NSW Reviewing CSG Royalty Laws

Government of New South Wales is reportedly reviewing a law that gives producers of coal seam gas a five year royalty free period.

The law, in place since early 1990’s, gives companies exemption from royalties for the first five years of production.

After the initial five year period, a five per cent rate is imposed, which goes up by one per cent per year until the full rate of 10 per cent is reached.

A spokesman for Energy and Resources Minister Chris Hartcher says change may be on the way.

However, Hatcher gave no timeframe for when a decision will be made.