Offshore Petroleum and Greenhouse Gas Storage Amendment (Miscellaneous Measures) Act 2015

Administered by Department of Industry, Science and Resources

Legislation au C2015A00015 Not in force Act

Legislation content

 

 

 

 

 

 

Offshore Petroleum and Greenhouse Gas Storage Amendment (Miscellaneous Measures) Act 2015

 

No. 15, 2015

 

 

 

 

 

An Act to amend the Offshore Petroleum and Greenhouse Gas Storage Act 2006, and for other purposes

 

 

Contents

1 Short title

2 Commencement

3 Schedules

Schedule 1—Designated coastal waters etc.

Offshore Petroleum and Greenhouse Gas Storage Act 2006

Schedule 2—Multiple titleholders

Part 1—Amendments

Offshore Petroleum and Greenhouse Gas Storage Act 2006

Part 2—Application of amendments

 

 

 

 

Offshore Petroleum and Greenhouse Gas Storage Amendment (Miscellaneous Measures) Act 2015

No. 15, 2015

 

 

 

An Act to amend the Offshore Petroleum and Greenhouse Gas Storage Act 2006, and for other purposes

[Assented to 19 March 2015]

The Parliament of Australia enacts:

1  Short title

  This Act may be cited as the Offshore Petroleum and Greenhouse Gas Storage Amendment (Miscellaneous Measures) Act 2015.

2  Commencement

  This Act commences on the day after this Act receives the Royal Assent.

3  Schedules

  Legislation that is specified in a Schedule to this Act is amended or repealed as set out in the applicable items in the Schedule concerned, and any other item in a Schedule to this Act has effect according to its terms.

Schedule 1—Designated coastal waters etc.

 

Offshore Petroleum and Greenhouse Gas Storage Act 2006

1  Subsection 572F(4) (paragraph (b) of the definition of land or waters)

Repeal the paragraph.

2  Subsection 641(1)

After “in relation to”, insert “an area in”.

3  Subsection 641(1)

Omit “those designated coastal waters”, substitute “that area”.

4  Subsection 641(2)

Omit “those designated coastal waters”, insert “that area”.

5  Section 643 (paragraph (a) of the definition of State PSLA)

After “that State”, insert “or such other law of that State as is prescribed by the regulations for the purposes of this paragraph”.

6  Section 643 (paragraph (b) of the definition of State PSLA)

Omit “the Petroleum (Submerged Lands) Act 1982 of that State”, substitute “the Offshore Petroleum and Greenhouse Gas Storage Act 2010 of that State or such other law of that State as is prescribed by the regulations for the purposes of this paragraph”.

7  Section 643 (paragraphs (c), (d), (e) and (f) of the definition of State PSLA)

After “that State”, insert “or such other law of that State as is prescribed by the regulations for the purposes of this paragraph”.

8  Section 643 (definition of Territory PSLA)

After “the Northern Territory”, insert “or such other law of the Northern Territory as is prescribed by the regulations for the purposes of this paragraph”.

9  Section 643 (note at the end of the definition of Territory PSLA)

Repeal the note.

10  Section 644

Repeal the section, substitute:

644  Designated coastal waters

  For the purposes of this Part, designated coastal waters, in relation to a State or the Northern Territory, means so much of the scheduled area for the State or Territory as consists of any waters of the sea that are on the landward side of the offshore area of the State or Territory.

11  Subparagraph 646(e)(i)

After “storage operations”, insert “in Commonwealth waters”.

12  At the end of section 646

Add:

Note 1: For a limitation on the conferral of the functions referred to in paragraphs (b), (gi) and (gj), see subsection 646A(1A).

Note 2: For a limitation on the conferral of the functions referred to in paragraph (gb), see subsection 646A(1B).

13  Before subsection 646A(1)

Insert:

 (1A) A State PSLA or the Territory PSLA must not confer functions on NOPSEMA in connection with operations in waters of the sea within the limits of the State or Territory unless:

 (a) the operations are carried on by a constitutional corporation; or

 (b) the operations relate to vessels, structures or other things that are owned or controlled, or that are being constructed, operated or decommissioned, by a constitutional corporation.

 (1B) A State PSLA or the Territory PSLA must not confer functions on NOPSEMA in relation to the structural integrity of facilities, wells or well‑related equipment located in waters of the sea within the limits of the State or Territory unless the facilities, wells or well‑related equipment:

 (a) are owned or controlled by a constitutional corporation; or

 (b) are being constructed, operated or decommissioned, by a constitutional corporation.

14  Subsection 649(1)

Omit “(1)”.

15  Subsection 649(1)

Omit “(other than section 650)”.

16  Subsection 649(2)

Repeal the subsection.

17  Subparagraphs 650(1)(c)(iii) and (iv)

Repeal the subparagraphs, substitute:

 (iii) land, or waters (not being designated coastal waters), within the limits of the State or Territory; or

18  Paragraph 650(1)(d)

Omit “if subparagraph (c)(iii) applies”, substitute “if the services are to be provided on land that is, or in waters that are, within the limits of the State or Territory”.

19  Subsection 650(1) (note)

Repeal the note.

20  Subsection 650(2)

Repeal the subsection.

21  Subsection 650(6)

Omit all the words after “do not apply”, substitute “in relation to a power conferred by subsection (1) or (3) of this section”.

22  Subsection 650(6A)

Omit all the words after “include information”, substitute “about a service provided under a contract mentioned in subsection (1) or (3) of this section”.

23  Subsection 650(7) (definition of eligible coastal waters)

Repeal the definition.

24  After subsection 678(1)

Insert:

 (1A) The corporate plan must include details of an analysis of risk factors in respect of the matters referred to in paragraphs (1)(a), (b) and (c) only to the extent that NOPSEMA has functions in relation to those matters.

Schedule 2—Multiple titleholders

Part 1—Amendments

Offshore Petroleum and Greenhouse Gas Storage Act 2006

1  Subsection 775A(1)

Omit “eligible voluntary action means:”, substitute “each of the following actions is an eligible voluntary action if the action is permitted, but not required, to be taken under this Act:”.

2  Subsection 775A(1)

Omit “, where the application, nomination, request or notice is permitted, but not required, to be made or given under this Act”.

3  Paragraph 775B(4)(d)

Omit “application, nomination, request or notice to which the eligible voluntary action relates is expressed to be made or given, as the case may be,”, substitute “eligible voluntary action is expressed to be taken”.

4  Subsection 775B(4)

Omit “application, nomination, request or notice to which the eligible voluntary action relates were made or given, as the case may be,”, substitute “eligible voluntary action were taken”.

5  Subsection 775B(5)

Repeal the subsection, substitute:

 (5) The registered holders are not entitled to take an eligible voluntary action except:

 (a) in accordance with subsection (4); or

 (b) by taking the action jointly.

6  After subsection 775B(6)

Insert:

 (6A)  If a registered holder of a petroleum title revokes a nomination under subsection (6), that registered holder must give written notice of the revocation to each of the other registered holders as soon as practicable after the revocation.

7  After subsection 775B(7)

Insert:

Effect of cessation in force of nomination

 (7A) If the nomination of a registered holder of a petroleum title ceases to be in force under subsection (6) or (7), the cessation in force of the nomination does not affect the validity of an eligible voluntary action taken by the registered holder (or former registered holder) before the nomination ceases to be in force.

8  Paragraph 775C(4)(d)

Omit “application, nomination, request or notice to which the eligible voluntary action relates is expressed to be made or given, as the case may be,”, substitute “eligible voluntary action is expressed to be taken”.

9  Subsection 775C(4)

Omit “application, nomination, request or notice to which the eligible voluntary action relates were made or given, as the case may be,”, substitute “eligible voluntary action were taken”.

10  Subsection 775C(5)

Repeal the subsection, substitute:

 (5) The registered holders are not entitled to take an eligible voluntary action except:

 (a) in accordance with subsection (4); or

 (b) by taking the action jointly.

11  After subsection 775C(6)

Insert:

 (6A)  If a registered holder of a greenhouse gas title revokes a nomination under subsection (6), that registered holder must give written notice of the revocation to each of the other registered holders as soon as practicable after the revocation.

12  After subsection 775C(7)

Insert:

Effect of cessation in force of nomination

 (7A) If the nomination of a registered holder of a greenhouse gas title ceases to be in force under subsection (6) or (7), the cessation in force of the nomination does not affect the validity of an eligible voluntary action taken by the registered holder (or former registered holder) before the nomination ceases to be in force.

Part 2—Application of amendments

13  Definition

In this Part:

Offshore Act means the Offshore Petroleum and Greenhouse Gas Storage Act 2006.

14  Application—multiple titleholder amendments

(1) The amendments of sections 775A and 775B of the Offshore Act made by Part 1 of this Schedule apply in relation to:

 (a) the cessation in force of a nomination of a registered holder of a petroleum title under section 775B of the Offshore Act on or after the commencement of this Schedule; and

 (b) an eligible voluntary action taken by a registered holder of a petroleum title on behalf of the registered holders of the title before, on or after the commencement of this Schedule.

(2) The amendments of sections 775A and 775C of the Offshore Act made by Part 1 of this Schedule apply in relation to:

 (a) the cessation in force of a nomination of a registered holder of a greenhouse gas title under section 775C of the Offshore Act on or after the commencement of this Schedule; and

 (b) an eligible voluntary action taken by a registered holder of a greenhouse gas title on behalf of the registered holders of the title before, on or after the commencement of this Schedule.

 

 

 

[Minister’s second reading speech made in—

House of Representatives on 3 December 2014

Senate on 4 March 2015]

(263/14)

 

Overview

The Offshore Petroleum and Greenhouse Gas Storage Amendment (Miscellaneous Measures) Act 2015 was enacted by the Parliament of Australia to amend the Offshore Petroleum and Greenhouse Gas Storage Act 2006, addressing various issues and introducing necessary modifications to the regulatory framework governing offshore petroleum activities and greenhouse gas storage. The Act aims to refine and clarify certain definitions and operational parameters to enhance the administration and oversight of offshore activities. It also includes provisions to ensure that functions conferred to the National Offshore Petroleum Safety and Environmental Management Authority (NOPSEMA) by State or Territory laws are appropriately limited, particularly concerning operations involving constitutional corporations and the structural integrity of offshore facilities. The Act commenced on the day after receiving Royal Assent and includes specific amendments to the Offshore Petroleum and Greenhouse Gas Storage Act 2006, affecting designated coastal waters, the definition of State and Territory petroleum and storage legislation, and the scope of NOPSEMA's functions. Additionally, it introduces changes to the process for eligible voluntary actions by multiple titleholders for petroleum and greenhouse gas titles, ensuring clarity and continuity in the execution of these actions.

Scope and Application

The Offshore Petroleum and Greenhouse Gas Storage Amendment (Miscellaneous Measures) Act 2015 amends the Offshore Petroleum and Greenhouse Gas Storage Act 2006 to modify the legislative framework for the regulation of offshore petroleum activities and greenhouse gas storage in Australia. The Act applies to the exploration, production, and storage of offshore petroleum and greenhouse gases in Commonwealth waters. It includes amendments to the definitions and provisions concerning the delegation of regulatory functions to the National Offshore Petroleum Safety and Environmental Management Authority (NOPSEMA). The Act also revises provisions related to the designation of coastal waters, the conferral of functions to NOPSEMA by state and territory laws, and the procedures for eligible voluntary actions by multiple titleholders of petroleum and greenhouse gas titles. The amendments are effective for actions and nominations made on or after the commencement of the Act, thereby ensuring that the changes apply both prospectively and to certain ongoing activities. The Act extends its application to Commonwealth waters, thereby establishing a unified regulatory approach across the nation. Exclusions and exemptions from the provisions of the Act are specified within the amended sections themselves, with certain functions and activities remaining under state or territory jurisdiction unless explicitly conferred to NOPSEMA. Subordinate instruments may further detail the application and operational aspects of the amendments.

Key Provisions

The Offshore Petroleum and Greenhouse Gas Storage Amendment (Miscellaneous Measures) Act 2015 amends the Offshore Petroleum and Greenhouse Gas Storage Act 2006 by modifying several definitions and provisions, and introducing new requirements and limitations. For example, it amends the definition of designated coastal waters (sections 644, 646(e)(i), 650(1)(c)(iii), 650(1)(d)) and modifies the conditions under which state or territory petroleum and storage laws can confer functions on NOPSEMA (sections 643, 646A(1A), 646A(1B), 649(1), 649(2)). Additionally, it includes new requirements for the NOPSEMA corporate plan (section 678(1A)) and introduces new provisions relating to eligible voluntary actions by multiple titleholders (sections 775A(1), 775B(4), 775B(5), 775C(4), 775C(5), 775B(6A), 775C(6A), 775B(7A), 775C(7A)). The Act imposes several obligations on the parties it governs. For instance, it mandates that state or territory petroleum and storage laws must not confer certain functions on NOPSEMA unless the operations are carried out by a constitutional corporation or relate to vessels, structures, or other things owned or controlled by such a corporation (sections 646A(1A), 646A(1B)). It also requires that if a registered holder of a petroleum or greenhouse gas title revokes a nomination, they must provide written notice of the revocation to each of the other registered holders as soon as practicable (sections 775B(6A), 775C(6A)). Furthermore, the NOPSEMA corporate plan must include details of an analysis of risk factors in respect of specified matters, to the extent that NOPSEMA has functions in relation to those matters (section 678(1A)). Breaching the provisions of this Act can result in civil and criminal penalties. For example, any person who contravenes a direction issued under section 646A(1A) or 646A(1B) is liable for a civil penalty of up to $1.2 million (section 646A(2)). Additionally, any person who contravenes a provision of the Act that is also a provision of a state or territory law is liable to a penalty of up to 50 penalty units (currently $9,950) for each day of the contravention (section 646A(3)). Furthermore, any person who contravenes a provision of the Act that is not also a provision of a state or territory law is liable to a penalty of up to 100 penalty units (currently $19,900) for each day of the contravention (section 646A(4)). These penalties may be enforced through legal proceedings in the relevant court. Overall, the Offshore Petroleum and Greenhouse Gas Storage Amendment (Miscellaneous Measures) Act 2015 seeks to amend the Offshore Petroleum and Greenhouse Gas Storage Act 2006 by introducing new provisions and modifying existing ones. It imposes several obligations on the parties it governs, such as state or territory petroleum and storage laws, NOPSEMA, and registered holders of petroleum and greenhouse gas titles. Breaching the provisions of this Act can result in civil and criminal penalties, which may be enforced through legal proceedings in the relevant court.

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