Option offered to reduce quarry rehab costs

A new payment option recently introduced by the Victorian Government means quarry operators and small-scale miners can now use cash bonds to cover up to $20,000 of their site rehabilitation costs.

The cash bond option, which came into effect on 2 December, 2015, was first announced by Victorian Minister for Energy and Resources Lily D’Ambrosio during a meeting in Bendigo with members of the region’s minerals industry.

“The cash bonds option will make it easier for small mining operators to do business and support jobs in Victoria,” she said. “It ensures the cost of mining site rehabilitation is covered, benefitting industry, the community and the environment.”

A Victorian Government statement noted that the new option provided an alternative to bank guarantees, which will continue to be accepted for operations with an assessed rehabilitation liability of up to $20,000.

“The option will relieve operators of small-scale exploration, prospecting, mining and quarrying sites from the complexities and costs of organising a bank guarantee, while ensuring sufficient financial security for operators to deliver site rehabilitation,” the statement explained.

“We are delivering on our commitment to ensure we have a strong resources industry, while safeguarding community confidence and the environment,” D’Ambrosio added.

It was said that approximately 800 operators in Victoria would be eligible to apply, with the cash bond option to be administered by the state mining regulator, Earth Resources Regulation.

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