Save Search

Note: Where available, the PDF/Word icon below is provided to view the complete and fully formatted document
Petroleum (Submerged Lands) (Registration Fees) Amendment Bill 2001

Bill home page  


Download WordDownload Word


Download PDFDownload PDF

2000

 

 

THE PARLIAMENT OF THE COMMONWEALTH OF AUSTRALIA

 

 

HOUSE OF REPRESENTATIVES

 

 

PETROLEUM (SUBMERGED LANDS) (REGISTRATION FEES) AMENDMENT BILL 2000

 

 

EXPLANATORY MEMORANDUM

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 (Circulated by the authority of the

Minister for Industry, Science and Resources,

Senator the Hon Nick Minchin)

 

 



PETROLEUM (SUBMERGED LANDS) (REGISTRATION FEES) AMENDMENT BILL 2000

 

GENERAL OUTLINE

 

The proposed amendments in this Bill to the Petroleum (Submerged Lands) (Registration Fees) Act 1967 (Registration Fees Act) form part of a revision of the Commonwealth-State/Northern Territory relationship in managing offshore petroleum resources.

 

Under the Petroleum (Submerged Lands) Act 1967 , with which the Registration Fees Act is incorporated, administration of offshore petroleum resources is shared between the Commonwealth and the States/Northern Territory. Major decisions are made by Joint Authorities consisting of the Commonwealth Minister for Industry, Science and Resources and the respective State or Northern Territory Minister responsible for petroleum. On the other hand, day-to-day administration is carried out by the Designated Authority (ie the State or Northern Territory Minister) on behalf of the Commonwealth.

 

An evaluation of the role of the Commonwealth Government in offshore petroleum exploration and development was completed in 1998. One of the decisions emanating from the evaluation was an initiative to reform the joint administrative arrangements, while retaining the basic administrative framework put in place as part of the 1979 Offshore Constitutional Settlement. An element of this is the transfer of certain powers under offshore petroleum legislation from the Joint Authority to the Designated Authority.

 

Most of the powers to be transferred exist under the Petroleum (Submerged Lands) Act . These are presented in the Petroleum (Submerged Lands) Legislation Amendment Bill

(No. 3) 2000. Under the Registration Fees Act, a fee is payable to the Designated Authority in respect of the registration of the transfer of a title or a dealing in a title under section 78 or 81 of the Petroleum (Submerged Lands) Act. The rate of the fee depends, among other things, on whether or not the Joint Authority has been able to satisfy itself of certain facts. By the amendments set out below, this role of the Joint Authority is to be transferred to the Designated Authority.

 

FINANCIAL IMPACT STATEMENT

 

If the powers are transferred from the Joint Authorities to the Designated Authorities as proposed in this Bill and in the Petroleum (Submerged Lands) Legislation Amendment Bill (No. 3) 2000, there will be annual savings of less than $0.1m to the Commonwealth Department of Industry, Science and Resources in staff salary, on-costs and administrative expenses.



NOTES ON INDIVIDUAL CLAUSES

 

Clause 1 - Short title

 

This clause enables the Act that will come into effect if this Bill is passed to be called the Petroleum (Submerged Lands) (Registration Fees) Amendment Act 2000.

 

Clause 2 - Commencement

 

This clause makes the date of commencement of this Act the same as the date of commencement of Part 1 of Schedule 1 to the Petroleum (Submerged Lands) Legislation Amendment Act (No. 3) 2000. If that Act is passed, that Part commences on the 28 th day after that Act receives Royal Assent.

 

Clause 3 - Schedule(s)

 

This clause provides that the amendments to the Petroleum (Submerged Lands) (Registration Fees) Act 1967 are as set out in the Schedule.

 



SCHEDULE 1 - AMENDMENT OF THE PETROLEUM (SUBMERGED LANDS) (REGISTRATION FEES) ACT 1967

 

Item 1 - Subsections 4(4), (5) and (6A)

 

Under this Act, a fee is payable to the Designated Authority in respect of an entry in the Register of a memorandum of a transfer of, or dealing in, a title under the Petroleum (Submerged Lands) Act. Depending on a number of factors set out in section 4, the fee could be at the rate of 1.5% of the value of the consideration for the transfer or dealing, 1.5% of the value of the title transferred or 1.5% of the value of the interest, or the fee could be the prescribed amount.

 

Subsection 4(4) provides that, where the parties to a transfer of a title lodged for approval under section 78 of the Petroleum (Submerged Lands) Act satisfy the Joint Authority of certain things, including the fact that those parties are related corporations within the meaning of the Companies Act 1981, then the fee payable is the prescribed amount.

 

Subsection 4(5) provides that a fee is payable to the Designated Authority in respect of an entry in the Register of the approval of a dealing under section 81 of the Petroleum (Submerged Lands) Act. How the fee is calculated is dependent, among other things, on whether the Joint Authority is satisfied that the dealing was not made pursuant to another dealing or instrument, being a dealing or instrument that relates to that title and in respect of which a fee has been paid under this Act.

 

Subsection 4(6A) provides that, where the parties to a dealing in a title lodged for approval under section 81 of the Petroleum (Submerged Lands) Act satisfy the Joint Authority of certain things, including the fact that those parties are related corporations within the meaning of the Companies Act 1981, then the fee payable is the prescribed amount.

 

This item transfers each of these functions of the Joint Authority to the Designated Authority and also changes, in subsection 4(5), a reference to the Joint Authority as the approver of a dealing under section 81 of the Petroleum (Submerged Lands) Act to “Designated Authority”.

 

Item 2 - Subsection 4(6B)

 

Subsection 4(6B) provides for the value of exploration works to be carried out under a title to be deducted from the value of the consideration or from the value of the interest when the amount of fee to be imposed under subsection 4(5) is calculated. The value of such works is to be determined by the Designated Authority with the approval of the Joint Authority.

 

This item gives the Designated Authority sole power to determine the value of such works by deleting the reference to approval by the Joint Authority.

 

 

 

Item 3 - Transitional - acts of the Joint Authority to be attributed to the Designated Authority

 

This item refers to involvement by the Joint Authority in determining how a fee is calculated, ie, in findings by way of being satisfied about certain things as explained under item 1. If such a finding has been made by the Joint Authority before the amendments come into effect, this item deems the finding to be valid and to be a finding of the Designated Authority.