sufficient grounds to warrant the granting of the renewal of the permit;

the Joint Authority may give the applicant a written notice (called an offer document) telling the applicant that the Joint Authority is prepared to renew the permit.

Note:          Section 259 sets out additional requirements for offer documents (for example, a requirement that an offer document must contain a summary of conditions).

126  Refusal to renew petroleum exploration permit

Scope

             (1)  This section applies if an application to renew a petroleum exploration permit has been made under section 119.

Refusal on grounds of non‑compliance with conditions

             (2)  If:

                     (a)  any of:

                              (i)  the conditions to which the petroleum exploration permit is, or has from time to time been, subject; or

                             (ii)  the provisions of this Chapter, Chapter 4, Chapter 6 and Part 7.1; or

                            (iii)  the provisions of the regulations;

                            have not been complied with; and

                     (b)  the Joint Authority is not satisfied that there are sufficient grounds to warrant the granting of the renewal of the permit;

the Joint Authority must, by written notice given to the applicant, refuse to renew the permit.

Note:          Consultation procedures apply—see section 262.

127  Renewal of petroleum exploration permit

                   If:

                     (a)  an applicant has been given an offer document under section 125; and

                     (b)  the applicant has made a request under section 260 in relation to the offer document within the period applicable under that section;

the Joint Authority must renew the petroleum exploration permit.

Note:          If the applicant does not make a request under section 260 within the period applicable under that section, the application lapses at the end of that period—see subsection 260(4).


 

Division 6Locations

128  Simplified outline

                   The following is a simplified outline of this Division:

•      If a petroleum pool is identified in a petroleum exploration permit area, the Designated Authority may declare a location over the blocks to which the petroleum pool extends.

•      Generally, the blocks must be nominated for declaration by the permittee.

•      The Designated Authority may require the permittee to nominate the blocks.

•      The declaration may be revoked or varied in certain circumstances.

129  Nomination of blocks as a location

Single petroleum pool

             (1)  If:

                     (a)  a petroleum pool is identified in a petroleum exploration permit area; and

                     (b)  the permittee or another person has, whether in or outside the permit area, recovered petroleum from the pool;

the permittee may nominate, for declaration as a location:

                     (c)  if the pool extends to only one block in the permit area—that block; or

                     (d)  if the pool extends to 2 or more blocks in the permit area—those blocks.

2 or more petroleum pools

             (2)  If:

                     (a)  2 or more petroleum pools are identified in a petroleum exploration permit area; and

                     (b)  the permittee or another person has, whether in or outside the permit area, recovered petroleum from each of those pools;

the permittee may, instead of making a nomination under subsection (1) in relation to each pool, nominate for declaration as a single location:

                     (c)  all of the blocks to which the pools extend; or

                     (d)  all of the blocks to which any 2 or more of the pools extend.

             (3)  To be effective, a nomination under subsection (2) that relates to 2 or more pools must be such that, in the case of each of the pools, at least one of the blocks to which the pool extends immediately adjoins a block to which the other, or another, of those pools extends.

             (4)  For the purposes of subsection (3), a block immediately adjoins another block if the graticular section that constitutes or includes that block and the graticular section that constitutes or includes that other block:

                     (a)  have a side in common; or

                     (b)  are joined together at one point only.

Form of nomination

             (5)  A nomination under this section must be:

                     (a)  in writing; and

                     (b)  given to the Designated Authority.

130  Requirement to nominate blocks as a location

Requirement to nominate

             (1)  If:

                     (a)  the Designated Authority is of the opinion that a petroleum exploration permittee is entitled to nominate a block or blocks under subsection 129(1) or (2); and

                     (b)  the permittee has not done so;

the Designated Authority may, by written notice given to the permittee, require the permittee to nominate the block or blocks within:

                     (c)  90 days after the day on which the notice was given; or

                     (d)  such longer period, not more than 180 days after the day on which the notice was given, as the Designated Authority allows.

             (2)  The Designated Authority may allow a longer period under paragraph (1)(d) only on written application made by the permittee within the period of 90 days mentioned in paragraph (1)(c).

Consequences of non‑compliance

             (3)  If the permittee does not comply with the requirement, the Designated Authority may, by written notice given to the permittee, nominate the block or blocks for declaration as a location.

131  Declaration of location

Nomination by permittee

             (1)  If:

                     (a)  a petroleum exploration permittee has made a nomination under section 129; and

                     (b)  the Designated Authority is of the opinion that the permittee is entitled under that section to nominate the block or blocks specified in the nomination;

the Designated Authority must, by writing, declare the nominated block or blocks to be a location.

             (2)  A copy of a declaration under subsection (1) must be published in the Gazette.

             (3)  The Designated Authority may form an opinion for the purposes of this section if the Designated Authority considers that there are reasonable grounds for doing so having regard to any information the Designated Authority has, whether given by the permittee or otherwise.

Nomination by Designated Authority

             (4)  If the Designated Authority has made a nomination under section 130, the Designated Authority must, by notice published in the Gazette, declare the nominated block or blocks to be a location.

132  Revocation of declaration

Revocation at the request of an exploration permittee

             (1)  If:

                     (a)  a petroleum exploration permit is in force over a block that constitutes, or the blocks that constitute, a location; and

                     (b)  the permittee requests the Designated Authority to revoke the declaration of the location;

the Designated Authority may, by writing, revoke the declaration of the location.

             (2)  A copy of a revocation under subsection (1) is to be published in the Gazette.

Revocation where block is no longer the subject of a petroleum exploration permit or a petroleum retention lease

             (3)  If:

                     (a)  a block or blocks constituting or forming part of a location was or were the subject of a petroleum exploration permit or a petroleum retention lease; and

                     (b)  that block is, or those blocks are, no longer the subject of the permit or lease;

the Designated Authority must, by notice published in the Gazette:

                     (c)  in a case where that block constitutes, or those blocks constitute, that location—revoke the declaration of that location; or

                     (d)  in a case where that block forms, or those blocks form, part of that location—revoke the declaration of that location to the extent to which the declaration relates to that block or those blocks.

             (4)  Subsection (3) does not apply in relation to a block if:

                     (a)  a person has applied for the grant of a petroleum production licence over the block, and the Joint Authority has not made a decision in relation to the application; or

                     (b)  a petroleum production licence is in force in relation to the block.

             (5)  Subsection (3) does not apply in relation to a block if:

                     (a)  a person has applied for the grant of a petroleum retention lease over the block, and the Joint Authority has not made a decision in relation to the application; or

                     (b)  a petroleum retention lease is in force in relation to the block.

Revocation if petroleum retention lease is granted

             (6)  If a petroleum retention lease is granted in relation to a block or blocks forming part of a location, the Designated Authority must, by notice published in the Gazette, revoke the declaration of the location to the extent to which the declaration relates to the block that is, or the blocks that are, not within the petroleum retention lease area.

Revocation if petroleum retention lease refused

             (7)  If:

                     (a)  the Joint Authority refuses to grant a petroleum retention lease in relation to a block or blocks constituting or forming part of a location; and

                     (b)  the reason, or one of the reasons, for the refusal is that the Joint Authority is not satisfied as to the matter referred to in subparagraph 142(b)(ii) (which deals with commercial viability);

the Designated Authority must, by notice published in the Gazette, revoke the declaration of that location.

Note:          If a petroleum exploration permit is in force over a block that constitutes a location, the permittee’s application for a petroleum retention lease over the block is rejected as mentioned in subsection (7), and the permittee wants to apply for a petroleum production licence, then the permittee must re‑nominate the block for declaration as a location before the permittee applies for the petroleum production licence.

Revocation if petroleum production licence granted

             (8)  If:

                     (a)  an application for the grant of a petroleum production licence has been made under:

                              (i)  section 168 or 170; or

                             (ii)  clause 2 or 4 of Schedule 4; and

                     (b)  the application specifies 2 or more blocks; and

                     (c)  a petroleum production licence is granted in respect of:

                              (i)  only one of the blocks; or

                             (ii)  some, but not all, of the blocks; and

                     (d)  the remaining block or blocks form part of a location;

the Designated Authority must, by notice published in the Gazette, revoke the declaration of the location to the extent to which the declaration relates to the remaining block or blocks.

Note 1:       Section 168 and clause 2 of Schedule 4 deal with applications by permittees.

Note 2:       Section 170 and clause 4 of Schedule 4 deal with applications by lessees.

133  Variation of declaration

             (1)  If a petroleum exploration permit is in force over a block that constitutes, or blocks that constitute, a location, the Designated Authority may, by writing, vary the declaration of the location:

                     (a)  by adding to the location a block:

                              (i)  that is in the permit area; and

                             (ii)  to which, in the opinion of the Designated Authority, a petroleum pool within the location extends; or

                     (b)  by deleting from the location a block to which, in the opinion of the Designated Authority, no petroleum pool within the location extends.

             (2)  A copy of a variation under subsection (1) is to be published in the Gazette.

             (3)  The Designated Authority may vary a declaration only if:

                     (a)  the permittee requests the variation; or

                     (b)  all of the following conditions are satisfied:

                              (i)  the Designated Authority gives the permittee written notice of the proposed variation, identifying the block to be added to, or deleted from, the location;

                             (ii)  the notice invites the permittee to give the Designated Authority a submission about the proposed variation;

                            (iii)  the notice specifies a time limit for making the submission;

                            (iv)  the Designated Authority has considered any submission made in accordance with the notice.

             (4)  The time limit must be at least 30 days after the notice is given.

             (5)  The Designated Authority may form an opinion for the purposes of this section if the Designated Authority considers that there are reasonable grounds for doing so having regard to any information the Designated Authority has, whether given by the permittee or otherwise.


 

Part 2.3Petroleum retention leases

Division 1General provisions

134  Simplified outline

                   The following is a simplified outline of this Part:

•      This Part provides for the grant of petroleum retention leases over blocks in an offshore area.

•      A petroleum retention lease authorises the lessee to explore for petroleum in the lease area.

•      A petroleum retention lease over a block may be granted to:

               (a)     the holder of a petroleum exploration permit over the block; or

               (b)     the holder of a life‑of‑field petroleum production licence over the block.

•      The criteria for granting a petroleum retention lease over a block are:

               (a)     the block contains petroleum; and

               (b)     the recovery of petroleum is not currently commercially viable, but is likely to become commercially viable within 15 years.

135  Rights conferred by petroleum retention lease

             (1)  A petroleum retention lease authorises the lessee, in accordance with the conditions (if any) to which the lease is subject:

                     (a)  to explore for petroleum in the lease area; and

                     (b)  to recover petroleum on an appraisal basis in the lease area; and

                     (c)  to carry on such operations, and execute such works, in the lease area as are necessary for those purposes.

             (2)  Express references in this Act to the injection or storage of a substance do not imply that subsection (1) does not operate so as to authorise the lessee:

                     (a)  to carry on operations to inject a substance into the seabed or subsoil of an offshore area; or

                     (b)  to carry on operations to store (whether on a permanent basis or otherwise) a substance in the seabed or subsoil of an offshore area.

             (3)  The regulations may provide that a petroleum retention lease authorises the lessee, in accordance with the conditions (if any) to which the lease is subject:

                     (a)  to explore in the lease area for a potential greenhouse gas storage formation; and

                     (b)  to explore in the lease area for a potential greenhouse gas injection site; and

                     (c)  to carry on such operations, and execute such works, in the lease area as are necessary for those purposes.

             (4)  The rights conferred on the lessee by or under subsection (1) or (3) are subject to this Act and the regulations.

136  Conditions of petroleum retention leases

             (1)  The Joint Authority may grant a petroleum retention lease subject to whatever conditions the Joint Authority thinks appropriate.

             (2)  The conditions (if any) must be specified in the lease.

Lease to which Royalty Act applies

             (3)  A petroleum retention lease to which the Royalty Act applies is subject to a condition that the lessee will comply with the provisions of the Royalty Act.

Note:          The Royalty Act applies to a small number of North West Shelf titles.

             (4)  Despite subsection (2), the condition mentioned in subsection (3) does not need to be specified in the lease.

Re‑evaluation of commercial viability

             (5)  A petroleum retention lease is subject to a condition that if the Designated Authority gives the lessee a written notice requesting the lessee to:

                     (a)  re‑evaluate the commercial viability of petroleum production in the lease area (otherwise than by the drilling of wells); and

                     (b)  inform the Designated Authority in writing of the results of the re‑evaluation;

the lessee must comply with the request within:

                     (c)  the period of 90 days after the notice is given; or

                     (d)  such longer period as the Designated Authority allows.

             (6)  The Designated Authority may allow a longer period under paragraph (5)(d) only on written application made by the lessee within the period of 90 days mentioned in paragraph (5)(c).

             (7)  If a petroleum retention lessee has complied with a subsection (5) request during the term of the lease, the Designated Authority must not give the lessee a further subsection (5) request during that term.

             (8)  Despite subsection (2), the condition mentioned in subsection (5) does not need to be specified in the lease.

Work to be carried out by lessee

             (9)  Any or all of the following conditions may be specified in a petroleum retention lease:

                     (a)  conditions requiring the lessee to carry out work in, or in relation to, the lease area;

                     (b)  conditions about the amounts that the lessee must spend in carrying out such work;

                     (c)  conditions requiring the lessee to comply with directions that:

                              (i)  relate to the matters covered by paragraphs (a) and (b);

                             (ii)  are given in accordance with the lease.

           (10)  Subsection (9) does not limit subsection (1) or (13).

Declared petroleum retention leases—approval of key petroleum operations

           (11)  A declared petroleum retention lease is subject to the condition that the lessee will not carry on key petroleum operations under the lease unless the responsible Commonwealth Minister has approved the operations under section 137.

           (12)  Despite subsection (2), the condition mentioned in subsection (11) does not need to be specified in the lease.

           (13)  If, under section 137, the responsible Commonwealth Minister approves the carrying on of one or more key petroleum operations under a declared petroleum retention lease, the responsible Commonwealth Minister may, by written notice given to the lessee, vary the lease by imposing one or more conditions to which the lease is subject.

           (14)  A variation of a declared petroleum retention lease under subsection (13) takes effect on the day on which notice of the variation is given to the lessee.

           (15)  A condition imposed under subsection (13) may require the lessee to ensure that:

                     (a)  all wells; or

                     (b)  one or more specified wells;

made in the lease area by any person engaged or concerned in operations authorised by the lease are made in a manner, and to a standard, that will facilitate the plugging or closing off of the wells in a way that restores or maintains the suitability of a part of a geological formation for the permanent storage of greenhouse gas substances.

           (16)  Subsection (15) does not limit:

                     (a)  subsection (13); or

                     (b)  Part 6.2; or

                     (c)  Part 6.4.

           (17)  If:

                     (a)  a declared petroleum retention lease is subject to a condition; and

                     (b)  the condition was imposed under subsection (13);

the responsible Commonwealth Minister may, by written notice given to the lessee, vary or revoke the condition.

           (18)  A variation of a declared petroleum retention lease under subsection (17) takes effect on the day on which notice of the variation is given to the lessee.

           (19)  Subsection (18) does not limit section 264.

137  Declared petroleum retention lease—approval by responsible Commonwealth Minister of key petroleum operations

             (1)  The registered holder of a declared petroleum retention lease may apply to the responsible Commonwealth Minister for approval to carry on one or more key petroleum operations under the lease.

             (2)  If an application for approval is made under subsection (1), the responsible Commonwealth Minister may:

                     (a)  give the approval; or

                     (b)  by written notice given to the applicant, refuse to give the approval.

Responsible Commonwealth Minister must have regard to certain matters

             (3)  In deciding whether to give the approval, the responsible Commonwealth Minister must comply with subsections (4), (5), (6) and (7).

             (4)  The responsible Commonwealth Minister must have regard to the impact (if any) that any of those key petroleum operations could have on:

                     (a)  operations for the injection of a greenhouse gas substance; or

                     (b)  operations for the storage of a greenhouse gas substance;

that are being, or could be, carried on under:

                     (c)  an existing greenhouse gas assessment permit; or

                     (d)  an existing greenhouse gas holding lease; or

                     (e)  an existing greenhouse gas injection licence; or

                      (f)  if a greenhouse gas assessment permit or a greenhouse gas holding lease is in force over a block or blocks:

                              (i)  a future greenhouse gas holding lease over the block or any of the blocks; or

                             (ii)  a future greenhouse gas injection licence over the block or any of the blocks.

             (5)  If the responsible Commonwealth Minister is satisfied that there is a significant risk that any of those key petroleum operations will have a significant adverse impact on:

                     (a)  operations for the injection of a greenhouse gas substance; or

                     (b)  operations for the storage of a greenhouse gas substance;

that are being, or could be, carried on under:

                     (c)  an existing greenhouse gas assessment permit held by a person other than the applicant; or

                     (d)  an existing greenhouse gas holding lease held by a person other than the applicant; or

                     (e)  an existing greenhouse gas injection licence held by a person other than the applicant;

the responsible Commonwealth Minister must have regard to:

                      (f)  whether the registered holder of the greenhouse gas assessment permit, greenhouse gas holding lease or greenhouse gas injection licence, as the case may be, has agreed, in writing, to the applicant carrying on the key petroleum operations in respect of which the responsible Commonwealth Minister is so satisfied; and

                     (g)  if so—the terms of that agreement.

             (6)  If:

                     (a)  the responsible Commonwealth Minister is satisfied that there is a significant risk that any of those key petroleum operations will have a significant adverse impact on:

                              (i)  operations for the injection of a greenhouse gas substance; or

                             (ii)  operations for the storage of a greenhouse gas substance;

                            that could be carried on under:

                            (iii)  a future greenhouse gas holding lease over a block or blocks; or

                            (iv)  a future greenhouse gas injection licence over a block or blocks; and

                     (b)  a greenhouse gas assessment permit, greenhouse gas holding lease or greenhouse gas injection licence is in force over the block or any of the blocks; and

                     (c)  the greenhouse gas assessment permit, greenhouse gas holding lease or greenhouse gas injection licence is held by a person other than the applicant;

the responsible Commonwealth Minister must have regard to:

                     (d)  whether the registered holder of the greenhouse gas assessment permit, greenhouse gas holding lease or greenhouse gas injection licence covered by paragraph (b) has agreed, in writing, to the applicant carrying on the key petroleum operations in respect of which the responsible Commonwealth Minister is so satisfied; and

                     (e)  if so—the terms of that agreement.

             (7)  The responsible Commonwealth Minister must have regard to the public interest.

             (8)  Subsections (4), (5) and (6) do not limit subsection (7).

             (9)  Subsections (4), (5), (6) and (7) do not limit the matters to which the responsible Commonwealth Minister may have regard.

Responsible Commonwealth Minister must not give approval in certain circumstances

           (10)  If the responsible Commonwealth Minister is satisfied that there is a significant risk that any of those key petroleum operations will have a significant adverse impact on:

                     (a)  operations for the injection of a greenhouse gas substance; or

                     (b)  operations for the storage of a greenhouse gas substance;

that are being, or could be, carried on under an existing greenhouse gas injection licence, the responsible Commonwealth Minister must not give the approval unless the registered holder of the greenhouse gas injection licence has agreed, in writing, to the applicant carrying on the key petroleum operations in respect of which the responsible Commonwealth Minister is so satisfied.

No right to an approval

           (11)  To avoid doubt, section 135 does not imply that a petroleum retention lessee who applies for approval under subsection (1) of this section is entitled to be given the approval.

Suspension of rights

           (12)  For the purposes of this section, disregard a suspension of rights under section 438.

138  Declared petroleum retention leases

             (1)  If:

                     (a)  a post‑commencement petroleum retention lease is in force; and

                     (b)  the responsible Commonwealth Minister is satisfied that there is a significant risk that any of the key petroleum operations that could be carried on under the lease will have a significant adverse impact on:

                              (i)  operations for the injection of a greenhouse gas substance; or

                             (ii)  operations for the storage of a greenhouse gas substance;

                            that are being, or could be, carried on under:

                            (iii)  an existing greenhouse gas assessment permit; or

                            (iv)  an existing greenhouse gas holding lease; or

                             (v)  an existing greenhouse gas injection licence; or

                            (vi)  a future greenhouse gas assessment permit; or

                           (vii)  a future greenhouse gas holding lease; or

                           (viii)  a future greenhouse gas injection licence;

the responsible Commonwealth Minister must, by written notice given to the petroleum retention lessee, determine that the petroleum retention lease is a declared petroleum retention lease for the purposes of this Act.

             (2)  If:

                     (a)  a determination is in force under subsection (1) in relation to a post‑commencement petroleum retention lease; and

                     (b)  the responsible Commonwealth Minister is not satisfied that there is a significant risk that any of the key petroleum operations that could be carried on under the lease will have a significant adverse impact on:

                              (i)  operations for the injection of a greenhouse gas substance; or

                             (ii)  operations for the storage of a greenhouse gas substance;

                            that are being, or could be, carried on under:

                            (iii)  an existing greenhouse gas assessment permit; or

                            (iv)  an existing greenhouse gas holding lease; or

                             (v)  an existing greenhouse gas injection licence; or

                            (vi)  a future greenhouse gas assessment permit; or

                           (vii)  a future greenhouse gas holding lease; or

                           (viii)  a future greenhouse gas injection licence;

the responsible Commonwealth Minister must, by written notice given to the petroleum retention lessee, revoke the determination.

139  Duration of petroleum retention lease

             (1)  A petroleum retention lease remains in force for the period of 5 years beginning on:

                     (a)  the day on which the lease is granted; or

                     (b)  if a later day is specified in the lease as the day on which the lease is to come into force—that later day.

             (2)  Subsection (1) has effect subject to this Chapter.

Note 1:       For a special rule about the extension of the duration of a petroleum retention lease if the lessee applies for a petroleum production licence, see section 140.

Note 2:       For a special rule about the extension of the duration of petroleum retention leases pending decisions on renewal applications, see subsection 153(5).

Note 3:       For special rules about the duration of a petroleum retention lease once a decision has been made refusing to renew the lease, see subsections 155(6) and (7).

Note 4:       For a special rule about the extension of the duration of a petroleum retention lease following a suspension or exemption decision, see sections 265 and 267.

Note 5:       For the revocation of a petroleum retention lease, see section 188 and clause 8 of Schedule 4.

Note 6:       For a special rule about when a petroleum retention lease ceases to be in force following the grant of a petroleum production licence, see section 176.

Note 7:       For the surrender of a petroleum retention lease, see Part 2.12.

Note 8:       For the cancellation of a petroleum retention lease, see Part 2.13.

140  Extension of petroleum retention lease if lessee applies for petroleum production licence

             (1)  If:

                     (a)  a petroleum retention lease is in force over a block or blocks; and

                     (b)  before the time when the lease would, apart from this subsection, expire, the lessee applies to the Designated Authority for the grant by the Joint Authority of a petroleum production licence over the block or one or more of the blocks;

the table has effect:

 

Extension of lease

Item

In this case...

the lease continues in force over the block or blocks covered by the application until...

1

the Joint Authority gives the lessee an offer document relating to a petroleum production licence over the block or one or more of the blocks

the licence is granted, the lessee withdraws the application or the application lapses.

2

the Joint Authority decides not to grant a petroleum production licence to the lessee

notice of the decision is given to the lessee.

             (2)  Subsection (1) has effect subject to this Chapter but despite section 139.

Note:          See the notes at the end of section 139.


 

Division 2Obtaining a petroleum retention lease

Subdivision AApplication for petroleum retention lease by the holder of a petroleum exploration permit

141  Application for petroleum retention lease by the holder of a petroleum exploration permit

             (1)  If a petroleum exploration permit is in force over a block that constitutes, or the blocks that constitute, a location, the permittee may, within the application period, apply to the Designated Authority for the grant by the Joint Authority of a petroleum retention lease over that block or over one or more of those blocks.

Note:          For application period, see subsection (3).

             (2)  An application under this section must be accompanied by details of:

                     (a)  the applicant’s proposals for work and expenditure in relation to the area comprised in the block or blocks specified in the application; and

                     (b)  the current commercial viability of the recovery of petroleum from that area; and

                     (c)  the possible future commercial viability of the recovery of petroleum from that area.

Note 1:       Part 2.10 contains additional provisions about application procedures.

Note 2:       Section 256 requires the application to be accompanied by an application fee.

Note 3:       Section 258 enables the Designated Authority to require the applicant to give further information.

Application period

             (3)  The application period for an application under this section is:

                     (a)  the period of 2 years after the day (the declaration day) on which the block that constitutes the location concerned was, or the blocks that constitute the location concerned were, declared to be a location; or

                     (b)  such longer period, not more than 4 years after the declaration day, as the Designated Authority allows.

             (4)  The Designated Authority may allow a longer period under paragraph (3)(b) only on written application made by the permittee within the period of 2 years mentioned in paragraph (3)(a).

142  Grant of petroleum retention lease—offer document

                   If:

                     (a)  an application for a petroleum retention lease has been made under section 141; and

                     (b)  the Joint Authority is satisfied that:

                              (i)  the area comprised in the block, or any one or more of the blocks, specified in the application contains petroleum; and

                             (ii)  the recovery of petroleum from that area is not, at the time of the application, commercially viable but is likely to become commercially viable within 15 years after that time;

the Joint Authority must give the applicant a written notice (called an offer document) telling the applicant that the Joint Authority is prepared to grant the applicant a petroleum retention lease over the block or blocks as to which the Joint Authority is satisfied as mentioned in paragraph (b).

Note 1:       Section 259 sets out additional requirements for offer documents (for example, a requirement that an offer document must contain a summary of conditions).

Note 2:       If the applicant breaches a requirement under section 258 to provide further information, the Joint Authority may refuse to give the applicant an offer document—see subsection 258(3).

143  Refusal to grant petroleum retention lease

             (1)  This section applies if an application for a petroleum retention lease has been made under section 141.

             (2)  If the Joint Authority is not satisfied as to the matters referred to in paragraph 142(b) in relation to the block, or all the blocks, specified in the application, the Joint Authority must, by written notice given to the applicant, refuse to grant a petroleum retention lease to the applicant.

             (3)  If:

                     (a)  the application specifies 2 or more blocks; and

                     (b)  the Joint Authority is not satisfied as to the matters referred to in paragraph 142(b) in relation to:

                              (i)  only one of the blocks; or

                             (ii)  some, but not all, of the blocks;

the Joint Authority must, by written notice given to the applicant, refuse to grant a petroleum retention lease to the applicant in relation to the block or blocks as to which the Joint Authority is not satisfied as mentioned in paragraph 142(b).

144  Grant of petroleum retention lease

                   If:

                     (a)  an applicant has been given an offer document under section 142; and

                     (b)  the applicant has made a request under section 260 in relation to the offer document within the period applicable under that section;

the Joint Authority must grant the applicant a petroleum retention lease over the block or blocks specified in the offer document.

Note:          If the applicant does not make a request under section 260 within the period applicable under that section, the application lapses at the end of that period—see subsection 260(4).

145  Petroleum exploration permit ceases to be in force when petroleum retention lease comes into force

                   When a petroleum retention lease under section 144 comes into force in relation to one or more blocks, a petroleum exploration permit ceases to be in force to the extent to which it relates to those blocks.

146  Petroleum exploration permit transferred—transferee to be treated as applicant

Scope

             (1)  This section applies if a transfer of a petroleum exploration permit is registered under section 479:

                     (a)  after an application has been made under section 141 for the grant of a petroleum retention lease over a block or blocks in relation to which the petroleum exploration permit is in force; and

                     (b)  before any action has been taken by the Joint Authority under section 142 or 143 in relation to the application.

Transferee to be treated as applicant

             (2)  After the transfer, sections 141 to 144 and Part 2.10 have effect in relation to the application as if any reference in those sections and that Part to the applicant were a reference to the transferee.

Subdivision BApplication for petroleum retention lease by the holder of a life‑of‑field petroleum production licence

147  Application for petroleum retention lease by the holder of a life‑of‑field petroleum production licence

             (1)  If:

                     (a)  a life‑of‑field petroleum production licence is in force over a block or blocks; and

                     (b)  the following conditions are satisfied in relation to an area (the unused area) that consists of the block or any or all of the blocks:

                              (i)  petroleum has been found to exist in the unused area;

                             (ii)  no petroleum recovery operations are being carried on under the licence in relation to the unused area;

the licensee may, within the application period, apply to the Designated Authority for the grant by the Joint Authority of a petroleum retention lease over the unused area.

Note:          For application period, see subsection (3).

             (2)  An application under this section must be accompanied by details of:

                     (a)  the applicant’s proposals for work and expenditure in relation to the unused area; and

                     (b)  the current commercial viability of the recovery of petroleum from the unused area; and

                     (c)  the possible future commercial viability of the recovery of petroleum from the unused area.

Note 1:       Part 2.10 contains additional provisions about application procedures.

Note 2:       Section 256 requires the application to be accompanied by an application fee.

Note 3:       Section 258 enables the Designated Authority to require the applicant to give further information.

Application period

             (3)  The application period for an application under this section by a petroleum production licensee is the period of 5 years that began on:

                     (a)  the day on which the licence was granted; or

                     (b)  if any petroleum recovery operations have been carried on under the licence in relation to the unused area—the last day on which any such operations were so carried on.

148  Grant of petroleum retention lease—offer document

                   If:

                     (a)  an application for a petroleum retention lease has been made under section 147; and

                     (b)  the Joint Authority is satisfied that recovery of petroleum from the unused area:

                              (i)  is not, at the time of the application, commercially viable; and

                             (ii)  is likely to become commercially viable within the period of 15 years after that time;

the Joint Authority must give the applicant a written notice (called an offer document) telling the applicant that the Joint Authority is prepared to grant the applicant a petroleum retention lease over the unused area.

Note 1:       Section 259 sets out additional requirements for offer documents (for example, a requirement that an offer document must contain a summary of conditions).

Note 2:       If the applicant breaches a requirement under section 258 to provide further information, the Joint Authority may refuse to give the applicant an offer document—see subsection 258(3).

149  Refusal to grant petroleum retention lease

                   If:

                     (a)  an application for a petroleum retention lease has been made under section 147; and

                     (b)  the Joint Authority is not satisfied as to the matters referred to in paragraph 148(b) in relation to the unused area;

the Joint Authority must, by written notice given to the applicant, refuse to grant a petroleum retention lease to the applicant.

Note:          Consultation procedures apply—see section 262.

150  Grant of petroleum retention lease

                   If:

                     (a)  an applicant has been given an offer document under section 148; and

                     (b)  the applicant has made a request under section 260 in relation to the offer document within the period applicable under that section;

the Joint Authority must grant the applicant a petroleum retention lease over the unused area.

Note:          If the applicant does not make a request under section 260 within the period applicable under that section, the application lapses at the end of that period—see subsection 260(4).

151  Petroleum production licence ceases to be in force when petroleum retention lease comes into force

                   When a petroleum retention lease under section 150 comes into force in relation to one or more blocks, a petroleum production licence ceases to be in force to the extent to which it relates to those blocks.

152  Petroleum production licence transferred—transferee to be treated as applicant

Scope

             (1)  This section applies if a transfer of a petroleum production licence is registered under section 479:

                     (a)  after an application has been made under section 147 for the grant of a petroleum retention lease over a block or blocks in relation to which the petroleum production licence is in force; and

                     (b)  before any action has been taken by the Joint Authority under section 148 or 149 in relation to the application.

Transferee to be treated as applicant

             (2)  After the transfer, sections 147 to 150 and Part 2.10 have effect in relation to the application as if any reference in those sections and that Part to the applicant were a reference to the transferee.


 

Division 3Renewal of petroleum retention leases

153  Application for renewal of petroleum retention lease

Application for renewal

             (1)  A petroleum retention lessee may apply to the Designated Authority for the renewal by the Joint Authority of the lease.

             (2)  An application to renew a petroleum retention lease must be made:

                     (a)  not more than 12 months before the expiry date of the lease; and

                     (b)  at least 180 days before the expiry date of the lease.

             (3)  Despite subsection (2), the Designated Authority may accept an application to renew a petroleum retention lease if the application is made:

                     (a)  later than 180 days before the expiry date of the lease; and

                     (b)  before the expiry date of the lease.

             (4)  An application to renew a petroleum retention lease must be accompanied by details of:

                     (a)  the lessee’s proposals for work and expenditure in relation to the lease area; and

                     (b)  the current commercial viability of recovery of petroleum from the lease area; and

                     (c)  the possible future commercial viability of recovery of petroleum from the lease area.

Note 1:       Part 2.10 contains additional provisions about application procedures.

Note 2:       Section 256 requires the application to be accompanied by an application fee.

Note 3:       Section 258 enables the Designated Authority to require the applicant to give further information.

Extension of duration of petroleum retention lease pending decision on application

             (5)  If:

                     (a)  a petroleum retention lessee makes an application to renew the lease; and

                     (b)  the lease would, apart from this subsection, expire:

                              (i)  before the Joint Authority grants, or refuses to grant, the renewal of the lease; or

                             (ii)  before the application lapses as provided by section 260;

the lease continues in force:

                     (c)  until the Joint Authority grants, or refuses to grant, the renewal of the lease; or

                     (d)  until the application so lapses;

whichever happens first.

             (6)  Subsection (5) has effect subject to this Chapter but despite section 139.

Note:          See the notes at the end of section 139.

154  Renewal of petroleum retention lease—offer document

Scope

             (1)  This section applies if an application to renew a petroleum retention lease has been made under section 153.

Offer document—compliance with conditions etc.

             (2)  If:

                     (a)  each of the following has been complied with:

                              (i)  the conditions to which the petroleum retention lease is, or has from time to time been, subject;

                             (ii)  the provisions of this Chapter, Chapter 4, Chapter 6 and Part 7.1;

                            (iii)  the regulations; and

                     (b)  the Joint Authority is satisfied that recovery of petroleum from the lease area:

                              (i)  is not, at the time of the application, commercially viable; and

                             (ii)  is likely to become commercially viable within the period of 15 years after that time;

the Joint Authority must give the applicant a written notice (called an offer document) telling the applicant that the Joint Authority is prepared to renew the lease.

Note:          Section 259 sets out additional requirements for offer documents (for example, a requirement that an offer document must contain a summary of conditions).

Offer document—non‑compliance with conditions etc.

             (3)  If:

                     (a)  any of:

                              (i)  the conditions to which the petroleum retention lease is, or has from time to time been, subject; or

                             (ii)  the provisions of this Chapter, Chapter 4, Chapter 6 and Part 7.1; or

                            (iii)  the provisions of the regulations;

                            have not been complied with; and

                     (b)  the Joint Authority is satisfied that there are sufficient grounds to warrant the granting of the renewal of the petroleum retention lease; and

                     (c)  the Joint Authority is satisfied that recovery of petroleum from the lease area:

                              (i)  is not, at the time of the application, commercially viable; and

                             (ii)  is likely to become commercially viable within the period of 15 years after that time;

the Joint Authority may give the applicant a written notice (called an offer document) telling the applicant that the Joint Authority is prepared to renew the lease.

Note:          Section 259 sets out additional requirements for offer documents (for example, a requirement that an offer document must contain a summary of conditions).

155  Refusal to renew petroleum retention lease

Scope

             (1)  This section applies if an application to renew a petroleum retention lease has been made under section 153.

Refusal on grounds of non‑compliance with conditions

             (2)  If:

                     (a)  any of:

                              (i)  the conditions to which the petroleum retention lease is, or has from time to time been, subject; or

                             (ii)  the provisions of this Chapter, Chapter 4, Chapter 6 and Part 7.1; or

                            (iii)  the provisions of the regulations;

                            have not been complied with; and

                     (b)  the Joint Authority is not satisfied that there are sufficient grounds to warrant the granting of the renewal of the petroleum retention lease;

the Joint Authority must, by written notice given to the applicant, refuse to renew the lease.

Note:          Consultation procedures apply—see section 262.

Refusal on grounds of commercial viability

             (3)  If the Joint Authority is satisfied that recovery of petroleum from the lease area is, at the time of the application, commercially viable, the Joint Authority must, by written notice given to the applicant, refuse to renew the lease.

Note:          Consultation procedures apply—see section 262.

             (4)  If the Joint Authority is satisfied that recovery of petroleum from the lease area is unlikely to become commercially viable within the period of 15 years after the time of the application, the Joint Authority must, by written notice given to the applicant, refuse to renew the lease.

Note:          Consultation procedures apply—see section 262.

Application for petroleum production licence within 12 months after refusal

             (5)  A notice of refusal under subsection (3) must contain a statement to the effect that the lessee may, within 12 months after the notice was given, apply for a petroleum production licence over one or more of the blocks comprised in the lease.

             (6)  If:

                     (a)  the Joint Authority makes a decision under subsection (3) refusing to renew the lease; and

                     (b)  a notice of refusal is given to the applicant; and

                     (c)  within 12 months after the notice was given, the lessee applies for a petroleum production licence over one or more of the blocks comprised in the lease; and

                     (d)  the lease would, apart from this subsection, expire:

                              (i)  before the Joint Authority grants, or refuses to grant, the petroleum production licence; or

                             (ii)  before the application lapses;

the lease continues in force until:

                     (e)  the Joint Authority grants, or refuses to grant, the petroleum production licence; or

                      (f)  the application lapses;

whichever happens first.

             (7)  If:

                     (a)  the Joint Authority makes a decision under subsection (3) refusing to renew the lease; and

                     (b)  a notice of refusal is given to the applicant; and

                     (c)  subsection (6) does not apply; and

                     (d)  the lease would, apart from this subsection, expire within 12 months after the notice was given;

the lease continues in force until the end of the 12‑month period beginning on the day on which the notice was given.

             (8)  Subsections (6) and (7) have effect subject to this Chapter but despite section 139.

Note:          See the notes at the end of section 139.

156  Renewal of petroleum retention lease

                   If:

                     (a)  an applicant has been given an offer document under section 154; and

                     (b)  the applicant has made a request under section 260 in relation to the offer document within the period applicable under that section;

the Joint Authority must renew the petroleum retention lease.

Note:          If the applicant does not make a request under section 260 within the period applicable under that section, the application lapses at the end of that period—see subsection 260(4).


 

Division 4Revocation of petroleum retention leases

157  Notice of proposal to revoke petroleum retention lease

Scope

             (1)  This section applies if:

                     (a)  a petroleum retention lessee has been given a notice under subsection 136(5) during the term of the lease; and

                     (b)  the lessee has carried out, and has informed the Designated Authority of the results of, the re‑evaluation required by the notice; and

                     (c)  the lessee has not made an application to renew the lease; and

                     (d)  after consideration of:

                              (i)  the results of the re‑evaluation referred to in paragraph (b); and

                             (ii)  such other matters as the Joint Authority thinks fit;

                            the Joint Authority is of the opinion that recovery of petroleum from the lease area is commercially viable.

Note:          Subsection 136(5) deals with re‑evaluation of the commercial viability of petroleum production in the lease area.

Notice of proposal to revoke lease

             (2)  The Joint Authority may give the lessee, and such other persons (if any) as the Joint Authority thinks appropriate, a written notice:

                     (a)  telling the recipient of the notice that the Joint Authority:

                              (i)  has formed the opinion that recovery of petroleum from the lease area is commercially viable; and

                             (ii)  proposes to revoke the lease; and

                     (b)  inviting the recipient of the notice to make a written submission to the Joint Authority about the proposal to revoke the lease; and

                     (c)  specifying a time limit for making that submission.

Note:          All communications to the Joint Authority are to be made through the Designated Authority—see section 63.

             (3)  The time limit must be at least 30 days after the notice is given.

158  Revocation of petroleum retention lease

             (1)  If:

                     (a)  a notice under subsection 157(2) is given to:

                              (i)  the lessee of a petroleum retention lease; or

                             (ii)  the lessee of a petroleum retention lease and one or more other persons; and

                     (b)  either:

                              (i)  the lessee does not make a submission in accordance with the notice; or

                             (ii)  the Joint Authority, after consideration of any submissions made in accordance with the notice, determines that the lease should be revoked;

the Joint Authority must, by written notice given to the lessee, revoke the lease.

When revocation takes effect

             (2)  If:

                     (a)  a petroleum retention lease is revoked under subsection (1); and

                     (b)  the lessee applies for a petroleum production licence in relation to one or more of the blocks comprised in the lease within the period of 12 months beginning on the day on which the notice of revocation was given;

the revocation of the lease takes effect:

                     (c)  when the Joint Authority grants, or refuses to grant, the petroleum production licence; or

                     (d)  when the application lapses;

whichever happens first.

             (3)  If:

                     (a)  a petroleum retention lease is revoked under subsection (1); and

                     (b)  the lessee does not apply for a petroleum production licence in relation to one or more of the blocks comprised in the lease within the period of 12 months beginning on the day on which the notice of revocation was given;

the revocation of the lease takes effect at the end of that 12‑month period.

             (4)  If a petroleum retention lease is revoked under subsection (1), the lease continues in force until the revocation takes effect in accordance with subsection (2) or (3).


 

Part 2.4Petroleum production licences

Division 1General provisions

159  Simplified outline

                   The following is a simplified outline of this Part:

•      It is an offence to recover petroleum in an offshore area except:

               (a)     under a petroleum production licence; or

               (b)     as otherwise authorised or required by or under this Act.

•      This Part provides for the grant of petroleum production licences over blocks in an offshore area.

•      A petroleum production licence authorises the licensee to carry out petroleum recovery operations in the licence area.

•      There are 3 ways in which a petroleum production licence can be granted:

               (a)     grant of a petroleum production licence as a result of an application made by a petroleum exploration permittee or a petroleum retention lessee;

               (b)     grant of a petroleum production licence over a surrendered block or a similar block;

               (c)     grant of a petroleum production licence over an individual block in exchange for another licence that was in force over the same block.

160  Prohibition of unauthorised recovery of petroleum in offshore area

             (1)  A person commits an offence if:

                     (a)  the person carries on petroleum recovery operations; and

                     (b)  the operations are carried on in an offshore area.

Penalty:  Imprisonment for 5 years.

             (2)  Subsection (1) does not apply if the operations are:

                     (a)  authorised by a petroleum production licence; or

                     (b)  otherwise authorised or required by or under this Act.

Note:          The defendant bears an evidential burden in relation to the matter in subsection (2)—see subsection 13.3(3) of the Criminal Code.

161  Rights conferred by petroleum production licence

             (1)  A petroleum production licence authorises the licensee, in accordance with the conditions (if any) to which the licence is subject:

                     (a)  to recover petroleum in the licence area; and

                     (b)  to recover petroleum from the licence area in another area to which the licensee has lawful access for that purpose; and

                     (c)  to explore for petroleum in the licence area; and

                     (d)  to carry on such operations, and execute such works, in the licence area as are necessary for those purposes.

             (2)  Express references in this Act to the injection or storage of a substance do not imply that subsection (1) does not operate so as to authorise the licensee:

                     (a)  to carry on operations to inject a substance into the seabed or subsoil of an offshore area; or

                     (b)  to carry on operations to store (whether on a permanent basis or otherwise) a substance in the seabed or subsoil of an offshore area.

             (3)  The regulations may provide that a petroleum production licence authorises the licensee, in accordance with the conditions (if any) to which the licence is subject:

                     (a)  to explore in the licence area for a potential greenhouse gas storage formation; and

                     (b)  to explore in the licence area for a potential greenhouse gas injection site; and

                     (c)  to carry on such operations, and execute such works, in the licence area as are necessary for those purposes.

             (4)  The regulations may provide that, if:

                     (a)  petroleum is recovered in the licence area of a petroleum production licence (the first licence); and

                     (b)  operations for the recovery or processing of the petroleum are carried on using a facility located in the licence area of another petroleum production licence (the second licence); and

                     (c)  a prescribed substance (which may be a hydrocarbon) is recovered as an incidental consequence of the recovery of the petroleum;

the second licence authorises the licensee of the second licence, in accordance with the conditions (if any) to which the second licence is subject:

                     (d)  to inject the substance into the seabed or subsoil of the licence area of the second licence; and

                     (e)  to store (whether on a permanent basis or otherwise) the substance in the seabed or subsoil of the licence area of the second licence; and

                      (f)  to carry on such operations, and execute such works, in the licence area of the second licence as are necessary for those purposes.

             (5)  Subsections (3) and (4) do not limit subsection (1).

             (6)  The rights conferred on the licensee by or under subsection (1), (3) or (4) are subject to this Act and the regulations.

162  Conditions of petroleum production licences

             (1)  The Joint Authority may grant a petroleum production licence subject to whatever conditions the Joint Authority thinks appropriate.

Note:          A grant of a licence may be a grant by way of renewal—see section 11.

             (2)  The conditions (if any) must be specified in the licence.

Petroleum production licence to which the Royalty Act applies

             (3)  A petroleum production licence to which the Royalty Act applies is subject to a condition that the licensee will comply with the provisions of the Royalty Act.

Note:          The Royalty Act applies to a small number of North West Shelf titles.

             (4)  Despite subsection (2), the condition mentioned in subsection (3) does not need to be specified in the licence.

General condition

             (5)  A petroleum production licence may be granted subject to a general condition requiring the licensee to:

                     (a)  explore for petroleum in the licence area with a view to determining whether there is any additional recoverable petroleum in the licence area; and

                     (b)  recover such petroleum if it is commercially viable to do so.

             (6)  Subsection (5) does not limit subsection (1) or (12).

Specific conditions

             (7)  Despite subsection (1), a petroleum production licence must not be granted subject to specific conditions requiring the licensee to:

                     (a)  make a well in the licence area; or

                     (b)  carry out a seismic survey, or any other kind of survey, in, or in relation to, the licence area; or

                     (c)  spend particular amounts on the carrying out of work in, or in relation to, the licence area.

             (8)  To avoid doubt, a condition covered by subsection (5) does not breach subsection (7).

Renewal conditions

             (9)  In making a decision about the conditions to which a petroleum production licence granted on renewal will be subject, the Joint Authority must have regard to:

                     (a)  the investment of the licensee, or of any former licensee, during the term of:

                              (i)  the original petroleum production licence; or

                             (ii)  any petroleum production licence granted on a previous renewal;

                            where the investment relates to:

                            (iii)  operations authorised by the licence concerned; or

                            (iv)  any other development connected with those operations; and

                     (b)  such other matters (if any) as the Joint Authority considers relevant.

Declared petroleum production licences—approval of key petroleum operations

           (10)  A declared petroleum production licence is subject to the condition that the licensee will not carry on key petroleum operations under the licence unless the responsible Commonwealth Minister has approved the operations under section 163.

           (11)  Despite subsection (2), the condition mentioned in subsection (10) does not need to be specified in the licence.

           (12)  If, under section 163, the responsible Commonwealth Minister approves the carrying on of one or more key petroleum operations under a declared petroleum production licence, the responsible Commonwealth Minister may, by written notice given to the licensee, vary the licence by imposing one or more conditions to which the licence is subject.

           (13)  A variation of a declared petroleum production licence under subsection (12) takes effect on the day on which notice of the variation is given to the licensee.

           (14)  A condition imposed under subsection (12) may require the licensee to ensure that:

                     (a)  all wells; or

                     (b)  one or more specified wells;

made in the licence area by any person engaged or concerned in operations authorised by the licence are made in a manner, and to a standard, that will facilitate the plugging or closing off of the wells in a way that restores or maintains the suitability of a part of a geological formation for the permanent storage of greenhouse gas substances.

           (15)  Subsection (14) does not limit:

                     (a)  subsection (12); or

                     (b)  Part 6.2; or

                     (c)  Part 6.4.

           (16)  If:

                     (a)  a declared petroleum production licence is subject to a condition; and

                     (b)  the condition was imposed under subsection (12);

the responsible Commonwealth Minister may, by written notice given to the licensee, vary or revoke the condition.

           (17)  A variation of a declared petroleum production licence under subsection (16) takes effect on the day on which notice of the variation is given to the licensee.

           (18)  Subsection (17) does not limit section 264.

163  Declared petroleum production licence—approval by responsible Commonwealth Minister of key petroleum operations

             (1)  The registered holder of a declared petroleum production licence may apply to the responsible Commonwealth Minister for approval to carry on one or more key petroleum operations under the licence.

             (2)  If an application for approval is made under subsection (1), the responsible Commonwealth Minister may:

                     (a)  give the approval; or

                     (b)  by written notice given to the applicant, refuse to give the approval.

Responsible Commonwealth Minister must have regard to certain matters

             (3)  In deciding whether to give the approval, the responsible Commonwealth Minister must comply with subsections (4), (5), (6) and (7).

             (4)  The responsible Commonwealth Minister must have regard to the impact (if any) that any of those key petroleum operations could have on:

                     (a)  operations for the injection of a greenhouse gas substance; or

                     (b)  operations for the storage of a greenhouse gas substance;

that are being, or could be, carried on under:

                     (c)  an existing greenhouse gas assessment permit; or

                     (d)  an existing greenhouse gas holding lease; or

                     (e)  an existing greenhouse gas injection licence; or

                      (f)  if a greenhouse gas assessment permit or a greenhouse gas holding lease is in force over a block or blocks:

                              (i)  a future greenhouse gas holding lease over the block or any of the blocks; or

                             (ii)  a future greenhouse gas injection licence over the block or any of the blocks.

             (5)  If the responsible Commonwealth Minister is satisfied that there is a significant risk that any of those key petroleum operations will have a significant adverse impact on:

                     (a)  operations for the injection of a greenhouse gas substance; or

                     (b)  operations for the storage of a greenhouse gas substance;

that are being, or could be, carried on under:

                     (c)  an existing greenhouse gas assessment permit held by a person other than the applicant; or

                     (d)  an existing greenhouse gas holding lease held by a person other than the applicant; or

                     (e)  an existing greenhouse gas injection licence held by a person other than the applicant;

the responsible Commonwealth Minister must have regard to:

                      (f)  whether the registered holder of the greenhouse gas assessment permit, greenhouse gas holding lease or greenhouse gas injection licence, as the case may be, has agreed, in writing, to the applicant carrying on the key petroleum operations in respect of which the responsible Commonwealth Minister is so satisfied; and

                     (g)  if so—the terms of that agreement.

             (6)  If:

                     (a)  the responsible Commonwealth Minister is satisfied that there is a significant risk that any of those key petroleum operations will have a significant adverse impact on:

                              (i)  operations for the injection of a greenhouse gas substance; or

                             (ii)  operations for the storage of a greenhouse gas substance;

                            that could be carried on under:

                            (iii)  a future greenhouse gas holding lease over a block or blocks; or

                            (iv)  a future greenhouse gas injection licence over a block or blocks; and

                     (b)  a greenhouse gas assessment permit, greenhouse gas holding lease or greenhouse gas injection licence is in force over the block or any of the blocks; and

                     (c)  the greenhouse gas assessment permit, greenhouse gas holding lease or greenhouse gas injection licence is held by a person other than the applicant;

the responsible Commonwealth Minister must have regard to:

                     (d)  whether the registered holder of the greenhouse gas assessment permit, greenhouse gas holding lease or greenhouse gas injection licence covered by paragraph (b) has agreed, in writing, to the applicant carrying on the key petroleum operations in respect of which the responsible Commonwealth Minister is so satisfied; and

                     (e)  if so—the terms of that agreement.

             (7)  The responsible Commonwealth Minister must have regard to the public interest.

             (8)  Subsections (4), (5) and (6) do not limit subsection (7).

             (9)  Subsections (4), (5), (6) and (7) do not limit the matters to which the responsible Commonwealth Minister may have regard.

Responsible Commonwealth Minister must not give approval in certain circumstances

           (10)  If the responsible Commonwealth Minister is satisfied that there is a significant risk that any of those key petroleum operations will have a significant adverse impact on:

                     (a)  operations for the injection of a greenhouse gas substance; or

                     (b)  operations for the storage of a greenhouse gas substance;

that are being, or could be, carried on under an existing greenhouse gas injection licence, the responsible Commonwealth Minister must not give the approval unless the registered holder of the greenhouse gas injection licence has agreed, in writing, to the applicant carrying on the key petroleum operations in respect of which the responsible Commonwealth Minister is so satisfied.

No right to an approval

           (11)  To avoid doubt, section 161 does not imply that a petroleum production licensee who applies for approval under subsection (1) of this section is entitled to be given the approval.

Suspension of rights

           (12)  For the purposes of this section, disregard a suspension of rights under section 438.

164  Declared petroleum production licences

             (1)  If:

                     (a)  a post‑commencement petroleum production licence is in force; and

                     (b)  the responsible Commonwealth Minister is satisfied that there is a significant risk that any of the key petroleum operations that could be carried on under the licence will have a significant adverse impact on:

                              (i)  operations for the injection of a greenhouse gas substance; or

                             (ii)  operations for the storage of a greenhouse gas substance;

                            that are being, or could be, carried on under:

                            (iii)  an existing greenhouse gas assessment permit; or

                            (iv)  an existing greenhouse gas holding lease; or

                             (v)  an existing greenhouse gas injection licence; or

                            (vi)  a future greenhouse gas assessment permit; or

                           (vii)  a future greenhouse gas holding lease; or

                           (viii)  a future greenhouse gas injection licence;

the responsible Commonwealth Minister must, by written notice given to the petroleum production licensee, determine that the petroleum production licence is a declared petroleum production licence for the purposes of this Act.

             (2)  If:

                     (a)  a determination is in force under subsection (1) in relation to a post‑commencement petroleum production licence; and

                     (b)  the responsible Commonwealth Minister is not satisfied that there is a significant risk that any of the key petroleum operations that could be carried on under the licence will have a significant adverse impact on:

                              (i)  operations for the injection of a greenhouse gas substance; or

                             (ii)  operations for the storage of a greenhouse gas substance;

                            that are being, or could be, carried on under:

                            (iii)  an existing greenhouse gas assessment permit; or

                            (iv)  an existing greenhouse gas holding lease; or

                             (v)  an existing greenhouse gas injection licence; or

                            (vi)  a future greenhouse gas assessment permit; or

                           (vii)  a future greenhouse gas holding lease; or

                           (viii)  a future greenhouse gas injection licence;

the responsible Commonwealth Minister must, by written notice given to the petroleum production licensee, revoke the determination.

165  Duration of petroleum production licence

             (1)  The duration of a petroleum production licence is worked out using the table:

 

Duration of petroleum production licences

Item

This kind of petroleum production licence...

remains in force...

1

an original petroleum production licence granted on or after 30 July 1998

indefinitely.

2

an original petroleum production licence granted before 30 July 1998

for the period of 21 years beginning on:

(a) the day on which the licence is granted; or

(b) if a later day is specified in the licence as the day on which the licence is to come into force—that later day.

3

a petroleum production licence granted by way of the first renewal of a petroleum production licence (other than petroleum production licence WA‑1‑L, WA‑3‑L, WA‑5‑L, WA‑6‑L, VIC/L 13, VIC/L 14, AC/L1 or AC/L2), where the original petroleum production licence was granted before 30 July 1998

for the period of 21 years beginning on:

(a) the day on which the licence is granted; or

(b) if a later day is specified in the licence as the day on which the licence is to come into force—that later day.

3A

a petroleum production licence granted by way of the first renewal of petroleum production licence WA‑1‑L, WA‑3‑L, WA‑5‑L, WA‑6‑L, VIC/L 13, VIC/L 14, AC/L1 or AC/L2

indefinitely.

4

a petroleum production licence granted by way of the second renewal of a petroleum production licence, where the original petroleum production licence was granted before 30 July 1998

indefinitely.

             (2)  Subsection (1) has effect subject to this Chapter.

             (3)  A petroleum production licence covered by item 1, 3A or 4 of the table in subsection (1) is called a life‑of‑field petroleum production licence.

             (4)  A petroleum production licence covered by item 2 or 3 of the table in subsection (1) is called a fixed‑term petroleum production licence.

Note 1:       For a special rule about the extension of the duration of licences pending decisions on renewal applications, see subsection 184(6).

Note 2:       For special rules about the duration of licences granted over individual blocks, see subsections 183(3) and (4).

Note 3:       For the revocation of an initial petroleum production licence mentioned in section 182, see subsection 183(7).

Note 4:       For a special rule about when a petroleum production licence ceases to be in force following the grant of a petroleum retention lease, see section 151.

Note 5:       For the surrender of a petroleum production licence, see Part 2.12.

Note 6:       For the cancellation of a petroleum production licence, see Part 2.13.

Note 7:       For the termination of a life‑of‑field petroleum production licence if there have been no recovery operations for 5 years, see section 166.

Note 8:       See also section 780 (compensation for acquisition of property).

166  Termination of life‑of‑field petroleum production licence if no recovery operations for 5 years

Termination of licence

             (1)  If:

                     (a)  a petroleum production licence is a life‑of‑field petroleum production licence; and

                     (b)  no petroleum recovery operations under the licence have been carried on at any time during a continuous period of at least 5 years;

the Joint Authority may, by written notice given to the licensee, tell the licensee that the Joint Authority proposes to terminate the licence after the end of 30 days after the notice is given.

             (2)  At any time after the end of 30 days after the notice is given to the licensee, the Joint Authority may, by written notice given to the licensee, terminate the licence.

Note:          For remedial directions following termination, see section 587.

             (3)  In working out, for the purposes of subsection (1), the period in which no petroleum recovery operations were carried on under a licence, disregard any period in which no such operations were carried on because of circumstances beyond the licensee’s control.

             (4)  For the purposes of subsection (3), the depletion of recoverable petroleum is not a circumstance beyond the licensee’s control.

Note:          See also section 780 (compensation for acquisition of property).

Consultation

             (5)  The Joint Authority may give a copy of a notice under subsection (1) to such other persons (if any) as the Joint Authority thinks fit.

             (6)  A notice under subsection (1) must:

                     (a)  invite a person to whom the notice, or a copy of the notice, has been given to make a written submission to the Joint Authority about the proposal to terminate the licence; and

                     (b)  specify a time limit for making that submission.

Note:          All communications to the Joint Authority are to be made through the Designated Authority—see section 63.

             (7)  In deciding whether to terminate the licence, the Joint Authority must take into account any submissions made in accordance with the notice.

167  Petroleum production licences to which the Royalty Act applies

             (1)  Schedule 4 has effect.

             (2)  A reference in this Act to this Chapter includes a reference to Schedule 4.


 

Division 2Obtaining a petroleum production licence as a result of an application made by a petroleum exploration permittee or a petroleum retention lessee

168  Application for petroleum production licence by permittee

Scope

             (1)  This section applies to a petroleum exploration permit if the Royalty Act does not apply to the permit.

Note:          Schedule 4 deals with applications for petroleum production licences by the holders of petroleum exploration permits to which the Royalty Act applies.

Application

             (2)  If a petroleum exploration permit is in force over a block that constitutes, or the blocks that constitute, a location, the permittee may, within the application period, apply to the Designated Authority for the grant by the Joint Authority of a petroleum production licence over that block or over one or more of those blocks.

Note:          For application period, see section 169.

Variation of application

             (3)  At any time before an offer document relating to the application is given to the applicant, the applicant may, by written notice given to the Designated Authority, vary the number of blocks specified in the application.

             (4)  A variation of an application must be made in an approved manner.

             (5)  A variation of an application may set out any additional matters that the applicant wishes to be considered.

Proposals for work and expenditure

             (6)  An application, or a variation of an application, under this section must be accompanied by details of the applicant’s proposals for work and expenditure in relation to the area comprised in the block or blocks covered by the the application or the varied application, as the case may be.

Greater Sunrise unit reservoir petroleum production licence

             (7)  An application under this section for the grant of a Greater Sunrise unit reservoir petroleum production licence must also:

                     (a)  nominate a person to be the unit operator, as defined in the Greater Sunrise unitisation agreement; and

                     (b)  be accompanied by each Joint Venturers’ Agreement, as defined in the Greater Sunrise unitisation agreement; and

                     (c)  be accompanied by a copy of the proposed Development Plan, as defined in the Greater Sunrise unitisation agreement.

Note 1:       Part 2.10 contains additional provisions about application procedures.

Note 2:       Section 256 requires the application to be accompanied by an application fee.

Note 3:       Section 258 enables the Designated Authority to require the applicant to give further information.

169  Application period

             (1)  The application period for an application under section 168 is:

                     (a)  the period of 2 years after the day (the declaration day) on which the block that constitutes the location concerned was, or the blocks that constitute the location concerned were, declared to be a location; or

                     (b)  such longer period, not more than 4 years after the declaration day, as the Designated Authority allows.

             (2)  The Designated Authority may allow a longer period under paragraph (1)(b) only on written application made by the permittee within the period of 2 years mentioned in paragraph (1)(a).

             (3)  Despite subsection (1), if:

                     (a)  a petroleum exploration permittee has applied for a petroleum retention lease under section 141 over a block or blocks; and

                     (b)  a notice refusing to grant the petroleum retention lease has been given to the permittee under section 143;

the application period for an application made by the permittee under section 168 for the grant of a petroleum production licence over the block or blocks is whichever of the following periods ends last:

                     (c)  the period that is applicable under subsection (1);

                     (d)  the period of 12 months after the day on which the notice was given.

Note:          A failure to make an application within the application period results in revocation of the petroleum exploration permit to the extent to which it relates to the block concerned—see section 188.

170  Application for petroleum production licence by lessee

Scope

             (1)  This section applies to a petroleum retention lease if the Royalty Act does not apply to the lease.

Note:          Schedule 4 deals with applications for petroleum production licences by the holders of petroleum retention leases to which the Royalty Act applies.

Application for petroleum production licence

             (2)  If a petroleum retention lease is in force over a block or blocks, the lessee may apply to the Designated Authority for the grant by the Joint Authority of a petroleum production licence over that block or over one or more of those blocks.

Proposals for work and expenditure

             (3)  An application under this section must be accompanied by details of the applicant’s proposals for work and expenditure in relation to the area comprised in the block or blocks specified in the application.

Greater Sunrise unit reservoir petroleum production licence

             (4)  An application under this section for the grant of a Greater Sunrise unit reservoir petroleum production licence must also:

                     (a)  nominate a person to be the unit operator, as defined in the Greater Sunrise unitisation agreement; and

                     (b)  be accompanied by each Joint Venturers’ Agreement, as defined in the Greater Sunrise unitisation agreement; and

                     (c)  be accompanied by a copy of the proposed Development Plan, as defined in the Greater Sunrise unitisation agreement.

Note 1:       Part 2.10 contains additional provisions about application procedures.

Note 2:       Section 256 requires the application to be accompanied by an application fee.

Note 3:       Section 258 enables the Designated Authority to require the applicant to give further information.

171  Offer document

             (1)  If:

                     (a)  an application for the grant of a petroleum production licence has been made under:

                              (i)  section 168 or 170; or

                             (ii)  clause 2 or 4 of Schedule 4; and

                     (b)  the Joint Authority is satisfied that the area comprised in the block, or any one or more of the blocks, specified in the application contains petroleum; and

                     (c)  in the case of an application for a Greater Sunrise unit reservoir petroleum production licence—section 172 has been complied with; and

                     (d)  in a case where (assuming that the applicant were granted a petroleum production licence over the block or blocks as to which the Joint Authority is satisfied as mentioned in paragraph (b)) the petroleum production licence would be a post‑commencement petroleum production licence, and:

                              (i)  the Joint Authority is satisfied that there is a significant risk that any of the operations that could be carried on under the petroleum production licence will have a significant adverse impact on operations that are being, or could be, carried on under a greenhouse gas assessment permit or a greenhouse gas holding lease; or

                             (ii)  if one or more identified greenhouse gas storage formations are wholly situated in the permit area of a greenhouse gas assessment permit or the lease area of a greenhouse gas holding lease—the Joint Authority is satisfied that there is a significant risk that any of the operations that could be carried on under the petroleum production licence will have a significant adverse impact on operations that could be carried on under a future greenhouse gas injection licence, where the identified greenhouse gas storage formation, or any of the identified greenhouse gas storage formations, is wholly situated in the licence area of the future greenhouse gas injection licence;

                            the Joint Authority is satisfied that it is in the public interest for the petroleum production licence to be granted to the applicant; and

                     (e)  in a case where:

                              (i)  (assuming that the applicant were granted a petroleum production licence over the block or blocks as to which the Joint Authority is so satisfied as mentioned in paragraph (b)) the petroleum production licence would be a post‑commencement petroleum production licence; and

                             (ii)  the Joint Authority is satisfied that there is a significant risk that any of the operations that could be carried on under the petroleum production licence will have a significant adverse impact on operations that are being, or could be, carried on under a greenhouse gas injection licence;

                            the Joint Authority is satisfied that:

                            (iii)  the registered holder of the greenhouse gas injection licence has agreed, in writing, to the grant of the petroleum production licence; and

                            (iv)  to the extent to which the agreement is a dealing to which Part 5.6 applies—the dealing has been approved under section 543 or is reasonably likely to be approved under that section; and

                             (v)  to the extent to which the agreement is a dealing to which Part 4.6 would apply if the petroleum production licence were to come into existence—it is reasonably likely that the dealing would, after the petroleum production licence comes into existence, be approved under section 493;

the Joint Authority must give the applicant a written notice (called an offer document) telling the applicant that the Joint Authority is prepared to grant the applicant a petroleum production licence over the block or blocks as to which the Joint Authority is so satisfied as mentioned in paragraph (b).

Note 1:       Section 168 and clause 2 of Schedule 4 deal with applications by permittees.

Note 2:       Section 170 and clause 4 of Schedule 4 deal with applications by lessees.

Note 3:       Section 259 sets out additional requirements for offer documents (for example, a requirement that an offer document must contain a summary of conditions).

Note 4:       If the applicant breaches a requirement under section 258 to provide further information, the Joint Authority may refuse to give the applicant an offer document—see subsection 258(3).

Public interest

             (2)  For the purposes of paragraph (1)(d), in considering whether the grant of the petroleum production licence is in the public interest, the Joint Authority must have regard to:

                     (a)  whether the registered holder of the greenhouse gas assessment permit or greenhouse gas holding lease, as the case may be, has agreed, in writing, to the grant of the petroleum production licence; and

                     (b)  if so—the terms of that agreement.

             (3)  Subsection (2) does not limit the matters to which the Joint Authority may have regard.

Deferral of decision

             (4)  This section has effect subject to section 174.

172  Consultation—Greater Sunrise unit reservoir petroleum production licence

                   Before the Greater Sunrise Offshore Petroleum Joint Authority gives an offer document to an applicant for the grant of a Greater Sunrise unit reservoir petroleum production licence, the Joint Authority must:

                     (a)  give to the Timor Sea Treaty Designated Authority a written notice that:

                              (i)  states that the Joint Authority is considering granting the licence to the applicant and naming the person whom the applicant has nominated to be the unit operator; and

                             (ii)  is accompanied by a copy of each Joint Venturers’ Agreement that accompanied the application; and

                            (iii)  is accompanied by a copy of the proposed Development Plan that accompanied the application; and

                     (b)  approve:

                              (i)  a unit operator for the development of the Greater Sunrise unit reservoirs in the blocks to which the licence relates; and

                             (ii)  each Joint Venturers’ Agreement for the development; and

                            (iii)  the Development Plan for the development; and

                     (c)  be satisfied that the Timor Sea Treaty Designated Authority has approved the same unit operator, Joint Venturers’ Agreements and Development Plan for the development.

173  Refusal to grant petroleum production licence

Scope

             (1)  This section applies if an application for the grant of a petroleum production licence has been made under:

                     (a)  section 168 or 170; or

                     (b)  clause 2 or 4 of Schedule 4.

Note 1:       Section 168 and clause 2 of Schedule 4 deal with applications by permittees.

Note 2:       Section 170 and clause 4 of Schedule 4 deal with applications by lessees.

No block contains petroleum

             (2)  If:

                     (a)  the application specifies one block; and

                     (b)  the Joint Authority is not satisfied that the block contains petroleum;

the Joint Authority must, by written notice given to the applicant, refuse to grant a petroleum production licence to the applicant.

             (3)  If:

                     (a)  the application specifies 2 or more blocks; and

                     (b)  the Joint Authority is not satisfied that any of the blocks contains petroleum;

the Joint Authority must, by written notice given to the applicant, refuse to grant a petroleum production licence to the applicant.

Some, but not all, blocks contain petroleum

             (4)  If:

                     (a)  the application specifies 2 or more blocks; and

                     (b)  the Joint Authority is satisfied that:

                              (i)  only one of the blocks contains petroleum; or

                             (ii)  some, but not all, of the blocks contain petroleum;

the Joint Authority must, by written notice given to the applicant, refuse to grant a petroleum production licence to the applicant in relation to the remaining block or blocks.

Note:          The petroleum exploration permit or petroleum retention lease remains in force in relation to the remaining block or blocks.

Application for Greater Sunrise unit reservoir petroleum production licence—no approval by Timor Sea Treaty Designated Authority

             (5)  If:

                     (a)  the application is for a Greater Sunrise unit reservoir petroleum production licence; and

                     (b)  the Joint Authority is not satisfied that the Timor Sea Treaty Designated Authority has given the approvals mentioned in paragraph 172(c);

the Joint Authority must, by written notice given to the applicant, refuse to grant the licence to the applicant.

Impact on greenhouse gas titles

             (6)  If:

                     (a)  (assuming that the applicant were granted a petroleum production licence over the block or blocks as to which the Joint Authority is satisfied as mentioned in paragraph 171(1)(b)) the petroleum production licence would be a post‑commencement petroleum production licence; and

                     (b)  either:

                              (i)  the Joint Authority is satisfied that there is a significant risk that any of the operations that could be carried on under the petroleum production licence will have a significant adverse impact on operations that are being, or could be, carried on under a greenhouse gas assessment permit or a greenhouse gas holding lease; or

                             (ii)  if one or more identified greenhouse gas storage formations are wholly situated in the permit area of a greenhouse gas assessment permit or the lease area of a greenhouse gas holding lease—the Joint Authority is satisfied that there is a significant risk that any of the operations that could be carried on under the petroleum production licence will have a significant adverse impact on operations that could be carried on under a future greenhouse gas injection licence, where the identified greenhouse gas storage formation, or any of the identified greenhouse gas storage formations, is wholly situated in the licence area of the future greenhouse gas injection licence; and

                     (c)  the Joint Authority is not satisfied that it is in the public interest for the petroleum production licence to be granted to the applicant;

the Joint Authority must, by written notice given to the applicant, refuse to grant a petroleum production licence to the applicant.

             (7)  If:

                     (a)  (assuming that the applicant were granted a petroleum production licence over the block or blocks as to which the Joint Authority is satisfied as mentioned in paragraph 171(1)(b)) the petroleum production licence would be a post‑commencement petroleum production licence; and

                     (b)  the Joint Authority is satisfied that there is a significant risk that any of the operations that could be carried on under the petroleum production licence will have a significant adverse impact on operations that are being, or could be, carried on under a greenhouse gas injection licence; and

                     (c)  the Joint Authority is not satisfied that:

                              (i)  the registered holder of the greenhouse gas injection licence has agreed, in writing, to the grant of the petroleum production licence; and

                             (ii)  to the extent to which the agreement is a dealing to which Part 5.6 applies—the dealing has been approved under section 543 or is reasonably likely to be approved under that section; and

                            (iii)  to the extent to which the agreement is a dealing to which Part 4.6 would apply if the petroleum production licence were to come into existence—it is reasonably likely that the dealing would, after the petroleum production licence comes into existence, be approved under section 493;

the Joint Authority must, by written notice given to the applicant, refuse to grant a petroleum production licence to the applicant.

Reasons for refusal

             (8)  A notice under this section must set out the reasons for the Joint Authority’s refusal.

Public interest

             (9)  For the purposes of paragraph (6)(c), in considering whether the grant of the petroleum production licence is in the public interest, the Joint Authority must have regard to:

                     (a)  whether the registered holder of the greenhouse gas assessment permit or greenhouse gas holding lease, as the case may be, has agreed, in writing, to the grant of the petroleum production licence; and

                     (b)  if so—the terms of that agreement.

           (10)  Subsection (9) does not limit the matters to which the Joint Authority may have regard.

Deferral of application

           (11)  This section has effect subject to section 174.

174  Joint Authority may defer taking action on application for petroleum production licence if there is a pending application for a greenhouse gas assessment permit

Scope

             (1)  This section applies if:

                     (a)  an application for the grant of a petroleum production licence has been made under:

                              (i)  section 168 or 170; or

                             (ii)  clause 2 or 4 of Schedule 4; and

                     (b)  assuming that the applicant were granted a petroleum production licence over the block or blocks as to which the Joint Authority is so satisfied as mentioned in paragraph 171(1)(b), the petroleum production licence would be a post‑commencement petroleum production licence; and

                     (c)  when the application for the grant of the petroleum production licence was made, an application for a greenhouse gas assessment permit was being considered by the responsible Commonwealth Minister; and

                     (d)  the Joint Authority is satisfied that it would be in the public interest to defer taking any action under section 171 or 173 in relation to the application for the grant of the petroleum production licence until the application for the greenhouse gas assessment permit is finalised.

Deferral

             (2)  The Joint Authority must not take any action under section 171 or 173 in relation to the application for the grant of the petroleum production licence until 24 hours after whichever of the following events happens first:

                     (a)  the responsible Commonwealth Minister grants a greenhouse gas assessment permit to the applicant for the permit;

                     (b)  the application for the greenhouse gas assessment permit lapses;

                     (c)  the responsible Commonwealth Minister refuses to grant a greenhouse gas assessment permit to the applicant for the permit.

175  Grant of petroleum production licence

                   If:

                     (a)  an applicant has been given an offer document under section 171; and

                     (b)  the applicant has made a request under section 260 in relation to the offer document within the period applicable under that section;

the Joint Authority must grant the applicant a petroleum production licence over the block or blocks as to which the Joint Authority is satisfied as mentioned in paragraph 171(1)(b).

Note 1:       If the applicant does not make a request under section 260 within the period applicable under that section, the application lapses at the end of that period—see subsection 260(4).

Note 2:       If an application made by a petroleum exploration permittee in relation to a block lapses, the petroleum exploration permit is revoked to the extent to which it relates to that block—see section 188 or clause 8 of Schedule 4.

Note 3:       If an application made by a petroleum retention lessee in relation to a block lapses, the petroleum retention lease is revoked to the extent to which it relates to that block—see section 188 or clause 8 of Schedule 4.

176  Petroleum exploration permit or petroleum retention lease ceases to be in force when petroleum production licence comes into force

                   When a petroleum production licence under section 175 comes into force in relation to one or more blocks, a petroleum exploration permit or petroleum retention lease ceases to be in force to the extent to which it relates to those blocks.

177  Petroleum exploration permit or petroleum retention lease transferred—transferee to be treated as applicant

Scope

             (1)  This section applies if a transfer of a petroleum exploration permit or petroleum retention lease is registered under section 479:

                     (a)  after an application has been made:

                              (i)  under section 168 or clause 2 of Schedule 4 for the grant of a petroleum production licence over a block in relation to which the petroleum exploration permit is in force; or

                             (ii)  under section 170 or clause 4 of Schedule 4 for the grant of a petroleum production licence over a block in relation to which the petroleum retention lease is in force; and

                     (b)  before any action has been taken by the Joint Authority under section 171 or 173 in relation to the application.

Transferee to be treated as applicant

             (2)  After the transfer:

                     (a)  in the case of an application under section 168—that section has effect in relation to the application as if any reference in subsection (3) of that section to the applicant were a reference to the transferee; and

                     (b)  if the Royalty Act applies to the permit or lease—subsection 6(2) of the Royalty Act has effect in relation to the application as if any reference in that subsection to a person who has applied or applies for such a petroleum production licence were a reference to the transferee; and

                     (c)  in all cases—sections 171 and 175 and Part 2.10 of this Act have effect in relation to the application as if any reference in those sections and that Part to the applicant were a reference to the transferee.


 

Division 3Obtaining a cash‑bid petroleum production licence over a surrendered block or similar block

178  Application for cash‑bid petroleum production licence over surrendered blocks or similar blocks

Invitation to apply for a cash‑bid petroleum production licence

             (1)  If:

                     (a)  a petroleum production licence is surrendered or cancelled to the extent to which it relates to a block; or

                     (b)  a petroleum production licence is terminated to the extent to which it relates to a block; or

                     (c)  a petroleum exploration permit or petroleum retention lease is surrendered, cancelled or revoked to the extent to which it relates to a block:

                              (i)  that, at the time of the surrender, cancellation or revocation, was, or was included in, a location; and

                             (ii)  in which, in the opinion of the Joint Authority, there is petroleum;

the Joint Authority may, at any later time, by notice published in the Gazette:

                     (d)  invite applications for the grant by the Joint Authority of a petroleum production licence over that block; and

                     (e)  specify a period within which applications may be made.

             (2)  A notice under subsection (1) must state that an applicant is required to specify an amount that the applicant would be prepared to pay for the grant of the licence.

Application for cash‑bid petroleum production licence

             (3)  An application under this section must:

                     (a)  be accompanied by details of the applicant’s proposals for work and expenditure in relation to the area comprised in the block; and

                     (b)  specify the amount that the applicant would be prepared to pay for the grant of the licence.

Note 1:       Part 2.10 contains additional provisions about application procedures.

Note 2:       Section 256 requires the application to be accompanied by an application fee.

Note 3:       Section 258 enables the Designated Authority to require the applicant to give further information.

Deposit

             (4)  An application under this section must be accompanied by a deposit of 10% of the amount that the applicant has specified under paragraph (3)(b).

Refund of deposit

             (5)  If the petroleum production licence is not granted, the deposit must be refunded to the applicant.

             (6)  Subsection (5) does not apply if:

                     (a)  the applicant has been given an offer document under subsection 179(2) or 180(3) in relation to the application; and

                     (b)  the applicant does not, under section 260, request the grant of the petroleum production licence.

179  Grant of cash‑bid petroleum production licence—only one application

Scope

             (1)  This section applies if:

                     (a)  the Joint Authority publishes a notice under subsection 178(1) inviting applications for the grant of a petroleum production licence over a block; and

                     (b)  at the end of the period specified in the notice, only one application has been made under section 178 in relation to the block.

Offer document

             (2)  The Joint Authority may:

                     (a)  give the applicant a written notice (called an offer document) telling the applicant that the Joint Authority is prepared to grant the applicant a petroleum production licence over that block; or

                     (b)  by written notice given to the applicant, reject the application.

Note 1:       Section 259 sets out additional requirements for offer documents (for example, a requirement that an offer document must contain a summary of conditions).

Note 2:       If the applicant breaches a requirement under section 258 to provide further information, the Joint Authority may refuse to give the applicant an offer document—see subsection 258(3).

180  Grant of cash‑bid petroleum production licence—2 or more applications

Scope

             (1)  This section applies if:

                     (a)  the Joint Authority publishes a notice under subsection 178(1) inviting applications for the grant of a petroleum production licence over a block; and

                     (b)  at the end of the period specified in the notice, 2 or more applications have been made under section 178 in relation to the block.

Rejection of applications

             (2)  The Joint Authority may reject any or all of the applications.

Unrejected applications

             (3)  If the Joint Authority does not reject all of the applications, the table has effect:

 

Unrejected applications

Item

If...

the Joint Authority may give a written notice (called an offer document) to...

1

only one application remains unrejected

the applicant.

2

(a) 2 or more applications remain unrejected; and

(b) the amounts specified in the applications under paragraph 178(3)(b) are equal

one of those applicants.

3

(a) 2 or more applications remain unrejected; and

(b) the amounts specified in the applications under paragraph 178(3)(b) are not equal; and

(c) the amount specified in one of the applications is higher than the amount or amounts specified in the remaining application or applications

whichever of those applicants specified the highest amount.

4

(a) 3 or more applications remain unrejected; and

(b) 2 or more of the amounts specified in the applications under paragraph 178(3)(b) are:

(i) equal; and

(ii) higher than the amount or amounts specified in the remaining application or applications

one of the applicants who specified the equal highest amount.

             (4)  An offer document given to an applicant must tell the applicant that the Joint Authority is prepared to grant the applicant a petroleum production licence over the block.

Note 1:       Section 259 sets out additional requirements for offer documents (for example, a requirement that an offer document must contain a summary of conditions).

Note 2:       If the applicant breaches a requirement under section 258 to provide further information, the Joint Authority may refuse to give the applicant an offer document—see subsection 258(3).

Lapsed applications

             (5)  If:

                     (a)  an applicant is given an offer document under this section; and

                     (b)  the application lapses as provided by section 260 or 261; and

                     (c)  there are one or more remaining unrejected applications;

subsections (3) and (4) of this section apply in relation to the remaining unrejected applications.

Unsuccessful applications

             (6)  If the Joint Authority does not give an offer document to an applicant, the Joint Authority must, by written notice given to the applicant, inform the applicant that the application was unsuccessful.

181  Grant of cash‑bid petroleum production licence

             (1)  If:

                     (a)  an applicant has been given an offer document under section 179 or 180; and

                     (b)  the applicant has made a request under section 260 in relation to the offer document within the period applicable under that section; and

                     (c)  in the case of an offer document under section 180—the applicant has paid the specified balance within the period applicable under section 261;

the Joint Authority must grant the applicant a petroleum production licence over the block specified in the offer document.

Note 1:       If the applicant does not make a request under section 260 within the period applicable under that section, the application lapses at the end of that period—see subsection 260(4).

Note 2:       In the case of an offer document under section 180, if the applicant has not paid the specified balance within the period applicable under section 261, the application lapses at the end of that period—see subsection 261(2).

             (2)  For the purposes of this section, the specified balance is the balance specified in the offer document as the balance of the amount that the applicant must pay for the grant of the petroleum production licence.


 

Division 4Obtaining petroleum production licences over individual blocks

182  Applications for petroleum production licences over individual blocks

Scope

             (1)  This section applies to a petroleum production licence (the initial petroleum production licence) if:

                     (a)  the licence is in force over 2 or more blocks; and

                     (b)  the blocks do not form a location or part of a location.

Application for petroleum production licence

             (2)  The licensee of the initial petroleum production licence may apply to the Joint Authority for the grant of 2 or more new petroleum production licences over the blocks that were the subject of the initial petroleum production licence, in exchange for the initial petroleum production licence.

             (3)  An application under this section:

                     (a)  must specify the number of new petroleum production licences required; and

                     (b)  must specify the block or blocks that were the subject of the initial petroleum production licence and for which each new petroleum production licence is sought.

Note 1:       Part 2.10 contains additional provisions about application procedures.

Note 2:       Section 256 requires the application to be accompanied by an application fee.

183  Grant of petroleum production licences over individual blocks

Scope

             (1)  This section applies if a licensee of an initial petroleum production licence mentioned in section 182 has made an application under that section.

Grant of petroleum production licence

             (2)  The Joint Authority must grant the licensee new petroleum production licences in accordance with the application.

Duration of new petroleum production licence

             (3)  If the initial petroleum production licence is a fixed‑term petroleum production licence, a new petroleum production licence granted under this section remains in force for the remainder of the term of the initial petroleum production licence.

             (4)  If the initial petroleum production licence is a life‑of‑field petroleum production licence, a new petroleum production licence granted under this section remains in force indefinitely.

             (5)  Subsections (3) and (4) have effect subject to this Chapter but despite section 165.

Note:          See the notes at the end of section 165.

Conditions of new petroleum production licence

             (6)  A new petroleum production licence under this section must be granted subject to conditions corresponding as closely as practicable to the conditions to which the initial petroleum production licence was subject.

Revocation of initial petroleum production licence

             (7)  If new petroleum production licences are granted under this section:

                     (a)  the initial petroleum production licence is revoked; and

                     (b)  the revocation has effect on the day on which those new licences come into force.


 

Division 5Renewal of fixed‑term petroleum production licences

184  Application for renewal of fixed‑term petroleum production licence

Scope

             (1)  This section applies to a fixed‑term petroleum production licence.

Application for renewal

             (2)  A petroleum production licensee may apply to the Designated Authority for the renewal by the Joint Authority of the licence.

             (3)  An application to renew a petroleum production licence must be made at least 180 days before the expiry date of the licence.

             (4)  Despite subsection (3), the Designated Authority may accept an application to renew a petroleum production licence if the application is made:

                     (a)  later than 180 days before the expiry date of the licence; and

                     (b)  before the expiry date of the licence.

Proposals for work and expenditure

             (5)  An application to renew a petroleum production licence must be accompanied by details of the licensee’s proposals for work and expenditure in relation to the licence area.

Note 1:       Part 2.10 contains additional provisions about application procedures.

Note 2:       Section 256 requires the application to be accompanied by an application fee.

Extension of duration of petroleum production licence pending decision on application

             (6)  If:

                     (a)  a petroleum production licensee makes an application to renew the licence; and

                     (b)  the licence would, apart from this subsection, expire:

                              (i)  before the Joint Authority grants, or refuses to grant, the renewal of the licence; or

                             (ii)  before the application lapses as provided by section 260;

the licence continues in force:

                     (c)  until the Joint Authority grants, or refuses to grant, the renewal of the licence; or

                     (d)  until the application so lapses;

whichever happens first.

             (7)  Subsection (6) has effect subject to this Chapter but despite section 165.

Note:          See the notes at the end of section 165.

185  Renewal of fixed‑term petroleum production licence—offer document

Scope

             (1)  This section applies if an application to renew a fixed‑term petroleum production licence has been made under section 184.

Offer document—compliance with conditions etc., first renewal

             (2)  If:

                     (a)  each of the following has been complied with:

                              (i)  the conditions to which the petroleum production licence is, or has from time to time been, subject;

                             (ii)  the provisions of this Chapter, Chapter 4, Chapter 6 and Part 7.1;

                            (iii)  the regulations; and

                     (b)  the application is for the first renewal of the petroleum production licence;

the Joint Authority must give the applicant a written notice (called an offer document) telling the applicant that the Joint Authority is prepared to renew the licence.

Note:          Section 259 sets out additional requirements for offer documents (for example, a requirement that an offer document must contain a summary of conditions).

Offer document—compliance with conditions etc., second renewal, recovery of petroleum

             (3)  If:

                     (a)  each of the following has been complied with:

                              (i)  the conditions to which the petroleum production licence is, or has from time to time been, subject;

                             (ii)  the provisions of this Chapter, Chapter 4, Chapter 6 and Part 7.1;

                            (iii)  the regulations; and

                     (b)  both:

                              (i)  the application is for the second renewal of the petroleum production licence; and

                             (ii)  petroleum recovery operations have been carried on in the licence area within 5 years before the application for the renewal was made;

the Joint Authority must give the applicant a written notice (called an offer document) telling the applicant that the Joint Authority is prepared to renew the licence.

Note:          Section 259 sets out additional requirements for offer documents (for example, a requirement that an offer document must contain a summary of conditions).

Offer document—non‑compliance with conditions etc., sufficient grounds to warrant renewal

             (4)  If:

                     (a)  any of:

                              (i)  the conditions to which the petroleum production licence is, or has from time to time been, subject; or

                             (ii)  the provisions of this Chapter, Chapter 4, Chapter 6 and Part 7.1; or

                            (iii)  the provisions of the regulations;

                            have not been complied with; and

                     (b)  the Joint Authority is satisfied that there are sufficient grounds to warrant the renewal of the petroleum production licence;

the Joint Authority may give the applicant a written notice (called an offer document) telling the applicant that the Joint Authority is prepared to renew the licence.

Note:          Section 259 sets out additional requirements for offer documents (for example, a requirement that an offer document must contain a summary of conditions).

186  Refusal to renew fixed‑term petroleum production licence

Scope

             (1)  This section applies if an application to renew a fixed‑term petroleum production licence has been made under section 184.

Refusal on grounds of non‑compliance with conditions

             (2)  If:

                     (a)  any of:

                              (i)  the conditions to which the petroleum production licence is, or has from time to time been, subject; or

                             (ii)  the provisions of this Chapter, Chapter 4, Chapter 6 and Part 7.1; or

                            (iii)  the provisions of the regulations;

                            have not been complied with; and

                     (b)  the Joint Authority is not satisfied that there are sufficient grounds to warrant the renewal of the petroleum production licence;

the Joint Authority must, by written notice given to the applicant, refuse to renew the licence.

Note:          Consultation procedures apply—see section 262.

Refusal on grounds of inactivity

             (3)  If:

                     (a)  the application relates to a renewal other than the first renewal; and

                     (b)  no petroleum recovery operations have been carried on in the licence area within 5 years before the application for the renewal was made;

the Joint Authority may, by written notice given to the applicant, refuse to renew the licence.

187  Renewal of fixed‑term petroleum production licence

                   If:

                     (a)  an applicant has been given an offer document under section 185; and

                     (b)  the applicant has made a request under section 260 in relation to the offer document within the period applicable under that section;

the Joint Authority must renew the petroleum production licence.

Note:          If the applicant does not make a request under section 260 within the period applicable under that section, the application lapses at the end of that period—see subsection 260(4).


 

Division 6What happens if a block is not taken up

188  Revocation of petroleum exploration permit or petroleum retention lease to the extent to which it relates to a block not taken up

Permittee does not apply for a petroleum production licence

             (1)  If:

                     (a)  a petroleum exploration permittee could apply under section 168 for a petroleum production licence in relation to a block or blocks; and

                     (b)  the permittee does not, within the application period, make the application;

then:

                     (c)  the petroleum exploration permit is revoked to the extent to which it relates to that block or those blocks; and

                     (d)  the revocation has effect at the end of the application period.

Note:          For application period, see section 169.

Permittee’s application lapses

             (2)  If an application made by a petroleum exploration permittee under section 168 in relation to a block or blocks lapses:

                     (a)  the petroleum exploration permit is revoked to the extent to which it relates to that block or those blocks; and

                     (b)  the revocation has effect:

                              (i)  at the end of the application period; or

                             (ii)  on the lapsing of the application;

                            whichever is the later.

Note:          For lapsing of applications, see section 260.

Lessee’s application lapses

             (3)  If an application made by a petroleum retention lessee under section 170 in relation to a block or blocks lapses:

                     (a)  the petroleum retention lease is revoked to the extent to which it relates to that block or those blocks; and

                     (b)  the revocation has effect on the lapsing of the application.

Note 1:       For lapsing of applications, see section 260.

Note 2:       See also subsection 132(3) (revocation of declaration of location where block is no longer the subject of a petroleum exploration permit or a petroleum retention lease).


 

Division 7Petroleum field development

Subdivision ADirections about the recovery of petroleum

189  Direction to recover petroleum

Initial direction

             (1)  If:

                     (a)  petroleum is not being recovered in a petroleum production licence area; and

                     (b)  the Joint Authority is satisfied that there is recoverable petroleum in that area;

the Joint Authority may, by written notice given to the licensee, direct the licensee to take all necessary and practicable steps to recover that petroleum.

Further direction

             (2)  If:

                     (a)  a direction is in force under subsection (1) in relation to a licensee; and

                     (b)  the Joint Authority is not satisfied with the steps taken or being taken by the licensee;

the Joint Authority may, by written notice given to the licensee, direct the licensee to take such steps as the Joint Authority thinks necessary and practicable for, or in relation to, the recovery of petroleum in the licence area.

190  Directions about the rate of recovery of petroleum

Initial direction

             (1)  If petroleum is being recovered in a petroleum production licence area, the Joint Authority may, by written notice given to the licensee, direct the licensee to take all necessary and practicable steps to increase or reduce the rate at which petroleum is being recovered:

                     (a)  in the licence area; or

                     (b)  from a petroleum pool in the licence area;

to the rate specified in the notice.

Further direction

             (2)  If:

                     (a)  a direction is in force under subsection (1) in relation to a licensee; and

                     (b)  the Joint Authority is not satisfied with the steps taken or being taken by the licensee;

the Joint Authority may, by written notice given to the licensee, give the licensee such directions as the Joint Authority thinks necessary and practicable for, or in relation to, the increase or reduction of the rate at which petroleum is being recovered:

                     (c)  in the licence area; or

                     (d)  from a petroleum pool in the licence area.

Matters to be taken into account

             (3)  In deciding whether to give a direction under this section, the Joint Authority may take into account matters relating to the effects on Commonwealth revenue of the proposed direction.

             (4)  Subsection (3) does not limit the matters that may be taken into account.

Good oilfield practice

             (5)  The Joint Authority must not give a direction under this section if the direction would require action to be taken that is contrary to good oilfield practice.

Subdivision BUnit development

191  Unit development

Meaning of unit development

             (1)  In this section, the expression unit development:

                     (a)  applies in relation to a petroleum pool (other than either of the Greater Sunrise unit reservoirs) that is partly in a particular licence area of a licensee of a petroleum production licence and partly in:

                              (i)  the licence area of another licensee of a petroleum production licence; or

                             (ii)  an area that is not within an offshore area but in which a person other than the first‑mentioned licensee is lawfully entitled to carry on petroleum recovery operations from the pool; and

                     (b)  means the carrying on of petroleum recovery operations from that pool under cooperative arrangements between the persons entitled to carry on such operations in each of those areas.

Unit development agreement

             (2)  A licensee of a petroleum production licence may from time to time enter into a written agreement for, or in relation to, the unit development of a petroleum pool, but nothing in this subsection derogates from the operation of section 487.

Direction to enter into unit development agreement

             (3)  The Joint Authority, on the Joint Authority’s own initiative or on application made to the Joint Authority in writing by:

                     (a)  a licensee of a petroleum production licence in whose licence area there is a part of a particular petroleum pool; or

                     (b)  a person who is lawfully entitled to carry on petroleum recovery operations in an area outside the offshore area that includes part of a particular petroleum pool that extends into the offshore area;

may, for the purpose of securing the more effective recovery of petroleum from the petroleum pool, direct any licensee of a petroleum production licence whose licence area includes part of the petroleum pool, by written notice given to the licensee, to:

                     (c)  enter into a written agreement, within the period specified in the notice, for, or in relation to, the unit development of the petroleum pool; and

                     (d)  lodge an application in accordance with section 488 for approval of any dealing to which the agreement relates.

Unit development scheme

             (4)  If:

                     (a)  a licensee of a petroleum production licence who is directed under subsection (3) to enter into an agreement for, or in relation to, the unit development of a petroleum pool does not enter into such an agreement within the specified period; or

                     (b)  the licensee enters into such an agreement, but:

                              (i)  an application for approval of a dealing to which the agreement relates is not lodged with the Designated Authority; or

                             (ii)  if an application is so lodged—the dealing is not approved under section 493;

the Joint Authority may, by written notice given to the licensee, direct the licensee to submit to the Joint Authority, within the period specified in the notice, a scheme for, or in relation to, the unit development of the petroleum pool.

Directions

             (5)  At any time after the end of the period within which a scheme for, or in relation to, the unit development of a petroleum pool is to be submitted by a licensee under subsection (4), the Joint Authority may, by written notice given to the licensee, give to the licensee such directions as the Joint Authority thinks necessary for the purpose of securing the more effective recovery of petroleum from the petroleum pool.

             (6)  If a person is the licensee of petroleum production licences in relation to 2 or more licence areas in each of which there is part of a particular petroleum pool, the Joint Authority may, by written notice given to the licensee, give to the licensee such directions as the Joint Authority thinks necessary for the purpose of securing the more effective recovery of petroleum from the petroleum pool.

             (7)  If:

                     (a)  an agreement under this section is in force; or

                     (b)  the Joint Authority has given directions under subsection (5) or (6);

the Joint Authority may, having regard to additional information that has become available, by written notice given to the licensee or licensees concerned, give to the licensee or licensees such directions, or further directions, as the case may be, as the Joint Authority thinks necessary for the purpose of securing the more effective recovery of petroleum from the petroleum pool.

             (8)  The Joint Authority must not give a direction under subsection (6) or (7) unless the Designated Authority has given to the licensee or licensees concerned an opportunity to confer with the Designated Authority about the proposed direction.

             (9)  Directions under subsection (5), (6) or (7) may include directions as to the rate at which petroleum is to be recovered.

Definition

           (10)  In this section:

dealing means a dealing to which Part 4.6 applies.

Consultation

           (11)  If a petroleum pool extends, or is reasonably believed by the Designated Authority to extend, from the offshore area in respect of a State or Territory into:

                     (a)  lands to which the laws of that State or Territory, or of another State or Territory, relating to exploiting petroleum resources apply; or

                     (b)  the offshore area of an adjoining State or Territory;

each Designated Authority concerned must consult about exploiting the petroleum pool with:

                     (c)  any other Designated Authority concerned; and

                     (d)  the appropriate authority of a State or Territory referred to in paragraph (a).

Note:          The offshore area of a State or Territory is defined by section 8.

Approval

           (12)  If subsection (11) applies in relation to a petroleum pool, a Joint Authority must not:

                     (a)  approve an agreement under this section; or

                     (b)  give a direction under this section;

in relation to that petroleum pool except with the approval of any other Joint Authority concerned and any State or Territory authority concerned.


 

Part 2.5Infrastructure licences

Division 1General provisions

192  Simplified outline

                   The following is a simplified outline of this Part:

•      It is an offence to construct or operate an infrastructure facility in an offshore area except:

               (a)     under an infrastructure licence; or

               (b)     as otherwise authorised or required by or under this Act.

•      This Part provides for the grant of infrastructure licences.

•      An infrastructure licence authorises the licensee to construct and operate an infrastructure facility in the licence area. An infrastructure facility may relate to petroleum or a greenhouse gas substance.

193  Prohibition of unauthorised construction or operation of an infrastructure facility in an offshore area

             (1)  A person commits an offence if:

                     (a)  the person:

                              (i)  starts to construct or reconstruct an infrastructure facility; or

                             (ii)  continues to construct or reconstruct an infrastructure facility; or

                            (iii)  starts to alter an infrastructure facility; or

                            (iv)  continues to alter an infrastructure facility; or

                             (v)  operates an infrastructure facility; and

                     (b)  the person’s conduct occurs in an offshore area.

Penalty:  Imprisonment for 5 years.

             (2)  Subsection (1) does not apply if the conduct is:

                     (a)  authorised by an infrastructure licence; or

                     (b)  otherwise authorised or required by or under this Act.

Note:          The defendant bears an evidential burden in relation to the matter in subsection (2)—see subsection 13.3(3) of the Criminal Code.

194  Rights conferred by an infrastructure licence

             (1)  An infrastructure licence authorises the licensee, in accordance with the conditions (if any) to which the licence is subject:

                     (a)  in the case of an infrastructure licence granted before the commencement of this section:

                              (i)  to construct infrastructure facilities in the licence area; and

                             (ii)  to operate infrastructure facilities in the licence area;

                            so long as those facilities are for engaging in:

                            (iii)  a subsection 15(2) activity; or

                            (iv)  a subsection 15(3) activity specified in the licence as the result of a variation under section 205; or

                     (b)  in the case of an infrastructure licence granted after the commencement of this section:

                              (i)  to construct infrastructure facilities in the licence area; and

                             (ii)  to operate infrastructure facilities in the licence area;

                            so long as those facilities are for engaging in:

                            (iii)  a subsection 15(2) activity specified in the licence; or

                            (iv)  a subsection 15(3) activity specified in the licence.

             (2)  The rights conferred on the licensee by subsection (1) are subject to this Act and the regulations.

             (3)  To avoid doubt, the grant of an infrastructure licence is not a precondition to doing anything that could be authorised by a petroleum exploration permit, petroleum retention lease, petroleum production licence or pipeline licence.

195  Conditions of infrastructure licences

             (1)  The Joint Authority may grant an infrastructure licence subject to whatever conditions the Joint Authority thinks appropriate.

             (2)  The conditions (if any) must be specified in the licence.

             (3)  An infrastructure licence is subject to the condition that, if:

                     (a)  regulations are made for the purpose of subsection (4); and

                     (b)  those regulations impose requirements on the licensee;

the licensee will comply with those requirements.

             (4)  The regulations may establish a regime for third party access to services provided by means of the use of an infrastructure facility that is for engaging in any of the activities to which subsection 15(3) applies.

Note:          Subsection 15(3) applies to certain greenhouse gas activities.

             (5)  Despite subsection (2), the condition mentioned in subsection (3) does not need to be specified in the licence.

196  Duration of infrastructure licence

             (1)  An infrastructure licence remains in force indefinitely.

             (2)  Subsection (1) has effect subject to this Chapter.

Note 1:       For the surrender of an infrastructure licence, see Part 2.12.

Note 2:       For the cancellation of an infrastructure licence, see Part 2.13.

Note 3:       For the termination of an infrastructure licence if there have been no operations for 5 years, see section 197.

197  Termination of infrastructure licence if no operations for 5 years

Termination of licence

             (1)  If an infrastructure licence is in force, and the licensee:

                     (a)  has not carried out any construction work under the licence at any time during a continuous period of at least 5 years; and

                     (b)  has not used the infrastructure facilities constructed under the licence at any time during a continuous period of at least 5 years;

the Joint Authority may, by written notice given to the licensee, tell the licensee that the Joint Authority proposes to terminate the infrastructure licence after the end of 30 days after the notice is given.

             (2)  At any time after the end of 30 days after the notice referred to in subsection (1) is given to the licensee, the Joint Authority may, by written notice given to the licensee, terminate the infrastructure licence.

Note:          For remedial directions following termination, see section 587.

             (3)  In working out, for the purposes of subsection (1):

                     (a)  the period in which an infrastructure licensee did not carry out any construction work under the licence; or

                     (b)  the period in which an infrastructure licensee did not use the infrastructure facilities constructed under the licence;

disregard any period in which construction work was not carried out, or the infrastructure facilities were not used, as the case may be, because of circumstances beyond the licensee’s control.

             (4)  For the purposes of subsection (3), the depletion of recoverable petroleum is not a circumstance beyond the licensee’s control.

Note:          See also section 780 (compensation for acquisition of property).

Consultation

             (5)  The Joint Authority may give a copy of a notice under subsection (1) to such other persons (if any) as the Joint Authority thinks fit.

             (6)  A notice under subsection (1) must:

                     (a)  invite a person to whom the notice, or a copy of the notice, has been given to make a written submission to the Joint Authority about the proposal to terminate the licence; and

                     (b)  specify a time limit for making that submission.

Note:          All communications to the Joint Authority are to be made through the Designated Authority—see section 63.

             (7)  In deciding whether to terminate the licence, the Joint Authority must take into account any submissions made in accordance with the notice.


 

Division 2Obtaining an infrastructure licence

198  Application for infrastructure licence

             (1)  A person may apply to the Designated Authority for the grant by the Joint Authority of an infrastructure licence.

Details

             (2)  An application under this section must be accompanied by details of the applicant’s proposals for the construction and operation of infrastructure facilities at a place that is:

                     (a)  in an offshore area; and

                     (b)  described in the application.

Note 1:       Part 2.10 contains additional provisions about application procedures.

Note 2:       Section 256 requires the application to be accompanied by an application fee.

Note 3:       Section 258 enables the Designated Authority to require the applicant to give further information.

199  Grant of infrastructure licence—offer document

                   If an application for the grant of an infrastructure licence has been made under section 198, the Joint Authority may give the applicant a written notice (called an offer document) telling the applicant the Joint Authority is prepared to grant the applicant an infrastructure licence in relation to the place described in the application.

Note 1:       Section 259 sets out additional requirements for offer documents (for example, a requirement that an offer document must contain a summary of conditions).

Note 2:       If the applicant breaches a requirement under section 258 to provide further information, the Joint Authority may refuse to give the applicant an offer document—see subsection 258(3).

Note 3:       For consultation procedures, see sections 202 and 203.

200  Refusal to grant infrastructure licence

                   If:

                     (a)  an application for the grant of an infrastructure licence has been made under section 198; and

                     (b)  the Joint Authority decides not to give the applicant an offer document under section 199;

the Joint Authority must, by written notice given to the applicant, refuse to grant the infrastructure licence.

201  Grant of infrastructure licence

                   If:

                     (a)  an applicant has been given an offer document under section 199; and

                     (b)  the applicant has made a request under section 260 in relation to the offer document within the period applicable under that section;

the Joint Authority must grant the applicant the infrastructure licence concerned.

Note:          If the applicant does not make a request under section 260 within the period applicable under that section, the application lapses at the end of that period—see subsection 260(4).

202  Consultation with petroleum titleholders—grant of infrastructure licence

Scope

             (1)  This section applies if:

                     (a)  an application for an infrastructure licence (the proposed infrastructure licence) has been made under section 198 in relation to a place in a block; and

                     (b)  the block:

                              (i)  is the subject of a petroleum exploration permit, petroleum retention lease or petroleum production licence; or

                             (ii)  is, or is proposed to be, transected by a pipeline in accordance with the provisions of a pipeline licence; or

                            (iii)  includes the whole or a part of a place that is the subject of another infrastructure licence; or

                            (iv)  is the subject of a petroleum special prospecting authority or petroleum access authority; and

                     (c)  the applicant is not the registered holder of the petroleum exploration permit, petroleum retention lease, petroleum production licence, pipeline licence, other infrastructure licence, petroleum special prospecting authority or petroleum access authority; and

                     (d)  if subparagraph (b)(i), (ii) or (iii) applies—the registered holder of the petroleum exploration permit, petroleum retention lease, petroleum production licence, pipeline licence or other infrastructure licence has not given written consent to the grant of the proposed infrastructure licence; and

                     (e)  if subparagraph (b)(iv) applies:

                              (i)  the registered holder of the petroleum special prospecting authority or petroleum access authority has not given written consent to the grant of the proposed infrastructure licence; or

                             (ii)  the petroleum special prospecting authority or petroleum access authority will not expire before any construction or operation of infrastructure facilities under the proposed infrastructure licence would occur.

Consultation

             (2)  Before the Joint Authority gives the applicant an offer document under section 199, the Joint Authority must:

                     (a)  by written notice given to the registered holder of the petroleum exploration permit, petroleum retention lease, petroleum production licence, pipeline licence, other infrastructure licence, petroleum special prospecting authority or petroleum access authority, give at least 30 days notice of the Joint Authority’s proposal to give the applicant the offer document; and

                     (b)  give a copy of the notice to such other persons (if any) as the Joint Authority thinks fit.

             (3)  The notice must:

                     (a)  set out details of the proposed infrastructure licence; and

                     (b)  invite a person to whom the notice, or a copy of the notice, has been given to make a written submission to the Joint Authority about the proposal; and

                     (c)  specify a time limit for the making of that submission.

Note:          All communications to the Joint Authority are to be made through the Designated Authority—see section 63.

             (4)  In deciding:

                     (a)  whether to give the applicant the offer document; and

                     (b)  the conditions (if any) to which the proposed infrastructure licence should be subject;

the Joint Authority must take into account any submissions made in accordance with the notice.

203  Consultation with greenhouse gas titleholders—grant of infrastructure licence

Scope

             (1)  This section applies if:

                     (a)  an application for an infrastructure licence (the proposed infrastructure licence) has been made under section 198 in relation to a place in a block; and

                     (b)  the block:

                              (i)  is the subject of a greenhouse gas assessment permit, greenhouse gas holding lease or greenhouse gas injection licence; or

                             (ii)  is the subject of a greenhouse gas search authority or greenhouse gas special authority; and

                     (c)  the applicant is not the registered holder of the greenhouse gas assessment permit, greenhouse gas holding lease, greenhouse gas injection licence, greenhouse gas search authority or greenhouse gas special authority; and

                     (d)  if subparagraph (b)(i) applies—the registered holder of the greenhouse gas assessment permit, greenhouse gas holding lease or greenhouse gas injection licence has not given written consent to the grant of the proposed infrastructure licence; and

                     (e)  if subparagraph (b)(ii) applies:

                              (i)  the registered holder of the greenhouse gas search authority or greenhouse gas special authority has not given written consent to the grant of the proposed infrastructure licence; or

                             (ii)  the greenhouse gas search authority or greenhouse gas special authority will not expire before any construction or operation of infrastructure facilities under the proposed infrastructure licence would occur.

Consultation

             (2)  Before the Joint Authority gives the applicant an offer document under section 199, the Joint Authority must:

                     (a)  by written notice given to the registered holder of the greenhouse gas assessment permit, greenhouse gas holding lease, greenhouse gas injection licence, greenhouse gas search authority or greenhouse gas special authority, give at least 30 days notice of the Joint Authority’s proposal to give the applicant the offer document; and

                     (b)  give a copy of the notice to such other persons (if any) as the Joint Authority thinks fit.

             (3)  The notice must:

                     (a)  set out details of the proposed infrastructure licence; and

                     (b)  invite a person to whom the notice, or a copy of the notice, has been given to make a written submission to the Joint Authority about the proposal; and

                     (c)  specify a time limit for the making of that submission.

Note:          All communications to the Joint Authority are to be made through the Designated Authority—see section 63.

             (4)  In deciding:

                     (a)  whether to give the applicant the offer document; and

                     (b)  the conditions (if any) to which the proposed infrastructure licence should be subject;

the Joint Authority must take into account any submissions made in accordance with the notice.


 

Division 3Varying an infrastructure licence

204  Application for variation of infrastructure licence

             (1)  An infrastructure licensee may apply to the Designated Authority for the variation by the Joint Authority of the licence.

             (2)  An application under this section must:

                     (a)  be accompanied by details of the proposed variation; and

                     (b)  set out the reasons for the proposed variation.

Note 1:       Part 2.10 contains additional provisions about application procedures.

Note 2:       Section 256 requires the application to be accompanied by an application fee.

Note 3:       Section 258 enables the Designated Authority to require the applicant to give further information.

205  Variation of infrastructure licence

             (1)  If an infrastructure licensee applies under section 204 for a variation of the licence, the Joint Authority may, by written notice given to the licensee:

                     (a)  vary the licence to such extent as the Joint Authority thinks necessary; or

                     (b)  refuse to vary the licence.

Note:          For consultation procedures, see sections 206 and 207.

When variation takes effect

             (2)  A variation of an infrastructure licence under this section takes effect on the day on which notice of the variation is published in the Gazette.

Note:          For publication in the Gazette of notice of the variation, see section 708.

206  Consultation with petroleum titleholders—variation of infrastructure licence

Scope

             (1)  This section applies if:

                     (a)  an infrastructure licence (the first infrastructure licence) relates to a place in a block; and

                     (b)  an application for variation of the first infrastructure licence is made under section 204; and

                     (c)  the block:

                              (i)  is the subject of a petroleum exploration permit, petroleum retention lease or petroleum production licence; or

                             (ii)  is, or is proposed to be, transected by a pipeline in accordance with the provisions of a pipeline licence; or

                            (iii)  includes the whole or a part of a place that is the subject of another infrastructure licence; or

                            (iv)  is the subject of a petroleum special prospecting authority or petroleum access authority; and

                     (d)  the applicant is not the registered holder of the petroleum exploration permit, petroleum retention lease, petroleum production licence, pipeline licence, other infrastructure licence, petroleum special prospecting authority or petroleum access authority; and

                     (e)  if subparagraph (c)(i), (ii) or (iii) applies—the registered holder of the petroleum exploration permit, petroleum retention lease, petroleum production licence, pipeline licence or other infrastructure licence has not given written consent to the variation of the first infrastructure licence; and

                      (f)  if subparagraph (c)(iv) applies:

                              (i)  the registered holder of the petroleum special prospecting authority or petroleum access authority has not given written consent to the variation of the first infrastructure licence; or

                             (ii)  the petroleum special prospecting authority or petroleum access authority will not expire before any construction or operation of infrastructure facilities under the first infrastructure licence, as proposed to be varied, would occur.

Consultation

             (2)  Before varying the first infrastructure licence, the Joint Authority must:

                     (a)  by written notice given to the registered holder of the petroleum exploration permit, petroleum retention lease, petroleum production licence, pipeline licence, other infrastructure licence, petroleum special prospecting authority or petroleum access authority, give at least 30 days notice that the Joint Authority is considering the application; and

                     (b)  give a copy of the notice to such other persons (if any) as the Joint Authority thinks fit.

             (3)  The notice must:

                     (a)  set out details of the proposed variation; and

                     (b)  invite a person to whom the notice, or a copy of the notice, has been given to make a written submission to the Joint Authority about the proposal; and

                     (c)  specify a time limit for the making of that submission.

Note:          All communications to the Joint Authority are to be made through the Designated Authority—see section 63.

             (4)  In deciding whether to vary the first infrastructure licence, the Joint Authority must take into account any submissions made in accordance with the notice.

207  Consultation with greenhouse gas titleholders—variation of infrastructure licence

Scope

             (1)  This section applies if:

                     (a)  an infrastructure licence (the first infrastructure licence) relates to a place in a block; and

                     (b)  an application for variation of the first infrastructure licence is made under section 204; and

                     (c)  the block:

                              (i)  is the subject of a greenhouse gas assessment permit, greenhouse gas holding lease or greenhouse gas injection licence; or

                             (ii)  is the subject of a greenhouse gas search authority or greenhouse gas special authority; and

                     (d)  the applicant is not the registered holder of the greenhouse gas assessment permit, greenhouse gas holding lease, greenhouse gas injection licence, greenhouse gas search authority or greenhouse gas special authority; and

                     (e)  if subparagraph (c)(i) applies—the registered holder of the greenhouse gas assessment permit, greenhouse gas holding lease or greenhouse gas injection licence has not given written consent to the variation of the first infrastructure licence; and

                      (f)  if subparagraph (c)(ii) applies:

                              (i)  the registered holder of the greenhouse gas search authority or greenhouse gas special authority has not given written consent to the variation of the first infrastructure licence; or

                             (ii)  the greenhouse gas search authority or greenhouse gas special authority will not expire before any construction or operation of infrastructure facilities under the first infrastructure licence, as proposed to be varied, would occur.

Consultation

             (2)  Before varying the first infrastructure licence, the Joint Authority must:

                     (a)  by written notice given to the registered holder of the greenhouse gas assessment permit, greenhouse gas holding lease, greenhouse gas injection licence, greenhouse gas search authority or greenhouse gas special authority, give at least 30 days notice that the Joint Authority is considering the application; and

                     (b)  give a copy of the notice to such other persons (if any) as the Joint Authority thinks fit.

             (3)  The notice must:

                     (a)  set out details of the proposed variation; and

                     (b)  invite a person to whom the notice, or a copy of the notice, has been given to make a written submission to the Joint Authority about the proposal; and

                     (c)  specify a time limit for the making of that submission.

Note:          All communications to the Joint Authority are to be made through the Designated Authority—see section 63.

             (4)  In deciding whether to vary the first infrastructure licence, the Joint Authority must take into account any submissions made in accordance with the notice.


 

Division 4Directions by responsible Commonwealth Minister

208  Directions by responsible Commonwealth Minister

             (1)  The responsible Commonwealth Minister may, by written notice given to the Joint Authority, give the Joint Authority a direction in relation to the exercise by the Joint Authority of a power conferred on the Joint Authority by this Part in relation to:

                     (a)  a specified application for an infrastructure licence, where any of the infrastructure facilities to which the licence relates is an infrastructure facility as a result of subsection 15(3); or

                     (b)  a specified infrastructure licence, where any of the infrastructure facilities to which the licence relates is an infrastructure facility as a result of subsection 15(3).

             (2)  The Joint Authority must comply with a direction under subsection (1).

             (3)  A direction under subsection (1) is not a legislative instrument.


 

Part 2.6Pipeline licences

Division 1General provisions

209  Simplified outline

                   The following is a simplified outline of this Part:

•      It is an offence to construct or operate a pipeline in an offshore area without a pipeline licence.

•      This Part provides for the grant of pipeline licences.

•      A pipeline licence authorises the licensee to construct and operate a pipeline. A pipeline may be used to convey petroleum or a greenhouse gas substance.

•      A pipeline licensee must not cease to operate the pipeline without the consent of the Joint Authority.

210  Prohibition of unauthorised construction or operation of a pipeline in an offshore area

General offence

             (1)  A person commits an offence if:

                     (a)  the person:

                              (i)  starts to construct or reconstruct a pipeline; or

                             (ii)  continues to construct or reconstruct a pipeline; or

                            (iii)  starts to alter a pipeline; or

                            (iv)  continues to alter a pipeline; or

                             (v)  operates a pipeline; and

                     (b)  the person’s conduct occurs in an offshore area.

Penalty:  Imprisonment for 5 years.

             (2)  Subsection (1) does not apply to conduct that is authorised by a pipeline licence.

Note 1:       The defendant bears an evidential burden in relation to the matter in subsection (2)—see subsection 13.3(3) of the Criminal Code.

Note 2:       See also subsections (7) and (8) of this section.

Offence of starting to operate a pipeline

             (3)  A person commits an offence if:

                     (a)  the person starts to operate a pipeline; and

                     (b)  the person’s conduct occurs in an offshore area.

Penalty:  Imprisonment for 5 years.

             (4)  Subsection (3) does not apply if:

                     (a)  the pipeline has been constructed and tested in accordance with a pipeline licence; and

                     (b)  the Designated Authority has certified in writing that the Designated Authority is satisfied that:

                              (i)  the pipeline has been constructed and tested in accordance with a pipeline licence; and

                             (ii)  the pipeline is fit to be operated.

Note 1:       The defendant bears an evidential burden in relation to the matter in subsection (4)—see subsection 13.3(3) of the Criminal Code.

Note 2:       See also subsections (7) and (8) of this section.

Offence of recommencing to operate a pipeline

             (5)  A person commits an offence if:

                     (a)  the person recommences to operate a pipeline the previous operation of which was discontinued; and

                     (b)  the person’s conduct occurs in an offshore area.

Penalty:  Imprisonment for 5 years.

             (6)  Subsection (5) does not apply if the recommencement is carried out:

                     (a)  with the written consent of the Designated Authority; and

                     (b)  in accordance with the conditions (if any) specified in that consent.

Note 1:       The defendant bears an evidential burden in relation to the matter in subsection (6)—see subsection 13.3(3) of the Criminal Code.

Note 2:       See also subsections (7) and (8) of this section.

Defences

             (7)  Subsections (1), (3) and (5) do not apply if:

                     (a)  in an emergency in which there is a likelihood of loss or injury; or

                     (b)  for the purpose of maintaining a pipeline in good order or repair;

the person engages in the conduct to avoid that loss or injury, or to maintain the pipeline in good order and repair, and the person:

                     (c)  as soon as practicable, notifies the Designated Authority of the conduct; and

                     (d)  complies with any directions given to the person by the Designated Authority.

Note:          The defendant bears an evidential burden in relation to the matter in subsection (7)—see subsection 13.3(3) of the Criminal Code.

             (8)  Subsections (1), (3) and (5) do not apply to anything done in compliance with a direction under:

                     (a)  this Act; or

                     (b)  the regulations.

Note:          The defendant bears an evidential burden in relation to the matter in subsection (8)—see subsection 13.3(3) of the Criminal Code.

Consents and certificates

             (9)  The Designated Authority may:

                     (a)  refuse to give a consent or certificate for the purposes of this section; or

                     (b)  make a consent under subsection (6) subject to such conditions as are specified in the consent.

211  Rights conferred by pipeline licence

             (1)  A pipeline licence authorises the licensee, in accordance with the conditions (if any) to which the licence is subject:

                     (a)  to construct in the offshore area specified in the licence a pipeline:

                              (i)  of the design, construction, size and capacity specified in the licence; and

                             (ii)  along the route specified in the licence; and

                            (iii)  in the position, in relation to the seabed, specified in the licence; and

                     (b)  to construct in the offshore area specified in the licence the pumping stations, tank stations and valve stations specified in the licence in the positions specified in the licence; and

                     (c)  to operate:

                              (i)  that pipeline; and

                             (ii)  those pumping stations, tank stations and valve stations; and

                     (d)  to carry on such operations, to execute such works and to do all such other things in the offshore area specified in the licence as are necessary for, or incidental to, the construction or operation of:

                              (i)  that pipeline; and

                             (ii)  those pumping stations, tank stations and valve stations.

             (2)  The rights conferred on the licensee by subsection (1) are subject to this Act and the regulations.

212  Conditions of pipeline licences

             (1)  The Joint Authority may grant a pipeline licence subject to whatever conditions the Joint Authority thinks appropriate.

             (2)  The conditions (if any) must be specified in the licence.

Completion of pipeline

             (3)  A pipeline licence may be granted subject to a condition that the licensee must complete the construction of the pipeline within the period specified in the licence.

             (4)  Subsection (3) does not limit subsection (1).

Approval of greenhouse gas substance

             (5)  A pipeline licence is subject to the condition that the licensee will not operate the pipeline to convey a greenhouse gas substance unless the Joint Authority has approved the greenhouse gas substance under section 213.

             (6)  Despite subsection (2), the condition mentioned in subsection (5) does not need to be specified in the licence.

             (7)  Subsection (5) does not limit subsection (1).

Access regime

             (8)  A pipeline licence is subject to the condition that, if:

                     (a)  regulations are made for the purposes of subsection (9); and

                     (b)  those regulations impose requirements on the licensee;

the licensee will comply with those requirements.

             (9)  The regulations may establish a regime for third party access to services provided by means of the use of greenhouse gas pipelines.

           (10)  Despite subsection (2), the condition mentioned in subsection (8) does not need to be specified in the licence.

           (11)  Subsection (8) does not limit subsection (1).

213  Approval by Joint Authority of greenhouse gas substance to be conveyed in a pipeline

             (1)  A pipeline licensee may apply to the Joint Authority for approval of a greenhouse gas substance that is to be conveyed by means of the pipeline.

             (2)  If an application for approval is made under subsection (1), the Joint Authority may, by written notice given to the applicant:

                     (a)  give the approval, with or without conditions to which the approval is subject; or

                     (b)  refuse to give the approval.

             (3)  In deciding whether to give an approval, the Joint Authority must have regard to:

                     (a)  in a case where it is proposed to inject the greenhouse gas substance into an identified greenhouse gas storage formation:

                              (i)  whether the greenhouse gas substance is suitable for injection into the identified greenhouse gas storage formation; and

                             (ii)  whether the greenhouse gas substance is suitable for permanent storage in the identified greenhouse gas storage formation; and

                     (b)  in a case where it is proposed to inject the greenhouse gas substance, on an appraisal basis, into a potential greenhouse gas storage formation (other than an identified greenhouse gas storage formation):

                              (i)  whether the greenhouse gas substance is suitable for injection, on an appraisal basis, into the potential greenhouse gas storage formation; and

                             (ii)  whether the greenhouse gas substance is suitable for storage, on an appraisal basis, in the potential greenhouse gas storage formation; and

                     (c)  such other matters (if any) as the Joint Authority considers relevant.

             (4)  To avoid doubt, section 211 does not imply that a pipeline licensee who applies for approval under subsection (1) of this section is entitled to be given the approval.

             (5)  The responsible Commonwealth Minister may, by written notice given to the Joint Authority, give the Joint Authority a direction in relation to the exercise by the Joint Authority of the power conferred on the Joint Authority by subsection (2) in relation to a specified application.

             (6)  The Joint Authority must comply with a direction under subsection (5).

             (7)  A direction under subsection (5) is not a legislative instrument.

214  Duration of pipeline licence

             (1)  A pipeline licence comes into force:

                     (a)  on the day on which the pipeline licence is granted; or

                     (b)  if a later day is specified in the pipeline licence as being the day on which the pipeline licence is to come into force—on that later day.

             (2)  A pipeline licence remains in force indefinitely.

             (3)  Subsection (2) has effect subject to this Chapter.

Note 1:       For the surrender of a pipeline licence, see Part 2.12.

Note 2:       For the cancellation of a pipeline licence, see Part 2.13.

Note 3:       For the termination of a pipeline licence if there have been no operations for 5 years, see section 215.

215  Termination of pipeline licence if no operations for 5 years

Termination of licence

             (1)  If a pipeline licence is in force, and the licensee:

                     (a)  has not carried out any construction work under the licence at any time during a continuous period of at least 5 years; and

                     (b)  has not used the pipeline or a part of the pipeline at any time during a continuous period of at least 5 years;

the Joint Authority may, by written notice given to the licensee, tell the licensee that the Joint Authority proposes to:

                     (c)  terminate the pipeline licence; or

                     (d)  terminate the pipeline licence in relation to the part of the pipeline;

as the case may be, after the end of 30 days after the notice is given.

             (2)  At any time after the end of 30 days after the notice referred to in subsection (1) is given to the licensee, the Joint Authority may, by written notice given to the licensee:

                     (a)  terminate the pipeline licence; or

                     (b)  terminate the pipeline licence in relation to the part of the pipeline;

as the case may be.

Note:          For remedial directions following termination, see section 587.

             (3)  In working out, for the purposes of subsection (1):

                     (a)  the period in which a pipeline licensee did not carry out any construction work under the licence; or

                     (b)  the period in which a pipeline licensee did not use the pipeline or a part of the pipeline;

disregard any period in which construction work was not carried out, or the pipeline or part of the pipeline was not used, as the case may be, because of circumstances beyond the licensee’s control.

             (4)  For the purposes of subsection (3), the depletion of recoverable petroleum is not a circumstance beyond the licensee’s control.

Note:          See also section 780 (compensation for acquisition of property).

             (5)  For the purposes of subsection (3), the failure to obtain a greenhouse gas substance for conveyance in the pipeline, or a part of the pipeline, is not a circumstance beyond the licensee’s control.

Consultation

             (6)  The Joint Authority may give a copy of a notice under subsection (1) to such other persons (if any) as the Joint Authority thinks fit.

             (7)  A notice under subsection (1) must:

                     (a)  invite a person to whom the notice, or a copy of the notice, has been given to make a written submission to the Joint Authority about the proposal to:

                              (i)  terminate the pipeline licence; or

                             (ii)  terminate the pipeline licence in relation to the part of the pipeline; and

                     (b)  specify a time limit for making that submission.

Note:          All communications to the Joint Authority are to be made through the Designated Authority—see section 63.

             (8)  In deciding whether to:

                     (a)  terminate the pipeline licence; or

                     (b)  terminate the pipeline licence in relation to the part of the pipeline;

the Joint Authority must take into account any submissions made in accordance with the notice.

216  Alteration or removal of pipeline constructed in breach of this Act

Scope

             (1)  This section applies if:

                     (a)  the construction of a pipeline is started, continued or completed in breach of this Act; or

                     (b)  a pipeline is altered or reconstructed in breach of this Act.

Direction by Designated Authority

             (2)  The Designated Authority may, by written notice given to whichever of the following persons is applicable:

                     (a)  if the construction of the pipeline has been completed—the owner of the pipeline;

                     (b)  if the construction of the pipeline has not been completed—the person for whom the pipeline is being constructed;

direct the person:

                     (c)  to make specified alterations to the pipeline; or

                     (d)  to move the pipeline to a specified place in the offshore area; or

                     (e)  to remove the pipeline from the offshore area;

within the period specified in the direction.

             (3)  The period specified in the direction must be reasonable.

Designated Authority may take action if direction is not complied with

             (4)  If a person does not comply with a direction under subsection (2) within:

                     (a)  the period specified in the direction; or

                     (b)  such longer period as the Designated Authority allows;

the Designated Authority may do any or all of the things required by the direction to be done.

             (5)  The Designated Authority may allow a longer period under paragraph (4)(b) only on written application made by the person referred to in subsection (4) within the period specified in the direction.

Recovery of costs and expenses

             (6)  Costs and expenses incurred by the Designated Authority under subsection (4) are:

                     (a)  a debt due to the Commonwealth by the person referred to in that subsection; and

                     (b)  recoverable in a court of competent jurisdiction.


 

Division 2Obtaining a pipeline licence

217  Application for pipeline licence

             (1)  A person may apply to the Designated Authority for the grant by the Joint Authority of a pipeline licence.

Details

             (2)  An application under this section must be accompanied by details of:

                     (a)  the proposed design and construction of the pipeline; and

                     (b)  the proposed size and capacity of the pipeline; and

                     (c)  the applicant’s proposals for work and expenditure in relation to the construction of the pipeline; and

                     (d)  the technical qualifications of the applicant and of the applicant’s employees; and

                     (e)  the technical advice available to the applicant; and

                      (f)  the financial resources available to the applicant; and

                     (g)  any agreements that the applicant:

                              (i)  has entered into; or

                             (ii)  proposes to enter into;

                            for, or in relation to, the supply or conveyance of petroleum or greenhouse gas substances by means of the pipeline.

Plan

             (3)  An application under this section must be accompanied by a plan, drawn to an approved scale, showing:

                     (a)  the route to be followed by the pipeline; and

                     (b)  the sites of pumping stations, tank stations and valve stations to be used in connection with the pipeline; and

                     (c)  the site of any pumping station, tank station or valve station that the applicant wants to be declared under section 16 to be a terminal station in connection with the pipeline; and

                     (d)  the location of any point that the applicant wants to be declared under section 17 to be a terminal point in connection with the pipeline.

Note 1:       Part 2.10 contains additional provisions about application procedures.

Note 2:       Section 256 requires the application to be accompanied by an application fee.

Note 3:       Section 258 enables the Designated Authority to require the applicant to give further information.

Note 4:       If a pipeline licensee wants to alter the pipeline, the licensee will need to apply under section 226 for the variation of the licence.

218  Rights of petroleum production licensees following application for petroleum‑related pipeline licences by other persons

Application by petroleum production licensee

             (1)  If:

                     (a)  a person applies for a pipeline licence in relation to the construction of a petroleum pipeline for the conveyance of petroleum recovered in a petroleum production licence area; and

                     (b)  the person is not the petroleum production licensee;

the petroleum production licensee may, within:

                     (c)  90 days after the publication in the Gazette of notice of the application; or

                     (d)  such longer period, not more than 180 days, as the Designated Authority allows;

apply under section 217 for such a pipeline licence and, in the application, request that the application mentioned in the Gazette notice be rejected.

Note:          For publication in the Gazette of notice of the application, see section 708.

Rejection of application by other person

             (2)  If a pipeline licence is granted to the petroleum production licensee as a result of an application covered by subsection (1), the Joint Authority must, by written notice given to the person mentioned in paragraph (1)(a), reject the application mentioned in paragraph (1)(c).

Extension of time

             (3)  The Designated Authority may allow a longer period under paragraph (1)(d) only on written application made by the petroleum production licensee within the period of 90 days mentioned in paragraph (1)(c).

219  Rights of petroleum production licensees following application for greenhouse gas‑related pipeline licences by other persons

Application by petroleum production licensee

             (1)  If:

                     (a)  a person applies for a pipeline licence in relation to the construction, in an offshore area, of a greenhouse gas pipeline for:

                              (i)  the conveyance of a greenhouse gas substance within a petroleum production licence area in that offshore area; or

                             (ii)  the conveyance of a greenhouse gas substance from a place outside a petroleum production licence area to a place in the petroleum production licence area; and

                     (b)  either:

                              (i)  if subparagraph (a)(i) applies—the greenhouse gas substance is a by‑product of petroleum recovery operations carried on under the petroleum production licence; or

                             (ii)  if subparagraph (a)(ii) applies—the greenhouse gas substance is to be injected into the seabed or subsoil for the purpose of enhancing petroleum recovery operations carried on under the petroleum production licence; and

                     (c)  the person is not the petroleum production licensee;

the petroleum production licensee may, within:

                     (d)  90 days after the publication in the Gazette of notice of the application; or

                     (e)  such longer period, not more than 180 days, as the Joint Authority allows;

apply under section 217 for such a pipeline licence and, in the application, request that the application mentioned in the Gazette notice be rejected.

Note:          For publication in the Gazette of notice of the application, see section 708.

Rejection of application by other person

             (2)  If a pipeline licence is granted to the petroleum production licensee as a result of an application covered by subsection (1), the Joint Authority must, by written notice given to the person mentioned in paragraph (1)(a), reject the application mentioned in paragraph (1)(d).

Extension of time

             (3)  The Joint Authority may allow a longer period under paragraph (1)(e) only on written application made by the petroleum production licensee within the period of 90 days mentioned in paragraph (1)(d).

220  Rights of greenhouse gas injection licensees following application for greenhouse gas‑related pipeline licences by other persons

Application by greenhouse gas injection licensee

             (1)  If:

                     (a)  a person applies for a pipeline licence in relation to the construction, in an offshore area, of a greenhouse gas pipeline for:

                              (i)  the conveyance of a greenhouse gas substance within a greenhouse gas injection licence area in that offshore area; or

                             (ii)  the conveyance of a greenhouse gas substance from a place outside a greenhouse gas injection area to a place in the greenhouse gas injection licence area; and

                     (b)  the greenhouse gas substance is to be injected into an identified greenhouse gas storage formation that is wholly situated in the greenhouse gas injection licence area; and

                     (c)  the person is not the greenhouse gas injection licensee;

the greenhouse gas injection licensee may, within:

                     (d)  90 days after the publication in the Gazette of notice of the application; or

                     (e)  such longer period, not more than 180 days, as the Joint Authority allows;

apply under section 217 for such a pipeline licence and, in the application, request that the application mentioned in the Gazette notice be rejected.

Note:          For publication in the Gazette of notice of the application, see section 708.

Rejection of application by other person

             (2)  If a pipeline licence is granted to the greenhouse gas injection licensee as a result of an application covered by subsection (1), the Joint Authority must, by written notice given to the person mentioned in paragraph (1)(a), reject the application mentioned in paragraph (1)(d).

Extension of time

             (3)  The Joint Authority may allow a longer period under paragraph (1)(e) only on written application made by the greenhouse gas injection licensee within the period of 90 days mentioned in paragraph (1)(d).

221  Grant of petroleum‑related pipeline licence—offer document

Scope

             (1)  This section applies if an application for a pipeline licence has been made under section 217.

Offer document—grant of pipeline licence to person other than petroleum production licensee

             (2)  If:

                     (a)  the application is for a pipeline licence in relation to the construction in an offshore area of a petroleum pipeline for the conveyance of petroleum recovered in a petroleum production licence area (whether the licence area is within that, or another, offshore area); and

                     (b)  the applicant is not the petroleum production licensee; and

                     (c)  the application has not been rejected under subsection 218(2);

the Joint Authority may give the applicant a written notice (called an offer document) telling the applicant that the Joint Authority is prepared to grant the applicant the pipeline licence.

Offer document—grant of pipeline licence to petroleum production licensee

             (3)  If:

                     (a)  the application is for a pipeline licence in relation to the construction of a petroleum pipeline for the conveyance of petroleum recovered in a petroleum production licence area; and

                     (b)  the applicant is the petroleum production licensee; and

                     (c)  each of the following has been complied with:

                              (i)  the conditions to which the petroleum production licence is, or has from time to time been, subject;

                             (ii)  the provisions of this Chapter, Chapter 4, Chapter 6 and Part 7.1;

                            (iii)  the regulations;

the Joint Authority must give the applicant a written notice (called an offer document) telling the applicant that the Joint Authority is prepared to grant the applicant the pipeline licence.

             (4)  If:

                     (a)  the application is for a pipeline licence in relation to the construction of a petroleum pipeline for the conveyance of petroleum recovered in a petroleum production licence area; and

                     (b)  the applicant is the petroleum production licensee; and

                     (c)  any of:

                              (i)  the conditions to which the petroleum production licence is, or has from time to time been, subject; or

                             (ii)  the provisions of this Chapter, Chapter 4, Chapter 6 and Part 7.1; or

                            (iii)  the provisions of the regulations;

                            have not been complied with; and

                     (d)  the Joint Authority is satisfied that there are sufficient grounds to warrant the granting of the pipeline licence;

the Joint Authority may give the applicant a written notice (called an offer document) telling the applicant that the Joint Authority is prepared to grant the applicant the pipeline licence.

Offer document—other applications

             (5)  If the application is for a pipeline licence in relation to the construction in an offshore area of a petroleum pipeline for the conveyance of petroleum recovered from a place beyond the outer limits of any offshore area, the Joint Authority may give the applicant a written notice (called an offer document) telling the applicant that the Joint Authority is prepared to grant the applicant a pipeline licence.

Route to be followed by pipeline

             (6)  An offer document under this section must specify the route to be followed by the petroleum pipeline, and that route must be:

                     (a)  the route shown in the plan accompanying the application; or

                     (b)  if the Joint Authority is of the opinion that, for any reason, that route is not appropriate—a route that, in the opinion of the Joint Authority, is appropriate.

Note 1:       Section 259 sets out additional requirements for offer documents (for example, a requirement that an offer document must contain a summary of conditions).

Note 2:       If the applicant breaches a requirement under section 258 to provide further information, the Joint Authority may refuse to give the applicant an offer document—see subsection 258(3).

222  Grant of greenhouse gas‑related pipeline licence—offer document

Scope

             (1)  This section applies if an application for a pipeline licence has been made under section 217.

Offer document—grant of pipeline licence to a person other than petroleum production licensee

             (2)  If:

                     (a)  the application is for a pipeline licence in relation to the construction, in an offshore area, of a greenhouse gas pipeline for:

                              (i)  the conveyance of a greenhouse gas substance within a petroleum production licence area in that offshore area; or

                             (ii)  the conveyance of a greenhouse gas substance from a place outside a petroleum production licence area to a place in the petroleum production licence area; and

                     (b)  either:

                              (i)  if subparagraph (a)(i) applies—the greenhouse gas substance is a by‑product of petroleum recovery operations carried on under the petroleum production licence; or

                             (ii)  if subparagraph (a)(ii) applies—the greenhouse gas substance is to be injected into the seabed or subsoil for the purpose of enhancing petroleum recovery operations carried on under the petroleum production licence; and

                     (c)  the applicant is not the petroleum production licensee; and

                     (d)  the application has not been rejected under subsection 219(2);

the Joint Authority may gave the applicant a written notice (called an offer document) telling the applicant that the Joint Authority is prepared to grant the applicant the pipeline licence.

Offer document—grant of pipeline licence to petroleum production licensee

             (3)  If:

                     (a)  the application is for a pipeline licence in relation to the construction, in an offshore area, of a greenhouse gas pipeline for:

                              (i)  the conveyance of a greenhouse gas substance within a petroleum production licence area in that offshore area; or

                             (ii)  the conveyance of a greenhouse gas substance from a place outside a petroleum production licence area to a place in the petroleum production licence area; and

                     (b)  either:

                              (i)  if subparagraph (a)(i) applies—the greenhouse gas substance is a by‑product of petroleum recovery operations carried on under the petroleum production licence; or

                             (ii)  if subparagraph (a)(ii) applies—the greenhouse gas substance is to be injected into the seabed or subsoil for the purpose of enhancing petroleum recovery operations carried on under the petroleum production licence; and

                     (c)  the applicant is the petroleum production licensee; and

                     (d)  each of the following has been complied with:

                              (i)  the conditions to which the petroleum production licence is, or has from time to time been, subject;

                             (ii)  the provisions of this Chapter, Chapter 4, Chapter 6 and Part 7.1;

                            (iii)  the regulations;

the Joint Authority must give the applicant a written notice (called an offer document) telling the applicant that the Joint Authority is prepared to grant the applicant the pipeline licence.

             (4)  If:

                     (a)  the application is for a pipeline licence in relation to the construction, in an offshore area, of a greenhouse gas pipeline for:

                              (i)  the conveyance of a greenhouse gas substance within a petroleum production licence area in that offshore area; or

                             (ii)  the conveyance of a greenhouse gas substance from a place outside a petroleum production licence area to a place in the petroleum production licence area; and

                     (b)  either:

                              (i)  if subparagraph (a)(i) applies—the greenhouse gas substance is a by‑product of petroleum recovery operations carried on under the petroleum production licence; or

                             (ii)  if subparagraph (a)(ii) applies—the greenhouse gas substance is to be injected into the seabed or subsoil for the purpose of enhancing petroleum recovery operations carried on under the petroleum production licence; and

                     (c)  the applicant is the petroleum production licensee; and

                     (d)  any of:

                              (i)  the conditions to which the petroleum production licence is, or has from time to time been, subject; or

                             (ii)  the provisions of this Chapter, Chapter 4, Chapter 6 and Part 7.1; or

                            (iii)  the provisions of the regulations;

                            have not been complied with; and

                     (e)  the Joint Authority is satisfied that there are sufficient grounds to warrant the granting of the pipeline licence;

the Joint Authority may give the applicant a written notice (called an offer document) telling the applicant that the Joint Authority is prepared to grant the applicant the pipeline licence.

Offer document—grant of pipeline licence to a person other than greenhouse gas injection licensee

             (5)  If:

                     (a)  the application is for a pipeline licence in relation to the construction, in an offshore area, of a greenhouse gas pipeline for:

                              (i)  the conveyance of a greenhouse gas substance within a greenhouse gas injection licence area in that offshore area; or

                             (ii)  the conveyance of a greenhouse gas substance from a place outside a greenhouse gas injection area to a place in the greenhouse gas injection licence area; and

                     (b)  the greenhouse gas substance is to be injected into an identified greenhouse gas storage formation that is wholly situated in the greenhouse gas injection licence area; and

                     (c)  the applicant is not the greenhouse gas injection licensee; and

                     (d)  the application has not been rejected under subsection 220(2);

the Joint Authority may gave the applicant a written notice (called an offer document) telling the applicant that the Joint Authority is prepared to grant the applicant the pipeline licence.

Offer document—grant of pipeline licence to greenhouse gas injection licensee

             (6)  If:

                     (a)  the application is for a pipeline licence in relation to the construction, in an offshore area, of a greenhouse gas pipeline for:

                              (i)  the conveyance of a greenhouse gas substance within a greenhouse gas injection licence area in that offshore area; or

                             (ii)  the conveyance of a greenhouse gas substance from a place outside a greenhouse gas injection area to a place in the greenhouse gas injection licence area; and

                     (b)  the greenhouse gas substance is to be injected into an identified greenhouse gas storage formation that is wholly situated in the greenhouse gas injection licence area; and

                     (c)  the applicant is the greenhouse gas injection licensee; and

                     (d)  each of the following has been complied with:

                              (i)  the conditions to which the greenhouse gas injection licence is, or has from time to time been, subject;

                             (ii)  the provisions of this Chapter, Chapter 5, Chapter 6 and Part 8.1;

                            (iii)  the regulations;

the Joint Authority must give the applicant a written notice (called an offer document) telling the applicant that the Joint Authority is prepared to grant the applicant the pipeline licence.

             (7)  If:

                     (a)  the application is for a pipeline licence in relation to the construction, in an offshore area, of a greenhouse gas pipeline for:

                              (i)  the conveyance of a greenhouse gas substance within a greenhouse gas injection licence area in that offshore area; or

                             (ii)  the conveyance of a greenhouse gas substance from a place outside a greenhouse gas injection area to a place in the greenhouse gas injection licence area; and

                     (b)  the greenhouse gas substance is to be injected into an identified greenhouse gas storage formation that is wholly situated in the greenhouse gas injection licence area; and

                     (c)  the applicant is the greenhouse gas injection licensee; and

                     (d)  any of:

                              (i)  the conditions to which the greenhouse gas injection licence is, or has from time to time been, subject; or

                             (ii)  the provisions of this Chapter, Chapter 5, Chapter 6 and Part 8.1; or

                            (iii)  the provisions of the regulations;

                            have not been complied with; and

                     (e)  the Joint Authority is satisfied that there are sufficient grounds to warrant the granting of the pipeline licence;

the Joint Authority may give the applicant a written notice (called an offer document) telling the applicant that the Joint Authority is prepared to grant the applicant the pipeline licence.

Route to be followed by pipeline

             (8)  An offer document under this section must specify the route to be followed by the greenhouse gas pipeline, and that route must be:

                     (a)  the route shown in the plan accompanying the application; or

                     (b)  if the Joint Authority is of the opinion that, for any reason, that route is not appropriate—a route that, in the opinion of the Joint Authority, is appropriate.

Note 1:       Section 259 sets out additional requirements for offer documents (for example, a requirement that an offer document must contain a summary of conditions).

Note 2:       If the applicant breaches a requirement under section 258 to provide further information, the Joint Authority may refuse to give the applicant an offer document—see subsection 258(3).

223  Refusal to grant petroleum‑related pipeline licence

Scope

             (1)  This section applies if an application for a pipeline licence has been made under section 217.

Application by licensee of petroleum production licence

             (2)  If:

                     (a)  the application is for a pipeline licence in relation to the construction of a petroleum pipeline for the conveyance of petroleum recovered in a petroleum production licence area; and

                     (b)  the applicant is the petroleum production licensee; and

                     (c)  any of:

                              (i)  the conditions to which the petroleum production licence is, or has from time to time been, subject; or

                             (ii)  the provisions of this Chapter, Chapter 4, Chapter 6 and Part 7.1; or

                            (iii)  the provisions of the regulations;

                            have not been complied with; and

                     (d)  the Joint Authority is not satisfied that there are sufficient grounds to warrant the granting of a pipeline licence;

the Joint Authority must, by written notice given to the applicant, refuse to grant the pipeline licence.

Note:          Consultation procedures apply—see section 262.

Application by a person who is not a petroleum production licensee

             (3)  If:

                     (a)  the application is for a pipeline licence in relation to the construction of a petroleum pipeline for the conveyance of petroleum recovered in a petroleum production licence area; and

                     (b)  the applicant is not the petroleum production licensee;

the Joint Authority may, by written notice given to the applicant, refuse to grant the pipeline licence.

224  Refusal to grant greenhouse gas‑related pipeline licence

Scope

             (1)  This section applies if an application for a pipeline licence has been made under section 217.

Application by licensee of petroleum production licence

             (2)  If:

                     (a)  the application is for a pipeline licence in relation to the construction, in an offshore area, of a greenhouse gas pipeline for:

                              (i)  the conveyance of a greenhouse gas substance within a petroleum production licence area in that offshore area; or

                             (ii)  the conveyance of a greenhouse gas substance from a place outside a petroleum production licence area to a place in the petroleum production licence area; and

                     (b)  either:

                              (i)  if subparagraph (a)(i) applies—the greenhouse gas substance is a by‑product of petroleum recovery operations carried on under the petroleum production licence; or

                             (ii)  if subparagraph (a)(ii) applies—the greenhouse gas substance is to be injected into the seabed or subsoil for the purpose of enhancing petroleum recovery operations carried on under the petroleum production licence; and

                     (c)  the applicant is the petroleum production licensee; and

                     (d)  any of:

                              (i)  the conditions to which the petroleum production licence is, or has from time to time been, subject; or

                             (ii)  the provisions of this Chapter, Chapter 4, Chapter 6 and Part 7.1; or

                            (iii)  the provisions of the regulations;

                            have not been complied with; and

                     (e)  the Joint Authority is not satisfied that there are sufficient grounds to warrant the granting of a pipeline licence;

the Joint Authority must, by written notice given to the applicant, refuse to grant the pipeline licence.

Note:          Consultation procedures apply—see section 262.

Application by a person who is not a petroleum production licensee

             (3)  If:

                     (a)  the application is for a pipeline licence in relation to the construction, in an offshore area, of a greenhouse gas pipeline for:

                              (i)  the conveyance of a greenhouse gas substance within a petroleum production licence area in that offshore area; or

                             (ii)  the conveyance of a greenhouse gas substance from a place outside a petroleum production licence area to a place in the petroleum production licence area; and

                     (b)  either:

                              (i)  if subparagraph (a)(i) applies—the greenhouse gas substance is a by‑product of petroleum recovery operations carried on under the petroleum production licence; or

                             (ii)  if subparagraph (a)(ii) applies—the greenhouse gas substance is to be injected into the seabed or subsoil for the purpose of enhancing petroleum recovery operations carried on under the petroleum production licence; and

                     (c)  the applicant is not the petroleum production licensee;

the Joint Authority may, by written notice given to the applicant, refuse to grant the pipeline licence.

Application by licensee of greenhouse gas injection licence

             (4)  If:

                     (a)  the application is for a pipeline licence in relation to the construction, in an offshore area, of a greenhouse gas pipeline for:

                              (i)  the conveyance of a greenhouse gas substance within a greenhouse gas injection licence area in that offshore area; or

                             (ii)  the conveyance of a greenhouse gas substance from a place outside a greenhouse gas injection area to a place in the greenhouse gas injection licence area; and

                     (b)  the greenhouse gas substance is to be injected into an identified greenhouse gas storage formation that is wholly situated in the greenhouse gas injection licence area; and

                     (c)  the applicant is the greenhouse gas injection licensee; and

                     (d)  any of:

                              (i)  the conditions to which the greenhouse gas injection licence is, or has from time to time been, subject; or

                             (ii)  the provisions of this Chapter, Chapter 5, Chapter 6 and Part 8.1; or

                            (iii)  the provisions of the regulations;

                            have not been complied with; and

                     (e)  the Joint Authority is not satisfied that there are sufficient grounds to warrant the granting of a pipeline licence;

the Joint Authority must, by written notice given to the applicant, refuse to grant the pipeline licence.

Note:          Consultation procedures apply—see section 262.

Application by a person who is not a greenhouse gas injection licensee

             (5)  If:

                     (a)  the application is for a pipeline licence in relation to the construction, in an offshore area, of a greenhouse gas pipeline for:

                              (i)  the conveyance of a greenhouse gas substance within a greenhouse gas injection licence area in that offshore area; or

                             (ii)  the conveyance of a greenhouse gas substance from a place outside a greenhouse gas injection licence area to a place in the greenhouse gas injection licence area; and

                     (b)  the greenhouse gas substance is to be injected into an identified greenhouse gas storage formation that is wholly situated in the greenhouse gas injection licence area; and

                     (c)  the applicant is not the greenhouse gas injection licensee;

the Joint Authority may, by written notice given to the applicant, refuse to grant the pipeline licence.

225  Grant of pipeline licence

                   If:

                     (a)  an applicant has been given an offer document under section 221 or 222; and

                     (b)  the applicant has made a request under section 260 in relation to the offer document within the period applicable under that section;

the Joint Authority must grant the applicant the pipeline licence concerned.

Note:          If the applicant does not make a request under section 260 within the period applicable under that section, the application lapses at the end of that period—see subsection 260(4).


 

Division 3Varying a pipeline licence

226  Variation of pipeline licence on application by licensee

             (1)  A pipeline licensee may apply to the Designated Authority for the variation by the Joint Authority of the licence.

             (2)  An application under this section must:

                     (a)  be accompanied by details of the proposed variation; and

                     (b)  specify the reasons for the proposed variation.

Note 1:       Part 2.10 contains additional provisions about application procedures.

Note 2:       Section 256 requires the application to be accompanied by an application fee.

Note 3:       Section 258 enables the Designated Authority to require the applicant to give further information.

             (3)  When notice of an application under this section is published in the Gazette, the notice must specify a period within which a person may make a written submission to the Designated Authority about the application.

Note:          For publication in the Gazette of notice of the application, see section 708.

             (4)  After considering any submissions made to the Designated Authority under subsection (3), the Joint Authority may, by written notice given to the applicant:

                     (a)  vary the pipeline licence to such extent as the Joint Authority thinks necessary; or

                     (b)  refuse to vary the pipeline licence.

             (5)  A variation of a pipeline licence under this section takes effect on the day on which notice of the variation is published in the Gazette.

Note:          For publication in the Gazette of notice of the variation, see section 708.

227  Variation of pipeline licence at the request of a Minister or a statutory body

Pipeline licence

             (1)  The Joint Authority may, by written notice given to a pipeline licensee, direct the licensee to:

                     (a)  make such changes to the design, construction, route or position of the pipeline concerned as are specified in the direction; and

                     (b)  make those changes within the period specified in the direction;

and, if the Joint Authority gives such a direction, the Joint Authority must vary the pipeline licence in accordance with the direction.

             (2)  The period specified in the direction must be reasonable.

             (3)  A variation of a pipeline licence under this section takes effect on the day on which notice of the variation is published in the Gazette.

Note:          For publication in the Gazette of notice of the variation, see section 708.

Request by Minister or statutory body

             (4)  The Joint Authority may give a direction under subsection (1) only if:

                     (a)  the Joint Authority is requested to do so by:

                              (i)  a Minister of the Commonwealth or of a State or the Northern Territory; or

                             (ii)  a body established by a law of the Commonwealth or of a State or Territory; and

                     (b)  in the Joint Authority’s opinion, it is in the public interest to give the direction.

Offence

             (5)  A person commits an offence if:

                     (a)  the person is subject to a direction under subsection (1); and

                     (b)  the person omits to do an act; and

                     (c)  the omission breaches the direction.

Penalty:  Imprisonment for 5 years.

Recovery of cost of complying with direction

             (6)  If:

                     (a)  the Joint Authority gives a direction to a person under subsection (1) in relation to a pipeline in an offshore area; and

                     (b)  the person complies with the direction;

the person may bring an action in:

                     (c)  the Federal Court; or

                     (d)  the Supreme Court of, or having jurisdiction in, the State or Territory to which the offshore area relates;

against the Minister or body who made the request under subsection (4).

             (7)  The court must:

                     (a)  hear the action without a jury; and

                     (b)  determine whether it is just that the whole or a part of the reasonable cost of complying with the direction ought to be paid to the plaintiff by the defendant.

             (8)  If the court determines that it is just that such a payment ought to be made, the court must determine the amount of the payment and give judgment accordingly.

Principal Northern Territory offshore area and Eastern Greater Sunrise offshore area

             (9)  For the purposes of paragraph (6)(d):

                     (a)  the Principal Northern Territory offshore area; and

                     (b)  the Eastern Greater Sunrise offshore area;

are taken to relate to the Northern Territory.


 

Division 4Pipeline operation

228  Ceasing to operate pipeline without consent

             (1)  A person commits an offence if:

                     (a)  the person is a pipeline licensee in relation to a pipeline; and

                     (b)  the person ceases to operate the pipeline.

Penalty:  Imprisonment for 5 years.

             (2)  Subsection (1) does not apply if the failure of the licensee to operate the pipeline is:

                     (a)  with the written consent of the Joint Authority; and

                     (b)  in accordance with the conditions (if any) specified in the consent.

Note:          The defendant bears an evidential burden in relation to the matter in subsection (2)—see subsection 13.3(3) of the Criminal Code.

             (3)  Subsection (1) does not apply if the failure of the licensee to operate the pipeline was:

                     (a)  in the ordinary course of operating the pipeline; or

                     (b)  for the purpose of repairing or maintaining the pipeline; or

                     (c)  in an emergency in which there was a likelihood of loss or injury.

Note:          The defendant bears an evidential burden in relation to the matter in subsection (3)—see subsection 13.3(3) of the Criminal Code.


 

Part 2.7Petroleum special prospecting authorities

Division 1General provisions

229  Simplified outline

                   The following is a simplified outline of this Part:

•      This Part provides for the grant of petroleum special prospecting authorities over blocks in an offshore area.

•      A petroleum special prospecting authority may be granted over a block so long as none of the following is in force over the block:

               (a)     a petroleum exploration permit;

               (b)     a petroleum retention lease;

               (c)     a petroleum production licence;

               (d)     a greenhouse gas assessment permit;

               (e)     a greenhouse gas holding lease;

               (f)     a greenhouse gas injection licence.

•      A petroleum special prospecting authority authorises the holder to carry on petroleum exploration operations in the authority area (but not to make a well).

230  Rights conferred by petroleum special prospecting authority

             (1)  A petroleum special prospecting authority authorises the registered holder, in accordance with the conditions (if any) to which the authority is subject, to carry on, in the authority area, the petroleum exploration operations specified in the authority.

             (2)  A petroleum special prospecting authority does not authorise the registered holder to make a well.

             (3)  The rights conferred on the registered holder by subsection (1) are subject to this Act and the regulations.

231  Conditions of petroleum special prospecting authorities

             (1)  The Designated Authority may grant a petroleum special prospecting authority subject to whatever conditions the Designated Authority thinks appropriate.

Note:          See also section 571, which deals with insurance.

             (2)  The conditions (if any) must be specified in the petroleum special prospecting authority.

232  Duration of petroleum special prospecting authority

             (1)  A petroleum special prospecting authority comes into force on the day specified in the authority as the day on which the authority is to come into force.

             (2)  A petroleum special prospecting authority remains in force for the period specified in the authority.

             (3)  The period specified under subsection (2) must not be longer than 180 days.

             (4)  Subsection (2) has effect subject to this Chapter.

Note 1:       For the surrender of a petroleum special prospecting authority, see Part 2.12.

Note 2:       For the cancellation of a petroleum special prospecting authority, see Part 2.13.

233  Petroleum special prospecting authority cannot be transferred

                   A petroleum special prospecting authority cannot be transferred.


 

Division 2Obtaining a petroleum special prospecting authority

234  Application for petroleum special prospecting authority

             (1)  A person may apply to the Designated Authority for the grant of a petroleum special prospecting authority over a block or blocks, so long as none of the following is in force over that block or any of those blocks:

                     (a)  a petroleum exploration permit;

                     (b)  a petroleum retention lease;

                     (c)  a petroleum production licence;

                     (d)  a greenhouse gas assessment permit;

                     (e)  a greenhouse gas holding lease;

                      (f)  a greenhouse gas injection licence.

             (2)  An application under this section must specify:

                     (a)  the petroleum exploration operations that the applicant proposes to carry on; and

                     (b)  the block or blocks within which the applicant proposes to carry on those operations.

Note 1:       Part 2.10 contains additional provisions about application procedures.

Note 2:       Section 256 requires the application to be accompanied by an application fee.

235  Grant or refusal of petroleum special prospecting authority

                   If an application for a petroleum special prospecting authority has been made under section 234, the Designated Authority may:

                     (a)  grant the applicant a petroleum special prospecting authority; or

                     (b)  by written notice given to the applicant, refuse to grant a petroleum special prospecting authority to the applicant.

236  Holders to be informed of the grant of another petroleum special prospecting authority

Scope

             (1)  This section applies if:

                     (a)  a person (the first person) is the registered holder of a petroleum special prospecting authority over a block; and

                     (b)  another petroleum special prospecting authority is granted to another person (the second person) over the block.

Holders to be informed

             (2)  The Designated Authority must, by written notice given to the first person, inform the first person of:

                     (a)  the petroleum exploration operations authorised by the petroleum special prospecting authority granted to the second person; and

                     (b)  the conditions of the petroleum special prospecting authority granted to the second person.

             (3)  The Designated Authority must, by written notice given to the second person, inform the second person of:

                     (a)  the petroleum exploration operations authorised by the petroleum special prospecting authority granted to the first person; and

                     (b)  the conditions of the petroleum special prospecting authority granted to the first person.

237  Holders to be informed of the grant of greenhouse gas search authority

Scope

             (1)  This section applies if:

                     (a)  a person (the first person) is the registered holder of a petroleum special prospecting authority over a block; and

                     (b)  a greenhouse gas search authority is granted to another person (the second person) over the block.

Holders to be informed

             (2)  The responsible Commonwealth Minister must, by written notice given to the first person, inform the first person of:

                     (a)  the operations authorised by the greenhouse gas search authority granted to the second person; and

                     (b)  the conditions of the greenhouse gas search authority granted to the second person.

             (3)  The Designated Authority must, by written notice given to the second person, inform the second person of:

                     (a)  the petroleum exploration operations authorised by the petroleum special prospecting authority granted to the first person; and

                     (b)  the conditions of the petroleum special prospecting authority granted to the first person.


 

Part 2.8Petroleum access authorities

Division 1General provisions

238  Simplified outline

                   The following is a simplified outline of this Part.

•      This Part provides for the grant of petroleum access authorities over blocks in an offshore area.

•      A petroleum access authority authorises the holder to carry on certain petroleum exploration operations, and certain operations relating to the recovery of petroleum, in the authority area (but not to make a well).

239  Rights conferred by petroleum access authority

             (1)  A petroleum access authority authorises the registered holder, in accordance with the conditions (if any) to which the authority is subject, to carry on, in the authority area, the operations specified in the authority.

             (2)  A petroleum access authority does not authorise the registered holder to make a well.

             (3)  The rights conferred on the registered holder by subsection (1) are subject to this Act and the regulations.

240  Conditions of petroleum access authorities

             (1)  The Designated Authority may grant a petroleum access authority subject to whatever conditions the Designated Authority thinks appropriate.

Note:          See also section 571, which deals with insurance.

             (2)  The conditions (if any) must be specified in the petroleum access authority.

241  Duration of petroleum access authority

             (1)  A petroleum access authority comes into force on the day specified in the authority as the day on which the authority is to come into force.

             (2)  A petroleum access authority remains in force for the period specified in the authority, but may be extended by the Designated Authority for a further specified period.

             (3)  Subsection (2) has effect subject to this Chapter.

Note 1:       For the surrender of a petroleum access authority, see Part 2.12.

Note 2:       For the revocation of a petroleum access authority, see section 250.


 

Division 2Obtaining a petroleum access authority

242  Application for petroleum access authority

             (1)  The table has effect:

 

Application for petroleum access authority

 

Column 1

Column 2

Column 3

Item

This person...

may apply to...

for the grant of a petroleum access authority to enable the person to...

1

the registered holder of a petroleum exploration permit, petroleum retention lease or petroleum production licence relating to a particular offshore area

the Designated Authority for that offshore area

carry on, in an area that is:

(a) part of that offshore area but outside the permit area, lease area or licence area; or

(b) part of an adjoining offshore area;

either or both of the following:

(c) petroleum exploration operations;

(d) operations related to the recovery of petroleum in or from the permit area, lease area or licence area.

2

the holder of a State title or Northern Territory title who wants to gain access to a particular offshore area

the Designated Authority for that offshore area

carry on, in a part of that offshore area, either or both of the following:

(a) petroleum exploration operations;

(b) operations related to the recovery of petroleum in or from the area to which that State title or Northern Territory title relates.

3

the registered holder of a petroleum special prospecting authority relating to a particular offshore area

the Designated Authority for that offshore area

carry on petroleum exploration operations in an area that is:

(a) part of that offshore area but outside the authority area of the petroleum special prospecting authority; or

(b) part of an adjoining offshore area.

             (2)  An application under this section must specify:

                     (a)  the operations that the applicant proposes to carry on; and

                     (b)  the area in which the applicant proposes to carry on those operations.

Note:          Part 2.10 contains additional provisions about application procedures.

243  Grant or refusal of petroleum access authority

             (1)  If:

                     (a)  an application for a petroleum access authority has been made under section 242; and

                     (b)  the Designated Authority is satisfied that it is necessary or desirable to grant the petroleum access authority for:

                              (i)  the more effective exercise of the applicant’s rights; or

                             (ii)  the proper performance of the applicant’s duties;

                            in the applicant’s capacity as:

                            (iii)  the registered holder of a petroleum exploration permit, petroleum retention lease or petroleum production licence; or

                            (iv)  the holder of a State title or Northern Territory title; or

                             (v)  the registered holder of a petroleum special prospecting authority;

the Designated Authority may:

                     (c)  grant the applicant a petroleum access authority; or

                     (d)  by written notice given to the applicant, refuse to grant a petroleum access authority to the applicant.

Note:          Consultation procedures apply—see section 244.

Adjoining offshore area—approval of other Designated Authority

             (2)  Despite subsection (1), if the application was made in relation to an area that is part of an adjoining offshore area, the Designated Authority may grant the applicant a petroleum access authority only with the approval of the Designated Authority for that adjoining offshore area.

Note:          Consultation procedures apply—see section 245.

244  Consultation—grant of petroleum access authority in same offshore area

Scope

             (1)  This section applies if:

                     (a)  an application for a petroleum access authority has been made under section 242 in relation to an area (the application area) that is not part of an adjoining offshore area; and

                     (b)  the application area is, to any extent, the subject of a petroleum exploration permit, petroleum retention lease, petroleum production licence or petroleum special prospecting authority; and

                     (c)  the applicant is not the registered holder of the petroleum exploration permit, petroleum retention lease, petroleum production licence or petroleum special prospecting authority; and

                     (d)  the registered holder of the petroleum exploration permit, petroleum retention lease, petroleum production licence or petroleum special prospecting authority has not given written consent to the grant of the petroleum access authority.

Consultation

             (2)  Before granting the petroleum access authority, the Designated Authority must:

                     (a)  by written notice given to the registered holder of the petroleum exploration permit, petroleum retention lease, petroleum production licence or petroleum special prospecting authority, give at least 30 days notice of the Designated Authority’s intention to grant the petroleum access authority; and

                     (b)  give a copy of the notice to such other persons (if any) as the Designated Authority thinks fit.

             (3)  The notice must:

                     (a)  set out details of the petroleum access authority that is proposed to be granted; and

                     (b)  invite a person to whom the notice, or a copy of the notice, has been given to make a written submission to the Designated Authority about the proposal; and

                     (c)  specify a time limit for making that submission.

             (4)  In deciding:

                     (a)  whether to grant the petroleum access authority; and

                     (b)  the conditions (if any) to which the petroleum access authority should be subject;

the Designated Authority must take into account any submissions made in accordance with the notice.

245  Consultation—approval of grant of petroleum access authority in adjoining offshore area

Scope

             (1)  This section applies if:

                     (a)  an application for a petroleum access authority has been made under section 242 in relation to an area (the application area) that is part of an adjoining offshore area; and

                     (b)  the application area is, to any extent, the subject of a petroleum exploration permit, petroleum retention lease, petroleum production licence or petroleum special prospecting authority; and

                     (c)  the applicant is not the registered holder of the petroleum exploration permit, petroleum retention lease, petroleum production licence or petroleum special prospecting authority.

Consultation

             (2)  Before approving the grant of the petroleum access authority, the Designated Authority for the adjoining offshore area must:

                     (a)  by written notice given to the registered holder of the petroleum exploration permit, petroleum retention lease, petroleum production licence or petroleum special prospecting authority, give at least 30 days notice of the Designated Authority’s intention to approve the grant of the petroleum access authority; and

                     (b)  give a copy of the notice to such other persons (if any) as the Designated Authority thinks fit.

             (3)  The notice must:

                     (a)  set out details of the petroleum access authority that is proposed to be granted; and

                     (b)  invite a person to whom the notice, or a copy of the notice, has been given to make a written submission to the Designated Authority about the proposal; and

                     (c)  specify a time limit for making that submission.

             (4)  In deciding whether to approve the grant of the petroleum access authority, the Designated Authority must take into account any submissions made in accordance with the notice.


 

Division 3Variation of petroleum access authorities

246  Variation of petroleum access authority

             (1)  The Designated Authority may, by written notice given to the registered holder of a petroleum access authority, vary the petroleum access authority.

Adjoining offshore area—approval of other Designated Authority

             (2)  Despite subsection (1), if a petroleum access authority was granted as a result of an application under section 242 in relation to an area that is part of an adjoining offshore area, the Designated Authority may vary the petroleum access authority only with the approval of the Designated Authority for the adjoining offshore area.

247  Consultation—variation of petroleum access authority in same offshore area

Scope

             (1)  This section applies if:

                     (a)  a petroleum access authority was granted as a result of an application under section 242 in relation to an area that is not part of an adjoining offshore area; and

                     (b)  the Designated Authority proposes to vary the petroleum access authority; and

                     (c)  the authority area is, to any extent, the subject of a petroleum exploration permit, petroleum retention lease, petroleum production licence or petroleum special prospecting authority; and

                     (d)  the applicant is not the registered holder of the petroleum exploration permit, petroleum retention lease, petroleum production licence or petroleum special prospecting authority; and

                     (e)  the registered holder of the petroleum exploration permit, petroleum retention lease, petroleum production licence or petroleum special prospecting authority has not given written consent to the variation of the petroleum access authority.

Consultation

             (2)  Before varying the petroleum access authority, the Designated Authority must:

                     (a)  by written notice given to the registered holder of the petroleum exploration permit, petroleum retention lease, petroleum production licence or petroleum special prospecting authority, give at least 30 days notice of the Designated Authority’s intention to vary the petroleum access authority; and

                     (b)  give a copy of the notice to:

                              (i)  the registered holder of the petroleum access authority; and

                             (ii)  such other persons (if any) as the Designated Authority thinks fit.

             (3)  The notice must:

                     (a)  set out details of the variation that is proposed to be made; and

                     (b)  invite a person to whom the notice, or a copy of the notice, has been given to make a written submission to the Designated Authority about the proposal; and

                     (c)  specify a time limit for making that submission.

             (4)  In deciding whether to vary the petroleum access authority, the Designated Authority must take into account any submissions made in accordance with the notice.

248  Consultation—approval of variation of petroleum access authority in adjoining offshore area

Scope

             (1)  This section applies if:

                     (a)  a petroleum access authority was granted as a result of an application under section 242 in relation to an area that is part of an adjoining offshore area; and

                     (b)  the Designated Authority proposes to vary the petroleum access authority; and

                     (c)  the authority area is, to any extent, the subject of a petroleum exploration permit, petroleum retention lease, petroleum production licence or petroleum special prospecting authority; and

                     (d)  the registered holder of the petroleum access authority is not the registered holder of the petroleum exploration permit, petroleum retention lease, petroleum production licence or petroleum special prospecting authority.

Consultation

             (2)  Before approving the variation of the petroleum access authority, the Designated Authority for the adjoining offshore area must:

                     (a)  by written notice given to the registered holder of the petroleum exploration permit, petroleum retention lease, petroleum production licence or petroleum special prospecting authority, give at least 30 days notice of the Designated Authority’s intention to approve the variation of the petroleum access authority; and

                     (b)  give a copy of the notice to:

                              (i)  the registered holder of the petroleum access authority; and

                             (ii)  such other persons (if any) as the Designated Authority thinks fit.

             (3)  The notice must:

                     (a)  set out details of the variation that is proposed to be made; and

                     (b)  invite a person to whom the notice, or a copy of the notice, has been given to make a written submission to the Designated Authority about the proposal; and

                     (c)  specify a time limit for making that submission.

             (4)  In deciding whether to approve the variation of the petroleum access authority, the Designated Authority must take into account any submissions made in accordance with the notice.


 

Division 4Reporting obligations of holders of petroleum access authorities

249  Reporting obligations of holders of petroleum access authorities

             (1)  If:

                     (a)  at any time during a particular month, a petroleum access authority is in force in relation to an area that consists of, or includes, a block that is the subject of a petroleum exploration permit, petroleum retention lease or petroleum production licence; and

                     (b)  the registered holder of the petroleum access authority is not the registered holder of the permit, lease or licence;

the registered holder of the petroleum access authority must, within 30 days after the end of that month, give the registered holder of the permit, lease or licence:

                     (c)  a written report about the operations carried on in that block during that month; and

                     (d)  a written summary of the facts ascertained from those operations.

             (2)  A person commits an offence if:

                     (a)  the person is subject to a requirement under subsection (1); and

                     (b)  the person omits to do an act; and

                     (c)  the omission breaches the requirement.

Penalty for contravention of this subsection: 50 penalty units.


 

Division 5Revocation of petroleum access authorities

250  Revocation of petroleum access authority

             (1)  The Designated Authority may, by written notice given to the registered holder of a petroleum access authority, revoke the petroleum access authority.

             (2)  If:

                     (a)  the Designated Authority revokes a petroleum access authority; and

                     (b)  the petroleum access authority authorised operations in:

                              (i)  a petroleum exploration permit area; or

                             (ii)  a petroleum retention lease area; or

                            (iii)  a petroleum production licence area;

the Designated Authority must give written notice of the revocation to the permittee, lessee or licensee.


 

Part 2.9Petroleum scientific investigation consents

  

251  Simplified outline

                   The following is a simplified outline of this Part:

•      This Part provides for the grant of petroleum scientific investigation consents.

•      A petroleum scientific investigation consent authorises the holder to carry on petroleum exploration operations in the course of a scientific investigation.

252  Rights conferred by petroleum scientific investigation consent

             (1)  A petroleum scientific investigation consent authorises the holder, in accordance with the conditions (if any) to which the consent is subject, to carry on, in the offshore area specified in the consent, the petroleum exploration operations specified in the consent in the course of the scientific investigation specified in the consent.

             (2)  The rights conferred on the holder by subsection (1) are subject to section 280.

Note:          Section 280 deals with interference with other rights.

253  Conditions of petroleum scientific investigation consents

             (1)  The Designated Authority may grant a petroleum scientific investigation consent subject to whatever conditions the Designated Authority thinks appropriate.

             (2)  The conditions (if any) must be specified in the consent.

254  Grant of petroleum scientific investigation consent

             (1)  The Designated Authority may grant a written petroleum scientific investigation consent authorising a person to carry on, in the offshore area, petroleum exploration operations in the course of a scientific investigation.

             (2)  The person is the holder of the consent.


 

Part 2.10Standard procedures

  

255  Application to be made in an approved manner

Scope

             (1)  This section applies to an application for:

                     (a)  the grant or renewal of a petroleum exploration permit; or

                     (b)  the grant or renewal of a petroleum retention lease; or

                     (c)  the grant, variation or renewal of a petroleum production licence; or

                     (d)  the grant or variation of an infrastructure licence; or

                     (e)  the grant or variation of a pipeline licence; or

                      (f)  the grant of a petroleum special prospecting authority; or

                     (g)  the grant of a petroleum access authority.

Manner

             (2)  The application must be made in an approved manner.

Note:          See also subsection 33(3A) of the Acts Interpretation Act 1901.

256  Application fee

Scope

             (1)  This section applies to an application for:

                     (a)  the grant or renewal of a petroleum exploration permit; or

                     (b)  the grant or renewal of a petroleum retention lease; or

                     (c)  the grant or renewal of a petroleum production licence; or

                     (d)  the grant or variation of an infrastructure licence; or

                     (e)  the grant or variation of a pipeline licence; or

                      (f)  the grant of a petroleum special prospecting authority.

Application fee

             (2)  The application must be accompanied by the fee (if any) prescribed by the regulations.

             (3)  Different fees may be prescribed for different applications.

             (4)  A fee must not be such as to amount to taxation.

             (5)  To avoid doubt, a fee is in addition to:

                     (a)  the amount that a person specifies in an application as the amount that the person is prepared to pay for:

                              (i)  a cash‑bid petroleum exploration permit; or

                             (ii)  a special petroleum exploration permit; or

                            (iii)  a section 181 petroleum production licence; and

                     (b)  the amount specified in an offer document as the amount that a person must pay for a cash‑bid petroleum exploration permit; and

                     (c)  the balance specified in an offer document as the balance that a person must pay for:

                              (i)  a special petroleum exploration permit; or

                             (ii)  a section 181 petroleum production licence.

257  Application may set out additional matters

Scope

             (1)  This section applies to the following:

                     (a)  an application for the grant of a petroleum exploration permit (otherwise than by way of renewal);

                     (b)  an application for the grant of a petroleum retention lease (otherwise than by way of renewal);

                     (c)  an application under:

                              (i)  section 168, 170 or 178; or

                             (ii)  clause 2 or 4 of Schedule 4;

                            for the grant of a petroleum production licence;

                     (d)  an application for the variation of a petroleum production licence;

                     (e)  an application for the grant of an infrastructure licence;

                      (f)  an application for the grant of a pipeline licence;

                     (g)  an application for the grant of a petroleum access authority.

Additional matters

             (2)  The application may set out any additional matters that the applicant wishes to be considered.

258  Designated Authority may require further information

Scope

             (1)  This section applies to an application for:

                     (a)  the grant of a petroleum exploration permit (otherwise than by way of renewal); or

                     (b)  the grant or renewal of a petroleum retention lease; or

                     (c)  the grant of a petroleum production licence (otherwise than by way of renewal and otherwise than by way of grant under section 183); or

                     (d)  the variation of a petroleum production licence; or

                     (e)  the grant or variation of an infrastructure licence; or

                      (f)  the grant or variation of a pipeline licence.

Requirement to give further information

             (2)  The Designated Authority may, by written notice given to the applicant, require the applicant to give the Designated Authority, within the period specified in the notice, further information in connection with the application.

Consequences of breach of requirement

             (3)  If the applicant breaches the requirement, the Joint Authority may, by written notice given to the applicant:

                     (a)  refuse to consider the application; or

                     (b)  refuse to take any action, or any further action, in relation to the application.

             (4)  Subsection (3) has effect despite any provision of this Act that requires the Joint Authority to:

                     (a)  consider the application; or

                     (b)  take any particular action in relation to the application.

             (5)  A reference in this section to taking action in relation to the application includes a reference to giving an offer document in relation to the application.

Application by permittee or lessee for petroleum production licence—notice specifying date on which information was provided

             (6)  If an application for the grant of a petroleum production licence has been made under:

                     (a)  section 168 or 170; or

                     (b)  clause 2 or 4 of Schedule 4;

then:

                     (c)  if the Designated Authority does not require the applicant to give further information under subsection (2)—the Designated Authority must, within 30 days after the application was made, determine whether or not sufficient information has been received to determine the application; or

                     (d)  if the Designated Authority requires the applicant to give further information under subsection (2)—the Designated Authority must, within 30 days after receiving the information, determine whether or not sufficient information has been received to determine the application.

             (7)  If, under subsection (6), the Designated Authority determines that sufficient information has been provided, the Designated Authority must issue the applicant with a notice to that effect specifying the last date on which information was provided.

Note:          The date specified in the notice is referred to in paragraph 34A(1)(a) of, and clause 1 of the Schedule to, the Petroleum Resource Rent Tax Assessment Act 1987.

             (8)  The issuing of a notice under subsection (7) does not prevent the Designated Authority from later requiring further information under subsection (2). However, the later requirement does not affect the notice under subsection (7).

             (9)  If an application covered by subsection (6):

                     (a)  lapses; or

                     (b)  is withdrawn; or

                     (c)  is refused;

any notice issued under subsection (7) in relation to that application is taken never to have been issued.

259  Offer documents

Scope

             (1)  This section applies to an offer document that relates to an application for:

                     (a)  the grant or renewal of a petroleum exploration permit; or

                     (b)  the grant or renewal of a petroleum retention lease; or

                     (c)  the grant or renewal of a petroleum production licence; or

                     (d)  the grant of an infrastructure licence; or

                     (e)  the grant of a pipeline licence.

General requirements

             (2)  The offer document must contain:

                     (a)  a summary of the conditions to which the permit, lease or licence will be subject; and

                     (b)  a statement to the effect that the application will lapse if the applicant does not make a request under section 260.

Payment for cash‑bid petroleum exploration permit

             (3)  If the offer document relates to an application for the grant of a cash‑bid petroleum exploration permit, the offer document must:

                     (a)  specify the amount that the applicant must pay for the permit; and

                     (b)  contain a statement to the effect that the application will lapse if the applicant does not pay the amount to the Commonwealth within the period allowed for making a request under section 260.

Payment for special petroleum exploration permit

             (4)  If the offer document relates to an application for the grant of a special petroleum exploration permit, the offer document must:

                     (a)  specify the balance of the amount that the applicant must pay for the permit; and

                     (b)  contain a statement to the effect that the application will lapse if the applicant does not pay the balance to the Commonwealth within the period allowed for making a request under section 260.

Payment for cash‑bid petroleum production licence over surrendered blocks etc.

             (5)  If the offer document is given under section 180 to an applicant for a petroleum production licence, the offer document must:

                     (a)  specify the balance of the amount that the applicant must pay for the licence; and

                     (b)  contain a statement to the effect that the application will lapse if the applicant does not pay the balance to the Commonwealth within the period allowed for making a request under section 260.

260  Acceptance of offer—request by applicant

             (1)  The table has effect:

 

Acceptance of offer by applicant

Item

Column 1

Column 2

Column 3

 

If an offer document relates to an application for the grant of...

the applicant may, within...

by written notice given to the Designated Authority, request the Joint Authority to grant the applicant...

1

a work‑bid petroleum exploration permit

whichever of the following periods is applicable:

(a) 30 days after the offer document was given to the applicant;

(b) such longer period, not more than 60 days after the offer document was given to the applicant, as the Designated Authority allows;

the permit.

2

a cash‑bid petroleum exploration permit

30 days after the offer document was given to the applicant,

the permit.

3

a special petroleum exploration permit

whichever of the following periods is applicable:

(a) 90 days after the offer document was given to the applicant;

(b) such longer period, not more than 180 days after the offer document was given to the applicant, as the Designated Authority allows;

the permit.

4

the renewal of a petroleum exploration permit

30 days after the offer document was given to the applicant,

the renewal of the permit.

5

a petroleum retention lease

whichever of the following periods is applicable:

(a) 30 days after the offer document was given to the applicant;

(b) such longer period, not more than 60 days after the offer document was given to the applicant, as the Designated Authority allows;

the lease.

6

the renewal of a petroleum retention lease

30 days after the offer document was given to the applicant,

the renewal of the lease.

7

a petroleum production licence

whichever of the following periods is applicable:

(a) 90 days after the offer document was given to the applicant;

(b) such longer period, not more than 180 days after the offer document was given to the applicant, as the Designated Authority allows;

the licence.

8

the renewal of a petroleum production licence

30 days after the offer document was given to the applicant,

the renewal of the licence.

9

an infrastructure licence

whichever of the following periods is applicable:

(a) 90 days after the offer document was given to the applicant;

(b) such longer period, not more than 180 days after the offer document was given to the applicant, as the Designated Authority allows;

the licence.

10

a pipeline licence

whichever of the following periods is applicable:

(a) 90 days after the offer document was given to the applicant;

(b) such longer period, not more than 180 days after the offer document was given to the applicant, as the Designated Authority allows;

the licence.

Longer periods

             (2)  The Designated Authority may allow a longer period under paragraph (b) of column 2 of item 1 or 5 of the table only on written application made by the applicant within the period of 30 days mentioned in paragraph (a) of that column.

             (3)  The Designated Authority may allow a longer period under paragraph (b) of column 2 of item 3, 7, 9 or 10 of the table only on written application made by the applicant within the period of 90 days mentioned in paragraph (a) of that column.

Application lapses if request not made within the applicable period

             (4)  If an applicant does not make a request under an item of the table within the period applicable under column 2 of the table, the application lapses at the end of that period.

261  Acceptance of offer—payment

Amount

             (1)  If:

                     (a)  an offer document specifies an amount that the applicant must pay to the Commonwealth for the grant of a cash‑bid petroleum exploration permit; and

                     (b)  the applicant has not paid that amount within the period applicable under column 2 of the table in subsection 260(1);

the application lapses at the end of that period.

Balance

             (2)  If:

                     (a)  an offer document specifies the balance of the amount that the applicant must pay to the Commonwealth for the grant of:

                              (i)  a special petroleum exploration permit; or

                             (ii)  a section 181 petroleum production licence; and

                     (b)  the applicant has not paid that balance within the period applicable under column 2 of the table in subsection 260(1);

the application lapses at the end of that period.

262  Consultation—adverse decisions

Scope

             (1)  This section applies to a decision set out in the table, and the affected person in relation to that decision is set out in the table.

 

Decisions and affected persons

Item

Column 1

Column 2

Column 3

 

Provision under which decision is made

Decision of the Joint Authority

Affected person

1

section 126

refusal to renew a petroleum exploration permit

the permittee

2

section 149

refusal to grant a petroleum retention lease to a petroleum production licensee

the licensee

3

section 155

refusal to renew a petroleum retention lease

the lessee

4

section 186

refusal to renew a petroleum production licence

the licensee

5

section 223

refusal to grant a pipeline licence to a petroleum production licensee

the licensee

6

section 224

refusal to grant a pipeline licence to a petroleum production licensee

the licensee.

7

section 224

refusal to grant a pipeline licence to a greenhouse gas injection licensee

the licensee.

Consultation

             (2)  Before making the decision, the Joint Authority must:

                     (a)  by written notice given to the affected person, give at least 30 days notice of the Joint Authority’s intention to make the decision; and

                     (b)  give a copy of the notice to such other persons (if any) as the Joint Authority thinks fit.

             (3)  The notice must:

                     (a)  set out details of the decision that is proposed to be made; and

                     (b)  set out the reasons for the proposal; and

                     (c)  invite a person to whom the notice, or a copy of the notice, has been given to make a written submission to the Joint Authority about the proposal; and

                     (d)  specify a time limit for making that submission.

Note:          All communications to the Joint Authority are to be made through the Designated Authority—see section 63.

             (4)  In deciding whether to make the decision, the Joint Authority must take into account any submissions made in accordance with the notice.

263  Responsible Commonwealth Minister may require information about negotiations for a designated agreement

Scope

             (1)  This section applies to the following applications:

                     (a)  an application under subsection 100(1) for approval to carry on one or more key petroleum operations under a declared petroleum exploration permit;

                     (b)  an application under section 137 for approval to carry on one or more key petroleum operations under a declared petroleum retention lease;

                     (c)  an application under subsection 163(1) for approval to carry on one or more key petroleum operations under a declared petroleum production licence;

where either or both of the following are relevant to the responsible Commonwealth Minister’s decision on the application:

                     (d)  the existence or non‑existence of a designated agreement;

                     (e)  the terms of a designated agreement.

Report about negotiations

             (2)  The responsible Commonwealth Minister may, by written notice given to the applicant, require the applicant to give to the responsible Commonwealth Minister, within the period specified in the notice, a written report about negotiations, or attempts at negotiations, relating to:

                     (a)  the entering into of the designated agreement; and

                     (b)  the terms of the designated agreement.

Consequences of breach of requirement

             (3)  If the applicant breaches the requirement, the responsible Commonwealth Minister may, by written notice given to the applicant:

                     (a)  refuse to consider the application; or

                     (b)  refuse to take any action, or any further action, in relation to the application.

             (4)  Subsection (3) has effect despite any provision of this Act that requires the responsible Commonwealth Minister to:

                     (a)  consider the application; or

                     (b)  take any particular action in relation to the application.


 

Part 2.11Variation, suspension and exemption

Division 1Variation, suspension and exemption decisions relating to petroleum exploration permits, petroleum retention leases, petroleum production licences, infrastructure licences and pipeline licences

264  Variation, suspension and exemption—conditions of titles

When the conditions of a title may be the subject of a variation, suspension or exemption

             (1)  This section applies if an event specified in the table happens, or a circumstance specified in the table exists:

 

When the conditions of a title may be the subject of a variation, suspension or exemption

Item

Title

Event or circumstance

1

a petroleum exploration permit, petroleum retention lease, petroleum production licence, infrastructure licence or pipeline licence

the permittee, lessee or licensee applies in writing to the Designated Authority for:

(a) a variation or suspension of any of the conditions to which the permit, lease or licence is subject; or

(b) exemption from compliance with any of the conditions to which the permit, lease or licence is subject.

2

a petroleum exploration permit, petroleum retention lease, petroleum production licence, infrastructure licence or pipeline licence

the Designated Authority or the Joint Authority gives a direction or consent to the permittee, lessee or licensee under:

(a) this Chapter; or

(b) Chapter 6; or

(c) Part 7.1; or

(d) the regulations.

3

a petroleum exploration permit or petroleum production licence

the permit or licence is:

(a) partly cancelled; or

(b) partly revoked; or

(c) partly surrendered.

4

a petroleum retention lease

the lease is partly revoked.

5

a petroleum exploration permit, petroleum retention lease or petroleum production licence

the permittee, lessee or licensee consents to the making of a determination under section 282.

6

a petroleum exploration permit, petroleum retention lease or petroleum production licence

the permit, lease or licence is taken to continue in force until the Joint Authority grants, or refuses to grant, the renewal of the permit, lease or licence (see subsections 119(5), 153(5) and 184(6)).

7

a petroleum production licence

the licence is varied under clause 7 of Schedule 4.

8

a petroleum production licence

the licensee enters into an agreement under section 191, or a direction is given to the licensee under that section.

10

a pipeline licence

the licence is partly cancelled.

11

a pipeline licence

the licence is varied under section 226 or 227.

Variation, suspension or exemption

             (2)  The Joint Authority may, by written notice given to the permittee, lessee or licensee:

                     (a)  vary; or

                     (b)  suspend; or

                     (c)  exempt the permittee, lessee or licensee from compliance with;

any of the conditions to which the permit, lease, or licence is subject, on such conditions (if any) as are specified in the notice.

             (3)  Subsection (2) does not authorise the giving of a notice to the extent that it would affect:

                     (a)  a condition of a petroleum exploration permit, petroleum retention lease or petroleum production licence requiring compliance with the Royalty Act; or

                     (b)  the term of a petroleum exploration permit, petroleum retention lease, petroleum production licence, infrastructure licence or pipeline licence.

Note:          See also section 265 (extension of term).

When variation takes effect

             (4)  A variation of a petroleum production licence, infrastructure licence or pipeline licence under this section takes effect on the day on which notice of the variation is published in the Gazette.

             (5)  A variation of a petroleum exploration permit or petroleum retention lease under this section takes effect on the day on which notice of the variation is given to the permittee or lessee.

265  Extension of term of petroleum exploration permit or petroleum retention lease—suspension or exemption

Scope

             (1)  This section applies if, under section 264, the Joint Authority:

                     (a)  suspends any of the conditions to which a petroleum exploration permit or petroleum retention lease is subject; or

                     (b)  exempts a petroleum exploration permittee or petroleum retention lessee from compliance with any of the conditions to which the permit or lease is subject.

Extension of term

             (2)  Despite subsection 264(3), if the Joint Authority considers that the circumstances make it reasonable to do so, the Joint Authority may extend the term of the permit or lease by a period not more than the period of the suspension or exemption.

             (3)  The extension may be:

                     (a)  in the notice of suspension or exemption; or

                     (b)  by a later written notice given to the permittee or lessee.

266  Suspension of rights—petroleum exploration permit or petroleum retention lease

Suspension of rights

             (1)  If the Joint Authority is satisfied that it is necessary to do so in the national interest, the Joint Authority must, by written notice given to a petroleum exploration permittee or petroleum retention lessee, suspend, either:

                     (a)  for a specified period; or

                     (b)  indefinitely;

any or all of the rights conferred by the permit or lease.

Note:          See also section 780 (compensation for acquisition of property).

             (2)  If any rights are suspended under subsection (1), any conditions that must be complied with in the exercise of those rights are also suspended.

Termination of suspension

             (3)  The Joint Authority may, by written notice given to the permittee or lessee, terminate a suspension of rights under subsection (1).

267  Extension of term of petroleum exploration permit or petroleum retention lease—suspension of rights

Scope

             (1)  This section applies if rights conferred by a petroleum exploration permit or petroleum retention lease are suspended under section 266.

Extension of term

             (2)  The Joint Authority may extend the term of the permit or lease by a period not more than the period of the suspension.

             (3)  The extension may be:

                     (a)  in the notice of suspension; or

                     (b)  by a later written notice given to the permittee or lessee.


 

Division 2Variation, suspension and exemption decisions relating to petroleum special prospecting authorities and petroleum access authorities

268  Variation, suspension and exemption—conditions of petroleum special prospecting authorities and petroleum access authorities

When the conditions of a title may be the subject of a variation, suspension or exemption

             (1)  This section applies if an event specified in the table happens, or a circumstance specified in the table exists:

 

When the conditions of a title may be the subject of a variation, suspension or exemption

Item

Title

Event or circumstance

1

a petroleum access authority

a petroleum access authority is in force over the whole or a part of a block that is the subject of a petroleum exploration permit, petroleum retention lease or petroleum production licence.

2

a petroleum access authority

the Designated Authority varies a petroleum access authority over a block that is the subject of a petroleum exploration permit, petroleum retention lease or petroleum production licence.

3

a petroleum special prospecting authority or petroleum access authority

the registered holder of the authority applies in writing to the Designated Authority for:

(a) a variation or suspension of any of the conditions to which the authority is subject; or

(b) exemption from compliance with any of the conditions to which the authority is subject.

4

a petroleum special prospecting authority or petroleum access authority

the Designated Authority gives a direction or consent to the registered holder of the authority under:

(a) this Chapter; or

(b) Chapter 6; or

(c) Part 7.1; or

(d) the regulations.

Variation, suspension or exemption

             (2)  The Designated Authority may, by written notice given to the registered holder of the authority:

                     (a)  vary; or

                     (b)  suspend; or

                     (c)  exempt the registered holder from compliance with;

any of the conditions to which the authority is subject, on such conditions (if any) as are specified in the notice.


 

Part 2.12Surrender of titles

Division 1Surrender of petroleum exploration permits, petroleum production licences, petroleum retention leases, infrastructure licences and pipeline licences

269  Application for consent to surrender title

             (1)  The table has effect:

 

Surrender

Item

The registered holder of...

may apply to the Designated Authority for consent to surrender...

1

a petroleum exploration permit

the permit as to some or all of the blocks in relation to which the permit is in force.

2

a petroleum production licence

the licence as to some or all of the blocks in relation to which the licence is in force.

3

a petroleum retention lease

the lease.

4

an infrastructure licence

the licence.

5

a pipeline licence

the licence as to the whole or a part of the pipeline in relation to which the licence is in force.

             (2)  An application under subsection (1) must be in writing.

270  Consent to surrender title

Scope

             (1)  This section applies if an application is made under section 269 for a consent.

Decision

             (2)  The Designated Authority may, by written notice given to the applicant:

                     (a)  give consent; or

                     (b)  refuse to consent.

Criteria

             (3)  The Designated Authority may consent to the surrender sought by the application only if the registered holder of the permit, lease or licence:

                     (a)  has paid all fees and amounts payable by the holder under the following Acts:

                              (i)  this Act;

                             (ii)  the Royalty Act;

                            (iii)  the Annual Fees Act;

                            or has made arrangements that are satisfactory to the Designated Authority for the payment of those fees and amounts; and

                     (b)  has complied with the conditions to which the permit, lease or licence is subject and with the provisions of:

                              (i)  this Chapter; and

                             (ii)  Chapter 4; and

                            (iii)  Chapter 6; and

                            (iv)  Part 7.1; and

                             (v)  the regulations; and

                     (c)  has:

                              (i)  to the satisfaction of the Designated Authority, removed or caused to be removed from the surrender area (defined by subsection (7)) all property brought into the surrender area by any person engaged or concerned in the operations authorised by the permit, lease or licence; or

                             (ii)  made arrangements that are satisfactory to the Designated Authority in relation to that property; and

                     (d)  has, to the satisfaction of the Designated Authority, plugged or closed off all wells made in the surrender area by any person engaged or concerned in the operations authorised by the permit, lease or licence; and

                     (e)  has provided, to the satisfaction of the Designated Authority, for the conservation and protection of the natural resources in the surrender area; and

                      (f)  has, to the satisfaction of the Designated Authority, made good any damage to the seabed or subsoil in the surrender area caused by any person engaged or concerned in the operations authorised by the permit, lease or licence;

but, if the registered holder has complied with those requirements, the Designated Authority must not unreasonably refuse consent to the surrender.

             (4)  Paragraph (3)(e) has effect subject to:

                     (a)  this Chapter; and

                     (b)  Chapter 6; and

                     (c)  the regulations.

Sufficient grounds

             (5)  Despite subsection (3), if:

                     (a)  any of:

                              (i)  the conditions to which the permit, lease or licence is subject; or

                             (ii)  the provisions of this Chapter, Chapter 4, Chapter 6 and Part 7.1; or

                            (iii)  the provisions of the regulations;

                            have not been complied with; and

                     (b)  the Designated Authority is satisfied that there are sufficient grounds to warrant the giving of consent to the surrender sought by the application;

the Designated Authority may give consent under subsection (2) to the surrender sought by the application.

Work‑bid petroleum exploration permit—compliance with work condition

             (6)  For the purposes of this section, if:

                     (a)  the application for consent relates to a work‑bid petroleum exploration permit; and

                     (b)  a condition of the permit requires the registered holder to carry out specified work during a period specified in the permit; and

                     (c)  the application is made during such a period;

the registered holder of the permit is taken not to have complied with the condition unless the holder has completed the work specified for the period mentioned in paragraph (c).

Surrender area

             (7)  For the purposes of this section, the surrender area is worked out using the table:

 

Surrender area

Item

In the case of a surrender of...

the surrender area is...

1

a petroleum exploration permit or petroleum production licence

the area constituted by the blocks as to which the permit or licence is proposed to be surrendered.

2

a petroleum retention lease

the lease area.

3

an infrastructure licence

the licence area.

4

a pipeline licence

(a) in the case of the surrender of the licence as to the whole of the pipeline in relation to which the licence is in force—the part of the offshore area in which the pipeline is constructed; or

(b) in the case of the surrender of the licence as to a part of the pipeline in relation to which the licence is in force—the part of the offshore area in which the part of the pipeline is constructed.

271  Surrender of title

Scope

             (1)  This section applies if the Designated Authority consents under section 270 to:

                     (a)  the surrender, in whole or in part, of:

                              (i)  a petroleum exploration permit; or

                             (ii)  a petroleum production licence; or

                            (iii)  a pipeline licence; or

                     (b)  the surrender of:

                              (i)  a petroleum retention lease; or

                             (ii)  an infrastructure licence.

Surrender

             (2)  The registered holder of the permit, lease or licence may, by written notice given to the Designated Authority, surrender the whole or the part, as the case may be, of the permit, lease or licence.

When surrender takes effect

             (3)  The surrender takes effect on the day on which notice of the surrender is published in the Gazette.


 

Division 2Surrender of petroleum special prospecting authorities and petroleum access authorities

272  Surrender of petroleum special prospecting authority

                   The registered holder of a petroleum special prospecting authority may, by written notice given to the Designated Authority, surrender the petroleum special prospecting authority.

273  Surrender of petroleum access authority

                   The registered holder of a petroleum access authority may, by written notice given to the Designated Authority, surrender the petroleum access authority.


 

Part 2.13Cancellation of titles

Division 1Cancellation of petroleum exploration permits, petroleum production licences, petroleum retention leases, infrastructure licences and pipeline licences

274  Grounds for cancellation of title

                   For the purposes of this Division, each of the following is a ground for cancelling a petroleum exploration permit, petroleum retention lease, petroleum production licence, infrastructure licence or pipeline licence:

                     (a)  the registered holder has not complied with a condition to which the permit, lease or licence is subject;

                     (b)  the registered holder has not complied with a direction given to the holder by the Designated Authority or the Joint Authority under this Chapter, Chapter 6 or Part 7.1;

                     (c)  the registered holder has not complied with a provision of:

                              (i)  this Chapter; or

                             (ii)  Chapter 4; or

                            (iii)  Chapter 6; or

                            (iv)  Part 7.1; or

                             (v)  the regulations;

                     (d)  the registered holder has not paid an amount payable by the holder under:

                              (i)  this Act; or

                             (ii)  the Royalty Act; or

                            (iii)  the Annual Fees Act;

                            within the period of 90 days after the day on which the amount became payable.

275  Cancellation of title

             (1)  The table has effect:

 

Cancellation

Item

If there is a ground for cancelling...

the Joint Authority may, by written notice given to the registered holder,...

1

a petroleum exploration permit

cancel the permit as to some or all of the blocks in relation to which the permit is in force.

2

a petroleum retention lease

cancel the lease as to all of the blocks in relation to which the lease is in force.

3

a petroleum production licence

cancel the licence as to some or all of the blocks in relation to which the licence is in force.

4

an infrastructure licence

cancel the licence.

5

a pipeline licence

cancel the pipeline licence as to the whole or a part of the pipeline in relation to which the licence is in force.

Note:          Consultation procedures apply—see section 276.

             (2)  In exercising a power conferred by subsection (1), the Joint Authority must take into account any action taken by the registered holder:

                     (a)  to remove the ground of cancellation; or

                     (b)  to prevent the recurrence of similar grounds.

             (3)  A cancellation takes effect on the day on which notice of the cancellation is published in the Gazette.

276  Consultation

             (1)  Before making a decision under subsection 275(1), the Joint Authority must:

                     (a)  by written notice given to the registered holder, give at least 30 days notice of the Joint Authority’s intention to make the decision; and

                     (b)  give a copy of the notice to such other persons (if any) as the Joint Authority thinks fit.

             (2)  The notice must:

                     (a)  set out details of the decision that is proposed to be made; and

                     (b)  set out the reasons for the proposal; and

                     (c)  invite a person to whom the notice, or a copy of the notice, has been given to make a written submission to the Joint Authority about the proposal; and

                     (d)  specify a time limit for making that submission.

Note:          All communications to the Joint Authority are to be made through the Designated Authority—see section 63.

             (3)  In deciding whether to make the decision, the Joint Authority must take into account any submissions made in accordance with the notice.

277  Cancellation of title not affected by other provisions

Cancellation on ground of non‑compliance

             (1)  If:

                     (a)  the registered holder of a petroleum exploration permit, petroleum retention lease, petroleum production licence, infrastructure licence or pipeline licence has not complied with a provision of:

                              (i)  this Chapter; or

                             (ii)  Chapter 4; or

                            (iii)  Chapter 6; or

                            (iv)  Part 7.1; or

                             (v)  the regulations; and

                     (b)  the holder has been convicted of an offence relating to that non‑compliance;

the Joint Authority may exercise a power of cancellation under subsection 275(1) on the ground of that non‑compliance, even though the holder has been convicted of that offence.

             (2)  If:

                     (a)  a person who was the registered holder of a petroleum exploration permit, petroleum retention lease, petroleum production licence, infrastructure licence or pipeline licence has not complied with a provision of:

                              (i)  this Chapter; or

                             (ii)  Chapter 4; or

                            (iii)  Chapter 6; or

                            (iv)  Part 7.1; or

                             (v)  the regulations; and

                     (b)  the Joint Authority has exercised a power of cancellation under subsection 275(1) on the ground of that non‑compliance;

the person may be convicted of an offence relating to the non‑compliance, even though the Joint Authority has exercised that power of cancellation.

Cancellation on ground of non‑payment

             (3)  If:

                     (a)  the registered holder of a petroleum exploration permit, petroleum retention lease, petroleum production licence, infrastructure licence or pipeline licence has not paid an amount payable by the holder under:

                              (i)  this Act; or

                             (ii)  the Royalty Act; or

                            (iii)  the Annual Fees Act;

                            within the period of 90 days after the day on which the amount became payable; and

                     (b)  either:

                              (i)  judgment for the amount has been obtained; or

                             (ii)  the amount, or any part of the amount, has been paid or recovered;

the Joint Authority may exercise a power of cancellation under subsection 275(1) on the ground of that non‑payment, even though:

                     (c)  judgment for the amount has been obtained; or

                     (d)  the amount, or a part of the amount, has been paid or recovered.

             (4)  If:

                     (a)  a person who was the registered holder of a petroleum exploration permit, petroleum retention lease, petroleum production licence, infrastructure licence or pipeline licence has not paid an amount payable by the person under:

                              (i)  this Act; or

                             (ii)  the Royalty Act; or

                            (iii)  the Annual Fees Act;

                            within the period of 90 days after the day on which the amount became payable; and

                     (b)  the Joint Authority has exercised a power of cancellation under subsection 275(1) on the ground of that non‑payment;

the person continues to be liable to pay:

                     (c)  that amount; and

                     (d)  any late payment penalty relating to that amount;

even though the Joint Authority has exercised that power of cancellation.


 

Division 2Cancellation of petroleum special prospecting authorities

278  Cancellation of petroleum special prospecting authority

                   The Designated Authority may, by written notice given to the registered holder of a petroleum special prospecting authority, cancel the petroleum special prospecting authority if the holder has breached a condition of the petroleum special prospecting authority.


 

Part 2.14Other provisions

  

279  Reservation of blocks

             (1)  If the following conditions are satisfied in relation to a particular block:

                     (a)  there is no petroleum exploration permit, petroleum retention lease or petroleum production licence over the block;

                     (b)  there is no place in the block that is an infrastructure licence area;

                     (c)  there is no pipeline over or in the block;

                     (d)  there are no pending applications for the grant of a petroleum exploration permit or petroleum production licence over the block;

                     (e)  there are no pending applications for the grant of an infrastructure licence relating to a place in the block;

                      (f)  there are no pending applications for the grant of a pipeline licence relating to a pipeline or proposed pipeline over or in the block;

the Joint Authority may, by notice published in the Gazette, declare that:

                     (g)  the block is not to be the subject of a petroleum exploration permit, petroleum retention lease, petroleum production licence, petroleum special prospecting authority or petroleum access authority; and

                     (h)  an infrastructure licence is not to be granted in relation to a place within the block; and

                      (i)  a pipeline licence is not to be granted in relation to a pipeline over or in the block.

             (2)  If a declaration under subsection (1) is in force in relation to a block:

                     (a)  a petroleum exploration permit, petroleum retention lease, petroleum production licence, petroleum special prospecting authority or petroleum access authority must not be granted over that block; and

                     (b)  an infrastructure licence must not be granted in relation to a place within that block; and

                     (c)  a pipeline licence must not be granted in relation to a pipeline over or in that block.

             (3)  Subsection (2) has effect despite any other provision of this Act.

280  Interference with other rights

Scope

             (1)  This section applies to the following:

                     (a)  a petroleum exploration permit;

                     (b)  a petroleum retention lease;

                     (c)  a petroleum production licence;

                     (d)  an infrastructure licence;

                     (e)  a pipeline licence;

                      (f)  a petroleum special prospecting authority;

                     (g)  a petroleum access authority;

                     (h)  a petroleum scientific investigation consent.

Requirement

             (2)  A person (the first person) carrying on activities in an offshore area under the permit, lease, licence, authority or consent must carry on those activities in a manner that does not interfere with:

                     (a)  navigation; or

                     (b)  fishing; or

                     (c)  the conservation of the resources of the sea and seabed; or

                     (d)  any activities of another person being lawfully carried on by way of:

                              (i)  exploration for, recovery of or conveyance of a mineral (whether petroleum or not); or

                             (ii)  construction or operation of a pipeline; or

                     (e)  the enjoyment of native title rights and interests (within the meaning of the Native Title Act 1993);

to a greater extent than is necessary for the reasonable exercise of the rights and performance of the duties of the first person.

Offence

             (3)  A person commits an offence if:

                     (a)  the person is subject to a requirement under subsection (2); and

                     (b)  the person engages in conduct; and

                     (c)  the person’s conduct breaches the requirement.

Penalty for a contravention of this subsection: 100 penalty units.

281  No conditions about payment of money

             (1)  There must not be included in:

                     (a)  a petroleum exploration permit; or

                     (b)  a petroleum retention lease; or

                     (c)  a petroleum production licence; or

                     (d)  an infrastructure licence; or

                     (e)  a pipeline licence; or

                      (f)  any other instrument under this Act;

a condition requiring the payment of money to the Designated Authority, the Joint Authority or the Commonwealth.

             (2)  Subsection (1) does not apply to an amount payable under the Royalty Act.

282  Certain portions of blocks to be blocks

Scope

             (1)  This section applies if the area in relation to which a title is in force includes one or more portions of a section 33 block.

Note:          This would be the case if the boundaries of a title area do not conform to the graticular system established by this Act.

Portion of a block to be a block

             (2)  For the purposes of this Act:

                     (a)  the area of that portion or those portions constitutes a block (a type A block); and

                     (b)  the area of the remaining portion or portions of the section 33 block (but not including any part of that area in relation to which another title is in force) constitutes a block (a type B block).

Amalgamation of portions of blocks

             (3)  If a title ceases to be in force in relation to a type A block (the first type A block), the Designated Authority may, by written instrument, if the Designated Authority considers it desirable to do so, determine that the first type A block be amalgamated with:

                     (a)  another type A block or blocks, so long as the following conditions are satisfied in relation to the other type A block or blocks:

                              (i)  the other type A block or blocks form part of the graticular section of which the first type A block forms part;

                             (ii)  a petroleum exploration permit, petroleum retention lease or petroleum production licence is in force in relation to the other type A block or blocks; or

                     (b)  both:

                              (i)  another type A block or blocks covered by paragraph (a); and

                             (ii)  a type B block that forms part of the graticular section of which the first type A block forms part.

             (4)  If a determination is made under subsection (3), then, for the purposes of this Act:

                     (a)  the blocks the subject of the determination cease to constitute blocks; and

                     (b)  the areas of those blocks together constitute a block; and

                     (c)  the block constituted as a result of the determination is, subject to this Act, for the remainder of the term of the permit, lease or licence concerned, a block in relation to which the permit, lease or licence is in force.

             (5)  The Designated Authority must not make a determination under subsection (3) except with the consent of the permittee, lessee or licensee concerned.

Definitions

             (6)  In this section:

section 33 block means a block constituted as provided by section 33.

title means:

                     (a)  a petroleum exploration permit; or

                     (b)  a petroleum retention lease; or

                     (c)  a petroleum production licence; or

                     (d)  a prescribed instrument.

283  Changes to the boundary of the coastal waters of a State or Territory

Change to coastal waters boundary results in an area ceasing to be within the offshore area of a State or Territory

             (1)  If:

                     (a)  a Commonwealth title has been granted on the basis that an area (the first area) is within the offshore area of a State or the Northern Territory; and

                     (b)  as a result of a change to the boundary of the coastal waters of the State or Territory, the first area:

                              (i)  ceases to be within the offshore area of the State or Territory; and

                             (ii)  falls within the coastal waters of the State or Territory;

this Act applies in relation to the Commonwealth title as if the first area were still within the offshore area in relation to the State or Territory.

Note:          The offshore area of a State or Territory is defined by section 8.

             (2)  Subsection (1) continues to apply to the first area only while the Commonwealth title remains in force.

Change to coastal waters boundary results in an area ceasing to be within the coastal waters of a State or Territory

             (3)  If:

                     (a)  a State/Territory title has been granted by a State or the Northern Territory on the basis that an area (the second area) is within the coastal waters of the State or Territory; and

                     (b)  as a result of a change to the boundary of the coastal waters of the State or Territory, the second area:

                              (i)  ceases to be within the coastal waters of the State or Territory; and

                             (ii)  falls within the offshore area of the State or Territory;

then, so far as the State/Territory title is concerned, this Act does not apply to the second area.

Note:          The offshore area of a State or Territory is defined by section 8.

             (4)  Subsection (3) continues to apply to the second area only while the State/Territory title remains in force.

Application

             (5)  This section applies to a change to the boundary of the coastal waters of a State or Territory, whether occurring before, at or after the commencement of this section.

Definitions

             (6)  In this section:

Commonwealth title means:

                     (a)  a petroleum exploration permit; or

                     (b)  a petroleum retention lease; or

                     (c)  a petroleum production licence; or

                     (d)  an infrastructure licence; or

                     (e)  a pipeline licence.

State/Territory title means an instrument under a law of a State or the Northern Territory that confers, in relation to the coastal waters of the State or Territory, some or all of the rights that a Commonwealth title confers in relation to the offshore area of the State or Territory.

Note:          The offshore area of a State or Territory is defined by section 8.

284  Notification of discovery of petroleum in petroleum exploration permit area or petroleum retention lease area

Scope

             (1)  This section applies if petroleum is discovered in a petroleum exploration permit area or a petroleum retention lease area.

Notification

             (2)  The permittee or lessee must immediately inform the Designated Authority of the discovery.

             (3)  The permittee or lessee must, within 3 days after the date of the discovery, give the Designated Authority a written notice setting out details of the discovery.

             (4)  Subsections (2) and (3) do not apply if the petroleum is discovered by:

                     (a)  a greenhouse gas assessment permittee; or

                     (b)  a greenhouse gas holding lessee; or

                     (c)  a greenhouse gas injection licensee.

Offence

             (5)  A person commits an offence if:

                     (a)  the person is subject to a requirement under subsection (2) or (3); and

                     (b)  the person omits to do an act; and

                     (c)  the omission breaches the requirement.

Penalty for a contravention of this subsection: 100 penalty units.

285  Property in petroleum not recovered from a Greater Sunrise unit reservoir

Scope

             (1)  This section applies if petroleum (other than petroleum from the Greater Sunrise unit reservoirs) is recovered:

                     (a)  by a petroleum exploration permittee in the permit area; or

                     (b)  by a petroleum retention lessee in the lease area; or

                     (c)  by a petroleum production licensee in the licence area.

Property

             (2)  The petroleum becomes the property of the permittee, lessee or licensee.

             (3)  The petroleum is not subject to any rights of other persons (other than a person to whom the permittee, lessee or licensee transfers, assigns or otherwise disposes of the petroleum or an interest in the petroleum).

             (4)  Subsections (2) and (3) have effect subject to this Act.

Note:          See also Division 3 of Part 1.2 (which deals with apportionment of petroleum recovered from adjoining title areas).

286  Property in petroleum recovered from a Greater Sunrise unit reservoir

Scope

             (1)  This section applies if an amount of petroleum is recovered at a particular time from a Greater Sunrise unit reservoir:

                     (a)  by a petroleum exploration permittee in the permit area; or

                     (b)  by a petroleum retention lessee in the lease area; or

                     (c)  by a petroleum production licensee in the licence area.

Property

             (2)  The following provisions have effect:

                     (a)  the current apportionment percentage of the amount of petroleum becomes the property of the permittee, lessee or licensee;

                     (b)  property in the remainder of the amount of petroleum is determined under the Timor Sea Treaty;

                     (c)  the amount of petroleum is not subject to any rights of other persons (other than a person to whom the permittee, lessee or licensee transfers, assigns or otherwise disposes of the petroleum or an interest in the petroleum).

             (3)  Subsection (2) has effect subject to this Act.

Definition

             (4)  In this section:

current apportionment percentage, in relation to an amount of petroleum recovered at a particular time, means:

                     (a)  79.9%; or

                     (b)  if, before that time, the Apportionment Ratio set out in article 7 of the Greater Sunrise unitisation agreement has changed, at least once, because it has been:

                              (i)  redetermined due to a technical redetermination undertaken in accordance with paragraph 8(1) of the agreement; or

                             (ii)  altered due to an agreement in accordance with paragraph 8(2) of the Greater Sunrise unitisation agreement;

                            the percentage of the production of petroleum from the Greater Sunrise unit reservoirs that is apportioned to Australia under the Greater Sunrise unitisation agreement immediately after the most recent change to the Apportionment Ratio.


 

Chapter 3Regulation of activities relating to injection and storage of greenhouse gas substances

Part 3.1Introduction

  

287  Simplified outline

                   The following is a simplified outline of this Chapter:

•      This Chapter provides for the grant of the following titles:

               (a)     a greenhouse gas assessment permit (see Part 3.2);

               (b)     a greenhouse gas holding lease (see Part 3.3);

               (c)     a greenhouse gas injection licence (see Part 3.4);

               (d)     a greenhouse gas search authority (see Part 3.5);

               (e)     a greenhouse gas special authority (see Part 3.6).

•      A greenhouse gas assessment permit authorises the permittee to explore in the permit area for potential greenhouse gas storage formations and potential greenhouse gas injection sites.

•      If an eligible greenhouse gas storage formation is identified in a greenhouse gas permit area, the responsible Commonwealth Minister may declare that the formation is an identified greenhouse gas storage formation.

•      After the declaration of an identified greenhouse gas storage formation in a greenhouse gas permit area, the permittee may apply for a greenhouse gas holding lease or a greenhouse gas injection licence.

•      A greenhouse gas holding lease is granted if the applicant is not currently in a position to inject and store a greenhouse gas substance, but is likely to be in such a position within 15 years. The lessee may apply for a greenhouse gas injection licence.

•      A greenhouse gas injection licence authorises the licensee to carry out greenhouse gas injection and storage operations in the licence area.

•      A greenhouse gas search authority authorises the holder to carry on operations in the authority area relating to the exploration for potential greenhouse gas storage formations or potential greenhouse gas injection sites (but not to make a well).

•      A greenhouse gas special authority authorises the holder to carry on certain greenhouse gas‑related operations in the authority area (but not to make a well).

•      Part 3.7 provides for the grant of greenhouse gas research consents. A greenhouse gas research consent authorises the holder to carry on greenhouse gas‑related operations in the course of a scientific investigation.


 

Part 3.2Greenhouse gas assessment permits

Division 1General provisions

288  Simplified outline

                   The following is a simplified outline of this Part:

•      It is an offence to explore in an offshore area for a potential greenhouse gas storage formation, or a potential greenhouse gas injection site, except:

               (a)     under a greenhouse gas assessment permit; or

               (b)     as otherwise authorised or required by or under this Act.

•      This Part provides for the grant of greenhouse gas assessment permits over blocks in an offshore area.

•      A greenhouse gas assessment permit authorises the permittee to explore in the permit area for potential greenhouse gas storage formations and potential greenhouse gas injection sites.

•      There are 2 types of greenhouse gas assessment permits:

               (a)     a greenhouse gas assessment permit granted on the basis of work program bidding (a work‑bid greenhouse gas assessment permit);

               (b)     a greenhouse gas assessment permit granted on the basis of cash bidding (a cash‑bid greenhouse gas assessment permit).

•      If an eligible greenhouse gas storage formation is identified in a greenhouse gas permit area, the responsible Commonwealth Minister may declare that the formation is an identified greenhouse gas storage formation.

289  Prohibition of unauthorised exploration for potential greenhouse gas storage formation, or potential greenhouse gas injection site, in offshore area

             (1)  A person commits an offence if:

                     (a)  the person explores for:

                              (i)  a potential greenhouse gas storage formation; or

                             (ii)  a potential greenhouse gas injection site; and

                     (b)  the exploration occurs in an offshore area.

Penalty:  Imprisonment for 5 years.

             (2)  Subsection (1) does not apply to conduct that is:

                     (a)  authorised by a greenhouse gas assessment permit; or

                     (b)  otherwise authorised or required by or under this Act.

Note:          The defendant bears an evidential burden in relation to the matter in subsection (2)—see subsection 13.3(3) of the Criminal Code.

290  Rights conferred by greenhouse gas assessment permit

             (1)  A greenhouse gas assessment permit authorises the permittee, in accordance with the conditions (if any) to which the permit is subject:

                     (a)  to explore in the permit area for a potential greenhouse gas storage formation; and

                     (b)  to explore in the permit area for a potential greenhouse gas injection site; and

                     (c)  to inject, on an appraisal basis, a greenhouse gas substance into a part of a geological formation, so long as the relevant well is situated in the permit area; and

                     (d)  to store, on an appraisal basis, a greenhouse gas substance in a part of a geological formation, so long as the injection of the stored greenhouse gas substance takes place at a well situated the permit area; and

                     (e)  to inject, on an appraisal basis:

                              (i)  air; or

                             (ii)  petroleum; or

                            (iii)  water;

                            into a part of a geological formation for purposes in connection with the exploration authorised by paragraph (a) or (b), so long as the relevant well is situated in the permit area; and

                      (f)  to store, on an appraisal basis:

                              (i)  air; or

                             (ii)  petroleum; or

                            (iii)  water;

                            in a part of a geological formation for purposes in connection with the exploration authorised by paragraph (a) or (b), so long as the injection of the stored air, petroleum or water takes place at a well situated in the permit area; and

                     (g)  with the written consent of the responsible Commonwealth Minister, to recover petroleum in the permit area for the sole purpose of appraising a discovery of petroleum that was made as an incidental consequence of:

                              (i)  the exploration authorised by paragraph (a) or (b); or

                             (ii)  the injection authorised by paragraph (c) or (e); and

                     (h)  to carry on such operations, and execute such works, in the permit area as are necessary for those purposes.

             (2)  The rights conferred on the permittee by subsection (1) are subject to this Act and the regulations.

             (3)  If petroleum is recovered by the permittee in the permit area as authorised by paragraph (1)(g), the petroleum does not become the property of the permittee.

             (4)  A greenhouse gas storage permit does not authorise the permittee to make a well outside the permit area.

291  Conditions of greenhouse gas assessment permits

             (1)  The responsible Commonwealth Minister may grant a greenhouse gas assessment permit subject to whatever conditions the responsible Commonwealth Minister thinks appropriate.

             (2)  The conditions (if any) must be specified in the permit.

Approval of key greenhouse gas operations

             (3)  A greenhouse gas assessment permit is subject to the condition that the permittee will not carry on key greenhouse gas operations under the permit unless:

                     (a)  the responsible Commonwealth Minister has approved the operations under section 292; and

                     (b)  the permittee complies with the conditions (if any) to which the approval is subject.

Securities

             (4)  A greenhouse gas assessment permit is subject to the condition that, if the permittee is given a notice under section 454, the permittee will comply with the notice.

Work‑bid greenhouse gas assessment permits

             (5)  Any or all of the following conditions may be specified in a work‑bid greenhouse gas assessment permit:

                     (a)  conditions requiring the permittee to carry out work in, or in relation to, the permit area (including conditions requiring the permittee to carry out the work during a period of 12 months or longer, or during periods each of which is 12 months or longer);

                     (b)  conditions relating to the amounts that the permittee must spend in carrying out such work;

                     (c)  conditions requiring the permittee to comply with directions that:

                              (i)  relate to the matters covered by paragraphs (a) and (b); and

                             (ii)  are given in accordance with the permit.

Cash‑bid greenhouse gas assessment permits

             (6)  Despite subsection (1), a cash‑bid greenhouse gas assessment permit must not be granted subject to conditions requiring the permittee to:

                     (a)  carry out work in, or in relation to, the permit area; or

                     (b)  spend particular amounts on the carrying out of work in, or in relation to, the permit area.

Other provisions

             (7)  Despite subsection (2), the conditions mentioned in subsections (3) and (4) do not need to be specified in the permit.

             (8)  Subsections (3), (4) and (5) do not limit subsection (1).

292  Approval by responsible Commonwealth Minister of key greenhouse gas operations

             (1)  A greenhouse gas assessment permittee may apply to the responsible Commonwealth Minister for approval to carry on one or more key greenhouse gas operations under the permit.

             (2)  If an application for approval is made under subsection (1), the responsible Commonwealth Minister may:

                     (a)  give the approval, with or without conditions to which the approval is subject; or

                     (b)  by written notice given to the applicant, refuse to give the approval.

Responsible Commonwealth Minister must have regard to certain matters

             (3)  In deciding whether to give the approval, the responsible Commonwealth Minister must comply with subsections (4), (5), (6), (7) and (8).

             (4)  The responsible Commonwealth Minister must have regard to the impact (if any) that any of those key greenhouse gas operations could have on petroleum exploration operations, or petroleum recovery operations, that are being, or could be, carried on under:

                     (a)  an existing petroleum exploration permit; or

                     (b)  an existing petroleum retention lease; or

                     (c)  an existing petroleum production licence; or

                     (d)  a future petroleum exploration permit; or

                     (e)  a future petroleum retention lease; or

                      (f)  a future petroleum production licence.

             (5)  If the responsible Commonwealth Minister is satisfied that there is a significant risk that any of those key greenhouse gas operations will have a significant adverse impact on petroleum exploration operations, or petroleum recovery operations, that are being, or could be, carried on under:

                     (a)  an existing petroleum exploration permit held by a person other than the applicant; or

                     (b)  an existing petroleum retention lease held by a person other than the applicant; or

                     (c)  an existing petroleum production licence held by a person other than the applicant;

the responsible Commonwealth Minister must have regard to:

                     (d)  whether the registered holder of the petroleum exploration permit, petroleum retention lease or petroleum production licence, as the case may be, has agreed, in writing, to the applicant carrying on the key greenhouse gas operations in respect of which the responsible Commonwealth Minister is so satisfied; and

                     (e)  if so—the terms of that agreement.

             (6)  If:

                     (a)  the responsible Commonwealth Minister is satisfied that there is a significant risk that any of those key greenhouse gas operations will have a significant adverse impact on petroleum exploration operations, or petroleum recovery operations, that could be carried on under:

                              (i)  a future petroleum exploration permit over a block or blocks; or

                             (ii)  a future petroleum retention lease over a block or blocks; or

                            (iii)  a future petroleum production licence over a block or blocks; and

                     (b)  a petroleum exploration permit, petroleum retention lease or petroleum production licence is in force over the block or any of the blocks; and

                     (c)  the petroleum exploration permit, petroleum retention lease or petroleum production licence is held by a person other than the applicant;

the responsible Commonwealth Minister must have regard to:

                     (d)  whether the registered holder of the petroleum exploration permit, petroleum retention lease or petroleum production licence covered by paragraph (b) has agreed, in writing, to the applicant carrying on the key greenhouse gas operations in respect of which the responsible Commonwealth Minister is so satisfied; and

                     (e)  if so—the terms of that agreement.

             (7)  If any of those key greenhouse gas operations is:

                     (a)  an operation to inject, on an appraisal basis, a substance into a part of a geological formation; or

                     (b)  an operation to store, on an appraisal basis, a substance in a part of a geological formation;

the responsible Commonwealth Minister must have regard to the composition of the substance.

             (8)  The responsible Commonwealth Minister must have regard to the public interest.

             (9)  Subsections (4), (5), (6) and (7) do not limit subsection (8).

           (10)  Subsections (4), (5), (6), (7) and (8) do not limit the matters to which the responsible Commonwealth Minister may have regard.

Circumstances in which the approval must not be given

           (11)  If the responsible Commonwealth Minister is satisfied that there is a significant risk that any of those key greenhouse gas operations will have a significant adverse impact on petroleum exploration operations, or petroleum recovery operations, that are being, or could be, carried on under:

                     (a)  an existing pre‑commencement petroleum title held by a person other than the applicant; or

                     (b)  an existing post‑commencement petroleum production licence held by a person other than the applicant;

the responsible Commonwealth Minister must not give the approval unless the registered holder of the pre‑commencement petroleum title, or the post‑commencement petroleum production licence, as the case may be, has agreed, in writing, to the applicant carrying on the key greenhouse gas operations in respect of which the responsible Commonwealth Minister is so satisfied.

           (12)  If:

                     (a)  the responsible Commonwealth Minister is satisfied that there is a significant risk that any of those key greenhouse gas operations will have a significant adverse impact on petroleum exploration operations, or petroleum recovery operations, that could be carried on under a future pre‑commencement petroleum title over a block or blocks; and

                     (b)  the existing pre‑commencement petroleum title in force over the block or any of the blocks is held by a person other than the applicant;

the responsible Commonwealth Minister must not give the approval unless the registered holder of the existing pre‑commencement petroleum title has agreed, in writing, to the applicant carrying on the key greenhouse gas operations in respect of which the responsible Commonwealth Minister is so satisfied.

No right to an approval

           (13)  To avoid doubt, section 290 does not imply that a greenhouse gas assessment permittee who applies for approval under subsection (1) of this section is entitled to be given the approval.

Suspension of rights

           (14)  For the purposes of this section, disregard a suspension of rights under section 266.

293  Duration of greenhouse gas assessment permit

             (1)  The duration of a greenhouse gas assessment permit is worked out using the table:

 

Duration of greenhouse gas assessment permits

Item

This kind of permit...

remains in force...

1

an original greenhouse gas assessment permit

for the period of 6 years beginning on:

(a) the day on which the permit is granted; or

(b) if a later day is specified in the permit as the day on which the permit is to come into force—that later day.

2

a greenhouse gas assessment permit granted by way of renewal

for the period of 3 years beginning on:

(a) the day on which the permit is granted; or

(b) if a later day is specified in the permit as the day on which the permit is to come into force—that later day.

             (2)  Subsection (1) has effect subject to this Chapter.

Note 1:       For a special rule about the extension of the duration of a greenhouse gas assessment permit if the permittee applies for a declaration of an identified greenhouse gas storage formation, see section 294.

Note 1A:    For a special rule about the extension of the duration of a greenhouse gas assessment permit pending a decision on a renewal application, see subsection 308(6).

Note 2:       For a special rule about the extension of the duration of a greenhouse gas assessment permit if the permittee applies for a greenhouse gas holding lease or greenhouse gas injection licence, see section 295.

Note 3:       For special rules about when a greenhouse gas assessment permit ceases to be in force following the grant of a greenhouse gas holding lease or greenhouse gas injection licence, see sections 328 and 366.

Note 4:       For special rules about the extension of the duration of a greenhouse gas assessment permit following a suspension or exemption decision, see sections 437 and 439.

Note 5:       For the surrender of a greenhouse gas assessment permit, see Part 3.10.

Note 6:       For the cancellation of a greenhouse gas assessment permit, see Part 3.11.

294  Extension of greenhouse gas assessment permit if permittee applies for a declaration of an identified greenhouse gas storage formation

             (1)  If:

                     (a)  a greenhouse gas assessment permit is in force; and

                     (b)  before the time when the permit would, apart from this subsection, expire, the permittee applies to the responsible Commonwealth Minister for a declaration of an identified greenhouse gas storage formation; and

                     (c)  if the declaration were made in accordance with the application, the identified greenhouse gas storage formation would be wholly situated in the permit area;

the permit continues in force until whichever is the latest of the following times:

                     (d)  if the responsible Commonwealth Minister makes a declaration of an identified greenhouse gas storage formation that is wholly situated in the permit area—the end of the period of 12 months after the day on which the declaration is made;

                     (e)  if the responsible Commonwealth Minister refuses to make a declaration of an identified greenhouse gas storage formation that is wholly situated in the permit area—the time when notice of the refusal is given to the permittee;

                      (f)  the time when the permit would, apart from this subsection, expire.

             (2)  Subsection (1) has effect subject to this Chapter, but despite section 293.

Note:          See the notes at the end of section 293.

295  Extension of greenhouse gas assessment permit if permittee applies for a greenhouse gas holding lease or greenhouse gas injection licence

             (1)  If:

                     (a)  a greenhouse gas assessment permit is in force over a block or blocks; and

                     (b)  before the time when the permit would, apart from this subsection, expire, the permittee applies to the responsible Commonwealth Minister for the grant of a greenhouse gas holding lease or greenhouse gas injection licence over the block or one or more of the blocks;

the table has effect:

 

Extension of permit

Item

In this case...

the permit continues in force over the block or blocks covered by the application until...

1

the responsible Commonwealth Minister gives the permittee an offer document relating to a greenhouse gas holding lease or greenhouse gas injection licence over the block or one or more of the blocks

the lease or licence is granted, the permittee withdraws the application or the application lapses.

2

the application is for a greenhouse gas holding lease and the responsible Commonwealth Minister refuses to grant the lease to the permittee

the end of the period of 12 months after the day on which the notice of the refusal was given to the permittee.

3

the application is for a greenhouse gas injection licence and the responsible Commonwealth Minister refuses to grant the licence to the permittee on a ground covered by paragraph 362(1)(c), (d), (e), (f) or (g)

the end of the period of 90 days after the day on which the notice of the refusal was given to the permittee.

4

the application is for a greenhouse gas injection licence and the responsible Commonwealth Minister refuses to grant the licence to the permittee on a ground not mentioned in item 3

notice of the refusal is given to the permittee.

             (2)  Subsection (1) has effect subject to this Chapter but despite section 293.

Note:          See the notes at the end of section 293.


 

Division 2Obtaining a work‑bid greenhouse gas assessment permit

296  Application for work‑bid greenhouse gas assessment permit—advertising of blocks

Invitation to apply for a greenhouse gas assessment permit

             (1)  The responsible Commonwealth Minister may, by notice published in the Gazette:

                     (a)  invite applications for the grant of a greenhouse gas assessment permit over the block, or any or all of the blocks, specified in the notice; and

                     (b)  specify a period within which applications may be made.

             (2)  If the responsible Commonwealth Minister has published a notice under subsection 303(1) inviting applications for the grant of a greenhouse gas assessment permit over a block, the block must not be specified in a notice under subsection (1) of this section at any time during the period specified in the subsection 303(1) notice.

Note:          Subsection 303(1) deals with cash‑bid greenhouse gas assessment permits.

Application for greenhouse gas assessment permit

             (3)  An application under this section must be accompanied by details of:

                     (a)  the applicant’s proposals for work and expenditure in relation to the block or blocks specified in the application; and

                     (b)  the technical qualifications of the applicant and of the applicant’s employees; and

                     (c)  the technical advice available to the applicant; and

                     (d)  the financial resources available to the applicant.

Note 1:       Part 3.8 contains additional provisions about application procedures.

Note 2:       Section 427 requires the application to be accompanied by an application fee.

Note 3:       Section 429 enables the responsible Commonwealth Minister to require the applicant to give further information.

Attributes of blocks

             (4)  The blocks specified in an application under this section must be blocks that are constituted by graticular sections that:

                     (a)  constitute a single area; and

                     (b)  are such that each graticular section in that area has a side in common with at least one other graticular section in that area.

             (5)  Subsection (4) does not apply to applications if the responsible Commonwealth Minister, for reasons that the responsible Commonwealth Minister thinks sufficient, includes in the subsection (1) notice a direction that subsection (4) does not apply to those applications.

297  Retention lessee or production licensee to be notified of proposal to advertise blocks

Scope

             (1)  This section applies if:

                     (a)  the responsible Commonwealth Minister proposes to publish a notice under subsection 296(1) specifying a block that is the subject of a petroleum retention lease or petroleum production licence; and

                     (b)  at the time of the proposal, the lessee or licensee is entitled to make an application for the grant of a greenhouse gas holding lease over the block.

Notification

             (2)  The responsible Commonwealth Minister must, at least 60 days before the proposed publication of the subsection 296(1) notice, notify the lessee or licensee of the proposed publication.

Deferral of publication of notice

             (3)  If, during the period:

                     (a)  beginning when the lessee or licensee is given the notification under subsection (2); and

                     (b)  ending at the end of the day of proposed publication of the subsection 296(1) notice;

the lessee or licensee makes such an application, the responsible Commonwealth Minister must not publish the subsection 296(1) notice until:

                     (c)  the application lapses; or

                     (d)  the lessee withdraws the application; or

                     (e)  the responsible Commonwealth Minister refuses to grant the greenhouse gas holding lease or greenhouse gas injection licence.

298  Grant of work‑bid greenhouse gas assessment permit—offer document

Scope

             (1)  This section applies if an application for the grant of a greenhouse gas assessment permit has been made under section 296.

Offer document

             (2)  The responsible Commonwealth Minister may:

                     (a)  give the applicant a written notice (called an offer document) telling the applicant that the responsible Commonwealth Minister is prepared to grant the applicant a greenhouse gas assessment permit over the block or blocks specified in the offer document; or

                     (b)  by written notice given to the applicant, refuse to grant a greenhouse gas assessment permit to the applicant.

Note 1:       Section 430 sets out additional requirements for offer documents (for example, a requirement that an offer document must contain a summary of conditions).

Note 2:       If the applicant breaches a requirement under section 429 to provide further information, the responsible Commonwealth Minister may refuse to give the applicant an offer document—see subsection 429(3).

Decision must be made within 12 months

             (3)  The responsible Commonwealth Minister must make a decision under subsection (2) within 12 months after the end of the period specified in the relevant notice under subsection 296(1).

299  Ranking of multiple applicants for work‑bid greenhouse gas assessment permit

Scope

             (1)  This section applies if:

                     (a)  the responsible Commonwealth Minister publishes a notice under subsection 296(1) inviting applications for the grant of a greenhouse gas assessment permit; and

                     (b)  at the end of the period specified in the notice, 2 or more applications have been made under section 296 for the grant of a greenhouse gas assessment permit over the same block or blocks.

Most deserving applicant may be given offer document

             (2)  The responsible Commonwealth Minister may give an offer document under section 298 to whichever applicant, in the responsible Commonwealth Minister’s opinion, is most deserving of the grant of the greenhouse gas assessment permit.

             (3)  In determining which of the applicants is most deserving of the grant of the greenhouse gas assessment permit, the responsible Commonwealth Minister must have regard to criteria made publicly available by the responsible Commonwealth Minister.

             (4)  Criteria under subsection (3) must consist of, or include, criteria relating to proposals for work and expenditure in relation to the block or blocks concerned.

             (5)  Criteria under subsection (3) may include criteria relating to any or all of the following matters:

                     (a)  economic matters;

                     (b)  commercial matters;

                     (c)  public interest matters.

             (6)  Subsection (5) does not limit subsection (3).

Ranking of applicants

             (7)  For the purposes of this section, the responsible Commonwealth Minister may rank the applicants in the order in which, in the responsible Commonwealth Minister’s opinion, they are deserving of the grant of the greenhouse gas assessment permit, with the most deserving applicant being ranked highest.

             (8)  The responsible Commonwealth Minister may exclude from the ranking any applicant who, in the responsible Commonwealth Minister’s opinion, is not deserving of the grant of the greenhouse gas assessment permit.

Applicants who are equally deserving of the grant of the greenhouse gas assessment permit

             (9)  If the responsible Commonwealth Minister:

                     (a)  has considered the information accompanying the applications; and

                     (b)  is of the opinion that 2 or more of the applicants are equally deserving of the grant of the greenhouse gas assessment permit;

the responsible Commonwealth Minister may, by written notice given to each of those applicants, invite them to give the responsible Commonwealth Minister:

                     (c)  details (the work/expenditure details) of their proposals for additional work and expenditure in relation to the block or blocks concerned; and

                     (d)  any other information that is relevant in determining which of the applicants is most deserving of the grant of the greenhouse gas assessment permit.

           (10)  A notice under subsection (9) must:

                     (a)  specify the kinds of work/expenditure details that the responsible Commonwealth Minister considers to be relevant in determining which of the applicants is most deserving of the grant of the greenhouse gas assessment permit; and

                     (b)  specify the kinds of other information that the responsible Commonwealth Minister considers to be relevant in determining which of the applicants is most deserving of the grant of the greenhouse gas assessment permit; and

                     (c)  specify the period within which the work/expenditure details and the other information must be given to the responsible Commonwealth Minister.

           (11)  If an applicant gives work/expenditure details or other information to the responsible Commonwealth Minister, and those details are or that information is:

                     (a)  of a kind specified in the notice; and

                     (b)  given within the period specified in the notice;

the responsible Commonwealth Minister must have regard to the details or information in determining which of the applicants is most deserving of the grant of the greenhouse gas assessment permit.

Criteria

           (12)  An instrument setting out criteria under subsection (3) is not a legislative instrument.

Note:          See also section 302, which deals with the effect of the withdrawal or lapse of an application.

300  Grant of work‑bid greenhouse gas assessment permit

                   If:

                     (a)  an applicant has been given an offer document under section 298; and

                     (b)  the applicant has made a request under section 431 in relation to the offer document within the period applicable under that section; and

                     (c)  if the offer document specified the form and amount of a security to be lodged by the applicant—the applicant has lodged the security within the period applicable under section 433;

the responsible Commonwealth Minister must grant the applicant a greenhouse gas assessment permit over the block or blocks specified in the offer document.

Note 1:       If the applicant does not make a request under section 431 within the period applicable under that section, the application lapses at the end of that period—see subsection 431(4).

Note 2:       If the applicant has not lodged the security within the period applicable under section 433, the application lapses at the end of that period—see section 433.

301  Withdrawal of application

Scope

             (1)  This section applies if the responsible Commonwealth Minister publishes a notice under subsection 296(1) inviting applications for the grant of a greenhouse gas assessment permit.

Withdrawal by single applicant

             (2)  If a person has made an application, the person may, by written notice given to the responsible Commonwealth Minister, withdraw the application at any time before a greenhouse gas assessment permit is granted as a result of the application.

Withdrawal by all joint applicants

             (3)  If 2 or more persons have made a joint application, all of those persons may, by written notice given to the responsible Commonwealth Minister, withdraw the application at any time before a greenhouse gas assessment permit is granted as a result of the application.

Withdrawal by one or more, but not all, joint applicants

             (4)  If:

                     (a)  a joint application was made under section 296 for the grant of a greenhouse gas assessment permit; and

                     (b)  all of the joint applicants, by written notice given to the responsible Commonwealth Minister, tell the responsible Commonwealth Minister that one or more, but not all, of them, as specified in the notice, withdraw from the application;

then:

                     (c)  the application continues in force as if it had been made by the remaining applicant or applicants; and

                     (d)  if the responsible Commonwealth Minister had given the joint applicants an offer document in relation to the application—the responsible Commonwealth Minister is taken not to have given the offer document to the joint applicants.

302  Effect of withdrawal or lapse of application

Scope

             (1)  This section applies if:

                     (a)  2 or more applications have been made under section 296 for the grant of a greenhouse gas assessment permit over the same block or blocks; and

                     (b)  one or more, but not all, of the applications are withdrawn or have lapsed.

Application is taken not to have been made

             (2)  A withdrawn or lapsed application is taken not to have been made.

Offer document is taken not to have been given

             (3)  If the responsible Commonwealth Minister gave an offer document in relation to a withdrawn or lapsed application, the responsible Commonwealth Minister is taken not to have given an offer document in relation to the withdrawn or lapsed application.

Request to grant greenhouse gas assessment permit

             (4)  If the applicant, or one of the applicants, whose application had been withdrawn had requested the responsible Commonwealth Minister under section 431 to grant a greenhouse gas assessment permit to the applicant concerned, the request is taken not to have been made.

Discharge of security

             (5)  If:

                     (a)  the offer document in relation to a withdrawn application specified the form and amount of a security to be lodged by the applicant; and

                     (b)  the applicant had lodged the security;

the security is discharged.

Refusal to grant greenhouse gas assessment permit

             (6)  If the following conditions are satisfied in relation to a remaining applicant:

                     (a)  the responsible Commonwealth Minister had refused to grant a greenhouse gas assessment permit to the remaining applicant;

                     (b)  the responsible Commonwealth Minister did not exclude the remaining applicant from the ranking under subsection 299(8);

the refusal is taken not to have occurred.


 

Division 3Obtaining a cash‑bid greenhouse gas assessment permit

303  Application for cash‑bid greenhouse gas assessment permit

Invitation to apply for a greenhouse gas assessment permit

             (1)  The responsible Commonwealth Minister may, by notice published in the Gazette:

                     (a)  invite applications by way of cash bidding for the grant of a greenhouse gas assessment permit over the block or blocks specified in the notice; and

                     (b)  specify a period within which applications may be made.

             (2)  If the responsible Commonwealth Minister has published a notice under subsection 296(1) inviting applications for the grant of a greenhouse gas assessment permit over a block, the block must not be specified in a notice under subsection (1) of this section at any time during the period specified in the subsection 296(1) notice.

Note:          Subsection 296(1) deals with work‑bid greenhouse gas assessment permits.

             (3)  A notice under subsection (1) must:

                     (a)  contain a summary of the conditions to which the permit will be subject; and

                     (b)  specify the matters that the responsible Commonwealth Minister will take into account in deciding whether to reject an application.

             (4)  If a notice under subsection (1) specifies more than one block, those blocks must be constituted by graticular sections that:

                     (a)  constitute a single area; and

                     (b)  are such that each graticular section in that area has a side in common with at least one other graticular section in that area.

Application for greenhouse gas assessment permit

             (5)  If a notice under subsection (1) specifies more than one block, an application under this section must be for a greenhouse gas assessment permit over all of the specified blocks.

             (6)  An application under this section must:

                     (a)  be accompanied by details of:

                              (i)  the technical qualifications of the applicant and of the applicant’s employees; and

                             (ii)  the technical advice available to the applicant; and

                            (iii)  the financial resources available to the applicant; and

                     (b)  specify the amount that the applicant would be prepared to pay for the grant of the permit.

Note 1:       Part 3.8 contains additional provisions about application procedures.

Note 2:       Section 427 requires the application to be accompanied by an application fee.

Note 3:       Section 429 enables the responsible Commonwealth Minister to require the applicant to give further information.

304  Retention lessee or production licensee to be notified of proposal to advertise blocks

Scope

             (1)  This section applies if:

                     (a)  the responsible Commonwealth Minister proposes to publish a notice under subsection 303(1) specifying a block that is the subject of a petroleum retention lease or petroleum production licence; and

                     (b)  at the time of the proposal, the lessee or licensee is entitled to make an application for the grant of a greenhouse gas holding lease or a greenhouse gas injection licence over the block.

Notification

             (2)  The responsible Commonwealth Minister must, at least 60 days before the proposed publication of the subsection 303(1) notice, notify the lessee or licensee of the proposed publication.

Deferral of publication of notice

             (3)  If, during the period:

                     (a)  beginning when the lessee or licensee is given the notification under subsection (2); and

                     (b)  ending at the end of the day of proposed publication of the subsection 303(1) notice;

the lessee or licensee makes such an application, the responsible Commonwealth Minister must not publish the subsection 303(1) notice until:

                     (c)  the application lapses; or

                     (d)  the lessee withdraws the application; or

                     (e)  the responsible Commonwealth Minister refuses to grant the greenhouse gas holding lease or greenhouse gas injection licence.

305  Grant of cash‑bid greenhouse gas assessment permit—only one application

Scope

             (1)  This section applies if:

                     (a)  the responsible Commonwealth Minister publishes a notice under subsection 303(1) inviting applications for the grant of a greenhouse gas assessment permit over a block or blocks; and

                     (b)  at the end of the period specified in the notice, only one application has been made under section 303 in relation to the block or blocks.

Offer document

             (2)  The responsible Commonwealth Minister may:

                     (a)  give the applicant a written notice (called an offer document) telling the applicant that the responsible Commonwealth Minister is prepared to grant the applicant a greenhouse gas assessment permit over that block or those blocks; or

                     (b)  by written notice given to the applicant, reject the application.

Note 1:       Section 430 sets out additional requirements for offer documents (for example, a requirement that an offer document must contain a summary of conditions).

Note 2:       If the applicant breaches a requirement under section 429 to provide further information, the responsible Commonwealth Minister may refuse to give the applicant an offer document—see subsection 429(3).

306  Grant of cash‑bid greenhouse gas assessment permit—2 or more applications

Scope

             (1)  This section applies if:

                     (a)  the responsible Commonwealth Minister publishes a notice under subsection 303(1) inviting applications for the grant of a greenhouse gas assessment permit over a block or blocks; and

                     (b)  at the end of the period specified in the notice, 2 or more applications have been made under section 303 in relation to the block or blocks.

Rejection of applications

             (2)  The responsible Commonwealth Minister may reject any or all of the applications.

Unrejected applications

             (3)  If the responsible Commonwealth Minister does not reject all of the applications, the table has effect:

 

Unrejected applications

Item

If...

the responsible Commonwealth Minister may give a written notice (called an offer document) to...

1

only one application remains unrejected

the applicant.

2

(a) 2 or more applications remain unrejected; and

(b) the amounts specified in the applications under paragraph 303(6)(b) are equal

one of those applicants.

3

(a) 2 or more applications remain unrejected; and

(b) the amounts specified in the applications under paragraph 303(6)(b) are not equal; and

(c) the amount specified in one of the applications is higher than the amount or amounts specified in the remaining application or applications

whichever of those applicants specified the highest amount.

4

(a) 3 or more applications remain unrejected; and

(b) 2 or more of the amounts specified in the applications under paragraph 303(6)(b) are:

(i) equal; and

(ii) higher than the amount or amounts specified in the remaining application or applications

one of the applicants who specified the equal highest amount.

             (4)  An offer document given to an applicant must tell the applicant that the responsible Commonwealth Minister is prepared to grant the applicant a greenhouse gas assessment permit over the block or blocks.

Note 1:       Section 430 sets out additional requirements for offer documents (for example, a requirement that an offer document must contain a summary of conditions).

Note 2:       If an applicant breaches a requirement under section 429 to provide further information, the responsible Commonwealth Minister may refuse to give the applicant an offer document—see subsection 429(3).

             (5)  If:

                     (a)  an applicant is given an offer document under this section; and

                     (b)  the application lapses as provided by section 431, 432 or 433; and

                     (c)  there are one or more remaining unrejected applications;

subsections (3) and (4) of this section apply in relation to the remaining unrejected applications.

Unsuccessful applications

             (6)  If the responsible Commonwealth Minister does not give an offer document to an applicant, the responsible Commonwealth Minister must, by written notice given to the applicant, inform the applicant that the application was unsuccessful.

307  Grant of cash‑bid greenhouse gas assessment permit

             (1)  If:

                     (a)  an applicant has been given an offer document under section 305 or 306; and

                     (b)  the applicant has made a request under section 431 in relation to the offer document within the period applicable under that section; and

                     (c)  the applicant has paid the specified amount within the period applicable under section 432; and

                     (d)  if the offer document specified the form and amount of a security to be lodged by the applicant—the applicant has lodged the security within the period applicable under section 433;

the responsible Commonwealth Minister must grant the applicant a greenhouse gas assessment permit over the block or blocks specified in the offer document.

Note 1:       If the applicant does not make a request under section 431 within the period applicable under that section, the application lapses at the end of that period—see subsection 431(4).

Note 2:       If the applicant has not paid the specified amount within the period applicable under section 432, the application lapses at the end of that period—see section 432.

Note 3:       If the applicant has not lodged the security within the period applicable under section 433, the application lapses at the end of that period—see section 433.

             (2)  For the purposes of this section, the specified amount is the amount specified in the offer document as the amount that the applicant must pay for the grant of the greenhouse gas assessment permit.


 

Division 4Renewal of greenhouse gas assessment permits

308  Application for renewal of greenhouse gas assessment permit

Application for renewal

             (1)  The registered holder of a greenhouse gas assessment permit may apply to the responsible Commonwealth Minister for the renewal by the responsible Commonwealth Minister of the permit.

             (2)  A greenhouse gas assessment permit cannot be renewed more than once.

             (3)  An application to renew a greenhouse gas assessment permit must be made:

                     (a)  not more than 12 months before the expiry date of the permit; and

                     (b)  at least 180 days before the expiry date of the permit.

             (4)  Despite subsection (3), the responsible Commonwealth Minister may accept an application to renew a greenhouse gas assessment permit if the application is made:

                     (a)  later than 180 days before the expiry date of the permit; and

                     (b)  before the expiry date of the permit.

             (5)  An application to renew a greenhouse gas assessment permit must be accompanied by details of:

                     (a)  the permittee’s proposals for work and expenditure in relation to the permit area; and

                     (b)  such other information (if any) as is specified in the regulations.

Note 1:       Part 3.8 contains additional provisions about application procedures.

Note 2:       Section 427 requires the application to be accompanied by an application fee.

Note 3:       Section 429 enables the responsible Commonwealth Minister to require the applicant to give further information.

Extension of duration of greenhouse gas assessment permit pending decision on application

             (6)  If:

                     (a)  a greenhouse gas assessment permittee makes an application to renew the permit; and

                     (b)  the permit would, apart from this subsection, expire:

                              (i)  before the responsible Commonwealth Minister grants, or refuses to grant, the renewal of the permit; or

                             (ii)  before the application lapses as provided by section 431;

the permit continues in force:

                     (c)  until the responsible Commonwealth Minister grants, or refuses to grant, the renewal of the permit; or

                     (d)  until the application so lapses;

whichever happens first.

             (7)  Subsection (6) has effect subject to this Chapter but despite section 293.

Note:          See the notes at the end of section 293.

309  Renewal of greenhouse gas assessment permit—offer document

Scope

             (1)  This section applies if an application to renew a greenhouse gas assessment permit has been made under section 308.

Offer document—compliance with conditions etc.

             (2)  If:

                     (a)  each of the following has been complied with:

                              (i)  the conditions to which the greenhouse gas assessment permit is, or has from time to time been, subject;

                             (ii)  the provisions of this Chapter, Chapter 5, Chapter 6 and Part 8.1;

                            (iii)  the provisions of the regulations; and

                     (b)  during the period when the permit was in force, at least one notice was given under section 451 about a part of a geological formation wholly situated in the permit area;

the responsible Commonwealth Minister must give the applicant a written notice (called an offer document) telling the applicant that the responsible Commonwealth Minister is prepared to renew the permit.

Note:          Section 430 sets out additional requirements for offer documents (for example, a requirement that an offer document must contain a summary of conditions).

Offer document—non‑compliance with conditions etc.

             (3)  If:

                     (a)  any of:

                              (i)  the conditions to which the greenhouse gas assessment permit is, or has from time to time been, subject; or

                             (ii)  the provisions of this Chapter, Chapter 5, Chapter 6 and Part 8.1; or

                            (iii)  the provisions of the regulations;

                            have not been complied with; and

                     (b)  in a case where:

                              (i)  the permit is a work‑bid greenhouse gas assessment permit; and

                             (ii)  the permit is subject to one or more conditions of the kind mentioned in subsection 291(5); and

                            (iii)  one or more of those conditions have not been complied with;

                            the responsible Commonwealth Minister is satisfied that the non‑compliance is attributable to unavoidable delays caused by the unavailability of essential services or essential equipment, or both; and

                     (c)  the responsible Commonwealth Minister is satisfied that there are sufficient grounds to warrant the granting of the renewal of the greenhouse gas assessment permit;

the responsible Commonwealth Minister may give the applicant a written notice (called an offer document) telling the applicant that the responsible Commonwealth Minister is prepared to renew the permit.

Note:          Section 430 sets out additional requirements for offer documents (for example, a requirement that an offer document must contain a summary of conditions).

Offer document—no section 451 notice

             (4)  If:

                     (a)  each of the following has been complied with:

                              (i)  the conditions to which the greenhouse gas assessment permit is, or has from time to time been, subject;

                             (ii)  the provisions of this Chapter, Chapter 5, Chapter 6 and Part 8.1;

                            (iii)  the provisions of the regulations; and

                     (b)  during the period when the greenhouse gas assessment permit was in force, no notice under section 451 was given about a part of a geological formation wholly situated in the permit area; and

                     (c)  the responsible Commonwealth Minister is satisfied that there are sufficient grounds to warrant the granting of the renewal of the greenhouse gas assessment permit;

the responsible Commonwealth Minister may give the applicant a written notice (called an offer document) telling the applicant that the responsible Commonwealth Minister is prepared to renew the permit.

Note:          Section 430 sets out additional requirements for offer documents (for example, a requirement that an offer document must contain a summary of conditions).

Work program condition

             (5)  For the purposes of this section, if:

                     (a)  the greenhouse gas assessment permit is subject to a condition requiring the permittee to carry out work in, or in relation to, the permit area during a particular period; and

                     (b)  the application for renewal of the permit was made during that period;

then, in determining whether the condition has been complied with, assume that the period had ended immediately before the application for renewal was made.

310  Refusal to renew greenhouse gas assessment permit

Scope

             (1)  This section applies if an application to renew a greenhouse gas assessment permit has been made under section 308.

Refusal to renew

             (2)  If:

                     (a)  any of:

                              (i)  the conditions to which the greenhouse gas assessment permit is, or has from time to time been, subject; or

                             (ii)  the provisions of this Chapter, Chapter 5, Chapter 6 and Part 8.1; or

                            (iii)  the provisions of the regulations;

                            have not been complied with; and

                     (b)  in a case where:

                              (i)  the permit is a work‑bid greenhouse gas assessment permit; and

                             (ii)  the permit is subject to one or more conditions of the kind mentioned in subsection 291(5); and

                            (iii)  one or more of those conditions have not been complied with;

                            the responsible Commonwealth Minister is not satisfied that the non‑compliance is attributable to unavoidable delays caused by the unavailability of essential services or essential equipment or both; and

                     (c)  the responsible Commonwealth Minister is not satisfied that there are sufficient grounds to warrant the granting of the renewal of the greenhouse gas assessment permit;

the responsible Commonwealth Minister must, by written notice given to the applicant, refuse to renew the permit.

Note:          Consultation procedures apply—see section 434.

             (3)  If:

                     (a)  each of the following has been complied with:

                              (i)  the conditions to which the greenhouse gas assessment permit is, or has from time to time been, subject;

                             (ii)  the provisions of this Chapter, Chapter 5, Chapter 6 and Part 8.1;

                            (iii)  the provisions of the regulations; and

                     (b)  during the period when the permit was in force, no notice was given under section 451 about a part of a geological formation wholly situated in the permit area; and

                     (c)  the responsible Commonwealth Minister is not satisfied that there are sufficient grounds to warrant the granting of the renewal of the greenhouse gas assessment permit;

the responsible Commonwealth Minister must, by written notice given to the applicant, refuse to renew the permit.

Note:          Consultation procedures apply—see section 434.

Work program condition

             (4)  For the purposes of this section, if;

                     (a)  the greenhouse gas assessment permit is subject to a condition requiring the permittee to carry out work in, or in relation to, the permit area during a particular period; and

                     (b)  the application for renewal of the permit was made during that period;

then, in determining whether the condition has been complied with, assume that the period had ended immediately before the application for renewal was made.

311  Renewal of greenhouse gas assessment permit

                   If:

                     (a)  an applicant has been given an offer document under section 309; and

                     (b)  the applicant has made a request under section 431 in relation to the offer document within the period applicable under that section; and

                     (c)  if the offer document specified the form and amount of a security to be lodged by the applicant—the applicant has lodged the security within the period applicable under section 433;

the responsible Commonwealth Minister must renew the greenhouse gas assessment permit.

Note 1:       If the applicant does not make a request under section 431 within the period applicable under that section, the application lapses at the end of that period—see subsection 431(4).

Note 2:       If the applicant has not lodged the security within the period applicable under section 433, the application lapses at the end of that period—see section 433.


 

Division 5Declaration of identified greenhouse gas storage formation

312  Declaration of identified greenhouse gas storage formation

Scope

             (1)  This section applies if:

                     (a)  a greenhouse gas assessment permit, greenhouse gas holding lease, greenhouse gas injection licence, petroleum retention lease or petroleum production licence is in force; and

                     (b)  the permittee, lessee or licensee has reasonable grounds to believe that:

                              (i)  a part of a geological formation is an eligible greenhouse gas storage formation; and

                             (ii)  that part is wholly situated in the permit area, lease area or licence area.

Application for declaration of identified greenhouse gas storage formation

             (2)  The permittee, lessee or licensee may apply to the responsible Commonwealth Minister for the declaration of the part referred to in paragraph (1)(b) as an identified greenhouse gas storage formation.

             (3)  An application under this section must set out:

                     (a)  the applicant’s reasons for believing that the part referred to in paragraph (1)(b) is an eligible greenhouse gas storage formation; and

                     (b)  assuming that the part referred to in paragraph (1)(b) is an eligible greenhouse gas storage formation:

                              (i)  the fundamental suitability determinants of the eligible greenhouse gas storage formation; and

                             (ii)  an estimate of the spatial extent of the eligible greenhouse gas storage formation; and

                     (c)  such other information (if any) as is specified in the regulations.

             (4)  An estimate of spatial extent must comply with such requirements as are specified in the regulations.

Requirement to give further information or carry out further analysis

             (5)  The responsible Commonwealth Minister may, by written notice given to the applicant, require the applicant:

                     (a)  to give the responsible Commonwealth Minister, within the period specified in the notice, further information in connection with the application; or

                     (b)  to:

                              (i)  carry out such further analysis of relevant information as is specified in the notice; and

                             (ii)  give the responsible Commonwealth Minister, within the period specified in the notice, a written report of the results of that analysis.

             (6)  If the applicant breaches a requirement under subsection (5), the responsible Commonwealth Minister may, by written notice given to the applicant:

                     (a)  refuse to consider the application; or

                     (b)  refuse to take any action, or any further action, in relation to the application.

Variation of application

             (7)  At any time before the responsible Commonwealth Minister makes a decision on an application under this section, the applicant may, by written notice given to the responsible Commonwealth Minister, vary:

                     (a)  any or all of the fundamental suitability determinants specified in the application; or

                     (b)  the spatial extent estimated in the application.

             (8)  A variation of an application must be made in the approved manner.

             (9)  A variation of an application may be made:

                     (a)  on the applicant’s own initiative; or

                     (b)  at the request of the responsible Commonwealth Minister.

           (10)  If an application under this section is varied, a reference in this Act to the application is a reference to the application as varied.

Declaration

           (11)  If:

                     (a)  an application is made under this section in relation to a part of a geological formation; and

                     (b)  the responsible Commonwealth Minister is satisfied that, using the fundamental suitability determinants set out in the application:

                              (i)  that part is an eligible greenhouse gas storage formation; and

                             (ii)  the estimate of the spatial extent set out in the application is a reasonable estimate of the spatial extent of the eligible greenhouse gas storage formation;

the responsible Commonwealth Minister must, by writing:

                     (c)  declare that part to be an identified greenhouse gas storage formation for the purposes of this Act; and

                     (d)  declare that, for the purposes of this Act, the spatial extent of the identified greenhouse gas storage formation is the spatial extent estimated in the application; and

                     (e)  declare that the fundamental suitability determinants specified in the application are the fundamental suitability determinants of the identified greenhouse gas storage formation for the purposes of this Act.

           (12)  A declaration under paragraph (11)(d) must set out the estimate of the spatial extent specified in the application.

           (13)  A declaration under paragraph (11)(e) must set out the fundamental suitability determinants specified in the application.

           (14)  A copy of a declaration under subsection (11) must be published in the Gazette.

Refusal to make declaration

           (15)  If:

                     (a)  an application is made under this section in relation to a part of a geological formation; and

                     (b)  the responsible Commonwealth Minister is not required by subsection (11) to make declarations under that subsection in relation to that part;

the responsible Commonwealth Minister must, by written notice given to the applicant, refuse to declare that part to be an identified greenhouse gas storage formation.

313  Variation of declaration of identified greenhouse gas storage formation

Scope

             (1)  This section applies if a declaration is in force under section 312 in relation to a part of a geological formation.

Variation of declaration

             (2)  The responsible Commonwealth Minister may, by writing, vary the declaration.

             (3)  A variation of the declaration may be made:

                     (a)  if the part is wholly situated in:

                              (i)  the permit area of a greenhouse gas assessment permit; or

                             (ii)  the lease area of a greenhouse gas holding lease; or

                            (iii)  the licence area of a greenhouse gas injection licence; or

                            (iv)  the licence area of a petroleum production licence; or

                             (v)  the lease area of a petroleum retention lease;

                            on the application of the registered holder of the permit, lease or licence; or

                     (b)  on the responsible Commonwealth Minister’s own initiative.

Application for variation

             (4)  An application for a variation of the declaration must:

                     (a)  set out the proposed variation; and

                     (b)  specify the reasons for the proposed variation.

Criteria

             (5)  In deciding whether to vary the declaration, the responsible Commonwealth Minister must have regard to:

                     (a)  any new information; and

                     (b)  any new analysis; and

                     (c)  any relevant scientific or technological developments; and

                     (d)  such other matters (if any) as the responsible Commonwealth Minister considers relevant.

Consultation

             (6)  Before varying a declaration under subsection (2) on the responsible Commonwealth Minister’s own initiative, the responsible Commonwealth Minister must consult:

                     (a)  if the part is wholly situated in the permit area of a greenhouse gas assessment permit—the permittee; or

                     (b)  if the part is wholly situated in the lease area of a greenhouse gas holding lease—the lessee; or

                     (c)  if the part is wholly situated in the licence area of a greenhouse gas injection licence—the licensee; or

                     (d)  if the part is wholly situated in the licence area of a petroleum production licence—the licensee; or

                     (e)  if the part is wholly situated in the lease area of a petroleum retention lease—the lessee.

Publication

             (7)  A copy of a variation under subsection (2) must be published in the Gazette.

Varied declarations

             (8)  If a declaration in force under section 312 is varied, a reference in this Act to the declaration is a reference to the declaration as varied.

314  Revocation of declaration of identified greenhouse gas storage formation

Scope

             (1)  This section applies if a declaration is in force under section 312 in relation to a part of a geological formation.

Revocation of declaration

             (2)  The responsible Commonwealth Minister may revoke the declaration if the responsible Commonwealth Minister is satisfied that, using any set of fundamental suitability determinants, the part is not an eligible greenhouse gas storage formation.

             (3)  A copy of a revocation under subsection (2) must be published in the Gazette.

Consultation

             (4)  Before revoking a declaration under subsection (2), the responsible Commonwealth Minister must consult:

                     (a)  if the part is wholly situated in the permit area of a greenhouse gas assessment permit—the permittee; or

                     (b)  if the part is wholly situated in the lease area of a greenhouse gas holding lease—the lessee; or

                     (c)  if the part is wholly situated in the licence area of a greenhouse gas injection licence—the licensee; or

                     (d)  if the part is wholly situated in the licence area of a petroleum production licence—the licensee; or

                     (e)  if the part is wholly situated in the lease area of a petroleum retention lease—the lessee.

Responsible Commonwealth Minister must consider whether to vary a declaration

             (5)  If the responsible Commonwealth Minister proposes to revoke a declaration under subsection (2), the responsible Commonwealth Minister must consider whether the responsible Commonwealth Minister should instead vary the declaration under section 313.

315  Register of Identified Greenhouse Gas Storage Formations

             (1)  The responsible Commonwealth Minister is to maintain a register, to be known as the Register of Identified Greenhouse Gas Storage Formations, in which the responsible Commonwealth Minister includes particulars of:

                     (a)  declarations made under section 312; and

                     (b)  variations of such declarations; and

                     (c)  revocations of such declarations.

             (2)  The Register may be maintained by electronic means.

             (3)  The Register is to be made available for inspection on the Internet.

             (4)  The Register is not a legislative instrument.


 

Division 6Directions

316  Responsible Commonwealth Minister may give directions to greenhouse gas assessment permittees

             (1)  The responsible Commonwealth Minister may, by written notice given to a greenhouse gas assessment permittee, give the permittee a direction for the purpose of:

                     (a)  eliminating; or

                     (b)  mitigating; or

                     (c)  managing;

the risk that operations carried on under the permit could have a significant adverse impact on petroleum exploration operations, or petroleum recovery operations, that are being, or could be, carried on under:

                     (d)  an existing petroleum exploration permit; or

                     (e)  an existing petroleum retention lease; or

                      (f)  an existing petroleum production licence; or

                     (g)  a future petroleum exploration permit; or

                     (h)  a future petroleum retention lease; or

                      (i)  a future petroleum production licence.

             (2)  A direction under this section has effect, and must be complied with, despite:

                     (a)  any previous direction under this section; and

                     (b)  anything in the regulations or the applied provisions.

             (3)  A direction under this section may make provision in relation to a matter by applying, adopting or incorporating (with or without modification) a code of practice or standard contained in an instrument:

                     (a)  as in force or existing at the time when the direction takes effect; or

                     (b)  as in force or existing from time to time;

so long as the code of practice or standard is relevant to that matter.

             (4)  To avoid doubt, subsection (3) applies to an instrument, whether issued or made in Australia or outside Australia.

             (5)  A direction under this section may prohibit the doing of an act or thing:

                     (a)  unconditionally; or

                     (b)  subject to conditions, including conditions requiring the consent or approval of a person specified in the direction.

             (6)  A direction under this section is not a legislative instrument.

317  Compliance with directions

             (1)  A person commits an offence if:

                     (a)  the person is given a direction under section 316; and

                     (b)  the person engages in conduct; and

                     (c)  the person’s conduct breaches the direction.

Penalty:  100 penalty units.

             (2)  An offence against subsection (1) is an offence of strict liability.

Note:          For strict liability, see section 6.1 of the Criminal Code.


 

Part 3.3Greenhouse gas holding leases

Division 1General provisions

318  Simplified outline

                   The following is a simplified outline of this Part:

•      This Part provides for the grant of greenhouse gas holding leases over blocks in an offshore area.

•      A greenhouse gas holding lease authorises the lessee to explore in the lease area for potential greenhouse gas storage formations and potential greenhouse gas injection sites.

•      A greenhouse gas holding lease may be granted to:

               (a)     the holder of a greenhouse gas assessment permit; or

               (b)     the holder of a greenhouse gas injection licence, where no greenhouse gas injection or permanent storage operations have been carried on under the licence; or

               (c)     an unsuccessful applicant for a greenhouse gas injection licence; or

               (d)     the holder of a petroleum retention lease.

•      The main criteria for granting a greenhouse gas holding lease are:

               (a)     an identified greenhouse gas storage formation is wholly situated in the lease area; and

               (b)     the applicant is not currently in a position to inject and permanently store a greenhouse gas substance, but is likely to be in such a position within 15 years.

319  Rights conferred by greenhouse gas holding lease

             (1)  A greenhouse gas holding lease authorises the lessee, in accordance with the conditions (if any) to which the lease is subject:

                     (a)  to explore in the lease area for a potential greenhouse gas storage formation; and

                     (b)  to explore in the lease area for a potential greenhouse gas injection site; and

                     (c)  to inject, on an appraisal basis, a greenhouse gas substance into a part of a geological formation, so long as the relevant well is situated in the lease area; and

                     (d)  to store, on an appraisal basis, a greenhouse gas substance in a part of a geological formation, so long as the injection of the stored greenhouse gas substance takes place at a well situated in the lease area; and

                     (e)  to inject, on an appraisal basis:

                              (i)  air; or

                             (ii)  petroleum; or

                            (iii)  water;

                            into a part of a geological formation for purposes in connection with the exploration authorised by paragraph (a) or (b), so long as the relevant well is situated in the lease area; and

                      (f)  to store, on an appraisal basis:

                              (i)  air; or

                             (ii)  petroleum; or

                            (iii)  water;

                            in a part of a geological formation for purposes in connection with the exploration authorised by paragraph (a) or (b), so long as the injection of the stored air, petroleum or water takes place at a well situated in the lease area; and

                     (g)  with the written consent of the responsible Commonwealth Minister, to recover petroleum in the lease area for the sole purpose of appraising a discovery of petroleum that was made as an incidental consequence of:

                              (i)  the exploration authorised by paragraph (a) or (b); or

                             (ii)  the injection authorised by paragraph (c) or (e); and

                     (h)  to carry on such operations, and execute such works, in the lease area as are necessary for those purposes.

             (2)  The rights conferred on the lessee by subsection (1) are subject to this Act and the regulations.

             (3)  If petroleum is recovered by the lessee in the lease area as authorised by paragraph (1)(g), the petroleum does not become the property of the lessee.

             (4)  A greenhouse gas holding lease does not authorise the lessee to make a well outside the lease area.

320  Conditions of greenhouse gas holding leases

             (1)  The responsible Commonwealth Minister may grant a greenhouse gas holding lease subject to whatever conditions the responsible Commonwealth Minister thinks appropriate.

             (2)  The conditions (if any) must be specified in the lease.

Approval of key greenhouse gas operations

             (3)  A greenhouse gas holding lease is subject to the condition that the lessee will not carry on key greenhouse gas operations under the lease unless:

                     (a)  the responsible Commonwealth Minister has approved the operations under section 321; and

                     (b)  the lessee complies with the conditions (if any) to which the approval is subject.

Securities

             (4)  A greenhouse gas holding lease is subject to the condition that, if the lessee is given a notice under section 454, the lessee will comply with the notice.

Work to be carried out by lessee

             (5)  Any or all of the following conditions may be specified in a greenhouse gas holding lease:

                     (a)  conditions requiring the lessee to carry out work in, or in relation to, the lease area;

                     (b)  conditions about the amounts that the lessee must spend in carrying out such work;

                     (c)  conditions requiring the lessee to comply with directions that:

                              (i)  relate to the matters covered by paragraphs (a) and (b); and

                             (ii)  are given in accordance with the lease.

Other provisions

             (6)  Despite subsection (2), the conditions mentioned in subsections (3) and (4) do not need to be specified in the lease.

             (7)  Subsections (3), (4) and (5) do not limit subsection (1).

321  Approval by responsible Commonwealth Minister of key greenhouse gas operations

             (1)  A greenhouse gas holding lessee may apply to the responsible Commonwealth Minister for approval to carry on one or more key greenhouse gas operations under the lease.

             (2)  If an application for approval is made under subsection (1), the responsible Commonwealth Minister may:

                     (a)  give the approval, with or without conditions to which the approval is subject; or

                     (b)  by written notice given to the applicant, refuse to give the approval.

Responsible Commonwealth Minister must have regard to certain matters

             (3)  In deciding whether to give the approval, the responsible Commonwealth Minister must comply with subsections (4), (5), (6), (7) and (8).

             (4)  The responsible Commonwealth Minister must have regard to the impact (if any) that any of those key greenhouse gas operations could have on petroleum exploration operations, or petroleum recovery operations, that are being, or could be, carried on under:

                     (a)  an existing petroleum exploration permit; or

                     (b)  an existing petroleum retention lease; or

                     (c)  an existing petroleum production licence; or

                     (d)  a future petroleum exploration permit; or

                     (e)  a future petroleum retention lease; or

                      (f)  a future petroleum production licence.

             (5)  If the responsible Commonwealth Minister is satisfied that there is a significant risk that any of those key greenhouse gas operations will have a significant adverse impact on petroleum exploration operations, or petroleum recovery operations, that are being, or could be, carried on under:

                     (a)  an existing petroleum exploration permit held by a person other than the applicant; or

                     (b)  an existing petroleum retention lease held by a person other than the applicant; or

                     (c)  an existing petroleum production licence held by a person other than the applicant;

the responsible Commonwealth Minister must have regard to:

                     (d)  whether the registered holder of the petroleum exploration permit, petroleum retention lease or petroleum production licence, as the case may be, has agreed, in writing, to the applicant carrying on the key greenhouse gas operations in respect of which the responsible Commonwealth Minister is so satisfied; and

                     (e)  if so—the terms of that agreement.

             (6)  If:

                     (a)  the responsible Commonwealth Minister is satisfied that there is a significant risk that any of those key greenhouse gas operations will have a significant adverse impact on petroleum exploration operations, or petroleum recovery operations, that could be carried on under:

                              (i)  a future petroleum exploration permit over a block or blocks; or

                             (ii)  a future petroleum retention lease over a block or blocks; or

                            (iii)  a future petroleum production licence over a block or blocks; and

                     (b)  a petroleum exploration permit, petroleum retention lease or petroleum production licence is in force over the block or any of the blocks; and

                     (c)  the petroleum exploration permit, petroleum retention lease or petroleum production licence is held by a person other than the applicant;

the responsible Commonwealth Minister must have regard to:

                     (d)  whether the registered holder of the petroleum exploration permit, petroleum retention lease or petroleum production licence covered by paragraph (b) has agreed, in writing, to the applicant carrying on the key greenhouse gas operations in respect of which the responsible Commonwealth Minister is so satisfied; and

                     (e)  if so—the terms of that agreement.

             (7)  If any of those key greenhouse gas operations is:

                     (a)  an operation to inject, on an appraisal basis, a substance into a part of a geological formation; or

                     (b)  an operation to store, on an appraisal basis, a substance in a part of a geological formation;

the responsible Commonwealth Minister must have regard to the composition of the substance.

             (8)  The responsible Commonwealth Minister must have regard to the public interest.

             (9)  Subsections (4), (5), (6) and (7) do not limit subsection (8).

           (10)  Subsections (4), (5), (6), (7) and (8) do not limit the matters to which the responsible Commonwealth Minister may have regard.

Circumstances in which the approval must not be given

           (11)  If the responsible Commonwealth Minister is satisfied that there is a significant risk that any of those key greenhouse gas operations will have a significant adverse impact on petroleum exploration operations, or petroleum recovery operations, that are being, or could be, carried on under:

                     (a)  an existing pre‑commencement petroleum title held by a person other than the applicant; or

                     (b)  an existing post‑commencement petroleum production licence held by a person other than the applicant;

the responsible Commonwealth Minister must not give the approval unless the registered holder of the pre‑commencement petroleum title, or the post‑commencement petroleum production licence, as the case may be, has agreed, in writing, to the applicant carrying on the key greenhouse gas operations in respect of which the responsible Commonwealth Minister is so satisfied.

           (12)  If:

                     (a)  the responsible Commonwealth Minister is satisfied that there is a significant risk that any of those key greenhouse gas operations will have a significant adverse impact on petroleum exploration operations, or petroleum recovery operations, that could be carried on under a future pre‑commencement petroleum title over a block or blocks; and

                     (b)  the existing pre‑commencement petroleum title in force over the block or any of the blocks is held by a person other than the applicant;

the responsible Commonwealth Minister must not give the approval unless the registered holder of the existing pre‑commencement petroleum title has agreed, in writing, to the applicant carrying on the key greenhouse gas operations in respect of which the responsible Commonwealth Minister is so satisfied.

No right to an approval

           (13)  To avoid doubt, section 319 does not imply that a greenhouse gas holding lessee who applies for approval under subsection (1) of this section is entitled to be given the approval.

Suspension of rights

           (14)  For the purposes of this section, disregard a suspension of rights under section 266.

322  Duration of greenhouse gas holding lease

             (1)  A greenhouse gas holding lease (other than a special greenhouse gas holding lease) remains in force for the period of 5 years beginning on:

                     (a)  the day on which the lease is granted; or

                     (b)  if a later day is specified in the lease as the day on which the lease is to come into force—that later day.

             (2)  A special greenhouse gas holding lease remains in force indefinitely.

             (3)  Subsections (1) and (2) have effect subject to this Chapter.

Note 1:       For a special rule about the extension of the duration of a greenhouse gas holding lease if the lessee applies for a special greenhouse gas holding lease or greenhouse gas injection licence, see section 323.

Note 2:       For a special rule about the cancellation of a special greenhouse gas holding lease, see section 353.

Note 2A:    For a special rule about the cancellation of a greenhouse gas holding lease granted to the holder of a petroleum retention lease, see section 354.

Note 3:       For a special rule about the extension of the duration of a greenhouse gas holding lease pending a decision on a renewal application, see subsection 347(6).

Note 4:       For special rules about the duration of a greenhouse gas holding lease once a decision has been made refusing to renew the lease, see subsections 349(4) and (5).

Note 5:       For special rules about the extension of the duration of a greenhouse gas holding lease following a suspension or exemption decision, see sections 437 and 439.

Note 6:       For a special rule about when a greenhouse gas holding lease ceases to be in force following the grant of a greenhouse gas injection licence, see section 366.

Note 7:       For the surrender of a greenhouse gas holding lease, see Part 3.10.

Note 8:       For the cancellation of a greenhouse gas holding lease, see Part 3.11.

323  Extension of greenhouse gas holding lease if lessee applies for a special greenhouse gas holding lease or greenhouse gas injection licence

             (1)  If:

                     (a)  a greenhouse gas holding lease (other than a special greenhouse gas holding lease) is in force over a block or blocks; and

                     (b)  before the time when the lease would, apart from this subsection, expire, the lessee applies to the responsible Commonwealth Minister for the grant of a special greenhouse gas holding lease or greenhouse gas injection licence over the block or one or more of the blocks;

the table has effect:

 

Extension of lease

Item

In this case...

the lease continues in force over the block or blocks covered by the application until...

1

the responsible Commonwealth Minister gives the lessee an offer document relating to a special greenhouse gas holding lease or greenhouse gas injection licence over the block or one or more of the blocks

the special greenhouse gas holding lease or greenhouse gas injection licence is granted, the lessee withdraws the application or the application lapses.

2

the application is for a special greenhouse gas holding lease and the responsible Commonwealth Minister refuses to grant the lease to the lessee

notice of the refusal is given to the lessee.

3

the application is for a greenhouse gas injection licence and the responsible Commonwealth Minister refuses to grant the licence to the lessee on a ground covered by paragraph 362(2)(c), (d), (e), (f) or (g)

the end of the period of 90 days after the day on which the notice of the refusal was given to the lessee.

4

the application is for a greenhouse gas injection licence and the responsible Commonwealth Minister refuses to grant the licence to the lessee on a ground not mentioned in item 3

notice of refusal is given to the lessee.

             (2)  Subsection (1) has effect subject to this Chapter but despite section 322.

Note:          See the notes at the end of section 322.


 

Division 2Obtaining a greenhouse gas holding lease

Subdivision AApplication for greenhouse gas holding lease by the holder of a greenhouse gas assessment permit

324  Application for greenhouse gas holding lease by the holder of a greenhouse gas assessment permit

Scope

             (1)  This section applies if:

                     (a)  a greenhouse gas assessment permit is in force; and

                     (b)  one or more identified greenhouse gas storage formations are wholly situated in the permit area.

Single identified greenhouse gas storage formation

             (2)  If a single identified greenhouse gas storage formation extends to:

                     (a)  only one block in the permit area; or

                     (b)  2 or more blocks in the permit area;

the permittee may, within the application period, apply to the responsible Commonwealth Minister for the grant of a greenhouse gas holding lease over the block or blocks to which the identified greenhouse gas storage formation extends.

Note:          For application period, see subsection (8).

Multiple identified greenhouse gas storage formations

             (3)  If:

                     (a)  2 or more identified greenhouse gas storage formations, when considered together, extend to only one block in the permit area; and

                     (b)  a vertical line would not pass through a point in each of those identified greenhouse gas storage formations;

the permittee may, within the application period, apply to the responsible Commonwealth Minister for the grant of a greenhouse gas holding lease over the block to which the identified greenhouse gas storage formations, when considered together, extend.

Note:          For application period, see subsection (8).

             (4)  If:

                     (a)  2 or more identified greenhouse gas storage formations, when considered together, extend to:

                              (i)  only one block in the permit area; or

                             (ii)  2 or more blocks in the permit area; and

                     (b)  a vertical line would pass through a point in each of those identified greenhouse gas storage formations;

the permittee may, within the application period, apply to the responsible Commonwealth Minister for the grant of a greenhouse gas holding lease over the block or blocks to which the identified greenhouse gas storage formations, when considered together, extend.

Note:          For application period, see subsection (8).

             (5)  If:

                     (a)  2 or more identified greenhouse gas storage formations, when considered together, extend to 2 or more blocks in the permit area; and

                     (b)  a vertical line would not pass through a point in each of those identified greenhouse gas storage formations; and

                     (c)  for each identified greenhouse gas storage formation, at least one of the blocks to which the identified greenhouse gas storage formation extends immediately adjoins a block to which the other, or another, of those identified greenhouse gas storage formations extends;

the permittee may, within the application period, apply to the responsible Commonwealth Minister for the grant of a greenhouse gas holding lease over the blocks to which the identified greenhouse gas storage formations, when considered together, extend.

Note:          For application period, see subsection (8).

             (6)  For the purposes of subsection (5), a block immediately adjoins another block if the graticular section that constitutes or includes that block and the graticular section that constitutes or includes that other block:

                     (a)  have a side in common; or

                     (b)  are joined together at one point only.

Application

             (7)  An application under this section must be accompanied by:

                     (a)  details of the applicant’s proposals for work and expenditure in relation to:

                              (i)  if there is a single identified greenhouse gas storage formation—the block or blocks, as the case may be, to which the identified greenhouse gas storage formation extends; or

                             (ii)  if there are 2 or more identified greenhouse gas storage formations—the block or blocks, as the case may be, to which the identified greenhouse gas storage formations, when considered together, extend; and

                     (b)  such other information (if any) as is specified in the regulations.

Note 1:       Part 3.8 contains additional provisions about application procedures.

Note 2:       Section 427 requires the application to be accompanied by an application fee.

Note 3:       Section 429 enables the responsible Commonwealth Minister to require the applicant to give further information.

Application period

             (8)  The application period for an application under this section is:

                     (a)  the period of 12 months after:

                              (i)  if there is a single identified greenhouse gas storage formation—the day on which the declaration of the identified greenhouse gas storage formation was made by the responsible Commonwealth Minister; or

                             (ii)  if there are 2 or more identified greenhouse gas storage formations—the earliest day on which a declaration of any of the identified greenhouse gas storage formations was made by the responsible Commonwealth Minister; or

                     (b)  such longer period, not more than 180 days after that day, as the responsible Commonwealth Minister allows.

             (9)  The responsible Commonwealth Minister may allow a longer period under paragraph (8)(b) only on written application made by the permittee within the period of 12 months mentioned in paragraph (8)(a).

Variation of application

           (10)  At any time before an offer document, or notice of refusal, relating to the application is given to the applicant, the applicant may, by written notice given to the responsible Commonwealth Minister, vary the application.

           (11)  A variation of an application must be made in the approved manner.

           (12)  A variation of an application may be made:

                     (a)  on the applicant’s own initiative; or

                     (b)  at the request of the responsible Commonwealth Minister.

           (13)  A variation of an application may set out any additional matters that the applicant wishes to be considered.

           (14)  If an application under this section is varied, a reference in this Act to the application is a reference to the application as varied.

325  Grant of greenhouse gas holding lease—offer document

Single identified greenhouse gas storage formation

             (1)  If:

                     (a)  an application for a greenhouse gas holding lease has been made under subsection 324(2); and

                     (b)  the responsible Commonwealth Minister is satisfied that the applicant is not, at the time of the application, in a position to:

                              (i)  inject a greenhouse gas substance into the identified greenhouse gas storage formation concerned; and

                             (ii)  permanently store the greenhouse gas substance in the identified greenhouse gas storage formation concerned;

                            but is likely to be in such a position within 15 years;

the responsible Commonwealth Minister must give the applicant a written notice (called an offer document) telling the applicant that the responsible Commonwealth Minister is prepared to grant the applicant a greenhouse gas holding lease over the block or blocks specified in the application.

Note 1:       Section 430 sets out additional requirements for offer documents (for example, a requirement that an offer document must contain a summary of conditions).

Note 2:       If the applicant breaches a requirement under section 429 to provide further information, the responsible Commonwealth Minister may refuse to give the applicant an offer document—see subsection 429(3).

Multiple identified greenhouse gas storage formations

             (2)  If:

                     (a)  an application for a greenhouse gas holding lease has been made under subsection 324(3), (4) or (5); and

                     (b)  the responsible Commonwealth Minister is satisfied that the applicant is not, at the time of the application, in a position to:

                              (i)  inject a greenhouse gas substance into at least one of the identified greenhouse gas storage formations concerned; and

                             (ii)  permanently store the greenhouse gas substance in at least one of the identified greenhouse gas storage formations concerned;

                            but is likely to be in such a position within 15 years;

the responsible Commonwealth Minister must give the applicant a written notice (called an offer document) telling the applicant that the responsible Commonwealth Minister is prepared to grant the applicant a greenhouse gas holding lease over the block or blocks specified in the application.

Note 1:       Section 430 sets out additional requirements for offer documents (for example, a requirement that an offer document must contain a summary of conditions).

Note 2:       If the applicant breaches a requirement under section 429 to provide further information, the responsible Commonwealth Minister may refuse to give the applicant an offer document—see subsection 429(3).

326  Refusal to grant greenhouse gas holding lease

Scope

             (1)  This section applies if an application for a greenhouse gas holding lease has been made under section 324.

Refusal notice

             (2)  If the responsible Commonwealth Minister is not satisfied as to:

                     (a)  in the case of an application made under subsection 324(2)—a matter referred to in paragraph 325(1)(b); or

                     (b)  in the case of an application made under subsection 324(3), (4) or (5)—a matter referred to in paragraph 325(2)(b);

the responsible Commonwealth Minister must, by written notice given to the applicant, refuse to grant a greenhouse gas holding lease to the applicant.

327  Grant of greenhouse gas holding lease

                   If:

                     (a)  an applicant has been given an offer document under section 325; and

                     (b)  the applicant has made a request under section 431 in relation to the offer document within the period applicable under that section; and

                     (c)  if the offer document specified the form and amount of a security to be lodged by the applicant—the applicant has lodged the security within the period applicable under section 433;

the responsible Commonwealth Minister must grant the applicant a greenhouse gas holding lease over the block or blocks specified in the offer document.

Note 1:       If the applicant does not make a request under section 431 within the period applicable under that section, the application lapses at the end of that period—see subsection 431(4).

Note 2:       If the applicant has not lodged the security within the period applicable under section 433, the application lapses at the end of that period—see section 433.

328  Greenhouse gas assessment permit ceases to be in force when greenhouse gas holding lease comes into force

                   When a greenhouse gas holding lease under section 327 comes into force in relation to one or more blocks, a greenhouse gas assessment permit ceases to be in force to the extent to which it relates to those blocks.

329  Greenhouse gas assessment permit transferred—transferee to be treated as applicant

Scope

             (1)  This section applies if a transfer of a greenhouse gas assessment permit is registered under section 530:

                     (a)  after an application has been made under section 324 for the grant of a greenhouse gas holding lease over a block or blocks in relation to which the greenhouse gas assessment permit is in force; and

                     (b)  before any action has been taken by the responsible Commonwealth Minister under section 325 or 326 in relation to the application.

Transferee to be treated as applicant

             (2)  After the transfer, sections 324 to 327 and Part 3.8 have effect in relation to the application as if any reference in those sections and that Part to the applicant were a reference to the transferee.

Subdivision BApplication for greenhouse gas holding lease by the holder of a greenhouse gas injection licence

330  Application for greenhouse gas holding lease by the holder of a greenhouse gas injection licence

             (1)  If:

                     (a)  a greenhouse gas injection licence is in force over a block or blocks; and

                     (b)  one or more identified greenhouse gas storage formations are wholly situated in the licence area;

the licensee may, within the application period, apply to the responsible Commonwealth Minister for the grant of a greenhouse gas holding lease over the block or blocks.

Note:          For application period, see subsection (3).

             (2)  An application under this section must be accompanied by details of:

                     (a)  the applicant’s proposals for work and expenditure in relation to the block or blocks specified in the application; and

                     (b)  such other information (if any) as is specified in the regulations.

Note 1:       Part 3.8 contains additional provisions about application procedures.

Note 2:       Section 427 requires the application to be accompanied by an application fee.

Note 3:       Section 429 enables the responsible Commonwealth Minister to require the applicant to give further information.

Application period

             (3)  The application period for an application under this section by a licensee is the period of 5 years that began on the day on which the licence was granted.

Variation of application

             (4)  At any time before an offer document, or a notice of refusal, relating to the application is given to the applicant, the applicant may, by written notice given to the responsible Commonwealth Minister, vary the application.

             (5)  A variation of an application must be made in the approved manner.

             (6)  A variation of an application may be made:

                     (a)  on the applicant’s own initiative; or

                     (b)  at the request of the responsible Commonwealth Minister.

             (7)  A variation of an application may set out any additional matters that the applicant wishes to be considered.

             (8)  If an application under this section is varied, a reference in this Act to the application is a reference to the application as varied.

331  Grant of greenhouse gas holding lease—offer document

                   If:

                     (a)  an application for a greenhouse gas holding lease has been made under section 330; and

                     (b)  the responsible Commonwealth Minister is satisfied that the applicant is not, at the time of the application, in a position to:

                              (i)  inject a greenhouse gas substance into the identified greenhouse gas storage formation, or at least one of the identified greenhouse gas storage formations, concerned; and

                             (ii)  store the greenhouse gas substance in the identified greenhouse gas storage formation, or at least one of the identified greenhouse gas storage formations, concerned;

                            but is likely to be in such a position within 15 years;

the responsible Commonwealth Minister must give the applicant a written notice (called an offer document) telling the applicant that the responsible Commonwealth Minister is prepared to grant the applicant a greenhouse gas holding lease over the block or blocks specified in the application.

Note 1:       Section 430 sets out additional requirements for offer documents (for example, a requirement that an offer document must contain a summary of conditions).

Note 2:       If the applicant breaches a requirement under section 429 to provide further information, the responsible Commonwealth Minister may refuse to give the applicant an offer document—see subsection 429(3).

332  Refusal to grant greenhouse gas holding lease

                   If:

                     (a)  an application for a greenhouse gas holding lease has been made under section 330; and

                     (b)  the responsible Commonwealth Minister is not satisfied as to the matter referred to in paragraph 331(b) in relation to the block or blocks specified in the application;

the responsible Commonwealth Minister must, by written notice given to the applicant, refuse to grant a greenhouse gas holding lease to the applicant.

Note:          Consultation procedures apply—see section 434.

333  Grant of greenhouse gas holding lease

                   If:

                     (a)  an applicant has been given an offer document under section 331; and

                     (b)  the applicant has made a request under section 431 in relation to the offer document within the period applicable under that section; and

                     (c)  if the offer document specified the form and amount of a security to be lodged by the applicant—the applicant has lodged the security within the period applicable under section 433;

the responsible Commonwealth Minister must grant the applicant a greenhouse gas holding lease over the block or blocks specified in the offer document.

Note 1:       If the applicant does not make a request under section 431 within the period applicable under that section, the application lapses at the end of that period—see subsection 431(4).

Note 2:       If the applicant has not lodged the security within the period applicable under section 433, the application lapses at the end of that period—see section 433.

334  Greenhouse gas injection licence ceases to be in force when greenhouse gas holding lease comes into force

                   When a greenhouse gas holding lease under section 333 comes into force in relation to one or more blocks, a greenhouse gas injection licence ceases to be in force to the extent to which it relates to those blocks.

335  Greenhouse gas injection licence transferred—transferee to be treated as applicant

Scope

             (1)  This section applies if a transfer of a greenhouse gas injection licence is registered under section 530:

                     (a)  after an application has been made under section 330 for the grant of a greenhouse gas holding lease over the block or blocks in relation to which the greenhouse gas injection licence is in force; and

                     (b)  before any action has been taken by the responsible Commonwealth Minister under section 331 or 332 in relation to the application.

Transferee to be treated as applicant

             (2)  After the transfer, sections 330 to 333 and Part 3.8 have effect in relation to the application as if any reference in those sections and that Part to the applicant were a reference to the transferee.

Subdivision CApplication for special greenhouse gas holding lease by an unsuccessful applicant for a greenhouse gas injection licence

336  Application for special greenhouse gas holding lease by an unsuccessful applicant for a greenhouse gas injection licence

             (1)  If:

                     (a)  either of the following is in force:

                              (i)  a greenhouse gas assessment permit;

                             (ii)  a greenhouse gas holding lease (other than a special greenhouse gas holding lease); and

                     (b)  one or more identified greenhouse gas storage formations are wholly situated in the permit area or lease area; and

                     (c)  the permittee or lessee makes an application under section 361 for the grant of a greenhouse gas injection licence over the block or blocks in which the identified greenhouse gas storage formation or formations are wholly situated; and

                     (d)  if the applicant holds a greenhouse gas assessment permit—the responsible Commonwealth Minister refuses to grant the greenhouse gas injection licence on a ground covered by paragraph 362(1)(c), (d), (e), (f) or (g); and

                     (e)  if the applicant holds a greenhouse gas holding lease—the responsible Commonwealth Minister refuses to grant the greenhouse gas injection licence on a ground covered by paragraph 362(2)(c), (d), (e), (f) or (g);

the permittee or lessee may, within the application period, apply to the responsible Commonwealth Minister for the grant of a special greenhouse gas holding lease over the block or blocks covered by the unsuccessful application for the greenhouse gas injection licence.

Note:          For application period, see subsection (3).

             (2)  An application under this section must be accompanied by such information (if any) as is specified in the regulations.

Note 1:       Part 3.8 contains additional provisions about application procedures.

Note 2:       Section 427 requires the application to be accompanied by an application fee.

Note 3:       Section 429 enables the responsible Commonwealth Minister to require the applicant to give further information.

Application period

             (3)  The application period for an application under this section by a permittee or lessee is the period of 90 days that began on the day on which the permittee or lessee was notified of the refusal to grant the greenhouse gas injection licence.

Variation of application

             (4)  At any time before an offer document relating to the application is given to the applicant, the applicant may, by written notice given to the responsible Commonwealth Minister, vary the application.

             (5)  A variation of an application must be made in the approved manner.

             (6)  A variation of an application may be made:

                     (a)  on the applicant’s own initiative; or

                     (b)  at the request of the responsible Commonwealth Minister.

             (7)  A variation of an application may set out any additional matters that the applicant wishes to be considered.

             (8)  If an application under this section is varied, a reference in this Act to the application is a reference to the application as varied.

337  Grant of special greenhouse gas holding lease—offer document

Scope

             (1)  This section applies if an application for a special greenhouse gas holding lease has been made under section 336.

Offer document

             (2)  The responsible Commonwealth Minister must give the applicant a written notice (called an offer document) telling the applicant that the responsible Commonwealth Minister is prepared to grant the applicant a special greenhouse gas holding lease over the block or blocks covered by the application.

Note 1:       Section 430 sets out additional requirements for offer documents (for example, a requirement that an offer document must contain a summary of conditions).

Note 2:       If the applicant breaches a requirement under section 429 to provide further information, the responsible Commonwealth Minister may refuse to give the applicant an offer document—see subsection 429(3).

338  Grant of special greenhouse gas holding lease

             (1)  If:

                     (a)  an applicant has been given an offer document under section 337; and

                     (b)  the applicant has made a request under section 431 in relation to the offer document within the period applicable under that section; and

                     (c)  if the offer document specified the form and amount of a security to be lodged by the applicant—the applicant has lodged the security within the period applicable under section 433;

the responsible Commonwealth Minister must grant the applicant a greenhouse gas holding lease over the block or blocks specified in the offer document.

Note 1:       If the applicant does not make a request under section 431 within the period applicable under that section, the application lapses at the end of that period—see subsection 431(4).

Note 2:       If the applicant has not lodged the security within the period applicable under section 433, the application lapses at the end of that period—see section 433.

             (2)  A greenhouse gas holding lease granted under subsection (1) is to be known as a special greenhouse gas holding lease.

339  Greenhouse gas assessment permit ceases to be in force when special greenhouse gas holding lease comes into force

                   When a special greenhouse gas holding lease under section 338 comes into force in relation to one or more blocks, a greenhouse gas assessment permit ceases to be in force to the extent to which it relates to those blocks.

340  Ordinary greenhouse gas holding lease ceases to be in force when special greenhouse gas holding lease comes into force

                   When a special greenhouse gas holding lease under section 338 comes into force in relation to one or more blocks, a greenhouse gas holding lease (other than a special greenhouse gas holding lease) ceases to be in force to the extent to which it relates to those blocks.

341  Greenhouse gas assessment permit transfer—transferee to be treated as applicant

Scope

             (1)  This section applies if a transfer of a greenhouse gas assessment permit is registered under section 530:

                     (a)  after an application has been made under section 336 for the grant of a special greenhouse gas holding lease over a block or blocks in relation to which the greenhouse gas assessment permit is in force; and

                     (b)  before any action has been taken by the responsible Commonwealth Minister under section 337 in relation to the application.

Transferee to be treated as applicant

             (2)  After the transfer, sections 337 and 338 and Part 3.8 have effect in relation to the application as if any reference in those sections and that Part to the applicant were a reference to the transferee.

342  Greenhouse gas holding lease transfer—transferee to be treated as applicant

Scope

             (1)  This section applies if a transfer of a greenhouse gas holding lease is registered under section 530:

                     (a)  after an application has been made under section 336 for the grant of a special greenhouse gas holding lease over a block or blocks in relation to which the first‑mentioned greenhouse gas holding lease is in force; and

                     (b)  before any action has been taken by the responsible Commonwealth Minister under section 337 in relation to the application.

Transferee to be treated as applicant

             (2)  After the transfer, sections 337 and 338 and Part 3.8 have effect in relation to the application as if any reference in those sections and that Part to the applicant were a reference to the transferee.

Subdivision DApplication for greenhouse gas holding lease by the holder of a petroleum retention lease

343  Application for greenhouse gas holding lease by the holder of a petroleum retention lease

             (1)  If:

                     (a)  a petroleum retention lease is in force over a block or blocks; and

                     (b)  one or more identified greenhouse gas storage formations are wholly situated in the lease area;

the lessee may apply to the responsible Commonwealth Minister for the grant of a greenhouse gas holding lease over the block or blocks.

             (2)  An application under this section must be accompanied by such information (if any) as is specified in the regulations.

Note 1:       Part 3.8 contains additional provisions about application procedures.

Note 2:       Section 427 requires the application to be accompanied by an application fee.

Note 3:       Section 429 enables the responsible Commonwealth Minister to require the applicant to give further information.

Variation of application

             (3)  At any time before an offer document relating to the application is given to the applicant, the applicant may, by written notice given to the responsible Commonwealth Minister, vary the application.

             (4)  A variation of an application must be made in the approved manner.

             (5)  A variation of an application may be made:

                     (a)  on the applicant’s own initiative; or

                     (b)  at the request of the responsible Commonwealth Minister.

             (6)  A variation of an application may set out any additional matters that the applicant wishes to be considered.

             (7)  If an application under this section is varied, a reference in this Act to the application is a reference to the application as varied.

344  Grant of greenhouse gas holding lease—offer document

Scope

             (1)  This section applies if an application for a greenhouse gas holding lease has been made under section 343.

Offer document

             (2)  The responsible Commonwealth Minister must give the applicant a written notice (called an offer document) telling the applicant that the responsible Commonwealth Minister is prepared to grant the applicant a greenhouse gas holding lease over the block or blocks covered by the application.

Note 1:       Section 430 sets out additional requirements for offer documents (for example, a requirement that an offer document must contain a summary of conditions).

Note 2:       If the applicant breaches a requirement under section 429 to provide further information, the responsible Commonwealth Minister may refuse to give the applicant an offer document—see subsection 429(3).

345  Grant of greenhouse gas holding lease

                   If:

                     (a)  an applicant has been given an offer document under section 344; and

                     (b)  the applicant has made a request under section 431 in relation to the offer document within the period applicable under that section; and

                     (c)  if the offer document specified the form and amount of a security to be lodged by the applicant—the applicant has lodged the security within the period applicable under section 433;

the responsible Commonwealth Minister must grant the applicant a greenhouse gas holding lease over the block or blocks specified in the offer document.

Note 1:       If the applicant does not make a request under section 431 within the period applicable under that section, the application lapses at the end of that period—see subsection 431(4).

Note 2:       If the applicant has not lodged the security within the period applicable under section 433, the application lapses at the end of that period—see section 433.

346  Retention lease transfer—transferee to be treated as applicant

Scope

             (1)  This section applies if a transfer of a petroleum retention lease is registered under section 479:

                     (a)  after an application has been made under section 343 for the grant of a greenhouse gas holding lease over a block or blocks in relation to which the petroleum retention lease is in force; and

                     (b)  before any action has been taken by the responsible Commonwealth Minister under section 344 in relation to the application.

Transferee to be treated as applicant

             (2)  After the transfer, sections 344 and 345 and Part 3.8 have effect in relation to the application as if any reference in those sections and that Part to the applicant were a reference to the transferee.


 

Division 3Renewal of greenhouse gas holding leases

347  Application for renewal of greenhouse gas holding lease

Application for renewal

             (1)  The registered holder of a greenhouse gas holding lease (other than a special greenhouse gas holding lease) may apply to the responsible Commonwealth Minister for the renewal by the responsible Commonwealth Minister of the lease.

             (2)  A greenhouse gas holding lease cannot be renewed more than once.

             (3)  An application to renew a greenhouse gas holding lease must be made:

                     (a)  not more than 12 months before the expiry date of the lease; and

                     (b)  at least 180 days before the expiry date of the lease.

             (4)  Despite subsection (3), the responsible Commonwealth Minister may accept an application to renew a greenhouse gas holding lease if the application is made:

                     (a)  later than 180 days before the expiry date of the lease; and

                     (b)  before the expiry date of the lease.

             (5)  An application to renew a greenhouse gas holding lease must be accompanied by details of:

                     (a)  the lessee’s proposals for work and expenditure in relation to the lease area; and

                     (b)  such other information (if any) as is specified in the regulations.

Note 1:       Part 3.8 contains additional provisions about application procedures.

Note 2:       Section 427 requires the application to be accompanied by an application fee.

Note 3:       Section 429 enables the responsible Commonwealth Minister to require the applicant to give further information.

Extension of duration of greenhouse gas holding lease pending decision on application

             (6)  If:

                     (a)  a greenhouse gas holding lessee makes an application to renew the lease; and

                     (b)  the lease would, apart from this subsection, expire:

                              (i)  before the responsible Commonwealth Minister grants, or refuses to grant, the renewal of the lease; or

                             (ii)  before the application lapses as provided by section 431;

the lease continues in force:

                     (c)  until the responsible Commonwealth Minister grants, or refuses to grant, the renewal of the lease; or

                     (d)  until the application so lapses;

whichever happens first.

             (7)  Subsection (6) has effect subject to this Chapter but despite section 322.

Note:          See the notes at the end of section 322.

348  Renewal of greenhouse gas holding lease—offer document

Scope

             (1)  This section applies if an application to renew a greenhouse gas holding lease has been made under section 347.

Offer document—compliance with conditions etc.

             (2)  If:

                     (a)  each of the following has been complied with:

                              (i)  the conditions to which the greenhouse gas holding lease is, or has from time to time been, subject;

                             (ii)  the provisions of this Chapter, Chapter 5, Chapter 6 and Part 8.1;

                            (iii)  the regulations; and

                     (b)  the responsible Commonwealth Minister is satisfied that the applicant is not, at the time of the application, in a position to:

                              (i)  inject a greenhouse gas substance into the identified greenhouse gas storage formation, or at least one of the identified greenhouse gas storage formations, concerned; and

                             (ii)  permanently store the greenhouse gas substance in the identified greenhouse gas storage formation, or at least one of the identified greenhouse gas storage formations, concerned;

                            but is likely to be in such a position within 10 years;

the responsible Commonwealth Minister must give the applicant a written notice (called an offer document) telling the applicant that the responsible Commonwealth Minister is prepared to renew the lease.

Note:          Section 430 sets out additional requirements for offer documents (for example, a requirement that an offer document must contain a summary of conditions).

Offer document—non‑compliance with conditions etc.

             (3)  If:

                     (a)  any of:

                              (i)  the conditions to which the greenhouse gas holding lease is, or has from time to time been, subject; or

                             (ii)  the provisions of this Chapter, Chapter 5, Chapter 6 and Part 8.1; or

                            (iii)  the provisions of the regulations;

                            have not been complied with; and

                     (b)  the responsible Commonwealth Minister is satisfied that there are sufficient grounds to warrant the granting of the renewal of the greenhouse gas holding lease; and

                     (c)  the responsible Commonwealth Minister is satisfied that the applicant is not, at the time of the application, in a position to:

                              (i)  inject a greenhouse gas substance into the identified greenhouse gas storage formation, or at least one of the identified greenhouse gas storage formations, concerned; and

                             (ii)  permanently store the greenhouse gas substance in the identified greenhouse gas storage formation, or at least one of the identified greenhouse gas storage formations, concerned;

                            but is likely to be in such a position within 10 years;

the responsible Commonwealth Minister may give the applicant a written notice (called an offer document) telling the applicant that the responsible Commonwealth Minister is prepared to renew the lease.

Note:          Section 430 sets out additional requirements for offer documents (for example, a requirement that an offer document must contain a summary of conditions).

349  Refusal to renew greenhouse gas holding lease

Scope

             (1)  This section applies if an application to renew a greenhouse gas holding lease has been made under section 347.

Refusal on grounds of non‑compliance with conditions

             (2)  If:

                     (a)  any of:

                              (i)  the conditions to which the greenhouse gas holding lease is, or has from time to time been, subject; or

                             (ii)  the provisions of this Chapter, Chapter 5, Chapter 6 and Part 8.1; or

                            (iii)  the provisions of the regulations;

                            have not been complied with; and

                     (b)  the responsible Commonwealth Minister is not satisfied that there are sufficient grounds to warrant the granting of the renewal of the greenhouse gas holding lease;

the responsible Commonwealth Minister must, by written notice given to the applicant, refuse to renew the lease.

Note:          Consultation procedures apply—see section 434.

Refusal on grounds that the applicant is in a position to inject and permanently store a greenhouse gas substance

             (3)  If the responsible Commonwealth Minister is satisfied that the applicant is, at the time of the application, in a position to:

                     (a)  inject a greenhouse gas substance into the identified greenhouse gas storage formation, or at least one of the identified greenhouse gas storage formations, concerned; and

                     (b)  permanently store the greenhouse gas substance in the identified greenhouse gas storage formation, or at least one of the identified greenhouse gas storage formations, concerned;

the responsible Commonwealth Minister must, by written notice given to the applicant, refuse to renew the lease.

Note:          Consultation procedures apply—see section 434.

             (4)  If:

                     (a)  the responsible Commonwealth Minister makes a decision under subsection (3) refusing to renew the lease; and

                     (b)  a notice of refusal is given to the applicant; and

                     (c)  within 12 months after the notice was given, the lessee applies for a greenhouse gas injection licence over one or more of the blocks comprised in the lease; and

                     (d)  the lease would, apart from this subsection, expire:

                              (i)  before the responsible Commonwealth Minister grants, or refuses to grant, the greenhouse gas injection licence; or

                             (ii)  before the application lapses;

the lease continues in force until:

                     (e)  the responsible Commonwealth Minister grants, or refuses to grant, the greenhouse gas injection licence; or

                      (f)  the application lapses;

whichever happens first.

             (5)  If:

                     (a)  the responsible Commonwealth Minister makes a decision under subsection (3) refusing to renew the lease; and

                     (b)  a notice of refusal is given to the applicant; and

                     (c)  subsection (4) does not apply; and

                     (d)  the lease would, apart from this subsection, expire within 12 months after the notice was given;

the lease continues in force until the end of the 12‑month period beginning on the day on which the notice was given.

             (6)  Subsections (4) and (5) have effect subject to this Chapter but despite section 322.

Note:          See the notes at the end of section 322.

350  Renewal of greenhouse gas holding lease

                   If:

                     (a)  an applicant has been given an offer document under section 348; and

                     (b)  the applicant has made a request under section 431 in relation to the offer document within the period applicable under that section; and

                     (c)  if the offer document specified the form and amount of a security to be lodged by the applicant—the applicant has lodged the security within the period applicable under section 433;

the responsible Commonwealth Minister must renew the greenhouse gas holding lease.

Note 1:       If the applicant does not make a request under section 431 within the period applicable under that section, the application lapses at the end of that period—see subsection 431(4).

Note 2:       If the applicant has not lodged the security within the period applicable under section 433, the application lapses at the end of that period—see section 433.


 

Division 4Directions

351  Responsible Commonwealth Minister may give directions to greenhouse gas holding lessees

             (1)  The responsible Commonwealth Minister may, by written notice given to a greenhouse gas holding lessee, give the lessee a direction for the purpose of:

                     (a)  eliminating; or

                     (b)  mitigating; or

                     (c)  managing;

the risk that operations carried on under the lease could have a significant adverse impact on petroleum exploration operations, or petroleum recovery operations, that are being, or could be, carried on under:

                     (d)  an existing petroleum exploration permit; or

                     (e)  an existing petroleum retention lease; or

                      (f)  an existing petroleum production licence; or

                     (g)  a future petroleum exploration permit; or

                     (h)  a future petroleum retention lease; or

                      (i)  a future petroleum production licence.

             (2)  A direction under this section has effect, and must be complied with, despite:

                     (a)  any previous direction under this section; and

                     (b)  anything in the regulations or the applied provisions.

             (3)  A direction under this section may make provision in relation to a matter by applying, adopting or incorporating (with or without modification) a code of practice or standard contained in an instrument:

                     (a)  as in force or existing at the time when the direction takes effect; or

                     (b)  as in force or existing from time to time;

so long as the code of practice or standard is relevant to that matter.

             (4)  To avoid doubt, subsection (3) applies to an instrument, whether issued or made in Australia or outside Australia.

             (5)  A direction under this section may prohibit the doing of an act or thing:

                     (a)  unconditionally; or

                     (b)  subject to conditions, including conditions requiring the consent or approval of a person specified in the direction.

             (6)  A direction under this section is not a legislative instrument.

352  Compliance with directions

             (1)  A person commits an offence if:

                     (a)  the person is given a direction under section 351; and

                     (b)  the person engages in conduct; and

                     (c)  the person’s conduct breaches the direction.

Penalty:  100 penalty units.

             (2)  An offence against subsection (1) is an offence of strict liability.

Note:          For strict liability, see section 6.1 of the Criminal Code.


 

Division 5Special greenhouse gas holding lessee may be requested to apply for a greenhouse gas injection licence

353  Responsible Commonwealth Minister may request special greenhouse gas holding lessee to apply for a greenhouse gas injection licence

             (1)  If:

                     (a)  a special greenhouse gas holding lease is in force; and

                     (b)  one or more identified greenhouse gas storage formations are wholly situated in the lease area; and

                     (c)  the responsible Commonwealth Minister is satisfied that, if the lessee were to apply under section 361 for the grant of a greenhouse gas injection licence over the block or blocks in which the identified greenhouse gas storage formation or formations are wholly situated, the responsible Commonwealth Minister would not refuse to grant the greenhouse gas injection licence on a ground covered by paragraph 362(2)(c), (d), (e), (f) or (g);

the responsible Commonwealth Minister may, by written notice given to the lessee:

                     (d)  request the lessee to notify the responsible Commonwealth Minister, within 180 days after the day on which the notice is given to the lessee, of the lessee’s intention to apply for the greenhouse gas injection licence; and

                     (e)  request the lessee to apply for the greenhouse gas injection licence within 2 years after the day on which the notice is given to the lessee.

             (2)  If the lessee does not comply with a request under subsection (1), the responsible Commonwealth Minister may cancel the lease.


 

Division 6Cancellation of certain greenhouse gas holding leases granted to the holders of petroleum retention leases

354  Cancellation of certain greenhouse gas holding leases granted to the holders of petroleum retention leases

Scope

             (1)  This section applies if:

                     (a)  a greenhouse gas holding lease is tied to a petroleum retention lease; and

                     (b)  the petroleum retention lease is cancelled, surrendered or wholly revoked.

Cancellation of greenhouse gas holding lease

             (2)  The responsible Commonwealth Minister must cancel the greenhouse gas holding lease.


 

Part 3.4Greenhouse gas injection licences

Division 1General provisions

355  Simplified outline

                   The following is a simplified outline of this Part:

•      It is an offence to:

               (a)     inject a substance into the seabed or subsoil of an offshore area; or

               (b)     store (whether on a permanent basis or otherwise) a substance in the seabed or subsoil of an offshore area;

       except:

               (c)     under a greenhouse gas injection licence; or

               (d)     as otherwise authorised or required by or under this Act or any other law of the Commonwealth; or

               (e)     if the injection or storage operations are specified in the regulations.

•      This Part provides for the grant of greenhouse gas injection licences over blocks in an offshore area.

•      A greenhouse gas injection licence authorises the licensee to carry out operations for the injection and permanent storage of greenhouse gas substances in the licence area, so long as the greenhouse gas substance is injected into, or permanently stored in, an identified greenhouse gas storage formation.

•      There are 2 ways in which a greenhouse gas injection licence can be granted:

               (a)     grant of a greenhouse gas injection licence as a result of an application made by a greenhouse gas assessment permittee or greenhouse gas holding lessee;

               (b)     grant of a greenhouse gas injection licence as a result of an application made by a petroleum production licensee.

356  Prohibition of unauthorised injection and storage of substances in offshore area

             (1)  A person commits an offence if:

                     (a)  the person carries on operations to inject a substance into the seabed or subsoil of an offshore area; or

                     (b)  the person carries on operations to store (whether on a permanent basis or otherwise) a substance in the seabed or subsoil of an offshore area.

Penalty:  Imprisonment for 5 years.

             (2)  Subsection (1) does not apply if the operations are:

                     (a)  authorised by a greenhouse gas injection licence; or

                     (b)  otherwise authorised or required by or under:

                              (i)  this Act; or

                             (ii)  any other law of the Commonwealth; or

                     (c)  specified in the regulations.

Note:          The defendant bears an evidential burden in relation to the matter in subsection (2)—see subsection 13.3(3) of the Criminal Code.

357  Rights conferred by greenhouse gas injection licence

             (1)  A greenhouse gas injection licence authorises the licensee, in accordance with the conditions (if any) to which the licence is subject:

                     (a)  to inject a greenhouse gas substance into an identified greenhouse gas storage formation that is wholly situated in the licence area, so long as the relevant well is situated in the licence area; and

                     (b)  to permanently store a greenhouse gas substance in an identified greenhouse gas storage formation that is wholly situated in the licence area, so long as the injection of the stored greenhouse gas substance takes place at a well situated in the licence area; and

                     (c)  to explore in the licence area for a potential greenhouse gas storage formation; and

                     (d)  to explore in the licence area for a potential greenhouse gas injection site; and

                     (e)  to inject, on an appraisal basis, a greenhouse gas substance into a part of a geological formation, so long as the relevant well is situated in the licence area; and

                      (f)  to store, on an appraisal basis, a greenhouse gas substance in a part of a geological formation, so long as the injection of the stored greenhouse gas substance takes place at a well situated in the licence area; and

                     (g)  to inject, on an appraisal basis:

                              (i)  air; or

                             (ii)  petroleum; or

                            (iii)  water;

                            into a part of a geological formation for purposes in connection with the exploration authorised by paragraph (c) or (d), so long as the relevant well is situated in the licence area; and

                     (h)  to store, on an appraisal basis:

                              (i)  air; or

                             (ii)  petroleum; or

                            (iii)  water;

                            in a part of a geological formation for purposes in connection with the exploration authorised by paragraph (c) or (d), so long as the injection of the stored air, petroleum or water takes place at a well situated in the licence area; and

                      (i)  with the written consent of the responsible Commonwealth Minister, to recover petroleum in the licence area for the sole purpose of appraising a discovery of petroleum that was made as an incidental consequence of:

                              (i)  the injection authorised by paragraph (a), (e) or (g); or

                             (ii)  the exploration authorised by paragraph (c) or (d); and

                      (j)  to carry on such operations, and execute such works, in the licence area as are necessary for those purposes.

             (2)  The rights conferred on the licensee by subsection (1) are subject to this Act and the regulations.

             (3)  If petroleum is recovered by the licensee in the licence area as authorised by paragraph (1)(i), the petroleum does not become the property of the licensee.

             (4)  A greenhouse gas injection licence does not authorise the licensee to make a well outside the licence area.

358  Conditions of greenhouse gas injection licences

             (1)  The responsible Commonwealth Minister may grant a greenhouse gas injection licence subject to whatever conditions the responsible Commonwealth Minister thinks appropriate.

             (2)  The conditions (if any) must be specified in the licence.

Injection and storage of greenhouse gas substance

             (3)  A greenhouse gas injection licence is subject to the condition that the licensee will not:

                     (a)  inject a greenhouse gas substance into an identified greenhouse gas storage formation that is wholly situated in the licence area; or

                     (b)  permanently store a greenhouse gas substance in an identified greenhouse gas storage formation that is wholly situated in the licence area;

unless:

                     (c)  the identified greenhouse gas storage formation is specified in the licence; and

                     (d)  the greenhouse gas substance is of a kind that is specified in the licence; and

                     (e)  the greenhouse gas substance complies with such requirements (if any) as are specified in the licence; and

                      (f)  the origin or origins of the greenhouse gas substance are as specified in the licence; and

                     (g)  the greenhouse gas substance is injected at a potential greenhouse gas injection site or sites specified in the licence; and

                     (h)  the greenhouse gas substance is injected during a period specified in the licence; and

                      (i)  the sum of:

                              (i)  the total amount of greenhouse gas substance that has already been injected into the identified greenhouse gas storage formation; and

                             (ii)  the total amount of greenhouse gas substance that is proposed to be injected into the identified greenhouse gas storage formation;

                            does not exceed the amount specified in the licence; and

                      (j)  the rate, or range of rates, of injection of the greenhouse gas substance is as specified in the licence; and

                     (k)  in a case where the fundamental suitability determinants of the identified greenhouse gas storage formation include particular engineering enhancements—those engineering enhancements have been made.

             (4)  The matters specified in the licence as mentioned in paragraphs (3)(d) to (k) must not be inconsistent with the fundamental suitability determinants of the identified greenhouse gas storage formation concerned.

             (5)  To avoid doubt, 2 or more identified greenhouse gas storage formations may be specified in a greenhouse gas injection licence as mentioned in paragraph (3)(c).

             (6)  If 2 or more identified greenhouse gas storage formations are specified in a greenhouse gas injection licence, different matters may be specified in the licence as mentioned in paragraphs (3)(d) to (j) for different identified greenhouse gas storage formations.

             (7)  For the purposes of paragraph (3)(f), disregard any incidental greenhouse gas‑related substances in determining the origin of a greenhouse gas substance.

             (8)  If a greenhouse gas injection licence is granted under section 372 to the registered holder of a petroleum production licence, the origin or origins specified under paragraph (3)(f) of this section must be situated in the licence area of the petroleum production licence.

             (9)  If a greenhouse gas injection licence is tied to a petroleum production licence, the origin or origins specified under paragraph (3)(f) of this section must be situated in the licence area of the petroleum production licence.

           (10)  The condition mentioned in subsection (3) must be specified in the licence.

Securities

           (11)  A greenhouse gas injection licence is subject to the condition that, if the licensee is given a notice under section 454, the licensee will comply with the notice.

Access regime

           (12)  A greenhouse gas injection licence is subject to the condition that, if:

                     (a)  regulations are made for the purposes of subsection (13); and

                     (b)  those regulations impose requirements on the licensee;

the licensee will comply with those requirements.

           (13)  The regulations may establish a regime for third party access to services provided by means of the use of:

                     (a)  identified greenhouse gas storage formations; or

                     (b)  wells, equipment or structures for use in injecting greenhouse gas substances into identified greenhouse gas storage formations; or

                     (c)  equipment or structures for use in the processing, compressing or storing of greenhouse gas substances prior to the injection of the substances into identified greenhouse gas storage formations.

Imposition of additional conditions

           (14)  The responsible Commonwealth Minister may, by written notice given to the registered holder of a greenhouse gas injection licence, vary the licence by imposing one or more conditions to which the licence is subject.

           (15)  A variation of a greenhouse gas injection licence under subsection (14) takes effect on the day on which notice of the variation is given to the licensee.

           (16)  If:

                     (a)  a greenhouse gas injection licence is subject to a condition; and

                     (b)  the condition was imposed under subsection (14);

the responsible Commonwealth Minister may, by written notice given to the licensee, vary or revoke the condition.

           (17)  A variation of a greenhouse gas injection licence under subsection (16) takes effect on the day on which notice of the variation is given to the licensee.

           (18)  Subsection (17) does not limit section 436.

Other provisions

           (19)  Despite subsection (2), the conditions mentioned in subsections (11) and (12) do not need to be specified in the licence.

           (20)  Subsections (3), (11) and (12) do not limit subsection (1) or (14).

359  Duration of greenhouse gas injection licence

             (1)  A greenhouse gas injection licence remains in force indefinitely.

             (2)  Subsection (1) has effect subject to this Chapter.

Note 1:       For a special rule about when a greenhouse gas injection licence ceases to be in force following the grant of a greenhouse gas holding lease, see section 334.

Note 2:       For the termination of a greenhouse gas injection licence if there have been no injection operations for 5 years, see section 360.

Note 3:       For the surrender of a greenhouse gas injection licence, see Part 3.10.

Note 4:       For the cancellation of a greenhouse gas injection licence, see Part 3.11.

360  Termination of greenhouse gas injection licence if no injection operations for 5 years

Scope

             (1)  This section applies to a greenhouse gas injection licence if:

                     (a)  both:

                              (i)  a single identified greenhouse gas storage formation is specified in the licence; and

                             (ii)  no operations to inject a greenhouse gas substance into the identified greenhouse gas storage formation have been carried on under the licence at any time during a continuous period of at least 5 years; or

                     (b)  both:

                              (i)  2 or more identified greenhouse gas storage formations are specified in the licence; and

                             (ii)  no operations to inject a greenhouse gas substance into any of those identified greenhouse gas storage formations have been carried on under the licence at any time during a continuous period of at least 5 years.

Termination of licence

             (2)  The responsible Commonwealth Minister may, by written notice given to the licensee, tell the licensee that the responsible Commonwealth Minister proposes to terminate the licence after the end of 30 days after the notice is given.

             (3)  At any time after the end of 30 days after the notice is given to the licensee, the responsible Commonwealth Minister may, by written notice given to the licensee, terminate the licence.

Note:          For remedial directions following termination, see section 595.

             (4)  In working out, for the purposes of this section, the period in which no operations to inject a greenhouse gas substance into an identified greenhouse gas storage formation were carried on under a greenhouse gas injection licence, disregard:

                     (a)  any period in which no such operations were carried on because of circumstances beyond the licensee’s control; and

                     (b)  any period in which no such operations were carried on because of a suspension under section 383.

             (5)  For the purposes of paragraph (4)(a), the failure to obtain a greenhouse gas substance for injection into an identified greenhouse gas storage formation is not a circumstance beyond the licensee’s control.

Consultation

             (6)  The responsible Commonwealth Minister may give a copy of a notice under subsection (2) to such other persons (if any) as the responsible Commonwealth Minister thinks fit.

             (7)  A notice under subsection (2) must:

                     (a)  invite a person to whom the notice, or a copy of the notice, has been given to make a written submission to the responsible Commonwealth Minister about the proposal to terminate the licence; and

                     (b)  specify a time limit for making that submission.

             (8)  In deciding whether to terminate the licence, the responsible Commonwealth Minister must take into account any submissions made in accordance with the notice.


 

Division 2Obtaining a greenhouse gas injection licence

Subdivision AApplication for greenhouse gas injection licence by the holder of a greenhouse gas assessment permit or greenhouse gas holding lease

361  Application for greenhouse gas injection licence by greenhouse gas assessment permittee or greenhouse gas holding lessee

Scope

             (1)  This section applies if:

                     (a)  a greenhouse gas assessment permit or greenhouse gas holding lease is in force; and

                     (b)  one or more identified greenhouse gas storage formations are wholly situated in the permit area or lease area.

Single identified greenhouse gas storage formation

             (2)  If a single identified greenhouse gas storage formation extends to:

                     (a)  only one block in the permit area or lease area; or

                     (b)  2 or more blocks in the permit area or lease area;

the permittee or lessee may apply to the responsible Commonwealth Minister for the grant of a greenhouse gas injection licence over the block or blocks to which the identified greenhouse gas storage formation extends.

Multiple identified greenhouse gas storage formations

             (3)  If:

                     (a)  2 or more identified greenhouse gas storage formations, when considered together, extend to only one block in the permit area or lease area; and

                     (b)  a vertical line would not pass through a point in each of those identified greenhouse gas storage formations;

the permittee or lessee may apply to the responsible Commonwealth Minister for the grant of a greenhouse gas injection licence over the block to which the identified greenhouse gas storage formations extend.

             (4)  If:

                     (a)  2 or more identified greenhouse gas storage formations, when considered together, extend to:

                              (i)  only one block in the permit area or lease area; or

                             (ii)  2 or more blocks in the permit area or lease area; and

                     (b)  a vertical line would pass through a point in each of those identified greenhouse gas storage formations;

the permittee or lessee may apply to the responsible Commonwealth Minister for the grant of a greenhouse gas injection licence over the block or blocks to which the identified greenhouse gas storage formations, when considered together, extend.

             (5)  If:

                     (a)  2 or more identified greenhouse gas storage formations, when considered together, extend to 2 or more blocks in the permit area or lease area; and

                     (b)  a vertical line would not pass through a point in each of those identified greenhouse gas storage formations; and

                     (c)  for each identified greenhouse gas storage formation, at least one of the blocks to which the identified greenhouse gas storage formation extends immediately adjoins a block to which the other, or another, of those identified greenhouse gas storage formations extends;

the permittee or lessee may apply to the responsible Commonwealth Minister for the grant of a greenhouse gas injection licence over the blocks to which the identified greenhouse gas storage formations, when considered together, extend.

             (6)  For the purposes of subsection (5), a block immediately adjoins another block if the graticular section that constitutes or includes that block and the graticular section that constitutes or includes that other block:

                     (a)  have a side in common; or

                     (b)  are joined together at one point only.

Limit on application

             (7)  If a greenhouse gas holding lease was granted under section 345 (or was granted by way of renewal of such a lease), the lessee is not entitled to make an application under this section unless:

                     (a)  the greenhouse gas holding lease is tied to a petroleum production licence; and

                     (b)  the lessee is the registered holder of the petroleum production licence.

Application

             (8)  An application under this section must set out, for each identified greenhouse gas storage formation, each of the matters which the applicant seeks to have specified in the licence as mentioned in paragraphs 358(3)(d) to (k).

             (9)  The matters set out in the application in accordance with subsection (8) must not be inconsistent with the fundamental suitability determinants of the identified greenhouse gas storage formation concerned.

           (10)  An application under this section must be accompanied by:

                     (a)  a draft site plan for the identified greenhouse gas storage formation or draft site plans for each of the identified greenhouse gas storage formations; and

                     (b)  details of the applicant’s proposals for work and expenditure in relation to:

                              (i)  if there is a single identified greenhouse gas storage formation—the block or blocks, as the case may be, to which the identified greenhouse gas storage formation extends; or

                             (ii)  if there are 2 or more identified greenhouse gas storage formations—the block or blocks, as the case may be, to which the identified greenhouse gas storage formations, when considered together, extend; and

                     (c)  details of:

                              (i)  the technical qualifications of the applicant and of the applicant’s employees; and

                             (ii)  the technical advice available to the applicant; and

                            (iii)  the financial resources available to the applicant; and

                     (d)  such other information (if any) as is specified in the regulations.

Note 1:       Part 3.8 contains additional provisions about application procedures.

Note 2:       Section 427 requires the application to be accompanied by an application fee.

Note 3:       Section 429 enables the responsible Commonwealth Minister to require the applicant to give further information.

Variation of application

           (11)  At any time before an offer document, or a notice of refusal, relating to the application is given to the applicant, the applicant may, by written notice given to the responsible Commonwealth Minister, vary the application.

           (12)  A variation of an application must be made in the approved manner.

           (13)  A variation of an application may be made:

                     (a)  on the applicant’s own initiative; or

                     (b)  at the request of the responsible Commonwealth Minister.

           (14)  A variation of an application may set out any additional matters that the applicant wishes to be considered.

           (15)  If an application under this section is varied, a reference in this Act to the application is a reference to the application as varied.

362  Offer document

Application by permittee

             (1)  If:

                     (a)  an application for the grant of a greenhouse gas injection licence has been made under section 361 by a greenhouse gas assessment permittee; and

                     (b)  the responsible Commonwealth Minister is satisfied that, if the greenhouse gas injection licence were granted to the applicant, the applicant will, within 5 years after the grant, commence operations to:

                              (i)  inject a greenhouse gas substance into the identified greenhouse gas storage formation, or at least one of the identified greenhouse gas storage formations, concerned; and

                             (ii)  permanently store the greenhouse gas substance in the identified greenhouse gas storage formation, or at least one of the identified greenhouse gas storage formations, concerned; and

                     (c)  if the responsible Commonwealth Minister is satisfied that there is a significant risk that any of the operations that could be carried on under the greenhouse gas injection licence will have a significant adverse impact on petroleum exploration operations, or petroleum recovery operations, that are being, or could be, carried on under:

                              (i)  an existing post‑commencement petroleum exploration permit; or

                             (ii)  an existing post‑commencement petroleum retention lease (other than a petroleum retention lease granted under section 150); or

                            (iii)  a future post‑commencement petroleum production licence over the block or any of the blocks to which an existing post‑commencement petroleum exploration permit, or an existing post‑commencement petroleum retention lease (other than a petroleum retention lease granted under section 150), relates;

                            the responsible Commonwealth Minister is satisfied that the grant of the greenhouse gas injection licence is in the public interest; and

                     (d)  if the responsible Commonwealth Minister is satisfied that there is a significant risk that any of the operations that could be carried on under the greenhouse gas injection licence will have a significant adverse impact on petroleum exploration operations, or petroleum recovery operations, that are being, or could be, carried on under:

                              (i)  an existing pre‑commencement petroleum title held by a person other than the applicant; or

                             (ii)  an existing petroleum production licence held by a person other than the applicant;

                            the responsible Commonwealth Minister is satisfied that:

                            (iii)  the registered holder of the pre‑commencement petroleum title or the petroleum production licence, as the case may be, has agreed, in writing, to the grant of the greenhouse gas injection licence; and

                            (iv)  to the extent to which the agreement is a dealing to which Part 4.6 applies—the dealing has been approved under section 493 or is reasonably likely to be approved under that section; and

                             (v)  to the extent to which the agreement is a dealing to which Part 5.6 would apply if the greenhouse gas injection licence were to come into existence—it is reasonably likely that the dealing would, after the greenhouse gas injection licence comes into existence, be approved under section 543; and

                     (e)  if:

                              (i)  the responsible Commonwealth Minister is satisfied that there is a significant risk that any of the operations that could be carried on under the greenhouse gas injection licence will have a significant adverse impact on petroleum exploration operations, or petroleum recovery operations, that could be carried on under a future pre‑commencement petroleum title over a block or blocks; and

                             (ii)  the existing pre‑commencement petroleum title in force over the block or any of the blocks is held by a person other than the applicant;

                            the responsible Commonwealth Minister is satisfied that:

                            (iii)  the registered holder of the existing pre‑commencement petroleum title has agreed, in writing, to the grant of the greenhouse gas injection licence; and

                            (iv)  to the extent to which the agreement is a dealing to which Part 4.6 applies—the dealing has been approved under section 493 or is reasonably likely to be approved under that section; and

                             (v)  to the extent to which the agreement is a dealing to which Part 4.6 would apply if the future pre‑commencement petroleum title were to come into existence—it is reasonably likely that the dealing would, after the future pre‑commencement petroleum title comes into existence, be approved under section 493; and

                            (vi)  to the extent to which the agreement is a dealing to which Part 5.6 would apply if the greenhouse gas injection licence were to come into existence—it is reasonably likely that the dealing would, after the greenhouse gas injection licence comes into existence, be approved under section 543; and

                      (f)  if:

                              (i)  the responsible Commonwealth Minister is satisfied that the area comprised in the block, or any one or more of the blocks, specified in the application contains petroleum; and

                             (ii)  the block or blocks as to which the responsible Commonwealth Minister is so satisfied are within the licence area of a petroleum production licence, the permit area of a pre‑commencement petroleum exploration permit or the lease area of a pre‑commencement petroleum retention lease; and

                            (iii)  the recovery of the petroleum passes the commercial viability test set out in subsection (5);

                            the responsible Commonwealth Minister is satisfied that there is no significant risk that any of the operations that could be carried on under the greenhouse gas injection licence will have a significant adverse impact on operations to recover the petroleum; and

                     (g)  the responsible Commonwealth Minister is satisfied that:

                              (i)  the technical qualifications of the applicant and of the applicant’s employees; and

                             (ii)  the technical advice available to the applicant; and

                            (iii)  the financial resources available to the applicant;

                            are adequate; and

                     (h)  the responsible Commonwealth Minister is satisfied that the draft site plan that accompanied the application satisfies the criteria specified in the regulations;

the responsible Commonwealth Minister must give the applicant a written notice (called an offer document) telling the applicant that the responsible Commonwealth Minister is prepared to grant the applicant a greenhouse gas injection licence over the block or blocks specified in the application, on the basis that the matters to be specified in the greenhouse gas injection licence as mentioned in paragraphs 358(3)(d) to (k) will be in accordance with the application.

Application by lessee

             (2)  If:

                     (a)  an application for the grant of a greenhouse gas injection licence has been made under section 361 by a greenhouse gas holding lessee; and

                     (b)  the responsible Commonwealth Minister is satisfied that, if the greenhouse gas injection licence were granted to the applicant, the applicant will, within 5 years after the grant, commence operations to:

                              (i)  inject a greenhouse gas substance into the identified greenhouse gas storage formation, or at least one of the identified greenhouse gas storage formations, concerned; and

                             (ii)  permanently store the greenhouse gas substance in the identified greenhouse gas storage formation, or at least one of the identified greenhouse gas storage formations, concerned; and

                     (c)  if the responsible Commonwealth Minister is satisfied that there is a significant risk that any of the operations that could be carried on under the greenhouse gas injection licence will have a significant adverse impact on petroleum exploration operations, or petroleum recovery operations, that are being, or could be, carried on under:

                              (i)  an existing post‑commencement petroleum exploration permit; or

                             (ii)  an existing post‑commencement petroleum retention lease (other than a petroleum retention lease granted under section 150); or

                            (iii)  a future post‑commencement petroleum production licence over the block or any of the blocks to which an existing post‑commencement petroleum exploration permit, or an existing post‑commencement petroleum retention lease (other than a petroleum retention lease granted under section 150), relates;

                            the responsible Commonwealth Minister is satisfied that the grant of the greenhouse gas injection licence is in the public interest; and

                     (d)  if the responsible Commonwealth Minister is satisfied that there is a significant risk that any of the operations that could be carried on under the greenhouse gas injection licence will have a significant adverse impact on petroleum exploration operations, or petroleum recovery operations, that are being, or could be, carried on under:

                              (i)  an existing pre‑commencement petroleum title held by a person other than the applicant; or

                             (ii)  an existing petroleum production licence held by a person other than the applicant;

                            the responsible Commonwealth Minister is satisfied that:

                            (iii)  the registered holder of the pre‑commencement petroleum title or the petroleum production licence, as the case may be, has agreed, in writing, to the grant of the greenhouse gas injection licence; and

                            (iv)  to the extent to which the agreement is a dealing to which Part 4.6 applies—the dealing has been approved under section 493 or is reasonably likely to be approved under that section; and

                             (v)  to the extent to which the agreement is a dealing to which Part 5.6 would apply if the greenhouse gas injection licence were to come into existence—it is reasonably likely that the dealing would, after the greenhouse gas injection licence comes into existence, be approved under section 543; and

                     (e)  if:

                              (i)  the responsible Commonwealth Minister is satisfied that there is a significant risk that any of the operations that could be carried on under the greenhouse gas injection licence will have a significant adverse impact on petroleum exploration operations, or petroleum recovery operations, that could be carried on under a future pre‑commencement petroleum title over a block or blocks; and

                             (ii)  the existing pre‑commencement petroleum title in force over the block or any of the blocks is held by a person other than the applicant;

                            the responsible Commonwealth Minister is satisfied that:

                            (iii)  the registered holder of the existing pre‑commencement petroleum title has agreed, in writing, to the grant of the greenhouse gas injection licence; and

                            (iv)  to the extent to which the agreement is a dealing to which Part 4.6 applies—the dealing has been approved under section 493 or is reasonably likely to be approved under that section; and

                             (v)  to the extent to which the agreement is a dealing to which Part 4.6 would apply if the future pre‑commencement petroleum title were to come into existence—it is reasonably likely that the dealing would, after the future pre‑commencement petroleum title comes into existence, be approved under section 493; and

                            (vi)  to the extent to which the agreement is a dealing to which Part 5.6 would apply if the greenhouse gas injection licence were to come into existence—it is reasonably likely that the dealing would, after the greenhouse gas injection licence comes into existence, be approved under section 543; and

                      (f)  if:

                              (i)  the responsible Commonwealth Minister is satisfied that the area comprised in the block, or any one or more of the blocks, specified in the application contains petroleum; and

                             (ii)  the block or blocks as to which the responsible Commonwealth Minister is so satisfied are within the licence area of a petroleum production licence, the permit area of a pre‑commencement petroleum exploration permit or the lease area of a pre‑commencement petroleum retention lease; and

                            (iii)  the recovery of the petroleum passes the commercial viability test set out in subsection (5);

                            the responsible Commonwealth Minister is satisfied that there is no significant risk that any of the operations that could be carried on under the greenhouse gas injection licence will have a significant adverse impact on operations to recover the petroleum; and

                     (g)  the responsible Commonwealth Minister is satisfied that:

                              (i)  the technical qualifications of the applicant and of the applicant’s employees; and

                             (ii)  the technical advice available to the applicant; and

                            (iii)  the financial resources available to the applicant;

                            are adequate; and

                     (h)  the responsible Commonwealth Minister is satisfied that the draft site plan that accompanied the application satisfies the criteria specified in the regulations;

the responsible Commonwealth Minister must give the applicant a written notice (called an offer document) telling the applicant that the responsible Commonwealth Minister is prepared to grant the applicant a greenhouse gas injection licence over the block or blocks specified in the application, on the basis that the matters to be specified in the greenhouse gas injection licence as mentioned in paragraphs 358(3)(d) to (k) will be in accordance with the application.

Public interest

             (3)  For the purposes of paragraphs (1)(c) and (2)(c), in considering whether the grant of the greenhouse gas injection licence is in the public interest, the responsible Commonwealth Minister must have regard to:

                     (a)  whether the registered holder of the existing post‑commencement petroleum exploration permit or existing post‑commencement petroleum retention lease, as the case may be, has agreed, in writing, to the grant of the greenhouse gas injection licence; and

                     (b)  if so—the terms of that agreement.

             (4)  Subsection (3) does not limit the matters to which the responsible Commonwealth Minister may have regard.

Commercial viability test

             (5)  For the purposes of subparagraphs (1)(f)(iii) and (2)(f)(iii), the recovery of petroleum passes the commercial viability test if, and only if, the responsible Commonwealth Minister is satisfied that:

                     (a)  the recovery is commercially viable; or

                     (b)  the recovery is not commercially viable, but is likely to become commercially viable within 15 years.

Deferral of decision

             (6)  This section has effect subject to section 365.

363  Refusal to grant greenhouse gas injection licence

Scope

             (1)  This section applies if:

                     (a)  an application for a greenhouse gas injection licence has been made under section 361; and

                     (b)  the responsible Commonwealth Minister is not required by section 362 to give the applicant an offer document.

Notice

             (2)  The responsible Commonwealth Minister must, by written notice given to the applicant, refuse to grant the applicant a greenhouse gas injection licence.

Deferral of decision

             (3)  This section has effect subject to section 365.

364  Grant of greenhouse gas injection licence

                   If:

                     (a)  an applicant has been given an offer document under section 362; and

                     (b)  the applicant has made a request under section 431 in relation to the offer document within the period applicable under that section; and

                     (c)  if the offer document specified the form and amount of a security to be lodged by the applicant—the applicant has lodged the security within the period applicable under section 433;

the responsible Commonwealth Minister must grant the applicant a greenhouse gas injection licence over the block or blocks specified in the offer document.

Note 1:       If the applicant does not make a request under section 431 within the period applicable under that section, the application lapses at the end of that period—see subsection 431(4).

Note 2:       If the applicant has not lodged the security within the period applicable under section 433, the application lapses at the end of that period—see section 433.

365  Deferral of decision to grant greenhouse gas injection licence—pending application for post‑commencement petroleum exploration permit

Scope

             (1)  This section applies if:

                     (a)  an application for the grant of a greenhouse gas injection licence has been made under section 361; and

                     (b)  when the application for the greenhouse gas injection licence was made, an application for a post‑commencement petroleum exploration permit was being considered by the Joint Authority; and

                     (c)  the responsible Commonwealth Minister considers that it would be in the public interest to defer taking any action under section 362 or 363 in relation to the application for the grant of the greenhouse gas injection licence until the application for the post‑commencement petroleum exploration permit is finalised.

Deferral

             (2)  The responsible Commonwealth Minister must not take any action under section 362 or 363 in relation to the application for the greenhouse gas injection licence until 24 hours after whichever of the following events happens first:

                     (a)  the Joint Authority grants the post‑commencement petroleum exploration permit to the applicant for the permit;

                     (b)  the application for the post‑commencement petroleum exploration permit lapses;

                     (c)  the Joint Authority refuses to grant the post‑commencement petroleum exploration permit to the applicant for the permit.

366  Greenhouse gas assessment permit or greenhouse gas holding lease ceases to be in force when greenhouse gas injection licence comes into force

                   When a greenhouse gas injection licence under section 364 comes into force in relation to one or more blocks, a greenhouse gas assessment permit or greenhouse gas holding lease ceases to be in force to the extent to which it relates to those blocks.

367  Greenhouse gas assessment permit transfer—transferee to be treated as applicant

Scope

             (1)  This section applies if a transfer of a greenhouse gas assessment permit is registered under section 530:

                     (a)  after an application has been made under section 361 for the grant of a greenhouse gas injection licence over a block or blocks in relation to which the greenhouse gas assessment permit is in force; and

                     (b)  before any action has been taken by the responsible Commonwealth Minister under section 362 or 363 in relation to the application.

Transferee to be treated as applicant

             (2)  After the transfer, sections 361 to 364 and Part 3.8 have effect in relation to the application as if any reference in those sections and that Part to the applicant were a reference to the transferee.

368  Greenhouse gas holding lease transfer—transferee to be treated as applicant

Scope

             (1)  This section applies if a transfer of a greenhouse gas holding lease is registered under section 530:

                     (a)  after an application has been made under section 361 for the grant of a greenhouse gas injection licence over a block or blocks in relation to which the greenhouse gas holding lease is in force; and

                     (b)  before any action has been taken by the responsible Commonwealth Minister under section 362 or 363 in relation to the application.

Transferee to be treated as applicant

             (2)  After the transfer, sections 361 to 364 and Part 3.8 have effect in relation to the application as if any reference in those sections and that Part to the applicant were a reference to the transferee.

Subdivision BApplication for greenhouse gas injection licence by the holder of a petroleum production licence

369  Application for greenhouse gas injection licence by the holder of a petroleum production licence

Scope

             (1)  This section applies if:

                     (a)  a petroleum production licence is in force; and

                     (b)  one or more identified greenhouse gas storage formations are wholly situated in the licence area.

Single identified greenhouse gas storage formation

             (2)  If:

                     (a)  a single identified greenhouse gas storage formation extends to:

                              (i)  only one block in the licence area; or

                             (ii)  2 or more blocks in the licence area; and

                     (b)  none of the following is in force over the block or blocks to which the identified greenhouse gas storage formation extends:

                              (i)  a greenhouse gas injection licence;

                             (ii)  a greenhouse gas holding lease;

                            (iii)  a greenhouse gas assessment permit;

the petroleum production licensee may apply to the responsible Commonwealth Minister for the grant of a greenhouse gas injection licence over the block or blocks to which the identified greenhouse gas storage formation extends.

Multiple identified greenhouse gas storage formations

             (3)  If:

                     (a)  2 or more identified greenhouse gas storage formations, when considered together, extend to only one block in the licence area; and

                     (b)  a vertical line would not pass through a point in each of those identified greenhouse gas storage formations; and

                     (c)  none of the following is in force over the block to which the identified greenhouse gas storage formations, when considered together, extend:

                              (i)  a greenhouse gas injection licence;

                             (ii)  a greenhouse gas holding lease;

                            (iii)  a greenhouse gas assessment permit;

the petroleum production licensee may apply to the responsible Commonwealth Minister for the grant of a greenhouse gas injection licence over the block to which the identified greenhouse gas storage formations, when considered together, extend.

             (4)  If:

                     (a)  2 or more identified greenhouse gas storage formations, when considered together, extend to:

                              (i)  only one block in the licence area; or

                             (ii)  2 or more blocks in the licence area; and

                     (b)  a vertical line would pass through a point in each of those identified greenhouse gas storage formations; and

                     (c)  none of the following is in force over the block or blocks to which the identified greenhouse gas storage formations, when considered together, extend:

                              (i)  a greenhouse gas injection licence;

                             (ii)  a greenhouse gas holding lease;

                            (iii)  a greenhouse gas assessment permit;

the petroleum production licensee may apply to the responsible Commonwealth Minister for the grant of a greenhouse gas injection licence over the block or blocks to which the identified greenhouse gas storage formations, when considered together, extend.

             (5)  If:

                     (a)  2 or more identified greenhouse gas storage formations, when considered together, extend to 2 or more blocks in the licence area; and

                     (b)  a vertical line would not pass through a point in each of those identified greenhouse gas storage formations; and

                     (c)  for each identified greenhouse gas storage formation, at least one of the blocks to which the identified greenhouse gas storage formation extends immediately adjoins a block to which the other, or another, of those identified greenhouse gas storage formations extends; and

                     (d)  none of the following is in force over the blocks to which the identified greenhouse gas storage formations, when considered together, extend:

                              (i)  a greenhouse gas injection licence;

                             (ii)  a greenhouse gas holding lease;

                            (iii)  a greenhouse gas assessment permit;

the petroleum production licensee may apply to the responsible Commonwealth Minister for the grant of a greenhouse gas injection licence over the blocks to which the identified greenhouse gas storage formations, when considered together, extend.

             (6)  For the purposes of subsection (5), a block immediately adjoins another block if the graticular section that constitutes or includes that block and the graticular section that constitutes or includes that other block:

                     (a)  have a side in common; or

                     (b)  are joined together at one point only.

Application

             (7)  An application under this section must set out, for each identified greenhouse gas storage formation, each of the matters which the applicant seeks to have specified in the licence as mentioned in paragraphs 358(3)(d) to (k).

             (8)  The matters set out in the application in accordance with subsection (7) must not be inconsistent with the fundamental suitability determinants of the identified greenhouse gas storage formation concerned.

             (9)  An application under this section must be accompanied by:

                     (a)  a draft site plan for the identified greenhouse gas storage formation or draft site plans for each of the identified greenhouse gas storage formations; and

                     (b)  details of the applicant’s proposals for work and expenditure in relation to:

                              (i)  if there is a single identified greenhouse gas storage formation—the block or blocks, as the case may be, to which the identified greenhouse gas storage formation extends; or

                             (ii)  if there are 2 or more identified greenhouse gas storage formations—the block or blocks, as the case may be, to which the identified greenhouse gas storage formations, when considered together, extend; and

                     (c)  details of:

                              (i)  the technical qualifications of the applicant and of the applicant’s employees; and

                             (ii)  the technical advice available to the applicant; and

                            (iii)  the financial resources available to the applicant; and

                     (d)  such other information (if any) as is specified in the regulations.

Note 1:       Part 3.8 contains additional provisions about application procedures.

Note 2:       Section 427 requires the application to be accompanied by an application fee.

Note 3:       Section 429 enables the responsible Commonwealth Minister to require the applicant to give further information.

Variation of application

           (10)  At any time before an offer document, or a notice of refusal, relating to the application is given to the applicant, the applicant may, by written notice given to the responsible Commonwealth Minister, vary the application.

           (11)  A variation of an application must be made in the approved manner.

           (12)  A variation of an application may be made:

                     (a)  on the applicant’s own initiative; or

                     (b)  at the request of the responsible Commonwealth Minister.

           (13)  A variation of an application may set out any additional matters that the applicant wishes to be considered.

           (14)  If an application under this section is varied, a reference in this Act to the application is a reference to the application as varied.

370  Grant of greenhouse gas injection licence—offer document

                   If:

                     (a)  an application for a greenhouse gas injection licence has been made under section 369 by the registered holder of a petroleum production licence; and

                     (b)  the responsible Commonwealth Minister is satisfied that, if the greenhouse gas injection licence were granted to the applicant, the applicant will, within 5 years after the grant, commence operations to:

                              (i)  inject a greenhouse gas substance into the identified greenhouse gas storage formation or formations concerned; and

                             (ii)  permanently store the greenhouse gas substance in the identified greenhouse gas storage formation or formations concerned; and

                     (c)  either:

                              (i)  the responsible Commonwealth Minister is satisfied that all of the greenhouse gas substance injected into the identified greenhouse gas storage formation or formations concerned will be obtained as a by‑product of petroleum recovery operations carried on under the petroleum production licence; or

                             (ii)  the responsible Commonwealth Minister is satisfied that some or all of the greenhouse gas substance injected into the identified greenhouse gas storage formation or formations concerned will be obtained as a by‑product of petroleum recovery operations carried on under any petroleum production licence, and that the grant of the greenhouse gas injection licence is in the public interest; and

                     (d)  if the responsible Commonwealth Minister is satisfied that there is a significant risk that any of the operations that could be carried on under the greenhouse gas injection licence will have a significant adverse impact on petroleum exploration operations, or petroleum recovery operations, that are being, or could be, carried on under:

                              (i)  an existing post‑commencement petroleum exploration permit; or

                             (ii)  an existing post‑commencement petroleum retention lease (other than a petroleum retention lease granted under section 150); or

                            (iii)  a future post‑commencement petroleum production licence over the block or any of the blocks to which an existing post‑commencement petroleum exploration permit, or an existing post‑commencement petroleum retention lease (other than a petroleum retention lease granted under section 150), relates;

                            the responsible Commonwealth Minister is satisfied that:

                            (iv)  the grant of the greenhouse gas injection licence is in the public interest; or

                             (v)  the registered holder of the petroleum exploration permit or petroleum retention lease, as the case may be, has agreed, in writing, to the grant of the greenhouse gas injection licence to the applicant; and

                     (e)  if the responsible Commonwealth Minister is satisfied that there is a significant risk that any of the operations that could be carried on under the greenhouse gas injection licence will have a significant adverse impact on petroleum exploration operations, or petroleum recovery operations, that are being, or could be, carried on under an existing pre‑commencement petroleum title—the responsible Commonwealth Minister is satisfied that the registered holder of the pre‑commencement petroleum title has agreed, in writing, to the grant of the greenhouse gas injection licence to the applicant; and

                      (f)  if:

                              (i)  the responsible Commonwealth Minister is satisfied that there is a significant risk that any of the operations that could be carried on under the greenhouse gas injection licence will have a significant adverse impact on petroleum exploration operations, or petroleum recovery operations, that could be carried on under a future pre‑commencement petroleum title over a block or blocks; and

                             (ii)  a petroleum exploration permit, petroleum retention lease or petroleum production licence is in force over the block or any of the blocks;

                            the responsible Commonwealth Minister is satisfied that the registered holder of the petroleum exploration permit, petroleum retention lease or petroleum production licence covered by subparagraph (ii) has agreed, in writing, to the grant of the greenhouse gas injection licence; and

                     (g)  if the responsible Commonwealth Minister is satisfied that there is a significant risk that any of the operations that could be carried on under the greenhouse gas injection licence will have a significant adverse impact on:

                              (i)  petroleum explorations operations; or

                             (ii)  petroleum recovery operations;

                            that are being, or could be, carried on under an existing petroleum production licence held by a person other than the applicant—the responsible Commonwealth Minister is satisfied that the registered holder of the petroleum production licence has agreed, in writing, to the grant of the greenhouse gas injection licence to the applicant; and

                     (h)  the responsible Commonwealth Minister is satisfied that:

                              (i)  the technical qualifications of the applicant and of the applicant’s employees; and

                             (ii)  the technical advice available to the applicant; and

                            (iii)  the financial resources available to the applicant;

                            are adequate; and

                      (i)  the responsible Commonwealth Minister is satisfied that the draft site plan that accompanied the application satisfies the criteria specified in the regulations;

the responsible Commonwealth Minister may give the applicant a written notice (called an offer document) telling the applicant that the responsible Commonwealth Minister is prepared to grant the applicant a greenhouse gas injection licence over the block or blocks specified in the application, on the basis that the matters to be specified in the greenhouse gas injection licence as mentioned in paragraphs 358(3)(d) to (k) will be in accordance with the application.

371  Refusal to grant greenhouse gas injection licence

Scope

             (1)  This section applies if:

                     (a)  an application for a greenhouse gas injection licence has been made under section 369; and

                     (b)  the responsible Commonwealth Minister refuses to give the applicant an offer document.

Notice

             (2)  The responsible Commonwealth Minister must, by written notice given to the applicant, refuse to grant the applicant a greenhouse gas injection licence.

372  Grant of greenhouse gas injection licence

                   If:

                     (a)  an applicant has been given an offer document under section 370; and

                     (b)  the applicant has made a request under section 431 in relation to the offer document within the period applicable under that section; and

                     (c)  if the offer document specified the form and amount of a security to be lodged by the applicant—the applicant has lodged the security within the period applicable under section 433;

the responsible Commonwealth Minister must grant the applicant a greenhouse gas injection licence over the block or blocks specified in the offer document.

Note 1:       If the applicant does not make a request under section 431 within the period applicable under that section, the application lapses at the end of that period—see subsection 431(4).

Note 2:       If the applicant has not lodged the security within the period applicable under section 433, the application lapses at the end of that period—see section 433.

373  Petroleum production licence transferred—transferee to be treated as applicant

Scope

             (1)  This section applies if a transfer of a petroleum production licence is registered under section 479:

                     (a)  after an application has been made under section 369 for the grant of a greenhouse gas injection licence over a block or blocks in relation to which the petroleum production licence is in force; and

                     (b)  before any action has been taken by the responsible Commonwealth Minister under section 370 or 371 in relation to the application.

Transferee to be treated as applicant

             (2)  After the transfer, sections 369 to 372 and Part 3.8 have effect in relation to the application as if any reference in those sections and that Part to the applicant were a reference to the transferee.


 

Division 3Variations

374  Variation of matters specified in greenhouse gas injection licence—general

Application

             (1)  A greenhouse gas injection licensee may apply to the responsible Commonwealth Minister for the variation by the responsible Commonwealth Minister of a matter specified in the licence as mentioned in any of paragraphs 358(3)(c) to (k).

Note 1:       Consultation procedures apply—see section 434.

Note 2:       Part 3.8 contains additional provisions about application procedures.

Note 3:       Section 427 requires the application to be accompanied by an application fee.

Note 4:       Section 429 enables the responsible Commonwealth Minister to require the applicant to give further information.

             (2)  An application under subsection (1) must:

                     (a)  set out the proposed variation; and

                     (b)  specify the reasons for the proposed variation.

Variation

             (3)  If an application is made under subsection (1), the responsible Commonwealth Minister may, by written notice given to the licensee:

                     (a)  vary the matter in accordance with the application; or

                     (b)  refuse to vary the matter in accordance with the application.

             (4)  If a matter specified in the licence as mentioned in any of paragraphs 358(3)(c) to (k) is varied under this section, the varied matter must not be inconsistent with the fundamental suitability determinants of the identified greenhouse gas storage formation concerned.

             (5)  A variation of a matter under this section takes effect on the day on which notice of the variation is published in the Gazette.

Note:          For publication in the Gazette of notice of the variation, see section 734.

375  Variation of matters specified in greenhouse gas injection licence—declaration of identified greenhouse gas storage formation varied

Scope

             (1)  This section applies in relation to a greenhouse gas injection licence if:

                     (a)  a declaration is in force under section 312 in relation to an identified greenhouse gas storage formation that is wholly situated in the licence area; and

                     (b)  the declaration is varied under section 313; and

                     (c)  apart from this section, a matter specified in the declaration would be inconsistent with a matter specified in the licence as mentioned in any of paragraphs 358(3)(c) to (k).

Variation of a matter specified in the licence

             (2)  The responsible Commonwealth Minister must, by written notice given to the licensee, vary the matter specified in the licence as mentioned in any of paragraphs 358(3)(c) to (k) for the purposes of removing that inconsistency.

             (3)  A variation of a matter under this section takes effect on the day on which notice of the variation is published in the Gazette.

Note:          For publication in the Gazette of notice of the variation, see section 734.


 

Division 4Directions

376  Responsible Commonwealth Minister may give greenhouse gas injection licensee directions to protect geological formations containing petroleum pools etc.

             (1)  The responsible Commonwealth Minister may, by written notice given to a greenhouse gas injection licensee, give the licensee a direction for the purpose of:

                     (a)  eliminating; or

                     (b)  mitigating; or

                     (c)  managing;

the risk that operations carried out under the licence could:

                     (d)  have a significant adverse impact on a geological formation, or a part of a geological formation, that contains, or is likely to contain, a petroleum pool; or

                     (e)  otherwise compromise the exploitation of any petroleum that occurs as a natural resource.

             (2)  A direction under this section may require the licensee to do something:

                     (a)  in the licence area; or

                     (b)  in an offshore area but outside the licence area.

             (3)  A direction under this section has effect, and must be complied with, despite:

                     (a)  any previous direction under this section; and

                     (b)  anything in the regulations or the applied provisions.

             (4)  A direction under this section prevails over:

                     (a)  anything in an approved site plan for an identified greenhouse gas storage formation specified in the licence; or

                     (b)  anything specified in the licence as mentioned in any of paragraphs 358(3)(c) to (k);

to the extent of any inconsistency.

             (5)  A direction under this section may make provision in relation to a matter by applying, adopting or incorporating (with or without modification) a code of practice or standard contained in an instrument:

                     (a)  as in force or existing at the time when the direction takes effect; or

                     (b)  as in force or existing from time to time;

so long as the code of practice or standard is relevant to that matter.

             (6)  To avoid doubt, subsection (5) applies to an instrument, whether issued or made in Australia or outside Australia.

             (7)  A direction under this section may prohibit the doing of an act or thing:

                     (a)  unconditionally; or

                     (b)  subject to conditions, including conditions requiring the consent or approval of a person specified in the direction.

             (8)  A direction under this section is not a legislative instrument.

             (9)  If:

                     (a)  a direction under this section is in force in relation to a greenhouse gas injection licence; and

                     (b)  apart from subsection (4), the direction would be inconsistent with a matter specified in the licence as mentioned in any of paragraphs 358(3)(c) to (k);

the responsible Commonwealth Minister may, by written notice given to the licensee, vary the matter for the purposes of removing that inconsistency.

           (10)  A variation of a matter under subsection (9) takes effect on the day on which notice of the variation is published in the Gazette.

Note:          For publication in the Gazette of notice of the variation, see section 734.

           (11)  The regulations may provide that, if:

                     (a)  a direction under this section is in force in relation to a greenhouse gas injection licence; and

                     (b)  apart from subsection (4), the direction would be inconsistent with anything in an approved site plan for an identified greenhouse gas storage formation specified in the licence;

then:

                     (c)  the licensee must, within the period ascertained in accordance with the regulations:

                              (i)  prepare a draft variation of the approved site plan for the purposes of removing that inconsistency; and

                             (ii)  give the draft variation to the responsible Commonwealth Minister; and

                     (d)  the responsible Commonwealth Minister must, by written notice given to the licensee:

                              (i)  approve the variation; or

                             (ii)  refuse to approve the variation; and

                     (e)  if the responsible Commonwealth Minister approves the variation—the approved site plan is varied accordingly.

           (12)  If an approved site plan is varied, a reference in this Act to the approved site plan is a reference to the approved site plan as varied.

377  Consultation—directions to do something outside the licence area

Scope

             (1)  This section applies if:

                     (a)  the responsible Commonwealth Minister proposes to give a direction under section 376 to a greenhouse gas injection licensee; and

                     (b)  the direction requires the licensee to do something in an area (the action area) in an offshore area but outside the licence area; and

                     (c)  the action area is, to any extent, the subject of:

                              (i)  a greenhouse gas assessment permit; or

                             (ii)  a greenhouse gas holding lease; or

                            (iii)  a greenhouse gas injection licence; or

                            (iv)  a greenhouse gas search authority; or

                             (v)  a petroleum exploration permit; or

                            (vi)  a petroleum retention lease; or

                           (vii)  a petroleum production licence; or

                           (viii)  a petroleum special prospecting authority; and

                     (d)  the licensee mentioned in paragraph (a) is not the registered holder of the permit, lease, licence or authority mentioned in paragraph (c); and

                     (e)  the registered holder of the permit, lease, licence or authority mentioned in paragraph (c) has not given written consent to the giving of the direction.

Consultation

             (2)  Before giving the direction, the responsible Commonwealth Minister must:

                     (a)  by written notice given to the registered holder of the permit, lease, licence or authority mentioned in paragraph (1)(c), give at least 30 days notice of the responsible Commonwealth Minister’s intention to give the direction; and

                     (b)  give a copy of the notice to such other persons (if any) as the responsible Commonwealth Minister thinks fit.

             (3)  The notice must:

                     (a)  set out details of the direction that is proposed to be given; and

                     (b)  invite a person to whom the notice, or a copy of the notice, has been given to make a written submission to the responsible Commonwealth Minister about the proposal; and

                     (c)  specify a time limit for making that submission.

             (4)  In deciding whether to give the direction, the responsible Commonwealth Minister must take into account any submissions made in accordance with the notice.

Emergencies

             (5)  However, if the responsible Commonwealth Minister is satisfied that the direction is required to deal with an emergency:

                     (a)  subsections (2), (3) and (4) do not apply to the direction; and

                     (b)  as soon as practicable after the direction is given, the responsible Commonwealth Minister must give a copy of the direction to the registered holder of the permit, lease, licence or authority mentioned in paragraph (1)(c).

378  Compliance with directions

             (1)  A person commits an offence if:

                     (a)  the person is given a direction under section 376; and

                     (b)  the person engages in conduct; and

                     (c)  the person’s conduct breaches the direction.

Penalty:  100 penalty units.

             (2)  An offence against subsection (1) is an offence of strict liability.

Note:          For strict liability, see section 6.1 of the Criminal Code.


 

Division 5Dealing with serious situations

379  Serious situation

             (1)  For the purposes of this Act, a serious situation exists in relation to an identified greenhouse gas storage formation specified in a greenhouse gas injection licence if:

                     (a)  a greenhouse gas substance injected into the identified greenhouse gas storage formation:

                              (i)  has leaked; or

                             (ii)  is leaking;

                            from the identified greenhouse gas storage formation; or

                     (b)  there is a significant risk that a greenhouse gas substance injected into the identified greenhouse gas storage formation will leak from the identified greenhouse gas storage formation; or

                     (c)  a greenhouse gas substance:

                              (i)  has leaked; or

                             (ii)  is leaking;

                            in the course of being injected into the identified greenhouse gas storage formation; or

                     (d)  there is a significant risk that a greenhouse gas substance will leak in the course of being injected into the identified greenhouse gas storage formation; or

                     (e)  a greenhouse gas substance injected into the identified greenhouse gas storage formation:

                              (i)  has behaved; or

                             (ii)  is behaving;

                            otherwise than as predicted in Part A of the approved site plan for the identified greenhouse gas storage formation; or

                      (f)  there is a significant risk that a greenhouse gas substance injected into the identified greenhouse gas storage formation will behave otherwise than as predicted in Part A of the approved site plan for the identified greenhouse gas storage formation; or

                     (g)  either:

                              (i)  the injection of a greenhouse gas substance into the identified greenhouse gas storage formation; or

                             (ii)  the storage of a greenhouse gas substance in the identified greenhouse gas storage formation;

                            has had, or is having, a significant adverse impact on the geotechnical integrity of the whole or a part of a geological formation or geological structure; or

                     (h)  there is a significant risk that:

                              (i)  the injection of a greenhouse gas substance into the identified greenhouse gas storage formation; or

                             (ii)  the storage of a greenhouse gas substance in an identified greenhouse gas storage formation;

                            will have a significant adverse impact on the geotechnical integrity of the whole or a part of a geological formation or geological structure; or

                      (i)  the identified greenhouse gas storage formation is not suitable (with or without engineering enhancements) for the permanent storage of the relevant amount of the relevant greenhouse gas substance injected at the relevant point or points over the relevant period.

             (2)  For the purposes of paragraph (1)(i):

                     (a)  the relevant amount is the total amount of greenhouse gas substance authorised to be injected into the identified greenhouse gas storage formation under the licence; and

                     (b)  the relevant greenhouse gas substance is the kind of greenhouse gas substance that is authorised to be injected into the identified greenhouse gas storage formation under the licence; and

                     (c)  the relevant point or points is the potential greenhouse gas injection site or sites at which the greenhouse gas substance is authorised to be injected into the identified greenhouse gas storage formation under the licence; and

                     (d)  the relevant period is the period during which the greenhouse gas substance is authorised to be injected into the identified greenhouse gas storage formation under the licence.

Note:          See subsection 358(3).

380  Powers of responsible Commonwealth Minister to deal with serious situations

             (1)  If the responsible Commonwealth Minister is satisfied that a serious situation exists in relation to an identified greenhouse gas storage formation specified in a greenhouse gas injection licence, the responsible Commonwealth Minister may, by written notice given to the licensee, direct the licensee:

                     (a)  to take all reasonable steps to ensure that operations for the injection of a greenhouse gas substance into the identified greenhouse gas storage formation are carried on in a manner specified in the direction; or

                     (b)  to take all reasonable steps to ensure that operations for the storage of a greenhouse gas substance in the identified greenhouse gas storage formation are carried on in a manner specified in the direction; or

                     (c)  to cease or suspend the injection of a greenhouse gas substance at a site or sites specified in the direction; or

                     (d)  to inject a greenhouse gas substance into the identified greenhouse gas storage formation at a site or sites specified in the direction; or

                     (e)  to cease or suspend operations for the injection of a greenhouse gas substance into the identified greenhouse gas storage formation; or

                      (f)  to undertake such activities as are specified in the direction for the purpose of:

                              (i)  eliminating; or

                             (ii)  mitigating; or

                            (iii)  managing; or

                            (iv)  remediating;

                            the serious situation; or

                     (g)  to take such action as is specified in the direction; or

                     (h)  not to take such action as is specified in the direction.

             (2)  A direction under this section may require the licensee to do something:

                     (a)  in the licence area; or

                     (b)  in an offshore area but outside the licence area.

             (3)  Paragraphs (1)(a) to (f) do not limit paragraph (1)(g).

             (4)  Paragraphs (1)(a) to (f) do not limit paragraph (1)(h).

             (5)  A direction under this section has effect, and must be complied with, despite:

                     (a)  any previous direction under this section; and

                     (b)  anything in the regulations or the applied provisions.

             (6)  A direction under this section prevails over:

                     (a)  anything in an approved site plan for the identified greenhouse gas storage formation; or

                     (b)  anything specified in the licence as mentioned in any of paragraphs 358(3)(c) to (k);

to the extent of any inconsistency.

             (7)  A direction under this section may make provision in relation to a matter by applying, adopting or incorporating (with or without modification) a code of practice or standard contained in an instrument:

                     (a)  as in force or existing at the time when the direction takes effect; or

                     (b)  as in force or existing from time to time;

so long as the code of practice or standard is relevant to that matter.

             (8)  To avoid doubt, subsection (7) applies to an instrument, whether issued or made in Australia or outside Australia.

             (9)  A direction under this section may prohibit the doing of an act or thing:

                     (a)  unconditionally; or

                     (b)  subject to conditions, including conditions requiring the consent or approval of a person specified in the direction.

           (10)  A direction under this section is not a legislative instrument.

           (11)  If:

                     (a)  a direction under this section is in force in relation to a greenhouse gas injection licence; and

                     (b)  apart from subsection (6), the direction would be inconsistent with a matter specified in the licence as mentioned in any of paragraphs 358(3)(c) to (k);

the responsible Commonwealth Minister may, by written notice given to the licensee, vary the matter for the purposes of removing that inconsistency.

           (12)  A variation of a matter under subsection (11) takes effect on the day on which notice of the variation is published in the Gazette.

Note:          For publication in the Gazette of notice of the variation, see section 734.

           (13)  The regulations may provide that, if:

                     (a)  a direction under this section is in force in relation to a greenhouse gas injection licence; and

                     (b)  apart from subsection (6), the direction would be inconsistent with anything in an approved site plan for the identified greenhouse gas storage formation;

then:

                     (c)  the licensee must, within the period ascertained in accordance with the regulations:

                              (i)  prepare a draft variation of the approved site plan for the purposes of removing that inconsistency; and

                             (ii)  give the draft variation to the responsible Commonwealth Minister; and

                     (d)  the responsible Commonwealth Minister must, by written notice given to the licensee:

                              (i)  approve the variation; or

                             (ii)  refuse to approve the variation; and

                     (e)  if the responsible Commonwealth Minister approves the variation—the approved site plan is varied accordingly.

           (14)  If an approved site plan is varied, a reference in this Act to the approved site plan is a reference to the approved site plan as varied.

381  Consultation—directions to do something outside the licence area

Scope

             (1)  This section applies if:

                     (a)  the responsible Commonwealth Minister proposes to give a direction under section 380 to a greenhouse gas injection licensee; and

                     (b)  the direction requires the licensee to do something in an area (the action area) in an offshore area but outside the licence area; and

                     (c)  the action area is, to any extent, the subject of:

                              (i)  a greenhouse gas assessment permit; or

                             (ii)  a greenhouse gas holding lease; or

                            (iii)  a greenhouse gas injection licence; or

                            (iv)  a greenhouse gas search authority; or

                             (v)  a petroleum exploration permit; or

                            (vi)  a petroleum retention lease; or

                           (vii)  a petroleum production licence; or

                           (viii)  a petroleum special prospecting authority; and

                     (d)  the licensee mentioned in paragraph (a) is not the registered holder of the permit, lease, licence or authority mentioned in paragraph (c); and

                     (e)  the registered holder of the permit, lease, licence or authority mentioned in paragraph (c) has not given written consent to the giving of the direction.

Consultation

             (2)  Before giving the direction, the responsible Commonwealth Minister must:

                     (a)  by written notice given to the registered holder of the permit, lease, licence or authority mentioned in paragraph (1)(c), give at least 30 days notice of the responsible Commonwealth Minister’s intention to give the direction; and

                     (b)  give a copy of the notice to such other persons (if any) as the responsible Commonwealth Minister thinks fit.

             (3)  The notice must:

                     (a)  set out details of the direction that is proposed to be given; and

                     (b)  invite a person to whom the notice, or a copy of the notice, has been given to make a written submission to the responsible Commonwealth Minister about the proposal; and

                     (c)  specify a time limit for making that submission.

             (4)  In deciding whether to give the direction, the responsible Commonwealth Minister must take into account any submissions made in accordance with the notice.

Emergencies

             (5)  However, if the responsible Commonwealth Minister is satisfied that the direction is required to deal with an emergency:

                     (a)  subsections (2), (3) and (4) do not apply to the direction; and

                     (b)  as soon as practicable after the direction is given, the responsible Commonwealth Minister must give a copy of the direction to the registered holder of the permit, lease, licence or authority mentioned in paragraph (1)(c).

382  Compliance with directions

             (1)  A person commits an offence if:

                     (a)  the person is given a direction under section 380; and

                     (b)  the person engages in conduct; and

                     (c)  the person’s conduct breaches the direction.

Penalty:  100 penalty units.

             (2)  An offence against subsection (1) is an offence of strict liability.

Note:          For strict liability, see section 6.1 of the Criminal Code.


 

Division 6Protection of petroleum discovered in the title area of a pre‑commencement petroleum title

383  Powers of responsible Commonwealth Minister to protect petroleum discovered in the title area of a pre‑commencement petroleum title

Elimination of risk

             (1)  If:

                     (a)  the licence area of a greenhouse gas injection licence overlaps, in whole or in part:

                              (i)  the permit area of a pre‑commencement petroleum exploration permit held by a person other than the registered holder of the greenhouse gas injection licence; or

                             (ii)  the lease area of a pre‑commencement petroleum retention lease held by a person other than the registered holder of the greenhouse gas injection licence; or

                            (iii)  the licence area of a pre‑commencement petroleum production licence held by a person other than the registered holder of the greenhouse gas injection licence; and

                     (b)  petroleum is discovered in the area of overlap; and

                     (c)  the responsible Commonwealth Minister is satisfied that:

                              (i)  the recovery of the petroleum is commercially viable; or

                             (ii)  the recovery of the petroleum is not commercially viable, but is likely to become commercially viable at some time in the future; and

                     (d)  the responsible Commonwealth Minister is satisfied that there is a significant risk that any of the operations that are being, or could be, carried on under the greenhouse gas injection licence will have a significant adverse impact on:

                              (i)  operations to recover the petroleum; or

                             (ii)  the commercial viability of the recovery of the petroleum; and

                     (e)  the registered holder of the petroleum exploration permit, petroleum retention lease or petroleum production licence, as the case may be, has not agreed, in writing, to the registered holder of the greenhouse gas injection licence carrying on those operations; and

                      (f)  the responsible Commonwealth Minister is satisfied that it is practicable to eliminate the risk that any of the operations that are being, or could be, carried on under the greenhouse gas injection licence will have a significant adverse impact on:

                              (i)  operations to recover the petroleum; or

                             (ii)  the commercial viability of the recovery of the petroleum;

the responsible Commonwealth Minister must, by written notice given to the registered holder of the greenhouse gas injection licence:

                     (g)  give the registered holder of the greenhouse gas injection licence a direction for the purpose of eliminating the risk that operations that are being, or could be, carried on under the greenhouse gas injection licence could have a significant adverse impact on:

                              (i)  operations to recover the petroleum; or

                             (ii)  the commercial viability of the recovery of the petroleum; or

                     (h)  suspend, either:

                              (i)  for a specified period; or

                             (ii)  indefinitely;

                            any or all of the rights conferred by the greenhouse gas injection licence; or

                      (i)  cancel the greenhouse gas injection licence.

             (2)  A direction under paragraph (1)(g) may require the licensee to do something:

                     (a)  in the licence area; or

                     (b)  in an offshore area but outside the licence area.

Mitigation, management or remediation of risk

             (3)  If:

                     (a)  the licence area of a greenhouse gas injection licence overlaps, in whole or in part:

                              (i)  the permit area of a pre‑commencement petroleum exploration permit held by a person other than the registered holder of the greenhouse gas injection licence; or

                             (ii)  the lease area of a pre‑commencement petroleum retention lease held by a person other than the registered holder of the greenhouse gas injection licence; or

                            (iii)  the licence area of a pre‑commencement petroleum production licence held by a person other than the registered holder of the greenhouse gas injection licence; and

                     (b)  petroleum is discovered in the area of overlap; and

                     (c)  the responsible Commonwealth Minister is satisfied that:

                              (i)  the recovery of the petroleum is commercially viable; or

                             (ii)  the recovery of the petroleum is not commercially viable, but is likely to become commercially viable at some time in the future; and

                     (d)  the responsible Commonwealth Minister is satisfied that there is a significant risk that any of the operations that are being, or could be, carried on under the greenhouse gas injection licence will have a significant adverse impact on:

                              (i)  operations to recover the petroleum; or

                             (ii)  the commercial viability of the recovery of the petroleum; and

                     (e)  the registered holder of the petroleum exploration permit, petroleum retention lease or petroleum production licence, as the case may be, has not agreed, in writing, to the registered holder of the greenhouse gas injection licence carrying on those operations; and

                      (f)  the responsible Commonwealth Minister is satisfied that it is not practicable to eliminate the risk that any of the operations that are being, or could be, carried on under the greenhouse gas injection licence will have a significant adverse impact on:

                              (i)  operations to recover the petroleum; or

                             (ii)  the commercial viability of the recovery of the petroleum;

the responsible Commonwealth Minister must, by written notice given to the registered holder of the greenhouse gas injection licence:

                     (g)  give the registered holder of the greenhouse gas injection licence a direction for the purpose of mitigating, managing or remediating the risk that operations that are being, or could be, carried on under the greenhouse gas injection licence could have a significant adverse impact on:

                              (i)  operations to recover the petroleum; or

                             (ii)  the commercial viability of the recovery of the petroleum; or

                     (h)  suspend, either:

                              (i)  for a specified period; or

                             (ii)  indefinitely;

                            any or all of the rights conferred by the greenhouse gas injection licence; or

                      (i)  cancel the greenhouse gas injection licence.

             (4)  A direction under paragraph (3)(g) may require the licensee to take action:

                     (a)  in the licence area; or

                     (b)  in an offshore area but outside the licence area.

Other provisions

             (5)  A direction under this section has effect, and must be complied with, despite:

                     (a)  any previous direction under this section; and

                     (b)  anything in the regulations or the applied provisions.

             (6)  A direction under this section prevails over:

                     (a)  anything in an approved site plan for an identified greenhouse gas storage formation specified in the greenhouse gas injection licence; or

                     (b)  anything specified in the greenhouse gas injection licence as mentioned in any of paragraphs 358(3)(c) to (k);

to the extent of any inconsistency.

             (7)  A direction under this section may make provision in relation to a matter by applying, adopting or incorporating (with or without modification) a code of practice or standard contained in an instrument:

                     (a)  as in force or existing at the time when the direction takes effect; or

                     (b)  as in force or existing from time to time;

so long as the code of practice or standard is relevant to that matter.

             (8)  To avoid doubt, subsection (7) applies to an instrument, whether issued or made in Australia or outside Australia.

             (9)  A direction under this section may prohibit the doing of an act or thing:

                     (a)  unconditionally; or

                     (b)  subject to conditions, including conditions requiring the consent or approval of a person specified in the direction.

           (10)  A direction under this section is not a legislative instrument.

           (11)  If:

                     (a)  a direction under this section is in force in relation to a greenhouse gas injection licence; and

                     (b)  apart from subsection (6), the direction would be inconsistent with a matter specified in the licence as mentioned in any of paragraphs 358(3)(c) to (k);

the responsible Commonwealth Minister may, by written notice given to the licensee, vary the matter for the purposes of removing that inconsistency.

           (12)  A variation of a matter under subsection (11) takes effect on the day on which notice of the variation is published in the Gazette.

Note:          For publication in the Gazette of notice of the variation, see section 734.

           (13)  The regulations may provide that, if:

                     (a)  a direction under this section is in force in relation to a greenhouse gas injection licence; and

                     (b)  apart from subsection (6), the direction would be inconsistent with anything in an approved site plan for an identified greenhouse gas storage formation specified in the licence;

then:

                     (c)  the licensee must, within the period ascertained in accordance with the regulations:

                              (i)  prepare a draft variation of the approved site plan for the purposes of removing that inconsistency; and

                             (ii)  give the draft variation to the responsible Commonwealth Minister; and

                     (d)  the responsible Commonwealth Minister must, by written notice given to the licensee:

                              (i)  approve the variation; or

                             (ii)  refuse to approve the variation; and

                     (e)  if the responsible Commonwealth Minister approves the variation—the approved site plan is varied accordingly.

           (14)  If an approved site plan is varied, a reference in this Act to the approved site plan is a reference to the approved site plan as varied.

384  Consultation—directions to do something outside the licence area

Scope

             (1)  This section applies if:

                     (a)  the responsible Commonwealth Minister proposes to give a direction under section 383 to a greenhouse gas injection licensee; and

                     (b)  the direction requires the licensee to do something in an area (the action area) in an offshore area but outside the licence area; and

                     (c)  the action area is, to any extent, the subject of:

                              (i)  a greenhouse gas assessment permit; or

                             (ii)  a greenhouse gas holding lease; or

                            (iii)  a greenhouse gas injection licence; or

                            (iv)  a greenhouse gas search authority; or

                             (v)  a petroleum exploration permit; or

                            (vi)  a petroleum retention lease; or

                           (vii)  a petroleum production licence; or

                           (viii)  a petroleum special prospecting authority; and

                     (d)  the licensee mentioned in paragraph (a) is not the registered holder of the permit, lease, licence or authority mentioned in paragraph (c); and

                     (e)  the registered holder of the permit, lease, licence or authority mentioned in paragraph (c) has not given written consent to the giving of the direction.

Consultation

             (2)  Before giving the direction, the responsible Commonwealth Minister must:

                     (a)  by written notice given to the registered holder of the permit, lease, licence or authority mentioned in paragraph (1)(c), give at least 30 days notice of the responsible Commonwealth Minister’s intention to give the direction; and

                     (b)  give a copy of the notice to such other persons (if any) as the responsible Commonwealth Minister thinks fit.

             (3)  The notice must:

                     (a)  set out details of the direction that is proposed to be given; and

                     (b)  invite a person to whom the notice, or a copy of the notice, has been given to make a written submission to the responsible Commonwealth Minister about the proposal; and

                     (c)  specify a time limit for making that submission.

             (4)  In deciding whether to give the direction, the responsible Commonwealth Minister must take into account any submissions made in accordance with the notice.

Emergencies

             (5)  However, if the responsible Commonwealth Minister is satisfied that the direction is required to deal with an emergency:

                     (a)  subsections (2), (3) and (4) do not apply to the direction; and

                     (b)  as soon as practicable after the direction is given, the responsible Commonwealth Minister must give a copy of the direction to the registered holder of the permit, lease, licence or authority mentioned in paragraph (1)(c).

385  Compliance with directions

             (1)  A person commits an offence if:

                     (a)  the person is given a direction under section 383; and

                     (b)  the person engages in conduct; and

                     (c)  the person’s conduct breaches the direction.

Penalty:  100 penalty units.

             (2)  An offence against subsection (1) is an offence of strict liability.

Note:          For strict liability, see section 6.1 of the Criminal Code.


 

Division 7Site closing certificates

386  Application for site closing certificate

             (1)  A greenhouse gas injection licensee may apply to the responsible Commonwealth Minister for a site closing certificate in relation to a particular identified greenhouse gas storage formation specified in the licence.

Note 1:       Part 3.8 contains additional provisions about application procedures.

Note 2:       Section 427 requires the application to be accompanied by an application fee.

Note 3:       Section 429 enables the responsible Commonwealth Minister to require the applicant to give further information.

             (2)  An application under this section must be accompanied by:

                     (a)  a written report that sets out:

                              (i)  the applicant’s modelling of the behaviour of the greenhouse gas substance injected into the identified greenhouse gas storage formation; and

                             (ii)  information relevant to that modelling; and

                            (iii)  the applicant’s analysis of that information; and

                     (b)  a written report that sets out the applicant’s assessment of:

                              (i)  the behaviour of the greenhouse gas substance injected into the identified greenhouse gas storage formation; and

                             (ii)  the expected migration pathway or pathways of that greenhouse gas substance; and

                            (iii)  the short‑term consequences of the migration of that greenhouse gas substance; and

                            (iv)  the long‑term consequences of the migration of that greenhouse gas substance; and

                     (c)  the applicant’s suggestions for the approach to be taken by the Commonwealth, after the issue of the certificate, to the monitoring of the behaviour of a greenhouse gas substance stored in the identified greenhouse gas storage formation; and

                     (d)  such other information (if any) as is specified in the regulations.

             (3)  Subsection (2) does not apply if there have not been any operations for the injection of a greenhouse gas substance into the identified greenhouse gas storage formation.

Mandatory application—cessation of injection operations

             (4)  If:

                     (a)  a greenhouse gas injection licence is in force; and

                     (b)  operations for the injection of a greenhouse gas substance into the identified greenhouse gas storage formation concerned have ceased;

the licensee must, within the application period, make an application under subsection (1) for a site closing certificate in relation to the identified greenhouse gas storage formation.

             (5)  The application period for an application referred to in subsection (4) is:

                     (a)  the period of 30 days after the day on which the cessation referred to in paragraph (4)(b) occurred; or

                     (b)  such longer period, not more than 90 days after that day, as the responsible Commonwealth Minister allows.

             (6)  The responsible Commonwealth Minister may allow a longer period under paragraph (5)(b) only on written application made by the licensee within the period of 30 days mentioned in paragraph (5)(a).

             (7)  A person commits an offence if:

                     (a)  the person is subject to a requirement under subsection (4); and

                     (b)  the person omits to do an act; and

                     (c)  the omission breaches the requirement.

Penalty:  100 penalty units.

             (8)  An offence against subsection (7) is an offence of strict liability.

Note:          For strict liability, see section 6.1 of the Criminal Code.

Mandatory application—grounds for cancellation of licence

             (9)  If:

                     (a)  a greenhouse gas injection licence is in force; and

                     (b)  under Division 1 of Part 3.11, there is a ground for cancelling the licence;

the responsible Commonwealth Minister may, by written notice given to the licensee, direct the licensee:

                     (c)  to make an application under subsection (1) for a site closing certificate in relation to each identified greenhouse gas storage formation specified in the licence; and

                     (d)  to do so within the period specified in the notice.

           (10)  A period specified under paragraph (9)(d) must not be shorter than 30 days.

           (11)  A person commits an offence if:

                     (a)  the person is given a direction under subsection (9); and

                     (b)  the person omits to do an act; and

                     (c)  the omission breaches the requirement.

Penalty:  100 penalty units.

           (12)  An offence against subsection (11) is an offence of strict liability.

Note:          For strict liability, see section 6.1 of the Criminal Code.

Mandatory application—greenhouse gas injection licence tied to a petroleum retention lease or petroleum production licence

           (13)  If:

                     (a)  a greenhouse gas injection licence is in force; and

                     (b)  the greenhouse gas injection licence is tied to a petroleum retention lease or petroleum production licence; and

                     (c)  the petroleum retention lease or petroleum production licence ceases to be in force as a result of being surrendered, cancelled, terminated or wholly revoked;

the licensee of the greenhouse gas injection licence must, within the application period, make an application under subsection (1) for a site closing certificate in relation to the identified greenhouse gas storage formation, or each of the identified greenhouse gas storage formations, specified in the greenhouse gas injection licence.

           (14)  The application period for an application referred to in subsection (13) is:

                     (a)  the period of 30 days after the day on which the cessation referred to in paragraph (13)(c) occurred; or

                     (b)  such longer period, not more than 90 days after that day, as the responsible Commonwealth Minister allows.

           (15)  The responsible Commonwealth Minister may allow a longer period under paragraph (14)(b) only on written application made by the licensee within the period of 30 days mentioned in paragraph (14)(a).

           (16)  A person commits an offence if:

                     (a)  the person is subject to a requirement under subsection (13); and

                     (b)  the person omits to do an act; and

                     (c)  the omission breaches the requirement.

Penalty:  100 penalty units.

           (17)  An offence against subsection (16) is an offence of strict liability.

Note:          For strict liability, see section 6.1 of the Criminal Code.

387  Variation of application for site closing certificate

Scope

             (1)  This section applies if an application for a site closing certificate has been made under section 386.

Variation of application

             (2)  At any time before a decision on the application is made by the responsible Commonwealth Minister, the applicant may, by written notice given to the responsible Commonwealth Minister, vary the application.

             (3)  A variation of an application must be made in the approved manner.

             (4)  A variation of an application may be made:

                     (a)  on the applicant’s own initiative; or

                     (b)  at the request of the responsible Commonwealth Minister.

             (5)  A variation of an application may set out any additional matters that the applicant wishes to be considered.

             (6)  If an application under this section is varied, a reference in this Act to the application is a reference to the application as varied.

388  Issue of site closing certificate—pre‑certificate notice

             (1)  If:

                     (a)  an application for a site closing certificate has been made under section 386; and

                     (b)  either:

                              (i)  the responsible Commonwealth Minister is satisfied that operations for the injection of a greenhouse gas substance into the identified greenhouse gas storage formation concerned have ceased; or

                             (ii)  the responsible Commonwealth Minister is satisfied that there have not been any operations for the injection of a greenhouse gas substance into the identified greenhouse gas storage formation concerned;

the responsible Commonwealth Minister may give the applicant a written notice (called a pre‑certificate notice) telling the applicant that the responsible Commonwealth Minister is prepared to issue to the applicant a site closing certificate in relation to the identified greenhouse gas storage formation.

Note:          See also section 391.

Responsible Commonwealth Minister must have regard to certain matters

             (2)  If the responsible Commonwealth Minister is satisfied that there is a significant risk that a greenhouse gas substance injected into the identified greenhouse gas storage formation will have a significant adverse impact on:

                     (a)  navigation; or

                     (b)  fishing; or

                     (c)  any activities being lawfully carried on, or that could be lawfully carried on, by way of the construction or operation of a pipeline; or

                     (d)  the enjoyment of native title rights (within the meaning of the Native Title Act 1993);

then, in deciding whether to give the applicant a pre‑certificate notice, the responsible Commonwealth Minister must have regard to that significant risk.

             (3)  Subsection (2) does not limit the matters to which the responsible Commonwealth Minister may have regard.

Circumstances in which a pre‑certificate notice may be refused

             (4)  The responsible Commonwealth Minister may refuse to give the applicant a pre‑certificate notice in relation to the identified greenhouse gas storage formation if:

                     (a)  the responsible Commonwealth Minister is not satisfied that the greenhouse gas substance injected into the identified greenhouse gas storage formation is behaving as predicted in Part A of the approved site plan for the identified greenhouse gas storage formation; or

                     (b)  the responsible Commonwealth Minister is satisfied that there is a significant risk that a greenhouse gas substance injected into the identified greenhouse gas storage formation will have a significant adverse impact on:

                              (i)  the conservation or exploitation of natural resources (whether in an offshore area or elsewhere); or

                             (ii)  the geotechnical integrity of the whole or a part of a geological formation or geological structure; or

                            (iii)  the environment; or

                            (iv)  human health or safety.

             (5)  Subsection (4) does not limit the matters to which the responsible Commonwealth Minister may have regard in deciding whether to refuse to give the applicant a pre‑certificate notice.

Circumstances in which a pre‑certificate notice must not be given

             (6)  The responsible Commonwealth Minister must not give the applicant a pre‑certificate notice in relation to the identified greenhouse gas storage formation unless the responsible Commonwealth Minister is satisfied that:

                     (a)  either:

                              (i)  the relevant statutory requirements have been complied with; or

                             (ii)  any of the relevant statutory requirements have not been complied with, but there are sufficient grounds to warrant the issue of the site closing certificate; or

                     (b)  if any conditions are specified in the regulations—those conditions have been satisfied.

             (7)  For the purposes of paragraph (6)(a), each of the following is a relevant statutory requirement:

                     (a)  the conditions to which the greenhouse gas injection licence is, or has from time to time been, subject;

                     (b)  the provisions of this Chapter, Chapter 5, Chapter 6 and Part 8.1;

                     (c)  the provisions of the regulations.

Decision must be made within 5 years

             (8)  If an application for a site closing certificate has been made under section 386, the responsible Commonwealth Minister must make a decision on the application within 5 years after the application was made.

389  Acknowledgement of receipt of application for site closing certificate

Scope

             (1)  This section applies if an application has been made under section 386 for a site closing certificate.

Acknowledgement of receipt of application

             (2)  The responsible Commonwealth Minister must give the applicant notice of receipt of the application.

390  Refusal to give pre‑certificate notice

Scope

             (1)  This section applies if:

                     (a)  an application has been made under section 386 for a site closing certificate; and

                     (b)  the responsible Commonwealth Minister refuses to give a pre‑certificate notice to the applicant.

Notice of refusal

             (2)  The responsible Commonwealth Minister must give written notice of the refusal to the applicant.

391  Pre‑certificate notice—security etc.

             (1)  A pre‑certificate notice that relates to an application for a site closing certificate must:

                     (a)  specify a program of operations proposed to be carried out by the Commonwealth for the purposes of monitoring the behaviour of a greenhouse gas substance stored in the identified greenhouse gas storage formation concerned; and

                     (b)  set out an estimate of the total costs and expenses of carrying out the program; and

                     (c)  specify the form and amount of a security to be lodged by the applicant in respect of the compliance, by the holder for the time being of the site closing certificate, with the holder’s obligations under section 398 in relation to the costs and expenses of carrying out the program; and

                     (d)  contain a statement to the effect that the application will lapse if the applicant does not lodge the security with the responsible Commonwealth Minister within the period applicable under subsection (3).

             (2)  The amount of the security must equal the estimate referred to in paragraph (1)(b).

             (3)  The period for lodging the security is:

                     (a)  60 days after the pre‑certificate notice was given to the applicant; or

                     (b)  such longer period, not more than 180 days after the pre‑certificate notice was given to the applicant, as the responsible Commonwealth Minister allows.

             (4)  If the applicant does not lodge the security with the responsible Commonwealth Minister within the period applicable under subsection (3), the application lapses at the end of that period.

             (5)  The regulations may provide that an estimate referred to in paragraph (1)(b) is to be made on the basis of:

                     (a)  an assumption that costs and expenses will increase at an annual rate specified in the regulations; and

                     (b)  such other assumptions (if any) as are specified in the regulations.

             (6)  Subsection (1) does not apply if the responsible Commonwealth Minister is satisfied that there have not been any operations for the injection of a greenhouse gas substance into the identified greenhouse gas storage formation concerned.

392  Issue of site closing certificate

                   If:

                     (a)  an applicant has been given a pre‑certificate notice under subsection 388(1); and

                     (b)  if subsection 391(1) applies—the applicant has lodged the specified security within the period applicable under subsection 391(3);

the responsible Commonwealth Minister must issue to the applicant a site closing certificate in relation to the identified greenhouse gas storage formation specified in the pre‑certificate notice.

Note:          If the applicant does not lodge the security with the responsible Commonwealth Minister within the period applicable under subsection 391(3), the application lapses at the end of that period—see subsection 391(4).

393  Greenhouse gas injection licence transferred—transferee to be treated as applicant

Scope

             (1)  This section applies if a transfer of a greenhouse gas injection licence is registered under section 530:

                     (a)  after an application has been made under section 386 for a site closing certificate in relation to an identified greenhouse gas storage formation specified in the greenhouse gas injection licence; and

                     (b)  before any action has been taken by the responsible Commonwealth Minister under section 388 or 390 in relation to the application.

Transferee to be treated as applicant

             (2)  After the transfer, sections 386 to 392 and Part 3.8 have effect in relation to the application as if any reference in those sections and that Part to the applicant were a reference to the transferee.

394  Duration of site closing certificate

             (1)  A site closing certificate remains in force indefinitely.

             (2)  Subsection (1) has effect subject to this Chapter.

395  Transfer of site closing certificate

                   If:

                     (a)  a site closing certificate is held by the registered holder of a greenhouse gas injection licence; and

                     (b)  a transfer of the licence is registered under section 530;

the site closing certificate is, by force of this section, transferred to the transferee of the licence.

396  Transfer of securities

                   If:

                     (a)  a security is in force in relation to a site closing certificate; and

                     (b)  the site closing certificate is transferred;

then:

                     (c)  the interest of the transferor in the security is, by force of this section, transferred to the transferee; and

                     (d)  a document setting out or relating to the security has effect, after the transfer, as if a reference in the document to the transferor were a reference to the transferee.

397  Discharge of securities

                   The regulations may make provision in relation to the discharge, in whole or in part, by the responsible Commonwealth Minister of securities in force in relation to site closing certificates.

398  Recovery of the Commonwealth’s costs and expenses

Scope

             (1)  This section applies if:

                     (a)  a site closing certificate is in force in relation to an identified greenhouse gas storage formation; and

                     (b)  the Commonwealth incurs reasonable costs or expenses in carrying out the program specified in the pre‑certificate notice for the site closing certificate.

Recovery of costs and expenses

             (2)  The costs or expenses:

                     (a)  are a debt due to the Commonwealth by the holder of the certificate; and

                     (b)  are recoverable in a court of competent jurisdiction.

             (3)  The total of the costs and expenses recoverable under subsection (2) must not exceed the estimate set out in the pre‑certificate notice.


 

Division 8Long‑term liabilities

399  Closure assurance period

             (1)  If:

                     (a)  a site closing certificate is in force in relation to an identified greenhouse gas storage formation; and

                     (b)  the responsible Commonwealth Minister is satisfied that operations for the injection of a greenhouse gas substance into the formation ceased on a day (the cessation day) before the application for the site closing certificate was made; and

                     (c)  on a day (the decision day) that is at least 15 years after the issue of the site closing certificate, the responsible Commonwealth Minister is satisfied that:

                              (i)  the greenhouse gas substance injected into the formation is behaving as predicted in Part A of the approved site plan for the formation; and

                             (ii)  there is no significant risk that a greenhouse gas substance injected into the formation will have a significant adverse impact on the geotechnical integrity of the whole or a part of a geological formation or geological structure; and

                            (iii)  there is no significant risk that a greenhouse gas substance injected into the formation will have a significant adverse impact on the environment; and

                            (iv)  there is no significant risk that a greenhouse gas substance injected into the formation will have a significant adverse impact on human health or safety; and

                             (v)  since the cessation day, there have not been any operations for the injection of a greenhouse gas substance into the formation;

the responsible Commonwealth Minister may, by writing, declare that the period:

                     (d)  beginning at the end of the cessation day; and

                     (e)  ending at the end of the decision day;

is the closure assurance period in relation to the formation for the purposes of this Act.

             (2)  A copy of a declaration under subsection (1) is to be given to the holder of the site closing certificate.

400  Indemnity—long‑term liability

Scope

             (1)  This section applies if:

                     (a)  a site closing certificate is in force in relation to an identified greenhouse gas storage formation; and

                     (b)  when the application for the certificate was made, the formation was specified in a greenhouse gas injection licence; and

                     (c)  there is a closure assurance period in relation to the formation; and

                     (d)  the following conditions are satisfied in relation to a liability of an existing person who is or has been the registered holder of the licence (whether or not the licence is in force):

                              (i)  the liability is a liability for damages;

                             (ii)  the liability is attributable to an act done or omitted to be done in the carrying out of operations authorised by the licence in relation to the formation;

                            (iii)  the liability is incurred or accrued after the end of the closure assurance period in relation to the formation;

                            (iv)  such other conditions (if any) as are specified in the regulations.

Indemnity

             (2)  The Commonwealth must indemnify the person against the liability.

401  Commonwealth to assume long‑term liability if licensee has ceased to exist

Scope

             (1)  This section applies if:

                     (a)  a site closing certificate is in force in relation to an identified greenhouse gas storage formation; and

                     (b)  when the application for the certificate was made, the formation was specified in a greenhouse gas injection licence; and

                     (c)  there is a closure assurance period in relation to the formation; and

                     (d)  a person who has been the registered holder of the licence (whether or not the licence is in force) has ceased to exist; and

                     (e)  if the person had continued in existence, the following conditions would have been satisfied in relation to a liability of the person:

                              (i)  the liability is a liability for damages;

                             (ii)  the liability is attributable to an act done or omitted to be done in the carrying out of operations authorised by the licence in relation to the formation;

                            (iii)  the liability is incurred or accrued after the end of the closure assurance period in relation to the formation;

                            (iv)  such other conditions (if any) as are specified in the regulations; and

                      (f)  apart from this section, the damages are irrecoverable because the person has ceased to exist.

Commonwealth to assume liability

             (2)  The liability is taken to be a liability of the Commonwealth.


 

Part 3.5Greenhouse gas search authorities

Division 1General provisions

402  Simplified outline

                   The following is a simplified outline of this Part:

•      This Part provides for the grant of greenhouse gas search authorities over blocks in an offshore area.

•      A greenhouse gas search authority may be granted over a block so long as none of the following is in force over the block:

               (a)     a greenhouse gas assessment permit;

               (b)     a greenhouse gas holding lease;

               (c)     a greenhouse gas injection licence;

               (d)     a petroleum exploration permit;

               (e)     a petroleum retention lease;

               (f)     a petroleum production licence.

•      A greenhouse gas search authority authorises the holder to carry on the following operations in the authority area:

               (a)     operations relating to the exploration for potential greenhouse gas storage formations;

               (b)     operations relating to the exploration for potential greenhouse gas injection sites.

 •     A greenhouse gas search authority does not authorise the holder to make a well.

403  Rights conferred by greenhouse gas search authority

             (1)  A greenhouse gas search authority authorises the registered holder, in accordance with the conditions (if any) to which the authority is subject, to carry on, in the authority area, the operations relating to:

                     (a)  the exploration for potential greenhouse gas storage formations; and

                     (b)  the exploration for potential greenhouse gas injection sites;

that are specified in the authority.

             (2)  A greenhouse gas search authority does not authorise the registered holder to make a well.

             (3)  The rights conferred on the registered holder by subsection (1) are subject to this Act and the regulations.

404  Conditions of greenhouse gas search authorities

             (1)  The responsible Commonwealth Minister may grant a greenhouse gas search authority subject to whatever conditions the responsible Commonwealth Minister thinks appropriate.

Note:          See also section 571, which deals with insurance.

             (2)  The conditions (if any) must be specified in the greenhouse gas search authority.

405  Duration of greenhouse gas search authority

             (1)  A greenhouse gas search authority comes into force on the day specified in the authority as the day on which the authority is to come into force.

             (2)  A greenhouse gas search authority remains in force for the period specified in the authority.

             (3)  The period specified under subsection (2) must not be longer than 180 days.

             (4)  Subsection (2) has effect subject to this Chapter.

Note 1:       For the surrender of a greenhouse gas search authority, see Part 3.10.

Note 2:       For the cancellation of a greenhouse gas search authority, see Part 3.11.

406  Greenhouse gas search authority cannot be transferred

                   A greenhouse gas search authority cannot be transferred.


 

Division 2Obtaining a greenhouse gas search authority

407  Application for greenhouse gas search authority

             (1)  A person may apply to the responsible Commonwealth Minister for the grant of a greenhouse gas search authority over a block or blocks, so long as none of the following is in force over that block or any of those blocks:

                     (a)  a greenhouse gas assessment permit;

                     (b)  a greenhouse gas holding lease;

                     (c)  a greenhouse gas injection licence;

                     (d)  a petroleum exploration permit;

                     (e)  a petroleum retention lease;

                      (f)  a petroleum production licence.

             (2)  An application under this section must specify:

                     (a)  the operations relating to:

                              (i)  the exploration for potential greenhouse gas storage formations; and

                             (ii)  the exploration for potential greenhouse gas injection sites;

                            that the applicant proposes to carry on; and

                     (b)  the block or blocks within which the applicant proposes to carry on those operations.

Note 1:       Part 3.8 contains additional provisions about application procedures.

Note 2:       Section 427 requires the application to be accompanied by an application fee.

408  Grant or refusal of greenhouse gas search authority

                   If an application for a greenhouse gas search authority has been made under section 407, the responsible Commonwealth Minister may:

                     (a)  grant the applicant a greenhouse gas search authority; or

                     (b)  by written notice given to the applicant, refuse to grant a greenhouse gas search authority to the applicant.

409  Holders to be informed of the grant of another greenhouse gas search authority

Scope

             (1)  This section applies if:

                     (a)  a person (the first person) is the registered holder of a greenhouse gas search authority over a block; and

                     (b)  another greenhouse gas search authority is granted to another person (the second person) over the block.

Holders to be informed

             (2)  The responsible Commonwealth Minister must, by written notice given to the first person, inform the first person of:

                     (a)  the operations authorised by the greenhouse gas search authority granted to the second person; and

                     (b)  the conditions of the greenhouse gas search authority granted to the second person.

             (3)  The responsible Commonwealth Minister must, by written notice given to the second person, inform the second person of:

                     (a)  the operations authorised by the greenhouse gas search authority granted to the first person; and

                     (b)  the conditions of the greenhouse gas search authority granted to the first person.

410  Holders to be informed of the grant of a petroleum special prospecting authority

Scope

             (1)  This section applies if:

                     (a)  a person (the first person) is the registered holder of a greenhouse gas search authority over a block; and

                     (b)  a petroleum special prospecting authority is granted to another person (the second person) over the block.

Holders to be informed

             (2)  The Designated Authority must, by written notice given to the first person, inform the first person of:

                     (a)  the operations authorised by the petroleum special prospecting authority granted to the second person; and

                     (b)  the conditions of the petroleum special prospecting authority granted to the second person.

             (3)  The responsible Commonwealth Minister must, by written notice given to the second person, inform the second person of:

                     (a)  the operations authorised by the greenhouse gas search authority granted to the first person; and

                     (b)  the conditions of the greenhouse gas search authority granted to the first person.


 

Part 3.6Greenhouse gas special authorities

Division 1General provisions

411  Simplified outline

                   The following is a simplified outline of this Part:

•      This Part provides for the grant of greenhouse gas special authorities over blocks in an offshore area.

•      A greenhouse gas special authority authorises the holder to carry on certain operations in the authority area (but not to make a well).

412  Rights conferred by greenhouse gas special authority

             (1)  A greenhouse gas special authority authorises the registered holder, in accordance with the conditions (if any) to which the authority is subject, to carry on, in the authority area, the operations specified in the authority.

             (2)  A greenhouse gas special authority does not authorise the registered holder to make a well.

             (3)  The rights conferred on the registered holder by subsection (1) are subject to this Act and the regulations.

413  Conditions of greenhouse gas special authorities

             (1)  The responsible Commonwealth Minister may grant a greenhouse gas special authority subject to whatever conditions the responsible Commonwealth Minister thinks appropriate.

Note:          See also section 571, which deals with insurance.

             (2)  The conditions (if any) must be specified in the greenhouse gas special authority.

414  Duration of greenhouse gas special authority

             (1)  A greenhouse gas special authority comes into force on the day specified in the authority as the day on which the authority is to come into force.

             (2)  A greenhouse gas special authority remains in force for the period specified in the authority, but may be extended by the responsible Commonwealth Minister for a further specified period.

             (3)  Subsection (2) has effect subject to this Chapter.

Note 1:       For the surrender of a greenhouse gas special authority, see Part 3.10.

Note 2:       For the revocation of a greenhouse gas special authority, see section 421.


 

Division 2Obtaining a greenhouse gas special authority

415  Application for greenhouse gas special authority

             (1)  The table has effect:

 

Application for greenhouse gas special authority

 

Column 1

Column 2

Column 3

Item

This person...

may apply to...

for the grant of a greenhouse gas special authority to enable the person to...

1

the registered holder of a greenhouse gas assessment permit, greenhouse gas holding lease or greenhouse gas injection licence relating to a particular offshore area

the responsible Commonwealth Minister

carry on, in an area that is:

(a) part of that offshore area but outside the permit area, lease area or licence area; or

(b) part of an adjoining offshore area;

any or all of the following:

(c) operations relating to the exploration for potential greenhouse gas storage formations;

(d) operations relating to the exploration for potential greenhouse gas injection sites;

(e) operations relating to the injection of a greenhouse gas substance into a part of a geological formation;

(f) operations relating to the storage of a greenhouse gas substance in a part of a geological formation;

(g) operations to carry out baseline investigations relating to the storage of a greenhouse gas substance in a part of a geological formation;

(h) operations relating to the monitoring of the behaviour of a greenhouse gas substance stored in a part of a geological formation.

2

the registered holder of a greenhouse gas search authority relating to a particular offshore area

the responsible Commonwealth Minister

carry on either or both of the following:

(a) operations relating to the exploration for potential greenhouse gas storage formations;

(b) operations relating to the exploration for potential greenhouse gas injection sites;

in an area that is:

(c) part of that offshore area but outside the authority area of the greenhouse gas search authority; or

(d) part of an adjoining offshore area.

             (2)  An application under this section must specify:

                     (a)  the operations that the applicant proposes to carry on; and

                     (b)  the area in which the applicant proposes to carry on those operations.

Note:          Part 3.8 contains additional provisions about application procedures.

416  Grant or refusal of greenhouse gas special authority

                   If:

                     (a)  an application for a greenhouse gas special authority has been made under section 415; and

                     (b)  the responsible Commonwealth Minister is satisfied that it is necessary or desirable to grant the greenhouse gas special authority for:

                              (i)  the more effective exercise of the applicant’s rights; or

                             (ii)  the proper performance of the applicant’s duties;

                            in the applicant’s capacity as the registered holder of:

                            (iii)  a greenhouse gas assessment permit; or

                            (iv)  a greenhouse gas holding lease; or

                             (v)  a greenhouse gas injection licence; or

                            (vi)  a greenhouse gas search authority;

the responsible Commonwealth Minister may:

                     (c)  grant the applicant a greenhouse gas special authority; or

                     (d)  by written notice given to the applicant, refuse to grant a greenhouse gas special authority to the applicant.

Note:          Consultation procedures apply—see section 417.

417  Consultation—grant of greenhouse gas special authority

Scope

             (1)  This section applies if:

                     (a)  an application for a greenhouse gas special authority has been made under section 415 in relation to an area (the application area); and

                     (b)  the application area is, to any extent, the subject of:

                              (i)  a greenhouse gas assessment permit; or

                             (ii)  a greenhouse gas holding lease; or

                            (iii)  a greenhouse gas injection licence; or

                            (iv)  a greenhouse gas search authority; and

                     (c)  the applicant is not the registered holder of the permit, lease, licence or authority mentioned in paragraph (b); and

                     (d)  the registered holder of the permit, lease, licence or authority mentioned in paragraph (b) has not given written consent to the grant of the greenhouse gas special authority.

Consultation

             (2)  Before granting the greenhouse gas special authority, the responsible Commonwealth Minister must:

                     (a)  by written notice given to the registered holder of the permit, lease, licence or authority mentioned in paragraph (1)(b), give at least 30 days notice of the responsible Commonwealth Minister’s intention to grant the greenhouse gas special authority; and

                     (b)  give a copy of the notice to such other persons (if any) as the responsible Commonwealth Minister thinks fit.

             (3)  The notice must:

                     (a)  set out details of the greenhouse gas special authority that is proposed to be granted; and

                     (b)  invite a person to whom the notice, or a copy of the notice, has been given to make a written submission to the responsible Commonwealth Minister about the proposal; and

                     (c)  specify a time limit for making that submission.

             (4)  In deciding:

                     (a)  whether to grant the greenhouse gas special authority; and

                     (b)  the conditions (if any) to which the greenhouse gas special authority should be subject;

the responsible Commonwealth Minister must take into account any submissions made in accordance with the notice.


 

Division 3Variation of greenhouse gas special authorities

418  Variation of greenhouse gas special authority

                   The responsible Commonwealth Minister may, by written notice given to the registered holder of a greenhouse gas special authority, vary the greenhouse gas special authority.

Note:          Consultation procedures apply—see section 419.

419  Consultation—variation of greenhouse gas special authority

Scope

             (1)  This section applies if:

                     (a)  the responsible Commonwealth Minister proposes to vary a greenhouse gas special authority; and

                     (b)  the authority area is, to any extent, the subject of:

                              (i)  a greenhouse gas assessment permit; or

                             (ii)  a greenhouse gas holding lease; or

                            (iii)  a greenhouse gas injection licence; or

                            (iv)  a greenhouse gas search authority; and

                     (c)  the applicant is not the registered holder of the permit, lease, licence or authority mentioned in paragraph (b); and

                     (d)  the registered holder of the permit, lease, licence or authority mentioned in paragraph (b) has not given written consent to the variation of the greenhouse gas special authority.

Consultation

             (2)  Before varying the greenhouse gas special authority, the responsible Commonwealth Minister must:

                     (a)  by written notice given to the registered holder of the permit, lease, licence or authority mentioned in paragraph (1)(b) give at least 30 days notice of the responsible Commonwealth Minister’s intention to vary the greenhouse gas special authority; and

                     (b)  give a copy of the notice to:

                              (i)  the registered holder of the greenhouse gas special authority; and

                             (ii)  such other persons (if any) as the responsible Commonwealth Minister thinks fit.

             (3)  The notice must:

                     (a)  set out details of the variation that is proposed to be made; and

                     (b)  invite a person to whom the notice, or a copy of the notice, has been given to make a written submission to the responsible Commonwealth Minister about the proposal; and

                     (c)  specify a time limit for making that submission.

             (4)  In deciding whether to vary the greenhouse gas special authority, the responsible Commonwealth Minister must take into account any submissions made in accordance with the notice.


 

Division 4Reporting obligations of holders of greenhouse gas special authorities

420  Reporting obligations of holders of greenhouse gas special authorities

             (1)  If:

                     (a)  at any time during a particular month, a greenhouse gas special authority is in force in relation to an area that consists of, or includes, a block that is the subject of:

                              (i)  a greenhouse gas assessment permit; or

                             (ii)  a greenhouse gas holding lease; or

                            (iii)  a greenhouse gas injection licence; and

                     (b)  the registered holder of the greenhouse gas special authority is not the registered holder of the permit, lease or licence;

the registered holder of the greenhouse gas special authority must, within 30 days after the end of that month, give the registered holder of the permit, lease or licence:

                     (c)  a written report about the operations carried on in that block during that month; and

                     (d)  a written summary of the facts ascertained from those operations.

             (2)  A person commits an offence if:

                     (a)  the person is subject to a requirement under subsection (1); and

                     (b)  the person omits to do an act; and

                     (c)  the omission breaches the requirement.

Penalty for contravention of this subsection: 50 penalty units.


 

Division 5Revocation of greenhouse gas special authorities

421  Revocation of greenhouse gas special authority

             (1)  The responsible Commonwealth Minister may, by written notice given to the registered holder of a greenhouse gas special authority, revoke the greenhouse gas special authority.

             (2)  If:

                     (a)  the responsible Commonwealth Minister revokes a greenhouse gas special authority; and

                     (b)  the greenhouse gas special authority authorised operations in:

                              (i)  a greenhouse gas assessment permit area; or

                             (ii)  a greenhouse gas holding lease area; or

                            (iii)  a greenhouse gas injection licence area;

the responsible Commonwealth Minister must give written notice of the revocation to the permittee, lessee or licensee.


 

Part 3.7Greenhouse gas research consents

  

422  Simplified outline

                   The following is a simplified outline of this Part:

•      This Part provides for the grant of greenhouse gas research consents.

•      A greenhouse gas research consent authorises the holder to carry on the following operations in the course of a scientific investigation:

               (a)     operations relating to the exploration for potential greenhouse gas storage formations;

               (b)     operations relating to the exploration for potential greenhouse gas injection sites.

423  Rights conferred by greenhouse gas research consent

             (1)  A greenhouse gas research consent authorises the holder, in accordance with the conditions (if any) to which the consent is subject, to carry on, in the offshore area specified in the consent, the operations relating to:

                     (a)  the exploration for potential greenhouse gas storage formations; and

                     (b)  the exploration for potential greenhouse gas injection sites;

that are specified in the consent in the course of the scientific investigation specified in the consent.

             (2)  The rights conferred on the holder by subsection (1) are subject to section 460.

Note:          Section 460 deals with interference with other rights.

424  Conditions of greenhouse gas research consents

             (1)  The responsible Commonwealth Minister may grant a greenhouse gas research consent subject to whatever conditions the responsible Commonwealth Minister thinks appropriate.

             (2)  The conditions (if any) must be specified in the consent.

425  Grant of greenhouse gas research consent

             (1)  The responsible Commonwealth Minister may grant a written greenhouse gas research consent authorising a person to carry on, in an offshore area, the following operations in the course of a scientific investigation:

                     (a)  operations relating to the exploration for potential greenhouse gas storage formations;

                     (b)  operations relating to the exploration for potential greenhouse gas injection sites.

             (2)  The person is the holder of the consent.


 

Part 3.8Standard procedures

  

426  Application to be made in an approved manner

Scope

             (1)  This section applies to an application for:

                     (a)  the grant or renewal of a greenhouse gas assessment permit; or

                     (b)  the grant or renewal of a greenhouse gas holding lease; or

                     (c)  the grant or variation of a greenhouse gas injection licence; or

                     (d)  the grant of a greenhouse gas search authority; or

                     (e)  the grant of a greenhouse gas special authority; or

                      (f)  a site closing certificate.

Manner

             (2)  The application must be made in an approved manner.

Note:          See also subsection 33(3A) of the Acts Interpretation Act 1901.

427  Application fee

Scope

             (1)  This section applies to an application for:

                     (a)  the grant or renewal of a greenhouse gas assessment permit; or

                     (b)  the grant or renewal of a greenhouse gas holding lease; or

                     (c)  the grant or variation of a greenhouse gas injection licence; or

                     (d)  the grant of a greenhouse gas search authority; or

                     (e)  a site closing certificate.

Application fee

             (2)  The application must be accompanied by the fee (if any) prescribed by the regulations.

             (3)  Different fees may be prescribed for different applications.

             (4)  A fee must not be such as to amount to taxation.

             (5)  To avoid doubt, a fee is in addition to:

                     (a)  the amount that a person specifies in an application as the amount that the person is prepared to pay for a cash‑bid greenhouse gas assessment permit; and

                     (b)  the amount specified in an offer document as the amount that a person must pay for a cash‑bid greenhouse gas assessment permit.

428  Application may set out additional matters

Scope

             (1)  This section applies to the following:

                     (a)  an application for the grant of a greenhouse gas assessment permit (otherwise than by way of renewal);

                     (b)  an application for the grant of a greenhouse gas holding lease (otherwise than by way of renewal);

                     (c)  an application for the grant or variation of a greenhouse gas injection licence;

                     (d)  an application for the grant of a greenhouse gas special authority;

                     (e)  an application for a site closing certificate.

Additional matters

             (2)  The application may set out any additional matters that the applicant wishes to be considered.

429  Responsible Commonwealth Minister may require further information

Scope

             (1)  This section applies to an application for:

                     (a)  the grant or renewal of a greenhouse gas assessment permit; or

                     (b)  the grant or renewal of a greenhouse gas holding lease; or

                     (c)  the grant or variation of a greenhouse gas injection licence; or

                     (d)  a site closing certificate.

Requirement to give further information

             (2)  The responsible Commonwealth Minister may, by written notice given to the applicant, require the applicant to give the responsible Commonwealth Minister, within the period specified in the notice, further information in connection with the application.

Consequences of breach of requirement

             (3)  If the applicant breaches the requirement, the responsible Commonwealth Minister may, by written notice given to the applicant:

                     (a)  refuse to consider the application; or

                     (b)  refuse to take any action, or any further action, in relation to the application.

             (4)  Subsection (3) has effect despite any provision of this Act that requires the responsible Commonwealth Minister to:

                     (a)  consider the application; or

                     (b)  take any particular action in relation to the application.

             (5)  A reference in this section to taking action in relation to the application includes a reference to giving an offer document in relation to the application.

430  Offer documents

Scope

             (1)  This section applies to an offer document that relates to an application for:

                     (a)  the grant or renewal of a greenhouse gas assessment permit; or

                     (b)  the grant or renewal of a greenhouse gas holding lease; or

                     (c)  the grant of a greenhouse gas injection licence.

General requirements

             (2)  The offer document must contain:

                     (a)  a summary of the conditions to which the permit, lease or licence will be subject; and

                     (b)  a statement to the effect that the application will lapse if the applicant does not make a request under section 431.

Payment for cash‑bid greenhouse gas assessment permit

             (3)  If the offer document relates to an application for the grant of a cash‑bid greenhouse gas assessment permit, the offer document must:

                     (a)  specify the amount that the applicant must pay for the permit; and

                     (b)  contain a statement to the effect that the application will lapse if the applicant does not pay the amount to the Commonwealth within the period allowed for making a request under section 431.

Security

             (4)  The offer document may:

                     (a)  specify the form and amount of a security to be lodged by the applicant in respect of compliance with the applicable statutory obligations by the registered holder for the time being of the permit, lease or licence; and

                     (b)  contain a statement to the effect that the application will lapse if the applicant does not lodge the security with the responsible Commonwealth Minister within the period allowed for making a request under section 431.

             (5)  For the purposes of subsection (4), the applicable statutory obligations are as follows:

                     (a)  the obligation of the registered holder to comply with a condition to which the permit, lease or licence is subject;

                     (b)  the obligation of the registered holder to comply with a direction given to the registered holder by the responsible Commonwealth Minister under this Chapter, Chapter 6 or Part 8.1;

                     (c)  the obligation of the registered holder to comply with the provisions of:

                              (i)  this Chapter; or

                             (ii)  Chapter 5; or

                            (iii)  Chapter 6; or

                            (iv)  Part 8.1; or

                             (v)  the regulations.

431  Acceptance of offer—request by applicant

             (1)  The table has effect:

 

Acceptance of offer by applicant

 

Item

Column 1

Column 2

Column 3

 

 

If an offer document relates to an application for the grant of...

the applicant may, within...

by written notice given to the responsible Commonwealth Minister, request the responsible Commonwealth Minister to grant the applicant...

 

1

a work‑bid greenhouse gas assessment permit

whichever of the following periods is applicable:

(a) 30 days after the offer document was given to the applicant;

(b) such longer period, not more than 60 days after the offer document was given to the applicant, as the responsible Commonwealth Minister allows;

the permit.

 

2

a cash‑bid greenhouse gas assessment permit

30 days after the offer document was given to the applicant;

the permit.

 

2A

the renewal of a greenhouse gas assessment permit

30 days after the offer document was given to the applicant;

the renewal of the permit.

3

a greenhouse gas holding lease

whichever of the following periods is applicable:

(a) 30 days after the offer document was given to the applicant;

(b) such longer period, not more than 60 days after the offer document was given to the applicant, as the responsible Commonwealth Minister allows;

the lease.

 

4

the renewal of a greenhouse gas holding lease

30 days after the offer document was given to the applicant;

the renewal of the lease.

 

5

a greenhouse gas injection licence

whichever of the following periods is applicable:

(a) 90 days after the offer document was given to the applicant;

(b) such longer period, not more than 180 days after the offer document was given to the applicant, as the responsible Commonwealth Minister allows;

the licence.

 

Longer periods

             (2)  The responsible Commonwealth Minister may allow a longer period under paragraph (b) of column 2 of item 1 or 3 of the table only on written application made by the applicant within the period of 30 days mentioned in paragraph (a) of that column.

             (3)  The responsible Commonwealth Minister may allow a longer period under paragraph (b) of column 2 of item 5 of the table only on written application made by the applicant within the period of 90 days mentioned in paragraph (a) of that column.

Application lapses if request not made within the applicable period

             (4)  If an applicant does not make a request under an item of the table within the period applicable under column 2 of the table, the application lapses at the end of that period.

432  Acceptance of offer—payment

                   If:

                     (a)  an offer document specifies an amount that the applicant must pay to the Commonwealth for the grant of a cash‑bid greenhouse gas assessment permit; and

                     (b)  the applicant has not paid that amount within the period applicable under column 2 of the table in subsection 431(1);

the application lapses at the end of that period.

433  Acceptance of offer—lodgment of security

                   If:

                     (a)  an offer document specifies the form and amount of a security that the applicant must lodge with the responsible Commonwealth Minister; and

                     (b)  the applicant has not lodged that security within the period applicable under section 431;

the application lapses at the end of that period.

434  Consultation—adverse decisions

Scope

             (1)  This section applies to a decision set out in the table, and the affected person in relation to that decision is set out in the table:

 

Decisions and affected persons

 

Item

Column 1

Column 2

Column 3

 

 

Provision under which decision is made

Decision of the responsible Commonwealth Minister

Affected person

 

1A

section 310

refusal to renew a greenhouse gas assessment permit

the permittee.

1

section 332

refusal to grant a greenhouse gas holding lease to a greenhouse gas injection licensee

the licensee.

 

2

section 349

refusal to renew a greenhouse gas holding lease

the lessee.

 

3

section 374

refusal to vary a greenhouse gas injection licence

the licensee.

 

Consultation

             (2)  Before making the decision, the responsible Commonwealth Minister must:

                     (a)  by written notice given to the affected person, give at least 30 days notice of the responsible Commonwealth Minister’s intention to make the decision; and

                     (b)  give a copy of the notice to such other persons (if any) as the responsible Commonwealth Minister thinks fit.

             (3)  The notice must:

                     (a)  set out details of the decision that is proposed to be made; and

                     (b)  set out the reasons for the proposal; and

                     (c)  invite a person to whom the notice, or a copy of the notice, has been given to make a written submission to the responsible Commonwealth Minister about the proposal; and

                     (d)  specify a time limit for making that submission.

             (4)  In deciding whether to make the decision, the responsible Commonwealth Minister must take into account any submissions made in accordance with the notice.

435  Responsible Commonwealth Minister may require information about negotiations for a designated agreement

Scope

             (1)  This section applies to the following applications:

                     (a)  an application under subsection 292(1) for approval to carry on one or more key greenhouse gas operations under a greenhouse gas assessment permit;

                     (b)  an application under subsection 321(1) for approval to carry on one or more key greenhouse gas operations under a greenhouse gas holding lease;

                     (c)  an application under section 361 for the grant of a greenhouse gas injection licence;

                     (d)  an application under section 369 for the grant of a greenhouse gas injection licence;

where either or both of the following are relevant to the responsible Commonwealth Minister’s decision on the application:

                     (e)  the existence or non‑existence of a designated agreement;

                      (f)  the terms of a designated agreement.

Report about negotiations

             (2)  The responsible Commonwealth Minister may, by written notice given to the applicant, require the applicant to give to the responsible Commonwealth Minister, within the period specified in the notice, a written report about negotiations, or attempts at negotiations, relating to:

                     (a)  the entering into of the designated agreement; and

                     (b)  the terms of the designated agreement.

Consequences of breach of requirement

             (3)  If the applicant breaches the requirement, the responsible Commonwealth Minister may, by written notice given to the applicant:

                     (a)  refuse to consider the application; or

                     (b)  refuse to take any action, or any further action, in relation to the application.

             (4)  Subsection (3) has effect despite any provision of this Act that requires the responsible Commonwealth Minister to:

                     (a)  consider the application; or

                     (b)  take any particular action in relation to the application.


 

Part 3.9Variation, suspension and exemption

Division 1Variation, suspension and exemption decisions relating to greenhouse gas assessment permits, greenhouse gas holding leases and greenhouse gas injection licences

436  Variation, suspension and exemption—conditions of titles

When the conditions of a title may be the subject of a variation, suspension or exemption

             (1)  This section applies if an event specified in the table happens, or a circumstance specified in the table exists:

 

When the conditions of a title may be the subject of a variation, suspension or exemption

Item

Title

Event or circumstance

1

a greenhouse gas assessment permit, greenhouse gas holding lease or greenhouse gas injection licence

the permittee, lessee or licensee applies in writing to the responsible Commonwealth Minister for:

(a) a variation or suspension of any of the conditions to which the permit, lease or licence is subject; or

(b) exemption from compliance with any of the conditions to which the permit, lease or licence is subject.

2

a greenhouse gas assessment permit, greenhouse gas holding lease or greenhouse gas injection licence

the responsible Commonwealth Minister gives a direction or consent to the permittee, lessee or licensee under:

(a) this Chapter; or

(b) Chapter 6; or

(c) Part 8.1; or

(d) the regulations.

3

greenhouse gas injection licence

the licence is partly surrendered.

4

a greenhouse gas assessment permit, greenhouse gas holding lease or greenhouse gas injection licence

the permittee, lessee or licensee consents to the making of a determination under section 462.

 

4A

a greenhouse gas assessment permit

the permit is taken to continue in force until the responsible Commonwealth Minister grants, or refuses to grant, the renewal of the permit (see subsection 308(6)).

 

5

a greenhouse gas holding lease

the lease is taken to continue in force until the responsible Commonwealth Minister grants, or refuses to grant, the renewal of the lease (see subsection 347(6)).

Variation, suspension or exemption

             (2)  The responsible Commonwealth Minister may, by written notice given to the permittee, lessee or licensee:

                     (a)  vary; or

                     (b)  suspend; or

                     (c)  exempt the permittee, lessee or licensee from compliance with;

any of the conditions to which the permit, lease, or licence is subject, on such conditions (if any) as are specified in the notice.

             (3)  Subsection (2) does not authorise the giving of a notice to the extent that it would affect the term of a greenhouse gas assessment permit, greenhouse gas holding lease or greenhouse gas injection licence.

Note:          See also section 437 (extension of term).

When variation takes effect

             (4)  A variation of a greenhouse gas injection licence under this section takes effect on the day on which notice of the variation is published in the Gazette.

             (5)  A variation of a greenhouse gas assessment permit or greenhouse gas holding lease under this section takes effect on the day on which notice of the variation is given to the permittee or lessee.

437  Extension of term of greenhouse gas assessment permit or greenhouse gas holding lease—suspension or exemption

Scope

             (1)  This section applies if, under section 436, the responsible Commonwealth Minister:

                     (a)  suspends any of the conditions to which a greenhouse gas assessment permit or greenhouse gas holding lease is subject; or

                     (b)  exempts a greenhouse gas assessment permittee or greenhouse gas holding lessee from compliance with any of the conditions to which the permit or lease is subject.

Extension of term

             (2)  Despite subsection 436(3), if the responsible Commonwealth Minister considers that the circumstances make it reasonable to do so, the responsible Commonwealth Minister may extend the term of the permit or lease by a period not more than the period of the suspension or exemption.

             (3)  The extension may be:

                     (a)  in the notice of suspension or exemption; or

                     (b)  by a later written notice given to the permittee or lessee.

438  Suspension of rights—greenhouse gas assessment permit or greenhouse gas holding lease

Suspension of rights

             (1)  If the responsible Commonwealth Minister is satisfied that it is necessary to do so in the national interest, the responsible Commonwealth Minister must, by written notice given to a greenhouse gas assessment permittee or greenhouse gas holding lessee, suspend, either:

                     (a)  for a specified period; or

                     (b)  indefinitely;

any or all of the rights conferred by the permit or lease.

             (2)  If any rights are suspended under subsection (1), any conditions that must be complied with in the exercise of those rights are also suspended.

Termination of suspension

             (3)  The responsible Commonwealth Minister may, by written notice given to the permittee or lessee, terminate a suspension of rights under subsection (1).

439  Extension of term of greenhouse gas assessment permit or greenhouse gas holding lease—suspension of rights

Scope

             (1)  This section applies if rights conferred by a greenhouse gas assessment permit or greenhouse gas holding lease are suspended under section 438.

Extension of term

             (2)  The responsible Commonwealth Minister may extend the term of the permit or lease by a period not more than the period of the suspension.

             (3)  The extension may be:

                     (a)  in the notice of suspension; or

                     (b)  by a later written notice given to the permittee or lessee.


 

Division 2Variation, suspension and exemption decisions relating to greenhouse gas search authorities and greenhouse gas special authorities

440  Variation, suspension and exemption—conditions of greenhouse gas search authorities and greenhouse gas special authorities

When the conditions of a title may be the subject of a variation, suspension or exemption

             (1)  This section applies if an event specified in the table happens, or a circumstance specified in the table exists:

 

When the conditions of a title may be the subject of a variation, suspension or exemption

Item

Title

Event or circumstance

1

a greenhouse gas special authority

a greenhouse gas special authority is in force over the whole or a part of a block that is the subject of a greenhouse gas assessment permit, greenhouse gas holding lease or greenhouse gas injection licence.

2

a greenhouse gas special authority

the responsible Commonwealth Minister varies a greenhouse gas special authority over a block that is the subject of a greenhouse gas assessment permit, greenhouse gas holding lease or greenhouse gas injection licence.

3

a greenhouse gas search authority or greenhouse gas special authority

the registered holder of the authority applies in writing to the responsible Commonwealth Minister for:

(a) a variation or suspension of any of the conditions to which the authority is subject; or

(b) exemption from compliance with any of the conditions to which the authority is subject.

4

a greenhouse gas search authority or greenhouse gas special authority

the responsible Commonwealth Minister gives a direction or consent to the registered holder of the authority under:

(a) this Chapter; or

(b) Chapter 6; or

(c) Part 8.1; or

(d) the regulations.

Variation, suspension or exemption

             (2)  The responsible Commonwealth Minister may, by written notice given to the registered holder of the authority:

                     (a)  vary; or

                     (b)  suspend; or

                     (c)  exempt the registered holder from compliance with;

any of the conditions to which the authority is subject, on such conditions (if any) as are specified in the notice.


 

Part 3.10Surrender of titles

Division 1Surrender of greenhouse gas assessment permits, greenhouse gas holding leases and greenhouse gas injection licences

441  Application for consent to surrender title

             (1)  The table has effect:

 

Surrender

Item

The registered holder of...

may apply to the responsible Commonwealth Minister for consent to surrender...

1

a greenhouse gas assessment permit

the permit.

2

a greenhouse gas holding lease

the lease.

3

a greenhouse gas injection licence

the licence as to some or all of the blocks in relation to which the licence is in force.

             (2)  An application under subsection (1) must be in writing.

442  Consent to surrender title

Scope

             (1)  This section applies if an application is made under section 441 for a consent.

Decision

             (2)  The responsible Commonwealth Minister may, by written notice given to the applicant:

                     (a)  give consent; or

                     (b)  refuse to consent.

Criteria

             (3)  The responsible Commonwealth Minister may consent to the surrender sought by the application only if:

                     (a)  the registered holder of the permit, lease or licence has paid all fees and amounts payable by the holder under the following Acts:

                              (i)  this Act;

                             (ii)  the Annual Fees Act;

                            or has made arrangements that are satisfactory to the responsible Commonwealth Minister for the payment of those fees and amounts; and

                     (b)  the registered holder of the permit, lease or licence has complied with the conditions to which the permit, lease or licence is subject and with the provisions of:

                              (i)  this Chapter; and

                             (ii)  Chapter 5; and

                            (iii)  Chapter 6; and

                            (iv)  Part 8.1; and

                             (v)  the regulations; and

                     (c)  the registered holder of the permit, lease or licence has:

                              (i)  to the satisfaction of the responsible Commonwealth Minister, removed or caused to be removed from the surrender area (defined by subsection (9)) all property brought into the surrender area by any person engaged or concerned in the operations authorised by the permit, lease or licence; or

                             (ii)  made arrangements that are satisfactory to the responsible Commonwealth Minister in relation to that property; and

                     (d)  the registered holder of the permit, lease or licence has, to the satisfaction of the responsible Commonwealth Minister, plugged or closed off all wells made in the surrender area by any person engaged or concerned in the operations authorised by the permit, lease or licence; and

                     (e)  the registered holder of the permit, lease or licence has provided, to the satisfaction of the responsible Commonwealth Minister, for the conservation and protection of the natural resources in the surrender area; and

                      (f)  the registered holder of the permit, lease or licence has, to the satisfaction of the responsible Commonwealth Minister, made good any damage to the seabed or subsoil in the surrender area caused by any person engaged or concerned in the operations authorised by the permit, lease or licence; and

                     (g)  in the case of an application for consent to surrender a greenhouse gas injection licence as to all of the blocks in relation to which the licence is in force—a site closing certificate is in force in relation to each identified greenhouse gas storage formation specified in the licence; and

                     (h)  in the case of an application for consent to surrender a greenhouse gas injection licence as to some of the blocks in relation to which the licence is in force—a site closing certificate is in force in relation to each identified greenhouse gas storage formation that:

                              (i)  is specified in the licence; and

                             (ii)  extends to those blocks.

             (4)  If:

                     (a)  the registered holder has complied with the requirements mentioned in paragraphs (3)(a) to (f); and

                     (b)  in the case of an application for consent to surrender a greenhouse gas injection licence as to all of the blocks in relation to which the licence is in force—the requirement mentioned in paragraph (3)(g) has been met; and

                     (c)  in the case of an application for consent to surrender a greenhouse gas injection licence as to some of the blocks in relation to which the licence is in force—the requirement mentioned in paragraph (3)(h) has been met;

the responsible Commonwealth Minister must not unreasonably refuse consent to the surrender.

             (5)  Paragraph (3)(e) has effect subject to:

                     (a)  this Chapter; and

                     (b)  Chapter 6; and

                     (c)  the regulations.

             (6)  In attaining a state of satisfaction for the purposes of paragraph (3)(d), the responsible Commonwealth Minister must have regard to the principle that plugging or closing off wells should be carried out in a way that minimises damage to the petroleum‑bearing qualities of geological formations.

Sufficient grounds

             (7)  Despite subsection (3), if:

                     (a)  any of:

                              (i)  the conditions to which the permit, lease or licence is subject; or

                             (ii)  the provisions of this Chapter, Chapter 5, Chapter 6 and Part 8.1; or

                            (iii)  the provisions of the regulations;

                            have not been complied with; and

                     (b)  the responsible Commonwealth Minister is satisfied that there are sufficient grounds to warrant the giving of consent to the surrender sought by the application;

the responsible Commonwealth Minister may give consent under subsection (2) to the surrender sought by the application.

Work‑bid greenhouse gas assessment permit—compliance with work condition

             (8)  For the purposes of this section, if:

                     (a)  the application for consent relates to a work‑bid greenhouse gas assessment permit; and

                     (b)  a condition of the permit requires the registered holder to carry out specified work during a period specified in the permit; and

                     (c)  the application is made during such a period;

the registered holder of the permit is taken not to have complied with the condition unless the holder has completed the work specified for the period mentioned in paragraph (c).

Surrender area

             (9)  For the purposes of this section, the surrender area is worked out using the table:

 

Surrender area

Item

In the case of a surrender of...

the surrender area is...

1

a greenhouse gas assessment permit

the permit area.

2

a greenhouse gas holding lease

the lease area.

3

a greenhouse gas injection licence

the area constituted by the blocks as to which the licence is proposed to be surrendered.

443  Surrender of title

Scope

             (1)  This section applies if the responsible Commonwealth Minister consents under section 442 to:

                     (a)  the surrender of a greenhouse gas assessment permit; or

                     (b)  the surrender of a greenhouse gas holding lease; or

                     (c)  the surrender, in whole or in part, of a greenhouse gas injection licence.

Surrender

             (2)  The registered holder of the permit, lease or licence may, by written notice given to the responsible Commonwealth Minister, surrender:

                     (a)  in the case of a permit or lease—the permit or lease; or

                     (b)  in the case of a licence—the whole or the part, as the case may be, of the licence.

When surrender takes effect

             (3)  The surrender takes effect on the day on which notice of the surrender is published in the Gazette.


 

Division 2Surrender of greenhouse gas search authorities and greenhouse gas special authorities

444  Surrender of greenhouse gas search authority

                   The registered holder of a greenhouse gas search authority may, by written notice given to the responsible Commonwealth Minister, surrender the greenhouse gas search authority.

445  Surrender of greenhouse gas special authority

                   The registered holder of a greenhouse gas special authority may, by written notice given to the responsible Commonwealth Minister, surrender the greenhouse gas special authority.


 

Part 3.11Cancellation of titles

Division 1Cancellation of greenhouse gas assessment permits, greenhouse gas holding leases and greenhouse gas injection licences

446  Grounds for cancellation of title

                   For the purposes of this Division, each of the following is a ground for cancelling a greenhouse gas assessment permit, greenhouse gas holding lease or greenhouse gas injection licence:

                     (a)  the registered holder has not complied with a condition to which the permit, lease or licence is subject;

                     (b)  the registered holder has not complied with a direction given to the holder by the responsible Commonwealth Minister under this Chapter, Chapter 6 or Part 8.1;

                     (c)  the registered holder has not complied with a provision of:

                              (i)  this Chapter; or

                             (ii)  Chapter 5; or

                            (iii)  Chapter 6; or

                            (iv)  Part 8.1; or

                             (v)  the regulations;

                     (d)  the registered holder has not paid an amount payable by the holder under:

                              (i)  this Act; or

                             (ii)  the Annual Fees Act;

                            within the period of 90 days after the day on which the amount became payable;

                     (e)  in the case of a greenhouse gas injection licence:

                              (i)  if a single identified greenhouse gas storage formation is wholly situated in the licence area—the declaration under section 312 that relates to the identified greenhouse gas storage formation is revoked under section 314; or

                             (ii)  if 2 or more identified greenhouse gas storage formations are wholly situated in the licence area—each of the declarations under section 312 that relate to those identified greenhouse gas storage formations is revoked under section 314;

                      (f)  in the case of a greenhouse gas holding lease:

                              (i)  if a single identified greenhouse gas storage formation is wholly situated in the lease area—the declaration under section 312 that relates to the identified greenhouse gas storage formation is revoked under section 314; or

                             (ii)  if 2 or more identified greenhouse gas storage formations are wholly situated in the lease area—each of the declarations under section 312 that relate to those identified greenhouse gas storage formations is revoked under section 314.

447  Cancellation of title

             (1)  The table has effect:

 

Cancellation

Item

If there is a ground for cancelling...

the responsible Commonwealth Minister may, by written notice given to the registered holder,...

1

a greenhouse gas assessment permit

cancel the permit.

2

a greenhouse gas holding lease

cancel the lease.

3

a greenhouse gas injection licence

cancel the licence.

Note:          Consultation procedures apply—see section 448.

             (2)  In exercising a power conferred by subsection (1), the responsible Commonwealth Minister must take into account any action taken by the registered holder:

                     (a)  to remove the ground of cancellation; or

                     (b)  to prevent the recurrence of similar grounds.

             (3)  A cancellation takes effect on the day on which notice of the cancellation is published in the Gazette.

448  Consultation

             (1)  Before making a decision under subsection 447(1), the responsible Commonwealth Minister must:

                     (a)  by written notice given to the registered holder, give at least 30 days notice of the responsible Commonwealth Minister’s intention to make the decision; and

                     (b)  give a copy of the notice to such other persons (if any) as the responsible Commonwealth Minister thinks fit.

             (2)  The notice must:

                     (a)  set out details of the decision that is proposed to be made; and

                     (b)  set out the reasons for the proposal; and

                     (c)  invite a person to whom the notice, or a copy of the notice, has been given to make a written submission to the responsible Commonwealth Minister about the proposal; and

                     (d)  specify a time limit for making that submission.

             (3)  In deciding whether to make the decision, the responsible Commonwealth Minister must take into account any submissions made in accordance with the notice.

449  Cancellation of title not affected by other provisions

Cancellation on ground of non‑compliance

             (1)  If:

                     (a)  the registered holder of a greenhouse gas assessment permit, greenhouse gas holding lease or greenhouse gas injection licence has not complied with a provision of:

                              (i)  this Chapter; or

                             (ii)  Chapter 5; or

                            (iii)  Chapter 6; or

                            (iv)  Part 8.1; or

                             (v)  the regulations; and

                     (b)  the holder has been convicted of an offence relating to that non‑compliance;

the responsible Commonwealth Minister may exercise a power of cancellation under subsection 447(1) on the ground of that non‑compliance, even though the holder has been convicted of that offence.

             (2)  If:

                     (a)  a person who was the registered holder of a greenhouse gas assessment permit, greenhouse gas holding lease or greenhouse gas injection licence has not complied with a provision of:

                              (i)  this Chapter; or

                             (ii)  Chapter 5; or

                            (iii)  Chapter 6; or

                            (iv)  Part 8.1; or

                             (v)  the regulations; and

                     (b)  the responsible Commonwealth Minister has exercised a power of cancellation under subsection 447(1) on the ground of that non‑compliance;

the person may be convicted of an offence relating to the non‑compliance, even though the responsible Commonwealth Minister has exercised that power of cancellation.

Cancellation on ground of non‑payment

             (3)  If:

                     (a)  the registered holder of a greenhouse gas assessment permit, greenhouse gas holding lease or greenhouse gas injection licence has not paid an amount payable by the holder under:

                              (i)  this Act; or

                             (ii)  the Annual Fees Act;

                            within the period of 90 days after the day on which the amount became payable; and

                     (b)  either:

                              (i)  judgment for the amount has been obtained; or

                             (ii)  the amount, or any part of the amount, has been paid or recovered;

the responsible Commonwealth Minister may exercise a power of cancellation under subsection 447(1) on the ground of that non‑payment, even though:

                     (c)  judgment for the amount has been obtained; or

                     (d)  the amount, or a part of the amount, has been paid or recovered.

             (4)  If:

                     (a)  a person who was the registered holder of a greenhouse gas assessment permit, greenhouse gas holding lease or greenhouse gas injection licence has not paid an amount payable by the person under:

                              (i)  this Act; or

                             (ii)  the Annual Fees Act;

                            within the period of 90 days after the day on which the amount became payable; and

                     (b)  the responsible Commonwealth Minister has exercised a power of cancellation under subsection 447(1) on the ground of that non‑payment;

the person continues to be liable to pay:

                     (c)  that amount; and

                     (d)  any late payment penalty relating to that amount;

even though the responsible Commonwealth Minister has exercised that power of cancellation.


 

Division 2Cancellation of greenhouse gas search authorities

450  Cancellation of greenhouse gas search authority

                   The responsible Commonwealth Minister may, by written notice given to the registered holder of a greenhouse gas search authority, cancel the greenhouse gas search authority if the holder has breached a condition of the greenhouse gas search authority.


 

Part 3.12Other provisions

  

451  Notification of eligible greenhouse gas storage formation

Scope

             (1)  This section applies if:

                     (a)  a part of a geological formation is wholly situated in the permit area of a greenhouse gas assessment permit, and the permittee has reasonable grounds to suspect that that part could be an eligible greenhouse gas storage formation; or

                     (b)  a part of a geological formation is wholly situated in the lease area of a greenhouse gas holding lease, and the lessee has reasonable grounds to suspect that that part could be an eligible greenhouse gas storage formation; or

                     (c)  a part of a geological formation is wholly situated in the licence area of a greenhouse gas injection licence, and the licensee has reasonable grounds to suspect that that part could be an eligible greenhouse gas storage formation.

Notification

             (2)  The permittee, lessee or licensee must, by written notice, inform the responsible Commonwealth Minister about the matter as soon as practicable, and in any event within 30 days, after the day on which the permittee, lessee or licensee, as the case may be, forms the relevant suspicion.

             (3)  A notice under subsection (2) is not required to set out the fundamental suitability determinants of that part.

             (4)  Subsection (3) has effect subject to subsections (5) and (6).

             (5)  A notice under subsection (2) must be accompanied by a written statement that the permittee, lessee or licensee has reasonable grounds to suspect that the part is suitable for the permanent storage of a specified amount of a specified greenhouse gas substance.

             (6)  If the permittee, lessee or licensee has reasonable grounds to suspect that the part could be an eligible greenhouse gas storage formation because of paragraph 21(1)(b), a notice under subsection (2) must be accompanied by a written statement describing the engineering enhancements referred to in that paragraph.

Exemption

             (7)  Subsections (2), (5) and (6) do not apply to a permittee, lessee or licensee in relation to a part of a geological formation if a former holder of the permit, lease or licence, as the case may be, previously complied with that subsection in relation to the part.

Offence

             (8)  A person commits an offence if:

                     (a)  the person is subject to a requirement under subsection (2), (5) or (6); and

                     (b)  the person omits to do an act; and

                     (c)  the omission breaches the requirement.

Penalty for a contravention of this subsection:          100 penalty units.

452  Notification of discovery of petroleum in greenhouse gas assessment permit area etc.

Scope

             (1)  This section applies if petroleum is discovered in:

                     (a)  a greenhouse gas assessment permit area; or

                     (b)  a greenhouse gas holding lease area; or

                     (c)  a greenhouse gas injection licence area.

Notification

             (2)  The permittee, lessee or licensee must immediately inform the responsible Commonwealth Minister of the discovery.

             (3)  The permittee, lessee or licensee must, within 3 days after the date of the discovery, give the responsible Commonwealth Minister a written notice setting out:

                     (a)  details of the discovery; and

                     (b)  such other information (if any) about the discovery as is specified in the regulations.

             (4)  Subsections (2) and (3) do not apply if the petroleum is discovered by a petroleum exploration permittee, petroleum retention lessee or petroleum production licensee.

Offence

             (5)  A person commits an offence if:

                     (a)  the person is subject to a requirement under subsection (2) or (3); and

                     (b)  the person omits to do an act; and

                     (c)  the omission breaches the requirement.

Penalty for a contravention of this subsection:          100 penalty units.

453  Disposing of waste or other matter

             (1)  A person commits an offence if:

                     (a)  the person adds waste or other matter to a greenhouse gas substance; and

                     (b)  the person does so with the intention of disposing of the waste or other matter; and

                     (c)  the person, or another person, injects the resulting mixture into the seabed or subsoil of an offshore area.

Penalty:  Imprisonment for 5 years.

             (2)  Subsection (1) does not apply if:

                     (a)  the waste or other matter resulted from petroleum recovery operations carried on under a petroleum production licence; and

                     (b)  the injection takes place at a well situated in the licence area of the petroleum production licence; and

                     (c)  the injection is carried out:

                              (i)  with the written consent of the responsible Commonwealth Minister or the Designated Authority; and

                             (ii)  in accordance with the conditions (if any) specified in that consent.

Note:          The defendant bears an evidential burden in relation to the matters in subsection (2)—see subsection 13.3(3) of the Criminal Code.

Consents

             (3)  The responsible Commonwealth Minister or the Designated Authority may:

                     (a)  refuse to give a consent under subsection (2); or

                     (b)  make a consent under subsection (2) subject to such conditions as are specified in the consent.

454  Additional securities etc.

Additional security

             (1)  If:

                     (a)  one or more securities are in force in relation to:

                              (i)  a greenhouse gas assessment permit; or

                             (ii)  a greenhouse gas holding lease; or

                            (iii)  a greenhouse gas injection licence; and

                     (b)  the responsible Commonwealth Minister is satisfied that the total amount of the securities is insufficient;

the responsible Commonwealth Minister may give the permittee, lessee or licensee a written notice:

                     (c)  requiring the permittee, lessee or licensee to lodge with the responsible Commonwealth Minister, within 60 days after the giving of the notice, an additional security in respect of compliance with the applicable statutory obligations by the registered holder for the time being of the permit, lease or licence; and

                     (d)  specifying the form and amount of the additional security.

New security

             (2)  If:

                     (a)  a greenhouse gas assessment permit, greenhouse gas holding lease or greenhouse gas injection licence is in force; and

                     (b)  no security is in force in relation to the permit, lease or licence; and

                     (c)  the responsible Commonwealth Minister is satisfied that it would be appropriate to require the lodgment of a security in respect of compliance with the applicable statutory obligations by the registered holder for the time being of the permit, lease or licence;

the responsible Commonwealth Minister may give the permittee, lessee or licensee a written notice:

                     (d)  requiring the permittee, lessee or licensee to lodge with the responsible Commonwealth Minister, within 60 days after the giving of the notice, a security in respect of compliance, by the registered holder for the time being of the permit, lease or licence, with the applicable statutory obligations; and

                     (e)  specifying the form and amount of the security.

Statutory obligations

             (3)  For the purposes of this section, the applicable statutory obligations are as follows:

                     (a)  the obligation of the registered holder to comply with a condition to which the permit, lease or licence is subject;

                     (b)  the obligation of the registered holder to comply with a direction given to the registered holder by the responsible Commonwealth Minister under this Chapter, Chapter 6 or Part 8.1;

                     (c)  the obligation of the registered holder to comply with the provisions of:

                              (i)  this Chapter; or

                             (ii)  Chapter 5; or

                            (iii)  Chapter 6; or

                            (iv)  Part 8.1; or

                             (v)  the regulations.

455  Transfer of securities

                   If:

                     (a)  a security is in force in relation to:

                              (i)  a greenhouse gas assessment permit; or

                             (ii)  a greenhouse gas holding lease; or

                            (iii)  a greenhouse gas injection licence; and

                     (b)  a transfer of the permit, lease or licence is registered under section 530;

then:

                     (c)  the interest of the transferor in the security is, by force of this section, transferred to the transferee; and

                     (d)  a document setting out or relating to the security has effect, after the transfer, as if a reference in the document to the transferor were a reference to the transferee.

456  Discharge of securities

                   The regulations may make provision in relation to the discharge, in whole or in part, by the responsible Commonwealth Minister of securities in force in relation to:

                     (a)  greenhouse gas assessment permits; or

                     (b)  greenhouse gas holding leases; or

                     (c)  greenhouse gas injection licences.

457  Approved site plans

             (1)  The regulations may provide that a greenhouse gas injection licensee must not carry on any operations in relation to an identified greenhouse gas storage formation specified in the licence unless an approved site plan is in force in relation to the formation.

             (2)  The regulations may provide that, if an approved site plan is in force in relation to an identified greenhouse gas storage formation specified in a greenhouse gas injection licence, the licensee must comply with the approved site plan.

Approval

             (3)  The regulations may make provision for the responsible Commonwealth Minister to approve draft site plans.

Duration

             (4)  The regulations may provide that, if the responsible Commonwealth Minister approves a draft site plan, the approved site plan:

                     (a)  comes into force at the time of the approval; and

                     (b)  remains in force:

                              (i)  if, under the regulations, the responsible Commonwealth Minister withdraws approval of the approved site plan—until the withdrawal; or

                             (ii)  otherwise—indefinitely.

Withdrawal of approval

             (5)  The regulations may make provision for the responsible Commonwealth Minister to withdraw approval of approved site plans.

Variation of approved site plans

             (6)  The regulations may make provision for and in relation to the variation of approved site plans.

             (7)  Regulations made for the purposes of subsection (6) may:

                     (a)  require the registered holder of a greenhouse gas injection licence to prepare a draft variation of an approved site plan:

                              (i)  periodically; or

                             (ii)  in such circumstances as are specified in the regulations; or

                            (iii)  when required to do so by the responsible Commonwealth Minister; and

                     (b)  require the registered holder of a greenhouse gas injection licence to give the draft variation to the responsible Commonwealth Minister; and

                     (c)  make provision for the responsible Commonwealth Minister to approve the variation; and

                     (d)  provide that, if the responsible Commonwealth Minister approves the variation, the approved site plan is varied accordingly.

             (8)  If an approved site plan is varied, a reference in this Act to the approved site plan is a reference to the approved site plan as varied.

458  Co‑existence of greenhouse gas titles and petroleum titles

             (1)  This Act does not prevent:

                     (a)  a greenhouse gas assessment permit; or

                     (b)  a greenhouse gas holding lease; or

                     (c)  a greenhouse gas injection licence; or

                     (d)  a greenhouse gas search authority; or

                     (e)  a greenhouse gas special authority;

from being in force over the whole or a part of an area in respect of which any of the following is in force:

                      (f)  a petroleum exploration permit;

                     (g)  a petroleum retention lease;

                     (h)  a petroleum production licence;

                      (i)  a petroleum special prospecting authority;

                      (j)  a petroleum access authority.

             (2)  This Act does not prevent:

                     (a)  a petroleum exploration permit; or

                     (b)  a petroleum retention lease; or

                     (c)  a petroleum production licence; or

                     (d)  a petroleum special prospecting authority; or

                     (e)  a petroleum access authority;

from being in force over the whole or a part of an area in respect of which any of the following is in force:

                      (f)  a greenhouse gas assessment permit;

                     (g)  a greenhouse gas holding lease;

                     (h)  a greenhouse gas injection licence;

                      (i)  a greenhouse gas search authority;

                      (j)  a greenhouse gas special authority.

459  Reservation of blocks

             (1)  If the following conditions are satisfied in relation to a particular block:

                     (a)  there is no greenhouse gas assessment permit, greenhouse gas holding lease or greenhouse gas injection licence over the block;

                     (b)  there is no place in the block that is an infrastructure licence area;

                     (c)  there is no pipeline over or in the block;

                     (d)  there are no pending applications for the grant of a greenhouse gas assessment permit or greenhouse gas injection licence over the block;

                     (e)  there are no pending applications for the grant of an infrastructure licence relating to a place in the block;

                      (f)  there are no pending applications for the grant of a pipeline licence relating to a pipeline, or proposed pipeline, over or in the block;

the responsible Commonwealth Minister may, by notice published in the Gazette, declare that:

                     (g)  the block is not to be the subject of a greenhouse gas assessment permit, greenhouse gas holding lease, greenhouse gas injection licence, greenhouse gas search authority or greenhouse gas special authority; and

                     (h)  an infrastructure licence is not to be granted in relation to a place within the block; and

                      (i)  a pipeline licence is not to be granted in relation to a pipeline over or in the block.

             (2)  If a declaration under subsection (1) is in force in relation to a block:

                     (a)  a greenhouse gas assessment permit, greenhouse gas holding lease, greenhouse gas injection licence, greenhouse gas search authority or greenhouse gas special authority must not be granted over that block; and

                     (b)  an infrastructure licence must not be granted in relation to a place within that block; and

                     (c)  a pipeline licence must not be granted in relation to a pipeline over or in that block.

             (3)  Subsection (2) has effect despite any other provision of this Act.

460  Interference with other rights

Scope

             (1)  This section applies to the following:

                     (a)  a greenhouse gas assessment permit;

                     (b)  a greenhouse gas holding lease;

                     (c)  a greenhouse gas injection licence;

                     (d)  a greenhouse gas search authority;

                     (e)  a greenhouse gas special authority;

                      (f)  a greenhouse gas research consent.

Requirement

             (2)  A person (the first person) carrying on activities in an offshore area under the permit, lease, licence, authority or consent must carry on those activities in a manner that does not interfere with:

                     (a)  navigation; or

                     (b)  fishing; or

                     (c)  the conservation of the resources of the sea and seabed; or

                     (d)  any activities of another person being lawfully carried on by way of:

                              (i)  exploration for, recovery of or conveyance of a mineral (other than petroleum); or

                             (ii)  construction or operation of a pipeline; or

                     (e)  the enjoyment of native title rights and interests (within the meaning of the Native Title Act 1993);

to a greater extent than is necessary for the reasonable exercise of the rights and performance of the duties of the first person.

Offence

             (3)  A person commits an offence if:

                     (a)  the person is subject to a requirement under subsection (2); and

                     (b)  the person engages in conduct; and

                     (c)  the person’s conduct breaches the requirement.

Penalty for a contravention of this subsection:          100 penalty units.

461  No conditions about payment of money

                   There must not be included in:

                     (a)  a greenhouse gas assessment permit; or

                     (b)  a greenhouse gas holding lease; or

                     (c)  a greenhouse gas injection licence;

a condition requiring the payment of money to the responsible Commonwealth Minister or the Commonwealth.

462  Certain portions of blocks to be blocks

Scope

             (1)  This section applies if the area in relation to which a title is in force includes one or more portions of a section 33 block.

Note:          This would be the case if the boundaries of a title area do not conform to the graticular system established by this Act.

Portion of a block to be a block

             (2)  For the purposes of this Act:

                     (a)  the area of that portion or those portions constitutes a block (a type A block); and

                     (b)  the area of the remaining portion or portions of the section 33 block (but not including any part of that area in relation to which another title is in force) constitutes a block (a type B block).

Amalgamation of portions of blocks

             (3)  If a title ceases to be in force in relation to a type A block (the first type A block), the responsible Commonwealth Minister may, by written instrument, if the responsible Commonwealth Minister considers it desirable to do so, determine that the first type A block be amalgamated with:

                     (a)  another type A block or blocks, so long as the following conditions are satisfied in relation to the other type A block or blocks:

                              (i)  the other type A block or blocks form part of the graticular section of which the first type A block forms part;

                             (ii)  a greenhouse gas assessment permit, greenhouse gas holding lease or greenhouse gas injection licence is in force in relation to the other type A block or blocks; or

                     (b)  both:

                              (i)  another type A block or blocks covered by paragraph (a); and

                             (ii)  a type B block that forms part of the graticular section of which the first type A block forms part.

             (4)  If a determination is made under subsection (3), then, for the purposes of this Act:

                     (a)  the blocks the subject of the determination cease to constitute blocks; and

                     (b)  the areas of those blocks together constitute a block; and

                     (c)  the block constituted as a result of the determination is, subject to this Act, for the remainder of the term of the permit, lease or licence concerned, a block in relation to which the permit, lease or licence is in force.

             (5)  The responsible Commonwealth Minister must not make a determination under subsection (3) except with the consent of the permittee, lessee or licensee concerned.

Definitions

             (6)  In this section:

section 33 block means a block constituted as provided by section 33.

title means:

                     (a)  a greenhouse gas assessment permit; or

                     (b)  a greenhouse gas holding lease; or

                     (c)  a greenhouse gas injection licence; or

                     (d)  a prescribed instrument.

463  Changes to the boundary of the coastal waters of a State or Territory

Change to coastal waters boundary results in an area ceasing to be within the offshore area of a State or Territory

             (1)  If:

                     (a)  a Commonwealth title has been granted on the basis that an area (the first area) is within the offshore area of a State or the Northern Territory; and

                     (b)  as a result of a change to the boundary of the coastal waters of the State or Territory, the first area:

                              (i)  ceases to be within the offshore area of the State or Territory; and

                             (ii)  falls within the coastal waters of the State or Territory;

this Act applies in relation to the Commonwealth title as if the first area were still within the offshore area in relation to the State or Territory.

             (2)  Subsection (1) continues to apply to the first area only while the Commonwealth title remains in force.

Change to coastal waters boundary results in an area ceasing to be within the coastal waters of a State or Territory

             (3)  If:

                     (a)  a State/Territory title has been granted by a State or the Northern Territory on the basis that an area (the second area) is within the coastal waters of the State or Territory; and

                     (b)  as a result of a change to the boundary of the coastal waters of the State or Territory, the second area:

                              (i)  ceases to be within the coastal waters of the State or Territory; and

                             (ii)  falls within the offshore area of the State or Territory;

then, so far as the State/Territory title is concerned, this Act does not apply to the second area.

             (4)  Subsection (3) continues to apply to the second area only while the State/Territory title remains in force.

Definitions

             (5)  In this section:

Commonwealth title means:

                     (a)  a greenhouse gas assessment permit; or

                     (b)  a greenhouse gas holding lease; or

                     (c)  a greenhouse gas injection licence.

State/Territory title means an instrument under a law of a State or the Northern Territory that confers, in relation to the coastal waters of the State or Territory, some or all of the rights that a Commonwealth title confers in relation to the offshore area of the State or Territory.

464  Commonwealth may monitor the behaviour of a greenhouse gas substance stored in a part of a geological formation

             (1)  The Commonwealth may carry out in an offshore area operations for the purposes of monitoring the behaviour of a greenhouse gas substance stored in a part of a geological formation.

             (2)  Subsection (1) does not limit the executive power of the Commonwealth.

465  Monitoring information may be made publicly available

Scope

             (1)  This section applies to information that:

                     (a)  is held by the Commonwealth; and

                     (b)  relates to the monitoring of the behaviour of a greenhouse gas substance stored in a part of a geological formation, where the part is wholly or partly situated in one or more offshore areas.

Information may be made publicly available

             (2)  The regulations may authorise the responsible Commonwealth Minister to make the information publicly available.


 

Chapter 4Registration of transfers of, and dealings in, petroleum titles

Part 4.1Introduction

  

466  Simplified outline

                   The following is a simplified outline of this Chapter:

•      The Designated Authority must keep a Register of petroleum titles and petroleum special prospecting authorities.

•      A transfer of a petroleum title must be approved by the Designated Authority, and an instrument of transfer must be registered under this Part.

•      A dealing in a petroleum title must be approved by the Designated Authority, and the approval must be entered in the Register.

467  Definitions

                   In this Chapter:

Register means:

                     (a)  a Register kept under section 469; and

                     (b)  when used in relation to the Designated Authority for an offshore area—means the Register kept under section 469 by that Designated Authority.

title means:

                     (a)  a petroleum exploration permit; or

                     (b)  a petroleum retention lease; or

                     (c)  a petroleum production licence; or

                     (d)  an infrastructure licence; or

                     (e)  a pipeline licence; or

                      (f)  a petroleum access authority.

468  Dealing—series of debentures

                   For the purposes of this Chapter, if a dealing forms a part of the issue of a series of debentures, all of the dealings constituting the issue of that series of debentures are taken to be one dealing.


 

Part 4.2Register of titles and petroleum special prospecting authorities

  

469  Register to be kept

                   The Designated Authority for an offshore area must keep a Register of:

                     (a)  titles; and

                     (b)  petroleum special prospecting authorities;

relating to the offshore area.

470  Entries in Register—general

Memorial

             (1)  The Designated Authority must enter in the Register a memorial for each title and petroleum special prospecting authority.

             (2)  The memorial must comply with the table:

 

Content of memorial

Item

In the case of...

the memorial must...

1

a title or petroleum special prospecting authority

specify the name of the holder of the title or petroleum special prospecting authority.

2

a petroleum exploration permit, petroleum retention lease, petroleum production licence, petroleum special prospecting authority or petroleum access authority

set out an accurate description (including, where convenient, a map) of the permit area, lease area, licence area or authority area.

3

an infrastructure licence

set out details of the licence area.

4

a pipeline licence

set out an accurate description of the route of the pipeline.

5

a title or petroleum special prospecting authority

specify the term of the title or petroleum special prospecting authority.

6

a title or petroleum special prospecting authority

set out such other matters and things as are required by this Act to be entered in the Register.

7

a title or petroleum special prospecting authority

set out such further matters relating to the registered holder, or to the conditions of the title or petroleum special prospecting authority, as the Designated Authority thinks proper and expedient in the public interest.

             (3)  The Designated Authority must enter in the Register a memorial of:

                     (a)  a notice or instrument:

                              (i)  varying; or

                             (ii)  cancelling (to any extent); or

                            (iii)  surrendering (to any extent); or

                            (iv)  otherwise affecting;

                            a title or petroleum special prospecting authority; or

                     (b)  a notice under subsection 191(5), (6) or (7); or

                     (c)  a notice or instrument varying or revoking a notice or instrument referred to in paragraph (a) or (b).

Note 1:       Subparagraph (a)(iv) would cover, for example, a notice terminating a petroleum production licence, infrastructure licence or pipeline licence, or a notice revoking a petroleum retention lease or petroleum access authority.

Note 2:       Subsections 191(5), (6) and (7) deal with unit development.

Copy of title may be entered instead of memorial

             (4)  It is a sufficient compliance with the requirements of subsection (1), (2) or (3) if the Designated Authority enters a copy of the title, petroleum special prospecting authority, notice or instrument in the Register.

Date of entry to be endorsed

             (5)  The Designated Authority must endorse on:

                     (a)  the memorial; or

                     (b)  the copy of the title, petroleum special prospecting authority, notice or instrument;

a memorandum of the date on which the memorial or copy was entered in the Register.

471  Entry in Register—cessation, revocation or expiry of title

                   If an event specified in the table happens, the Designated Authority must enter in the Register a memorial of the fact.

 

Cessation of title etc.

Item

Event

1

A petroleum exploration permit or petroleum retention lease ceases to be in force over a block in relation to which a petroleum production licence is granted.

2

A petroleum exploration permit ceases to be in force over a block in relation to which a petroleum retention lease is granted.

3

A petroleum exploration permit is wholly or partly revoked.

4

A petroleum retention lease is wholly or partly revoked otherwise than under section 158.

5

A petroleum exploration permit, petroleum retention lease, petroleum production licence, petroleum special prospecting authority or petroleum access authority expires.


 

Part 4.3Transfer of titles

  

472  Approval and registration of transfers

                   A transfer of a title is of no force until:

                     (a)  it has been approved by the Designated Authority; and

                     (b)  an instrument of transfer is registered as provided by this Part.

473  Application for approval of transfer

             (1)  One of the parties to a proposed transfer of a title may apply to the Designated Authority for approval of the transfer.

             (2)  The application must be in writing.

474  Documents to accompany application

                   An application for approval of a transfer must be accompanied by:

                     (a)  an instrument of transfer in the prescribed form executed by:

                              (i)  the registered holder or, if there are 2 or more registered holders, by each registered holder; and

                             (ii)  the transferee or, if there are 2 or more transferees, by each transferee; and

                     (b)  if the transferee, or one or more of the transferees, is not a registered holder or are not registered holders of the title—a document setting out:

                              (i)  the technical qualifications of that transferee or those transferees; and

                             (ii)  details of the technical advice that is or will be available to that transferee or those transferees; and

                            (iii)  details of the financial resources that are or will be available to that transferee or those transferees; and

                     (c)  2 copies of each of the following:

                              (i)  the application;

                             (ii)  the instrument referred to in paragraph (a);

                            (iii)  the document referred to in paragraph (b).

475  Application and documents to be forwarded to the responsible Commonwealth Minister

Scope

             (1)  This section applies if an application is made for approval of a transfer.

Application and documents to be forwarded to the responsible Commonwealth Minister

             (2)  As soon as practicable after receiving the application, the Designated Authority must give the responsible Commonwealth Minister a copy of each of the following:

                     (a)  the application;

                     (b)  the instrument referred to in paragraph 474(a);

                     (c)  the document referred to in paragraph 474(b).

476  Time limit for application

             (1)  An application for approval of a transfer must be made within:

                     (a)  90 days after the day on which the party who last executed the instrument of transfer so executed the instrument of transfer; or

                     (b)  such longer period as the Designated Authority allows.

             (2)  The Designated Authority may allow a longer period under paragraph (1)(b) only if there are sufficient grounds to warrant allowing the longer period.

477  Date of application to be entered in Register

                   If an application is made for approval of a transfer, the Designated Authority:

                     (a)  must enter a memorandum in the Register of the date on which the application was lodged; and

                     (b)  may make such other notation in the Register as the Designated Authority considers appropriate.

478  Approval of transfer

Scope

             (1)  This section applies if an application is made for approval of a transfer.

Decision

             (2)  The Designated Authority must:

                     (a)  approve the transfer; or

                     (b)  refuse to approve the transfer.

             (3)  Subsection (2) has effect subject to subsections (6), (7) and (8).

             (4)  The Designated Authority must, by written notice given to the applicant, notify the applicant of the Designated Authority’s decision.

             (5)  If the Designated Authority refuses to approve the transfer, the Designated Authority must make a notation of the refusal in the Register.

Role of responsible Commonwealth Minister

             (6)  The Designated Authority must not make a decision under subsection (2) until:

                     (a)  the responsible Commonwealth Minister informs the Designated Authority that the responsible Commonwealth Minister does not intend to give a direction under subsection (7) in relation to the application; or

                     (b)  the responsible Commonwealth Minister gives a direction under subsection (7) in relation to the application.

             (7)  The responsible Commonwealth Minister may, by written notice given to the Designated Authority, give the Designated Authority a direction in relation to the exercise by the Designated Authority of the power conferred on the Designated Authority by subsection (2) in relation to the application.

             (8)  The Designated Authority must comply with a direction under subsection (7).

             (9)  A direction under subsection (7) is not a legislative instrument.

479  Registration of transfer

Scope

             (1)  This section applies if the Designated Authority approves the transfer of a title.

Endorsement

             (2)  The Designated Authority must immediately endorse on:

                     (a)  the instrument of transfer; and

                     (b)  the copy of the instrument of transfer;

a memorandum of approval.

             (3)  On payment of the fee provided for in the Registration Fees Act, the Designated Authority must enter in the Register a memorandum of:

                     (a)  the transfer; and

                     (b)  the name of the transferee or of each transferee.

             (4)  On the entry in the Register of the memorandum:

                     (a)  the transfer is taken to be registered; and

                     (b)  the transferee becomes the registered holder, or the transferees become the registered holders, of the title.

             (5)  If the transfer is registered:

                     (a)  the copy of the instrument of transfer endorsed with the memorandum of approval must be:

                              (i)  retained by the Designated Authority; and

                             (ii)  made available for inspection in accordance with this Chapter; and

                     (b)  the instrument of transfer endorsed with the memorandum of approval must be returned to the person who applied for approval of the transfer.

480  Instrument of transfer does not create an interest in the title

                   The mere execution of an instrument of transfer of a title creates no interest in the title.

481  Limit on effect of approval of transfers

                   The approval of a transfer of a title does not give to the transfer any force, effect or validity that the transfer would not have had if this Chapter had not been enacted.


 

Part 4.4Devolution of title

  

482  Application to have name entered on the Register as the holder of a title

             (1)  If the rights of the registered holder of a particular title have devolved on a person by operation of law, the person may apply to the Designated Authority to have the person’s name entered in the Register as the holder of the title.

             (2)  The application must be in writing.

483  Entry of name in the Register

Scope

             (1)  This section applies if an application is made under section 482 in relation to a title.

Entry in Register

             (2)  If:

                     (a)  the Designated Authority is satisfied that the rights of the holder have devolved on the applicant by operation of law; and

                     (b)  the applicant has paid the prescribed fee;

the Designated Authority must enter the name of the applicant in the Register as the holder of the title.

             (3)  On that entry being made, the applicant becomes the registered holder of the title.


 

Part 4.5Change in name of company

  

484  Application to have new name entered on the Register

             (1)  If:

                     (a)  a company is the registered holder of a particular title; and

                     (b)  the company has changed its name;

the company may apply to the Designated Authority to have its new name substituted for its previous name in the Register in relation to that title.

             (2)  The application must be in writing.

485  Alteration in the Register

Scope

             (1)  This section applies if a company applies under section 484 to have its new name substituted for its previous name in the Register in relation to a particular title.

Alteration

             (2)  If:

                     (a)  the Designated Authority is satisfied that the company has changed its name; and

                     (b)  the company has paid the prescribed fee;

the Designated Authority must make the necessary alterations in the Register.


 

Part 4.6Dealings relating to existing titles

  

486  Dealings to which this Part applies

                   This Part applies to a dealing (other than a transfer of a title) that would have one or more of the effects set out in the table:

 

Effects of dealings

Item

Effect

1

The creation or assignment of an interest in an existing title.

2

The creation or assignment of a right (conditional or otherwise) to the assignment of an interest in an existing title.

3

The determination of the manner in which persons may:

(a) exercise the rights conferred by an existing title; or

(b) comply with the obligations imposed by an existing title; or

(c) comply with the conditions of an existing title;

(including the exercise of those rights, or the compliance with those obligations or conditions, under cooperative arrangements to recover petroleum).

4

The creation or assignment of an interest in relation to an existing petroleum exploration permit, petroleum retention lease or petroleum production licence, where the interest is known as:

(a) an overriding royalty interest; or

(b) a production payment; or

(c) a net profits interest; or

(d) a carried interest.

5

The creation or assignment of an interest that is similar to an interest covered by item 4, where the interest relates to:

(a) petroleum produced from operations authorised by an existing petroleum exploration permit, petroleum retention lease or petroleum production licence; or

(b) revenue derived as a result of the carrying out of operations authorised by an existing petroleum exploration permit, petroleum retention lease or petroleum production licence.

6

The creation or assignment of an option (conditional or otherwise) to enter into a dealing, where the dealing would have one or more of the effects referred to in items 1, 2, 3, 4 and 5.

7

The creation or assignment of a right (conditional or otherwise) to enter into a dealing, where the dealing would have one or more of the effects referred to in items 1, 2, 3, 4 and 5.

8

The alteration or termination of a dealing, where the dealing would have one or more of the effects referred to in items 1, 2, 3, 4, 5, 6 and 7.

487  Approval and registration of dealings

                   A dealing is of no force, in so far as the dealing would have an effect of a kind referred to in the table in section 486 in relation to a particular title, until:

                     (a)  the Designated Authority has approved the dealing, in so far as it relates to that title; and

                     (b)  the Designated Authority has made an entry in the Register in relation to the dealing under section 494.

488  Application for approval of dealing

             (1)  An application for approval of a dealing must be made in accordance with subsection (2) or (3).

Application—dealing relates to only one title

             (2)  If a dealing relates to only one title, a party to the dealing may apply to the Designated Authority for approval of the dealing in so far as it relates to that title.

Application—dealing relates to 2 or more titles

             (3)  If a dealing relates to 2 or more titles, a party to the dealing may make a separate application to the Designated Authority for approval of the dealing in so far as it relates to each title.

Written application

             (4)  An application must be in writing.

489  Documents to accompany application

Instrument evidencing dealing

             (1)  An application for approval of a dealing must be accompanied by:

                     (a)  the instrument evidencing the dealing; or

                     (b)  if that instrument has already been lodged with the Designated Authority for the purposes of another application—a copy of that instrument.

Supplementary instrument

             (2)  An application for approval of a dealing may be accompanied by an instrument setting out such details (if any) as are prescribed for the purposes of an application for approval of a dealing of that kind.

             (3)  An instrument under subsection (2) is called a supplementary instrument.

Copies

             (4)  An application for approval of a dealing must be accompanied by:

                     (a)  2 copies of the application;

                     (b)  2 copies, or 2 additional copies, of the instrument referred to in subsection (1);

                     (c)  2 copies of any supplementary instrument.

Charge over assets of a body corporate—copies of documents

             (5)  If:

                     (a)  a dealing (including a dealing referred to in section 468) creates a charge over some or all of the assets of a body corporate; and

                     (b)  a person applies for approval of the dealing; and

                     (c)  the application is accompanied by 3 copies of each document required to be lodged with the Australian Securities and Investments Commission under section 263 of the Corporations Act 2001 in relation to the creation of the charge;

the person is taken to have complied with:

                     (d)  subsection (1); and

                     (e)  subsection (4) in so far as that subsection requires 2 copies, or 2 additional copies, of the instrument referred to in subsection (1) to accompany the application.

490  Application and documents to be forwarded to the responsible Commonwealth Minister

Scope

             (1)  This section applies if an application is made for approval of a dealing in so far as it relates to a particular title.

Application and documents to be forwarded to the responsible Commonwealth Minister

             (2)  As soon as practicable after the Designated Authority receives the application, the Designated Authority must give the responsible Commonwealth Minister a copy of each of the following:

                     (a)  the application;

                     (b)  the instrument referred to in subsection 489(1);

                     (c)  any supplementary instrument;

                     (d)  any document referred to in paragraph 489(5)(c).

491  Timing of application

             (1)  An application for approval of a dealing must be made within:

                     (a)  90 days after the day on which the party who last executed the instrument evidencing the dealing so executed the instrument; or

                     (b)  such longer period as the Designated Authority allows.

             (2)  The Designated Authority may allow a longer period under paragraph (1)(b) only if there are sufficient grounds to warrant allowing the longer period.

             (3)  This section has effect subject to section 503.

Note:          Section 503 is about approval of a dealing that was entered into before the title came into existence.

492  Application date to be entered in Register

                   If an application is made for approval of a dealing, the Designated Authority:

                     (a)  must enter a memorandum in the Register of the date on which the application was lodged; and

                     (b)  may make such other notation in the Register as the Designated Authority considers appropriate.

493  Approval of dealing

Scope

             (1)  This section applies if an application is made for approval of a dealing in so far as it relates to a particular title.

Decision

             (2)  The Designated Authority must:

                     (a)  approve the dealing; or

                     (b)  refuse to approve the dealing;

in so far as it relates to that title.

Note:          Section 503 limits the power conferred on the Designated Authority by this section. Section 503 is about approval of a dealing that was entered into before the title came into existence.

             (3)  Subsection (2) has effect subject to subsections (6), (7) and (8).

Notification of decision

             (4)  The Designated Authority must, by written notice given to the applicant, notify the applicant of the Designated Authority’s decision.

Refusal to approve dealing—notation in Register

             (5)  If the Designated Authority refuses to approve the dealing in so far as it relates to that title, the Designated Authority must make a notation of the refusal in the Register.

Role of responsible Commonwealth Minister

             (6)  The Designated Authority must not make a decision under subsection (2) until:

                     (a)  the responsible Commonwealth Minister informs the Designated Authority that the responsible Commonwealth Minister does not intend to give a direction under subsection (7) in relation to the application; or

                     (b)  the responsible Commonwealth Minister gives a direction under subsection (7) in relation to the application.

             (7)  The responsible Commonwealth Minister may, by written notice given to the Designated Authority, give the Designated Authority a direction in relation to the exercise by the Designated Authority of the power conferred on the Designated Authority by subsection (2) in relation to the application.

             (8)  The Designated Authority must comply with a direction under subsection (7).

             (9)  A direction under subsection (7) is not a legislative instrument.

494  Entry of dealing in Register

Scope

             (1)  This section applies if the Designated Authority approves a dealing in so far as it relates to a particular title.

Endorsement

             (2)  The Designated Authority must immediately endorse a memorandum of approval:

                     (a)  on the original instrument evidencing the dealing and on the copy of that instrument; or

                     (b)  if the original instrument was not lodged with the application for approval—on both of the copies of that instrument.

Entry in Register

             (3)  On payment of the fee provided for in the Registration Fees Act, the Designated Authority must make an entry of the approval of the dealing in the Register on:

                     (a)  the memorial relating to that title; or

                     (b)  the copy of that title.

495  Retention, inspection and return of instruments

Scope

             (1)  This section applies if the Designated Authority makes an entry of the approval of a dealing in the Register.

Application accompanied by supplementary instrument

             (2)  If the application for approval of the dealing was accompanied by a supplementary instrument:

                     (a)  a copy of the supplementary instrument, endorsed with a copy of the memorandum of approval, must be:

                              (i)  retained by the Designated Authority; and

                             (ii)  made available for inspection in accordance with this Chapter; and

                     (b)  the supplementary instrument must be returned to the person who applied for approval; and

                     (c)  a copy of the instrument evidencing the dealing must not be made available for inspection in accordance with this Chapter; and

                     (d)  the original instrument evidencing the dealing, or a copy of the original instrument, as the case requires, endorsed with a memorandum of approval, must be returned to the person who applied for approval.

Note:          For inspection, see section 515.

Application not accompanied by supplementary instrument

             (3)  If the application for approval of the dealing was not accompanied by a supplementary instrument:

                     (a)  one copy of the instrument evidencing the dealing, endorsed with a memorandum of approval, must be:

                              (i)  retained by the Designated Authority; and

                             (ii)  made available for inspection in accordance with this Chapter; and

                     (b)  the original instrument evidencing the dealing, or a copy of the original instrument, as the case requires, endorsed with a memorandum of approval, must be returned to the person who applied for approval.

Note:          For inspection, see section 515.

Definition

             (4)  In this section:

supplementary instrument has the meaning given by subsection 489(3) or 499(3).

496  Strict compliance with application provisions not required

                   The approval of a dealing, or the making of an entry in the Register in relation to a dealing, is not made ineffective because of any failure to comply, in relation to the application for approval of the dealing, with the requirements of this Part.

497  Limit on effect of approval of dealing

                   The approval of a dealing does not give to the dealing any force, effect or validity that the dealing would not have had if this Chapter had not been enacted.


 

Part 4.7Dealings in future interests

  

498  Provisional application for approval of dealing

Scope

             (1)  This section applies if:

                     (a)  2 or more persons enter into a dealing relating to a title that may come into existence in the future; and

                     (b)  that dealing would, if the title came into existence, become a dealing to which Part 4.6 applies.

Provisional application—dealing relates to only one title

             (2)  If the dealing relates to only one title that may come into existence in the future, a party to the dealing may make a provisional application to the Designated Authority for approval of the dealing.

Provisional application—dealing relates to 2 or more titles

             (3)  If the dealing relates to 2 or more titles that may come into existence in the future, a party to the dealing may make a separate provisional application to the Designated Authority for approval of the dealing in relation to each title that may come into existence in the future.

Written provisional application

             (4)  A provisional application must be in writing.

499  Documents to accompany provisional application

Instrument evidencing dealing

             (1)  A provisional application for approval of a dealing must be accompanied by:

                     (a)  the instrument evidencing the dealing; or

                     (b)  if that instrument has already been lodged with the Designated Authority for the purposes of another provisional application—a copy of that instrument.

Supplementary instrument

             (2)  A provisional application for approval of a dealing may be accompanied by an instrument setting out such details (if any) as are prescribed for the purposes of a provisional application for approval of a dealing of that kind.

             (3)  An instrument under subsection (2) is called a supplementary instrument.

Copies

             (4)  A provisional application for approval of a dealing must be accompanied by:

                     (a)  2 copies of the provisional application; and

                     (b)  2 copies, or 2 additional copies, of the instrument referred to in subsection (1); and

                     (c)  2 copies of any supplementary instrument.

Charge over assets of a body corporate—copies of documents

             (5)  If:

                     (a)  a dealing (including a dealing referred to in section 468) creates a charge over some or all of the assets of a body corporate; and

                     (b)  a person makes a provisional application for approval of the dealing; and

                     (c)  the provisional application is accompanied by 3 copies of each document required to be lodged with the Australian Securities and Investments Commission under section 263 of the Corporations Act 2001 in relation to the creation of the charge;

the person is taken to have complied with:

                     (d)  subsection (1); and

                     (e)  subsection (4) in so far as that subsection requires 2 copies, or 2 additional copies, of the instrument referred to in subsection (1) to accompany the provisional application.

500  Application and documents to be forwarded to the responsible Commonwealth Minister

Scope

             (1)  This section applies if a provisional application is made for approval of a dealing in so far as it relates to a particular title.

Application and documents to be forwarded to the responsible Commonwealth Minister

             (2)  As soon as practicable after the Designated Authority receives the application, the Designated Authority must give the responsible Commonwealth Minister a copy of each of the following:

                     (a)  the provisional application;

                     (b)  the instrument referred to in subsection 499(1);

                     (c)  any supplementary instrument;

                     (d)  any document referred to in paragraph 499(5)(c).

501  Timing of provisional application

                   A provisional application must be made within the period worked out using the table:

 

Period for making a provisional application

Item

In this case...

the period begins on...

and ends on...

1

a provisional application for approval of a dealing relating to any of the following titles that may come into existence in the future:

(a) a petroleum exploration permit;

(b) a petroleum retention lease;

(c) a petroleum production licence;

(d) an infrastructure licence;

(e) a pipeline licence

the day on which an offer document that relates to the application for the title is given to the applicant for the title

the day on which the title comes into existence.

2

a provisional application for approval of a dealing relating to a petroleum access authority that may come into existence in the future

the day on which the application for the grant of the petroleum access authority is made

the day on which the petroleum access authority comes into existence.

502  Provisional application to be treated as an application under section 488 when title comes into existence

                   If:

                     (a)  a provisional application is made for approval of a dealing; and

                     (b)  the title to which the dealing relates comes into existence; and

                     (c)  on that title coming into existence, the dealing becomes a dealing to which Part 4.6 applies;

the provisional application is to be treated as if it were an application made under section 488 on the day on which that title came into existence.

503  Limit on approval of dealing

             (1)  If:

                     (a)  Part 4.6 applies to a dealing relating to a title; and

                     (b)  immediately before the title came into existence, the dealing was a dealing referred to in subsection 498(1);

the Designated Authority may approve the dealing under section 493 only if:

                     (c)  a provisional application for approval of the dealing was made under section 498; or

                     (d)  an application for approval of the dealing was made under section 488 within:

                              (i)  90 days after the day on which the title came into existence; or

                             (ii)  such longer period as the Designated Authority allows.

             (2)  The Designated Authority may allow a longer period under subparagraph (1)(d)(ii) only if there are sufficient grounds to warrant allowing the longer period.


 

Part 4.8Correction and rectification of Register

  

504  Corrections of clerical errors or obvious defects

                   The Designated Authority may alter the Register for the purposes of correcting a clerical error or an obvious defect in the Register.

505  General power of correction of Register

Power of correction

             (1)  The Designated Authority may make such entries in the Register as the Designated Authority considers appropriate for the purposes of ensuring that the Register accurately records the interests and rights existing in relation to a title.

             (2)  The Designated Authority may exercise the power conferred by subsection (1):

                     (a)  on written application being made to the Designated Authority by a person; or

                     (b)  on the Designated Authority’s own initiative.

Consultation

             (3)  Before the Designated Authority makes an entry in the Register under subsection (1), the Designated Authority must cause to be published in the Gazette a notice:

                     (a)  setting out the terms of the entry that the Designated Authority proposes to make in the Register; and

                     (b)  inviting interested persons to give the Designated Authority written submissions about the making of the entry; and

                     (c)  specifying a time limit for the making of those submissions.

             (4)  The time limit must not be shorter than 45 days after the publication of the notice.

             (5)  In deciding whether to make the entry in the Register, the Designated Authority must take into account any submissions made in accordance with the notice.

Gazettal of terms of entry

             (6)  If the Designated Authority makes an entry in the Register under subsection (1), the Designated Authority must cause to be published in the Gazette a notice setting out the terms of the entry.

506  Rectification of Register

Application for rectification

             (1)  If a person is aggrieved by any of the following:

                     (a)  the omission of an entry from a Register;

                     (b)  an entry made in a Register without sufficient cause;

                     (c)  an entry wrongly existing in a Register;

                     (d)  an error or defect in an entry in a Register;

the person may apply to:

                     (e)  the Federal Court; or

                      (f)  the Supreme Court of, or having jurisdiction in, the State or Territory to which the relevant offshore area relates;

for the rectification of the Register.

Court orders

             (2)  If an application is made under subsection (1) to a court for the rectification of a Register, the court may make such order as it thinks fit directing the rectification of the Register.

             (3)  In proceedings under this section, the court may decide any question that it is necessary or expedient to decide in connection with the rectification of the Register.

Appearance of Designated Authority

             (4)  Notice of an application under this section must be given to the Designated Authority concerned, who:

                     (a)  may appear and be heard; and

                     (b)  must appear if so directed by the court.

Copy of order to be given to Designated Authority

             (5)  An office copy of an order made by the court may be given to the Designated Authority.

Compliance with order

             (6)  The Designated Authority must, on receipt of the order, rectify the Register accordingly.

Principal Northern Territory offshore area and Eastern Greater Sunrise offshore area

             (7)  For the purposes of paragraph (1)(f):

                     (a)  the Principal Northern Territory offshore area; and

                     (b)  the Eastern Greater Sunrise offshore area;

are taken to relate to the Northern Territory.


 

Part 4.9Information‑gathering powers

  

507  Designated Authority may obtain information from applicants

Scope

             (1)  This section applies if:

                     (a)  an application for approval of the transfer of a title is made under section 473; or

                     (b)  an application is made under section 482 or 484 in relation to a title; or

                     (c)  an application for approval of a dealing is made under section 488; or

                     (d)  a provisional application for approval of a dealing is made under section 498; or

                     (e)  an application is made under section 505 in relation to a title.

Requirement to give information

             (2)  The Designated Authority may, by written notice given to the applicant, require the applicant to give the Designated Authority, within the period and in the manner specified in the notice, such information about the matter to which the application relates as the Designated Authority considers necessary or advisable.

             (3)  A period specified under subsection (2) must not be shorter than 14 days after the notice is given.

Offences

             (4)  A person commits an offence if:

                     (a)  the person has been given a notice under subsection (2); and

                     (b)  the person omits to do an act; and

                     (c)  the omission contravenes a requirement in the notice.

Penalty:  50 penalty units.

             (5)  A person commits an offence if:

                     (a)  the Designated Authority requires the person to give information under subsection (2); and

                     (b)  the person gives information; and

                     (c)  the person does so knowing that the information is false or misleading in a material particular.

Penalty:  50 penalty units.

Notice to set out the effect of offence provisions

             (6)  A notice under subsection (2) must set out the effect of the following provisions:

                     (a)  subsection (4);

                     (b)  subsection (5).

Note:          The same conduct may be an offence against both subsection (5) of this section and section 137.1 of the Criminal Code.

508  Designated Authority may obtain information from a party to an approved dealing

Scope

             (1)  This section applies if:

                     (a)  a person is a party to a dealing relating to a title; and

                     (b)  the dealing has been approved under section 493.

Requirement to give information

             (2)  The Designated Authority may, by written notice given to the person, require the person to give to the Designated Authority, within the period and in the manner specified in the notice, such information about alterations in the interests or rights existing in relation to the title as the Designated Authority considers necessary or advisable.

             (3)  A period specified under subsection (2) must not be shorter than 14 days after the notice is given.

Offences

             (4)  A person commits an offence if:

                     (a)  the person has been given a notice under subsection (2); and

                     (b)  the person omits to do an act; and

                     (c)  the omission contravenes a requirement in the notice.

Penalty:  50 penalty units.

             (5)  A person commits an offence if:

                     (a)  the Designated Authority requires the person to give information under subsection (2); and

                     (b)  the person gives information; and

                     (c)  the person does so knowing that the information is false or misleading in a material particular.

Penalty:  50 penalty units.

Notice to set out the effect of offence provisions

             (6)  A notice under subsection (2) must set out the effect of the following provisions:

                     (a)  subsection (4);

                     (b)  subsection (5).

Note:          The same conduct may be an offence against both subsection (5) of this section and section 137.1 of the Criminal Code.

509  Production and inspection of documents

Scope

             (1)  This section applies if the Designated Authority has reason to believe that a document:

                     (a)  is in the possession or under the control of a person; and

                     (b)  relates to:

                              (i)  a transfer or dealing for which approval is sought under this Chapter; or

                             (ii)  an application under section 482, 484 or 505.

Requirement

             (2)  The Designated Authority may, by written notice given to the person, require the person:

                     (a)  to produce the document to the Designated Authority, within the period and in the manner specified in the notice; or

                     (b)  to make the document available for inspection by or on behalf of the Designated Authority.

             (3)  A period specified under subsection (2) must not be shorter than 14 days after the notice is given.

Offences

             (4)  A person commits an offence if:

                     (a)  the person has been given a notice under subsection (2); and

                     (b)  the person omits to do an act; and

                     (c)  the omission contravenes a requirement in the notice.

Penalty:  50 penalty units.

             (5)  An offence against subsection (4) is an offence of strict liability.

Note:          For strict liability, see section 6.1 of the Criminal Code.

             (6)  A person commits an offence if:

                     (a)  the person has been given a notice under subsection (2); and

                     (b)  the person:

                              (i)  produces a document to the Designated Authority; or

                             (ii)  makes a document available for inspection by or on behalf of the Designated Authority; and

                     (c)  the person does so knowing that the document is false or misleading in a material particular; and

                     (d)  the document is produced or made available in compliance or purported compliance with the notice.

Penalty:  50 penalty units.

Notice to set out the effect of offence provisions

             (7)  A notice under subsection (2) must set out the effect of the following provisions:

                     (a)  subsection (4);

                     (b)  subsection (6).

Note:          The same conduct may be an offence against both subsection (6) of this section and section 137.2 of the Criminal Code.

510  Designated Authority may retain documents

             (1)  The Designated Authority may take possession of a document produced under section 509, and retain it for as long as is necessary.

             (2)  The person otherwise entitled to possession of the document is entitled to be supplied, as soon as practicable, with a copy certified by the Designated Authority to be a true copy.

             (3)  The certified copy must be received in all courts and tribunals as evidence as if it were the original.

             (4)  Until a certified copy is supplied, the Designated Authority must provide the person otherwise entitled to possession of the document, or a person authorised by that person, reasonable access to the document for the purposes of inspecting and making copies of, or taking extracts from, the document.


 

Part 4.10Other provisions

  

511  Designated Authority etc. not concerned with the effect of instrument lodged under this Chapter

                   None of the following is concerned with the effect in law of an instrument lodged under this Chapter:

                     (a)  the Joint Authority;

                     (b)  the Designated Authority;

                     (c)  a person acting under the direction or authority of the Joint Authority or the Designated Authority.

512  True consideration to be shown

Offence

             (1)  A person commits an offence if:

                     (a)  the person is a party to:

                              (i)  a transfer of a title; or

                             (ii)  a dealing to which Part 4.6 applies; or

                            (iii)  a dealing referred to in subsection 498(1); and

                     (b)  the person gives the Designated Authority:

                              (i)  an instrument of transfer; or

                             (ii)  an instrument evidencing the dealing; or

                            (iii)  a supplementary instrument; and

                     (c)  the instrument contains a statement relating to:

                              (i)  the consideration for the transfer or dealing; or

                             (ii)  any other fact or circumstance affecting the amount of the fee payable under the Registration Fees Act in relation to the transfer or dealing; and

                     (d)  the person gives the instrument knowing that the statement is false or misleading in a material particular.

Penalty:  100 penalty units.

Definition

             (2)  In this section:

supplementary instrument has the meaning given by subsection 489(3) or 499(3).

Note:          The same conduct may be an offence against both subsection (1) of this section and section 137.2 of the Criminal Code.

513  Making a false entry in a Register

                   A person commits an offence if:

                     (a)  the person:

                              (i)  makes an entry in a Register; or

                             (ii)  causes an entry to be made in a Register; or

                            (iii)  concurs in the making of an entry in a Register; and

                     (b)  the person does so knowing that the entry is false.

Penalty:  50 penalty units.

Note:          The same conduct may be an offence against both this section and section 145.4 of the Criminal Code.

514  Falsified documents

                   A person commits an offence if:

                     (a)  the person produces or tenders in evidence a document; and

                     (b)  the document falsely purports to be:

                              (i)  a copy of or extract from an entry in a Register; or

                             (ii)  a copy of or extract from an instrument given to the Designated Authority under this Chapter.

Penalty:  50 penalty units.

Note:          The same conduct may be an offence against both this section and section 137.2 of the Criminal Code.

515  Inspection of Register and instruments

Inspection of Register

             (1)  The Designated Authority must ensure that the Register is open for inspection, at all convenient times, by any person on payment of a fee calculated under the regulations.

Instruments

             (2)  The Designated Authority must ensure that all instruments, or copies of instruments, subject to inspection under this Chapter are open for inspection, at all convenient times, by any person on payment of a fee calculated under the regulations.

516  Evidentiary provisions

Register

             (1)  A Register is to be received in all courts and proceedings as prima facie evidence of all matters required or authorised by this Chapter to be entered in the Register.

Certified copies and extracts

             (2)  The Designated Authority may, on payment of a fee calculated under the regulations, supply:

                     (a)  a copy of or extract from the Register; or

                     (b)  a copy of or extract from any instrument lodged with the Designated Authority under this Chapter;

certified by the Designated Authority to be a true copy or true extract, as the case may be.

             (3)  The certified copy or extract is admissible in evidence in all courts and proceedings without further proof or production of the original.

Evidentiary certificate

             (4)  The Designated Authority may, on payment of a fee calculated under the regulations, issue a written certificate:

                     (a)  stating that an entry, matter or thing required or permitted by or under this Chapter to be made or done:

                              (i)  has been made or done; or

                             (ii)  has not been made or done; or

                     (b)  stating that an entry, matter or thing required by or under this Chapter not to be made or done:

                              (i)  has not been made or done; or

                             (ii)  has been made or done.

             (5)  The certificate is to be received in all courts and proceedings as prima facie evidence of the statements in the certificate.

Criminal proceedings—copy of certificate to be given to defendant 14 days before certificate admitted in evidence

             (6)  A certificate must not be admitted in evidence under subsection (5) in proceedings for an offence unless:

                     (a)  the person charged with the offence; or

                     (b)  a barrister or solicitor who has appeared for the person in those proceedings;

has, at least 14 days before the certificate is sought to be so admitted, been given a copy of the certificate together with notice of the intention to produce the certificate as evidence in the proceedings.

Person signing the certificate may be called to give evidence

             (7)  If, under subsection (5), a certificate is admitted in evidence in proceedings for an offence, the person charged with the offence may require the person who signed the certificate to be:

                     (a)  called as a witness for the prosecution; and

                     (b)  cross‑examined as if the person who signed the certificate had given evidence of the matters stated in the certificate.

             (8)  However, subsection (7) does not entitle the person charged to require the person who signed the certificate to be called as a witness for the prosecution unless:

                     (a)  the prosecutor has been given at least 4 days notice of the person’s intention to require the person who signed the certificate to be so called; or

                     (b)  the court, by order, allows the person charged to require the person who signed the certificate to be so called.

Evidence in support, or in rebuttal, of matters in certificate to be considered on its merits

             (9)  Any evidence given in support, or in rebuttal, of a matter stated in a certificate issued under subsection (4) must be considered on its merits, and the credibility and probative value of such evidence must be neither increased nor diminished by reason of this section.

517  Assessment of fee

Original determination

             (1)  The Designated Authority may determine the amount of the fee payable under the Registration Fees Act in relation to an entry in the Register.

Fresh determination—false or misleading information given to Designated Authority

             (2)  If:

                     (a)  the Designated Authority has determined the amount of a fee payable under the Registration Fees Act in relation to a transfer or dealing; and

                     (b)  a person is convicted of an offence against section 512 in relation to giving the Designated Authority an instrument that contains a statement about:

                              (i)  the consideration for the transfer or dealing; or

                             (ii)  any other fact or circumstance affecting the amount of the fee payable under the Registration Fees Act in relation to the transfer or dealing;

the Designated Authority may make a fresh determination of the amount of the fee payable under the Registration Fees Act in relation to the transfer or dealing.

Note:          Section 512 is about giving an instrument that contains a false or misleading statement.

Appeal

             (3)  A person dissatisfied with a determination of the Designated Authority under subsection (1) or (2) may appeal against the determination to:

                     (a)  the Federal Court; or

                     (b)  the Supreme Court of, or having jurisdiction in, the State or Territory to which the relevant offshore area relates.

             (4)  The court hearing the appeal may affirm, set aside or modify the determination of the Designated Authority.

Appearance of Designated Authority

             (5)  Notice of an appeal under this section is to be given to the Designated Authority concerned, who:

                     (a)  may appear and be heard; and

                     (b)  must appear if so directed by the court.

Principal Northern Territory offshore area and Eastern Greater Sunrise offshore area

             (6)  For the purposes of paragraph (3)(b):

                     (a)  the Principal Northern Territory offshore area; and

                     (b)  the Eastern Greater Sunrise offshore area;

are taken to relate to the Northern Territory.


 

Chapter 5Registration of transfers of, and dealings in, greenhouse gas titles

Part 5.1Introduction

  

518  Simplified outline

                   The following is a simplified outline of this Chapter:

•      The responsible Commonwealth Minister must keep a Register of greenhouse gas titles and greenhouse gas search authorities.

•      A transfer of a greenhouse gas title must be approved by the responsible Commonwealth Minister, and an instrument of transfer must be registered under this Part.

•      A dealing in a greenhouse gas title must be approved by the responsible Commonwealth Minister, and the approval must be entered in the Register.

519  Definitions

                   In this Chapter:

Register means the Register kept under section 521.

title means:

                     (a)  a greenhouse gas assessment permit; or

                     (b)  a greenhouse gas holding lease; or

                     (c)  a greenhouse gas injection licence; or

                     (d)  a greenhouse gas special authority.

520  Dealing—series of debentures

                   For the purposes of this Chapter, if a dealing forms a part of the issue of a series of debentures, all of the dealings constituting the issue of that series of debentures are taken to be one dealing.


 

Part 5.2Register of titles and greenhouse gas search authorities

  

521  Register to be kept

                   The responsible Commonwealth Minister must keep a Register of:

                     (a)  titles; and

                     (b)  greenhouse gas search authorities.

522  Entries in Register—general

Memorial

             (1)  The responsible Commonwealth Minister must enter in the Register a memorial for each title and greenhouse gas search authority.

             (2)  The memorial must comply with the table:

 

Content of memorial

Item

In the case of...

the memorial must...

1

a title or greenhouse gas search authority

specify the name of the holder of the title.

2

a greenhouse gas assessment permit, greenhouse gas holding lease, greenhouse gas injection licence, greenhouse gas search authority or greenhouse gas special authority

set out an accurate description (including, where convenient, a map) of the permit area, lease area, licence area or authority area.

3

a title or greenhouse gas search authority

specify the term of the title or greenhouse gas search authority.

4

a title or greenhouse gas search authority

set out such other matters and things as are required by this Act to be entered in the Register.

5

a title or greenhouse gas search authority

set out such further matters relating to the registered holder, or to the conditions of the title or greenhouse gas search authority, as the responsible Commonwealth Minister thinks proper and expedient in the public interest.

             (3)  The responsible Commonwealth Minister must enter in the Register a memorial of:

                     (a)  a notice or instrument:

                              (i)  varying; or

                             (ii)  cancelling; or

                            (iii)  surrendering (to any extent); or

                            (iv)  otherwise affecting;

                            a title or greenhouse gas search authority; or

                     (b)  a notice or instrument varying or revoking a notice or instrument referred to in paragraph (a).

Note:          Subparagraph (a)(iv) would cover, for example, a notice revoking a greenhouse gas special authority.

Copy of title may be entered instead of memorial

             (4)  It is a sufficient compliance with the requirements of subsection (1), (2) or (3) if the responsible Commonwealth Minister enters a copy of the title, greenhouse gas search authority, notice or instrument in the Register.

Date of entry to be endorsed

             (5)  The responsible Commonwealth Minister must endorse on:

                     (a)  the memorial; or

                     (b)  the copy of the title, greenhouse gas search authority, notice or instrument;

a memorandum of the date on which the memorial or copy was entered in the Register.

523  Entry in Register—cessation or expiry of title

                   If an event specified in the table happens, the responsible Commonwealth Minister must enter in the Register a memorial of the fact.

 

Cessation of title etc.

Item

Event

1

A greenhouse gas assessment permit or greenhouse gas holding lease ceases to be in force over a block in relation to which a greenhouse gas injection licence is granted.

2

A greenhouse gas assessment permit ceases to be in force over a block in relation to which a greenhouse gas holding lease (other than a special greenhouse gas holding lease) is granted.

3

A greenhouse gas assessment permit or a greenhouse gas holding lease (other than a special greenhouse gas holding lease) ceases to be in force over a block in relation to which a special greenhouse gas holding lease is granted.

4

A greenhouse gas injection licence ceases to be in force over a block in relation to which a greenhouse gas holding lease is granted.

5

A greenhouse gas assessment permit, greenhouse gas holding lease (other than a special greenhouse gas holding lease), greenhouse gas search authority or greenhouse gas special authority expires.


 

Part 5.3Transfer of titles

  

524  Approval and registration of transfers

                   A transfer of a title is of no force until:

                     (a)  it has been approved by the responsible Commonwealth Minister; and

                     (b)  an instrument of transfer is registered as provided by this Part.

525  Application for approval of transfer

             (1)  One of the parties to a proposed transfer of a title may apply to the responsible Commonwealth Minister for approval of the transfer.

             (2)  The application must be in writing.

526  Documents to accompany application

                   An application for approval of a transfer must be accompanied by:

                     (a)  an instrument of transfer in the prescribed form executed by:

                              (i)  the registered holder or, if there are 2 or more registered holders, by each registered holder; and

                             (ii)  the transferee or, if there are 2 or more transferees, by each transferee; and

                     (b)  if the transferee, or one or more of the transferees, is not a registered holder or are not registered holders of the title—a document setting out:

                              (i)  the technical qualifications of that transferee or those transferees; and

                             (ii)  details of the technical advice that is or will be available to that transferee or those transferees; and

                            (iii)  details of the financial resources that are or will be available to that transferee or those transferees; and

                     (c)  a copy of each of the following:

                              (i)  the application;

                             (ii)  the instrument referred to in paragraph (a);

                            (iii)  the document referred to in paragraph (b).

527  Time limit for application

             (1)  An application for approval of a transfer must be made within:

                     (a)  90 days after the day on which the party who last executed the instrument of transfer so executed the instrument of transfer; or

                     (b)  such longer period as the responsible Commonwealth Minister allows.

             (2)  The responsible Commonwealth Minister may allow a longer period under paragraph (1)(b) only if there are sufficient grounds to warrant allowing the longer period.

528  Date of application to be entered in Register

                   If an application is made for approval of a transfer, the responsible Commonwealth Minister:

                     (a)  must enter a memorandum in the Register of the date on which the application was lodged; and

                     (b)  may make such other notation in the Register as the responsible Commonwealth Minister considers appropriate.

529  Approval of transfer

Scope

             (1)  This section applies if an application is made for approval of a transfer.

Decision

             (2)  The responsible Commonwealth Minister must:

                     (a)  approve the transfer; or

                     (b)  refuse to approve the transfer.

             (3)  If:

                     (a)  the application is for approval of a transfer of a greenhouse gas holding lease or a greenhouse gas injection licence; and

                     (b)  the greenhouse gas holding lease or the greenhouse gas injection licence is tied to a petroleum retention lease;

the responsible Commonwealth Minister must not approve the transfer of the greenhouse gas holding lease or the greenhouse gas injection licence unless:

                     (c)  a transfer of the petroleum retention lease has been approved by the Designated Authority under section 478; and

                     (d)  the transfer of the petroleum retention lease is registered under section 479; and

                     (e)  both:

                              (i)  the instrument of transfer of the petroleum retention lease; and

                             (ii)  the instrument of transfer of the greenhouse gas holding lease or greenhouse gas injection licence;

                            were executed at or about the same time; and

                      (f)  the transferee or transferees of the petroleum retention lease are the same as the transferee or transferees of the greenhouse gas holding lease or greenhouse gas injection licence.

             (4)  If:

                     (a)  the application is for approval of a transfer of a greenhouse gas holding lease or a greenhouse gas injection licence; and

                     (b)  the greenhouse gas holding lease or the greenhouse gas injection licence is tied to a petroleum production licence;

the responsible Commonwealth Minister must not approve the transfer of the greenhouse gas holding lease or the greenhouse gas injection licence unless:

                     (c)  a transfer of the petroleum production licence has been approved by the Designated Authority under section 478; and

                     (d)  the transfer of the petroleum production licence is registered under section 479; and

                     (e)  both:

                              (i)  the instrument of transfer of the petroleum production licence; and

                             (ii)  the instrument of transfer of the greenhouse gas holding lease or greenhouse gas injection licence;

                            were executed at or about the same time; and

                      (f)  the transferee or transferees of the petroleum production licence are the same as the transferee or transferees of the greenhouse gas holding lease or greenhouse gas injection licence.

             (5)  The responsible Commonwealth Minister must, by written notice given to the applicant, notify the applicant of the responsible Commonwealth Minister’s decision.

             (6)  If the responsible Commonwealth Minister refuses to approve the transfer, the responsible Commonwealth Minister must make a notation of the refusal in the Register.

530  Registration of transfer

Scope

             (1)  This section applies if the responsible Commonwealth Minister approves the transfer of a title.

Endorsement

             (2)  The responsible Commonwealth Minister must immediately endorse on:

                     (a)  the instrument of transfer; and

                     (b)  the copy of the instrument of transfer;

a memorandum of approval.

             (3)  On payment of the fee provided for in the Registration Fees Act, the responsible Commonwealth Minister must enter in the Register a memorandum of:

                     (a)  the transfer; and

                     (b)  the name of the transferee or of each transferee.

             (4)  On the entry in the Register of the memorandum:

                     (a)  the transfer is taken to be registered; and

                     (b)  the transferee becomes the registered holder, or the transferees become the registered holders, of the title.

             (5)  If the transfer is registered:

                     (a)  the copy of the instrument of transfer endorsed with the memorandum of approval must be:

                              (i)  retained by the responsible Commonwealth Minister; and

                             (ii)  made available for inspection in accordance with this Chapter; and

                     (b)  the instrument of transfer endorsed with the memorandum of approval must be returned to the person who applied for approval of the transfer.

531  Instrument of transfer does not create an interest in the title

                   The mere execution of an instrument of transfer of a title creates no interest in the title.

532  Limit on effect of approval of transfers

                   The approval of a transfer of a title does not give to the transfer any force, effect or validity that the transfer would not have had if this Chapter had not been enacted.


 

Part 5.4Devolution of title

  

533  Application to have name entered on the Register as the holder of a title

             (1)  If the rights of the registered holder of a particular title have devolved on a person by operation of law, the person may apply to the responsible Commonwealth Minister to have the person’s name entered in the Register as the holder of the title.

             (2)  The application must be in writing.

534  Entry of name in the Register

Scope

             (1)  This section applies if an application is made under section 533 in relation to a title.

Entry in Register

             (2)  If:

                     (a)  the responsible Commonwealth Minister is satisfied that the rights of the holder have devolved on the applicant by operation of law; and

                     (b)  the applicant has paid the prescribed fee;

the responsible Commonwealth Minister must enter the name of the applicant in the Register as the holder of the title.

             (3)  On that entry being made, the applicant becomes the registered holder of the title.


 

Part 5.5Change in name of company

  

535  Application to have new name entered on the Register

             (1)  If:

                     (a)  a company is the registered holder of a particular title; and

                     (b)  the company has changed its name;

the company may apply to the responsible Commonwealth Minister to have its new name substituted for its previous name in the Register in relation to that title.

             (2)  The application must be in writing.

536  Alteration in the Register

Scope

             (1)  This section applies if a company applies under section 535 to have its new name substituted for its previous name in the Register in relation to a particular title.

Alteration

             (2)  If:

                     (a)  the responsible Commonwealth Minister is satisfied that the company has changed its name; and

                     (b)  the company has paid the prescribed fee;

the responsible Commonwealth Minister must make the necessary alterations in the Register.


 

Part 5.6Dealings relating to existing titles

  

537  Dealings to which this Part applies

                   This Part applies to a dealing (other than a transfer of a title) that would have one or more of the effects set out in the table:

 

Effects of dealings

Item

Effect

1

The creation or assignment of an interest in an existing title.

2

The creation or assignment of a right (conditional or otherwise) to the assignment of an interest in an existing title.

3

The determination of the manner in which persons may:

(a) exercise the rights conferred by an existing title; or

(b) comply with the obligations imposed by an existing title; or

(c) comply with the conditions of an existing title;

(including the exercise of those rights, or the compliance with those obligations or conditions, under cooperative arrangements to inject or store greenhouse gas substances).

4

The creation or assignment of an interest in relation to an existing greenhouse gas assessment permit, existing greenhouse gas holding lease or existing greenhouse gas injection licence, where the interest relates to:

(a) a greenhouse gas substance injected or stored under the permit, lease or licence; or

(b) revenue derived as a result of the carrying out of operations authorised by the permit, lease or licence; or

(c) profits derived as a result of the carrying out of operations authorised by the permit, lease or licence; or

(d) a matter specified in the regulations.

5

The creation or assignment of an option (conditional or otherwise) to enter into a dealing, where the dealing would have one or more of the effects referred to in items 1, 2, 3 and 4.

6

The creation or assignment of a right (conditional or otherwise) to enter into a dealing, where the dealing would have one or more of the effects referred to in items 1, 2, 3 and 4.

7

The alteration or termination of a dealing, where the dealing would have one or more of the effects referred to in items 1, 2, 3, 4, 5 and 6.

538  Approval and registration of dealings

                   A dealing is of no force, in so far as the dealing would have an effect of a kind referred to in the table in section 537 in relation to a particular title, until:

                     (a)  the responsible Commonwealth Minister has approved the dealing, in so far as it relates to that title; and

                     (b)  the responsible Commonwealth Minister has made an entry in the Register in relation to the dealing under section 544.

539  Application for approval of dealing

             (1)  An application for approval of a dealing must be made in accordance with subsection (2) or (3).

Application—dealing relates to only one title

             (2)  If a dealing relates to only one title, a party to the dealing may apply to the responsible Commonwealth Minister for approval of the dealing in so far as it relates to that title.

Application—dealing relates to 2 or more titles

             (3)  If a dealing relates to 2 or more titles, a party to the dealing may make a separate application to the responsible Commonwealth Minister for approval of the dealing in so far as it relates to each title.

Written application

             (4)  An application must be in writing.

540  Documents to accompany application

Instrument evidencing dealing

             (1)  An application for approval of a dealing must be accompanied by:

                     (a)  the instrument evidencing the dealing; or

                     (b)  if that instrument has already been lodged with the responsible Commonwealth Minister for the purposes of another application—a copy of that instrument.

Supplementary instrument

             (2)  An application for approval of a dealing may be accompanied by an instrument setting out such details (if any) as are prescribed for the purposes of an application for approval of a dealing of that kind.

             (3)  An instrument under subsection (2) is called a supplementary instrument.

Copies

             (4)  An application for approval of a dealing must be accompanied by:

                     (a)  a copy of the application; and

                     (b)  a copy, or an additional copy, of the instrument referred to in subsection (1); and

                     (c)  a copy of any supplementary instrument.

Charge over assets of a body corporate—copies of documents

             (5)  If:

                     (a)  a dealing (including a dealing referred to in section 520) creates a charge over some or all of the assets of a body corporate; and

                     (b)  a person applies for approval of the dealing; and

                     (c)  the application is accompanied by 2 copies of each document required to be lodged with the Australian Securities and Investments Commission under section 263 of the Corporations Act 2001 in relation to the creation of the charge;

the person is taken to have complied with:

                     (d)  subsection (1); and

                     (e)  subsection (4) in so far as that subsection requires a copy, or an additional copy, of the instrument referred to in subsection (1) to accompany the application.

541  Timing of application

             (1)  An application for approval of a dealing must be made within:

                     (a)  90 days after the day on which the party who last executed the instrument evidencing the dealing so executed the instrument; or

                     (b)  such longer period as the responsible Commonwealth Minister allows.

             (2)  The responsible Commonwealth Minister may allow a longer period under paragraph (1)(b) only if there are sufficient grounds to warrant allowing the longer period.

             (3)  This section has effect subject to section 552.

Note:          Section 552 is about approval of a dealing that was entered into before the title came into existence.

542  Application date to be entered in Register

                   If an application is made for approval of a dealing, the responsible Commonwealth Minister:

                     (a)  must enter a memorandum in the Register of the date on which the application was lodged; and

                     (b)  may make such other notation in the Register as the responsible Commonwealth Minister considers appropriate.

543  Approval of dealing

Scope

             (1)  This section applies if an application is made for approval of a dealing in so far as it relates to a particular title.

Decision

             (2)  The responsible Commonwealth Minister must:

                     (a)  approve the dealing; or

                     (b)  refuse to approve the dealing;

in so far as it relates to that title.

Note:          Section 552 limits the power conferred on the responsible Commonwealth Minister by this section. Section 552 is about approval of a dealing that was entered into before the title came into existence.

Notification of decision

             (3)  The responsible Commonwealth Minister must, by written notice given to the applicant, notify the applicant of the responsible Commonwealth Minister’s decision.

Refusal to approve dealing—notation in Register

             (4)  If the responsible Commonwealth Minister refuses to approve the dealing in so far as it relates to that title, the responsible Commonwealth Minister must make a notation of the refusal in the Register.

544  Entry of dealing in Register

Scope

             (1)  This section applies if the responsible Commonwealth Minister approves a dealing in so far as it relates to a particular title.

Endorsement

             (2)  The responsible Commonwealth Minister must immediately endorse a memorandum of approval:

                     (a)  on the original instrument evidencing the dealing and on the copy of that instrument; or

                     (b)  if the original instrument was not lodged with the application for approval—on both of the copies of that instrument.

Entry in Register

             (3)  On payment of the fee provided for in the Registration Fees Act, the responsible Commonwealth Minister must make an entry of the approval of the dealing in the Register on:

                     (a)  the memorial relating to that title; or

                     (b)  the copy of that title.

545  Retention, inspection and return of instruments

Scope

             (1)  This section applies if the responsible Commonwealth Minister makes an entry of the approval of a dealing in the Register.

Application accompanied by supplementary instrument

             (2)  If the application for approval of the dealing was accompanied by a supplementary instrument:

                     (a)  a copy of the supplementary instrument, endorsed with a copy of the memorandum of approval, must be:

                              (i)  retained by the responsible Commonwealth Minister; and

                             (ii)  made available for inspection in accordance with this Chapter; and

                     (b)  the supplementary instrument must be returned to the person who applied for approval; and

                     (c)  a copy of the instrument evidencing the dealing must not be made available for inspection in accordance with this Chapter; and

                     (d)  the original instrument evidencing the dealing, or a copy of the original instrument, as the case requires, endorsed with a memorandum of approval, must be returned to the person who applied for approval.

Note:          For inspection, see section 564.

Application not accompanied by supplementary instrument

             (3)  If the application for approval of the dealing was not accompanied by a supplementary instrument:

                     (a)  one copy of the instrument evidencing the dealing, endorsed with a memorandum of approval, must be:

                              (i)  retained by the responsible Commonwealth Minister; and

                             (ii)  made available for inspection in accordance with this Chapter; and

                     (b)  the original instrument evidencing the dealing, or a copy of the original instrument, as the case requires, endorsed with a memorandum of approval, must be returned to the person who applied for approval.

Note:          For inspection, see section 564.

Definition

             (4)  In this section:

supplementary instrument has the meaning given by subsection 540(3) or 549(3).

546  Strict compliance with application provisions not required

                   The approval of a dealing, or the making of an entry in the Register in relation to a dealing, is not made ineffective because of any failure to comply, in relation to the application for approval of the dealing, with the requirements of this Part.

547  Limit on effect of approval of dealing

                   The approval of a dealing does not give to the dealing any force, effect or validity that the dealing would not have had if this Chapter had not been enacted.


 

Part 5.7Dealings in future interests

  

548  Provisional application for approval of dealing

Scope

             (1)  This section applies if:

                     (a)  2 or more persons enter into a dealing relating to a title that may come into existence in the future; and

                     (b)  that dealing would, if the title came into existence, become a dealing to which Part 5.6 applies.

Provisional application—dealing relates to only one title

             (2)  If the dealing relates to only one title that may come into existence in the future, a party to the dealing may make a provisional application to the responsible Commonwealth Minister for approval of the dealing.

Provisional application—dealing relates to 2 or more titles

             (3)  If the dealing relates to 2 or more titles that may come into existence in the future, a party to the dealing may make a separate provisional application to the responsible Commonwealth Minister for approval of the dealing in relation to each title that may come into existence in the future.

Written provisional application

             (4)  A provisional application must be in writing.

549  Documents to accompany provisional application

Instrument evidencing dealing

             (1)  A provisional application for approval of a dealing must be accompanied by:

                     (a)  the instrument evidencing the dealing; or

                     (b)  if that instrument has already been lodged with the responsible Commonwealth Minister for the purposes of another provisional application—a copy of that instrument.

Supplementary instrument

             (2)  A provisional application for approval of a dealing may be accompanied by an instrument setting out such details (if any) as are prescribed for the purposes of a provisional application for approval of a dealing of that kind.

             (3)  An instrument under subsection (2) is called a supplementary instrument.

Copies

             (4)  A provisional application for approval of a dealing must be accompanied by:

                     (a)  a copy of the provisional application; and

                     (b)  a copy, or an additional copy, of the instrument referred to in subsection (1); and

                     (c)  a copy of any supplementary instrument.

Charge over assets of a body corporate—copies of documents

             (5)  If:

                     (a)  a dealing (including a dealing referred to in section 520) creates a charge over some or all of the assets of a body corporate; and

                     (b)  a person makes a provisional application for approval of the dealing; and

                     (c)  the provisional application is accompanied by 2 copies of each document required to be lodged with the Australian Securities and Investments Commission under section 263 of the Corporations Act 2001 in relation to the creation of the charge;

the person is taken to have complied with:

                     (d)  subsection (1); and

                     (e)  subsection (4) in so far as that subsection requires a copy, or an additional copy, of the instrument referred to in subsection (1) to accompany the provisional application.

550  Timing of provisional application

                   A provisional application must be made within the period worked out using the table:

 

Period for making a provisional application

Item

In this case...

the period begins on...

and ends on...

1

a provisional application for approval of a dealing relating to any of the following titles that may come into existence in the future:

(a) a greenhouse gas assessment permit;

(b) a greenhouse gas holding lease;

(c) a greenhouse gas injection licence

the day on which an offer document that relates to the application for the title is given to the applicant for the title

the day on which the title comes into existence.

2

a provisional application for approval of a dealing relating to a greenhouse gas special authority that may come into existence in the future

the day on which the application for the grant of the greenhouse gas special authority is made

the day on which the greenhouse gas special authority comes into existence.

551  Provisional application to be treated as an application under section 539 when title comes into existence

                   If:

                     (a)  a provisional application is made for approval of a dealing; and

                     (b)  the title to which the dealing relates comes into existence; and

                     (c)  on that title coming into existence, the dealing becomes a dealing to which Part 5.6 applies;

the provisional application is to be treated as if it were an application made under section 539 on the day on which that title came into existence.

552  Limit on approval of dealing

             (1)  If:

                     (a)  Part 5.6 applies to a dealing relating to a title; and

                     (b)  immediately before the title came into existence, the dealing was a dealing referred to in subsection 548(1);

the responsible Commonwealth Minister may approve the dealing under section 543 only if:

                     (c)  a provisional application for approval of the dealing was made under section 548; or

                     (d)  an application for approval of the dealing was made under section 539 within:

                              (i)  90 days after the day on which the title came into existence; or

                             (ii)  such longer period as the responsible Commonwealth Minister allows.

             (2)  The responsible Commonwealth Minister may allow a longer period under subparagraph (1)(d)(ii) only if there are sufficient grounds to warrant allowing the longer period.


 

Part 5.8Correction and rectification of Register

  

553  Corrections of clerical errors or obvious defects

                   The responsible Commonwealth Minister may alter the Register for the purposes of correcting a clerical error or an obvious defect in the Register.

554  General power of correction of Register

Power of correction

             (1)  The responsible Commonwealth Minister may make such entries in the Register as the responsible Commonwealth Minister considers appropriate for the purposes of ensuring that the Register accurately records the interests and rights existing in relation to a title.

             (2)  The responsible Commonwealth Minister may exercise the power conferred by subsection (1):

                     (a)  on written application being made to the responsible Commonwealth Minister by a person; or

                     (b)  on the responsible Commonwealth Minister’s own initiative.

Consultation

             (3)  Before the responsible Commonwealth Minister makes an entry in the Register under subsection (1), the responsible Commonwealth Minister must cause to be published in the Gazette a notice:

                     (a)  setting out the terms of the entry that the responsible Commonwealth Minister proposes to make in the Register; and

                     (b)  inviting interested persons to give the responsible Commonwealth Minister written submissions about the making of the entry; and

                     (c)  specifying a time limit for the making of those submissions.

             (4)  The time limit must not be shorter than 45 days after the publication of the notice.

             (5)  In deciding whether to make the entry in the Register, the responsible Commonwealth Minister must take into account any submissions made in accordance with the notice.

Gazettal of terms of entry

             (6)  If the responsible Commonwealth Minister makes an entry in the Register under subsection (1), the responsible Commonwealth Minister must cause to be published in the Gazette a notice setting out the terms of the entry.

555  Rectification of Register

Application for rectification

             (1)  If a person is aggrieved by any of the following:

                     (a)  the omission of an entry from the Register;

                     (b)  an entry made in the Register without sufficient cause;

                     (c)  an entry wrongly existing in the Register;

                     (d)  an error or defect in an entry in the Register;

the person may apply to:

                     (e)  the Federal Court; or

                      (f)  the Supreme Court of, or having jurisdiction in, the State or Territory to which the relevant offshore area relates;

for the rectification of the Register.

Court orders

             (2)  If an application is made under subsection (1) to a court for the rectification of the Register, the court may make such order as it thinks fit directing the rectification of the Register.

             (3)  In proceedings under this section, the court may decide any question that it is necessary or expedient to decide in connection with the rectification of the Register.

Appearance of responsible Commonwealth Minister

             (4)  Notice of an application under this section must be given to the responsible Commonwealth Minister concerned, who:

                     (a)  may appear and be heard; and

                     (b)  must appear if so directed by the court.

Copy of order to be given to responsible Commonwealth Minister

             (5)  An office copy of an order made by the court may be given to the responsible Commonwealth Minister.

Compliance with order

             (6)  The responsible Commonwealth Minister must, on receipt of the order, rectify the Register accordingly.

Principal Northern Territory offshore area and Eastern Greater Sunrise offshore area

             (7)  For the purposes of paragraph (1)(f):

                     (a)  the Principal Northern Territory offshore area; and

                     (b)  the Eastern Greater Sunrise offshore area;

are taken to relate to the Northern Territory.


 

Part 5.9Information‑gathering powers

  

556  Responsible Commonwealth Minister may obtain information from applicants

Scope

             (1)  This section applies if:

                     (a)  an application for approval of the transfer of a title is made under section 525; or

                     (b)  an application is made under section 533 or 535 in relation to a title; or

                     (c)  an application for approval of a dealing is made under section 539; or

                     (d)  a provisional application for approval of a dealing is made under section 548; or

                     (e)  an application is made under section 554 in relation to a title.

Requirement to give information

             (2)  The responsible Commonwealth Minister may, by written notice given to the applicant, require the applicant to give the responsible Commonwealth Minister, within the period and in the manner specified in the notice, such information about the matter to which the application relates as the responsible Commonwealth Minister considers necessary or advisable.

             (3)  A period specified under subsection (2) must not be shorter than 14 days after the notice is given.

Offences

             (4)  A person commits an offence if:

                     (a)  the person has been given a notice under subsection (2); and

                     (b)  the person omits to do an act; and

                     (c)  the omission contravenes a requirement in the notice.

Penalty:  50 penalty units.

             (5)  A person commits an offence if:

                     (a)  the responsible Commonwealth Minister requires the person to give information under subsection (2); and

                     (b)  the person gives information; and

                     (c)  the person does so knowing that the information is false or misleading in a material particular.

Penalty:  50 penalty units.

Notice to set out the effect of offence provisions

             (6)  A notice under subsection (2) must set out the effect of the following provisions:

                     (a)  subsection (4);

                     (b)  subsection (5).

Note:          The same conduct may be an offence against both subsection (5) of this section and section 137.1 of the Criminal Code.

557  Responsible Commonwealth Minister may obtain information from a party to an approved dealing

Scope

             (1)  This section applies if:

                     (a)  a person is a party to a dealing relating to a title; and

                     (b)  the dealing has been approved under section 543.

Requirement to give information

             (2)  The responsible Commonwealth Minister may, by written notice given to the person, require the person to give to the responsible Commonwealth Minister, within the period and in the manner specified in the notice, such information about alterations in the interests or rights existing in relation to the title as the responsible Commonwealth Minister considers necessary or advisable.

             (3)  A period specified under subsection (2) must not be shorter than 14 days after the notice is given.

Offences

             (4)  A person commits an offence if:

                     (a)  the person has been given a notice under subsection (2); and

                     (b)  the person omits to do an act; and

                     (c)  the omission contravenes a requirement in the notice.

Penalty:  50 penalty units.

             (5)  A person commits an offence if:

                     (a)  the responsible Commonwealth Minister requires the person to give information under subsection (2); and

                     (b)  the person gives information; and

                     (c)  the person does so knowing that the information is false or misleading in a material particular.

Penalty:  50 penalty units.

Notice to set out the effect of offence provisions

             (6)  A notice under subsection (2) must set out the effect of the following provisions:

                     (a)  subsection (4);

                     (b)  subsection (5).

Note:          The same conduct may be an offence against both subsection (5) of this section and section 137.1 of the Criminal Code.

558  Production and inspection of documents

Scope

             (1)  This section applies if the responsible Commonwealth Minister has reason to believe that a document:

                     (a)  is in the possession or under the control of a person; and

                     (b)  relates to:

                              (i)  a transfer or dealing for which approval is sought under this Chapter; or

                             (ii)  an application under section 533, 535 or 536.

Requirement

             (2)  The responsible Commonwealth Minister may, by written notice given to the person, require the person:

                     (a)  to produce the document to the responsible Commonwealth Minister, within the period and in the manner specified in the notice; or

                     (b)  to make the document available for inspection by or on behalf of the responsible Commonwealth Minister.

             (3)  A period specified under subsection (2) must not be shorter than 14 days after the notice is given.

Offences

             (4)  A person commits an offence if:

                     (a)  the person has been given a notice under subsection (2); and

                     (b)  the person omits to do an act; and

                     (c)  the omission contravenes a requirement in the notice.

Penalty:  50 penalty units.

             (5)  An offence against subsection (4) is an offence of strict liability.

Note:          For strict liability, see section 6.1 of the Criminal Code.

             (6)  A person commits an offence if:

                     (a)  the person has been given a notice under subsection (2); and

                     (b)  the person:

                              (i)  produces a document to the responsible Commonwealth Minister; or

                             (ii)  makes a document available for inspection by or on behalf of the responsible Commonwealth Minister; and

                     (c)  the person does so knowing that the document is false or misleading in a material particular; and

                     (d)  the document is produced or made available in compliance or purported compliance with the notice.

Penalty:  50 penalty units.

Notice to set out the effect of offence provisions

             (7)  A notice under subsection (2) must set out the effect of the following provisions:

                     (a)  subsection (4);

                     (b)  subsection (6).

Note:          The same conduct may be an offence against both subsection (6) of this section and section 137.2 of the Criminal Code.

559  Responsible Commonwealth Minister may retain documents

             (1)  The responsible Commonwealth Minister may take possession of a document produced under section 558, and retain it for as long as is necessary.

             (2)  The person otherwise entitled to possession of the document is entitled to be supplied, as soon as practicable, with a copy certified by the responsible Commonwealth Minister to be a true copy.

             (3)  The certified copy must be received in all courts and tribunals as evidence as if it were the original.

             (4)  Until a certified copy is supplied, the responsible Commonwealth Minister must provide the person otherwise entitled to possession of the document, or a person authorised by that person, reasonable access to the document for the purposes of inspecting and making copies of, or taking extracts from, the document.


 

Part 5.10Other provisions

  

560  Responsible Commonwealth Minister not concerned with the effect of instrument lodged under this Chapter

                   The responsible Commonwealth Minister is not concerned with the effect in law of an instrument lodged under this Chapter.

561  True consideration to be shown

Offence

             (1)  A person commits an offence if:

                     (a)  the person is a party to:

                              (i)  a transfer of a title; or

                             (ii)  a dealing to which Part 5.6 applies; or

                            (iii)  a dealing referred to in subsection 548(1); and

                     (b)  the person gives the responsible Commonwealth Minister:

                              (i)  an instrument of transfer; or

                             (ii)  an instrument evidencing the dealing; or

                            (iii)  a supplementary instrument; and

                     (c)  the instrument contains a statement relating to:

                              (i)  the consideration for the transfer or dealing; or

                             (ii)  any other fact or circumstance affecting the amount of the fee payable under the Registration Fees Act in relation to the transfer or dealing; and

                     (d)  the person gives the instrument knowing that the statement is false or misleading in a material particular.

Penalty:  100 penalty units.

Definition

             (2)  In this section:

supplementary instrument has the meaning given by subsection 540(3) or 549(3).

Note:          The same conduct may be an offence against both subsection (1) of this section and section 137.2 of the Criminal Code.

562  Making a false entry in the Register

                   A person commits an offence if:

                     (a)  the person:

                              (i)  makes an entry in the Register; or

                             (ii)  causes an entry to be made in the Register; or

                            (iii)  concurs in the making of an entry in the Register; and

                     (b)  the person does so knowing that the entry is false.

Penalty:  50 penalty units.

Note:          The same conduct may be an offence against both this section and section 145.4 of the Criminal Code.

563  Falsified documents

                   A person commits an offence if:

                     (a)  the person produces or tenders in evidence a document; and

                     (b)  the document falsely purports to be:

                              (i)  a copy of or extract from an entry in the Register; or

                             (ii)  a copy of or extract from an instrument given to the responsible Commonwealth Minister under this Chapter.

Penalty:  50 penalty units.

Note:          The same conduct may be an offence against both this section and section 137.2 of the Criminal Code.

564  Inspection of Register and instruments

Inspection of Register

             (1)  The responsible Commonwealth Minister must ensure that the Register is open for inspection, at all convenient times, by any person on payment of a fee calculated under the regulations.

Instruments

             (2)  The responsible Commonwealth Minister must ensure that all instruments, or copies of instruments, subject to inspection under this Chapter are open for inspection, at all convenient times, by any person on payment of a fee calculated under the regulations.

565  Evidentiary provisions

Register

             (1)  The Register is to be received in all courts and proceedings as prima facie evidence of all matters required or authorised by this Chapter to be entered in the Register.

Certified copies and extracts

             (2)  The responsible Commonwealth Minister may, on payment of a fee calculated under the regulations, supply:

                     (a)  a copy of or extract from the Register; or

                     (b)  a copy of or extract from any instrument lodged with the responsible Commonwealth Minister under this Chapter;

certified by the responsible Commonwealth Minister to be a true copy or true extract, as the case may be.

             (3)  The certified copy or extract is admissible in evidence in all courts and proceedings without further proof or production of the original.

Evidentiary certificate

             (4)  The responsible Commonwealth Minister may, on payment of a fee calculated under the regulations, issue a written certificate:

                     (a)  stating that an entry, matter or thing required or permitted by or under this Chapter to be made or done:

                              (i)  has been made or done; or

                             (ii)  has not been made or done; or

                     (b)  stating that an entry, matter or thing required by or under this Chapter not to be made or done:

                              (i)  has not been made or done; or

                             (ii)  has been made or done.

             (5)  The certificate is to be received in all courts and proceedings as prima facie evidence of the statements in the certificate.

Criminal proceedings—copy of certificate to be given to defendant 14 days before certificate admitted in evidence

             (6)  A certificate must not be admitted in evidence under subsection (5) in proceedings for an offence unless:

                     (a)  the person charged with the offence; or

                     (b)  a barrister or solicitor who has appeared for the person in those proceedings;

has, at least 14 days before the certificate is sought to be so admitted, been given a copy of the certificate together with notice of the intention to produce the certificate as evidence in the proceedings.

Person signing the certificate may be called to give evidence

             (7)  If, under subsection (5), a certificate is admitted in evidence in proceedings for an offence, the person charged with the offence may require the person who signed the certificate to be:

                     (a)  called as a witness for the prosecution; and

                     (b)  cross‑examined as if the person who signed the certificate had given evidence of the matters stated in the certificate.

             (8)  However, subsection (7) does not entitle the person charged to require the person who signed the certificate to be called as a witness for the prosecution unless:

                     (a)  the prosecutor has been given at least 4 days notice of the person’s intention to require the person who signed the certificate to be so called; or

                     (b)  the court, by order, allows the person charged to require the person who signed the certificate to be so called.

Evidence in support, or in rebuttal, of matters in certificate to be considered on its merits

             (9)  Any evidence given in support, or in rebuttal, of a matter stated in a certificate issued under subsection (4) must be considered on its merits, and the credibility and probative value of such evidence must be neither increased nor diminished by reason of this section.

566  Assessment of fee

Original determination

             (1)  The responsible Commonwealth Minister may determine the amount of the fee payable under the Registration Fees Act in relation to an entry in the Register.

Fresh determination—false or misleading information given to responsible Commonwealth Minister

             (2)  If:

                     (a)  the responsible Commonwealth Minister has determined the amount of a fee payable under the Registration Fees Act in relation to a transfer or dealing; and

                     (b)  a person is convicted of an offence against section 561 in relation to giving the responsible Commonwealth Minister an instrument that contains a statement about:

                              (i)  the consideration for the transfer or dealing; or

                             (ii)  any other fact or circumstance affecting the amount of the fee payable under the Registration Fees Act in relation to the transfer or dealing;

the responsible Commonwealth Minister may make a fresh determination of the amount of the fee payable under the Registration Fees Act in relation to the transfer or dealing.

Note:          Section 561 is about giving an instrument that contains a false or misleading statement.

Appeal

             (3)  A person dissatisfied with a determination of the responsible Commonwealth Minister under subsection (1) or (2) may appeal against the determination to:

                     (a)  the Federal Court; or

                     (b)  the Supreme Court of, or having jurisdiction in, the State or Territory to which the relevant offshore area relates.

             (4)  The court hearing the appeal may affirm, set aside or modify the determination of the responsible Commonwealth Minister.

Appearance of responsible Commonwealth Minister

             (5)  Notice of an appeal under this section is to be given to the responsible Commonwealth Minister concerned, who:

                     (a)  may appear and be heard; and

                     (b)  must appear if so directed by the court.

Principal Northern Territory offshore area and Eastern Greater Sunrise offshore area

             (6)  For the purposes of paragraph (3)(b):

                     (a)  the Principal Northern Territory offshore area; and

                     (b)  the Eastern Greater Sunrise offshore area;

are taken to relate to the Northern Territory.


 

Chapter 6Administration

Part 6.1Operations

  

567  Simplified outline

                   The following is a simplified outline of this Part:

•      This Part imposes requirements that must be complied with by titleholders in relation to the following:

               (a)     the commencement of works or operations;

               (b)     work practices;

               (c)     insurance;

               (d)     the maintenance and removal of property.

568  Commencement of works or operations

Scope

             (1)  This section applies to:

                     (a)  a special petroleum exploration permit; or

                     (b)  a petroleum retention lease; or

                     (c)  an infrastructure licence; or

                     (d)  a pipeline licence;

if the permit, lease or licence is granted subject to a condition that works or operations specified in the permit, lease or licence are to be carried out.

Commencement of works or operations

             (2)  The registered holder of the permit, lease or licence must begin to carry out those works or operations within:

                     (a)  180 days after the day on which the permit, lease or licence comes into force; or

                     (b)  such longer period as the Designated Authority allows.

569  Work practices

             (1)  The table has effect:

 

Work practices

Item

This person...

must...

1

the registered holder of a petroleum exploration permit, petroleum retention lease or petroleum production licence

(a) carry out all petroleum exploration operations in the permit area, lease area or licence area in a proper and workmanlike manner and in accordance with good oilfield practice; and

(b) carry out all petroleum recovery operations in the permit area, lease area or licence area in a proper and workmanlike manner and in accordance with good oilfield practice; and

(c) control the flow, and prevent the waste or escape, in the permit area, lease area or licence area, of petroleum or water; and

(d) prevent the escape, in the permit area, lease area or licence area, of any mixture of water or drilling fluid with petroleum or any other matter; and

(e) prevent damage to petroleum‑bearing strata in an area (whether in the offshore area or not) in relation to which the permit, lease or licence is not in force; and

(f) keep separate each petroleum pool discovered in the permit area, lease area or licence area; and

(g) keep separate such of the sources of water (if any) discovered in the permit area, lease area or licence area as the Designated Authority, by written notice given to the registered holder, directs; and

(h) prevent water or any other matter entering any petroleum pool through wells in the permit area, lease area or licence area except when required by, and in accordance with, good oilfield practice.

2

the registered holder of an infrastructure licence

(a) carry out operations authorised by the licence in a safe manner and in accordance with good oilfield practice and good processing and transport practice; and

(b) control the flow, and prevent the waste or escape, from an infrastructure facility constructed under the licence, of water, petroleum or any product derived by processing petroleum.

3

the registered holder of a pipeline licence

(a) operate the pipeline in a proper and workmanlike manner; and

(b) prevent the waste or escape of petroleum or water from the pipeline or from any secondary line, pumping station, tank station, valve station or water line.

4

the registered holder of a petroleum special prospecting authority or petroleum access authority

carry out all petroleum exploration operations in the authority area in a proper and workmanlike manner and in accordance with good oilfield practice.

             (2)  Paragraphs (c) to (h) of item 1, and paragraph (b) of item 2, of the table in subsection (1) have effect subject to any authorisation given, or requirement made, by or under:

                     (a)  this Act; or

                     (b)  the regulations; or

                     (c)  a direction under this Act.

             (3)  Paragraphs (b) to (h) of item 1 of the table in subsection (1) do not limit paragraph (a) of that item.

             (4)  Paragraph (b) of item 2 of the table in subsection (1) does not limit paragraph (a) of that item.

             (5)  Paragraph (b) of item 3 of the table in subsection (1) does not limit paragraph (a) of that item.

Offence

             (6)  A person commits an offence if:

                     (a)  the person is subject to a requirement under subsection (1); and

                     (b)  the person engages in conduct; and

                     (c)  the person’s conduct breaches the requirement.

Penalty:  100 penalty units.

Defence

             (7)  In:

                     (a)  a prosecution for an offence against subsection (6) in relation to a breach of a paragraph of an item of the table in subsection (1); or

                     (b)  an action arising out of a breach of a paragraph of an item of the table in subsection (1);

it is a defence if the defendant proves that the defendant took all reasonable steps to comply with that paragraph.

Note:          In a prosecution for an offence, the defendant bears a legal burden in relation to the matter in subsection (7)—see section 13.4 of the Criminal Code.

This section has effect subject to certain other provisions etc.

             (8)  This section has effect subject to:

                     (a)  any other provision of this Act; and

                     (b)  the regulations; and

                     (c)  a direction under section 574; and

                     (d)  any other law.

570  Work practices

             (1)  The table has effect:

 

Work practices

Item

This person...

must...

1

the registered holder of a greenhouse gas assessment permit, greenhouse gas holding lease, greenhouse gas injection licence or petroleum production licence

(a) carry out all:

(i) operations relating to the exploration for potential greenhouse gas storage formations; or

(ii) operations relating to the exploration for potential greenhouse gas injection sites;

      in the permit area, lease area or licence area in a proper and workmanlike manner; and

(b) carry out all:

(i) operations relating to the injection of a greenhouse gas substance into a part of a geological formation; or

(ii) operations relating to the storage of a greenhouse gas substance in a part of a geological formation;

      in the permit area, lease area or licence area in a proper and workmanlike manner.

2

the registered holder of a greenhouse gas assessment permit, greenhouse gas holding lease, greenhouse gas injection licence or petroleum production licence

(a) control the flow, and prevent the escape, in the permit area, lease area or licence area, of greenhouse gas substances; and

(b) control the flow, and prevent the waste or escape, in the permit area, lease area or licence area, of petroleum or water; and

(c) prevent the escape, in the permit area, lease area or licence area, of any mixture of water or drilling fluid with petroleum or any other matter; and

(d) prevent damage to petroleum‑bearing strata, and potential greenhouse gas storage formations, in an area (whether in the offshore area or not) in relation to which the permit, lease or licence is not in force; and

(e) keep separate each petroleum pool discovered in the permit area, lease area or licence area; and

(f) keep separate such of the sources of water (if any) discovered in the permit area, lease area or licence area as the responsible Commonwealth Minister, by written notice given to the registered holder, directs; and

(g) prevent water, a greenhouse gas substance or any other matter entering any petroleum pool through wells in the permit area, lease area or licence area except when required by, and in accordance with, good oilfield practice.

3

the registered holder of a greenhouse gas special authority

carry out all:

(a) operations relating to the exploration for potential greenhouse gas storage formations; or

(b) operations relating to the exploration for potential greenhouse gas injection sites; or

(c) operations relating to the injection of a greenhouse gas substance into a potential greenhouse gas storage formation; or

(d) operations relating to the storage of a greenhouse gas substance in a potential greenhouse gas storage formation; or

(e) operations to carry out baseline investigations relating to the storage of a greenhouse gas substance in a potential greenhouse gas storage formation; or

(f) operations relating to the monitoring of the behaviour of a greenhouse gas substance stored in a potential greenhouse gas storage formation;

in the authority area in a proper and workmanlike manner.

4

the registered holder of a greenhouse gas search authority

carry out all:

(a) operations relating to the exploration for potential greenhouse gas storage formations; or

(b) operations relating to the exploration for potential greenhouse gas injection sites;

in the authority area in a proper and workmanlike manner.

5

the holder of a greenhouse gas research consent

carry out all:

(a) operations relating to the exploration for potential greenhouse gas storage formations; or

(b) operations relating to the exploration for potential greenhouse gas injection sites;

authorised by the consent in a proper and workmanlike manner.

             (2)  Paragraphs (a) to (g) of item 2 of the table in subsection (1) have effect subject to any authorisation given, or requirement made, by or under:

                     (a)  this Act; or

                     (b)  the regulations; or

                     (c)  a direction under this Act.

             (3)  Paragraph (b) of item 1 of the table in subsection (1) does not limit paragraph (a) of that item.

             (4)  Paragraphs (a) to (g) of item 2 of the table in subsection (1) do not limit paragraph (a) of item 1 of the table.

Offence

             (5)  A person commits an offence if:

                     (a)  the person is subject to a requirement under subsection (1); and

                     (b)  the person engages in conduct; and

                     (c)  the person’s conduct breaches the requirement.

Penalty:  100 penalty units.

Defence

             (6)  In:

                     (a)  a prosecution for an offence against subsection (5) in relation to a breach of a paragraph of an item of the table in subsection (1); or

                     (b)  an action arising out of a breach of a paragraph of an item of the table in subsection (1);

it is a defence if the defendant proves that the defendant took all reasonable steps to comply with that paragraph.

Note:          In a prosecution for an offence, the defendant bears a legal burden in relation to the matter in subsection (6)—see section 13.4 of the Criminal Code.

This section has effect subject to certain other provisions etc.

             (7)  This section has effect subject to:

                     (a)  any other provision of this Act; and

                     (b)  the regulations; and

                     (c)  a direction under section 580; and

                     (d)  any other law.

571  Insurance

Petroleum permits, leases and licences

             (1)  The registered holder of:

                     (a)  a petroleum exploration permit; or

                     (b)  a petroleum retention lease; or

                     (c)  a petroleum production licence; or

                     (d)  an infrastructure licence; or

                     (e)  a pipeline licence;

must maintain, as directed by the Designated Authority from time to time, insurance against:

                      (f)  expenses; or

                     (g)  liabilities; or

                     (h)  specified things;

arising in connection with, or as a result of:

                      (i)  the carrying out of work under the permit, lease or licence; or

                      (j)  the doing of any other thing under the permit, lease or licence;

including insurance against expenses of complying with directions relating to the clean‑up or other remediation of the effects of the escape of petroleum.

Petroleum authorities

             (2)  The conditions of a petroleum special prospecting authority or a petroleum access authority may include a condition that the registered holder maintain, as directed by the Designated Authority from time to time, insurance against:

                     (a)  expenses; or

                     (b)  liabilities; or

                     (c)  specified things;

arising in connection with, or as a result of:

                     (d)  the carrying out of work under the authority; or

                     (e)  the doing of any other thing under the authority;

including insurance against expenses of complying with directions relating to the clean‑up or other remediation of the effects of the escape of petroleum.

Greenhouse gas titles

             (3)  The conditions of:

                     (a)  a greenhouse gas assessment permit; or

                     (b)  a greenhouse gas holding lease; or

                     (c)  a greenhouse gas injection licence; or

                     (d)  a greenhouse gas search authority; or

                     (e)  a greenhouse gas special authority;

may include a condition that the registered holder maintain, as directed by the responsible Commonwealth Minister from time to time, insurance against:

                      (f)  expenses; or

                     (g)  liabilities; or

                     (h)  specified things;

arising in connection with, or as a result of:

                      (i)  the carrying out of work under the permit, lease, licence or authority; or

                      (j)  the doing of any other thing under the permit, lease, licence or authority;

including insurance against expenses of complying with directions relating to the clean‑up or other remediation of the effects of the escape of a greenhouse gas substance.

Direction to be in writing

             (4)  A direction under this section must be in writing.

572  Maintenance and removal of property etc. by titleholder

Titleholder and title area

             (1)  For the purposes of this section, the table has effect:

 

Titleholder and title area

Item

In the case of...

the titleholder is...

and the title area is...

1

a petroleum exploration permit

the permittee

the permit area.

2

a petroleum retention lease

the lessee

the lease area.

3

a petroleum production licence

the licensee

the licence area.

4

an infrastructure licence

the licensee

the licence area.

5

a pipeline licence

the licensee

the part of the offshore area in which the pipeline is constructed.

6

a petroleum special prospecting authority

the registered holder of the authority

the authority area.

7

a petroleum access authority

the registered holder of the authority

the authority area.

8

a greenhouse gas assessment permit

the permittee

the permit area.

9

a greenhouse gas holding lease

the lessee

the lease area.

10

a greenhouse gas injection licence

the licensee

the licence area.

11

a greenhouse gas search authority

the registered holder of the authority

the authority area.

12

a greenhouse gas special authority

the registered holder of the authority

the authority area.

Maintenance of property etc.

             (2)  A titleholder must maintain in good condition and repair all structures that are, and all equipment and other property that is:

                     (a)  in the title area; and

                     (b)  used in connection with the operations authorised by the permit, lease, licence or authority.

Removal of property etc.

             (3)  A titleholder must remove from the title area all structures that are, and all equipment and other property that is, neither used nor to be used in connection with the operations:

                     (a)  in which the titleholder is or will be engaged; and

                     (b)  that are authorised by the permit, lease, licence or authority.

Offence

             (4)  A person commits an offence if:

                     (a)  the person is subject to a requirement under subsection (2) or (3); and

                     (b)  the person omits to do an act; and

                     (c)  the omission breaches the requirement.

Penalty:  100 penalty units.

             (5)  An offence against subsection (4) is an offence of strict liability.

Note:          For strict liability, see section 6.1 of the Criminal Code.

Exception

             (6)  Subsections (2) and (3) do not apply in relation to any structure, equipment or other property that was not brought into the title area by or with the authority of the titleholder.

Section has effect subject to other provisions etc.

             (7)  This section has effect subject to:

                     (a)  any other provision of this Act; and

                     (b)  the regulations; and

                     (c)  a direction under section 574 or 580; and

                     (d)  any other law.


 

Part 6.2Directions relating to petroleum

Division 1Simplified outline

573  Simplified outline

                   The following is a simplified outline of this Part:

•      The Designated Authority may give a direction to a petroleum titleholder. A direction may extend to other persons.

•      If there is a breach of a direction given by the Joint Authority or the Designated Authority under Chapter 2, this Chapter or the regulations, the Designated Authority may do anything required by the direction to be done, and the Designated Authority’s costs may be recovered from the person to whom the direction was given.

•      In a prosecution for an offence relating to a breach of a direction given by the Joint Authority or the Designated Authority under Chapter 2, this Chapter or the regulations, it is a defence if the defendant proves that the defendant took all reasonable steps to comply with the direction.


 

Division 2General power to give directions

574  General power to give directions

Definition

             (1)  In this section:

title means:

                     (a)  a petroleum exploration permit; or

                     (b)  a petroleum retention lease; or

                     (c)  a petroleum production licence; or

                     (d)  an infrastructure licence; or

                     (e)  a pipeline licence; or

                      (f)  a petroleum special prospecting authority; or

                     (g)  a petroleum access authority.

Direction to registered holder

             (2)  The Designated Authority may, by written notice given to the registered holder of a title, give the registered holder a direction as to any matter in relation to which regulations may be made.

Note 1:       Section 782 is the main provision setting out matters in relation to which regulations may be made.

Note 2:       For enforcement, see section 576.

Extended application of direction

             (3)  A direction given under this section to a registered holder applies to the registered holder and may also be expressed to apply to:

                     (a)  a specified class of persons, so long as the class consists of, or is included in, either or both of the following classes:

                              (i)  employees or agents of, or persons acting on behalf of, the registered holder;

                             (ii)  persons performing work or services, whether directly or indirectly, for the registered holder; or

                     (b)  any person (other than the registered holder or a person to whom the direction applies in accordance with paragraph (a)) who is:

                              (i)  in the offshore area for any reason touching, concerning, arising out of, or connected with, exploring the seabed or subsoil of the offshore area for petroleum or exploiting the petroleum that occurs as a natural resource of that seabed or subsoil; or

                             (ii)  in, on, above, below or in the vicinity of a vessel, aircraft, structure or installation, or equipment or other property, that is in the offshore area for a reason of that kind.

             (4)  If a direction so expressed is given, the direction is taken to apply to each person included in the specified class mentioned in paragraph (3)(a) or to each person who is in the offshore area as mentioned in paragraph (3)(b), as the case may be.

Note:          For notification requirements, see section 575.

Additional matters

             (5)  The Designated Authority must not give a direction under this section of a standing or permanent nature except with the approval of the Joint Authority, but the validity of a direction is not affected by a breach of this subsection.

             (6)  A direction under this section has effect, and must be complied with, despite:

                     (a)  any previous direction under this section; and

                     (b)  anything in the regulations or the applied provisions.

Note:          For applied provisions, see subsection 80(2).

             (7)  A direction under this section may make provision in relation to a matter by applying, adopting or incorporating (with or without modification) a code of practice or standard contained in an instrument:

                     (a)  as in force or existing at the time when the direction takes effect; or

                     (b)  as in force or existing from time to time;

so long as the code of practice or standard is relevant to that matter.

             (8)  To avoid doubt, subsection (7) applies to an instrument, whether issued or made in Australia or outside Australia.

             (9)  A direction under this section may prohibit the doing of an act or thing:

                     (a)  unconditionally; or

                     (b)  subject to conditions, including conditions requiring the consent or approval of a person specified in the direction.

Directions

           (10)  If paragraph (3)(b) applies to a direction under this section, the direction is a legislative instrument for the purposes of the Legislative Instruments Act 2003.

           (11)  If paragraph (3)(b) does not apply to a direction under this section, the direction is not a legislative instrument for the purposes of the Legislative Instruments Act 2003.

575  Notification of a direction that has an extended application

Notification

             (1)  If a direction under section 574 applies to:

                     (a)  a registered holder; and

                     (b)  a person referred to in paragraph 574(3)(a);

the registered holder must cause a copy of the notice by which the direction was given to be:

                     (c)  given to that other person; or

                     (d)  displayed at a prominent position at a place in the offshore area frequented by that other person.

             (2)  If a direction under section 574 applies to:

                     (a)  a registered holder; and

                     (b)  a person referred to in paragraph 574(3)(b);

the registered holder must cause a copy of the notice by which the direction was given to be displayed at a prominent position at a place in the offshore area.

             (3)  If a direction under section 574 applies to:

                     (a)  a registered holder; and

                     (b)  a person referred to in paragraph 574(3)(b);

the Designated Authority may, by written notice given to the registered holder, require the registered holder to cause to be displayed:

                     (c)  at such places in the offshore area; and

                     (d)  in such manner;

as are specified in the notice, copies of the notice by which the direction was given.

Offence

             (4)  A person commits an offence if:

                     (a)  the person is subject to a requirement under subsection (1), (2) or (3); and

                     (b)  the person omits to do an act; and

                     (c)  the omission breaches the requirement.

Penalty for contravention of this subsection: 50 penalty units.

576  Compliance with direction

Offence

             (1)  A person commits an offence if:

                     (a)  the person is subject to a direction under section 574; and

                     (b)  the person engages in conduct; and

                     (c)  the person’s conduct breaches the direction.

Penalty:  100 penalty units.

             (2)  An offence against subsection (1) is an offence of strict liability.

Note:          For strict liability, see section 6.1 of the Criminal Code.

Defence

             (3)  If:

                     (a)  a direction under section 574 applies to:

                              (i)  a registered holder; and

                             (ii)  another person; and

                     (b)  the other person is prosecuted for an offence against subsection (1) in relation to a breach of the direction; and

                     (c)  the other person adduces evidence that the other person did not know, and could not reasonably be expected to have known, of the existence of the direction;

the other person is not to be convicted of the offence unless the prosecution proves that the other person knew, or could reasonably be expected to have known, of the existence of the direction.


 

Division 3Designated Authority may take action if there is a breach of a direction

577  Designated Authority may take action if there is a breach of a direction

Action by Designated Authority

             (1)  If:

                     (a)  a person is subject to a direction given by the Joint Authority or the Designated Authority under:

                              (i)  Chapter 2; or

                             (ii)  this Chapter; or

                            (iii)  Part 7.1; or

                            (iv)  the regulations; and

                     (b)  the person engages in conduct; and

                     (c)  the person’s conduct breaches the direction;

the Designated Authority may do any or all of the things required by the direction to be done.

             (2)  If the direction was given by a Joint Authority that consists of 2 members, the Designated Authority must not take action under subsection (1) except with the approval of the Joint Authority.

Recovery of costs and expenses incurred by the Designated Authority

             (3)  Costs or expenses incurred by the Designated Authority under subsection (1) in relation to a direction are:

                     (a)  a debt due to the Commonwealth by the person subject to the direction; and

                     (b)  recoverable in a court of competent jurisdiction.

Exception—direction that has an extended application

             (4)  If:

                     (a)  a direction under section 574 applies to:

                              (i)  a registered holder; and

                             (ii)  another person; and

                     (b)  an action under subsection (3) relating to the direction is brought against the other person; and

                     (c)  the other person adduces evidence that the other person did not know, and could not reasonably be expected to have known, of the existence of the direction;

the other person is not liable under subsection (3) unless the plaintiff proves that the other person knew, or could reasonably be expected to have known, of the existence of the direction.

Defence

             (5)  In an action under subsection (3), it is a defence if the defendant proves that the defendant took all reasonable steps to comply with the direction.


 

Division 4Defence of taking reasonable steps to comply with a direction

578  Defence of taking reasonable steps to comply with a direction

                   In a prosecution for an offence in relation to a breach of a direction given by the Joint Authority or the Designated Authority under:

                     (a)  Chapter 2; or

                     (b)  this Chapter; or

                     (c)  Part 7.1; or

                     (d)  the regulations;

it is a defence if the defendant proves that the defendant took all reasonable steps to comply with the direction.

Note:          The defendant bears a legal burden in relation to the matter in this section—see section 13.4 of the Criminal Code.


 

Part 6.3Directions relating to greenhouse gas

Division 1Simplified outline

579  Simplified outline

                   The following is a simplified outline of this Part:

•      The responsible Commonwealth Minister may give a direction to a greenhouse gas titleholder. A direction may extend to other persons.

•      If there is a breach of a direction given by the responsible Commonwealth Minister under Chapter 3, this Chapter or the regulations, the responsible Commonwealth Minister may do anything required by the direction to be done, and the responsible Commonwealth Minister’s costs may be recovered from the person to whom the direction was given.

•      In a prosecution for an offence relating to a breach of a direction given by the responsible Commonwealth Minister under Chapter 3, this Chapter or the regulations, it is a defence if the defendant proves that the defendant took all reasonable steps to comply with the direction.


 

Division 2General power to give directions

580  General power to give directions

Definitions

             (1)  In this section:

greenhouse gas matter means:

                     (a)  exploring for a potential greenhouse gas storage formation; or

                     (b)  exploring for a potential greenhouse gas injection site; or

                     (c)  the injection of a greenhouse gas substance into the seabed or subsoil of an offshore area; or

                     (d)  the storage of a greenhouse gas substance in the seabed or subsoil of an offshore area.

title means:

                     (a)  a greenhouse gas assessment permit; or

                     (b)  a greenhouse gas holding lease; or

                     (c)  a greenhouse gas injection licence; or

                     (d)  a greenhouse gas search authority; or

                     (e)  a greenhouse gas special authority.

Direction to registered holder

             (2)  The responsible Commonwealth Minister may, by written notice given to the registered holder of a title, give the registered holder a direction as to any matter in relation to which regulations may be made.

Note 1:       Section 782 is the main provision setting out matters in relation to which regulations may be made.

Note 2:       For enforcement, see section 582.

Extended application of direction

             (3)  A direction given under this section to a registered holder applies to the registered holder and may also be expressed to apply to:

                     (a)  a specified class of persons, so long as the class consists of, or is included in, either or both of the following classes:

                              (i)  employees or agents of, or persons acting on behalf of, the registered holder;

                             (ii)  persons performing work or services, whether directly or indirectly, for the registered holder; or

                     (b)  any person (other than the registered holder or a person to whom the direction applies in accordance with paragraph (a)) who is:

                              (i)  in an offshore area for any reason touching, concerning, arising out of, or connected with, a greenhouse gas matter; or

                             (ii)  in, on, above, below or in the vicinity of a vessel, aircraft, structure or installation, or equipment or other property, that is in the offshore area for a reason of that kind.

             (4)  If a direction so expressed is given, the direction is taken to apply to each person included in the specified class mentioned in paragraph (3)(a) or to each person who is in the offshore area as mentioned in paragraph (3)(b), as the case may be.

Note:          For notification requirements, see section 581.

Additional matters

             (5)  A direction under this section has effect, and must be complied with, despite:

                     (a)  any previous direction under this section; and

                     (b)  anything in the regulations or the applied provisions.

Note:          For applied provisions, see subsection 80(2).

             (6)  A direction under this section may make provision in relation to a matter by applying, adopting or incorporating (with or without modification) a code of practice or standard contained in an instrument:

                     (a)  as in force or existing at the time when the direction takes effect; or

                     (b)  as in force or existing from time to time;

so long as the code of practice or standard is relevant to that matter.

             (7)  To avoid doubt, subsection (6) applies to an instrument, whether issued or made in Australia or outside Australia.

             (8)  A direction under this section may prohibit the doing of an act or thing:

                     (a)  unconditionally; or

                     (b)  subject to conditions, including conditions requiring the consent or approval of a person specified in the direction.

Directions

             (9)  If paragraph (3)(b) applies to a direction under this section, the direction is a legislative instrument.

           (10)  If paragraph (3)(b) does not apply to a direction under this section, the direction is not a legislative instrument.

581  Notification of a direction that has an extended application

Notification

             (1)  If a direction under section 580 applies to:

                     (a)  a registered holder; and

                     (b)  a person referred to in paragraph 580(3)(a);

the registered holder must cause a copy of the notice by which the direction was given to be:

                     (c)  given to that other person; or

                     (d)  displayed at a prominent position at a place in the offshore area frequented by that other person.

             (2)  If a direction under section 580 applies to:

                     (a)  a registered holder; and

                     (b)  a person referred to in paragraph 580(3)(b);

the registered holder must cause a copy of the notice by which the direction was given to be displayed at a prominent position at a place in the offshore area.

             (3)  If a direction under section 580 applies to:

                     (a)  a registered holder; and

                     (b)  a person referred to in paragraph 580(3)(b);

the responsible Commonwealth Minister may, by written notice given to the registered holder, require the registered holder to cause to be displayed:

                     (c)  at such places in the offshore area; and

                     (d)  in such manner;

as are specified in the notice, copies of the notice by which the direction was given.

Offence

             (4)  A person commits an offence if:

                     (a)  the person is subject to a requirement under subsection (1), (2) or (3); and

                     (b)  the person omits to do an act; and

                     (c)  the omission breaches the requirement.

Penalty for contravention of this subsection: 50 penalty units.

582  Compliance with directions

Offence

             (1)  A person commits an offence if:

                     (a)  the person is subject to a direction under section 580; and

                     (b)  the person engages in conduct; and

                     (c)  the person’s conduct breaches the direction.

Penalty:  100 penalty units.

             (2)  An offence against subsection (1) is an offence of strict liability.

Note:          For strict liability, see section 6.1 of the Criminal Code.

Defence

             (3)  If:

                     (a)  a direction under section 580 applies to:

                              (i)  a registered holder; and

                             (ii)  another person; and

                     (b)  the other person is prosecuted for an offence against subsection (1) in relation to a breach of the direction; and

                     (c)  the other person adduces evidence that the other person did not know, and could not reasonably be expected to have known, of the existence of the direction;

the other person is not to be convicted of the offence unless the prosecution proves that the other person knew, or could reasonably be expected to have known, of the existence of the direction.


 

Division 3Responsible Commonwealth Minister may take action if there is a breach of a direction

583  Responsible Commonwealth Minister may take action if there is a breach of a direction

Action by responsible Commonwealth Minister

             (1)  If:

                     (a)  a person is subject to a direction given by the responsible Commonwealth Minister under:

                              (i)  Chapter 3; or

                             (ii)  this Chapter; or

                            (iii)  Part 8.1; or

                            (iv)  the regulations; and

                     (b)  the person engages in conduct; and

                     (c)  the person’s conduct breaches the direction;

the responsible Commonwealth Minister may do any or all of the things required by the direction to be done.

Recovery of costs and expenses incurred by the responsible Commonwealth Minister

             (2)  Costs or expenses incurred by the responsible Commonwealth Minister under subsection (1) in relation to a direction are:

                     (a)  a debt due to the Commonwealth by the person subject to the direction; and

                     (b)  recoverable in a court of competent jurisdiction.

Exception—direction that has an extended application

             (3)  If:

                     (a)  a direction under section 580 applies to:

                              (i)  a registered holder; and

                             (ii)  another person; and

                     (b)  an action under subsection (2) relating to the direction is brought against the other person; and

                     (c)  the other person adduces evidence that the other person did not know, and could not reasonably be expected to have known, of the existence of the direction;

the other person is not liable under subsection (2) unless the plaintiff proves that the other person knew, or could reasonably be expected to have known, of the existence of the direction.

Defence

             (4)  In an action under subsection (2), it is a defence if the defendant proves that the defendant took all reasonable steps to comply with the direction.


 

Division 4Defence of taking reasonable steps to comply with a direction

584  Defence of taking reasonable steps to comply with a direction

                   In a prosecution for an offence in relation to a breach of a direction given by the responsible Commonwealth Minister under:

                     (a)  Chapter 3; or

                     (b)  this Chapter; or

                     (c)  Part 8.1; or

                     (d)  the regulations;

it is a defence if the defendant proves that the defendant took all reasonable steps to comply with the direction.

Note:          The defendant bears a legal burden in relation to the matter in this section—see section 13.4 of the Criminal Code.


 

Part 6.4Restoration of the environment

Division 1Petroleum

585  Simplified outline

                   The following is a simplified outline of this Division:

•      The Designated Authority may give remedial directions to petroleum titleholders or former petroleum titleholders about the following matters:

               (a)     the removal of property;

               (b)     the plugging or closing off of wells;

               (c)     the conservation and protection of natural resources;

               (d)     the making good of damage to the seabed or subsoil.

•      If there is a breach of a remedial direction, the Designated Authority may do anything required by the direction to be done.

•      If property has not been removed in accordance with a remedial direction, the Designated Authority may direct the owner to remove or dispose of the property.

586  Remedial directions to current holders of permits, leases and licences

Scope

             (1)  This section applies to:

                     (a)  a petroleum exploration permit; or

                     (b)  a petroleum retention lease; or

                     (c)  a petroleum production licence; or

                     (d)  an infrastructure licence; or

                     (e)  a pipeline licence.

Direction to registered holder

             (2)  The Designated Authority may, by written notice given to the registered holder of the permit, lease or licence, direct the holder to do any or all of the following things on or before the applicable date:

                     (a)  to:

                              (i)  remove, or cause to be removed, from the title area all property brought into that area by any person engaged or concerned in the operations authorised by the permit, lease or licence; or

                             (ii)  make arrangements that are satisfactory to the Designated Authority in relation to that property;

                     (b)  to plug or close off, to the satisfaction of the Designated Authority, all wells made in the title area by any person engaged or concerned in those operations;

                     (c)  to provide, to the satisfaction of the Designated Authority, for the conservation and protection of the natural resources in the title area;

                     (d)  to make good, to the satisfaction of the Designated Authority, any damage to the seabed or subsoil in the title area caused by any person engaged or concerned in those operations.

Note 1:       For applicable date and title area, see subsection (6).

Note 2:       For variation and revocation, see subsection 33(3) of the Acts Interpretation Act 1901.

             (3)  In attaining a state of satisfaction for the purposes of paragraph (2)(b), the Designated Authority:

                     (a)  in the case of a declared petroleum exploration permit, declared petroleum retention lease or declared petroleum production licence—must have regard; or

                     (b)  otherwise—may have regard;

to the principle that plugging or closing off wells should be carried out in a way that restores or maintains the suitability of a part of a geological formation for the permanent storage of greenhouse gas substances.

             (4)  Paragraph (2)(c) has effect subject to:

                     (a)  Chapter 2; and

                     (b)  this Chapter; and

                     (c)  the regulations.

Offence

             (5)  A person commits an offence if:

                     (a)  the person is subject to a direction under subsection (2); and

                     (b)  the person omits to do an act; and

                     (c)  the omission breaches the direction.

Penalty:  100 penalty units.

Applicable date and title area

             (6)  For the purposes of this section, the table has effect:

 

Applicable date and title area

Item

In the case of...

the applicable date is...

and the title area is...

1

a petroleum exploration permit

the expiry date of the permit

the permit area.

2

a petroleum retention lease

the expiry date of the lease

the lease area.

3

a fixed‑term petroleum production licence

the expiry date of the licence

the licence area.

4

a petroleum production licence that is not a fixed‑term petroleum production licence

the first date on which the licence can be terminated under this Act

the licence area.

5

an infrastructure licence

the first date on which the licence can be terminated under this Act

the licence area.

6

a pipeline licence

the first date on which the licence can be terminated under this Act

the part of the offshore area in which the pipeline is constructed.

             (7)  A notice under subsection (2) need not identify the applicable date as a particular calendar date.

587  Remedial directions to former holders of permits, leases, licences and authorities etc.

Scope

             (1)  This section applies if an event specified in the table has happened:

 

Scope

Item

Title

Event

1

Petroleum exploration permit

(a) the permit has been wholly or partly revoked;

(b) the permit has been wholly or partly cancelled;

(c) the permit has expired.

2

Petroleum retention lease

(a) the lease has been wholly or partly revoked;

(b) the lease has been cancelled;

(c) the lease has expired.

3

Petroleum production licence

(a) the licence has been wholly or partly revoked;

(b) the licence has been wholly or partly cancelled;

(c) the licence has been terminated;

(d) the licence has expired.

4

Infrastructure licence

(a) the licence has been cancelled;

(b) the licence has been terminated.

5

Pipeline licence

(a) the licence has been wholly or partly cancelled;

(b) the licence has been wholly or partly terminated.

6

Petroleum special prospecting authority

(a)  the authority has been surrendered;

(b) the authority has been cancelled;

(c)  the authority has expired.

7

Petroleum access authority

(a)  the authority has been revoked;

(b) the authority has been surrendered;

(c)  the authority has expired.

Direction

             (2)  The Designated Authority may, by written notice given to the person who was, or is, as the case may be, the registered holder of the permit, lease, licence or authority, direct the person to do any or all of the following things within the period specified in the notice:

                     (a)  to:

                              (i)  remove, or cause to be removed, from the vacated area all property brought into that area by any person engaged or concerned in the operations authorised by the permit, lease, licence or authority; or

                             (ii)  make arrangements that are satisfactory to the Designated Authority in relation to that property;

                     (b)  to plug or close off, to the satisfaction of the Designated Authority, all wells made in the vacated area by any person engaged or concerned in those operations;

                     (c)  to provide, to the satisfaction of the Designated Authority, for the conservation and protection of the natural resources in the vacated area;

                     (d)  to make good, to the satisfaction of the Designated Authority, any damage to the seabed or subsoil in the vacated area caused by any person engaged or concerned in those operations.

             (3)  The period specified in the notice must be reasonable.

             (4)  In attaining a state of satisfaction for the purposes of paragraph (2)(b), the Designated Authority:

                     (a)  in the case of a declared petroleum exploration permit, declared petroleum retention lease or declared petroleum production licence—must have regard; or

                     (b)  otherwise—may have regard;

to the principle that plugging or closing off wells should be carried out in a way that restores or maintains the suitability of a part of a geological formation for the permanent storage of greenhouse gas substances.

             (5)  Paragraph (2)(c) has effect subject to:

                     (a)  Chapter 2; and

                     (b)  this Chapter; and

                     (c)  the regulations.

Offence

             (6)  A person commits an offence if:

                     (a)  the person is subject to a direction under subsection (2); and

                     (b)  the person omits to do an act; and

                     (c)  the omission breaches the direction.

Penalty for contravention of this subsection: 100 penalty units.

588  Designated Authority may take action if a direction has been breached

Scope

             (1)  This section applies if a direction is given under section 587.

Designated Authority may take action

             (2)  If:

                     (a)  a direction under section 587 has been breached in relation to the vacated area; or

                     (b)  an arrangement under section 587 has not been carried out in relation to the vacated area;

the Designated Authority may do any or all of the things required by the direction or arrangement to be done.

Direction to remove property

             (3)  If any property brought into the vacated area by any person engaged or concerned in the operations authorised by the permit, lease, licence or authority has not been removed in accordance with:

                     (a)  a direction under section 587 in relation to the vacated area; or

                     (b)  an arrangement under section 587 in relation to the vacated area;

the Designated Authority may, by written notice published in the Gazette, direct the owner or owners of that property to:

                     (c)  remove the property from the vacated area; or

                     (d)  dispose of the property to the satisfaction of the Designated Authority;

within the period specified in the notice.

Note:          For sanctions, see section 589.

             (4)  The period specified in the notice must be reasonable.

             (5)  If a direction is given under subsection (3) in relation to property, the Designated Authority must give a copy of the notice to each person whom the Designated Authority believes to be an owner of the property or of any part of the property.

589  Removal, disposal or sale of property by Designated Authority—breach of direction

Power to remove, dispose of or sell property

             (1)  If a direction under subsection 588(3) has been breached in relation to property, the Designated Authority may do any or all of the following things:

                     (a)  remove, in such manner as the Designated Authority thinks fit, any or all of that property from the vacated area concerned;

                     (b)  dispose of, in such manner as the Designated Authority thinks fit, any or all of that property;

                     (c)  if, under subsection 588(5), a person was given a copy of the notice of the direction—sell, by public auction or otherwise, as the Designated Authority thinks fit, any or all of that property that belongs, or that the Designated Authority believes to belong, to that person.

Deduction of costs and expenses etc. from proceeds of sale

             (2)  The Designated Authority may deduct, from the proceeds of a sale under subsection (1) of property that belongs (or that the Designated Authority believes to belong) to a particular person, the whole or a part of:

                     (a)  any costs and expenses incurred by the Designated Authority under that subsection in relation to that property; and

                     (b)  any costs and expenses incurred by the Designated Authority in relation to the doing of any thing required by a direction under section 587 to be done by that person; and

                     (c)  any fees or amounts payable by that person under this Act, so long as the fee or amount concerned is due and payable; and

                     (d)  any amounts payable by that person under the Royalty Act, so long as the amount concerned is due and payable; and

                     (e)  any amounts payable by that person under the Annual Fees Act, so long as the amount concerned is due and payable.

Balance of proceeds of sale to be paid to owner of property

             (3)  The proceeds of a sale of property under subsection (1), less any deductions under subsection (2), are to be paid to the owner of the property.

Recovery of costs and expenses—removal, disposal or sale of property

             (4)  If the Designated Authority incurs any costs or expenses under subsection (1) in relation to the removal, disposal or sale of property, the costs or expenses:

                     (a)  are a debt due by the owner of the property to the Commonwealth; and

                     (b)  to the extent to which they are not recovered under subsection (2)—are recoverable in a court of competent jurisdiction.

Recovery of costs and expenses—breach of direction

             (5)  If the Designated Authority incurs costs or expenses in relation to the doing of anything required by a direction under section 587 to be done by a person who is or was the registered holder of a petroleum exploration permit, petroleum retention lease, petroleum production licence, infrastructure licence, pipeline licence, petroleum special prospecting authority or petroleum access authority, the costs or expenses:

                     (a)  are a debt due by the person to the Commonwealth; and

                     (b)  to the extent to which they are not recovered under subsection (2)—are recoverable in a court of competent jurisdiction.

590  Removal, disposal or sale of property—limitation of action etc.

Limitation of action etc.

             (1)  Except as provided by subsection 589(4) or section 780, no action, suit or proceeding lies in relation to the removal, disposal or sale, or the purported removal, disposal or sale, of property under section 589.

             (2)  Section 768 does not apply to an act or matter to the extent to which subsection (1) of this section applies to the act or matter.

Judicial review

             (3)  This section does not affect:

                     (a)  any rights conferred on a person by the Administrative Decisions (Judicial Review) Act 1977 to apply to a court in relation to:

                              (i)  a decision; or

                             (ii)  conduct engaged in for the purpose of making a decision; or

                            (iii)  a failure to make a decision; or

                     (b)  any other rights that a person has to seek a review by a court or tribunal in relation to:

                              (i)  a decision; or

                             (ii)  conduct engaged in for the purpose of making a decision; or

                            (iii)  a failure to make a decision.

             (4)  An expression used in subsection (3) has the same meaning as in section 10 of the Administrative Decisions (Judicial Review) Act 1977.


 

Division 2Greenhouse gas

591  Simplified outline

                   The following is a simplified outline of this Division:

•      The responsible Commonwealth Minister may give remedial directions to greenhouse gas titleholders or former greenhouse gas titleholders about the following matters:

               (a)     the removal of property;

               (b)     the plugging or closing off of wells;

               (c)     the conservation and protection of natural resources;

               (d)     the making good of damage to the seabed or subsoil.

•      The responsible Commonwealth Minister may give site closing directions to greenhouse gas injection licensees.

•      If there is a breach of a direction, the responsible Commonwealth Minister may do anything required by the direction to be done.

•      If property has not been removed in accordance with a direction, the responsible Commonwealth Minister may direct the owner to remove or dispose of the property.

592  Remedial directions to current holders of permits, leases and licences

Scope

             (1)  This section applies to:

                     (a)  a greenhouse gas assessment permit; or

                     (b)  a greenhouse gas holding lease; or

                     (c)  a greenhouse gas injection licence, if no operations for the injection of a greenhouse gas substance into an identified greenhouse gas storage formation have been carried on under the licence.

Direction to registered holder

             (2)  The responsible Commonwealth Minister may, by written notice given to the registered holder of the permit, lease or licence, direct the holder to do any or all of the following things on or before the applicable date:

                     (a)  to:

                              (i)  remove, or cause to be removed, from the title area all property brought into that area by any person engaged or concerned in the operations authorised by the permit, lease or licence; or

                             (ii)  make arrangements that are satisfactory to the responsible Commonwealth Minister in relation to that property;

                     (b)  to plug or close off, to the satisfaction of the responsible Commonwealth Minister, all wells made in the title area by any person engaged or concerned in those operations;

                     (c)  to provide, to the satisfaction of the responsible Commonwealth Minister, for the conservation and protection of the natural resources in the title area;

                     (d)  to make good, to the satisfaction of the responsible Commonwealth Minister, any damage to the seabed or subsoil in the title area caused by any person engaged or concerned in those operations.

Note 1:       For applicable date and title area, see subsection (6).

Note 2:       For variation and revocation, see subsection 33(3) of the Acts Interpretation Act 1901.

             (3)  Paragraph (2)(c) has effect subject to:

                     (a)  Chapter 3; and

                     (b)  this Chapter; and

                     (c)  the regulations.

             (4)  In attaining a state of satisfaction for the purposes of paragraph (2)(b), the responsible Commonwealth Minister must have regard to the principle that plugging or closing off wells should be carried out in a way that minimises damage to the petroleum‑bearing qualities of geological formations.

Offence

             (5)  A person commits an offence if:

                     (a)  the person is subject to a direction under subsection (2); and

                     (b)  the person omits to do an act; and

                     (c)  the omission breaches the direction.

Penalty:  100 penalty units.

Applicable date and title area

             (6)  For the purposes of this section, the table has effect:

 

Applicable date and title area

Item

In the case of...

the applicable date is...

and the title area is...

1

a greenhouse gas assessment permit

the expiry date of the permit

the permit area.

2

a greenhouse gas holding lease (other than a special greenhouse gas holding lease)

the expiry date of the lease

the lease area.

3

a special greenhouse gas holding lease

the date determined, in writing, by the responsible Commonwealth Minister

the lease area.

4

a greenhouse gas injection licence

the first date on which the licence can be terminated under this Act

the licence area.

             (7)  A notice under subsection (2) need not identify the applicable date as a particular calendar date.

593  Site closing directions to current holders of greenhouse gas injection licences

Scope

             (1)  This section applies if:

                     (a)  an identified greenhouse gas storage formation is specified in a greenhouse gas injection licence; and

                     (b)  operations for the injection of a greenhouse gas substance into the identified greenhouse gas storage formation have been carried on under the licence; and

                     (c)  the responsible Commonwealth Minister is satisfied that operations for the injection of a greenhouse gas substance into the identified greenhouse gas storage formation have ceased; and

                     (d)  any of the following conditions is satisfied:

                              (i)  an application has been made for a site closing certificate in relation to the identified greenhouse gas storage formation;

                             (ii)  the licensee has breached the requirement imposed by subsection 386(4) to make an application for a site closing certificate in relation to the identified greenhouse gas storage formation;

                            (iii)  the licensee has breached a direction under subsection 386(9) to make an application for a site closing certificate in relation to the identified greenhouse gas storage formation.

Direction to registered holder

             (2)  The responsible Commonwealth Minister may, by written notice given to the registered holder of the licence, direct the holder to do any or all of the following things within the period specified in the notice:

                     (a)  to:

                              (i)  remove, or cause to be removed, from the licence area all property brought into that area by any person engaged or concerned in the operations authorised by the licence; or

                             (ii)  make arrangements that are satisfactory to the responsible Commonwealth Minister in relation to that property;

                     (b)  to plug or close off, to the satisfaction of the responsible Commonwealth Minister, all wells made in the licence area, whether or not those wells were made by a person engaged or concerned in those operations;

                     (c)  to provide, to the satisfaction of the responsible Commonwealth Minister, for the conservation and protection of the natural resources in the licence area;

                     (d)  to make good, to the satisfaction of the responsible Commonwealth Minister, any damage to the seabed or subsoil in the licence area (whether or not caused by any person engaged or concerned in those operations);

                     (e)  to carry out such operations as are specified in the notice for the monitoring of the behaviour of a greenhouse gas substance stored in the identified greenhouse gas storage formation concerned;

                      (f)  to undertake such activities as are specified in the notice for the purpose of:

                              (i)  eliminating; or

                             (ii)  mitigating; or

                            (iii)  managing; or

                            (iv)  remediating;

                            the risk that a greenhouse gas substance injected into the identified greenhouse gas storage formation will have a significant adverse impact on:

                             (v)  navigation; or

                            (vi)  fishing; or

                           (vii)  any activities being lawfully carried on, or that could be lawfully carried on, by way of the construction or operation of a pipeline; or

                           (viii)  the enjoyment of native title rights (within the meaning of the Native Title Act 1993); or

                            (ix)  the conservation or exploitation of natural resources (whether in an offshore area or elsewhere); or

                             (x)  the geotechnical integrity of the whole or a part of a geological formation or geological structure; or

                            (xi)  the environment; or

                           (xii)  human health or safety;

                     (g)  to undertake such activities as are specified in the notice for the purpose of:

                              (i)  ensuring; or

                             (ii)  increasing the likelihood;

                            that a greenhouse gas substance injected into the identified greenhouse gas storage formation will behave as predicted in Part A of the approved site plan for the identified greenhouse gas storage formation.

Note:          For variation and revocation, see subsection 33(3) of the Acts Interpretation Act 1901.

             (3)  The period specified in the notice must be reasonable.

             (4)  Paragraph (2)(c) has effect subject to:

                     (a)  Chapter 3; and

                     (b)  this Chapter; and

                     (c)  the regulations.

             (5)  Paragraphs (2)(a), (b), (c), (d) and (e) do not limit paragraph (2)(f) or (g).

             (6)  In attaining a state of satisfaction for the purposes of paragraph (2)(b), the responsible Commonwealth Minister must have regard to the principle that plugging or closing off wells should be carried out in a way that minimises damage to the petroleum‑bearing qualities of geological formations.

             (7)  A paragraph (2)(f) or (g) direction may require the registered holder of the licence to do something:

                     (a)  in the licence area; or

                     (b)  in an offshore area but outside the licence area.

Offence

             (8)  A person commits an offence if:

                     (a)  the person is subject to a direction under subsection (2); and

                     (b)  the person omits to do an act; and

                     (c)  the omission breaches the direction.

Penalty:  100 penalty units.

Section does not limit other powers

             (9)  To avoid doubt, the powers conferred on the responsible Commonwealth Minister by this section do not limit the powers conferred on the responsible Commonwealth Minister by any other provision of this Act.

594  Consultation—directions to do something outside the licence area

Scope

             (1)  This section applies if:

                     (a)  the responsible Commonwealth Minister proposes to give a direction under section 593 to a greenhouse gas injection licensee; and

                     (b)  the direction requires the licensee to do something in an area (the action area) in an offshore area but outside the licence area; and

                     (c)  the action area is, to any extent, the subject of:

                              (i)  a greenhouse gas assessment permit; or

                             (ii)  a greenhouse gas holding lease; or

                            (iii)  a greenhouse gas injection licence; or

                            (iv)  a greenhouse gas search authority; or

                             (v)  a petroleum exploration permit; or

                            (vi)  a petroleum retention lease; or

                           (vii)  a petroleum production licence; or

                           (viii)  a petroleum special prospecting authority; and

                     (d)  the licensee mentioned in paragraph (a) is not the registered holder of the permit, lease, licence or authority mentioned in paragraph (c); and

                     (e)  the registered holder of the permit, lease, licence or authority mentioned in paragraph (c) has not given written consent to the giving of the direction.

Consultation

             (2)  Before giving the direction, the responsible Commonwealth Minister must:

                     (a)  by written notice given to the registered holder of the permit, lease, licence or authority mentioned in paragraph (1)(c), give at least 30 days notice of the responsible Commonwealth Minister’s intention to give the direction; and

                     (b)  give a copy of the notice to such other persons (if any) as the responsible Commonwealth Minister thinks fit.

             (3)  The notice must:

                     (a)  set out details of the direction that is proposed to be given; and

                     (b)  invite a person to whom the notice, or a copy of the notice, has been given to make a written submission to the responsible Commonwealth Minister about the proposal; and

                     (c)  specify a time limit for making that submission.

             (4)  In deciding whether to give the direction, the responsible Commonwealth Minister must take into account any submissions made in accordance with the notice.

Emergencies

             (5)  However, if the responsible Commonwealth Minister is satisfied that the direction is required to deal with an emergency:

                     (a)  subsections (2), (3) and (4) do not apply to the direction; and

                     (b)  as soon as practicable after the direction is given, the responsible Commonwealth Minister must give a copy of the direction to the registered holder of the permit, lease, licence or authority mentioned in paragraph (1)(c).

595  Remedial directions to former holders of permits, leases, licences and authorities etc.

Scope

             (1)  This section applies if an event specified in the table has happened:

 

Scope

Item

Title

Event

1

Greenhouse gas assessment permit

(a) the permit has been cancelled;

(b) the permit has expired.

2

Greenhouse gas holding lease (other than a special greenhouse gas holding lease)

(a) the lease has been cancelled;

(b) the lease has expired.

3

Special greenhouse gas holding lease

the lease has been cancelled.

4

Greenhouse gas injection licence

(a) the licence has been cancelled;

(b) the licence has been terminated.

5

Greenhouse gas search authority

(a)  the authority has been surrendered;

(b) the authority has been cancelled;

(c)  the authority has expired.

6

Greenhouse gas special authority

(a)  the authority has been revoked;

(b) the authority has been surrendered;

(c)  the authority has expired.

Direction

             (2)  The responsible Commonwealth Minister may, by written notice given to the person who was, or is, as the case may be, the registered holder of the permit, lease, licence or authority, direct the person to do any or all of the following things within the period specified in the notice:

                     (a)  to:

                              (i)  remove, or cause to be removed, from the vacated area all property brought into that area by any person engaged or concerned in the operations authorised by the permit, lease, licence or authority; or

                             (ii)  make arrangements that are satisfactory to the responsible Commonwealth Minister in relation to that property;

                     (b)  to plug or close off, to the satisfaction of the responsible Commonwealth Minister, all wells made in the vacated area by any person engaged or concerned in those operations;

                     (c)  to provide, to the satisfaction of the responsible Commonwealth Minister, for the conservation and protection of the natural resources in the vacated area;

                     (d)  to make good, to the satisfaction of the responsible Commonwealth Minister, any damage to the seabed or subsoil in the vacated area caused by any person engaged or concerned in those operations.

             (3)  The period specified in the notice must be reasonable.

             (4)  Paragraph (2)(c) has effect subject to:

                     (a)  Chapter 3; and

                     (b)  this Chapter; and

                     (c)  the regulations.

             (5)  In attaining a state of satisfaction for the purposes of paragraph (2)(b), the responsible Commonwealth Minister must have regard to the principle that plugging or closing off wells should be carried out in a way that minimises damage to the petroleum‑bearing qualities of geological formations.

Offence

             (6)  A person commits an offence if:

                     (a)  the person is subject to a direction under subsection (2); and

                     (b)  the person omits to do an act; and

                     (c)  the omission breaches the direction.

Penalty for contravention of this subsection: 100 penalty units.

596  Responsible Commonwealth Minister may take action if a direction has been breached

Scope

             (1)  This section applies if a direction is given under section 593 or 595.

Responsible Commonwealth Minister may take action

             (2)  If:

                     (a)  a direction under section 593 has been breached; or

                     (b)  an arrangement under section 593 has not been carried out in relation to the licence area; or

                     (c)  a direction under section 595 has been breached in relation to the vacated area; or

                     (d)  an arrangement under section 595 has not been carried out in relation to the vacated area;

the responsible Commonwealth Minister may do any or all of the things required by the direction or arrangement to be done.

Direction to remove property

             (3)  If:

                     (a)  a direction is given under section 593; and

                     (b)  any property brought into the licence area by any person engaged or concerned in the operations authorised by the licence has not been removed in accordance with:

                              (i)  the direction; or

                             (ii)  an arrangement under section 593 in relation to the licence area;

the responsible Commonwealth Minister may, by written notice published in the Gazette, direct the owner or owners of that property to:

                     (c)  remove the property from the licence area; or

                     (d)  dispose of the property to the satisfaction of the responsible Commonwealth Minister;

within the period specified in the notice.

Note:          For sanctions, see section 597.

             (4)  If:

                     (a)  a direction is given under section 595; and

                     (b)  any property brought into the vacated area by any person engaged or concerned in the operations authorised by the permit, lease, licence or authority has not been removed in accordance with:

                              (i)  a direction under section 595 in relation to the vacated area; or

                             (ii)  an arrangement under section 595 in relation to the vacated area;

the responsible Commonwealth Minister may, by written notice published in the Gazette, direct the owner or owners of that property to:

                     (c)  remove the property from the vacated area; or

                     (d)  dispose of the property to the satisfaction of the responsible Commonwealth Minister;

within the period specified in the notice.

Note:          For sanctions, see section 597.

             (5)  The period specified in the notice must be reasonable.

             (6)  If a direction is given under subsection (3) or (4) in relation to property, the responsible Commonwealth Minister must give a copy of the notice to each person whom the responsible Commonwealth Minister believes to be an owner of the property or of any part of the property.

597  Removal, disposal or sale of property by responsible Commonwealth Minister—breach of direction

Power to remove, dispose of or sell property

             (1)  If a direction under subsection 596(3) or (4) has been breached in relation to property, the responsible Commonwealth Minister may do any or all of the following things:

             (a)  in the case of a direction under subsection 596(3)—remove, in such manner as the responsible Commonwealth Minister thinks fit, any or all of that property from the licence area concerned;

                     (b)  in the case of a direction under subsection 596(4)—remove, in such manner as the responsible Commonwealth Minister thinks fit, any or all of that property from the vacated area concerned;

                     (c)  dispose of, in such manner as the responsible Commonwealth Minister thinks fit, any or all of that property;

                     (d)  if, under subsection 596(6), a person was given a copy of the notice of the direction—sell, by public auction or otherwise, as the responsible Commonwealth Minister thinks fit, any or all of that property that belongs, or that the responsible Commonwealth Minister believes to belong, to that person.

Deduction of costs and expenses etc. from proceeds of sale

             (2)  The responsible Commonwealth Minister may deduct, from the proceeds of a sale under subsection (1) of property that belongs (or that the responsible Commonwealth Minister believes to belong) to a particular person, the whole or a part of:

                     (a)  any costs and expenses incurred by the responsible Commonwealth Minister under that subsection in relation to that property; and

                     (b)  any costs and expenses incurred by the responsible Commonwealth Minister in relation to the doing of any thing required by a direction under section 593 or 595 to be done by that person; and

                     (c)  any fees or amounts payable by that person under this Act, so long as the fee or amount concerned is due and payable; and

                     (d)  any amounts payable by that person under the Annual Fees Act, so long as the amount concerned is due and payable.

Balance of proceeds of sale to be paid to owner of property

             (3)  The proceeds of a sale of property under subsection (1), less any deductions under subsection (2), are to be paid to the owner of the property.

Recovery of costs and expenses—removal, disposal or sale of property

             (4)  If the responsible Commonwealth Minister incurs any costs or expenses under subsection (1) in relation to the removal, disposal or sale of property, the costs or expenses:

                     (a)  are a debt due by the owner of the property to the Commonwealth; and

                     (b)  to the extent to which they are not recovered under subsection (2)—are recoverable in a court of competent jurisdiction.

Recovery of costs and expenses—breach of direction

             (5)  If the responsible Commonwealth Minister incurs costs or expenses in relation to the doing of anything required by a direction under section 593 or 595 to be done by a person who is or was the registered holder of a greenhouse gas assessment permit, greenhouse gas holding lease, greenhouse gas injection licence, greenhouse gas search authority or greenhouse gas special authority, the costs or expenses:

                     (a)  are a debt due by the person to the Commonwealth; and

                     (b)  to the extent to which they are not recovered under subsection (2)—are recoverable in a court of competent jurisdiction.

598  Removal, disposal or sale of property—limitation of action etc.

Limitation of action etc.

             (1)  Except as provided by subsection 597(4) or section 780, no action, suit or proceeding lies in relation to the removal, disposal or sale, or the purported removal, disposal or sale, of property under section 597.

             (2)  Section 768 does not apply to an act or matter to the extent to which subsection (1) of this section applies to the act or matter.

Judicial review

             (3)  This section does not affect:

                     (a)  any rights conferred on a person by the Administrative Decisions (Judicial Review) Act 1977 to apply to a court in relation to:

                              (i)  a decision; or

                             (ii)  conduct engaged in for the purpose of making a decision; or

                            (iii)  a failure to make a decision; or

                     (b)  any other rights that a person has to seek a review by a court or tribunal in relation to:

                              (i)  a decision; or

                             (ii)  conduct engaged in for the purpose of making a decision; or

                            (iii)  a failure to make a decision.

             (4)  An expression used in subsection (3) has the same meaning as in section 10 of the Administrative Decisions (Judicial Review) Act 1977.


 

Part 6.5Offences and enforcement

Division 1Petroleum

599  Simplified outline

                   The following is a simplified outline of this Division:

•      The Designated Authority may appoint petroleum project inspectors, and the petroleum project inspectors may exercise powers of access, inspection and entry for the purposes of this Act and the regulations.

•      A person must not interfere with offshore petroleum installations or operations.

•      A court may make a forfeiture order in relation to property used in the commission of an offence.

600  Appointment of petroleum project inspectors

Appointment

             (1)  The Designated Authority for an offshore area may, by writing, appoint a person to be a petroleum project inspector in relation to the offshore area if the person is an officer, or employee, of:

                     (a)  the Commonwealth, a State or a Territory; or

                     (b)  an authority of the Commonwealth, a State or a Territory.

Identity cards

             (2)  The Designated Authority must issue an identity card to a petroleum project inspector. The identity card must:

                     (a)  specify the offshore area concerned; and

                     (b)  contain a recent photograph of the petroleum project inspector.

             (3)  The Designated Authority for the Eastern Greater Sunrise offshore area may specify, in an identity card issued to a petroleum project inspector under subsection (2), that the petroleum project inspector is a Greater Sunrise visiting inspector.

             (4)  A person commits an offence if:

                     (a)  the person has been issued with an identity card; and

                     (b)  the person ceases to be a petroleum project inspector; and

                     (c)  the person does not immediately return the identity card to:

                              (i)  the Designated Authority; or

                             (ii)  if the Designated Authority, by written notice given to the person, specifies another person to whom the card is to be returned—that other person.

Penalty:  5 penalty units.

             (5)  Subsection (4) does not apply if the identity card was lost or destroyed.

Note:          The defendant bears an evidential burden in relation to the matter in subsection (5)—see subsection 13.3(3) of the Criminal Code.

             (6)  A petroleum project inspector must carry the identity card at all times when exercising powers, or performing functions, under this Act or the regulations as a petroleum project inspector.

601  Monitoring powers of petroleum project inspectors

Powers

             (1)  For the purposes of this Act and the regulations, a petroleum project inspector (other than a Greater Sunrise visiting inspector) may, at all reasonable times and on production of the petroleum project inspector’s identity card, exercise the powers conferred by subsection (2).

             (2)  The powers a petroleum project inspector (other than a Greater Sunrise visiting inspector) may exercise under this section are as follows:

                     (a)  to have access to any part of the offshore area specified in the card;

                     (b)  to have access to any structure, vessel, aircraft or building in the offshore area that the petroleum project inspector has reasonable grounds to believe has been, is being or is to be used in connection with any of the following operations in the offshore area:

                              (i)  petroleum exploration operations;

                             (ii)  petroleum recovery operations;

                            (iii)  operations relating to the processing or storage of petroleum;

                            (iv)  operations relating to the preparation of petroleum for transport;

                             (v)  operations connected with the construction or operation of a pipeline;

                     (c)  to inspect and test any equipment that the petroleum project inspector has reasonable grounds to believe has been, is being or is to be used in the offshore area in connection with any of those operations;

                     (d)  to enter any structure, vessel, aircraft, building or place that is in:

                              (i)  the offshore area; or

                             (ii)  the State or Territory to which the offshore area relates;

                            and in which the petroleum project inspector has reasonable grounds to believe there are any documents relating to any of those operations, and to inspect, take extracts from and make copies of any of those documents.

             (3)  For the purposes of subparagraph (2)(d)(ii):

                     (a)  the Principal Northern Territory offshore area; and

                     (b)  the Eastern Greater Sunrise offshore area;

are taken to relate to the Northern Territory.

Residential premises

             (4)  A petroleum project inspector may exercise powers under paragraph (2)(d) to enter residential premises in a State or Territory only:

                     (a)  in accordance with a warrant issued under section 602; or

                     (b)  after obtaining the consent of the occupier of the premises.

             (5)  If:

                     (a)  a petroleum project inspector enters residential premises in accordance with a warrant issued under section 602; and

                     (b)  the occupier of the premises is present at the premises;

the petroleum project inspector must make available to the occupier a copy of the warrant or a copy of the form of the warrant.

             (6)  Before obtaining the consent of a person as mentioned in paragraph (4)(b), a petroleum project inspector must inform the person that the person may refuse consent.

             (7)  A consent of a person is not effective for the purposes of subsection (4) unless the consent is voluntary.

Powers of Greater Sunrise visiting inspectors

             (8)  For the purposes of this Act and the regulations, a Greater Sunrise visiting inspector who produces, at a reasonable time, the inspector’s identity card:

                     (a)  is to be given access to the regions in:

                              (i)  the Eastern Greater Sunrise offshore area; or

                             (ii)  the Principal Northern Territory offshore area;

                            specified in the identity card; and

                     (b)  is to be given access to any structure, vessel, aircraft or building in that region that, in that inspector’s opinion, contains any equipment used to measure amounts of petroleum recovered from one or more of the Greater Sunrise unit reservoirs; and

                     (c)  may inspect and test any equipment that, in that inspector’s opinion, is being used in that region to measure amounts of petroleum recovered from one or more of the Greater Sunrise unit reservoirs.

Facilities and assistance to be provided by occupier or person in charge

             (9)  A person who is:

                     (a)  the occupier or person in charge of any building, structure or place referred to in subsection (2); or

                     (b)  the person in charge of any vessel, aircraft or equipment referred to in subsection (2);

must provide a petroleum project inspector with all reasonable facilities and assistance for the effective exercise of the petroleum project inspector’s powers under this section.

           (10)  A person who is:

                     (a)  the occupier or person in charge of any building or structure referred to in subsection (8); or

                     (b)  the person in charge of any vessel, aircraft or equipment referred to in subsection (8);

must provide a Greater Sunrise visiting inspector with all reasonable facilities and assistance for the effective exercise of the inspector’s powers under subsection (8).

           (11)  A person commits an offence if:

                     (a)  the person is subject to a requirement under subsection (9) or (10); and

                     (b)  the person omits to do an act; and

                     (c)  the omission breaches the requirement.

Penalty:  50 penalty units.

Obstructing or hindering a petroleum project inspector

           (12)  A person commits an offence if:

                     (a)  the person engages in conduct; and

                     (b)  the conduct obstructs or hinders a petroleum project inspector in the exercise of the petroleum project inspector’s powers under this section.

Penalty:  50 penalty units.

           (13)  Subsection (12) does not apply if the person has a reasonable excuse.

Note 1:       The defendant bears an evidential burden in relation to the matter in subsection (13)—see subsection 13.3(3) of the Criminal Code.

Note 2:       See also Part 2.3 of the Criminal Code (circumstances in which there is no criminal responsibility).

Note 3:       The same conduct may be an offence against both subsection (12) of this section and section 149.1 of the Criminal Code.

602  Warrants to enter residential premises

             (1)  A petroleum project inspector may apply to a Magistrate for a warrant authorising the petroleum project inspector, with such assistance as the petroleum project inspector thinks necessary, to exercise the power referred to in paragraph 601(2)(d) in relation to particular residential premises.

             (2)  The application must be supported by an information on oath or affirmation that sets out the grounds on which the petroleum project inspector is applying for the warrant.

             (3)  If the Magistrate is satisfied that there are reasonable grounds for issuing the warrant, the Magistrate may issue the warrant.

             (4)  A warrant issued under subsection (3) must state:

                     (a)  the name of the petroleum project inspector; and

                     (b)  whether the inspection may be carried out at any time or only during specified hours of the day; and

                     (c)  the day on which the warrant ceases to have effect; and

                     (d)  the purposes for which the warrant is issued.

             (5)  The day specified under paragraph (4)(c) is not to be more than 7 days after the day on which the warrant is issued.

             (6)  The purposes specified under paragraph (4)(d) must include the identification of the premises in relation to which the warrant is issued.

603  Interfering with offshore petroleum installations or operations

             (1)  A person commits an offence if:

                     (a)  the person engages in conduct; and

                     (b)  the person’s conduct results in:

                              (i)  damage to, or interference with, any structure or vessel that is in an offshore area and that is, or is to be, used in exploring for, recovering, processing, storing, preparing for transport, or transporting, petroleum; or

                             (ii)  damage to, or interference with, any equipment on, or attached to, such a structure or vessel; or

                            (iii)  interference with any operations or activities being carried out, or any works being executed, on, by means of, or in connection with, such a structure or vessel.

Penalty:  Imprisonment for 10 years.

             (2)  In this section:

structure means any fixed, moveable or floating structure or installation, and includes a petroleum pipeline, petroleum pumping station, petroleum tank station or petroleum valve station.

604  Forfeiture orders etc.

Scope

             (1)  This section applies if a person is convicted by a court of:

                     (a)  an offence against section 97, 160, 193 or 210; or

                     (b)  an offence against section 6 of the Crimes Act 1914 in relation to an offence referred to in paragraph (a) of this subsection.

Note:          For ancillary offences, see section 11.6 of the Criminal Code.

Orders

             (2)  The court may, in addition to imposing a penalty, make any or all of the following orders:

                     (a)  an order for the forfeiture of a specified aircraft or vessel used in the commission of the offence;

                     (b)  an order for the forfeiture of specified equipment used in the commission of the offence;

                     (c)  an order for the forfeiture of specified petroleum recovered, or conveyed through a pipeline, as the case may be, in the course of the commission of the offence;

                     (d)  an order for the payment by that person to the Commonwealth of an amount equal to the proceeds of the sale of specified petroleum so recovered or conveyed;

                     (e)  an order for the payment by that person to the Commonwealth of:

                              (i)  an amount equal to the value at the wellhead, assessed by the court, of the quantity, so assessed, of petroleum so recovered or conveyed; or

                             (ii)  such part of that amount as the court, having regard to all the circumstances, thinks fit.

             (3)  If the court is satisfied that an order under paragraph (2)(c) cannot, for any reason, be enforced, the court may, on the application of the person by whom the proceedings were brought:

                     (a)  set aside the order; and

                     (b)  make either of the orders referred to in paragraphs (2)(d) and (e).

             (4)  The court may, before making an order under this section:

                     (a)  require notice to be given to such persons as the court thinks fit; and

                     (b)  hear such persons as the court thinks fit.

             (5)  Goods in relation to which an order is made under this section:

                     (a)  must be dealt with as the Attorney‑General directs; and

                     (b)  pending the Attorney‑General’s direction, may be detained in such custody as the court directs.


 

Division 2Greenhouse gas

605  Simplified outline

                   The following is a simplified outline of this Division:

•      The responsible Commonwealth Minister may appoint greenhouse gas project inspectors, and the greenhouse gas project inspectors may exercise powers of access, inspection and entry for the purposes of this Act and the regulations.

•      A person must not interfere with greenhouse gas installations or operations.

•      A court may make a forfeiture order in relation to property used in the commission of an offence.

606  Appointment of greenhouse gas project inspectors

Appointment

             (1)  The responsible Commonwealth Minister may, by writing, appoint a person to be a greenhouse gas project inspector if:

                     (a)  the person is an officer, or employee, of:

                              (i)  the Commonwealth, a State or a Territory; or

                             (ii)  an authority of the Commonwealth, a State or a Territory; or

                     (b)  the person is not covered by paragraph (a), but the responsible Commonwealth Minister is satisfied that the person has the knowledge, skills and experience to be a greenhouse gas project inspector.

Identity cards

             (2)  The responsible Commonwealth Minister must issue an identity card to a greenhouse gas project inspector. The identity card must contain a recent photograph of the greenhouse gas project inspector.

             (3)  A person commits an offence if:

                     (a)  the person has been issued with an identity card; and

                     (b)  the person ceases to be a greenhouse gas project inspector; and

                     (c)  the person does not immediately return the identity card to:

                              (i)  the responsible Commonwealth Minister; or

                             (ii)  if the responsible Commonwealth Minister, by written notice given to the person, specifies another person to whom the card is to be returned—that other person.

Penalty:  5 penalty units.

             (4)  Subsection (3) does not apply if the identity card was lost or destroyed.

Note:          The defendant bears an evidential burden in relation to the matter in subsection (4)—see subsection 13.3(3) of the Criminal Code.

             (5)  A greenhouse gas project inspector must carry the identity card at all times when exercising powers, or performing functions, under this Act or the regulations as a greenhouse gas project inspector.

607  Monitoring powers of greenhouse gas project inspectors

Powers

             (1)  For the purposes of this Act and the regulations, a greenhouse gas project inspector may, at all reasonable times and on production of the greenhouse gas project inspector’s identity card, exercise the powers conferred by subsection (2).

             (2)  The powers a greenhouse gas project inspector may exercise under this section are as follows:

                     (a)  to have access to any part of an offshore area;

                     (b)  to have access to any structure, vessel, aircraft or building in an offshore area that the greenhouse gas project inspector has reasonable grounds to believe has been, is being or is to be used in connection with any of the following operations in an offshore area:

                              (i)  operations relating to exploration for a potential greenhouse gas storage formation or a potential greenhouse gas injection site;

                             (ii)  operations relating to the injection of a greenhouse gas substance into the seabed or subsoil;

                            (iii)  operations relating to the storage of a greenhouse gas substance in the seabed or subsoil;

                            (iv)  operations relating to the processing, compression or pre‑injection storage of a greenhouse gas substance;

                             (v)  operations relating to the preparation of a greenhouse gas substance for transport;

                     (c)  to inspect and test any equipment that the greenhouse gas project inspector has reasonable grounds to believe has been, is being or is to be used in an offshore area in connection with any of those operations;

                     (d)  to enter any structure, vessel, aircraft, building or place that is in:

                              (i)  an offshore area; or

                             (ii)  a State or Territory;

                            and in which the greenhouse gas project inspector has reasonable grounds to believe there are any documents relating to any of those operations, and to inspect, take extracts from and make copies of any of those documents.

Residential premises

             (3)  A greenhouse gas project inspector may exercise powers under paragraph (2)(d) to enter residential premises in a State or Territory only:

                     (a)  in accordance with a warrant issued under section 608; or

                     (b)  after obtaining the consent of the occupier of the premises.

             (4)  If:

                     (a)  a greenhouse gas project inspector enters residential premises in accordance with a warrant issued under section 608; and

                     (b)  the occupier of the premises is present at the premises;

the greenhouse gas project inspector must make available to the occupier a copy of the warrant or a copy of the form of the warrant.

             (5)  Before obtaining the consent of a person as mentioned in paragraph (3)(b), a greenhouse gas project inspector must inform the person that the person may refuse consent.

             (6)  A consent of a person is not effective for the purposes of subsection (3) unless the consent is voluntary.

Facilities and assistance to be provided by occupier or person in charge

             (7)  A person who is:

                     (a)  the occupier or person in charge of any building, structure or place referred to in subsection (2); or

                     (b)  the person in charge of any vessel, aircraft or equipment referred to in subsection (2);

must provide a greenhouse gas project inspector with all reasonable facilities and assistance for the effective exercise of the greenhouse gas project inspector’s powers under this section.

             (8)  A person commits an offence if:

                     (a)  the person is subject to a requirement under subsection (7); and

                     (b)  the person omits to do an act; and

                     (c)  the omission breaches the requirement.

Penalty:  50 penalty units.

Obstructing or hindering a greenhouse gas project inspector

             (9)  A person commits an offence if:

                     (a)  the person engages in conduct; and

                     (b)  the conduct obstructs or hinders a greenhouse gas project inspector in the exercise of the greenhouse gas project inspector’s powers under this section.

Penalty:  50 penalty units.

           (10)  Subsection (9) does not apply if the person has a reasonable excuse.

Note 1:       The defendant bears an evidential burden in relation to the matter in subsection (10)—see subsection 13.3(3) of the Criminal Code.

Note 2:       See also Part 2.3 of the Criminal Code (circumstances in which there is no criminal responsibility).

Note 3:       The same conduct may be an offence against both subsection (9) of this section and section 149.1 of the Criminal Code.

608  Warrants to enter residential premises

             (1)  A greenhouse gas project inspector may apply to a Magistrate for a warrant authorising the greenhouse gas project inspector, with such assistance as the greenhouse gas project inspector thinks necessary, to exercise the power referred to in paragraph 607(2)(d) in relation to particular residential premises.

             (2)  The application must be supported by an information on oath or affirmation that sets out the grounds on which the greenhouse gas project inspector is applying for the warrant.

             (3)  If the Magistrate is satisfied that there are reasonable grounds for issuing the warrant, the Magistrate may issue the warrant.

             (4)  A warrant issued under subsection (3) must state:

                     (a)  the name of the greenhouse gas project inspector; and

                     (b)  whether the inspection may be carried out at any time or only during specified hours of the day; and

                     (c)  the day on which the warrant ceases to have effect; and

                     (d)  the purposes for which the warrant is issued.

             (5)  The day specified under paragraph (4)(c) is not to be more than 7 days after the day on which the warrant is issued.

             (6)  The purposes specified under paragraph (4)(d) must include the identification of the premises in relation to which the warrant is issued.

609  Interfering with greenhouse gas installations or operations

             (1)  A person commits an offence if:

                     (a)  the person engages in conduct; and

                     (b)  the person’s conduct results in:

                              (i)  damage to, or interference with, any structure or vessel that is in an offshore area and that is, or is to be, used in greenhouse gas operations in an offshore area; or

                             (ii)  damage to, or interference with, any equipment on, or attached to, such a structure or vessel; or

                            (iii)  interference with any operations or activities being carried out, or any works being executed, on, by means of, or in connection with, such a structure or vessel.

Penalty:  Imprisonment for 10 years.

             (2)  In this section:

greenhouse gas operations means:

                     (a)  operations relating to exploration for a potential greenhouse gas formation or a potential greenhouse gas injection site; or

                     (b)  operations relating to the injection of a greenhouse gas substance into the seabed or subsoil; or

                     (c)  operations relating to the storage of a greenhouse gas substance in the seabed or subsoil; or

                     (d)  operations relating to the processing, compression or pre‑injection storage of a greenhouse gas substance; or

                     (e)  operations relating to the preparation of a greenhouse gas substance for transport.

structure means any fixed, moveable or floating structure or installation, and includes a greenhouse gas pipeline, greenhouse gas pumping station, greenhouse gas tank station or greenhouse gas valve station.

610  Forfeiture orders etc.

Scope

             (1)  This section applies if a person is convicted by a court of:

                     (a)  an offence against section 289 or 356; or

                     (b)  an offence against section 6 of the Crimes Act 1914 in relation to an offence referred to in paragraph (a) of this subsection.

Note:          For ancillary offences, see section 11.6 of the Criminal Code.

Orders

             (2)  The court may, in addition to imposing a penalty, make either or both of the following orders:

                     (a)  an order for the forfeiture of a specified aircraft or vessel used in the commission of the offence;

                     (b)  an order for the forfeiture of specified equipment used in the commission of the offence.

             (3)  The court may, before making an order under this section:

                     (a)  require notice to be given to such persons as the court thinks fit; and

                     (b)  hear such persons as the court thinks fit.

             (4)  Goods in relation to which an order is made under this section:

                     (a)  must be dealt with as the Attorney‑General directs; and

                     (b)  pending the Attorney‑General’s direction, may be detained in such custody as the court directs.


 

Division 3Time for bringing proceedings for offences

611  Time for bringing proceedings for offences

             (1)  Proceedings in relation to any of the following offences may be brought at any time:

                     (a)  an offence against:

                              (i)  Chapter 2; or

                             (ii)  Chapter 3; or

                            (iii)  Chapter 4; or

                            (iv)  Chapter 5; or

                             (v)  this Chapter; or

                            (vi)  Part 7.1; or

                           (vii)  Part 8.1; or

                           (viii)  the regulations;

                     (b)  an offence against section 6 of the Crimes Act 1914 in relation to an offence referred to in paragraph (a) of this subsection.

Note:          For ancillary offences, see section 11.6 of the Criminal Code.

             (2)  Subsection (1) has effect despite section 15B of the Crimes Act 1914.


 

Part 6.6Safety zones and the area to be avoided

Division 1Introduction

612  Simplified outline

                   The following is a simplified outline of this Part:

•      The Designated Authority may prohibit certain vessels from entering or being present in an area (called a petroleum safety zone) surrounding a petroleum well, a structure, or an item of equipment, in an offshore area.

•      The responsible Commonwealth Minister may prohibit certain vessels from entering or being present in an area (called a greenhouse gas safety zone) surrounding a greenhouse gas well, a structure, or an item of equipment, in an offshore area.

•      The area to be avoided is the area described in Schedule 2 (an area off the coast of Victoria), but does not include a safety zone or the coastal waters of Victoria.

•      A vessel must not enter or be present in the area to be avoided unless authorised to do so under this Part.

•      An authorised person may exercise powers for the purposes of the enforcement of this Part.

613  Simplified map of the area to which Schedule 2 applies

                   This section sets out a simplified map illustrating the area to which Schedule 2 applies:

614  Definitions

                   In this Part:

area to be avoided means so much of the area to which Schedule 2 applies as comprises waters of the sea that:

                     (a)  are not within the coastal waters of Victoria or within any area on the landward side of those coastal waters; and

                     (b)  are not within a safety zone.

Note:          The area to which Schedule 2 applies is an area off the coast of Victoria.

authorised person has the meaning given by section 615.

exempt vessel, in relation to a safety zone, means a vessel:

                     (a)  in the case of a petroleum safety zone—that is excluded from the operation of section 616 in relation to that safety zone because:

                              (i)  the vessel is specified in the notice establishing the safety zone; or

                             (ii)  the vessel is included in a class of vessels specified in the notice establishing the safety zone; or

                     (b)  in the case of a petroleum safety zone—for which a written consent of the Designated Authority under subsection 616(1) is in force in relation to the safety zone; or

                     (c)  in the case of a greenhouse gas safety zone—that is excluded from the operation of section 617 in relation to that safety zone because:

                              (i)  the vessel is specified in the notice establishing the safety zone; or

                             (ii)  the vessel is included in a class of vessels specified in the notice establishing the safety zone; or

                     (d)  in the case of a greenhouse gas safety zone—for which a written consent of the responsible Commonwealth Minister under subsection 617(1) is in force in relation to the safety zone.

foreign‑flag vessel means a vessel that:

                     (a)  under the law of a foreign country, is entitled to fly the flag of that country; and

                     (b)  is flying that flag.

government body means:

                     (a)  the Commonwealth, a State or a Territory; or

                     (b)  a body corporate established for a public purpose by or under a law of the Commonwealth or of a State or Territory, other than:

                              (i)  the Western Australian Coastal Shipping Commission; or

                             (ii)  the Transport Commission established under the Transport Act 1981 of Tasmania; or

                            (iii)  a body corporate that is declared by regulations made under the Shipping Registration Act 1981 not to be a Government authority for the purposes of that Act.

Government vessel means:

                     (a)  a vessel that is beneficially owned by a government body; or

                     (b)  a vessel the whole possession and control of which is for the time being vested in a government body.

greenhouse gas safety zone means an area that is a safety zone for the purposes of section 617.

greenhouse gas well means a hole in the seabed or subsoil made by drilling, boring or any other means in connection with:

                     (a)  exploration for potential greenhouse gas storage formations; or

                     (b)  exploration for potential greenhouse gas injection sites; or

                     (c)  the injection of a greenhouse gas substance into an identified greenhouse gas storage formation; or

                     (d)  the injection, on an appraisal basis, of:

                              (i)  a greenhouse gas substance; or

                             (ii)  air; or

                            (iii)  petroleum; or

                            (iv)  water;

                            into a part of a geological formation.

master, in relation to a vessel, means the person having command or charge of the vessel.

owner, in relation to a vessel, means:

                     (a)  if the vessel is being operated by a person who:

                              (i)  does not own the vessel; and

                             (ii)  has the whole possession and control of the vessel;

                            the person operating the vessel; or

                     (b)  in any other case—the person who owns the vessel.

petroleum safety zone means an area that is a safety zone for the purposes of section 616.

petroleum well means a hole in the seabed or subsoil made by drilling, boring or any other means in connection with:

                     (a)  exploration for petroleum; or

                     (b)  petroleum recovery operations;

but does not include a seismic shot hole.

prescribed safety zone means a safety zone that is situated within any part of the area to which Schedule 2 applies that comprises waters of the sea that are not within the coastal waters of Victoria or within any area on the landward side of those coastal waters.

Note:          The area to which Schedule 2 applies is an area off the coast of Victoria.

relevant vessel means:

                     (a)  a vessel that satisfies the following conditions:

                              (i)  the vessel is registered under the Shipping Registration Act 1981;

                             (ii)  the gross tonnage of the vessel specified in the certificate of registration of the vessel exceeds 200;

                            (iii)  the vessel is not a Government vessel; or

                     (b)  a vessel that satisfies the following conditions:

                              (i)  the vessel is not registered under the Shipping Registration Act 1981;

                             (ii)  the vessel is permitted to be registered under that Act;

                            (iii)  the vessel is not a foreign‑flag vessel;

                            (iv)  the tonnage length of the vessel equals or exceeds 24 metres (for this purpose, the tonnage length is to be determined in the same manner as it is determined for the purposes of the Shipping Registration Act 1981);

                             (v)  the vessel is not a Government vessel; or

                     (c)  a vessel that satisfies the following conditions:

                              (i)  the vessel is not a vessel to which paragraph (a) or (b) applies;

                             (ii)  the vessel is in the offshore area for the purpose of exploring the seabed or subsoil of the offshore area for petroleum or minerals or for the purpose of exploiting the petroleum or minerals which occur as natural resources of that seabed or subsoil;

                            (iii)  the vessel is not a Government vessel; or

                     (d)  a vessel that satisfies the following conditions:

                              (i)  the vessel is not a vessel to which paragraph (a) or (b) applies;

                             (ii)  the vessel is in the offshore area for the purpose of exploring the seabed or subsoil of the offshore area for a potential greenhouse gas storage formation or a potential greenhouse gas injection site;

                            (iii)  the vessel is not a Government vessel; or

                     (e)  a vessel that satisfies the following conditions:

                              (i)  the vessel is not a vessel to which paragraph (a) or (b) applies;

                             (ii)  the vessel is in the offshore area for purposes relating to the injection of a greenhouse gas substance into, or the storage of a greenhouse gas substance in, the seabed or subsoil of the offshore area;

                            (iii)  the vessel is not a Government vessel.

safety zone means:

                     (a)  a greenhouse gas safety zone; or

                     (b)  a petroleum safety zone.

terrorist activity includes an activity involving extortion.

615  Authorised persons

             (1)  For the purposes of this Part, an authorised person is:

                     (a)  a member or special member of the Australian Federal Police; or

                     (b)  a member of the police force of a State or Territory; or

                     (c)  a member of the Defence Force; or

                     (d)  an officer of customs within the meaning of the Customs Act 1901; or

                     (e)  a person who is an authorised person because of a declaration under subsection (2) or (3).

             (2)  The Designated Authority may, by notice published in the Gazette, declare that a person, or a person included in a specified class of persons, is an authorised person for the purposes of this Part.

             (3)  The responsible Commonwealth Minister may, by notice published in the Gazette, declare that a person, or a person included in a specified class of persons, is an authorised person for the purposes of this Part.

Declaration

             (4)  A declaration under subsection (2) or (3) is not a legislative instrument for the purposes of the Legislative Instruments Act 2003.


 

Division 2Petroleum safety zones

616  Petroleum safety zones

Prohibition

             (1)  For the purpose of protecting a petroleum well, a structure, or any equipment, in an offshore area, the Designated Authority may, by notice published in the Gazette, prohibit:

                     (a)  all vessels; or

                     (b)  all vessels other than specified vessels; or

                     (c)  all vessels other than the vessels included in specified classes of vessels;

from entering or being present in a specified area (the petroleum safety zone) surrounding the petroleum well, structure or equipment without the written consent of the Designated Authority.

             (2)  A petroleum safety zone specified in a notice under subsection (1) may extend to a distance of 500 metres around the well, structure or equipment specified in the notice, where that distance is measured from each point of the outer edge of the well, structure or equipment.

Offences

             (3)  A person commits an offence if:

                     (a)  the person is the owner or master of a vessel; and

                     (b)  the vessel is subject to a notice under subsection (1); and

                     (c)  in breach of the notice, the vessel enters or is present in the petroleum safety zone specified in the notice.

Penalty:  Imprisonment for 15 years.

             (4)  The fault element for paragraph (3)(c) is intention.

             (5)  A person commits an offence if:

                     (a)  the person is the owner or master of a vessel; and

                     (b)  the vessel is subject to a notice under subsection (1); and

                     (c)  in breach of the notice, the vessel enters or is present in the petroleum safety zone specified in the notice.

Penalty:  Imprisonment for 12.5 years.

             (6)  The fault element for paragraph (5)(c) is recklessness.

             (7)  A person commits an offence if:

                     (a)  the person is the owner or master of a vessel; and

                     (b)  the vessel is subject to a notice under subsection (1); and

                     (c)  in breach of the notice, the vessel enters or is present in the petroleum safety zone specified in the notice.

Penalty:  Imprisonment for 10 years.

             (8)  The fault element for paragraph (7)(c) is negligence.

             (9)  A person commits an offence if:

                     (a)  the person is the owner or master of a vessel; and

                     (b)  the vessel is subject to a notice under subsection (1); and

                     (c)  in breach of the notice, the vessel enters or is present in the petroleum safety zone specified in the notice.

Penalty:  Imprisonment for 5 years.

           (10)  An offence against subsection (9) is an offence of strict liability.

Note:          For strict liability, see section 6.1 of the Criminal Code.

Notice

           (11)  A notice under subsection (1) is not a legislative instrument for the purposes of the Legislative Instruments Act 2003.


 

Division 3Greenhouse gas safety zones

617  Greenhouse gas safety zones

Prohibition

             (1)  For the purpose of protecting a greenhouse gas well, a structure, or any equipment, in an offshore area, the responsible Commonwealth Minister may, by notice published in the Gazette, prohibit:

                     (a)  all vessels; or

                     (b)  all vessels other than specified vessels; or

                     (c)  all vessels other than the vessels included in specified classes of vessels;

from entering or being present in a specified area (the greenhouse gas safety zone) surrounding the greenhouse gas well, structure or equipment without the written consent of the responsible Commonwealth Minister.

             (2)  A greenhouse gas safety zone specified in a notice under subsection (1) may extend to a distance of 500 metres around the well, structure or equipment specified in the notice, where that distance is measured from each point of the outer edge of the well, structure or equipment.

Offences

             (3)  A person commits an offence if:

                     (a)  the person is the owner or master of a vessel; and

                     (b)  the vessel is subject to a notice under subsection (1); and

                     (c)  in breach of the notice, the vessel enters or is present in the greenhouse gas safety zone specified in the notice.

Penalty:  Imprisonment for 15 years.

             (4)  The fault element for paragraph (3)(c) is intention.

             (5)  A person commits an offence if:

                     (a)  the person is the owner or master of a vessel; and

                     (b)  the vessel is subject to a notice under subsection (1); and

                     (c)  in breach of the notice, the vessel enters or is present in the greenhouse gas safety zone specified in the notice.

Penalty:  Imprisonment for 12.5 years.

             (6)  The fault element for paragraph (5)(c) is recklessness.

             (7)  A person commits an offence if:

                     (a)  the person is the owner or master of a vessel; and

                     (b)  the vessel is subject to a notice under subsection (1); and

                     (c)  in breach of the notice, the vessel enters or is present in the greenhouse gas safety zone specified in the notice.

Penalty:  Imprisonment for 10 years.

             (8)  The fault element for paragraph (7)(c) is negligence.

             (9)  A person commits an offence if:

                     (a)  the person is the owner or master of a vessel; and

                     (b)  the vessel is subject to a notice under subsection (1); and

                     (c)  in breach of the notice, the vessel enters or is present in the greenhouse gas safety zone specified in the notice.

Penalty:  Imprisonment for 5 years.

           (10)  An offence against subsection (9) is an offence of strict liability.

Note:          For strict liability, see section 6.1 of the Criminal Code.

Notice

           (11)  A notice under subsection (1) is not a legislative instrument.


 

Division 4Unauthorised vessel not to enter area to be avoided

618  Designated Authority may authorise entry into area to be avoided

Application for authorisation

             (1)  The owner of a vessel may apply to the Designated Authority for the grant of an authorisation for the vessel to enter, and to be present in, the area to be avoided.

             (2)  An application under subsection (1) must be in writing.

Grant of authorisation

             (3)  If an application is made under subsection (1) in relation to a vessel, the Designated Authority may, by written notice given to the applicant, authorise the vessel to enter, and to be present in, the area to be avoided.

Conditions

             (4)  An authorisation under subsection (3) is subject to such conditions as are specified in the notice of authorisation.

Revocation of authorisation

             (5)  If an authorisation under subsection (3) is in force in relation to a vessel, the Designated Authority may, by written notice given to the owner of the vessel, revoke the authorisation.

619  Unauthorised vessel not to enter area to be avoided

             (1)  A person commits an offence if:

                     (a)  the person is the owner or master of a relevant vessel; and

                     (b)  the vessel is not an exempt vessel in relation to a prescribed safety zone; and

                     (c)  the vessel enters or is present in the area to be avoided otherwise than in accordance with an authorisation in force in relation to the vessel under subsection 618(3).

Penalty:  Imprisonment for 7.5 years.

             (2)  The fault element for paragraph (1)(c) is intention.

             (3)  A person commits an offence if:

                     (a)  the person is the owner or master of a relevant vessel; and

                     (b)  the vessel is not an exempt vessel in relation to a prescribed safety zone; and

                     (c)  the vessel enters or is present in the area to be avoided otherwise than in accordance with an authorisation in force in relation to the vessel under subsection 618(3).

Penalty:  Imprisonment for 6.25 years.

             (4)  The fault element for paragraph (3)(c) is recklessness.

             (5)  A person commits an offence if:

                     (a)  the person is the owner or master of a relevant vessel; and

                     (b)  the vessel is not an exempt vessel in relation to a prescribed safety zone; and

                     (c)  the vessel enters or is present in the area to be avoided otherwise than in accordance with an authorisation in force in relation to the vessel under subsection 618(3).

Penalty:  Imprisonment for 5 years.

             (6)  The fault element for paragraph (5)(c) is negligence.

             (7)  A person commits an offence if:

                     (a)  the person is the owner or master of a relevant vessel; and

                     (b)  the vessel is not an exempt vessel in relation to a prescribed safety zone; and

                     (c)  the vessel enters or is present in the area to be avoided otherwise than in accordance with an authorisation in force in relation to the vessel under subsection 618(3).

Penalty:  Imprisonment for 2.5 years.

             (8)  An offence against subsection (7) is an offence of strict liability.

Note:          For strict liability, see section 6.1 of the Criminal Code.

             (9)  In a prosecution for an offence against subsection (1), (3), (5) or (7), it is a defence if the defendant proves that:

                     (a)  an unforeseen emergency rendered it necessary for the vessel to enter or be present in the area in order to attempt to secure the safety of:

                              (i)  the vessel; or

                             (ii)  another vessel; or

                            (iii)  any well, pipeline, structure or equipment; or

                            (iv)  human life; or

                     (b)  the vessel entered or was present in the area in circumstances not under the control of the person who was in charge of the navigational watch of the vessel.

Note:          A defendant bears a legal burden in relation to the matter in subsection (9)—see section 13.4 of the Criminal Code.


 

Division 5Powers of authorised persons

620  Requirement to move vessel etc.

             (1)  An authorised person may:

                     (a)  require the master of a vessel that satisfies the following conditions:

                              (i)  the vessel is a relevant vessel, or the authorised person has reasonable grounds to believe that the vessel is a relevant vessel;

                             (ii)  the vessel is in the area to be avoided otherwise than in accordance with an authorisation in force in relation to the vessel under subsection 618(3);

                            (iii)  the vessel is not an exempt vessel in relation to a prescribed safety zone;

                            to take the vessel outside the area to be avoided; or

                     (b)  require the master of a vessel that satisfies the following conditions:

                              (i)  the vessel is in a safety zone;

                             (ii)  the vessel is not an exempt vessel in relation to the safety zone;

                            to take the vessel outside the safety zone; or

                     (c)  require the master of a disabled vessel that satisfies any of the following conditions:

                              (i)  the vessel is in the area to be avoided, and either the vessel is a relevant vessel or the authorised person has reasonable grounds to believe that the vessel is a relevant vessel;

                             (ii)  the vessel is in a safety zone;

                            (iii)  the vessel is a relevant vessel (or the authorised person has reasonable grounds to believe that the vessel is a relevant vessel), and the authorised person has reasonable grounds to believe that the vessel is likely to cause damage to any well, pipeline, structure or equipment in the area to be avoided or in a safety zone;

                            to permit the vessel to be towed away from the area to be avoided or the safety zone, as the case requires, or to accept the giving of such other assistance to the vessel as the authorised person considers necessary.

Offences

             (2)  A person commits an offence if:

                     (a)  the person is subject to a requirement under subsection (1); and

                     (b)  the person omits to do an act; and

                     (c)  the omission breaches the requirement.

Penalty:  50 penalty units.

             (3)  A person commits an offence if:

                     (a)  the person engages in conduct; and

                     (b)  the conduct hinders or obstructs an authorised person who is acting under subsection (1).

Penalty for contravention of this subsection: 50 penalty units.

Note:          The same conduct may be an offence against both subsection (3) of this section and section 149.1 of the Criminal Code.

621  Other powers of authorised persons

             (1)  An authorised person may:

                     (a)  board a vessel that the authorised person has reasonable grounds to believe has been used, is being used or is about to be used in contravention of section 616, 617 or 619; or

                     (b)  if the authorised person has boarded a vessel in the exercise of powers under paragraph (a):

                              (i)  require any person on board the vessel to answer questions relating to the vessel or to the movements of the vessel; or

                             (ii)  require the master of the vessel to state whether a consent under subsection 616(1) or 617(1), or an authorisation under subsection 618(3), is in force in relation to the vessel and, if so, to produce the consent or authorisation, as the case may be; or

                            (iii)  if the vessel is registered under the Shipping Registration Act 1981—require the master of the vessel to produce the certificate of registration of the vessel; or

                            (iv)  search the vessel for any documents relating to the vessel or to the movements of the vessel; or

                     (c)  if the following conditions are satisfied in relation to a vessel:

                              (i)  the vessel is in, or is near, the area to be avoided;

                             (ii)  the authorised person has reasonable grounds to believe that the vessel is a vessel of the kind referred to in paragraph (b) of the definition of relevant vessel in section 614;

                            (iii)  no authorisation under subsection 618(3) is in force in relation to the vessel;

                            (iv)  the vessel is not an exempt vessel in relation to a prescribed safety zone;

                            require the master of the vessel to permit the authorised person to take measurements of the vessel; or

                     (d)  detain a vessel that the authorised person has reasonable grounds to believe has been used in contravention of section 616, 617 or 619.

             (2)  An authorised person may exercise powers under subsection (1) in relation to a vessel only:

                     (a)  in accordance with a warrant issued under section 622; or

                     (b)  after obtaining the consent of the master of the vessel; or

                     (c)  in circumstances of seriousness and urgency, in accordance with section 623.

Offences

             (3)  A person commits an offence if:

                     (a)  the person is subject to a requirement under subsection (1); and

                     (b)  the person omits to do an act; and

                     (c)  the omission breaches the requirement.

Penalty:  50 penalty units.

             (4)  A person must facilitate, by all reasonable means, the boarding of a vessel by an authorised person under subsection (1).

             (5)  A person commits an offence if:

                     (a)  the person is subject to a requirement under subsection (4); and

                     (b)  the person omits to do an act; and

                     (c)  the omission breaches the requirement.

Penalty:  50 penalty units.

             (6)  An offence against subsection (5) is an offence of strict liability.

Note:          For strict liability, see section 6.1 of the Criminal Code.

             (7)  A person must allow a search authorised under subsection (1) to be made by an authorised person.

             (8)  A person commits an offence if:

                     (a)  the person is subject to a requirement under subsection (7); and

                     (b)  the person omits to do an act; and

                     (c)  the omission breaches the requirement.

Penalty:  50 penalty units.

             (9)  A person commits an offence if:

                     (a)  the person engages in conduct; and

                     (b)  the conduct hinders or obstructs an authorised person who is acting under subsection (1).

Penalty:  50 penalty units.

           (10)  A person (the first person) commits an offence if:

                     (a)  an authorised person requires the first person to give information under subsection (1); and

                     (b)  the first person gives information; and

                     (c)  the first person does so knowing that the information is false or misleading in a material particular.

Penalty for contravention of this subsection: 50 penalty units.

Note:          The same conduct may be an offence against both subsection (10) of this section and section 137.1 of the Criminal Code.

622  Warrants

             (1)  If:

                     (a)  an information on oath or affirmation is laid before a Magistrate alleging that there are reasonable grounds to believe that a vessel has been used, is being used or is about to be used in contravention of section 616, 617 or 619; and

                     (b)  the information sets out those grounds and identifies the vessel;

the Magistrate may issue a warrant authorising an authorised person named in the warrant, with such assistance as the authorised person thinks necessary, to exercise any or all of the powers referred to in subsection 621(1) in relation to that vessel.

             (2)  A Magistrate may issue a warrant under subsection (1) only if:

                     (a)  the informant or some other person has given to the Magistrate, either orally or by affidavit, such further information (if any) as the Magistrate requires concerning the grounds on which the issue of the warrant is being sought; and

                     (b)  the Magistrate is satisfied that there are reasonable grounds for issuing the warrant.

             (3)  A warrant issued under subsection (1) must:

                     (a)  specify the purpose for which the warrant is issued; and

                     (b)  set out a description of the vessel in relation to which the warrant is issued; and

                     (c)  specify a day as the day on which the warrant ceases to have effect.

             (4)  The day specified under paragraph (3)(c) must not be later than 7 days after the day on which the warrant is issued.

623  Exercise of powers in serious circumstances

                   An authorised person may exercise, in relation to a vessel, any or all of the powers referred to in subsection 621(1) if:

                     (a)  the authorised person has reasonable grounds to believe that:

                              (i)  the vessel has been used, is being used or is about to be used in contravention of section 616, 617 or 619; or

                             (ii)  the exercise of those powers is necessary to prevent damage being caused to any well, pipeline, structure or equipment in the area to be avoided or in a safety zone; and

                     (b)  the circumstances are of such a serious nature as to require and justify the immediate exercise of those powers without the authority of a warrant issued under section 622.


 

Part 6.7Collection of fees and royalties

Division 1Fees payable under the Annual Fees Act

624  When fee due for payment

Scope

             (1)  This section applies to a fee payable under the Annual Fees Act in relation to a year of the term of:

                     (a)  a work‑bid petroleum exploration permit; or

                     (b)  a special petroleum exploration permit; or

                     (c)  a petroleum retention lease; or

                     (d)  a petroleum production licence; or

                     (e)  an infrastructure licence; or

                      (f)  a pipeline licence; or

                     (g)  a work‑bid greenhouse gas assessment permit; or

                     (h)  a greenhouse gas holding lease; or

                      (i)  a greenhouse gas injection licence.

First year

             (2)  The fee for the first year of the term of the permit, lease or licence is due and payable at the end of 30 days after the day on which the term begins.

Later year

             (3)  The fee for a later year of the term of the permit, lease or licence is due and payable at the end of 30 days after the anniversary of the day on which the first year of the term begins.

625  Late payment penalty

             (1)  This section applies if a fee payable by a person under the Annual Fees Act remains unpaid after the time when it became due for payment.

             (2)  The person is liable to pay a penalty accruing from the time the fee became due for payment until it is paid in full.

             (3)  The penalty is calculated at the rate of 0.333333% per day on the amount of the fee remaining unpaid.

             (4)  A penalty under this section is to be known as a late payment penalty.

626  Recovery of annual fee debts

             (1)  For the purposes of this section, an annual fee debt is:

                     (a)  an amount of a fee under the Annual Fees Act that is due and payable by a person; or

                     (b)  an amount of late payment penalty under section 625.

             (2)  An annual fee debt is a debt due to the Commonwealth.

             (3)  An annual fee debt may be recovered by the Commonwealth by action in a court of competent jurisdiction.

627  Amounts payable to the Designated Authority

                   The following amounts are payable to the Designated Authority on behalf of the Commonwealth:

                     (a)  an amount of a fee under section 4 of the Annual Fees Act; or

                     (b)  an amount of late payment penalty under section 625 of this Act, where the late payment penalty is attributable to a fee under section 4 of the Annual Fees Act.

628  Amounts payable to the Commonwealth

                   The following amounts are payable to the Commonwealth:

                     (a)  an amount of a fee under section 4A of the Annual Fees Act; or

                     (b)  an amount of late payment penalty under section 625 of this Act, where the late payment penalty is attributable to a fee under section 4A of the Annual Fees Act.


 

Division 2Fees payable under the Registration Fees Act

629  Fees payable to the Designated Authority

                   A fee under section 5 or 6 of the Registration Fees Act is payable to the Designated Authority on behalf of the Commonwealth.

630  Fees payable to the Commonwealth

                   A fee under section 6A or 6B of the Registration Fees Act is payable to the Commonwealth.


 

Division 3Royalties payable under the Royalty Act

631  When royalty due for payment

             (1)  Royalty payable under the Royalty Act in relation to petroleum recovered during a royalty period is due and payable at the end of the next royalty period.

             (2)  In this section:

royalty period has the same meaning as in the Royalty Act.

632  When adjusted amount due for payment

Provisional value

             (1)  If:

                     (a)  an amount is payable under subsection 16(2) of the Royalty Act; and

                     (b)  paragraph 16(1)(a) of the Royalty Act applies;

the amount is due and payable at the end of the next royalty period following the royalty period in which the agreement or determination mentioned in that paragraph was made.

Error in calculation etc.

             (2)  If:

                     (a)  an amount is payable by a person under subsection 16(2) of the Royalty Act; and

                     (b)  paragraph 16(1)(b) of the Royalty Act applies;

the amount is due and payable at the end of the next royalty period following the royalty period in which the error mentioned in that paragraph was notified to the person.

Definition

             (3)  In this section:

royalty period has the same meaning as in the Royalty Act.

633  Late payment penalty

             (1)  This section applies if royalty payable by a person under the Royalty Act remains unpaid after the time when it became due for payment.

             (2)  The person is liable to pay a penalty accruing from the time the royalty became due for payment until it is paid in full.

             (3)  The penalty is calculated at the rate of 0.333333% per day on the amount of the royalty remaining unpaid.

             (4)  A penalty is not payable under this section in relation to any period before the end of 7 days after the value of the petroleum was agreed or determined under section 12 of the Royalty Act.

             (5)  An amount payable under this section is to be known as a late payment penalty.

             (6)  In this section:

royalty includes an amount under subsection 16(2) of the Royalty Act.

634  Recovery of royalty debts

             (1)  For the purposes of this section, a royalty debt is:

                     (a)  an amount of royalty under the Royalty Act that is due and payable by a person; or

                     (b)  an amount under subsection 16(2) of the Royalty Act that is due and payable by a person; or

                     (c)  an amount of late payment penalty under section 633 of this Act.

             (2)  A royalty debt is a debt due to the Commonwealth.

             (3)  A royalty debt may be recovered by the Commonwealth by action in a court of competent jurisdiction.

635  Amounts payable to the Designated Authority

                   The following amounts are payable to the Designated Authority on behalf of the Commonwealth:

                     (a)  an amount of royalty under the Royalty Act; or

                     (b)  an amount under subsection 16(2) of the Royalty Act; or

                     (c)  an amount of late payment penalty under section 633 of this Act.


 

Division 4Fees payable under this Act

636  Fees payable under this Act

             (1)  Each of the following fees is payable to the Designated Authority on behalf of the Commonwealth:

                     (a)  a fee under subsection 256(2);

                     (b)  a fee under subsection 483(2);

                     (c)  a fee under subsection 485(2);

                     (d)  a fee under subsection 515(1) or (2);

                     (e)  a fee under subsection 516(2) or (4);

                      (f)  a fee under regulations made for the purposes of paragraph 712(2)(c) or 713(2)(c);

                     (g)  a fee under Schedule 5 that is payable because of a requirement of the Designated Authority.

             (2)  Each of the following fees is payable to the Commonwealth:

                     (a)  a fee under subsection 427(2);

                     (b)  a fee under subsection 534(2);

                     (c)  a fee under subsection 536(2);

                     (d)  a fee under subsection 564(1) or (2);

                     (e)  a fee under subsection 565(2) or (4);

                      (f)  a fee under regulations made for the purposes of paragraph 738(2)(c);

                     (g)  a fee under regulations made for the purposes of paragraph 739(2)(c).


 

Part 6.8Occupational health and safety

  

637  Occupational health and safety

                   Schedule 3 has effect.

638  Listed OHS laws

             (1)  The following provisions are the listed OHS laws for the purposes of this Act:

                     (a)  section 603 or 609 of this Act, to the extent to which the conduct prohibited by that section results in:

                              (i)  damage to, or interference with, a facility (within the meaning of Schedule 3 to this Act); or

                             (ii)  interference with any operations or activities being carried out, or any works being executed, on, by means of, or in connection with, a facility (within the meaning of Schedule 3 to this Act);

                            where the damage or interference, as the case may be, affects, or has the potential to affect, the health or safety of members of the workforce at a facility (within the meaning of Schedule 3 to this Act);

                     (b)  Schedule 3 to this Act;

                     (c)  regulations made for the purposes of Schedule 3 to this Act;

                     (d)  the Petroleum (Submerged Lands) (Management of Safety on Offshore Facilities) Regulations 1996;

                     (e)  the Petroleum (Submerged Lands) (Diving Safety) Regulations 2002;

                      (f)  the Petroleum (Submerged Lands) (Occupational Health and Safety) Regulations 1993;

                     (g)  the Petroleum (Submerged Lands) (Pipelines) Regulations 2001, to the extent that those regulations relate to occupational health and safety matters;

                     (h)  any other regulations relating to occupational health and safety matters that are prescribed for the purposes of this paragraph.

             (2)  If the regulations referred to in paragraph (1)(d), (e), (f) or (g) are renamed, that paragraph is amended by omitting the old name and substituting the new name.

639  Regulations relating to occupational health and safety

             (1)  The regulations may make provision in relation to the health and safety of persons at or near a regulated operations site who are under the control of a person who is carrying on a regulated operation.

             (2)  Regulations made for the purposes of subsection (1) may:

                     (a)  require a person who is carrying on a regulated operation to establish and maintain a system of management to secure the health and safety of persons referred to in that subsection; and

                     (b)  specify requirements with which the system must comply.

             (3)  Subsection (2) does not limit subsection (1).

Note:          Under subsection 80(3), the application in an offshore area of State or Territory laws is subject to regulations made under this Act.

640  Commonwealth maritime legislation does not apply in relation to facilities located in offshore areas

             (1)  Commonwealth maritime legislation does not apply in relation to:

                     (a)  a facility located in the offshore area of a State or Territory; or

                     (b)  a person at such a facility; or

                     (c)  a person near such a facility, to the extent to which the person is affected by:

                              (i)  such a facility; or

                             (ii)  activities that take place at such a facility; or

                     (d)  activities that take place at such a facility.

Note 1:       Instead, a facility located in the offshore area of a State or Territory will be covered by the listed OHS laws.

Note 2:       The offshore area of a State or Territory is defined by section 8.

             (2)  However, subsection (1) does not prevent the application of Commonwealth maritime legislation to the extent that it relates to the transfer of persons or goods between a ship and a facility.

Note:          In these cases, Commonwealth maritime legislation will generally apply in addition to the listed OHS laws.

             (3)  In this section:

Commonwealth maritime legislation means:

                     (a)  the Navigation Act 1912; and

                     (b)  the Occupational Health and Safety (Maritime Industry) Act 1993; and

                     (c)  any subordinate legislation under either of those Acts.

facility has the same meaning as in Schedule 3.

ship means any kind of vessel that:

                     (a)  is used in navigation by water, however propelled or moved; and

                     (b)  is not, for the time being, a facility or part of a facility.

Note:          See also Part 1.4, which deals with the application of State and Northern Territory laws.

641  Commonwealth maritime legislation does not apply in relation to facilities located in designated coastal waters

             (1)  This section applies in relation to the designated coastal waters of a State or of the Northern Territory if the relevant State or Territory PSLA and regulations under the relevant State or Territory PSLA, in their application to those designated coastal waters, substantially correspond to the listed OHS laws.

             (2)  Commonwealth maritime legislation is disapplied in those designated coastal waters to the same extent as Commonwealth maritime legislation is disapplied in the offshore area.

             (3)  In this section:

Commonwealth maritime legislation has the same meaning as in section 640.

designated coastal waters, in relation to a State or the Northern Territory, has the same meaning as in Part 6.9.

State PSLA has the same meaning as in Part 6.9.

Territory PSLA has the same meaning as in Part 6.9.


 

Part 6.9National Offshore Petroleum Safety Authority

Division 1Introduction

642  Simplified outline

                   The following is a simplified outline of this Part:

•      The National Offshore Petroleum Safety Authority is continued in existence.

•      The Safety Authority has functions in relation to the occupational health and safety of persons engaged in:

               (a)     offshore petroleum operations; or

               (b)     offshore greenhouse gas storage operations.

•      There is to be a Chief Executive Officer (CEO) of the Safety Authority.

•      The National Offshore Petroleum Safety Authority Board is continued in existence.

•      The main function of the Board is to give advice, and make recommendations, to the CEO about the operational policies and strategies to be followed by the Safety Authority in the performance of its functions.

•      The CEO may appoint OHS inspectors.

643  Definitions

                   In this Part, unless the contrary intention appears:

Board means the National Offshore Petroleum Safety Authority Board continued in existence by section 653.

Board member means a member of the Board, and includes the Chair of the Board.

CEO means the Chief Executive Officer of the Safety Authority.

Commonwealth waters means the waters of the sea that comprise the offshore areas of each State and of each Territory.

Note:          The offshore area of a State or Territory is defined by section 8.

designated coastal waters, in relation to a State or the Northern Territory, has the meaning given by section 644.

facility means:

                     (a)  a facility (within the meaning of Schedule 3) located in Commonwealth waters; or

                     (b)  if there are provisions of a State or Territory PSLA that substantially correspond to Schedule 3 to this Act to the extent to which that Schedule relates to offshore petroleum operations—a vessel, structure or other thing that:

                              (i)  is located in the designated coastal waters of the State or of the Northern Territory, as the case may be; and

                             (ii)  would have been a facility (within the meaning of Schedule 3 to this Act) if subclauses 4(5A) to (5E) of that Schedule had not been enacted and the vessel, structure, or thing had been located in Commonwealth waters; or

                     (c)  if there are provisions of a State or Territory PSLA that substantially correspond to Schedule 3 to this Act to the extent to which that Schedule relates to offshore greenhouse gas storage operations—a vessel, structure or other thing that:

                              (i)  is located in the designated coastal waters of the State or of the Northern Territory, as the case may be; and

                             (ii)  would have been a facility (within the meaning of Schedule 3 to this Act) if subclauses 4(1) to (5) of that Schedule had not been enacted and the vessel, structure, or thing had been located in Commonwealth waters.

For the purposes of paragraphs (b) and (c), assume that a reference in Schedule 3 to this Act to a pipeline licence includes a reference to a pipeline licence under a State or Territory PSLA.

Greenhouse Gas Storage Ministerial Council means:

                     (a)  if there is a Ministerial Council that deals with matters relating to:

                              (i)  the injection of greenhouse gas substances into parts of geological formations; and

                             (ii)  the permanent storage of greenhouse gas substances in parts of geological formations;

                            that Ministerial Council; or

                     (b)  in any other case—the body known as the Ministerial Council on Mineral and Petroleum Resources.

Northern Territory Greenhouse Gas Storage Minister means:

                     (a)  the Minister of the Northern Territory who is responsible for matters relating to:

                              (i)  the injection of greenhouse gas substances into parts of geological formations; and

                             (ii)  the permanent storage of greenhouse gas substances in parts of geological formations; or

                     (b)  another Minister of the Northern Territory acting for and on behalf of the Minister referred to in paragraph (a).

Northern Territory Petroleum Minister means:

                     (a)  the Minister of the Northern Territory who is responsible for the Territory PSLA; or

                     (b)  another Minister of the Northern Territory acting for and on behalf of the Minister referred to in paragraph (a).

offshore greenhouse gas storage operations means any regulated operations (including diving operations) that:

                     (a)  relate to:

                              (i)  the exploration for potential greenhouse gas storage formations or potential greenhouse gas injection sites; or

                             (ii)  the injection of a greenhouse gas substance into the seabed or subsoil; or

                            (iii)  the permanent storage of a greenhouse gas substance in the seabed or subsoil; or

                            (iv)  the compression, processing, offloading, piped conveyance or pre‑injection storage of a greenhouse gas substance; or

                             (v)  the monitoring of a greenhouse gas substance stored in the seabed or subsoil; and

                     (b)  if the operations are diving operations—take place in Safety Authority waters; and

                     (c)  if the operations are not diving operations—take place:

                              (i)  in Safety Authority waters; and

                             (ii)  at a facility.

offshore petroleum operations means any regulated operations (including diving operations) that:

                     (a)  relate to:

                              (i)  the exploration for petroleum; or

                             (ii)  the recovery, processing, storage, offloading or piped conveyance of petroleum; and

                     (b)  if the operations are diving operations—take place in Safety Authority waters; and

                     (c)  if the operations are not diving operations—take place:

                              (i)  in Safety Authority waters; and

                             (ii)  at a facility.

OHS inspector means a person appointed as an OHS inspector under section 680.

regulated operation includes an activity to which the core regulatory provisions of a State or Territory PSLA apply. For this purpose, the core regulatory provisions are the provisions that substantially correspond to Chapter 2 of this Act.

Safety Authority waters means:

                     (a)  Commonwealth waters; and

                     (b)  the designated coastal waters of each State and of the Northern Territory.

Safety Levies Act means the Offshore Petroleum and Greenhouse Gas Storage (Safety Levies) Act 2003.

State Greenhouse Gas Storage Minister, in relation to a State, means:

                     (a)  the Minister of that State who is responsible for matters relating to:

                              (i)  the injection of greenhouse gas substances into parts of geological formations; and

                             (ii)  the permanent storage of greenhouse gas substances in parts of geological formations; or

                     (b)  another Minister of that State acting for and on behalf of the Minister referred to in paragraph (a).

State Petroleum Minister, in relation to a State, means:

                     (a)  the Minister of that State who is responsible for the State PSLA; or

                     (b)  another Minister of that State acting for and on behalf of the Minister referred to in paragraph (a).

State PSLA means:

                     (a)  in relation to New South Wales—the Petroleum (Submerged Lands) Act 1982 of that State; or

                     (b)  in relation to Victoria—the Petroleum (Submerged Lands) Act 1982 of that State; or

                     (c)  in relation to Queensland—the Petroleum (Submerged Lands) Act 1982 of that State; or

                     (d)  in relation to Western Australia—the Petroleum (Submerged Lands) Act 1982 of that State; or

                     (e)  in relation to South Australia—the Petroleum (Submerged Lands) Act 1982 of that State; or

                      (f)  in relation to Tasmania—the Petroleum (Submerged Lands) Act 1982 of that State.

Territory PSLA means the Petroleum (Submerged Lands) Act of the Northern Territory.

Note:          See also section 10A of the Acts Interpretation Act 1901 (references to amended or re‑enacted State and Territory laws).

644  Designated coastal waters

             (1)  For the purposes of this Part, designated coastal waters, in relation to a State or the Northern Territory, means:

                     (a)  so much of the scheduled area for that State or Territory as consists of the territorial sea; and

                     (b)  any area that:

                              (i)  is within the scheduled area for that State or Territory; and

                             (ii)  is on the landward side of the territorial sea; and

                            (iii)  was, immediately before the commencement of the relevant State or Territory PSLA, the subject of a petroleum exploration permit under the repealed Petroleum (Submerged Lands) Act 1967.

             (2)  For the purposes of subsection (1), assume that the breadth of the territorial sea of Australia had never been determined or declared to be greater than 3 nautical miles, but had continued to be 3 nautical miles.

             (3)  Paragraph (1)(b) has effect subject to subsection (4).

             (4)  For the purposes of this Part, if (whether before or after the commencement of this subsection) an area that is within the designated coastal waters of a State or Territory because it is described in subparagraphs (1)(b)(i), (ii) and (iii) became or becomes an area that is:

                     (a)  not the subject of a petroleum exploration permit under the relevant State or Territory PSLA; and

                     (b)  not the subject of a petroleum retention lease under the relevant State or Territory PSLA; and

                     (c)  not the subject of a petroleum production licence under the relevant State or Territory PSLA; and

                     (d)  not the subject of an application for a petroleum retention lease or petroleum production licence under the relevant State or Territory PSLA;

the area is taken to have ceased to be part of the designated coastal waters of that State or Territory.


 

Division 2Establishment, functions and powers of the Safety Authority

645  Establishment of the National Offshore Petroleum Safety Authority

                   The National Offshore Petroleum Safety Authority that was, immediately before the commencement of this section, in existence under the Petroleum (Submerged Lands) Act 1967 is continued in existence under the same name.

646  Safety Authority’s functions

                   The Safety Authority has the following functions:

                     (a)  the functions conferred on it by or under this Act in relation to offshore petroleum operations or offshore greenhouse gas storage operations in Commonwealth waters;

                     (b)  the functions conferred on it by or under a State PSLA or the Territory PSLA in relation to offshore petroleum operations or offshore greenhouse gas storage operations in the designated coastal waters of that State or Territory;

                     (c)  to promote the occupational health and safety of persons engaged in offshore petroleum operations or offshore greenhouse gas storage operations;

                     (d)  to develop and implement effective monitoring and enforcement strategies to secure compliance by persons with their occupational health and safety obligations under this Act and the regulations;

                     (e)  to:

                              (i)  investigate accidents, occurrences and circumstances that affect, or have the potential to affect, the occupational health and safety of persons engaged in offshore petroleum operations or offshore greenhouse gas storage operations; and

                             (ii)  report, as appropriate, to the responsible Commonwealth Minister, and to State and Northern Territory Petroleum Ministers, on those investigations;

                      (f)  to advise persons, either on its own initiative or on request, on occupational health and safety matters relating to offshore petroleum operations or offshore greenhouse gas storage operations;

                     (g)  to make reports, including recommendations, to:

                              (i)  the responsible Commonwealth Minister; and

                             (ii)  each State and Northern Territory Petroleum Minister;

                            on issues relating to the occupational health and safety of persons engaged in offshore petroleum operations or offshore greenhouse gas storage operations;

                     (h)  to cooperate with:

                              (i)  other Commonwealth agencies having functions relating to offshore petroleum operations or offshore greenhouse gas storage operations; and

                             (ii)  State and Northern Territory agencies having functions relating to offshore petroleum operations or offshore greenhouse gas storage operations; and

                            (iii)  the Designated Authorities of the States and the Northern Territory.

647  Policy principles

             (1)  The responsible Commonwealth Minister may give written policy principles to the Safety Authority about the performance of its functions.

Note:          For agreement and consultation requirements, see subsections (2) and (3).

             (2)  The responsible Commonwealth Minister must not give a policy principle that relates wholly or principally to the Safety Authority’s operations in the designated coastal waters of one or more of the States and the Northern Territory unless the responsible Commonwealth Minister has obtained the agreement of each State or Northern Territory Petroleum Minister concerned.

             (3)  Before giving a policy principle that is not covered by subsection (2), the responsible Commonwealth Minister must consult each State and Northern Territory Petroleum Minister.

             (4)  The responsible Commonwealth Minister must cause a copy of the policy principles to be tabled in each House of the Parliament within 15 sitting days of that House after the day on which they were given to the Safety Authority.

             (5)  The Safety Authority must comply with the policy principles (if any) when performing its functions.

             (6)  A policy principle is a legislative instrument for the purposes of the Legislative Instruments Act 2003.

648  Safety Authority’s ordinary powers

             (1)  The Safety Authority has power to do all things necessary or convenient to be done for or in connection with the performance of its functions.

             (2)  The Safety Authority’s powers include, but are not limited to, the following powers:

                     (a)  the power to acquire, hold and dispose of real and personal property;

                     (b)  the power to enter into contracts;

                     (c)  the power to lease the whole or any part of any land or building for the purposes of the Safety Authority;

                     (d)  the power to occupy, use and control any land or building owned or held under lease by the Commonwealth and made available for the purposes of the Safety Authority;

                     (e)  the power to conduct research and development projects and to cooperate with others in such projects;

                      (f)  the power to apply for and hold patents and exploit patents;

                     (g)  the power to do anything incidental to any of its functions.

             (3)  Any real or personal property held by the Safety Authority is taken to be the property of the Commonwealth.

             (4)  Any money received by the Safety Authority is taken to be received by the Safety Authority on behalf of the Commonwealth.

649  References to functions and powers of the Safety Authority

             (1)  For the avoidance of doubt, a reference in this Part (other than section 650) to the functions or powers of the Safety Authority includes a reference to the functions or powers conferred on the Safety Authority by or under a State or Territory PSLA.

             (2)  A reference in this Part (other than section 650) to the powers of the Safety Authority does not include a reference to the powers conferred on the Safety Authority by or under a law of a State or the Northern Territory as permitted by section 650.

650  Safety Authority may be given additional powers in certain circumstances

States or Northern Territory may empower Safety Authority to exercise powers in other places and circumstances

             (1)  If a law of a State or of the Northern Territory provides for the Safety Authority, or members of the staff of the Safety Authority, to exercise powers in relation to the occupational health and safety of persons who do work in connection with exploration for petroleum or the recovery, processing, storage, offloading or piped conveyance of petroleum:

                     (a)  in waters of the sea:

                              (i)  that are on the landward side of the territorial sea adjacent to the State or Territory; and

                             (ii)  that are not designated coastal waters of the State or Territory; or

                     (b)  within the limits of the State or Territory, including internal waters of that State or Territory;

the Safety Authority and those members of staff may exercise those powers in those waters or in that State or Territory but are not obliged to do so.

             (2)  For the purposes of subparagraph (1)(a)(i), assume that the breadth of the territorial sea of Australia had never been determined or declared to be greater than 3 nautical miles, but had continued to be 3 nautical miles.

             (3)  A law of a State or of the Northern Territory that confers powers on the Safety Authority or on the staff of the Safety Authority in accordance with subsection (1) may provide for the exercise of those powers only in respect of a vessel or structure (however described):

                     (a)  that is involved in one or more of the activities referred to in subsection (1); and

                     (b)  that is owned or controlled, or that is being constructed, operated or decommissioned, by a corporation to which paragraph 51(xx) of the Constitution applies.

Must be agreement as to fees payable to support Safety Authority’s provision of services

             (4)  Neither the Safety Authority nor members of the staff of the Safety Authority can exercise powers in a place referred to in subsection (1) unless there is agreement between the Commonwealth and the State or Territory concerned as to the fees payable by the State or Territory to the Safety Authority, on behalf of the Commonwealth, for the exercise of those powers.

Staff

             (5)  For the purposes of this section, staff, in relation to the Safety Authority, includes a person who is appointed as an OHS inspector under this Part, whether or not that person is engaged under the Public Service Act 1999 for the purposes of subsection 676(1).

651  Power to refer matters to NOGSAC

             (1)  The Safety Authority may refer a matter to the NOGSAC body for advice.

             (2)  For the purposes of this section, the NOGSAC body is:

                     (a)  the body known as the National Oil and Gas Safety Advisory Committee; or

                     (b)  if that body is disbanded—any successor body with similar membership and functions.

             (3)  A matter referred under subsection (1) must be of a general nature and must not relate to a particular case.

652  Safety Authority is a body corporate

             (1)  The Safety Authority:

                     (a)  is a body corporate; and

                     (b)  must have a seal; and

                     (c)  may sue and be sued.

Seal

             (2)  The seal of the Safety Authority must be kept in such custody as the CEO directs, and must not be used except as authorised by the CEO.

             (3)  All courts, judges and persons acting judicially must:

                     (a)  take judicial notice of the imprint of the seal of the Safety Authority appearing on a document; and

                     (b)  presume that the document was duly sealed.


 

Division 3National Offshore Petroleum Safety Authority Board

Subdivision AEstablishment, functions and membership

653  Establishment of Board

                   The National Offshore Petroleum Safety Authority Board that was, immediately before the commencement of this section, in existence under the Petroleum (Submerged Lands) Act 1967 is continued in existence under the same name.

654  Functions of the Board

             (1)  The Board has the following functions:

                     (a)  to give advice, and make recommendations, to the CEO about the operational policies and strategies to be followed by the Safety Authority in the performance of its functions;

                     (b)  to give advice, and make recommendations, to:

                              (i)  the responsible Commonwealth Minister; and

                             (ii)  a State Petroleum Minister; and

                            (iii)  the Northern Territory Petroleum Minister; and

                            (iv)  the body known as the Ministerial Council on Mineral and Petroleum Resources;

                            about either or both of the following:

                             (v)  policy or strategic matters relating to the occupational health and safety of persons engaged in offshore petroleum operations;

                            (vi)  the performance by the Safety Authority of its functions;

                     (c)  to give advice, and make recommendations, to:

                              (i)  the responsible Commonwealth Minister; and

                             (ii)  a State Greenhouse Gas Storage Minister; and

                            (iii)  the Northern Territory Greenhouse Gas Storage Minister; and

                            (iv)  the Greenhouse Gas Storage Ministerial Council;

                            about either or both of the following:

                             (v)  policy or strategic matters relating to the occupational health and safety of persons engaged in offshore greenhouse gas storage operations;

                            (vi)  the performance by the Safety Authority of its functions;

                     (d)  such other functions (if any) as are specified in a written notice given by the responsible Commonwealth Minister to the Chair of the Board.

             (2)  A notice under paragraph (1)(d) is not a legislative instrument for the purposes of the Legislative Instruments Act 2003.

             (3)  As soon as practicable after the Board gives advice, or makes recommendations, under paragraph (1)(b) to:

                     (a)  a State Petroleum Minister; or

                     (b)  the Northern Territory Petroleum Minister; or

                     (c)  the body known as the Ministerial Council on Mineral and Petroleum Resources;

the Board must give the responsible Commonwealth Minister a written copy of that advice or those recommendations.

             (4)  As soon as practicable after the Board gives advice, or makes recommendations, under paragraph (1)(c) to:

                     (a)  a State Greenhouse Gas Storage Minister; and

                     (b)  the Northern Territory Greenhouse Gas Storage Minister; and

                     (c)  the Greenhouse Gas Storage Ministerial Council;

the Board must give the responsible Commonwealth Minister a written copy of that advice or those recommendations.

655  Powers of the Board

                   The Board has power to do all things necessary or convenient to be done for or in connection with the performance of its functions.

656  Membership

             (1)  The Board consists of the following members:

                     (a)  a Chair;

                     (b)  4 or 6 other members.

Note:          Section 18B of the Acts Interpretation Act 1901 deals with the title of the Chair.

             (2)  The performance of the functions, or the exercise of the powers, of the Board is not affected only because of there being a vacancy or vacancies in the membership of the Board.

             (3)  Board members are to be appointed by the responsible Commonwealth Minister by written instrument.

Note:          For re‑appointment, see subsection 33(4A) of the Acts Interpretation Act 1901.

             (4)  Each person appointed as a Board member must have been selected for appointment by the body known as the Ministerial Council on Mineral and Petroleum Resources.

Note:          The Chair is a Board member appointed by the responsible Commonwealth Minister as the Chair.

Subdivision BBoard procedures

657  Board procedures

             (1)  The responsible Commonwealth Minister may, by writing, determine matters relating to the operation of the Board, including (but not limited to) the following:

                     (a)  procedures for convening Board meetings;

                     (b)  the constitution of a quorum for a Board meeting;

                     (c)  procedures for conducting Board meetings, including (but not limited to) the way the Board may resolve matters;

                     (d)  disclosure of interests;

                     (e)  Board records;

                      (f)  reporting requirements, including (but not limited to) reports to the responsible Commonwealth Minister and to the public.

             (2)  If no determination is in force for the purposes of a paragraph of subsection (1), the Board may operate in the way it determines in respect of the matters described in that paragraph.

             (3)  A determination under subsection (1) is a legislative instrument for the purposes of the Legislative Instruments Act 2003.

             (4)  A determination under subsection (2) is not a legislative instrument for the purposes of the Legislative Instruments Act 2003.

Subdivision CTerms and conditions for Board members

658  Term of appointment and related matters for Board members

             (1)  A Board member is to be appointed on a part‑time basis.

             (2)  A Board member holds office for the period that is specified in the instrument of appointment. The period must not exceed 3 years.

Note:          For re‑appointment, see subsection 33(4A) of the Acts Interpretation Act 1901.

659  Remuneration and allowances of Board members

             (1)  A Board member is to be paid the remuneration that is determined by the Remuneration Tribunal. If no determination of that remuneration by the Tribunal is in operation, the Board member is to be paid the remuneration that is determined by the responsible Commonwealth Minister.

             (2)  However, if a Board member is in full‑time employment with:

                     (a)  a State or the Northern Territory; or

                     (b)  an instrumentality of a State or of the Northern Territory;

the Board member is not to be paid remuneration under subsection (1).

             (3)  A Board member is to be paid the allowances that are prescribed.

             (4)  This section has effect subject to the Remuneration Tribunal Act 1973.

660  Leave of absence of Board members

             (1)  The responsible Commonwealth Minister may grant leave of absence to the Chair of the Board on the terms and conditions that the responsible Commonwealth Minister determines.

             (2)  The Chair of the Board may grant leave of absence to another Board member on the terms and conditions that the Chair determines.

661  Resignation of Board members

                   A Board member may resign his or her appointment by giving the responsible Commonwealth Minister a written resignation.

662  Termination of appointment of Board members

             (1)  The responsible Commonwealth Minister may terminate the appointment of a Board member for misbehaviour or physical or mental incapacity.

             (2)  The responsible Commonwealth Minister may terminate the appointment of a Board member if:

                     (a)  the member:

                              (i)  becomes bankrupt; or

                             (ii)  applies to take the benefit of any law for the relief of bankrupt or insolvent debtors; or

                            (iii)  compounds with his or her creditors; or

                            (iv)  makes an assignment of his or her remuneration for the benefit of his or her creditors; or

                     (b)  the member is absent, except on leave of absence, from 3 consecutive meetings of the Board; or

                     (c)  the member fails, without reasonable excuse, to comply with a section 657 determination to the extent to which the determination relates to disclosure of interests; or

                     (d)  the responsible Commonwealth Minister is satisfied that the performance of the member has been unsatisfactory for a significant period.

             (3)  The responsible Commonwealth Minister must consult all State Petroleum Ministers and the Northern Territory Petroleum Minister before terminating the appointment of a Board member.

663  Other terms and conditions of Board members

                   A Board member holds office on the terms and conditions (if any) in relation to matters not covered by this Act that are determined by the responsible Commonwealth Minister.

664  Acting Board members

             (1)  The responsible Commonwealth Minister may appoint a person to act as the Chair of the Board:

                     (a)  during a vacancy in the office of Chair of the Board, whether or not an appointment has previously been made to the office; or

                     (b)  during any period, or during all periods, when the Chair of the Board is absent from duty or from Australia, or is, for any reason, unable to perform the duties of the office.

             (2)  The responsible Commonwealth Minister may appoint a person to act as a Board member (other than the Chair of the Board):

                     (a)  during a vacancy in the office of a Board member (other than the Chair of the Board), whether or not an appointment has previously been made to the office; or

                     (b)  during any period, or during all periods, when a Board member (other than the Chair of the Board) is absent from duty or from Australia, or is, for any reason, unable to perform the duties of the office.

             (3)  Anything done by or in relation to a person purporting to act under an appointment is not invalid merely because:

                     (a)  the occasion for the appointment had not arisen; or

                     (b)  there was a defect or irregularity in connection with the appointment; or

                     (c)  the appointment had ceased to have effect; or

                     (d)  the occasion to act had not arisen or had ceased.

Note:          See section 33A of the Acts Interpretation Act 1901.


 

Division 4Chief Executive Officer and staff of the Safety Authority

665  Appointment of the CEO

             (1)  There is to be a Chief Executive Officer of the Safety Authority.

             (2)  The CEO is to be appointed by the responsible Commonwealth Minister by written instrument.

             (3)  The responsible Commonwealth Minister must not appoint a person as CEO unless the person is recommended to the responsible Commonwealth Minister by the body known as the Ministerial Council on Mineral and Petroleum Resources.

             (4)  The CEO is to be appointed on a full‑time basis.

             (5)  The CEO holds office for the period that is specified in the instrument of appointment. The period must not exceed 5 years.

Note:          For re‑appointment, see subsection 33(4A) of the Acts Interpretation Act 1901.

666  Duties of the CEO

             (1)  The CEO is responsible for managing the Safety Authority.

             (2)  Anything done by the CEO in the name of the Safety Authority or on the Safety Authority’s behalf is taken to have been done by the Safety Authority.

667  Working with the Board

             (1)  The CEO must request the Board’s advice on strategic matters relating to the performance of the Safety Authority’s functions.

             (2)  The CEO must have regard to the advice given to him or her by the Board (whether or not the advice was given in response to a request).

             (3)  The CEO must:

                     (a)  keep the Board informed of the Safety Authority’s operations; and

                     (b)  give the Board such reports, documents and information in relation to those operations as the Chair of the Board requires.

             (4)  The CEO may attend Board meetings as an observer (including by telephone or other means).

668  Remuneration and allowances of the CEO

             (1)  The CEO is to be paid the remuneration that is determined by the Remuneration Tribunal. If no determination of that remuneration by the Tribunal is in operation, the CEO is to be paid the remuneration that is determined by the responsible Commonwealth Minister.

             (2)  The CEO is to be paid the allowances that are prescribed.

             (3)  This section has effect subject to the Remuneration Tribunal Act 1973.

669  Leave of absence of the CEO

             (1)  The CEO has the recreation leave entitlements that are determined by the Remuneration Tribunal.

             (2)  The responsible Commonwealth Minister may grant the CEO leave of absence, other than recreation leave, on the terms and conditions as to remuneration or otherwise that the responsible Commonwealth Minister determines.

670  Resignation of the CEO

                   The CEO may resign his or her appointment by giving the responsible Commonwealth Minister a written resignation.

671  Notification of possible conflict of interest by CEO

                   Immediately after the CEO:

                     (a)  acquires any interest, pecuniary or otherwise, that could conflict with the proper performance of his or her duties; or

                     (b)  becomes aware that any interest, pecuniary or otherwise, that:

                              (i)  he or she has; or

                             (ii)  he or she is likely to acquire;

                            could conflict with the proper performance of his or her duties;

the CEO must notify the responsible Commonwealth Minister, in writing, of that interest.

672  Termination of CEO’s appointment

Termination

             (1)  The responsible Commonwealth Minister may terminate the appointment of the CEO for misbehaviour or physical or mental incapacity.

             (2)  The responsible Commonwealth Minister may terminate the appointment of the CEO if:

                     (a)  the CEO:

                              (i)  becomes bankrupt; or

                             (ii)  applies to take the benefit of any law for the relief of bankrupt or insolvent debtors; or

                            (iii)  compounds with his or her creditors; or

                            (iv)  makes an assignment of his or her remuneration for the benefit of his or her creditors; or

                     (b)  the CEO is absent from duty, except on leave of absence, for 14 consecutive days or for 28 days in any 12 months; or

                     (c)  the CEO engages, except with the responsible Commonwealth Minister’s approval, in paid employment outside the duties of his or her office; or

                     (d)  the CEO fails, without reasonable excuse, to comply with section 671; or

                     (e)  the responsible Commonwealth Minister is satisfied that the performance of the CEO has been unsatisfactory for a significant period.

Conflict of interest

             (3)  If the responsible Commonwealth Minister becomes aware, whether because of a notification under section 671 or otherwise, that the CEO has an interest that could conflict with the proper performance of the CEO’s duties, the responsible Commonwealth Minister must make a written determination either that the interest does, or that it does not, pose a significant risk of a conflict of interest.

             (4)  If the responsible Commonwealth Minister determines that the interest poses a significant risk, the responsible Commonwealth Minister must require the CEO to dispose of that interest within a period specified by the responsible Commonwealth Minister.

             (5)  If:

                     (a)  the responsible Commonwealth Minister requires the CEO to dispose of an interest; and

                     (b)  the CEO refuses or fails to comply with that requirement;

the responsible Commonwealth Minister must terminate the appointment of the CEO.

673  Other terms and conditions

                   The CEO holds office on the terms and conditions (if any) in relation to matters not covered by this Act that are determined by the responsible Commonwealth Minister.

674  Acting appointments

             (1)  The responsible Commonwealth Minister may appoint a person to act as the CEO:

                     (a)  during a vacancy in the office of CEO (whether or not an appointment has previously been made to the office); or

                     (b)  during any period, or during all periods, when the CEO is absent from duty or from Australia, or is, for any reason, unable to perform the duties of the office.

             (2)  Anything done by or in relation to a person purporting to act under an appointment is not invalid merely because:

                     (a)  the occasion for the appointment had not arisen; or

                     (b)  there was a defect or irregularity in connection with the appointment; or

                     (c)  the appointment had ceased to have effect; or

                     (d)  the occasion to act had not arisen or had ceased.

Note:          See section 33A of the Acts Interpretation Act 1901.

675  Delegation by CEO

             (1)  The CEO may, by writing, delegate any or all of his or her functions or powers (except a power conferred by section 680) to:

                     (a)  a member of staff of the Safety Authority; or

                     (b)  an employee of the Commonwealth or of a Commonwealth authority; or

                     (c)  an employee of a State or of the Northern Territory or of an authority of a State or of the Northern Territory.

             (2)  In performing functions or exercising powers under the delegation, the delegate must comply with any directions of the CEO.

Note:          See sections 34AA to 34A of the Acts Interpretation Act 1901.

676  Staff of the Safety Authority

             (1)  The staff of the Safety Authority must be persons engaged under the Public Service Act 1999.

             (2)  For the purposes of the Public Service Act 1999:

                     (a)  the CEO and the APS employees assisting the CEO together constitute a Statutory Agency; and

                     (b)  the CEO is the Head of that Statutory Agency.

677  Consultants and persons seconded to the Safety Authority

             (1)  The CEO may, on behalf of the Commonwealth, engage consultants to perform services for the Safety Authority in connection with the performance of any of its functions or the exercise of any of its powers.

             (2)  The terms and conditions of engagement of persons engaged under subsection (1) are such as the CEO determines in writing.

             (3)  The Safety Authority may also be assisted:

                     (a)  by officers and employees of Agencies (within the meaning of the Public Service Act 1999), and of authorities of the Commonwealth; or

                     (b)  by officers and employees of, or of authorities of, a State or the Northern Territory;

whose services are made available to the Safety Authority in connection with the performance of any of its functions or the exercise of any of its powers.

             (4)  An instrument under subsection (3) is not a legislative instrument for the purposes of the Legislative Instruments Act 2003.


 

Division 5Corporate plans

678  Corporate plans

             (1)  The CEO must prepare a corporate plan for the Safety Authority at least once every 3 years and give the plan to the responsible Commonwealth Minister.

             (2)  The plan must cover a period of at least 3 years.

             (3)  The CEO must keep the responsible Commonwealth Minister informed about:

                     (a)  significant changes to the plan; and

                     (b)  matters that arise that might significantly affect the achievement of the objectives of the plan.

             (4)  The plan must include details of the following matters:

                     (a)  the Safety Authority’s operational environment;

                     (b)  the Safety Authority’s strategies;

                     (c)  performance indicators for the Safety Authority;

                     (d)  a review of performance against previous corporate plans;

                     (e)  an analysis of risk factors likely to affect the safety of offshore petroleum operations or offshore greenhouse gas storage operations;

                      (f)  human resource strategies and industrial relations strategies.

             (5)  The plan must also cover any other matters required by the responsible Commonwealth Minister, which may include further details about the matters in subsection (4).

679  Responsible Commonwealth Minister’s response to corporate plan

             (1)  On receiving a corporate plan, the responsible Commonwealth Minister must:

                     (a)  provide a copy of the plan to each State and Northern Territory Petroleum Minister; and

                     (b)  consult those Ministers on the content of the plan.

             (2)  The responsible Commonwealth Minister must respond to the plan as soon as practicable after completion of those consultations.

             (3)  The responsible Commonwealth Minister’s response may include a written direction to the CEO to vary the plan. However, a direction under this subsection must not be given in respect of particular offshore petroleum operations or particular offshore greenhouse gas storage operations.

             (4)  The responsible Commonwealth Minister’s response must set out the reasons for giving a direction.

             (5)  If the responsible Commonwealth Minister’s response includes a direction to vary the corporate plan, the CEO must prepare a revised plan and give it to the responsible Commonwealth Minister within 30 days after being given the response.

             (6)  The responsible Commonwealth Minister must not approve, or direct the variation of, a part of a corporate plan that relates specifically to operations of the Safety Authority in the designated coastal waters of one or more of the States without the approval of the State Petroleum Minister or State Petroleum Ministers concerned.

             (7)  The responsible Commonwealth Minister must not approve, or direct the variation of, a part of a corporate plan that relates specifically to operations of the Safety Authority in the designated coastal waters of the Northern Territory without the approval of the Northern Territory Petroleum Minister.


 

Division 6OHS inspectors

680  Appointment of OHS inspectors

             (1)  The CEO may, by writing, appoint persons as OHS inspectors.

             (2)  The CEO may appoint as OHS inspectors only persons who are:

                     (a)  members of the staff of the Safety Authority; or

                     (b)  employees of the Commonwealth or of a Commonwealth authority; or

                     (c)  employees of a State or of the Northern Territory or of an authority of a State or of the Northern Territory.

             (3)  Despite subsection (2), the CEO may appoint as OHS inspectors persons who are not covered by paragraph (2)(a), (b) or (c), so long as the appointment is for a specified period and for the performance of specified functions.

             (4)  In addition to the powers, functions and duties conferred or imposed by or under this Act, an OHS inspector has all the powers, functions and duties that are conferred or imposed by or under a State PSLA or the Territory PSLA.

681  Identity cards

             (1)  The Safety Authority must issue an identity card to each OHS inspector:

                     (a)  stating that he or she is an OHS inspector for the purposes of this Act; and

                     (b)  if the OHS inspector is appointed for a limited period and in respect only of particular functions—specifying that period and those functions.

             (2)  The identity card must:

                     (a)  be in the form prescribed by the regulations; and

                     (b)  contain a recent photograph of the OHS inspector.

             (3)  A person commits an offence if:

                     (a)  the person has been issued with an identity card for the purposes of this section; and

                     (b)  the person ceases to be an OHS inspector; and

                     (c)  the person does not return the identity card to the Safety Authority as soon as practicable.

Penalty:  1 penalty unit.

             (4)  However, the person is not guilty of the offence if the identity card was lost or destroyed.

Note:          A defendant bears an evidential burden in relation to the matter in subsection (4). See subsection 13.3(3) of the Criminal Code.

             (5)  A person to whom an identity card is issued under this section must carry the identity card at all times when carrying out functions as an OHS inspector.

Note:          For requirements to produce the card when entering premises, see clauses 50, 51, 52, 56 and 57 of Schedule 3.


 

Division 7National Offshore Petroleum Safety Account

682  National Offshore Petroleum Safety Account

             (1)  The National Offshore Petroleum Safety Account that was, immediately before the commencement of this subsection, in existence under the Petroleum (Submerged Lands) Act 1967 is continued in existence under the same name.

             (2)  The Account is a Special Account for the purposes of the Financial Management and Accountability Act 1997.

683  Credits to the Account

                   The following amounts must be credited to the Account:

                     (a)  amounts equal to amounts paid to the Safety Authority on behalf of the Commonwealth by way of fees paid under regulations made for the purposes of subsection 685(1);

                     (b)  amounts equal to the following amounts paid to the Safety Authority on behalf of the Commonwealth:

                              (i)  amounts paid by way of safety investigation levy imposed by the Safety Levies Act;

                             (ii)  amounts paid by way of late payment penalty under subsection 686(2);

                     (c)  amounts equal to the following amounts paid to the Safety Authority on behalf of the Commonwealth:

                              (i)  amounts paid by way of safety case levy imposed by the Safety Levies Act;

                             (ii)  amounts paid by way of late payment penalty under subsection 687(4);

                     (d)  amounts equal to the following amounts paid to the Safety Authority on behalf of the Commonwealth:

                              (i)  amounts paid by way of pipeline safety management plan levy imposed by the Safety Levies Act;

                             (ii)  amounts paid by way of late payment penalty under subsection 688(2);

                     (e)  amounts equal to amounts paid to the Safety Authority, on behalf of the Commonwealth, by a State or the Northern Territory under an agreement referred to in subsection 650(4);

                      (f)  amounts equal to any other amounts paid to the Safety Authority, on behalf of the Commonwealth, by a State or the Northern Territory;

                     (g)  amounts equal to any other amounts paid to the Safety Authority on behalf of the Commonwealth.

Note:          The Account is a Special Account. An Appropriation Act may contain a provision to the effect that, if any of the purposes of a Special Account is a purpose that is covered by an item in the Appropriation Act (whether or not the item expressly refers to the Special Account), then amounts may be debited against the appropriation for that item and credited to that Special Account.

684  Purposes of the Account

             (1)  The purposes of the Account are as follows:

                     (a)  to pay or discharge the costs, expenses and other obligations incurred by the Safety Authority in the performance of its functions or the exercise of its powers;

                     (b)  to pay any remuneration or allowances payable to Board members, the CEO and the staff of the Safety Authority;

                     (c)  to make any other payments that the Safety Authority is authorised to make by or under any law of a State or of the Northern Territory that confers powers on the Safety Authority or on the staff of the Safety Authority in the area and under circumstances described in section 650.

Note:          See section 21 of the Financial Management and Accountability Act 1997.

             (2)  For the purposes of this section, staff, in relation to the Safety Authority, includes a person who is appointed as an OHS inspector under this Part, whether or not that person is engaged under the Public Service Act 1999 for the purposes of subsection 676(1).


 

Division 8Other financial matters

685  Fees for expenses incurred by the Safety Authority

Fees

             (1)  The regulations may provide for the payment to the Safety Authority, on behalf of the Commonwealth, of fees in respect of matters in relation to which expenses are incurred by the Safety Authority under this Act or the regulations, including, but not limited to, fees in respect of, or for applications for:

                     (a)  the registration of a person under regulations made for the purposes of subclause 5(1) of Schedule 3; or

                     (b)  the issue, variation or transfer of licences granted under regulations made for the purposes of paragraph 17(3)(g) of Schedule 3.

             (2)  Subsection (1) does not authorise the imposition of taxation within the meaning of section 55 of the Constitution.

Recovery of fees

             (3)  Each fee:

                     (a)  is a debt due to the Safety Authority on behalf of the Commonwealth; and

                     (b)  is recoverable by the Safety Authority, on behalf of the Commonwealth, in a court of competent jurisdiction.

686  Safety investigation levy

When safety investigation levy becomes due and payable

             (1)  Safety investigation levy imposed by the Safety Levies Act becomes due and payable at the time specified in, or worked out in accordance with, the regulations.

Late payment penalty

             (2)  If safety investigation levy payable by a person under the Safety Levies Act remains wholly or partly unpaid after it becomes due and payable, the person is liable to pay a late payment penalty under this section.

             (3)  The late payment penalty is calculated at the rate of 0.333333% per day on the amount of the safety investigation levy remaining unpaid.

             (4)  The Safety Authority may remit the whole or a part of an amount of late payment penalty if the Safety Authority considers that there are good reasons for doing so.

Recovery of safety investigation levy and late payment penalty

             (5)  Each amount of safety investigation levy, and each amount of late payment penalty payable in respect of safety investigation levy:

                     (a)  is a debt due to the Safety Authority on behalf of the Commonwealth; and

                     (b)  is recoverable by the Safety Authority, on behalf of the Commonwealth, in a court of competent jurisdiction.

687  Safety case levy

Remittal

             (1)  The regulations may make provision for the remittal of part of an amount of safety case levy imposed by the Safety Levies Act in respect of a facility and a year if:

                     (a)  the facility is of a kind declared by the regulations to be a facility that operates on an intermittent basis; and

                     (b)  the facility in fact only operates for a part of that year.

             (2)  The regulations may make provision for the remittal of part of an amount of safety case levy imposed by the Safety Levies Act in respect of a facility and a part of a year if:

                     (a)  the facility is of a kind declared by the regulations to be a facility that operates on an intermittent basis; and

                     (b)  the facility in fact only operates for a part of that part of the year.

When safety case levy becomes due and payable

             (3)  Safety case levy imposed by the Safety Levies Act becomes due and payable at the time specified in, or worked out in accordance with, the regulations.

Late payment penalty

             (4)  If safety case levy payable by a person under the Safety Levies Act remains wholly or partly unpaid after it becomes due and payable, the person is liable to pay a late payment penalty under this section.

             (5)  The late payment penalty is calculated at the rate of 0.333333% per day on the amount of the safety case levy remaining unpaid.

             (6)  The Safety Authority may remit the whole or a part of an amount of late payment penalty if the Safety Authority considers that there are good reasons for doing so.

Recovery of safety case levy and late payment penalty

             (7)  Each amount of safety case levy, and each amount of late payment penalty payable in respect of safety case levy:

                     (a)  is a debt due to the Safety Authority on behalf of the Commonwealth; and

                     (b)  is recoverable by the Safety Authority, on behalf of the Commonwealth, in a court of competent jurisdiction.

Definitions

             (8)  In this section:

facility:

                     (a)  in relation to safety case levy imposed by section 7 of the Safety Levies Act—has the same meaning as in that section; or

                     (b)  in relation to safety case levy imposed by section 8 of the Safety Levies Act—has the same meaning as in that section.

year has the same meaning as in the Safety Levies Act.

688  Pipeline safety management plan levy

When pipeline safety management plan levy becomes due and payable

             (1)  Pipeline safety management plan levy imposed by the Safety Levies Act becomes due and payable at the time specified in, or worked out in accordance with, the regulations.

Late payment penalty

             (2)  If pipeline safety management plan levy payable by a person under the Safety Levies Act remains wholly or partly unpaid after it becomes due and payable, the person is liable to pay a late payment penalty under this section.

             (3)  The late payment penalty is calculated at the rate of 0.333333% per day on the amount of the pipeline safety management plan levy remaining unpaid.

             (4)  The Safety Authority may remit the whole or a part of an amount of late payment penalty if the Safety Authority considers that there are good reasons for doing so.

Recovery of pipeline safety management plan levy and late payment penalty

             (5)  Each amount of pipeline safety management plan levy, and each amount of late payment penalty payable in respect of pipeline safety management plan levy:

                     (a)  is a debt due to the Safety Authority on behalf of the Commonwealth; and

                     (b)  is recoverable by the Safety Authority, on behalf of the Commonwealth, in a court of competent jurisdiction.

689  Liability to taxation

             (1)  The Safety Authority is not subject to taxation under the laws of the Commonwealth or of a State or Territory.

             (2)  However, the regulations may provide that subsection (1) does not apply in relation to a specified law of the Commonwealth or of a State or Territory.

Note:          For specification by class, see subsection 13(3) of the Legislative Instruments Act 2003.


 

Division 9Miscellaneous

690  Annual reports

Safety Authority

             (1)  The CEO must, as soon as practicable after 30 June in each year:

                     (a)  prepare and give to the responsible Commonwealth Minister a report of the Safety Authority’s operations during the year ending on that 30 June; and

                     (b)  give a copy of that report to:

                              (i)  each State Petroleum Minister; and

                             (ii)  the Northern Territory Petroleum Minister; and

                            (iii)  the body known as the Ministerial Council on Mineral and Petroleum Resources.

Note:          See also section 34C of the Acts Interpretation Act 1901.

             (2)  A report under subsection (1) must include such other matters as are prescribed in the regulations.

Board

             (3)  The Chair of the Board must, as soon as practicable after 30 June in each year:

                     (a)  prepare and give to the responsible Commonwealth Minister a report of the Board’s operations during the year ending on that 30 June; and

                     (b)  give a copy of that report to:

                              (i)  each State Petroleum Minister; and

                             (ii)  the Northern Territory Petroleum Minister; and

                            (iii)  the body known as the Ministerial Council on Mineral and Petroleum Resources.

Note:          See also section 34C of the Acts Interpretation Act 1901.

Tabling of reports

             (4)  The responsible Commonwealth Minister must cause a copy of each report under this section to be tabled in each House of the Parliament within 15 sitting days of that House after receiving the report.

691  Ministers may require the Safety Authority to prepare reports or give information

Reports

             (1)  The responsible Commonwealth Minister or a State or Northern Territory Petroleum Minister may, by written notice given to the Safety Authority, require the Safety Authority:

                     (a)  to prepare a report about one or more specified matters relating to the performance of the Safety Authority’s functions or the exercise of the Safety Authority’s powers; and

                     (b)  give a copy of the report to:

                              (i)  the responsible Commonwealth Minister; and

                             (ii)  each State Petroleum Minister; and

                            (iii)  the Northern Territory Petroleum Minister;

                            within the period specified in the notice.

Information

             (2)  The responsible Commonwealth Minister or a State or Northern Territory Petroleum Minister may, by written notice given to the Safety Authority, require the Safety Authority to:

                     (a)  prepare a document setting out specified information relating to the performance of the Safety Authority’s functions or the exercise of the Safety Authority’s powers; and

                     (b)  give a copy of the document to:

                              (i)  the responsible Commonwealth Minister; and

                             (ii)  each State Petroleum Minister; and

                            (iii)  the Northern Territory Petroleum Minister;

                            within the period specified in the notice.

Compliance with requirement

             (3)  The Safety Authority must comply with a requirement under subsection (1) or (2).

Reports and documents

             (4)  A report under subsection (1) is not a legislative instrument for the purposes of the Legislative Instruments Act 2003.

             (5)  A document under subsection (2) is not a legislative instrument for the purposes of the Legislative Instruments Act 2003.

692  Responsible Commonwealth Minister may give directions to the Safety Authority

Minister may give directions

             (1)  The responsible Commonwealth Minister may give written directions to the Safety Authority as to the performance of its functions or the exercise of its powers.

Note:          For agreement and consultation requirements, see subsections (7) and (11).

             (2)  Directions given by the responsible Commonwealth Minister must not relate to regulated operations at a particular facility.

             (3)  Subsection (2) does not prevent the responsible Commonwealth Minister from directing the Safety Authority to investigate a particular occurrence in relation to a facility located in Safety Authority waters.

State/Northern Territory Petroleum Minister may request the responsible Commonwealth Minister to give a direction

             (4)  A State Petroleum Minister or the Northern Territory Petroleum Minister may request the responsible Commonwealth Minister to give a direction to the Safety Authority that relates wholly or principally to the Safety Authority’s operations in the designated coastal waters of the relevant State or the Northern Territory, as the case may be.

             (5)  The responsible Commonwealth Minister must use his or her best endeavours to make a decision on the request within 30 days after receiving the request.

             (6)  If the responsible Commonwealth Minister refuses the request, the responsible Commonwealth Minister must give the Minister who made the request a written statement setting out the reasons for the refusal.

Agreement of State/Northern Territory Petroleum Ministers

             (7)  The responsible Commonwealth Minister must not give a direction that relates wholly or principally to the Safety Authority’s operations in the designated coastal waters of one or more of the States and the Northern Territory unless the responsible Commonwealth Minister has obtained the agreement of each State or Northern Territory Petroleum Minister concerned (the affected Minister or Ministers).

Urgency

             (8)  If the responsible Commonwealth Minister is satisfied that the circumstances of a case are sufficiently urgent to warrant it, the responsible Commonwealth Minister may, despite subsection (7), give a direction to the Safety Authority without obtaining the agreement of the affected Minister or Ministers.

             (9)  If the responsible Commonwealth Minister gives a direction as mentioned in subsection (8), the direction expires at the end of the 30‑day period beginning on the day on which the direction was given unless, before the end of that period, the responsible Commonwealth Minister has obtained the agreement of the affected Minister or Ministers.

           (10)  If a direction expires because of subsection (9), this Act does not prevent the responsible Commonwealth Minister from giving a subsequent direction in the same or similar terms as the expired direction.

Consultation with State/Northern Territory Petroleum Ministers

           (11)  Before giving a direction that is not covered by subsection (7), the responsible Commonwealth Minister must consult each State and Northern Territory Petroleum Minister.

Compliance with directions

           (12)  The Safety Authority must comply with any direction given by the responsible Commonwealth Minister under this section.

Other provisions do not limit this section

           (13)  Sections 647 and 691 do not limit the scope of the directions that may be given by the responsible Commonwealth Minister under this section.

Directions

           (14)  A direction under this section is a legislative instrument for the purposes of the Legislative Instruments Act 2003.