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This is a Bill, not an Act. For current law, see the Acts databases.
PARLIAMENT OF VICTORIA
Petroleum Products (Terminal Gate Pricing) Act
2000
Act No.
TABLE OF PROVISIONS
Clause Page
1. Purpose 1
2. Commencement 1
3. Definitions 2
4. Declaration of suppliers and classes of petroleum products 3
5. Determination of terminal gate price 3
6. Price of sale or supply 5
7. Availability of price information 5
8. Offence relating to price of sale or supply 7
9. Requirement to supply 7
10. Declared suppliers to produce documents and answer questions 8
11. Application of Fair Trading Act 1999 8
12. Offences by bodies corporate 8
13. Regulations 9
ENDNOTES 10
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PARLIAMENT OF VICTORIA
Initiated in Assembly 6 September 2000 by Mr Savage
As amended in Assembly 1 November 2000
A BILL
to require the determination of terminal gate prices
for petroleum products and for other purposes.
Petroleum Products (Terminal Gate
Pricing) Act 2000
The Parliament of Victoria enacts as follows:
1. Purpose
The purpose of this Act is to require the
determination of terminal gate prices for
petroleum products.
5 2. Commencement
(1) Subject to sub-section (2), this Act comes into
operation on a day to be proclaimed.
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(2) If this Act does not come into operation before
1 December 2001, it comes into operation on that
day.
3. Definitions
5 In this Act--
"automotive gas" means liquefied petroleum gas
used or intended to be used for automotive
purposes;
"declared supplier" means a declared supplier
10 under section 4;
"Director" means the Director within the
meaning of the Fair Trading Act 1999;
"distributor" means a person who carries on a
business of distributing petroleum products;
15 "GST" has the same meaning as in the A New
Tax System (Goods and Services) Act 1999
of the Commonwealth;
"petroleum product" means motor spirit, diesel
or automotive gas;
20 "retailer" means a person who carries on a
business of selling or supplying petroleum
products by retail;
"supplier" means any person who carries on a
business of--
25 (a) refining or importing petroleum
products for the purposes of sale or
supply; or
(b) operating a fuel supply terminal; or
(c) supplying petroleum products by
30 wholesale to distributors or retailers;
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"terminal gate price" means a price determined
under section 5(1) as varied from time to
time under section 5(2).
4. Declaration of suppliers and classes of petroleum
5 products
The Governor in Council may, by Order published
in the Government Gazette--
(a) declare a supplier to be a declared supplier
for the purposes of this Act; and
10 (b) declare a class of petroleum products to be a
declared class of petroleum products for the
purposes of this Act.
5. Determination of terminal gate price
(1) A declared supplier must, within 14 days after the
15 commencement of this Act, determine a price
"(the terminal gate price)" per litre for the sale or
supply of each declared class of petroleum
products sold or supplied by the declared supplier.
Penalty: 10 000 penalty units.
20 (2) Subject to sub-section (3), a declared supplier may
at any time vary the terminal gate price of a
declared class of petroleum products.
(3) A declared supplier must not vary the terminal
gate price of a declared class of petroleum
25 products more than once in any 24 hour period.
Penalty: 10 000 penalty units.
(4) A terminal gate price must be determined by
adding the following together--
(a) the landed international product price of the
30 petroleum products determined in
accordance with sub-section (5); and
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(b) the excise and other taxes payable by the
supplier in respect of the petroleum products;
and
(c) the margin determined in accordance with
5 sub-section (7); and
(d) any GST payable on the total amount
determined under paragraphs (a), (b) and (c).
(5) The landed international product price of
petroleum products must be determined in
10 accordance with criteria from time to time
determined by the Governor in Council by Order
published in the Government Gazette.
(6) An Order under sub-section (5) may--
(a) leave any matter to be determined by the
15 Director or any other person; and
(b) apply, adopt or incorporate, wholly or
partially or as amended in the Order, the
provisions of any document issued or
published by any body whether--
20 (i) as issued or published at the time the
Order is made or at any time before
then; or
(ii) as amended from time to time.
(7) The margin for petroleum products is an amount
25 determined by the supplier which represents a
reasonable return to the supplier on the cost of the
establishment and operation of the terminal from
which the petroleum products are supplied.
(8) The terminal gate price must not include any
30 amount representing all or any of the following--
(a) a discount;
(b) a rebate;
(c) the cost of transport services;
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(d) the cost of delivery services;
(e) the cost of credit services;
(f) the cost of brand fees;
(g) the cost of provision of equipment;
5 (h) any return on assets owned by the declared
supplier at a retail site for the sale or supply
of petroleum products.
6. Price of sale or supply
The price at which a declared supplier sells or
10 supplies petroleum products of a declared class is
to be an amount determined by--
(a) adding to the current terminal gate price for
those petroleum products any amount
charged by the supplier for--
15 (i) transport services; and
(ii) delivery services; and
(iii) credit services; and
(iv) brand fees; and
(v) the provision of equipment; and
20 (b) deducting from the total determined under
paragraph (a) any discount or rebate
provided by the declared supplier for that
sale or supply.
7. Availability of price information
25 (1) A declared supplier must publish in the prescribed
manner the terminal gate price determined by the
supplier for petroleum products of a declared class
and any variation of that price.
Penalty: 5000 penalty units
30 (2) A declared supplier must make available to any
distributor or retailer, on request, details of the
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charges for any optional services provided by the
declared supplier in relation to the sale or supply
of a declared class of petroleum products,
including transport services, delivery services,
5 credit services, brand fees and provision of
equipment.
Penalty: 5000 penalty units.
(3) A declared supplier who is the owner or lessor of
a retail site for the sale of petroleum products may
10 from time to time determine an amount
representing a return on its asset in that site to be
paid by the retailer at that site in addition to the
terminal gate price for the sale or supply of
petroleum products of a declared class.
15 (4) A declared supplier must make available to a
retailer, on request, any current amount
determined by the declared supplier under sub-
section (3) in respect of that retailer.
Penalty: 5000 penalty units.
20 (5) A declared supplier who sells or supplies a load of
petroleum products of a declared class must
include in any invoice for that sale or supply
details of--
(a) the current terminal gate price applying in
25 respect of that load; and
(b) any discounts or rebates provided by the
supplier in respect of that load; and
(c) any charges determined under sub-section
(2), applying in respect of that load; and
30 (d) if an amount is determined under sub-section
(3) on a per litre basis, any amount so
determined applying to that load.
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Penalty: 5000 penalty units.
8. Offence relating to price of sale or supply
(1) A declared supplier must not sell or supply
petroleum products of a declared class to a
5 distributor or retailer at a price determined in any
manner otherwise than in accordance with
section 6.
Penalty: 10 000 penalty units.
(2) This section does not apply to a sale or supply
10 under a contract entered into before 1 November
2000.
(3) A provision of any contract for the sale or supply
of petroleum products of a declared class which is
entered into on or after 1 November 2000 is void
15 to the extent that it is inconsistent with this
section.
9. Requirement to supply
(1) Subject to sub-section (2), a declared supplier
must not refuse to supply petroleum products of a
20 declared class to a distributor or retailer.
Penalty: 10 000 penalty units.
(2) A declared supplier may refuse to supply
petroleum products if--
(a) the supplier has notified the Director in the
25 prescribed manner that there is a shortfall in
the availability of the petroleum products
and that to comply with sub-section (1)
would hinder the supplier's ability to comply
with its contracts with its customers; or
30 (b) the load to be supplied is less than
35 000 litres; or
(c) it would be unsafe or in contravention of any
other Act or law to supply that load; or
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(d) it is not the practice of the supplier to supply
petroleum products of that class at the time
requested.
10. Declared suppliers to produce documents and answer
5 questions
For the purpose of monitoring compliance with
this Act or the regulations, the Director may
require a declared supplier at a time and place
specified by the Director--
10 (a) to answer orally or in writing any questions
put by the Director relating to the declared
supplier's business as a declared supplier;
(b) to supply orally or in writing information
required by the Director relating to that
15 business;
(c) to produce to the Director specified
documents or documents of a specified class
relating to that business.
11. Application of Fair Trading Act 1999
20 Part 10 of the Fair Trading Act 1999 (except
section 121) extends and applies (with any
necessary modifications) to this Act as if any
reference in that Part to the Fair Trading Act
1999 were as reference to this Act and as if
25 section 10 of this Act were included in that Part.
12. Offences by bodies corporate
(1) If a body corporate contravenes any provision of
this Act, each officer of the body corporate is
deemed to have contravened the same provision if
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the officer knowingly authorised or permitted the
contravention.
(2) A person may be proceeded against and convicted
under a provision in accordance with sub-section
5 (1) whether or not the body corporate has been
proceeded against under that provision.
(3) Nothing in this section affects any liability
imposed on a body corporate for an offence
committed by the body corporate against this Act.
10 13. Regulations
The Governor in Council may make regulations
for or with respect to--
(a) the keeping of records for the purposes of
this Act; and
15 (b) any other matter or thing required or
permitted by this Act to be prescribed or
necessary to be prescribed to give effect to
this Act.
20
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Petroleum Products (Terminal Gate Pricing) Act 2000
Endnotes
Act No.
ENDNOTES
By Authority. Government Printer for the State of Victoria.
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