This week, the Legislative Council’s Legislation Committee handed down 26 findings and 18 recommendations following submissions and public hearings over the bill.
New Minister for Mines and Petroleum Sean L’Estrange needs time to work through and consider the findings and recommendations.
But the Association of Mining and Exploration Companies and the Chamber of Minerals and Energy of Western Australia have warned that delaying the bill would also delay benefits for the sector.
The groups also warned against the adoption of all of the recommendations.
“Addressing the committee’s long list of recommendations will delay the removal of unnecessary red tape and streamlining of environmental approvals which was the original intent of the bill,” CEM CEO Reg Howard-Smith said.
Both groups have concerns over the definition of “low-impact activities”. AMEC has recommended 10 hectares, similar to the Environmental Protection (Native Vegetation Clearing) Regulations.
AMEC noted that although the committee acknowledged that the Department of Mines and Petroleum (DMP) had the ability to charge fees through the existing provisions of the Mining Act, it did not recommend removal of the specific clauses empowering the ability to create assessment fees for programs of work and mining proposals.
“As the previous Mines and Petroleum Minister indicated that the implementation of such fees would only be deferred, AMEC remains extremely concerned that the departmental budget shortfall of $A2.7 million per annum to implement, and staff, its Reforming Environment Regulation agenda will be met through other means, such as a non-transparent hike in other DMP tenement rentals, fees or charges,” AMEC national policy manager Graham Short said.
“The proposal to introduce new assessment fees was a major bone of contention between the Minister and the industry (miners, explorers and prospectors), particularly noting that the Treasury already annually collects in excess of $80 million from existing tenement rentals, fees and charges. AMEC considers that any budget shortfall should be met directly from the consolidated account.”
CME said despite protest from prospectors around the Goldfields, the bill was likely to pass.
“Resource companies are currently grappling with volatile global market dynamics, increasing input costs and other complex policy and regulatory settings," Howard-Smith said.
“Any amendments to the bill should be quickly prioritised to allow for swift passage through Parliament in the second half of 2016.”
There should be more details in today’s WA budget.
