Division 1 Publicly owned minerals
282 Liability to pay royalty—publicly owned minerals
(1) The holder of a mining lease is liable to pay royalty to the Minister on publicly owned minerals recovered by the holder under the lease.(1A) The holder of a mining sublease is liable to pay royalty to the Minister on publicly owned minerals recovered from the sublease area.(1B) Despite subsection (1), the holder of a mining lease remains liable to pay royalty on publicly owned minerals recovered from a sublease area only to the extent that the royalty has not been paid by the holder of the sublease.(2) Royalty that is payable to the Minister under a condition of a mining lease (being a condition of the kind referred to in section 70 (4)) is payable in addition to, and not instead of, royalty payable under this Division.
(1) Royalty on a publicly owned mineral is payable under this Division:(a) at the base rate prescribed by the regulations in respect of that mineral, and(b) if the regulations so provide—at the additional rate prescribed by the regulations in respect of that mineral.(2) Royalty under this Division is payable on a publicly owned mineral at the rate or rates applicable as at the time the material from which it is recovered is extracted from the land.(3) A rate of royalty prescribed for the purposes of this Division may be prescribed:(a) as a percentage of the value of minerals recovered from the land, or(b) as an amount payable on the basis of any specified measurement of minerals recovered from the land, or(c) by reference to such other matters as the Minister determines.(4) The quantity of minerals recovered is to be calculated (whether by volume or by weight) in the manner prescribed by the regulations.(5) The value of minerals recovered is to be calculated (whether by volume or by weight) in the manner determined by the Minister.
Division 2 Privately owned minerals
284 Liability to pay royalty—privately owned minerals
(1) The holder of a mining lease is liable to pay royalty to the Minister on privately owned minerals recovered from the mining area as if those minerals were publicly owned.(1A) The holder of a mining sublease is liable to pay royalty to the Minister on privately owned minerals recovered from the sublease area as if those minerals were publicly owned.(1B) Despite subsection (1), the holder of a mining lease remains liable to pay royalty on privately owned minerals recovered from a sublease area only to the extent that the royalty has not been paid by the sublessee.(2) If royalty (including any interest on royalty) is paid to or recovered by the Minister in respect of a privately owned mineral, the Minister is to pay:(a) seven-eighths of the amount so paid or recovered to the owner of the mineral, and(b) one-eighth of the amount so paid or recovered to the Treasurer for payment into the Consolidated Fund.(3) This section does not apply to a mining (mineral owner) lease.
Royalty is payable under this Division:(a) except as provided by paragraph (b)—at the base rate prescribed under section 283 (1) (a) in respect of the mineral concerned, or(b) in the case of a mineral other than coal—at such other rate as may be agreed on between the holder of the mineral claim or authority concerned and the owner of the mineral.
286 Royalty payable on petroleum recovered under mining lease for coal
(1) The holder of a mining lease for coal who recovers petroleum from a mining area by virtue of the fact that, under section 78, petroleum is included in the lease is liable to pay royalty to the Minister on the petroleum recovered.(2) The amount payable as royalty under this Division in respect of petroleum is the rate prescribed for the purposes of this Division by or under the Petroleum (Onshore) Act 1991.(3) Royalty under this Division is payable on petroleum at the rate or rates applicable as at the time the petroleum is recovered from the land.(4) This section does not apply to methane recovered in conjunction with coal mining operations.
286A Definition of coal reject
In this Division:coal reject means the by-product of the mining or processing of coal that contains a mixture of coal and other substances (such as shale) and has either an energy value (the maximum energy capable of being produced by it on combustion) of less than 16 gigajoules per tonne (dry weight) or contains more than 35 per cent ash (by dry weight).
286B Royalty on coal in coal reject
(1) Royalty is not payable on the coal in coal reject recovered under a mining lease until the coal reject is used or disposed of.(2) The holder of a mining lease is liable to pay royalty under this Division to the Minister on the coal in coal reject recovered under the lease if the holder uses the coal reject in producing energy or disposes of it for use in producing energy.(3) If royalty is payable under this Division on the coal in coal reject, Division 1 does not apply to that coal.
(1) Royalty on the coal in coal reject recovered under a mining lease is payable under this Division at the rate determined from time to time by the Minister, with the concurrence of the Treasurer, in respect of the lease or the class of leases concerned.(2) The rate of royalty on the coal in coal reject may be a zero rate or may be any other rate up to, but not exceeding, half the base rate of royalty prescribed from time to time in respect of coal under section 283 (1) (a).(3) In determining the rate of royalty the Minister is to have regard to:(a) the energy value of the coal reject, and(b) the costs associated with extracting, transporting or processing the coal reject for the purposes of use or disposal, and(c) such other matters as the Minister considers appropriate.(4) Royalty under this Division is payable on the coal in coal reject at the rate applicable:(a) at the time the coal reject is used by the holder of the relevant mining lease in producing energy, or(b) at the time the coal reject is disposed of by that holder for use in producing energy.(5) Royalty required to be calculated on the basis of the weight of coal is to be calculated by reference to dry weight.
(1) The energy value and ash content of the by-product of the mining or processing of coal recovered under a particular mining lease is to be determined, in the manner directed by the Minister, on the basis of the average energy value and average ash content of that by-product.(2) The Minister may by determination in writing determine any of the following:(a) that the by-product, or any identifiable quantity of the by-product, of the mining or processing of coal recovered under a particular mining lease is coal reject,(b) the amount of coal in the coal reject recovered under a particular mining lease or the amount of coal in any identifiable quantity of that coal reject,(c) that the coal reject, or any identifiable quantity of the coal reject, recovered under a particular mining lease and used or disposed of by the holder of the lease has been used by the holder in producing energy or disposed of by the holder for use in producing energy.(3) The Minister’s determination is evidence of the matter determined.(4) A determination under subsection (2) (a) or (b) is not open to dispute or challenge on the basis that the determination is not correct or accurate for any particular sample or quantity of the material concerned.
(1) If the Minister, on application by the holder of a mining lease, is satisfied that the value of publicly owned minerals recovered as a result of mining operations carried on during a royalty period was less than the appropriate amount, no royalty is payable to the Minister under this Act in respect of those minerals.(2) In this section:appropriate amount, in relation to a royalty period, means:
(a) if the royalty period is 12 months—$2,000, and(b) if the royalty period is less than 12 months—such amount as bears to $2,000 the same proportion as the number of days in the royalty period bears to 365.mining operations means mining operations carried on:
(a) on a parcel of land subject to a mining lease held by a person who is not the holder of any other mining lease, or(b) on 2 or more parcels of land subject to 2 or more mining leases, if the holder of each parcel is the same person and if each parcel adjoins the other or another of those parcels.royalty period, in relation to a mineral recovered by a person under a mining lease, means:
(a) the period commencing on the day on which the person first became entitled, under the mining lease, to mine the mineral, and ending on the last day of the first period in respect of which the person is required by this Act to pay royalty in respect of the mineral, or(b) the period commencing on the day after the last day of any period in respect of which the person is required by this Act to pay royalty in respect of the mineral and ending on the last day of the next such period, or(c) if, during a period referred to in paragraph (b), the person ceases to be entitled to mine the mineral on the land the subject of the mining lease—the period commencing on the day after the last day of the previous royalty period and ending on the day on which the person ceases to be so entitled.
287A Waiver of payment of additional royalty for coal
(1) The Minister may, by order in writing made with the concurrence of the Treasurer, waive all or part of the payment by the holder of a mining lease of royalty at the additional rate prescribed in respect of coal under section 283 (1) (b).(2) The order may be made only if the Minister is satisfied that it is necessary for the financial viability of the mine, or mines, to which the mining lease relates, having regard to such matters as the Minister considers appropriate.(3) The power of the Minister to make an order under this section cannot be delegated, despite section 363.
(1) The Minister may, by written notice served on the holder of a mining lease, require the holder to establish a trust fund, in the manner specified in the notice, and to pay into the trust fund (at the time or times so specified) a specified proportion of the money accruing from the sale of minerals (being a proportion that will, in the opinion of the Minister, be sufficient to meet royalty payable to the Minister under this Act in respect of those minerals).(2) A holder of the mining lease who fails to comply with such a notice is guilty of an offence.Maximum penalty: 100 penalty units and, in the case of a continuing offence, 10 penalty units for each day that the offence continues.
(1) The holder of a mining lease is to furnish to the Minister returns in such form, at such intervals, in respect of such periods and containing such information, as may be prescribed by the regulations.(2) The Minister may authorise the holder of a mining lease to furnish to the Minister returns in a different form, at different intervals or in respect of different periods from the form, intervals or periods so prescribed.(3) A person must not:(a) refuse or fail to comply with a requirement under this section to the extent to which the person is capable of complying with it, or(b) in purported compliance with such a requirement, furnish information that the person knows to be false or misleading in a material particular.Maximum penalty: 100 penalty units.
(1) Royalty payable to the Minister under this Act is payable:(a) except in so far as a determination under paragraph (b) has effect—at such times, and in respect of such periods, as may be specified in or determined in accordance with the regulations, or(b) on demand by the Minister in respect of such periods as the Minister determines.(1A) If a person who is liable to pay royalty fails to pay it as required by subsection (1), the person is guilty of an offence.Maximum penalty:
(a) in the case of a corporation—10,000 penalty units, and, in the case of a continuing offence, a further penalty of 1,000 penalty units for each day that the offence continues, or(b) in the case of a natural person—2,000 penalty units or imprisonment for 12 months, or both, and, in the case of a continuing offence, a further penalty of 200 penalty units for each day that the offence continues.(2) If an amount of royalty payable to the Minister is not paid:(a) by the time that it becomes payable in accordance with the regulations, or(b) within 28 days of the demand for its payment,interest is, if the Minister so directs, to be added to the amount due at such rate as the Minister determines.(3) The regulations may make provision for or with respect to the manner in which royalty payable to the Minister under this Act is to be paid and, in particular, may require that payment of any royalty referred to in the regulations is to accompany a return made under this Part.
(1) Royalty, and any interest on the royalty, payable to the Minister under this Act are debts due to the Crown and are recoverable in a court of competent jurisdiction.(2) A certificate that is signed by the Minister and that states that on a date, or during a period, specified in the certificate, an amount of royalty or interest so specified was payable to the Minister under this Act by a person so specified is admissible in evidence in all courts and is evidence of the fact or facts so certified.