Petroleum Revenue Act 1985

that a proportion of the revenue (in this Schedule referred to as the “relevant revenue”) received by the State under a relevant resource rent royalty agreement (in this Schedule referred to as the “rent agreement”) specified in the sharing agreement shall be paid to the Commonwealth;

that the proportion of the relevant revenue received by the State in a financial year that is to be paid to the Commonwealth shall be—

in the case of a rent agreement that relates to a production unit that includes at least one source of petroleum from which petroleum for commercial use was produced before 25 June 1985—

where at least 50% of the stabilised crude petroleum oil produced from the production source in that production unit which was sold in the financial year which commenced on 1 July 1984 was produced from an old accumulation within the meaning of the Excise Tariff Act 1921—75%; or

in any other case—25%; or

in the case of a rent agreement to which sub‑paragraph (i) does not apply—

where the quantity of stabilised crude petroleum oil produced from the production source in the production unit which was sold in the first‑mentioned financial year does not exceed 500ML—nil;

where that quantity exceeds 500ML but does not exceed 700ML—25%;

where that quantity exceeds 700ML but does not exceed 900ML—50%; or

where that quantity exceeds 900ML—75%;

that, where the State receives in respect of a financial year an amount under a provision of the rent agreement required by paragraph 1 (e) of Schedule 1, the State shall, within 21 days after the receipt of that amount, pay the Commonwealth a proportion of that amount, being—

in the case of the first financial year to which the sharing agreement applies—the proportion that the Commonwealth and the State estimate will be the proportion of relevant revenue payable by the State to the Commonwealth in that first financial year; or

in the case of any other financial year—the proportion of relevant revenue payable by the State to the Commonwealth under the sharing agreement in the immediately preceding financial year;

that, where the State receives in respect of a financial year an amount under the provision of the rent agreement required by paragraph 1 (f) of Schedule 1—the State shall, within 21 days after the receipt of the amount, pay to the Commonwealth such proportion of that amount as will result in the proportion of relevant revenue paid to the Commonwealth by the State in respect of that financial year being the proportion required by paragraph (b);

that, where, the State becomes liable to pay, or to give the benefit of, an amount in respect of a financial year under the provision of the rent agreement required by sub‑paragraph 1 (f) in Schedule 1, the Commonwealth shall, within 21 days of being given notice in writing by the State that the State has become so liable, being notice accompanied by verification in writing of the amount of the liability of the State, pay to the State such amount as will result in the proportion of relevant revenue received by the State in respect of that year paid by the State to the Commonwealth and retained by the Commonwealth being the proportion that the State is required to pay under paragraph (b);

subject to paragraph (g), that the Commonwealth is not responsible for, and shall not bear, any of the administrative or other expenses incurred by the State in the assessment and collection of royalty under the rent agreement;

where, in a financial year, administrative expenses are incurred by the State in the assessment and collection of royalty under the rent agreement, the Commonwealth shall pay to the State a proportion of those expenses, being a proportion equal to the proportion required by paragraph (b) in respect of the sharing agreement;

that a Minister of State of the State or other person who receives a return, or gives an assessment, under the rent agreement, shall, as soon as practicable after receiving the return or giving the assessment, give the Minister a copy of the return or assessment;

that, where the rent agreement or a lease relating to the production unit to which the rent agreement applies confers a discretion on a Minister of the Crown of the State or another person, other than an arbitrator, being a discretion that could affect the amount of royalty, then, subject to any judgment, order or decree of a court, that Minister or other person shall not exercise that discretion except in accordance with procedures approved by the Minister;

that, if the State becomes liable to make a payment under the provision of the rent agreement required by paragraph 1 (m) in Schedule 1, the Commonwealth shall, within 21 days of being given notice in writing by the State that the State has become so liable, being notice accompanied by verification in writing of the amount of the liability of the State, pay to the State a proportion of the amount of the payment, being a proportion equal to the proportion, or average of the proportions, required by paragraph (b) in respect of the sharing agreement;

that, if a party to an agreement is in breach of the agreement, the other party may terminate the agreement by giving the party in breach 7 days notice in writing of the termination; and

that, subject to the provision required by paragraph (m), the agreement shall continue in force unless and until the rent agreement ceases to be in force.

discriminates, or would in any circumstances discriminate, between States or parts of States within the meaning of paragraph 51 (ii) of the Constitution; or

gives, or would in any circumstances give, preference to one State or any part thereof over another State or any part thereof within the meaning of section 99 of the Constitution.