**4. Principles for best practice regulation**

The PGE Act was developed on the basis of the following 6 principles for regulatory best practice:


of the co-regulatory approval regime for minerals and energy (including unconventional

**•** The South Australian *Work Health and Safety Act 2012* (SA) (WHS Act) is the state's lead legislation to protect people in the workplace. SafeWorkSA provides stewardship for this

**•** The South Australian *Natural Resources Management Act 2004* (NRM Act), administered by

**•** The *South Australian Public and Environmental Health Act 1987*, and specifically the *Public and Environmental Health (Waste Control) Regulations 2010*, as administered by HealthSA

**•** The *Native Title (South Australia) Act 1994*, administered by the State's Attorney General's

**•** The Commonwealth *Native Title Act 1993* (NT Act) administered by the Commonwealth's

**•** The *South Australian Aboriginal Heritage Act 1988* administered by the State's Department of

Compliance with these pieces of legislation is facilitated through collaborations and working arrangements between DMITRE and the government agencies that administer these Acts, to ensure that the Statements of Environmental Objectives (SEO) that must be complied with for specific activities are consistent and in keeping with the relevant objects of each of these Acts

The PGE Act was developed on the basis of the following 6 principles for regulatory best

**1. Certainty.** The regulatory objectives are uniform, clear, and predictable for all stakehold‐

**2. Openness.** Stakeholders are appropriately consulted on the establishment of the regula‐

**•** The South Australian *Adelaide Dolphin Sanctuary Act 2005*, administered by DEWNR

**•** The South Australian *Native Vegetation Act 1991* (NV Act), administered by DEWNR;

gas) resource exploration and production in South Australia;

**•** The South Australian *Development Act 1993*, administered by the DPTI;

**•** *The South Australian Marine Parks Act 2007* administered by DEWNR

**•** *The South Australian River Murray Act 2003* administered by DEWNR; and

**•** *The South Australian Arkaroola Protection Act 2012* administered by DEWNR.

Act;

DEWNR;

244 Effective and Sustainable Hydraulic Fracturing

Department

practice:

ers.

tory objectives.

Attorney General's Department

Aboriginal Affairs and Reconciliation

**4. Principles for best practice regulation**

**6. Efficiency.** The compliance costs imposed on both government and the licensee by the regulatory requirements are minimised and justified. Negative impacts on communities are minimised, and licensees remain liable for the cost of their impacts. Furthermore, an appropriate rent (Royalty) is paid to the community from the value realised from the development and production of its natural resources.

The above listed Regulatory Principles can be achieved through the following regulatory strategies.


Clear, efficient and effective activity approval processes are fundamental for trustworthy regulation. Mapping approval processes can also elucidate scope for increased efficiency and reduced red tape. Figures 1, 2 and 3 illustrate the three-stage process for petroleum and geothermal licensing and approvals in South Australia with a one-stop-shop approach led by DMITRE, for exploration, retention, production and associated activities.

The first stage (Figure 1) entails the grant of a licence authorising the licensee to carry out specific activities to which the licence relates. Environmental assessments are required in the second stage (Figure 2). Statements of Environmental Objectives (SEOs) and environmental assessment criteria for activity approvals are established in this second stage. Finally, in the third stage (Figure 3), a location-specific activity notification is submitted for assessment and approval, where required.

All three stages are required to be completed before regulated activities can commence. In practice, it is possible for some aspects of each stage to progress in parallel. This flexibility is most easily enabled through discussions with the regulator (DMITRE) early in the planning process. Figures 1, 2 and 3 specify relevant regulations (of the PGE Act) to help guide licensees through these stages.

The proceeding sections describe stage 2 (Figure 2) and stage 3 (Figure 3). For details of license authorisation (stage 1) – refer to [2].
