Our coal royalty registered customers need to be aware of the following changes, which take effect from 1 July 2024.

On this page

• Increase in coal royalty rates
• The Value of Coal Recovered Ministerial Determination 2024 comes into effect
• Beneficiation rates increase

An increase in the royalty rates for coal

Following the Treasurer’s announcement in the 2023-2024 budget, the coal royalty base rates increase by 2.6% from 1 July 2024.

The new rates for coal royalty are:

• 10.8% of the value of coal recovered by open cut mining methods.
• 9.8% of the value of coal recovered by underground mining methods.
• 8.8% of the value of coal recovered by deep underground mining methods.

All coal royalty returns and assessments from 1 July 2024 will reflect this change. Read more about coal royalties or lodging your return.

The Value of Coal Recovered Ministerial Determination 2024 comes into effect

The Value of Coal Recovered Ministerial Determination 2024 (Determination) replaces the Ministerial Determination made under section 283(5) of the Mining Act 1992, dated 31 December 2008.

This Determination provides the manner for calculating the value of coal recovered. It contains, among other things, updated details on allowable deductions that may be claimed and notes on the treatment of blending with non-leasehold coal, provisional sales and related party transactions.

Beneficiation rates increase

Beneficiation is an allowable deduction provided for by the Determination.

There will be an annual increase in the beneficiation rates for each of the next 3 financial years commencing 1 July 2024.

The beneficiation rates are to be increased by multiplying the previous year’s beneficiation rate by 1 plus the annual CPI% increase (All Groups Australia) as published in the June quarter publication of the previous financial year.

The Royalty Online Service (ROS) will be updated with the new rates when they become available and all coal royalty returns from 01 July 2024 will reflect this change.