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Resources Legislation Amendment (General) Act 2012

No. 64 of 2012

TABLE OF PROVISIONSSection Page

PART 1—PRELIMINARY 1

1 Purposes 12 Commencement 3

PART 2—AMENDMENT OF GEOTHERMAL ENERGY RESOURCES ACT 2005 4

3 Interpretation 44 New Parts 5A and 5B inserted 4

PART 5A—SPECIAL ACCESS AUTHORISATIONS 4

57A Special access authorisation 457B Application for authorisation 557C General criteria the Minister must consider 657D Criteria that apply to permit, lease and licence areas 657E Exception to section 57D 757F Minister may vary area to which authorisation applies 857G Authorisation does not give exclusive rights 857H Term of authorisation 857I Extension of term of authorisation 957J Permit, lease or licence holder not liable for actions

of authorisation holder 957K Authorisation holder must give data to the Minister 957L Authorisation holder must give data to permit, lease

or licence holder 10

PART 5B—SPECIAL DRILLING AUTHORISATIONS 11

57M Special drilling authorisation 1157N Application for special drilling authorisation 1157O General criteria the Minister must consider 1257P Criteria that apply to permit, lease and licence areas 1357Q Exception to section 57P 1357R Minister may vary area to which authorisation applies 1457S Authorisation does not give exclusive rights 1457T Term of authorisation 15

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57U Existing permit, lease or licence holder not liable for actions of authorisation holder 15

57V Authorisation holder must give data to the Minister 1657W Authorisation holder must give data to permit, lease

or licence holder 165 New section 61A inserted 17

61A Production operations also override planning schemes 17

6 Planning permits 187 New section 63A inserted 18

63A Statutory condition of authority 188 New section 69A inserted 19

69A Transfers in relation to special drilling authorisations 199 New section 73A inserted 19

73A Partial surrender of authority 1910 Cancellation of authority 2011 New sections 74A and 74B inserted 20

74A Special drilling authorisation suspended or cancelled if primary authorisation suspended or cancelled 20

74B Special drilling authorisation expires if primary authorisation expires 20

12 New Divisions 8 and 9 of Part 6 inserted 21

Division 8—Miscellaneous matters 21

78B Excision of area does not affect authority 2178C Expedited procedure for replacement of invalidated

title 2178D Occupiers liability 21

Division 9—Planning matters 22

78E Exploration under authority overrides planning schemes 22

78F Amendments to planning schemes to facilitate exploration and extraction 23

PART 3—AMENDMENT OF MINERAL RESOURCES (SUSTAINABLE DEVELOPMENT) ACT 1990 25

13 Land which cannot be subject to a licence or authority under the Act 25

14 Royalties 2515 Royalties for lignite 2516 Licences may be limited to stratum of land 2617 Prospecting licences 2618 New section 14BA inserted 26

14BA Holder of prospecting licence must not dispose of tailings contrary to Minister's consent 26

19 Application for a licence 2720 Notice of applications 2821 Multiple applications 2822 Grant or refusal of licence 2923 Application procedure 2924 Division heading amended 2925 Statement of economic significance if agricultural land

covered by licence 2926 Excision of agricultural land from a licence 2927 Renewals of licences 2928 Transfer of licence 3029 Authority to enter land 3030 Work must be approved 3031 Chief Inspector to be notified of reportable events in relation

to mines 3032 Commencement of work under a prospecting licence 3033 Works under a licence 3134 Certain consents etc. not required in case of unrestricted

Crown land 3135 Tourist fossicking authority 3136 Functions of Department Head regarding mining register 3137 Giving of work plan or variation to approved work plan for

statutory endorsement 3138 Department Head may endorse work plan or variation to

approved work plan 3239 Review by Tribunal 3240 Savings and transitional provisions arising from the Mineral

Resources Amendment (Sustainable Development) Act 2010 33

PART 4—AMENDMENT OF GREENHOUSE GAS GEOLOGICAL SEQUESTRATION ACT 2008 35

41 Definitions 3542 New Part 8A inserted 36

PART 8A—SPECIAL DRILLING AUTHORISATIONS 36

146A Special drilling authorisation 36146B Application for special drilling authorisation 37146C General criteria the Minister must consider 38146D Criteria that apply to permit, lease and licence areas 38146E Exception to section 146D 38146F Minister may vary area to which authorisation applies 39146G Authorisation does not give exclusive rights 39146H Term of authorisation 40146I Existing permit, lease or licence holder not liable for

actions of authorisation holder 41

146J Authorisation holder must give data to the Minister 41146K Authorisation holder must give data to permit, lease

or licence holder 4143 New section 164A inserted 42

164A Transfers in relation to special drilling authorisations 4244 New sections 175A and 175B inserted 43

175A Special drilling authorisation suspended or cancelled if primary authorisation suspended or cancelled 43

175B Special drilling authorisation expires or is terminated if primary authorisation expires or is terminated 44

45 Surveys and drilling operations 44

PART 5—AMENDMENT OF PETROLEUM ACT 1998 45

46 General definitions 4547 Reference to chief factors 4648 New section 20B inserted 46

20B Chief factors to be considered when there is only one application 46

49 Notice to be given to applicants 4650 Restrictions on permit area 47

25 Permit area for exploration permits 4751 Term of permit 4752 Renewal of permit 4753 Special drilling authorisation 4854 Authorisation holder must give data to permit, lease or

licence holder 4855 Transfers in relation to special drilling authorisations 4856 Cancellation of authority 4857 Special drilling authorisation suspended or cancelled if

primary authorisation suspended or cancelled 4858 Special drilling authorisation expires or is terminated if

primary authorisation expires or is terminated 4959 Production operations also override planning schemes 4960 Alternative approvals 5061 Department surveys 50

PART 6—AMENDMENT OF OFFSHORE PETROLEUM AND GREENHOUSE GAS STORAGE ACT 2010 52

62 Simplified outline 5263 Simplified outline 5264 Rights conferred by petroleum access authority 5265 Simplified outline 5366 Simplified outline 5367 Rights conferred by greenhouse gas special authority 5368 Offences under regulations 54

PART 7—AMENDMENT OF PIPELINES ACT 2005 55

69 New section 18A inserted 5518A Compliance with approved consultation plan 55

70 Consent to entry onto Crown land 5571 Referral of submissions to panel 5672 Application to alter authorised route—significant alterations 56

PART 8—AMENDMENT OF INTERPRETATION OF LEGISLATION ACT 1984 57

73 Removal of redundant reference 57

PART 9—AMENDMENT OF RESOURCES LEGISLATION AMENDMENT ACT 2011 58

74 Part 3 repealed 58

PART 10—REPEAL OF AMENDING ACT 59

75 Repeal of amending Act 59═══════════════

ENDNOTES 60

Resources Legislation Amendment (General) Act 2012†

No. 64 of 2012

[Assented to 30 October 2012]

The Parliament of Victoria enacts:

PART 1—PRELIMINARY

1 Purposes

The main purposes of this Act are—

(a) to amend the Geothermal Energy Resources Act 2005 to provide for special access authorisations and special drilling authorisations for the purpose of geothermal energy exploration and extraction; and

Victoria

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(b) to amend the Mineral Resources (Sustainable Development) Act 1990—

(i) to provide for the ranking of licence applications and the transfer of licences; and

(ii) to further provide for prospecting licence holder entitlements and a new offence; and

(c) to amend the Greenhouse Gas Geological Sequestration Act 2008 to provide for special drilling authorisations for the purpose of greenhouse gas sequestration exploration operations; and

(d) to amend the Petroleum Act 1998—

(i) to provide for competing offers for an exploration permit and restrictions on a permit area; and

(ii) to further provide for special drilling authorisations for the purpose of petroleum operations; and

(e) to amend the Offshore Petroleum and Greenhouse Gas Storage Act 2010—

(i) to allow a registered holder to make a deviation well that enters an adjacent permit, lease or licence area that is the subject of a permit, lease and licence held by the registered holder; and

(ii) to increase the maximum penalty for an offence against the regulations; and

(f) to amend the Interpretation of Legislation Act 1984 to remove a redundant reference to the Offshore Petroleum and Greenhouse Gas Storage Act 2010; and

Section Page

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s. 1

(g) to make minor and technical amendments to the Geothermal Energy Resources Act 2005, Mineral Resources (Sustainable Development) Act 1990, Greenhouse Gas Geological Sequestration Act 2008, Petroleum Act 1998 and the Pipelines Act 2005 to improve the operation of those Acts.

2 Commencement

(1) Parts 1 and 9 come into operation on the day after the day on which this Act receives the Royal Assent.

(2) Subject to subsection (3), the remaining provisions of this Act come into operation on a day or days to be proclaimed.

(3) If a provision of this Act referred to in subsection (2) does not come into operation before 1 August 2013, it comes into operation on that day.

__________________

Section Page

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s. 2

PART 2—AMENDMENT OF GEOTHERMAL ENERGY RESOURCES ACT 2005

3 Interpretations. 3

See:Act No.7/2005.Reprint No. 1 as at31 July 2008 and amending Act Nos 4/2008, 10/2010, 55/2010, 62/2010, 74/2010, 53/2011 and 17/2012. LawToday: www. legislation. vic.gov.au

(1) In section 4(1) of the Geothermal Energy Resources Act 2005, in the definition of authority, after "exploration permit," insert "a special access authorisation, a special drilling authorisation,".

(2) In section 4(1) of the Geothermal Energy Resources Act 2005 insert the following definitions—

"current authority holder means the holder of a primary authorisation;

drilling authorisation area means an area specified in a special drilling authorisation granted under Part 5B;

exploration permit means an exploration permit granted under section 20A;

extraction licence means an extraction licence granted under Part 4;

primary authorisation means an exploration permit, retention lease or extraction licence;

retention lease means a retention lease granted under section 36;".

4 New Parts 5A and 5B inserted

After Part 5 of the Geothermal Energy Resources Act 2005 insert—

Part 10—Repeal of Amending Act

Resources Legislation Amendment (General) Act 2012No. 64 of 2012

4

"PART 5A—SPECIAL ACCESS AUTHORISATIONS

57A Special access authorisation

(1) A special access authorisation authorises the person holding it to carry out the geothermal energy exploration specified in the authorisation in the area in respect of which it is granted.

(2) A special access authorisation does not authorise the holder of the authorisation to make a well.

(3) A special access authorisation does not give the holder of the authorisation any rights with respect to any geothermal energy within the area in respect of which it is granted.

(4) It is not necessary for the holder of a special access authorisation to be the holder of an exploration permit, a retention lease or an extraction licence.

57B Application for authorisation

(1) A person may apply to the Minister for the grant of a special access authorisation in respect of any area.

(2) In addition to complying with section 58, an applicant for a special access authorisation—

(a) must describe and precisely identify the area in respect of which the authorisation is sought; and

(b) must describe in detail the geothermal energy exploration that the person seeks to carry out in that area; and

(c) must submit details of—

(i) its relevant technical qualifications and of the relevant

s. 4Part 10—Repeal of Amending Act


5

technical qualifications of its employees; and

(ii) the relevant technical advice available to it; and

(iii) the financial resources available to it.

57C General criteria the Minister must consider

(1) In determining whether or not to grant a special access authorisation, the Minister must take into account the geological and geophysical nature of the area in respect of which the application is made, and any discoveries that have been made in the area by any other person.

(2) The Minister must not grant an application for an authorisation unless he or she is satisfied that the applicant—

(a) has the technical qualifications (or has employees that have the technical qualifications), has access to the technical advice and has the financial resources that will be necessary to enable the geothermal energy exploration proposed in the application to be undertaken; and

(b) has the ability to comply with this Act.

(3) The Minister must not grant an authorisation in respect of an area unless he or she is satisfied that the size of the area is appropriate having regard to the geothermal energy exploration proposed in respect of the area by the person applying for the authorisation.



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57D Criteria that apply to permit, lease and licence areas

(1) This section applies if any part of the area in respect of which a special access authorisation is sought falls within an area that is the subject of an exploration permit, a retention lease or an extraction licence.

(2) The Minister must not grant an authorisation in respect of that part of the area unless—

(a) he or she has taken into account the work program of the holder of the permit, lease or licence; and

(b) he or she is satisfied that the geothermal energy exploration proposed to be carried out under the authorisation will not be detrimental to, or unduly interfere with, any current or proposed future geothermal energy exploration of the holder of the permit, lease or licence; and

(c) the holder of the permit, lease or licence has consented in writing to the issue of the authorisation in respect of that part of the area.

57E Exception to section 57D

Despite section 57D(2)(c), the Minister may grant a special access authorisation in respect of an area that is the subject of an exploration permit, a retention lease or an extraction licence without the consent of the holder of the permit, lease or licence if—

(a) in the opinion of the Minister, the likely geological information to be gained if the authorisation is granted in respect of

s. 4s. 4Part 10—Repeal of Amending Act


7

that area will be of significant benefit to Victoria; and

(b) the Minister—

(i) notifies the holder of the permit, lease or licence in writing that the Minister is proposing to exercise his or her powers under this section, and of the reasons why he or she is proposing to do so; and

(ii) gives the holder 28 days to make any submissions it wishes in relation to the proposal; and

(c) the Minister considers any submissions made in response to the notice and also takes into account any commercial consequences to the holder of the permit, lease or licence that may be likely if the authorisation is granted.

57F Minister may vary area to which authorisation applies

In granting a special access authorisation, the Minister may vary in any way he or she considers appropriate the size or the boundaries of the area in respect of which the authorisation was sought.

57G Authorisation does not give exclusive rights

(1) The Minister may grant a special access authorisation in respect of an area, or any part of an area, that is already the subject of another special access authorisation.

(2) The Minister may grant an exploration permit, a retention lease or an extraction licence in respect of an area, or any part of



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an area, that is already the subject of a special access authorisation.

57H Term of authorisation

(1) A special access authorisation continues in force for the period specified on the authorisation by the Minister, unless it is cancelled or surrendered earlier or unless this Act otherwise provides.

(2) The Minister may specify a period of up to 1 year on the authorisation.

57I Extension of term of authorisation

(1) On the application of the holder of a special access authorisation, the Minister may extend the period for which the authorisation remains in force by up to 1 year.

(2) The Minister may only grant such an extension once in relation to an authorisation.

57J Permit, lease or licence holder not liable for actions of authorisation holder

(1) This section applies if any part of the area in respect of which a special access authorisation is granted falls within an area that is the subject of an exploration permit, a retention lease or an extraction licence.

(2) The holder of the permit, lease or licence is not liable in any way for any thing that is done or not done by the holder of the authorisation.

(3) Subsection (2) applies even if the holder of the permit, lease or licence consented to the granting of the authorisation in respect of the permit, lease or licence area.



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57K Authorisation holder must give data to the Minister

(1) The holder of a special access authorisation must give a copy of all factual information obtained as a result of geothermal energy exploration carried out under the authorisation to the Minister within 30 days of the information being obtained.

Penalty: 60 penalty units.

(2) A reference to factual information in this section includes any report compiled on the basis of information obtained under the authorisation.

57L Authorisation holder must give data to permit, lease or licence holder

(1) This section applies if any part of a special access authorisation area falls within an area that is the subject of an exploration permit, a retention lease or an extraction licence.

(2) The holder of the authorisation must give a copy of any factual information obtained as a result of geothermal energy exploration carried out under the authorisation in that part of the area to the holder of the permit, lease or licence within 30 days after completing in that part of the area the geothermal energy exploration from which the information was obtained.

(3) If there is an agreement between the holder of the authorisation and the holder of the permit, lease or licence in relation to the supply of the information, that agreement prevails over anything to the contrary in this section.



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(4) A person must not impose any conditions on the supply of information under this section.

(5) A person must comply with any obligation imposed on it by this section.


__________________

PART 5B—SPECIAL DRILLING AUTHORISATIONS

57M Special drilling authorisation

(1) A special drilling authorisation authorises—

(a) a holder of an exploration permit, retention lease, extraction licence—

(i) to carry out geothermal energy exploration in the drilling authorisation area; and

(ii) to do anything in the drilling authorisation area that is necessary for the purposes of subparagraph (i);

(b) a holder of an extraction licence—

(i) to carry out geothermal energy extraction in the drilling authorisation area; and

(ii) to do anything in the drilling authorisation area that is necessary for the purposes of subparagraph (i).

(2) A special drilling authorisation does not give a current authority holder any rights in



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respect of resources in the drilling authorisation area.

57N Application for special drilling authorisation

(1) A current authority holder may apply to the Minister for the grant of a special drilling authorisation in respect of an area adjacent to the area set out in the primary authorisation held by the holder.

(2) In addition to complying with section 58, an applicant for a special drilling authorisation must—

(a) describe and precisely identify the area in respect of which the authorisation is sought; and

(b) describe in detail the geothermal energy operation that the person seeks to carry out in that area; and

(c) submit details of—

(i) its relevant technical qualifications and of the relevant technical qualifications of its employees; and



57O General criteria the Minister must consider

(1) The Minister must not grant an application for an authorisation unless the Minister is satisfied that the applicant holds a primary authorisation in respect of an area that is



12

adjacent to the proposed drilling authorisation area.

(2) The Minister must not grant an authorisation in respect of an area unless the Minister is satisfied that the size of the area is appropriate having regard to the geothermal energy operation proposed in respect of the area by the person applying for the authorisation.

57P Criteria that apply to permit, lease and licence areas

(1) This section applies if any part of the area in respect of which a special drilling authorisation is sought falls within an area that is the subject of an exploration permit, retention lease or extraction licence held by a current authority holder who is not the applicant.

(2) The Minister must not grant an authorisation in respect of that part of the area unless that current authority holder has consented in writing to the issue of the authorisation in respect of that part of the area.

57Q Exception to section 57P

Despite section 57P(2), the Minister may grant a special drilling authorisation in respect of an area that is the subject of a primary authorisation held by a current authority holder who is not the applicant without the consent of that holder if—

(a) the Minister—

(i) notifies that holder in writing that the Minister is proposing to exercise the Minister's powers



13

under this section, and of the reasons why the Minister is proposing to do so; and

(ii) gives that holder 28 days to make any submissions it wishes in relation to the proposal; and

(b) the Minister considers any submissions made in response to the notice and also takes into account any commercial consequences to that holder that may be likely if the authorisation is granted.

57R Minister may vary area to which authorisation applies

In granting a special drilling authorisation, the Minister may vary in any way the Minister considers appropriate the size or the boundaries of the area in respect of which the authorisation was sought.

57S Authorisation does not give exclusive rights

(1) The Minister may grant a special drilling authorisation in respect of an area, or any part of an area, that is already the subject of another special drilling authorisation.

(2) The Minister must not grant a special drilling authorisation in respect of an area, or any part of an area, that is already the subject of another special drilling authorisation unless—

(a) the Minister has taken into account the work program of the current holder of the special drilling authorisation; and

(b) the Minister is satisfied that the geothermal energy operation proposed to be carried out under the authorisation



14

will not be detrimental to, or unduly interfere with, any current or proposed future geothermal energy operation of the current holder of the special drilling authorisation; and

(c) the current holder of the special drilling authorisation has consented in writing to the issue of another special drilling authorisation in respect of that part of the area.

(3) The Minister may grant an exploration permit, a retention lease or an extraction licence in respect of an area, or any part of an area, that is already the subject of a special drilling authorisation.

57T Term of authorisation

A special drilling authorisation continues in force for the period specified in the authorisation by the Minister—

(a) until it is cancelled by the Minister; or

(b) until it is surrendered; or

(c) until a primary authorisation in respect of or adjacent to the drilling authorisation area specified in the authorisation expires or is surrendered, cancelled or terminated; or

(d) unless this Act otherwise provides.

57U Existing permit, lease or licence holder not liable for actions of authorisation holder

(1) This section applies if any part of the drilling authorisation area falls within an area that is the subject of a primary authorisation held



15

by a current authority holder who is not the holder of a special drilling authorisation.

(2) The current authority holder is not liable in any way for any thing that is done or not done by the holder of the special drilling authorisation.

(3) Subsection (2) applies even if the current authority holder consented to the granting of the special drilling authorisation in respect of the drilling authorisation area.

57V Authorisation holder must give data to the Minister

(1) The holder of a special drilling authorisation must give a copy of all factual information obtained as a result of a geothermal energy operation carried out under the authorisation to the Minister within 30 days of the information being obtained.



57W Authorisation holder must give data to permit, lease or licence holder

(1) This section applies if any part of a special drilling authorisation area falls within an area that is the subject of a primary authorisation held by a current authority holder who is not the holder of the special drilling authorisation.

(2) The holder of a special drilling authorisation must give a copy of any factual information obtained as a result of a geothermal energy



16

operation carried out under the authorisation in that part of the area to the current authority holder within 30 days after completing in that part of the area the operation from which the information was obtained.

(3) If there is an agreement between the holder of the authorisation and the current authority holder in relation to the supply of the information, that agreement prevails over anything to the contrary in this section.


(5) A person must comply with any obligation imposed on the person by this section.


__________________".

5 New section 61A inserted

After section 61 of the Geothermal Energy Resources Act 2005 insert—

"61A Production operations also override planning schemes

(1) The holder of an extraction licence may be granted a permit under a planning scheme to carry out in the licence area for that licence any geothermal energy extraction authorised by that licence.

(2) In addition, if the holder of the extraction licence holds a special drilling authorisation, the holder may be granted a permit under a planning scheme to carry out in the drilling authorisation area for that authorisation any geothermal energy extraction authorised by that authorisation.



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(3) Subsections (1) and (2) apply despite anything to the contrary in a planning scheme that applies to a licence area or drilling authorisation area mentioned in those subsections.

Note

See also section 63A which sets out the statutory condition that applies to an authority.".

6 Planning permits

(1) In section 62 of the Geothermal Energy Resources Act 2005, for "to carry out any geothermal energy extraction operation authorised by the licence" substitute "or a special drilling authorisation".

(2) In section 62 of the Geothermal Energy Resources Act 2005, for "the operation" substitute "the geothermal energy extraction authorised by the licence or authorisation".

(3) In section 62 of the Geothermal Energy Resources Act 2005—

(a) in paragraph (a), for "operation" substitute "geothermal energy extraction";

(b) in paragraph (c), for "licence in writing to carry out the operation" substitute "licence or the authorisation in writing to carry out the geothermal energy extraction".



"63A Statutory condition of authority



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(1) In addition to the conditions specified on the authority by the Minister under this Part, an authority is subject to the condition that the holder of the authority must comply with all applicable laws in carrying out any geothermal energy operation under the authority.

(2) Despite anything to the contrary in this Act (other than section 62 or Division 9 of Part 6) this condition cannot be varied.".



"69A Transfers in relation to special drilling authorisations

(1) This section applies if a primary authorisation that is the basis for a special drilling authorisation granted under Part 5B is transferred under this Act.

(2) Despite anything to the contrary in this Act, the special drilling authorisation to which that primary authorisation relates is taken to be transferred to the person to whom the primary authorisation is transferred on the same day the primary authorisation is transferred.".



"73A Partial surrender of authority

(1) The holder of an authority may apply to the Minister for the Minister's consent to the



19

surrender of part of the area to which the authority applies.

(2) The Minister must not give his or her consent to the surrender of the part of the area unless he or she is satisfied that the holder of the authority has complied with all of the requirements listed in section 73(2) in respect of the part of the area.

(3) The Minister may make the giving of his or her consent conditional on the holder of the authority agreeing to the variation of the conditions that apply to the area that will be retained under the authority.

(4) Section 73(3) and (4) also apply to applications for consent under this section.".

10 Cancellation of authority

In section 74(b) of the Geothermal Energy Resources Act 2005, for "the conditions" substitute "any condition".

11 New sections 74A and 74B inserted


"74A Special drilling authorisation suspended or cancelled if primary authorisation suspended or cancelled

(1) If a primary authorisation that is the basis for a special drilling authorisation granted under Part 5B is cancelled under this Act, the special drilling authorisation that relates to that primary authorisation is taken to be cancelled on the same day the primary authorisation is cancelled.

(2) If a primary authorisation that is the basis for a special drilling authorisation granted under Part 5B is suspended under this Act, the



20

special drilling authorisation that relates to that primary authorisation is taken to be suspended on the same day the primary authorisation is suspended.

74B Special drilling authorisation expires if primary authorisation expires

If a primary authorisation that is the basis for a special drilling authorisation granted under Part 5B expires under this Act, the special drilling authorisation that relates to that primary authorisation is taken to expire on the same day the primary authorisation expires.".

12 New Divisions 8 and 9 of Part 6 inserted

After Division 7 of Part 6 of the Geothermal Energy Resources Act 2005 insert—

"Division 8—Miscellaneous matters

78B Excision of area does not affect authority

The excision of an area from an authority area does not affect the authority except in the ways expressly provided for in this Act.

78C Expedited procedure for replacement of invalidated title

(1) This section applies if—

(a) a court or tribunal finds an authority to be wholly or partly invalid and the invalidity stems from circumstances that were beyond the control of the holder of the authority; and

(b) the person who held the authority applies within 60 days after the finding to the Minister for the grant of an authority of the same type for all or part of the former authority area.



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(2) The Minister may grant the authority to the person without the need to comply with any procedural requirement that would usually apply to the grant of such an authority.

(3) In granting an authority under this section, the Minister may impose any conditions the Minister considers to be appropriate on the authority.

78D Occupiers liability

(1) For the purposes of Part IIA of the Wrongs Act 1958 and the rules of common law with respect to the liability of occupiers to people entering on their premises, the holder of an authority is the occupier of that part of any premises on which any geothermal energy operation is being carried out under the authority, and not any other person.

(2) An occupier of any premises that is in an area to which an authority applies does not, unless the occupier is also the holder of the authority, owe a duty to take care of any person entering on those premises for the purpose of carrying out an operation under the authority.

(3) Subsection (2) applies despite anything to the contrary in Part IIA of the Wrongs Act 1958 or the rules of common law with respect to the liability of an occupier to a person entering on the occupier's premises.

(4) Nothing in subsection (2) limits any other duty owed by an occupier to a person entering on the occupier's premises in the circumstances described in that subsection.

Division 9—Planning matters



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78E Exploration under authority overrides planning schemes

(1) The holder of an authority may carry out in accordance with the authority geothermal energy exploration in the authority area—

(a) without obtaining a permit under the planning scheme that applies to the authority area; and

(b) without complying with any conditions specified in that planning scheme in relation to the use or development of that land for exploration.

(2) Subsection (1) applies even if the planning scheme wholly or partly prohibits the use or development of the authority area for exploration.

78F Amendments to planning schemes to facilitate exploration and extraction

(1) In addition to any other power to prepare, adopt or approve amendments to planning schemes, the Minister administering the Planning and Environment Act 1987 may—

(a) on the recommendation of the Minister, prepare; and

(b) adopt and approve—

amendments to any planning scheme to facilitate geothermal energy operation on any land to which the planning scheme applies.

(2) Without limiting what an amendment may include, an amendment prepared under subsection (1) may provide that, in the circumstances set out in section 62, no permit is required to do any thing authorised by an authority.

s. 12s. 12Part 10—Repeal of Amending Act


23

(3) The Planning and Environment Act 1987 (except section 12(2), Divisions 1 and 2 of Part 3 and section 39(1) to (5) and any regulations made for the purposes of those provisions) applies to the preparation, adoption and approval of an amendment under subsection (1).

(4) Section 39(7) of the Planning and Environment Act 1987 applies to an amendment prepared, adopted or approved under subsection (1) as if before "Division 1" there were inserted "section 12(1) or".

(5) Section 39(8) of the Planning and Environment Act 1987 applies to an amendment prepared or adopted under subsection (1) as if—

(a) the expression "Except for an application under this section," were deleted; and

(b) before "Division 1" there were inserted "section 12(1) or".

(6) Section 46 of the Planning and Environment Act 1987 does not apply to a planning scheme to the extent to which, because of an amendment prepared, adopted or approved under subsection (1), it is expressed or purports to deal with any land that has been permanently reserved for any purpose set out in section 4 of the Crown Land (Reserves) Act 1978 in any manner inconsistent with that reservation.

(7) Nothing in this section prevents either House of Parliament exercising its power under section 38 of the Planning and Environment Act 1987.".

__________________



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PART 3—AMENDMENT OF MINERAL RESOURCES (SUSTAINABLE DEVELOPMENT) ACT 1990

13 Land which cannot be subject to a licence or authority under the Act

s. 13See:Act No.92/1990.Reprint No. 8 as at14 October 2010 and amending Act Nos 59/2010, 74/2010, 78/2010, 29/2011, 53/2011, 17/2012 and 43/2012. LawToday: www. legislation. vic.gov.au

For section 6(1)(e) of the Mineral Resources (Sustainable Development) Act 1990 substitute—

"(e) land that is—

(i) under section 7 exempted from being subject to a licence; or

(ii) by or under any other Act exempted from exploration or mining, or being subject to a licence;

(f) land that is by or under any other Act exempted from—

(i) search for minerals or stone; or

(ii) the carrying out of an extractive industry; or

(iii) being subject to an authority under this Act.".

14 Royalties

(1) In section 12(1) of the Mineral Resources (Sustainable Development) Act 1990, after "mining licence" insert "or prospecting licence".



26


15 Royalties for lignite

(1) In section 12A(1) of the Mineral Resources (Sustainable Development) Act 1990, after "mining licence" insert "or prospecting licence".



16 Licences may be limited to stratum of land

In section 14A of the Mineral Resources (Sustainable Development) Act 1990, for "An exploration licence or mining licence" substitute "A licence".

17 Prospecting licences

After section 14B(2) of the Mineral Resources (Sustainable Development) Act 1990 insert—

"(2A) The holder of a prospecting licence may with the consent of the Minister, and in accordance with any conditions imposed by the Minister on that consent, dispose of any tailings produced by the holder during work under the licence.".

18 New section 14BA inserted

After section 14B of the Mineral Resources (Sustainable Development) Act 1990 insert—

"14BA Holder of prospecting licence must not dispose of tailings contrary to Minister's consent



27

A holder of a prospecting licence must not dispose of any tailings contrary to any consent of the Minister under section 14B(2A).

Penalty: 60 penalty units.".

19 Application for a licence

(1) In section 15(1A)(g)(i) of the Mineral Resources (Sustainable Development) Act 1990, for "; and" substitute "; or".

(2) Before section 15(1A)(h) of the Mineral Resources (Sustainable Development) Act 1990 insert—

"(ga) a prospecting licence over land that abuts land that is the subject of an application for a prospecting licence; or".

(3) Before section 15(3)(a) of the Mineral Resources (Sustainable Development) Act 1990 insert—

"(aa) if the application is not the only application that has been accepted, a statement that more than one application has been received and accepted and that the applications will be ranked in accordance with this Part; or".

(4) In section 15(3)(a) of the Mineral Resources (Sustainable Development) Act 1990—

(a) for "priority" (where first occurring) substitute "ranking";

(b) for "priority" (where secondly occurring) substitute "a higher ranking".

(5) In section 15(3)(b) of the Mineral Resources (Sustainable Development) Act 1990, for "priority" substitute "the highest ranking".



28

(6) In section 15(4) of the Mineral Resources (Sustainable Development) Act 1990—

(a) for "priority" (where first occurring) substitute "ranking";

(b) for "priority" (where secondly occurring) substitute "the highest ranking".

(7) In section 15(5) of the Mineral Resources (Sustainable Development) Act 1990, for "has priority" substitute "has the highest ranking".

(8) In section 15(5A) of the Mineral Resources (Sustainable Development) Act 1990, for "has priority" substitute "has the highest ranking".


20 Notice of applications

(1) In the heading to section 18 of the Mineral Resources (Sustainable Development) Act 1990, for "priority" substitute "the highest ranking".

(2) In section 18 of the Mineral Resources (Sustainable Development) Act 1990, for "priority" substitute "the highest ranking".

21 Multiple applications

(1) Insert the following heading to section 23 of the Mineral Resources (Sustainable Development) Act 1990—

"Ranking of applications".

(2) In section 23(1) of the Mineral Resources (Sustainable Development) Act 1990, for "assign an order of priority to those applications" substitute "rank those applications in accordance with this section".



29

(3) In section 23(2) of the Mineral Resources (Sustainable Development) Act 1990, for "assign the highest priority" substitute "give the highest ranking".

(4) In section 23(3) of the Mineral Resources (Sustainable Development) Act 1990—

(a) for "assigned the highest priority" substitute "given the highest ranking";

(b) for "priority" (where secondly occurring) substitute "ranking".

22 Grant or refusal of licence

In section 25(1)(d)(ii) of the Mineral Resources (Sustainable Development) Act 1990, for "priority" substitute "ranking".

23 Application procedure

In section 26AD(2) of the Mineral Resources (Sustainable Development) Act 1990, for "(6A) to (6C)" substitute "15(6A) to (6C)".

24 Division heading amended

In the heading to Division 4 of Part 2 of the Mineral Resources (Sustainable Development) Act 1990, after "mining licence" insert "or prospecting licence".

25 Statement of economic significance if agricultural land covered by licence

In section 26A(1) of the Mineral Resources (Sustainable Development) Act 1990, after "mining licence" insert "or prospecting licence".

26 Excision of agricultural land from a licence

In section 26B(1) of the Mineral Resources (Sustainable Development) Act 1990, after "mining licence" insert "or prospecting licence".



30

27 Renewals of licences

In section 31(2)(f) of the Mineral Resources (Sustainable Development) Act 1990, for "section 15(6)(a) to (d)" substitute "section 15(6)(a), (b), (ba), (c) or (d)".

28 Transfer of licence

In section 33(5) of the Mineral Resources (Sustainable Development) Act 1990, after "mining licence" insert "or prospecting licence".

29 Authority to enter land

In section 38AB(2)(b) of the Mineral Resources (Sustainable Development) Act 1990 omit "mining".

30 Work must be approved

In section 39(3) of the Mineral Resources (Sustainable Development) Act 1990, after "mining licence" insert "or prospecting licence".

31 Chief Inspector to be notified of reportable events in relation to mines

(1) In the heading to section 41AC of the Mineral Resources (Sustainable Development) Act 1990, for "mines" substitute "exploration or mining".

(2) In section 41AC(1) of the Mineral Resources (Sustainable Development) Act 1990 omit "at the mine".

(3) In section 41AC(2) of the Mineral Resources (Sustainable Development) Act 1990, after "an event" insert "arising out of exploration or mining".

32 Commencement of work under a prospecting licence

In section 42(6), (7), (8) and (9) of the Mineral Resources (Sustainable Development) Act 1990,



31

after "mining licence" insert "or prospecting licence".

33 Works under a licence

In section 43(3), (4) and (5) of the Mineral Resources (Sustainable Development) Act 1990, for "an exploration licence or mining licence" substitute "a licence".

34 Certain consents etc. not required in case of unrestricted Crown land

In section 43B(1) of the Mineral Resources (Sustainable Development) Act 1990, for "exploration licence or mining licence" substitute "licence".

35 Tourist fossicking authority

(1) In section 59(1) of the Mineral Resources (Sustainable Development) Act 1990, after "mining licence" insert ", prospecting licence or retention licence".

(2) In section 59(1A) of the Mineral Resources (Sustainable Development) Act 1990, after "mining licence" insert ", prospecting licence or retention licence".

36 Functions of Department Head regarding mining register

After section 69(2)(a)(xv) of the Mineral Resources (Sustainable Development) Act 1990 insert—

"(xva) instruments (including mortgages) for the termination or cancellation of interests in, or conferred by, licences;".



32

37 Giving of work plan or variation to approved work plan for statutory endorsement

In section 77TC of the Mineral Resources (Sustainable Development) Act 1990, for "licensee or holder of an extractive industry work authority may" substitute "licensee, a holder of an extractive industry work authority or a person who proposes to apply for an extractive industry work authority may, as the case requires,".

38 Department Head may endorse work plan or variation to approved work plan

(1) For section 77TD(3) of the Mineral Resources (Sustainable Development) Act 1990 substitute—

"(3) The Department Head may, in a statutory endorsement, specify that certain conditions must be observed in carrying out an approved work plan by—

(a) the licensee; or

(b) the holder of an extractive industry work authority; or

(c) a person who proposes to apply under section 77I for an extractive industry work authority if he or she is subsequently granted the authority by the Minister.".

(2) In section 77TD(5) of the Mineral Resources (Sustainable Development) Act 1990, for "give the licensee or holder of an extractive industry work authority" substitute ", as the case requires, give the licensee, holder of an extractive industry work authority or person proposing to apply for an extractive industry work authority".

39 Review by Tribunal



33

(1) In section 77TH(1) of the Mineral Resources (Sustainable Development) Act 1990, for "licensee or holder of an extractive industry work authority" substitute "licensee, a holder of an extractive industry work authority or a person who proposes to apply for an extractive industry work authority (an aggrieved person)".

(2) In section 77TH(2) of the Mineral Resources (Sustainable Development) Act 1990—

(a) in paragraph (b)(i), for "licensee" substitute "aggrieved person";

(b) in paragraph (b)(ii), for "licensee or holder of an extractive industry work authority" substitute "aggrieved person";

(c) in paragraph (b)(ii), for "licensee or holder or the licensee or holder" substitute "aggrieved person or the aggrieved person".

40 Savings and transitional provisions arising from the Mineral Resources Amendment (Sustainable Development) Act 2010

(1) In the heading to clause 5 of Schedule 8 to the Mineral Resources (Sustainable Development) Act 1990, for "that have been renewed once" substitute "for 10 years or less and that have been renewed at least once".

(2) For clause 5(1)(a)(ii) of Schedule 8 to the Mineral Resources (Sustainable Development) Act 1990 substitute—

"(ii) that has been, at the time of that commencement, in effect for a period of 10 years or less and renewed at least once; and".

(3) In clause 6(1)(a)(ii) of Schedule 8 to the Mineral Resources (Sustainable Development) Act 1990, after "before" insert "or at the time of".



34

(4) In clause 7(1)(g) of Schedule 8 to the Mineral Resources (Sustainable Development) Act 1990, for "2008." substitute "2008;".

(5) After clause 7(1)(g) of Schedule 8 to the Mineral Resources (Sustainable Development) Act 1990 insert—

"(h) exploration licence No. 3242 granted on 24 April 1987 to the extent that the licence covers land not within the outer boundaries of the land described in the mining licence No. 4470 granted on 14 August 1979;

(i) exploration licence No. 3422 granted on 31 January 1994 to the extent that the licence covers land not within the outer boundaries of the land described in the mining licence No. 5146 granted on 17 December 1996;

(j) exploration licence No. 3640 granted on 15 September 1994 to the extent that the licence covers land not within the outer boundaries of the land described in the mining licence No. 4756 granted on 17 January 1989.".

(6) In clause 8(1)(d) of Schedule 8 to the Mineral Resources (Sustainable Development) Act 1990—

(a) for "licences" substitute "licence";

(b) omit "and No. 5378 granted on 25 July 1988".

(7) In the heading to clause 11 of Schedule 8 to the Mineral Resources (Sustainable Development) Act 1990, for "in effect 10 years or more on renewal" substitute "that have been renewed at least once".



35

__________________



36

PART 4—AMENDMENT OF GREENHOUSE GAS GEOLOGICAL SEQUESTRATION ACT 2008

41 Definitionss. 41

See:Act No.61/2008 and amending Act Nos 61/2008, 10/2010, 55/2010, 62/2010, 53/2011 and 17/2012. LawToday: www. legislation. vic.gov.au

(1) In section 3 of the Greenhouse Gas Geological Sequestration Act 2008, in the definition of authority after "retention lease," insert "a special drilling authorisation,".

(2) In section 3 of the Greenhouse Gas Geological Sequestration Act 2008 insert the following definitions—

"current authority holder means the holder of a primary authorisation;

drilling authorisation area means an area specified in a special drilling authorisation under Part 8A;

greenhouse gas assessment permit has the same meaning as in the Offshore Petroleum and Greenhouse Gas Storage Act 2010;

greenhouse gas holding lease has the same meaning as in the Offshore Petroleum and Greenhouse Gas Storage Act 2010;

greenhouse gas injection licence has the same meaning as in the Offshore Petroleum and Greenhouse Gas Storage Act 2010;

primary authorisation means—

(a) an exploration permit; or

(b) a retention lease; or

(c) an injection and monitoring licence; or



37

(d) a greenhouse gas assessment permit; or

(e) a greenhouse gas holding lease; or

(f) a greenhouse gas injection licence;".

42 New Part 8A inserted

After Part 8 of the Greenhouse Gas Geological Sequestration Act 2008 insert—

"PART 8A—SPECIAL DRILLING AUTHORISATIONS

146A Special drilling authorisation

(1) A special drilling authorisation authorises—

(a) a holder of an exploration permit, retention lease, greenhouse gas injection licence, injection and monitoring licence, a greenhouse gas assessment permit or a greenhouse gas holding lease—

(i) to carry out greenhouse gas sequestration formation exploration in the drilling authorisation area; and

(ii) to do anything in the drilling authorisation area that is necessary for the purposes of subparagraph (i);

(b) a holder of an injection and monitoring licence or a greenhouse gas injection licence—

(i) to carry out greenhouse gas substance injection and monitoring in the drilling authorisation area; and



38

(ii) to do anything in the drilling authorisation area that is necessary for the purposes of subparagraph (i).

(2) A special drilling authorisation does not give a current authority holder any rights in respect of resources and underground geological storage formations in the drilling authorisation area.

146B Application for special drilling authorisation

(1) A current authority holder may apply to the Minister for the grant of a special drilling authorisation in respect of an area adjacent to the area set out in a primary authorisation held by the holder.

(2) In addition to complying with section 147, an applicant for a special drilling authorisation must—

(a) describe and precisely identify the area in respect of which the authorisation is sought; and

(b) describe in detail the greenhouse gas sequestration operation that the person seeks to carry out in that area; and

(c) submit details of—

(i) its relevant technical qualifications and of the relevant technical qualifications of its employees; and




39


146C General criteria the Minister must consider

(1) The Minister must not grant an application for an authorisation unless the Minister is satisfied that the applicant holds a primary authorisation in respect of an area that is adjacent to the proposed drilling authorisation area.

(2) The Minister must not grant an authorisation in respect of an area unless the Minister is satisfied that the size of the area is appropriate having regard to the greenhouse gas sequestration operation proposed in respect of the area by the person applying for the authorisation.

146D Criteria that apply to permit, lease and licence areas

(1) This section applies if any part of the area in respect of which a special drilling authorisation is sought falls within an area that is the subject of an exploration permit, a retention lease or an injection and monitoring licence held by a current authority holder who is not the applicant.

(2) The Minister must not grant an authorisation in respect of that part of the area unless that current authority holder has consented in writing to the issue of the authorisation in respect of that part of the area.

146E Exception to section 146D



40

Despite section 146D(2), the Minister may grant a special drilling authorisation in respect of an area that is the subject of a primary authorisation held by a current authority holder who is not the applicant without consent of that holder if—

(a) the Minister—

(i) notifies that holder in writing that the Minister is proposing to exercise the Minister's powers under this section, and of the reasons why the Minister is proposing to do so; and

(ii) gives that holder 28 days to make any submissions it wishes in relation to the proposal; and

(b) the Minister considers any submissions made in response to the notice and also takes into account any commercial consequences to that holder that may be likely if the authorisation is granted.

146F Minister may vary area to which authorisation applies

In granting a special drilling authorisation, the Minister may vary in any way the Minister considers appropriate the size or the boundaries of the area in respect of which the authorisation was sought.

146G Authorisation does not give exclusive rights

(1) The Minister may grant a special drilling authorisation in respect of an area, or any part of an area, that is already the subject of another special drilling authorisation.



41

(2) The Minister must not grant a special drilling authorisation in respect of an area, or any part of an area, that is already the subject of another special drilling authorisation unless—

(a) the Minister has taken into account the work program of the current holder of the special drilling authorisation; and

(b) the Minister is satisfied that the greenhouse gas sequestration operation proposed to be carried out under the authorisation will not be detrimental to, or unduly interfere with, any current or proposed future operations of the current holder of the special drilling authorisation; and

(c) the current holder of the special drilling authorisation has consented in writing to the issue of another special drilling authorisation in respect of that part of the area.

(3) The Minister may grant an exploration permit, a retention lease or an injection and monitoring licence in respect of an area, or any part of an area, that is already the subject of a special drilling authorisation.

146H Term of authorisation

A special drilling authorisation continues in force for the period specified in the authorisation by the Minister—

(a) until it is cancelled by the Minister; or

(b) until it is surrendered; or

(c) until a primary authorisation in respect of or adjacent to the drilling authorisation area specified in the



42

authorisation expires or is surrendered, cancelled or terminated; or

(d) unless this Act otherwise provides.

146I Existing permit, lease or licence holder not liable for actions of authorisation holder

(1) This section applies if any part of the drilling authorisation area falls within an area that is the subject of a primary authorisation held by a current authority holder who is not the holder of a special drilling authorisation.

(2) The current authority holder is not liable in any way for any thing that is done or not done by the holder of the special drilling authorisation.

(3) Subsection (2) applies even if the current authority holder consented to the granting of the special drilling authorisation in respect of the drilling authorisation area.

146J Authorisation holder must give data to the Minister

(1) The holder of a special drilling authorisation must give a copy of all factual information obtained as a result of a greenhouse gas sequestration operation carried out under the authorisation to the Minister within 30 days of the information being obtained.





43

146K Authorisation holder must give data to permit, lease or licence holder

(1) This section applies if any part of a special drilling authorisation area falls within an area that is the subject of an exploration permit, a retention lease or an injection and monitoring licence held by a current authority holder who is not the holder of the special drilling authorisation.

(2) The holder of a special drilling authorisation must give a copy of any factual information obtained as a result of a greenhouse gas sequestration operation carried out under the authorisation in that part of the area to the current authority holder within 30 days after completing in that part of the area the operations from which the information was obtained.

(3) If there is an agreement between the holder of the authorisation and the current authority holder in relation to the supply of the information, that agreement prevails over anything to the contrary in this section.


(5) A person must comply with any obligation imposed on the person by this section.


__________________".


After section 164 of the Greenhouse Gas Geological Sequestration Act 2008 insert—

"164A Transfers in relation to special drilling authorisations



44

(1) This section applies if a primary authorisation that is the basis for a special drilling authorisation granted under Part 8A is transferred under this Act or the Offshore Petroleum and Greenhouse Gas Storage Act 2010.

(2) Despite anything to the contrary in this Act, the special drilling authorisation to which that primary authorisation relates is taken to be transferred to the person to whom the primary authorisation is transferred on the same day the primary authorisation is transferred.".

44 New sections 175A and 175B inserted

After section 175 of the Greenhouse Gas Geological Sequestration Act 2008 insert—

"175A Special drilling authorisation suspended or cancelled if primary authorisation suspended or cancelled

(1) If a primary authorisation that is the basis for a special drilling authorisation granted under Part 8A is cancelled under this Act or the Offshore Petroleum and Greenhouse Gas Storage Act 2010, the special drilling authorisation that relates to that primary authorisation is taken to be cancelled on the same day the primary authorisation is cancelled.

(2) If a primary authorisation that is the basis for a special drilling authorisation granted under Part 8A is suspended under this Act or the Offshore Petroleum and Greenhouse Gas Storage Act 2010, the special drilling authorisation that relates to that primary authorisation is taken to be suspended on the



45

same day the primary authorisation is suspended.

175B Special drilling authorisation expires or is terminated if primary authorisation expires or is terminated

(1) If a primary authorisation that is the basis for a special drilling authorisation granted under Part 8A expires under this Act or the Offshore Petroleum and Greenhouse Gas Storage Act 2010, the special drilling authorisation that relates to that primary authorisation is taken to expire on the same day the primary authorisation expires.

(2) If a primary authorisation that is the basis for a special drilling authorisation granted under Part 8A is terminated under the Offshore Petroleum and Greenhouse Gas Storage Act 2010, the special drilling authorisation that relates to that primary authorisation is taken to be terminated on the same day the primary authorisation is terminated.".

45 Surveys and drilling operations

In section 294(1) of the Greenhouse Gas Geological Sequestration Act 2008, for "mining" substitute "underground geological storage formation".

__________________



46

PART 5—AMENDMENT OF PETROLEUM ACT 1998

46 General definitionss. 46

See:Act No.96/1998.Reprint No. 1 as at18 September 2007 and amending Act Nos 25/2008, 57/2009, 10/2010, 55/2010, 62/2010, 74/2010, 29/2011 and 17/2012. LawToday: www. legislation. vic.gov.au

(1) In section 4 of the Petroleum Act 1998 insert the following definitions—

"offshore area has the same meaning as in the Offshore Petroleum and Greenhouse Gas Storage Act 2010;

offshore petroleum exploration permit means a petroleum exploration permit within the meaning of the Offshore Petroleum and Greenhouse Gas Storage Act 2010;

offshore petroleum production licence means a petroleum production licence within the meaning of the Offshore Petroleum and Greenhouse Gas Storage Act 2010;

offshore petroleum retention lease means a petroleum retention lease within the meaning of the Offshore Petroleum and Greenhouse Gas Storage Act 2010;".

(2) In section 4 of the Petroleum Act 1998, for the definition of primary authorisation substitute—

"primary authorisation means—

(a) an exploration permit; or

(b) a retention lease; or

(c) a production licence; or



47

(d) an offshore petroleum exploration permit; or

(e) an offshore petroleum retention lease; or

(f) an offshore petroleum production licence;".

(3) In section 4 of the Petroleum Act 1998, the definitions P(SL)A lease, P(SL)A licence and P(SL)A permit are repealed.

47 Reference to chief factors

After section 19(2) of the Petroleum Act 1998 insert—

"(3) In subsection (2), chief factors means the chief factors set out in section 20B(2)(a) and (b) or 21(2)(a) and (b), as the case requires.".

48 New section 20B inserted

After section 20A of the Petroleum Act 1998 insert—

"20B Chief factors to be considered when there is only one application

(1) This section applies if only one application for an exploration permit is received in respect of an area.

(2) In deciding whether to grant or refuse to grant an exploration permit, the chief factors the Minister must take into account are—

(a) the merits of the work program proposed by the applicant; and

(b) the likelihood that the work program will be carried out.".

49 Notice to be given to applicants



48

(1) In section 22(1) of the Petroleum Act 1998, after "applicant" insert "(if any)".

(2) In section 22(2) of the Petroleum Act 1998, for "to any of the applicants for the permit, she or he must notify all applicants" substitute ", the Minister must notify every applicant".

50 Restrictions on permit area

For section 25 of the Petroleum Act 1998 substitute—

"25 Permit area for exploration permits

(1) In issuing an exploration permit, the Minister must determine the area to which the exploration permit applies in accordance with this section.

(2) The area to which the permit applies must not be more than 12 500 square kilometres.

(3) In addition, no part of the area to which the permit applies may be within an area that is already the subject of an exploration permit.

(4) The area that is determined may—

(a) be less than that applied for by the applicant;

(b) be an area from which there are parts that are excised;

(c) consist of non-continuous parcels of land.".

51 Term of permit

In section 26 of the Petroleum Act 1998, for "on the fifth anniversary of" substitute "5 years after".

52 Renewal of permit



49

In section 28(2) of the Petroleum Act 1998, for "on the tenth anniversary of" substitute "10 years after".

53 Special drilling authorisation

(1) In section 95A(1)(a) of the Petroleum Act 1998, for "P(SL)A permit or a P(SL)A lease" substitute "production licence, offshore petroleum exploration permit, offshore petroleum production licence or an offshore petroleum retention lease".

(2) In section 95A(1)(b) of the Petroleum Act 1998, for "a P(SL)A licence" substitute "an offshore petroleum production licence".

54 Authorisation holder must give data to permit, lease or licence holder

In section 95K(2) of the Petroleum Act 1998—

(a) for "permit, lease or licence" substitute "special drilling authorisation";

(b) for "that holder" substitute "the current authority holder".

55 Transfers in relation to special drilling authorisations

In section 107A(1) of the Petroleum Act 1998, for "Petroleum (Submerged Lands) Act 1982" substitute "Offshore Petroleum and Greenhouse Gas Storage Act 2010".

56 Cancellation of authority

In section 113(b) of the Petroleum Act 1998, for "the conditions" substitute "any conditions".



50

57 Special drilling authorisation suspended or cancelled if primary authorisation suspended or cancelled

(1) In section 113A(1) of the Petroleum Act 1998, for "Petroleum (Submerged Lands) Act 1982" substitute "Offshore Petroleum and Greenhouse Gas Storage Act 2010".

(2) In section 113A(2) of the Petroleum Act 1998, for "Petroleum (Submerged Lands) Act 1982" substitute "Offshore Petroleum and Greenhouse Gas Storage Act 2010".

58 Special drilling authorisation expires or is terminated if primary authorisation expires or is terminated

(1) In section 113B(1) of the Petroleum Act 1998, for "Petroleum (Submerged Lands) Act 1982" substitute "Offshore Petroleum and Greenhouse Gas Storage Act 2010".

(2) In section 113B(2) of the Petroleum Act 1998, for "Petroleum (Submerged Lands) Act 1982" substitute "Offshore Petroleum and Greenhouse Gas Storage Act 2010".

59 Production operations also override planning schemes

(1) For section 119(1) of the Petroleum Act 1998 substitute—

"(1) The holder of a production licence may be granted a permit under a planning scheme to carry out in the licence area for that licence any petroleum production operation authorised by that licence.

(1A) In addition, if the holder of a production licence or an offshore petroleum production licence holds a special drilling authorisation, the holder may be granted a permit under a



51

planning scheme to carry out in the drilling authorisation area for that authorisation any petroleum production operation authorised by that authorisation.

(1B) Subsections (1) and (1A) apply despite anything to the contrary in a planning scheme that applies to a licence area or drilling authorisation area mentioned in those subsections.".

(2) In section 119(2) of the Petroleum Act 1998—

(a) for "This section applies" substitute "Subsections (1) and (1A) apply";

(b) for "area" substitute "licence area or drilling authorisation area".

60 Alternative approvals

(1) In section 120(1)(b) of the Petroleum Act 1998—

(a) after "licence" insert "who is not also a holder of a special drilling authorisation";

(b) for "operation." substitute "operation in the licence area; or".

(2) After section 120(1)(b) of the Petroleum Act 1998 insert—

"(c) the holder of a production licence or an offshore petroleum production licence who holds a special drilling authorisation may be granted a permit under section 119 to carry out a petroleum production operation in the special drilling authorisation area.".

(3) In section 120(2)(c) of the Petroleum Act 1998, for "licence" substitute "authority".

61 Department surveys



52

For section 244(2) and (3) of the Petroleum Act 1998 substitute—

"(2) Part 8 (other than section 128) applies to any petroleum exploration operation under subsection (1)—

(a) as if a reference in that Part to an authority holder or holder of an authority were a reference to the Department; and

(b) as if a reference in that Part to the carrying out of a petroleum operation were a reference to the carrying out of petroleum exploration.".

__________________



53

PART 6—AMENDMENT OF OFFSHORE PETROLEUM AND GREENHOUSE GAS STORAGE ACT 2010

62 Simplified outlines. 62

See:Act No.10/2010 and amending Act Nos 55/2010, 62/2010, 80/2010, 53/2011 and 43/2012.LawToday: www. legislation. vic.gov.au

In section 70(11) of the Offshore Petroleum and Greenhouse Gas Storage Act 2010, after "a well" insert ", other than a deviation well that enters an adjacent permit area, lease area or licence area that is the subject of a permit, licence or lease held by that holder".

63 Simplified outline


64 Rights conferred by petroleum access authority

After section 237(2) of the Offshore Petroleum and Greenhouse Gas Storage Act 2010 insert—

"(2A) However, a petroleum access authority authorises the registered holder to make a deviation well that enters—

(a) an adjacent permit area that is the subject of a petroleum exploration permit held by the registered holder; or



54

(b) an adjacent lease area that is the subject of a petroleum retention lease held by the registered holder; or

(c) an adjacent licence area that is the subject of a petroleum production licence held by the registered holder.".





67 Rights conferred by greenhouse gas special authority

After section 444(2) of the Offshore Petroleum and Greenhouse Gas Storage Act 2010 insert—

"(2A) However, a greenhouse gas special authority authorises the registered holder to make a deviation well that enters—

(a) an adjacent permit area that is the subject of a greenhouse gas assessment permit held by the registered holder; or

(b) an adjacent lease area that is the subject of a greenhouse gas holding lease held by the registered holder; or



55

(c) an adjacent licence area that is the subject of a greenhouse gas injection licence held by the registered holder.".

68 Offences under regulations

For section 797(2) of the Offshore Petroleum and Greenhouse Gas Storage Act 2010 substitute—

"(2) The penalties for an offence against the regulations must not exceed a fine of—

(a) 120 penalty units in the case of a natural person;

(b) 600 penalty units in the case of a body corporate.".

__________________



56

PART 7—AMENDMENT OF PIPELINES ACT 2005

69 New section 18A inserteds. 69

See:Act No.61/2005 Reprint No. 1 as at22 June 2011 and amending Act Nos 10/2010, 53/2011 and 43/2012.LawToday: www. legislation. vic.gov.au

After section 18 of the Pipelines Act 2005 insert—

"18A Compliance with approved consultation plan

The proponent must comply with an approved consultation plan.

Penalty: 20 penalty units.".

70 Consent to entry onto Crown land

(1) For section 21(1) of the Pipelines Act 2005 substitute—

"(1) A proponent must seek the consent of—

(a) the Crown Land Minister to the entry by the proponent onto Crown land; or

(b) the public authority in which Crown land is vested to the entry by the proponent onto that Crown land—

for the purpose of a survey for the proposed pipeline.".

(2) In section 21(2) of the Pipelines Act 2005, after "Crown Land Minister" insert "or the public authority".



57

(3) In section 21(3) of the Pipelines Act 2005, after "Crown Land Minister" insert "or the public authority".

71 Referral of submissions to panel

For section 39(2) of the Pipelines Act 2005 substitute—

"(2) Subsection (1) does not apply to submissions considered in an Environment Effects Statement under the Environment Effects Act 1978.".

72 Application to alter authorised route—significant alterations

In section 68(4) of the Pipelines Act 2005 omit "daily".

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58

PART 8—AMENDMENT OF INTERPRETATION OF LEGISLATION ACT 1984

73 Removal of redundant references. 73

See:Act No.10096.Reprint No. 10 as at20 May 2010 and amending Act Nos 10/2010, 11/2010, 13/2010, 21/2012, 64/2010, 70/2010, 72/2010, 80/2011, 21/2012 and 43/2012. LawToday: www. legislation. vic.gov.au

In section 57(1) of the Interpretation of Legislation Act 1984 omit "and to section 794 of the Offshore Petroleum and Greenhouse Gas Storage Act 2010 and the regulations made under that section".

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59

PART 9—AMENDMENT OF RESOURCES LEGISLATION AMENDMENT ACT 2011

74 Part 3 repealeds. 74

See:Act No.53/2011 and amending Act No. 43/2012.Statute Book: www. legislation. vic.gov.au

Part 3 of the Resources Legislation Amendment Act 2011 is repealed.

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60

PART 10—REPEAL OF AMENDING ACT

75 Repeal of amending Act

This Act is repealed on 1 August 2014.Note

The repeal of this Act does not affect the continuing operation of the amendments made by it (see section 15(1) of the Interpretation of Legislation Act 1984).

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61

ENDNOTES

Endnotes


62

† Minister's second reading speech—

Legislative Assembly: 29 August 2012

Legislative Council: 11 October 2012

The long title for the Bill for this Act was "A Bill for an Act to amend the Geothermal Energy Resources Act 2005, the Greenhouse Gas Geological Sequestration Act 2008, the Interpretation of Legislation Act 1984, the Mineral Resources (Sustainable Development) Act 1990, the Offshore Petroleum and Greenhouse Gas Storage Act 2010, the Petroleum Act 1998, the Pipelines Act 2005, the Resources Legislation Amendment Act 2011 and for other purposes."

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