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WESTERN AUSTRALIA
LEGISLATIVE ASSEMBLY
ENERGY COORDINATION
AMENDMENT BILL 1997
A BILL FOR
AN ACT to amend the Energy Coordination Act 1994 to
make provision for a scheme for licensing the supply
of gas in certain areas of the State, to make
consequential amendments to other Acts, and for
related purposes.
The Parliament of Western Australia enacts as follows:
Short title
1. This Act may be cited as the Energy Coordination
Amendment Act 1997.
No. 11 -- 1
Energy Coordination Amendment Bill 1997
cl. 2
Commencement
2. This Act comes into operation on such day as is fixed by
proclamation.
Principal Act
5 3. In this Act the Energy Coordination Act 1994* is referred to
as the principal Act.
[* Act No. 71 of 1994.]
Long title amended
4. The long title to the principal Act is amended --
10 (a) by inserting after ``to provide for -- '' the
following --
``
a scheme for licensing the supply of
gas in certain areas of the State;
15 '';
and
(b) by inserting after ``energy policy'' the following --
`` , to administer the licensing scheme ''.
Section 3 amended
20 5. Section 3 of the principal Act is amended --
(a) by inserting in the appropriate alphabetical positions
the following definitions --
``
``distribution licence'' means a licence having
25 the classification referred to in section 11D
(1) (b);
2
Energy Coordination Amendment Bill 1997
cl. 5
``distribution system'' means --
(a) a system of pipelines, mains and gas
service pipes, designed to operate at a
pressure of less than 1.9 megapascals,
5 for the transportation of gas to
customers from the flange, joint or
other point at which the system
connects to a transmission system;
and
10 (b) any associated apparatus, facilities,
structures, plant or equipment;
``Gas Corporation'' means the body established
by section 4 of the Gas Corporation
Act 1994;
15 ``gas distribution capacity'' means the
capacity of a licensee's distribution system
to transport gas;
``gas transmission capacity'' means the
capacity of a licensee's transmission system
20 to transport gas;
``Land Acquisition Act'' means the provisions
of the Land Acquisition and Public Works
Act 1902 relating to compulsory taking of
land or the provisions of any other Act that
25 replace those provisions;
``licence'' means a licence granted for the
purposes of section 11I;
3
Energy Coordination Amendment Bill 1997
cl. 6
``licensee'' means the holder of a licence and
any transferee of the licence under
section 11S;
``supply'', in relation to gas, means
5 transportation or sale;
``supply area'' means an area for the time being
constituted as such under section 11A;
``transmission system'' means a system of
pipelines, designed to operate at a pressure
10 of 1.9 megapascals or more, for the
transportation of gas to a distribution
system, or to customers, from generating
works (as defined in the Energy
Corporations (Powers) Act 1979) within the
15 limits of the State.
'';
and
(b) by deleting the full stop at the end of the definition of
``inspector'' and substituting a semicolon.
20 Section 6 amended
6. Section 6 of the principal Act is amended by inserting after
paragraph (a) the following paragraph --
``
(aa) to administer the licensing scheme provided for by
25 Part 2A;
''.
4
Energy Coordination Amendment Bill 1997
cl. 7
Part 2A inserted
7. After Part 2 of the principal Act the following Part is
inserted --
``
5 PART 2A -- LICENSING OF GAS SUPPLY
Division 1 -- Supply areas
Constitution of supply areas
11A. (1) The Governor may by order published in the
Gazette --
10 (a) constitute an area as a supply area;
(b) add an area to, or excise an area from, a supply
area; or
(c) cancel the status of an area as a supply area.
(2) An order is not to be made under subsection (1)
15 excising an area from a supply area or cancelling the status
of an area as a supply area unless the Governor is satisfied
that the supply of gas provided in the area in question will,
after the excision or cancellation, continue to be of an
acceptable standard.
20 (3) Section 42 of the Interpretation Act 1984 applies to
an order under subsection (1) as if the order were a
regulation.
Areas need not be continuous
11B. A supply area may be one continuous area or be
25 made up of 2 or more separate areas.
5
Energy Coordination Amendment Bill 1997
cl. 7
Consultation
11C. Where it is proposed that an order be made under
section 11A, the Minister must, before the order is made,
consult with any licensee who will be materially affected by
5 the proposed order.
Division 2 -- Licence classification and area
of operation
Classification of licences
11D. (1) Licences are classified as follows --
10 (a) transmission, which authorizes the licensee to
transport gas through the licensee's transmission
system;
(b) distribution, which authorizes the licensee --
(i) to construct a distribution system and to
15 transport gas through the system; or
(ii) to transport gas through an existing
distribution system, and if required for that
purpose to make alterations to the system,
and to operate and maintain the system; or
20 (c) trading, which authorizes the licensee to sell gas
transported through a transmission or
distribution system.
(2) A licence is to be designated by reference to one of
the classifications referred to in subsection (1).
6
Energy Coordination Amendment Bill 1997
cl. 7
Area to which licence applies
11E. A licence is to be designated to apply to --
(a) one or more supply areas; or
(b) one or more parts of a supply area,
5 specified in the licence.
Division 3 -- Licensing requirements
Licensing extends to statutory providers
11F. The requirements of this Division apply to a person
despite the fact that the person, in supplying gas, is
10 performing a function that --
(a) is authorized or provided for by or under a
written law; or
(b) has been approved under a written law.
Application of Division to supply of liquid
15 petroleum gas
11G. (1) The requirements of this Division apply in
relation to the supply of liquid petroleum gas only to the
extent that such gas is supplied through a transmission or
distribution system in a supply area.
20 (2) In subsection (1) --
``liquid petroleum gas'' has the same meaning as in
the Liquid Petroleum Gas Act 1956.
7
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Relationship with Petroleum Pipelines Act 1969
11H. Despite anything in the Petroleum Pipelines
Act 1969, that Act does not apply in relation to --
(a) the transportation of gas through a transmission
5 system in a supply area; or
(b) the construction and operation of, or the
transportation of gas through, a distribution
system in a supply area.
Requirement for licence
10 11I. A person must not supply gas in a supply area or
part of a supply area except under the authority of a licence
granted by the Coordinator that applies to that area or that
part of the area.
Penalty: $100 000 and a daily penalty of $5 000.
15 Power to exempt
11J. (1) The Governor may by order published in the
Gazette provide for exemptions from section 11I.
(2) Section 43 (4) and (7) to (9) of the Interpretation
Act 1984 apply to an order under subsection (1) as if the
20 order were subsidiary legislation.
Transitional provision
11K. (1) This section applies to every person (an
``existing operator'') that immediately before the
commencement of section 7 of the Energy Coordination
25 Amendment Act 1997 (``the commencement'') is
8
Energy Coordination Amendment Bill 1997
cl. 7
undertaking any activity that, after the commencement, is
required to be licensed under section 11I.
(2) An existing operator that wishes to apply for a
licence in respect of an activity referred to in subsection (1)
5 must do so within 4 months after the commencement.
(3) An existing operator is to be treated as if the
person were the holder of the relevant licence --
(a) until the expiry of 12 months after the
commencement; or
10 (b) until --
(i) a licence of that kind is granted to the
person or is refused; and
(ii) in the case of a refusal, the time for appeal
against the refusal under section 11ZI
15 expires without an appeal being brought or
an appeal is brought but is unsuccessful,
whichever happens first.
(4) For the purposes of paragraph (b) (ii) of
subsection (3) an appeal is unsuccessful if it --
20 (a) results in the refusal referred to in
paragraph (b) (i) of that subsection being
confirmed; or
(b) is withdrawn, discontinued or dismissed.
(5) If a licence is granted to an existing operator, the
25 Coordinator may waive payment of the licence fee under
section 11R on such terms and conditions as are determined
by the Coordinator.
9
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(6) Without limiting subsection (5), the terms and
conditions may provide that the waiver is to apply for the
term of the licence or for a lesser period.
Division 4 -- Licence application, grant, etc.
5 Application for licence
11L. (1) An application for a licence is to be --
(a) made in a form approved by the Coordinator;
and
(b) accompanied by the prescribed application fee.
10 (2) Without limiting subsection (1) (a), an applicant for
a licence is to inform the Coordinator of --
(a) the nature of the business activities undertaken
or to be undertaken by the applicant;
(b) where, if a licence is granted, the applicant will
15 have power to determine its prices or charges,
the methods or principles that the applicant
proposes to apply in doing so;
(c) the methods or standards that the applicant
proposes to apply in supplying gas;
20 (d) where, if a licence is granted, the applicant will
be required to provide access to gas distribution
capacity or gas transmission capacity to other
persons, the methods or principles that the
applicant proposes to apply in determining the
25 terms and conditions on which such access will
be provided;
10
Energy Coordination Amendment Bill 1997
cl. 7
(e) in the case of an application for a distribution
licence, the nature and extent of the
construction, alteration, operation or
maintenance of a distribution system undertaken
5 or to be undertaken to supply gas; and
(f) the terms and conditions of any proposed
standard customer contract between the
applicant and any purchaser of gas from the
applicant.
10 (3) The applicant must also provide such other
information (including information as to surveys carried
out) as the Coordinator may require for the proper
consideration of the application.
Matters to be considered by Coordinator
15 11M. The Coordinator is not to grant or renew a licence
unless he or she is satisfied that --
(a) the applicant for the licence or its renewal has,
and is likely to continue to have, the financial
and technical ability --
20 (i) to supply gas in the supply area or areas to
which the licence is to apply; and
(ii) in the case of an application for a
distribution licence, to operate and
maintain a distribution system and, where
25 relevant, to construct or make alterations
to a distribution system;
and
(b) it is in the interest of the public within the
supply area or areas to which the licence is to
30 apply to grant or renew the licence.
11
Energy Coordination Amendment Bill 1997
cl. 7
Terms and conditions of licence
11N. (1) A licence is subject to such terms and
conditions as are determined by the Coordinator.
(2) Without limiting subsection (1), the terms and
5 conditions may include provisions relating to any matter
provided for by Schedule 1.
(3) Despite subsections (1) and (2), conditions relating
to any matter referred to in paragraph (e), (f), (k) (i) or (iii)
or (n) of Schedule 1 cannot be included in a licence granted
10 to the Gas Corporation.
(4) A requirement made under paragraph (d) of
Schedule 1 in a licence granted to the Gas Corporation
must not be inconsistent with any enactment that regulates
the financial administration of that corporation.
15 (5) The terms and conditions of a licence must not be
inconsistent with regulations made under section 15 of the
Gas Standards Act 1972.
(6) In this section a reference to the Gas Corporation
includes any subsidiary of that corporation within the
20 meaning of the Gas Corporation Act 1994.
Coordinator may grant more than one licence for
supply area
11O. (1) The Coordinator may grant in respect of a
supply area or part of a supply area more than one licence
25 of a particular classification.
(2) In subsection (1) --
``classification'' means a classification referred to in
section 11D (1).
12
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cl. 7
Duration of licence
11P. A licence may be granted or renewed for such period
as the Coordinator thinks fit, but the period cannot exceed
10 years from the day of grant or renewal of the licence.
5 Renewal of licence
11Q. An application for the renewal of a licence is to
be --
(a) made in a form approved by the Coordinator;
and
10 (b) accompanied by the prescribed application fee.
Licence fee
11R. (1) A licensee must pay to the Coordinator the
prescribed licence fee --
(a) within one month from the day of grant or
15 renewal of the licence; and
(b) within one month from each anniversary of that
day during the term of the licence.
(2) Regulations made under section 26 may prescribe a
different licence fee for each of the classifications referred to
20 in section 11D (1).
(3) If the Coordinator is satisfied that payment of the
prescribed licence fee would make it uneconomic for a
licensee to supply gas as authorized by a licence, the
Coordinator may reduce the amount of the fee payable by
25 the licensee on such terms and conditions as are determined
by the Coordinator.
13
Energy Coordination Amendment Bill 1997
cl. 7
(4) Without limiting subsection (3), the terms and
conditions may provide that the reduction is to apply for the
term of the licence or for a lesser period.
(5) The Coordinator may recover any outstanding
5 licence fee in a court of competent jurisdiction as a debt due
by the licensee to the Crown.
Transfer of licence
11S. (1) A licence cannot be transferred except with the
approval of the Coordinator.
10 (2) Approval for the purposes of subsection (1) may be
given on such terms and conditions as are determined by
the Coordinator.
(3) An application for approval to transfer a licence is
to be --
15 (a) made in a form approved by the Coordinator;
and
(b) accompanied by the prescribed application fee.
Gazettal
11T. (1) The Coordinator must ensure that notice of the
20 grant, renewal or transfer of a licence is published in the
Gazette as soon as is practicable after the grant, renewal or
transfer.
(2) The notice is to include --
(a) the name and business address of the licensee;
25 (b) the term of the licence;
14
Energy Coordination Amendment Bill 1997
cl. 7
(c) the supply area or areas, or the part or parts of a
supply area, to which the licence applies; and
(d) the place where a copy of the licence and any
plan may be inspected under section 11U.
5 Licences to be available for inspection
11U. The Coordinator is to make available at the
Coordinator's office for inspection by members of the public
during normal office hours --
(a) a copy of every licence, as in force from time to
10 time; and
(b) if any supply area or part of a supply area to
which a licence applies is specified by reference
to a plan, a copy of the plan.
Other laws not affected
15 11V. The grant, renewal or transfer of a licence does not
affect the licensee's obligations to comply with any other
written law in relation to the matters covered by the
licence.
Amendment of licence
20 11W. (1) The Coordinator may determine that a licence
is to be amended.
(2) If the licence specifies a procedure to be followed in
making such a determination, the determination may only
be made in accordance with that procedure.
15
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cl. 7
(3) An amendment cannot take effect until it is notified
to the licensee under subsection (4) or under the procedure
referred to in subsection (2).
(4) If a licence is amended under this section the
5 Coordinator must --
(a) if subsection (2) does not apply, notify the
licensee of the amendment; and
(b) ensure that notice is published in the Gazette
indicating the nature of the amendment and the
10 place where a copy of the licence may be
inspected under section 11U.
(5) This section applies to the substitution of a new
licence for an existing licence in the same way as it applies
to the amendment of a licence.
15 Division 5 -- Duty to supply
General duty to supply
11X. (1) It is a condition of every licence that, subject to
section 11Y, the licensee is to --
(a) supply gas as provided for; and
20 (b) in the case of a distribution licence, operate and
maintain, and, where relevant, construct or
make alterations to, the distribution system as
specified,
in the licence.
25 (2) In respect of any licence granted to the Gas
Corporation, subsection (1) does not affect the protection
16
Energy Coordination Amendment Bill 1997
cl. 7
given to that corporation by section 28 (4) of the
Gas Corporation Act 1994.
(3) The Governor may by order published in the
Gazette provide for exemptions from subsection (1).
5 (4) Section 43 (4) and (7) to (9) of the Interpretation
Act 1984 apply to an order under subsection (3) as if the
order were subsidiary legislation.
Interruption etc. of supply
11Y. (1) A licensee may interrupt, suspend or restrict
10 the supply of gas provided by the licensee if in the licensee's
opinion it is necessary to do so because of an accident,
emergency, potential danger or other unavoidable cause.
(2) A licensee is not liable for any loss or damage that
arises from any such interruption, suspension or restriction
15 except to the extent that an agreement to which the
licensee is a party provides otherwise.
(3) A licensee must take reasonable steps to minimize
the extent or duration of any such interruption, suspension
or restriction.
20 (4) This section is in addition to the provisions of
section 48 of the Energy Corporations (Powers) Act 1979 if
those provisions apply to a licensee by operation of
regulations made for the purposes of section 11ZQ and does
not limit those provisions.
17
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cl. 7
Division 6 -- Other duties included in licences
Asset management system
11Z. (1) It is a condition of every distribution licence
that the licensee is to --
5 (a) provide for an asset management system in
respect of the licensee's assets;
(b) notify details of the system and any substantial
changes to it to the Coordinator; and
(c) not less than once in every period of 24 months
10 (or such longer period as the Coordinator allows)
calculated from the grant of the licence, provide
the Coordinator with a report by an independent
expert acceptable to the Coordinator as to the
effectiveness of the system.
15 (2) An asset management system is to set out the
measures to be taken by the licensee for the proper
maintenance of assets used in the supply of gas and in the
operation and maintenance of, and, where relevant, the
construction or alteration of, the distribution system.
20 Compliance with technical standards
11ZA. It is a condition of every licence that the licensee is
to comply with the standards prescribed under the
Gas Standards Act 1972 and, where applicable, the
Liquid Petroleum Gas Act 1956 in relation to the supply of
25 gas.
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cl. 7
Performance audit
11ZB. (1) It is a condition of every licence that the
licensee is to, not less than once in every period of
24 months (or such longer period as the Coordinator allows)
5 calculated from the grant of the licence, provide the
Coordinator with a performance audit conducted by an
independent expert acceptable to the Coordinator.
(2) A performance audit is an audit of the effectiveness
of measures taken by the licensee to meet --
10 (a) the standards referred to in section 11ZA; and
(b) performance criteria specified in the licence.
(3) The Coordinator is to present to the Minister a
report on each performance audit within 2 months after his
or her receipt of the audit.
15 Division 7 -- Enforcement
Failure to comply with licence
11ZC. (1) If, in the opinion of the Minister, a licensee
contravenes a licence, the Minister may cause a notice to be
served on the licensee requiring the licensee to rectify the
20 contravention within a specified period.
(2) If, in the opinion of the Minister, a licensee fails to
comply with a notice under subsection (1), the Minister
may, subject to section 11ZD, do one or more of the
following --
25 (a) serve a letter of reprimand on the licensee;
19
Energy Coordination Amendment Bill 1997
cl. 7
(b) order the licensee to pay a monetary penalty
fixed by the Minister but not exceeding
$100 000;
(c) cause the contravention to be rectified to the
5 satisfaction of the Minister.
(3) Persons authorized by the Minister may enter any
premises and do all things that are necessary for the
purposes of subsection (2) (c).
(4) The Minister may recover --
10 (a) a penalty imposed under subsection (2) (b); or
(b) the costs and expenses of any action taken under
subsection (2) (c),
in a court of competent jurisdiction as a debt due by the
licensee to the Crown.
15 Right of licensee to make submissions
11ZD. The Minister is not to take any action under
section 11ZC (2) (b) or (c) unless he or she has notified the
licensee of the proposed action and given the licensee a
reasonable opportunity to make submissions on the matter.
20 Exception where public health endangered
11ZE. If, in the opinion of the Minister, the health or
safety of members of the public is or may be at risk as a
result of the contravention of a licence, the Minister may
cause the contravention to be rectified under
25 section 11ZC (2) (c) without --
(a) serving notice on the licensee under
section 11ZC (1); or
(b) complying with section 11ZD.
20
Energy Coordination Amendment Bill 1997
cl. 7
Cancellation of licence
11ZF. (1) The Governor may cancel a licence if he or
she is satisfied that the licensee --
(a) has failed to comply with the condition imposed
5 by section 11X or is otherwise in default as
defined in subsection (2);
(b) has failed to pay a licence fee as required under
section 11R;
(c) in the case of a company, is an externally
10 administered corporation within the meaning of
the Corporations Law; or
(d) has within a period of 24 months been convicted
of more than 3 offences for which the prescribed
punishment is a fine of $10 000 or more or
15 imprisonment for 12 months or more.
(2) For the purposes of subsection (1) (a) a licensee is
in default if the Governor is satisfied that --
(a) the licensee has failed to comply with a term or
condition of the licence, other than that imposed
20 by section 11X;
(b) the failure is material in terms of the operation
of the licence as a whole;
(c) the Minister has given to the licensee written
notice of the failure and the fact that in the
25 Minister's opinion paragraph (b) applies to it;
and
(d) the licensee has not, within the time specified in
the notice, either remedied the failure or shown
cause why the licence should not be cancelled.
21
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cl. 7
(3) If a licence is cancelled under this section the
Coordinator must ensure that notice of the cancellation is
published in the Gazette.
(4) Regulations may be made under section 26
5 providing, in the event of a licence being cancelled, for --
(a) the vesting of assets, rights and interests of the
former licensee in a person (including the
Minister as a corporation) for the purpose of
enabling gas to be supplied after the
10 cancellation;
(b) the conferral of powers and duties for that
purpose;
(c) the discharge or assignment of liabilities;
(d) the disposal of property; and
15 (e) all matters that are necessary or convenient for
dealing with the consequences of the cancellation
and the vesting referred to in paragraph (a).
Duty to leave system in safe condition
11ZG. (1) On the cancellation of a licence under
20 section 11ZF, the former licensee is to ensure that any
distribution system constructed or operated by the former
licensee under the licence is left in a safe condition.
(2) If, in the opinion of the Minister, a former licensee
contravenes subsection (1), the Minister may cause the
25 contravention to be rectified to the satisfaction of the
Minister.
(3) Persons authorized by the Minister may enter any
premises and do all things that are necessary for the
purposes of subsection (2).
22
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cl. 7
(4) The Minister may recover the costs and expenses of
any action taken under subsection (2) in a court of
competent jurisdiction as a debt due by the former licensee
to the Crown.
5 Minister to be informed
11ZH. The Coordinator is to --
(a) monitor and report to the Minister on compliance
by licensees with their licences;
(b) inform the Minister about any failure by a
10 licensee to meet performance criteria or other
requirements of the licence; and
(c) provide advice to the Minister for the purposes of
section 11ZC.
Division 8 -- Appeal
15 Appeal against Coordinator's decision
11ZI. (1) A person who is aggrieved by a decision of the
Coordinator --
(a) to refuse to grant or renew a licence;
(b) to refuse to approve the transfer of a licence;
20 (c) as to the length of the period for which a licence
is granted or renewed;
(d) as to any term or condition of a licence; or
23
Energy Coordination Amendment Bill 1997
cl. 7
(e) to amend a licence under section 11W,
may appeal to the Minister against the decision within
30 days after receiving notice in writing of the decision from
the Coordinator.
5 (2) Within 60 days of an appeal being brought, the
Minister is to refer the appeal to one or more suitably
qualified persons appointed by him or her to examine, and
advise the Minister on, the matter.
(3) The person or persons so appointed must --
10 (a) give the appellant an opportunity to be heard on
the matter; and
(b) advise the Minister on the matter within 60 days
after the referral of the appeal under
subsection (2).
15 (4) The Minister, after considering the advice given
under subsection (3), must confirm, vary or reverse the
decision within 30 days after receiving that advice.
(5) If an appeal against a decision is brought under
this section the decision is to continue to have effect
20 pending the appeal, unless the Minister otherwise directs.
Division 9 -- Powers in relation to land
When this Division applies
11ZJ. The powers conferred by this Division may only be
exercised in relation to a distribution licence.
24
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Grant of easements over Crown land
11ZK. The Minister responsible for the administration of
the Land Act 1933 may exercise the power conferred by
section 134B of that Act to grant an easement to a licensee
5 as if the construction, alteration, operation or maintenance
of a distribution system under the licence were a purpose to
which subsection (1) (b) of that section referred.
Power of public authority to grant easements etc.
11ZL. (1) A public authority may grant to a licensee, on
10 such terms and conditions as are agreed between the
authority and the licensee, a relevant interest in respect of
land held by the public authority in fee simple.
(2) This section has effect despite any other
written law.
15 (3) In this section --
``public authority'' means --
(a) a Minister of the Crown;
(b) an agency, authority or instrumentality of
the Crown in right of the State or a local
20 government; or
(c) a body, whether corporate or unincorporate,
that is established or continued for a public
purpose by or under a written law and
prescribed for the purposes of this
25 definition;
``relevant interest'' means a lease, easement, licence
or other authority necessary or expedient to
enable the licensee to construct, alter, operate or
maintain a distribution system.
25
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Taking of interest or easement for purposes of licence
11ZM. (1) For the purpose of enabling a licensee to
supply gas as authorized by a licence, an interest in land or
easement over land may be taken under the Land
5 Acquisition Act as if for a public work within the meaning
of that Act.
(2) The power conferred by subsection (1) may only be
exercised on the recommendation of the Minister
responsible for the administration of this Act.
10 (3) Any costs and expenses incurred in the taking of an
interest or easement under subsection (1) --
(a) are to be paid by the licensee; and
(b) may be recovered in a court of competent
jurisdiction as a debt due by the licensee to the
15 Crown.
(4) For the purposes of subsection (1) a reference to
land in the Land Acquisition Act includes an interest in
land or easement over land.
Vesting of interest or easement
20 11ZN. (1) Despite anything in the Land Acquisition Act,
on the taking of an interest in land or easement over land
under section 11ZM, the interest or easement vests in the
licensee.
(2) The Land Acquisition Act applies, with all
25 necessary changes, in relation to the recording or
registering of the interest or easement taken under
section 11ZM.
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cl. 7
Proceedings and liability
11ZO. (1) Proceedings in respect of compensation, or
otherwise for the purpose of complying with the Land
Acquisition Act, are to be taken against the licensee.
5 (2) The licensee is liable in respect of the taking of an
interest in land or easement over land under section 11ZM
to the same extent as the Minister responsible for the
administration of the Land Acquisition Act would have been
liable if the taking had been for the purpose of a public
10 work.
Easements in gross
11ZP. An easement may be taken under section 11ZM
without there being a dominant tenement and there may be
made appurtenant or annexed to any such easement
15 another easement or the benefit of a restriction as to the
user of the land.
Division 10 -- Extension of Energy Corporations
(Powers) Act 1979 to licensees
Regulations extending certain provisions of Energy
20 Corporations (Powers) Act 1979
11ZQ. (1) A reference to a corporation in a provision of
the Energy Corporations (Powers) Act 1979 referred to in
Schedule 2 includes a licensee if that licensee --
(a) is prescribed by regulations made under
25 section 26 for the purposes of that Schedule; or
(b) belongs to a class of licensees that is so
prescribed.
27
Energy Coordination Amendment Bill 1997
cl. 7
(2) The prescription of a licensee under
subsection (1) (a) includes any transferee of the relevant
licence under section 11S.
(3) Regulations referred to in subsection (1) may be
5 made in terms that --
(a) modify the operation of, add a further
requirement to, or make inapplicable an
enactment or part of an enactment in relation to
a licensee or class of licensees;
10 (b) impose conditions or restrictions on the doing of
any thing by a licensee or a member of a class of
licensees;
(c) prohibit a licensee or a member of a class of
licensees from doing any thing; or
15 (d) require a consent or approval to be obtained for
the doing of, or the manner of doing, any thing.
Parliamentary disallowance
11ZR. (1) Regulations referred to in section 11ZQ do
not come into operation until they have been --
20 (a) published in the Gazette; and
(b) laid before each House of Parliament and
either --
(i) 15 sitting days of each House have passed
after the regulations were so laid and
25 notice of a motion to disallow the
regulations has not been given; or
28
Energy Coordination Amendment Bill 1997
cl. 8
(ii) if notice of a motion to disallow the
regulations has been given, the motion has
lapsed or has been withdrawn or defeated.
(2) The Minister is to cause a notice to be published in
5 the Gazette showing the day on which any such regulations
came into operation.
''.
Schedules 1 and 2 added
8. After section 27 of the principal Act the following Schedules
10 are added --
``
SCHEDULE 1 -- LICENCE TERMS AND
CONDITIONS
[Section 11N]
15 A licence may include provisions --
(a) requiring the licensee to enter into agreements on
specified terms or on terms of a specified type;
(b) requiring the licensee to observe specified industry
codes with such modifications or exemptions as may
20 be determined by the Coordinator;
(c) requiring the licensee to provide access to gas
distribution capacity or gas transmission capacity to
other persons on such terms and conditions as may be
determined by the Coordinator;
25 (d) requiring the licensee to maintain specified
accounting records and to prepare accounts according
to specified principles;
(e) preventing the licensee from engaging in or
undertaking specified business activities or any other
30 business;
29
Energy Coordination Amendment Bill 1997
cl. 8
(f) specifying methods or principles to be applied by the
licensee in determining its fees or charges;
(g) specifying methods or standards to be applied in
supplying gas under the authority of the licence;
5 (h) specifying procedures for amendment or surrender of
the licence;
(i) requiring the licensee to provide specified information
relating to the activities of the licensee under the
licence to the Coordinator in the manner and form
10 determined by the Coordinator;
(j) regulating the construction, alteration, operation or
maintenance of a distribution system;
(k) relating to the performance of functions by the
licensee including --
15 (i) the range of functions that may be performed
by the licensee;
(ii) performance criteria to be met by the licensee;
and
(iii) community service obligations, that is
20 obligations that are not commercially justified,
to be discharged by the licensee;
(l) specifying --
(i) the terms and conditions of any customer
contract which an owner or occupier of land is
25 required to enter into with the licensee in the
absence of any express agreement between the
customer and the licensee to the contrary; and
(ii) any limitation on the capacity of the parties by
express agreement to exclude, modify or restrict
30 the terms and conditions of the customer
contract;
30
Energy Coordination Amendment Bill 1997
cl. 8
(m) relating to obligations of the licensee with respect to
public authorities and other licensees; and
(n) relating to the disposal or transfer of property, rights
or liabilities of a specified kind either during the term
5 of the licence or on or after its expiration by effluxion
of time including provisions --
(i) prohibiting any disposal or transfer of property
except with the approval of a specified person;
(ii) prohibiting the giving of any encumbrance over
10 specified property except with the approval of
the Coordinator;
(iii) requiring the transfer of property, rights or
liabilities of a specified kind to a specified
person on or within a specified time after the
15 expiration of the licence;
(iv) with respect to the consideration to be provided
in respect of any disposal or transfer;
(v) with respect to the arbitration of disputes that
arise in connection with any disposal or
20 transfer; and
(vi) of a supplementary, consequential or
transitional nature in relation to any disposal
or transfer.
31
Energy Coordination Amendment Bill 1997
cl. 9
SCHEDULE 2 -- PROVISIONS OF ENERGY
CORPORATIONS (POWERS) ACT 1979 THAT MAY
APPLY TO LICENSEES
[Section 11ZQ]
5 s. 4 (1) s. 48 s. 75
(definition of s. 49 s. 76
``service s. 50 s. 77
apparatus'') s. 51 s. 79
s. 4 (2) s. 52 s. 84 (2) & (3)
10 s. 40 s. 53 s. 120
s. 43 s. 66 s. 121
s. 46 (7), (8), s. 67
(11), (12), s. 67A
(14) & (16) s. 74
15 ''.
Consequential amendments
9. (1) The Energy Corporations (Powers) Act 1979* is
amended --
(a) in section 55 (b) by inserting after ``other than'' the
20 following --
``
the holder of a licence under the Energy
Coordination Act 1994 acting under the
authority of that licence or
25 '';
and
32
Energy Coordination Amendment Bill 1997
cl. 9
(b) in section 56 (2) by inserting after ``other than'' the
following --
``
the holder of a licence under the Energy
5 Coordination Act 1994 acting under the
authority of that licence or
''.
[* Reprinted as at 25 May 1995.
For subsequent amendments see 1995 Index to
10 Legislation of Western Australia, Table 1, pp. 70-71
and Acts Nos. 78 of 1995 and 14 of 1996.]
(2) The Gas Corporation Act 1994* is amended in section 28
by inserting after subsection (2) the following subsection --
``
15 (2a) Where the performance of any of the corporation's
functions referred to in subsection (1) (a) requires that the
corporation hold a licence under the Energy Coordination
Act 1994, the corporation may only perform that function in
accordance with the terms and conditions of such a licence.
20 ''.
[* Act No. 87 of 1994.]
(3) The Gas Undertakings Act 1947* is amended in
section 2 (1) in the definition of ``gas undertaker'' or ``undertaker''
by inserting after ``local government'' the following --
25 ``
, the holder of a licence under the Energy Coordination
Act 1994
''.
[* Reprinted as at 15 January 1991.
30 For subsequent amendments see 1995 Index to
Legislation of Western Australia, Table 1, pp. 89-90
and Act No. 14 of 1996.]
33
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