LEGISLATION introduced to State Parliament will see fines increased for any breaches of mining or exploration licences.
Resources Minister Chris Hartcher said the maximum fines have increased ten-fold with the maximum fine for a corporation being raised to $1.1 million and fines for individuals to $220,000.
"A breach of a condition or a direction could have the potential to significantly impact the environment. The amendments show how serious the NSW Government is about preventing harm and dealing with those who do the wrong thing," Mr Hartcher said.
The increased penalties follow the release of the government's Strategic Regional Land Use Policy and a toughening of the enforcement and compliance framework.
Mr Hartcher also said the royalty-free period for coal seam gas licences will be removed from January 1, 2013, with a 10% rate introduced and paid into a Regional Community Fund to ensure local communities benefit from local operations.