Draft petroleum regulations underway

Industry feedback encouraged as department starts drafting regulations for new industries
Date: Wednesday, 03 July 2024

A significant package of legislative amendments was passed in Parliament in May, strengthening the State’s existing petroleum legislation and unlocking two new industries.

The Petroleum Legislation Amendment Act 2024 will introduce a framework that allows for the permanent transport and storage of greenhouse gas in Western Australia. Additionally, it will enable the exploration and production of naturally occurring hydrogen through the new concept of prescribed regulated substances.

In addition, the legislation formally recognises care and maintenance, and decommissioning and rehabilitation, as specific phases of an operation. It also supports the introduction of the polluter pays principle.

The department has started developing the supporting regulations and will continue to engage with stakeholders throughout the process.

The State’s peak industry bodies have been briefed on the work program and timeline, and the department welcomes any feedback from interested or affected stakeholders on the approach to drafting the regulations by contacting REC.consultation@dmirs.wa.gov.au

The amendments will be operational following the completion of supporting regulation.

DEMIRS Resource and Environmental Compliance Executive Director Tyler Sujdovic said the amendments within the Petroleum Legislation Amendment Act 2024 will introduce two new industries which will generate significant wins for Western Australia moving forward.

“Enabling the transport and storage of greenhouse gas is a big step forward for the State, as it directly supports a variety of sectors' transition to net-zero emissions,” he said.

“These legislative changes also provide opportunities to grow and diversify our economy by supporting Western Australia’s emerging hydrogen industry.

“These two new industries represent a significant expansion to the activities we regulate today; it is going to be large scope of work to undertake, and we will ensure industry has every opportunity to get involved through the process.”