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OFFSHORE PETROLEUM AND GREENHOUSE GAS STORAGE ACT 2006 - SECT 587

Remedial directions in relation to permits, leases, licences and authorities that have wholly or partly ceased to be in force--NOPSEMA

Scope

  (1)   This section applies if any of the following permits, leases, licences or authorities (each of which is a title ) cease to be in force, in whole or in part:

  (a)   a petroleum exploration permit;

  (b)   a petroleum retention lease;

  (c)   a petroleum production licence;

  (d)   an infrastructure licence;

  (e)   a pipeline licence;

  (f)   a petroleum special prospecting authority;

  (g)   a petroleum access authority.

Direction

  (2)   NOPSEMA may, by written notice given to a person referred to in subsection   (2A), direct the person to do one or more of the following things within the period specified in the notice:

  (a)   to remove, or cause to be removed, from the vacated area all property (the relevant property ) brought into that area by any person engaged or concerned in the operations authorised by the title;

  (b)   to make arrangements that are satisfactory to NOPSEMA in relation to the relevant property;

  (c)   to plug or close off, to the satisfaction of NOPSEMA, all wells made in the vacated area by any person engaged or concerned in the operations authorised by the title;

  (d)   to provide, to the satisfaction of NOPSEMA, for the conservation and protection of the natural resources in the vacated area;

  (e)   to make good, to the satisfaction of NOPSEMA, any damage to the seabed or subsoil in the vacated area caused by any person engaged or concerned in the operations authorised by the title.

Note 1:   A direction under this section has no effect to the extent of any inconsistency with a direction under section   587A: see subsection   587A(8).

Note 2:   Breach of a direction may attract a criminal or civil penalty: see section   587B.

  (2A)   The persons are:

  (a)   if the title ceased to be in force in part:

  (i)   the registered holder of the title; or

  (ii)   a related body corporate of the registered holder of the title; or

  (b)   if the title ceased to be in force in whole or in part:

  (i)   any former registered holder of the title; or

  (ii)   a person who was a related body corporate of any former registered holder of the title at the time the title was in force; or

  (iii)   a person to whom a determination under subsection   (2B) applies.

  (2B)   The responsible Commonwealth Minister may make a written determination that this subsection applies to a person if, having regard to the following matters, the responsible Commonwealth Minister is satisfied on reasonable grounds that it is appropriate to do so:

  (a)   whether the person is capable of significantly benefiting financially, or has significantly benefited financially, from the operations authorised by the title;

  (b)   whether the person is, or has been at any time, in a position to influence the way in which, or the extent to which, a person is complying, or has complied, with the person's obligations under this Act;

  (c)   whether the person acts or acted jointly with the registered holder, or a former holder, of the title in relation to the operations authorised by the title.

  (2C)   A determination under subsection   (2B) is not a legislative instrument.

  (2D)   If:

  (a)   a direction is given under subsection   (2) to a person referred to in subparagraph   (2A)(a)(ii) or (b)(i), (ii) or (iii); and

  (b)   the direction requires the person to take an action in, or in relation to, the title area (within the meaning of section   572) of a title that is in force;

NOPSEMA must give a copy of the direction to the registered holder of the title as soon as practicable after the direction is given.

  (3)   The period specified in the notice must be reasonable.

  (4)   In attaining a state of satisfaction for the purposes of paragraph   (2)(c), NOPSEMA:

  (a)   in the case of a declared petroleum exploration permit, declared petroleum retention lease or declared petroleum production licence--must have regard; or

  (b)   otherwise--may have regard;

to the principle that plugging or closing off wells should be carried out in a way that restores or maintains the suitability of a part of a geological formation for the permanent storage of greenhouse gas substances.

  (5)   Paragraph   (2)(d) has effect subject to:

  (a)   Chapter   2; and

  (b)   this Chapter; and

  (c)   the regulations.



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