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ENERGY LEGISLATION (CONSUMER PROTECTION AND OTHER AMENDMENTS) BILL 2003

                 PARLIAMENT OF VICTORIA

       Energy Legislation (Consumer Protection and
              Other Amendments) Act 2003
                                   Act No.


                      TABLE OF PROVISIONS
Clause                                                                     Page

PART 1--PRELIMINARY                                                             1
  1.     Purposes                                                               1
  2.     Commencement                                                           3

PART 2--AMENDMENTS TO THE GAS INDUSTRY ACT 2001                                 4
  3.     Regulation of tariffs for prescribed customers                         4
  4.     Offer to domestic or small business customers                          4
  5.     Terms and conditions of contracts for sale of gas to certain
         customers                                                              4
  6.     Deemed contracts with former franchise customers                       4
  7.     Deemed contracts for supply and sale for relevant customers            4
  8.     Prohibited interests                                                   4
  9.     General powers                                                         4
  10.    Non-commercial functions                                               5
  11.    Delegation powers                                                      5

PART 3--AMENDMENTS TO THE ELECTRICITY INDUSTRY
ACT 2000                                                                        6
  12.    Regulation of tariffs for prescribed customers                         6
  13.    New section 21(v) inserted                                             6
  14.    Condition restricting sale to certain customers                        6
  15.    New sections 26A and 26B inserted                                      6
         26A. Guidelines about access to land                                   6
         26B. Commission may require licensee to enter into lease of
                  land                                                          7
  16.    Offer to domestic or small business customers                          8
  17.    Terms and conditions of contracts for sale of electricity to certain
         customers                                                              8
  18.    Deemed contracts with former franchise customers                       8
  19.    Deemed contracts for supply and sale for relevant customers            8
  20.    Powers of VENCorp                                                      8




                                        i
551060B.I1-2/5/2003                             BILL LA CIRCULATION 25-10-2004

 


 

Clause Page 21. New section 79AA inserted 9 79AA. Directions 9 22. Power to acquire easements with approval of Governor in Council 9 PART 4--AMENDMENTS TO THE ESSENTIAL SERVICES COMMISSION ACT 2001 10 23. Expiry of Part 10 PART 5--AMENDMENTS TO THE NATIONAL ELECTRICITY (VICTORIA) ACT 1997 11 24. New sections 8AB, 8AC and 8AD inserted 11 8AB. Immunity for action taken under section 76 of the National Electricity (Victoria) Law 11 8AC. Immunity of NEMMCO and network service providers 11 8AD. Immunity in relation to failure to supply electricity 12 25. Supreme Court--limitation of jurisdiction 12 PART 6--AMENDMENTS TO THE ELECTRICITY SAFETY ACT 1998 13 26. Definition 13 27. Statute law revision 13 PART 7--AMENDMENTS TO CO-OPERATIVE SCHEMES (ADMINISTRATIVE ACTIONS) ACT 2001 14 28. Definitions 14 29. Co-operative schemes to which this Act applies--relevant State Acts 14 30. Act not to give rise to liability against the State 14 31. Supreme Court--limitation of jurisdiction 15 32. Regulations 15 ENDNOTES 16 ii 551060B.I1-2/5/2003 BILL LA CIRCULATION 25-10-2004

 


 

PARLIAMENT OF VICTORIA Initiated in Assembly 29 April 2003 A BILL to amend the Gas Industry Act 2001, the Electricity Industry Act 2000, the Essential Services Commission Act 2001, the National Electricity (Victoria) Act 1997, the Electricity Safety Act 1998 and the Co-operative Schemes (Administrative Actions) Act 2001 and for other purposes. Energy Legislation (Consumer Protection and Other Amendments) Act 2003 The Parliament of Victoria enacts as follows: PART 1--PRELIMINARY 1. Purposes The main purposes of this Act are-- 1 551060B.I1-2/5/2003 BILL LA CIRCULATION 25-10-2004

 


 

Energy Legislation (Consumer Protection and Other Amendments) Act 2003 Act No. Part 1--Preliminary s. 1 (a) to amend the Gas Industry Act 2001 and the Electricity Industry Act 2000-- (i) to extend the consumer protection safety net for gas and electricity 5 customers until 31 December 2004; (ii) to clarify the operation of VENCorp's general powers and functions in relation to the Electricity Industry Act 2000; 10 (b) to amend the Electricity Industry Act 2000-- (i) to provide that the Essential Services Commission may impose a condition on a licence to require a transmission 15 company to provide access to its land for the purpose of constructing, operating and maintaining augmentations to the electricity transmission system; 20 (ii) to provide that the Essential Services Commission may direct a transmission company to enter into a lease in relation to the provision of access to its land for the purpose of constructing, operating 25 and maintaining augmentations to the electricity transmission system; (iii) to clarify that the power of distribution companies, transmission companies and generation companies to compulsorily 30 acquire easements applies in respect of both overhead and underground power lines; 2 551060B.I1-2/5/2003 BILL LA CIRCULATION 25-10-2004

 


 

Energy Legislation (Consumer Protection and Other Amendments) Act 2003 Act No. Part 1--Preliminary s. 2 (c) to amend the Essential Services Commission Act 2001 to extend until 31 December 2004 the operation of the special reference provisions in Part 6 of that 5 Act; (d) to amend the National Electricity (Victoria) Act 1997 to ensure that the protection against civil monetary liability, afforded under the National Electricity (Victoria) Law 10 to specified persons undertaking certain actions, is fully effective; (e) to amend the Co-operative Schemes (Administrative Actions) Act 2001 to validate certain administrative actions taken 15 by Commonwealth authorities or officers under specified Gas Acts. 2. Commencement (1) This Act (except sections 13 and 15 and Part 7) comes into operation on the day after the day on 20 which it receives the Royal Assent. (2) Part 7 comes into operation on a day to be proclaimed. (3) Sections 13 and 15 come into operation on a day to be proclaimed. 25 (4) If a provision referred to in sub-section (3) does not come into operation before 1 July 2004, it comes into operation on that day. __________________ 3 551060B.I1-2/5/2003 BILL LA CIRCULATION 25-10-2004

 


 

Energy Legislation (Consumer Protection and Other Amendments) Act 2003 Act No. Part 2--Amendments to the Gas Industry Act 2001 s. 3 PART 2--AMENDMENTS TO THE GAS INDUSTRY ACT 2001 3. Regulation of tariffs for prescribed customers See: In section 21(7) of the Gas Industry Act 2001 for Act No. "August" (where twice occurring) substitute 31/2001. 5 Reprint No. 1 "December". as at 2 July 2002. LawToday: www.dms. dpc.vic. gov.au 4. Offer to domestic or small business customers In section 42(9) of the Gas Industry Act 2001 for "August" substitute "December". 5. Terms and conditions of contracts for sale of gas to 10 certain customers In section 43(7) of the Gas Industry Act 2001 for "August" substitute "December". 6. Deemed contracts with former franchise customers In section 44(3) of the Gas Industry Act 2001 for 15 "August" substitute "December". 7. Deemed contracts for supply and sale for relevant customers In section 46(11) of the Gas Industry Act 2001 for "August" substitute "December". 20 8. Prohibited interests In section 128(9)(b)(ii) of the Gas Industry Act 2001 for "substantial" (where first occurring) substitute "controlling". 9. General powers 25 In section 162(1) of the Gas Industry Act 2001, after "this Act" (where twice occurring) insert ", the Electricity Industry Act 2000". 4 551060B.I1-2/5/2003 BILL LA CIRCULATION 25-10-2004

 


 

Energy Legislation (Consumer Protection and Other Amendments) Act 2003 Act No. Part 2--Amendments to the Gas Industry Act 2001 s. 10 10. Non-commercial functions After section 163(4) of the Gas Industry Act 2001 insert-- "(5) This section applies to VENCorp's functions 5 under this Act, the Electricity Industry Act 2000 or any other Act.". 11. Delegation powers In section 164 of the Gas Industry Act 2001, after "any power of VENCorp" insert "under this 10 Act, the Electricity Industry Act 2000 or any other Act". __________________ 5 551060B.I1-2/5/2003 BILL LA CIRCULATION 25-10-2004

 


 

Energy Legislation (Consumer Protection and Other Amendments) Act 2003 Act No. Part 3--Amendments to the Electricity Industry Act 2000 s. 12 PART 3--AMENDMENTS TO THE ELECTRICITY INDUSTRY ACT 2000 12. Regulation of tariffs for prescribed customers See: In section 13(7) of the Electricity Industry Act Act No. 5 2000 for "2003" substitute "2004". 68/2000. Reprint No. 1 as at 13 June 2002 and amending Act No. 10/2002. LawToday: www.dms. dpc.vic. gov.au 13. New section 21(v) inserted After section 21(u) of the Electricity Industry Act 2000 insert-- "(v) requiring a transmission company to provide, 10 in accordance with the guidelines under section 26A, access to a specified person or class of person to its land for the purpose of constructing, operating and maintaining augmentations to the electricity transmission 15 system.". 14. Condition restricting sale to certain customers In section 23(4) of the Electricity Industry Act 2000 for "2003" substitute "2004". 15. New sections 26A and 26B inserted 20 After section 26 of the Electricity Industry Act 2000 insert-- '26A. Guidelines about access to land (1) The Commission-- 6 551060B.I1-2/5/2003 BILL LA CIRCULATION 25-10-2004

 


 

Energy Legislation (Consumer Protection and Other Amendments) Act 2003 Act No. Part 3--Amendments to the Electricity Industry Act 2000 s. 15 (a) must prepare guidelines for the purposes of sections 21(v) and 26B; and (b) may amend those guidelines from time 5 to time. (2) A guideline or amendment to a guideline prepared under this section is a determination for the purposes of the Essential Services Commission Act 2001. 10 26B. Commission may require licensee to enter into lease of land (1) The Commission may, by notice in writing, direct a transmission company to lease land to a person, in accordance with the 15 guidelines prepared under section 26A, if-- (a) the transmission company's licence is subject to a condition of a kind referred to in section 21(v); and (b) a person to whom access is to be 20 provided under that condition makes a written request to lease land from the transmission company for the purposes of that access; and (c) the transmission company fails to enter 25 into a lease of that land within the required period after receiving a written request to do so by that person. (2) A direction by the Commission under sub- section (1) is a determination for the 30 purposes of the Essential Services Commission Act 2001. (3) In sub-section (1)(c) "the required period" is the period determined in accordance with the guidelines under section 26A for the 35 purposes of this section.'. 7 551060B.I1-2/5/2003 BILL LA CIRCULATION 25-10-2004

 


 

Energy Legislation (Consumer Protection and Other Amendments) Act 2003 Act No. Part 3--Amendments to the Electricity Industry Act 2000 s. 16 16. Offer to domestic or small business customers In section 35(9) of the Electricity Industry Act 2000 for "2003" substitute "2004". 17. Terms and conditions of contracts for sale of 5 electricity to certain customers In section 36(7) of the Electricity Industry Act 2000 for "2003" substitute "2004". 18. Deemed contracts with former franchise customers In section 37(2) of the Electricity Industry Act 10 2000 for "2003" substitute "2004". 19. Deemed contracts for supply and sale for relevant customers In section 39(11) of the Electricity Industry Act 2000 for "2003" substitute "2004". 15 20. Powers of VENCorp (1) For section 79(1)(c) of the Electricity Industry Act 2000 substitute-- "(c) to carry out directions given to VENCorp under section 79AA, whether or not for 20 purposes connected with functions under this Part or under a licence issued under Part 2; (d) any other functions conferred on VENCorp under this Part or under a licence issued under Part 2; 25 (e) any other functions conferred on VENCorp in relation to the electricity industry under this Act or any other Act.". (2) In section 79(2) of the Electricity Industry Act 2000, for "This" substitute "Subject to sub- 30 section (3), this". 8 551060B.I1-2/5/2003 BILL LA CIRCULATION 25-10-2004

 


 

Energy Legislation (Consumer Protection and Other Amendments) Act 2003 Act No. Part 3--Amendments to the Electricity Industry Act 2000 s. 21 (3) After section 79(2) of the Electricity Industry Act 2000 insert-- "(3) Nothing in sub-section (2)-- (a) limits the power of the Minister to give 5 directions to the board of VENCorp under section 79AA; or (b) limits the ability of the board of VENCorp to comply with a direction given under section 79AA.". 10 21. New section 79AA inserted After section 79 of the Electricity Industry Act 2000 insert-- "79AA. Directions (1) The Minister, after consultation with the 15 Treasurer, may, from time to time, by written notice to the board of VENCorp, give such directions to the board as the Minister thinks fit. (2) The board of VENCorp must comply with a 20 direction given under this section but an act or decision of the board is not invalid merely because of a failure to comply with such a direction.". 22. Power to acquire easements with approval of 25 Governor in Council In section 86(1) of the Electricity Industry Act 2000 for "the purpose of erecting and maintaining power lines" substitute "the purposes of-- (a) erecting or laying power lines (or both); and 30 (b) maintaining power lines.". __________________ 9 551060B.I1-2/5/2003 BILL LA CIRCULATION 25-10-2004

 


 

Energy Legislation (Consumer Protection and Other Amendments) Act 2003 Act No. Part 4--Amendments to the Essential Services Commission Act 2001 s. 23 PART 4--AMENDMENTS TO THE ESSENTIAL SERVICES COMMISSION ACT 2001 23. Expiry of Part See: In section 47 of the Essential Services Act No. 5 Commission Act 2001 for "August" substitute 62/2001 and "December". amending Act Nos 11/2002, 32/2002 and 49/2002. LawToday: www.dms. dpc.vic. gov.au __________________ 10 551060B.I1-2/5/2003 BILL LA CIRCULATION 25-10-2004

 


 

Energy Legislation (Consumer Protection and Other Amendments) Act 2003 Act No. Part 5--Amendments to the National Electricity (Victoria) Act 1997 s. 24 PART 5--AMENDMENTS TO THE NATIONAL ELECTRICITY (VICTORIA) ACT 1997 24. New sections 8AB, 8AC and 8AD inserted See: After section 8A of the National Electricity Act No. 5 (Victoria) Act 1997 insert-- 29/1997 and '8AB. Immunity for action taken under section 76 amending Act Nos of the National Electricity (Victoria) Law 55/1997, 38/2000 and (1) Except as otherwise provided in section 76 62/2001. of the National Electricity (Victoria) Law, a LawToday: www.dms. 10 person-- dpc.vic. gov.au (a) who takes action, or who requires a Code participant to take action, in accordance with an authorisation under section 76(1) of that Law, does not 15 incur any civil monetary liability for the action taken; (b) who is a Code participant, does not incur any civil monetary liability for action taken in accordance with a 20 requirement made under section 76 of that Law. (2) In this section "civil monetary liability" has the same meaning as in section 76 of the National Electricity (Victoria) Law. 25 8AC. Immunity of NEMMCO and network service providers (1) Except as otherwise provided in section 77A of the National Electricity (Victoria) Law or an agreement under that section-- 30 (a) NEMMCO or an officer or employee of NEMMCO does not incur any civil monetary liability for an act or omission in the performance or exercise, or purported performance or 11 551060B.I1-2/5/2003 BILL LA CIRCULATION 25-10-2004

 


 

Energy Legislation (Consumer Protection and Other Amendments) Act 2003 Act No. Part 5--Amendments to the National Electricity (Victoria) Act 1997 s. 25 exercise, of a function or power of NEMMCO under that Law or the Code; (b) a network service provider or an officer or employee of a network service 5 provider does not incur any civil monetary liability for an act or omission in the performance or exercise, or purported performance or exercise, of a system operations 10 function or power. (2) In this section "civil monetary liability", "network service provider", "officer" and "system operations function or power" have the same meanings as in section 77A of 15 the National Electricity (Victoria) Law. 8AD. Immunity in relation to failure to supply electricity (1) Except as otherwise provided in section 78 of the National Electricity (Victoria) Law or 20 an agreement under that section, a Code participant or an officer or employee of a Code participant does not incur any civil monetary liability for any partial or total failure to supply electricity. 25 (2) In this section "civil monetary liability" and "officer" have the same meanings as in section 77A of the National Electricity (Victoria) Law.'. 25. Supreme Court--limitation of jurisdiction 30 At the end of section 8B of the National Electricity (Victoria) Act 1997 insert-- "(2) It is the intention of sections 8AB, 8AC and 8AD to alter or vary section 85 of the Constitution Act 1975.". __________________ 12 551060B.I1-2/5/2003 BILL LA CIRCULATION 25-10-2004

 


 

Energy Legislation (Consumer Protection and Other Amendments) Act 2003 Act No. Part 6--Amendments to the Electricity Safety Act 1998 s. 26 PART 6--AMENDMENTS TO THE ELECTRICITY SAFETY ACT 1998 26. Definition See: In section 3 of the Electricity Safety Act 1998, in Act No. 5 the definition of "urban area" omit 'or "very 25/1998. Reprint No. 3 high" '. as at 29 July 2002. LawToday: www.dms. dpc.vic. gov.au 27. Statute law revision In section 140A of the Electricity Safety Act 1998, in the definition of "prescribed offence" for 10 "68(1)" substitute "68". __________________ 13 551060B.I1-2/5/2003 BILL LA CIRCULATION 25-10-2004

 


 

Energy Legislation (Consumer Protection and Other Amendments) Act 2003 Act No. Part 7--Amendments to Co-operative Schemes (Administrative Actions) Act s. 28 2001 PART 7--AMENDMENTS TO CO-OPERATIVE SCHEMES (ADMINISTRATIVE ACTIONS) ACT 2001 28. Definitions See: In section 3 of the Co-operative Schemes Act No. 5 (Administrative Actions) Act 2001-- 41/2001 as at (a) insert the following definition-- 2 August 2001. ' "Gas Act" means-- LawToday: www.dms. dpc.vic. (a) the Gas Industry Act 1994; gov.au (b) the Gas Industry (Residual 10 Provisions) Act 1994; (c) the Gas Industry Act 2001;'; (b) after paragraph (a) of the definition of "commencement time" insert-- "(ab) in relation to a Gas Act--the time when 15 Part 7 of the Energy Legislation (Consumer Protection and Other Amendments) Act 2003 commences; or". 29. Co-operative schemes to which this Act applies-- 20 relevant State Acts After section 4(1)(a) of the Co-operative Schemes (Administrative Actions) Act 2001 insert-- "(ab) a Gas Act; and". 25 30. Act not to give rise to liability against the State (1) In section 13(1) of the Co-operative Schemes (Administrative Actions) Act 2001, after "section 4" insert "or the enactment, commencement or operation of Part 7 of the 30 Energy Legislation (Consumer Protection and Other Amendments) Act 2003". 14 551060B.I1-2/5/2003 BILL LA CIRCULATION 25-10-2004

 


 

Energy Legislation (Consumer Protection and Other Amendments) Act 2003 Act No. Part 7--Amendments to Co-operative Schemes (Administrative Actions) Act s. 31 2001 (2) In section 13(2) of the Co-operative Schemes (Administrative Actions) Act 2001, after "not been made" insert "or this Act had not been amended by Part 7 of the Energy Legislation 5 (Consumer Protection and Other Amendments) Act 2003". 31. Supreme Court--limitation of jurisdiction At the end of section 14 of the Co-operative Schemes (Administrative Actions) Act 2001 10 insert-- "(2) It is the intention of section 13 as amended by the Energy Legislation (Consumer Protection and Other Amendments) Act 2003 to alter or vary section 85 of the 15 Constitution Act 1975.". 32. Regulations In section 15(2) of the Co-operative Schemes (Administrative Actions) Act 2001, after "section 4" insert "or the amendment of this Act 20 by Part 7 of the Energy Legislation (Consumer Protection and Other Amendments) Act 2003". 15 551060B.I1-2/5/2003 BILL LA CIRCULATION 25-10-2004

 


 

Energy Legislation (Consumer Protection and Other Amendments) Act 2003 Act No. Endnotes ENDNOTES By Authority. Government Printer for the State of Victoria. 16 551060B.I1-2/5/2003 BILL LA CIRCULATION 25-10-2004

 


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