EIDA1: Getting the Act into Gear

By on February 16, 2006

Contribution to the review of the Extractive Industries Development Act

The CMPA was back into the swing of things early in 2006 with its first General Meeting for the year being held in Tullamarine on the evening of Friday 20 January.

The Extractive Industries Review formally commences with the review of the Extractive Industries Development Act 1995. As such, the Department of Primary Industries (DPI) is seeking feedback from stakeholders from all industry, community and environment sectors to comment in response to its Background & Issues Paper.

The purpose of the meeting, which was held in conjunction with the DPI, was for CMPA Members not only to have their say, but also discuss their views directly with coordinating DPI representatives.

In attendance were Ms Megan Davison, Senior Legal Policy Officer, who is conducting the review, and Mr John Mitas, Manager Minerals & Extractive Operations.

Ms Davison efficiently presented the aims and issues of the DPI to those in attendance. “Given that the Act is now 10 years old, it is timely that we look at it to ensure that it is fulfilling its purpose,” Ms Davison said.

The Victorian Government is committed to maximising the efficient use of Victoria’s earth resources and also to ensuring that those resources on Crown Land or below the depth restriction are made available. It is important to work out what Government’s role is in relation to the industry, and what is working and what is not working in the current legislative framework.

The Government has a win-win-win philosophy whereby any development needs to be economically viable, ensure that there are real community benefits, and ensures that the environment is protected and considered. It is also important to ensure that the potential of the industry itself is maximised, and attempting to facilitate that potential as well. The Government acknowledges the importance of the industry to the community, and essentially the foundations of where everyone lives, works and plays.

Legal Framework & Government Policies

The industry is not in isolation, there are pieces of legislation other than the specific Act and corresponding regulations that the industry must comply with. There is a whole series of Government policies which may affect the Extractive Industry including the State Planning Policy Framework, Melbourne 2030, the win-win-win philosophy, Sustainability Framework, Native Vegetation Framework, Native Title, Aboriginal Heritage, and a Towards Zero Waste Policy.

The Approval Process

The approval process is by no means a simple process and there are considerable steps where things can be delayed or appeals can occur. We believe it to be in everyone’s interests that we try to simplify this process.

Issues Facing Industry

Issues facing the industry include the availability of resources, access to and protection of resources, planning, transport costs, delays in approval processes, planning permit requirements, Work Plan variations, rehabilitation plan and bond flexibility, the cost of Environmental Effects Statements, the cost of owning a buffer and the financial costs of sterilization, the risk of a landowner revoking an agreement, unsuitability of standards, etc. There is also a simple lack of understanding in the community of the actual value of the resources. This is by no means an exhaustive list, it is more of a representation.

Issues Facing Local Government and Communities

There are a number of issues that face local Government and communities which are to do with amenities, environment, safety and end use. A number of communities are concerned about the impact of quarries being located nearby and whether this decreases property value, etc. Local Government has a balancing act to do with urban development and the need for local employment and use of the local resource.

Issues Facing State Government

The greatest focus is to maximise the efficient use of our resources. There are a number of processes that we are required to go through, and we are trying to be stronger in the coordination and communication of these roles to deliver a better product to the industry. There is a need for balance between economic, social and environmental impacts. The Government is keen to develop transparent and consistent policies, legislation and guidelines.

Compliance costs money, we know that, so we need information from you regarding how we can minimise that regulatory burden. We are very interested in what you have to say, especially in particular the small operators, along with those in remote locations.

Once the final comments are in, an Options Paper will be provided to the Minister. The Minister will need to authorise the release of that paper because the options will in effect determine policy direction which is a ministerial jurisdiction.

A report of the entire review will be given to the Minister around the middle of this year, and we endeavour to get a direction from the Minister shortly thereafter to progress the regulatory and non-regulatory future for the industry, and of course any resulting legislation and options that come with that process as well.

Often you will have some parts of an association at one end of the scale and others at the other end. I am happy to listen to anything anyone has to say, even just to hear about some of the experiences that you may have had and how you would like to see the future of the industry.”


A full transcript of the meeting is available from the CMPA.

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