feature article article revenue to australia? this list does not include what the contractors and...

The over-regulation burden

BY GINA RINEHART

'we have no choice: he told a media conference.

'lf we don't get on with

the job ... in getting savings through

the Senate, then Australia will never

get back to surplus; we will never live

within our means'.

Almost immediately, he was accused

of being alarmist by the usual left-wing

voices in the media, who must think

the money is just going to fall down

from the sky. Joe Hockey was actually

just telling it like It is. 'Money out' is far

greater than 'money in'.

Left media might call this 'delusional'

- we used to call It 'common sense', but

sadly, we seem to have a problem with

that in Australia at the moment. And,

my goodness, we need to get common

sense back on the agenda, even If this

makes us subjects of ridicule and lies

with the left in our media.

Australia has been living beyond

its means since about 2008 - perhaps

back then we thought the mining

boom would last longer: but here we

are in 2015, with the boom over and

commodity prices that keep slipping.

That flows through the economy and

' '

touches industries, communities, and

families throughout Australia.

Meanwhile, the debt still piles up: a

billion dollars more debt every month

and having to borrow to be able to pay

the Interest. And yet, we attack those

who invest in our country and provide

jobs to help revenue. Perhaps the

naysayers should have to disclose what

they've done to help our country, invest

and provide jobs, rather than just idly

attack, ridicule and lie about those

who do.

My friends in Asia don't

understand why such logic even

needs to be stated, but get a hard hat

ready if you dare to speak out about

such a simple but important issue -

we need to cut government spending

back and we need to create more

revenue; hence, get government tape

out of the way of business.

I wanted to demonstrate how many

government imposed hurdles we faced

for Roy Hill, which list has not yet

been updated to include the additional

approvals and licences required by

contractors and subcontractors for

construction, but the list stretches over

Australia has been living beyond its means since about 2008 -perhaps back then we thought the

mining boom would last longer

'' l/atur.tt 9 NUMBER 1

30 pages - roughly the length of the rest Please take sometime to peruse the

of this magazine - so we've published list and ask yourself: how does this

the partial list on ANDEV's website help welcome investment and business

www.andev-project.org/ and on this to our country? How does this help

magazine's website. to create sustainable jobs and bring

Table 1

ROY HILL PROJECT APPROVALS, LICENCES & PERMIT LISTNG

Department Number

Mine 562

Railway 1189

Port 507

ROC 25

Ginbata Airport 6

HR/ER 256

Finance 544

Environment Regulatory Reports 1057

Total 4146

Excludes approvaJs for contractors and subcontractors.

FEATURE ARTICLE

revenue to Australia?

This list does not include what

the contractors and subcontractors

additionally needed by way of approvals

and licences to construct the project to

enable the employment of more than

7000 people directly, and many tens of

thousands more indirectly.

We actually need to help our

politicians explain why the size of

government has to be cut. We need

more businessmen and women to speak

up to get the message to Canberra and

into state parliaments that government

imposed burdens need to be reduced.

Over-regulation is hurting and

delaying investment activity in our

country at a time when we desperately

need it - and the revenue it will generate.

I tell the Roy Hill story of how

we are now heading towards 4200

approvals, and licences to get us

this far - with still more ahead. (The

story of government regulations in

Queensland was even worse.)

Many parliamentarians seem

genuinely surprised that it's this bad.

VOLUME 9 NUMBER 1 • Australian Resources and Investment • 7

FEATURE ARTICLE

'' Over-regulation is hurting and

delaying irwesl.menl activity in

our country al a time when we

desperately need it - and I.he

revenue il will generate

8 • Australian Resources and Investment • VmuME 9 NUMBER 1

' '

They can't believe there's so much

government tape. Clearly, we need to

spread the word and tell our own stones.

It's a terrible advertisement for

doing business in Australia, which

desperately needs investments and

tax revenue to pay for our under

resourced defence, pay for our

struggling hospitals, and pay for our

underpaid elderly who've worked

much of their lives for our country and

deserve more.

Everyone talks about productivity,

but few consider the time wasted by very

costly and time-consuming government

tape and compliance - especially as

we face falling commodity prtces and

declining revenue.

I've had the honour of having several

meetings with India's very dedicated

and outstanding Prime Minister,

Narendra Modi.

His 'red tape to red carpet' approach

is starting to have an impact. India now

enjoys the highest growth In the world

in the short time this outstanding leader

has been In office. Economic growth has

approximately doubled.

Mr Modi Is driving extensive cutting

of government regulations, and pushing

public service culture to be there to

serve the interests of the people of India.

Public service members now need to

have their arrival and departure times

published online, which gives more

transparency, should a member of the

public need to contact them to drive

approvals, permits and licences. And

those public servants who depart the

public service also need to put online

thousands of pages describing, while

they received taxpayers money, what

they actually did to help their country,

and sign that record.

Prime Minister Modi is effectively

tackling the country's notoriously

excessive public service, starting with

meetings with top bureaucrats at 7 am,

and having closing sessions with them

around 7 pm, hence extending their

working hours. Public service lunch

hours in New Delhi have plummeted.

In a country notorious for paperwork,

long queues and regulations, he's

shifting much of the dealings with

government online and getting rid of

approvals and licences that provided the

opportunity for corruption.

He refuses to take 'no' for an answer

when it comes to necessary reform. He

wanted to increase access to banking,

and permit more people to open

accounts and deposit their money.

Previously, 40 per cent of Indian

households had no contact with

the banking sector at all, not being

permitted to open bank accounts. Mr

Modi made it possible to open accounts,

so now they can establish credit for their

small businesses. It's already been a

huge economic boost for the country.

In approximately six months,

65 million people had opened their

first bank account, with just short of a

billion dollars deposited. Everyone said

it couldn't happen so soon.

Mr Modi's central belief is that If the bureaucracy works better with

less government regulations, it allows

living standards to be able to rise, and

everyone in the country will benefit.

What we see with Prime Minister

Modi should bring hope and ideas to so

many more around the world, including

in Australia.

It's an attitude we desperately need

to adopt in our country. This really is

a moment for government to rise to

the occasion and stop travelling the

popular path that will lead us to the

problems that Spain is in, with very

high unemployment, especially youth

unemployment, and many thousands

rioting in the streets.

If you ever need an example of good

government versus bad, look at this

image taken from the International

Space Station of the Korean Peninsula.

You don't need a map to see where

the border is. North Korea's lack of

electricity is obvious - the growth and

prosperity of the once poor South,

compared with today's bleak poverty

of the once more prosperous North

Korea. Few may know that South Korea,

when first separated from the North,

was so poor that the Philippines gave

it aid! The North had the resources

and the industry, while the South was

FEATURE ARTICLE

just lots of poor fishing villages, with a

comparatively small population. Now

look at South Korea, and compare it to

the now impoverished North.

Government is the difference. This

famous picture saves a thousand words.

Mining is never as easy as some in

the media and the left want to imply,

but it Is essential. Tenements without

expensive exploration and studies, hard

work, finance and efforts. are just that:

tenements, not worth billions of dollars,

and not generating much needed

revenue and opportunities.

Before I go: a quick update on

our mega Roy Hill Project. which is

currently more than 75 per cent of the

way to completion.

We have 7200 people working across

the project, and tens of thousands more

in related industries. We have been

able to direct almost 80 per cent of the

project spend to Australian suppliers.

More than 315 kilometres of rail

track is laid, and we've just taken

delivery of 14 of our 21 locomotives at

Port Hedland.

We have been owner/operator mining

now for over six months, with more than

5.4 million tonnes of ore stockpiled,

ready for shipment later in the year.

The last 12 months really has been

a period of enormous achievement at

Roy Hill, and we have been honoured

to receive some prestigious industry

accolades, Including FinanceAsia's 2014

Best Finance Project Deal Award, and

Project Finance IntematiDnal Magazine's

Asia Pacific Deal of the Year.

As Australia faces a growing record

debt and overblown spending, mining

and the related industries may be one

of our best hopes. But government

burdens must be urgently and

significantly cut to help keep high-cost

Australia cost competitive.

Many more in business need to

speak up and say publicly what is

said in private about government

imposed delays, risks and expense.

We need to speak up to give Australia

a better chance.

Frankly, we all need to keep going for

the sake of Australia's future. l>!I

VoLUME 9 NuMeE• I • Australian Resources and Investment • 9

ROY HILL PROJECT APPROVALS

ROY HILL PROJECT APPROVALS SUMMARY (Interim Listing)

Not updated, list does not include approvals and licences that the contractor and sub-contractors had to achieve for construction of the Roy Hill project

RAILWAY APPROVALS

Railway Approval/Document Legislation Number Required

Ministerial approval Environmental Protection Act 1986 6

Ministerial approval Environmental Protection Act 1986 1

EPA Approval Environmental Protection Act 1986 1

Ministerial Approval Environment Protection and Biodiversity Conservation Act 1999

9

Regulation 10 Permit to undertake work in Abydos-Woodstock

Aboriginal Heritage Act 1972 3

Abydos Woodstock railway corridor excision


Section 18 Consent to disturb heritage sites


Access agreements with landholders for the purposes of completing investigation activities

Land Administration Act 1997 20

Section 91 licence to undertake investigation activities

Land Administration Act 1997 Native Title Act 1993 Aboriginal Heritage Act 1972

4

All consent a n d a c c e s s a g r e e m e n t s w i t h s t a k e h o l d e r s f o r t h e m i n e , r a i l w a y , p o r t a n d c r o s s i n g o f s t a k e h o l d e r m i n i n g a c t t e n e m e n t s

State Agreement 55

Main Roads WA consent to crossing of infrastructure

n/a 3

Native Title and Heritage Agreements

Native Title Act 1993 3

State Agreement Railway (Roy Hill Infrastructure Pty Ltd) Agreement Act 2010

1

State Agreement Clause 9 State Community Plan

2

State Agreement Proposals Railway (Roy Hill Infrastructure Pty Ltd) Agreement Act 2010

4

Special Railway Licence Railway (Roy Hill Infrastructure Pty Ltd) Agreement Act 2010 Mining Act 1978

1

1



Notification for Special Railway Licence 24MD (6B) Notice

Federal Native Title Act 1993 Mining Act 1978

6

Clearing of native vegetation for investigation works

Environmental Protection (Clearing of Native Vegetation) Regulations 2004

14

Permission to disturb a water course

Rights in Water and Irrigation Act 1914 20

Licence to construct a bore Rights in Water and Irrigation Act 1914 21

Licence to abstract water Rights in Water and Irrigation Act 1914 10

Works approval to construct prescribed premises

Environment Protection Act 1986 12

Operating licence for prescribed premises Part V

Environment Protection Act 1986 5

Fauna handling permit Wildlife Conservation Act 1960 5

Compliance assessment plan Compliance Assessment Report

n/a 1

Approval of biological survey methodology

n/a 1

Approval of heritage survey methodology

n/a 1

Environmental surveys and data collection C.S – Flora and Vegetation Short Range Endemics Significant Fauna Habitat and Aboriginal Heritage Design and locate Environmental Culverts in consultation with DEC (Surface Water) Culverts – Fauna

n/a

EPBC Act

21

Traffic Management Plan – consent to crossing of infrastructure

n/a 1

Cultural Heritage Management Plan

n/a 1

Implement monitoring programs

n/a 3

Final Alignment Plans n/a 5

Flora and fauna surveys for investigation works

n/a 14

2



Classified plant registration

Mines Safety and Inspection Act 1994 715

Communications licences Radio Communications Act 1992 1

Haulage of goods on gazetted roads

Road Traffic Act 1974 Road Traffic (Vehicle Standards) Rules and Regulations 2002

150

Approval to operate a waste water treatment plant

Health Act 1911 8

Shire development approval Planning and Development Act 2005 7

Shire building approval Building Act 2011 5

Shire approval for modification

1

Liquor (Tavern) Licence Liquor Control Act 1988 4

Tobacco Licence Tobacco Products Control Act 2006 4

Registration of a food business Food Act 2008 4

1160

3


PORT INFRASTRUCTURE APPROVALS

Port Approval/Document Legislation Number Required

Ministerial approval – port infrastructure

Environmental Protection Act 1986 7

Ministerial approval – port infrastructure


Ministerial approval – south west creek dredging


Ministerial approval – south west creek dredging

Environment Protection and Biodiversity Conservation Act 1999

1

Ministerial approval – sea dumping permit

Environment Protection (Sea Dumping) Act 1981

1

Ministerial consent to disturb a heritage site


Jetty licence Jetties Act 1926 1

Notification for Port Hedland Port Authority Management Control within Boodarie Industrial Estate (for multi-user stockyard) (NOITT process)

Federal Native Title Act 1993

Land Administration Act 1997

Public Works Act 1902

1

Port Lease and Licence with Port Hedland Port Authority

n/a 8

Temporary Works Agreement with Port Hedland Port Authority

n/a 1

EPA approval

Change in Level of Environmental Protection in Port Hedland inner harbour


Native Vegetation Clearing Permit (NVCP)

S.91 Licence – Temporary Construction Corridor

Environmental Protection (Native Vegetation) Regulations 2004

18

Permit to construct bores Rights in Water and Irrigation Act 1914 5

Permit to abstract water Rights in Water and Irrigation Act 1914 3

Permit to interfere with a watercourse

Rights in Water and Irrigation Act 1914 1

Works approval for prescribed premises


Licence to Operate facilities Environmental Protection Act 1986 1

Mining proposal Mining Act 1978

Environmental Protection (Clearing of Native Vegetation) Regulations 2004

4

4


Port Approval/Document Legislation Number Required

S91 Licences Land Administration Act 7

Local Government approval to operate WWTP

Health Act 1911 1

Classified plant registration

Mines Safety and Inspection Act 1994 52

Maritime security zone Federal Maritime Transport and Offshore Facilities Security Act 2003

1

Marine Safety Identification Card

Maritime Transport and Offshore Facilities Security Act 2003

156

Local Government planning approval

Planning and Development Act 2005 10


Registration of a Food Business Food Act 2008 2

Haulage of goods on gazetted roads

Road Traffic Act 1974

Road Traffic (Vehicle Standards) Rules and Regulations 2002

150

Communications licences Radio Communications Act 1992 32

Apparatus Licence 3

Compliance assessment plan Compliance Assessment Report

n/a 2

Baseline environmental surveys n/a 4

Monitoring programs n/a 4

Dredge Management Plan Dust Management Plan (OEPA and DEC)

n/a

Ministerial Statement 8SB – Condition 8

1

Port Car Dumper Dewatering Environmental Management Plan

n/a 1

492

^^ Ministerial Statements and some deeds contain compliance requirements that must be achieved prior to ground disturbance for the purposes of implementing the project. These compliance matters have been listed.

5


MINE APPROVALS

Mine Approval/Document** Legislation Number Required

Ministerial approval, Stage 1 and Stage 2 mine


Ministerial approval, changes to ministerial conditions of approval


Ministerial approval, power station (not part of original referral)


Ministerial approval, 20 year mine Environment Protection and Biodiversity Conservation Act 1999

1

Nyiyaparli Heritage Agreement Native Title Act 1993 1

Permission to disturb heritage sites Aboriginal Heritage Act 1972 14

EPA approval Environmental Protection Act 1986 2

EPA approval Environmental Protection Act 1986 1

Native vegetation clearing permit Environmental Protection (Native Vegetation) Regulations 2004

3

Mining proposal and Letters of Consent Mining Act 1978 21

Conceptual closure plan Mining Act 1978 3

Project Management Plan Mining Act 1978 1

Programme of Works Mining Act 1978 23

Tailing Storage Facility Mining Act 1978 2

Works approval for prescribed premises

Environmental Protection Act 1986 Part V

19

Operating licence for prescribed premises Part V


Water bore drilling licence Rights in Water and Irrigation Act 1914

10

Water abstraction licence Rights in Water and Irrigation Act 1914

19

Permit to obstruct or interfere (s17) Rights in Water and Irrigation Act 1914

4

6



Upgrade of Fortescue River crossing Rights in Water and Irrigation Act 1914

1

Granting of tenure Mining Act 1978 23

S91 Land Administration Act 9

Classified plant registration Mines Safety and Inspection Act 1994

76

Non explosives Goods Vehicle Licence

Dangerous Goods Safety (Road and Rail Transport of Non-explosives) Regulations 2007

20

Haulage of goods on gazetted roads Road Traffic Act 1974 Road Traffic (Vehicle Standards) Rules and Regulations 2002

150

Approval to operate a waste water treatment plant

Health Act 1911 2

Shire development approval Planning and Development Act 2005

10


Liquor (Tavern) Licence Liquor Control Act 1988 2

Tobacco Licence Tobacco Products Control Act 2006

2

Registration of a food business Food Act 2008 2

Department of Health Approval n/a 10

Communications licences Radio Communications Act 1992

35

Compliance assessment plan n/a 2

Administrative changes to compliance reporting

n/a 1

Baseline environmental data reports n/a 10

Environmental monitoring programs n/a 8

Integrated water management plan n/a 1

Conceptual closure strategy n/a 2

7



Construction environmental management plan

n/a 1

Operation environmental management plan

n/a 1

Realignment of Marble Bar Road – notification of commencement of works

n/a 1

Realignment of Marble Bar Road – notification of commencement of practical completion

n/a 1

520

REMOTE OPERATIONS CENTRE

ROC Approval/Document Legislation Number Required Ministerial Approval 22 Aug 2011 1 Development Approval 14 September 2011 1 Building Permit 11/9313 Airports Act 1996 1 Certificate of Compliance for Occupancy 13 Nov 2013

Airports Act 1996 1

Perth Airport Dig Permit 25 July 2011 n/a 1 Dewatering Management Plan Dec 2011 1 Construction environmental management plan

n/a 1

Major Development Plan Federal Airports Act 1996 1 Annual Environmental Report 17 25

8


GINBATA AIRPORT

Ginbata Approval/Document Legislation Number Required Aerodrome certification Federal Civil Aviation Act 1988 1 Occupancy Permit WA Building Act 2011 1 Approval to construct/install apparatus for sewage treatment

Health Regs 1974 1

Enabling Infrastructure and Drilling. Mining Proposal

1

EIMP 4th Addendum 1 Temporary Contractors Camp & Aerodrome Mining Act 1978 1 6

HR

Approval/Document Project Area Legislation Number Required Workplace Agreements

Port Rail Mine

Fairwork Act 2009 256 (estimate only)

256

FINANCE (From 2015 until LOM 2032)

Approval/Document Project Area Legislation Number Required ABS surveys Corporate 68 Production Report Corporate 68 Royalty Return Corporate 68 Business Activity Statements

Corporate 68

Payroll Tax Corporate 204 Pay As you Go Tax Corporate 68 544

9


ENVIRONMENT REGULATORY REPORTS (From 2015 until LOM 2032)

Approval/Document Project Area

Legislation Number Required

Comments (Frequency)

Fauna Friendly Culvert Report Rail EPBC Act 1999 1 Within 12 months of construction

Fauna Management Plan Annual Report (includes trapping and translocation report)

Rail EPBC Act 1999 17 Annually

Annual Progress Report under the Threatened Fauna Offset Plan


Annual Financial Payments Notification

Rail EPBC Act 1999 16 Annually from rail Operation date.

Northern Quoll Research Plan Annual Report


MS 824 Compliance Assessment Report

Mine Part IV EPA Act 1986 17 Annual


Mine Part IV EPA Act 1986 17 Annual


Rail Part IV EPA Act 1986 17 Annual


Port Part IV EPA Act 1986 17 Annual


Port Part IV EPA Act 1986 17 Annual

MS 824 Performance Review Report

Mine Part IV EPA Act 1986 9 End of 1st, 2nd, 4th, 6th, 8th and 10th years then 5 yearly intervals

MS 829 Performance Review Report

Mine Part IV EPA Act 1986 9 End of 1st, 2nd, 4th, 6th, 8th and 10th years then 5 yearly intervals

Operating Licence (Mine) Annual Environmental Report and Annual Audit Compliance Report

Mine Part V EPA Act 1986 17 Annual

Operating Licence (Rail Camp 1) Annual Environmental Report and Annual Audit Compliance Report

Rail Part V EPA Act 1986 17 Annual







Native Vegetation Clearing Permit Report - 4498/3

Port Part V EPA Act 1986 1 Annual

Native Vegetation Clearing Permit Report - 5005/2


10





Native Vegetation Final Clearing Permit Report - 4498/3

Port Part V EPA Act 1986 1 End of Clearing Permit


Rail Part V EPA Act 1986 1 End of Clearing Permit











Regulation 15 Fauna Return Report

Rail Wildlife Conservation Act 1950

17 Annually

Regulation 15 Reptile Removalist Return Report

All Wildlife Conservation Act 1950

34 6 monthly

Annual Environmental Report (Tenement Conditions) M46/518

Mine Mining Act 1978 17 Annually



Annual Environmental Report (Tenement Conditions) L47/346





Port Mining Act 1978 17 Annually



Annual Environmental Report (Tenement Conditions) G45/220


Annual Environmental Report (Tenement Conditions) G45/253


Mine Rehabilitation Levy lodgment

Mine, Port

Mining Act 1978 17 Annually

Mine Closure Report Mine Mining Act 1978 7 Every three years Annual Aquifer Review All Rights in Water and

Irrigation Act 1914 3 Annual

1st Quarter Potable Water Report

Mine Health Act 1911 68 Quarterly

2nd Quarter Potable Water Report


3rd Quarter Potable Water Report


4th Quarter Potable Water Report


1st Quarter Potable Water Report

Rail Health Act 1911 68 Quarterly

2nd Quarter Potable Water Report


3rd Quarter Potable Water Report


11





4th Quarter Potable Water Report


NGERs All NGERS/NPI 17 Annually NPI All NGERS/NPI 17 Annually TOTAL ENVIRO REGULATORY REPORTS

1057

12

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