Over recent years, community concerns regarding resources companies and rehabilitation practices have increased significantly, resulting in major legislative reform in Queensland.
One of the most significant changes for Queensland mining companies is the introduction of new legislation and unfolding frameworks that focus on life-of-mine progressive rehabilitation.
While progressive rehabilitation of mine sites has been done well by some companies, the same can’t be said for the sector as a whole. Companies will need to showcase leading rehabilitation practices to shift public perceptions.
There are some key considerations* that companies need to understand about Queensland’s new Mineral and Energy Resources (Financial Provisioning) Act 2018 (MERFP Act) that passed in November 2018, including:
- A new financial provisioning scheme which is due to commence 1 April 2019
- Stronger rules for mine rehabilitation and scheduling for when land becomes available, including time-bound milestones
- Special requirements for mine non-use management areas, such as voids that cannot sustain a use
- Rehabilitation requirements for mining are being removed from Environmental Authorities (EAs) and will be operated through Progressive Rehabilitation and Closure Plans (PRCPs), commencing no later than 1 November 2019. Note that Government is affording a three-year transition for existing operations moving to the new framework
- There will be a ‘public interest test’ integrated into the PRCP process
Under the new rehabilitation legislative framework, mining companies will be held more accountable in order to maximise future land-use options post-mining.
A large part of the reform also involves residual risks for all resource companies when they surrender their environmental approvals. The Queensland Government is currently developing another pillar, in addition to the new financial provisioning scheme, to deal with credible residual risks and associated costs.
While many Queensland resource companies have been watching this framework evolve and have worked closely with the Queensland Resources Council to ensure their voices are heard, there are a number of key actions companies should be doing now to be better prepared, including:
- Maintain an active awareness of the policy frameworks because the regulatory landscape is constantly evolving
- Understand the detail that sits behind the legislation in order to meet regulatory responsibilities
- The more up-front planning mining companies can do before the PRCP requirements come into force, the better
- Understand and commit to providing increased resources (time and money) into gaining environmental approvals in the future
GHD is working with clients to effectively plan for the forthcoming PRCPs and keeping abreast of the policy frameworks.
*Disclaimer: Information in this article is not legal advice, nor is it intended to be relied upon as a substitute for legal or other advice that may be relevant to the reader's specific circumstances.
For more information, connect with our professional:
Sally Anne Wilson
Service Group Manager - Environmental Assessment, Planning and Stakeholder Engagement
+61 7 5413 8127
Email Sally Wilson