Legislation, In force, Queensland
Queensland: Greenhouse Gas Storage Act 2009 (Qld)
An Act to facilitate greenhouse gas geological storage Chapter 1 Preliminary Part 1 Introduction 1 Short title This Act may be cited as the Greenhouse Gas Storage Act 2009.
Greenhouse Gas Storage Act 2009
An Act to facilitate greenhouse gas geological storage
Chapter 1 Preliminary
Part 1 Introduction
1 Short title
This Act may be cited as the Greenhouse Gas Storage Act 2009.
2 Commencement
Chapters 2 and 3 commence on a day to be fixed by proclamation.
Part 2 Purposes and application of Act
3 Purposes of Act and their achievement
(1) The main purpose of this Act is to help reduce the impact of greenhouse gas emissions on the environment.
(2) The main purpose is achieved principally by facilitating the process called greenhouse gas geological storage, also called greenhouse gas storage (GHG storage).
(3) This Act facilitates GHG storage by—
(a) providing for the granting of authorities (called 'GHG authorities') to explore for or use underground geological formations or structures to store carbon dioxide, or carry out related activities; and
(b) creating a regulatory system for the carrying out of activities relating to GHG authorities.
(4) Other purposes of this Act are to ensure the following for the carrying out of the activities—
(a) minimisation of conflict with other land uses;
(b) constructive consultation with people affected by the activities;
(c) appropriate compensation for owners or occupiers adversely affected by the activities;
(d) responsible land and resource management.
4 Facilitation of Act by Petroleum and Gas (Production and Safety) Act 2004
The Petroleum and Gas (Production and Safety) Act 2004 (the P&G Act) also facilitates the operation of this Act by—
(a) providing for survey licences under that Act to be able to be granted for potential GHG stream pipelines; and
(b) providing for pipeline licences under that Act to be able to be granted for GHG streams; and
(c) applying chapter 9 of that Act (the P&G Act safety provisions) to particular authorised activities for GHG authorities; and
(d) applying its provisions about investigations and some of its provisions about enforcement to authorised activities for GHG authorities.
5 Act binds all persons
(1) This Act binds all persons, including the State, and to the extent the legislative power of the Parliament permits, the Commonwealth and the other States.
(2) However, the Commonwealth or a State can not be prosecuted for an offence against this Act.
6 Application of Act to coastal waters of the State
(1) This Act applies to the coastal waters of the State as if the coastal waters of the State were part of the State.
(2) However, this Act does not apply to the adjacent area under the Petroleum (Submerged Lands) Act 1982.
Note—
The definition of the adjacent area in the Petroleum (Submerged Lands) Act 1982, section 4(1) is extended for pipelines under that Act, part 3, division 4. The provisions effectively cover pipelines in the coastal waters of the State.
7 Relationship with Nature Conservation Act 1992
This Act is subject to the Nature Conservation Act 1992, sections 27 and 70QA.
Editor's note—
Nature Conservation Act 1992, sections 27 (Prohibition on mining, geothermal activities and GHG storage activities) and 70QA (Prohibition on mining, geothermal activities and GHG storage activities in forest reserves)
8 Relationship with Geothermal Act and principal mining and petroleum Acts
The relationship between this Act and the following Acts is provided for under chapter 4, parts 2 to 8 and—
(a) for the Geothermal Act—chapter 5, parts 2 to 8 of that Act;
(b) for the Mineral Resources Act—chapter 9 of that Act;
(c) for the 1923 Act—section 40(1A) and part 6FA of that Act;
(d) for the P&G Act—chapter 3A of that Act.
8AA Relationship with Common Provisions Act
The relationship between this Act and the Common Provisions Act is provided for under the Common Provisions Act, section 6.
8A Declaration for Commonwealth Act
A GHG authority is declared not to be personal property under the Personal Property Securities Act 2009 (Cwlth).
9 Act does not affect other rights or remedies
(1) Subject to sections 269, 338A and 425 this Act does not affect or limit a civil right or remedy that exists apart from this Act, whether at common law or otherwise.
(2) Without limiting subsection (1), compliance with this Act does not necessarily show that a civil obligation that exists apart from this Act has been satisfied or has not been breached.
(3) In addition, a breach of an obligation under this Act does not of itself give rise to an action for breach of statutory duty or another civil right or remedy.
(4) This Act does not limit a court's powers under the Penalties and Sentences Act 1992 or another law.
10 [Repealed]
Part 3 Interpretation
Division 1 Dictionary
11 Definitions
The dictionary in schedule 2 defines particular words used in this Act.
Division 2 Key definitions
12 What is a GHG stream
(1) A GHG stream is a stream of carbon dioxide or a substance that overwhelmingly consists of carbon dioxide.
(2) The stream may be in a gaseous or liquid state.
Note—
The lawful use by a GHG tenure holder of any particular GHG stream for injection or GHG stream storage is subject to requirements under chapters 2 and 3 and to approval of the relevant work program or development plan.
13 What is a GHG stream storage site
A GHG stream storage site is—
(a) the spatial extent of an underground geological formation or structure that is suitable to store a GHG stream (a GHG storage reservoir); and
(b) the site at which a GHG stream is or may be injected into the GHG storage reservoir.
14 What is GHG stream storage
(1) GHG stream storage is—
(a) the process of injecting a GHG stream into a GHG storage reservoir for the purpose of storing the injected GHG stream in the reservoir; and
(b) monitoring the behaviour of the injected GHG stream in the reservoir.
(2) To remove any doubt, it is declared that injecting a GHG stream for the purpose of enhanced petroleum recovery authorised under the 1923 Act or the P&G Act is not GHG stream storage.
15 What is GHG storage exploration
GHG storage exploration is carrying out an activity for the purpose of finding GHG stream storage sites.
16 What is GHG storage injection testing
GHG storage injection testing is the evaluation or testing of an underground geological formation or structure for GHG stream storage by injecting carbon dioxide or water into it.
17 What is a GHG stream pipeline
(1) A GHG stream pipeline is a pipe or system of pipes for transporting a GHG stream for GHG stream storage.
(2) A reference to a GHG stream pipeline includes—
(a) a part of the pipeline; and
(b) a thing connected to or associated with the pipeline that is necessary for its operation.
Examples of things that may be included in a reference to a pipeline—
• meter stations, scraper stations, valve stations, pumping stations or compressor stations
• plant and equipment, machinery and tanks
• corrosion protection apparatus
• communications equipment and towers
18 Types of authority under Act
(1) The types of authority under this Act are—
(a) a GHG exploration permit (also called a GHG permit)—
(i) granted under section 40; or
Note—
See also sections 431 (Conversion of Zerogen's P&G Act ATPs) and 432 (New GHG permit for Zerogen).
(ii) continued in force under section 95 or 116; or
(iii) renewed under section 96; and
(b) a GHG injection and storage lease (also called a GHG lease) granted under section 117 or 130; and
(c) a GHG injection and storage data acquisition authority (also called a GHG data acquisition authority) granted under section 235.
(2) GHG permits and GHG leases are collectively referred to as a GHG tenure.
(3) All authorities under this Act are collectively referred to as a GHG authority.
19 Who is an eligible person
An eligible person is—
(a) an adult; or
(b) a company or a registered body under the Corporations Act; or
(c) a government owned corporation.
20 What are the conditions of a GHG authority
(1) The conditions of a GHG authority are—
(a) the conditions stated in it from time to time; and
(b) the GHG authority holder's obligations under chapters 2 to 5; and
(c) any condition of the GHG authority under chapters 2 to 5; and
(d) a condition that the holder must ensure each person acting for the holder who carries out an authorised activity for the GHG authority complies with its conditions to the extent they apply to the carrying out of the activity.
Note—
For who may carry out an authorised activity for the holder, see section 338 (Who may carry out authorised activity for GHG authority holder).
(2) A condition mentioned in subsection (1)(b) or (c) is a mandatory condition of the GHG authority.
21 What are the provisions of a GHG authority
(1) A reference in this Act to a GHG authority includes a reference to its provisions.
(2) A reference in this Act to the provisions of a GHG authority is a reference to its mandatory or other conditions and anything written in it.
22 What is an authorised activity for a GHG authority
An authorised activity, for a GHG authority, is an activity that its holder is under this Act or the authority, entitled to carry out in relation to the authority.
Notes—
1 The provisions of the GHG authority may restrict the carrying out of authorised activities. See sections 41, 97, 120, 236 and 379(2).
2 The carrying out of authorised activities is subject to the restrictions and the holder's rights and obligations under chapters 2 to 5. See section 337.
3 The carrying out of particular activities on particular land in a GHG authority's area may not be authorised following the taking of the land under a resumption law. See section 369B.
23 What is a GHG storage activity
A GHG storage activity is any authorised activity for any GHG authority, whether or not a GHG authority has been granted for the activity.
24 What is a work program for a GHG permit
(1) The work program for a GHG permit is its current initial or later work program approved under chapter 2, part 4 as amended from time to time under that part.
(2) For subsection (1), the work program is current if the period to which the program applies has started and not ended.
25 What is a development plan for a GHG lease
(1) The development plan for a GHG lease is its current initial or later development plan approved under chapter 3, part 5 as amended from time to time under that part.
(2) For subsection (1), the development plan is current if the period to which the plan applies has started and has not ended.
26 [Repealed]
26A What is a resource Act
A resource Act is any of the following—
• this Act;
• the Geothermal Act;
• the Mineral Resources Act;
• the 1923 Act;
• the P&G Act.
Part 4 State ownership of GHG storage reservoirs
27 GHG storage reservoirs the property of the State
(1) All GHG storage reservoirs in land in the State are and are taken always to have been the property of the State.
(2) To remove any doubt, it is declared that—
(a) a person does not acquire any property in a GHG storage reservoir or petroleum in it only because the person creates or discovers the reservoir; and
Note—
For other provisions about the ownership of petroleum, see the P&G Act, sections 26 to 28 and chapter 2, part 6, division 3.
(b) subsection (1) applies whether or not the land is freehold or other land.
(3) This section applies despite any other Act, grant, title or other document in force from the commencement of this section.
(4) In this section—
the State does not include any of the adjacent area under the Petroleum (Submerged Lands) Act 1982.
28 Reservation in land grants
(1) This section applies to each grant under another Act of a right relating to land.
(2) This section applies whether the grant was made before or after the commencement of this section.
(3) The grant is taken to contain a reservation to the State of—
(a) all GHG storage reservoirs in the land, whenever created; and
(b) the exclusive right to do the following in relation to the land—
(i) to enter and carry out any GHG storage activity;
(ii) to authorise under the provisions of this Act or another Act others to carry out any GHG storage activity;
(iii) to regulate under the provisions of this Act or another Act GHG storage activities carried out by others.
Note—
See however, section 420 (Provision for entry by State to carry out GHG storage activity).
(4) In this section—
grant, of a right, includes an authority, lease, licence, permit or other instrument of tenure, however called.
Chapter 2 GHG exploration permits
Notes—
1 For the requirement to have a GHG tenure, see section 386.
2 Chapter 4 imposes requirements for and restrictions on the granting of, and restrictions on authorised activities that may be carried out under, particular GHG tenures. See section 182.
Part 1 Key authorised activities
29 Operation of pt 1
This part provides for the key authorised activities for a GHG permit.
Notes—
1 For other authorised activities, see the Common Provisions Act, chapter 3, part 2, division 4 (Access to private land outside authorised area) and part 12 (General provisions for conditions and authorised activities).
2 For general restrictions on authorised activities, their relationship with owners' and occupiers' rights and who may carry out authorised activities for a GHG authority holder, see chapter 5, part 12, division 3.
3 The carrying out of particular activities on particular land in a GHG permit's area may not be authorised following the taking of the land under a resumption law. See section 369B.
30 Principal authorised activities
The GHG permit holder may carry out the following activities in the permit's area—
(a) GHG storage exploration;
(b) evaluating the feasibility of GHG stream storage, including for example, by GHG storage injection testing;
(c) plugging and abandoning, or otherwise remediating, a bore or well the holder reasonably believes is a legacy borehole, and rehabilitating the surrounding area in compliance with the requirements prescribed under a regulation.
31 Incidental activities
(1) The GHG permit holder may carry out any other activity (an incidental activity) in the permit's area if carrying it out is reasonably necessary for or is incidental to GHG storage exploration.
Examples of incidental activities—
1 constructing or operating facilities, plant or works, including for example, communication systems, compressors, powerlines, pumping stations, reservoirs, roads, evaporation or storage ponds and tanks
2 constructing or using temporary structures or structures of an industrial or technical nature, including for example, mobile and temporary camps
(2) However, constructing or using a structure other than a temporary structure, for office or residential accommodation is not an incidental activity.
Part 2 Obtaining GHG permits
Division 1 Preliminary
32 Operation of pt 2
(1) This part provides for a process for the granting of GHG permits by competitive tender.
(2) To remove any doubt, it is declared that a GHG permit can only be granted under this part.
Division 2 Competitive tenders
33 Call for tenders
(1) The Minister may by gazette notice invite tenders for a GHG permit (a call for tenders) for land other than unavailable land for a GHG permit.
(2) The call must state—
(a) the day and time by which tenders in response to it must be made (the closing time for the call); and
(b) any criteria (special criteria) other than the work program criteria and capability criteria proposed to be used to decide whether to grant the GHG permit or to decide its provisions.
(3) The call may state other relevant matters, including for example, matters relevant to the work program criteria and capability criteria.
34 Right to tender
(1) An eligible person may by a tender made under section 35, tender for a proposed GHG permit the subject of a call for tenders.
(2) However, a tender can not be made—
(a) after the closing time for the call; or
(b) for only part of the proposed GHG permit's area.
35 Requirements for making tender
A tender for a GHG permit must—
(a) be made to the Minister in the approved form; and
(b) include—
(i) a statement about how and when the tenderer proposes to consult with and keep informed each owner and occupier of private or public land on which authorised activities for the proposed GHG permit are or are likely to be carried out; and
(ii) a proposed work program that complies with the initial work program requirements; and
(iii) a statement about the extent to which the tenderer has—
(A) the financial and technical resources to carry out authorised activities for the proposed GHG permit; and
(B) the ability to manage GHG storage exploration; and
(c) state that the applicant agrees to, as soon as practicable after the grant of the GHG permit to the applicant, give each of the owners or occupiers a notice—
(i) describing the activities proposed to be carried out on the land; and
(ii) stating where and when the activities will be carried out; and
(d) be accompanied by the fee prescribed under a regulation.
35A Rejection of tender if tenderer disqualified
(1) The Minister must reject a tender for a GHG permit if the Minister decides the tenderer is disqualified under the Common Provisions Act, chapter 7 from being granted the GHG permit.
(2) On rejection of the tender, the Minister must give the tenderer a notice about the decision.
36 [Repealed]
37 Right to terminate call for tenders
(1) The Minister may by gazette notice terminate a call for tenders at any time before deciding whether to grant a GHG permit to a person who has made a tender in response to the call.
(2) All tenders in response to the call lapse when the call is terminated.
(3) No amount, whether by way of compensation, reimbursement or otherwise, is payable by the State to any person for or in connection with the termination.
Division 3 Deciding tenders
38 Process for deciding tenders
Subject to section 42, any process the Minister considers appropriate may be used to decide a call for tenders, including for example, by a process appointing a preferred tenderer on the tenders made in response to the call.
39 Provisions for preferred tenderers
(1) The Minister may require a preferred tenderer for the call for tenders to—
(a) pay any amounts necessarily incurred or to be incurred to enable the GHG permit to be granted; and
(b) to do all or any of the following within a stated reasonable period—
(i) pay the annual rent for the first year of the GHG permit;
(ii) give under section 271, security for the GHG permit.
(2) If a preferred tenderer does not—
(a) comply with a requirement under subsection (1); or
(b) do all things reasonably necessary to allow a GHG permit to be granted to the tenderer;
the Minister may appoint another tenderer to be the preferred tenderer.
40 Deciding whether to grant GHG permit
(1) The Minister may, after the closing time for the call for tenders—
(a) grant a GHG permit to 1 tenderer; or
(b) refuse to grant any GHG permit.
(2) However—
(a) before deciding to grant the GHG permit, the Minister must decide whether to approve the applicant's proposed initial work program for the permit; and
(b) the Minister can not grant the GHG permit unless—
(i) the tenderer is an eligible person; and
(ii) the proposed program has been approved; and
(iii) a relevant environmental authority has been issued.
Note—
If a tender relates to acquired land, see also section 369C.
41 Provisions of GHG permit
(1) Each GHG permit must state its term and area.
(2) The term—
(a) must be for at least the required program period for the initial work program for the GHG permit under the call for tenders; but
(b) must end no later than 12 years after the GHG permit takes effect.
(3) The GHG permit may also state—
(a) conditions or other provisions of the GHG permit other than conditions or provisions that are—
(i) inconsistent with the mandatory conditions for GHG permits; or
(ii) the same as or substantially the same as or inconsistent with any relevant environmental condition; and
(b) the day it takes effect; and
(c) GHG permit's relinquishment days.
(4) However, the provisions of the GHG permit may exclude or restrict the carrying out of an authorised activity for the permit.
(5) The day of effect must not be before the day the GHG permit is granted.
(6) If no day of effect is stated, the GHG permit takes effect on the day it is granted.
(7) The first relinquishment day must not be later than 4 years after the day the GHG permit is to take effect.
(8) The second and any later relinquishment days must not be later than 4 years after the previous relinquishment day.
(9) If relinquishment days are not stated, they are taken to be—
(a) the day that is the fourth anniversary of the GHG permit's day of effect; and
(b) each day during its term that is the end of a 4 yearly interval after the day of effect.
42 Criteria for decisions
(1) In deciding whether to grant a GHG permit or deciding its provisions the Minister must consider—
(a) any special criteria; and
(b) the applicant's proposed initial work program; and
(c) the extent to which the Minister is of the opinion that the tenderer is capable of carrying out authorised activities for the GHG permit, having regard to the tenderer's—
(i) financial and technical resources; and
(ii) ability to manage GHG storage exploration.
(2) The matters mentioned in subsection (1)(c) are the capability criteria.
(3) A person satisfies the capability criteria if the Minister forms the opinion mentioned in subsection (1)(c).
43 Notice to unsuccessful tenderers
After a call for tenders has been decided, the Minister must give each tenderer not granted the GHG permit notice of the decision.
Part 3 Area provisions
44 Area of GHG permit
(1) This section provides for the area of a GHG permit.
(2) The area does not include excluded land for the GHG permit.
Note—
See also section 369B(3) if land in the GHG permit's area is taken under a resumption law.
(3) Unless the Minister otherwise decides, the area must form a single parcel of land.
(4) The area must not include any of the following (unavailable land)—
(a) land in the area of another GHG tenure;
(b) land in the Great Artesian Basin;
(c) excluded land for a GHG tenure;
(d) land that a regulation prescribes as land over which a GHG permit can not be granted.
(5) The area may include a part of a block only if the part is all areas within the block that are left after taking away all unavailable land within the block (a residual block).
Note—
See also section 369B(3) if land in the GHG permit's area is taken under a resumption law.
(6) The area must be no more than 100 blocks or residual blocks, in any combination.
45 References to sub-blocks of GHG permit
(1) This section applies if a GHG permit states that its area includes land within a block without including or excluding any particular sub-block.
(2) The reference to the block is a reference to all sub-blocks within the block to the extent they do not consist of unavailable land.
Note—
See also section 369B(3) if land in the GHG permit's area is taken under a resumption law.
(3) To remove any doubt, it is declared that if land within any of the sub-blocks ceases to be unavailable land, the cessation itself does not cause the land to be within the permit's area.
46 Minister's power to decide excluded land
(1) The Minister may decide excluded land for a GHG permit or proposed GHG permit.
(2) However, the power under subsection (1) may be exercised only when the Minister is deciding whether to—
(a) grant or renew the GHG permit; or
(b) approve any later work program for the GHG permit.
(3) However, excluded land can not be a whole block.
(4) Excluded land may be described in a way the Minister considers appropriate, including for example, by area or by reference to a stated type of land.
(5) Land ceases to be excluded land for a GHG permit if—
(a) the block in which the land is located is relinquished or for any other reason ceases to be in the permit's area; or
(b) a GHG lease is granted over any of the GHG permit's area and the land is excluded land for the lease.
47 Minister may add excluded land
(1) The Minister may amend a GHG permit by adding excluded land for the GHG permit to its area only if—
(a) the GHG permit as amended complies with section 44; and
(b) the GHG permit holder consents.
(2) If land mentioned in subsection (1) is added to the GHG permit's area the land ceases to be excluded land for the permit.
(3) The Minister may amend the provisions of the GHG permit in a way that reflects the inclusion of the excluded land.
(4) Also, the Minister may give the GHG permit holder a notice—
(a) withdrawing from a stated day, the approval of the work program for the GHG permit; and
(b) directing the holder to give the Minister a proposed later work program for the GHG permit that—
(i) complies with the later work program requirements; and
(ii) changes the work program for the GHG permit to reflect the inclusion of the excluded land.
Note—
For other relevant provisions about giving a document to the Minister, see section 411.
(5) The amended provisions of the GHG permit or the proposed later work program must not be—
(a) inconsistent with the mandatory conditions for GHG permits; or
(b) the same as or substantially the same as or inconsistent with any relevant environmental condition.
48 Area of GHG permit reduced on grant of GHG lease
(1) Land ceases to be included in the area of a GHG permit if a GHG lease is granted to the permit holder over the land.
(2) If a GHG lease is granted to the GHG permit holder over all of the area of a GHG permit, the permit ends.
49 Effect of ending of declaration of potential storage area
(1) This section applies if—
(a) all or part of the area of a GHG permit is a potential storage area; and
(b) the declaration of the potential storage area ends more than 12 years after the GHG permit originally took effect.
(2) If the declaration applied to a part of the GHG permit's area, the part ceases to be included in the area.
(3) If the declaration applies to all of the GHG permit's area, the permit ends.
Part 4 Work programs
Division 1 Function and purpose
50 Function and purpose
(1) The work program for a GHG permit gives detailed information about the nature and extent of activities to be carried out under the permit.
(2) The purposes of giving the information are to—
(a) allow resource management decisions to be made; and
(b) ensure appropriate development of the GHG permit.
Division 2 Requirements for proposed initial work programs
51 Operation of div 2
This division provides for requirements (the initial work program requirements) for a proposed work program for a proposed GHG permit.
52 Program period
(1) The proposed program must state its period.
(2) The period must be the same as the required period under the relevant call for tenders.
53 General requirements
(1) The proposed program must provide for all of the following—
(a) an overview of the activities proposed to be carried out under the proposed GHG permit during all of its term;
(b) for each year of the program period—
(i) the extent and nature of GHG storage exploration proposed to be carried out during the year; and
(ii) generally where the activities are proposed to be carried out; and
(iii) the estimated cost of the activities;
(c) maps that show where the activities are proposed to be carried out;
(d) the composition of GHG streams proposed to be injected under the GHG permit;
(e) a description of any pipeline land for the GHG permit;
(f) reasons why the program is considered appropriate;
(g) another matter prescribed under a regulation.
(2) The proposed program may include any other information relevant to the work program criteria.
(3) The composition of GHG streams to be injected under the proposed GHG permit must comply with section 83.
(4) A regulation may impose requirements about the form of the work program.
(5) In this section—
year, of the program period, means—
(a) the period starting on the day the program period starts and ending on the first anniversary of that day; and
(b) each subsequent period of 12 months or less during the program period starting on each anniversary of that day and ending on—
(i) the next anniversary of that day; or
(ii) if the program period ends before the next anniversary—the day the program period ends.
54 Water issues
(1) In preparing the proposed work program, the proposed GHG permit holder must have regard to potential groundwater issues.
(2) The proposed work program must include a plan for the treatment and disposal of any water taken or that may be taken because of the carrying out of authorised activities for the proposed GHG permit.
Division 3 Approval of proposed initial work programs
Note—
For the requirement for approval of an initial work program, see section 40 (Deciding whether to grant GHG permit).
55 Criteria
(1) In deciding whether to approve a proposed initial work program the Minister must consider—
(a) the potential of the proposed area of the GHG permit for GHG storage exploration; and
(b) the extent and nature of and when and where the tenderer proposes to carry out the proposed GHG storage exploration; and
(c) any relevant authorisation required under the Water Act.
(2) The matters mentioned in subsection (1) are the work program criteria.
56 Verification may be required
(1) The Minister may by notice require the applicant to give the Minister within a stated reasonable period a document made by an appropriately qualified independent person that verifies—
(a) an assessment of data supplied in the proposed initial work program; or
(b) the source of the data; or
(c) the work done for the proposed program; or
(d) that, in the person's opinion, the applicant has—
(i) the financial and technical resources to carry out authorised activities for the proposed GHG permit; and
(ii) the ability to manage GHG storage exploration.
(2) If the applicant does not comply with the requirement, the Minister may refuse to approve the proposed program.
(3) The applicant must pay any costs incurred in complying with the requirement.
57 Referral to Water Act Minister
The Minister can not approve the proposed work program unless—
(a) the Minister has given the Water Act Minister a copy of the proposed work program; and
(b) the Water Act Minister has approved the proposed work program to the extent it relates to potential groundwater issues.
Division 4 Requirements for proposed later work programs
58 Operation of div 4
This division provides for requirements (the later work program requirements) for a proposed later work program for a GHG permit.
Note—
For the requirements to give a proposed later work program, see sections 91 (Obligation to give proposed later work program), 138 (Minister may add excluded land) and 379 (Types of noncompliance action that may be taken).
59 General requirements
The proposed program must—
(a) other than for the program period, comply with the initial work program requirements; and
(b) state the extent to which the current work program for the GHG permit has been complied with; and
(c) if there have been any amendments to the GHG permit or the current work program, state—
(i) whether the changes have been incorporated in the proposed program; and
(ii) any effect the changes have on the proposed program; and
(d) state the effect of the discovery of any GHG stream storage site on the proposed program.
60 Program period
(1) The proposed program must state its period.
(2) The period must not be longer than—
(a) if the term of the rest, or the renewed term, of the GHG permit is less than 4 years—the rest of its term or renewed term; or
(b) if the term of the rest, or the renewed term, of the GHG permit is 4 years or more, the following—
(i) generally—4 years from the start of the period;
(ii) if the Minister approves a longer period—the longer period.
(3) However, the Minister can not approve a period longer than the rest of the term or renewed term of the GHG permit.
61 Implementation of evaluation program for potential storage area
If under section 103, an evaluation program is taken to be an additional part of the existing work program for the GHG permit, the proposed program must include work necessary to implement the evaluation program for the period of that program.
Division 5 Approval of proposed later work programs
62 Application of div 5
This division applies if, under this Act, a proposed later work program is given to the Minister for approval.
63 GHG permit taken to have work program until decision on whether to approve proposed work program
(1) This section applies until—
(a) if the approval is given—the holder is given notice of the approval; or
(b) if the approval is refused—when the refusal takes effect.
(2) Despite the ending of the program period for the current work program for the GHG permit—
(a) the GHG permit is taken to have a work program; and
(b) the holder may carry out any authorised activity for the GHG permit.
64 Deciding whether to approve proposed program
(1) The Minister may approve or refuse to approve the proposed program.
(2) In deciding whether to approve the proposed program the Minister must consider each of the following—
(a) the work program criteria and capability criteria and any special criteria that applied for deciding the application for the GHG permit;
(b) the extent to which the current work program has been complied with;
(c) any amendments made to the GHG permit or its current work program and the reasons for the changes;
(d) any GHG storage viability report or independent viability assessment for the GHG permit.
(3) Also, if the GHG permit was granted in response to a tender, any other work program proposed by other tenderers for the permit must be considered.
(4) However, subsection (3) applies only to the extent the other program includes the period of the proposed plan.
65 Steps after, and taking effect of, decision
(1) If the Minister decides to approve the proposed later work program, the Minister must give the holder notice of the decision.
(2) If the Minister decides to refuse to approve the later work program, the Minister must give the holder an information notice about the decision.
(3) An approval takes effect when the holder is given the notice or if the notice states a later day of effect, on that later day.
(4) A refusal does not take effect until the end of the appeal period for the decision to refuse.
Division 6 Amending work programs
66 Restrictions on amending work program
(1) A GHG permit holder may amend the work program for the permit only if—
(a) an application for approval of the amendment has been made under this division and the amendment has been approved under this division; and
(b) if the amendment is to extend the period of the work program—the requirements under subsection (2) have been complied with.
(2) For subsection (1)(b), the requirements are each of the following—
(a) if the work program is the initial work program for the GHG permit—the Minister must be satisfied the work program needs to be amended for a reason beyond the holder's control;
(b) the period of the work program, or any earlier work program for the GHG permit, must not have previously been extended;
(c) the extension can not be for a term that ends later than—
(i) 1 year after the current period of the work program; or
(ii) 12 years after the GHG permit originally took effect;
(d) within 3 months before the making of the application—
(i) a person (the designated person) became a holder of the GHG permit; or
(ii) a person (also the designated person) obtained registration of a transfer of a share in the GHG permit;
(e) the share or proposed share of the designated person in the GHG permit is at least 50%;
(f) the designated person is not under the Corporations Act, section 64B, an entity connected with another person who is a holder of the GHG permit.
67 Applying for approval to amend
(1) A GHG permit holder may apply for approval to amend the work program for the permit.
(2) However, the application can not be made less than 20 business days before the end of the period stated in the work program for carrying out work under the program.
(3) Subsection (2) does not apply if the Minister is satisfied the work program needs to be amended for a reason beyond the holder's control.
Note—
For other relevant provisions about applications, see chapter 7, part 1.
68 Requirements for making application
The application must be—
(a) made to the Minister in the approved form; and
(b) accompanied by the fee prescribed under a regulation.
69 Deciding application
(1) If the proposed amendment—
(a) does not relate to the initial work program for the GHG permit; and
(b) is to substitute the carrying out of an authorised activity (the original activity) with another authorised activity;
the Minister may approve the amendment only if satisfied the other activity is at least of an equivalent use for GHG storage exploration as the original activity.
(2) If the application is to extend the period of the work program for the GHG permit, the Minister may approve the amendment only if satisfied—
(a) the requirements under section 66(2) have been complied with; and
(b) the designated person mentioned in section 66(2) is likely to provide additional financial or technical resources for the GHG permit; and
(c) the work program will be finished within the period of the extension.
Note—
For additional provisions about relinquishment if the period is extended, see sections 72(1)(c) and 90.
(3) Otherwise, the Minister may approve the amendment only if satisfied it is necessary because of a circumstance—
(a) not related to—
(i) the applicant's financial or technical resources or ability to manage GHG storage exploration; or
(ii) the results of exploration; and
(b) the happening of which is or was beyond the applicant's control; and
(c) that could not have been prevented by a reasonable person in the applicant's position.
(4) Also, if the amendment is approved under subsection (3), any relinquishment day for the GHG permit may be deferred for a period relating to a circumstance mentioned in subsection (3).
(5) A deferral under subsection (4)—
(a) can not be for longer than 12 years after the GHG permit took effect; and
(b) does not defer any later relinquishment day for the GHG permit.
(6) If under this section an amendment is approved, a condition may be imposed on the GHG permit requiring its holder to relinquish by a notice to the chief executive at least a stated percentage of the permit's area on or before a stated day.
70 Steps after, and taking effect of, decision
(1) If the Minister decides to approve the proposed amendment, the Minister must give the holder notice of the decision.
(2) If the Minister decides to refuse to approve the proposed amendment, the Minister must give the applicant an information notice about the decision.
(3) The refusal takes effect when the holder is given the notice or if the notice states a later day of effect, on that later day.
Part 5 Key mandatory conditions
Division 1 Preliminary
71 Operation of pt 5
This part provides for particular mandatory conditions for GHG permits.
Division 2 Standard relinquishment condition and related provisions
72 Standard relinquishment condition
(1) It is a condition (the relinquishment condition) of each GHG permit that its holder must relinquish part of its area as provided for under this division—
(a) on or before each of its relinquishment days; and
(b) if section 76(3) applies—on the day provided for under that subsection; and
(c) if under part 4, division 6, the period of the work program for the GHG permit has been extended—the day on which the extended period ends.
(2) However, if under section 69(4), a relinquishment day for the GHG permit (the original day) is deferred for a stated period, for the relinquishment condition—
(a) the relinquishment that was required on or before the original day is taken to have been deferred until the end of the stated period; but
(b) the relinquishments required under the relinquishment condition on any later relinquishment days for the GHG permit must be made as if the deferral has not been granted.
(3) A relinquishment required under the relinquishment condition—
(a) must be made by notice to the chief executive (a relinquishment notice); and
(b) takes effect on the day after the notice is given.
(4) This section does not prevent the holder from relinquishing by relinquishment notice more than the part provided for under this division.
73 Consequence of failure to comply with relinquishment condition
(1) If the holder of a GHG permit does not comply with the relinquishment condition, the Minister must give the holder a notice requiring the holder to comply with the condition within 20 business days after the giving of the notice.
(2) If the holder does not comply with the requirement, the GHG permit is cancelled.
74 Part usually required to be relinquished
(1) This section applies for the relinquishment for—
(a) each relinquishment day for the GHG permit; and
(b) any other day mentioned in section 72(1)(b) or (c) that applies to the GHG permit.
(2) The relinquishment must have the effect that by the day at least 8.33% of the original sub-blocks of the permit have been relinquished for each year that has passed since the GHG permit originally took effect.
(3) This section is subject to sections 76 and 77.
75 Sub-blocks that can not be counted towards relinquishment
(1) The following can not be counted as sub-blocks relinquished for the relinquishment condition—
(a) sub-blocks relinquished under a condition imposed under section 69(6);
(b) sub-blocks in an area that under section 48, have ceased to be included in the GHG permit;
(c) the mere declaration of the sub-blocks as a potential storage area for the GHG permit;
(d) sub-blocks the subject of an application for a GHG lease or potential storage area;
(e) sub-blocks relinquished under a penalty relinquishment.
(2) To remove any doubt, it is declared that a potential storage area can be relinquished and can be counted as an area relinquished for the relinquishment condition.
(3) In this section—
penalty relinquishment means a relinquishment that is—
(a) made under section 90 or under a requirement under section 379(1)(b); and
(b) more than the sub-blocks required to be relinquished under the relinquishment condition.
76 Adjustments for sub-blocks that can not be counted
(1) This section applies for a relinquishment day if after taking away all sub-blocks that under section 75 can not be counted for the relinquishment condition, the balance of the sub-blocks of the GHG permit is less than the sub-blocks required to be relinquished under section 74.
(2) The relinquishment condition is taken to have been complied with if the GHG permit holder gives a relinquishment notice for all of the balance.
(3) However, if—
(a) a sub-block not counted for the relinquishment condition was the subject of an application for a GHG lease or potential storage area; and
(b) the result of the application is that it is refused;
the GHG permit holder must within 20 business days after the appeal period for the decision to refuse give a relinquishment notice for that sub-block.
77 Adjustment for particular potential storage areas
If the only way to comply with the relinquishment condition is to relinquish all or part of a potential storage area for the GHG permit, the relinquishment condition is taken to be complied with if all remaining original sub-blocks of the permit are relinquished.
78 Relinquishment must be by blocks
(1) A relinquishment under the relinquishment condition can only be by blocks.
(2) However, if a block contains an area that, under section 75 can not be counted as a relinquishment, subsection (1) is complied with if all of the rest of the land within the block is relinquished.
79 Ending of GHG permit if all of its area relinquished
If all of the area of a GHG permit is relinquished, the permit ends.
Division 3 Other mandatory conditions
80 Compliance with test plan for GHG storage injection testing
(1) A GHG permit holder may carry out GHG storage injection testing only in accordance with the following—
(a) a test plan for that purpose approved by the Minister;
(b) all conditions of the approval.
(2) The holder may ask the Minister to approve a test plan proposed by the holder.
(3) The proposed test plan must comply with any requirements prescribed under a regulation.
(4) The Minister may impose conditions on the granting of the approval.
(5) If the Minister decides to refuse to approve the proposed test plan or to impose conditions on the granting of the approval, the Minister must give the holder an information notice about the decision.
81 Restriction on substances that may be used for GHG storage injection testing
A GHG permit holder can not use a substance other than a GHG stream or water for injection for GHG storage.
82 Restriction on substances that may be used for GHG stream storage
A GHG permit holder can not use a substance other than a GHG stream for GHG stream storage.
83 Restriction on GHG streams that may be used
A GHG permit holder may use a GHG stream for GHG storage injection testing or GHG stream storage only if it consists only of carbon dioxide and—
(a) a substance incidentally derived from—
(i) the process called carbon dioxide capture, transport and geological storage, also called carbon capture and storage; or
(ii) GHG storage; or
(b) a detection agent prescribed under a regulation at the rate or concentration prescribed under a regulation.
Note—
A stream is a GHG stream only if is a stream of carbon dioxide or a substance that overwhelmingly consists of carbon dioxide. See section 12 (What is a GHG stream).
84Water Act authorisation required for taking or interference with water
A GHG permit holder can not take or interfere with water as defined under the Water Act unless the taking or interference is authorised under that Act.
Note—
For relevant Water Act provisions, see sections 19 and 808 of that Act.
85 Obligation to consult with particular owners and occupiers
(1) A GHG permit holder must consult or use reasonable endeavours to consult with each owner and occupier of private or public land on which authorised activities for the permit are proposed to be carried out or are being carried out.
(2) The consultation must be about—
(a) access; and
(b) the carrying out of authorised activities for the GHG permit (including, for example, crossing access land for the permit) to the extent they relate to the owners and occupiers; and
(c) the GHG permit holder's compensation liability to the owners or occupiers.
86 Annual rent
(1) A GHG permit holder must pay the State the annual rent as prescribed under a regulation.
(2) The annual rent must be paid in the way, and on or before the day prescribed under a regulation.
87 Civil penalty for non-payment of annual rent
(1) If a GHG permit holder does not pay the annual rent as required under section 86, the holder must also pay the State a civil penalty.
(2) The amount of the penalty is 15% of the rent.
(3) The penalty—
(a) must be paid on the day after the last day for payment of the rent; and
(b) is still payable even if the holder later pays the rent.
Note—
See also section 372 (Interest on amounts owing to the State).
88 Requirement to have work program
The holder of a GHG permit must have a work program for the permit.
89 Compliance with GHG storage exploration activities in work program
A GHG permit holder must carry out the GHG storage exploration activities proposed in the permit's work program.
90 Penalty relinquishment if work program not finished within extended period
(1) If—
(a) under part 4, division 6, the period of the work program for a GHG permit has been extended; and
(b) the work program is not finished on or before the day on which the extended period ends;
its holder must relinquish a part of the original sub-blocks of the GHG permit that the Minister is satisfied corresponds to the amount of the work under the work program that was not finished.
(2) The holder must give the chief executive written notice of the relinquishment within 20 business days after the end of the extended period.
(3) If the holder does not comply with subsection (2), the Minister may take action under section 379(1)(b).
91 Obligation to give proposed later work program
(1) This section imposes an obligation on a GHG permit holder to give the Minister a proposed later work program for the permit.
Notes—
1 For approval of the proposed program, see part 4, division 5.
2 If the holder wishes to renew the GHG permit, a proposed later work program must be included in the renewal application. See section 94(1).
(2) The obligation is complied with only if the proposed later work program—
(a) complies with the later work program requirements; and
(b) is accompanied by the relevant fee.
(3) A proposed later work program must be given to the Minister at least 40 but no more than 100 business days before the end of the program period for the current work program for the GHG permit (the current work program period).
(4) However, if before the end of the current work program period a decision is made to refuse to approve a proposed later work program given under subsection (3), the holder may within the period give another proposed later work program.
(5) If the holder does not give the Minister any proposed later work program before the end of the current work program period or if subsection (4) applies and the holder has not given the Minister another proposed later work program within the current work program period—
(a) the Minister must give the holder a notice requiring the holder to give the Minister a proposed later work program for the GHG permit within 40 business days after the giving of the notice; and
(b) the holder must comply with the requirement.
(6) In this section—
relevant fee, for the giving of the proposed program, means—
(a) if the proposed program is given within the time required under subsection (3)—the fee prescribed under a regulation; or
(b) if the proposed program is given after the time required under subsection (3)—
(i) if it is given under subsection (4)—nil; or
(ii) if it is not given under subsection (4)—an amount that is 10 times the prescribed fee.
92 Consequence of failure to comply with notice to give proposed later work program
(1) If a GHG permit holder does not comply with a requirement under section 91(5)(a), the permit is cancelled.
(2) However, the cancellation does not take effect until the Minister gives the holder a notice stating that the GHG permit has been cancelled because of the operation of subsection (1).
92A Power to impose or amend condition if changed holder of GHG permit
(1) This section applies if 1 of the following changes happens—
(a) an entity starts or stops controlling the holder of a GHG permit under the Corporations Act, section 50AA;
(b) the holder of a GHG permit starts or stops being a subsidiary of a corporation under the Corporations Act, section 46.
(2) The Minister may consider whether, after the change, the holder of the GHG permit has the financial and technical resources to comply with the conditions of the GHG permit.
(3) If the Minister considers the holder of the GHG permit may not have the financial and technical resources to comply with conditions of the GHG permit, the Minister may impose another condition on, or amend a condition of, the GHG permit.
(4) If the Minister believes a change mentioned in subsection (1) may have happened, the Minister may require the holder of the GHG permit to give the Minister information or a document about whether or not the change has happened.
(5) Before deciding to impose another condition on, or amend a condition of, the GHG permit under subsection (3), the Minister may require the holder of the GHG permit to give the Minister information or a document the Minister requires to make the decision.
(6) A requirement under subsection (4) or (5) must—
(a) be made by notice given to the holder; and
(b) state a period of at least 10 business days within which the holder must comply with the requirement.
(7) Before deciding to impose another condition on, or amend a condition of, the GHG permit under subsection (3), the Minister must give the holder of the permit a notice stating—
(a) the proposed decision; and
(b) the reasons for the proposed decision; and
(c) that the holder may, within 10 business days after the notice is given, make submissions to the Minister about the proposed decision.
(8) The Minister may extend the period mentioned in subsection (6)(b) or (7)(c) by notice given to the holder of the GHG permit.
(9) In deciding whether to impose another condition on, or amend a condition of, the GHG permit under subsection (3), the Minister—
(a) must consider information or a document, if any, given under subsection (6)(b) or (7)(c); and
(b) may consider any other matter the Minister considers relevant.
(10) If the Minister decides to impose another condition on, or amend a condition of, the GHG permit under subsection (3), the Minister must, as soon as practicable after making the decision, give the holder a notice stating the decision and the reasons for the decision.
Part 6 Renewals
93 Conditions for renewal application
(1) A GHG permit holder may apply to renew the permit only if none of the following is outstanding—
(a) annual rent for the GHG permit;
(b) a civil penalty under section 87 for non-payment of annual rent;
(c) security required for the GHG permit, as required under section 271;
(d) interest payable under section 372 on annual rent or a civil penalty.
(2) Also, the application can not be made—
(a) more than 60 business days before the end of the GHG permit's term; or
(b) after the GHG permit has ended.
94 Requirements for making application
(1) The application must—
(a) be made to the Minister in the approved form; and
(b) include a statement about how and when the applicant proposes to consult with and keep informed each owner and occupier of private or public land on which authorised activities for the renewed GHG permit are or are likely to be carried out; and
(c) include a proposed later work program for the renewed GHG permit; and
(d) be accompanied by—
(i) the application fee prescribed under a regulation; and
(ii) if the application is made less than 20 business days before end of the GHG permit's term—an amount that is 10 times the application fee.
(2) The proposed work program must comply with the later work program requirements.
95 Continuing effect of GHG permit for renewal application
(1) This section applies if before the application is decided the GHG permit's term ends.
(2) Despite the ending of the term, the GHG permit continues in force until the earlier of the following to happen—
(a) the start of any renewed term of the GHG permit;
(b) a refusal of the application takes effect;
(c) the application is withdrawn;
(d) the GHG permit is cancelled under this Act.
(3) Also, if the applicant has applied for a declaration of a potential storage area for the GHG permit, it continues in force until the declaration application is decided but only for the area of the proposed GHG potential storage area applied for.
(4) If the GHG permit is continued in force under subsection (3), the evaluation program included in the declaration application is taken to be the work program for the permit.
(5) If the GHG permit is renewed, subsections (2) and (3) are taken never to have applied for the period from the end of the term of the GHG permit being renewed as stated in that permit.
96 Deciding application
(1) The Minister may grant or refuse the renewal.
(2) However—
(a) before deciding to grant the renewal, the Minister must decide whether to approve the applicant's proposed later work program for the renewed GHG permit; and
(b) the renewal can not be granted unless—
(i) the proposed program has been approved; and
(ii) the applicant satisfies the capability criteria; and
(iii) the Minister is satisfied the applicant—
(A) continues to satisfy any special criteria that applied for deciding the application for the GHG permit being renewed; and
(B) has substantially complied with the GHG permit being renewed; and
(iv) a relevant environmental authority has been issued.
Note—
If the application relates to acquired land, see also section 369C.
(3) Also, if the applicant has been given a notice under section 107 to apply for a GHG lease, the application must not be decided until the issue of whether a GHG lease will be granted is decided.
(4) Subsection (3) does not limit the power under section 108 to take a proposed action as stated in the notice.
(5) The Minister may as a condition of deciding to grant the application require the applicant to do all or any of the following within a stated reasonable period—
(a) pay the annual rent for the first year of the renewed GHG permit;
(b) give under section 271, security for the renewed GHG permit.
(6) If the applicant does not comply with the requirement, the application may be refused.
97 Provisions and term of renewed GHG permit
(1) Subject to this section, section 41 applies to the renewed GHG permit as if it were a GHG permit granted under part 2.
(2) To remove any doubt, it is declared that the conditions of the renewed GHG permit may be different from the conditions or other provisions of the GHG permit being renewed.
(3) The area of the renewed GHG permit must not be more than the area of the GHG permit being renewed immediately before the renewed GHG permit is to take effect.
Note—
See, however, section 369C in relation to acquired land that was previously in the area of the GHG permit being renewed.
(4) The first relinquishment day for the renewed GHG permit must not be later than 4 years after the day the renewed GHG permit is to take effect.
(5) If the renewed GHG permit is decided before the end of the term of the GHG permit being renewed as stated in that GHG permit (the previous term), the term of the renewed GHG permit is taken to start from the end of the previous term.
(6) If the renewed GHG permit is decided after the previous term, the term of the renewed GHG permit starts immediately after the end of the previous term, but—
(a) the conditions of the renewed GHG permit do not start until its holder is given notice of them; and
(b) until the notice is given, the conditions of the GHG permit being renewed apply to the renewed GHG permit as if they were its conditions.
(7) The term of the renewed GHG permit must not end more than 12 years from when it originally took effect.
(8) However, if any part of the renewed GHG permit's area is a potential storage area, the term of the renewed GHG permit for that part may be for a longer period that—
(a) ends no later than when the declaration ends; and
(b) is no more than the last term of the GHG permit being renewed.
(9) To remove any doubt, it is declared that subsection (8)(b) does not prevent a renewal of the renewed GHG permit.
98 Criteria for decisions
In deciding whether to grant the renewal or deciding the provisions of the renewed GHG permit t
