A Legislative Update On Coal Seam Gas

Article by Martin Klapper, Partner

This 2007 update on legislative issues affecting coal seam gas expands on issues discussed by Tony Nunan¹ in 2006. It deals with these issues:

• incidental coal seam gas and rights to dispose of and to profit from incidental coal seam gas;

• some advances in the development of coordination arrangements; and

• developments in the area of coal seam gas production water.

Laws of the Australian States declare both coal and petroleum to be the property of the States, and the States impose royalties on their commercial production. In exchange, industry should be entitled to expect consistent and appropriate legislative and policy regimes that enable the efficient production and commercial utilisation of these resources.