Energy Legislation Amendment Act 2023 (Vic)

Energy Legislation Amendment Act 2023

No. 24 of 2023

TABLE OF PROVISIONS

Section  Page

Part 1—Preliminary

1Purposes

2Commencement

Part 2—Amendment of National Electricity (Victoria) Act 2005

3New Division 8 of Part 3 inserted

4Statute law revision

Part 3—Amendment of National Gas (Victoria) Act 2008

5Section 16A substituted

6Declared metering requirement

7Certain defined terms for the purposes of the National Gas (Victoria) Law and National Gas Rules

8New Division 3 of Part 7 inserted

9New Schedule 2 inserted

10Statute law revision

Part 4—Repeal of this Act

11Repeal of this Act

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Endnotes

1      General information

Energy Legislation Amendment Act 2023

No. 24 of 2023

[Assented to 5 September 2023]

The Parliament of Victoria enacts:

PART 1—PRELIMINARY

1Purposes

The main purposes of this Act are—

(a)to amend the National Electricity (Victoria) Act 2005 to incorporate decision making requirements that will apply to the Minister when deciding whether to make a T‑3 reliability instrument under the National Electricity (Victoria) Law; and

(b)to amend the National Gas (Victoria) Act 2008—

(i)to enable regulations to be made that prescribe a civil penalty for a breach of a declared system provision that is prescribed to be a civil penalty provision; and

(ii)to make further modifications to the National Gas (Victoria) Law as it applies as a law of Victoria to enable the Supreme Court to make an order that a person pay a civil penalty for a breach of a declared system provision that is prescribed to be a civil penalty provision; and

(iii)to update references to the ESC Gas Distribution System Code in Part 6 of that Act.

2Commencement

This Act comes into operation on the day after the day on which it receives the Royal Assent.

PART 2—AMENDMENT OF NATIONAL ELECTRICITY (VICTORIA) ACT 2005

3New Division 8 of Part 3 inserted

After Division 7 of Part 3 of the National Electricity (Victoria) Act 2005 insert—

"Division 8—Additional Victorian requirements for Ministerial T‑3 reliability instruments

16ZJApplication of this Division

(1)This Division applies when the Minister exercises the Minister's power under section 14JA of the National Electricity (Victoria) Law to make a T-3 reliability instrument.

(2)Subject to this Division, the requirements of this Division are in addition to, and do not limit, section 14JA of the National Electricity (Victoria) Law.

16ZKMinister must have regard to certain matters in deciding whether to make a T‑3 reliability instrument

(1)In deciding whether to make a T-3 reliability instrument, the Minister—

(a)must have regard to—

(i)the liquidity of the market for the trading of Victoria region electricity derivatives that could become MLO products if the Minister were to make the instrument; and

(ii)the likelihood and consequence of multiple or critical generating units or transmission systems being available at any relevant time for the generation, or transmission, of electricity, as the case requires; and

(iii)the impact on consumers of electricity if the Minister were to make the instrument; and

(iv)any matter that is prescribed; and

(b)may have regard to any other matter that the Minister considers relevant.

(2)In this section—

generating unit has the meaning given by Chapter 10 of the National Electricity Rules;

MLO product has the same meaning as in Part G of Chapter 4A of the National Electricity Rules;

Victoria region means the region (within the meaning of section 14C of the National Electricity (Victoria) Law) determined under the Rules as the Victoria region;

Victoria region electricity derivative means a derivative directly related to the purchase or sale, or price for the purchase or sale, of electricity from the wholesale exchange for supply and sale to end users in the Victoria region;

wholesale exchange has the meaning given by section 14C of the National Electricity (Victoria) Law.

16ZLMinister to consult the Premier and Treasurer before making a T-3 reliability instrument

Before making a T-3 reliability instrument, the Minister must consult the Premier and the Treasurer.

16ZMMinister must publish T-3 reliability instrument or variation and reasons in Government Gazette

(1)On the same day the Minister publishes notice of the making of, or a variation to, a T-3 reliability instrument under section 14JA(6)(b) of the National Electricity (Victoria) Law, the Minister must publish in the Government Gazette the following—

(a)the T-3 reliability instrument or the variation to which the notice relates;

(b)the reasons for the making of the T‑3 reliability instrument or the variation to which the notice relates.

(2)Subsection (1) applies despite section 14JA(6)(a) of the National Electricity (Victoria) Law.".

4Statute law revision

In section 3(1) of the National Electricity (Victoria) Act 2005, in the definition of Department, for "Environment, Land, Water and Planning" substitute "Energy, Environment and Climate Action".

PART 3—AMENDMENT OF NATIONAL GAS (VICTORIA) ACT 2008

5Section 16A substituted

For section 16A of the National Gas (Victoria) Act 2008 substitute—

"16A   Regulations

(1)The Governor in Council may make regulations for or with respect to the following—

(a)prescribing a provision of the declared system provisions to be—

(i)a civil penalty provision; or

(ii)a conduct provision;

(b)prescribing a civil penalty for a breach of a declared system provision that is prescribed to be a civil penalty provision.

Note

The terms declared system provisions, civil penalty provision and conduct provision are defined in the National Gas (Victoria) Law.

(2)The regulations may—

(a)be of general or limited application;

(b)differ according to differences in time, place or circumstances;

(c)confer a discretionary authority or impose a duty on a specified person or a specified class of person.".

6Declared metering requirement

(1)In section 42(1) of the National Gas (Victoria) Act 2008—

(a)for "ESC Gas Distribution System Code" substitute "ESC Gas Distribution System Code of Practice";

(b)for "that Code" substitute "that Code of Practice".

(2)In section 42(2) of the National Gas (Victoria) Act 2008—

(a)for "ESC Gas Distribution System Code" substitute "ESC Gas Distribution System Code of Practice";

(b)for "that Code" substitute "that Code of Practice";

(c)for "the Code" substitute (where twice occurring) "the Code of Practice".

(3)For section 42(3) of the National Gas (Victoria) Act 2008 substitute—

"(3)In this section—

ESC Gas Distribution System Code of Practice means the ESC Gas Distribution System Code of Practice made by the ESC under Part 6 of the Essential Services Commission Act 2001 as amended from time to time.".

7Certain defined terms for the purposes of the National Gas (Victoria) Law and National Gas Rules

In section 45 of the National Gas (Victoria) Act 2008, in the definition of declared metering requirement—

(a)for "ESC Gas Distribution System Code" substitute "ESC Gas Distribution System Code of Practice";

(b)for "that Code" substitute "that Code of Practice".

8New Division 3 of Part 7 inserted

After Division 2 of Part 7 of the National Gas (Victoria) Act 2008 insert—

"Division 3—General modifications to the NGL

70Definitions

In this Division—

NGL means the National Gas Law set out in the Schedule to the South Australian Act as in force for the time being.

71Application of certain provisions of the South Australian Act

Despite section 7, the modifications to the NGL set out in Schedule 2 have effect.".

9New Schedule 2 inserted

After Schedule 1 to the National Gas (Victoria) Act 2008 insert—

'Schedule 2—General modifications to the NGL

Section 71

1AER proceedings for breaches of this Law, Regulations or the Rules that are not offences

1.1Section 231(2) of the NGL applies as a law of Victoria as if for paragraph (a) there were substituted—

"(a)in the case of a breach of a civil penalty provision (other than a declared system provision that is prescribed by or under the application Act of the adoptive jurisdiction to be a civil penalty provision)—an order that the person pay a civil penalty determined in accordance with this Law, the Regulations and the Rules;

(ab)in the case of a breach of a declared system provision that is prescribed by or under the application Act of the adoptive jurisdiction to be a civil penalty provision—an order that the person pay a civil penalty prescribed by or under the application Act of the adoptive jurisdiction for that provision;".'.

10Statute law revision

In section 3(1) of the National Gas (Victoria) Act 2008 insert the following definition—

"Department means Department of Energy, Environment and Climate Action;".

PART 4—REPEAL OF THIS ACT

11Repeal of this Act

This Act is repealed on the first anniversary of its commencement.

Note

The repeal of this Act does not affect the continuing operation of the amendments made by it (see section 15(1) of the Interpretation of Legislation Act 1984).

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ENDNOTES

1   General information

See for Victorian Bills, Acts and current authorised versions of legislation and up-to-date legislative information.

Minister's second reading speech—

Legislative Assembly: 2 August 2023

Legislative Council: 17 August 2023

The long title for the Bill for this Act was "A Bill for an Act to amend the National Electricity (Victoria) Act 2005 and the National Gas (Victoria) Act 2008 and for other purposes."