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OFFSHORE PETROLEUM AND GREENHOUSE GAS STORAGE ACT 2006 - SECT 586

Remedial directions in relation to permits, leases and licences that are in force--NOPSEMA

Scope

  (1)   This section applies to:

  (a)   a petroleum exploration permit; or

  (b)   a petroleum retention lease; or

  (c)   a petroleum production licence; or

  (d)   an infrastructure licence; or

  (e)   a pipeline licence.

Direction to registered holder

  (2)   NOPSEMA may, by written notice given to a person referred to in subsection   (2A), direct the person to do any or all of the following things on or before the applicable date:

  (a)   to:

  (i)   remove, or cause to be removed, from the title area all property brought into that area by any person engaged or concerned in the operations authorised by the permit, lease or licence; or

  (ii)   make arrangements that are satisfactory to NOPSEMA in relation to that property;

  (b)   to plug or close off, to the satisfaction of NOPSEMA, all wells made in the title area by any person engaged or concerned in those operations;

  (c)   to provide, to the satisfaction of NOPSEMA, for the conservation and protection of the natural resources in the title area;

  (d)   to make good, to the satisfaction of NOPSEMA, any damage to the seabed or subsoil in the title area caused by any person engaged or concerned in those operations.

Note 1:   For applicable date and title area , see subsection   (6).

Note 2:   For variation and revocation, see subsection   33(3) of the Acts Interpretation Act 1901 .

Note 3:   A direction under this section has no effect to the extent of any inconsistency with a direction under section   586A: see subsection   586A(9).

Note 4:   Breach of a direction may attract a criminal or civil penalty: see section   587B.

  (2A)   The persons are:

  (a)   the registered holder of the permit, lease or licence; or

  (b)   a related body corporate of the registered holder of the permit, lease or licence; or

  (c)   any former registered holder of the permit, lease or licence; or

  (d)   a person who was a related body corporate of any former registered holder of the permit, lease or licence at the time the permit, lease or licence was in force; or

  (e)   a person to whom a determination under subsection   (2B) applies.

  (2B)   The responsible Commonwealth Minister may make a written determination that this subsection applies to a person if, having regard to the following matters, the responsible Commonwealth Minister is satisfied on reasonable grounds that it is appropriate to do so:

  (a)   whether the person is capable of significantly benefiting financially, or has significantly benefited financially, from the operations authorised by the permit, lease or licence;

  (b)   whether the person is, or has been at any time, in a position to influence the way in which, or the extent to which, a person is complying, or has complied, with the person's obligations under this Act;

  (c)   whether the person acts or acted jointly with the registered holder, or a former holder, of the permit, lease or licence in relation to the operations authorised by the permit, lease or licence.

  (2C)   A determination under subsection   (2B) is not a legislative instrument.

  (2D)   If a direction is given under subsection   (2) to a person referred to in paragraph   (2A)(b), (c), (d) or (e), NOPSEMA must give a copy of the direction to the registered holder of the permit, lease or licence as soon as practicable after the direction is given.

  (3)   In attaining a state of satisfaction for the purposes of paragraph   (2)(b), NOPSEMA:

  (a)   in the case of a declared petroleum exploration permit, declared petroleum retention lease or declared petroleum production licence--must have regard; or

  (b)   otherwise--may have regard;

to the principle that plugging or closing off wells should be carried out in a way that restores or maintains the suitability of a part of a geological formation for the permanent storage of greenhouse gas substances.

  (4)   Paragraph   (2)(c) has effect subject to:

  (a)   Chapter   2; and

  (b)   this Chapter; and

  (c)   the regulations.

Applicable date and title area

  (6)   For the purposes of this section, the table has effect:

 

Applicable date and title area

Item

In the case of...

the applicable date is...

and the title area is...

1

a petroleum exploration permit

the expiry date of the permit

the permit area.

2

a petroleum retention lease

the expiry date of the lease

the lease area.

3

a fixed - term petroleum production licence

the expiry date of the licence

the licence area.

4

a petroleum production licence that is not a fixed - term petroleum production licence

the first date on which the licence can be terminated under this Act

the licence area.

5

an infrastructure licence

the first date on which the licence can be terminated under this Act

the licence area.

6

a pipeline licence

the first date on which the licence can be terminated under this Act

the part of the offshore area in which the pipeline is constructed.

  (7)   A notice under subsection   (2) need not identify the applicable date as a particular calendar date.


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