Martin Ferguson (Batman, Australian Labor Party, Minister for Resources and Energy) Share this | Link to this | Hansard source

I move:

That this bill be now read a second time.

This bill amends the Offshore Petroleum and Greenhouse Gas Storage Act 2006 (the OPGGS Act) to deal with consequential matters arising from the enactment of the Offshore Petroleum and Greenhouse Gas Storage Regulatory Levies Legislation Amendment (2011 Measures No. 1) Bill 2011 (the regulatory levies amendment bill).

The regulatory levies amendment bill amends the Offshore Petroleum and Greenhouse Gas Storage (Safety Levies) Act 2003 to impose levies on titleholders to allow NOPSA to recover costs associated with undertaking its augmented regulatory functions in relation to wells and well related equipment. The consequential amendments to the Offshore Petroleum and Greenhouse Gas Storage Act in this bill will enable effective calculation and collection of the new well levies.

In particular, the bill provides for application of a late payment penalty where either a well investigation levy, annual well levy or well activity levy remains wholly or partly unpaid after the day it becomes due and payable.

This penalty is designed to ensure that levies are paid on time. Given the importance of NOPSA’s function in regulating safety and integrity matters for the offshore oil and gas industry and the fact it is funded through levies, it is critical that it is adequately resourced through the timely payment of levies by industry. I commend the bill to the House.

Debate (on motion by Mr Pyne) adjourned.