Cadia Holdings Pty Ltd & Anor v State of New South Wales & Anor

Cadia Holdings Pty Ltd and Cadia Pty Ltd (the appellants) brought proceedings against the State of New South Wales and the Minister for Planning (the respondents) concerning the interpretation of a statutory instrument. The dispute centred on whether the appellants were entitled to compensation under the *Mining Act 1992* (NSW) for the extinguishment of their mining rights by a State Environmental Planning Policy.

The High Court of Australia was required to determine whether the State Environmental Planning Policy, which effectively prohibited the extraction of minerals within a specified area, constituted an "acquisition of property" for the purposes of section 51(xxxi) of the *Commonwealth Constitution*. The Court also had to consider whether, if it was an acquisition of property, it was upon "just terms" as required by that constitutional provision, and whether the *Mining Act 1992* (NSW) provided a right to compensation in these circumstances.

The Court held that the extinguishment of the appellants' mining rights did not constitute an acquisition of property for the purposes of section 51(xxxi) of the *Commonwealth Constitution*. Their Honours reasoned that the *Mining Act 1992* (NSW) did not confer an absolute or indefeasible right to mine, but rather a licence or privilege that was subject to other legislative regimes, including environmental planning laws. The Court found that the State Environmental Planning Policy did not acquire the appellants' property, but rather regulated its use and enjoyment, and that the *Mining Act 1992* (NSW) did not provide for compensation in such a scenario.

The appeal was dismissed.