Commonwealth Numbered Regulations - Explanatory Statements

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PETROLEUM (SUBMERGED LANDS) AMENDMENT REGULATIONS 2004 (NO. 1) 2004 NO. 326

Subsection 157(1) of the Petroleum (Submerged Lands) Act 1967 (the Principal Act) provides that the Governor-General may make regulations, not inconsistent with the Act, prescribing matters required or permitted by the Act to be prescribed, or necessary or convenient to be prescribed for carrying out or giving effect to the Act.

The Principal Act provides the legal framework for the exploration for, and the production of, petroleum in those parts of Australia's continental shelf which are under Commonwealth jurisdiction. The Principal Act, which involves a large number of administrative decisions relating to petroleum titles, is administered jointly by the Commonwealth, state and Northern Territory Governments. In the states and Northern Territory, the relevant Minister, known as the Designated Authority, is responsible for the day-to-day administration of the Principal Act.

The Principal Act provides that fees may be prescribed for applications for the grant and renewal of titles (exploration permits, retention leases, production licences, pipeline licences, infrastructure licences and special prospecting authorities) and the variation of pipeline licences.

The Principal Act also provides for the Designated Authority to keep a register of titles and special prospecting authorities granted. The register lists the names of companies holding a title and details other matters relating to the type, size, location and terms and conditions of the title and any other matters deemed to be of public interest. Under sections 79, 86 and 87 of the Principal Act, companies are required to submit applications to register changes of details pertaining to a specific title. Fees are prescribed to amend, search and receive copies of extracts of the register.

Section 118 of the Principal Act (now repealed, but with a significant savings provision) provides that fees may be prescribed for making available information in documents.

The Petroleum (Submerged Lands) Regulations 1985 specify the prescribed fees contained in the Principal Act. These Regulations increase the level of prescribed fees by 3.5% which approximates inflation from the last time these fees were set in March 2003.

In keeping with the Offshore Constitutional Settlement and section 129 of the Principal Act, the Commonwealth will continue to repay all fees (excluding the goods and service tax component) received for the day-to-day administration of the regime to State and Northern Territory Authorities to offset their costs.

Details of the Regulations are set out in the Attachment.

The Regulations commenced on 1 January 2005.

Authority:       Section 157 of the Petroleum (Submerged Lands) Act 1967

ATTACHMENT

Regulation 1 - Name of Regulations

This Regulation provides the title of the Regulations.

Regulation 2 - Commencement

This Regulation provides for the commencement of the Regulations on 1 January 2005.

Regulation 3 - Amendment of Petroleum (Submerged Lands) Regulations

This Regulation provides that the amendments to the Petroleum (Submerged Lands) Regulations 1985 are as set out in Schedule 1.

SCHEDULE 1       AMENDMENTS

Item 1 - Regulation 6

This item increased from $16 to $17 the fee to inspect the register of titles, prescribed under subsection 86(1) of the Petroleum (Submerged Lands) Act 1967 (the Principal Act).

Item 2 - Subregulation 7(1)

This item increased from $3 to $3.10 per page the fee to obtain a copy or extract from the register of titles, prescribed under subsection 87(2) of the Principal Act.

Item 3 - Subregulation 7(2)

This item increased from $39 to $40 the fee for a certified certificate, provided by the Designated Authority, of information contained in the register of titles, prescribed under subsection 87(3) of the Principal Act.

Item 4 - Subregulation 9(1)

This is an editorial change to reflect the omission of subregulation 9(2) as provided by item 7.

Item 5 - Paragraphs 9(1)(a) and (b)

This item deals with costs in searching for, loaning, copying and dispatching documents, cores, cuttings or samples made publicly available under former section 118 of the Principal Act. The prescribed fee for loaning documents increased from $33 to $34 per day. This section of the Act was repealed in 2000 but a savings provision applies in relation to information received before 7 March 2000.

Item 6 - Subregulation 9(1)

This item inserts a footnote clarifying that section 118 of the Act was repealed in 2000 but that a savings provision applies in relation to information received before 7 March 2000.

Item 7 - Subregulation 9(2)

This item omits subregulation 9(2) which deals with the costs associated with the loaning of cores, cuttings and mining samples under section 118 of the Principal Act before the repeal of this section in 2000 in its application to cores, cuttings and samples. Subsection 150G(2) now provides for regulations (specifically the Petroleum (Submerged Lands)(Data Management) Regulations 2004) to determine the fee payable in respect of access to cores, cuttings and samples. Subregulation 9(2) is therefore redundant and now omitted.

Item 8 - Regulation 10

This item omits regulation 10 which deals with the management of information and petroleum mining samples received on and after 7 March 2000. Sections 150D, 150F and 150G of the Principal Act were amended by the Petroleum (Submerged Lands) Amendment Act 2003 (No.118) and the new subsection 150G(2) now provides for regulations (specifically the Petroleum (Submerged Lands) (Data Management) Regulations 2004) to determine the fee payable. Regulation 10 is therefore redundant and now omitted.

Item 9 - Schedule 2 - Prescribed Fees (regulation 5)

Paragraphs 21(1)(f), 24(1)(a), 48(1)(a), and 64(1)(f) of the Principal Act impose a prescribed fee for applications for titles (ie exploration permits as normally awarded, exploration permits and production licences over surrendered blocks, and pipeline licences). The prescribed fee increased from $3,900 to $4,040.

Paragraphs 22A(5)(h), 38A(2)(e), 38BB(2)(e), 41(1)(e) and 59B(2)(d) of the Principal Act impose a prescribed fee for applications for cash bid permits, retention leases, production licences and infrastructure licences. The prescribed fee increased from $1,560 to $1,615.

Paragraphs 30(2)(c), 38F(2)(d) and 54(2)(d) of the Principal Act impose a prescribed fee for applications for renewal of titles. The prescribed fee increased from $1,560 to $1,615.

Paragraphs 51(2)(e), 71(2)(e) and 111(2)(d) of the Principal Act impose a prescribed fee for applications for production licences over an individual block, variations to pipeline licences and applications for special prospecting authorities. The prescribed fee increased from $780 to $810.

Section 79(2) of the Principal Act imposes a prescribed fee to register the devolution of names of titleholders. Paragraph 79(3)(b) prescribes a fee for the registration of a company name change in the titles register. The prescribed fee increased from $78 to $81.