Electricity Amendment Regulation (No. 7) 1997 (Qld)

Queensland Subordinate Legislation 1997 No. 313 Electricity Act 1994 ELECTRICITY AMENDMENT REGULATION (No. 7) 1997 TABLE OF PROVISIONS Section Page 1 Short title . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4 2 Commencement . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4 3 Regulation amended . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4 4 Amendment of s 3 (Purposes) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4 5 Amendment of s 4 (How purposes are to be achieved) . . . . . . . . . . . . . . . . 4 6 Amendment of s 159 (Power factor) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4 7 Insertion of new ch 4, pt 5 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5 PART 5—CONTESTABLE CUSTOMERS Division 1—In NorthPower’s area 248T Contestable customers in NorthPower’s area . . . . . . . . . . . . . . . . . . 5 248TA Disputes . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6 248TB Minister may seek advice or information . . . . . . . . . . . . . . . . . . . . . 7 Division 2—Other contestable customers 248TC Sun Metals Corporation Pty Ltd . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7 8 Amendment of ch 5, hdg (Electricity industry operations) . . . . . . . . . . . . . 7 9 Replacement of ch 5, pt 1, div 1 (System control) . . . . . . . . . . . . . . . . . . . 8 Division 1—Operating electrical installations 249 Market Code to be followed . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8 10 Replacement of ss 257 and 258 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8 257 Network operation not to interfere with Queensland system . . . . . . 8

2 Electricity Amendment (No. 7) No. 313, 1997 258 Market Code to be followed . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9 11 Replacement of ch 5, pts 2 and 3 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9 PART 2—CONDITIONS OF AUTHORITIES AND SPECIAL APPROVALS 262 Compliance with Market Code instruments . . . . . . . . . . . . . . . . . . . 9 PART 3—ANCILLARY SERVICES 263 Ancillary services at direction of Queensland System Operator . . . 10 12 Omission of s 298B (Approval for exemption holders—Act, s 300) . . . . . . 10 13 Insertion of new ch 7, pt 2, div 1 and ch 7, pt 2, div 2 hdg . . . . . . . . . . . . . 10 Division 1—Appeals against Minister’s decision on contestability 331A Who may appeal . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10 331B Making appeal . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10 Division 2—Appeals against certain decisions by regulator or EWC Board 14 Insertion of new ch 8, pt 1, div 1 hdg . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11 Division 1—General 15 Replacement of s 342 (Notifying exemptions—Act, s 300) . . . . . . . . . . . . 11 Division 2—On-suppliers 342 Definitions for div 2 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11 342A Exemptions for on-suppliers . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12 342B Charges from on-suppliers to receivers . . . . . . . . . . . . . . . . . . . . . . . 12 16 Replacement of s 343 (Amending or cancelling exemptions—Act, s 300) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 13 PART 1A—MARKET CODE APPOINTMENTS 343 Application of pt 1A . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 13 343A NECA’s functions . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 13 343B Management company’s functions . . . . . . . . . . . . . . . . . . . . . . . . . . . 13 343C Electrical regions . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 13 343D Compensation . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 13 343E Secure operating and satisfactory operating states . . . . . . . . . . . . . . 14 343F Capacity reserve . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14 343G Operating procedures . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14 343H Extended transmission regulation commencement . . . . . . . . . . . . . . 14

3 Electricity Amendment (No. 7) No. 313, 1997 343I Jurisdictional Regulator . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14 17 Amendment of s 344 (Certain activities excluded and commercial activities) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14 18 Amendment of sch 8 (Dictionary) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15 SCHEDULE . . . . . . . . . . . . . . . . . . . . . . . . . 16 MINOR AMENDMENTS

s1 4 s6 Electricity Amendment (No. 7) No. 313, 1997 ˙ Short title 1. This regulation may be cited as the Electricity Amendment Regulation (No. 7) 1997 . ˙ Commencement 2. This regulation commences on 1 October 1997. ˙ Regulation amended 3. This regulation amends the Electricity Regulation 1994 . ˙ Amendment of s 3 (Purposes) 4.(1) Section 3(d)— omit. (2) Section 3(e)— renumber as section 3(d). ˙ Amendment of s 4 (How purposes are to be achieved) 5.(1) Section 4(g) to (i)— omit. (2) Section 4(j) and (k)— renumber as section 4(g) and (h). ˙ Amendment of s 159 (Power factor) 6. Section 159, ‘section 215 37 ’— omit, insert— ‘section 216 1 ’. 1 Section 216 (Regulating customer’s use etc. of electricity)

s7 5 s7 Electricity Amendment (No. 7) No. 313, 1997 ˙ Insertion of new ch 4, pt 5 7. Chapter 4, part 5— omit, insert— ‘ PART 5—CONTESTABLE CUSTOMERS ‘ Division 1—In NorthPower’s area ˙ ‘ Contestable customers in NorthPower’s area ‘ 248T.(1) A person is declared to be a contestable customer if— (a) the person’s electrical installation or premises are within NorthPower’s area; and (b) the person would, if the electrical installation or premises were in New South Wales, be a ‘non-franchise customer’ under any order in force under section 92(1) 2 of the Electricity Supply Act1995 (New South Wales). ‘ (2) For the purpose of deciding whether a person is a contestable customer under subsection (1), a function or power under an order may be exercised by— (a) a person given a corresponding function or power under the Act; or (b) if no person has a corresponding function or power under the Act—the Minister or a person appointed by the Minister. ‘ (3) In this section— “NorthPower’s area” means NorthPower’s— 2 Section 92(1) of the Electricity Supply Act 1995 (New South Wales) provides— ‘(1) The Minister may, by order published in the Gazette, declare any specified person, or any specified class of persons, to be non- franchise customers for the purposes of this Act.’.

s7 6 s7 Electricity Amendment (No. 7) No. 313, 1997 (a) former supply areas described in NorthPower’s authorised supplier authorities numbered 17/97 and 18/97; or 3 (b) distribution area under any distribution authority issued to it. ˙ ‘ Disputes ‘ 248TA.(1) This section applies if there is dispute about whether a person is a contestable customer under section 248T between— (a) NorthPower and the person; or (b) NorthPower and another entity. ‘ (2) Either party to the dispute may ask the Minister to resolve the dispute. ‘ (3) The Minister may— (a) give instructions about procedures the parties must follow to attempt to resolve the dispute before the Minister attempts to resolve it; or (b) require a party to give the Minister information the Minister considers necessary to enable the dispute to be resolved. ‘ (4) The Minister must give each party a reasonable opportunity to make representations before making the decision. ‘ (5) After considering any representations, the Minister must decide whether the customer is a contestable customer under section 248T. ‘ (6) The Minister must inform the parties of the decision by written notice stating the following— (a) the decision; (b) the reasons for the decision; (c) that either party may appeal against the decision to a District Court within 28 days. 3 Copies of maps of the areas may inspected at the Department’s office at 61 Mary Street, Brisbane.

s8 7 s8 Electricity Amendment (No. 7) No. 313, 1997 ˙ ‘ Minister may seek advice or information ‘ 248TB.(1) This section applies if the Minister has been asked to resolve a dispute under section 248TA(2). ‘ (2) To help resolve the dispute, the Minister may seek advice or information from— (a) the department; or (b) a department of government of New South Wales that administers the Electricity Supply Act 1995 (New South Wales). ‘ (3) The Minister may take the advice or information into account in making any decision under section 248TA(5). ‘ (4) If the Minister seeks information or advice for the dispute or takes into account advice or information the Minister has sought under subsection (1) for another dispute, the Minister must— (a) if the advice or information is written—give a copy of it to the parties; or (b) if the advice is oral—disclose the substance of the advice to the parties. ‘ Division 2—Other contestable customers ˙ ‘ Sun Metals Corporation Pty Ltd ‘ 248TC. Sun Metals Corporation Pty Ltd (ACN 074241982), at the Townsville zinc smelter is declared to be a contestable customer.’. ˙ Amendment of ch 5, hdg (Electricity industry operations) 8. Chapter 5, heading— omit, insert— ‘ CHAPTER 5—MARKET AND SYSTEM ARRANGEMENTS ’.

s 9 8 s 10 Electricity Amendment (No. 7) No. 313, 1997 ˙ Replacement of ch 5, pt 1, div 1 (System control) 9. Chapter 5, part 1, division 1— omit, insert— ‘ Division 1—Operating electrical installations ˙ ‘ Market Code to be followed ‘ 249. A person must comply with the Market Code in operating an electrical installation if the installation— (a) is connected directly to a transmission grid that is part of the Queensland system; or (b) is connected to a part of a supply network stated by the Queensland System Operator in a Market Code instrument to be relevant to the security and reliability of the Queensland system; or (c) includes facilities for the provision of ancillary services stated by the Queensland System Operator in a Market Code instrument to be relevant to the security and reliability or the economic operation of the Queensland system. Maximum penalty—20 penalty units.’. ˙ Replacement of ss 257 and 258 10. Section 257— omit, insert— ˙ ‘ Network operation not to interfere with Queensland system ‘ 257.(1) A distribution entity must not operate its supply network in a way that interferes with the performance of the Queensland system without the agreement of the Queensland System Operator. Maximum penalty—20 penalty units. ‘ (2) In subsection (1)— “operate” includes providing network control.

s 11 9 s 11 Electricity Amendment (No. 7) No. 313, 1997 ˙ ‘ Market Code to be followed ‘ 258. A person must comply with the Market Code in operating an electrical installation if the installation— (a) is connected directly to a supply network that is part of the Queensland system; or (b) includes facilities for the provision of ancillary services to the supply network. Maximum penalty—20 penalty units.’. ˙ Replacement of ch 5, pts 2 and 3 11. Chapter 5, parts 2 and 3— omit, insert — ‘ PART 2—CONDITIONS OF AUTHORITIES AND SPECIAL APPROVALS ˙ ‘ Compliance with Market Code instruments ‘ 262.(1) This section applies to the holder of an authority or special approval if the holder is a code participant. ‘ (2) It is a condition of an authority or special approval that its holder must comply with all Market Code instruments that apply to the activities authorised by the authority or special approval. ‘ (3) In this section— “authority” means a generation authority, transmission authority, distribution authority or retail authority.

s 12 10 s 13 Electricity Amendment (No. 7) No. 313, 1997 ‘ PART 3—ANCILLARY SERVICES ˙ ‘ Ancillary services at direction of Queensland System Operator ‘ 263.(1) Ancillary services that, immediately before 1 October 1997 were provided or agreed to be provided, must continue to be provided by generation entities and other entities. ‘ (2) The ancillary services must be provided under— (a) the direction of the Queensland System Operator; and (b) the Market Code.’. ˙ Omission of s 298B (Approval for exemption holders—Act, s 300) 12. Section 298B— omit. ˙ Insertion of new ch 7, pt 2, div 1 and ch 7, pt 2, div 2 hdg 13. Chapter 7, part 2, before section 332— insert — ‘ Division 1—Appeals against Minister’s decision on contestability ˙ ‘ Who may appeal ‘ 331A. If the Minister makes a decision under section 248TA(5) 4 about a dispute under section 248TA(1), either party to the dispute may appeal against the decision. ˙ ‘ Making appeal ‘ 331B. An appeal under this division must be made to a District Court as if the appeal was to a District Court under chapter 10, part 2 5 of the Act. 4 Section 248TA (Disputes about NorthPower’s contestable customers) 5 Chapter 10, part 2 (Appeals) of the Act.

s 14 11 s 15 Electricity Amendment (No. 7) No. 313, 1997 ‘ Division 2—Appeals against certain decisions by regulator or EWC Board .’ ˙ Insertion of new ch 8, pt 1, div 1 hdg 14. Chapter 8, part 1, before section 340— insert — ‘Division 1—General ’. ˙ Replacement of s 342 (Notifying exemptions—Act, s 300) 15. Section 342— omit, insert — ‘ Division 2—On-suppliers ˙ ‘ Definitions for div 2 ‘ 342. In this division— “on-supplier” means a person who— (a) is the owner or occupier of premises or has the right to use premises; and (b) supplies and sells electricity for use in the premises. Examples of persons under paragraph (a) — 1. An owner, occupier or a person who has a right to use a caravan park, exhibition centre, hostel, hotel, industrial park, lodging house, marina, market arcade, motel or shopping centre. 2. A body corporate manager under the BodyCorporateandCommunityManagement Act 1997 . 3. A body corporate under the following Acts— • the RegistrationofPlans(H.S.P.(Nominees)Pty.Limited)EnablingAct1980 • the Registration of Plans (Stage 2) (H.S.P. (Nominees) Pty. Limited) EnablingAct 1984 • the Sanctuary Cove Resort Act 1985

s 15 12 s 15 Electricity Amendment (No. 7) No. 313, 1997 • the Integrated Resort Development Act 1987 • the Mixed Use Development Act 1993 • the Body Corporate and Community Management Act 1997. “receiver” means a person who owns, occupies or has the right to use premises and to whom electricity is supplied and sold by an on- supplier for the premises. ˙ ‘ Exemptions for on-suppliers ‘ 342A.(1) An on-supplier is exempted from sections 88A and 89 6 of the Act. ‘ (2) The exemption is given on the condition that the on-supplier complies with section 342B(2) and (3). ˙ ‘ Charges from on-suppliers to receivers ‘ 342B.(1) An on-supplier may charge each receiver for electricity supplied or sold to the receiver by the on-supplier in a way decided by the on-supplier. ‘ (2) However, if the on-supplier decides to charge a receiver on the basis of the receiver’s electricity consumption measured by a meter, the amount the on-supplier charges the receiver must be calculated in either of the following ways— (a) the amount obtained by multiplying the quantity of electricity used by the receiver by the average price for each kW.h paid by the on-supplier for the electricity; (b) the amount the receiver would have paid at the lowest appropriate tariff for the receiver’s electricity usage if the receiver had been a customer of the retail entity in whose area the receiver’s premises are located for the electricity. ‘ (3) Also, if the on-supplier is charging several receivers for electricity supplied by the on-supplier on a premises on the basis of metered 6 Section 88A (Prohibition on operating supply network unless authorised) of the Act Section 89 (Restriction on sale of electricity) of the Act

s 16 13 s 16 Electricity Amendment (No. 7) No. 313, 1997 consumption, the amount each receiver is charged must be calculated in the same way.’. ˙ Replacement of s 343 (Amending or cancelling exemptions—Act, s 300) 16. Section 343— omit, insert — ‘ PART 1A—MARKET CODE APPOINTMENTS ˙ ‘ Application of pt 1A ‘ 343. This part applies to the appointment of a person to exercise powers and perform functions under the Market Code. ˙ ‘ NECA’s functions ‘ 343A.(1) The functions of National Electricity Code Administrator Ltd (ACN 073 942 775) ( “NECA ”) must be performed by the Minister or a person appointed by the Minister. ‘ (2) An appointment under subsection (1) may be made on conditions. ˙ ‘ Management company’s functions ‘ 343B. The functions of National Electricity Market Management Company Ltd (ACN 072 010 327) must be performed by the Queensland System Operator. ˙ ‘ Electrical regions ‘ 343C. The Minister must decide the number and configuration of electrical regions. ˙ ‘ Compensation ‘ 343D. NECA may decide compensation for scheduling errors under the market rules under the Market Code.

s 17 14 s 17 Electricity Amendment (No. 7) No. 313, 1997 ˙ ‘ Secure operating and satisfactory operating states ‘ 343E. The Queensland System Operator must decide what is a ‘secure operating state’ and a ‘satisfactory operating state’ under the Market Code. ˙ ‘ Capacity reserve ‘ 343F. The Queensland System Operator must decide the capacity reserve standards and the appropriate levels of contingency capacity reserves that apply to the Queensland System. ˙ ‘ Operating procedures ‘ 343G. The Queensland System Operator must decide the power system operating procedures for the Market Code. ˙ ‘ Extended transmission regulation commencement ‘ 343H. The Minister may fix any extended transmission regulation commencement date for the State under the Market Code. ˙ ‘ Jurisdictional Regulator ‘ 343I. The Jurisdictional Regulator for the State is to be the Queensland Competition Authority.’. ˙ Amendment of s 344 (Certain activities excluded and commercial activities) 17.(1) Section 344, heading— omit, insert — ‘ Commercial and excluded activities for Act, s 256 ’. (2) Section 344— insert — ‘ (4) For section 256(2) of the Act, the activities of the Queensland System Operator are declared to be activities conducted on a commercial basis.’.

s 18 15 s 18 Electricity Amendment (No. 7) No. 313, 1997 ˙ Amendment of sch 8 (Dictionary) 18.(1) Schedule 8, definitions “Queensland grid code” , “retail trade” , “trade in electricity” , “trading participant” and “wholesale trade” — omit. (2) Schedule 8— insert — ‘ “Market Code instrument” means a guideline, power system operating procedure or other procedure, protocol or standard made under the Market Code.’.

16 Electricity Amendment (No. 7) ¡ SCHEDULE MINOR AMENDMENTS 1. Sections 259, 260 and 261, ‘electricity entity’— omit, insert — ‘distribution entity’. 2. Sections 332(3) and 333(1), ‘this part’— omit, insert — ‘this division’. No. 313, 1997 section 3 ENDNOTES 1. Made by the Governor in Council on 25 September 1997. 2. Notified in the gazette on 26 September 1997. 3. Laid before the Legislative Assembly on . . . 4. The administering agency is the Department of Mines and Energy. © State of Queensland 1997