Explanatory note
This explanatory note relates to this Bill as introduced into Parliament.

Overview of Bill

The objects of this Bill are:

(a) to apply, as a law of New South Wales, the National Gas Law set out in the
Schedule to the National Gas (South Australia) Act 2008 of South Australia,
and

(b) to apply, as regulations for the purposes of that Law, the regulations under
Part 3 of that Act.

A copy of the National Gas Law is set out in a note at the end of this Bill.

Outline of provisions

Part 1 Preliminary
Clause 1 sets out the name (also called the short title) of the proposed Act.

Clause 2 provides for the commencement of the proposed Act on a day or days to be
appointed by proclamation.

Clause 3 defines certain words and expressions used in the proposed Act.

Clause 4 provides that the National Gas (NSW) Law and the National Gas (NSW)
Regulations bind the Crown.

Clause 5 provides that the National Gas (NSW) Law and the National Gas (NSW)
Regulations apply in the coastal waters of this State.

Clause 6 provides for the extra-territorial operation of the National Gas (NSW) Law
and the National Gas (NSW) Regulations.

Part 2 National Gas (NSW) Law and National Gas
(NSW) Regulations
Clause 7 applies, as a law of New South Wales, the National Gas Law set out in the
Schedule to the National Gas (South Australia) Act 2008 of South Australia. The
applied Law is to be referred to as the National Gas (NSW) Law.

Clause 8 applies, as regulations for the purposes of the National Gas (NSW) Law, the
regulations in force under Part 3 of the National Gas (South Australia) Act 2008 of
South Australia. The applied regulations are to be referred to as the National Gas
(NSW) Regulations.

Clause 9 defines certain expressions that occur in the National Gas (NSW) Law and
the National Gas (NSW) Regulations, being expressions whose meaning necessarily
varies according to the jurisdiction within which they are being applied, for the
purposes of their application within New South Wales.

Part 3 Cross vesting of powers
Clause 10 provides for the Minister of the Commonwealth administering the
Australian Energy Market Act 2004 of the Commonwealth (the Commonwealth
Minister), the Australian Energy Regulator, the National Competition Council and
the Australian Competition Tribunal to do acts in, or in relation to, this State in the
performance or exercise of a function or power conferred by the national gas
legislation of another participating State or Territory.

Clause 11 provides for the Minister of another participating State or Territory to do
acts in, or in relation to, this State in the performance or exercise of a function or
power conferred by the national gas legislation of another participating State or
Territory.

Clause 12 provides that if the national gas legislation of another participating State
or Territory confers a function or power on the Minister for Energy, the Minister may
perform that function or exercise that power.

Part 4 Miscellaneous
Clause 13 provides for an exemption from State duties or taxes in relation to certain
transfers of assets or liabilities that are made for the purposes 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 as required by an Australian Energy Regulator ring fencing determination.

Clause 14 provides that if any action is taken under the national gas legislation of a
participating jurisdiction with respect to a cross boundary pipeline by a relevant
Minister or a Supreme Court of the jurisdiction each other relevant Minister or
Supreme Court in any other participating jurisdiction in which the pipeline is situated
is also taken to have taken that action. No grounds for appeal is permitted against any
such action by a relevant Minister except in the jurisdiction with which the pipeline
is most closely connected.

Clause 15 provides that a provision of the proposed Act or the National Gas (NSW)
Regulations is to be construed so as not to exceed the legislative power of the
Parliament, in particular with respect to a provision that appears to impose a duty on
the Commonwealth Minister, the Australian Energy Regulator, the National
Competition Council or the Australian Competition Tribunal.

Clause 16 enables the Governor to make regulations for the purposes of the
proposed Act.

Clause 17 provides for the repeal of the Gas Pipelines Access (New South Wales) Act
1998.

Clause 18 is a formal provision that gives effect to the amendments to the Acts set
out in Schedule 1.

Clause 19 provides for the substitution of the definitions of adjacent area of another
participating jurisdiction and adjacent area of this jurisdiction in proposed section
9 (1) on the commencement of section 7 of the Offshore Petroleum Act 2006 of the
Commonwealth.

Clause 20 provides for the review of the proposed Act in 5 years.

Schedule 1 Amendment of Acts
Schedule 1 contains amendments to a number of Acts that are consequential on the
commencement of the proposed Act.

Note: If this Bill is not modified, these Explanatory Notes would reflect the Bill as passed in the House. If the Bill has been amended by Committee, these Explanatory Notes may not necessarily reflect the Bill as passed.

 

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