The Lightning Ridge Miner’s Association (LRMA) has begun analysing the draft Mining Regulation 2010, which was recently released for public consultation, and the early indication is that the Mining Amendment Bill 2008, to which these regulations apply, will mean massive increases in fees.
For example, the application fee for an ordinary mineral claim will more than double under the new regulations.
The following is based on information from the Industry & Investment NSW’s website. They are examples of some of the proposed fee increases under the new regulations:
o Application for ordinary mineral claim. Current fee $60. Proposed fee $130.
o Application for 2ha reward claim. Current fee $480. Proposed fee $500.
o Application of 2ha prospecting claim. Current fee $125. Proposed fee $180.
o Application for 2ha puddling claim. Current fee $1200. Proposed fee $5000.
o Application for 2ha mullock dump. Current fee $1200. Proposed fee $5000.
o Application for 2ha open cut claim with rehabilitation liability less than $200k. Proposed fee $5000.
o Renewal ordinary mineral claim. Current fee $90. Proposed fee $100.
o Transfer of mineral claim. Current fee $85. Proposed fee $120.
o Application for OPL. Current fee $25. Proposed fee $30.
o Application for mining lease. Current fee $2700. Proposed fee $10,000.
o Application for renewal of mining lease. Current fee $1200. Proposed fee $3000.
o Lease fees, five or less employees, under $100k investment. Current fee $2000. Proposed fee $85 per ha.
The LRMA is concerned that the expense of opal mining could become almost prohibitive, which would almost certainly impact the number of opal miners. With the number of registrations of new mineral claims down 71.5 per cent from 1822 in June 2001 to 519 in June 2009, indicating that mining activity is already down, these latest regulations could have a detrimental effect.
This is particularly true for the local community, where the number of school enrolments has dropped by 24.2 per cent in the same time.
Another major concern is the potential requirement for Rehabilitation and Environmental Management Plans (REMP) but the LRMA is unsure at this stage how these will be applied to the opal industry and is dependent upon the policy of Industry & Investment NSW.
The regulation also proposes to reduce miners’ access rights if they need access to a prospecting or mining title by a right of way.
One of the LRMA’s favourite fees is the fee per hour for provision of information (not including prescribed records available at prescribed locations) $150 (exclusive of GST).
Secretary of the LRMA, Maxine O’Brien said that was just one impost on top of another for the mining industry at the moment.
Submissions from the public on the regulations are due by June 18 2010. Ms O’Brien said the LRMA could be calling on its members to lobby government if necessary. She said the LRMA would keep its members posted.
A spokesperson from Industry & Ivestment encouraged the community, the mining industry and any interested people to provide feedback on the proposed changes.
All submissions will be considered prior to finalisation of the regulation.