Energy Legislation (Regulatory Reform) Act 2004
Act No. 25/2004
TABLE OF PROVISIONS
Section
Page
PART 1—PRELIMINARY
1.
2.
1
Purpose
Commencement
1
2
PART 2—AMENDMENTS TO ELECTRICITY INDUSTRY ACT
2000
3.
4.
5.
6.
7.
8.
9.
New definition of Tariff Order
Amendment and repeal of provisions relating to old Tariff Order
New section 15A inserted
15A. New Tariff Order
Supplier of last resort
Repeal of sections 41, 42, 43, 44 and 46(1) (electricity market)
Sunset for electricity market provisions
Rateability of certain property
PART 3—AMENDMENTS TO GAS INDUSTRY ACT 2001
10.
11.
12.
13.
14.
15.
16.
17.
18.
19.
Definition of "Tariff Order"
References to Tariff Order
New section 20A inserted
20A. New Tariff Order
Repeal of section 33 (reliability of retail supply)
Supplier of last resort
Repeal of section 37 (restriction on retail sale of gas by
significant producers)
Cost recovery
Repeal of Part 5 (significant producers)
References to significant producers
Functions of VENCorp
PART 4—AMENDMENTS TO ELECTRICITY INDUSTRY
(RESIDUAL PROVISIONS) ACT 1993
20.
21.
Power to specify certain amounts for purposes of National
Electricity Code
Repeal of clause 6 of Schedule 4
i
3
3
3
4
4
4
5
5
5
6
6
6
7
7
8
8
8
8
8
9
9
10
10
10
Section
Page
PART 5—AMENDMENT TO ELECTRICITY SAFETY ACT 1998
22.
23.
Acceptance of scheme
Electric Line Clearance Consultative Committee
PART 6—AMENDMENTS TO OTHER ACTS
24.
25.
Gas Industry (Residual Provisions) Act 1994
Federal Courts (Consequential Amendments) Act 2000
═══════════════
ENDNOTES
11
11
12
13
13
13
14
ii
Victoria
No. 25 of 2004
Energy Legislation (Regulatory Reform)
Act 2004†
[Assented to 25 May 2004]
The Parliament of Victoria enacts as follows:
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
1
Energy Legislation (Regulatory Reform) Act 2004
Act No. 25/2004
s. 2
Part 1—Preliminary
(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
(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.
__________________
2
Energy Legislation (Regulatory Reform) Act 2004
Act No. 25/2004
Part 2—Amendments to Electricity Industry Act 2000
PART 2—AMENDMENTS TO ELECTRICITY INDUSTRY
ACT 2000
3. New definition of Tariff Order
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)".
3
s. 3
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:
www.dms.
dpc.vic.
gov.au
Energy Legislation (Regulatory Reform) Act 2004
Act No. 25/2004
s. 5
Part 2—Amendments to Electricity Industry Act 2000
5. New section 15A inserted
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".
4
Energy Legislation (Regulatory Reform) Act 2004
Act No. 25/2004
Part 2—Amendments to Electricity Industry Act 2000
7. Repeal of sections 41, 42, 43, 44 and 46(1) (electricity
market)
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
31 December 2005.".
(2) After section 46(5) of the Electricity Industry
Act 2000 insert—
"(6) This section ceases to have effect on
31 December 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.".
__________________
5
s. 7
Energy Legislation (Regulatory Reform) Act 2004
Act No. 25/2004
s. 10
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:
www.dms.
dpc.vic.
gov.au
Part 3—Amendments to Gas Industry Act 2001
PART 3—AMENDMENTS TO GAS INDUSTRY ACT 2001
10. Definition of "Tariff Order"
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.'.
6
Energy Legislation (Regulatory Reform) Act 2004
Act No. 25/2004
Part 3—Amendments to Gas Industry Act 2001
12. New section 20A inserted
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).
7
s. 12
Energy Legislation (Regulatory Reform) Act 2004
Act No. 25/2004
s. 13
Part 3—Amendments to Gas Industry Act 2001
(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)
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
31 December 2007.".
17. Repeal of Part 5 (significant producers)
Part 5 of the Gas Industry Act 2001 is repealed.
8
Energy Legislation (Regulatory Reform) Act 2004
Act No. 25/2004
Part 3—Amendments to Gas Industry Act 2001
18. References to significant producers
(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.
__________________
9
s. 18
Energy Legislation (Regulatory Reform) Act 2004
Act No. 25/2004
s. 20
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:
www.dms.
dpc.vic.
gov.au
Part 4—Amendments to Electricity Industry (Residual Provisions) Act 1993
PART 4—AMENDMENTS TO ELECTRICITY INDUSTRY
(RESIDUAL PROVISIONS) ACT 1993
20. Power to specify certain amounts for purposes of
National Electricity Code
After section 158BA(1) of the Electricity
Industry (Residual Provisions) Act 1993
insert—
"(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.
__________________
10
Energy Legislation (Regulatory Reform) Act 2004
Act No. 25/2004
Part 5—Amendment to Electricity Safety Act 1998
PART 5—AMENDMENT TO ELECTRICITY SAFETY ACT
1998
22. Acceptance of scheme
(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.
11
s. 22
See:
Act No.
25/1998.
Reprint No. 3
as at
29 July 2002
and
amending
Act No.
40/2003.
LawToday:
www.dms.
dpc.vic.
gov.au
Energy Legislation (Regulatory Reform) Act 2004
Act No. 25/2004
s. 23
Part 5—Amendment to Electricity Safety Act 1998
23. Electric Line Clearance Consultative Committee
In section 87(5)(e) of the Electricity Safety Act
1998 for "Natural Resources" substitute
"Sustainability".
__________________
12
Energy Legislation (Regulatory Reform) Act 2004
Act No. 25/2004
Part 6—Amendments to Other Acts
s. 24
PART 6—AMENDMENTS TO OTHER ACTS
24. Gas Industry (Residual Provisions) Act 1994
Clause 11(1) of Schedule 5 to the Gas Industry
(Residual Provisions) Act 1994 is repealed.
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.
═══════════════
13
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.
See:
Act No.
22/2000.
Energy Legislation (Regulatory Reform) Act 2004
Act No. 25/2004
Endnotes
ENDNOTES
†
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."
14