The Department of Resources, Energy and Tourism (RET) is currently developing regulations and guidelines to support the greenhouse gas (GHG) part of the Offshore Petroleum and Greenhouse Storage Act 2009 (Act) which came into effect on 21 November 2008.
The regulations covering GHG titles and GHG operations will comprise five different sets of regulations:
- Fees Regulations
- Environmental Regulations
- Safety Regulations
- Petroleum-like (well operations, data and datum) Regulations
- GHG Specific Regulations.
Fees Regulations and Environmental Regulations
These regulations will be incorporated in to the existing petroleum regulations, making them dual purpose to cover both petroleum and GHG operations.
RET has advised that they have already finalised the Fees Regulations (which came into effect on 1 July 2009) by making minor changes to the:
- Petroleum (Submerged Lands) Regulations 1985
- Petroleum (Submerged Lands) Fees Regulations
- Petroleum (Submerged Lands) Fees (Registration Fees) Regulations 1990.
It is important to note that application fees for GHG assessment permits (both work and cash bidding applications) and GHG search authorities have been set at zero in the new Fees Regulations.
Safety Regulations
The intent here is to mirror relevant parts of the existing Petroleum (Submerged Lands) (Management of Safety on Offshore Facilities) Regulations 1996 to cover GHG operations in the interim (as the Act already provides for the National Offshore Petroleum Safety Authority's (NOPSA) regulation of offshore GHG operations). The final measure will be to merge the Safety Regulations with the existing petroleum safety regulations, following the petroleum regulation consolidation process (currently being undertaken by the Offshore Petroleum Branch of the RET), to cover safety matters relating to both petroleum and GHG facilities.
Petroleum-like Regulations
These regulations will mirror the:
- Petroleum (Submerged Lands) (Management of Well Operations) Regulations 2004
- Petroleum (Submerged Lands) (Datum) Regulations 2002
to cover relevant GHG operations.
As is the case with the Safety Regulations, the above proposal is an interim measure pending the conclusion of the petroleum regulation consolidation process.
The RET is also reviewing the existing Petroleum (Submerged Lands) (Data Management) Regulations 2004 with a view to removing the data management plan requirement of those regulations to reduce regulatory hurdles for the industry.
GHG Specific Regulations
These regulations will be targeted to specific GHG operations such as injection and storage. The major components of the GHG Specific Regulations will be provisions relating to declarations, site plans, significant impact tests and the reporting and recording of incidents.
After ongoing discussions with stakeholders, RET has issued drafting instructions to the Office of Legislative Drafting to commence drafting of these regulations.
Timeframes
It is expected that all regulations in relation to GHG titles and operations will be finalised towards the end of March 2010.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.