Electricity Supply Industry (Price Control) Regulations 1998
I, the Lieutenant-Governor in and over the State of Tasmania and its Dependencies in the Commonwealth of Australia, acting with the advice of the Executive Council, make the following regulations under the Electricity Supply Industry Act 1995 .
30 June 1998W. J. E. COX
Lieutenant-Governor
By His Excellency's Command,
T. JOHN CLEARY
Minister for Energy
PART 1 - Preliminary
These regulations may be cited as the Electricity Supply Industry (Price Control) Regulations 1998 .
These regulations take effect on 1 July 1998.
In these regulations –Act means the Electricity Supply Industry Act 1995 ;amend means –(a) omit any matter; or(b) insert or add any matter; or(c) omit any matter and substitute any other matter;Associate Regulator means a person appointed as an Associate Regulator under regulation 24 ;[Regulation 3 Amended by S.R. 2003, No. 54, Applied:18 Jun 2003]contract includes agreement and arrangement;contravene includes fail to comply with;declaration of electrical service means a declaration made under regulation 5 ;electrical service means –(a) the provision of electricity; and(b) the provision of any other good or service declared under regulation 5 to be an electrical service;function includes duty;notice of pricing investigation means the notice given under regulation 11 ;price includes charge and tariff;price determination means a determination made under regulation 20(1) ;pricing investigation means an investigation conducted under regulation 10(1) or (6) ;pricing policies includes policies relating to the level or structure of prices for services;provide includes the supply of electricity, where appropriate;Tasmanian newspaper means a newspaper published and circulating generally in Tasmania.
4. Maximum prices and price control mechanisms defined
Maximum prices and price control mechanisms may be expressed in one or more of the following terms:[Regulation 5 Rescinded by S.R. 2003, No. 54, Applied:18 Jun 2003] . . . . . . . . [Regulation 6 Rescinded by S.R. 2003, No. 54, Applied:18 Jun 2003] . . . . . . . . [Regulation 7 Rescinded by S.R. 2003, No. 54, Applied:18 Jun 2003] . . . . . . . .(a) maximum prices or the maximum rate of increase or the minimum rate of decrease in maximum prices;(b) average prices or average rates of increase or decrease in average prices;(c) pricing policies or principles;(d) by reference to a general price index, the cost of production, revenue, a rate of return on assets or any other factor;(e) by reference to quantity, location or period of provision of the electrical service;(f) by reference to an annual aggregate revenue requirement;(g) any other terms the Regulator considers appropriate.
These regulations bind the Crown in right of Tasmania and, so far as the legislative power of Parliament permits, in all its other capacities.
PART 2 - . . . . . . . .[Part 2 Rescinded by S.R. 2003, No. 54, Applied:18 Jun 2003] [Regulation 9 Rescinded by S.R. 2003, No. 54, Applied:18 Jun 2003] . . . . . . . . [Regulation 10 Rescinded by S.R. 2003, No. 54, Applied:18 Jun 2003] . . . . . . . . [Regulation 11 Rescinded by S.R. 2003, No. 54, Applied:18 Jun 2003] . . . . . . . . [Regulation 12 Rescinded by S.R. 2003, No. 54, Applied:18 Jun 2003] . . . . . . . . [Regulation 13 Rescinded by S.R. 2003, No. 54, Applied:18 Jun 2003] . . . . . . . . [Regulation 14 Rescinded by S.R. 2003, No. 54, Applied:18 Jun 2003] . . . . . . . . [Regulation 15 Rescinded by S.R. 2003, No. 54, Applied:18 Jun 2003] . . . . . . . . [Regulation 16 Rescinded by S.R. 2003, No. 54, Applied:18 Jun 2003] . . . . . . . . [Regulation 17 Rescinded by S.R. 2003, No. 54, Applied:18 Jun 2003] . . . . . . . .
PART 3 - . . . . . . . .[Part 3 Rescinded by S.R. 2003, No. 54, Applied:18 Jun 2003] [Regulation 18 Rescinded by S.R. 2003, No. 54, Applied:18 Jun 2003] . . . . . . . . [Regulation 19 Rescinded by S.R. 2003, No. 54, Applied:18 Jun 2003] . . . . . . . . [Regulation 20 Rescinded by S.R. 2003, No. 54, Applied:18 Jun 2003] . . . . . . . . [Regulation 21 Rescinded by S.R. 2003, No. 54, Applied:18 Jun 2003] . . . . . . . .
PART 3A - Electricity pricing order for 2003
[Regulation 21A Inserted by S.R. 2002, No. 114, Applied:16 Oct 2002] In this Part –Aggregate Annual Revenue Requirement means the maximum revenue for distribution services or transmission services provided for and calculated in accordance with the electricity price determination for the year ending on 31 December 2002;[Regulation 21A Amended by S.R. 2003, No. 54, Applied:18 Jun 2003] declared ancillary services means those services defined as ancillary services in the Code and which have been declared to be electrical services under regulation 5 declared to be declared electrical services or under regulation 19 of the Electricity Supply Industry (Price Control) Regulations 2003 ;electricity price determination means the pricing determination in respect of the supply of electrical services issued by the Regulator on 17 December 1999 and reissued as amended on 21 December 2000;electricity pricing order means an order made under regulation 21B(1) ;maintained in real terms, in relation to an amount, means adjusting the amount to take account of inflation;over or under-recoveries means the amount of over-recovery or under-recovery of an Aggregate Annual Revenue Requirement calculated in accordance with the electricity price determination and attributable to the difference between the actual energy and demand quantities metered in the year ending on 31 December 2002 and the forecast energy and demand quantities from which the transmission or distribution prices for that year were calculated;renewable energy certificate means a certificate within the meaning of the Renewable Energy (Electricity) Act 2000 of the Commonwealth;tariff customer means a customer who is supplied with electricity on conditions fixed by a tariff.
21B. Power to make electricity pricing order
[Regulation 21B Inserted by S.R. 2002, No. 114, Applied:16 Oct 2002](1) On the request of the Minister, the Regulator may make an order setting the maximum prices that may be charged by electricity entities for the supply of electrical services in respect of the year commencing on 1 January 2003.(2) On receipt of the request of the Minister and before making an order under subregulation (1) , the Regulator must –(a) give written notice of the request to any electricity entity likely to be affected by the order; and(b) publish notice of the request in 3 daily newspapers published and circulating in Tasmania.(3) Before making an order under subregulation (1) , the Regulator must –(a) consult with the Minister and any electricity entity likely to be affected by the order; and(b) provide a draft copy of the order to the Minister and any electricity entity likely to be affected by the order; and(c) allow the Minister and any electricity entity likely to be affected by the order to make submissions to him or her in respect of the order; and(d) consider any submissions made under paragraph (c) .
21C. Terms of electricity pricing order
[Regulation 21C Inserted by S.R. 2002, No. 114, Applied:16 Oct 2002](1) The electricity pricing order is to have substantially the same effect as the electricity price determination.(2) Despite subregulation (1) , the electricity pricing order may vary in effect to the electricity price determination to allow the Regulator to have regard to the following general principles in making the order:(a) the maximum price payable on 31 December 2002 for energy generated by the Hydro-Electric Corporation and sold to Aurora Energy Pty. Ltd. for the purposes of supply to tariff customers should be adjusted so that it is maintained in real terms during the year ending on 31 December 2003;(b) the maximum annual charges payable for the year ending on 31 December 2002 for declared ancillary services provided by the Hydro-Electric Corporation should be adjusted so that they are maintained in real terms during the year ending on 31 December 2003;(c) during the year ending on 31 December 2003, the Aggregate Annual Revenue Requirement for transmission services and for distribution services for the year ending on 31 December 2002 should be adjusted so that they are maintained in real terms, taking into account any over or under-recoveries, and the effect of any differences between the actual capital expenditure approved by the Regulator and the relevant Capital Expenditure Budget referred to in Schedule 2 or Schedule 3 to the electricity price determination;(d) during the year ending on 31 December 2003, the maximum prices for the provision of electricity to tariff customers for the year ending on 31 December 2002 should be adjusted so that they are maintained in real terms, having regard to customer classes and the following adjustments:(i) to pass-through to customers the impact on Aurora Energy Pty. Ltd. of paragraph (a) and an appropriate share of the impact on Aurora Energy Pty. Ltd. of paragraphs (b) and (c) ;(ii) to pass-through to customers an appropriate share of the budgeted costs for electrical safety services for the year ending on 31 December 2003 approved by the Regulator;(iii) to pass-through to customers an appropriate share of the budgeted costs of the system controller approved by the Regulator in accordance with the Code for the year ending on 31 December 2003;(iv) to pass-through a portion of the costs that Aurora Energy Pty. Ltd. has incurred or will incur in establishing the systems it uses for purchasing renewable energy certificates;(v) to pass-through a portion of the costs that Aurora Energy Pty. Ltd. has incurred or will incur in purchasing renewable energy certificates in respect of the period commencing on 1 January 2002 and ending on 31 December 2003;(e) the maximum prices payable on 31 December 2002 for the provision of other electrical services should be adjusted so that they are maintained in real terms during the year ending on 31 December 2003.(3) The portion of the costs to be passed-through under subregulation (2)(d)(iv) and (v) should bear the same proportion, as nearly as possible, as the amount of electricity forecast to be sold to tariff customers by Aurora Energy Pty. Ltd. during the year ending on 31 December 2003 bears to all electricity forecast to be sold by Aurora Energy Pty. Ltd. during that year.(4) Despite subregulation (1) , in relation to King Island and Flinders Island the electricity pricing order may vary in effect to the electricity price determination to allow the Regulator to have regard to the following general principles in making the order:(a) during the year ending on 31 December 2003, the maximum prices payable on 31 December 2002 for electrical services should be adjusted so that they are maintained in real terms;(b) during the year ending on 31 December 2003, the maximum prices payable for electrical services should be further adjusted having regard to the likely changes in the cost of diesel fuel used by the Hydro-Electric Corporation for the generation of electricity on King Island and Flinders Island during that year.
21D. Amendment of electricity pricing order
[Regulation 21D Inserted by S.R. 2002, No. 114, Applied:16 Oct 2002] The Regulator may amend the electricity pricing order if –(a) he or she has first consulted in respect of the proposed amendment with the Minister and any electricity entity likely to be affected by the proposed amendment; and(b) he or she has provided a draft copy of the amendment to the Minister and any electricity entity likely to be affected by the amendment; and(c) he or she has allowed the Minister and any electricity entity likely to be affected by the amendment to make submissions to him or her in respect of the amendment; and(d) he or she has considered any submissions made under paragraph (c) ; and(e) the amendment has substantially the same effect as the electricity price determination except as otherwise permitted by regulation 21C .
PART 4 - Miscellaneous
[Regulation 23 Rescinded by S.R. 2003, No. 54, Applied:18 Jun 2003] . . . . . . . .(1) A person must not –(a) [Regulation 22 Subregulation (1) amended by S.R. 2003, No. 54, Applied:18 Jun 2003] . . . . . . . .(b) provide to the Regulator oral or written information or a document that the person knows or believes to be false or misleading in a material particular without informing the Regulator of that knowledge or belief; or(c) hinder, obstruct or interfere with the Regulator, an Associate Regulator or any other person in the performance and exercise of his or her functions and powers under these regulations; or(d) take, or threaten to take, any action that detrimentally affects the employment of another person because that person has assisted, is assisting or intends to assist the Regulator in an investigation.Penalty: Fine not exceeding 100 penalty units.(2) [Regulation 22 Subregulation (2) omitted by S.R. 2003, No. 54, Applied:18 Jun 2003] . . . . . . . .
(1) The Minister may appoint suitable persons as Associate Regulators to assist the Regulator in the performance and exercise of the Regulator's functions and powers under these regulations.(2) [Regulation 24 Subregulation (2) amended by No. 86 of 2000, Sched. 2, Applied:01 May 2001] An Associate Regulator may, but need not, be a State Service officer or State Service employee.(3) In the performance and exercise of his or her functions and powers, an Associate Regulator is subject to the direction and control of the Regulator.(4) An Associate Regulator may be appointed for a stated term or for an indefinite term that continues while the person holds a stated office or position.(5) An Associate Regulator holds office on the conditions stated in the instrument of appointment.(6) An Associate Regulator may resign by written notice given to the Regulator.(7) An Associate Regulator may be removed from office by the Minister.
A document is effectively provided, served or given to a person under these regulations if –(a) in the case of an individual, it is –(i) given to the person; or(ii) left at, or sent by post to, the person's postal, residential or business address or place of employment; or(iii) sent by way of facsimile transmission to the facsimile number of the person; and(b) in the case of a person that is not an individual, it is –(i) left at, or sent by post to, the person's principal or registered office or principal place of business; or(ii) sent by way of facsimile transmission to the facsimile number of the person.
The transitional and savings provisions in Schedule 1 have effect.
SCHEDULE 1 - Transitional provisions
1. InterpretationIn this Schedule –Commission means the Government Prices Oversight Commission;Commissioner has the same meaning as in the Government Prices Oversight Act 1995 ;Commission's investigation means the investigation commenced by the Commission into the pricing policies of the Hydro-Electric Corporation pursuant to the requirement to investigate;requirement to investigate means the requirement to investigate the pricing of electricity in Tasmania dated 9 April 1998 provided to the Commission under the Government Prices Oversight Act 1995 ;transferred notice of pricing investigation means the notice of pricing investigation referred to in clause 3(1) ;transferred pricing investigation means the investigation commenced as the Commission's investigation and taken to be a pricing investigation because of clause 2 .
2. Commission's investigation(1) The Commission's investigation is taken to be a pricing investigation validly commenced under these regulations.(2) All things done or omitted by, or in relation to, the Commission in respect of the Commission's investigation are taken to have been done or omitted by, or in relation to, the Regulator.
3. Requirement to investigate(1) The requirement to investigate is taken to be a notice of pricing investigation duly provided as required by regulation 11 to the Minister and each electricity entity providing the electrical service which is the subject of the Commission's investigation and published in daily Tasmanian newspapers.(2) If an amendment is made before 1 July 1998 to the requirement to investigate –(a) that amendment is taken to be a change to the transferred notice of pricing investigation; and(b) where the Commission has complied with section 26(3) of the Government Prices Oversight Act 1995 in respect of that amendment, regulation 11(3) is taken to have been complied with in respect of that change to the transferred notice of pricing investigation; and(c) where the Commission has not complied with that section in respect of that amendment, the Regulator must comply with regulation 11(3) .(3) The Minister may change the transferred notice of pricing investigation but, despite regulation 11 , the Regulator may not change it.
4. Declaration of service(1) A good or service which is the subject of the Commission's investigation, other than the provision of electricity, is taken to have been declared under regulation 5 to be an electrical service.(2) For the purposes of the transferred pricing investigation –(a) the Minister, by notice published in the Gazette, may declare a good or service provided by an electricity entity to be an electrical service and that declaration is taken to have been made under regulation 5 ; and(b) the Minister, by notice published in the Gazette, may amend a declaration of electrical service and that amendment is taken to have been made under regulation 6 .
5. ContractsA contract or agreement entered into by the Commission for the purposes of the Commission's investigation and not completed continues and is taken to have been entered into by the Regulator.
6. Requirement to give evidence or provide documentA requirement made under section 29 of the Government Prices Oversight Act 1995 is taken to be a requirement made under regulation 14 .
7. References to Commission, &c.A reference in any document relating to the Commission's investigation to the Commission, the Commissioner or any person involved in conducting the investigation, however described, is taken to be a reference to the Regulator.
8. Accounts and costs of investigation(1) As soon as practicable, the Commission must prepare a full account of the expenses incurred in respect of the Commission's investigation.(2) As soon as practicable, the Minister for Finance and the Minister for Energy must, in accordance with section 23 of the Government Prices Oversight Act 1995 –(a) jointly determine by written notice the amount of the expenses referred to in subclause (1) for which the Hydro-Electric Corporation is liable to recompense the Commission; and(b) provide that notice to the Commission and the Hydro-Electric Corporation.(3) On receipt of the notice referred to in subclause (2) , the Commission must provide a copy of that notice to the Regulator.(4) Section 23 of the Government Prices Oversight Act 1995 continues to apply in respect of the reasonable expenses incurred by the Commission arising from the conduct of the Commission's investigation, but the Regulator –(a) is to recover on behalf of the Commission the amount for which the Hydro-Electric Corporation is liable to recompense the Commission; and(b) after recovering that amount, pay it into the Consolidated Fund on behalf of the Commission.
9. Order under Schedule 2 to the Electricity Companies Act 1997An order made under clause 5 of Schedule 2 to the Electricity Companies Act 1997 specifying the maximum prices that may be charged in respect of, or in connection with, the supply of electricity is taken to be a price determination, and each good or service for which such a maximum price is specified in the order is taken, while that order has effect, to be an electrical service.
Displayed and numbered in accordance with the Rules Publication Act 1953.
Notified in the Gazette on 1 July 1998
These regulations are administered in the Office of Energy Planning and Conservation.