Legal development

Key developments in Queensland's land access space in 2024

By Libby McKillop, Paul Wilson and Tony Denholder

25 February 2025

What you need to know

The Queensland Government passed the Mineral and Energy Resources and Other Legislation Amendment Act 2024 (Qld) on 12 June 2024, which makes a range of changes in Queensland's resources space, including the establishment of "Coexistence Queensland", the introduction of amendments to key pieces of resources legislation and a broadening of the functions of other bodies within the sector.
A consultation paper detailing the regulatory issues, opportunities and options for reform in the regulation of green hydrogen energy was released in February 2024. The Consultation Paper outlines the regulatory challenges, opportunities and potential reforms for green hydrogen energy regulation, highlighting the importance of clear and consistent regulations to ensure certainty for investors and developers.
A new landholder guide for negotiating onshore gas activity was released in early 2024. The guide covers each stage of the negotiation process, emphasising the relevant considerations landholders should take into account when negotiating with gas companies.
The Land Access Ombudsman received 47 dispute referrals in the 2023–2024 period, representing a marginal decrease compared to last year.

What you need to

Stakeholders should monitor the implementation and impact of the MEROLA Act, particularly the operationalisation of Coexistence Queensland and the expanded functions of the OGIA and LAO;
Consider the outcomes of the ongoing consultation on the CSG-induced subsidence framework. These will be crucial for stakeholders, as the government reviews feedback to inform the new regulatory framework.
Monitor the regulatory landscape for green hydrogen energy, which is expected to evolve over the coming year, with potential reforms aimed at creating a more cohesive and supportive environment for investors and developers in this industry in Queensland.

Queensland land access and project approvals 2024 year in review

Legislative changes under the MEROLA Act

The Mineral and Energy Resources and Other Legislation Amendment Act 2024 (Qld) (MEROLA Act) was passed with amendment on 12 June 2024. A commencement date is yet to be fixed for most of the amendments. However, some of the amendments, including those relating to Coexistence Queensland, commenced on 18 June 2024.

Coexistence Queensland

In accordance with a Discussion Paper released by the Department of Resources in November 2022, which we previously discussed in our Queensland Land Access and Resource Approvals Year in Review 2023 article "Review of coexistence institutions and other proposed land access reform," the MEROLA Act establishes a new institution called "Coexistence Queensland" to replace the Gasfields Commission Queensland. The purpose of this body is to manage and improve the sustainable coexistence of landholders, the renewable energy industry and the resources of regional communities.

The responsibilities of Coexistence Queensland will expand beyond the onshore gas industry to (amongst other things):

identify broader coexistence issues;
provide advice to Ministers, government entities or other stakeholders about matters relating to the sustainable coexistence of industry, landholders and the community;
facilitate better relationships between industry, landholders and the community; and
provide a central point of contact for enquiries pertaining to the sustainable coexistence of industry, landholders and the community.

Office of Groundwater Impact Assessment (OGIA)

The MEROLA Act expands OGIA's functions to provide independent scientific advice regarding subsurface impacts from authorised petroleum and gas activities as requested by relevant government entities.

Land Access Ombudsman (LAO)

The MEROLA Act broadens LAO's functions to:

include the investigation of breaches of access agreements; and
provide a voluntary alternative dispute resolution service in relation to mining claims and leases, specifically for parties (re-)negotiating make good agreements, conduct and compensation agreements, access agreements and compensation agreements.

These expanded functions will be funded by an industry levy apportioned equally amongst resource tenure holders with an annual levy covering day-to-day operating costs and a quarterly levy covering costs associated with providing alternative dispute resolution services and investigation services.

Other relevant changes

Key stakeholders should also be aware of the following amendments under the MEROLA Act:

the Minister for Resources and Critical Minerals now has discretion to decide the length of time required for land relinquished to the State to be re-released for application if the postponement of release is in the best interests of the State;
the Mineral and Energy Resources (Common Provisions) Act 2014 (Qld) has been amended to allow a person claiming an interest in a resource authority to lodge a caveat over an application for a mining lease under the Mineral Resources Act 1989 (Qld); and
the Mineral and Energy Resources (Financial Provisioning) Act 2018 (Qld) has been amended to refine its operation and increase the prescribed "estimated rehabilitation cost" for risk assessments from $100,000 to $10 million.

CSG subsidence framework

The Mineral Resources and Other Legislation Amendment Bill 2024 (Bill) proposed a new risk-based management framework for the regulation of coal seam gas-induced subsidence, which we previously discussed in our Queensland Land Access and Resource Approvals Year in Review 2023 article "Government releases consultation paper in response to regulatory review of coal seam gas-induced subsidence".

During consideration of the Bill by the Clean Economy Jobs, Resources and Transport Committee, concerns were raised about the complexity of the framework and the lack of consultation on an exposure draft of the Bill.

Consequently, the MEROLA Act no longer includes the proposed coal seam gas-induced subsidence framework. The Government has opted to instead undertake further consultation with relevant stakeholders on the proposed framework, which has now closed. The Government is currently reviewing the feedback that will inform the new framework.

Proposed reforms to accommodate Queensland's green hydrogen industry

In February 2024, the Queensland Government released a consultation paper on developing "an effective regulatory framework for Queensland's green hydrogen industry" (Consultation Paper). The Consultation Paper details the regulatory issues, opportunities and options for reform in the regulation of green hydrogen energy and emphasises the need for clear and consistent regulations to provide certainty for investors and developers, particularly given green hydrogen is currently regulated by a range of separate frameworks.

Current regulatory framework applicable to green hydrogen and options for reform

Existing framework	Application to green hydrogen	Options for reform
Planning	Under the Planning Act 2016 (Qld), approvals for green hydrogen projects are assessed against matters such as environmental impacts, water access, cultural heritage, workplace health and safety and land use requirements.	This framework can either be maintained or reformed to include an energy load threshold assessed by the State.
Renewable Energy	Green hydrogen projects require large scale access to affordable renewable energy, as projects are energy intensive and electricity input prices materially contribute to the cost of production. Currently there is no requirements for renewable energy sourced production under the Electricity Act 1994 (Qld).	Options for reform include introducing requirements for a hydrogen generation licence under the Electricity Act exempting smaller projects or leveraging the proposed Renewable Energy Zone framework to enable greater renewable energy potential for hydrogen projects.
Pipelines	Pipelines are critical infrastructure for transporting hydrogen products, which are regulated through the Petroleum and Gas (Production and Safety) Act 2004 (Qld) and the Gas Supply and Other Legislation (Hydrogen Industry Development) Amendment Act 2023.	While no further amendments are proposed, the Consultation Paper sought feedback on any pipeline-related issues relating to green hydrogen production and transportation.
Common User Infrastructure	Development of green hydrogen projects requires investment in large-scale new or expanded infrastructure.	While no options for reform are proposed, feedback was sought on any amendments to the existing framework that may be required to accommodate green hydrogen.
Water	The Water Act 2000 (Qld) is sufficient for green hydrogen project development. However, this is likely to change as more green hydrogen projects are approved. The Queensland Government is undertaking planning activities to ensure this increased demand can be met.	While no options for reform were proposed, feedback was sought on any amendments to the water framework (particularly with respect to water infrastructure and supply) that may be required.
Safety	The Office of Industrial Relations will administer the Work Health and Safety Act 2011 (Qld) and Electrical Safety Act 2002 (Qld). Resources Safety and Health Queensland will administer the Petroleum and Gas Act to facilitate safety regulations for green hydrogen projects.	The Consultation Paper sought feedback on the current approach to safety risks, whether standalone legislation is required and whether changes to applicable standards for major hazard facilities are required.
Environment	Environmental impact assessments for green hydrogen projects will be assessed under regulatory frameworks in the Environmental Protection Act 1994 (Qld) (EPA) and the Environment Protection and Biodiversity Conservation Act 1999 (Cth).	While no amendments were proposed, the Consultation Paper sought feedback on whether any amendments to the approvals process were required and whether any risks associated with the development and production of green hydrogen were not adequately covered by existing environmentally relevant activity processes.
First Nations impacts and benefits	Ensuring First Nations people and communities benefit from the hydrogen industry is a key priority at the State and Federal level.	Options for reform include maintaining the status quo under the EPA, making community benefit a criteria of granting hydrogen generation licences or extending existing assessment pathways to ensure stakeholders benefit from projects.
Hydrogen storage in geological formations	Above ground storage of hydrogen requires approval under the Planning Act 2016 (Qld), which is an adequate framework. There is currently no framework for below ground storage of hydrogen.	Reforms are proposed to either put frameworks in the existing resources legislation or in standalone legislation.

By engaging stakeholders and seeking comprehensive feedback, the Queensland Government aims to create a regulatory framework that not only supports the growth of the green hydrogen industry but also ensures it contributes positively to the environment and the economy.

Further details regarding the proposed reforms are available in our 28 February 2024 alert "Queensland's green hydrogen regulation – Consultation Paper".

New guide for land access negotiations

Coexistence Queensland has released a new landholder guide for negotiating onshore gas activity. The guide is split across four chapters, each dealing with a different stages of the negotiation process.

Stage 1 – Preparing for engagement with a gas company

The guide urges landholders to be aware of their right to negotiate where gas activities will have a significant impact on their land or residence. Negotiable matters include how access occurs, the location of the activity and any related compensation.

Stage 2 – Understanding the types of agreements available

There are numerous types of agreements that can be negotiated between a landholder and a gas company. Such agreements can relate to gas infrastructure, water bore impairment, gas pipelines, land access and environmental nuisance. Depending on the context, multiple types of agreements may be required.

Stage 3 – Commencing negotiations

The guide covers a range of considerations that landholders can take into account during negotiations, including compensation, conditions relating to conduct, biosecurity plans, property maps, non-monetary benefits, business plans, public liability insurance and the decommissioning process.

Stage 4 – Managing negotiations and agreements

The guide encourages landholders to seek professional advice when negotiating agreements, such as assistance from lawyers, accountants, hydrogeologists, valuers and agronomists.

Key trends in land access disputes

According to the most recent Annual Report published by the Land Access Ombudsman, 47 dispute referrals were directed to the Land Access Ombudsman in 2023–2024. This represents a marginal decrease compared to the 50 referrals received in the previous period from 2022–2023.

Of the 47 dispute referrals, preliminary enquiries were commenced on four of the referrals with no investigative processes following (an increase from two in 2022–2023). Five of the referrals related to the powers of the Land Access Ombudsman, and the remaining 38 were deemed to be out of the Land Access Ombudsman's jurisdiction. These out of jurisdiction claims were redirected to appropriate bodies, most commonly being the Department of Resources and the Queensland Ombudsman. Some complainants were referred to multiple entities due to the mixed subject matter of the claims.

What to look out for in 2025

As we move into 2025, several key developments in the land access and project approvals sector are anticipated:

stakeholders should monitor the implementation and impact of the MEROLA Act, particularly the operationalisation of Coexistence Queensland and the expanded functions of the OGIA and LAO;
the outcomes of the ongoing consultation on the CSG-induced subsidence framework will be crucial, as the government reviews feedback to inform the new regulatory framework; and
the regulatory landscape for green hydrogen energy is expected to evolve over the coming year, with potential reforms aimed at creating a more cohesive and supportive environment for investors and developers in this industry in Queensland.

Want to know more?

Queensland's green hydrogen regulation – Consultation Paper (28 February 2024)
Review of coexistence institutions and other proposed land access reform (18 December 2023)
Queensland land access and resource approvals year in review 2023 (18 December 2023)
Queensland Land Access Year in Review 2022 (20 December 2022)
Key trends in land access negotiations (27 September 2021)

Authors: Libby McKillop, Counsel; Leanne Mahly, Lawyer and Carl Franzmann, Lawyer.