Action 17

Removing royalty rate discount

Scoping/Drafting

Remove royalty discount for tight gas and restore the royalty rate to 10 per cent for all onshore petroleum projects using hydraulic fracture stimulation.

Lead agency
Department of Mines, Industry Regulation and Safety
Target completion date
December 2020
Revised completion date
Mid to late 2022 for legislative amendments

Updates

31 March 2022

Drafting is underway for the Bill amending the Petroleum and Geothermal Energy Resources Act 1967.

30 September 2021

Implementation of this Action will require amendments to the Petroleum and Geothermal Energy Resources Act 1967.  Approval to draft was received in March 2021 and drafting is underway.  When completed, an exposure draft of the amendment Bill will be released for comment.  At this stage, it is envisaged that the exposure draft will be released in mid-2022, followed by introduction of the Bill later in the 2022 Parliamentary year.

31 March 2020

The State Government is developing drafting instructions for legislative and regulatory amendments required to implement a number of actions.

31 December 2019

Drafting instructions, to amend the Petroleum And Geothermal Energy Resources Act 1967, are under development.

30 September 2019

Drafting instructions are being developed to amend the Petroleum And Geothermal Energy Resources Act 1967 to remove royalty discount for tight gas and restore the royalty rate to 10 per cent for all onshore petroleum projects using hydraulic fracture stimulation.

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