The Western Australian Government has announced that the Mining Rehabilitation Fund (MRF) will undergo review by Marsden Jacob Associates, to determine whether the fund is still serving its purpose and to determine if there are sufficient financial reserves available.
The Western Australia Government uses the MRF if a mine operator is unable to meet their rehabilitation obligations and the site is declared abandoned. Marsden Jacob Associates will consult with a wide range of stakeholders, having completed an MRF evaluation in 2018.
The Mining Rehabilitation Fund Act 2012 (MRF Act) was created to ensure the mining industry is financially responsible for restoring existing and abandoned mine sites – not Western Australian taxpayers.
Western Australian tenement holders, except those under State Agreements, are required to pay an annual levy to the fund, with contributions based on the level of ground disturbance on the tenement.
A statutory panel monitors the MRF financial reserves and levy contribution rate to ensure they meet current and emerging rehabilitation liabilities.
The MRF also provides funds to address legacy mine sites and is currently supporting the Safer Shafts for Towns project that remediates risks close to regional communities.
The MRF Act requires an independent review to be conducted within ten years of its commencement.
Western Australian Minister for Mines and Petroleum, Bill Johnston, said that the Western Australian Government remains committed to achieving a successful balance between robust environmental standards and a strong and dynamic resources sector.
“We will continue to work with industry and the community to ensure we deliver best practice mine rehabilitation outcomes for our state,” Mr Johnston said.
“The Mining Rehabilitation Fund’s support of abandoned mines, like Ellendale (diamond mine), are invaluable as it helps to assess risks and identify any remediation works to benefit the local community.”
