Penny Wong (SA, Australian Labor Party, Minister for Finance and Deregulation) Share this | Hansard source

The Special Minister of State has provided the following answer to the honourable senator's question:

(1) The approval process for exploration and mining proposals on 'Australian Defence Force land' is determined by two factors: firstly, the legal basis upon which the Commonwealth owns, occupies and otherwise manages land situated within Australia; and secondly, the relevant mining law of the State or the Territory jurisdiction within which the land is situated.

Where the Department of Defence (Defence) occupies land that is vested in the Commonwealth, exploration and mining proposals come within the ambit of section 124 of the Lands Acquisition Act 1989 (LAA). Under the LAA, the Minister for Finance and Deregulation has the authority to authorise the right to access land vested in the Commonwealth for the purpose of mineral exploration. In the event of an application to undertake mining for minerals on land vested in the Commonwealth, the Governor-General may authorise the grant of a lease or a licence for this purpose. In all cases, it is necessary for the applicant seeking access to explore and/or to mine on land that is vested in the Commonwealth to hold a State or Territory exploration licence, or a mining licence, for the land in question.

Prior to making a decision on access to Commonwealth land for exploration and/or mining, care is taken to ensure that all relevant interests in the land are identified and considered before an access decision is made by either the Minister or by the Governor-General. The range of possible interests may include native title rights or other indigenous interests, heritage issues and environmental matters. Advice on possible interests in the land is sought from relevant Commonwealth departments and agencies, and from relevant State departments and agencies, early in the decision making process.

A guide to the Commonwealth's decision making process, in relation to land within the ambit of the LAA, has been published on the Department of Finance and Deregulation (Finance) internet:

(http://development.finance.gov.au/property/lands-acquisition/access-commonwealth-land-mining-activities.html).

Where Defence occupies land that is not vested in the Commonwealth (for example, land occupied under a lease, a licence or a declaration of prohibition), the process for approving applications to access the land is determined by Defence. Once again, it is necessary for the applicant to hold a relevant State or Territory licence to explore and/or to mine for minerals on that parcel of land.

In essence, Defence will consider an application to obtain access to the land where the applicant has a relevant State or Territory licence (e.g., an exploration licence) and the proposed access will not interfere with Defence's use of the land. In the event that Defence agrees to allow access to the land, Defence will require the applicant to enter into a 'Deed of Access'.

(2) The opportunity for public comment in the approval process for mining proposals is governed by the laws of the relevant State or Territory that deal with applications for exploration and mining licences.

(3) Paladin Energy Ltd has applied for access to Commonwealth owned land in the Kimberley region of Western Australia - described as the Yampi Sound Training Area (YSTA) - that is occupied and used by the Department of Defence.

In this case, the Commonwealth is unable to authorise access to the YSTA for mineral exploration other than with the prior agreement of the Western Australian Government, because minerals in the YSTA are reserved to the Crown in right of Western Australia. To date, Western Australian has not granted an exploration licence to Paladin Energy Ltd in relation to minerals in the YSTA that are vested in the State of Western Australia. 

Finance is working with the Western Australia Department of Mines and Petroleum to develop a memorandum of understanding that would enable Paladin's application to be considered by both Western Australia and the Commonwealth in the near future.

(4) Finance is not in the position to provide advice on Paladin's exploration activity. Information about Paladin Energy Ltd's exploration activity in Australia and overseas should be sought from the Company.