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PETROLEUM (OFFSHORE) ACT 1982 - SCHEDULE 3

SCHEDULE 3 – Scheme for transitional arrangements

(Section 3 (4))

1 Definitions

(1) In this scheme:

"altered arrangements" means the arrangements agreed on between the Commonwealth, the States and the Northern Territory with respect to the exploration for, and the exploitation of, the petroleum resources of certain submerged lands in lieu of the arrangements provided for by the agreement between the Commonwealth and the States dated 16 October 1967.

"commencing day" means the day on which the Petroleum (Submerged Lands) Amendment Act 1980 of the Parliament of the Commonwealth, or that Act as amended, comes into operation.

"Commonwealth Act" means the Petroleum (Submerged Lands) Act 1967 of the Parliament of the Commonwealth, as amended from time to time.

"Commonwealth jurisdiction" means the areas comprised in the adjacent areas under the Commonwealth Act, as amended to give effect to the altered arrangements.

"new permit" means a permit that is to be deemed, under clause 2 of this scheme, to be in force on and after the commencing day.

"new pipeline licence" means a pipeline licence that is to be deemed, under clause 4 of this scheme, to be in force on and after the commencing day.

"pipeline" includes pumping stations, tank stations and valve stations related to a pipeline.

"State Act" , in relation to a State, means the Act of that State that deals with the exploration for, and the exploitation of, the petroleum resources of submerged land and contains a Schedule substantially corresponding to this Schedule, and includes that Act as amended from time to time.

"State jurisdiction" , in relation to a State, means the area comprised in the adjacent area under the State Act of that State.

"subsisting permit" means an exploration permit for petroleum subsisting under the Commonwealth Act immediately before the commencing day, being a permit in respect of an area that is partly in the Commonwealth jurisdiction and partly in a State jurisdiction.

"subsisting pipeline licence" means a pipeline licence subsisting under the Commonwealth Act immediately before the commencing day, being a pipeline licence in respect of a pipeline that is, or is to be, partly in the Commonwealth jurisdiction and partly in a State jurisdiction.
(2) References in this scheme to a State shall, unless the contrary intention appears, be read as including references to the Northern Territory.

2 Subsisting permits to be deemed to be 2 permits

(1) On and after the commencing day but subject to the law relating to surrender, cancellation, variation or suspension of permits, each subsisting permit shall be deemed to comprise 2 permits, being:
(a) a permit under the Commonwealth Act, in respect of the portion of the permit area that is within the Commonwealth jurisdiction, for the balance of the period of the subsisting permit but otherwise in the same terms as the subsisting permit, and
(b) a permit under the State Act, in respect of the portion of the permit area that is within the State jurisdiction of a State, for the balance of the period of the subsisting permit but otherwise in the same terms as the subsisting permit.
(2) The carrying out of work or the expenditure of money by the permittee in or in relation to the permit area of either of the new permits (whether before or after the commencing day) is to be taken into account as performance to the extent of that work or expenditure of the conditions of both the new permits.
(3) For the purposes of any condition of a new permit relating to the carrying out of work or the expending of moneys by the permittee:
(a) a reference in that condition to a year of the permit shall be read as a reference to a year that was, or would have been, that year of the subsisting permit, and
(b) the new permits shall be deemed to have been in force during the whole of the year of the subsisting permit that is current on the commencing day.
(4) A variation or suspension of, or an exemption from compliance with, any of the conditions of a new permit arising out of a subsisting permit shall not have effect unless the same variation, suspension or exemption is effected in respect of the other new permit arising out of the same subsisting permit.
(5) In a matter arising under a State Act in relation to a new permit, being a matter of a kind that, if it arose under the Commonwealth Act, would be a matter for decision by, or could be referred to, a Joint Authority established under the Commonwealth Act, the Designated Authority under the State Act shall not take action except after consultation with the Commonwealth Minister.

3 Renewal of permits

(1) A person who holds 2 new permits arising out of a subsisting permit may apply under the Commonwealth Act for renewal of the new permit under that Act and may apply under the State Act for renewal of the new permit under that Act, or may make either of those applications.
(2) If a person who was the holder of 2 new permits arising out of a subsisting permit has ceased to be the holder of 1 of those permits, the person may apply under the Commonwealth Act or the State Act, whichever is appropriate, for renewal of the other new permit, and the relevant Act shall apply in relation to such an application as if the new permit had been a permit granted under that Act in respect of the blocks that are comprised in the new permit.
(3) Where the holder of 2 new permits arising out of a subsisting permit wishes to apply for renewal of either or both of the new permits, the blocks that were comprised in the subsisting permit that may be included, in whole or in part, in the application or applications shall be selected in accordance with the Commonwealth Act as if the new permits were 1 permit under the Commonwealth Act and the application or applications were an application under that Act for renewal of that permit.
(4) For the purposes of subclause (3), the Designated Authority under the Commonwealth Act may exercise the Designated Authority's powers under section 31 (5) and (6) of the Commonwealth Act.
(5) An application referred to in subclause (3) under the Commonwealth Act shall relate to the blocks selected in accordance with that subclause, and parts of those blocks, that are within the Commonwealth jurisdiction and an application referred to in that subclause under the State Act shall relate to the blocks so selected, and parts of those blocks, that are within the State jurisdiction.
(6) Subject to the foregoing provisions of this clause, an application under the Commonwealth Act made in accordance with this clause shall be dealt with under the Commonwealth Act and an application under the State Act made in accordance with this clause shall be dealt with under the State Act.
(7) For the purposes of the application, in accordance with this clause, of the provisions of the Commonwealth Act or of a State Act relating to the renewal of permits, a reference in those provisions to compliance with the conditions to which the permit is subject shall be read as including a reference to compliance with the conditions to which the subsisting permit was subject before the commencing day.

4 Subsisting pipeline licences to be deemed to be 2 licences

(1) On and after the commencing day but subject to the law relating to surrender, cancellation or variation of pipeline licences, each subsisting pipeline licence shall be deemed to comprise 2 pipeline licences, being:
(a) a pipeline licence under the Commonwealth Act, in respect of the portion of the pipeline that is, or is to be, within the Commonwealth jurisdiction, for the balance of the period of the subsisting pipeline licence but otherwise in the same terms as the subsisting pipeline licence, but so that those terms shall have effect only to the extent that they are applicable to or in relation to the portion of the pipeline that is, or is to be, within the Commonwealth jurisdiction, and
(b) a pipeline licence under the State Act, in respect of the portion of the pipeline that is, or is to be, within the State jurisdiction of a State, for the balance of the period of the subsisting pipeline licence but otherwise in the same terms as the subsisting pipeline licence, but so that those terms shall have effect only to the extent that they are applicable to or in relation to the portion of the pipeline that is, or is to be, within that State jurisdiction.
(2) For the purposes of the application, in relation to a new pipeline licence, of the provisions of the Commonwealth Act or of a State Act relating to the renewal of pipeline licences, a reference in those provisions to compliance with the conditions to which the pipeline licence is subject shall be read as including a reference to compliance with the conditions to which the subsisting pipeline licence was subject before the commencing day.

5 Transfer of permits and pipeline licences

A transfer of a new permit arising out of a subsisting permit or of a new pipeline licence arising out of a subsisting pipeline licence shall not be made unless a transfer to the same transferee of the other new permit or new pipeline licence arising out of that subsisting permit or subsisting pipeline licence (if that other permit or licence is still in force) is made at the same time and neither of such transfers has effect before the other transfer has been approved in accordance with the Commonwealth Act, or the relevant State Act, as the case requires.

6 Preservation of existing interests and rights

All legal and equitable interests and rights that existed immediately before the commencing day in or in relation to a subsisting permit or subsisting pipeline licence, to the extent that those interests or rights were applicable in relation to the permit area of a new permit arising out of that subsisting permit, or to the portion of the pipeline to which a new pipeline licence arising out of that subsisting pipeline licence relates, shall be deemed to continue in or in relation to that new permit or new pipeline licence.

7 Saving of approvals etc

Every approval, consent or direction given before the commencing day under or in relation to a subsisting permit or subsisting pipeline licence has effect, on and after the commencing day, in relation to each new permit or new pipeline licence arising out of that subsisting permit or subsisting pipeline licence, as if it were a corresponding approval, consent or direction given under or in relation to that new permit or new pipeline licence.

8 Existing Register

The Register kept and maintained by the Designated Authority for the purposes of the Commonwealth Act immediately before the commencing day shall continue to be the Register for the purposes of the Commonwealth Act and, except as provided in clause 9 of this scheme, shall cease on that day to be the Register for the purposes of a State Act.

9 Registration of, and of instruments relating to, subsisting permits and pipeline licences

(1) This clause applies to:
(a) every instrument being a subsisting permit or subsisting pipeline licence, and
(b) any instrument by which such a permit or licence has been transferred or by which a legal or equitable interest in or affecting such a permit or licence has or may have been created, assigned, affected or dealt with, being an instrument in respect of which an entry or notation has been made before the commencing day in the Register kept for the purposes of the Commonwealth Act.
(2) On the commencing day, the Designated Authority under the Commonwealth Act shall forthwith make such entries in the Register referred to in subclause (1) and on copies of instruments to which this clause applies that are kept by the Designated Authority as the Designated Authority thinks appropriate to indicate that instruments to which this clause applies have effect subject to the provisions of this scheme.
(3) For the purposes of a State Act but subject to subclause (4), the Commonwealth Register shall be deemed to be the State Register in relation to instruments to which this clause applies to the extent that they have effect under a State Act in accordance with this scheme, transfers of interests under such instruments, and instruments by which legal or equitable interests in or affecting interests under such instruments are, or may be, created.
(4) The Designated Authority under a State Act may, if he thinks fit to do so, make entries in the Register kept by the Designated Authority under the State Act, in accordance with the State Act, in respect of a subsisting permit or subsisting pipeline licence that has effect, in accordance with this scheme, under the law of the State, and if he does so:
(a) he shall make an appropriate entry of the kind referred to in subclause (2), and
(b) the Commonwealth Register shall cease to be deemed to be the State Register in relation to that permit or licence to the extent that it has effect under the State Act in accordance with this scheme, or in relation to instruments of the kind referred to in subclause (3) affecting that permit or licence as so having effect.

10 Fees

In the application in relation to, or to transactions in respect of, a new permit or new pipeline licence of the laws of the Commonwealth and of the States relating to fees:

(a) a reference to a year of the term of the permit or licence shall be read as a reference to a year that would have been a year of the term of the subsisting permit or subsisting pipeline licence commencing on or after the commencing day,
(b) fees in respect of a year of the term of the subsisting permit or subsisting pipeline licence that commenced before the commencing day and not paid before the commencing day shall be payable in accordance with the law that was in force immediately before that day, and
(c) a person is not liable to pay by way of such fees in respect of any year or transaction a greater total amount than would have been payable if the subsisting permit or subsisting pipeline licence had continued in force and the whole of the permit area, or the whole of the pipeline, had been within the Commonwealth jurisdiction.



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