Issue
Is the use of a fork-lift to transport essential items utilised in the recovery and/or beneficiation of minerals within a mine site, 'mining operations' as defined in section 11 of the Energy Grants (Credits) Scheme Act 2003 (EGCSA)?
Decision
Yes. The use of a fork-lift to transport essential items utilised in the recovery and/or beneficiation of minerals within a mine site is 'mining operations' as defined in section 11 of the EGCSA.
Facts
The entity operates in the mining industry and undertakes open cut mining.
The fork-lifts are used around the site to move heavy items such as pipes, pallets and drilling equipment. The pipes, pallets and drilling equipment are used to mine for minerals and beneficiate those minerals.
Reasons for Decision
The term 'mining operations' is defined in section 11 of the EGCSA. The definition includes operations for the recovery of minerals, being mining for minerals or beneficiation of those minerals, or of ores bearing those minerals.
However, subsection 11(2) of the EGCSA excludes from the meaning of 'mining operations' various activities including: (b) use of a vehicle (other than a fork-lift, front end loader, tractor or other similar vehicle that is specified in the regulations) not exceeding 3.5 tonnes gross vehicle mass, other than such a vehicle that is extensively modified for use underground while it is so used;
As the fork-lifts are being used in the recovery and/or beneficiation of minerals, and fork-lifts are not excluded by paragraph 11(2)(b) of the EGCSA, the use of fork-lifts to transport essential items (such as water pipes and drilling equipment) qualifies as 'mining operations' as defined in section 11 of the EGCSA.
The rationale applied to fork-lifts can equally be applied to front-end loaders, tractors and other similar vehicles that are specified in the regulations.