Energy Resources Act 2000
Part 8Transmission pipelines
Start here
Get a plain-English read of Part 8
Turn the raw legal text into a practical explanation grounded in Energy Resources Act 2000.
Part 8—Transmission pipelines Division 1—Pipeline licence 46—Rights conferred by pipeline licence (1) A pipeline licence authorises the licensee to operate and maintain the transmission pipeline to which it relates. (2) If the licence is granted for a proposed transmission pipeline, the licence also authorises the licensee to construct (or complete the construction of) the relevant transmission pipeline. (3) A pipeline licence may be granted for the whole or part of a transmission pipeline. (4) A pipeline licence— (a) can only be held by a body corporate (or two or more bodies corporate); and (b) can only be held in respect of a transmission pipeline or proposed transmission pipeline owned by a body corporate (or two or more bodies corporate). (5) The Minister may, on application by a licensee holding a pipeline licence, vary the licence to cover an extension to, or a variation to the route of, the pipeline. (6) If it is reasonably necessary for the holder of a pipeline licence to carry out a regulated activity on land that is adjacent to the site of the pipeline, the holder may, with the consent of the Minister, carry out that activity on that land as if it formed part of the pipeline land. 47—Term and renewal of pipeline licence (1) The term of a pipeline licence is 21 years or a lesser term agreed between the pipeline licensee and the Minister. (2) Subject to any agreement between the Minister and the pipeline licensee excluding or limiting this right of renewal, a pipeline licence must, on application for renewal, be renewed for a further term. 48—Alteration of pipeline A pipeline licensee must not alter or modify, or permit the alteration or modification of, the pipeline except as follows: (a) as authorised in the pipeline licence; or (b) as may be necessary for the repair or maintenance of the pipeline; or (c) as may be necessary for the preservation of life or property in an emergency; or (d) as may be authorised by the Minister. Division 2—Access to pipeline 49—Ministerial power to require access to pipeline (1) The Minister may, by written notice given to the holder of a pipeline licence, require the holder to convey a regulated substance for another person on terms and conditions mutually agreed by the holder and the other person or, in default of agreement, on terms and conditions determined by the Minister. (2) In considering whether to require the holder of a pipeline licence to convey a regulated substance for another and if so the appropriate terms and conditions on which the holder should be required to do so, the Minister must have regard to— (a) the legitimate business interests of the licensee; and (b) the public interest including the public interest in facilitating competition in markets; and (c) the interests of other persons who have rights of access to the pipeline; and (d) the cost of providing access to the pipeline; and (e) the operational and technical requirements for the safe, efficient and reliable operation of the pipeline; and (f) any other matters the Minister considers relevant. (3) A determination under this section, and the Minister's reasons for making it, are to be published in the Gazette. (4) This section does not apply if access to the relevant transmission pipeline is governed under some other law. Division 3—Special provisions about pipelines 50—Acquisition of land by holder of pipeline licence (1) The holder of a pipeline licence must, as soon as practicable after the grant of the licence, proceed to acquire the pipeline land reasonably required for constructing or operating, or constructing and operating, the relevant pipeline. (2) Despite any limitation on the powers of a body corporate existing apart from this section, a body corporate is authorised to transfer to the holder of a pipeline licence any land required for the construction or operation of a pipeline under the relevant pipeline licence. 51—Pipeline easements An easement acquired for the construction or operation of a pipeline is an easement in gross that does not depend on the existence of a dominant tenement. 52—Compulsory acquisition of land for pipeline If the Minister is satisfied that the holder of a pipeline licence— (a) reasonably requires land (apart from the interest conferred by the licence) for the purpose of constructing, modifying or operating a pipeline or for incidental purposes; and (b) has failed to acquire the land by agreement after making reasonable attempts to do so, the holder may, with the Minister's approval, proceed to acquire the land compulsorily under the Land Acquisition Act 1969. 53—Pipeline to be chattel A pipeline is a chattel and capable of being acquired, owned, dealt with and disposed of as such. 54—Inseparability of dealings with pipeline and pipeline land Unless the Minister gives written consent, a pipeline cannot be transferred, mortgaged, or otherwise dealt with separately from the pipeline land related to the pipeline, nor can pipeline land be transferred, mortgaged or dealt with separately from the pipeline to which it relates. 55—Resumption of pipeline (1) If a pipeline for which a licence was granted is not used for the transportation of a regulated substance for a continuous period of more than 3 years, the Minister may give written notice to all interested persons of intention to resume the pipeline and the pipeline land. (2) The interested persons are— (a) the holder (or former holder) of the pipeline licence; and (b) the owner of, and other persons interested in, the pipeline and the related pipeline land. (3) Before the Minister gives notice under subsection (1), the Minister must— (a) invite all interested persons to make representations about the proposed resumption; and (b) consider any representations made in response to the invitation. (4) The notice of the intended resumption— (a) may be given whether or not a pipeline licence remains in force for the pipeline (but if a licence is in force, the notice terminates the licence); and (b) must be given to all interested persons. (5) The owner of the pipeline may within 6 months after the notice is given take up and remove the pipeline and associated structures (wholly or in part) and restore the relevant land as far as practicable to its former condition. (6) After the six month period has ended, the Minister may exercise either or both of the following powers: (a) the Minister may, by written notice given to the owner of the pipeline, require the owner, within a reasonable time stated in the notice, to remove buildings, structures and fixtures associated with the pipeline and to restore the land, as far as practicable, to its former condition; and (b) the Minister may, by notice published in the Gazette, vest the pipeline land and any buildings, structures and fixtures (including the pipeline) remaining on the land in the Crown. (7) If the owner of the pipeline fails to comply with a notice under subsection (6)(a), the Minister may have the necessary work carried out and recover the cost of doing so from the owner. (8) No compensation is payable for the divestiture of property under subsection (6)(b). (9) If an easement is vested in the Crown under subsection (6)(b), the Minister may, by notice in the Gazette, surrender (and thus extinguish) the easement. 55A—Liability to council rates The land that constitutes pipeline land under this Act is exempt from the requirement to pay rates under the Local Government Act 1999.