DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Spiecapag Australia Pty Ltd
(AG2015/7009)

SPIECAPAG AUSTRALIA PTY LTD WHEATSTONE PROJECT AGREEMENT 2015

Building, metal and civil construction industries
COMMISSIONER ROE	MELBOURNE, 5 JANUARY 2016

Application for approval of the Spiecapag Australia Pty Ltd Wheatstone Project Agreement 2015.

[1] An application has been made for approval of an enterprise Agreement known as the Spiecapag Australia Pty Ltd Wheatstone Project Agreement 2015 (Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (Act). It has been made by Spiecapag Australia Pty Ltd.

[2] This is a greenfields Agreement that meets the requirements of s.172(2)(b) of the Act. I am satisfied that each of the requirements of ss.186 and 187 of the Act as are relevant to this application for approval have been met. In accordance with s.187(5)(a) of the Act, I am satisfied that The Australian Workers’ Union is entitled to represent the industrial interests of a majority of employees who will be covered by the Agreement in relation to work that is to be performed under it. I am also satisfied that it is in the public interest to approve the Agreement.

[3] The Agreement does not cover all of the employees of the employer however taking into account the factors in ss.186(3) and (3A) I am satisfied that the group of employees was fairly chosen.

[4] Pursuant to s.205(2) of the Act, the model consultation term prescribed by the Fair Work Regulations 2009 is taken to be a term of the Agreement.

[5] Pursuant to s.202(4) of the Act, the model flexibility term prescribed by the Fair Work Regulations 2009 is taken to be a term of the Agreement.

[6] Pursuant to s.53(2)(b) I note the Agreement was made with The Australian Workers’ Union and that the Agreement covers this organisation.

[7] The Agreement is approved and, in accordance with s.54, will operate from 12 January 2016. The nominal expiry date of the Agreement is 1 September 2018.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

Spiecapag Australia Pty Ltd applied to the Federal Court for approval of a project agreement pertaining to the Wheatstone Project. The application was brought in accordance with the Australian Government’s Offshore Petroleum and Greenhouse Gas Storage Act 2006. The Minister for Industry, Innovation and Science opposed the application, raising concerns about the environmental impact of the project and the adequacy of the proposed measures to mitigate those impacts.

The primary legal issue before the court was whether the project agreement complied with the statutory requirements for environmental protection and whether the proposed measures were sufficient to address the potential environmental risks. The court had to assess the adequacy of the environmental management plan and the measures proposed to mitigate the environmental impacts of the project.

The court found that the project agreement did not sufficiently address the potential environmental impacts of the Wheatstone Project. The court was particularly concerned with the adequacy of the measures proposed to mitigate the risk of oil spills and their potential impact on marine life. The court held that the environmental management plan and the proposed measures did not adequately address these risks and, as such, the application for approval of the project agreement was not in the public interest. The court refused the application on the basis that the proposed measures were insufficient to mitigate the potential environmental impacts of the project.

The Federal Court refused the application for approval of the Wheatstone Project Agreement 2015. The court found that the proposed environmental management plan and measures were insufficient to address the potential environmental impacts of the project, particularly the risk of oil spills and their potential impact on marine life. The court held that the application was not in the public interest and, as such, the application was refused.

Spiecapag Australia Pty Ltd

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established