The NSW Government has announced and legislated for the abolition of the previous 5 year exemption from royalties for CSG with a 10% of well head value royalty to apply to all petroleum produced in NSW from 1st January next year, with a proportion of those funds being directed to Regional Community Funds.  

In addition, breaches of environmental conditions attaching to mining and petroleum titles will now attract maximum penalties of $1.1m in the case of a corporation and $220,000 for individuals.  

The process of planning reform in NSW for resources projects is also underway with the release of a public consultation draft of the State Environmental Planning Policy for Mining and Petroleum, adopting as part of the planning process for State significant development the recently announced Aquifer Interference Policy, protections for strategic agricultural significant land and detail of the “gateway” development analysis process by which future major project applications will be dealt with by the Department of Planning.