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Compensation claims in chaos

17 Jun, 2010 11:14 AM
The Department of Industry and Investment has decided it will no longer collect and disburse compensation on behalf of the landholders and miners. Not only will the department not collect compensation, it is planning on refunding the compensation already paid since January 2010 back to the miners.

Mining and prospecting titles are still being granted but the onus is on the miners and the landholders to ensure compensation has been agreed and paid.

The department’s decision is already creating chaos and will make life difficult for landholders and miners alike. The Lightning Ridge Miner’s Association (LRMA) has requested written advice from the department as to why and on what basis it has made this decision.

At present compensation is being paid under two systems. The LRMA and the Grawin, Glengarry and Sheepyards Miner’s Association (GGSMA) have negotiated private agreements with some landholders on behalf of the miners and those landholders had given the department permission to collect compensation on their behalf.

Where there is no agreement, the assessment by the Mining Warden’s Court of 1990 prevails and this states that compensation is to be paid to the Mining Registrar.

This situation is further complicated by the fact that the Mining Warden’s assessment was made under the 1973 Mining Act.

The LRMA is in the process of seeking legal advice but preliminary investigations indicate that where the LRMA and GGSMA have an agreement with a landholder then they will need to be paid the agreed compensation directly. The LRMA will be discussing with those landholders the best way of doing that.

Where there is no agreement with the landholder, the LRMA believes the compensation may need to be paid to the Land and Environment Court and their agent is the local court. The LRMA still needs to discuss this with the Land and Environment Court.

The LRMA asks miners to please be patient. More information should be available next week. Although under the Mining Act there is nothing stopping individual miners making individual deals with the landholder, the LRMA does not recommend that. The LRMA recommends that miners keep a record of all the attempts they have made to pay compensation and this includes to the Department of Industry & Investment and to the Land and Environment Court and to the landholders where an agreement is in place.

The LRMA has made the Minister for Mineral Resources’ office aware of this situation and will be seeking a meeting at the earliest possible convenience.

In the meantime please write to the Premier and Minister for Mineral Resources seeking their support of a viable and vibrant opal industry.

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