An Act about petroleum exploration and recovery, and the
injection and storage of greenhouse gas substances, in offshore areas, and for
other purposes
Chapter 1—Introduction
Part 1.1—Legislative 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.
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Commencement information
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Column 1
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Column 2
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Column 3
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Provision(s)
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Commencement
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Date/Details
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1. Sections 1 and 2 and anything in this Act not
elsewhere covered by this table
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The day on which this Act receives the Royal Assent.
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29 March 2006
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2. Sections 3 to 5
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A single day to be fixed by Proclamation.
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1 July 2008 (see F2008L02273)
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3. Parts 1.2, 1.3 and 1.4
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At the same time as the provision(s) covered by table item 2.
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1 July 2008
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4. Chapters 2 to 6
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At the same time as the provision(s) covered by table item 2.
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1 July 2008
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5. Schedules 1, 2, 3, 4 and 5
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At the same time as the provision(s) covered by table item 2.
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1 July 2008
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6. Schedule 6, clauses 1 to 38
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At the same time as the provision(s) covered by table item 2.
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1 July 2008
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7. Schedule 6, clause 39
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The day on which this Act receives the Royal Assent.
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29 March 2006
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8. Schedule 6, clauses 40 to 42
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At the same time as the provision(s) covered by table item 2.
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1 July 2008
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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:
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Other Acts
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Item
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Act
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Summary of Act
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1
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Seas and Submerged Lands Act 1973
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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.
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2
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Coastal Waters (State Powers) Act 1980
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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.
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3
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Coastal Waters (Northern Territory Powers) Act 1980
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This Act makes similar provision to the Coastal Waters
(State Powers) Act 1980 in relation to the Northern Territory.
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4
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Coastal Waters (State Title) Act 1980
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This Act vested in each State certain property rights in
the seabed beneath the coastal waters of the State.
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5
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Coastal Waters (Northern Territory Title) Act 1980
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This Act makes similar provision to the Coastal Waters
(State Title) Act 1980 in relation to the Northern Territory.
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6
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Offshore Minerals Act 1994
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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.
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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 1.2—Interpretation
Division 1—General
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.
Commissioner means a person appointed under
section 780A.
Commission of inquiry means an inquiry
conducted, or to be conducted, by a person appointed under section 780A.
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 website
(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.
non‑OHS structural integrity means structural
integrity, to the extent to which it does not relate to a matter or thing that
affects, or is likely to affect, the occupational health and safety of persons
engaged in:
(a) offshore petroleum operations
(within the meaning of Part 6.9); or
(b) offshore greenhouse gas storage
operations (within the meaning of Part 6.9).
non‑OHS structural integrity law means:
(a) a listed OHS law, to the extent to
which it relates to matters or things that do not affect, and are not likely to
affect, the occupational health and safety of persons engaged in:
(i) offshore petroleum
operations (within the meaning of Part 6.9); or
(ii) offshore greenhouse
gas storage operations (within the meaning of Part 6.9); or
(b) a structural integrity law
prescribed for the purposes of this paragraph.
A structural integrity law may be prescribed for the
purposes of paragraph (b) even if it is, to any extent, a listed OHS law.
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.
referable title, when used in Chapter 4,
has the meaning given by section 467.
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).
Royal Commission has the same meaning as in
the Royal Commissions Act 1902.
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.
structural integrity includes the following:
(a) structural soundness;
(b) structural strength;
(c) stability;
(d) fitness for purpose;
(e) mechanical integrity in connection
with the containment of:
(i) petroleum; or
(ii) a greenhouse gas
substance; or
(iii) any other substance.
structural integrity law means the
regulations to the extent to which they relate to the structural integrity of:
(a) facilities (within the meaning of
Schedule 3); or
(b) wells; or
(c) well-related equipment.
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 website (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.
well‑related equipment means any:
(a) plant; or
(b) equipment; or
(c) other thing;
for containing pressure in a well.
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.
(7A) In making an estimate under
paragraph (6)(e) or (7)(f), disregard subsection 388(8).
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 2—Datum provisions
Subdivision A—Datum 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
|
a greenhouse gas assessment permit
|
the permit area of a greenhouse gas assessment permit
granted after the changeover time
|
|
9
|
a greenhouse gas holding lease
|
the lease area of a greenhouse gas holding lease granted
after the changeover time
|
|
10
|
a greenhouse gas injection licence
|
the licence area of a greenhouse gas injection licence
granted after the changeover time
|
|
11
|
a greenhouse gas search authority
|
the authority area of a greenhouse gas search authority
granted after the changeover time
|
|
12
|
a greenhouse gas special authority
|
the authority area of a greenhouse gas special authority
granted after the changeover time
|
|
13
|
any other instrument under this Act
|
a point, line or area set out in any other instrument made
under this Act made after the changeover time
|
Note 1: 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.
Note 2: A grant of a greenhouse gas holding lease 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
|
a greenhouse gas assessment permit
|
the permit area of a greenhouse gas assessment permit that
was in force immediately before the changeover time
|
|
9
|
a greenhouse gas holding lease
|
the lease area of a greenhouse gas holding lease that was
in force immediately before the changeover time
|
|
10
|
a greenhouse gas injection licence
|
the licence area of a greenhouse gas injection licence
that was in force immediately before the changeover time
|
|
11
|
a greenhouse gas search authority
|
the authority area of a greenhouse gas search authority
that was in force immediately before the changeover time
|
|
12
|
a greenhouse gas special authority
|
the authority area of a greenhouse gas special authority
that was in force immediately before the changeover time
|
|
13
|
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
Petroleum titles and instruments
(1) The table has effect:
|
Variation of titles and
instruments
|
|
Item
|
The Designated
Authority may 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 petroleum 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.
Greenhouse gas titles and instruments
(2) The table has effect:
|
Variation of titles and
instruments
|
|
Item
|
The responsible
Commonwealth Minister may issue an instrument varying...
|
for the sole purpose
of...
|
|
1
|
a greenhouse gas assessment permit that was in force immediately
before the changeover time
|
relabelling the permit area using geographic coordinates
based on the current datum.
|
|
2
|
a greenhouse gas holding lease that was in force
immediately before the changeover time
|
relabelling the lease area using geographic coordinates
based on the current datum.
|
|
3
|
a greenhouse gas injection licence that was in force
immediately before the changeover time
|
relabelling the licence area using geographic coordinates
based on the current datum.
|
|
4
|
a greenhouse gas search authority that was in force
immediately before the changeover time
|
relabelling the authority area using geographic
coordinates based on the current datum.
|
|
5
|
a greenhouse gas special authority that was in force
immediately before the changeover time
|
relabelling the authority area using geographic
coordinates based on the current datum.
|
|
6
|
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.
|
|
7
|
a greenhouse gas 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
Petroleum titles
(1) The Designated Authority may issue an
instrument varying an application for a petroleum title for the sole purpose of
relabelling a point, line or area by reference to geographic coordinates based
on the current datum.
Greenhouse gas titles
(2) The responsible Commonwealth Minister may
issue an instrument varying an application for a greenhouse gas 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 B—Certain 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 3—Apportionment 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 1.3—Joint Authorities and Designated Authorities
Division 1—Joint 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 or the
regulations confer 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 or the regulations confer 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 or the regulations confer 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 2—Designated 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 or the regulations confer 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 or the regulations confer 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 or the regulations confer 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 or the regulations confer 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 3—Finance
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 1.4—Application 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 2—Regulation of activities relating to petroleum
Part 2.1—Introduction
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 Joint 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 2.2—Petroleum exploration permits
Division 1—General 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 Joint 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 2—Obtaining 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 3—Obtaining 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 4—Obtaining 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 5—Renewal 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 6—Locations
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 Joint 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 Joint 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 Joint Authority.
130
Requirement to nominate blocks as a location
Requirement to nominate
(1) If:
(a) the Joint 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 Joint 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 Joint Authority
allows.
(2) The Joint 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 Joint 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
Joint Authority is of the opinion that the permittee is entitled under that
section to nominate the block or blocks specified in the nomination;
the Joint 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 Joint Authority may form an opinion
for the purposes of this section if the Joint Authority considers that there
are reasonable grounds for doing so having regard to any information the Joint
Authority has, whether given by the permittee or otherwise.
Nomination by Joint Authority
(4) If the Joint Authority has made a
nomination under section 130, the Joint 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 a petroleum 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 Joint
Authority to revoke the declaration of the location;
the Joint 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 Joint 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 Joint
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 Joint 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 Joint 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
Joint 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 Joint Authority, a petroleum pool within the location extends;
or
(b) by deleting from the location a
block to which, in the opinion of the Joint 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 Joint Authority may vary a
declaration only if:
(a) the permittee requests the
variation; or
(b) all of the following conditions
are satisfied:
(i) the Joint 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 Joint Authority a submission about the proposed
variation;
(iii) the notice specifies a
time limit for making the submission;
(iv) the Joint 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 Joint Authority may form an opinion
for the purposes of this section if the Joint Authority considers that there
are reasonable grounds for doing so having regard to any information the Joint
Authority has, whether given by the permittee or otherwise.
Part 2.3—Petroleum retention leases
Division 1—General 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 2—Obtaining a petroleum retention lease
Subdivision A—Application 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 B—Application 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 3—Renewal 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 4—Revocation 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 2.4—Petroleum production licences
Division 1—General 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 2—Obtaining 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 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 3—Obtaining 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 4—Obtaining 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 5—Renewal 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 6—What 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 7—Petroleum field development
Subdivision A—Directions 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 B—Unit 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 2.5—Infrastructure licences
Division 1—General 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 2—Obtaining 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 3—Varying 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 4—Directions 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 2.6—Pipeline licences
Division 1—General 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.
Defences
(7) Subsection (1) does 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) Subsection (1) does 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.
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 2—Obtaining 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 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, 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 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 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 3—Varying 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: 100 penalty units.
(5A) An offence against subsection (5) is
an offence of strict liability.
Note: For strict liability, see section 6.1 of
the Criminal Code.
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 4—Pipeline 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: 100 penalty units.
(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.
(4) An offence against subsection (1) is
an offence of strict liability.
Note: For strict liability, see section 6.1 of
the Criminal Code.
Part 2.7—Petroleum special prospecting authorities
Division 1—General 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 2—Obtaining 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 2.8—Petroleum access authorities
Division 1—General 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 2—Obtaining 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;
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 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 3—Variation 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 4—Reporting 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: 50 penalty units.
(3) An offence against subsection (2) is
an offence of strict liability.
Note: For strict liability, see section 6.1 of
the Criminal Code.
Division 5—Revocation 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 2.9—Petroleum 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 Joint Authority may grant a petroleum
scientific investigation consent subject to whatever conditions the Joint
Authority thinks appropriate.
(2) The conditions (if any) must be specified
in the consent.
254 Grant of petroleum scientific investigation
consent
(1) The Joint 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 2.10—Standard 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 2.11—Variation, suspension and exemption
Division 1—Variation, 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 2—Variation, 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 2.12—Surrender of titles
Division 1—Surrender 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 2—Surrender 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 2.13—Cancellation of titles
Division 1—Cancellation 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 2—Cancellation 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 2.14—Other 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: 100 penalty units.
(4) An offence against subsection (3) is
an offence of strict liability.
Note: For strict liability, see section 6.1 of
the Criminal Code.
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,
petroleum retention lease area or petroleum production licence area
Scope
(1) This section applies if petroleum is
discovered in a petroleum exploration permit area, a petroleum retention lease
area or a petroleum production licence area.
Notification
(2) The permittee, lessee or licensee must
inform the Designated Authority of the discovery before the end of the 30‑day
period that began on the day of completion of the well that resulted in the
discovery.
(4) Subsection (2) does 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); and
(b) the person omits to do an act; and
(c) the omission breaches the
requirement.
Penalty: 100 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.
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 3—Regulation of
activities relating to injection and storage of greenhouse gas substances
Part 3.1—Introduction
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 3.2—Greenhouse gas assessment permits
Division 1—General 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 2—Obtaining 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 Petroleum
retention lessee or petroleum 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, 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 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
before 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 or licensee 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 3—Obtaining 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 Petroleum
retention lessee or petroleum 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
before 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 or licensee 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 4—Renewal 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 5—Declaration 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 6—Directions
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 3.3—Greenhouse gas holding leases
Division 1—General 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 2—Obtaining a greenhouse gas holding lease
Subdivision A—Application 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 B—Application 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 C—Application 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 D—Application 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 Petroleum
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 3—Renewal 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 4—Directions
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 5—Special 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 6—Cancellation 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 3.4—Greenhouse gas injection licences
Division 1—General 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 on the basis that the responsible Commonwealth Minister is
satisfied of the matter set out in subparagraph 370(c)(i), the origin or
origins specified under paragraph (3)(f) of this section must be situated
in the licence area of the petroleum production licence.
(8A) If a greenhouse gas injection licence is
granted under section 372 to the registered holder of a petroleum
production licence on the basis that the responsible Commonwealth Minister is
satisfied of the matter set out in subparagraph 370(c)(ii), the specified origin
or origins of some or all of the greenhouse gas substance must be situated in:
(a) the licence area of a petroleum
production licence; or
(b) the licence areas of petroleum
production licences.
(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 2—Obtaining a greenhouse gas injection licence
Subdivision A—Application 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 B—Application 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 3—Variations
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.
(4A) If:
(a) the licence was granted under
section 372 to the registered holder of a petroleum production licence on
the basis that the responsible Commonwealth Minister was satisfied of the
matter set out in subparagraph 370(c)(i); and
(b) the responsible Commonwealth
Minister is satisfied that it is in the public interest to do so;
the responsible Commonwealth Minister may exercise the
power of variation conferred by subsection (3) as if the licence had been
granted on the basis that the responsible Commonwealth Minister had been
satisfied of the matter set out in subparagraph 370(c)(ii).
(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 4—Directions
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 5—Dealing 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 6—Protection 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 7—Site 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 8—Long‑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 3.5—Greenhouse gas search authorities
Division 1—General 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 2—Obtaining 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 3.6—Greenhouse gas special authorities
Division 1—General 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 2—Obtaining 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 3—Variation 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 4—Reporting 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: 50 penalty units.
(3) An offence against subsection (2) is
an offence of strict liability.
Note: For strict liability, see section 6.1 of
the Criminal Code.
Division 5—Revocation 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 3.7—Greenhouse 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 3.8—Standard 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 3.9—Variation, suspension and exemption
Division 1—Variation, 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 2—Variation, 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 3.10—Surrender of titles
Division 1—Surrender 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 2—Surrender 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 3.11—Cancellation of titles
Division 1—Cancellation 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 2—Cancellation 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 3.12—Other 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: 100 penalty units.
(9) An offence against subsection (8) is
an offence of strict liability.
Note: For strict liability, see section 6.1 of
the Criminal Code.
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
inform the responsible Commonwealth Minister of the discovery before the end of
the 30‑day period that began on the day of completion of the well that resulted
in the discovery.
(4) Subsection (2) does 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); and
(b) the person omits to do an act; and
(c) the omission breaches the
requirement.
Penalty: 100 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.
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: 100 penalty units.
(4) An offence against subsection (3) is
an offence of strict liability.
Note: For strict liability, see section 6.1 of
the Criminal Code.
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.