Australian Capital Territory Repealed Acts Australian Capital Territory Repealed ActsThis legislation has been repealed.
SCHEDULE Sections 5 and 24
LICENCES
1. (1) Subject to any conditions imposed by or under this Act, an electricity distributor's licence authorises its holder, and any other person specified in the licence, to operate the distribution system specified in the licence for the purpose of conveying electricity for or on behalf of retail suppliers.
(2) Subject to any conditions imposed by or under this Act, a retail supplier's licence authorises its holder, and any other person specified in the licence, to supply electricity to retail customers.
2. An application for a licence or for the transfer of a licence shall—
(a) be in a form made available by the Minister;
(b) set out, or be accompanied by, such information as is required by the form;
(c) be lodged with the Minister; and
(d) be accompanied by the determined fee.
3. (1) Before determining an application for an electricity distributor's licence or for the transfer of such a licence, the Minister shall cause notice of the application to be published in the Gazette and in a daily newspaper circulating throughout the Territory.
(2) The notice shall specify—
(a) the nature of the licence to which the application relates;
(b) the identity of the proposed holder of the licence;
(c) the area in respect of which the licence, if granted or transferred, would operate;
(d) where submissions in relation to the application should be lodged;
(e) the time (being not less than 40 days from the day on which the notice is published) within which any such submissions should be lodged; and
(f) such other matters as may be prescribed.
(3) The Minister shall give due consideration to matters arising from any submissions under this clause.
(4) The Minister shall cause to be prepared a report that summarises the substance of any submissions received in relation to an application for a licence or for the transfer of a licence.
(5) The report shall—
(a) indicate the Minister's decision in relation to the application;
(b) contain such other information as may be prescribed; and
(c) be kept available at the head office of the Department for inspection by members of the public, free of charge, during normal business hours.
4. (1) The Minister may determine an application for a licence or for the transfer of a licence by—
(a) granting, or transferring, the licence either unconditionally or subject to conditions of any of the kinds referred to in clause 6; or
(b) refusing the application.
(2) An application may be refused on any of the following grounds:
(a) that the proposed holder of the licence fails to satisfy such technical and prudential criteria as have been adopted by the Minister to determine whether a person is able to operate a viable business as an electricity distributor or retail supplier, as the case may be;
(b) such grounds as may be prescribed;
(c) such grounds as the Minister considers relevant, having regard to the need to promote a competitive retail market for electricity, to prevent misuse of market power and to ensure the security and reliability of the Territory electricity supply system.
(3) The Minister shall consult with the Minister administering the Air Pollution Act 1984 before granting a licence under this clause.
5. Subject to the conditions imposed on it, a licence remains in force until it is cancelled.
6. (1) A licence is subject to the following conditions:
(a) the conditions imposed by this Act and the regulations;
(b) such other conditions (not inconsistent with those imposed by this Act and the regulations) as the Minister may from time to time impose in relation to the licence.
(2) Without limiting the generality of paragraph (1) (b), the Minister may impose the following kinds of conditions on a licence:
(a) a condition specifying the period for which the licence is to remain in force;
(b) a condition requiring the holder of the licence to exercise its functions under this Act in accordance with specified guidelines or subject to specified restrictions;
(c) a condition requiring the holder of the licence to continue to satisfy such technical and prudential criteria as have been adopted by the Minister to determine whether a person is able to operate a viable business as an electricity distributor or retail supplier, as the case may be;
(d) a condition requiring the holder of the licence to maintain specified insurance cover in respect of specified risks;
(e) a condition requiring the affairs of the holder of the licence in relation to the operation of a distribution system to be kept separate, to the extent specified in the condition, from the affairs of the holder of the licence in relation to the supply of electricity;
(f) a condition requiring the holder of the licence to—
(i) prepare and submit to the Minister a plan setting out (in accordance with guidelines established by the Minister) the holder's policies, practices and procedures in relation to the conduct of its affairs under the licence; and
(ii) conduct its affairs under the licence in accordance with the plan so prepared;
(g) a condition requiring the holder of the licence to furnish to the Minister (at such times and in respect of such periods as the Minister may determine) such information as the Minister may determine to enable the Minister to ascertain whether or not the holder is complying with the other conditions of the licence.
(3) A condition referred to in paragraph (2) (e) may require affairs that are to be kept separate to be conducted by separate divisions of the same legal entity or by separate legal entities.
(4) Without limiting the generality of paragraph (1) (b), the Minister shall impose the following conditions on each retail supplier's licence:
(a) a condition requiring the holder of the licence to develop strategies of a kind referred to in subclause (6);
(b) a condition requiring the auditing by the Pollution Control Authority, at intervals of not more than 3 years, of the effectiveness of the strategies referred to in paragraph (a);
(c) a condition requiring the holder of the licence to develop 1, 3 and 5 year plans for—
(i) energy efficiency and demand management strategies; and
(ii) strategies for purchasing energy from sustainable sources, including consideration of cogeneration, purchasing of renewable energy, buy-back schemes from grid-connected solar cells on buildings and remote area power systems;
(d) a condition requiring the holder of the licence to prepare and publish annual reports in relation to the following matters:
(i) the implementation of its demand management strategies;
(ii) the carbon dioxide emissions arising from the production of electricity supplied by it, as measured in accordance with a methodology approved by the Minister after consultation with the Pollution Control Authority;
(iii) its performance in meeting the minimum standards of service required under its standard form customer supply contracts;
(iv) the sources of electricity supplied by it and the quantity of electricity supplied from those sources as proportions of the total electricity supplied by it.
(5) Without limiting the generality of paragraph (1) (b), the Minister shall impose the following conditions on each electricity distributor's licence:
(a) a condition requiring the holder of the licence, before expanding its distribution system or the capacity of its distribution system, to carry out investigations (being investigations to ascertain whether it would be cost-effective to avoid or postpone the expansion by implementing demand management strategies) in circumstances in which it would be reasonable to expect that it would be cost effective to avoid or postpone the expansion by implementing such strategies;
(b) a condition requiring the holder of the licence to prepare and publish annual reports in relation to the investigations carried out by it pursuant to the condition referred to in paragraph (a).
(6) The strategies referred to in paragraph (4) (a) shall—
(a) be based on the principle of achieving the reduction of greenhouse gas emissions, from electricity supplied to customers in the Territory, as the electricity sector's contribution to achieving the target of reducing greenhouse gas emissions, as agreed in the National Greenhouse Response Strategy 1992 and the InterGovernmental Agreement on the Environment, or as determined by the Council of Australian Governments;
(b) be arrived at by negotiation with the Minister; and
(c) provide for independent verification of emissions.
(7) A report on each audit prepared by the Pollution Control Authority in accordance with a condition of the kind referred to in paragraph (4) (b) shall—
(a) be made publicly available at the head office of the Department; and
(b) be laid before the Legislative Assembly within 15 sitting days after it is made.
(8) The Minister shall review the conditions of a retail supplier's licence referred to in paragraphs (4) (a), (b) and (c) at the end of the period of 3 years after the conditions are imposed in order to assess the environmental performances of the holder of the licence and the environmental consequences of its work and activities.
(9) The Minister shall consult with the Minister administering the Air Pollution Act 1984 before imposing conditions under this clause.
7. (1) The Minister may vary the conditions of a licence.
(2) The Minister shall consult with the Minister administering the Air Pollution Act 1984 before varying the conditions of a licence under this clause.
8. (1) The Minister may do either or both of the following:
(a) impose a monetary penalty not exceeding $100,000 on the holder of a licence;
(b) cancel a licence.
(2) A retail supplier's licence held by an electricity distributor shall not be cancelled unless the electricity distributor's licence held by the distributor is also cancelled.
(3) Action may be taken under this clause only if the holder of the licence has knowingly contravened—
(a) the requirements of this Act or the regulations; or
(b) a condition of the licence.
9. The Minister shall not take action under clause 6, 7 or 8 unless—
(a) notice of the proposed action has been given to the holder of the licence;
(b) the holder of the licence has been given a reasonable opportunity to make submissions in relation to the proposed action; and
(c) the Minister has given due consideration to any such submissions.
10. (1) The Minister is to cause a register of licences to be kept at the head office of the Department.
(2) The register is to be kept available for inspection by members of the public, free of charge, during normal office hours.
(3) Copies of entries in the register are to be made available to members of the public, at cost, during normal office hours.