Energy Legislation (Regulatory Reform) Act 2004

Act No. 25/2004

table of provisions

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SectionPage

Part 1—Preliminary

1.Purpose

2.Commencement

Part 2—Amendments to Electricity Industry Act 2000

3.New definition of Tariff Order

4.Amendment and repeal of provisions relating to old Tariff Order

5.New section 15A inserted

15A.New Tariff Order

6.Supplier of last resort

7.Repeal of sections 41, 42, 43, 44 and 46(1) (electricity market)

8.Sunset for electricity market provisions

9.Rateability of certain property

Part 3—Amendments to Gas Industry Act 2001

10.Definition of "Tariff Order"

11.References to Tariff Order

12.New section 20A inserted

20A.New Tariff Order

13.Repeal of section 33 (reliability of retail supply)

14.Supplier of last resort

15.Repeal of section 37 (restriction on retail sale of gas by significant producers)

16.Cost recovery

17.Repeal of Part 5 (significant producers)

18.References to significant producers

19.Functions of VENCorp

Part 4—Amendments to Electricity Industry (Residual provisions) Act 1993

20.Power to specify certain amounts for purposes of National Electricity Code

21.Repeal of clause 6 of Schedule 4

Part 5—Amendment toElectricity Safety Act 1998

22.Acceptance of scheme

23.Electric Line Clearance Consultative Committee

Part 6—Amendments to Other Acts

24.Gas Industry (Residual Provisions) Act 1994

25.Federal Courts (Consequential Amendments) Act 2000

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Endnotes

1

SectionPage

Victoria

No. 25 of 2004

1

SectionPage

1

SectionPage

Energy Legislation (Regulatory Reform) Act 2004[†]

[Assented to 25 May 2004]

1

Act No. 25/2004

Energy Legislation (Regulatory Reform) Act 2004

1

Act No. 25/2004

Energy Legislation (Regulatory Reform) Act 2004

The Parliament of Victoria enacts as follows:

1

Part 6—Amendments to Other Acts

Energy Legislation (Regulatory Reform) Act 2004

Act No. 25/2004

Part 1—Preliminary

1.Purpose

The main purposes of this Act are—

(a)to amend the Electricity Industry Act 2000

(i)to replace the existing Tariff Order with a more limited Order; and

(ii)to clarify when a generation company is liable to be rated in respect of land used for generation functions; and

(iii)to improve generally the operation of that Act;

(b)to amend the Gas Industry Act 2001

(i)to replace the Victorian Gas Industry Tariff Order with a more limited Order; and

(ii)to repeal certain provisions regulating significant producers of gas; and

(iii)to improve generally the operation of that Act;

(c)to amend the Electricity Industry (Residual Provisions) Act 1993 in relation to the regulation of charges for electricity purchased under the National Electricity Code;

(d)to amend the Electricity Safety Act 1998 in relation to electricity safety management schemes.

2.Commencement

s. 2

(1)This Act (except sections 3, 4, 5, 10, 11, 12, 21 and 24) comes into operation on the day after the day on which it receives the Royal Assent.

(2)Sections 3, 4, 5, 10, 11, 12, 21 and 24 come into operation on a day or days to be proclaimed.

(3)If a provision referred to in sub-section (2) does not come into operation before 30 June 2005, it comes into operation on that day.

______

See:
Act No.
68/2000.
Reprint No. 1
as at
13 June 2002
and amending
Act Nos
10/2002, 30/2003, 40/2003 and 106/2003.
LawToday:

dpc.vic.
gov.au

Part 2—Amendments to Electricity Industry Act 2000

3.New definition of Tariff Order

s. 3

In section 3 of the Electricity Industry Act 2000 for the definition of "Tariff Order" substitute—

' "Tariff Order" means an Order made under section 15A as that Order is amended and in force from time to time;".

4.Amendment and repeal of provisions relating to old Tariff Order

(1)In section 11(1) of the Electricity Industry Act 2000 omit ", whether under the Tariff Order or otherwise".

(2)Section 14 of the Electricity Industry Act 2000 is repealed.

(3)Section 15(2) of the Electricity Industry Act 2000 is repealed.

(4)In section 15(4) of the Electricity Industry Act 2000 for "Sub-sections (2) and (3) are" substitute "Sub-section (3) is".

(5)In section 15(5) of the Electricity Industry Act 2000 for "sub-section (2) or (3)" substitute
"sub-section (3)".

5.New section 15A inserted

s. 5

After section 15 of the Electricity Industry Act 2000 insert—

"15A.New Tariff Order

(1)The Governor in Council may, by Order published in the Government Gazette—

(a) specify pricing principles to apply to the making of any determination under the Essential Services Commission Act 2001 regulating charges (other than charges for excluded services) for connection to, and the use of, any distribution system;

(b)determine or authorise the Commission to determine the distribution services that are to be excluded services for the purposes of a determination regulating charges for connection to, and the use of, a distribution system;

(c)specify the criteria to be complied with by the Commission in determining the distribution services that are to be excluded services for the purposes of a determination regulating charges for connection to, and the use of, a distribution system;

(d)make provision for any matter ancillary to any matter referred to in paragraphs (a) to (c).

(2)The Governor in Council may, by Order published in the Government Gazette, amend or revoke an Order under this section.".

6.Supplier of last resort

In section 27(5)(a) of the Electricity Industry Act 2000 omit "suspended or".

7.Repeal of sections 41, 42, 43, 44 and 46(1) (electricity market)

s. 7

Sections 41, 42, 43, 44 and 46(1) of the Electricity Industry Act 2000 are repealed.

8.Sunset for electricity market provisions

(1)After section 45(2) of the Electricity Industry Act 2000 insert—

"(3)This section ceases to have effect on 31December 2005.".

(2)After section 46(5) of the Electricity Industry Act 2000 insert—

"(6)This section ceases to have effect on 31December 2005.".

9.Rateability of certain property

After section 94(8) of the Electricity Industry Act 2000 insert—

"(8A) A generation company or an associated entity of a generation company is deemed for the purposes of this section to be liable to pay rates in respect of land used for generation functions if the generation company or the associated entity—

(a)is liable to pay rates in respect of the land under the Local Government Act 1989; or

(b)is liable to pay rates in respect of the land under an agreement with the person who is liable to pay rates in respect of the land under the Local Government Act 1989.".

______

See:
Act No.
31/2001.
Reprint No. 1
as at
2 July 2002 and amending
Act Nos
30/2003, 40/2003 and 106/2003.
LawToday:

dpc.vic.
gov.au

Part 3—Amendments to Gas Industry Act 2001

10.Definition of "Tariff Order"

s. 10

In section 3 of the Gas Industry Act 2001, in the definition of "Tariff Order", for paragraph (a) substitute—

"(a)an Order made under section 20A as that Order is amended and in force from time to time;".

11.References to Tariff Order

(1)For the heading to section 20 of the Gas Industry Act 2001 substitute—

"Wimmera and Colac Tariff Order".

(2)In sections 20(1), 20(5) and 20(8) of the Gas Industry Act 2001 for "A Tariff Order" substitute "The Wimmera and Colac Tariff Order".

(3)In sections 20(2), 20(3), 20(6) and 20(9) of the Gas Industry Act 2001 for "a Tariff Order" substitute "the Wimmera and Colac Tariff Order".

(4)After section 20(9) of the Gas Industry Act 2001 insert—

'(10) In this section "Wimmera and Colac Tariff Order" means the Wimmera and Colac Gas Supply Tariff Order 1998 published in the Government Gazette on 17 December 1998 as that Order is amended and in force from time to time.'.

12.New section 20A inserted

s. 12

After section 20 of the Gas Industry Act 2001 insert—

"20A.New Tariff Order

(1)The Governor in Council may, by Order published in the Government Gazette—

(a)determine or authorise the ACCC to determine services that are to be excluded services in relation to the transmission of gas;

(b)authorise the ACCC to regulate the terms and charges for the provision of excluded services in relation to the transmission of gas;

(c)specify pricing principles to apply to any determination of the ACCC relating to charges for connection to and use of a transmission pipeline;

(d)determine or authorise the Commission to determine services that are to be excluded services in relation to the distribution of gas;

(e)authorise the Commission to regulate the terms and charges for the provision of excluded services in relation to the distribution of gas;

(f)specify pricing principles to apply to any determination of the Commission relating to charges for connection to and use of any distribution pipeline;

(g)make provision for any matter ancillary to any matter referred to in paragraphs (a) to (f).

(2)If the provisions of an Order under this section are inconsistent with the Access Code or any access arrangement approved under the Access Code, the provisions do not apply to the extent of the inconsistency.

(3)The Governor in Council may, by Order published in the Government Gazette, amend or revoke an Order under this section.".

13.Repeal of section 33 (reliability of retail supply)

s. 13

Section 33 of the Gas Industry Act 2001 is repealed.

14.Supplier of last resort

In section 34(5) of the Gas Industry Act 2001 for paragraphs (a) and (b) substitute—

"(a)the first licensee's licence is revoked; or

(b)the first licensee has been deregistered as a market participant in the category of retailer under the MSO Rules after a notice of suspension was issued to the licensee by VENCorp under those Rules—".

15.Repeal of section 37 (restriction on retail sale of gas by significant producers)

Section 37 of the Gas Industry Act 2001 is repealed.

16.Cost recovery

After section 68(5) of the Gas Industry Act 2001 insert—

"(6)This section ceases to have effect on 31December 2007.".

17.Repeal of Part 5 (significant producers)

Part 5 of the Gas Industry Act 2001 is repealed.

18.References to significant producers

s. 18

(1)For section 128(2)(a) of the Gas Industry Act 2001 substitute—

"(a)if the significant producer has a controlling interest or a substantial interest in a gas retailer;".

(2)For section 128(3)(b) of the Gas Industry Act 2001 substitute—

"(b)if the person has a controlling interest or a substantial interest in a gas retailer;".

19.Functions of VENCorp

Section 160(1)(i) of the Gas Industry Act 2001 is repealed.

______

See:
Act No.
130/1993.
Reprint No. 5
as at
1 January 2001
and amending
Act Nos 105/1997,
44/2001, 62/2001, 68/2001 and 11/2002.
LawToday:

dpc.vic.
gov.au

Part 4—Amendments to Electricity Industry (Residual Provisions) Act 1993

20.Power to specify certain amounts for purposes of National Electricity Code

s. 20

After section 158BA(1) of the Electricity Industry (Residual Provisions) Act 1993insert—

"(1A)The Governor in Council, by Order published in the Government Gazette, may authorise the Minister administering this Act to, by notice published in the Government Gazette, specify an amount for the purposes of clauses 3.3 and 4.3 of schedule 9A.2 of the National Electricity Code.".

21.Repeal of clause 6 of Schedule 4

Clause 6 of Schedule 4 to the Electricity Industry (Residual Provisions) Act 1993 is repealed.

______

See:
Act No.
25/1998.
Reprint No. 3
as at
29 July 2002
and amending
Act No.
40/2003.
LawToday:

dpc.vic.
gov.au

Part 5—Amendment toElectricity Safety Act 1998

22.Acceptance of scheme

s. 22

(1)For section 111(1)(a) of the Electricity Safety Act 1998 substitute—

"(a)the Office is satisfied—

(i)that the scheme is appropriate for the electric work to which it applies and complies with section 107(2) and the regulations relating to electricity safety management schemes; or

(ii)that the scheme is appropriate for the upstream network to which it applies and complies with section 107(2) and the regulations relating to electricity safety management schemes; or

(iii)that the scheme is appropriate for the electric work carried out at the premises to which it applies and complies with section 107(2) and the regulations relating to electricity safety management schemes; and

(ab)the Office is satisfied that the level of safety to be provided by the scheme is not less than the level of safety which is required to be provided by this Act and the regulations; and".

(2)Section 113(3) of the Electricity Safety Act 1998 is repealed.

23.Electric Line Clearance Consultative Committee

s. 23

In section 87(5)(e) of the Electricity Safety Act 1998 for "Natural Resources" substitute "Sustainability".

______

Part 6—Amendments to Other Acts

See:
Act No.
112/1994.
Reprint No. 5
as at
1 September 2001
and amending
Act Nos
91/2000, 62/2001, 11/2002 and 51/2002.

24.Gas Industry (Residual Provisions) Act 1994

s. 24

Clause 11(1) of Schedule 5 to the Gas Industry (Residual Provisions) Act 1994 is repealed.

See:
Act No.
22/2000.

25.Federal Courts (Consequential Amendments) Act 2000

After section 2(1) of the Federal Courts (Consequential Amendments) Act 2000 insert—

"(1A)Sections 22 and 23 are deemed to have come into operation on 8 March 2004.".

Note:Sections 22 and 23 amend the Gas Pipelines Access (Victoria) Act 1998.

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1

Energy Legislation (Regulatory Reform) Act 2004

Act No. 25/2004

Endnotes

Endnotes

1

[†] Minister's second reading speech—

Legislative Assembly: 21 April 2004

Legislative Council: 11 May 2004

The long title for the Bill for this Act was "to further amend the Electricity Industry Act 2000, the Gas Industry Act 2001, the Electricity Industry (Residual Provisions) Act 1993, the Electricity Safety Act 1998 and other Acts and for other purposes."