VersionNo. 010

National Gas (Victoria) Act 2008

No. 30 of 2008

Version incorporating amendments as at
25 September 2013

table of provisions

SectionPage

1

SectionPage

Part 1—Preliminary

1Purpose

2Commencement

3Definitions

4Crown to be bound

5Application to coastal waters

6Extra-territorial operation

Part 2—National Gas (Victoria) Law and National Gas (Victoria) Regulations

7Application of National Gas Law

8Application of Regulations under National Gas Law

9Interpretation of some expressions in National Gas (Victoria) Law and National Gas (Victoria) Regulations

9ADesignated pipelines

Part 3—Cross Vesting of Powers

10Conferral of powers on Commonwealth Minister and Commonwealth bodies to act in this State

11Conferral of powers on Ministers of participating States and Territories to act in this State

12Conferral of functions or powers on State Minister

Part 4—General

13Exemption from taxes

14Actions in relation to cross boundary pipelines

15Conferral of functions and powers on Commonwealth bodies

16Supreme Court—limitation of jurisdiction

16ARegulations

Part 5—Specific Victorian Transitional Arrangements

Division 1—Interpretation

17Definitions

18Meaning of gas distribution system regulatory duty

19Meaning of gas distribution system regulatory function or
power

20Specification of Gas Distribution System Code provisions by Minister

20ASpecified gas distribution system law or instrument provisions are ESC enforceable regulatory requirements

21Role of Interpretation of Legislation Act 1984

Division 2—Current and pending Victorian gas distribution
system access arrangement revisions

22Transitional clauses in NGL relating to distribution pipeline services access arrangements do not apply

23Gas distribution access arrangements under review

24Gas distribution access arrangement revision decisions under review

25Revised gas distribution access arrangements become full
access arrangements under NGL

26Certain provisions of the Access Code to continue to apply to revised gas distribution access arrangement

27Certain decisions relating to certain access arrangements are reviewable regulatory decisions for purposes of National Gas (Victoria) Law

Division 3—AER functions, powers and duties under State instruments

28Certain ESC functions, powers and duties conferred and
imposed on the AER

29ESC ceases to have distribution pipeline services related regulatory functions, powers and duties

30Enforcement by AER of certain provisions of Victorian distribution licences

31ESC cannot enforce certain gas distribution licence
conditions that the AER can enforce

32AER may request amendment of Gas Distribution System
Code or ESC Guideline No. 17

33Appeals against certain decisions or actions of the AER

34Provision of information and assistance by ESC to the AER

34AProvision of information and assistance by AER to the ESC

Division 4—Miscellaneous matters

35Consolidated access arrangements not permitted in respect of
2 or more covered distribution pipelines

36GPAL obligation comply with published general accounting guidelines continues

37ESC Guideline No. 17 becomes a regulatory information order after specified day

38Matters to be taken into account when AER makes or prepares regulatory information instruments

Part 6—Declared Systems and Regulated Gas Markets

Division 1—Ministerial declarations

39Declared distribution systems and declared transmission
systems

40Declared host retailer

41Declared LNG storage providers and agreements

42Declared metering requirement

43Declared wholesale gas market

Division 2—AEMO's declared system functions

44Application of AEMO's declared system functions

45Certain defined terms for the purposes of the National Gas (Victoria) Law and National Gas Rules

Division 3—Regulatory arrangements

46Definitions

47Declaration of current operating agreements

48Ministerial specification of ESC code or guidelines or
provisions under ESC codes or guidelines

49Current operating agreement

50Current service envelope agreement

51Specified code or guidelines and specified VENCorp
provisions

Division 4—Gas emergencies

52Definitions

53Gas emergency protocol

54Ministerial directions

55Registered participants must comply with gas emergency protocol

56Gas emergency protocol—transitional provision

Division 5—Other matters

57Notice of change to declared LNG storage provider or
declared LNG supplier

58MSO Rules procedures and guidelines—transitional provision

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ENDNOTES

1. General Information

2. Table of Amendments

3. Explanatory Details

1

VersionNo. 010

National Gas (Victoria) Act 2008

No. 30 of 2008

Version incorporating amendments as at
25 September 2013

1

Part 5—Specific Victorian Transitional Arrangements

National Gas (Victoria) Act 2008
No. 30 of 2008

The Parliament of Victoria enacts:

Part 1—Preliminary

1Purpose

The main purpose of this Act is to provide for the establishment of a national framework to enable third parties to gain access to certain natural gas pipeline services.

2Commencement

This Act comes into operation on a day or days to be proclaimed.

3Definitions

(1)In this Act—

S.3(1) def. of AEMO inserted by No. 23/2009 s.16.

AEMO means Australian Energy Market Operator Limited (ACN 072 010 327);

S.3(1) def. of Energy Safe Victoria inserted by No. 23/2009 s.16.

Energy Safe Victoria means Energy Safe Victoria established under section 4 of the Energy Safe Victoria Act 2005;

S.3(1) def. of Essential Services Commission or ESC inserted by No. 23/2009 s.16.

Essential Services Commission or ESC means the Essential Services Commission established under section 7 of the Essential Services Commission Act 2001;

S.3(1) def. of MSO Rules inserted by No. 23/2009 s.16.

MSO Rules means the rules made on 2 February 1999 under section 48N of the Gas Industry Act 1994 (and continued in effect under clause17 of Schedule 5 to the Gas Industry (Residual Provisions) Act 1994), as in force immediately before the transition day;

National Gas (Victoria) Lawmeans the provisions applying because of section 7;

National Gas (Victoria) Regulationsmeans the provisions applying because of section 8;

S.3(1) def.of South Australian Act amendedby No.43/2012 s.3(Sch. item33).

South Australian Actmeans the National Gas (South Australia) Act 2008of South Australia;

S.3(1) def. of transition day inserted by No. 23/2009 s.16.

transition day means the day on which section 34 of the Energy Legislation Amendment (Australian Energy Market Operator) Act 2009comes into operation.

(2)Words and expressions used in the National Gas (Victoria) Law and in this Act have the same respective meanings in this Act as they have in that Law.

(3)This section does not apply to the extent that the context or subject matter otherwise indicates or requires.

4Crown to be bound

s. 4

This Act, the National Gas (Victoria) Law and the National Gas (Victoria) Regulations bind the Crown, not only in right of Victoriabut also, so far as the legislative power of the Parliament permits, the Crown in all its other capacities.

5Application to coastal waters

(1)This Act, the National Gas (Victoria) Law and the National Gas (Victoria) Regulations apply in the coastal waters of this State as if the coastal waters were within the limits of the State.

(2)In this section—

adjacent area in respect of the Statemeans the adjacent area of this jurisdiction under the National Gas (Victoria) Law(as defined by section 9(1) of this Act);

coastal waters, in relation to this State, means any sea that is on the landward side of the adjacent area in respect of the State but is not within the limits of the State.

6Extra-territorial operation

s. 5

It is the intention of the Parliament that this Act, the National Gas (Victoria) Law and the National Gas (Victoria) Regulations should, so far as possible, operate to the full extent of the extra-territorial legislative power of the State.

______

Part 2—National Gas (Victoria) Law and National Gas (Victoria) Regulations

7Application of National Gas Law

s. 7

The National Gas Law set out in the Schedule to the South Australian Act, as in force for the time being—

(a)applies as a law of Victoria; and

(b)as so applying may be referred to as the National Gas (Victoria) Law.

8Application of Regulations under National Gas Law

The Regulations in force for the time being under Part 3 of the South Australian Act—

(a) apply as regulations in force for the purposes of the National Gas (Victoria) Law; and

(b)as so applying may be referred to as the National Gas (Victoria) Regulations.

9Interpretation of some expressions in National Gas (Victoria) Law and National Gas (Victoria) Regulations

(1)In the National Gas (Victoria) Law and the National Gas (Victoria) Regulations—

S.9(1) def. of adjacentareaof another participating jurisdiction substituted by No. 30/2008 s.40, amended by No.10/2010 s.800(Sch.6 item8(a)).

adjacent area of another participating jurisdictionmeans the offshore area of a State (other than this State) or the Northern Territory within the meaning of section 7 of the Offshore Petroleum and Greenhouse Gas Storage Act 2006of the Commonwealth;

S.9(1) def. of adjacent area of this jurisdiction substituted by No. 30/2008 s.40, amended by No.10/2010 s.800(Sch.6 item8(b)).

adjacent area of this jurisdictionmeans the offshore area of the State within the meaning of section 7 of the Offshore Petroleum and Greenhouse Gas Storage Act 2006of the Commonwealth;

Court means the Supreme Court of Victoria;

designated Ministermeans the Commonwealth Minister;

Legislature of this jurisdictionmeans the Parliament of Victoria;

National Gas Law or this Law means the National Gas (Victoria) Law;

this jurisdictionmeans the State of Victoria.

(2)The Acts Interpretation Act 1915, and other Acts, of South Australia do not apply to—

(a)the National Gas Law set out in the Schedule to the South Australian Act in its application as a law of Victoria; or

s. 9A

(b)the regulations in force for the time being under Part 3 of the South Australian Act in their application as Regulations in force for the purposes of the National Gas (Victoria) Law.

S.9A insertedby No.23/2009 s.17.

9ADesignated pipelines

(1)In the National Gas (Victoria) Law, and any Rules made for the purposes of that Law, designated pipeline means a pipeline designated by Order under subsection (2) to be a designated pipeline.

(2)The Minister, by Order published in the Government Gazette, may designate a pipeline or a part of a pipeline to be a designated pipeline.

(3)Once the Minister has made an Order designating a pipeline or a part of a pipeline to be a designated pipeline, the Minister cannot make another Order that designates any other pipeline or a part of a pipeline to be a designated pipeline.

s. 9A

______

Part 3—Cross Vesting of Powers

10Conferral of powers on Commonwealth Minister and Commonwealth bodies to act in this State

s. 10

(1)The Commonwealth Minister and the Commonwealth bodies have power to do acts in or in relation to this State in the performance or exercise of a function or power expressed to be conferred on them respectively by the national gas legislation of another participating jurisdiction.

(2)In this section—

Commonwealth bodiesmeans any of the following—

(a)AER; and

(b)NCC; and

(c)the Tribunal.

11Conferral of powers on Ministers of participating States and Territories to act in this State

The Minister of a participating jurisdiction has power to do acts in or in relation to this State in the performance or exercise of a function or power expressed to be conferred on the Minister by the national gas legislation of another participating jurisdiction.

12Conferral of functions or powers on State Minister

If the national gas legislation of another participating jurisdiction confers a function or power on the Minister, the Minister—

(a)may perform that function or exercise that power; and

(b)may do all things necessary or convenient to be done in connection with the performance or exercise of that function or power.

s. 12

______

Part 4—General

13Exemption from taxes

s. 13

(1)Any duty or other tax imposed by or under a law of this State is not payable in relation to—

(a)an exempt matter; or

(b)anything done (including, for example, a transaction entered into or an instrument or document made, executed, lodged or given) because of, or arising out of, an exempt matter.

(2)In this section—

exempt mattermeans a transfer of assets or liabilities—

(a)that is made for the purpose of ensuring that a person does not carry on a business of producing, purchasing or selling natural gas or processable gas in breach of any ring fencing requirements of the national gas legislation or for the purpose of the separation of certain businesses or business activities from other businesses or business activities of a person as required by an AER ring fencing determination; and

(b)that the Minister and the Treasurer declare from time to time by notice published in the Government Gazette to be an exempt matter for the purposes of this section.

14Actions in relation to cross boundary pipelines

s. 14

(1)If a pipeline is a cross boundary pipeline, any action taken under the national gas legislation of a participating jurisdiction in whose jurisdictional area a part of the pipeline is situated—

(a)by, or in relation to, a relevant Minister; or

(b)by the Court within the meaning of that legislation in relation to action taken by, or in relation to, a relevant Minister—

is taken also to be taken under the national gas legislation of each participating jurisdiction in whose jurisdictional area a part of the pipeline is situated (that other legislation)—

(c)by, or in relation to, a relevant Minister within the meaning of that other legislation; or

(d)by the Court within the meaning of that other legislation—

asthe case requires.

(2)Despite subsection (1), no proceeding for judicial review or for a declaration, injunction, writ, order or remedy may be brought before the Court to challenge or question any action, or purported action, of a relevant Minister taken, or purportedly taken, in relation to a cross boundary distribution pipeline unless this jurisdiction has been determined to be the participating jurisdiction with which the cross boundary distribution pipeline is most closely connected.

(3)A reference in this section—

(a)to an action that is taken includes a reference to—

(i)a decision or determination that is made; or

(ii)an omission that is made;

(b)to a purported action that is purportedly taken includes a reference to a purported decision or determination that is purportedly made.

(4)In this section—

cross boundary pipelinemeans—

(a)a cross boundary transmission pipeline; or

(b)a cross boundary distribution pipeline.

15Conferral of functions and powers on Commonwealth bodies

s. 15

(1)Clause 2 of Schedule 2 to the National Gas (Victoria) Law will have effect in relation to the operation of any provision of this Act, or any regulation forming part of the National Gas (Victoria) Regulations, as if the provision or regulation formed part of the National Gas (Victoria) Law.

(2)Subsection (1) does not limit the effect that a provision or Regulation would validly have apart from the subsection.

16Supreme Court—limitation of jurisdiction

It is the intention of section 14(2) to alter or vary section 85 of the Constitution Act 1975.

S.16A insertedby No.23/2009 s.18.

16ARegulations

s. 16A

The Governor in Council may make regulations for or with respect to prescribing a provision of the declared system provisions to be—

(a)a civil penalty provision; or

(b)a conduct provision.

Note

The terms declared system provisions, civil penalty provision and conduct provision are defined in the National Gas (Victoria) Law.

______

Part 5—Specific Victorian Transitional Arrangements

Division 1—Interpretation

17Definitions

s. 17

In this Part—

Access Code means the Code within the meaning of the Gas Pipelines Access (Victoria) Law;

AER approved full access arrangement means a full access arrangement approved by the AER under the Rules;

designateddistribution pipeline means a designated pipeline that is a distribution pipeline;

Note

The National Gas (Victoria) Regulations prescribe which pipelines in Victoria are designated pipelines.

distribution licence means a licence issued under section 26 of the Gas Industry Act 2001 thatauthorises the holder of the licence to provide distribution pipeline services;

distribution pipeline service means a service (other than the sale of gas by retail) provided by means of a GIA distribution pipeline;

S.17 def. of ESC enforceable regulatory requirement
inserted by No.11/2013 s.20.

ESC enforceable regulatory requirement means a relevant gas distribution system law or instrument, or a provision of a relevant gas distribution system law or instrument, specified under an Order under section20A;

ESC guideline No. 17 means the document entitled "Gas Industry Guideline No. 17 Regulatory Accounting Information Requirements" published on 13 July 2005 by the ESC as that guideline is amended and in force from time to time;

S.17 def. of Essential Services Commission or ESCrepealedby No.23/2009 s.19.

*****

gasdistribution access arrangement revision decisionmeans a final decision of the relevant Regulator under section 2.41 or 2.42 of the Access Code;

gasdistribution access arrangement under review means an access arrangement that relates to the provision of pipeline services provided by a relevant Victorian service providerby means of an old access law distribution pipeline—

(a)in relation to which a review has beencommenced under section 2 of the Access Codebefore the NGL commencement day; and

s. 17

(b)in respect of which a gas distribution access arrangement revision decisionhas not been made before that day;

gas distribution company has the same meaning as in the Gas Industry Act 2001;

Gas Distribution System Code meansthe document entitled "Gas Distribution System Code", version 8.1, published by the ESC on 28 March 2007, as that Code is amended and in force from time to time;

gas distribution system regulatory dutyhas the meaning given by section 18;

gas distribution system regulatory function or powerhas the meaning given by section19;

Gas Pipelines Access (Victoria) Law means the Gas Pipelines Access (Victoria) Law as in force immediately before the NGL commencement day;

GIA distribution pipelinemeans a distribution pipeline within the meaning of the Gas Industry Act 2001;

NGL commencement day means the day on which section 39 comes into operation;

old access law distribution pipeline means a distribution pipeline within the meaning of the Gas Pipelines Access (Victoria) Law;

s. 17

relevant appeals body has the same meaning as in the Gas Pipelines Access (Victoria) Law;

relevantgas distribution systemlaw or instrument means—

(a)theEssential Services Commission Act 2001 (to the extent to which that Act relates to the economic regulation of distribution pipeline servicesprovided by a gas distribution company); or

(b)theGas Industry Act 2001(to the extent to which that Act relates to the economic regulation of distribution pipeline services provided by a gas distribution company); or

(c) a specified Gas Distribution System Code provision; or

(d) until the specified day, ESC guideline No.17; or

(e) the Wimmera and Colac Tariff Order;

relevantRegulator has the same meaning as in the Gas Pipelines Access (Victoria) Law;

Note

Under the Gas Pipelines Access (Victoria) Law, the Essential Services Commission, as the local Regulator, was the relevant Regulator in relation to distribution pipelines situated wholly within Victoria or most closely connected with Victoria.

relevant Victorian service provider means—

(a)the entity or entities that trade either together or separately as "SP AusNet" including but not limited to SPI Networks (Gas) Pty Ltd (ABN43086015 036); or

s. 17

(b)the entities Envestra Victoria Pty Ltd (ACN 085 882 373) and Vic Gas Distribution Pty Ltd (ACN085899001); or

(c)the entities Multinet Gas (DB No. 1) Pty Ltd (ACN 086 026 986) and Multinet Gas (DB No. 2) Pty Ltd (ACN086 230 122) trading as Multinet Gas Distribution Partnership;

revised gas distribution access arrangement means an access arrangement in respect of which a gas distribution access arrangement revision decision referred to in section 23 or24 has been or is made;

specified day means 1 January 2011;

specifiedGas Distribution System Codeprovisionmeans a provision specified under an Order under section 20;

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.