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GAS INDUSTRY (FURTHER AMENDMENT) BILL 1997

                 PARLIAMENT OF VICTORIA

       Gas Industry (Further Amendment) Act 1997
                                  Act No.


                      TABLE OF PROVISIONS
Clause                                                                Page

PART 1--PRELIMINARY                                                      1
  1.     Purpose                                                         1
  2.     Commencement                                                    2

PART 2--GAS INDUSTRY ACT 1994                                            3
  3.     Principal Act                                                   3
  4.     Definitions and interpretation                                  3
  5.     New sections 5A and 5B inserted                                 9
         5A. Declaration of gas companies                               10
         5B. Nomination of market participants                          10
  6.     Amendment of section 6                                         10
  7.     New sections 6A, 6B and 6C inserted                            10
         6A. Application of Act to certain distribution, retail and
               transmission companies                                   11
         6B. Non-franchise customer                                     11
         6C. Supply point                                               14
  8.     New section 6D inserted                                        14
         6D. Conferral of functions on ACCC                             15
  9.     New sections 8A and 8B inserted                                15
         8A. Application of Office of the Regulator-General
               Act 1994                                                 15
         8B. Objectives of ORG                                          15
  10.    Statutory gas companies                                        16
  11.    New Division 2A inserted in Part 2                             16
         Division 2A--Victorian Energy Networks Corporation             16
         16A.    Establishment                                          16
         16B.    VENCorp not to represent the Crown                     17
         16C.    Functions and powers relating to gas industry          17
         16D.    General powers                                         18
         16E.    Board of Directors                                     19
         16F.    Directors                                              19
         16G.    Appointment of directors                               19
         16H.    VENCorp may give directions                            19



                                       i
531210B.I1-27/10/97

 


 

Clause Page 16I. Protection from liability 22 16J. Immunity from suit 23 16K. Continuing offences 23 16L. Review of this Part 23 12. Directors of VENCorp not to have interest in electricity licensee 24 13. Heading to Division 3 24 14. New section 17 substituted 24 17. Schedule 1 24 15. New Part 3 substituted 25 PART 3--TRANSMISSION AND DISTRIBUTION OF GAS 25 32. Gas retailer not liable for failure to supply gas 25 33. Exemption from liability to transmit or convey gas 26 16. Amendment of Part 4 26 17. New Parts 4A and 4B inserted 26 PART 4A--REGULATION OF GAS INDUSTRY 27 Division 1--Regulation of tariffs and charges 27 48A. Tariffs and charges Orders 27 Division 2--Licensing of gas distribution companies and gas retailers 28 48B. Offence to distribute or retail gas without licence 28 48C. Exemptions 29 48D. Application for licence 30 48E. Determination of application 30 48F. Provisions relating to licences 31 48G. Conditions in licence 34 48H. Variation or revocation of licence 36 48I. Gazettal requirement 37 48J. Appointment of administrator 37 48K. Transfer of licence 38 48L. Transitional provisions 39 48M. Obligations of gas retailer 40 Division 3--Market and System Operation Rules 41 48N. MSO Rules 41 48O. Proceedings 42 48P. Criminal proceedings do not lie 43 48Q. Civil penalty 44 48R. Injunctions 45 48S. Actions for damages for contravention of conduct provision 47 48T. Declaratory relief 48 ii 531210B.I1-27/10/97

 


 

Clause Page PART 4B--THIRD PARTY ACCESS 49 Division 1--The Access Code 49 48U. Establishing the Access Code 49 Division 2--Arbitration of access disputes 53 48V. Definitions and application 53 48W. Where ACCC conducts arbitration 54 48X. Person to conduct arbitration 55 48Y. Hearing to be in private 55 48Z. Right to representation 56 48ZA. Procedure 56 48ZB. Particular powers of arbitrator 57 48ZC. Contempt 57 48ZD. Disclosure of information 57 48ZE. Power to take evidence on oath or affirmation 58 48ZF. Failing to attend as a witness 58 48ZG. Failing to answer questions etc. 58 48ZH. Intimidation etc. 59 48ZI. Party may request arbitrator to treat material as confidential 60 48ZJ. Parties to pay costs of an arbitration 60 Division 3--Proceedings for contravention of Part 61 48ZK. Proceedings 61 48ZL. Criminal proceedings do not lie 61 48ZM. Civil penalty 62 48ZN. Injunctions 63 48ZO. Actions for damages for contravention of conduct provision 66 48ZP. Declaratory relief 66 Division 4--Administrative Appeals 68 48ZQ. Application for review 68 48ZR. Merits review of access arrangements 70 Division 5--General 72 48ZS. Preventing or hindering access 72 48ZT. Power to obtain information and documents 74 48ZU. Restriction on disclosure of confidential information 76 48ZV. Appeal against disclosure notice 79 18. New section 50 substituted 80 50. Agreement for operation of pipelines 80 19. Amendment of sections 51 and 51A 81 20. Rateability of property of public gas companies 82 21. Amendment of section 53 82 iii 531210B.I1-27/10/97

 


 

Clause Page 22. Amendment of section 54 83 23. New section 57 substituted 83 57. Obstruction of gas company 83 24. Amendment of Principal Act 83 25. New section 60A inserted 85 60A. Making of easements in sub-divisions 85 26. Amendment of section 61 85 27. Amendment of Part 6B 85 28. Amendment of Part 7 89 29. New sections 83A and 83B inserted 92 83A. Further interim arrangements-- 92 83B. Agreement about certain easements 93 30. Amendment of Part 8 94 31. New Part 8A inserted 94 PART 8A--TRANSFER OF STAFF OF GASCOR OR GTC 94 87G. Definitions 94 87H. Relevant date 95 87I. List of staff 95 87J. Transfer of staff 96 87K. Future terms and conditions of transferred employees 97 87L. Superannuation 97 32. New sections 88A, 88B and 88C inserted 98 88A. Directions to public gas companies 98 88B. Payments in respect of financial obligations 98 88C. Government departments and local authorities 99 33. Amendment of the Principal Act 100 34. Amendment of section 100 100 35. Amendment of section 101 101 36. New section 101A inserted 101 101A. Exemption from Freedom of Information Act 1982 101 37. Regulations 101 38. New sections 104A and 104B inserted 102 104A. Annual reports of GASCOR transferees and GASCOR 102 104B. Annual reports of GTC transferees and GTC 104 39. New section 104C inserted 105 104C. Repeal of Public Authorities (Contributions) Act 1966 105 40. New Parts 13A and 13B inserted 106 PART 13A--TRANSFER OF CERTAIN PROPERTY AND STAFF OF NOMINATED PUBLIC GAS COMPANIES 106 Division 1--Definitions and applications 106 115A. Definitions 106 iv 531210B.I1-27/10/97

 


 

Clause Page 115B. Nomination of transferor company 108 Division 2--Allocation of property 108 115C. PGC to prepare allocation statement 108 115D. Certificate of chief executive officer 109 Division 3--Transfer of property 110 115E. Property transferred 110 115F. Allocation of property etc. subject to encumbrances 111 115G. Substitution of party to agreement 111 115H. PGC instruments 112 115I. Proceedings 112 115J. Interests in land 112 115K. Amendment of Register 113 115L. Evidence 113 115M. Validity of things done under this Part 114 Division 4--Staff 115 115N. List of PGC staff 115 115O. Transfer of PGC staff 116 115P. Future terms and conditions of transferred employees 117 Division 5--Permits and licences under Pipelines Act 1967 117 115Q. Pipelines 117 PART 13B--PROVISIONS RELATING TO PRIVATISATION 119 115R. Treasurer may be party to agreement for sale 120 115S. Freedom of Information Act 1982 120 41. New Schedule 1A inserted 120 SCHEDULE 1A 120 PART 3--AMENDMENT OF OTHER ACTS 122 42. Borrowing and Investment Powers Act 1987 122 43. Country Fire Authority Act 1958 122 44. Electricity Industry (Further Miscellaneous Amendment) Act 1997 122 45. Essential Services Act 1958 123 46. Historic Buildings Act 1981 123 47. Melbourne City Link Act 1995 123 48. Pipelines Act 1967 123 49. Public Authorities (Dividends) Act 1983 124 50. State Electricity Commission Act 1958 124 51. State Owned Enterprises Act 1992 124 v 531210B.I1-27/10/97

 


 

Clause Page 52. Treasury Corporation of Victoria Act 1992 124 NOTES 125 vi 531210B.I1-27/10/97

 


 

PARLIAMENT OF VICTORIA A BILL to amend the Gas Industry Act 1994 and certain other Acts and for other purposes. Gas Industry (Further Amendment) Act 1997 The Parliament of Victoria enacts as follows: PART 1--PRELIMINARY 1. Purpose The purpose of this Act is to make further provision for the restructure and reform of the gas 5 industry. 1 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 2 Act No. 2. Commencement (1) This Part comes into operation on the day on which this Act receives the Royal Assent. (2) Section 30 is deemed to have come into operation 5 on 1 July 1997. (3) Section 44 is deemed to have come into operation on 21 October 1997. (4) Section 12 comes into operation on a day to be proclaimed. 10 (5) Subject to sub-section (6), the remaining provisions of this Act come into operation on a day or days to be proclaimed. (6) If a provision referred to in sub-section (5) does not come into operation before 1 January 1999, it 15 comes into operation on that day. _______________ 2 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 3 Act No. PART 2--GAS INDUSTRY ACT 1994 No. 112/1994. 3. Principal Act Reprint No. 2 as at 22 In this Act, the Gas Industry Act 1994 is called August 1997. the Principal Act. 5 4. Definitions and interpretation (1) In section 3 of the Principal Act insert-- "ACCC" means the Australian Competition and Consumer Commission established by section 6A of the Trade Practices Act 1974 10 of the Commonwealth and includes a member of the Commission or a Division of the Commission performing functions of the Commission; "Access Code" means the Third Party Access 15 Code established under Part 4B; "ancillary supply point" means ancillary supply point as defined in section 6C(3); "civil penalty provision" means-- (a) in Part 4A, a provision of the MSO 20 Rules that is prescribed as a civil penalty provision for the purposes of Division 3 of Part 4A; (b) in Part 4B-- (i) section 48ZS;or 25 (ii) a provision of the Access Code that is prescribed as a civil penalty provision for the purposes of Part 4B; "conduct provision" means-- 30 (a) in Part 4A, a provision of the MSO Rules that, under the MSO Rules, is a 3 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 4 Act No. conduct provision for the purposes of Division 3 of Part 4A; (b) in Part 4B-- (i) section 48ZS; or 5 (ii) a provision of the Access Code that, under the Access Code, is a conduct provision for the purposes of Part 4B; "gas distribution company" means a person 10 declared under section 5A to be a gas distribution company for the purposes of this Act who-- (a) holds a licence to provide services by means of a distribution pipeline; or 15 (b) is exempt from a requirement to hold such a licence because of an Order under section 48C; "gas distribution system" means-- (a) the system of distribution pipelines 20 operated by GASCOR immediately before the commencement of section 11 of the Gas Industry (Further Amendment) Act 1997, other than any part of that system to which an Order 25 under section 5(4) applies; and (b) any distribution pipeline or system of distribution pipelines that, under section 5(2), is an approved connection; "gas producer" means a person who carries on a 30 business of producing natural gas; "gas retailer" means a person declared under section 5A to be a gas retailer for the purposes of this Act who-- 4 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 4 Act No. (a) holds a licence to sell gas; or (b) is exempt from a requirement to hold such a licence because of an Order under section 48C; 5 "gas transmission company" means VENCorp or any other person who owns, operates or provides a service by means of a transmission pipeline, being a person declared under section 5A to be a gas 10 transmission company for the purposes of this Act; "gas transmission system" means-- (a) the system of transmission pipelines operated by GTC immediately before 15 the commencement of section 11 of the Gas Industry (Further Amendment) Act 1997, other than any part of that system to which an Order under section 5(4) applies; and 20 (b) any transmission pipeline or system of transmission pipelines that, under section 5(3), is an approved connection; "licence" means a licence under section 48E; "licensee" means the holder of a licence under 25 section 48E; "market participant" means-- (a) a person who is registered by VENCorp under the MSO Rules as a participant; or 30 (b) if Rules have not been made under section 48N, a person nominated under section 5B; "MSO Rules" means the rules made under section 48N; 5 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 4 Act No. "natural gas" means a substance which is in a gaseous state at standard temperature and pressure and which consists of naturally occurring hydrocarbons, or a naturally 5 occurring mixture of hydrocarbons and non- hydrocarbons, the principal constituent of which is methane; "non-franchise customer", in relation to a supply of gas from a supply point, means 10 non-franchise customer in relation to that supply point within the meaning of section 6B; "ORG" means the Office of the Regulator- General under the Office of the Regulator- 15 General Act 1994; "public gas company" means a gas company-- (a) that is a statutory authority or a company all the shares in which are held by or on behalf of the State or a 20 statutory authority; or (b) all the shares in which are held by a company all the shares in which are held by or on behalf of the State or a statutory authority; 25 "Regulator"-- (a) in relation to a transmission pipeline, or a matter concerning a transmission pipeline or a service provider of a transmission pipeline, means the 30 ACCC; (b) in relation to a distribution pipeline, or a matter concerning a distribution pipeline or a service provider of a distribution pipeline, means ORG; 6 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 4 Act No. "regulatory provision" means-- (a) in Part 4A, a provision of the MSO Rules that, under the MSO Rules, is a regulatory provision for the purposes of 5 Division 3 of Part 4A; (b) in Part 4B a provision of the Access Code that, under the Access Code, is a regulatory provision for the purposes of Part 4B; 10 "service provider", in relation to a pipeline or proposed pipeline, means a person that, within the meaning of the Access Code, is, or is to be, the owner or operator of the whole or any part of the pipeline or proposed 15 pipeline; "statutory gas company" means GASCOR, GTC or VENCorp; "supply point" means supply point within the meaning of section 6C; 20 "VENCorp" means the Victorian Energy Networks Corporation established under Division 2A of Part 2. (2) In section 3 of the Principal Act-- (a) the definitions of "domestic customer" and 25 "domestic tariff" are repealed; (b) in the definition of "gas", after "this Act" insert "or any provision of this Act"; (c) for the definitions of "gas company" and "gas corporation" substitute-- 30 ' "gas company"-- (a) except in Parts 2 and 7, means-- 7 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 4 Act No. (i) GTC, GASCOR, VENCorp, a gas distribution company, a gas retailer or a gas transmission company; or 5 (ii) a company that holds all the shares in a gas distribution company, a gas retailer or a gas transmission company; (b) in Part 2 means a statutory gas 10 company; (c) in Part 7 means GTC or GASCOR or a company all the shares in which are held by GTC or GASCOR; "gas corporation" means GTC, GASCOR 15 or GFCV;'; (d) in paragraph (a)(ii) of the definition of "transmission pipeline", for "515kPa" substitute "1050kPa"; (e) in the definition of "transmission pipeline", 20 for paragraph (b) substitute-- "(b) a pipeline that is declared under section 5 to be a transmission pipeline-- but does not include a pipeline declared under section 5 not to be a transmission 25 pipeline;". (3) In section 4 of the Principal Act, after "this Act" insert "or any provision of this Act". (4) At the end of section 5 of the Principal Act insert-- 30 '(2) VENCorp and a gas distribution company may agree in writing that a distribution pipeline or system of distribution pipelines owned or operated, or to be owned or operated, by that company and connected, or 8 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 5 Act No. to be connected, to the system referred to in paragraph (a) of the definition of "gas distribution system" in section 3 is, or will be, an approved connection for the purposes 5 of that definition. (3) VENCorp and another gas transmission company may agree in writing that a transmission pipeline or system of transmission pipelines owned or operated, or 10 to be owned or operated, by that company and connected, or to be connected, to the system referred to in paragraph (a) of the definition of "gas transmission system" in section 3 is, or will be, an approved 15 connection for the purposes of that definition. (4) The Governor in Council, by Order in Council published in the Government Gazette-- 20 (a) may declare that a part of the system of distribution pipelines referred to in paragraph (a) of the definition of "gas distribution system" in section 3 is deemed not to be part of that system for 25 the purposes of this Act; (b) may declare that a part of the system of transmission pipelines referred to in paragraph (a) of the definition of "gas transmission system" in section 3 is 30 deemed not to be part of that system for the purposes of this Act.'. 5. New sections 5A and 5B inserted After section 5 of the Principal Act insert-- 9 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 6 7 Act No. "5A. Declaration of gas companies The Governor in Council, by Order published in the Government Gazette-- (a) may declare a person who owns, 5 operates or provides services by means of a transmission pipeline to be a gas transmission company for the purposes of this Act; (b) may declare a person who owns, 10 operates or provides services by means of a distribution pipeline to be a gas distribution company for the purposes of this Act; (c) may declare a person who sells gas to 15 be a gas retailer for the purposes of this Act. 5B. Nomination of market participants The Minister, on the recommendation of VENCorp, may nominate a person as a 20 market participant for the purposes of Part 4A, being a person who is a gas company, gas producer, gas storage provider or service provider or any other person who carries out activities relating to the gas transmission 25 system.". 6. Amendment of section 6 In section 6 of the Principal Act-- (a) for "GTC or GASCOR" (where first occurring) substitute "a statutory gas 30 company"; (b) for "GTC or GASCOR" (where secondly occurring) substitute "the statutory gas company". 7. New sections 6A, 6B and 6C inserted 10 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 Act No. After section 6 of the Principal Act insert-- '6A. Application of Act to certain distribution, retail and transmission companies The Governor in Council, by Order 5 published in the Government Gazette, may declare that a reference in section 32, 33, 92 or 93 or Part 5 or 6 to a gas company does not include a reference to a specified gas distribution company, gas retailer or gas 10 transmission company. 6B. Non-franchise customer (1) For the purposes of this Act, a person is a non-franchise customer in relation to a supply of gas from a supply point-- 15 (a) if the gas is supplied from a supply point installed on or after 1 December 1997, other than a supply point installed within one kilometre of a distribution pipeline that was in 20 operation on 1 July 1997; (b) if the gas is supplied from a supply point on or after 1 September 1998 and before 1 September 1999 and-- (i) the person had purchased not less 25 than 500 000 GJ of gas from that supply point, or an ancillary supply point, during the 12 months immediately preceding 1 September 1998 or the 30 commencement of the supply, whichever is the later; or (ii) the supply point is new and ORG is satisfied on reasonable grounds that the person will purchase not 35 less than 500 000 GJ of gas from 11 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 7 Act No. that supply point within a period of 12 months during the 3 years next following 1 September 1998 or the commencement of the 5 supply, whichever is the later; (c) if the gas is supplied from a supply point on or after 1 September 1999 and before 1 September 2000 and-- (i) the person had purchased not less 10 than 100 000 GJ of gas from that supply point, or an ancillary supply point, during the period of 12 months immediately preceding 1 September 1999 or the 15 commencement of the supply, whichever is the later; or (ii) the supply point is new and ORG is satisfied on reasonable grounds that the person will purchase not 20 less than 100 000 GJ of gas from that supply point within a period of 12 months during the 3 years next following 1 September 1999 or the commencement of the 25 supply, whichever is the later; (d) if the gas is supplied from a supply point on or after 1 September 2000 and before 1 September 2001 and-- (i) the person had purchased not less 30 than 5000 GJ of gas from that supply point, or an ancillary supply point, during the period of 12 months immediately preceding 1 September 2000 or the 35 commencement of the supply, whichever is the later; or 12 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 7 Act No. (ii) the supply point is new and ORG is satisfied on reasonable grounds that the person will purchase not less than 5000 GJ of gas from that 5 supply point within a period of 12 months during the 3 years next following 1 September 2000 or the commencement of the supply, whichever is the later; 10 (e) if the gas is supplied from a supply point on or after 1 September 2001. (2) A person who, by reason of sub-section (1), becomes a non-franchise customer in relation to a supply of gas from a supply 15 point, or an ancillary supply point, continues to be a non-franchise customer in respect of the supply of gas from that supply point or ancillary supply point. (3) Despite sub-section (1)(a), a customer of a 20 gas retailer who holds a new areas licence to sell gas in a particular area is not a non- franchise customer in relation to a supply point in that area during the term of that licence, unless sub-section (1)(b), (c), (d) or 25 (e) applies to the customer. (4) For the purpose of sub-section (1)(a), a supply point is deemed to be installed within one kilometre of a distribution pipeline if ORG certifies in writing that it is so 30 installed. (5) In this section-- "new areas licence" means a licence to sell natural gas by retail in an area in which natural gas was not generally available 35 for purchase by retail before the issue 13 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 7 8 Act No. of the licence and which is expressed to be a new areas licence. 6C. Supply point (1) In this Act, "supply point", in relation to 5 the supply of gas to a customer means-- (a) unless paragraph (b) applies, the point where the gas leaves the gas company's system before being supplied to the customer, whether or not it passes 10 through facilities owned or operated by another person after that point and before being so supplied; (b) in relation to a supply of gas to which an arrangement referred to in sub- 15 section (2) applies, the points of supply that ORG agrees are to be treated as a single supply point. (2) ORG may agree that, for the purposes of this section, 2 or more points referred to in 20 paragraph (a) on a customer's premises be treated as a single supply point if ORG is satisfied that the supply of gas to those points before 1 July 1997 was, in accordance with an arrangement with the customer in 25 force immediately before that date, treated by GASCOR as a single supply for billing purposes. (3) In this Act, "ancillary supply point", in relation to another supply point, means a 30 point that, under sub-section (2), is to be treated as a single supply point with the other supply point.'. 8. New section 6D inserted 14 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 Act No. Before section 7 of the Principal Act insert-- "6D. Conferral of functions on ACCC (1) The ACCC has the functions and powers conferred or expressed to be conferred on it 5 under this Act, an Order under section 48A, the Access Code or the MSO Rules. (2) In addition to the powers mentioned in sub- section (1), the ACCC has power to do all things necessary or convenient to be done in 10 connection with the performance of the functions and powers referred to in that sub- section.". 9. New sections 8A and 8B inserted After section 8 of the Principal Act insert-- 15 "8A. Application of Office of the Regulator- General Act 1994 For the purposes of the Office of the Regulator-General Act 1994-- (a) Parts 4A and 4B are relevant 20 legislation; and (b) the gas industry is a regulated industry. 8B. Objectives of ORG The objectives of ORG under Parts 4A and 4B are-- 25 (a) to facilitate and promote open, efficient and competitive markets for and in relation to gas and to safeguard against misuse of monopoly power; (b) to administer an Access Code providing 30 a right of access to services provided by means of distribution pipelines on fair and reasonable terms and conditions; 15 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 10 Act No. (c) to protect the interests of consumers with respect to gas prices and the reliability and quality of gas supply; (d) to facilitate the maintenance of a 5 financially viable gas supply industry.". 10. Statutory gas companies In the heading to Part 2 of the Principal Act, before "GAS" insert "STATUTORY". 11. New Division 2A inserted in Part 2 10 After section 16 of the Principal Act insert-- "Division 2A--Victorian Energy Networks Corporation 16A. Establishment (1) There is established a body by the name 15 Victorian Energy Networks Corporation. (2) VENCorp-- (a) is a body corporate with perpetual succession; (b) has an official seal; 20 (c) may sue and be sued; (d) may acquire, hold and dispose of real and personal property; (e) may do and suffer all acts and things that a body corporate may by law do 25 and suffer. (3) All courts must take judicial notice of the seal of VENCorp affixed to a document and, until the contrary is proved, must presume that it was duly affixed. 30 (4) The official seal of VENCorp must be kept in such custody as VENCorp directs and 16 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 11 Act No. must not be used except as authorised by VENCorp. 16B. VENCorp not to represent the Crown VENCorp is a public authority but does not 5 represent the Crown. 16C. Functions and powers relating to gas industry (1) The functions of VENCorp in relation to the gas industry are-- 10 (a) to specify security standards for the gas transmission system; (b) to control the security of the gas transmission system; (c) to control the operation of the gas 15 transmission system; (d) to collect information about the gas transmission system; (e) to monitor and review the capacity of the gas transmission system and the 20 trends for demand for the injection of gas into, and the withdrawal of gas from, the system; (f) to provide information and other services to facilitate decisions for 25 economically efficient investment and use of resources in the gas industry; (g) to co-ordinate the interaction of gas production, gas storage, transmission pipelines and gas distribution and 30 supply facilities for the purpose of ensuring a secure and efficient gas transmission system; 17 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 11 Act No. (h) to operate and administer a market and facilitate trading arrangements for the operation of the gas transmission system. 5 (2) VENCorp may trade in gas-- (a) for the purpose of discharging its functions relating to the security or administration of the gas transmission system, to the extent it is permitted to 10 do so under the MSO Rules; or (b) in an emergency. 16D. General powers (1) Without limiting the generality of the powers conferred on it under this Act or any other 15 Act, VENCorp-- (a) may form, or participate in the formation of, or be a member of, companies; (b) may form, or participate in the 20 formation of, and may participate in partnerships, trusts, unincorporated joint ventures and other arrangements for the sharing of profits; (c) may act as trustee; 25 (d) may engage in any business, undertaking or activity incidental to the performance of its functions; (e) may do all things necessary or convenient to be done for, or in 30 connection with, carrying out its functions under this Act or any other Act. 18 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 11 Act No. (2) VENCorp may carry out its functions and exercise its powers within or outside Victoria and outside Australia. 16E. Board of Directors 5 (1) There shall be a board of directors of VENCorp consisting of a chairperson and not more than 9 other directors appointed in accordance with this Act. (2) The board of directors of VENCorp-- 10 (a) is responsible for the management of the affairs of VENCorp; and (b) may exercise the powers of VENCorp. 16F. Directors (1) The directors shall be persons with expertise 15 relevant to the functions of VENCorp nominated by the Minister. (2) At least 3 of the directors shall be persons-- (a) who are not officers or employees of a gas company, a gas producer or a gas 20 storage provider; and (b) none of whom has a material personal interest within the meaning of section 232A of the Corporations Law in a gas company. 25 16G. Appointment of directors (1) The chairperson and other directors of VENCorp shall be appointed by the Governor in Council. (2) The Public Sector Management Act 1992 30 does not apply to a director of VENCorp in respect of the office of director. 16H. VENCorp may give directions 19 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 11 Act No. (1) VENCorp may give directions in writing as to a matter referred to in sub-section (2) to a market participant for the purposes of any one or more of the following-- 5 (a) facilitating the reliability of the supply of gas; (b) facilitating the security of the gas transmission system or gas distribution system; 10 (c) subject to consistency with the Gas Safety Act 1997, the interests of public safety. (2) The matters as to which a direction may be given under sub-section (1) are-- 15 (a) the operation or use of any equipment or installation; (b) the control of the flow of gas; (c) any other matter necessary to be done, or not to be done, for the security of the 20 gas transmission system or the gas distribution system. (3) A direction under this section that is inconsistent with-- (a) the Gas Safety Act 1997 or regulations 25 under that Act; or (b) the Pipelines Act 1967, or with the conditions of a licence under that Act held by the person to whom the direction is given-- 30 is void to the extent of the inconsistency. 20 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 11 Act No. (4) A direction given under this section to a market participant applies to the market participant and may also be expressed to apply to a specified class of persons, being a 5 class constituted by or included in one or both of the following classes of persons-- (a) servants or agents of or persons acting on behalf of, the market participant; (b) persons performing work or services, 10 whether directly or indirectly, for the market participant-- and, if a direction so expressed is given, the direction is deemed to apply to each person included in that specified class. 15 (5) If a direction under this section applies to a market participant and to a person referred to in sub-section (4) the market participant must cause a copy of the direction to be given to that other person. 20 Penalty: 10 penalty units. (6) A direction under this section may make provision in relation to a matter by applying, adopting or incorporating, with or without modifications, a code of practice or standard 25 contained in an instrument (including an instrument issued or made outside Australia), as in force or existing at the time when the direction takes effect or as in force or existing from time to time, being a code of 30 practice or standard that is relevant to that matter. (7) A direction under this section may prohibit the doing of an act or thing either unconditionally or subject to conditions. 21 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 11 Act No. (8) A direction under this section has effect and shall be complied with despite any previous direction under this section. (9) A person must comply with a direction in 5 force under sub-section (1) that applies to the person. Penalty: 100 penalty units. (10) If-- (a) a direction given under this section 10 applies to a market participant and another person and that other person is prosecuted for an offence against sub- section (9) in relation to the direction; and 15 (b) the person adduces evidence that the person did not know, and could not reasonably be expected to have known, of the existence of the direction-- the person shall not be convicted of the 20 offence unless the prosecutor proves that the person knew, or could reasonably be expected to have known, of the existence of the direction. 16I. Protection from liability 25 (1) A director of VENCorp is not personally liable for anything done or omitted to be done in good faith-- (a) in the exercise of a power under section 16H; or 30 (b) in the reasonable belief that the act or omission was in the exercise of such a power. (2) Any liability resulting from an act or omission that, but for sub-section (1), would 22 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 11 Act No. attach to a director attaches instead to VENCorp. 16J. Immunity from suit A person acting in good faith in the 5 execution of any direction under this Division is not liable to any action, claim or demand on account of any damage, loss or injury sustained or alleged to be sustained because of any thing done under the 10 direction. 16K. Continuing offences (1) If an offence is committed by a person by reason of a failure to comply, within the period specified in a direction given in a 15 direction under section 16H, with the requirements specified in the direction, the offence, for the purposes of sub-section (2) is deemed to continue so long as any requirement specified in the direction 20 remains undone, whether or not the period has elapsed. (2) If, under sub-section (1), an offence is deemed to continue, the person who committed the offence commits an additional 25 offence on each day during which the offence is deemed to continue and is liable, upon conviction for such an additional offence, to a fine not exceeding 10 penalty units. 30 16L. Review of this Part (1) The Minister must cause a review of this Part to be undertaken in 2007 by the ACCC or another person nominated by the Minister. 23 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 12 Act No. (2) The person undertaking the review must report in writing to the Minister on the outcome of the review on or before 31 December 2007. 5 (3) The matters to be addressed in the review are whether or not there is a continuing need for VENCorp, or a similar statutory authority, with particular regard to-- (a) the competitiveness of markets for and 10 in relation to gas; and (b) such other matters as the Minister determines.". 12. Directors of VENCorp not to have interest in electricity licensee 15 After section 16F(2)(b) of the Principal Act insert-- " ; and (c) none of whom has a material personal interest (within the meaning of section 232A 20 of the Corporations Law) in a person that holds a licence under section 162 of the Electricity Industry Act 1993.". 13. Heading to Division 3 In the heading to Division 3 of Part 2 of the 25 Principal Act, before "gas" insert "statutory". 14. New section 17 substituted For section 17 of the Principal Act substitute-- "17. Schedule 1 (1) Schedule 1 applies to GTC, unless an 30 Administrator of GTC has been appointed under this Division. 24 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 15 Act No. (2) Schedule 1 applies to GASCOR, unless an Administrator of GASCOR has been appointed under this Division. (3) Schedule 1, except clauses 2, 3 and 4, 5 applies to VENCorp. (4) Clause 11 of Schedule 1 does not apply in relation to a director of VENCorp in respect of a matter relating to the business of another gas company or of a gas producer or gas 10 storage provider by reason only that the director is an officer or employee of, or holds shares in, that other gas company or the gas producer or gas storage provider.". 15. New Part 3 substituted 15 For Part 3 of the Principal Act substitute-- "PART 3--TRANSMISSION AND DISTRIBUTION OF GAS 32. Gas retailer not liable for failure to supply gas 20 (1) Despite anything to the contrary in this or any other Act or in any contract, a gas retailer is not liable to any penalty or damages for failing to supply gas if the failure arises out of any accident or cause 25 beyond the control of the gas retailer. (2) A gas retailer may enter into an agreement with a person varying or excluding the operation of sub-section (1) and, to the extent of that agreement, that sub-section 30 does not apply. (3) Nothing in sub-section (1) or (2) affects the liability of a gas company under the Gas Safety Act 1997. 25 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 15 16 Act No. 33. Exemption from liability to transmit or convey gas (1) Despite anything to the contrary in this or any other Act or in any contract-- 5 (a) a gas transmission company is not liable to any penalty or damages for failing to accept gas for injection into, or make gas available for withdrawal from, transmission pipelines if the 10 failure arises out of any accident or cause beyond the control of the gas transmission company; (b) a gas distribution company is not liable to any penalty or damages for failing to 15 convey gas through distribution pipelines if the failure arises out of any accident or cause beyond the control of the gas distribution company. (2) A gas transmission company or a gas 20 distribution company may enter into an agreement with a person varying or excluding the operation of sub-section (1) and, to the extent of that agreement, that sub- section does not apply. 25 (3) Nothing in sub-section (1) or (2) affects the liability of a gas company under the Gas Safety Act 1997.". 16. Amendment of Part 4 Sections 47 and 48 of the Principal Act are 30 repealed. 17. New Parts 4A and 4B inserted After Part 4 of the Principal Act insert-- 26 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 Act No. 'PART 4A--REGULATION OF GAS INDUSTRY Division 1--Regulation of tariffs and charges 48A. Tariffs and charges Orders (1) The Governor in Council may, by Order 5 published in the Government Gazette, regulate, in such manner as the Governor in Council thinks fit-- (a) tariffs for the sale of gas to customers, other than non-franchise customers; 10 (b) charges for connection to, and the use of, any distribution pipeline; (c) charges for connection to, and the use of, any transmission pipeline; (d) such other prices or charges in respect 15 of goods and services provided by a gas company as may be declared in accordance with sub-section (2) to be goods and services to which the Order applies. 20 (2) The Order may declare goods and services to be goods and services to which the Order applies. (3) Without limiting the generality of sub- section (1), the manner may include-- 25 (a) fixing the price or the rate of increase or decrease in the price; (b) fixing a maximum price or maximum rate of increase or minimum rate of decrease in the maximum price; 30 (c) fixing an average price for specified goods or services or an average rate of 27 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 17 Act No. increase or decrease in the average price; (d) specifying an amount determined by reference to a general price index, the 5 cost of production, a rate of return on assets employed or any other specified factor; (e) specifying an amount determined by reference to quantity, location, period 10 or other specified factor relevant to the rate or supply of the goods or services; (f) fixing a maximum revenue or maximum rate of increase or minimum rate of decrease in the maximum 15 revenue in relation to specified goods or services. (4) The Order may confer functions and powers on the ACCC or ORG relating to the regulation of tariffs and charges under the 20 Order. (5) If the provisions of an Order relating to charges under sub-section (1)(b) or (c) are inconsistent with charges specified in an access arrangement approved under the 25 Access Code, the provisions do not apply to the extent of the inconsistency. (6) Sections 35 and 36 of the Office of the Regulator-General Act 1994 apply to an Order under this section as if it were a 30 determination made by ORG under that Act. Division 2--Licensing of gas distribution companies and gas retailers 48B. Offence to distribute or retail gas without licence 28 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 17 Act No. (1) A person must not provide services (other than the sale of gas by retail) by means of a distribution pipeline, either as principal or agent, unless the person-- 5 (a) is the holder of a licence authorising that person to provide those services; or (b) is exempt from the requirement to obtain a licence in respect of those services because of an Order under 10 section 48C. Penalty: 1000 penalty units and 100 penalty units for each day after the day on which a notice of contravention of this sub-section 15 is served on the person by ORG. (2) A person must not engage in the sale of gas by retail, either as principal or agent, unless the person-- (a) is the holder of a licence authorising the 20 sale of gas by retail; or (b) is exempt from the requirement to obtain a licence in respect of the sale of gas by retail because of an Order under section 48C. 25 Penalty: 1000 penalty units and 100 penalty units for each day after the day on which a notice of contravention of this sub-section is served on the person by ORG. 30 48C. Exemptions (1) The Governor in Council may, by Order published in the Government Gazette, exempt a person from the requirement to obtain a licence in respect of the activity 35 specified in the Order. 29 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 17 Act No. (2) An exemption may be of general or specific application. (3) An exemption is subject to such terms and conditions as are specified in the Order. 5 48D. Application for licence (1) A body corporate may apply to ORG for the issue of a licence-- (a) authorising the person to provide services by means of a distribution 10 pipeline; or (b) authorising the person to sell gas by retail. (2) An application must be in a form approved by ORG and accompanied by such 15 documents as may be determined by ORG. (3) An application must be accompanied by the application fee (if any) fixed by ORG. 48E. Determination of application (1) Subject to sub-section (2), ORG may grant 20 or refuse an application for the issue of a licence for any reason it considers appropriate, having regard to the objectives specified in section 8B. (2) If ORG has issued a licence authorising a gas 25 retailer to sell gas to customers, other than non-franchise customers, ORG must not issue a licence to another applicant authorising the sale of gas to those customers unless the Minister and the other licensed 30 gas retailer have consented to the issue of the licence. (3) ORG must publish a notice in a daily newspaper generally circulating in Victoria-- 30 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 17 Act No. (a) specifying that an application for a licence has been lodged with ORG by the person specified in the notice; and (b) inviting interested persons to make 5 submissions to ORG in respect of the application within the period and in the manner specified in the notice. (4) Subject to this section and any requirements specified in regulations made for the 10 purposes of this section under section 102, ORG may determine the procedures that are to apply in respect of the issue of licences. (5) ORG must notify an applicant in writing of its decision to grant or refuse to grant the 15 application and, in the case of a decision to refuse to grant the application, of the reasons for its decision. 48F. Provisions relating to licences (1) A licence is to be issued for such term (if 20 any) as is determined by ORG and is specified in the licence. (2) A licence is subject-- (a) in the case of a licence to provide services by means of a distribution 25 pipeline, to a condition that the holder comply with the Access Code, to the extent that it applies to the licensee; (b) in the case of a licence issued to a market participant, to a condition that 30 the holder comply with the MSO Rules, to the extent that they apply to the licensee; (c) in the case of any licence, to such other conditions as are determined by ORG. 31 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 17 Act No. (3) If a licence is issued to 2 or more persons for the purpose of the carrying on by those persons of activities under the licence in partnership or as an unincorporated joint 5 venture, the licence may include conditions relating to the carrying on of those activities in that manner. (4) Without limiting the generality of sub- section (2) or (3), the conditions may include 10 provisions-- (a) requiring the licensee to pay specified fees and charges in respect of the licence to ORG; (b) requiring the licensee to enter into 15 agreements on specified terms or on terms of a specified type; (c) requiring the licensee to observe specified industry codes and specified industry rules with such modifications 20 or exemptions as may be determined by ORG; (d) requiring the licensee to maintain specified accounting records and to prepare accounts according to specified 25 principles; (e) specifying requirements about the ownership of real or personal property used in or in connection with the carrying on of activities under the 30 licence; (f) preventing the licensee from engaging in or undertaking specified business activities; (g) restricting the classes of customers to 35 whom the licensee may sell gas or 32 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 17 Act No. provide services under the licence, as the case requires; (h) specifying methods or principles to be applied by the licensee in determining 5 prices or charges; (i) specifying methods or principles to be applied in the conduct of gas retailing or the provision of services under the licence, as the case requires; 10 (j) specifying procedures for variation or revocation of the licence; (k) specifying procedures for variation of the conditions by the Treasurer; (l) specifying the procedures to apply if an 15 administrator is appointed under section 48L; (m) requiring the licensee to provide, in the manner and form determined by ORG, such information as ORG may from 20 time to time require; (n) requiring the licensee to develop, issue and comply with customer-related standards, procedures, policies and practices (including with respect to the 25 payment of compensation to customers). (5) For the purposes of sub-section (4)(a), the fees and charges to be specified in respect of a licence are to be determined by the 30 Minister having regard to the proportion of the total costs of ORG that are incurred in the administration of this Part. (6) If a licence is subject to conditions of a kind referred to in sub-section (4)(c), ORG-- 33 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 17 Act No. (a) may, in accordance with procedures specified by ORG, amend the specified industry codes or specified rules, or a document referred to in such a code or 5 rule, for the purposes of their application under the licence; (b) may resolve, or seek to resolve, disputes between the licensee and any other person relating to the specified 10 industry codes or specified rules, or a document referred to in such a code or rule, as they apply under the licence. (7) If ORG amends an industry code or the rules or a document referred to in a code or the 15 rules under sub-section (6), ORG may at the same time, in accordance with procedures specified by ORG, amend that code or those rules or that document for the purposes of their application otherwise than under the 20 licence. 48G. Conditions in licence (1) Without limiting the generality of section 48F, the conditions to which a licence to sell gas by retail is subject may include a 25 requirement that, in certain circumstances, the licensee, on terms and conditions approved by ORG, sell gas to non-franchise customers to whom gas is sold under another licence (whether held by that licensee or 30 another licensee). (2) In approving the terms and conditions of a requirement referred to in sub-section (1), ORG must have regard to the risks and costs associated with the requirement. 35 (3) A requirement referred to in sub-section (1) does not apply so as to require the licensee to 34 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 17 Act No. sell gas to a non-franchise customer to whom gas is sold under another licence if the non- franchise customer elects, in writing given to the holder of that other licence, not to be a 5 non-franchise customer for the purposes of sub-section (1). (4) If the conditions to which a licence of a licensee is subject include a requirement referred to in sub-section (1), the licensee is 10 deemed to be authorised to sell gas to the extent necessary to comply with the requirement. (5) The obligation of the holder of a licence ("the second licence") to sell gas by retail to 15 a non-franchise customer to whom gas is sold under another licence ("the first licence") in accordance with the requirement referred to in sub-section (1) commences when-- 20 (a) the first licence is suspended or revoked; or (b) the right of the holder of the first licence to acquire gas under the MSO Rules is suspended or terminated-- 25 whichever first occurs, and ends after 3 months or when the non-franchise customer advises the holder of the second licence in writing that the sale is no longer required, whichever first occurs. 30 (6) A gas retailer to which a condition referred to in sub-section (1) applies must declare, if the condition so requires or, in any other case, may declare, from time to time, subject to that condition and any other conditions of 35 its licence and with the approval of ORG, by notice published in the Government Gazette, 35 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 17 Act No. the terms and conditions upon which the gas retailer will sell gas by retail to non- franchise customers to whom gas is sold under another licence in circumstances to 5 which sub-section (5) applies. (7) The terms and conditions of which notice has been given by a gas retailer in accordance with sub-section (6) are binding on the gas retailer and the non-franchise 10 customers to whom they apply and, when the gas retailer is acting in accordance with the condition referred to in sub-section (1), the terms and conditions have effect despite any agreement or instrument (other than this Act 15 or any Order made under section 48A) to the contrary relating to the sale of gas by retail to those customers. (8) A gas retailer and a non-franchise customer to whom the gas retailer has an obligation 20 under sub-section (5) to sell gas by retail are deemed to have entered into a contract on the terms and conditions published under sub- section (6). 48H. Variation or revocation of licence 25 (1) A licence or the licence conditions may be varied-- (a) in accordance with the procedures specified in the licence conditions; or (b) by agreement between ORG and the 30 licensee; or (c) by a notice in accordance with sub- section (2) served on the licensee. (2) ORG must not vary a licence or the licence conditions by a notice unless-- 36 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 17 Act No. (a) ORG is satisfied that the variation is necessary having regard to the objectives specified in section 8B; and (b) ORG has given the licensee an 5 opportunity to make representations on the matter. (3) ORG may revoke a licence in accordance with the procedures specified in the licence conditions. 10 48I. Gazettal requirement ORG must ensure that-- (a) notice of the grant of a licence including-- (i) the name of the licensee; 15 (ii) the term of the licence; (iii) the place where a copy of the licence may be inspected; (b) notice of a variation or revocation under section 48H-- 20 is published in the Government Gazette as soon as possible after the grant of a licence or the variation or revocation, as the case requires. 48J. Appointment of administrator 25 (1) This section applies if ORG considers that-- (a) the contravention by a licensee of the licence conditions threatens the security of the gas supply; (b) any other remedies to enforce 30 compliance are not adequate. 37 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 17 Act No. (2) ORG may appoint an administrator to the business in respect of which the licence is issued. (3) The administrator has such functions and 5 powers in relation to the business in respect of which the licence is issued as are specified in the appointment of the administrator. (4) Unless sooner revoked by ORG, the appointment of an administrator has effect 10 for a period of 28 days but the appointment may be renewed for a further period or periods, each period not exceeding 28 days. (5) The terms and conditions (including remuneration) of appointment of the 15 administrator are to be determined by ORG. 48K. Transfer of licence (1) The holder of a licence may apply to ORG for approval to transfer the licence. (2) An application must be in a form approved 20 by ORG and accompanied by such documents as may be determined by ORG. (3) An application must be accompanied by the application fee (if any) fixed by ORG. (4) ORG must publish in a daily newspaper 25 generally circulating in Victoria a notice-- (a) specifying that an application for the transfer of the licence has been lodged with ORG for the transfer by the holder to a proposed transferee specified in the 30 notice; and (b) inviting interested persons to make submissions to ORG in respect of the application within the period and in the manner specified in the notice. 38 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 17 Act No. (5) Subject to this section, ORG may approve, or refuse to approve, the application for any reason it considers appropriate, having regard to the objectives specified in section 5 8B. (6) ORG may determine that, upon the transfer of the licence under this section, the conditions to which the licence is subject are varied as determined by ORG. 10 (7) Subject to this section and any requirements specified in regulations made for the purposes of this section under section 102, ORG may determine the procedures that are to apply in respect of the transfer of a 15 licence. (8) ORG must notify an applicant in writing of its decision to approve or refuse to approve the application and, in the case of a decision to refuse to approve the application, of the 20 reasons for its decision. (9) ORG must ensure that notice of the approval for the transfer of a licence is published in the Government Gazette as soon as possible after the decision to approve the transfer is 25 made. 48L. Transitional provisions (1) The Treasurer may give directions to ORG as to the terms and conditions to be included in the licences under this Part that are issued 30 on the commencement of section 17 of the Gas Industry (Further Amendment) Act 1997. (2) ORG may dispense with such requirements of this Part as ORG considers appropriate in 39 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 17 Act No. respect of the issue of the initial licences under this Part. 48M. Obligations of gas retailer (1) A gas retailer may from time to time, subject 5 to the conditions of its licence and to Division 1, give notice of the tariffs and the terms and conditions upon which the gas retailer sells gas to customers, other than non-franchise customers. 10 (2) A gas retailer may, subject to the conditions of its licence and to Division 1, give notice of different tariffs and terms and conditions in respect of any class of customers. (3) The tariffs and terms and conditions of 15 which notice has been given by a gas retailer have effect from the day of the publication of the notice in the Government Gazette and are binding on the gas retailer and the customers (being non-franchise customers) to whom 20 they apply. (4) A gas retailer is deemed to have entered into a contract with a customer, other than a non- franchise customer, on the tariffs and terms and conditions published under sub-section 25 (3). (5) Despite anything to the contrary in this section, a gas retailer may enter into a contract with any customer for the sale of gas at such rate and on such terms and 30 conditions as may be specified in the contract. (6) A gas retailer must not disconnect the domestic supply of gas to any premises for failure by the customer to pay an account for 35 that supply if the failure occurs through lack 40 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 17 Act No. of sufficient income of the customer and of any other person normally resident on the premises supplied until-- (a) the gas retailer has offered to advise the 5 customer about-- (i) optional methods of arranging payment of the account; and (ii) other ways of assisting the customer to pay the account which 10 may be available from government agencies; and (b) the customer-- (i) refuses or fails to accept that offer of advice within a time specified 15 by the gas retailer in each case (being not less than 7 days); or (ii) accepts the offer of advice, but refuses or fails to take any reasonable action to pay the 20 account within a time specified by the gas retailer in each case (being not less than 7 days). Division 3--Market and System Operation Rules 25 48N. MSO Rules (1) The Governor in Council, on the recommendation of the Minister, by Order published in the Government Gazette, may make rules for the regulation of-- 30 (a) the operation of a market for gas; 41 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 17 Act No. (b) the activities of market participants in a market for gas; (c) the operation of the gas transmission system for the purposes of-- 5 (i) the security of the system; (ii) the achievement of the market objectives referred to in sub- section (2). (2) The market objectives are to establish a 10 competitive, reliable and efficient market for gas-- (a) in which market participants can choose with whom they trade; (b) in which third parties are granted 15 access to the gas transmission system in accordance with this Act and orders made under it; (c) in which, to the extent practicable, the trading of gas from different sources is 20 not differentiated; (d) in which prices are governed as far as practicable by commercial and market forces rather than regulation; (e) in which efficiency is encouraged. 25 (3) The rules made under this section may confer functions and powers on the ACCC. (4) Rules made under this section, including rules modified in accordance with this sub- section, may be modified by the VENCorp, 30 after consultation in accordance with the rules, by notice published in the Government Gazette. 48O. Proceedings 42 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 17 Act No. (1) A person may not bring civil proceedings in respect of a matter arising under this Division, except in accordance with this Division. 5 (2) The ACCC may, in accordance with this Division, bring civil proceedings in respect of a civil penalty provision or a regulatory provision. (3) The ACCC or any other person may, in 10 accordance with this Division, bring civil proceedings in respect of a conduct provision. (4) Nothing in this section affects the right of a person to bring civil proceedings in respect 15 of any matter or thing, or seek any relief or remedy, if the cause of action arises, or the relief or remedy is sought, on grounds that do not rely on this Division. 48P. Criminal proceedings do not lie 20 (1) Criminal proceedings do not lie against a person by reason only that the person-- (a) has contravened a provision of this Division; (b) has attempted to contravene such a 25 provision; (c) has aided, abetted, counselled or procured a person to contravene such a provision; (d) has induced, or attempted to induce, a 30 person, whether by threats or promises or otherwise, to contravene such a provision; (e) has been in any way, directly or indirectly, knowingly concerned in, or 43 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 17 Act No. party to, the contravention by a person of such a provision; or (f) has conspired with others to contravene such a provision. 5 (2) Sub-section (1) does not apply in respect of a provision of this Division for an offence against which a penalty is prescribed by this Division. 48Q. Civil penalty 10 (1) The ACCC may apply to a court for an order under this Division in respect of a contravention by a person of a civil penalty provision or the doing by a person of any other thing mentioned in sub-section (2). 15 (2) If the court is satisfied that a person-- (a) has contravened a civil penalty provision; or (b) has attempted to contravene such provision; or 20 (c) has aided, abetted, counselled or procured a person to contravene such a provision; or (d) has induced, or attempted to induce, a person whether by threats or promises 25 or otherwise, to contravene such a provision; or (e) has been in any way, directly or indirectly, knowingly concerned in, or party to, the contravention by a person 30 of such a provision; or (f) has conspired with others to contravene such a provision-- 44 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 17 Act No. the court may order the person to pay to the Minister for payment to the Consolidated Fund such pecuniary penalty, in respect of each act or omission by the person to which 5 this section applies, as the court determines to be appropriate having regard to all relevant matters including-- (g) the nature and extent of the act or omission and of any loss or damage 10 suffered as a result of the act or omission; and (h) the circumstances in which the act or omission took place; and (i) whether the person has previously been 15 found by a court in proceedings under this Division to have contravened a civil penalty provision. (3) The pecuniary penalty payable under sub- section (2) must not exceed the penalty 20 prescribed by the Regulations for the act or omission to which this section applies. 48R. Injunctions (1) If, on an application in accordance with sub- section (2), the Supreme Court is satisfied 25 that a person has engaged, or is proposing to engage, in conduct that constitutes or would constitute-- (a) a contravention of a provision that, under the MSO Rules, is a regulatory 30 provision or conduct provision of the MSO Rules; or (b) attempting to contravene such a regulatory provision or conduct provision-- 45 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 17 Act No. the Court may grant an injunction in such terms as the Court determines to be appropriate. (2) An application under sub-section (1) may be 5 made-- (a) in the case of a regulatory provision, by the ACCC; (b) in the case of a conduct provision, by the ACCC or any other person. 10 (3) If an application for an injunction under sub- section (1) has been made the Court may, if the Court determines it to be appropriate, grant an injunction by consent of all the parties to the proceedings, whether or not the 15 Court is satisfied that a person has engaged, or is proposing to engage, in conduct of a kind mentioned in sub-section (1). (4) If in the opinion of the Court it is desirable to do so, the Court may grant an interim 20 injunction pending determination of an application under sub-section (1). (5) The Court may rescind or vary an injunction granted under sub-section (1) or (3). (6) The power of the Court to grant an 25 injunction restraining a person from engaging in conduct may be exercised-- (a) whether or not it appears to the Court that the person intends to engage again, or to continue to engage, in conduct of 30 that kind; and (b) whether or not the person has previously engaged in conduct of that kind; and 46 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 17 Act No. (c) whether or not there is an imminent danger of substantial damage to any other person or to property if the person engages in conduct of that kind. 5 (7) The power of the Court to grant an injunction requiring a person to do an act or thing may be exercised-- (a) whether or not it appears to the Court that the person intends to refuse or fail 10 again, or to continue to refuse or fail, to do that act or thing; (b) whether or not the person has previously refused or failed to do that act or thing; and 15 (c) whether or not there is an imminent danger of substantial damage to any other person or to property if the person refuses or fails to do that act or thing. (8) If the ACCC makes an application to the 20 Court for the grant of an injunction under this section, the Court shall not require the applicant or any other person, as a condition of granting an interim injunction, to give any undertakings as to damages. 25 48S. Actions for damages for contravention of conduct provision (1) A person who suffers loss or damage by conduct of another that was done in contravention of a conduct provision may, 30 subject to and in accordance with the MSO Rules, recover the amount of the loss or damage by action against that other person or against any person involved in the contravention. 47 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 17 Act No. (2) An action under sub-section (1) may be commenced at any time within 3 years after the date on which the cause of action accrued. 5 (3) A reference in sub-section (1) to a person involved in a contravention of a conduct provision is a reference to a person who-- (a) has aided, abetted, counselled or procured the contravention; 10 (b) has induced, whether by threats or promises or otherwise, the contravention; or (c) has been in any way, directly or indirectly, knowingly concerned in, or 15 party to, the contravention; or (d) has conspired with others to effect the contravention. 48T. Declaratory relief (1) The Supreme Court, on an application by a 20 person shall, by order, declare whether or not the person to which the application relates has contravened a regulatory provision or conduct provision. (2) An application under sub-section (1) may be 25 made, subject to and in accordance with the MSO Rules-- (a) in the case of a regulatory provision, by the ACCC; (b) in the case of a conduct provision, by 30 the ACCC or any other person. (3) If the order declares the person to have contravened a regulatory provision or conduct provision, the order may include one or more of the following-- 48 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 17 Act No. (a) a requirement that the person cease, within a specified period, the act, activity or practice constituting the contravention; 5 (b) a requirement that the person take such action, or adopt such practice, as the Court requires for remedying the contravention or preventing a recurrence of the contravention; 10 (c) a requirement that the person implement a specified program for compliance with the MSO Rules. PART 4B--THIRD PARTY ACCESS Division 1--The Access Code 15 48U. Establishing the Access Code (1) The Governor in Council, on the recommendation of the Minister, by Order published in the Government Gazette, may establish an Access Code with respect to 20 third party access to transmission pipelines and distribution pipelines for natural gas. (2) The Access Code established under sub- section (1) may make provision for or with respect to-- 25 (a) requiring persons who own or operate transmission pipelines or distribution pipelines-- (i) to satisfy specified requirements as to the carrying on of business 30 as an owner or operator of pipelines; (ii) to provide terms and conditions on which third party access 49 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 17 Act No. arrangements are offered in respect of transmission pipelines or distribution pipelines; (iii) to provide information about 5 access arrangements; (b) specifying procedures with respect to the resolution of disputes between persons who own or operate transmission pipelines or distribution 10 pipelines and persons seeking access to them; (c) making provision for any other matter or thing required or permitted to be provided for in the Order or necessary 15 to be provided for to give effect to this Part. (3) An access arrangement that concerns a transmission pipeline or a distribution pipeline situated partly in Victoria and partly 20 in another State or in a Territory may be expressed to apply to any part of the pipeline situated in that other State or Territory. (4) An access arrangement under a law of another State or a Territory, being an 25 arrangement-- (a) that is recognised by the Regulations as being the equivalent of an access arrangement made in accordance with the Access Code; and 30 (b) that concerns a transmission pipeline or a distribution pipeline situated partly in Victoria and partly in some other State or in a Territory; and (c) that is expressed to apply to a part of 35 the pipeline situated in Victoria-- 50 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 17 Act No. has effect in relation to the part of the pipeline situated in Victoria as if it were an access arrangement made in accordance with the Access Code. 5 (5) A determination of an arbitrator under Division 2 that concerns a transmission pipeline or a distribution pipeline situated partly in Victoria and partly in some other State or in a Territory may, if the parties to 10 the dispute agree, be expressed to apply to any part of the pipeline situated in the other State or Territory. (6) A determination under a law of another State or of a Territory, being a determination-- 15 (a) that is recognised by the Regulations as being the equivalent of a determination of an arbitrator under Division 2; and (b) that concerns a transmission pipeline or a distribution pipeline situated partly in 20 Victoria and partly in some other State or in a Territory; and (c) that, with the agreement of the parties, is expressed to apply to a part of the pipeline situated in Victoria-- 25 has effect in relation to the part of the pipeline situated in Victoria as if it were a determination of an arbitrator under Division 2. (7) The Access Code may be made-- 30 (a) so as to apply-- (i) at all times or at a specified time; or 51 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 17 Act No. (ii) throughout the whole of the State or in a specified part of the State; (b) so as to require a matter affected by the 5 Access Code to be-- (i) in accordance with a specified standard or specified requirement; or (ii) approved by or to the satisfaction 10 of a specified person or person of a specified class; (c) so as to incorporate, adopt or apply, wholly or partially or as amended by an Order under sub-section (1), the 15 provisions of any document, standard, rule, specification or method formulated, issued, prescribed or published by any authority or body whether-- 20 (i) as formulated, issued, prescribed or published at the time the Access Code is established or at any time before the Access Code is established; or 25 (ii) as amended from time to time; (d) so as to confer a discretionary authority on a specified person or person of a specified class; (e) so as to provide, in a specified case or 30 class of cases for the exemption of persons or things or a class of persons or things from any of the provisions of the Access Code, whether unconditionally or on specified 52 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 17 Act No. conditions and either wholly or to the extent specified. (8) The Access Code may confer functions or powers on the ACCC or ORG. 5 (9) The Access Code may provide for the payment of fees prescribed by the Regulations to the ACCC or ORG for its services under the Access Code. (10) The functions and powers conferred on ORG 10 for the purposes of the access regime established under this Division are not exercisable by ORG to the extent that those functions and powers are conferred on the ACCC under this Part. 15 Division 2--Arbitration of access disputes 48V. Definitions and application (1) In this Division-- "access dispute" means a dispute between a service provider and another person 20 that, in accordance with the Access Code, may be referred to arbitration under this Division; "arbitrator" means the Regulator or a person appointed by the Regulator to 25 conduct an arbitration relating to an access dispute; "party" means a service provider or other person involved in an access dispute. (2) This Division applies if-- 30 (a) in accordance with the Access Code, a service provider or another person notifies the Regulator that an access dispute exists; and 53 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 17 Act No. (b) notification of the dispute is not withdrawn in accordance with the Access Code. 48W. Where ACCC conducts arbitration 5 (1) For the purposes of a particular arbitration where it is the arbitrator, the ACCC is to be constituted by 2 or more members of the ACCC nominated in writing by the Chairperson. 10 (2) Subject to sub-section (3), the Chairperson of the ACCC is to preside at an arbitration. (3) If the Chairperson is not a member of the Commission as constituted under sub-section (1) in relation to a particular arbitration, the 15 Chairperson must nominate a member of the ACCC to preside at the arbitration. (4) If a member of the ACCC who is one of the members who constitute the ACCC for the purposes of a particular arbitration-- 20 (a) stops being a member of the ACCC; or (b) for any reason, is not available for the purpose of the arbitration-- the Chairperson must either-- (c) direct that the ACCC is to be 25 constituted for the purposes of finishing the arbitration by the remaining member or members; or (d) direct that the ACCC is to be constituted for that purpose by the 30 remaining member or members together with one or more other members of the Commission. (5) If a direction under sub-section (4) is given, the ACCC as constituted in accordance with 54 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 17 Act No. the direction must continue and finish the arbitration and may, for that purpose, have regard to any record of the proceedings of the arbitration made by the ACCC as 5 previously constituted. (6) If the ACCC is constituted for an arbitration by 2 or more members of the ACCC, any question before the ACCC is to be decided-- (a) unless paragraph (b) applies, according 10 to the opinion of the majority of those members; or (b) if the members are evenly divided on a question, according to the opinion of the member who is presiding. 15 48X. Person to conduct arbitration The Regulator must conduct the arbitration or appoint a person to do so. 48Y. Hearing to be in private (1) Subject to sub-section (2), an arbitration 20 hearing is to be in private. (2) If the parties agree, an arbitration hearing or part of an arbitration hearing may be conducted in public. (3) The arbitrator may give written directions as 25 to the persons who may be present at an arbitration hearing that is conducted in private. (4) In giving directions under sub-section (3), the arbitrator must have regard to the wishes 30 of the parties and the need for commercial confidentiality. 55 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 17 Act No. 48Z. Right to representation In an arbitration hearing under this Division, a party may appear in person or be represented by someone else. 5 48ZA. Procedure (1) In an arbitration hearing under this Division, the arbitrator-- (a) is not bound by technicalities, legal forms or rules of evidence; and 10 (b) must act as speedily as a proper consideration of the dispute allows, having regard to the need carefully and quickly to inquire into and investigate the dispute and all matters affecting the 15 merits, and fair settlement, of the dispute; and (c) may gather information about any matter relevant to the access dispute in any way the arbitrator thinks 20 appropriate. (2) Subject to the Access Code, the arbitrator may determine the periods that are reasonably necessary for the fair and adequate presentation of the respective cases 25 of the parties in the arbitration hearing, and may require that the cases be presented within those periods. (3) The arbitrator may require evidence or argument to be presented in writing, and may 30 decide the matters on which the arbitrator will hear oral evidence or argument. (4) The arbitrator may determine that an arbitration hearing is to be conducted by-- (a) telephone; or 56 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 17 Act No. (b) closed circuit television; or (c) any other means of communication. 48ZB. Particular powers of arbitrator The arbitrator may do any of the following 5 things for the purpose of arbitrating an access dispute-- (a) give a direction in the course of, or for the purposes of, an arbitration hearing; (b) hear and determine the arbitration in 10 the absence of a party who has been given notice of the hearing; (c) sit at any place; (d) adjourn to any time and place; (e) refer any matter to an expert and accept 15 the expert's report as evidence. 48ZC. Contempt A person must not do any act or thing in relation to the arbitration of an access dispute that would be a contempt of court if 20 the arbitrator were a court of record. Penalty: Imprisonment for 6 months. 48ZD. Disclosure of information (1) An arbitrator may give an oral or written order to a person not to divulge or 25 communicate to anyone else specified information that was given to the person in the course of an arbitration unless the person has the arbitrator's permission. (2) A person must not contravene an order under 30 sub-section (1). Penalty: Imprisonment for 6 months. 57 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 17 Act No. 48ZE. Power to take evidence on oath or affirmation (1) The arbitrator may take evidence on oath or affirmation and for that purpose the 5 arbitrator may administer an oath or affirmation. (2) The arbitrator may summon a person to appear before the arbitrator to give evidence and to produce such documents (if any) as 10 are referred to in the summons. (3) The powers in this section may be exercised only for the purposes of arbitrating an access dispute under this Division. 48ZF. Failing to attend as a witness 15 A person who is served, as prescribed by the regulations, with a summons to appear as a witness before the arbitrator must not, without reasonable excuse-- (a) fail to attend as required by the 20 summons; or (b) fail to appear and report himself or herself from day to day unless excused, or released from further attendance, by the arbitrator. 25 Penalty: Imprisonment for 6 months. 48ZG. Failing to answer questions etc. (1) A person appearing as a witness before the arbitrator must not, without reasonable excuse-- 30 (a) refuse or fail to be sworn or to make an affirmation; or 58 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 17 Act No. (b) refuse or fail to answer a question that the person is required to answer by the arbitrator; or (c) refuse or fail to produce a document 5 that he or she is required to produce by a summons under this Division served on him or her as prescribed. Penalty: Imprisonment for 6 months. (2) It is a reasonable excuse for the purposes of 10 sub-section (1) for an individual to refuse or fail to answer a question or produce a document on the ground that the answer or the production of the document might tend to incriminate the individual or to expose the 15 individual to a penalty. (3) Sub-section (2) does not limit what is a reasonable excuse for the purposes of sub- section (1). 48ZH. Intimidation etc. 20 A person must not-- (a) threaten, intimidate or coerce another person; or (b) cause or procure damage, loss or disadvantage to another person-- 25 because that other person-- (c) proposes to produce, or has produced, documents to the arbitrator; or (d) proposes to appear or has appeared as a witness before the arbitrator. 30 Penalty: Imprisonment for 12 months. 59 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 17 Act No. 48ZI. Party may request arbitrator to treat material as confidential (1) A party to an arbitration hearing may-- (a) inform the arbitrator that, in the party's 5 opinion, a specified part of a document contains confidential information; and (b) request the arbitrator not to give a copy of that part to another party. (2) On receiving a request, the arbitrator must-- 10 (a) inform the other party or parties that the request has been made and of the general nature of the matters to which the relevant part of the document relates; and 15 (b) ask the other party or parties whether there is any objection to the arbitrator complying with the request. (3) If there is an objection to the arbitrator complying with the request, the party 20 objecting may inform the arbitrator of the objection and of the reasons for it. (4) After considering-- (a) a request; and (b) any objection; and 25 (c) any further submissions that any party has made in relation to the request-- the arbitrator may decide not to give to the other party or parties a copy of so much of the document as contains confidential 30 information that the arbitrator thinks should not be given. 48ZJ. Parties to pay costs of an arbitration 60 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 17 Act No. The regulations may provide for the arbitrator to-- (a) charge the parties to an arbitration for the costs of conducting the arbitration; 5 and (b) apportion the charge between the parties. Division 3--Proceedings for contravention of Part 10 48ZK. Proceedings (1) A person may not bring civil proceedings in respect of a matter arising under this Part, except in accordance with this Part. (2) The ACCC or ORG may, in accordance with 15 this Part, bring civil proceedings in respect of a civil penalty provision or a regulatory provision. (3) The ACCC, ORG or any other person may, in accordance with this Part, bring civil 20 proceedings in respect of a conduct provision. (4) Nothing in this section affects the right of a person to bring civil proceedings in respect of any matter or thing, or seek any relief or 25 remedy, if the cause of action arises, or the relief or remedy is sought, on grounds that do not rely on this Part. 48ZL. Criminal proceedings do not lie (1) Criminal proceedings do not lie against a 30 person by reason only that the person-- (a) has contravened a provision of this Part; 61 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 Act No. (b) has attempted to contravene such a provision; (c) has aided, abetted, counselled or procured a person to contravene such a 5 provision; (d) has induced, or attempted to induce, a person, whether by threats or promises or otherwise, to contravene such a provision; 10 (e) has been in any way, directly or indirectly, knowingly concerned in, or party to, the contravention by a person of such a provision; or (f) has conspired with others to contravene 15 such a provision. (2) Sub-section (1) does not apply in respect of a provision of this Part for an offence against which a penalty is prescribed by this Part. 48ZM. Civil penalty 20 (1) The Regulator may apply to a court for an order under this Part in respect of a contravention by a person of a civil penalty provision or the doing by a person of any other thing mentioned in sub-section (2). 25 (2) If the court is satisfied that a person-- (a) has contravened a civil penalty provision; or (b) has attempted to contravene such provision; or 30 (c) has aided, abetted, counselled or procured a person to contravene such a provision; or 62 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 17 Act No. (d) has induced, or attempted to induce, a person whether by threats or promises or otherwise, to contravene such a provision; or 5 (e) has been in any way, directly or indirectly, knowingly concerned in, or party to, the contravention by a person of such a provision; or (f) has conspired with others to contravene 10 such a provision-- the court may order the person to pay to the Minister for payment to the Consolidated Fund such pecuniary penalty, in respect of each act or omission by the person to which 15 this section applies, as the court determines to be appropriate having regard to all relevant matters including-- (g) the nature and extent of the act or omission and of any loss or damage 20 suffered as a result of the act or omission; (h) the circumstances in which the act or omission took place; and (i) whether the person has previously been 25 found by the Court in proceedings under this Part to have contravened a civil penalty provision. (3) The pecuniary penalty payable under sub- section (2) must not exceed the penalty 30 prescribed by the Regulations for the act or omission to which this section applies. 48ZN. Injunctions (1) If, on an application in accordance with sub- section (2), the Supreme Court is satisfied 35 that a person has engaged, or is proposing to 63 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 Act No. engage, in conduct that constitutes or would constitute-- (a) a contravention of a provision that, under the Access Code, is a regulatory 5 provision or conduct provision of the Access Code; or (b) attempting to contravene such a regulatory provision or conduct provision-- 10 the Court may grant an injunction in such terms as the Court determines to be appropriate. (2) An application under sub-section (1) may be made-- 15 (a) in the case of a regulatory provision or conduct provision relating to a transmission pipeline or a service provider of a transmission pipeline, by the ACCC; 20 (b) in the case of a regulatory provision or conduct provision relating to a distribution pipeline or a service provider of a distribution pipeline, by ORG; 25 (c) in the case of any conduct provision, by any person other than the ACCC or ORG (except as provided in paragraphs (a) and (b)). (3) If an application for an injunction under sub- 30 section (1) has been made the Court may, if the Court determines it to be appropriate, grant an injunction by consent of all the parties to the proceedings, whether or not the Court is satisfied that a person has engaged, 64 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 17 Act No. or is proposing to engage, in conduct of a kind mentioned in sub-section (1). (4) If in the opinion of the Court it is desirable to do so, the Court may grant an interim 5 injunction pending determination of an application under sub-section (1). (5) The Court may rescind or vary an injunction granted under sub-section (1) or (3). (6) The power of the Court to grant an 10 injunction restraining a person from engaging in conduct may be exercised-- (a) whether or not it appears to the Court that the person intends to engage again, or to continue to engage, in conduct of 15 that kind; and (b) whether or not the person has previously engaged in conduct of that kind; and (c) whether or not there is an imminent 20 danger of substantial damage to any other person or to property if the person engages in conduct of that kind. (7) The power of the Court to grant an injunction requiring a person to do an act or 25 thing may be exercised-- (a) whether or not it appears to the Court that the person intends to refuse or fail again, or to continue to refuse or fail, to do that act or thing; and 30 (b) whether or not the person has previously refused or failed to do that act or thing; and (c) whether or not there is an imminent danger of substantial damage to any 65 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 17 Act No. other person or to property if the person refuses or fails to do that act or thing. (8) If the ACCC or ORG makes an application to the Court for the grant of an injunction 5 under this section, the Court shall not require the applicant or any other person, as a condition of granting an interim injunction, to give any undertakings as to damages. 48ZO. Actions for damages for contravention of 10 conduct provision (1) A person who suffers loss or damage by conduct of another that was done in contravention of a conduct provision may recover the amount of the loss or damage by 15 action against that other person or against any person involved in the contravention. (2) An action under sub-section (1) may be commenced at any time within 3 years after the date on which the cause of action 20 accrued. (3) A reference in sub-section (1) to a person involved in a contravention of a conduct provision is a reference to a person who-- (a) has aided, abetted, counselled or 25 procured the contravention; or (b) has induced, whether by threats or promises or otherwise, the contravention; or (c) has been in any way, directly or 30 indirectly, knowingly concerned in, or party to the contravention; or (d) has conspired with others to effect the contravention. 48ZP. Declaratory relief 66 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 Act No. (1) The Supreme Court, on an application by a person shall, by order, declare whether or not the person to which the application relates has contravened a regulatory provision or 5 conduct provision. (2) An application under sub-section (1) may be made subject to and in accordance with the Access Code-- (a) in the case of a regulatory provision or 10 conduct provision relating to a transmission pipeline or a service provider of a transmission pipeline, by the ACCC; (b) in the case of a regulatory provision or 15 conduct provision relating to a distribution pipeline or a service provider of a distribution pipeline, by ORG; (c) in the case of any conduct provision, by 20 any person other than the ACCC or ORG (except as provided in paragraphs (a) and (b)). (3) If the order declares the person to have contravened a regulatory provision or 25 conduct provision, the order may include one or more of the following-- (a) a requirement that the person cease, within a specified period, the act, activity or practice constituting the 30 contravention; (b) a requirement that the person take such action, or adopt such practice, as the Court requires for remedying the contravention or preventing a 35 recurrence of the contravention; 67 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 17 Act No. (c) a requirement that the person implement a specified program for compliance with the Access Code. Division 4--Administrative Appeals 5 48ZQ. Application for review (1) A person adversely affected by a decision to which this section applies may appeal against the decision in accordance with this section. 10 (2) Notice of appeal must be lodged with ORG within 14 days after the decision is made. (3) The appeal must be heard by an appeal panel-- (a) consisting of 3 persons appointed by 15 the Minister administering the Office of the Regulator-General Act 1994; and (b) constituted in accordance with section 38(2) of that Act. (4) Section 38(5), (6) and (7) of, and the 20 Regulations made under, the Office of the Regulator-General Act 1994 apply in relation to an appeal under this section. (5) The appeal panel must make its determination on the appeal within 90 days 25 after the notice of appeal was lodged. (6) The appeal panel may extend, or further extend, the period referred to in sub-section (5) by a period of 30 days if it considers that the matter cannot be dealt with properly 30 without the extension either because of its complexity or because of other special circumstances. 68 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 17 Act No. (7) If the appeal panel extends the period, it must, before the end of the period, notify the applicant of the extension and the reasons for it. 5 (8) An application under this section-- (a) that relates to a decision under the Access Code referred to in sub-section (15)(b) or section 48ZR(1) does not operate to stay the decision; 10 (b) in any other case, operates to stay the decision unless the appeal panel otherwise orders. (9) On the application of a party to the proceedings under this section, the appeal 15 panel may conduct the proceedings in the absence of the public. (10) The appeal panel may require the Regulator to give information and other assistance, and to make reports, as specified by the appeal 20 panel. (11) In proceedings under this section, the appeal panel may make an order affirming, or setting aside or varying immediately or as from a specified future date, the decision to 25 which the proceedings relate and, for the purposes of the appeal, may exercise the same powers with respect to the subject matter of the decision as may be exercised with respect to that subject matter by the 30 person who made the decision. (12) The appeal panel may make such orders (if any) as to costs in respect of a proceeding as it thinks fit. 69 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 17 Act No. (13) The appeal panel may refuse to hear an appeal against a decision if it considers that the appeal is trivial or vexatious. (14) A determination by the appeal panel on the 5 appeal has the same effect as if it were made by the person who made the decision. (15) This section applies to a decision-- (a) to add to, or to waive, a requirement under the Access Code that a service 10 provider be a body corporate or statutory authority or not be a producer, purchaser or seller of natural gas or relating to the separation of certain activities of a service provider; or 15 (b) not to approve a contract, arrangement or understanding between a service provider and an associate of a service provider; or (c) relating to any other matter that, under 20 the Access Code, is a decision to which this section applies. 48ZR. Merits review of access arrangements (1) If the Regulator-- (a) drafts and approves an access 25 arrangement; or (b) drafts and approves revisions of an access arrangement-- in place of an access arrangement or revisions submitted for approval by a service 30 provider, the service provider or a person who made a submission to the Regulator on the access arrangement or revisions submitted by the service provider and whose interests are adversely affected by the 70 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 17 Act No. decision of the Regulator may appeal against the decision in accordance with this section. (2) Notice of an appeal-- (a) must be lodged with ORG within 14 5 days after the decision is made; and (b) must give details of the grounds for the appeal. (3) An appeal under this section-- (a) may be made only on the grounds-- 10 (i) of an error in the Regulator's finding of facts; or (ii) that the exercise of the Regulator's discretion was incorrect or was unreasonable having regard to all 15 the circumstances; or (iii) that the occasion for exercising the discretion did not arise; and (b) may not raise any matter that was not raised in submissions to the Regulator 20 before the decision was made. (4) In hearing an appeal under this section, the appeal panel may give directions to the parties excluding from the review specified facts, findings, matters or actions that the 25 appeal panel considers should be excluded having regard to-- (a) the likelihood of the decision being varied or set aside on account of those facts, findings, matters or actions; 30 (b) the significance to the parties of those facts, findings, matters or actions; (c) the amount of money involved; 71 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 17 Act No. (d) any other matters that the appeal panel considers relevant. (5) The appeal panel, in hearing an appeal against a decision under this section, must 5 not consider any matter other than the notice of appeal, the decision of the Regulator, the written record of the decisions and any written reasons, written submissions made to, or reports relied on by, the Regulator 10 before the decision was made and the transcript (if any) of any hearing conducted by the Regulator. (6) Except as otherwise provided in this section, section 48ZQ (except sub-sections (1) and 15 (15)) applies to an appeal under this section. Division 5--General 48ZS. Preventing or hindering access (1) A service provider or a person who is a party to an agreement with a service provider 20 relating to a service provided by means of a pipeline or, as the result of an arbitration, is entitled to such a service, or an associate of a service provider or such a person must not engage in conduct for the purpose of 25 preventing or hindering the access of another person to a service provided by means of a pipeline that, under the Access Code, is a pipeline in relation to which an access arrangement is required. 30 (2) For the purposes of sub-section (1), a person is deemed to engage in conduct for a particular purpose if-- 72 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 Act No. (a) the conduct is or was engaged in for that purpose or for a purpose that includes, or included, that purpose; and (b) that purpose is or was a substantial 5 purpose. (3) A person may be taken to have engaged in conduct for the purpose referred to in sub- section (1) even though, after all the evidence has been considered, the existence 10 of that purpose is ascertainable only by inference from the conduct of the person or of any other person or from other relevant circumstances. (4) Sub-section (3) does not limit the manner in 15 which the purpose of a person may be established for the purpose of sub-section (1). (5) In this section-- (a) a reference to engaging in conduct is a 20 reference to doing or refusing to do any act, including refusing to supply a service or, without reasonable grounds, limiting or disrupting a service, or making, or giving effect to, a provision 25 of, a contract or arrangement, arriving at, or giving effect to, a provision of, an understanding or requiring the giving of, or giving, a covenant; (b) a reference to refusing to do an act 30 includes a reference to-- (i) refraining (otherwise than inadvertently) from doing that act; or (ii) making it known that that act will 35 not be done. 73 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 17 Act No. (6) Sub-section (1) does not apply to conduct engaged in in accordance with an agreement if the agreement was in force on 30 March 1995. 5 (7) In this section-- "associate" in relation to a person, has the meaning it would have under Division 2 of Part 1.2 of the Corporations Law if sections 13, 14, 16(2) and 17 of that 10 Law were repealed. 48ZT. Power to obtain information and documents (1) If a Regulator has reason to believe that a person has information or a document that 15 may assist the Regulator in the performance of any of the Regulator's prescribed duties under this Part, the Regulator may require the person to give the Regulator the information or a copy of the document. 20 (2) A requirement must be made in a written notice that identifies the information or document and that specifies-- (a) by when the requirement must be complied with; and 25 (b) in what form the information or copy of the document is to be given to the Regulator. (3) The notice must also state that the requirement is made under this section and 30 must include a copy of this section. (4) A person must not, without lawful excuse, fail to comply with any requirement made under this section in a notice given to the person. 74 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 17 Act No. Penalty: 100 penalty units or imprisonment for 2 years. (5) If the person is a natural person, it is a lawful excuse for the purpose of sub-section (4) that 5 compliance may tend to incriminate the person or make the person liable to a penalty for any other offence. (6) A person must not, in purported compliance with a requirement made under this section, 10 knowingly give the Regulator information that is false or misleading. Penalty: 100 penalty units or imprisonment for 2 years. (7) A person must not-- 15 (a) threaten, intimidate or coerce another person; or (b) take, threaten to take, incite or be involved in any action that causes another person to suffer any loss, injury 20 or disadvantage-- because that other person complied, or intends to comply, with a requirement made under this section. Penalty: 100 penalty units or imprisonment 25 for 2 years. (8) A person is not liable in any way for any loss, damage or injury suffered by another person because of the giving in good faith of a document or information to the Regulator 30 under this section. (9) In this section-- 75 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 Act No. "prescribed duty" means-- (a) deciding whether to approve an access arrangement under the Access Code; 5 (b) deciding whether to approve changes to an access arrangement under the Access Code; (c) deciding whether to approve an associate contract within the 10 meaning of the Access Code; (d) monitoring compliance with the Access Code. 48ZU. Restriction on disclosure of confidential information 15 (1) This section applies if information or a document is given to the Regulator under section 48ZT and, at the time it is given, the person giving it states that it is of a confidential or commercially-sensitive 20 nature. (2) Except as otherwise provided in the Access Code, the Regulator must not disclose the information or the contents of the document to any person unless-- 25 (a) the Regulator is of the opinion-- (i) that the disclosure of the information or document would not cause detriment to the person supplying it or to the person from 30 whom that person received it; or 76 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 17 Act No. (ii) that, although the disclosure of the information or document would cause detriment to such a person, the public benefit in disclosing it 5 outweighs that detriment; and (b) the Regulator gives the person who supplied the information or document a written notice-- (i) stating that the Regulator wishes 10 to disclose the information or contents of the document, specifying the nature of the intended disclosure and setting out detailed reasons why the 15 Regulator wishes to make the disclosure; and (ii) stating that the Regulator is of the opinion required by paragraph (a) and setting out detailed reasons 20 why it is of that opinion; and (iii) setting out a copy of this section and section 48ZV; and (c) if the Regulator is aware that the person who supplied the information or 25 document in turn received the information or document from another person and is aware of that other person's identity and address, the Regulator gives that other person a 30 written notice-- (i) containing the details required by paragraph (b); and (ii) stating that the Regulator is of the opinion required by paragraph (a) 35 in relation to that other person and 77 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 17 Act No. setting out detailed reasons why it is of that opinion; and (iii) setting out a copy of this section and section 48ZV; and 5 (d) if the Regulator is the ACCC and the information or document is or includes personal information within the meaning of the Privacy Act 1988 of the Commonwealth, the person to whom it 10 is disclosed undertakes to comply with the Information Privacy Principles set out in section 14 of that Act in respect of the information or document; and (e) an application for review is not lodged 15 in respect of any notice given under paragraph (b) or (c) within the time permitted by section 48ZV(3). (3) Sub-section (2) does not prevent the Regulator-- 20 (a) from disclosing information or the contents of a document to a member of the staff of the Regulator employed or engaged for the purposes of this Part or to the other Regulator; or 25 (b) from using information or a document for the purposes of civil or criminal proceedings; or (c) from supplying the information or document to the member of an appeal 30 panel hearing an appeal in relation to the information or document. (4) If a notice of appeal under this Division is withdrawn or, as a result of the hearing of an appeal under this Division, a decision of the 35 Regulator is affirmed, the Regulator may 78 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 17 Act No. disclose any information, or the contents of any document, that was the subject of the appeal in the manner set out in the notice given under sub-section (2)(b) or (c). 5 (5) If, as a result of the hearing of an appeal under this Division, a decision of the Regulator is varied or set aside, the Regulator may disclose anything that the appeal panel permits the Regulator to 10 disclose under section 48ZV(5)(b) in the manner specified by the appeal panel. (6) For the purposes of this section, the disclosure of anything that is already in the public domain at the time the Regulator 15 wishes to disclose it cannot cause detriment to any person referred to in sub-section (2)(b) or (c). 48ZV. Appeal against disclosure notice (1) A person who is given a notice under section 20 48Z U(2)(b) or (c) and who is aggrieved by a decision of the Regulator to disclose information or the contents of a document may appeal against the decision in accordance with this section. 25 (2) An appeal may only be made on the ground that-- (a) the decision was not made in accordance with law; or (b) the decision is unreasonable having 30 regard to all relevant circumstances. (3) The person must lodge notice of the appeal with ORG within 7 working days after the person is given the notice. 79 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 18 Act No. (4) On the hearing of an appeal against a decision, the Regulator bears the onus of establishing that-- (a) the decision was made in accordance 5 with law; and (b) the decision is reasonable having regard to all relevant circumstances. (5) In granting an appeal under this section the appeal panel may-- 10 (a) forbid disclosure by the Regulator of the information or document that is the subject of the appeal; or (b) restrict the intended disclosure by the Regulator of the information or 15 document within limits specified by the appeal panel. (6) Except as otherwise provided in this section, section 48ZQ (except sub-sections (1), (2), (8) and (15)) applies to an appeal under this 20 section.'. 18. New section 50 substituted For section 50 of the Principal Act substitute-- "50. Agreement for operation of pipelines (1) A gas company may enter into an agreement 25 with one or more other gas companies relating to such pipelines owned by any one or more of them as are specified in the agreement, being an agreement relating to-- (a) the operation, use and construction of 30 the pipelines; and (b) the exercise of such rights, and compliance with such obligations, in respect of that operation, use or 80 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 19 Act No. construction as the owner of the pipelines is entitled to exercise or required to comply with. (2) If an agreement under sub-section (1) is in 5 force in respect of a pipeline owned by a gas company-- (a) any permits or licences held by the gas company under the Pipelines Act 1967 for the pipeline are deemed to confer 10 the same rights and obligations on the other gas company as on the gas company that is the owner of the pipeline; and (b) subject to paragraph (a), nothing in this 15 section affects the operation of the Pipelines Act 1967 in relation to the pipeline. (3) If an agreement is entered into under sub- section (1), the parties to the agreement must 20 ensure that a copy of the agreement is given to the Minister administering the Pipelines Act 1967. (4) For the purposes of the Pipelines Act 1967, a gas company on which rights and 25 obligations are conferred under this section is deemed to be the holder of a permit or licence, as the case requires.". 19. Amendment of sections 51 and 51A (1) In section 51 of the Principal Act, for sub-section 30 (1) substitute-- "(1) A gas transmission company or a gas distribution company may recommend to the Minister for compulsory acquisition any land required by the company for or in connection 35 with the construction or operation of a 81 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 20 Act No. transmission pipeline or distribution pipeline.". (2) In section 51(2) of the Principal Act, for paragraph (b) substitute-- 5 "(b) the Minister is the Authority". (3) After section 51(2) of the Principal Act insert-- "(3) Despite anything to the contrary in the Land Acquisition and Compensation Act 1986, section 109(2) of that Act does not apply to 10 land acquired in accordance with this section. (4) Despite the amendment of this section by the Gas Industry (Further Amendment) Act 1997, this section, as in force before the 15 commencement of section 19 of that Act, continues to apply to a compulsory acquisition of land by a gas company if a notice of intention to acquire the land was given by the gas company before that 20 commencement.". (4) In section 51A(4) of the Principal Act, for the definition of "person to which this section applies" substitute-- ' "person to which this section applies" means a 25 gas transmission company or a gas distribution company.'. 20. Rateability of property of public gas companies In section 52 of the Principal Act, before "gas company" insert "public". 30 21. Amendment of section 53 (1) In section 53 of the Principal Act for "gas company" (wherever occurring) substitute "gas distribution company or gas transmission company". 82 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 23 Act No. (2) After 53(4) of the Principal Act insert-- "(5) This section applies subject to any land access code applying in relation to the exercise of powers under this section issued 5 by ORG under the Office of the Regulator- General Act 1994.". 22. Amendment of section 54 (1) In section 54 of the Principal Act for "gas company" (wherever occurring) substitute "gas 10 distribution company or gas transmission company". (2) After section 54(4) of the Principal Act insert-- "(5) This section applies subject to any land access code applying in relation to the 15 exercise of powers under this section issued by ORG under the Office of the Regulator- General Act 1994.". 23. New section 57 substituted For section 57 of the Principal Act substitute-- 20 "57. Obstruction of gas company A person must not obstruct, hinder or interfere with a gas company or the board or an officer or employee of a gas company or a person acting under the authority of a gas 25 company in the entry on any premises or in the performance of anything which the gas company or the board, officer, employee or person is respectively empowered or required to do by or under this Act or by or 30 under a licence. Penalty: 10 penalty units.". 24. Amendment of Principal Act In the Principal Act-- 83 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 Act No. (a) in section 58(1)(a) and (b) for "GTC" substitute "a gas transmission company"; (b) in section 58(1)(e) for "GTC" (where first occurring) substitute "a gas transmission 5 company"; (c) in section 58(1)(e) for "GTC" (where secondly occurring) substitute "the gas transmission company"; (d) in section 58(2) for "GTC" (where first 10 occurring) substitute "a gas transmission company"; (e) in section 58(2) for "GTC" (where secondly occurring) substitute "the gas transmission company"; 15 (f) in section 59(1)(a) and (b) for "GASCOR" substitute "a gas distribution company"; (g) in section 59(1)(d), for "GASCOR" substitute "a gas company"; (h) in section 59(1)(e) for "GASCOR" (where 20 twice occurring) substitute "a gas retailer"; (i) in section 59(1)(f), for "GASCOR" substitute "a gas company"; (j) in section 59(2) for "GASCOR" (where first occurring) substitute "a gas company"; 25 (k) in section 59(2) for "the GASCOR" substitute "the gas company"; (l) in section 59(3) for "GASCOR" substitute "the gas company"; (m) in section 59(4) for paragraph (c) 30 substitute-- "(c) abstracting gas of a gas company"; 84 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 25 26 Act No. (n) in section 60 for "GASCOR" (where first occurring) substitute "a gas company"; (o) in section 60 for "GASCOR" (where secondly occurring) substitute "the gas 5 company". 25. New section 60A inserted In Part 6 of the Principal Act, before section 61 insert-- "60A. Making of easements in sub-divisions 10 (1) If a proposal for sub-division or consolidation of land is referred to a gas company under the Planning and Environment Act 1987, the gas company may require easements for the use of the 15 company for any one or more of the purposes set out in Schedule 1A. (2) The creation of an easement for a purpose set out in Schedule 1A gives to the gas company the rights specified in relation to an easement 20 created for that purpose, subject to any land access code applying in relation to the exercise of those rights issued by ORG under the Office of the Regulator-General Act 1994.". 25 26. Amendment of section 61 (1) In section 61(1)(a) of the Principal Act for "or another gas company" substitute ", GASCOR or GTC". (2) In section 61(1)(b) of the Principal Act, after 30 "functions" insert "or powers". 27. Amendment of Part 6B (1) In section 62M of the Principal Act-- (a) in the definition of "gas supply contract"-- 85 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 27 Act No. (i) in paragraph (a) after "1996" insert "or a new arrangement"; (ii) in paragraph (b) after "variation to the contract" insert "or new arrangement"; 5 (iii) in paragraph (c) after "under the contract" insert "or new arrangement"; (iv) in paragraph (c) after "variation to that contract" insert "or new arrangement"; (b) after the definition of "gas supply contract" 10 insert-- ' "new arrangement" means a contract or arrangement-- (a) for the supply of gas by GASCOR to a new retailer; or 15 (b) for the supply of gas by GASCOR to customers by a new retailer as GASCOR's agent-- being a contract or arrangement made on or after 1 December 1997; 20 "new retailer" means-- (a) Ikon (Gas) Pty Ltd A.C.N. 079 089 553; (b) Kinetik (Gas) Pty Ltd A.C.N. 079 089 188; 25 (c) Energy 21 (Gas) Pty Ltd A.C.N. 079 089 213;'; (c) for the definition of "specified acquisition exclusivity provision" substitute-- ' "specified acquisition exclusivity 30 provision", in relation to a gas supply contract, means a provision that comprises or includes a condition, 86 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 27 Act No. whether direct or indirect and whether having legal or equitable force or not, that-- (a) GASCOR will not, or will not 5 except to a limited extent, acquire gas directly or indirectly from a person who is or is likely to be or would be but for that provision, a competitor of BHP or a 10 competitor of Esso or a competitor of a body corporate related to either of them; or (b) a new retailer will not, or will not except to a limited extent, acquire 15 gas directly or indirectly from a person who is or is likely to be or would be but for that provision, a competitor of GASCOR or of a body corporate related to 20 GASCOR;'; (d) in the definition of "specified exclusionary provision"-- (i) in paragraph (a) after "GASCOR" insert "or a new retailer"; 25 (ii) in paragraph (b) after "conditions" insert "or by GASCOR to or through the agency of a new retailer or to or through the agency of a new retailer in particular circumstances or on 30 particular conditions"; (iii) in paragraph (c)(ii) after "GASCOR" insert "or a new retailer"; (e) in the definition of "specified price provision", after "GASCOR" insert "or by 87 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 27 Act No. GASCOR to or through the agency of more than one new retailer"; (f) in the definition of "specified supply exclusivity provision" after "GASCOR" 5 insert "or a new retailer (as principal or agent)"; (g) for the definition of "specified terms provision" substitute-- ' "specified terms provision", in relation to 10 a gas supply contract means a provision that provides for the supply of gas-- (a) by Esso and BHP jointly or either of them severally to GASCOR; or (b) by GASCOR to or through the 15 agency of more than one new retailer-- upon identical or like or similar terms and conditions that has the purpose, or would have or would be likely to have 20 the effect, of substantially lessening competition within the meaning of section 45 of the Trade Practices Act and the Competition Code;'; (h) in the definition of "specified volume 25 provision"-- (i) in paragraph (a) after "severally" insert "or by a new retailer from GASCOR"; (ii) in paragraph (b) after "severally" insert "or by GASCOR or to or through the 30 agency of a new retailer"; (iii) in paragraph (c) after "severally" insert "or by a new retailer to GASCOR"; (iv) in paragraph (c) after "(as the case may be)" insert "or the new retailer has not 88 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 28 Act No. acquired or has not agreed to acquire from GASCOR or has not supplied or agreed to supply as GASCOR's agent". (2) In section 62N(1) of the Principal Act, for all 5 words and expressions before paragraph (a) substitute-- '(1) If GASCOR, Esso, BHP or a new retailer assigns the whole or any part or any combination of parts (not comprising the 10 whole) of its rights under a gas supply contract to a person or to persons, a reference to GASCOR, Esso, BHP or the new retailer (as the case requires) in this Part (except the definitions in this Part of "BHP", 15 "Esso", "GASCOR" or "new retailer" and this section) shall be construed from the time of that assignment to be--'. (3) In section 62N of the Principal Act, in sub-section (1)(a) and (b) and in sub-section (2) for "or BHP" 20 (wherever occurring) substitute ", BHP or the new retailer". (4) In the Principal Act-- (a) in section 62O for "and Esso" substitute ", Esso and the new retailers"; 25 (b) in section 62P(i) after "GASCOR" insert "or to or through the agency of a new retailer"; (c) in section 62P(i) after "each of them" insert "or by GASCOR (as the case requires)"; (d) in section 62P(j) after "severally" insert "or 30 from GASCOR"; (e) in section 62P(j) after "GASCOR" insert "or a new retailer (as the case requires)". 28. Amendment of Part 7 (1) In section 63(1) of the Principal Act-- 89 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 28 Act No. (a) in the definition of "former gas corporation instrument", before "gas company" (wherever occurring) insert "gas corporation or"; 5 (b) in the definition of "former gas corporation property"-- (i) after "corporation" (where twice occurring) insert "or gas company"; (ii) after "the State" insert "or a person or 10 persons nominated in writing by the Minister"; (c) for the definition of "transferee" substitute-- ' "transferee", in relation to former gas 15 corporation property, means the gas corporation, the Treasurer, the State or a person or persons nominated in writing by the Minister or 2 or more of the gas corporations, the Treasurer, the 20 State and such a person or persons to which the property has been transferred under this Part;'; (d) in the definition of "transferor" after "the gas corporation" insert "or gas company". 25 (2) In section 68 of the Principal Act, for sub-section (1) substitute-- "(1) The Minister may give a direction in writing to a gas company directing it to transfer property, rights and liabilities of a specified 30 kind to the State or a person or persons nominated in writing by the Minister or to any 2 or more of the State and such a person or persons in accordance with the direction.". (3) In section 69 of the Principal Act-- 90 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 Act No. (a) before "gas company" (where twice occurring) insert "gas corporation or"; (b) in paragraph (a), for all words and expressions after "vest in a gas corporation" 5 substitute ", the State or a person or persons nominated in writing by the Minister or in 2 or more of the gas corporations, the State and such a person or persons in accordance with the statement; and"; 10 (b) in paragraph (b) for all words and expressions after "of a gas corporation" substitute ", the State or a person or persons nominated in writing by the Minister or in 2 or more of the gas corporations, the State 15 and such a person or persons in accordance with the statement.". (4) In section 71(1) of the Principal Act, after "corporation" (where twice occurring) insert "or gas company". 20 (5) In section 72(1) of the Principal Act-- (a) after "pipeline" (where first occurring) insert 'or part of a pipeline ("the transferred pipeline")'; (b) in paragraph (a), for "pipeline on the same 25 terms and conditions" substitute "transferred pipeline on the same terms and conditions (with such amendments as are necessary for their application to the transferred pipeline)". (6) In section 72(4)(d) of the Principal Act, for 30 "pipeline" substitute "transferred pipeline". (7) After section 72(4) of the Principal Act insert-- "(5) Despite sub-section (4), nothing in the Pipelines Act 1967 requires a gas company to be the holder of a permit or licence under 91 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 29 Act No. that Act by reason only of using a pipeline that the gas company does not own or construct.". (8) In section 74 of the Principal Act-- 5 (a) after "corporation" insert "or gas company"; (b) after "or become" insert "liabilities of". (9) In section 80 of the Principal Act, after "gas corporation" insert "or gas company". (10) In section 81(2) of the Principal Act, after "a gas 10 corporation" insert "or gas company". 29. New sections 83A and 83B inserted After section 83 of the Principal Act insert-- '83A. Further interim arrangements-- (1) At any time before 31 December 1998 each 15 transferee of former gas corporation property ("the new body")-- (a) may, subject to any agreement to the contrary, exercise such rights and privileges (including access to goods 20 and services) in relation to former gas corporation property that has become property of another transferee on or after 1 December 1997 as are reasonably necessary to enable the new 25 body to carry out its functions in a manner similar to the manner in which the transferor carried out corresponding functions before that date; and (b) must, subject to any agreement to the 30 contrary-- (i) permit any other transferee to exercise such rights and privileges 92 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 Act No. in relation to former gas corporation property that has become property of the new body; and 5 (ii) make available to each other transferee such goods and services as are available from that former gas corporation property-- as are reasonably necessary to enable 10 the other transferee to carry out its functions in a manner similar to the manner in which the transferor carried out corresponding functions before that date. 15 (2) A transferee must pay such reasonable charges for the exercise of rights and privileges under sub-section (1)(a) in respect of former gas corporation property of another transferee as are determined by the 20 other transferee and agreed between the parties or, if the other transferee determines charges and there is no agreement, as are determined by the Minister. 83B. Agreement about certain easements 25 (1) A gas company may, subject to and in accordance with any agreement entered into with another gas company, exercise such rights and privileges in respect of easements to which the other gas company is entitled 30 and are reasonably necessary to enable the first-mentioned gas company to carry out its functions in a manner similar to the manner in which GTC or GASCOR carried out corresponding functions before 1 December 35 1997. 93 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 30 31 Act No. (2) A gas company must pay such reasonable charges for the exercise of the rights and privileges under sub-section (1) in respect of easements to which the other gas company is 5 entitled as are determined by the other gas company and agreed by the first mentioned gas company or, if there is no agreement, as are determined by the Minister.'. 30. Amendment of Part 8 10 (1) In section 84 of the Principal Act, in the definition of "transferred member", after "GTC" insert "or of a subsidiary of GASCOR or GTC". (2) In section 87E(2) of the Principal Act, for "trust deed" substitute "governing rules". 15 (3) In section 87E of the Principal Act, for sub- section (3) substitute-- "(3) The governing rules of the Gas and Fuel Superannuation Fund are to be read and construed as if the provisions of sections 20 87B, 87C, 87D and this section formed part of the governing rules and, if a provision of those sections or this section is inconsistent with a provision of the governing rules, the provision of this Act prevails.". 25 (4) In section 87F(4)(b) of the Principal Act, for "successor" substitute "subsidiary or successor". 31. New Part 8A inserted After Part 8 of the Principal Act insert-- 'PART 8A--TRANSFER OF STAFF OF GASCOR 30 OR GTC 87G. Definitions In this Part-- 94 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 31 Act No. "new employer", in relation to a transferred employee, means the person by which, by virtue of section 87J, the transferred employee is regarded as being 5 employed with effect from the relevant date; "relevant date" in relation to a transferor and a document referred to in section 87I(1), means a date fixed by the 10 Minister under sub-section 87H for the purposes of that document; "transferred employee" means a person who, by virtue of section 87J, is regarded as being employed by a new 15 employer with effect from the relevant date; "transferor" means GASCOR or GTC. 87H. Relevant date The Minister may, by notice published in the 20 Government Gazette, fix a relevant date for the purposes of a transferor and document referred to in section 87I(1). 87I. List of staff (1) Before the relevant date in relation to a 25 transferor, the transferor must prepare and submit to the Minister and Treasurer a document signed by the chief executive officer listing officers and employees of the transferor and specifying, in respect of each 30 such officer or employee, the person by which he or she is to be regarded as having been employed by virtue of section 87J with effect from the relevant date. (2) The document may be amended by 35 instrument signed by the chief executive 95 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 31 Act No. officer and given to the Minister and Treasurer and the amendment is to be regarded as having effect, or having had effect, from the relevant date. 5 (3) Nothing in this section prevents a person listed in the document as an officer or employee of the transferor from resigning or being dismissed at any time before the relevant date in accordance with the terms 10 and conditions of his or her appointment or employment. 87J. Transfer of staff (1) A person listed as an officer or employee of a transferor in a document under section 87I 15 who was such an officer or employee immediately before the relevant date in relation to the transferor is to be regarded as-- (a) having been employed by the new 20 employer with effect from the relevant date; and (b) having been so employed on the same terms and conditions as those that applied to the person, immediately 25 before the relevant date, as an officer or employee of the transferor; and (c) having accrued an entitlement to benefits, in connection with that employment by the new employer, that 30 is equivalent to the entitlement that the person had accrued, as an officer or employee of the transferor, immediately before the relevant date. 96 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 31 Act No. (2) The service of a transferred employee as an employee of the new employer is to be regarded for all purposes as having been continuous with the service of the employee, 5 immediately before the relevant date, as an officer or employee of the transferor. (3) A transferred employee is not entitled to receive any payment or other benefit by reason only of having ceased to be an officer 10 or employee of the transferor because of this Act. (4) A certificate purporting to be signed by the chief executive officer of the transferor certifying that a person named in the 15 certificate was, with effect from the relevant date, employed, by virtue of this section, by a person named in the certificate is admissible in evidence in any proceedings and is conclusive proof of the matters stated 20 in it. 87K. Future terms and conditions of transferred employees Nothing in section 87J prevents-- (a) any of the terms and conditions of 25 employment of a transferred employee from being altered by or under any law, award or agreement with effect from any time after the relevant date; or (b) a transferred employee from resigning 30 or being dismissed at any time after the relevant date in accordance with the then existing terms and conditions of his or her employment by the new employer. 35 87L. Superannuation 97 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 32 Act No. A transferred employee who, immediately before the relevant date, was a member of the approved superannuation fund within the meaning of section 84-- 5 (a) continues, on and after the relevant date, to be a member of that Fund for so long as he or she continues to be employed by the new employer or until otherwise ceasing to be a member as 10 provided in the governing rules of the Fund; (b) is not entitled to receive any payment or other benefit by reason only of having ceased to be an employee of the 15 transferor because of this Act, despite any provision of the governing rules of the Fund.'. 32. New sections 88A, 88B and 88C inserted After section 88 of the Principal Act insert-- 20 '88A. Directions to public gas companies (1) The Treasurer and the Minister, acting jointly, from time to time, by written notice to the board of a public gas company (other than a statutory gas company to which 25 section 23 applies), may give such directions to the board as the Treasurer and Minister thinks fit. (2) The board of a public gas company must comply with a direction given under this 30 section but an act or decision of the board is not invalid merely because of a failure to comply with such a direction. 88B. Payments in respect of financial obligations (1) If-- 98 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 Act No. (a) an Order has been made under section 36D(1) or 36E(1) of the Treasury Corporation of Victoria Act 1992 relating to financial obligations of a gas 5 company ("the first company"); and (b) responsibility for those financial obligations has become the responsibility of a public gas company (other than a statutory gas company) 10 ("the second company") under Part 7-- then-- (c) the second company must pay to the Treasury Corporation of Victoria such amounts, and at such times, as the first 15 company would have been liable to pay in respect of those financial obligations if the Order had not been made, except in so far as the Corporation and the second company otherwise agree; and 20 (d) the Corporation must pay to the second company such amounts, and at such times, as the first company would have been entitled to receive in respect of those financial obligations if the Order 25 had not been made, except in so far as the Corporation and the second company otherwise agree. (2) An amount payable under sub-section (1) may be recovered in a court of competent 30 jurisdiction as a debt due to the Treasury Corporation of Victoria or the second company, as the case requires. 88C. Government departments and local authorities 99 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 33 34 Act No. If the exercise of any rights, powers or authorities or the discharge of any duties by a gas company may affect the exercise of any rights, powers or authorities or the 5 discharge of any duties by any Government department or local authority, the gas company shall so far as practicable confer and co-operate with the department or local authority.'. 10 33. Amendment of the Principal Act In the Principal Act-- (a) in section 89, for "referred to in Schedule 2 to or in GTC and in Schedule 4 to or in GASCOR)" substitute "in accordance with 15 Part 7)". (b) in sections 95, 96 and 96A, before "gas company" (wherever occurring) insert "statutory"; (c) in section 97 for "GASCOR" (where first 20 occurring) substitute "a gas distribution company or gas retailer"; (d) in section 97(a) for "GASCOR" substitute "the gas distribution company or gas retailer"; 25 (e) sections 98 and 99 are repealed. 34. Amendment of section 100 (1) In section 100 of the Principal Act, for sub-section (1) substitute-- "(1) The Treasurer may, on behalf of the 30 Government of Victoria, execute a guarantee, on such terms and conditions as the Treasurer determines, in favour of any person guaranteeing the due satisfaction of amounts that become payable by a public gas 100 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 36 Act No. company under section 19(1) or 88B(1) or because of Part 7 or of amounts that become payable, and of other actions required to be performed, as a result of, or in connection 5 with, the discharge of liabilities or the performance of obligations of a public gas company.". (2) In section 100(3) of the Principal Act, for "gas company or GFE Resources Limited" substitute 10 "public gas company". 35. Amendment of section 101 In section 101 of the Principal Act, after "Commonwealth" insert "and the Competition Code within the meaning of the Competition 15 Policy Reform (Victoria) Act 1995". 36. New section 101A inserted After section 101 of the Principal Act insert-- "101A. Exemption from Freedom of Information Act 1982 20 A public gas company is not, and is not eligible to be declared to be, an agency or prescribed authority within the meaning of the Freedom of Information Act 1982.". 37. Regulations 25 (1) In section 102(1) of the Principal Act, paragraphs (c), (n), (o), (p), (q), (r), (s), (t), (u), (v), and (w) are repealed. (2) After section 102(1) of the Principal Act insert-- "(1A) The Regulations may provide that-- 30 (a) a specified regulatory provision or a regulatory provision of a specified class; or 101 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 Act No. (b) a specified conduct provision or a conduct provision of a specified class-- is, for the purposes of the MSO Rules or the Access Code, a civil penalty provision. 5 (1B) The Regulations may prescribe, for a contravention of a civil penalty provision, an amount not exceeding $100 000 that a court may determine is payable by a person who contravenes the provision.". 10 38. New sections 104A and 104B inserted After section 104 of the Principal Act insert-- '104A. Annual reports of GASCOR transferees and GASCOR (1) Despite anything to the contrary in this Act, 15 a transferee must prepare reports and financial statements for the relevant year as if the operations of GASCOR-- (a) for the relevant year; and (b) associated with the property, rights and 20 liabilities of GASCOR that, as at 30 June in the relevant year, are property and rights vested in, or liabilities that have become liabilities of the transferee under this Act-- 25 had been operations of the transferee. (2) GASCOR and the transferees must provide to each other all accounting records, documents and other information necessary to enable the transferees to prepare reports 30 and financial statements for the year ending 30 June in the relevant year in accordance with sub-section (1). (3) Despite anything to the contrary in the Financial Management Act 1994 or 102 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 38 Act No. regulations under that Act, GASCOR may prepare its reports and financial statements for the relevant year as if the relevant date, for the purposes of Part 7, had been 1 July in 5 the relevant year and as if the operations of a transferee-- (a) for the relevant year; and (b) associated with the property, rights and liabilities of the transferee that, as at 10 30 June in the relevant year, are property and rights vested in, or liabilities that have become liabilities of, the transferee under this Act-- had not been operations of GASCOR. 15 (4) A transferee must provide to GASCOR all accounting records, documents and other information necessary to enable GASCOR to prepare reports and financial statements for the relevant year in accordance with sub- 20 section (1). (5) The Minister may, in writing given to GASCOR and to each transferee, nominate a financial year later than the year commencing on 1 July 1997 for the purposes 25 of this section. (6) In this section-- "relevant year" means the year beginning on 1 July 1997 or, if the Minister nominates a later year under sub- 30 section (5), that later year; "transferee" means a gas company to which property, rights and liabilities of GASCOR have been transferred under Part 7. 103 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 38 Act No. 104B. Annual reports of GTC transferees and GTC (1) Despite anything to the contrary in this Act, a transferee must prepare reports and 5 financial statements for the relevant year as if the operations of GTC-- (a) for the relevant year; and (b) associated with the property, rights and liabilities of GTC that, as at 30 June in 10 the relevant year, are property and rights vested in, or liabilities that have become liabilities of the transferee under this Act-- had been operations of the transferee. 15 (2) GTC and the transferees must provide to each other all accounting records, documents and other information necessary to enable the transferees to prepare reports and financial statements for the year ending 30 20 June in the relevant year in accordance with sub-section (1). (3) Despite anything to the contrary in the Financial Management Act 1994 or regulations under that Act, GTC may prepare 25 its reports and financial statements for the relevant year as if the relevant date, for the purposes of Part 7, had been 1 July in the relevant year and as if the operations of a transferee-- 30 (a) for the relevant year; and (b) associated with the property, rights and liabilities of the transferee that, as at 30 June in the relevant year, are property and rights vested in, or 104 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 39 Act No. liabilities that have become liabilities of, the transferee under this Act-- had not been operations of GTC. (4) A transferee must provide to GTC all 5 accounting records, documents and other information necessary to enable GTC to prepare reports and financial statements for the relevant year in accordance with sub- section (1). 10 (5) The Minister may, in writing given to GTC and to each transferee, nominate a financial year later than the year commencing on 1 July 1997 for the purposes of this section. (6) In this section-- 15 "relevant year" means the year beginning on 1 July 1997 or, if the Minister nominates a later year under sub- section (5), that later year; "transferee" means a gas company to which 20 property, rights and liabilities of GTC have been transferred under Part 7.'. 39. New section 104C inserted Before section 105 of the Principal Act insert-- "104C. Repeal of Public Authorities 25 (Contributions) Act 1966 (1) The Public Authorities (Contributions) Act 1966 is repealed. (2) GASCOR is not liable to make any contributions that were due and unpaid under 30 the Public Authorities (Contributions) Act 1966 before its repeal by sub-section (1).". 105 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 Act No. 40. New Parts 13A and 13B inserted After Part 13 of the Principal Act insert-- 'PART 13A--TRANSFER OF CERTAIN PROPERTY AND STAFF OF NOMINATED 5 PUBLIC GAS COMPANIES Division 1--Definitions and applications 115A. Definitions (1) In this Part-- "former PGC property" means property, 10 rights or liabilities of a PGC that, under this Part, have vested in, or become liabilities of another person; "new employer", in relation to a transferred PGC employee, means the person by 15 which, by virtue of section 115O, the transferred PGC employee is regarded as being employed with effect from the relevant date; "PGC" means a public gas company that is 20 nominated by the Minister under section 115B; "PGC instrument" means an instrument (including a legislative instrument other than this Act) subsisting immediately 25 before the relevant date in relation to a PGC-- (a) to which the PGC was a party; or (b) that was given to or in favour of the PGC; or 30 (c) that refers to the PGC; or (d) under which-- 106 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 40 Act No. (i) money is, or may become, payable to or by the PGC; or (ii) other property is to be, or may become liable to be, 5 transferred to or by the PGC; "PGC transferee", in relation to former PGC property, means the person to which the property has been transferred under this Part; 10 "relevant date"-- (a) in relation to an allocation statement or property, rights or liabilities allocated under an allocation statement, means the 15 date fixed by the Minister under sub-section (2) for the purposes of that statement; (b) in relation to a document referred to in section 115N(1), means a 20 date fixed by the Minister under sub-section (2) for the purposes of that document; "transferred PGC employee" means a person who, by virtue of section 115O, 25 is regarded as being employed by a new employer with effect from the relevant date; "transferor company" means a public gas company. 30 (2) The Minister may, by notice published in the Government Gazette-- (a) fix a relevant date for the purposes of an allocation statement under section 115C; 107 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 40 Act No. (b) fix a relevant date for the purposes of a document referred to in section 115N(1). 115B. Nomination of transferor company 5 If the Treasurer, on behalf of the State, enters into an agreement for the sale or transfer of property, rights and liabilities of a transferor company, the Treasurer may nominate the transferor company for the purpose of this 10 Part. Division 2--Allocation of property 115C. PGC to prepare allocation statement (1) The PGC must give to the Treasurer and the Minister, within the period of 3 months after 15 the date on which the PGC is nominated under section 115B or within such longer period as the Treasurer and the Minister approve, a statement or statements approved by the Minister relating to the property, 20 rights and liabilities of the PGC as at a date specified by the Minister for the purposes of the relevant statement. (2) A statement under this section-- (a) must allocate the property, rights and 25 liabilities of the PGC shown in the statement to, or between, the person or persons nominated in writing by the Minister; (b) must be signed by the chief executive 30 officer of the PGC. 108 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 40 Act No. (3) If a statement under this section is approved by the Treasurer and the Minister-- (a) the Treasurer and the Minister must sign the statement; and 5 (b) the statement is an allocation statement for the purposes of this Part. (4) The Treasurer and the Minister may at any time direct the PGC to amend a statement given to them under this section as specified 10 in the direction. (5) An allocation statement under this section may be amended by writing signed by the Treasurer and the Minister. (6) A direction under sub-section (4) or an 15 amendment under sub-section (5) that would affect a person or persons nominated by the Minister under sub-section (1) must not be given or made unless that person or those persons are, or are wholly owned by, the 20 State or a statutory authority or have consented in writing to the direction or amendment. (7) In this section, "statement" and "allocation statement" include a statement or allocation 25 statement amended in accordance with this section. 115D. Certificate of chief executive officer (1) A certificate signed by the chief executive officer of the PGC certifying that property, 30 rights or liabilities of the PGC specified in the certificate have been allocated under the allocation statement to a person so specified is, unless revoked under sub-section (2), conclusive evidence-- 109 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 Act No. (a) that the property, rights or liabilities have been so allocated; and (b) that the property, rights or liabilities vested in or became the property, rights 5 or liabilities of the person on the relevant date. (2) If the Treasurer and the Minister so direct the chief executive officer of the PGC in writing, the chief executive officer of the 10 PGC must revoke a certificate given under sub-section (1) by issuing another certificate or certificates in place of the first certificate. (3) The chief executive officer-- (a) must keep a register of certificates 15 issued under this section; and (b) must make the register reasonably available for inspection by an interested person. Division 3--Transfer of property 20 115E. Property transferred (1) On the relevant date-- (a) all property and rights of the PGC, wherever located, that are allocated under an allocation statement relating 25 to the PGC to a person, or any 2 or more persons, vest in that person or persons; and (b) all liabilities of the PGC, wherever located, that are allocated under an 30 allocation statement relating to the PGC 110 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 40 Act No. to a person, or to any 2 or more persons, become liabilities of that person or persons. (2) If, in an agreement for the sale by the PGC 5 of the business or assets of the PGC, a value is ascribed to property, rights or liabilities that are allocated to a PGC transferee under an allocation statement, that value is deemed to be consideration paid to, or received by, 10 the PGC. 115F. Allocation of property etc. subject to encumbrances Unless an allocation statement under this Part otherwise provides, where, under this 15 Part-- (a) property and rights vest in; or (b) liabilities become liabilities of-- a person or 2 or more persons-- (c) the property and rights so vested are 20 subject to the encumbrances (if any) to which they were subject immediately before so vesting; and (d) the rights to which the PGC was entitled in respect of those liabilities 25 immediately before they ceased to be liabilities of the PGC vest in the person or persons. 115G. Substitution of party to agreement If, under an allocation statement, the rights 30 and liabilities of the PGC under an agreement are allocated to a person-- (a) the person becomes, on the relevant date, a party to the agreement in place of the PGC; and 111 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 40 Act No. (b) on and after the relevant date, the agreement has effect as if the person had always been a party to the agreement. 5 115H. PGC instruments Each PGC instrument relating to former PGC property continues to have effect according to its tenor on and after the relevant date as if a reference in the 10 instrument to the PGC were a reference to the PGC transferee. 115I. Proceedings If, immediately before the relevant date, proceedings relating to former PGC property 15 (including arbitration proceedings) to which the PGC was a party were pending or existing in any court or tribunal, then, on and after that date, the PGC transferee is substituted for the PGC as a party to the 20 proceedings and has the same rights in the proceedings as the PGC had. 115J. Interests in land Without prejudice to the generality of this Part and despite anything to the contrary in 25 any other Act or law, if, immediately before the relevant date, the PGC is, in relation to former property, the registered proprietor of an interest in land under the Transfer of Land Act 1958, then on and after that 30 date-- (a) the PGC transferee is to be taken to be the registered proprietor of that interest in land; and 112 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 40 Act No. (b) the PGC transferee has the same rights and remedies in respect of that interest as the PGC had. 115K. Amendment of Register 5 (1) The Registrar of Titles, on being requested to do so and on delivery of any relevant certificate of title or instrument and certificate of the chief executive officer of the PGC, must make any amendments in the 10 Register that are necessary because of the operation of this Part. (2) The Registrar-General must make all entries on the records of enrolment of any Crown grant and on any memorial relating to land 15 that are necessary because of the operation of this Part. (3) If any land allocated under an allocation statement under this Part is not Crown land and is not under the operation of the 20 Transfer of Land Act 1958, the PGC transferee concerned must, as soon as practicable after the land vests in accordance with the allocation statement, cause a memorial of the certificate of the 25 Administrator (that complies with Part I of the Property Law Act 1958) to be delivered to the office of the Registrar-General and, for the purposes of that Part, that certificate must be taken to be an instrument affecting land. 30 115L. Evidence (1) Documentary or other evidence that would have been admissible for or against the interests of the PGC in relation to former PGC property if this Part had not been 35 enacted, is admissible for or against the interests of the PGC transferee. 113 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 Act No. (2) Division 3A of Part III of the Evidence Act 1958 continues to apply with respect to the books of account of the PGC and to entries made in those books of account before the 5 relevant date, whether or not they relate to former PGC property. (3) In sub-section (2), "books of account" has the same meaning as in Division 3A of Part III of the Evidence Act 1958. 10 115M. Validity of things done under this Part (1) Nothing effected by this Part or done or suffered under this Part or the cessation of carrying on business by a PGC-- (a) is to be regarded as placing the PGC, 15 the State, a Minister or another person in breach of contract or confidence or as otherwise making any of them guilty of a civil wrong; or (b) is to be regarded as placing any of them 20 in breach of or as constituting a default under any Act or other law or any provision in any agreement, arrangement or understanding including, without limiting the 25 generality of the foregoing, any provision prohibiting, restricting or regulating the assignment or transfer of any property or the disclosure of any information; or 30 (c) is to be regarded as fulfilling any condition which allows a person to exercise a right or remedy in respect of or to terminate any agreement or obligation; or 114 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 40 Act No. (d) is to be regarded as giving rise to any remedy for a party to a contract or an instrument or as causing or permitting the termination of any contract or 5 instrument because of a change in the beneficial or legal ownership of any asset, right or liability; or (e) is to be regarded as causing any contract or instrument to be void or 10 otherwise unenforceable; or (f) is to be regarded as frustrating any contract; or (g) releases any surety or other obligee wholly or in part from any obligation. 15 (2) The validity of any act or transaction of a PGC must not be called in question in any proceedings on the ground that any provision of this Act had not been complied with. Division 4--Staff 20 115N. List of PGC staff (1) Before the relevant date in relation to a PGC, the PGC must prepare and submit to the Minister and Treasurer a document signed by the chief executive officer listing officers 25 and employees of the PGC and specifying, in respect of each such officer or employee, the person by which he or she is to be regarded as having been employed by virtue of section 115O with effect from the relevant date. 30 (2) The document may be amended by instrument signed by the chief executive officer and given to the Minister and Treasurer and the amendment is to be 115 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 40 Act No. regarded as having effect, or having had effect, from the relevant date. (3) Nothing in this section prevents a person listed in the document as an officer or 5 employee of the PGC from resigning or being dismissed at any time before the relevant date in accordance with the terms and conditions of his or her appointment or employment. 10 115O. Transfer of PGC staff (1) A person listed as an officer or employee of a PGC in a document under section 115N who was such an officer or employee immediately before the relevant date in 15 relation to the PGC is to be regarded as-- (a) having been employed by the new employer with effect from the relevant date; and (b) having been so employed on the same 20 terms and conditions as those that applied to the person, immediately before the relevant date, as an officer or employee of the PGC; and (c) having accrued an entitlement to 25 benefits, in connection with that employment by the new employer, that is equivalent to the entitlement that the person had accrued, as an officer or employee of the PGC, immediately 30 before the relevant date. (2) The service of a transferred PGC employee as an employee of the new employer is to be regarded for all purposes as having been continuous with the service of the employee, 116 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 40 Act No. immediately before the relevant date, as an officer or employee of the PGC. (3) A transferred PGC employee is not entitled to receive any payment or other benefit by 5 reason only of having ceased to be an officer or employee of the PGC because of this Act. (4) A certificate purporting to be signed by the Administrator certifying that a person named in the certificate was, with effect from the 10 relevant date employed, by virtue of this section, by a person named in the certificate is admissible in evidence in any proceedings and is conclusive proof of the matters stated in it. 15 115P. Future terms and conditions of transferred employees Nothing in section 115O prevents-- (a) any of the terms and conditions of employment of a transferred PGC 20 employee from being altered by or under any law, award or agreement with effect from any time after the relevant date; or (b) a transferred PGC employee from 25 resigning or being dismissed at any time after the relevant date in accordance with the then existing terms and conditions of his or her employment by the new employer. 30 Division 5--Permits and licences under Pipelines Act 1967 115Q. Pipelines 117 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 40 Act No. (1) If former PGC property includes a pipeline or part of a pipeline ("the transferred pipeline") to which a permit or licence under the Pipelines Act 1967 applies, on the 5 relevant date in relation to the relevant allocation statement-- (a) the PGC transferee is deemed to be the holder of a permit under that Act to own and use, and a licence under that 10 Act to operate, the transferred pipeline on the same terms and conditions (with such amendments as are necessary for their application to the transferred pipeline) and for the same period as 15 those applicable to the PGC; and (b) any permits or licences relating wholly or in part to the transferred pipeline held by the PGC under that Act are, by force of this section, varied or cancelled 20 to the extent necessary as a result of paragraph (a). (2) As soon as practicable after the relevant date in relation to the relevant allocation statement, the Minister-- 25 (a) must issue to the PGC transferee permit and licence documents that comply with sub-section (1)(a); and (b) must vary or cancel permit and licence documents, or issue permit and licence 30 documents, so that the PGC has permit and licence documents that comply with sub-section (1). (3) Subject to sub-section (4), the Pipelines Act 1967 does not apply to-- 118 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 40 Act No. (a) a permit or licence referred to in sub- section (1)(a); or (b) the issue, under sub-section (2), of a permit or licence document; or 5 (c) the cancellation of a permit or licence by force of sub-section (1)(b). (4) The Pipelines Act 1967 applies on and from the relevant date to-- (a) the renewal, transfer, amendment or 10 cancellation of a permit or licence referred to in sub-section (1)(a), and to any new permit or licence issued on or after the expiry of that permit or licence; and 15 (b) the renewal, transfer, amendment or cancellation of a permit or licence referred to in sub-section (3) and to any new permit or licence issued on or after the expiry of that permit or licence; and 20 (c) the transfer of an interest in the transferred pipeline, other than a transfer under this Part; and (d) the construction, reconstruction, alteration, repair, maintenance, 25 operation and use of the transferred pipeline. (5) Despite sub-section (4), nothing in the Pipelines Act 1967 requires a gas company to be the holder of a permit or licence under 30 that Act by reason only of using a pipeline that the gas company does not own or construct. PART 13B--PROVISIONS RELATING TO PRIVATISATION 119 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 41 Act No. 115R. Treasurer may be party to agreement for sale The Treasurer, on behalf of the Government of Victoria, may be a party to an agreement 5 for the sale or disposal of shares in, or property of, a public gas company, being a sale or disposal on such terms and conditions as the Treasurer approves. 115S. Freedom of Information Act 1982 10 The Freedom of Information Act 1982 does not apply to a document to the extent to which the document discloses information about-- (a) the identity of any person expressing an 15 interest in purchasing, or making an offer to purchase, any shares in a public gas company or any property or rights of such a company; or (b) the terms of any expression of interest 20 or offer referred to in paragraph (a).'. 41. New Schedule 1A inserted After Schedule 1 to the Principal Act insert-- "SCHEDULE 1A Easements for use of gas company 25 The right of the gas company and its successors and transferees and its and their contractors, servants or agents-- (a) to enter at any time the land to which the easement applies, with or without vehicles or equipment; 30 (b) to use the land for the purposes of, or incidental to, the conveyance of gas, including the laying down or construction on the land of pipelines; 120 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 41 Act No. (c) to keep the land free from buildings or obstructions (including trees); (d) to erect and maintain gates in any fences; (e) to inspect, maintain, alter, renew or remove pipelines 5 or works on the land-- free from any interference to the surface of the land to a depth greater than 0·3 metres without the prior written consent of the gas company.". _______________ 10 121 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 42 Act No. PART 3--AMENDMENT OF OTHER ACTS 42. Borrowing and Investment Powers Act 1987 (1) In Schedule 1 to the Borrowing and Investment Powers Act 1987, before item 20A insert-- 5 "20AB. VENCorp 5, 8, 9, 10, 11, 11AA, 14, 15, 20, 20A and 21.". (2) In Schedule 1 to the Borrowing and Investment Powers Act 1987, omit item 26. 43. Country Fire Authority Act 1958 10 In section 32(2) of the Country Fire Authority Act 1958, for "gas company within the meaning of the Gas Industry Act 1994 or person authorised under section 40 of the Gas Industry Act 1994" substitute "gas distribution company 15 or gas transmission company within the meaning of the Gas Industry Act 1994". 44. Electricity Industry (Further Miscellaneous Amendment) Act 1997 In the Electricity Industry (Further 20 Miscellaneous Amendment) Act 1997-- (a) in section 16-- (i) for "VENCORP" substitute "VENCorp"; (ii) for "Part 1A" substitute "Part 2"; 25 (b) in section 17, for "VENCORP" substitute "VENCorp"; (c) in section 18(b), for "Part 1A" substitute "Part 2"; (d) in section 19-- 30 (i) for "8C" substitute "16C"; 122 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 45 Act No. (ii) for "8CA" substitute "16CA"; (iii) for "VENCORP" substitute "VENCorp"; (e) in section 22, for paragraph (b) substitute-- 5 "(b) sections 23 to 25 are repealed;"; (f) in section 25, for "References" substitute "Reference"; (g) in section 29, for "substitute" substitute "insert". 10 45. Essential Services Act 1958 In section 3 of the Essential Services Act 1958, in the definition of "essential service", for "the Gas Transmission Corporation, GASCOR" substitute "gas company within the meaning of 15 the Gas Industry Act 1994". 46. Historic Buildings Act 1981 In section 3 of the Historic Buildings Act 1981, in the definition of "public authority", for "the Gas Transmission Corporation, GASCOR" substitute 20 "a public gas company within the meaning of the Gas Industry Act 1994". 47. Melbourne City Link Act 1995 In section 3 of the Melbourne City Link Act 1995, in the definition of "public authority", for 25 paragraphs (c) and (d) substitute-- "(c) a public gas company within the meaning of the Gas Industry Act 1994;". 48. Pipelines Act 1967 After section 17(5) of the Pipelines Act 1967 30 insert-- "(6) Sub-sections (3) and (4) do not apply in relation to the conveyance of gas through a 123 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 s. 49 Act No. pipeline if the Gas Industry Act 1994 applies in relation to third party access to that pipeline.". 49. Public Authorities (Dividends) Act 1983 5 In section 4(1)(ab) of the Public Authorities (Dividends) Act 1983, in the definition of "public authority", after paragraph (ab) insert-- "(ac) VENCorp;". 50. State Electricity Commission Act 1958 10 In section 3(1) of the State Electricity Commission Act 1958, for the definition of "gas company" substitute-- ' "gas company" means a public gas company within the meaning of the Gas Industry Act 15 1994;'. 51. State Owned Enterprises Act 1992 In section 88A(3) of the State Owned Enterprises Act 1992, after "by a statutory corporation" insert "or by such a company all the 20 shares in which are held by or on behalf of the State or a statutory corporation.". 52. Treasury Corporation of Victoria Act 1992 In section 36A of the Treasury Corporation of Victoria Act 1992, in the definition of "public 25 authority", after "GASCOR," insert "a public gas company within the meaning of the Gas Industry Act 1994,". 124 531210B.I1-27/10/97

 


 

Gas Industry (Further Amendment) Act 1997 Notes Act No. NOTES By Authority. Government Printer for the State of Victoria. 125 531210B.I1-27/10/97

 


 

 


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