SAIn ForceAct
Aquaculture Act 2001
Div 4Production leases
Start here
Get a plain-English read of Div 4
Turn the raw legal text into a practical explanation grounded in Aquaculture Act 2001.
Division 4—Production leases
34—Granting of production leases limited to aquaculture zones
A production lease may only be granted in respect of an area comprising or including State waters within an aquaculture zone.
35—Granting of production leases and corresponding licences in public call areas
(1) An application for a production lease in respect of an area within an aquaculture zone or part of an aquaculture zone designated as a public call area may only be made following a public call for such applications in accordance with this section.
(2) In making a public call for applications, the Minister may—
(a) determine the particular area, or a maximum area, to be made available for lease; and
(b) establish criteria that must be met by applications, or determine weightings to be applied to applications, based on 1 or more of the following factors:
(i) the species of aquatic organism to be farmed;
(ii) the farming system;
(iii) the feeding system;
(iv) the purpose of the aquaculture;
(v) the size of the lease area;
(vi) the location of the lease area;
(vii) any other factor considered appropriate by the Minister; and
(c) determine that the call is to be in the form of a competitive tender with monetary bids.
(3) A public call for applications must be made by notice published on a website determined by the Minister or in a newspaper circulating generally in the State and may be advertised in any other manner that the Minister thinks fit.
(4) The following information must be readily available to potential respondents to the public call for applications:
(a) the aquaculture zone or the part of the zone to which the public call relates;
(b) the area or the maximum area available for lease;
(c) any applicable criteria and weightings;
(d) information about the required manner and form of the applications;
(e) the period within which applications must be made.
(5) ATAB must assess each of the applications received in accordance with a public call for applications taking into account—
(a) the objects of this Act; and
(b) any prescribed criteria or other relevant provisions of the applicable aquaculture policy; and
(c) any applicable criteria and weightings.
(6) The assessment must be carried out in accordance with the Minister's assessment guidelines.
(7) On completion of the assessment, ATAB must make recommendations to the Minister (disregarding any limit on the area available for lease) as to—
(a) any applications that should not be granted; and
(b) the order of merit of the other applications (and, to the extent that applications would otherwise be of the same order of merit, the order is to be determined by the drawing of lots and the Minister is to be informed of that fact).
(8) Following receipt of ATAB's recommendations, the Minister is to determine the preferred applications and may negotiate with the applicants adjustments to the size and location of the areas sought to be leased so as to maximise the total area leased and resolve any conflict between the applications in relation to the area sought to be leased (to the extent that it is possible to do so without affecting the basis on which the applications were assessed in a material respect).
(9) The Minister may grant a corresponding licence containing specified conditions on a preferred application if—
(i) the grant of the licence would be consistent with the objects of this Act and any prescribed criteria or other relevant provisions of an applicable aquaculture policy; and
(i) has caused public notice of the application to be published in accordance with subsection (3) and invited interested persons to make written submissions on the application within the period allowed in the notice; and
(10) An aquaculture policy identifying an aquaculture zone may exclude the application of subsection (9)(b) in relation to an application for a lease within the zone in circumstances specified in the policy.
(11) The Minister must, at the request of a person who has made a written submission to the Minister under subsection (9), give the person a written statement of the Minister's reasons for the decision made by the Minister in relation to the matter on which submissions were invited.
(12) If a preferred application is withdrawn or a decision is made not to grant the lease or licence on the application, any application that would have been a preferred application if the application that is withdrawn or not granted had not been made may become a preferred application in relation to the public call and be dealt with accordingly.
36—Granting of production leases and corresponding licences if public call not required
(1) If an application is made for a production lease in respect of an area within an aquaculture zone or part of an aquaculture zone that is not designated as a public call area, ATAB must assess the application and the accompanying application for a corresponding licence, taking into account the objects of this Act and any prescribed criteria or other relevant provisions of an applicable aquaculture policy and make a recommendation to the Minister as to whether or not the lease and corresponding licence should be granted.
(2) The assessment must be carried out in accordance with the Minister's assessment guidelines.
(3) The Minister may grant a corresponding licence containing specified conditions on the application if—
(i) the grant of the licence would be consistent with the objects of this Act and any prescribed criteria or other relevant provisions of an applicable aquaculture policy; and
(i) has caused public notice of the application to be published on a website determined by the Minister or in a newspaper circulating generally in the State and invited interested persons to make written submissions on the application within the period allowed in the notice; and
(4) An aquaculture policy identifying an aquaculture zone may exclude the application of subsection (3)(b) in relation to an application for a lease within the zone in circumstances specified in the policy.
(5) The Minister must, at the request of a person who has made a written submission to the Minister under subsection (3), give the person a written statement of the Minister's reasons for the decision made by the Minister in relation to the matter on which submissions were invited.
37—Conversion of pilot leases to production leases
(1) The holder of a pilot lease may apply to the Minister for conversion of the lease to a production lease.
(2) The Minister may convert a pilot lease on an application made under this section not more than 60 days and not less than 30 days before the end of a term of the pilot lease if—
(a) the State waters comprising or included in the pilot lease are within an aquaculture zone; and
(b) the Minister is satisfied that aquaculture has been carried on in the area of the pilot lease during each term of the pilot lease that meets performance criteria specified by the conditions of the pilot lease.
(3) The Minister may convert a pilot lease on an application made not more than 90 days and not less than 60 days before the end of a term of the pilot lease if—
(aa) the aggregate of the terms of the pilot lease exceed 3 years; and
(i) conversion of the pilot lease to a production lease would be consistent with the objects of this Act and any prescribed criteria or other relevant provisions of an applicable aquaculture policy; and
(ii) aquaculture has been carried on in the area of the pilot lease during each term of the pilot lease that meets performance criteria specified by the conditions of the pilot lease; and
(b) the matter has been referred to the EPA under Part 8 and the EPA has approved the conversion of the lease.
(4) An application for conversion of a pilot lease under this section—
(b) must be accompanied by a fee of an amount determined by the Minister.
(4a) Despite subsections (2) and (3), the Minister may, at his or her discretion and on payment of the fee fixed by regulation, accept a late application for conversion of a pilot lease made before the end of the term of the lease.
(5) An applicant for conversion of a pilot lease must provide the Minister with any information required by the Minister for the purposes of determining the application, verified, if the Minister so requires, by statutory declaration.
(5a) If an application for conversion of a pilot lease has not been determined before the end of the term of the pilot lease, the term of the pilot lease is extended until such time as the application is determined (even if the aggregate of the terms of the lease will then exceed 5 years).
(6) Conversion of a pilot lease to a production lease under this section will have effect from the end of the term of the pilot lease during which the application for conversion was made.
(7) On the conversion of a pilot lease under this section, the term of the corresponding licence is extended so that it is co-extensive with the term of the lease as converted.
(8) Conversion of a lease by the Minister under this section is not to be taken to constitute the granting of a lease for the purposes of this Act.
38—Term and renewal of production leases
(1) The term of a production lease is such period (not exceeding 30 years) as is specified in the lease.
(1a) The Minister may, on application by the holder of a production lease that—
(a) has a term of 20 years or less; and
(b) was in force immediately before the commencement of this subsection,
extend the term of the lease by such period as the Minister thinks fit (but such an extension cannot prolong the term of the lease beyond the thirtieth anniversary of the day on which the lease was granted or renewed).
(1b) The term of a production lease cannot be extended under subsection (1a) more than once.
(2) A production lease is renewable for successive terms.
(3) This section has effect subject to provisions of this Act or a production lease for the renewal or cancellation of the lease.
39—Transfer of production leases
(1) A production lease may be transferred by the lessee if—
(a) the Minister consents to the transfer; and
(b) in a case where the public register includes a notation that a specified person has an interest in the lease—the specified person consents to the transfer.
(2) An application for the consent of the Minister to the transfer of a production lease—
(b) if the public register includes a notation that a specified person has an interest in the lease—must be accompanied by evidence that the person consents to the transfer; and