Commonwealth Consolidated Acts

OFFSHORE PETROLEUM AND GREENHOUSE GAS STORAGE ACT 2006 - SECT 349

Scope

  (1)   This section applies if an application to renew a greenhouse gas holding lease has been made under section   347.

Refusal on grounds of non - compliance with conditions

  (2)   If:

  (a)   any of:

  (i)   the conditions to which the greenhouse gas holding lease is, or has from time to time been, subject; or

  (ii)   the provisions of this Chapter, Chapter   5, Chapter   5A, Chapter   6 and Part   8.1; or

  (iii)   the provisions of the regulations;

    have not been complied with; and

  (b)   the responsible Commonwealth Minister is not satisfied that there are sufficient grounds to warrant the granting of the renewal of the greenhouse gas holding lease;

the responsible Commonwealth Minister must, by written notice given to the applicant, refuse to renew the lease.

Note:   Consultation procedures apply--see section   434.

Refusal on grounds that the applicant is in a position to inject and permanently store a greenhouse gas substance

  (3)   If the responsible Commonwealth Minister is satisfied that the applicant is, at the time of the application, in a position to:

  (a)   inject a greenhouse gas substance into the identified greenhouse gas storage formation, or at least one of the identified greenhouse gas storage formations, concerned; and

  (b)   permanently store the greenhouse gas substance in the identified greenhouse gas storage formation, or at least one of the identified greenhouse gas storage formations, concerned;

the responsible Commonwealth Minister must, by written notice given to the applicant, refuse to renew the lease.

Note:   Consultation procedures apply--see section   434.

  (4)   If:

  (a)   the responsible Commonwealth Minister makes a decision under subsection   (3) refusing to renew the lease; and

  (b)   a notice of refusal is given to the applicant; and

  (c)   within 12 months after the notice was given, the lessee applies for a greenhouse gas injection licence over one or more of the blocks comprised in the lease; and

  (d)   the lease would, apart from this subsection, expire:

  (i)   before the responsible Commonwealth Minister grants, or refuses to grant, the greenhouse gas injection licence; or

  (ii)   before the application lapses;

the lease continues in force until:

  (e)   the responsible Commonwealth Minister grants, or refuses to grant, the greenhouse gas injection licence; or

  (f)   the application lapses;

whichever happens first.

  (5)   If:

  (a)   the responsible Commonwealth Minister makes a decision under subsection   (3) refusing to renew the lease; and

  (b)   a notice of refusal is given to the applicant; and

  (c)   subsection   (4) does not apply; and

  (d)   the lease would, apart from this subsection, expire within 12 months after the notice was given;

the lease continues in force until the end of the 12 - month period beginning on the day on which the notice was given.

  (6)   Subsections   (4) and (5) have effect subject to this Chapter but despite section   322.

Note:   See the notes at the end of section   322.

Refusal on other grounds

  (7)   The responsible Commonwealth Minister must, by written notice given to the applicant, refuse to renew the lease if the responsible Commonwealth Minister is not satisfied that the technical advice and financial resources available to the applicant are sufficient to:

  (a)   carry out the operations and works that will be authorised by the lease; and

  (b)   discharge the obligations that will be imposed under this Act, or a legislative instrument under this Act, in relation to the lease.

Note:   Consultation procedures apply--see section   434.

  (8)   The responsible Commonwealth Minister may, by written notice given to the applicant, refuse to renew the lease if the responsible Commonwealth Minister is not satisfied of the matters (if any) prescribed by the regulations.

Note:   Consultation procedures apply--see section   434.