Section 102 of the Principal Act is amended as follows:

(a) by omitting subsections (1) and (2) and substituting the following subsections:

(1)  Subject to subsection (1B), a lessee must pay royalty at a prescribed rate in respect of a mineral sold under a lease.

(1A)  Subject to subsection (1B), a licensee must pay royalty at a prescribed rate in respect of a mineral sold under a licence.

(1B)  A lessee or a licensee must pay royalty calculated at a prescribed rate in respect of a mineral sold under a lease or licence for –

(a) the years commencing 1 July 1996, 1 July 1997 and 1 July 1998; and

(b) any year commencing on or after 1 July 1999.

(1C)  The maximum rate of royalty payable under subsection (1B) is the prescribed maximum rate.

(2)  Royalty is payable –

(a) from the date on which any mineral recovered under a lease or a licence is sold; and

(b) by the prescribed date and in respect of the prescribed period.

(b) by inserting the following subsection after subsection (4) :

(4A)  The Minister may waive all or part of any interest payable under subsection (4), vary that rate of interest or defer payment of all or part of that interest.

(c) by omitting subsection (7) and substituting the following subsection:

(7)  The Minister may waive all or part of royalty payable, vary the rate of royalty payable or defer payment of all or part of royalty payable in respect of any mineral recovered under a lease in respect of Crown land or private land if –

(a) the mineral recovered vests in the Crown; and

(b) the Minister is satisfied that the mineral is being used for a community purpose approved by the Minister.