{"id":"tas:sr-2014-004","name":"Mineral Resources Development (Deferral of Royalty) Order 2014","slug":"mineral-resources-development-deferral-of-royalty-order-2014","collection":"regulation","jurisdiction":"tas","status":"in_force","isInForce":true,"actNumber":"4 of 2014","makingDate":null,"administeringDepartment":null,"currentVersion":{"id":187572,"registerId":"tas-tas:sr-2014-004-current","compilationNumber":null,"startDate":"2026-04-05","status":"InForce","reasons":null,"registeredAt":null},"sections":[{"sectionNumber":"1","sectionType":"section","heading":"Short title","content":"### 1 Short title\n\n> This order may be cited as the [Mineral Resources Development (Deferral of Royalty) Order 2014](/view/html/inforce/2026-04-12/sr-2014-004) .","sortOrder":0},{"sectionNumber":"2","sectionType":"section","heading":"Commencement","content":"### 2 Commencement\n\n> This order takes effect on the day on which its making is notified in the *Gazette*.","sortOrder":1},{"sectionNumber":"3","sectionType":"section","heading":"Interpretation","content":"### 3 Interpretation\n\n> In this regulation –\n> \n> > ***Act*** means the [Mineral Resources Development Act 1995](/view/html/inforce/2026-04-12/act-1995-116) ;\n> \n> > ***deferral application*** means an application under [section 102AA(1)](/view/html/inforce/2026-04-12/act-1995-116#GS102AA@Gs1@EN) of the Act;\n> \n> > ***deferred royalty*** means the amount of royalty which is proposed to be deferred under a deferral application;\n> \n> > ***deferred royalty agreement*** means an agreement under [section 102AA](/view/html/inforce/2026-04-12/act-1995-116#GS102AA@EN) of the Act, between the Treasurer and a person who makes a deferral application, to defer payment of the deferred royalty;\n> \n> > ***relevant mining operation*** means the mining operation in respect of which the deferred royalty has been, or is to be, incurred.","sortOrder":2},{"sectionNumber":"4","sectionType":"section","heading":"Criteria for deferral of royalty","content":"### 4 Criteria for deferral of royalty\n\n> For the purposes of [section 102AA(3)](/view/html/inforce/2026-04-12/act-1995-116#GS102AA@Gs3@EN) of the Act, the following criteria are specified as the criteria that must be satisfied before an obligation to pay an amount of royalty in respect of a mining operation may be deferred under that section:\n> \n> > > (a) that the relevant mining operation is substantially in operation at the time the deferral application has been made in respect of that mining operation;\n> > \n> > > (b) that the main purpose for deferring payment of the deferred royalty, under a deferred royalty agreement, is not to enable the relevant mining operation, or any other mining operation operated by the person making the deferral application, to be significantly expanded or upgraded;\n> > \n> > > (c) that, if the Treasurer does not agree to defer the obligation to pay the deferred royalty, payment of the deferred royalty in accordance with the Act would result in –\n> > > \n> > > > > (i) a significant adverse impact on employment at, or investment in, the relevant mining operation; or\n> > > > \n> > > > > (ii) a significant threat to the long term viability of the relevant mining operation;\n> > \n> > > (d) that all other amounts of royalties, in respect of the relevant mining operation, owed under the Act by the person making the deferral application –\n> > > \n> > > > > (i) have been paid; or\n> > > > \n> > > > > (ii) are being paid in accordance with an existing deferred royalty agreement;\n> > \n> > > (e) that, if the Treasurer agrees to defer the obligation to pay the deferred royalty, there will be no more than one deferred royalty agreement in force in respect of the relevant mining operation;\n> > \n> > > (f) that, if there is an existing deferred royalty agreement in respect of a relevant mining operation at the time a deferral application in respect of that mining operation is made, the deferred royalty in the deferral application includes any other amount of royalty that is owed under the existing deferred royalty agreement;\n> > \n> > > (g) that the deferral application has been made at least 4 days before the end of the quarter in respect of which the deferred royalty (other than any amount of royalty that is owed under an existing deferred royalty agreement) is due;\n> > \n> > > (h) that, if the Treasurer agrees to defer the obligation to pay the deferred royalty, there is no reasonably foreseeable reason why the deferred royalty, or any other royalty that may fall due under the Act in respect of the relevant mining operation, will not be able to be paid as required under the Act or the deferred royalty agreement.\n\nDisplayed and numbered in accordance with the *[Rules Publication Act 1953](/view/html/inforce/current/act-1953-050)*.\n\nNotified in the *Gazette* on 29 January 2014\n\nThis order is administered in the Department of Infrastructure, Energy and Resources.","sortOrder":3}],"analysis":{"flash_summary_failed":{"failed":true,"reason":"A positive credit balance is required for all requests, including BYOK, so fallback providers remain available. Add credits at https://vercel.com/d?to=%2F%5Bteam%5D%2F%7E%2Fai%3Fmodal%3Dtop-up to continue.","source":"analysis-cron"},"flash_summary":{"complexity_score":4,"scope_assessment":{"changed":false,"description":"This order does not expand or remove the statutory power to defer royalties; it prescribes specific eligibility and procedural criteria required under section 102AA(3) of the Act. It narrows how the power is exercised by setting timing, evidentiary and aggregation limits (see section 4), but operates within the Act’s existing deferral framework rather than altering the Act’s substantive scope."},"complexity_factors":["Narrow, rule-based criteria concentrated in one provision rather than a multi-part regulatory scheme (section 4).","Dependence on defined terms and cross-reference to the Act (interpretation definitions in section 3; reference to section 102AA(3) of the Act).","Multiple conditional tests (a)–(h) creating conjunctive eligibility requirements—timing, operational status, prior payment status, single-agreement limit (section 4(a)–(h)).","Discretion vested in the Treasurer to agree to deferral; criteria channel but do not eliminate discretion (section 4 and the Act reference).","Timing constraint requiring an application at least 4 days before quarter end imposes tight compliance deadline (section 4(g)).","Requirement that deferral not be used mainly to fund expansion or upgrade (section 4(b)) creates a substantive limit that may require factual assessment.","Requirement to include amounts owed under any existing deferred royalty agreement and to ensure only one agreement per operation adds aggregation and accounting complexity (sections 4(e) and 4(f)).","Substantive factual judgments required (e.g. 'substantially in operation', 'significant adverse impact', 'reasonably foreseeable') increase the evidentiary burden on applicants and scope for differing interpretations (sections 4(a), 4(c), 4(h))."],"plain_english_summary":"This order sets the rules for when the Treasurer may agree to defer a miner’s royalty payment under the Mineral Resources Development Act. It names who may apply, the timing and eligibility conditions, and limits on deferrals so Treasury can judge if deferral is needed to avoid serious job, investment or viability harm. It affects mining operators’ cash flow and gives the Treasurer a structured discretion to allow short-term payment delays."},"summary":{"complexity_score":2,"scope_assessment":{"changed":false,"description":"Based on the available information, the Order appears to have remained consistent with its original intent since commencement in January 2014. The table of amendments exists but no substantive scope changes are evident from the metadata provided. The instrument continues to serve its original narrow purpose of allowing royalty payment deferral in the Tasmanian minerals sector."},"complexity_factors":["Very limited legislative text available — the substance of the deferral conditions and eligibility criteria is not visible in the provided excerpt","Operates as a subordinate instrument (an Order) under a parent Act, requiring understanding of that parent Act to fully interpret","Minimal apparent amendments since 2014, suggesting stable and simple operation","Single, narrow subject matter (royalty deferral only) limits complexity"],"plain_english_summary":"This Tasmanian government order under the Mineral Resources Development Act 1995 lets the state defer (delay) royalty payments owed by mining and exploration operators rather than cancel them. \n\nIt affects mining companies and, indirectly, taxpayers because it postpones a key revenue stream—giving firms temporary financial relief while delaying government income. The order has been in force since 29 January 2014."},"issue_detection":{"absurdities":[],"contradictions":[]},"kimi_summary":{"content_quality":"ok","complexity_score":3,"scope_assessment":{"changed":false,"description":"The legislation remains tightly focused on its original purpose: specifying the criteria for royalty deferral applications under section 102AA of the parent Act. It has not expanded beyond this narrow administrative function."},"complexity_factors":["Only 8 defined terms in the interpretation section, all straightforward","Single operative section with 8 clear criteria (a)-(h)","No nested exceptions or complex conditional logic — criteria are cumulative (all must be satisfied)","No cross-references to other legislation beyond the parent Act","Plain structure: short title, commencement, definitions, substantive criteria","Total length is approximately 1.5 pages"],"plain_english_summary":"**What this legislation does:**\n\nThis Order sets out the rules for when mining companies in Tasmania can ask to delay paying their royalty bills to the government.\n\n**Who it affects:**\n\n- **Mining companies** operating in Tasmania who owe royalties (payments to the government for extracting minerals)\n- **The Tasmanian Treasurer**, who decides whether to approve deferral applications\n\n**How it works:**\n\nThe main law — the *Mineral Resources Development Act 1995* — allows the Treasurer to make agreements with miners to defer royalty payments. But before the Treasurer can agree, this Order says **eight specific tests must be met**:\n\n1. **The mine must already be running** — not just planned or under construction\n2. **The deferral can't be for expansion** — the main purpose can't be to fund upgrades or grow the operation\n3. **Paying now would cause real harm** — either serious job losses, reduced investment, or the mine might collapse financially\n4. **No other unpaid bills** — the miner must be up-to-date on all other royalties (or already on a payment plan)\n5. **Only one deferral at a time** — no stacking multiple deferral agreements for the same mine\n6. **Roll existing debts in** — if there's already a deferral agreement, the new application must include what's still owed under the old one\n7. **Apply early** — at least 4 days before the quarter ends\n8. **Must be able to pay later** — there must be no obvious reason why the miner won't be able to pay when the deferral ends\n\n**Why it matters:**\n\nThis creates a safety valve for struggling mines while protecting the public purse. It stops healthy companies from using deferrals to fund expansions, ensures the government doesn't get stuck with multiple overlapping IOUs from the same mine, and requires miners to prove they're genuinely in trouble — not just looking for cheap finance."}},"importantCases":[],"_links":{"self":"/api/acts/mineral-resources-development-deferral-of-royalty-order-2014","history":"/api/acts/mineral-resources-development-deferral-of-royalty-order-2014/history","analysis":"/api/acts/mineral-resources-development-deferral-of-royalty-order-2014/analysis","conflicts":"/api/acts/mineral-resources-development-deferral-of-royalty-order-2014/conflicts","importantCases":"/api/acts/mineral-resources-development-deferral-of-royalty-order-2014/important-cases","documents":"/api/acts/mineral-resources-development-deferral-of-royalty-order-2014/documents"}}