Mineral and Energy (Financial Provisioning) Bill passed - New financial assurance and environmental rehabilitation regime for Queensland

On 14 November 2018, the Queensland Parliament passed the Mineral and Energy Resources (Financial Provisioning) Act 2018 (Act).

The Act introduces two major reforms for the resources industry in Queensland. It will:

• replace the current financial assurance regime with a new financial provisioning scheme for all resource authorities; and
• introduce new progressive rehabilitation requirements for mining leases, through progressive rehabilitation and closure plans (PRC plans)
• The Bill introduces amendments to the Environmental Protection Act, that require all holders of site specific EAs for a mining lease to submit a PRC plan.Under the transitional provisions, DES has three years from the “PRCP start date” (to be prescribed by regulation but no later than 1 November 2019) to give notice to these holders, requiring them to submit a proposed PRC plan to comply with the new requirements. DES must give the holder at least six months to comply with the notice.