Petroleum and Gas (Production and Safety) Regulation 2004

1Short title

This regulation may be cited as the Petroleum and Gas (Production and Safety) Regulation 2004 .

2Commencement

(1) Section 58 commences on 1 July 2005.

(2)The rest of this regulation commences on 31 December 2004.

3Dictionary

The dictionary in schedule 12 defines particular words used in this regulation.

4Where documents mentioned in this regulation can be inspected

(1)A document mentioned in this regulation, other than a standard, may be inspected free of charge at the department’s office at 61 Mary Street, Brisbane.

Editor’s note—

Standards are available for purchase through the SAI Global website.

(2)In this section—

standard means a standard published—

(a)by Standards Australia; or

(b)jointly by Standards Australia and Standards New Zealand; or

(c)jointly by Standards Australia and the International Electrotechnical Commission; or

(d)by the International Organisation for Standardisation.

s 4 amd 2009 SL No. 186 s 8

pt hdg ins 2010 SL No. 297 s 4

4ALand access code—Act, s 24A

(1)For section 24A (1) of the Act, the land access code consists of—

(a)the best practice guidelines stated in parts 1 and 2 of the document called ‘Land Access Code’, dated November 2010 and published by the department; and

(b) schedule 1A.

(2)However, all of the following apply for compiling any copy of the land access code—

(a) schedule 1A must be inserted into the document called ‘Land Access Code’, dated November 2010 and published by the department;

(b)the reference to the authorising section may be omitted;

(c)the part headings may be omitted;

(d)a reference to ‘this schedule’ may be substituted with a reference to ‘this part’;

(e)the compilation may use whatever numbering system the chief executive considers appropriate;

(f)each cross-reference must be amended to ensure a correct reflection of the numbering system used.

(3)A compilation made under subsection (2) is taken to be the code prescribed under subsection (1).

s 4A prev s 4A ins 2005 SL No. 300 s 7

om 2007 SL No. 312 s 4

pres s 4A ins 2010 SL No. 297 s 4

5Substances that are petroleum

(1)For section 10 (1) (d) of the Act, the following substances are prescribed to be petroleum—

(a)biogas;

(b)gas produced from a waste disposal tip;

(c)gas produced during the treatment of sewage;

(d)a substance that is a mixture of LPG and air, known as ‘synthetic natural gas’.

(2)However, subsection (1) applies only for the purpose of the following provisions of the Act—

(a)chapters 8 to 10;

(b)to the extent they apply for chapters 8 to 10, chapters 11 to 14.

(3)For section 10 (1) (e) of the Act, carbon dioxide is prescribed to be petroleum.

(4)However, subsection (3) applies only—

(a)to a survey licence holder investigating and surveying an area for its potential and suitability for the construction and operation of pipelines for transporting carbon dioxide; or

(b)to an authority to prospect holder evaluating or testing natural underground reservoirs for petroleum storage under section 32 (1) (d) of the Act, if—

(i)the testing is carried out on a particular block of the authority within—

(A)2 years after the testing starts; or

(B)if, within the 2 years, the Minister decides a longer period—the longer period; and

(ii)the Minister approves the testing on the particular block; and

(iii)any conditions the Minister imposes on the approval are complied with.

s 5 amd 2005 SL No. 300 s 8; 2008 SL No. 401 s 3

6Substances that are fuel gas

For section 11 (2) (c) of the Act, the following substances are prescribed—

(a)hydrogen used or intended to be used as fuel;

(b)biogas;

(c)gas produced from a waste disposal tip;

(d)gas produced during the treatment of sewage;

(e)a substance that is a mixture of LPG and air, known as ‘synthetic natural gas’.

s 6 amd 2005 SL No. 300 s 9

6AASubstances prescribed for Act, s 402

(1)For section 402 (1) (b) of the Act, a distilled petroleum substance is prescribed.

(2)In this section—

distilled petroleum substance means a substance—

(a)produced by distilling crude oil; and

(b)that consists of, or includes, hydrocarbons.

Examples of a distilled petroleum substance—

diesel, petrol, kerosene

s 6AA ins 2014 SL No. 332 s 4

6ADevices prescribed for Act, section 724(1), definition gas device (type A)

For section 724 (1) of the Act, definition gas device (type A), each device mentioned in schedule 6 is prescribed.

s 6A ins 2011 SL No. 44 s 4

7Mandatory and preferred standards for particular safety requirements

(1)A standard, code or other document listed in schedule 1,column 1 is prescribed as a safety requirement for the activity or thing stated opposite the document in column 2 of the schedule.

(2)The document is a mandatory or preferred standard for the safety requirement as stated in column 3 of the schedule opposite the document.

(3)If a document is a mandatory standard for a safety requirement, a person must comply with the document in order to comply with the safety requirement.

(4)If a document is a preferred standard for a safety requirement—

(a)a person who complies with the document complies with the safety requirement; but

(b)a person may comply with the safety requirement without complying with the document if—

(i)the person gives the chief inspector a notice that the person is not complying with the document; and

(ii)the person has written evidence showing the level of risk for the activity or thing to which the safety requirement applies is equal to or less than the level of risk that would be achieved by complying with the document.

Example of written evidence—

a report setting out a risk assessment carried out by a competent person

Note—

See section 165 for the application of subsection (4) (b) (i).

(5)If the document allows a competent person, or any other person, to grant an exemption from, or in any other way change, the requirements stated in the document, the exemption or change may only be granted or made by the chief inspector.

Example—

An Australian Standard mentioned in schedule 1 might provide that a competent person can grant an exemption from provisions of the standard. For the purpose of this regulation, the exemption can only be granted by the chief inspector.

(6)If a safety requirement prescribed under this section is inconsistent with a safety requirement (the other safety requirement) prescribed under another provision of this regulation, the other safety requirement prevails to the extent of the inconsistency.

s 7 amd 2007 SL No. 312 s 5

7AAReferences to CSG operator in construction and abandonment code

For section 54AAA and schedule 1, a reference in the construction and abandonment code to a CSG operator is taken to be a reference to the holder of a CSG tenure.

s 7AA ins 2011 SL No. 243 s 4

7APerson must give inspector evidence of risk level for preferred standard

(1)This section applies if an inspector gives a person mentioned in section 7 (4) (b) a notice requiring the person to give the inspector a copy of the evidence mentioned in section 7 (4) (b) (ii).

(2)The person must give a copy of the evidence to the inspector within a reasonable period stated in the notice.

Maximum penalty—20 penalty units.

(3) Subsections (4) and (5) apply if the chief inspector reasonably believes the evidence does not show the level of risk for the activity or thing is equal to or less than the level of risk (the required level of risk) that would be achieved by complying with the relevant preferred standard under section 7 (4) (a).

(4)The chief inspector may give the person a notice requiring the person to do either of the following within a stated reasonable period—

(a)give the chief inspector further evidence showing the level of risk for the activity or thing is equal to or less than the required level of risk;

(b)take steps to achieve a level of risk for the activity or thing that is equal to or less than the required level of risk.

(5)If the person does not comply with the requirement under the notice, the person is taken to have not complied with the safety requirement to which the preferred standard relates.

s 7A ins 2007 SL No. 312 s 6

8Prescribed quality for fuel gas

(1)For section 620 of the Act, the prescribed quality for fuel gas supplied to consumers is—

(a)for LPG used as an engine fuel—the quality required to comply with the document called ‘Liquefied petroleum gas for automotive use—specification 2000’ published in January 2000 by the Australian Liquefied Petroleum Gas Association Limited; and

(b)for LPG used for heating—the quality required to comply with—

(i)the requirements under subsection (2); and

(ii)the document called ‘Liquefied petroleum gas for heating use—specification 2000’ published in January 2000 by the Australian Liquefied Petroleum Gas Association Limited; and

(c)for processed natural gas—the quality required to comply with AS 4564 ‘Specification for general purpose natural gas’ (2005).

(2)For subsection (1) (b) (i), the requirements are that, at the point of odorisation—

(a)the average mole content of propylene in the fuel gas, calculated each day, must not exceed 50%; and

(b)the mole content of propylene in the fuel gas must not exceed 60% at any time.

(3)In this section—

average mole content, of propylene in fuel gas, means the sum of the daily percentage measurements of the mole content of propylene in the fuel gas made for each day in the 90-day period ending on the day the calculation is made, divided by 90.

s 8 amd 2005 SL No. 300 s 10

9Prescribed odour for fuel gas

(1)For section 627 of the Act, the prescribed odour for fuel gas is an odour that—

(a)is distinct, unpleasant and non-persistent; and

(b)is of an intensity indicating the presence of gas down to one-fifth of the lower flammability limit; and

(c)for LPG—exists throughout the LPG’s vaporisation range from the liquid state.

(2)LPG is taken to have the prescribed odour if it contains 25g of ethyl mercaptan for each tonne of liquid LPG.

(3)In this section—

lower flammability limit means the lowest concentration of the fuel gas in air that will ignite.

10Activities prescribed for definition of operating plant

(1)For section 670 (5) (a) of the Act, the activity prescribed is an LPG delivery network for non-automotive LPG if—

(a)the network includes filling, with non-automotive LPG, a fuel gas container with a water capacity of more than 30L; or

(b)the total capacity of fuel gas containers in the network for non-automotive LPG is more than 5000L.

(2)For section 670 (5) (c) of the Act, the activity prescribed is the storage of LPG cylinders at premises if the total capacity of the cylinders at the premises is more than 5000L.

(3)For section 670 (5) (e) of the Act, the following activities are prescribed—

(a)an activity involving the use of gas devices at a place if the total gas capacity of the devices at the place is 50GJ/hr or more at any time;

(b)an activity involving the use of fuel gas to produce theatrical or other special effects;

(c)an activity involving the collection, transportation or use of a gas prescribed under section 5 (1) as petroleum;

Example—

the collection of landfill gas and its use in power generation

(d)an activity associated with the exploration for storing, or the storage, treatment or use of, carbon dioxide for sequestration.

s 10 sub 2005 SL No. 300 s 11; 2007 SL No. 312 s 7

amd 2011 SL No. 44 s 5; 2015 SL No. 23 s 4

11Prescribed incidents

(1)For section 706 (1) (a) of the Act, an incident listed in schedule 2, column 1 is a prescribed incident.

(2)A prescribed incident must be reported to the chief inspector in the way mentioned in column 2 of the schedule opposite the incident.

(3)If more than 1 way of reporting is mentioned in the schedule for an incident, the report must be given in each way mentioned.

(4)The report must be given within the period mentioned in column 3 of the schedule opposite the incident.

(5)If a written report must be given for the incident, the report must state the underlying cause of the incident.

s 11 amd 2007 SL No. 312 s 8

12Definitions for div 1

In this division—

general area information, for a relinquishment report for a petroleum tenure, means each of the following—

(a)a location map showing—

(i)

the area of the petroleum tenure immediately before the relinquishment (the previous tenure area); and

(ii)

the relinquished part of the area of the tenure (the relinquished area);

(b)a map showing the location in the relinquished area of—

(i)each petroleum well and bore drilled under the tenure; and

(ii)each seismic line used for a seismic survey carried out under the tenure;

(c)a structure contour map showing the seismic horizons (seismic reflectors) in the relinquished area;

(d)a map showing the leads and prospects in the relinquished area;

(e)a general description of the topographical features of the previous tenure area and the relinquished area, including, for example, access to the areas.

hazard information, for a relinquishment report or surrender report for a petroleum tenure, means each of the following—

(a)a summary of all significant hazards to future safe and efficient mining of coal created under the tenure that, under section 690 (1) (g) or 706 of the Act or under this regulation, are required to be reported;

(b)for each hazard mentioned in the summary under paragraph (a)—a reference to the report that contains details of the hazard;

(c)for any other hazard, or potential hazard, created under the tenure to future safe and efficient mining of coal or oil shale in the area of the tenure—

(i)the nature of the hazard or potential hazard; and

(ii)the way in which the hazard or potential hazard was created; and

(iii)the location of the hazard or potential hazard; and

(iv)measures taken to prevent or reduce the hazard or potential hazard to mitigate its effects.

prescribed underground water information ...

def prescribed underground water information om 2011 SL No. 243 s 5 (1)

relevant petroleum well ...

def relevant petroleum well om 2011 SL No. 243 s 5 (1)

relevant time ...

def relevant time om 2011 SL No. 243 s 5 (1)

relevant Water Act bore, for a petroleum tenure, means a Water Act bore that is unduly affected by the exercise of the underground water rights for the tenure.

relevant water observation bore, for a petroleum tenure, means a water observation bore constructed or used by the tenure holder for the holder’s monitoring program.

reporting period, for an annual report required under section 552 of the Act to be lodged by the holder of a petroleum authority, means the period to which the report relates under the section.

def reporting period sub 2011 SL No. 243 s 5

tenure information, for a relinquishment report for a petroleum tenure, means each of the following—

(a)the day the petroleum tenure was granted;

(b)the day the relinquishment takes effect;

(c)the period of the work program or development plan, as applicable, for the tenure;

(d)the blocks or sub-blocks comprising the relinquished part of the area of the tenure.

s 12 def prediction period om 2013 SL No. 37 s 50

13Proposed authority to prospect—proposed initial work program

For section 48 (1) (f) of the Act, the matters are each of the following—

(a)a description of the geological model for the area of the proposed authority;

(b)an assessment of the potential for petroleum discovery in the area;

(c)the rationale, in relation to the geological model for the area, for the activities proposed to be carried out under the proposed authority.

14Proposed petroleum lease—proposed initial development plan

(1)For section 138 (1) (g) of the Act, the matters are—

(a)for each natural underground reservoir within the area of the proposed petroleum lease the applicant is aware of—the area limit of the reservoir; and

(b)details, including the location, type and size, of any planned infrastructure intended to be located within the area of the proposed lease.

Examples of infrastructure—

1plant or works, including, for example, communication systems, compressors, powerlines, pumping stations, reservoirs, roads, evaporation or storage ponds and tanks

2temporary structures or structures of an industrial or technical nature, including, for example, mobile and temporary camps

(2)In this section—

area limit of a natural underground reservoir means the location of the boundaries of—

(a)the proved and probable reserves of petroleum in the reservoir; or

(b)the reserves of petroleum in the reservoir determined in another way that is acceptable to the chief executive.

Example—

reserves of petroleum determined under a code other than the SPE code

sdiv hdg prev sdiv 3 hdg om 2011 SL No. 243 s 6

pres sdiv 3 hdg ins 2014 SL No. 117 s 32

15Shorter period to change production commencement day—Act, s 175AA (c)

For section 175AA (c) of the Act, the shorter period is 3 months.

s 15 prev s 15 om 2011 SL No. 243 s 6

pres s 15 ins 2014 SL No. 117 s 32

sdiv hdg sub 2013 SL No. 235 s 15

19Notice of conversion

For section 284 of the Act, the information is each of the following—

(a)a description of the location of the bore;

(b)the date on which the petroleum well was converted to a bore.

s 19 amd 2013 SL No. 235 s 16

19APrescribed information for notice about bore to Water Act regulator

(1)For section 543A (2) of the Act, the information prescribed about a bore is the information required to complete the drill log form for the bore.

(2)In this section—

drill log form means the form of that name published by the department.

s 19A ins 2013 SL No. 235 s 17

20Relinquishment report for an authority to prospect

(1)This section prescribes, for section 545 (b) of the Act, other information that must be contained in a relinquishment report for an authority to prospect.

(2)The information is each of the following—

(a)the tenure information for the report;

(b)the general area information for the report;

(c)the geological model of the relinquished part of the area of the authority (the relinquished area) and an assessment of the potential for petroleum discovery in the area;

(d)a summary of the results of all authorised activities for the authority carried out in the relinquished area since the authority took effect and the conclusions drawn by the holder based on the results;

(e)an index of all reports lodged, as required under the Act, in relation to the authorised activities carried out in the relinquished area;

(f)the hazard information for the report;

(g)the volume of petroleum or water produced from each petroleum well or bore in the relinquished area for each year since the authority took effect;

(h)if a petroleum well in the relinquished area has produced petroleum from a coal seam since the authority took effect—all data or other information held by the holder that, in the holder’s reasonable opinion, may help a person to identify in the future any remaining areas of potential free gas that may have been created by removing water from the seam and producing gas from it;

(i)the reason the holder has relinquished the area.

s 20 amd 2012 SL No. 226 s 22

21Relinquishment report for a petroleum lease

(1)This section prescribes, for section 545 (b) of the Act, other information that must be contained in a relinquishment report for a petroleum lease.

(2)The information is each of the following—

(a)the tenure information for the report;

(b)the general area information for the report;

(c)if petroleum or a prescribed storage gas has been stored in a natural underground reservoir in the relinquished part of the area of the lease (the relinquished area) since the lease took effect—the methods used to store petroleum or a prescribed storage gas in, or produce it from, the reservoir;

(d)the volume and type of prescribed storage gases stored in each natural underground reservoir in the relinquished area when the relinquishment takes effect;

(e)the volume of petroleum or a prescribed storage gas stored in natural underground reservoirs in the relinquished area since the lease took effect;

(f)the geological model of the natural underground reservoirs in the relinquished area;

(g)the extraction methods used to produce petroleum or prescribed storage gases in the relinquished area under the lease;

(h)the volume of petroleum or water produced under the lease from each petroleum well or bore in the relinquished area for each year since the lease took effect;

(i)a summary of the results of all authorised activities for the lease carried out in the relinquished area since the lease took effect and the conclusions drawn by the holder based on the results;

(j)an index of all reports lodged, as required under the Act, in relation to the authorised activities carried out in the relinquished area;

(k)the hazard information for the report;

(l)if a petroleum well in the relinquished area has produced petroleum from a coal seam since the lease took effect—all data or other information held by the holder that, in the holder’s reasonable opinion, may help a person to identify in the future any remaining areas of potential free gas that may have been created by removing water from the seam and producing gas from it;

(m)the reason the holder has relinquished the area.

s 21 amd 2012 SL No. 226 s 23

22End of tenure report

(1)This section prescribes, for section 546 (b) of the Act, other information that must be stated in an end of tenure report.

(2)The information is any information mentioned in section 20 or 21 or, for an end of tenure report for a petroleum lease, section 28, that is not mentioned in section 546 (1) (a) of the Act.

(3)For subsection (2), a reference in section 20 or 21 to the relinquished area, and a reference in section 28 to the surrendered area, is taken to be a reference to the area of the tenure immediately before it ended.

(4) Subsection (2) does not apply to the extent the information mentioned in section 20, 21 or 28 has already been included in a relinquishment report or surrender report lodged for the tenure.

s 22 amd 2012 SL No. 226 s 24

sdiv 6A (s 22A) ins 2008 SL No. 59 s 13

22AEnd of authority report

For section 546A (2) of the Act, the following information must be contained in an end of authority report for a data acquisition authority or survey licence—

(a)the authorised activities for the authority or licence carried out during the term of the authority or licence;

(b)an index of all reports lodged under the Act by the holder during the term of the authority or licence in relation to the authority or licence.

sdiv 6A (s 22A) ins 2008 SL No. 59 s 13

27Annual report for a petroleum facility licence or pipeline licence

For section 552 (2) of the Act, the following information must be contained in an annual report for a petroleum facility licence or pipeline licence—

(a)the authorised activities for the licence carried out during the reporting period;

(b)a statement of the authorised activities proposed to be carried out under the licence for the next 12-month period.

s 27 amd 2009 SL No. 186 s 10

28Surrender report for a petroleum lease

(1)This section prescribes information that must be included in a report required under section 576 (2) of the Act to accompany a surrender application in relation to part of the area of a petroleum lease.

(2)The report must contain each of the following—

(a)in relation to the lease—

(i)the day it was granted; and

(ii)a description of, and map showing, the area (the surrendered area) the subject of the application, including access to the area;

(b)a description of the methods used to produce or recover petroleum or a prescribed storage gas from, or store petroleum or a prescribed storage gas in, natural underground reservoirs in the surrendered area under the lease;

(c)the volume of petroleum produced, and the volume of prescribed storage gases recovered, from each natural underground reservoir in the surrendered area under the lease for each year since the lease took effect;

(d)the volume of petroleum or a prescribed storage gas stored in natural underground reservoirs in the surrendered area under the lease when the surrender takes effect;

(e)a description of the geological features of the natural underground reservoirs in the surrendered area—

(i)from which petroleum was produced, or a prescribed storage gas recovered, under the lease; or

(ii)in which petroleum or a prescribed storage gas was stored under the lease;

(f)an index of all reports lodged, as required under the Act, in relation to the authorised activities carried out in the surrendered area;

(g)the hazard information for the report;

(h)if a petroleum well in the surrendered area has produced petroleum from a coal seam since the lease took effect—all data or other information held by the holder that, in the holder’s reasonable opinion, may help a person to identify in the future any remaining areas of potential free gas that may have been created by removing water from the seam and producing gas from it;

(i)a map showing the location in the surrendered area of—

(i)each petroleum well and bore drilled under the lease; and

(ii)each seismic line used for a seismic survey carried out under the lease;

(j)structure contour maps of the seismic horizons (seismic reflectors) in the surrendered area;

(k)a map showing the leads and prospects in the surrendered area;

(l)the reason the holder has applied to surrender the part of the area of the lease.

29Surrender report for a pipeline licence

(1)This section prescribes information that must be included in a report required under section 576 (2) of the Act to accompany a surrender application for all or part of the area of a pipeline licence.

(2)The report must contain each of the following—

(a)a summary of the methods used to decommission the pipeline;

(b)in relation to the licence, each of the following—

(i)the date it was granted;

(ii)its term;

(iii)a description of the area (the surrendered area) the subject of the application;

(c)a description of, and map showing, the location of the pipeline in the surrendered area, including access to the pipeline.

30Purpose of div 2

The division prescribes, for section 553 (1) of the Act, notices and reports required to be kept or lodged by the holder of a petroleum authority.

s 30 amd 2015 SL No. 51 s 17

30AOwners and occupiers to be given copy of notices required to be lodged under this subdivision

(1)This section applies if the holder of a petroleum tenure is required to lodge a notice under this subdivision.

(2)The holder must give a copy of the notice to each owner and each occupier of the land on which the authorised activities to which the notice relates have been or are to be carried out—

(a)for a notice of intention to drill a petroleum well or bore under section 31—at least 10 business days before the start of drilling; or

(b)for a notice of completion, alteration or abandonment of a petroleum well or bore under section 32—within 10 business days after an event mentioned in section 32 (1) happens; or

(c)for a notice of intention to carry out a seismic survey or scientific or technical survey under section 33—at least 10 business days before the survey starts; or

(d)for a notice of completion of a seismic survey or scientific or technical survey under section 34—within 10 business days after the completion day for the survey; or

(e)for a notice of intention to carry out hydraulic fracturing activities under section 35—at least 10 business days before starting the hydraulic fracturing activities; or

(f)for a notice of completion of hydraulic fracturing activities under section 35A—within 10 business days after finishing the hydraulic fracturing activities.

(3)The requirement under subsection (2) to give a copy of the notice—

(a)to each owner of the land, does not apply if the holder is the owner or an owner of the land; or

(b)to each occupier of the land, does not apply if the holder is the occupier or an occupier of the land.

s 30A ins 2011 SL No. 35 s 11

31Notice of intention to drill a petroleum well or bore

(1)The holder of a petroleum tenure must, at least 10 business days before starting to drill a petroleum well or bore, lodge a notice stating that the well or bore is to be drilled.

(2)The notice must—

(a)be lodged electronically using the system for submission of notices made or approved by the chief executive and available on the department’s website; and

(b)be in the digital form made or approved by the chief executive; and

(c)for a notice about a petroleum well—state a proposed identifying name for the petroleum well.

(3)A proposed identifying name of a petroleum well stated in the notice must not be the same, or substantially the same, as a name recorded for a prescribed well in the petroleum register or the petroleum register under the 1923 Act.

s 31 amd 2010 SL No. 142 s 3; 2011 SL No. 35 s 12

32Notice of completion, alteration or abandonment of petroleum well or bore

(1)This section applies if—

(a)drilling of a petroleum well or bore is completed; or

(b)the completion configuration of a petroleum well changes; or

(c)a petroleum well or bore is abandoned.

(2)For subsection (1)—

(a)drilling of a petroleum well or bore is completed if—

(i)the drilling rig last used to drill the well or bore is moved so it is no longer above the well or bore; and

(ii)the relevant holder intends no further drilling of the well or bore to occur; and

(b)the completion configuration of a petroleum well changes if, after drilling of the well is completed—

(i)additional casing is installed in the well; or

(ii)any part of the well is plugged, other than for decommissioning the well; or

(iii)an interval in the well is altered in any other way.

(3)The relevant holder must, within 10 business days after the event mentioned in subsection (1) happens, lodge a notice stating that the event has happened.

(4)The notice must—

(a)be lodged electronically using the system for submission of notices made or approved by the chief executive and available on the department’s website; and

(b)be in the digital form made or approved by the chief executive.

(5)In this section—

relevant holder means the holder of the petroleum tenure or water monitoring authority under which the petroleum well or bore was drilled.

s 32 amd 2010 SL No. 142 s 4

33Notice of intention to carry out seismic survey or scientific or technical survey

(1)This section applies if a seismic survey or a scientific or technical survey is to be carried out in—

(a)the area of a petroleum tenure; or

(b)the area subject to a data acquisition authority that relates to a petroleum tenure.

(2)The tenure holder must, at least 10 business days before the survey starts, lodge a notice stating each of the following—

(a)an identifying name or code for the survey;

(b)the type of survey to be carried out;

Examples—

seismic, geophysical, geochemical, geotechnical

(c)a description of the area to be surveyed;

(d)the day surveying will start;

(e)the expected duration of the surveying.

(3)The notice must—

(a)be in the approved form; and

(b)be accompanied by a map showing the location of the area to be surveyed.

(4)The identifying name or code for the survey stated in the notice must not be the same, or substantially the same, as the name or code for another survey recorded in the petroleum register or the petroleum register under the 1923 Act.

34Notice of completion of seismic survey or scientific or technical survey

(1)This section applies if a seismic survey or a scientific or technical survey carried out within the area of a petroleum tenure, or the area subject to a data acquisition authority that relates to the tenure, is completed.

(2)For subsection (1), a survey is completed as soon as all of the raw data for the survey has been recorded or recovered.

(3)The tenure holder must, within 10 business days after the completion day for the survey, lodge a notice stating that the survey has been completed.

(4)The notice must be in the approved form.

35Notice of intention to carry out hydraulic fracturing activities

(1)This section applies if the holder of a petroleum tenure is to carry out hydraulic fracturing activities in the prescribed area for the tenure.

(2)The holder must, at least 10 business days before starting hydraulic fracturing activities in the prescribed area for the tenure, lodge a notice stating the hydraulic fracturing activities are to start.

(3)The notice must—

(a)be lodged electronically using the system for submission of notices made or approved by the chief executive and available on the department’s website; and

(b)be in the digital form made or approved by the chief executive.

s 35 prev s 35 om 2010 SL No. 142 s 5

pres s 35 ins 2011 SL No. 35 s 13

35ANotice of completion of hydraulic fracturing activities

(1)This section applies if the holder of a petroleum tenure has finished hydraulic fracturing activities in the prescribed area for the tenure after the commencement of this section.

(2)The holder must, within 10 business days after finishing the hydraulic fracturing activities, lodge a notice in the approved form about the completion of the hydraulic fracturing activities.

(3)Without limiting subsection (2), the approved form must provide for the holder to state—

(a)the commencement and completion dates of the hydraulic fracturing activities; and

(b)the operator of the drilling project involving the hydraulic fracturing activities; and

(c)the contractor who carried out the hydraulic fracturing activities on behalf of the operator of the drilling project; and

(d)details of the composition of the hydraulic fracturing fluid pumped into the petroleum well used for the hydraulic fracturing activities.

(4)The notice must—

(a)be lodged electronically using the system for submission of notices made or approved by the chief executive and available on the department’s website; and

(b)be in the digital form made or approved by the chief executive.

(5)In this section—

operator, of a drilling project, means the corporation or other entity that is the decision-maker and has responsibility for the overall management for the project.

s 35A ins 2011 SL No. 35 s 13

amd 2015 SL No. 23 s 5

sdiv hdg sub 2013 SL No. 235 s 18

36Daily drilling report

(1)A petroleum tenure holder must keep a daily drilling report for each day on which drilling of a petroleum well is carried out under the tenure.

(2)A copy of each daily drilling report for the drilling of a petroleum well must be lodged with the well or bore completion report that is lodged for the well under section 37.

(3)Also, a copy of a daily drilling report must be lodged if the chief executive asks for the report to be lodged.

(4)A daily drilling report for a petroleum well must contain each of the following in relation to the drilling carried out on the day to which the report relates—

(a)the identifying name of the well;

(b)the tenure holder’s name and the tenure under which the well was drilled;

(c)the type of drilling rig used;

(d)a summary of the drilling operations carried out;

(e)the depth in metres of the well at the end of the day’s drilling;

(f)the size and type of drill bit used;

(g)the drilling fluids and additives used;

(h)the size and depth in metres of any casing inserted in the well;

(i)the depth in metres of the top and bottom of each cemented interval in the well;

(j)the results of any deviation surveys carried out in the well;

(k)a description of any drill stem tests or other tests carried out in the well;

(l)the depth in metres of the top and bottom of the hydrocarbon show intervals in the well and the type and description of any surface observations of each interval;

(m)the type of any perforations in the well and the depth in metres of the top and bottom of the perforated intervals;

(n)details of any stimulation carried out;

(o)details of any squeeze cementing or cement plugging carried out;

(p)a description of any cores or cutting samples taken.

(5)In this section—

deviation survey means a survey of the path of a petroleum well that measures its direction in 3 dimensions.

s 36 amd 2015 SL No. 51 s 18

37Well or bore completion report

(1)A petroleum tenure holder must lodge a well or bore completion report for a petroleum well or bore drilled under the tenure.

(2)The report must be given not later than 6 months after the rig release day for the well or bore.

(3)The report must contain each of the following—

(a)the type and number of the petroleum tenure;

(b)the name, and postal address, of the operator of the well or bore;

(c)the identifying name of the well or bore;

(d)a well or bore card for the well or bore (a summary of the information about the well or bore in the report);

(e)a map showing the location of the well or bore;

(f)a geological summary of the area of the tenure;

(g)the ground level and kelly bushing level in metres for the well or bore;

(h)the total depth in metres of the well or bore;

(i)the following days—

(i)the day the drilling of the well or bore started;

(ii)the day the total depth of the well or bore was reached;

(iii)the rig release day for the well or bore;

(j)details of the drilling rig, the number and type of drill bits, and the drilling fluids, used to drill the well or bore;

(k)the status of the well or bore on the rig release day;

(l)the surveyed path of the well or bore;

(m)details of the casing and equipment installed in the well or bore, with a diagram showing their location in the well or bore;

(n)the type of any perforations in the well or bore and the depth in metres of the top and bottom of the perforated intervals;

(o)details of the cementing in the well or bore, including its location, the type of cement used and the depth in metres of the top and bottom of each cemented interval;

(p)a description of all tests or surveys carried out for the purpose of drilling the well or bore;

(q)a geological interpretation of the well or bore, including the stratigraphy of the rock units it intersects;

(r)an identification of the intervals in the well that have the potential to produce petroleum;

(s)an assessment of—

(i)the relevance of the well to the hydrocarbon potential within the vicinity of the well; and

(ii)the implications of the well for the future management of the natural underground reservoir to which the well relates;

(t)a description of each geological sample taken during the drilling of the well or bore, including the depth in metres at which the sample was taken;

Examples of geological samples—

cuttings, sidewall cores and conventional cores

(u)an interpretation of the data obtained from the geophysical (or wireline) logs that have been run in the well or bore;

(v)the tenure holder’s reasons for choosing the location of the well or bore.

(4)For a directional well, the report must also state the position of each of the following—

(a)the stratigraphic units intersected by the well;

(b)the bottom of the well;

(c)any intersection of the well with another petroleum well.

(5)For subsection (4), the position must be expressed in relation to—

(a)total vertical depth in metres; and

(b)the horizontal plane.

(6)The report must be accompanied by each of the following—

(a)a digital image of the cores taken during the drilling of the well or bore;

(b)the raw data, in digital form, of each geophysical (or wireline) log that has been run in the well or bore;

(c)a digital image of the graphic representations of the raw data mentioned in paragraph (b).

(7)If the petroleum well or bore is plugged and abandoned on or before the rig release day for the well or bore, the report must also contain the information mentioned in section 38 (2).

s 37 amd 2010 SL No. 142 s 6; 2013 SL No. 235 s 19; 2015 SL No. 51 s 19

38Well or bore abandonment report

(1)If a petroleum well or bore is plugged and abandoned after the rig release day for the well or bore, the relevant petroleum authority holder must, within 2 months after the completion day, lodge a well or bore abandonment report for the well or bore.

(2)The report must contain each of the following—

(a)on the first page, each of the following details—

(i)the type and number of the relevant petroleum authority;

(ii)the identifying name of the well or bore;

(iii)the name of the author of the report;

(iv)the name of the authority holder;

(v)the name of the operator of the well or bore;

(vi)the name of the person submitting the report;

(vii)the date of the report, in day-month-year format;

(b)a summary and history of the well or bore, including a location map and the date on which a well or bore completion report for the well or bore was lodged;

(c)the following details about the well or bore—

(i)its total depth in metres;

(ii)the position at the top and bottom, expressed as required under subsection (3), and the thickness, of any of the following intersected by the well or bore—

(A)a coal seam;

(B)a natural underground reservoir;

(C)an aquifer;

(iii)the depth in metres of any perforations in the casing of the well or bore;

(iv)the type of drilling rig used to drill the well or bore;

(d)if stimulation of a coal seam was carried out in the well or bore under the relevant petroleum authority, the matters stated in subsection (4);

(e)all surveys and measurements made in the well or bore, including any detailed interpretation of a survey or measurement;

(f)in relation to the completion or abandonment of the well or bore, each of the following—

(i)details of the casing and equipment installed in the well or bore, with diagrams showing the major dimensions and features of the casing and equipment;

(ii)a full description of all equipment, including prescribed equipment, that is retained in the well or bore, including the size and nature of the equipment and any features of the equipment that may cause a hazard to coal mining operations;

Example of features that may cause a hazard to coal mining operations—

aluminium, electronics or batteries

(iii)the surveyed location of any prescribed equipment;

(iv)the method of the cementing operations carried out in or on the well or bore, including the location and type of plugs, the intervals covered, the volume and type of cement used, any losses of cement due to voids or permeable strata, and the methods used to overcome losses of cement;

(v)the method, materials and volume of cement used to cement voids;

(vi)a description of any other abandonment procedures used for the well or bore;

(vii)any other details of the activities undertaken in drilling, completing and plugging and abandoning the well or bore, including an assessment of their possible impacts, that would assist a person in making an assessment of potential risks to safe and efficient mining of coal.

(3)For subsection (2) (c) (ii), the position at the top and bottom of the coal seam, natural underground reservoir or aquifer must be identified in relation to—

(a)for a directional well—

(i)total vertical depth in metres; and

(ii)the horizontal plane; or

(b)otherwise—the depth in metres.

(4)For subsection (2) (d), the matters are each of the following—

(a)the depth in metres of the top and bottom of the interval over which the stimulation was carried out;

(b)a description of the equipment used to carry out the stimulation;

(c)for the interval mentioned in paragraph (a), a graphic representation of each of the following—

(i)casing pressure with time;

(ii)calculated bottom hole pressure with time;

(iii)slurry rate with time;

(iv)proppant concentration with time;

(v)calculated bottom hole concentration with time;

(d)any record made about the stimulation by the person who carried it out;

(e)any other details about the stimulation that would assist a person in making a future assessment of the impact of the stimulation on the coal seam and any increased risk to safe and efficient mining of coal.

(5)In this section—

completion day means the day on which plugging and abandoning of the well or bore is completed as required to comply with the requirements under schedule 3.

prescribed equipment see section 69.

relevant petroleum authority means a petroleum tenure or water monitoring authority.

s 38 amd 2013 SL No. 235 s 20; 2015 SL No. 51 s 20

39Seismic survey report

(1)This section applies if the holder of a petroleum tenure—

(a)carries out a seismic survey of the area of the tenure; or

(b)carries out a seismic survey of the area subject to a data acquisition authority to which the tenure relates; or

(c)reprocesses raw data obtained from a survey mentioned in paragraph (a) or (b).

(2)The tenure holder must, not later than 12 months after the completion day for the survey, lodge a seismic survey report for the survey.

(3)The report must contain each of the following—

(a)a description of the location of the area surveyed;

(b)a geological summary of the area surveyed;

(c)an index of previous seismic surveys carried out under the tenure within the area and a summary of the results of the surveys;

(d)the objectives of the survey;

(e)the activities carried out for the survey, including, for example, details of the seismic lines used and the days on which the activities were carried out;

(f)a description of each method used to acquire raw data, including—

(i)the equipment used for positioning, surveying, navigation or other purposes; and

(ii)the techniques and equipment used for recording and testing the data;

(g)a description of how the raw data was processed or, for a survey mentioned in subsection (1) (c), reprocessed;

(h)an evaluation of the processed or reprocessed data, including an interpretation of the seismic horizons (seismic reflectors) and any leads or prospects identified from the data;

(i)a map showing the location of the seismic lines used for the survey;

(j)if the report is not accompanied by grid files for the area surveyed in digital form—

(i)structure contour maps of seismic horizons (seismic reflectors) in the area surveyed; and

(ii)maps of the area showing variations in the thickness of stratigraphic units (isopach maps).

(4)The report must be accompanied by—

(a)each of the following in digital form—

(i)the raw data obtained in relation to the survey and the record made as the data was recorded (commonly known as the ‘observer’s logs’);

(ii)a list of the seismic lines used and the range of the numbered stations on each line;

(iii)the surveyed location, including the elevation, of each seismic source and receiver point;

(iv)the processed or reprocessed data derived from each seismic line used for the survey;

(v)a graphical representation of the data mentioned in subparagraph (iv); and

(b)if an activity for the survey was carried out by a contractor of the tenure holder, a copy of any report given to the holder by the contractor in relation to the activity.

(5)In this section—

grid file, for an area, means a representation, on a close-spaced, regular grid, of an interpretation of time and depth to seismic horizons (seismic reflectors).

40Scientific or technical survey report

(1)This section applies if the holder of a petroleum tenure—

(a)carries out a scientific or technical survey of the area of the tenure; or

(b)carries out a scientific or technical survey of the area subject to a data acquisition authority to which the tenure relates; or

(c)reprocesses raw data obtained from a survey mentioned in paragraph (a) or (b).

(2)The tenure holder must, not later than 6 months after the completion day for the survey, lodge a scientific or technical survey report for the survey.

(3)The report must contain each of the following—

(a)a description of the location of the area surveyed;

(b)a geological summary of the area surveyed;

(c)the type of survey carried out;

(d)an index of previous scientific or technical surveys, of the same type as the survey for which the report is given, carried out under the tenure within the area;

(e)the objectives of the survey;

(f)the activities carried out for the survey, including, for example, the days on which the activities were carried out;

(g)the methods and equipment used for acquiring and processing, or reprocessing, data;

(h)an interpretation of the processed or reprocessed data derived from the survey;

(i)a map showing the location of—

(i)the area surveyed; and

(ii)where any measurements were made or samples were taken in connection with the survey.

(4)The report must be accompanied by each of the following in digital form—

(a)the raw data obtained in relation to the survey;

(b)the processed or reprocessed data derived from the survey.

41Definition for sdiv 5

In this subdivision—

6-month period, for a petroleum authority, means a following period in a year during which, for all or part of the period, the authority is in effect—

(a)1 January to 30 June;

(b)1 July to 31 December.

42How particular volumes must be stated in reports

(1) Subsection (2) applies if this subdivision requires a volume of any of the following to be stated in a report—

(a)a petroleum product;

(b)a prescribed storage gas;

(c)a substance prescribed under section 402 (1) of the Act;

(d)water.

(2)The volume must be stated as—

(a)megalitres, for any of the following—

(i)water;

(ii)LPG;

(iii)condensate;

(iv)crude oil;

(v)any other liquid; or

(b)millions of cubic metres for gas, including coal seam gas.

43Petroleum production report—petroleum lease

(1)A petroleum lease holder must, within 40 business days after the last day of a 6-month period for the lease, lodge a petroleum production report for the period.

(2)The report must contain each of the following—

(a)the number of the lease;

(b)an identification of each natural underground reservoir and the reservoir formation (or geological unit) from which petroleum was produced under the lease during the period;

(c)each of the following for the 6-month period—

(i)the volume of each petroleum product derived from petroleum produced from each natural underground reservoir within the area of the lease;

(ii)the volume of petroleum produced under the lease that was flared or vented in a gaseous state;

(iii)the volume of petroleum produced under the lease that was used to produce petroleum;

(iv)the volume, or an estimate of the volume, of associated water taken under the lease from each natural underground reservoir;

(d)the volumes mentioned in paragraph (c)(i) to (iii) for the period starting on the day petroleum was first produced under the lease and ending on the last day of the 6-month period;

(e)the volume or estimate mentioned in paragraph (c)(iv) for the period starting on the day associated water was first taken under the lease and ending on the last day of the 6-month period;

(f)for each natural underground reservoir from which petroleum is produced under the lease—the number of petroleum wells producing petroleum under the lease from the reservoir;

(g)for each petroleum well drilled for the purpose of producing coal seam gas within the area of the lease, each of the following for associated water taken from the well under the lease during the 6-month period—

(i)the volume, or an estimate of the volume, of water taken;

(ii)the pH of the water on each day during the period on which it was measured;

(iii)the measurements taken of total dissolved solids (mg/l) in, and the electrical conductivity of, the water during the period.

44Petroleum reserves report

(1)This section applies if there are proved and probable reserves of petroleum within the area of a petroleum tenure.

(2)The petroleum tenure holder must, within 40 business days after the last day of a 6-month period for the tenure, lodge a petroleum reserves report for the tenure for the period.

(3)The report must contain each of the following in a form acceptable to the chief executive—

(a)the type and number of the petroleum tenure;

(b)an identification of each natural underground reservoir in which there were proved and probable reserves of petroleum during the period;

(c)the volume of the proved and probable reserves of petroleum in each natural underground reservoir within the area of the tenure worked out on the first day and last day of the period.

45Production testing report

(1)This section applies if production testing for a petroleum well is carried out under a petroleum tenure.

Note—

See sections 73 and 152 of the Act.

(2)The tenure holder must, within 40 business days after the last day of a relevant testing period, lodge a production testing report for the period.

(3)The report must contain each of the following in a form acceptable to the chief executive—

(a)the type and number of the tenure;

(b)the identifying name of the petroleum well;

(c)an identification of each natural underground reservoir and the reservoir formation (or geological unit) from which petroleum was produced as part of the production testing;

(d)the duration of the production testing carried out during the period;

(e)the type of any perforations in the well and the depth in metres of the top and bottom of the perforated intervals;

(f)the volumes, or estimates of the volumes, of gas, oil and water produced from the testing during the period;

(g)the choke size used for the well;

(h)the density of any oil produced from the testing during the period, measured using the American Petroleum Institute’s scale of measuring the specific gravity of oil, commonly known as the ‘API gravity’ of the oil;

(i)the pressure in the well, measured during the period, at which petroleum can not escape from the wellhead for the well, commonly known as the ‘shut-in pressure’ of the well.

(4)In this section—

relevant testing period means—

(a)the period starting on the day production testing for the petroleum well first starts and ending on the earlier of—

(i)30 days from the day testing first started; or

(ii)the day testing ends; and

(b)if the production testing is carried out for more than 30 days with the Minister’s approval—the period starting on the 31st day of testing and ending on the day the testing ends.

sdiv hdg ins 2011 SL No. 35 s 14

46AHydraulic fracturing activities completion report

(1)This section applies if the holder of a petroleum tenure has finished hydraulic fracturing activities in the prescribed area for the tenure after the commencement of this section.

(2)The holder must, within 2 months after finishing the hydraulic fracturing activities, lodge a report (a hydraulic fracturing activities completion report) that complies with subsection (3).

(3)The report must contain each of the following—

(a)the type and number of the tenure;

(b)the name and postal address of the contractor who carried out the hydraulic fracturing activities on behalf of the operator of the drilling project;

(c)the identifying name of each treatment well or observation well for which the hydraulic fracturing activities were carried out;

(d)the day the hydraulic fracturing activities for each petroleum well started;

(e)the day the hydraulic fracturing activities for each petroleum well finished;

(f)an identification of each method of hydraulic fracturing activities carried out;

(g)the depth in metres of the top and bottom of—

(i)each stage over which the hydraulic fracturing activities were carried out; and

(ii)each geological interval over which hydraulic fracturing activities were carried out and the name of each geological interval;

(h)a summary of the operations performed at each stage in carrying out the hydraulic fracturing activities, including the volume and type of chemical used at each stage;

(i)an assessment of the implications of the hydraulic fracturing activities for each petroleum well for the future management of the natural underground reservoir involved, including for each stage of the hydraulic fracturing activities, over the geological interval, a graphic representation of the following—

(i)casing pressure with time;

(ii)calculated bottom hole pressure with time;

(iii)calculated bottom hole concentration with time;

(iv)the rate at which the hydraulic fracturing fluid is pumped into the well used for the hydraulic fracturing activities with time;

(v)the concentration of proppant in the hydraulic fracturing fluid with time;

(vi)maximum surface treatment pressure reached during each stage of the hydraulic fracturing activities;

(vii)the estimated targeted fracture pressure over the geological interval during each stage of the hydraulic fracturing activities;

(j)details of—

(i)the equipment used to carry out and monitor the hydraulic fracturing activities; and

(ii)the diagnostic techniques used to monitor the hydraulic fracturing activities;

(k)if known, details of—

(i)any geological connection between a geological interval over which hydraulic fracturing activities were carried out and an aquifer; and

Example—

In the Surat Basin, if a Walloon subgroup geological interval hydraulic fracture treatment stage breaks through to the Upper Springbok Formation, the holder must include details of this event.

(ii)the distance separating a geological interval over which hydraulic fracturing activities were carried out from an aquifer;

(l)details of the total volume of hydraulic fracturing fluid, in kilolitres, pumped into each petroleum well during each stage of the hydraulic fracturing activities;

(m)if hydraulic fracturing activities were carried out on a coal seam—any other details about the hydraulic fracturing activities that would assist a person in making a future assessment of the impact of the hydraulic fracturing activities on the coal seam and any increased risk to safe and efficient mining of coal;

(n)if a known event related to the hydraulic fracturing activities has caused material environmental harm, or serious environmental harm, within the meaning of the Environmental Protection Act 1994 —details of each step taken to mitigate the harm.

(4)The holder must ensure the report is accompanied by a statement (a hydraulic fracturing fluid statement) stating, for the hydraulic fracturing fluid used in carrying out the hydraulic fracturing activities, the composition of the hydraulic fracturing fluid, including—

(a)the quantity of each component of the hydraulic fracturing fluid in kilograms, litres, or kilolitres, as appropriate; and

(b)the concentration of each component in the hydraulic fracturing fluid; and

(c)the name of any chemical compound contained in the hydraulic fracturing fluid.

Maximum penalty for subsection (4)—20 penalty units.

(5)In this section—

operator, of a drilling project, means the corporation or other entity that is the decision-maker and has responsibility for the overall management for the project.

s 46A ins 2011 SL No. 35 s 14

amd 2015 SL No. 23 s 6

47Samples required to be kept

(1)For section 547 (1) of the Act, the samples about the authorised activities carried out under a petroleum tenure that must be kept by the holder are the samples mentioned in sections 48 to 50.

(2)A sample must be kept until the later of the following—

(a)the end of the term of the petroleum tenure;

(b)the sample, or part of the sample, is lodged as required under section 548 of the Act.

(3)A sample must be kept in a way that prevents unnecessary deterioration or loss of the sample.

s 47 amd 2008 SL No. 59 s 15; 2015 SL No. 51 s 22

48Cutting samples

(1)A petroleum tenure holder must, for each petroleum well made under the tenure, keep the cutting samples of the geological formations penetrated by the making of the well for each interval mentioned in subsection (3).

(2)However, subsection (1) does not apply to a petroleum well that has been made solely for coal seam gas exploration or production, unless, before the well was made, the chief executive gave the holder notice that the sample must be kept.

(3)For subsection (1), the intervals are—

(a)each 10m interval, or part of a 10m interval, from the surface to as close as practicable to the top of the geological formation nearest to the surface that is likely to contain a natural underground reservoir; and

(b)each 3m interval, or part of a 3m interval, from as close as practicable to the top of the geological formation mentioned in paragraph (a) to the bottom of the well.

(4)However, subsection (3) (a) does not apply in relation to a development well.

(5)The part of the sample that is lodged as required under section 548 (1) of the Act must be—

(a)250g or more, but not more than 500g; and

(b)washed and dried; and

(c)in a container that is suitable for long-term storage and handling and is labelled with each of the following—

(i)the identifying name of the well from which the sample was taken;

(ii)the depth in metres of the top and bottom of the interval from which the sample was taken.

(6)In this section—

cutting sample means a sample of the cuttings produced by the making of the well.

s 48 amd 2015 SL No. 51 s 23

49Cores

(1)A petroleum tenure holder must keep each core recovered from a petroleum well under the petroleum tenure.

(2)However, subsection (1) does not apply in relation to a core from a petroleum well made solely for coal seam gas exploration or production if—

(a)the holder gives the chief executive notice, in the approved form, offering to give the chief executive a sample of the core; and

(b)the notice is received no later than 5 months after the day the core is recovered; and

(c)the chief executive does not, within 20 business days after receiving the notice, give the holder notice that the holder must keep the sample under subsection (1).

(3)The part of the core that is lodged as required under section 548 (1) of the Act must—

(a)be at least 50% of the core recovered; and

(b)have as complete a vertical face as is practicable; and

(c)be lodged in a box or other suitable container that is suitable for long-term storage and handling and is labelled with each of the following—

(i)the identifying name of the well from which the core was recovered;

(ii)if more than 1 core is recovered from the well—the number of the core;

(iii)the depth in metres of the top and bottom of the interval cored;

(iv)the length in metres of the core recovered.

s 49 amd 2015 SL No. 51 s 24

50Fluid samples

(1)This section applies to the holder of a petroleum tenure if—

(a)the holder recovers a sample (a fluid sample) of liquid petroleum from a petroleum well under the tenure; and

(b)the sample is more than 10l; and

(c)the chief executive gives the holder notice that the sample is required to be kept; and

(d)the notice is given no later than 5 months after the day the sample is recovered.

(2)The holder must lodge, as required under section 548 (1) of the Act, 500ml or more of the fluid sample.

(3)A fluid sample that is lodged as required under section 548 (1) of the Act must be lodged in a glass bottle that is—

(a)teflon sealed with a screw top; and

(b)labelled with at least the following information—

(i)the identifying name of the well;

(ii)the depth in metres of the top and bottom of the interval from which the sample was recovered;

(iii)the day on which the sample was recovered;

(iv)the method by which the fluid sample was recovered.

Examples—

drill stem tests, production tests

s 50 amd 2015 SL No. 51 s 25

51Confidentiality of required information for petroleum tenure holders

(1)This section prescribes, for section 550 (1) of the Act, the confidentiality period for required information for a petroleum tenure.

(2)The period starts on the day the information is lodged under the Act and ends on the following day—

(a)for an annual report required to be lodged under section 552 of the Act—the day that is 5 years after the last day of the period to which the report relates;

(b)for a daily drilling report required to be lodged under section 36 or a well or bore completion report—

(i)for an appraisal well, exploration well or bore—the day that is 2 years after the day on which the report is required to be lodged; or

(ii)for a development well—the day that is 5 years after the day on which the report is required to be lodged;

(c)subject to subsection (3), for a well or bore abandonment report—

(i)for an appraisal well, exploration well or bore—the day that is 2 years after the day on which the report is required to be lodged; or

(ii)for a development well—the day that is 5 years after the day on which the report is required to be lodged;

(d)for a seismic survey report required under section 39 to be lodged—the day that is 2 years after the day on which the report is required to be lodged;

(e)for a scientific or technical survey report required under section 40 to be lodged—the day that is 2 years after the day on which the report is required to be lodged;

(f)for a petroleum production report required under section 43 to be lodged for a petroleum lease—the day that is 6 months after the last day of the period to which the report relates;

(g)for a petroleum reserves report required under section 44 to be lodged—the day that is 6 months after the last day of the period to which the report relates;

(h)for a production testing report required under section 45 to be lodged—

(i)for an authority to prospect—the day that is 2 years after the last day of the period to which the report relates; or

(ii)for a petroleum lease—the day that is 5 years after the last day of the period to which the report relates;

(i)for a cutting sample, core or fluid sample required under section 548 of the Act to be lodged—

(i)for an appraisal well or an exploration well—the day that is 2 years after the day on which part of the sample or core is required to be lodged under section 548 of the Act; or

(ii)for a development well—the day that is 5 years after the day on which part of the sample or core is required to be lodged under section 548 of the Act;

Note—

See also sections 48, 49 and 50.

(j)for a hydraulic fracturing activities completion report required to be lodged under section 46A, including any accompanying hydraulic fracturing fluid statement—the day that is 5 years after the day on which the report is required to be lodged, or the day on which the report is lodged, whichever is the earlier;

(k)for an infrastructure report required to be lodged under section 552A of the Act—the day that is 5 years after the day on which the report is required to be lodged.

(3)There is no confidentiality period for making a well or bore abandonment report for a petroleum well available under section 550 (1) (b) of the Act to the holder of a coal or oil shale mining tenement if the well was drilled within the area of the tenement.

(4)There is no confidentiality period for required information not mentioned in subsection (2).

s 51 amd 2010 SL No. 142 s 7; 2011 SL No. 35 s 15; 2012 SL No. 226 s 25; 2013 SL No. 235 s 21

52Publication of required information

(1)This section prescribes, for section 550 (1) (a) of the Act, the ways in which the chief executive may publish required information.

(2)The ways are each of the following—

(a)in a journal published by the department or under the Minister’s authority;

(b)in another publication considered appropriate by the chief executive;

(c)on the department’s website on the internet;

(d)in a publicly available database;

(e)on a map that is made available to the public for inspection or purchase;

(f)in digital or electronic form, including, for example, on a disc or tape;

(g)by displaying it on a notice that is available to the public for inspection at—

(i)the department’s head office; and

(ii)other places the chief executive considers appropriate;

(h)by telling it to another person or presenting it to the person in a visual form.

52ARecord of supply of gas from PGPLR land—Act, s 175H (2)

(1)For section 175H (2) of the Act, the following are the matters for which a record is required to be kept for each supply of gas produced from PGPLR land—

(a)details of the petroleum lease for the land, including its number and the area of the lease;

(b)the entity to whom the gas was supplied;

(c)the volume of gas supplied to the entity mentioned in paragraph (b).

(2)Each record must be kept—

(a)for at least 7 years after the date the record was made; and

(b)in a way that enables the selling entity to comply, within the time stated in a notice given under section 175H (3) of the Act, with a request for a copy of the record.

Examples of ways records may be kept—

hard copy or electronic format

s 52A ins 2011 SL No. 113 s 4

53Purpose of pt 2

The purpose of this part is to prescribe safety requirements in relation to exploring for, and producing, petroleum.

54Operating plant used for drilling

(1)This section prescribes safety requirements for an operating plant used to drill for petroleum.

(2)The operating plant must—

(a)be fit for all purposes for which it is designed to be used; and

(b)comply with all other requirements that apply to the operating plant under the Act; and

(c)be equipped to undertake reasonable remedial measures if unplanned events occur in connection with the operation of the plant.

Example of remedial measures—

recovering lost drill string

(3)The operator of the plant must ensure the safety requirements prescribed under this section are complied with.

54AAA Tenure holder to ensure compliance with construction and abandonment code

(1)The holder of a CSG tenure must ensure that each person carrying out a relevant activity on the land to which the tenure applies complies with the construction and abandonment code.

(2)In this section—

relevant activity means—

(a)any of the following activities—

(i)drilling a bore;

(ii)converting a petroleum well to a bore; or

(b)an activity related to any of the following things;

(i)a prescribed well;

(ii)a proposed prescribed well;

(iii)an abandoned prescribed well.

Note—

See also section 7AA (References to CSG operator in construction and abandonment code).

s 54AAA ins 2011 SL No. 243 s 7

sub 2013 SL No. 235 s 22

54AAOperator to ensure competency requirements are met

(1)The operator of a drilling operating plant must ensure—

(a)each person working on the drilling operating plant that is drilling a prescribed well at the plant meets the competencies for drilling a prescribed well (the well drilling competencies) identified for the person’s position under the drilling and servicing competency standard; and

(b)each person working on the drilling operating plant that is servicing a prescribed well at the plant meets the competencies for servicing a prescribed well (the well servicing competencies) identified for the person’s position under the drilling and servicing competency standard.

(2)If the drilling operating plant is also used to drill or service a bore, the operator must also ensure—

(a)each person working on the drilling operating plant that is drilling the bore meets the well drilling competencies; and

(b)each person working on the drilling operating plant that is servicing the bore meets the well servicing competencies.

(3)However, subsection (1) (a) or (2) (a) does not apply if the person is—

(a)undergoing training for the well drilling competencies; and

(b)acting under the direct supervision of a competent person for the drilling operating plant.

(4)Also, subsection (1) (b) or (2) (b) does not apply if the person is—

(a)undergoing training for the well servicing competencies; and

(b)acting under the direct supervision of a competent person for the drilling operating plant.

(5)In this section—

drilling and servicing competency standard means the document titled ‘Competency Standard for Petroleum and Gas Well Drilling and Well Servicing (2014)’ published on the department’s website.

servicing, in relation to a prescribed well or bore, includes—

(a)completing, maintaining or working on the well or bore; and

(b)plugging and abandoning the well or bore.

s 54AA ins 2007 SL No. 312 s 9

amd 2011 SL No. 243 s 8; 2013 SL No. 235 s 23

sub 2014 SL No. 332 s 5

54AGeneral requirements for training and supervision

(1)This section applies to an activity carried out at a drilling operating plant.

(2)The petroleum tenure holder for the tenure on which the plant is situated must ensure the following persons supervising or involved in the activity are trained in the assessment of risk and job safety analysis for carrying out the activity—

(a)the holder’s employees;

(b)agents of, or contractors for, the holder.

(3)The operator of the drilling operating plant must ensure everyone involved in the activity who is supervised by, or working under the direction of, the operator is trained in assessment of risk and job safety analysis for carrying out the activity.

(4)The site safety manager for the activity must assess the level of skills, knowledge, competencies and experience of each person carrying out the activity and take this into account to decide—

(a)the appropriate extent of supervision required for the activity; and

(b)the necessity for checking the tasks completed by a person, including whether the person has followed standard operating procedures for the activity.

s 54A ins 2005 SL No. 300 s 12

54BTraining program for persons using well completion equipment

(1)The operator of a drilling operating plant must ensure each person installing well completion equipment—

(a)is trained in the standard operating procedure, or the relevant part of the procedure, that applies to the activities the person carries out; and

(b)is made aware of the risks arising from failing to ensure the production tubing hanger is landed and secured correctly.

(2)If a person involved in landing the production tubing hanger or securing the tie down bolts for the production tubing hanger is not appropriately qualified for the activity, the operator of the plant must ensure—

(a)a job safety analysis for the activity is carried out; and

(b)the activity is directly supervised by an appropriately qualified person for installing well completion equipment.

s 54B ins 2005 SL No. 300 s 12

54CRequirements for job safety analysis in particular circumstances

(1)This section applies if—

(a)there is no standard operating procedure for an activity at the drilling operating plant; or

Note—

There may not be an operating procedure for an activity that is not routinely carried out at the plant.

(b)a change of circumstances happens that means a standard operating procedure for carrying out an activity at the drilling operating plant is no longer sufficient.

Examples of change in circumstances—

•using new equipment

•unexpected geological conditions in the well

(2)Before the activity is carried out, a job safety analysis must be carried out for the activity to assess—

(a)for subsection (1) (a)—the potential risks for the activity; or

(b)for subsection (1) (b)—any additional risks that may result from the change in circumstances.

s 54C ins 2005 SL No. 300 s 12

54DEmergency shut down system for devices that are sources of ignition

(1)The operator of a drilling operating plant must provide an emergency shutdown system for all devices that may be a source of ignition in an area of the plant where a hazard may be created.

(2)The emergency shutdown system must be located far enough away from the drilling operating plant to ensure a person using the system in an emergency is not exposed to more than an acceptable level of risk.

(3)The operator of the drilling operating plant must include in the safety management plan for the plant a program to test the emergency shutdown system at regular intervals.

(4)The emergency shutdown system mentioned in this section is in addition to another emergency shutdown system for the devices that is located at the plant.

s 54D ins 2005 SL No. 300 s 12

amd 2009 SL No. 186 s 11

54ERequirement to keep bore pressure low when using well completion equipment

(1)Subject to subsections (2) and (3), the operator of a drilling operating plant must, during a live well completion, use a flare line to keep the pressure in the well as low as reasonably practical until the production tubing hanger is secured and all wellhead equipment is installed in the well.

Example of a way to keep the pressure as low as reasonably practical—

using a flare line off the tubing spool

(2) Subsection (3) applies if the operator decides (each an alternative action)—

(a)not to use a flare line; or

(b)not to keep the pressure as low as reasonably practical.

(3)The operator must, before making the decision, ensure—

(a)an assessment of risk in relation to the alternative action is carried out in consultation with the persons supervising or involved in the live well completion; and

(b)the assessment of risk shows the level of risk achieved in relation to the alternative action is equal to or less than the level of risk that would be achieved by complying with subsection (1); and

(c)each of the following gives the operator written approval for the alternative action—

(i)the site safety manager for the drilling operating plant;

(ii)the relevant site safety manager for the petroleum tenure.

(4)In this section—

flare line means a line connected to the rotating head of a drilling rig through which gas entering the annulus of the well is vented to the atmosphere and flared.

live well completion means the insertion of well completion equipment into a well when petroleum is flowing or has the potential to flow from the well.

s 54E ins 2005 SL No. 300 s 12

55Requirement to survey the surface location and elevation of a prescribed well

(1)The holder of a petroleum tenure or 1923 Act petroleum tenure under which a prescribed well is drilled must ensure that the surface location and elevation of the well are surveyed—

(a)before, or as soon as practicable after, drilling of the well starts; but

(b)not later than 6 months after drilling starts.

(2)The survey must be carried out by a person—

(a)who is registered under the Surveyors Act 2003 , section 36 (1) (a), (b) or (c); or

(b)who holds a corresponding registration as a surveyor in another State.

(3)The survey must—

(a)be tied to the State control survey under the Survey and Mapping Infrastructure Act 2003 ; and

(b)be tied to a survey mark related to the AHD.

(4)The survey must achieve a level of accuracy that is at least the following class under the survey standard—

(a)for the location of the well—class C order 3;

(b)for the elevation of the well—

(i)for differential levelling—class LD; or

(ii)for trigonometric and Global Positioning System heighting—class C.

(5)In this section—

AHD means the Australian height datum adopted by the National Mapping Council of Australia for referencing a level or height back to a standard base level.

survey standard means the document called ‘Standards and Practices for Control Surveys’ (version 1.7, September 2007) published by the Inter-governmental Committee on Surveying and Mapping.

s 55 amd 2008 SL No. 59 s 16; 2009 SL No. 186 s 12; 2010 SL No. 116 s 38

56Survey plan to be submitted to chief executive

(1)As soon as practicable after a survey of a prescribed well required under section 55 is completed, but not later than 3 months after the completion of the survey, the tenure holder must lodge a survey plan for the survey with the chief executive.

(2)The plan must be accompanied by a certification, signed by the person who carried out the survey, stating that—

(a)the person carried out the survey represented on the survey plan; and

(b)the survey was carried out as required under the Act; and

(c)the survey plan accurately represents the survey carried out.

(3)If the chief executive considers a survey plan lodged as required under subsection (1) does not meet the requirements under subsection (2), the chief executive may do any of the following—

(a)require that the survey plan be amended in order to comply with the requirements;

(b)require that an amendment to the survey plan mentioned in paragraph (a) must be made within a stated period;

(c)reject the survey plan.

57Additional downhole survey required if prescribed well or bore intersects a coal seam

(1)This section applies in relation to—

(a)a prescribed well that is a horizontal well; or

(b)another prescribed well, or a bore, that intersects a coal seam more than 1m in thickness.

Note—

See also chapter 3, part 4.

(2)The holder of the petroleum tenure or 1923 Act petroleum tenure under which the well or bore is drilled must ensure that, as soon as practicable after drilling of the well or bore starts, but not later than 3 months after the rig release day for the well or bore, a downhole survey of the well or bore is carried out.

(3)For a horizontal well, the downhole survey must achieve a level of accuracy that is within—

(a)for inclination, plus or minus 0.5º; and

(b)for azimuth—

(i)plus or minus 1.0º; or

(ii)for each 1000m of the drilled hole—plus or minus 6m vertically and plus or minus 20m laterally.

(4)However, if the horizontal well intersects another well that is not a horizontal well, the level of accuracy achieved by the downhole survey of the horizontal well must be at least as good as the level of accuracy achieved by the downhole survey of the other well.

(5)For a well (other than a horizontal well), or a bore, that intersects a coal seam more than 1m in thickness, the downhole survey must achieve a level of accuracy that is at least as good as the level of accuracy required under subsection (3).

s 57 amd 2013 SL No. 235 s 24

58Processed natural gas transported through a pipeline

(1)This section prescribes a safety requirement for processed natural gas that—

(a)contains oil; and

(b)is supplied for transport through a pipeline.

Note—

See section 626 (2) of the Act.

(2)The supplier of the gas must ensure that it does not contain more than 20ml of oil for each terajoule of gas.

58AStated pipeline licence incidental activities

(1)This section prescribes a safety requirement for a stated pipeline licence incidental activity.

Note—

See also schedule 1, part 6, entry for AS 2885.

(2)A relevant person must not, in the area of the pipeline licence, carry out a stated pipeline licence incidental activity if the activity causes, or is likely to cause, a relevant pipeline to stop being compliant with AS 2885.

(3)In this section—

relevant person means—

(a)the holder of the pipeline licence; or

(b)a person acting for the holder of the pipeline licence.

relevant pipeline, for a pipeline licence, means either of the following—

(a)an existing pipeline in the area of the licence;

(b)a pipeline in the area of the licence whose construction has started, but is not complete.

s 58A ins 2013 SL No. 37 s 49

amd 2014 SL No. 136 s 4

div hdg ins 2005 SL No. 300 s 13

sdiv hdg ins 2011 SL No. 44 s 6

59Operation of sdiv 1

This subdivision prescribes the additional matters under section 675 (1) (u) of the Act that must be included in a safety management plan for a drilling operating plant.

s 59 sub 2005 SL No. 300 s 13

amd 2011 SL No. 44 s 7

59AParticular risk assessment for drilling near coal mining areas

(1)This section applies to a drilling operating plant that is—

(a)in, or adjacent to, the area of a coal mining lease; or

(b)in an area the operator of the plant knows, or ought reasonably to know, current or abandoned mine workings exist.

(2)The safety management plan for the plant must include the following—

(a)an assessment of the likelihood of a drilling incident happening at the plant;

(b)an identification of the potential risks for the plant associated with a drilling incident identified as required under paragraph (a);

Example of a potential risk—

the risk of drilling using air and creating an explosive mixture

(c)a description of the technical or other measures undertaken, or proposed to be undertaken, to control the risks mentioned in paragraph (b).

(3)In this section—

drilling incident means a prescribed well drilled at an operating plant intersecting—

(a)current or abandoned mine workings; or

(b)broken strata created by mine workings.

mine workings means parts of a coal mine that have been or are being excavated.

s 59A ins 2005 SL No. 300 s 13

59BRequirement for identification of, and controls for, ignition sources for safety management plan

The safety management plan for the drilling operating plant must include—

(a)the identification and assessment of the specific risks that may arise from sources, or potential sources, of ignition at the plant; and

Examples of sources, or potential sources, of ignition—

•electrical equipment and wiring

•static electricity or lightning

•frictional sources or hot surfaces

(b)the controls developed to manage the risk.

s 59B ins 2005 SL No. 300 s 13

59CStandard operating procedures for well completion equipment

(1)If the operator of the drilling operating plant installs well completion equipment for the plant, the safety management plan for the plant must ensure the plant has the following standard operating procedures—

(a)the manufacturer’s instructions for installing, operating and maintaining the well completion equipment;

(b)a requirement that, before the installation of the B section, a trial run of the installation of the production tubing hanger is conducted to confirm the length of each tie down bolt that protrudes from the flange when the bolts are secured correctly (commonly called ‘the tie down bolt extension lengths’);

(c)a requirement that an appropriately qualified person for installing well completion equipment verifies the equipment has been installed correctly.

(2)In this section—

B section means the part of the wellhead equipment that supports the production tubing hanger and into which the production tubing hanger is inserted.

s 59C ins 2005 SL No. 300 s 13

sdiv 2 (s 59D) ins 2011 SL No. 44 s 8

59DLower flammable limit alarm levels for unplanned or uncontrolled gas releases

(1)For section 675 (1) (u) of the Act, each of the following additional matters must be included in a safety management plan for an operating plant where petroleum is processed, stored, transported or used—

(a)the name of each relevant gas that could be released from the operating plant;

(b)the lower flammable limit alarm level for an unplanned or uncontrolled release of each relevant gas.

(2)In this section—

relevant gas means—

(a)a gas that is petroleum; or

(b)a prescribed storage gas.

sdiv 2 (s 59D) ins 2011 SL No. 44 s 8

div hdg ins 2005 SL No. 300 s 13

59EDrilling, or converting petroleum well to, bore

(1)The requirement mentioned in subsection (2) is prescribed for—

(a) section 282 (2) of the Act for drilling a bore; and

(b) section 282 (3) of the Act for drilling a water observation bore; and

(c) section 283 (1) (b) of the Act for converting a petroleum well to a bore.

(2)The drilling or conversion must be carried out in accordance with the construction and abandonment code.

s 59E ins 2013 SL No. 235 s 25

60Plugging and abandoning a petroleum well or bore

(1)For section 292 (4) (a) of the Act, a petroleum well or bore must be plugged and abandoned in the way stated in schedule 3.

(2)Also, the safety requirements stated in sections 69 and 70 apply for plugging and abandoning a well.

s 60 amd 2009 SL No. 186 s 13

61Requirement to plug shot holes

(1)The holder of a petroleum tenure must ensure that, if a hole is drilled within the area of the tenure for use as a shot hole—

(a)as soon as practicable after the hole is no longer required for use as a shot hole—

(i)the hole is plugged with solid material, including, for example, soil, rock or concrete; and

(ii)any area around the hole that has been disturbed by the firing of an explosive is restored as far as is practicable to its original state; and

(b)if the hole caves in or collapses after it is plugged as required under paragraph (a)—any subsequent damage caused by the hole caving in or collapsing is restored.

Maximum penalty—20 penalty units.

(2)To the extent the requirement under subsection (1) is inconsistent with a relevant environmental condition for the tenure, the relevant environmental condition prevails.

61AManufacturer’s instructions for well completion equipment

(1)The manufacturer of well completion equipment must—

(a)prepare instructions for the equipment that comply with subsections (2) to (5); and

(b)ensure the instructions accompany the equipment when it is supplied to the operator of an operating plant.

Maximum penalty—20 penalty units.

(2)The instructions must contain information about the installation, commissioning, use and maintenance of the equipment.

(3)The information must be sufficient, about each matter mentioned in subsection (2), to ensure—

(a)a person carrying out the matter has sufficient information to carry it out correctly; and

(b)a person using the equipment is sufficiently informed about how to use the equipment safely.

(4)Without limiting subsection (3), the instructions must state a physical method for identifying the position of the tie down bolts for the production tubing hanger relative to the fully secured position of the bolts.

Example of a physical method—

painting the engaged part of the tie down bolt

(5)The instructions relating to use of the equipment must prominently state—

(a)any restrictions on use of the equipment imposed by its manufacturer; and

(b)any special precautions that should be taken by the user to ensure safe use of the equipment.

s 61A ins 2005 SL No. 300 s 14

62Purpose of ch 3

The purpose of this chapter is to prescribe requirements about exploring for or producing petroleum to ensure those activities do not adversely affect the safe and efficient mining or future mining of coal.

63Application of ch 3

This chapter applies to all operating plants within the area of a petroleum authority or a 1923 Act petroleum tenure.

64Definitions for ch 3

In this chapter—

acceptable level, of risk to a person from coal mining operations, has the meaning given under the Coal Mining Safety and Health Act, section 29.

relevant coal mining area, for an operating plant in or adjacent to the area of a coal mining lease, means the area of the coal mining lease.

65Additional requirements relating to coal mining for safety management plan

(1)For section 675 (1) (u) of the Act, each of the following additional matters must be included in a safety management plan for an operating plant to which this chapter applies—

(a)for an operating plant drilling or completing a prescribed well—a specific identification and assessment of the potential risk to safe and efficient mining or future mining of coal that may be created by stimulation of a coal seam proposed to be carried out in the prescribed well, having regard to each of the following—

(i)the proposed method of stimulation;

(ii)the predicted characteristics of the strata immediately above and below the coal seam;

(iii)the stress regime of the coal seam and surrounding strata;

(iv)information reasonably available to its operator about similar stimulation cases;

Example—

Information may include a previous experience of mining through part of a coal seam that has been stimulated.

(b)if the operating plant is in, or adjacent to, the area of a coal mining lease—

(i)a specific identification and assessment of the potential risk posed by the operation of the operating plant to the safe and efficient mining or future mining of coal in the area of the lease; and

(ii)the measures put in place, or proposed to be put in place, by its operator to minimise the risk.

Example—

a buffer zone or area adjacent to the boundary of the area of the coal mining lease in which a particular activity must not be carried out at the operating plant

(2)In this section—

similar stimulation cases means previous instances involving stimulation of a coal seam in a well—

(a)involving methods similar to the methods used or proposed to be used by the operator of the operating plant; and

(b)that was carried out in geological and geotechnical conditions that are similar to the conditions relating to the prescribed well.

66Description of location of particular hazards in safety reports

(1)For section 690 (1) (g) (iii) of the Act, the location of a hazard or potential hazard to coal mining operations must be described in relation to its surveyed location.

(2)For subsection (1), the survey of the location must be carried out as required under sections 55 and 57.

s 66 amd 2009 SL No. 186 s 14

67Coal seam gas potential hazard guide

(1)The coal seam gas potential hazard guide in schedule 4 is a list of potential hazards in relation to current or future coal mining that may be created by an operating plant used for exploring for, or producing, petroleum.

(2)The guide is intended to help the operator of an operating plant identify the activities, and the impact of the activities, carried out, or proposed to be carried out, at the plant that may affect safe and efficient mining, or future mining, of coal as required under the Act.

Note—

See, for example, sections 388 and 675 of the Act.

68Steel casing not to be used in particular horizontal wells

The operator of an operating plant that is drilling a horizontal well must ensure steel casing is not used for drilling or completing the well.

69Requirement to remove particular equipment from coal seam

(1)The operator of an operating plant must use the operator’s best endeavours to ensure all prescribed equipment that is in, or immediately adjacent to, a coal seam in a prescribed well or bore at the plant is removed before the well or bore is plugged and abandoned.

(2)If, after using the operator’s best endeavours as required under subsection (1), the equipment can not be removed before the well or bore is plugged and abandoned, the operator must ensure—

(a)the location of the equipment in the well or bore is surveyed before the well or bore is plugged and abandoned; and

(b)details of the equipment and its location are included in an end of tenure report or well abandonment report for the well as required under chapter 2, part 1.

(3)The survey mentioned in subsection (2) (a) must be carried out as required under sections 55 and 57.

(4)In this section—

prescribed equipment means—

(a)metal equipment, other than casing; and

Note—

For requirements about removing casing from a petroleum well, see schedule 3.

(b)any other equipment that may create a hazard to coal mining operations.

Examples of metal equipment—

drilling equipment, geophysical logging tools

s 69 amd 2005 SL No. 300 s 15

70Requirement to cement particular voids in a prescribed well

(1)This section prescribes safety requirements for plugging and abandoning a prescribed well at an operating plant if—

(a)a void is created by stimulation of a coal seam in the well; and

(b)the void is sufficiently large that it may adversely affect—

(i)the safe and efficient future mining of coal from the seam; or

(ii)the integrity of the natural underground reservoir in which the void is created.

(2)The operator must ensure that, as part of the plugging and abandoning of the well, the void is filled with as much cement as is reasonably practicable.

(3)Subject to schedule 3, the cement used to fill the void must not be so strong that it unduly prevents the future efficient mining of coal from the seam.

(4)This section applies in addition to the standard abandonment requirements for the well.

71Application of div 2

(1)This division prescribes safety requirements in relation to an operating plant in, or adjacent to, the area of a coal mining lease.

(2)The safety requirements apply in addition to the safety requirements prescribed under division 1.

72Requirement to stop and not resume particular activities

(1)The operator of the operating plant must ensure an activity for which the operating plant is used stops immediately if the operator becomes aware, or ought reasonably to be aware, that—

(a)the activity creates a risk to a person who is carrying out coal mining operations in the relevant coal mining area; and

(b)the level of the risk is not an acceptable level.

Note—

See also section 699A of the Act.

(2)The operator must ensure the activity does not resume until the operator has taken all reasonable and necessary steps to reduce the level of the risk to an acceptable level.

73Additional requirement for operator of an operating plant in or adjacent to the area of a coal mining lease

(1)This section applies in relation to an operating plant in, or adjacent to, the area of a coal mining lease.

(2)The operator of the operating plant must ensure an activity for which the operating plant is used stops immediately if—

(a)the operator becomes aware, or ought reasonably to be aware, that the activity creates an adverse effect on the efficiency with which coal mining operations may be carried out in the relevant coal mining area to an extent greater than the coal mining operations would themselves create if the activity were not carried out; and

(b)the holder of the coal mining lease has not consented in writing to the activity being carried out.

(3)The operator must ensure the activity does not resume until—

(a)the activity is modified so it does not adversely affect the efficiency of the coal mining activities to the extent mentioned in subsection (2) (a); or

(b)the holder of the coal mining lease consents in writing to the activity being carried out.

Maximum penalty—20 penalty units.

s 73 amd 2010 SL No. 143 s 4

74Definitions for pt 4

In this part—

alternative safety measures means systems, methods or procedures that—

(a)do not comply with the relevant requirement, or part of the requirement, that is the subject of an application for exemption under section 76; and

(b)achieve a level of risk that is equal to or less than the level of risk that would be achieved by complying with the requirement or part of the requirement.

applicant, for an exemption, means a following person who lodges an application under section 76 for an exemption—

(a)an operator or proposed operator of an operating plant;

(b)the holder of a petroleum tenure or 1923 Act petroleum tenure.

chief inspector of coal mines means the chief inspector of coal mines under the Coal Mining Safety and Health Act.

relevant coal or oil shale mining tenement holder means the holder of a coal or oil shale mining tenement if the operating plant for which an application is made under section 76 is located—

(a)in the area of the tenement; or

(b)if the tenement is a coal or oil shale mining lease—adjacent to the area of the tenement.

relevant requirement means a requirement under any of the following provisions—

(a) section 57;

(b) section 65;

(c) section 68;

(d) section 69;

(e) section 70;

(f)the standard abandonment requirements for a prescribed well.

75Chief inspector may give exemption

(1)The chief inspector, acting with the agreement of the chief inspector of coal mines, may—

(a)give the operator, or proposed operator, of an operating plant an exemption from complying with a stated applicable operating plant requirement, or a stated part of an applicable operating plant requirement, in relation to any of the following—

(i)any prescribed well drilled or to be drilled under a stated petroleum tenure or 1923 Act petroleum tenure;

(ii)a stated prescribed well;

(iii)a stated coal seam; or

(b)give the holder of a petroleum tenure or 1923 Act petroleum tenure an exemption from complying with all or part of section 57 in relation to the tenure.

(2)In this section—

operating plant requirement means a relevant requirement other than the requirement under section 57.

76Application for exemption

(1)Each of the following may apply to the chief inspector for an exemption under this part—

(a)the operator or proposed operator of an operating plant;

(b)the holder of a petroleum tenure or 1923 Act petroleum tenure;

(c)the site senior executive for a coal mine under the Coal Mining Safety and Health Act.

(2)The application must—

(a)be in the approved form; and

(b)contain the information necessary to enable the chief inspector to decide the application; and

(c)if the applicant proposes to implement alternative safety measures—contain details of the proposed measures; and

(d)be lodged at the office of the chief inspector.

s 76 amd 2005 SL No. 300 s 16; 2012 SL No. 226 s 26

77Notice of application to be given to relevant coal or oil shale mining tenement holder

(1)This section does not apply to an applicant who is the site senior executive for a coal mine under the Coal Mining Safety and Health Act.

(2)The chief inspector must, after receiving an application for an exemption under this part, give any relevant coal or oil shale mining tenement holder—

(a)a copy of the application; and

(b)a notice stating the holder may, within 20 business days after receiving the notice (the submission period), lodge submissions about the application at the office of the chief inspector.

(3)The holder must give the applicant a copy of any submissions lodged by the holder within the submission period.

(4)The holder may, before the submission period ends, give the chief inspector notice that the holder does not intend to lodge a submission.

(5)If the holder lodges any submissions within the submission period, the chief inspector must give the applicant at least 15 business days after the lodging of the holder’s submissions to respond to them in writing.

s 77 amd 2005 SL No. 300 s 17; 2012 SL No. 226 s 27

78Consideration of application by chief inspector

(1)The chief inspector must consider each of the following—

(a)the application for exemption;

(b)any submissions lodged by a relevant coal or oil shale exploration tenement holder within the submission period under section 77;

(c)any response made by the applicant within the 15 business day period under section 77 (5).

(2)The application must not be decided unless—

(a) section 77 (3) has been complied with; or

(b)the holder has given the chief inspector notice under section 77 (4).

(3)The chief inspector—

(a)may seek advice or recommendations from a technical advisory committee for coal seam gas established under section 732B of the Act; and

(b)is not required to give the exemption only because a relevant coal or oil shale mining tenement holder agrees to the exemption.

(4)If advice or recommendations obtained by the chief inspector under subsection (3) (a) are adverse to the applicant, the chief inspector must, before making a decision about whether to grant the exemption, give the applicant—

(a)a copy of the advice or recommendations; and

(b)at least 15 business days to make submissions to the chief inspector about the advice or recommendations.

s 78 amd 2005 SL No. 300 s 18

79Chief inspector to decide application

(1)The chief inspector must either give the exemption, with or without conditions, or refuse the application.

(2)The chief inspector may give the exemption only if—

(a)the chief inspector of coal mines agrees; and

(b)the requirement stated in subsection (3) or (4), as applicable, is complied with for the exemption.

(3)For exempting the holder of a petroleum tenure or 1923 Act petroleum tenure from complying with section 57, the requirement is that the chief inspector is reasonably satisfied none of the coal seams intersected by the prescribed well are likely to be mined.

(4)For an exemption from a relevant requirement not mentioned in subsection (3), the requirement is that the chief inspector is reasonably satisfied—

(a)that if the exemption is granted—

(i)the likely impact on the future safe and efficient mining of coal is low; and

(ii)it is unlikely to cause a level of risk to the safe mining, or future mining, of coal that is more than an acceptable level of risk; and

(b)that the likely impact mentioned in paragraph (a)(i), and the level of risk mentioned in paragraph (a)(ii), are easily and reliably quantifiable.

Examples—

A coal seam that is unlikely to be economically mined in the next 25 years due to unfavourable quality, the thickness or depth of the seam, the seam being discontinuous or structurally disturbed, or the seam being intruded or affected by heat.A coal seam that is likely to be mined but alternative safety measures are proposed that reduce the level of risk so it is less than or equal to the level of risk that would be achieved under the relevant requirement.

(5) Subsection (2) (b) does not apply if—

(a)the applicant is the holder of a 1923 Act lease, or the operator or proposed operator of a prescribed well within the area of a 1923 Act lease, that is in effect immediately before the 2004 Act start day; and

(b)the area of the lease does not include land that is within the area of a coal or oil shale mining tenement.

(6)If subsection (2) (b) does not apply, the chief inspector must have regard to section 295 (f) of the Act in deciding the application.

(7)Without limiting subsection (1), a condition may require the applicant to comply with stated alternative safety measures.

(8)The chief inspector must give notice of the decision to—

(a)the applicant; and

(b)if a relevant coal or oil shale exploration tenement holder lodged a submission about the application—the holder.

80Requirement for strategic pipeline to be inspected

(1)The holder of a pipeline licence for a strategic pipeline must ensure the pipeline is inspected—

(a)if there is a system for pipeline integrity in place for the pipeline under AS 2885—at the times provided for under the system, but at least—

(i)within 7 years after the pipeline first becomes operational; and

(ii)at least once in every 10-year period after the end of the 7-year period mentioned in subparagraph (i); or

(b)otherwise—at least once in every 5-year period.

Note—

See also section 916 (3) of the Act.

(2)In this section—

inspected, for a pipeline, means an inspection of the inside of the pipeline to identify whether the pipeline is fit for the purpose for which it is used.

strategic pipeline means a pipeline listed in schedule 5.

81Requirement for decommissioning pipelines

(1)This section prescribes, for section 559 (1) of the Act, a requirement for decommissioning a pipeline that is—

(a)subject to a pipeline licence; and

(b)constructed under AS 2885.

(2)The requirement is that the pipeline must be decommissioned in a way that complies with AS 2885, part 3 ‘Operation and maintenance’ (2012).

s 81 amd 2014 SL No. 136 s 5

82Purpose of div 1

This division prescribes safety requirements in relation to fuel gas networks.

83Fuel gas network operator must minimise leakages of fuel gas

The operator of a fuel gas network must take all reasonable and necessary steps to ensure that fuel gas does not leak from—

(a)if the network is a distribution system—any part of the network; or

(b)if the network is an LPG delivery network—a fuel gas container or gas fitting that is part of the network.

84Required gauge pressure

(1)This section applies to a person who—

(a)connects a consumer’s fuel gas system to a fuel gas network for the first time; or

(b)starts to supply fuel gas to the gas system through a fuel gas network for the first time.

(2)The person must ensure the fuel gas is supplied, at the relevant point, at a gauge pressure of at least—

(a)for LPG in a vaporous state—3.0kPa; or

(b)for processed natural gas—1.25kPa.

(3)Fuel gas may be supplied at a higher pressure.

(4)However, fuel gas must not be supplied at a higher pressure that adversely affects the performance of the gas system.

(5)In this section—

relevant point means the outlet of—

(a)if there is a meter for the consumer’s gas system—the meter; or

(b)otherwise—the regulator nearest to the consumer’s gas system.

s 84 amd 2007 SL No. 312 s 10

84ASafety requirement for network operator to supply fuel gas to gas system

The operator of a fuel gas network must not supply fuel gas to a gas system if the operator knows, or ought reasonably to know, that the gas system does not comply with—

(a)a safety requirement under this division, other than this section; or

(b)a safety requirement mentioned in schedule 1, parts 2 to 6.

s 84A ins 2011 SL No. 44 s 9

85Testing, inspection and maintenance of fuel gas containers

(1)This section prescribes safety requirements in relation to fuel gas containers.

(2)The owner of a fuel gas container must ensure the container is tested, inspected and maintained in accordance with all relevant safety requirements under schedule 1.

(3)A test or inspection of the fuel gas container must be carried out by an authorised test station.

(4)This section applies whether or not the fuel gas in the container has been sold, or otherwise supplied on a commercial basis, to another person by the owner of the container.

s 85 amd 2005 SL No. 300 s 19; 2007 SL No. 312 s 11

86Operator of LPG delivery network must ensure only particular persons supply LPG through the network

The operator of an LPG delivery network must ensure another person does not supply LPG through the network to a consumer’s gas system unless—

(a)the person is recorded as an LPG supplier for the network in the operator’s safety management plan for the network; and

(b)the operator is reasonably satisfied the person has the skills, knowledge and experience required under the safety management plan to supply LPG through the network.

s 86 amd 2007 SL No. 312 s 12

87Fuel gas network operator must arrange attendance for particular incidents

(1)This section applies if—

(a)an incident involving, or that may involve, fuel gas supplied through a fuel gas network is reported to the operator of the network; and

(b)the location of the incident is reported to the operator.

(1A)This section applies whether or not the location of the incident is in, or a part of, the fuel gas network.

(2)If the operator reasonably believes the incident is occurring when it is reported to the operator, the operator must ensure sufficient competent persons and equipment to deal with the incident as expeditiously as possible go to the reported location of the incident.

Maximum penalty—20 penalty units.

s 87 amd 2007 SL No. 312 s 13

88Fuel gas network operator must keep records

(1)The operator of a fuel gas network must, for the required period, keep the following records in relation to a gas system supplied with fuel gas by the network—

(a)a record of the number of the gas work licence or authorisation for the person who installs the gas system;

Note—

The number of the installer’s gas work licence or authorisation is stated in the gas compliance certificate, a copy of which the installer must, under section 91 or 91A, give the owner, operator or proposed operator of the gas system.

(b)the number of the gas compliance certificate for the installation of the gas system;

(c)a record of the day fuel gas is first made available to the gas system.

Maximum penalty—20 penalty units.

(2)In this section—

required period means the period for which fuel gas is supplied to the gas system through the fuel gas network.

s 88 amd 2005 SL No. 300 s 20; 2007 SL No. 312 s 14; 2009 SL No. 296 s 3

88ALPG delivery network operator must give chief inspector contact details

The operator of an LPG delivery network must, at least every 12 months or as requested by an inspector, give the chief inspector the name, business address, email address and telephone number of each LPG delivery network to which the operator has supplied LPG in the previous 12-month period.

s 88A ins 2007 SL No. 312 s 15

div hdg ins 2007 SL No. 312 s 15

88BPurpose of div 3

This division prescribes safety requirements in relation to automotive LPG sites.

s 88B ins 2007 SL No. 312 s 15

88CDefinitions for div 3

In this division—

LPGA automotive code of practice means the document titled ‘LP Gas Automotive Retail Outlets Code of Practice for Safe Operation’, issue 3.0 August 2011, produced by the Australian Liquefied Petroleum Gas Association Ltd ACN 002 703 951.

def LPGA automotive code of practice amd 2011 SL No. 243 s 9

site occupier, for an automotive LPG site—

(a)means a person who is responsible for the safe operation of the site; but

(b)does not include an individual at an automotive LPG site who is subject to the control of another person at the site.

s 88C ins 2007 SL No. 312 s 15

88DSafety management plan for automotive LPG site

(1)A site occupier for an automotive LPG site must make or adopt and implement and maintain a safety management plan for the site that—

(a)complies with the LPGA automotive code of practice; or

(b)ensures, and states that, the level of risk at the site is equal to or less than the level of risk that would be achieved by complying with the LPGA automotive code of practice.

(2)The site occupier for the site must—

(a)whenever the site is operating, keep a copy of the safety management plan for the site open for inspection at the site; and

(b)display, and keep displayed, in a conspicuous place at the site where it can be easily read by anyone to whom the plan may apply, a notice stating where the copy of the plan is open for inspection; and

(c)ensure each person mentioned in the plan who has an obligation under the plan is told they have an obligation under the plan within a reasonable period before the plan requires them to comply with the obligation.

(3)A person who has an obligation under the plan must comply with the obligation.

(4)If in a proceeding for an offence against section 708A of the Act for not complying with a safety requirement imposed under this section it is relevant to establish what was the safety management plan for the site at a particular time, the copy of the plan that was kept at the site at that time is taken to be the original of the plan.

(5)In this section—

open for inspection means open for inspection by anyone to whom the plan may apply.

s 88D ins 2007 SL No. 312 s 15

88ERestrictions on product supplier supplying automotive LPG

(1)A product supplier must not supply automotive LPG to an automotive LPG site unless the site has a safety management plan that—

(a)complies with the LPGA automotive code of practice; or

(b)states that the level of risk at the site is equal to or less than the level of risk that would be achieved by complying with the LPGA automotive code of practice.

(2)A product supplier must not supply automotive LPG to an automotive LPG site if the supplier knows, or ought reasonably to know, that the site does not comply with a relevant safety requirement.

s 88E ins 2007 SL No. 312 s 15

88FProduct supplier must give chief inspector contact details

A product supplier must, at least every 12 months or as requested by an inspector, give the chief inspector the name, business address, email address and telephone number of—

(a)each automotive LPG site to which the supplier has supplied automotive LPG in the previous 12-month period; and

(b)the site occupier of each site.

s 88F ins 2007 SL No. 312 s 15

div hdg ins 2007 SL No. 312 s 15

88GPrescription of generic SMP

For section 675A of the Act, the document called ‘Safety management plan for gas supply and cylinder distribution business’ and prepared by the department is prescribed for each stage of the following operating plant—

(a)a bulk fuel gas storage facility if the tanks storing the fuel gas at the facility have a total volume of less than 30t;

(b)an LPG delivery network for non-automotive LPG if—

(i)the total capacity of fuel gas containers in the network for non-automotive LPG is not more than 5000L; and

(ii)the network includes filling, with non-automotive LPG, a fuel gas container with a water capacity of more than 30L;

(c)an LPG delivery network for non-automotive LPG if the total capacity of fuel gas containers in the network for non-automotive LPG is more than 5000L but not more than 12000L.

Editor’s note—

A copy of the document is available on the department’s website.

s 88G ins 2007 SL No. 312 s 15

amd 2011 SL No. 44 s 10

sub 2013 SL No. 195 s 3; 2015 SL No. 23 s 7

89Application of pt 2

This part applies in relation to a gas system supplied, or to be supplied, with fuel gas through a fuel gas network.

90Requirements to be complied with before carrying out particular gas work

(1)This section applies to gas work involving—

(a)the installation of a gas system—

(i)that is to be supplied with fuel gas through a fuel gas network that is a distribution system; and

(ii)that has not previously been supplied with fuel gas through a distribution system; or

(b)the connection of 1 or more additional major use gas devices to an existing gas system that is supplied with fuel gas through a fuel gas network that is a distribution system.

(2)Before a person carries out the gas work, the person must notify the relevant network operator of—

(a)the nature of the work to be carried out; and

(b)the anticipated demands of the gas system or device on the network’s supply of fuel gas.

Maximum penalty—10 penalty units.

(3)In this section—

major use gas device means a gas device (type A) or (type B) with the capacity to consume more than 100MJ in an hour.

91Persons to be given copy of relevant certificate for installation at operating plant

(1)This section applies if either of the following (each of whom is the installer) installs plant or equipment at an operating plant or proposed operating plant for a gas system—

(a)the holder of a gas work licence or authorisation;

(b)a person who installs the plant or equipment under a safety management plan, other than a generic SMP, and has been assessed under the plan as competent to carry out the installation.

(2)The installer must, before making the plant or equipment operational, give a copy of the relevant certificate for the installation to—

(a)the owner, operator or proposed operator of the gas system immediately after installing the plant or equipment; and

(b)the relevant network operator within 5 business days after installing the plant or equipment.

Maximum penalty—20 penalty units.

(3)In this section—

relevant certificate means the certificate under section 697 (3) of the Act.

s 91 amd 2007 SL No. 312 s 16

sub 2009 SL No. 296 s 4

amd 2011 SL No. 44 s 11

91APrescribed persons, installation stage and period for giving gas compliance certificate for installation not at operating plant—Act, s 734

(1)This section applies if the holder of a gas work licence or authorisation installs all or part of a gas system otherwise than at an operating plant or proposed operating plant.

(2)For section 734 (3) (a) of the Act, the prescribed persons are—

(a)the owner, operator or proposed operator of the gas system; and

(b)the relevant network operator.

(3)For section 734 (3) of the Act—

(a)the prescribed stage of the installation at which the gas compliance certificate must be given to the owner, operator or proposed operator of the gas system is at the finish of the installation; and

(b)the prescribed period within which the gas compliance certificate must be given to the relevant network operator is 5 business days after the gas system or the part of the gas system is installed.

s 91A ins 2009 SL No. 296 s 4

amd 2011 SL No. 44 s 12

91BPrescribed compliance plate and related matters for gas system installation—Act, s 734

(1) Subsections (2), (3) and (4) prescribe matters about compliance plates for section 734 (3) (b) of the Act.

(2)A compliance plate complying with subsection (3) is prescribed for an installation of a gas system or part of a gas system (the relevant gas system) including, or expected to include, a gas device (type A) or gas device (type B), other than at an operating plant or proposed operating plant.

(3)The compliance plate must—

(a)state the following information about the installation of the relevant gas system—

(i)the licence number of the person who installed the relevant gas system;

(ii)the number of the gas compliance certificate for the installation;

(iii)the type of device connected to the relevant gas system;

(iv)the date the relevant gas system was installed; and

(b)be in a form approved by the chief inspector.

(4)The prescribed way to attach a prescribed compliance plate for the installation of a relevant gas system is—

(a)for a system installed in a building with 1 or more electrical meter boxes—

(i)to the interior surface of the door of the relevant electrical meter box; or

(ii)if the compliance plate can not be attached as mentioned in subparagraph (i)—to the exterior surface of the door of the relevant electrical meter box; or

(b)for another system—

(i)if the system has a cylinder compartment—to a prominent place in or near the cylinder compartment; or

(ii)otherwise—to a prominent place adjacent to the first pressure regulator, first gas meter or gas isolation valve for the system.

Examples of relevant gas systems to which paragraph (b) applies—

a relevant gas system installed in a caravan or boat or a building without an electrical meter box

(5)For section 734 (3) of the Act, the prescribed stage of the installation at which a prescribed compliance plate must be attached is at the finish of the installation.

(6)In this section—

cylinder compartment means a compartment, enclosed area or partitioned-off space primarily used for installing a gas cylinder or other equipment associated with a relevant gas system.

first gas meter, for a relevant gas system, means the device used to measure the volume of gas passing through the device that is closest to the source of gas supplying the system.

first pressure regulator, for a relevant gas system, means the device regulating the pressure of gas passing through the device that is closest to the source of gas supplying the system.

gas isolation valve, for a relevant gas system, means a valve installed in the piping of the system to isolate the pipe work downstream of the source of gas supplying the system.

relevant electrical meter box, for installation of a relevant gas system in a building, means—

(a)if the gas system is installed for the use of the occupier of the entire building—the electrical meter box containing the main electrical switchboard servicing the building; or

Example—

the electrical meter box at a detached dwelling

(b)if the gas system is installed for the use of the occupier of only part of the building—the electrical meter box containing the electrical circuit protective devices exclusively servicing that part of the building.

Example—

the electrical meter box for a particular apartment in a unit block or lot in commercial premises

s 91B ins 2011 SL No. 44 s 13

amd 2011 SL No. 112 s 4

92Requirements to be complied with before supplying fuel gas to a gas system

(1)This section applies if—

(a)the operator of a fuel gas network proposes to supply fuel gas to a gas system that has not previously been supplied with fuel gas by a fuel gas network; or

(b)for a fuel gas network that is an LPG delivery network—a person proposes to start supplying LPG through the network to a gas system, whether or not LPG has previously been supplied through a fuel gas network to the gas system.

(2)Before starting to supply fuel gas to the gas system, the person connecting fuel gas to the gas system must ensure—

(a)a test point is installed on the regulator for the gas system that supplies fuel gas at the pressure mentioned in section 84 (2), or immediately downstream of the regulator; and

(b)the pressure at which fuel gas will be supplied to the gas system complies with section 84; and

(c)the gas system is pressure tested in accordance with ‘AS/NZS 5601 Gas installations–Part 1: General installations (2013)’ and there is no significant leakage of fuel gas from the gas system.

Maximum penalty—20 penalty units.

(3)If subsection (1) (a) applies, the operator of the fuel gas network must ensure that, not later than 30 days after the operator becomes aware that gas has been used by the gas system—

(a)a gas compliance certificate is issued by the installer of the gas system; and

(b)a copy of the certificate is provided to the operator of the fuel gas network.

Maximum penalty—20 penalty units.

(3A)An operator is taken to be aware that gas has been used by the gas system if—

(a)the operator has read or received data from a meter for the gas system showing that gas has been used; or

(b)the operator has provided LPG for the system.

(3B)It is a defence to the prosecution of an operator for an offence against subsection (3) for the operator to prove that the operator has—

(a)obtained the licence number of the installer of the gas system before a meter or LPG container for the gas system was installed; and

(b)taken reasonable steps to obtain a gas compliance certificate; and

(c)given the chief inspector a written report, for each quarterly period, stating—

(i)the licence number of any installer of a gas system to which the operator has supplied fuel gas during the quarterly period, if the installer has not provided a gas compliance certificate to the operator; and

(ii)the addresses of the premises at which the gas systems were installed.

Maximum penalty—20 penalty units.

(4)In this section—

significant leakage, of fuel gas from a gas system, means that, after being locked up for 10 minutes, the system shows a discernible drop in pressure on a calibrated and appropriately scaled gauge.

s 92 amd 2005 SL No. 300 s 21; 2007 SL No. 312 s 17; 2009 SL No. 186 s 15; 2011 SL No. 44 s 14; 2013 SL No. 235 s 26

93General obligations of owner of a gas system

(1)The owner of a gas system must take all reasonable steps to ensure the gas system complies with all relevant safety requirements, including, for example, ensuring—

(a)a suitably qualified person carries out the installation, servicing, repairing, decommissioning and disposal of any part of the gas system; and

(b)if a suitably qualified person or an inspector notifies the owner that the gas system is unsafe, the gas system is not used until it is safe.

Maximum penalty—20 penalty units.

(2)For this section and section 94, owner includes a person in possession of a gas system under any of the following for the system—

(a)an agreement for sale;

(b)a hire purchase agreement;

(c)a lease;

(d)any other similar arrangement.

(3)In this section—

suitably qualified person means—

(a)for a gas system that includes a gas device (type A)—the holder of a gas work licence that authorises the person to carry out the gas work; or

(b)for a gas system that includes a gas device (type B)—the holder of, or a person acting under, a gas work authorisation for the device.

s 93 amd 2007 SL No. 312 s 18

94User must report safety concerns to owner of gas system

(1)This section applies if—

(a)a person using a gas system is not the owner of it; and

(b)the person has a safety concern in relation to the gas system.

(2)For subsection (1), the person has a safety concern in relation to the gas system if the person knows or suspects, or ought reasonably to know or suspect, the gas system does not or may not comply with all relevant safety requirements.

(3)The person must, as soon as practicable, give the owner of the gas system notice of the person’s safety concern.

s 94 amd 2007 SL No. 312 s 19

95Owner of gas system must address user’s safety concern

(1)This section applies if an owner of a gas system is given a notice of a safety concern by a person under section 94.

(2)The owner must, as soon as practicable after receiving the notice, take reasonable steps to address the person’s safety concern.

Maximum penalty—20 penalty units.

s 95 amd 2007 SL No. 312 s 20

pt hdg amd 2005 SL No. 300 s 22

div hdg ins 2005 SL No. 300 s 23

97Definitions for pt 3

In this part—

alter, a gas system, means—

(a)relocate a component of the system; or

(b)replace the system, or a component of the system, with a different make or model that changes the design or performance characteristics of the system.

authorised certifier, for inspecting or altering a gas fuel system, means the holder of a gas work authorisation (motor fuel) if the authorisation states the holder may inspect, or alter, and certify the relevant gas fuel system.

def authorised certifier sub 2005 SL No. 300 s 25 (1)–(2)

authorised installer, for inspecting or altering a gas system, means the holder of a gas work licence or gas work authorisation (industrial appliance) if the licence or authorisation states the holder may inspect, or alter, and certify the relevant gas system.

def authorised installer ins 2005 SL No. 300 s 25 (2)

commercial vehicle or vessel—

(a)means a vehicle or vessel, other than a road tank vehicle, that is used—

(i)for carrying passengers or goods for hire or reward; or

(ii)in the course of business, if the vehicle or vessel uses fuel gas other than for the propulsion of the vehicle or vessel; and

(b)includes a forklift.

def commercial vehicle or vessel sub 2005 SL No. 300 s 25 (1)–(2)

corresponding law means a law of another State that provides for the same or similar matters as the Act.

def corresponding law ins 2005 SL No. 300 s 25 (2)

dealer—

(a)for a vehicle—means the holder of a motor dealer’s licence under the Property Agents and Motor Dealers Act 2000 ; and

(b)for a vessel—means a person who is in the business of buying and selling vessels.

gas inspection certificate—

(a)for the installation of a gas fuel system, means the certification under section 734 (3) of the Act by the person who installs the system; or

(b)for the inspection or alteration of a gas fuel system—means a certificate, in the approved form, issued under section 101 (2) or 102 (2) by the authorised certifier who inspects or alters the system.

def gas inspection certificate ins 2007 SL No. 312 s 21 (2)

inspection certificate ...

def inspection certificate sub 2005 SL No. 300 s 25 (1)–(2)

om 2007 SL No. 312 s 21 (1)

interstate gas compliance certificate means a certificate for the gas system, other than the gas fuel system, in a vehicle or vessel if the certificate is issued under a corresponding law and states the system complies with all relevant safety requirements, or equivalent requirements, under the corresponding law.

def interstate gas compliance certificate ins 2005 SL No. 300 s 25 (2)

amd 2007 SL No. 312 s 21 (3)

interstate gas inspection certificate means a certificate for the gas fuel system in a vehicle or vessel if the certificate is issued under a corresponding law and states the system complies with all relevant safety requirements, or equivalent requirements, under the corresponding law.

def interstate gas inspection certificate ins 2005 SL No. 300 s 25 (2)

amd 2007 SL No. 312 s 21 (4)

owner—

(a)for a vehicle that is registered—means the registered operator of the vehicle under the Transport Operations (Road Use Management) Act 1995 , or the registered operator or a similar person under a corresponding law; or

(b)for a vessel that is registered—means the registered owner of the vessel under the Transport Operations (Marine Safety) Regulation 2004 , or the registered owner or a similar person under a corresponding law; or

(c)for a stationary engine, or a vehicle or vessel that is unregistered—the person in lawful possession of the vehicle, vessel or engine.

def owner sub 2007 SL No. 312 s 21 (1)–(2)

used vehicle or vessel means—

(a)a vehicle or vessel that has, at any time, been licensed or registered, whether under a law of this State or of any other State; or

(b)a used imported vehicle or vessel.

def used vehicle or vessel sub 2005 SL No. 300 s 25 (1)–(2)

s 97 def alter ins 2005 SL No. 300 s 25 (2)

div hdg ins 2005 SL No. 300 s 26

97AApplication of div 2

This division applies in relation to a gas fuel system in a vehicle or vessel or for a stationary engine.

s 97A ins 2005 SL No. 300 s 26

98New vehicle or vessel must not be offered for sale without gas inspection certificate or gas compliance plate

(1)A person must not offer to sell a vehicle or vessel, other than a used vehicle or vessel, unless a gas inspection certificate has been issued for the gas fuel systems in the vehicle or vessel, or a gas compliance plate has been attached to the vehicle or vessel.

Maximum penalty—20 penalty units.

(2)If a certificate has been issued, the person must give a copy of the certificate to the buyer of the vehicle or vessel before the buyer takes possession of the vehicle or vessel.

Maximum penalty—20 penalty units.

(3)In this section—

gas compliance plate means a plate attached to a vehicle or vessel that states the gas fuel system complies with the relevant standards for gas fuel systems for vehicles or vessels.

Note—

The standards for gas fuel systems in vehicles or vessels are stated in schedule 1.

gas inspection certificate includes an interstate gas inspection certificate.

s 98 sub 2005 SL No. 300 s 27

amd 2007 SL No. 312 s 22

99Copy of gas inspection certificate to be given to new owner of used vehicle or vessel

(1)This section applies to a person who—

(a)owns a used vehicle and intends to dispose of it to someone else, other than a dealer; or

(b)sells or otherwise transfers ownership of a used vessel to someone else, other than a dealer.

(2)However, this section does not apply to a used vehicle or vessel that is not licensed or registered, whether under a law of this State or of any other State.

(3)The person must give a copy of a gas inspection certificate complying with subsection (4) for the gas fuel system in the vehicle or vessel to the person (the buyer) to whom there is a disposal of the vehicle or to whom the vessel is sold or otherwise transferred before the buyer takes possession of the vehicle or vessel.

Maximum penalty—20 penalty units.

(4)The certificate must be issued not earlier than 3 months before the buyer takes possession of the vehicle or vessel.

(5)In this section—

disposal, of a vehicle, see the Transport Operations (Road Use Management—Vehicle Standards and Safety) Regulation 2010 , schedule 4.

gas inspection certificate includes an interstate gas inspection certificate.

s 99 sub 2005 SL No. 300 s 27

amd 2007 SL No. 312 s 23; 2011 SL No. 44 s 15

100Owner of commercial vehicle or vessel must ensure its gas fuel system is inspected and certified

The owner of a commercial vehicle or vessel must ensure the gas fuel system in the vehicle or vessel is inspected, and has a gas inspection certificate or an interstate gas inspection certificate issued in relation to it, at least once in every 12-month period.

Maximum penalty—20 penalty units.

s 100 amd 2005 SL No. 300 s 28; 2007 SL No. 312 s 24

100APrescribed persons, installation stage and period for giving gas inspection certificate for installation—Act, s 734

(1)This section applies if the holder of a gas work authorisation installs all or part of the gas fuel system.

(2)For section 734 (3) (a) of the Act, the prescribed persons are—

(a)the owner, or the person in lawful possession, of the vehicle, vessel or stationary engine; and

(b)for a gas fuel system for a stationary engine to which fuel gas is supplied by a fuel gas network—the relevant network operator.

(3)For section 734 (3) of the Act—

(a)the prescribed stage of the installation at which the gas inspection certificate must be given to a prescribed person mentioned in subsection (2) (a) is at the finish of the installation; and

(b)the prescribed period within which the gas inspection certificate must be given to a prescribed person mentioned in subsection (2) (b) is 5 business days after the gas fuel system or the part of the gas fuel system is installed.

s 100A ins 2009 SL No. 296 s 5

amd 2011 SL No. 44 s 16; 2013 SL No. 37 s 51

101Issue of gas inspection certificate for gas fuel system in vehicle or vessel or for stationary engine

(1)This section applies if an authorised certifier inspects, for this division, the gas fuel system in a vehicle or a vessel or for a stationary engine.

(2)If the gas fuel system complies with the relevant safety requirements for the system, the certifier must, immediately after the inspection, issue to the owner, or the person in lawful possession, of the vehicle, vessel or stationary engine a gas inspection certificate for the system.

Maximum penalty—20 penalty units.

(3)If the gas fuel system does not comply with the relevant safety requirements for the system, the certifier must give the owner, or the person in lawful possession, of the vehicle, vessel or stationary engine, notice of the gas work or other action that must be carried out for a gas inspection certificate to be issued for the system.

Maximum penalty—20 penalty units.

Editor’s note—

A book of pro-forma notices for this purpose (called ‘gas system defect notices’) may be purchased from the department’s regional offices.

(4) Subsection (5) applies if the certifier gives the owner of the vehicle, vessel or stationary engine a notice under subsection (3) and the gas work or other action stated in the notice is carried out.

(5)The certifier must, immediately after being satisfied that the stated work has been carried out, issue to the owner, or the person in lawful possession, of the vehicle, vessel or stationary engine, a gas inspection certificate for the system.

Maximum penalty—20 penalty units.

s 101 sub 2005 SL No. 300 s 29; 2007 SL No. 312 s 25

amd 2011 SL No. 44 s 17

102Certification for alterations to a gas fuel system in a vehicle or vessel or for a stationary engine

(1)This section applies to an authorised certifier who alters a gas fuel system in a vehicle or vessel or for a stationary engine.

Note—

For installing a gas system, see the requirements under section 734 of the Act.

(2)The certifier must, immediately after completing the work—

(a)ensure the gas fuel system complies with all relevant safety requirements; and

(b)issue to the owner, or the person in lawful possession, of the vehicle, vessel or stationary engine a gas inspection certificate for the system.

Maximum penalty—20 penalty units.

(3)If the certificate relates to a motor vehicle, the certificate must include a carbon monoxide analysis if—

(a)the vehicle is a commercial vehicle; and

(b)the certifier believes the vehicle may be used in an unventilated place where excessive carbon monoxide levels might cause a hazard to the health of persons.

Example—

a forklift used in a refrigerated store room

(4)The certifier must keep a copy of the certificate for 3 years after the completion of the work.

Maximum penalty—20 penalty units.

(5)In this section—

carbon monoxide analysis means an analysis of the level of the carbon monoxide exhaust emissions from a vehicle—

(a)when it is idling; and

(b)under light, medium and heavy load conditions.

s 102 sub 2005 SL No. 300 s 29

amd 2007 SL No. 312 s 26; 2010 SL No. 248 s 3

103Labelling requirements for LPG gas fuel systems in vehicles

(1)This section applies—

(a)in relation to a gas fuel system for a vehicle that uses LPG; and

(b)despite the requirements under AS/NZS 1425 ‘LP gas fuel systems for vehicle engines’ (2013) (the relevant standard).

Note—

See schedule 1 (Mandatory and preferred standards for safety requirements), part 4 (LPG storage and handling).

(2)The person who installs the gas fuel system in the vehicle must comply with this section.

Maximum penalty—10 penalty units.

(3)A label used to identify a vehicle that uses LPG, as required under the relevant standard, may be—

(a)metallic; or

(b)adhesive and non-metallic.

(4)An identifying label is required for each place where gas cylinders are installed in the vehicle.

Examples—

•If 2 LPG tanks were installed in the boot of a vehicle, only 1 label would be required for the boot.

•If 1 LPG tank was installed on the tray of a truck and another under the body, both places would be required to be labelled.

(5)If the relevant standard requires a label to be fixed to the number plate of a vehicle but the label does not fit on it, the label may be fixed in a visible place adjacent to the number plate.

s 103 amd 2005 SL No. 300 s 30; 2009 SL No. 186 s 16; 2014 SL No. 136 s 6

104Use of gas fuel system for propulsion of a vessel

The owner of a vessel must not use, or allow to be used, a gas fuel system for the propulsion of the vessel unless the plans and specifications for the gas fuel system have been approved by an inspector.

Maximum penalty—20 penalty units.

s 104 amd 2005 SL No. 300 s 31

105Requirements for owner of vehicle or vessel or for a stationary engine

The owner of a vehicle, vessel or stationary engine must take all reasonable steps to ensure—

(a)the gas fuel system in the vehicle, vessel or for the stationary engine complies with all relevant safety requirements; and

(b)for a vehicle—the carbon monoxide exhaust emissions from the vehicle do not exceed the levels stated in the gas inspection certificate for the vehicle.

Example of all reasonable steps taken—

A regular testing program for a vehicle for hire is carried out before each hire or every 6 months, whichever happens first.

Maximum penalty—20 penalty units.

s 105 sub 2005 SL No. 300 s 32

amd 2007 SL No. 312 s 27

105ANon-application of ss 98 to 100 to owner of vehicle or vessel in exempt area

(1)Sections 98 to 100 do not apply to a person who is the owner of a vehicle or vessel if—

(a)the person lives in an area mentioned under the vehicle standards and safety regulation, schedule 2, item 1; or

(b)the person lives in an area mentioned under the vehicle standards and safety regulation, schedule 2, item 2 or 5, for that type of vehicle; or

(c)the person has received a notice from the chief inspector advising the person that there is no one authorised to issue a gas inspection certificate within a reasonable distance of the person’s residence.

(2)In this section—

vehicle standards and safety regulation means the Transport Operations (Road Use Management—Vehicle Standards and Safety) Regulation 2010 .

s 105A ins 2005 SL No. 300 s 33

amd 2007 SL No. 312 s 28; 2010 SL No. 192 s 51

105AB Person selling or transferring vehicle or vessel without a gas inspection certificate must advise

A person who, in relation to a vehicle or vessel, has received a notice under section 105A (1) (c) must advise anyone to whom the person sells or transfers the vehicle or vessel that a gas inspection certificate has not been issued for the gas fuel system in the vehicle or vessel.

Maximum penalty—20 penalty units.

s 105AB ins 2007 SL No. 312 s 29

div hdg ins 2005 SL No. 300 s 34

105BApplication of div 3

This division applies in relation to a gas system, other than a gas fuel system, in a vehicle or vessel.

Example—

gas cooker, water heater or refrigerator in a caravan, mobile home or food van

s 105B ins 2005 SL No. 300 s 34

105CNew vehicle or vessel must not be offered for sale without a gas compliance certificate

(1)A person must not offer to sell a vehicle or vessel, other than a used vehicle or vessel, unless a gas compliance certificate has been issued for the gas system in the vehicle or vessel.

Maximum penalty—20 penalty units.

(2)The person must give a copy of the certificate to the buyer of the vehicle or vessel before the buyer takes possession of the vehicle or vessel.

Maximum penalty—20 penalty units.

(3)In this section—

gas compliance certificate includes an interstate gas compliance certificate.

s 105C ins 2005 SL No. 300 s 34

amd 2007 SL No. 312 s 30

105DCopy of gas compliance certificate to be given to new owner of used vehicle or vessel

(1)This section applies to a person who sells or otherwise transfers ownership of a used vehicle or vessel, other than to a dealer.

(2)However, this section does not apply to a used vehicle or vessel that is not licensed or registered, whether under a law of this State or of any other State.

(3)The person must give a copy of a gas compliance certificate complying with subsection (4) for the gas system in the vehicle or vessel to the person (the buyer) to whom the vehicle or vessel is sold or transferred before the buyer takes possession of the vehicle or vessel.

Maximum penalty—20 penalty units.

(4)The certificate must be issued not earlier than 3 months before the buyer takes possession of the vehicle or vessel.

(5)In this section—

gas compliance certificate includes an interstate gas compliance certificate.

s 105D ins 2005 SL No. 300 s 34

amd 2007 SL No. 312 s 31

105EOwner of commercial vehicle or vessel must ensure its gas systems are inspected and certified

The owner of a commercial vehicle or vessel must ensure the gas system in the vehicle or vessel is inspected, and has a gas compliance certificate or an interstate gas compliance certificate issued in relation to it, at least once in every 1-year period.

Maximum penalty—20 penalty units.

s 105E ins 2005 SL No. 300 s 34

amd 2007 SL No. 312 s 32

105EA Prescribed person and installation stage for giving gas compliance certificate for installation—Act, s 734

(1)This section applies if the holder of a gas work licence or authorisation installs all or part of the gas system.

(2)For section 734 (3) (a) of the Act, the prescribed person is the owner, operator or proposed operator of the gas system.

(3)For section 734 (3) of the Act, the prescribed stage of the installation at which the gas compliance certificate must be given to the prescribed person is at the finish of the installation.

s 105EA ins 2009 SL No. 296 s 6

amd 2011 SL No. 44 s 18

105FIssue of compliance certificates for gas systems in vehicle or vessel

(1)This section applies if an authorised installer inspects, for this division, the gas system in a vehicle or vessel.

(2)If the gas system complies with the relevant safety requirements, the installer must, immediately after the inspection, issue to the owner, or the person in lawful possession, of the vehicle or vessel a gas compliance certificate for the system.

Maximum penalty—20 penalty units.

(3)If the gas system does not comply with the relevant safety requirements, the installer must give the owner, or the person in lawful possession, of the vehicle or vessel, notice of the gas work or other action that must be carried out in order for a gas compliance certificate to be issued for the gas system.

Maximum penalty—20 penalty units.

Editor’s note—

A book of pro-forma notices for this purpose (called ‘gas system defect notices’) may be purchased from the department’s regional offices.

(4) Subsection (5) applies if the installer gives the owner of a vehicle or vessel a notice under subsection (3) and the gas work or other action stated in the notice is carried out.

(5)The installer must, immediately after being satisfied that the stated work has been carried out, issue to the owner, or the person in lawful possession, of the vehicle or vessel, a gas compliance certificate for the system.

Maximum penalty—20 penalty units.

s 105F ins 2005 SL No. 300 s 34

sub 2007 SL No. 312 s 33

amd 2011 SL No. 44 s 19

105GCertification by person who alters a gas system in a vehicle or vessel

(1)This section applies to an authorised installer who alters a gas system in a vehicle or vessel.

Note—

For installing a gas system, see the requirements under section 734 of the Act.

(2)The installer must, immediately after completing the work—

(a)ensure the gas system complies with all relevant safety requirements; and

(b)issue to the owner, or the person in lawful possession, of the vehicle or vessel a gas compliance certificate for the system.

Maximum penalty—20 penalty units.

(3)The installer must keep a copy of the certificate for 3 years after the completion of the work.

Maximum penalty—20 penalty units.

s 105G ins 2005 SL No. 300 s 34

amd 2007 SL No. 312 s 34; 2010 SL No. 248 s 4

pt hdg ins 2009 SL No. 296 s 7

105HApplication of pt 3A

This part applies to plant and equipment, other than plant and equipment for—

(a)a gas system supplied, or to be supplied, through a fuel gas network; or

(b)a gas system in a vehicle, vessel or stationary engine.

s 105H ins 2009 SL No. 296 s 7

105IPersons to be given copy of relevant certificate for installation at operating plant

(1)This section applies if either of the following (each of whom is the installer) installs plant or equipment at an operating plant or proposed operating plant for a gas system—

(a)the holder of a gas work licence or authorisation;

(b)a person who installs the plant or equipment under a safety management plan, other than a generic SMP, and has been assessed under the plan as competent to carry out the installation.

(2)The installer must, immediately after completing the installation, give a copy of the relevant certificate for the installation to the owner or operator of the operating plant or proposed operating plant.

Maximum penalty—20 penalty units.

(3)In this section—

relevant certificate means the certificate under section 697 (3) of the Act.

s 105I ins 2009 SL No. 296 s 7

amd 2011 SL No. 44 s 20

105JPrescribed person and installation stage for giving gas compliance certificate for installation not at operating plant—Act, s 734

(1)This section applies if the holder of a gas work licence or authorisation installs all or part of a gas system otherwise than at an operating plant or proposed operating plant.

(2)For section 734 (3) (a) of the Act, the prescribed person is the owner, operator or proposed operator of the gas system.

(3)For section 734 (3) of the Act, the prescribed stage of the installation at which the gas compliance certificate must be given to the prescribed person is at the finish of the installation.

s 105J ins 2009 SL No. 296 s 7

amd 2011 SL No. 44 s 21

106Gas work carried out by holder of gas work licence or authorisation

The holder of a gas work licence or authorisation must ensure, in relation to gas work carried out by or for the holder—

(a)the work—

(i)complies with all relevant safety requirements; and

(ii)is carried out in a thorough and professional way; and

(b)all reasonable precautions are taken, at the place where the work is carried out, to avoid injury or damage being caused to persons or property because of the work.

Maximum penalty—20 penalty units.

107Repair of gas work that does not comply with the Act

(1)This section applies if—

(a)gas work is carried out by or for the holder of a gas work licence or authorisation on a gas device (type A) or (type B); and

(b)an inspector inspects the gas work within 3 years of the work being completed; and

(c)the chief inspector reasonably considers the gas work has not been carried out in a thorough and professional way.

(2)The chief inspector may give the holder a notice requiring the holder to remedy the work in the way stated in the notice within 14 days after the holder receives the notice.

(3)The holder must remedy the work, or cause it to be remedied, in the way stated within the 14-day period.

Maximum penalty—20 penalty units.

(4)The holder must bear the cost of remedying the work.

(5)This section—

(a)is in addition to, not in substitution for, any other right or remedy available to a consumer under an Act or law; but

(b)does not entitle a consumer to recover the cost of remedying the work more than once.

s 107 amd 2007 SL No. 312 s 35

109Transporting cylinders in vehicles

Schedule 7 prescribes safety requirements for transporting cylinders in vehicles.

110Installing particular cylinders in enclosed spaces

A person who installs a cylinder inside premises in an enclosed space, including, for example, a cupboard, must ensure the enclosed space—

(a)is vented to outside; and

(b)is sealed from the room and from the gas device that consumes gas from the cylinder.

111Installing gas devices in caravans

(1)This section prescribes safety requirements for a person who installs a gas device in a caravan.

(2)The person must ensure—

(a)the device complies with all relevant safety requirements mentioned in schedule 1; and

(b)if the device is stored, when not in use, in a compartment or other enclosed space—the device is installed so that gas can not flow to it when it is not in use.

112Cylinders used in hot air balloons

(1)This section prescribes safety requirements in relation to a cylinder used in a hot air balloon.

(2)The operator of the cylinder must ensure it is clearly labelled as a cylinder used in a hot air balloon.

(3)A person must not use or fill the cylinder if it has an excess flow valve.

(4)If the cylinder is tested or serviced at an authorised test station, the test station must, when the cylinder is returned to the operator of the cylinder, give the operator a certificate stating that the valve configuration of the cylinder—

(a)has not been changed from the original manufacturer’s specification; and

(b)complies with directive AD/BAL/14 ‘Fast flow restrictor valves’ published by the Civil Aviation Safety Authority of the Commonwealth in 1995.

(5)In this section—

excess flow valve means a device designed to stop the flow of gas from a cylinder if the flow increases suddenly.

113Requirements for using flammable hydrocarbon gases for refrigeration or air conditioning

Schedule 8 states requirements, including safety requirements, for using flammable hydrocarbon gases for refrigeration or air conditioning.

113AAdditional requirements for safety management plans—lower flammable limit alarm levels for unplanned or uncontrolled gas releases

For section 675 (1) (u) of the Act, each of the following additional matters must be included in a safety management plan for an operating plant where fuel gas is stored, transported or used—

(a)the name of each fuel gas that could be released from the operating plant;

(b)the lower flammable limit alarm level for an unplanned or uncontrolled release of the fuel gas.

s 113A ins 2011 SL No. 44 s 23

114Offence to transfer LPG between fuel gas containers in residential areas

(1)A person must not, without the written approval of the chief inspector, transfer LPG from 1 fuel gas container to another at or adjacent to residential premises if, as a result of the transfer, LPG vapour or liquid gas is released into the air.

Maximum penalty—20 penalty units.

(2)This section does not apply to the operator, or a person acting under the direction of the operator, of an LPG delivery network.

s 114 amd 2005 SL No. 300 s 35

115Offence to tamper with a gas system

A person must not knowingly tamper with a gas system.

Maximum penalty—20 penalty units.

115ACausing existing gas system to not comply with safety requirements

A person must not cause an existing gas system to not comply with the safety requirements for the gas system.

Maximum penalty—20 penalty units.

Example—

placing an ignition source such as an air conditioner within the hazardous zone of a gas cylinder as defined under AS/NZS 1596 ‘The storage and handling of LP gas’ (2014)

s 115A ins 2007 SL No. 312 s 36

amd 2010 SL No. 143 s 5; 2011 SL No. 243 s 10; 2014 SL No. 136 s 7

115BWater heaters—registration and labelling

(1)A person must not display for sale or sell a gas device that is a water heater (the sale device) unless a gas device of the same type as the sale device (an alike device)—

(a)is registered; or

(b)was registered when the sale device was manufactured in or imported into Queensland.

Maximum penalty—20 penalty units.

(2)A person must not display for sale or sell a sale device with an energy efficiency label attached to, or accompanying, the device unless the label—

(a)complies with requirements about labelling the device stated in AS 4552 ‘Gas fired water heaters for hot water supply and/or central heating’; and

(b)contains no figures, symbols or other words likely to mislead the public about the device’s comparative energy efficiency rating or performance characteristics.

Maximum penalty—20 penalty units.

(3)For subsection (1), an alike device is registered if—

(a)the device is registered under a law of another State or the Commonwealth; and

(b)a requirement of registration under the law is compliance with AS/NZS 4552.2, ‘Gas fired water heaters for hot water supply and/or central heating, part 2, minimum energy performance standards for gas water heaters’.

(4)This section does not apply to the display or sale of—

(a)a second-hand sale device; or

(b)a sale device manufactured in or imported into Queensland before the commencement of this section.

s 115B ins 2011 SL No. 242 s 3

pt 5 div 1 hdg om 2014 SL No. 253 s 3

115CDefinitions for pt 5

In this part—

gas work requirements means the document called ‘Queensland Gas Work Licence and Gas Work Authorisation Requirements’ and published on the department’s website.

industrial appliance means a gas device (type B) designed for using fuel gas as a fuel or feed stock in an industrial process.

s 115C ins 2014 SL No. 253 s 4

116Qualifications or experience for gas work licences and gas work authorisations—Act, s 728C (2) (a)

(1)This section prescribes, for section 728C (2) (a) of the Act, the qualifications or experience required of the following—

(a)if an applicant for a gas work authorisation is a corporation—each individual who is to perform gas work for the applicant under the authorisation;

(b)any other applicant for a gas work licence or gas work authorisation.

(2)The qualifications or experience required are—

(a)the applicant or individual must have completed a course of training in gas work of the relevant type listed in the gas work requirements for the licence or authorisation applied for; or

(b)the chief inspector must reasonably believe the applicant or individual otherwise demonstrates the skill and knowledge required to carry out gas work of the relevant type for the licence or authorisation applied for.

(3)For subsection (2) (b), the chief inspector may require the applicant or individual to sit a written, oral or practical examination.

s 116 amd 2007 SL No. 312 s 37; 2010 SL No. 116 s 39; 2011 SL No. 44 s 24

sub 2014 SL No. 253 s 4

117Particular apprentices and trainees taken to be holders of gas work licence

(1)This section applies to a person acting in the presence of, and under the direct supervision of, the holder of a gas work licence if the person is—

(a)an apprentice or trainee of the holder; or

(b)enrolled in a course of training stated in the gas work requirements.

(2)The person is taken to be a holder of the gas work licence.

(3)However, the person can not certify a gas system of a gas device (type A).

(4)In this section, apprentice and trainee have the meanings given under the Further Education and Training Act 2014 .

s 117 amd 2007 SL No. 312 s 38; 2014 SL No. 103 s 18; 2014 SL No. 253 s 5

118Annual fee payable by holder of gas work licence or gas work authorisation

(1)The holder of a gas work licence or gas work authorisation must pay an annual fee for each year during the term of the licence or authorisation.

(2)The amount of the fee is stated in schedule 9, part 6.

s 118 sub 2014 SL No. 253 s 6

120Types of gas work authorisations

The chief inspector may issue the following types of gas work authorisations for gas devices (type B) or types of gas device (type B)—

(a)gas work authorisation (industrial appliances);

(b)gas work authorisation (major project);

(c)gas work authorisation (motor fuel);

(d)gas work authorisation (servicing).

s 120 amd 2005 SL No. 300 s 36; 2011 SL No. 44 s 25

122What gas work authorisation (industrial appliances) authorises

A gas work authorisation (industrial appliances) authorises the holder, or a person acting under the holder’s authority, to carry out gas work in relation to an industrial appliance, group of industrial appliances, or gas system, as stated in the authorisation.

s 122 amd 2007 SL No. 312 s 39; 2014 SL No. 136 s 8

123What gas work authorisation (major project) authorises

(1)For this section, major project means the development and construction of an operating plant, or part of a plant, if the total gas capacity of the devices at the plant, or the part of the plant, is 50GJ/hr or more.

(2)A gas work authorisation (major project) authorises the holder, or a person acting under the holder’s authority, to carry out gas work for a major project.

s 123 amd 2005 SL No. 300 s 38; 2007 SL No. 312 s 40

124What gas work authorisation (motor fuel) authorises

(1)For this section, motor fuel work means gas work for a gas system that supplies fuel—

(a)to the engine of a vehicle or vessel; or

(b)to a stationary engine capable of consuming fuel gas at a rate of 5GJ/hr or less.

(2)A gas work authorisation (motor fuel) authorises the holder, or a person acting under the holder’s authority, to carry out motor fuel work as stated in the authorisation.

s 124 sub 2005 SL No. 300 s 39

amd 2007 SL No. 312 s 41

125What gas work authorisation (servicing) authorises

(1)For this section, servicing—

(a)means carrying out gas work, other than gas work mentioned in section 124, that involves maintaining or repairing a gas device (type B); and

(b)does not include carrying out gas work that changes the design layout or operating parameters of a gas system.

(2)A gas work authorisation (servicing) authorises the holder, or a person acting under the holder’s authority, to service a gas device (type B), or a group of gas devices (type B), as stated in the authorisation.

s 125 amd 2005 SL No. 300 s 40; 2011 SL No. 44 s 27

126ANotice of change in circumstances

(1) Subsection (2) applies if the holder of a gas work licence or authorisation changes—

(a)the holder’s address; or

(b)the holder’s contact details.

(2)The holder must give the chief inspector notice of the change within 20 business days after the change.

Maximum penalty—10 penalty units.

s 126A ins 2005 SL No. 300 s 42

126BReturning suspended or cancelled gas work licence or authorisation to chief inspector

(1)If the chief inspector gives the holder a notice cancelling the holder’s gas work licence or authorisation, the holder must return the licence or authorisation to the chief inspector within 10 business days after the cancellation takes effect, unless the holder has a reasonable excuse.

Maximum penalty—20 penalty units.

(2)If the chief inspector gives the holder a notice suspending the holder’s gas work licence or authorisation and requires the holder to return the licence or authorisation, the holder must return the licence or authorisation to the chief inspector within 10 business days after the suspension takes effect, unless the holder has a reasonable excuse.

Maximum penalty—20 penalty units.

(3)If subsection (2) applies, the chief inspector must return the licence or authorisation to the holder as soon as practicable after the suspension period ends.

s 126B ins 2005 SL No. 300 s 42

126CExisting gas work licence or authorisation taken to be in force while application is considered

(1)This section applies if—

(a)a holder’s gas work licence or authorisation is issued for a stated period; and

(b)the holder applies for a gas work licence or the same type of authorisation within the stated period.

(2)The holder’s gas work licence or authorisation is taken to continue in force from the day it would, apart from this section, have expired until the day the chief inspector decides to grant or refuse the licence or authorisation for which the holder applied.

(3) Subsection (2) does not apply if the gas work licence or authorisation is earlier cancelled or suspended under the Act.

s 126C ins 2005 SL No. 300 s 42

127Requirements for measurement scheme

(1)For section 637 (1) (d) of the Act, a meter that measures more than 25m³ of petroleum or fuel gas in an hour must be replaced or tested not less than once in each 10-year period.

(2)For section 637 (1) (k) of the Act, a measurement scheme must, if a measurement of petroleum or fuel gas is to be converted into another form of measurement under the scheme, state the method for converting the measurement.

(3)For this section—

form of measurement means any of the following—

(a)a measurement of the energy of the petroleum or fuel gas;

(b)a measurement of the mass of the petroleum or fuel gas;

(c)a measurement of the volume of the petroleum or fuel gas.

128Tolerance for error for a meter

(1)This section prescribes, for section 635 of the Act, the tolerance for error in accuracy for a meter.

(2)If the meter measures not more than 25m³ of petroleum or fuel gas in an hour, the tolerance is—

(a)for a meter installed before this section commences—plus 2% or minus 3%; or

(b)otherwise—plus or minus 1.5%.

(3)For a meter not mentioned in subsection (2), the tolerance is plus or minus 1%.

(4)This section is subject to sections 129 and 130.

129Other requirements for accuracy of meter—100TJ to 1PJ

(1)This section applies in relation to a meter that measures 100TJ or more, but not more than 1PJ, a year.

(2)The controller of the meter must ensure the meter is installed with a device to correct the meter’s readings to standard temperature and pressure for section 11 of the Act.

(3)The overall tolerance for error for the meter, including the correcting device, is plus or minus 1%.

(4)The accuracy of the meter must be checked at least once in each 6-month period.

130Other requirements for accuracy of meter—over 1PJ

(1)This section applies in relation to a meter that measures more than 1PJ a year.

(2)The controller of the meter must ensure the meter is installed with a flow computer to calculate the energy of the petroleum or fuel gas flowing through the meter.

(3)The overall tolerance for error for the meter, including the flow computer, is plus or minus 1%.

(4)The accuracy of the meter must be checked at least once in every 3-month period.

131Requirement for gas pressure regulator

The controller of a meter must ensure the addition of a gas pressure regulator to the meter does not disadvantage a consumer.

Example of how a gas pressure regulator could disadvantage a consumer—

excessive regulator droop that could result in incorrect billing

Maximum penalty—20 penalty units.

132Metering factors

If there is a correction factor for calculating the price of gas flowing through a meter, the controller of the meter must ensure the pressure at which the meter must be operated is clearly marked on, or in the immediate vicinity of, the meter.

Maximum penalty—20 penalty units.

133Fees generally

The fees payable under the Act are stated in schedule 9.

s 133 amd 2006 SL No. 293 s 8

134Payment of annual licence fee for pipeline or petroleum facility licence

(1)The annual licence fee payable for a pipeline licence or a petroleum facility licence is stated in schedule 9, part 4.

(2)The annual licence fee for a licence mentioned in subsection (1), or a pro-rata amount of the annual licence fee if the period to which the fee relates is less than a year, must be paid on or before the following days—

(a)on the grant of the licence, if the Minister has not already required payment of the fee—the 20th business day after the licence takes effect;

Note—

For an example of when the Minister may require payment for a pipeline licence see section 410 (1) (b) (i) of the Act and for a petroleum facility licence see section 446 (1) (b) (i) of the Act.

(b)otherwise—31 August each year.

(3)The annual licence fee must be paid by cash, cheque or electronic transfer of funds.

(4)If the annual licence fee for a licence mentioned in subsection (1) is paid for a year and the licence ends during the year, the proportion of the annual licence fee that relates to the remainder of the year may be refunded.

s 134 sub 2008 SL No. 263 s 4

134AAA Payment of annual fee for national energy market regulation

(1)The annual fee payable by a pipeline licence holder under section 423 (3) of the Act is stated in schedule 9, part 4, item 4A for each kilometre of pipeline the subject of the licence.

(2)The fee must be paid on or before 31 August each year.

(3)The fee must be paid by cash, cheque or electronic transfer of funds.

s 134AAA ins 2014 SL No. 94 s 9

div hdg amd 2010 SL No. 143 s 6

div 2 sdiv 2 om 2007 SL No. 132 s 19

sdiv hdg sub 2010 SL No. 143 s 7

134APurpose of safety and health fees

The purpose of safety and health fees is to cover the costs (the safety and health operating costs) of the department’s activities carried out for the purposes of safety and health matters relating to operating plant during each financial year.

Note—

See the Geothermal Act, section 4 and the Greenhouse Gas Storage Act 2009 , section 4 (c).

s 134A ins 2010 SL No. 143 s 7

amd 2010 SL No. 248 s 5; 2011 Act No. 16 s 30; 2013 SL No. 195 s 4

134AA Estimation and publication of safety and health costs

(1)The chief executive must, for each financial year, prepare a written estimate (a costs estimate) of the safety and health operating costs for each relevant category of liable person for the year.

(2)Each costs estimate must be published on the department’s website no later than 31 March before the financial year to which the estimate relates.

(3)A failure to comply with subsection (2) does not limit or otherwise affect the operation of the fee-capping provisions.

(4)In this section—

fee-capping provisions means schedule 9, part 8, sections 1 (2), 2 (2), 3 (2), 4 (2), 6 (2) and 7 (3).

s 134AA ins 2013 SL No. 195 s 5

amd 2014 SL No. 136 s 9

135Who is liable to pay a safety and health fee

(1)Subject to sections 135A, 141 and 142AA, a person (a liable person) who is a person mentioned in subsection (2) at any time during a financial year must pay a safety and health fee for the year.

(2)For subsection (1), the persons are each of the following—

(a)the operator of an operating plant used to drill a prescribed well, geothermal well (other than a well drilled for wet geothermal production), GHG well or UCG well;

(b)the operator of a work over rig that performs well completion or maintenance work for a prescribed well, geothermal well, GHG well or UCG well;

(c)the holder of an authority to prospect;

(d)the holder of a geothermal exploration permit;

(e)the holder of a GHG permit;

(f)the holder of a petroleum lease, or 1923 Act lease, under which petroleum was produced;

(g)the operator of a petroleum facility that is any of the following types—

(i)a major processing facility;

(ii)a facility that produces syngas;

(iii)a facility that produces a gasification or retorting product, other than mineral (f) produced by an underground gasification activity;

(iv)a facility that produces LPG from petroleum;

(v)a facility that produces LNG and—

(A)is not a major hazard facility under the Work Health and Safety Regulation 2011 ; and

(B)must operate under a safety management plan;

(vi)a facility that produces CNG and must operate under a safety management plan;

(vii)a facility that produces mineral (f) under an underground gasification activity;

(viii)a petroleum facility on an area to which a petroleum facility licence applies that is not included in subparagraphs (i) to (vii);

(h)the operator of a facility, including a well, or a series of wells, and associated storage and injection equipment used to carry out injection of a GHG stream into the same or associated reservoirs that are part of the 1 GHG project;

(i)the operator of a pipeline under a pipeline licence;

(j)the operator of a distribution pipeline that is not part of a distribution system;

(k)the operator of a GHG stream pipeline under the GHG storage Act;

(l)the operator of a distribution system;

(m)the operator of an LPG delivery network for non-automotive LPG that is an operating plant if the total capacity of fuel gas containers in the network for non-automotive LPG is more than 12000L;

(n)a product supplier of automotive LPG;

(o)a tanker delivery carrier;

(p)the operator of a site (a major consumer) if the gas devices at the site have a total gas capacity of 50GJ/hr or more and gas has been consumed at the site by a gas device;

(q)the operator of a facility that produces or processes any of the following—

(i)biogas;

(ii)gas derived from a waste disposal tip;

(iii)gas derived during the treatment of sewage;

(r)the operator of a gas system used for special effects for entertainment or amusement purposes.

Note—

See also section 135A.

(3)The amount of the fee must be calculated in the way provided for under schedule 9, part 8.

(4)A liable person who is mentioned in more than 1 category of liable persons for a year must pay a safety and health fee for the year in relation to each category.

s 135 amd 2005 SL No. 300 s 43; 2007 SL No. 132 s 18; 2007 SL No. 312 s 42; 2010 SL No. 143 s 8; 2011 SL No. 44 s 28; 2011 Act No. 18 s 404 sch 4 pt 1; 2015 SL No. 23 s 8

sub 2013 SL No. 195 s 6

135AWho is not liable to pay a safety and health fee

(1)Despite section 135, the following are not liable persons—

(a)an operator mentioned in section 135 (2) (q) if either of the following apply—

(i)the operator has, on or before 9 November after the financial year for which the safety and health fee would otherwise be payable, received a positive advance finding for an activity at the facility that relates to the production or processing of biogas or gas carried out at the facility;

(ii)for an operator mentioned in section 135 (2) (q) (ii)—all the gas produced or processed is passively vented;

(b)the operator of a coal mining-CSG operating plant.

(2)In this section—

Innovation Australia means the board established under the Industry Research and Development Act 1986 (Cwlth), section 6.

passively vented means vented to the atmosphere, without mechanical assistance, in reliance on natural pressure gradients.

Example of passive venting—

venting gas to the atmosphere, without mechanical assistance, through a bore hole

positive advance finding, for an operator’s activities at a facility, means an advance finding, issued by Innovation Australia, confirming the activities are either of the following—

(a)core R&D activities;

(b)supporting R&D activities.

s 135A ins 2013 SL No. 195 s 6

sdiv hdg amd 2007 SL No. 132 s 20; 2010 SL No. 143 s 9

sub 2013 SL No. 195 s 7

139Requirement to lodge safety and health fee return

(1)A person mentioned in section 135 or 135A (1) (a) must lodge a return (a safety and health fee return) for each financial year by 31 July immediately after the end of the year.

Maximum penalty—20 penalty units.

(2)To remove any doubt, subsection (1) applies to the person even if the person is also mentioned in section 135A (1) (b).

(3)However, the person may give a safety and health fee return after the period mentioned in subsection (1) if, before the period ends—

(a)the person applies to the chief executive in writing to extend the period; and

(b)the chief executive gives the person a written notice stating that the person may give the safety and health return before the end of a day stated in the notice for that purpose.

(4)If the person is given written notice under subsection (2) (b), the person must give the chief executive the safety and health return before the end of the day stated in the notice for giving the return.

Maximum penalty—20 penalty units.

s 139 amd 2005 SL No. 300 s 44; 2007 SL No. 132 s 22; 2009 SL No. 186 s 17; 2010 SL No. 143 s 10; 2010 SL No. 248 s 6; 2011 Act No. 16 s 31

sub 2013 SL No. 195 s 8

139ARequirements for safety and health fee return

(1)A safety and health fee return must be in the approved form and must state, for the financial year to which it relates—

(a)for a person mentioned in section 135 (2) (a)—the total distance (km) drilled in all prescribed wells, geothermal wells, GHG wells or UCG wells drilled by the person; and

(b)for a person mentioned in section 135 (2) (b)—the total number of wells for which completion or maintenance work was performed by the person; and

(c)for a person mentioned in section 135 (2) (c)—the number of authorities to prospect, and the area, in sub-blocks, of the authorities to prospect, held by the person; and

(d)for a person mentioned in section 135 (2) (d)—the number of geothermal exploration permits, and the area, in sub-blocks, of the geothermal exploration permits, held by the person; and

(e)for a person mentioned in section 135 (2) (e)—the number of GHG permits, and the area, in sub-blocks, of the GHG permits, held by the person; and

(f)for a person mentioned in section 135 (2) (f)—the number of prescribed wells within the area of the petroleum lease or 1923 Act lease that have produced petroleum; and

(g)for a person mentioned in section 135 (2) (g)—

(i)which type of petroleum facility mentioned in section 135 (2) (g) is operated by the person; and

(ii)the amount of petroleum (m³) processed by the petroleum facility (the relevant petroleum facility); and

(iii)the number of other petroleum facilities operated at the same site and under the same safety management plan as the relevant petroleum facility; and

(h)for a person mentioned in section 135 (2) (h)—the number of GHG projects started; and

(i)for a person mentioned in section 135 (2) (i)—the length (km) and outside diameter (mm) of the pipeline; and

(j)for a person mentioned in section 135 (2) (j)—the length (km) and diameter (mm) of the part of the distribution pipeline that is not part of the distribution system; and

(k)for a person mentioned in section 135 (2) (k)—the length (km) and diameter (mm) of the GHG stream pipeline; and

(l)for a person mentioned in section 135 (2) (l)—the length (km) of the distribution system;

(m)for a person mentioned in section 135 (2) (m)—the maximum number of each of the following fuel gas containers in the LPG delivery network for non-automotive LPG—

(i)fuel gas containers with a capacity less than 50L;

(ii)fuel gas containers with a capacity 50L or more but less than 1kL;

(iii)fuel gas containers with a capacity 1kL or more but less than 8kL;

(iv)fuel gas containers with a capacity more than 8kL; and

(n)for a person mentioned in section 135 (2) (n)—the number of times the person supplied automotive LPG to an automotive LPG site; and

(o)for a person mentioned in section 135 (2) (o)—the number of automotive LPG sites to which the person delivered automotive LPG; and

(p)for a person mentioned in section 135 (2) (p)—the maximum consumption rate (in GJ/hr) for which the gas device is designed; and

(q)for a person mentioned in section 135 (2) (q)—the number of sites, operated by the person, with facilities that produce or process—

(i)for a person mentioned at section 135 (2) (q) (i)—biogas; or

(ii)for a person mentioned at section 135 (2) (q) (ii)—gas derived from a waste disposal tip; or

(iii)for a person mentioned at section 135 (2) (q) (iii)—gas derived during the treatment of sewage; and

(r)for a person mentioned in section 135 (2) (r)—

(i)the number of gas systems mentioned in that paragraph operated by the person; and

(ii)the number of times the gas system was operated; and

(iii)the amount of fuel gas used by the gas system.

(2)The return must be lodged at the office of the chief executive.

(3)The information that must be included in the return under subsection (1) is the required information.

s 139A ins 2013 SL No. 195 s 8

amd 2014 SL No. 136 s 10; 2015 SL No. 23 s 9

140Fee for late lodgement of safety and health fee return

(1)This section applies if—

(a)a liable person does not lodge a safety and health fee return under section 139; or

(b)a purported safety and health fee return lodged by a liable person does not contain all of the required information.

(2)The obligation under section 139 to lodge a safety and health fee return continues to apply until the section is complied with.

(3)When the return is lodged it must be accompanied by the late fee mentioned in schedule 9, part 8, section 16 (2).

(4)The late fee applies and is payable as well as any penalty imposed under section 139 (1).

s 140 amd 2009 SL No. 186 s 18; 2010 SL No. 143 s 11

141Requirement for invoice to be given

(1)The chief executive must give a liable person an invoice for the amount of the safety and health fee payable by the person for a financial year on or before the invoice date for the year.

(2)However, if the person has not lodged a safety and health fee return for the year by the invoice date for the year, the chief executive must give the person the invoice within 30 days after the day the person lodges the return.

(3)Also, if the liable person does not pay the fee on or before the payment date, the chief executive must, within 10 days after the payment date, give the liable person an invoice for the late fee mentioned in schedule 9, part 8, section 16 (1).

(4)The chief executive’s failure to give an invoice within a period stated in subsections (1) to (3) does not affect the validity of an invoice given under this section.

(5)In this section—

invoice date, for a financial year, means 10 November after the end of the year.

s 141 sub 2010 SL No. 143 s 12; 2013 SL No. 195 s 9

142Invoice may be reissued if incorrect

(1)This section applies if the chief executive—

(a)has given a liable person an invoice under section 141 (1) or (2); and

(b)after giving the invoice, is of the opinion, based on information available to the chief executive, that the safety and health fee stated in the invoice is incorrect.

(2)The chief executive may give the liable person an invoice (a reissued invoice) for the correct amount of the safety and health fee within 30 days after receiving the information.

s 142 amd 2010 SL No. 143 s 13

sub 2013 SL No. 195 s 9

142AA Date for payment

(1)The safety and health fee for a financial year must be paid by a liable person on or before the payment date.

(2)However, if the amount of the safety and health fee for the year stated in a reissued invoice for the person (the reissued amount) is—

(a)higher than the amount for the fee already paid by the person, the person must, on or before the payment date, pay the balance amount; or

(b)lower than the amount for the fee already paid by the person, the chief executive must, on or before the refund date, refund the balance amount.

(3)For subsection (1), if the person does not pay the fee on or before the payment date, when the fee is paid it must be accompanied by the late fee mentioned in schedule 9, part 8, section 16 (1).

(4)In this section—

balance amount—

(a)for subsection (2) (a)—means the part of the reissued amount that remains after subtracting the amount of the fee already paid; and

(b)for subsection (2) (b)—means the part of the fee already paid that remains after subtracting the reissued amount.

refund date means the day that is 30 days after the day the reissued invoice is given.

s 142AA ins 2013 SL No. 195 s 9

142AInterest payable on unpaid fees

(1)This section applies if a liable person does not pay an amount of a safety and health fee payable under this division.

(2)The liable person must pay interest on the unpaid amount at the rate of 15% a year.

(3)The interest must be calculated as simple interest.

(4)The interest payable on the unpaid amount may be recovered by the chief executive as a debt.

s 142A ins 2010 SL No. 143 s 14

143Notice may be given to liable person if return not lodged or is inadequate

(1)This section applies if the chief executive is of the opinion, based on information available to the chief executive, that a liable person—

(a)has failed to lodge a safety and health fee return as required under sections 139 and 139A; or

(b)has lodged a safety and health fee return that does not contain all of the required information; or

(c)has lodged a safety and health fee return containing required information that is incorrect.

(2)The chief executive may give the person a notice—

(a)stating each of the following—

(i)the ground mentioned in subsection (1) (a), (b) or (c) on which the chief executive reasonably believes this section applies in relation to the person;

(ii)the required information the chief executive reasonably believes is correct;

(iii)the amount of the safety and health fee the chief executive reasonably believes is payable by the person;

(iv)the facts and circumstances forming the basis for the beliefs mentioned in subparagraphs (i) to (iii); and

(b)inviting the person to lodge, at the office of the chief executive and within a stated reasonable period, submissions as to why the person should not be invoiced for the amount mentioned in paragraph (a)(iii).

(3)The chief executive must consider any submissions lodged within the stated period by the person.

(4)If, after complying with subsection (3), the chief executive is satisfied a safety and health fee is payable by the person, the chief executive may give the person an invoice for the fee.

(5) Subsection (4) applies even if the person has already been given an invoice for, or paid, a different amount for the fee.

s 143 amd 2010 SL No. 143 s 15; 2010 SL No. 248 s 6; 2013 SL No. 195 s 10

sdiv hdg amd 2010 SL No. 143 s 9

144Refund of overpayment of safety and health fee

(1)If a safety and health fee is overpaid by a liable person, the chief executive may refund the amount of the overpayment to the person.

(2)No interest is payable on the amount refunded.

s 144 amd 2010 SL No. 143 s 16; 2010 SL No. 248 s 6

145Annual rent

(1)The annual rent payable for each of the following authorities is stated in schedule 10, part 1—

(a)an authority to prospect;

(b)a petroleum lease;

(c)a data acquisition authority;

(d)a water monitoring authority;

(e)a 1923 Act ATP.

Note—

See section 74N of the 1923 Act.

(2)The annual rent for an authority mentioned in subsection (1), or a pro-rata amount of the annual rent if the period to which the rent relates is less than a year, must be paid on or before each of the following days—

(a)on the grant of the authority, if the Minister has not already required payment of the rent—the 20th business day after the authority takes effect;

Note—

For an example of when the Minister may require payment of the rent, see section 40 of the Act.

(b)otherwise—on or before 31 August each year.

(3)The annual rent must be paid by cash, cheque or electronic transfer of funds.

(4)If the annual rent for an authority mentioned in subsection (1) is paid for a year and the authority ends during the year, the proportion of the annual rent that relates to the remainder of the year may be refunded.

s 145 amd 2005 SL No. 263 s 8; 2008 SL No. 158 s 13

146Storage rent payable by owner of stored petroleum or prescribed storage gas

(1)For section 227 (3) of the Act, the rate at which rent is payable by each current owner of stored petroleum or a prescribed storage gas for a year is stated in schedule 10, part 2.

(2)The rent, or a pro-rata amount of the rent if the period to which the rent relates is less than a year, must be paid—

(a)for the first payment of the rent—within 20 business days after the following day—

(i)if no notices have been lodged under section 219 of the Act for the stored petroleum or prescribed storage gas—the day the Minister decides, under section 215 of the Act, that the person is the owner of the stored petroleum or prescribed storage gas;

(ii)if a notice has been lodged under section 219 of the Act for the stored petroleum or prescribed storage gas—the day the person becomes the owner of the stored petroleum or prescribed storage gas; and

(b)otherwise—on or before 31 August each year.

(3)The rent must be paid by cash, cheque or electronic transfer of funds.

(4)If the rent is paid for a year and the petroleum or prescribed storage gas is stored for only part of the year, the proportion of the rent that relates to the remainder of the year may be refunded.

s 146 amd 2005 SL No. 263 s 9; 2008 SL No. 158 s 14

sdiv hdg ins 2010 SL No. 1 s 3

146ARoyalty return period

For the Act, schedule 2, definition royalty return period, the period prescribed is a quarterly period.

s 146A ins 2011 Act No. 16 s 32

147When and how petroleum royalty payable—royalty return period

(1)Petroleum royalty payable by a petroleum producer is payable, as provided under this section, for the following royalty return period—

(a)for petroleum produced under a petroleum tenure or a 1923 Act petroleum tenure—the royalty return period in which the petroleum is disposed of;

Note—

See also section 74N (Petroleum royalty and annual rent) of the 1923 Act.

Example—

If petroleum is produced under a petroleum lease on 30 September and disposed of between 23 and 31 October, the petroleum royalty for the petroleum is payable for the royalty return period in which 23 to 31 October falls.

(b)otherwise—the royalty return period in which the petroleum is produced.

(2)A petroleum producer disposes of petroleum if the producer—

(a)sells or otherwise transfers ownership of the petroleum to another person; or

(b)flares or vents the petroleum; or

(c)uses the petroleum.

(3)Subject to subsection (5), the petroleum royalty payable by a petroleum producer for a royalty return period is payable as follows—

(a)instalment 1 is payable on or before the last business day of the second month of the royalty return period;

(b)instalment 2 is payable on or before the last business day of the third month of the royalty return period;

(c)instalment 3 is payable on the day a royalty return must be lodged for the royalty return period.

(4)A person must lodge an approved form for a payment under subsection (3) when the payment is made.

(5)If the Minister considers it appropriate to do so, the Minister may, by notice (a payment notice), allow a petroleum producer to pay the petroleum royalty payable by the producer for a royalty return period on the day a royalty return must be lodged for the royalty return period.

(6)A payment notice given to a petroleum producer must state the period for which the notice applies.

(7)If the Minister considers it appropriate to do so, the Minister may, by notice, withdraw a payment notice.

(8)A withdrawal under subsection (7) takes effect from the start of the next royalty return period after the royalty return period in which the notice of the withdrawal is given ends.

(9)In this section—

instalment 1, for a royalty return period, means—

(a)the amount payable by the producer for the first month of the royalty return period worked out under section 147A (2); or

(b)if an election under section 147B (3) applies for the first month of the royalty return period—the amount payable by the producer for the first month of the royalty return period worked out under section 147B (5).

instalment 2, for a royalty return period, means—

(a)the amount payable by the producer for the second month of the royalty return period worked out under section 147A (3); or

(b)if an election under section 147B (3) applies for the second month of the royalty return period—the amount payable by the producer for the second month of the royalty return period worked out under section 147B (6).

instalment 3, for a royalty return period, means—

(a)if the sum of instalment 1 and instalment 2 for the royalty return period is less than the petroleum royalty payable by the petroleum producer for the royalty return period—the amount that is the total amount of the petroleum royalty payable by the petroleum producer for the royalty return period less that sum; or

(b)otherwise—zero.

Note—

Section 600 of the Act provides for a refund if the amount of petroleum royalty paid by a petroleum producer for a royalty return period is more than the amount of petroleum royalty payable by the producer for the royalty return period.

s 147 amd 2008 SL No. 158 s 15; 2011 Act No. 16 s 33

sub 2011 SL No. 295 s 12

amd 2012 SL No. 169 s 14; 2014 SL No. 123 s 22; 2014 SL No. 227 s 9

147AWorking out monthly payments for petroleum royalty generally

(1)This section prescribes, for section 147 (3), the amounts payable by a petroleum producer for each month of a royalty return period.

Note—

Section 147B allows a petroleum producer to make an election to change the amount payable for the first or second month of a royalty return period if the producer reasonably believes the petroleum royalty payable by the producer for the royalty return period will be less than the petroleum royalty payable by the producer for the previous royalty return period.

(2)The amount payable by the petroleum producer for the first month of the royalty return period is an amount that is a third of the total amount of the petroleum royalty payable by the producer for the previous royalty return period.

(3)The amount payable by the petroleum producer for the second month of the royalty return period is an amount that is a third of the total amount of the petroleum royalty payable by the producer for the previous royalty return period.

(4)For subsections (2) and (3), the petroleum royalty payable by the petroleum producer for the previous royalty return period is the petroleum royalty payable by the producer for the previous royalty return period disregarding any assessment under section 599B of the Act, and any reassessment under section 599C of the Act, for the royalty.

(5)If the petroleum producer has not lodged a royalty return for the previous royalty return period as required under the Act—

(a)the Minister—

(i)may estimate the amount of petroleum royalty payable by the producer for the previous royalty return period for working out the amounts payable under subsections (2) and (3); and

(ii)must give the producer a notice stating the estimated amount; and

(b)for subsections (2) and (3), the petroleum royalty payable by the producer for the previous royalty return is the estimated amount.

(6)In estimating an amount for subsection (5), the Minister may have regard to—

(a)any other royalty returns lodged by the petroleum producer; and

(b)the size of the operation for which the petroleum royalty is payable; and

(c)any other relevant matter.

s 147A ins 2011 SL No. 295 s 12

amd 2012 SL No. 169 s 15

amd 2014 SL No. 123 s 23

147BElection to change monthly payments

(1)This section applies if—

(a)at the relevant time, a petroleum producer reasonably believes the amount of petroleum royalty payable by the producer for a royalty return period (the current royalty return period) will be less than the petroleum royalty payable by the producer for the previous royalty return period; and

(b)the Minister has not given the producer a notice stating that the amounts payable by the producer for the royalty return period must be worked out under section 147A.

(2)For subsection (1), the petroleum royalty payable by the petroleum producer for the previous royalty return period is the amount that, under section 147A (4) or (5) (b), is the petroleum royalty payable by the producer for the previous royalty return period for section 147A (2) and (3).

(3)The petroleum producer may elect to change the amount payable for the first month or the second month of the current royalty return period.

(4)The election must—

(a)be lodged in the approved form; and

(b)state the amount of petroleum royalty the petroleum producer reasonably believes will be payable by the producer for the current royalty return period; and

(c)be lodged on or before the following day unless the Minister has, by giving notice to the producer, approved another day for making the election—

(i)for an election for the first month of the current royalty return period—the last business day of the second month of the royalty return period;

(ii)for an election for the second month of the current royalty return period—the last business day of the third month of the royalty return period.

(5)Subject to subsection (7), if the petroleum producer makes an election under subsection (3) for the first month of the current royalty return period, the amount payable for that month is a third of the amount mentioned in subsection (4) (b) for the election.

(6)Subject to subsection (7), if the petroleum producer makes an election under subsection (3) for the second month of the current royalty return period, the amount payable for that month is a third of the amount mentioned in subsection (4) (b) for the election.

(7)The amount payable, as changed under subsection (3) for the first month or the second month of a royalty return period, may be more than the amount payable under subsection (5) or (6).

(8)The Minister may give a notice mentioned in subsection (1) (b) if—

(a)the petroleum producer has made an election under this section for a month in a royalty return period; and

(b)the Minister considers that the producer did not have a reasonable basis for forming the belief mentioned in subsection (1) (a) for the election.

(9)In this section—

relevant time, for an election for the first month or the second month of a royalty return period, means when the amount payable for the month becomes payable under section 147.

s 147B ins 2011 SL No. 295 s 12

amd 2012 SL No. 169 s 16

147BA When petroleum royalty payable—annual royalty return

(1)This section applies if the amount of petroleum royalty payable by a petroleum producer for an annual return period under the Act, section 599 is more than the amount of petroleum royalty payable by the producer for all the royalty return periods occurring during the annual return period (the royalty difference).

(2)The petroleum producer must pay the royalty difference when the annual royalty return for the annual return period is required to be lodged.

s 147BA ins 2012 SL No. 169 s 17

147CRate of petroleum royalty payable

Petroleum royalty payable by a petroleum producer is payable at the rate of 10% of the wellhead value of the petroleum disposed of or, if section 147 (1) (b) applies, produced by the petroleum producer during a royalty return period.

s 147C ins 2011 SL No. 295 s 12

148Working out wellhead value of petroleum

(1)The wellhead value of petroleum disposed of or, if section 147 (1) (b) applies, produced by a petroleum producer in a royalty return period is—

(a)the amount that the petroleum could reasonably be expected to realise if it were sold on a commercial basis; less

(b)the sum of the following—

(i)the expenses for the royalty return period mentioned in subsection (2);

(ii)any negative wellhead value deducted under subsection (4).

(2)For subsection (1) (b) (i), the expenses are each of the following—

(a)a pipeline tariff or other charge paid or payable by the petroleum producer to a third party for transporting the petroleum through a pipeline to the point of its disposal, if the Minister reasonably believes the amount of the tariff is reasonable on a commercial basis;

(b)a processing plant toll or other charge paid or payable by the petroleum producer to a third party for processing the petroleum before it is disposed of, if the toll is calculated—

(i)on a commercial basis; or

(ii)if the Minister reasonably believes that use of the plant by other petroleum producers or for other purposes makes another basis for charging the most practicable basis—on the other basis;

(c)depreciation of capital expenditure by the petroleum producer on a petroleum facility or pipeline used for processing the petroleum or transporting it from the wellhead of the well in which it was produced to the point of its disposal, allocated over—

(i)10 years; or

(ii)a shorter period decided by the Minister, if the Minister reasonably believes the shorter period is reasonable having regard to the expected potential for production of the natural underground reservoir from which the petroleum is produced;

(d)an operating cost incurred, or to be incurred, by the petroleum producer that directly relates to—

(i)treating, processing or refining the petroleum before it is disposed of; or

(ii)transporting the petroleum to the point of its disposal;

(e)another expense incurred, or to be incurred, by the petroleum producer in relation to the operation of the site at which the petroleum was produced that is approved by the Minister for the purpose of this subsection.

(3)However, the following expenses are not included under subsection (2)—

(a)an expense incurred by the petroleum producer in producing the petroleum, including, for example, lifting costs;

(b)office overhead costs for an office that is not located—

(i)for petroleum produced under a petroleum tenure or 1923 Act petroleum tenure—within the area of the tenure; or

(ii)otherwise—at the site at which the petroleum is produced;

(c)marketing costs in relation to the sale of the petroleum;

(d)Commonwealth excise levies;

(e)a civil penalty or royalty penalty amount, or interest on an amount, payable by the producer under the Act.

Example—

In a royalty return period, a petroleum producer sells 20 units of gas and uses 2 units of gas to generate electricity. Half of the electricity generated is used in recovering gas to ground level and the remainder is used to operate other plant at the field. The cost of the electricity used to recover the gas to ground level would not be included under subsection (2).

Note—

For paragraph (e), see, for example, sections 76, 588 and 602 of the Act.

(4)If a petroleum producer’s expenses mentioned in subsection (2) for a royalty return period are more than the amount mentioned in subsection (1) (a) for the royalty return period—

(a)the amount of the excess is a negative wellhead value for the royalty return period; and

(b)the negative wellhead value may be deducted under subsection (1) (b) (ii) in a later royalty return period in the same annual return period.

(5)To remove doubt, it is declared that a petroleum producer is not entitled to receive any payment in relation to a negative wellhead value.

s 148 amd 2008 SL No. 158 s 16; 2011 Act No. 16 s 34; 2011 SL No. 295 s 13; 2014 SL No. 123 s 24; 2014 SL No. 227 s 10

sdiv hdg ins 2010 SL No. 1 s 4

sub 2016 SL No. 25 s 16

148A Definitions for subdivision

In this subdivision—

component, of the wellhead value of petroleum disposed of or produced by a petroleum producer in a royalty return period, means—

(a)an element used to work out the amount under section 148(1)(a) that the petroleum could reasonably be expected to realise; or

(b)an expense, or an amount contributing to an expense, under section 148(2)(a), (b), (d) or (e).

def component amd 2011 Act No. 16 s 35

earlier return period, in relation to a petroleum royalty decision for petroleum, means a royalty return period or annual return period for the petroleum that occurs wholly or partly before the Minister—

(a)makes the decision; or

(b)amends the decision under section 148H or 148K.

petroleum royalty decision see section 148E(3).

relevant entity, for a petroleum producer, means—

(a)for a petroleum producer that is a corporation—

(i)an associated entity of the corporation within the meaning of the Corporations Act, section 50AAA; or

(ii)

a related entity of the corporation within the meaning of the Corporations Act, section 9, definition related entity; or

(iii)a related party of the corporation within the meaning of the Corporations Act, section 228; or

(b)for a petroleum producer who is an individual—a related person of the individual within the meaning of the Duties Act 2001, section 61, other than section 61(1)(d) of that Act.

stated factor see section 148E(7).

s 148A ins 2010 SL No. 1 s 4

sub 2016 SL No. 25 s 16

148B Application by petroleum producer for petroleum royalty decision

(1)A petroleum producer may apply to the Minister for a petroleum royalty decision for petroleum that has been or will be—

(a)disposed of by the producer; or

(b)if section 147(1)(b) applies to the petroleum—produced by the producer.

(2)The application must—

(a)be in writing; and

(b)be lodged at the office of the chief executive; and

(c)state why the petroleum producer is seeking the petroleum royalty decision; and

(d)state a proposed value of, or proposed method or formula for working out, 1 or more components of the wellhead value of the petroleum for 1 or more of the following—

(i)a particular transaction;

(ii)a particular class of transaction;

(iii)some or all transactions in a particular period; and

Examples of a method or formula for working out a component of the wellhead value of petroleum—

•a fixed value with adjustments in particular circumstances

•a formula for deciding the market value

(e)state the proposed period for which the petroleum royalty decision is to apply.

(3)Without limiting subsection (2)(e), the application may relate to 1 or more royalty return periods, regardless of whether any of the royalty return periods start or end before the application is made.

s 148B ins 2010 SL No. 1 s 4

amd 2014 SL No. 123 s 25

sub 2016 SL No. 25 s 16

148C Petroleum royalty decision on Minister’s own initiative

(1)The Minister may, on the Minister’s own initiative, make a petroleum royalty decision under section 148E for petroleum if, for a period—

(a)the petroleum is or will be produced other than under a petroleum tenure or a 1923 Act petroleum tenure; or

(b)the petroleum is or will be disposed of to a relevant entity for the petroleum producer for the petroleum; or

(c)the petroleum is or will be disposed of to, or used by, a person and the producer receives a non-financial benefit from the disposal or use of the petroleum (whether or not the producer also receives or will receive a financial benefit from the disposal or use of the petroleum); or

(d)an expense mentioned in section 148(1)(b)(i) has been or will be paid or become payable to a relevant entity for the producer; or

(e)the petroleum has been or will be disposed of by being flared, vented or used; or

(f)the Minister reasonably believes—

(i)the amount mentioned in section 148(1)(a) that the producer determines or may determine as the amount the petroleum could reasonably be expected to realise is less than the market value of the petroleum; or

(ii)the expenses mentioned in section 148(1)(b)(i) paid or incurred, or that may be payable or incurred, are more than the amount that would reasonably be paid or incurred by the producer for the period.

(2)Subsection (1)(f) applies whether or not any of the following has happened—

(a)a transaction relating to the petroleum;

(b)the incurring or payment of an expense mentioned in section 148(1)(b)(i) relating to the petroleum;

(c)the lodgement of a royalty return, or an annual royalty return, for the period.

(3)If the Minister proposes to make a petroleum royalty decision for petroleum on the Minister’s own initiative, the Minister must—

(a)give a notice to the petroleum producer for the petroleum that the Minister proposes to make the decision; and

(b)invite the producer to make submissions about the proposed decision within—

(i)30 days after the day the Minister gives the producer the notice; or

(ii)if the Minister approves a longer period—the longer period.

s 148C ins 2010 SL No. 1 s 4

sub 2016 SL No. 25 s 16

148D Considerations in making petroleum royalty decisions

In making a petroleum royalty decision for petroleum (the relevant petroleum), the Minister—

(a)must consider—

(i)if the petroleum producer for the relevant petroleum applied for the decision under section 148B—the matters stated in the petroleum producer’s application; and

(ii)any submissions about the proposed decision made by the petroleum producer within the period mentioned in section 148C(3)(b) for the submissions; and

(b)may consider any document or information the Minister reasonably considers relevant for making the decision; and

(c)may also consider any of the following matters—

(i)the amount for which petroleum of a similar kind to the relevant petroleum has been disposed of in an arms-length transaction to a person other than a relevant entity for the petroleum producer;

(ii)the amount for which a product made using the relevant petroleum, or petroleum of a similar kind, has been disposed of;

(iii)how the value of the relevant petroleum can be adjusted to reflect changes to the market value of the petroleum;

(iv)the expenses incurred or likely to be incurred by the petroleum producer when disposing of the relevant petroleum in an arms-length transaction to a person other than a relevant entity for the petroleum producer;

(v)the nature of the relationship between the petroleum producer and the entity to which the petroleum has been or will be disposed of, or that has used or will use the petroleum;

(vi)the period for which the petroleum royalty decision, or aspects of the decision, will apply;

(vii)the need for any future adjustment of the petroleum royalty decision or aspects of the decision;

(viii)any other relevant matter.

s 148D ins 2010 SL No. 1 s 4

sub 2016 SL No. 25 s 16

148E Petroleum royalty decision

(1)This section applies if the Minister—

(a)receives an application by a petroleum producer under section 148B for a petroleum royalty decision for 1 or more components of the wellhead value of petroleum; or

(b)proposes under section 148C to make a petroleum royalty decision for 1 or more components of the wellhead value of petroleum on the Minister’s own initiative.

(2)The Minister must decide—

(a)the value of 1 or more components of the wellhead value of the petroleum; or

(b)the method or formula for working out the value of 1 or more components of the wellhead value of the petroleum.

(3)The Minister’s decision under this section is a petroleum royalty decision.

(4)Without limiting the scope of the petroleum royalty decision, the petroleum royalty decision may—

(a)state a value, method or formula for—

(i)deciding the market value of the petroleum; or

(ii)working out particular tolls or tariffs relating to the petroleum paid or payable by the petroleum producer for the petroleum; or

(iii)adjusting the market value of the petroleum or the tolls or tariffs in particular circumstances; or

(iv)working out any other component of the wellhead value of the petroleum; and

(b)apply for a particular period, including, for example, an earlier return period starting or ending before the decision is made; and

(c)provide for different values for 1 or more components of the wellhead value of the petroleum for particular periods, transactions or classes of transactions; and

(d)provide for different methods or formulas for working out the value of 1 or more components of the wellhead value of the petroleum for particular periods, transactions or classes of transactions.

(5)If the petroleum producer applied for the petroleum royalty decision—

(a)the Minister may decide the value of, or method or formula for, a component under subsection (2) or (4), even if the component is not stated in the producer’s application; and

(b)to remove any doubt, it is declared that the Minister may decide the value of a component, the method or formula for working out the value of a component, or the period, transaction or class of transaction for which the decision applies (each a relevant matter), even if—

(i)the relevant matter is not stated in the producer’s application; or

(ii)the way in which the relevant matter is stated in the producer’s application is different from the way the relevant matter is stated in the decision.

(6)After making the petroleum royalty decision, the Minister must give the petroleum producer for the petroleum a notice stating—

(a)the reasons for the decision; and

(b)for each component of the wellhead value of the petroleum—

(i)the value of the component; or

(ii)the method or formula for working out the value of the component; and

(c)if the decision applies for a period—the period; and

(d)if the decision applies for a particular transaction or class of transaction—the transaction or class; and

(e)if the decision applies for an earlier return period—whether, subject to section 148M, the Minister will assess or reassess the amount of royalty payable for the earlier return period; and

Note—

See also sections 599B and 599C of the Act.

(f)the producer may apply, under section 148J, to the Minister to review the decision.

(7)The Minister may also state in the notice a fact or circumstance the Minister considers would have a direct or indirect impact on the decision if the fact or circumstance were to change (a stated factor).

Example of a stated factor—

Under a petroleum royalty decision, the value of petroleum disposed of by a producer to a relevant entity for the producer is determined having regard to the amount for which petroleum of a similar kind is disposed of by the producer under a contract with a person who is not a relevant entity. The Minister may state in the decision that the termination of the contract would impact on the decision, so the continuation of the contract is a stated factor for the decision.

s 148E ins 2010 SL No. 1 s 4

sub 2016 SL No. 25 s 16

148F Using expired petroleum royalty decision to work out wellhead value of petroleum in particular circumstances and Minister’s obligation to reassess

(1)This section applies if—

(a)a petroleum royalty decision for petroleum (the original decision) states that the decision applies for a particular period; and

(b)before the period ends (the expiry)—

(i)the petroleum producer for the petroleum lodges an application under section 148B for another petroleum royalty decision (the new decision) to take effect on the expiry of the original decision; or

(ii)the Minister, under section 148C(3), gives a notice to the producer stating that the Minister proposes to make another petroleum royalty decision (also the new decision) to take effect on the expiry of the original decision; and

(c)the Minister has not made the new decision before the expiry.

(2)For petroleum produced or disposed of by the producer during the period starting immediately after the expiry until a notice for the new decision is given to the producer under section 148E(6)—

(a)the producer, in complying with the producer’s obligations under the Act, must work out the wellhead value for the petroleum as if the original decision continues to apply to the petroleum; and

(b)the Minister must make any assessment of the amount of the petroleum royalty payable for the petroleum as if the original decision continues to apply to the petroleum.

(3)Subsection (4) applies if the Minister—

(a)makes a new decision for petroleum produced or disposed of by the producer during the period mentioned in subsection (2); and

(b)has made an assessment of the amount of petroleum royalty payable under an original decision for a royalty return period or annual return period for the petroleum; and

(c)is reasonably satisfied the amount of petroleum royalty payable for the petroleum under the original decision is incorrect.

(4)The Minister must under section 599C of the Act reassess the amount of petroleum royalty payable for the petroleum.

Note—

On making a reassessment, see section 600 of the Act for the Minister’s obligation to refund any excess amount.

(5)Subsection (6) applies if, on a reassessment under subsection (4), the producer is liable for a royalty penalty amount, unpaid royalty interest or a civil penalty (each a relevant royalty-related amount).

(6)The Minister must remit the relevant royalty-related amount to the extent the amount is payable solely because of the operation of subsection (2).

s 148F ins 2010 SL No. 1 s 4

sub 2016 SL No. 25 s 16

sdiv hdg ins 2016 SL No. 25 s 16

148G Petroleum producer to advise Minister of particular matters affecting petroleum royalty decision

(1)This section applies if—

(a)a petroleum royalty decision is incorrect when the decision is made; or

Examples of when a petroleum royalty decision may be incorrect when the decision is made—

•information relied on by the Minister in making the decision is false or misleading

•the decision contains a typographical error

(b)a petroleum royalty decision is incapable of being applied by the petroleum producer for working out the wellhead value of the petroleum to which the decision applies; or

Example for paragraph (b)—

A part of the decision relies on the completion of an activity by the producer before a stated day, but the producer fails to complete the activity by that day.

(c)a stated factor for a petroleum royalty decision has changed.

Example for paragraph (c)—

A stated factor for a petroleum royalty decision is the existence of a contract for the disposal of petroleum with an entity other than a relevant entity. The termination of the contract is a change to the stated factor.

(2)Within 60 days after becoming aware the decision is incorrect or incapable of being applied, or within 60 days after the stated factor has changed, the producer for the petroleum to which the decision applies must—

(a)advise the Minister of the matter in writing; and

(b)give the Minister—

(i)if the decision is incorrect—any documents or information about why the decision is incorrect; or

(ii)if the decision is incapable of being applied—any documents or information about why it is incapable of being applied; or

(iii)if a stated factor has changed—any documents or information relevant to the change.

Maximum penalty—20 penalty units.

s 148G ins 2010 SL No. 1 s 4

sub 2016 SL No. 25 s 16

148H Minister may amend petroleum royalty decision in particular circumstances

(1)The Minister may amend a petroleum royalty decision (an earlier decision) for petroleum if the Minister is reasonably satisfied of any of the following matters—

(a)the earlier decision was incorrect when it was made;

(b)the earlier decision is incapable of being applied by the petroleum producer for the petroleum for working out the wellhead value of the petroleum;

(c)a stated factor for the earlier decision has changed;

(d)any other fact or circumstance fundamental to the earlier decision has changed.

(2)If the Minister proposes to amend the earlier decision in a way that increases the wellhead value of the petroleum, the Minister must—

(a)give notice to the producer that the Minister proposes to make the amendment; and

(b)invite the producer to make submissions about the proposal within—

(i)30 days after the day the Minister gives the producer the notice; or

(ii)if the Minister approves a longer period—the longer period.

(3)In deciding whether to amend the earlier decision, the Minister—

(a)may consider the matters mentioned in section 148D(b) or (c) as if they related to making the amendment; and

(b)if a submission is made by the petroleum producer within the period mentioned in subsection (2)(b) for the submission—must consider the submission.

(4)To remove any doubt, it is declared that if the Minister is satisfied of a matter under subsection (1) for a particular component of the wellhead value to which the earlier decision applies, the amendment may relate wholly or partly to another component of the wellhead value of the petroleum.

(5)The amendment must, for a royalty return period or an annual return period for which the earlier decision applies, be made within 5 years after the day the petroleum royalty for the petroleum to which the earlier decision applies became payable by the producer for the period.

(6)Despite subsection (5), the Minister may amend an earlier decision at any time in a way that increases the wellhead value of the petroleum if the Minister reasonably believes that before the earlier decision was made, the petroleum producer, or a person acting on behalf of the producer—

(a)knowingly misled the Minister, or knowingly caused the Minister to be misled, about a matter relevant for deciding the earlier decision; or

(b)deliberately failed to give the Minister documents or information relevant for deciding the earlier decision.

(7)The Minister can not be compelled to amend an earlier decision in a way that decreases the wellhead value of the petroleum if, for a royalty return period or an annual return period, petroleum royalty was payable for that period.

s 148H ins 2010 SL No. 1 s 4

amd 2014 SL No. 123 s 26

sub 2016 SL No. 25 s 16

148I Notice of amendment

After amending an earlier decision under section 148H, the Minister must give the petroleum producer for the petroleum to which the earlier decision, as amended, applies a notice stating—

(a)the earlier decision has been amended; and

(b)how the earlier decision has been amended; and

(c)the reasons for the amendment; and

(d)if the amendment applies for an earlier return period—that the Minister will reassess the amount of royalty payable by the producer for the earlier return period; and

Note—

See section 599C of the Act and section 148M.

(e)that the producer may apply, under section 148J, to the Minister to review the amendment.

s 148I ins 2010 SL No. 1 s 4

sub 2016 SL No. 25 s 16

148J Application for review of petroleum royalty decision or amendment of petroleum royalty decision

(1)The petroleum producer for petroleum may apply to the Minister to review—

(a)a petroleum royalty decision for the petroleum; or

(b)an amendment, made under section 148H, of a petroleum royalty decision for the petroleum.

(2)The application must—

(a)be in writing; and

(b)state the reasons for requesting the review; and

(c)be lodged at the office of the chief executive.

(3)If the application seeks a review of a petroleum royalty decision, the petroleum producer must lodge it within—

(a)60 days after the day the Minister gives the producer the notice mentioned in section 148E(6); or

(b)if the Minister approves a longer period for lodging the application—the longer period.

(4)If the application seeks a review of an amendment, made under section 148H, of a petroleum royalty decision, the petroleum producer must lodge it within—

(a)60 days after the day the Minister gives the producer the notice mentioned in section 148I; or

(b)if the Minister approves a longer period for lodging the application—the longer period.

s 148J ins 2010 SL No. 1 s 4

sub 2016 SL No. 25 s 16

148K Review decision

(1)If the petroleum producer makes an application (the review application) under section 148J, the Minister must decide the application by affirming or amending the decision or amendment (the original decision).

(2)If the original decision was made by a delegate of the Minister, the delegate must not decide the review application.

(3)In deciding the review application, the Minister may consider any matter mentioned in section 148D(b) or (c) as if that matter related to the review.

s 148K ins 2016 SL No. 25 s 16

148L Notice of review decision

(1)After deciding a review application under section 148K, the Minister must give the applicant a notice stating—

(a)that the Minister has affirmed or amended the original decision; and

(b)if the original decision has been amended—how the decision has been amended; and

(c)the reasons for the Minister’s decision to affirm or amend the original decision; and

(d)if the original decision has been amended and the amended decision applies for an earlier return period—the Minister will reassess the amount of royalty payable for the earlier return period.

Note—

See section 599C of the Act and section 148M.

(2)In this section—

original decision see section 148K(1).

s 148L ins 2016 SL No. 25 s 16

148M Minister must reassess amount of particular petroleum royalty payable

(1)This section applies if—

(a)a petroleum royalty decision (the unamended decision), or an amendment under section 148H or 148K of a petroleum royalty decision, applies for petroleum for an earlier return period; and

(b)the Minister has made an assessment of the amount of petroleum royalty payable for the petroleum by the petroleum producer for the period without having regard to the unamended decision or the amendment.

Note—

If an assessment of the petroleum royalty payable for the petroleum has not been made for the earlier return period, the Minister must make an assessment of the royalty payable for the period, having regard to the unamended decision or amendment, under section 599B of the Act.

(2)The Minister must reassess, under section 599C of the Act, the amount of petroleum royalty payable for the petroleum by the producer for each earlier return period to which the unamended decision or the amendment applies.

(3)Subsection (4) applies if the reassessment period, as defined in section 599C(4) of the Act, has expired in relation to an earlier return period mentioned in subsection (2).

(4)For the purposes of section 599C(5)(b) of the Act, a reassessment required under subsection (2) decreasing the amount of petroleum royalty payable for the petroleum by the producer for the earlier return period must be made after the reassessment period unless—

(a)the petroleum royalty decision was made on the Minister’s own initiative under section 148C; or

(b)all of the following apply—

(i)the reassessment was made because the Minister made the amendment, under section 148H(1), after being reasonably satisfied, for the amendment, of a matter mentioned in the section;

(ii)the Minister considers section 148G applies in relation to that matter;

(iii)the holder failed to comply with the requirement to advise the Minister under section 148G(2) in relation to that matter before the amendment.

s 148M ins 2016 SL No. 25 s 16

sdiv hdg ins 2010 SL No. 1 s 4

149Information to be contained in royalty return

(1)For section 594 (1) of the Act, the information that must be contained in a royalty return is each of the following—

(a)the wellhead value of the petroleum disposed of or, if section 147 (1) (b) applies, produced by the petroleum producer during the royalty return period;

(b)a breakdown of the expenses deducted under section 148 (1) (b) (i) for working out the wellhead value mentioned in paragraph (a);

(c)the amount of any negative wellhead value deducted under section 148 (1) (b) (ii) for working out the wellhead value mentioned in paragraph (a);

(d)for each relevant petroleum product disposed of by the producer during the royalty return period—

(i)the volume of the product disposed of; and

(ii)the amount of any revenue earned by the producer in relation to the product.

(2)The information must be provided using the approved form.

(3)In this section—

relevant petroleum product means—

(a)a petroleum product; and

(b)any other petroleum, or substance derived from petroleum, disposed of by the petroleum producer.

s 149 amd 2008 SL No. 158 s 17; 2011 Act No. 16 s 36; 2011 SL No. 295 s 14; 2014 SL No. 123 s 27

sdiv 4 (ss 149A–149D) ins 2011 SL No. 32 s 6

149AApplication of sdiv 4

This subdivision prescribes for section 599A (2) of the Act the requirements for royalty estimates.

sdiv 4 (ss 149A–149D) ins 2011 SL No. 32 s 6

149BWhat notice must contain

(1)The notice given by the Minister to a petroleum producer under section 599A (1) of the Act (a royalty estimate notice) must include the following—

(a)the period (the estimate period) for which the petroleum producer is to estimate the royalties payable by the petroleum producer under section 590 of the Act;

(b)the day by which the petroleum producer must provide the royalty estimate;

(c)the form in which the petroleum producer must provide the royalty estimate;

(d)a description of the information the petroleum producer must provide in the royalty estimate.

(2)For subsection (1) (d), the information the Minister may ask a petroleum producer to provide in the royalty estimate includes the following—

(a)an estimate of the royalties payable by the petroleum producer under section 590 of the Act for the estimate period;

(b)identification of each relevant petroleum product the petroleum producer expects to dispose of in the estimate period;

(c)for each relevant petroleum product identified for paragraph (b), an estimate of the following for the estimate period—

(i)the volume of the petroleum product the petroleum producer expects to dispose of;

(ii)the amount of any revenue the petroleum producer expects to earn in relation to the petroleum product;

(iii)the amount of allowable deductions the petroleum producer expects to incur in relation to the petroleum product;

(iv)the wellhead value of the petroleum product;

(d)the exchange rate the petroleum producer has assumed for working out the estimate of royalties mentioned in paragraph (a).

(3) Subsection (2) does not limit the information the Minister may ask to be included in the royalty estimate.

(4)In this section—

relevant petroleum product means—

(a)a petroleum product; or

(b)any other petroleum, or substance derived from petroleum, disposed of by the petroleum producer.

sdiv 4 (ss 149A–149D) ins 2011 SL No. 32 s 6

149CForm of and information to be included in royalty estimate

The royalty estimate must—

(a)be in the form stated in the royalty estimate notice; and

(b)include the information asked for in the royalty estimate notice.

sdiv 4 (ss 149A–149D) ins 2011 SL No. 32 s 6

149DMinister may request information to support royalty estimate

(1)The Minister may, by notice to a petroleum producer who has lodged a royalty estimate, ask the petroleum producer to give the Minister, by the day stated in the notice, information to support the matters stated in the royalty estimate.

(2)The Minister may, by notice to a petroleum producer who must provide a royalty estimate under section 599A (2) of the Act, ask the petroleum producer to give the Minister, by the day stated in the notice, additional information about the matters that must be included in the royalty estimate.

(3)If the Minister asks a petroleum producer for information under subsection (1) or (2), the petroleum producer must provide the information by the day stated in the notice.

sdiv 4 (ss 149A–149D) ins 2011 SL No. 32 s 6

sdiv hdg ins 2012 SL No. 169 s 18

149EImposition of civil penalty—Act, s 604A

(1)This section applies if a petroleum producer makes a section 147B election and either—

(a)the petroleum royalty payable for the current royalty return period exceeds the petroleum royalty payable for the previous royalty return period by an amount that is more than 15% of the petroleum royalty payable for the previous royalty return period; or

(b)both of the following apply—

(i)the petroleum royalty payable for the current royalty return period is less than the petroleum royalty payable for the previous royalty return period;

(ii)the total of the petroleum royalty payable for the first month and the second month of the current royalty return period is less than 50% of the total petroleum royalty payable for the current royalty return period.

(2)The producer is liable to the State for an amount (civil penalty) equal to 25% of the default estimate difference, if any, for each month of the current royalty return period for which the producer makes the section 147B election.

(3)For subsection (2), the default estimate difference for a month of the current royalty return period is the difference between—

(a)the amount that would have been payable for the month under section 147A if the producer had not made the section 147B election; and

(b)the amount payable for the month under the section 147B election.

(4)However, if the amount mentioned in subsection (3) (a) is less than the amount mentioned in subsection (3) (b), the default estimate difference for the month is taken to be 0.

(5) Subsection (6) applies if, for the petroleum royalty payable for the current royalty return period—

(a)an assessment is made under the Act, section 599B; or

(b)a reassessment is made under the Act, section 599C.

(6)For subsection (1), the petroleum royalty payable for the current royalty return period is the amount of petroleum royalty payable taking into account the assessment or reassessment.

(7)For subsection (1), a reference to the petroleum royalty payable for the previous royalty return period is a reference to the amount worked out under section 147B (2).

(8)The Minister may remit the whole or part of the civil penalty.

(9)In this section—

current royalty return period see section 147B (1) (a).

section 147B election means an election under section 147B (3) to change the amount payable for the first month or the second month, or both, of the current royalty return period.

s 149E ins 2012 SL No. 169 s 18

amd 2014 SL No. 123 s 28

149FNotice of civil penalty

(1)If a petroleum producer is liable to pay a civil penalty under section 149E, the Minister must give the producer a written notice stating—

(a)the amount of the civil penalty that is payable; and

(b)that the producer must pay the civil penalty on or before the day stated in the notice.

(2)For subsection (1) (b), the day must be at least 28 days after the day the notice is given to the producer.

s 149F ins 2012 SL No. 169 s 18

149GCivil penalty not payable if proceeding for offence started

(1)This section applies if—

(a)a petroleum producer is liable to pay a civil penalty under section 149E because of an act or omission of the producer; and

(b)the act or omission constitutes an offence under the Act.

Example of an act or omission constituting an offence—

giving false or misleading information in contravention of the Act, section 607

(2)If a proceeding is started against the producer for the offence constituted by the act or omission and the civil penalty has not been paid to the State, the civil penalty is payable only if the proceeding against the producer is withdrawn.

(3)If the civil penalty has been paid to the State, but a proceeding is started against the producer for an offence against the Act constituted by the act or omission, the amount of the civil penalty must be remitted in full.

(4)However, if the proceeding against the producer is withdrawn, the civil penalty remitted under subsection (3) again becomes payable by the producer.

s 149G ins 2012 SL No. 169 s 18

amd 2014 SL No. 123 s 29