Obligations and compliance

NZP&M introduced new business practices relating to compliance for annual reporting, technical reporting, payment of annual fees, royalty payments and work programme obligations.

We record two aspects of non-compliance in relation to each obligation: Timeliness and Quality. If obligations are not met within the statutory timeframe they will always be recorded as being late. However the severity of non-compliance may be reduced if an item is received later and meets the quality requirements of the Act, Regulations or permit conditions

Any non-compliance will be communicated to the permit administrator. In cases of multiple or serious non-compliance a permit may be revoked. Any non-compliance may be taken into account when assessing applications.

Please note: there is no longer a mechanism under the Act/Minerals Programmes for work programme non-compliance excusal.

Timeliness

Permit holders are responsible for notifying NZP&M of the completion of obligations, and should pre-empt any potential non-compliance by getting in touch with us early.

To avoid any non-compliance, permit holders are required to lodge any application for a change of conditions at the latest 90 days prior to the due date of the obligation. Without compelling reasons for lateness, a change of conditions application cannot be accepted less than 90 days before a work programme obligation is due.

Should a petroleum permit holder wish to amend the contingent stage of the work programme prior to committing – this must also be lodged 90 days out from the commit or surrender date.

Quality

Non-compliance relating to the quality of obligation reporting will be communicated to the permit administrator and the opportunity will be given to rectify it, i.e. where reports and data submissions do not meet the requirement of the regulations

The late submission of an annual report or a commit or surrender obligation will be recorded as non-compliant on timeliness, but compliant on quality. Or an annual report received on time but incomplete, will be recorded as compliant on timeliness but non-compliant on quality.

Obligation Reporting

NZP&M will send each permit holder a report via email twice yearly that lists their upcoming obligations over the next 12 months. This report is also available through the Online Permitting System at any time.

Please note: Permit holders must inform us of compliance with their work programme obligations before the due date. This should include reporting obligations set out in their work programme.

Permit holders will receive a letter informing them of any unmet obligations.

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