Applying to renew a production lease

An application to renew a lease can be made at any time but must be received at least 90 days before the expiry of the term of the lease.

The term of a corresponding (marine) licence is co-extensive with the term of a lease, and a licence is renewed for a further term on each renewal of a lease (without any requirement for an application).

The lease and corresponding licence will expire if not renewed before the expiry of the term of a lease. If a lease and corresponding licence expires, aquaculture can no longer be conducted in the area.

It’s important to note the lessee is required to rehabilitate the leased area to the satisfaction of the Minister before the expiry of the term of the lease as per subclause 28 (1)(a) of the Aquaculture (Standard Lease and Licence Conditions) Policy 2022(the SLLC Policy).

Specifically, subclause 28(2) of the SLLC Policy provides that in order to rehabilitate the leased area pursuant to subclause 28(1) of the SLLC Policy, the lessee must:

1. remove and carry away from the leased area all farmed aquatic organisms, aquaculture equipment (including all concrete anchors and cement mooring blocks), and other improvements, plant, goods and property located or brought upon the leased area by or on behalf of the lessee and in doing so cause as little damage to the leased area as practicable; and
2. on completion of such removal required by paragraph (a), remove all debris, rubbish and waste from the leased area and rehabilitate the leased area in respect of any damage caused by the presence of such waste, rubbish and debris; and
3. reinstate and rehabilitate the leased area and any areas of it affected by the conduct of aquaculture or otherwise in the leased area to the condition existing before the commencement of the lease.

Matters considered in deciding lease renewals

In deciding whether or not to renew a lease and the conditions that may apply in respect of a renewed lease, the Minister may have regard to any of the following:

• Whether the lessee is in breach of, or has previously breached, a condition of the lease.
• The extent to which the lessee has complied with the obligations, conditions and standards of compliance imposed on a lessee under the Aquaculture Act 2001, the Aquaculture Regulations 2016 and an aquaculture policy applying in respect of the lease.
• Whether a corresponding licence holder is in breach of, or has previously breached, a condition of a corresponding licence.
• The extent to which a corresponding licence holder has complied with the obligations, conditions and standards of compliance imposed on a licensee under the Aquaculture Act 2001, the Aquaculture Regulations 2016 and an aquaculture policy applying in respect of the licence.
• Whether a corresponding licence holder has contravened a notice issued under section 33 of the Livestock Act 1997.

This includes, but is not limited to, annual reporting provisions, payment of fee provisions, translocation approval, and adequacy of any applicable bank guarantee, indemnity scheme, and public liability insurance.

Survival of conditions

Importantly, clause 31 (Survival of conditions) of the SLLC Policy stipulates the following provisions relating to obligations of a lessee under a lease survive the expiry of the lease until such time as the Minister is satisfied that the leased area has been adequately rehabilitated:

Clause 15 (Notification to Minister of damage, degradation and risks arising due to aquaculture activity)

Clause 18 (Exclusion of liability)

Clause 23 (Indemnity)

Clause 24 (Guarantee or approved scheme)

Clause 25 (Public Liability Insurance)

Clause 26 (Navigation marks)

Applications

Applications to renew a production lease must be submitted directly to PIRSA Fisheries and Aquaculture.

Application forms can be found here: Aquaculture forms - PIRSA