Exemptions - Frequently Asked Questions
Resource Sites and Resource Operational Work
The information on this web page should be considered and read in conjunction with the Building and Construction Industry (Portable Long Service Leave) Act 1991 (BCI Act) and the Building and Construction Industry (Portable Long Service Leave) Regulation 2024 (the Regulation).
In particular, the information contained at:
- Section 70(2) of the BCI Act
- Section 7(4) - (5) of the Regulation
- Schedule Dictionary of the Regulation
Exclusions under s 70(2) of the BCI Act
There are provisions under s 70(2) of the BCI Act, that state levy is not payable for specified building and construction work, or a specified part of such work.
‘Levy’ is made up of three separate components:
- building and construction industry training levy (BCIT)
- long service leave levy (LSL)
- work health and safety levy (WHS).
Depending on the circumstance, you may be required to pay none, one, two or all three of the components that make up the levy.
The works and the Regulation
There are two individual areas in the Regulation that will determine what levy is payable for works at a site connected with the resource sector.
MINE (and similar) Exemption
Section 7(4) of the Regulation, stipulates that work health and safety levy is not payable for work carried out on:
(a) a coal mine under the Coal Mining Safety and Health Act 1999; or
(b) a mine under the Mining and Quarrying Safety and Health Act 1999; or
(c) an operating plant under the Petroleum and Gas (Production and Safety) Act 2004, on land the subject of—
(i) a 1923 Act petroleum tenure under the Petroleum Act 1923; or
(ii) a petroleum authority under the Petroleum and Gas (Production and Safety) Act 2004; or
(iii) a GHG authority under the Greenhouse Gas Storage Act 2009; or
(d) a facility or plant used for drilling or drilling related purposes in geothermal exploration under the Geothermal Energy Act 2010.
ROW Exemption
Section 7(5) of the Regulation states that where the work is determined to be resource operational work (ROW), then the building and construction industry training levy and the long service leave levy is not payable.
What is ROW?
Resources operational work means work that is the conduct of a resources operation, or an activity ancillary to, or carried out in connection with a resources operation, including:
- erecting, below or above a mine portal of an underground mine, a conveyor belt to be used substantially below the portal; or
- mining development activities below or substantially below the mine portal of an underground mine; or
- purchasing, mobilising and constructing mobile plant or equipment, other than a dragline, for a resources operation; or
- maintaining or repairing mobile plant and draglines, including a shutdown; or
- ancillary or incidental generation, supply or transmission of electric power or steam for a resources operation; or
- loading or handling of bulk materials at a wharf; or
- installing wells, gathering lines and associated infrastructure to extract hydrocarbons and by-products, upstream of, but not in or on, a processing facility; or
- maintaining or extending haul roads used for a resources operation under a mining tenement; or
- maintaining or repairing fixed facilities, plant and equipment, other than a shutdown; or
- prospecting or exploring activities carried out in connection with mining under a mining tenement; or
- work, other than the construction of roads, to allow land access on or to a place where the following are being conducted.
- work, other than the construction of roads, to allow land access on or to a place where a resources operation is being conducted; or
- land clearing or rehabilitation work carried out in connection with mining under a mining tenement.
The Schedule Dictionary of the Regulation and provides further guidance regarding the meaning of:
- resources operational work
- resources operation
- mining
- mining tenements
- mobile plant
- shutdown
What is not ROW?
The following is not considered resources operational work (ROW):
- Erecting a conveyor belt to be used substantially on the surface of land
- constructing a dragline, or the complete deconstruction and reconstruction of a dragline in a new location if it has not moved under its own power
- constructing, deconstructing or reconstructing fixed plant or equipment
- a shutdown of fixed plant or equipment
A shutdown in relation to facilities, plant or equipment, means carrying out substantial maintenance or repair work on the facilities, plant or equipment, resulting in the cessation of the conduct of a resources operation if the cessation is for at least 30 days, and the entire period of cessation is reasonably required for the carrying out of maintenance or repair work.
What does this mean?
In short, there are four scenarios you are most likely to encounter:
- Work that is subject to the MINE exemption and ROW exemption - no levy payable
- Work that is subject to the ROW exemption - WHS payable
- Work that is subject to the MINE exemption - BCIT and LSL payable
- Work that isn’t included in either the MINE or ROW exemption - full levy payable
What levy will you need to pay to QLeave?
You should notify QLeave of the building and construction works you are intending on carrying out that will cost more than $150,000.
In your notification you can apply for relief from the components of levy you don’t believe you need to pay. You will be required to provide documentation supporting your claim.
QLeave will assess your claim, make a determination in accordance with section 7 of the Regulation.
We will provide you with a written response of our decision, along with what steps you can take if you disagree.
ROW examples
To understand how the legislation applies to your specific project or work type, we recommend reviewing the legislation under the Act and Regulation directly or seeking further advice from QLeave.