Changes to petroleum laws

The Northern Territory (NT) Government has made major changes to the regulation of onshore petroleum activities in the NT.

These changes affect the Petroleum Act 1984, the Petroleum Regulations 2020, and the Petroleum (Environment) Regulations 2016. They commenced on 22 June 2023.

The changes detail the extremely high standards required of petroleum interest holders in the NT, simplify regulatory procedures and provide stronger penalties for non-compliance.

Many of these changes will help implement recommendations made by the Independent Scientific Inquiry into Hydraulic Fracturing in the NT.

Read more about the inquiry on the Hydraulic Fracturing website.

What these changes mean

Collectively the changes:

• require industry to pay appropriate securities before starting works to ensure funds are available for:
  • environmental rehabilitation
  • decommissioning of petroleum infrastructure including wells
• require industry to pay fees and levies to cover all costs associated with industry regulation
• require industry to pay an annual orphan well levy to fund monitoring and management of orphan wells in the NT
• establish a new framework of activity and infrastructure plans, designed to ensure that:
  • onshore petroleum resources are managed appropriately for the benefit of the Territory
  • the integrity of wells and surface infrastructure is secured
  • interest holders are pursuing suitable production strategies
• require industry to comply with activity notification and reporting requirements, including the reporting of incidents on petroleum interest areas
• provide a modern range of enforcement tools and increased penalties for non-compliance
• allow interest holders to apply for the use and sale of appraisal petroleum to reduce the environmental impact of avoidable emissions.

Contact

For more information, email energytitles.dme@nt.gov.au.

For more information about the environmental regulation of onshore petroleum, email onshoregas.depws@nt.gov.au.