Commonwealth Consolidated Acts

OFFSHORE PETROLEUM AND GREENHOUSE GAS STORAGE ACT 2006 - SECT 586A

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)   The responsible Commonwealth Minister 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 plug or close off, to the satisfaction of the responsible Commonwealth Minister, all wells made in the title area by any person engaged or concerned in the operations authorised by the permit, lease or licence;

  (b)   to provide, to the satisfaction of the responsible Commonwealth Minister, for the conservation and protection of the natural resources in the title area;

  (c)   to make good, to the satisfaction of the responsible Commonwealth Minister, any damage to the seabed or subsoil in the title area caused by any person engaged or concerned in those operations;

so long as the direction is given for a purpose that relates to:

  (d)   resource management; or

  (e)   resource security.

Note 1:   For applicable date and title area , see subsection   (7).

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

Note 3:   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), the responsible Commonwealth Minister 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)(a), the responsible Commonwealth Minister:

  (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)(b) has effect subject to:

  (a)   Chapter   2; and

  (b)   this Chapter; and

  (c)   the regulations.

Applicable date and title area

  (7)   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.

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

Inconsistency

  (9)   If a direction under section   586 is inconsistent with a direction under this section, the direction under section   586 has no effect to the extent of the inconsistency.