National Electricity (South Australia) (New National Electricity Law) Amendment Act 2005 (SA)

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South Australia

National Electricity (South Australia) (New National Electricity Law) Amendment Act 2005

An Act to amend the National Electricity (South Australia) Act 1996.

The Parliament of South Australia enacts as follows:

Part 1—Preliminary

1—Short title

This Act may be cited as the National Electricity (South Australia) (New National Electricity Law) Amendment Act 2005.

2—Commencement

  1. (1)

    This Act (other than this Part) will come into operation on a day to be fixed by proclamation.

  2. (2)

    This Part will come into operation on the day on which this Act is assented to by the Governor.

  3. (3)

    Section 7(5) of the Acts Interpretation Act 1915 does not apply to this Act or a provision of this Act.

3—Exercise of rule-making power under new National Electricity Law following assent

  1. (1)

    The Minister may exercise the power to make Rules under section 90 of the new National Electricity Law before the commencement of section 12 of this Act, but Rules so made will not take effect until that commencement or a later day specified in the notice published under that section.

  2. (2)

    In this section—

new National Electricity Law means the National Electricity Law comprised in the Schedule as set out in section 12 of this Act and under that section to be substituted for the Schedule to the National Electricity (South Australia) Act 1996.

4—Amendment provisions

In this Act, a provision under a heading referring to the amendment of a specified Act amends the Act so specified.

Part 2—Amendment of National Electricity (South Australia) Act 1996

5—Repeal of Preamble

Preamble—delete the Preamble

6—Amendment of section 8—Interpretation of some expressions in National Electricity (South Australia) Law and National Electricity (South Australia) Regulations

Section 8—after its present contents (now to be designated as subsection (1)) insert:

  1. (2)

    The Acts Interpretation Act 1915 does not apply to the National Electricity (South Australia) Law or the National Electricity (South Australia) Regulations.

7—Repeal of Part 3

Part 3—delete the Part

8—Amendment of heading to Part 4

Heading to Part 4—delete "Power to make regulations" and substitute:

Making of regulations and rules

9—Amendment of section 11—General regulation-making power for National Electricity Law

Section 11(1), (2), (3) and (4)—delete subsections (1), (2), (3) and (4) and substitute:

  1. (1)

    The Governor may make such regulations as are contemplated by, or necessary or expedient for the purposes of, the National Electricity Law.

  2. (2)

    Regulations under this Part may—

    1. (a)

      be of general or limited application;

    2. (b)

      vary according to the persons, times, places or circumstances to which they are expressed to apply.

  3. (3)

    Regulations under this Part may be made only on the unanimous recommendation of the Ministers of the participating jurisdictions.

10—Substitution of sections 12 and 13

Sections 12 and 13—delete the sections and substitute:

12—Specific regulation-making power

  1. (1)

    Without limiting the generality of section 11, the regulations may deal with matters of a transitional nature relating to the transition from the application of provisions of the old National Electricity Law to the application of provisions of the new National Electricity Law.

  2. (2)

    Any provision of the regulations that deals with a matter of a transitional nature under subsection (1) may be expressed to take effect from a time that is earlier than the beginning of the day on which the regulations containing the provision are made, not being a time earlier than the commencement of this subsection.

  3. (3)

    If a provision of a regulation is expressed to take effect from a time that is earlier than the beginning of the day on which the regulations containing the provision are made, the provision must also provide that the provision does not operate so as—

    1. (a)

      to prejudicially affect the rights of a person (other than a participating jurisdiction or NECA, NEMMCO, the AEMC or the AER) existing before the date of making of those regulations; or

    2. (b)

      to impose liabilities on any person (other than a participating jurisdiction or NECA, NEMMCO, the AEMC or the AER) in respect of anything done or omitted to be done before the date of making of those regulations.

  4. (4)

    In this section—

matters of a transitional nature includes matters of an application or savings nature;

NECA means National Electricity Code Administrator Limited ACN 073 942 775;

new National Electricity Law means the National Electricity Law set out in the Schedule to this Act as in force from time to time after the commencement of this subsection, or the Rules as in force from time to time after the commencement of this subsection;

old National Electricity Law means the National Electricity Law set out in the Schedule to this Act as in force from time to time before the commencement of this subsection, or the Code as defined by that Law and in force from time to time before the commencement of this subsection.

13—Making of rules

The Subordinate Legislation Act 1978 does not apply to Rules made under the National Electricity Law.

11—Amendment of section 14—Freedom of information

  1. (1)

    Section 14(a)—delete paragraph (a)

  2. (2)

    Section 14(c)—delete paragraph (c) and substitute:

    1. (c)

      an agent of NEMMCO with respect to functions performed under the Rules.

12—Substitution of Schedule

Schedule—delete the Schedule and substitute:

Schedule—National Electricity Law

Part 1—Preliminary

1—Citation

This Law may be referred to as the National Electricity Law.

2—Definitions

In this Law—

AEMC initiated Rule means a Rule of the kind referred to in section 91(2);

AER economic regulatory function or power means a function or power performed or exercised by the AER under this Law or the Rules that relates to the economic regulation of services provided by a regulated transmission system operator by means of, or in connection with, a transmission system and includes a function or power performed or exercised by the AER under the Rules that relates to the making of a transmission determination;

Australian Energy Market Commission or AEMC means the Australian Energy Market Commission established by section 5 of the Australian Energy Market Commission Establishment Act 2004 of South Australia;

Australian Energy Regulator or AER means the Australian Energy Regulator established by section 44AE of the Trade Practices Act 1974 of the Commonwealth;

Court means—

  1. (a)

    where this Law applies as a law of the Commonwealth, the Federal Court;

  2. (b)

    where this Law applies as a law of a participating jurisdiction that is a State or a Territory, the Supreme Court of that jurisdiction;

derogation means a jurisdictional derogation or participant derogation;

draft Rule determination means a determination of the AEMC under section 99;

electricity services means services that are necessary or incidental to the supply of electricity to consumers of electricity, including—

  1. (a)

    the generation of electricity;

  2. (b)

    services provided by means of, or in connection with, a transmission system or distribution system;

  3. (c)

    the sale of electricity;

Federal Court means the Federal Court of Australia;

final Rule determination means a determination of the AEMC under section 102;

initial National Electricity Rules means the National Electricity Rules made under section 90;

jurisdictional derogation means a Rule made at the request of a Minister of a participating jurisdiction that—

  1. (a)

    exempts, in a specified case or class of cases, a person or a body performing or exercising a function or power, or conferred a right, or on whom an obligation is imposed, under the Rules (including a Registered participant), or a class of such a person or body, or NEMMCO, from complying with a provision, or a part of a provision, of the Rules in the participating jurisdiction to which the derogation relates; or

  2. (b)

    modifies or varies the application of a provision of the Rules (with or without substitution of a provision of the Rules or a part of a provision of the Rules) to a person or a body performing or exercising a function or power, or conferred a right, or on whom an obligation is imposed, under the Rules (including a Registered participant), or a class of such a person or body, or NEMMCO, in the participating jurisdiction to which the derogation relates;

jurisdictional electricity legislation means any legislation of a participating jurisdiction (other than national electricity legislation), or any instrument made or issued under or for the purposes of that legislation, that regulates the electricity industry operating in that jurisdiction;

jurisdictional regulator means—

  1. (a)

    if this Law is applied as a law of the State of New South Wales, the Independent Pricing and Regulatory Tribunal of New South Wales established by section 5(1) of the Independent Pricing and Regulatory Tribunal Act 1992 of New South Wales;

  2. (b)

    if this Law is applied as a law of the State of Victoria, the Essential Services Commission established by section 7(1) of the Essential Services Commission Act 2001 of Victoria;

  3. (c)

    if this Law is applied as a law of the State of Queensland, the Queensland Competition Authority established by section 7 of the Queensland Competition Authority Act 1997 of Queensland;

  4. (d)

    if this Law is applied as a law of the State of South Australia, the Essential Services Commission established by section 4(1) of the Essential Services Commission Act 2002 of South Australia;

  5. (e)

    if this Law is applied as a law of the Australian Capital Territory, the Independent Competition and Regulatory Commission for the Australian Capital Territory established by section 5(1) of the Independent Competition and Regulatory Commission Act 1997 of the Australian Capital Territory;

  6. (f)

    if a person or body referred to in paragraphs (a) to (e) is abolished under an Act of a participating jurisdiction and another person or body is established under an Act of that participating jurisdiction with functions and powers that correspond to the functions and powers of the person or body referred to in paragraphs (a) to (e), that other person or body;

  7. (g)

    if the functions and powers of a person or body referred to in paragraphs (a) to (e) are transferred to another person or body established under an Act of the relevant participating jurisdiction, that other person or body;

  8. (h)

    any other person or body established under an Act of a participating jurisdiction that is prescribed by the Regulations as a jurisdictional regulator of that jurisdiction;

jurisdictional system security coordinator means a person appointed under section 110;

MCE means the Ministerial Council on Energy established on 8 June 2001, being the Council of Ministers with primary carriage of energy matters at national level comprising the Ministers representing the Commonwealth, the States, the Australian Capital Territory and the Northern Territory, acting in accordance with its own procedures;

MCE statement of policy principles means a statement of policy principles issued by the MCE under section 8;

Minister of a participating jurisdiction means a Minister who is a Minister of a participating jurisdiction within the meaning of section 6;

National Electricity Code means the code of conduct called the National Electricity Code approved, in accordance with section 6(1) of the old National Electricity Law, as the initial Code for the purposes of that Law, and as amended from time to time in accordance with its terms and the old National Electricity Law;

national electricity legislation means—

  1. (a)

    the National Electricity (South Australia) Act 1996 of South Australia and Regulations in force under that Act; and

  2. (b)

    the National Electricity (South Australia) Law; and

  3. (c)

    an Act of a participating jurisdiction (other than South Australia) that applies, as a law of that jurisdiction, any part of—

    1. (i)

      the Regulations referred to in paragraph (a); or

    2. (ii)

      the National Electricity Law set out in the Schedule to the Act referred to in paragraph (a); and

  4. (d)

    the National Electricity Law set out in the Schedule to the Act referred to in paragraph (a) as applied as a law of a participating jurisdiction (other than South Australia); and

  5. (e)

    the Regulations referred to in paragraph (a) as applied as a law of a participating jurisdiction (other than South Australia);

national electricity market means—

  1. (a)

    the wholesale exchange operated and administered by NEMMCO under this Law and the Rules; and

  2. (b)

    the national electricity system;

national electricity market objective means the objective set out in section 7;

National Electricity Rules or Rules means—

  1. (a)

    the initial National Electricity Rules; and

  2. (b)

    Rules made by the AEMC under this Law, including Rules that amend or revoke—

    1. (i)

      the initial National Electricity Rules; or

    2. (ii)

      Rules made by it;

national electricity system means—

  1. (a)

    the generating systems and other facilities owned, controlled or operated in the participating jurisdictions connected to the interconnected transmission and distribution system referred to in paragraph (b); and

  2. (b)

    the interconnected transmission and distribution system in the participating jurisdictions used to convey and control the conveyance of electricity to which are connected—

    1. (i)

      generating systems and other facilities; and

    2. (ii)

      loads settled through the wholesale exchange operated and administered by NEMMCO under this Law and the Rules;

NEMMCO means National Electricity Market Management Company Limited ACN 072 010 327;

offence provision means a provision of this Law the breach or contravention of which exposes a person to a criminal penalty;

old National Electricity Law means the National Electricity Law set out in the Schedule to the National Electricity (South Australia) Act 1996 of South Australia as in force from time to time before the commencement of section 12 of the National Electricity (South Australia) (New National Electricity Law) Amendment Act 2005 of South Australia;

participant derogation means a Rule made at the request of a person who is conferred a right, or on whom an obligation is imposed, under the Rules (including a Registered participant), or NEMMCO, that—

  1. (a)

    exempts, in a specified case or class of cases, that person or a class of person of which that person is a member, or NEMMCO, from complying with a provision, or a part of a provision, of the Rules, including a jurisdictional derogation; or

  2. (b)

    modifies or varies the application of a provision of the Rules, including a jurisdictional derogation, (with or without substitution of a provision of the Rules or a part of a provision of the Rules) to that person or class of person of which that person is a member, or NEMMCO;

participating jurisdiction means a jurisdiction that is a participating jurisdiction within the meaning of section 5;

power system security means the safe scheduling and dispatch, and operation and control, of the national electricity system;

Registered participant means a person who is registered as such by NEMMCO under this Law and the Rules or is registered as such by NEMMCO otherwise in accordance with the Rules;

regulated transmission system operator means an owner, controller or operator of a transmission system—

  1. (a)

    who is a Registered participant; and

  2. (b)

    whose revenue or prices are regulated under a transmission determination;

Regulations means the regulations made under Part 4 of the National Electricity (South Australia) Act 1996 of South Australia that apply as a law of this jurisdiction;

regulatory obligation means, in relation to the provision by a regulated transmission system operator of services that are the subject of a transmission determination—

  1. (a)

    a transmission reliability standard;

  2. (b)

    a transmission service standard;

  3. (c)

    legislation of a participating jurisdiction or any instrument made or issued under or for the purposes of that legislation that levies or imposes a tax that is payable by a regulated transmission system operator;

  4. (d)

    legislation of a participating jurisdiction or any instrument made or issued under or for the purposes of that legislation that regulates the use of land in a participating jurisdiction by a regulated transmission system operator;

  5. (e)

    legislation of a participating jurisdiction or any instrument made or issued under or for the purposes of that legislation that relates to the protection of the environment;

  6. (f)

    legislation of a participating jurisdiction or any instrument made or issued under or for the purposes of that legislation (other than national electricity legislation or legislation or an instrument referred to in paragraphs (c) to (e)) that materially affects the provision, by a regulated transmission system operator, of services that are the subject of a transmission determination,

but does not include a penalty paid or to be paid under legislation or an instrument referred to in paragraphs (c) to (f);

relevant court means any court of this jurisdiction;

relevant participant means—

  1. (a)

    a Registered participant; or

  2. (b)

    NEMMCO; or

  3. (c)

    a person engaging in an activity in breach of section 11(1), (2), (3) or (4); or

  4. (d)

    a person prescribed by the Regulations to be a relevant participant,

but does not include a Registered participant that is prescribed by the Regulations not to be a relevant participant;

Reliability Panel means the panel of persons established by the AEMC under section 38;

transmission determination means a determination of the AER under the Rules that regulates—

  1. (a)

    the revenue an owner, controller or operator of a transmission system earns or may earn from the provision by that owner, controller or operator of services that are the subject of economic regulation under the Rules; or

  2. (b)

    the prices an owner, controller or operator of a transmission system charges, or may charge for services provided by that owner, controller or operator that are the subject of economic regulation under the Rules;

transmission reliability standard means a standard imposed by or under the Rules or jurisdictional electricity legislation relating to the reliability or performance of a transmission system;

transmission service standard means a standard relating to the standard of services provided by a regulated transmission system operator by means of, or in connection with, a transmission system imposed—

  1. (a)

    by or under jurisdictional electricity legislation; or

  2. (b)

    by the AER in accordance with the Rules.

3—Interpretation generally

Schedule 2 to this Law applies to this Law, the Regulations and the Rules and any other statutory instrument made under this Law.

4—Savings and transitionals

Schedule 3 to this Law has effect.

5—Participating jurisdictions

  1. (1)

    The following jurisdictions are participating jurisdictions for the purposes of this Law—

    1. (a)

      the State of South Australia; and

    2. (b)

      the Commonwealth, a Territory or a State (other than South Australia) if there is in force, as part of the law of that jurisdiction, a law that corresponds to Part 2 of the National Electricity (South Australia) Act 1996 of South Australia.

  2. (2)

    If a law of a participating jurisdiction referred to in subsection (1)(b) that corresponds to Part 2 of the National Electricity (South Australia) Act 1996 of South Australia ceases to be in force, the jurisdiction ceases to be a participating jurisdiction.

  3. (3)

    If, at any time, all participating jurisdictions agree that a specified jurisdiction will cease to be a participating jurisdiction on a specified date, the jurisdiction ceases to be a participating jurisdiction on that date.

  4. (4)

    A notice must be published in the South Australian Government Gazette of the date on which a jurisdiction ceases to be a participating jurisdiction under subsection (2) or (3).

  5. (5)

    If the legislature of a participating jurisdiction enacts a law that, in the unanimous opinion of the Ministers of the other participating jurisdictions, is inconsistent with this Law, those other participating jurisdictions may give notice to the Minister of the first-mentioned participating jurisdiction to the effect that, if the inconsistent law remains in force as an inconsistent law for more than 6 months after the notice is given, the other participating jurisdictions may declare that the jurisdiction has ceased to be a participating jurisdiction.

  1. (6)

    A jurisdiction ceases to be a participating jurisdiction on publication in the South Australian Government Gazette of a declaration made by the Ministers of the other participating jurisdictions in accordance with subsection (5).

6—Ministers of participating jurisdictions

  1. (1)

    The Ministers of the participating jurisdictions are—

    1. (a)

      the Minister of the Crown in right of South Australia administering Part 2 of the National Electricity (South Australia) Act 1996 of South Australia; and

    2. (b)

      the Ministers of the Crown in right of the other participating jurisdictions administering the laws of those jurisdictions that correspond to Part 2 of the National Electricity (South Australia) Act 1996 of South Australia.

  2. (2)

    The State of Tasmania may nominate a Minister of the Crown in right of that State to be a Minister of a participating jurisdiction and the nominated Minister is to be treated as such until—

    1. (a)

      there is in force in Tasmania a law that corresponds to Part 2 of the National Electricity (South Australia) Act 1996 of South Australia; or

    2. (b)

      a date fixed by all participating jurisdictions by agreement,

whichever first occurs.

  1. (3)

    A notice of an agreement under subsection (2) must be published in the South Australian Government Gazette.

7—National electricity market objective

The national electricity market objective is to promote efficient investment in, and efficient use of, electricity services for the long term interests of consumers of electricity with respect to price, quality, reliability and security of supply of electricity and the reliability, safety and security of the national electricity system.

8—MCE statements of policy principles

  1. (1)

    Subject to this section, the MCE may issue a statement of policy principles in relation to any matters that are relevant to the exercise and performance by the AEMC of its functions and powers.

  2. (2)

    Before issuing a statement of policy principles, the MCE must be satisfied that the statement is consistent with the national electricity market objective.

  3. (3)

    As soon as practicable after issuing a statement of policy principles, the MCE must give a copy of the statement to the AEMC.

  4. (4)

    The AEMC must publish the statement in the South Australian Government Gazette and on its website as soon as practicable after it is given a copy of the statement.

9—National Electricity Rules to have force of law

The National Electricity Rules have the force of law in this jurisdiction.

10—Application of this Law and Regulations to coastal waters of this jurisdiction

  1. (1)

    This Law and the Regulations apply in the coastal waters of this jurisdiction.

    Note—

    The Rules apply in this jurisdiction by operation of this Law.

  2. (2)

    In this section—

adjacent area has the same meaning as in the Petroleum (Submerged Lands) Act 1967 of the Commonwealth;

coastal waters of this jurisdiction means any sea that is on the landward side of the adjacent area of this jurisdiction but is not within the limits of this jurisdiction.

Part 2—Participation in the National Electricity Market

11—Registration required to undertake certain activities in the national electricity market

  1. (1)

    A person must not engage in the activity of owning, controlling or operating a generating system connected to the interconnected transmission and distribution system unless—

    1. (a)

      the person is a Registered participant in relation to that activity; or

    2. (b)

      the person is the subject of a derogation that exempts the person, or is otherwise exempted by NEMMCO, from the requirement to be a Registered participant in relation to that activity under this Law and the Rules.

    Note—

    Subsection (1) is a civil penalty provision: See the definition of "civil penalty provision" in section 58.

  2. (2)

    A person must not engage in the activity of owning, controlling or operating a transmission system or distribution system that forms part of the interconnected transmission and distribution system unless—

    1. (a)

      the person is a Registered participant in relation to that activity; or

    2. (b)

      the person is the subject of a derogation that exempts the person, or is otherwise exempted by the AER, from the requirement to be a Registered participant in relation to that activity under this Law and the Rules.

    Note—

    Subsection (2) is a civil penalty provision: See the definition of "civil penalty provision" in section 58.

  3. (3)

    A person, other than NEMMCO, must not engage in the activity of operating or administering a wholesale exchange for electricity.

    Note—

    Subsection (3) is a civil penalty provision: See the definition of "civil penalty provision" in section 58.

  4. (4)

    A person must not engage in the activity of purchasing electricity directly through a wholesale exchange unless—

    1. (a)

      the person is a Registered participant in relation to that activity; or

    2. (b)

      the person is the subject of a derogation that exempts the person, or is otherwise exempted by NEMMCO, from the requirement to be a Registered participant in relation to that activity under this Law and the Rules.

    Note—

    Subsection (4) is a civil penalty provision: See the definition of "civil penalty provision" in section 58.

12—Registration or exemption of persons participating in the national electricity market

  1. (1)

    A person engaged or proposing to engage in an activity referred to in section 11(1), (2) or (4) may request NEMMCO to register that person as a Registered participant in relation to that activity for the purposes of this Law and the Rules.

  2. (2)

    A person engaged or proposing to engage in an activity referred to in section 11(1) or (4) may request NEMMCO to exempt that person from registering as a Registered participant in relation to that activity for the purposes of this Law and the Rules.

  3. (3)

    A request under subsection (1) or (2) must be in accordance with the Rules.

  4. (4)

    On receipt of a request under subsection (1) to be registered as a Registered participant, NEMMCO may, subject to the Rules, register the person in such categories of registration as are specified in the Rules.

  5. (5)

    On receipt of a request under subsection (2) to be exempted from being registered as a Registered participant, NEMMCO may, subject to the Rules, grant the person the exemption.

  6. (6)

    Registration as a Registered participant under subsection (4) or an exemption granted under subsection (5) may be subject to such terms and conditions as NEMMCO considers appropriate in accordance with the Rules.

13—Exemptions for transmission system or distribution system owners, controllers and operators

  1. (1)

    A person engaged or proposing to engage in the activity referred to in section 11(2) may request the AER to exempt that person from registering as a Registered participant in relation to that activity for the purposes of this Law and the Rules.

  2. (2)

    A request under subsection (1) must be in accordance with the Rules.

  3. (3)

    On receipt of a request under subsection (1), the AER may, subject to the Rules, grant the person the exemption.

  4. (4)

    An exemption granted under subsection (3) may be subject to such terms and conditions as the AER considers appropriate in accordance with the Rules.

14—Evidence as to Registered participants and exemptions

  1. (1)

    A certificate signed by a member of the board of directors of NEMMCO certifying that a person—

    1. (a)

      is a Registered participant is evidence that the person is a Registered participant;

    2. (b)

      has been granted an exemption under section 12 is evidence that the person has been granted the exemption.

    Note—

    A certificate may be in respect of a Registered participant registered by NEMMCO in accordance with section 12 and the Rules, or in accordance with the Rules alone.

  2. (2)

    A certificate signed by a member of the AER certifying that a person has been granted an exemption under section 13 is evidence that the person has been granted the exemption.

Part 3—Functions and powers of the Australian Energy Regulator

Division 1—General

15—Functions and powers of the AER

The AER has the following functions and powers—

  1. (a)

    to monitor compliance by Registered participants and other persons with this Law, the Regulations and the Rules; and

  2. (b)

    to investigate breaches or possible breaches of provisions of this Law, the Regulations or the Rules that are not offence provisions; and

  3. (c)

    to institute and conduct proceedings—

    1. (i)

      against relevant participants under section 61 of this Law or section 44AAG of the Trade Practices Act 1974 of the Commonwealth; or

    2. (ii)

      in respect of Registered participants under section 63 of this Law; or

    3. (iii)

      against persons under section 68 of this Law; and

  4. (d)

    to institute and conduct appeals from decisions in proceedings referred to in paragraph (c); and

  5. (e)

    to exempt persons proposing to engage, or engaged, in the activity of owning, controlling or operating a transmission system or distribution system forming part of the interconnected transmission and distribution system from being registered as Registered participants; and

  6. (f)

    AER economic regulatory functions or powers; and

  7. (g)

    any other functions and powers conferred on it under this Law and the Rules.

16—Manner in which AER must perform or exercise AER economic regulatory functions or powers

  1. (1)

    The AER must, in performing or exercising an AER economic regulatory function or power—

    1. (a)

      perform or exercise that function or power in a manner that will or is likely to contribute to the achievement of the national electricity market objective; and

    2. (b)

      if the function or power performed or exercised by the AER relates to the making of a transmission determination, ensure that the regulated transmission system operator to whom the determination will apply, and any affected Registered participant, are, in accordance with the Rules—

      1. (i)

        informed of material issues under consideration by the AER; and

      2. (ii)

        given a reasonable opportunity to make submissions in respect of that determination before it is made.

  2. (2)

    Without limiting subsection (1)(a), the AER, in making a transmission determination, must in accordance with the Rules—

    1. (a)

      provide a reasonable opportunity for the regulated transmission system operator to recover the efficient costs of complying with a regulatory obligation; and

    2. (b)

      provide effective incentives to the regulated transmission system operator to promote economic efficiency in the provision by it of services that are the subject of the transmission determination, including—

      1. (i)

        the making of efficient investments in the transmission system owned, controlled or operated by it and used to provide services that are the subject of the transmission determination; and

      2. (ii)

        the efficient provision by it of services that are the subject of the transmission determination; and

    3. (c)

      make allowance for the value of assets forming part of the transmission system owned, controlled or operated by the regulated transmission system operator, and the value of proposed new assets to form part of that transmission system, that are, or are to be, used to provide services that are the subject of the transmission determination; and

    4. (d)

      have regard to any valuation of assets forming part of the transmission system owned, controlled or operated by the regulated transmission system operator applied in any relevant determination or decision.

  3. (3)

    In this section—

affected Registered participant means a Registered participant (other than the regulated transmission system operator to whom the determination will apply) whose interests are affected by the transmission determination;

relevant determination or decision means—

  1. (a)

    any previous transmission determination; or

  2. (b)

    a determination or decision under the National Electricity Code or jurisdictional electricity legislation regulating the revenue earned, or prices charged, by the regulated transmission system operator in respect of services provided by it that were regulated under the Code or that legislation.

17—Delegations

Any delegation by the AER under section 44AAH of the Trade Practices Act 1974 of the Commonwealth extends to, and has effect for the purposes of, this Law, the Regulations and the Rules.

18—Confidentiality

Section 44AAF of the Trade Practices Act 1974 of the Commonwealth extends to, and has effect for the purposes of, this Law, the Regulations and the Rules.

Division 2—Investigation powers

19—Definitions

In this Division—

authorised person means a person authorised under section 20;

relevant provision means—

  1. (a)

    a provision of this Law that is not an offence provision; or

  2. (b)

    a provision of the Rules.

20—Authorised person

The AER may, in writing, authorise a person to be an authorised person for the purposes of this Division.

21—Search warrant

  1. (1)

    An authorised person may apply to a magistrate for the issue of a search warrant in relation to a particular place if the person believes on reasonable grounds that—

    1. (a)

      there is or has been or will be a breach, or a possible breach, of a relevant provision; and

    2. (b)

      there is or may be a thing or things of a particular kind connected with the breach or possible breach on or in that place.

  2. (2)

    If a magistrate is satisfied by the evidence, on oath or by affidavit, of an authorised person that there are reasonable grounds for suspecting that there is, or may be within the next 7 days, a thing or things of a particular kind connected with a breach or possible breach of a relevant provision on or in a place, the magistrate may issue a search warrant authorising a person named in the warrant—

    1. (a)

      to enter the place specified in the warrant, with such assistance and by the use of such force as is necessary and reasonable;

    2. (b)

      to search the place or any part of the place;

    3. (c)

      to search for and seize a thing named or described in the warrant and which the person believes on reasonable grounds to be connected with the breach or possible breach of the relevant provision;

    4. (d)

      to inspect, examine or photograph anything in the place;

    5. (e)

      to take extracts from, and make copies of, any documents in the place;

    6. (f)

      to take into the place such equipment and materials as the person requires for exercising the powers.

  3. (3)

    A search warrant issued under this section must state—

    1. (a)

      the purpose for which the search is required and the nature of the suspected breach of the relevant provision; and

    2. (b)

      any conditions to which the warrant is subject; and

    3. (c)

      whether entry is authorised to be made at any time of the day or night or during stated hours of the day or night; and

    4. (d)

      a day, not later than 7 days after the issue of the warrant, on which the warrant ceases to have effect.

  4. (4)

    Except as provided by this Law, the rules to be observed with respect to search warrants mentioned in any relevant laws of this jurisdiction extend and apply to warrants under this section.

22—Announcement before entry

  1. (1)

    On executing a search warrant, the person executing the warrant must announce that he or she is authorised by the warrant to enter the place and, if the person has been unable to obtain unforced entry, must give any person at the place an opportunity to allow entry to the place.

  2. (2)

    A person need not comply with subsection (1) if he or she believes on reasonable grounds that immediate entry to the place is required to ensure the safety of any person or that the effective execution of the search warrant is not frustrated.

23—Details of warrant to be given to occupier

  1. (1)

    If the occupier or another person who apparently represents the occupier is present at premises when a search warrant is being executed, the person executing the warrant must—

    1. (a)

      identify himself or herself to that person; and

    2. (b)

      give the person a copy of the warrant.

  2. (2)

    A person executing the warrant is not entitled to exercise any powers under that warrant in relation to premises if the person does not—

    1. (a)

      identify himself or herself to the occupier, or any other person who apparently represents the occupier and who is present at the premises, before the warrant is executed; and

    2. (b)

      give the occupier, or any other person who apparently represents the occupier and who is present at the premises, a copy of the warrant.

24—Copies of seized documents

  1. (1)

    If a person executing a warrant retains possession of a document seized from a person in accordance with the warrant, the person must give that other person, within 21 days of the seizure, a copy of the document certified as correct by the person executing the warrant.

  2. (2)

    A copy of a document certified under subsection (1) shall be received in all relevant courts and all tribunals as evidence of equal validity to the original.

25—Retention and return of seized documents or things

  1. (1)

    If a person executing a warrant seizes a document or other thing in accordance with the warrant, the person must take reasonable steps to return the document or thing to the person from whom it was seized if the reason for its seizure no longer exists.

  2. (2)

    If the document or thing seized has not been returned within 3 months after it was seized, the person executing the warrant must take reasonable steps to return it unless—

    1. (a)

      proceedings for the purpose for which the document or thing was retained have commenced within that 3 month period and those proceedings (including any appeal) have not been completed; or

    2. (b)

      a magistrate makes an order under section 26 extending the period during which the document or thing may be retained.

26—Period for retention of documents or things seized may be extended

  1. (1)

    An authorised person may apply to a magistrate—

    1. (a)

      within 3 months after a document or other thing was seized in accordance with a warrant; or

    2. (b)

      if an extension has been granted under this section, before the end of the period of the extension,

for an extension of the period for which the AER may retain the document or thing but so that the total period of retention does not exceed 12 months.

  1. (2)

    An application must be made before proceedings for the purpose for which the document or thing was retained have been commenced.

  2. (3)

    A magistrate may order such an extension if he or she is satisfied that—

    1. (a)

      it is in the interests of justice; and

    2. (b)

      the total period of retention does not exceed 12 months; and

    3. (c)

      retention of the document or other thing is necessary—

      1. (i)

        for the purposes of an investigation into whether a breach of a relevant provision has occurred; or

      2. (ii)

        to enable evidence of a breach of a relevant provision to be obtained for the purposes of a proceeding under this Law.

  3. (4)

    If proceedings are commenced for the purpose for which the document or thing was retained at any time before the expiry of the period specified in an order under this section, the document or thing may be retained until those proceedings (including any appeal) have been completed despite those proceedings being completed after the period specified in the order.

  4. (5)

    At least 7 days prior to the hearing of an application under this section by a magistrate, notice of the application must be sent to the owner of the document or thing described in the application.

27—Obstruction of persons authorised to enter

A person must not, without reasonable excuse, obstruct or hinder a person in the exercise of a power under a search warrant under this Division.

Penalty:

  1. (a)

    in the case of natural person—$2 000;

  2. (b)

    in the case of a body corporate—$10 000.

28—Power to obtain information and documents in relation to performance and exercise of functions and powers

  1. (1)

    If the AER has reason to believe that a person is capable of furnishing information or producing a document that the AER requires for the performance or exercise of a function or power conferred on it under this Law or the Rules, the AER may, by notice in writing, serve on that person a relevant notice.

  2. (2)

    A relevant notice may require the person to—

    1. (a)

      furnish to the AER, by writing signed by that person or, in the case of a body corporate, by a competent officer of the body corporate, within the time and in the manner specified in the notice, any information of the kind referred to in subsection (1); or

    2. (b)

      produce to the AER, or to a person specified in the notice acting on its behalf, in accordance with the notice, any documents of the kind referred to in subsection (1).

  3. (3)

    A person must not—

    1. (a)

      without reasonable excuse, refuse or fail to comply with a relevant notice; or

    2. (b)

      in purported compliance with a relevant notice, knowingly furnish information that is false or misleading.

Penalty:

  1. (a)

    in the case of a natural person—$2 000;

  2. (b)

    in the case of a body corporate—$10 000.

  1. (4)

    To avoid doubt, it is a reasonable excuse for the purposes of subsection (3)(a) if a person is not capable of complying with a relevant notice.

  2. (5)

    It is also a reasonable excuse for a natural person to—

    1. (a)

      fail to furnish information of the kind referred to in subsection (1) to the AER; or

    2. (b)

      fail to produce a document of the kind referred to in subsection (1) to the AER, or to a person specified in a relevant notice acting on behalf of the AER,

if to do so might tend to incriminate the person or make the person liable to a criminal penalty.

  1. (6)

    This section does not require a person to—

    1. (a)

      furnish information that is the subject of legal professional privilege; or

    2. (b)

      produce a document the production of which would disclose information that is the subject of legal professional privilege.

  2. (7)

    This section does not require a person to—

    1. (a)

      give information that would disclose the contents of a document prepared for the purposes of a meeting of the Cabinet of the Commonwealth or of a State or a Territory; or

    2. (b)

      produce a document prepared for the purposes of a meeting of the Cabinet of the Commonwealth or of a State or a Territory; or

    3. (c)

      give information, or produce a document, that would disclose the deliberations of the Cabinet of the Commonwealth or of a State or a Territory.

  3. (8)

    In this section—

relevant notice means a notice served under subsection (1).

Part 4—Functions and powers of the Australian Energy Market Commission

Division 1—General

29—Functions and powers of the AEMC

  1. (1)

    The AEMC has the following functions and powers—

    1. (a)

      the Rule making functions and powers conferred on it under this Law and the Regulations; and

    2. (b)

      the market development functions conferred on it under this Law and the Rules; and

    3. (c)

      any other functions and powers conferred on it under this Law and the Rules.

  2. (2)

    The AEMC has power to do all things necessary or convenient to be done for or in connection with the performance of its functions.

30—Delegations

Any delegation by the AEMC under section 20 of the Australian Energy Market Commission Establishment Act 2004 of South Australia extends to, and has effect for the purposes of, this Law, the Regulations and the Rules.

31—Confidentiality

Section 24 of the Australian Energy Market Commission Establishment Act 2004 of South Australia extends to, and has effect for the purposes of, this Law, the Regulations and the Rules.

32—AEMC must have regard to national electricity market objective

In performing or exercising any function or power under this Law, the Regulations or the Rules, the AEMC must have regard to the national electricity market objective.

33—AEMC must have regard to MCE statements of policy principles in relation to Rule making and reviews

The AEMC must have regard to any relevant MCE statement of policy principles—

  1. (a)

    in making a Rule; or

  2. (b)

    in conducting a review under section 45.

Division 2—Rule making functions and powers of the AEMC

34—Subject matter for National Electricity Rules

  1. (1)

    Subject to this Division, the AEMC, in accordance with this Law and the Regulations, may make Rules, to be known, collectively, as the "National Electricity Rules", for or with respect to regulating—

    1. (a)

      the operation of the national electricity market; and

    2. (b)

      the operation of the national electricity system for the purposes of the safety, security and reliability of that system; and

    3. (c)

      the activities of persons (including Registered participants) participating in the national electricity market or involved in the operation of the national electricity system.

    Note—

    The procedure for the making of a Rule by the AEMC is set out in Division 3 of Part 7.

  2. (2)

    Without limiting subsection (1), the AEMC, in accordance with this Law and the Regulations, may make Rules for or with respect to any matter or thing specified in Schedule 1 to this Law.

  3. (3)

    Rules made by the AEMC in accordance with this Law and the Regulations may—

    1. (a)

      be of general or limited application;

    2. (b)

      vary according to the persons, times, places or circumstances to which they are expressed to apply;

    3. (c)

      confer functions or powers on, or leave any matter or thing to be decided or determined by—

      1. (i)

        the AER, the AEMC, NEMMCO or a jurisdictional regulator; or

      2. (ii)

        the Reliability Panel or any other panel or committee established by the AEMC; or

      3. (iii)

        any other body established, or person appointed, in accordance with the Rules;

    4. (d)

      confer rights or impose obligations on any person or a class of person (other than the AER, the AEMC or a jurisdictional regulator);

    5. (e)

      confer a function on the AER, the AEMC, NEMMCO, or a jurisdictional regulator, to make or issue guidelines, tests, standards, procedures or any other document (however described) in accordance with the Rules;

    6. (f)

      empower or require any person (other than a person referred to in paragraph (e)) or body to make or issue guidelines, tests, standards, procedures or any other document (however described) in accordance with the Rules;

    7. (g)

      apply, adopt or incorporate wholly or partially, or as amended by the Rules, the provisions of any standard, rule, specification, method or document (however described) formulated, issued, prescribed or published by any person, authority or body whether—

      1. (i)

        as formulated, issued, prescribed or published at the time the Rules are made or at any time before the Rules are made; or

      2. (ii)

        as amended from time to time;

    8. (h)

      confer a power of direction on the AER, the AEMC, NEMMCO or a jurisdictional regulator to require a person conferred a right or on whom an obligation is imposed under the Rules (including a Registered participant) to comply with—

      1. (i)

        a guideline, test, standard, procedure or other document (however described) referred to in paragraph (e) or (f); or

      2. (ii)

        a standard, rule, specification, method or document (however described) referred to in paragraph (g);

    9. (i)

      if this section authorises or requires Rules that regulate any matter or thing, prohibit that matter or thing or any aspect of that matter of thing;

    10. (j)

      provide for the review of, or a right of appeal against, a decision or determination made under the Rules and for that purpose, confer jurisdiction on the Court;

    11. (k)

      require a form prescribed by or under the Rules, or information or documents included in, attached to or given with the form, to be verified by statutory declaration;

    12. (l)

      in a specified case or class of case, exempt—

      1. (i)

        NEMMCO; or

      2. (ii)

        a Registered participant or class of Registered participant; or

      3. (iii)

        any other person or body performing or exercising a function or power, or conferred a right, or on whom an obligation is imposed, under the Rules or a class of any such person or body,

    from complying with a provision, or a part of a provision, of the Rules;

    1. (m)

      provide for the modification or variation of a provision of the Rules (with or without substitution of a provision of the Rules or a part of a provision of the Rules) as it applies to—

      1. (i)

        NEMMCO; or

      2. (ii)

        a Registered participant or class of Registered participant; or

      3. (iii)

        any other person or body performing or exercising a function or power, or conferred a right, or on whom an obligation is imposed, under the Rules or a class of any such person or body;

    2. (n)

      confer an immunity on, or limit the liability of, any person or body performing or exercising a function or power, or conferred a right, or on whom an obligation is imposed, under the Rules;

    3. (o)

      require a person or body performing or exercising a function or power, or conferred a right, or on whom an obligation is imposed, under the Rules to indemnify another such person or body;

    4. (p)

      contain provisions of a savings or transitional nature consequent on the amendment or revocation of a Rule.

35—Rules in relation to economic regulation of transmission systems

  1. (1)

    Subject to this section, the AEMC must make Rules for or with respect to the matters or things specified in items 15 to 24 of Schedule 1 to this Law on or before 1 July 2006 or any later date that is prescribed by the Regulations.

  2. (2)

    In making Rules as required by this section, the AEMC must treat the Rules as AEMC initiated Rules.

  3. (3)

    Rules made as required by this section must—

    1. (a)

      provide a reasonable opportunity for a regulated transmission system operator to recover the efficient costs of complying with a regulatory obligation; and

    2. (b)

      provide effective incentives to a regulated transmission system operator to promote economic efficiency in the provision by it of services that are the subject of a transmission determination, including—

      1. (i)

        the making of efficient investments in the transmission system owned, controlled or operated by it and used to provide services that are the subject of a transmission determination; and

      2. (ii)

        the efficient provision by it of services that are the subject of a transmission determination; and

    3. (c)

      require the AER, in making a transmission determination, to make allowance for the value of assets forming part of a transmission system owned, controlled or operated by a regulated transmission system operator, and the value of proposed new assets to form part of that transmission system, that are, or are to be, used to provide services that are the subject of a transmission determination; and

    4. (d)

      require the AER to have regard to any valuation of assets forming part of a transmission system owned, controlled or operated by a regulated transmission system operator applied in any relevant determination or decision.

  4. (4)

    In this section—

relevant determination or decision means—

  1. (a)

    any previous transmission determination; or

  2. (b)

    a determination or decision under the National Electricity Code or jurisdictional electricity legislation regulating the revenue earned, or prices charged, by a regulated transmission system operator in respect of services provided by it that were regulated under the Code or that legislation.

36—National Electricity Rules to always provide for certain matters relating to transmission systems

On and from the date Rules are first made as required by section 35, the National Electricity Rules must at all times provide for the matters or things specified in items 15 to 24 of Schedule 1 to this Law and the matters or things specified in section 35(3).

37—Documents etc applied, adopted and incorporated by Rules to be publicly available

  1. (1)

    The AEMC must make publicly available—

    1. (a)

      every standard, rule, specification, method or document (however described) formulated, issued, prescribed or published by any person, authority or body that is applied, adopted or incorporated by a Rule; and

    2. (b)

      if a standard, rule, specification, method or document (however described) formulated, issued, prescribed or published by any person, authority or body is applied, adopted or incorporated by a Rule as amended from time to time—any amendment to that standard, rule, specification, method or document.

  2. (2)

    In this section—

publicly available, in relation to a standard, rule, specification, method or document (however described) formulated, issued, prescribed or published by any person, authority or body applied, adopted or incorporated by any Rule, means—

  1. (a)

    publishing the standard, rule, specification, method or document on the AEMC's website; or

  2. (b)

    specifying a place from which the standard, rule, specification, method or document may be obtained or purchased (as the case requires).

Division 3—Committees, panels and working groups of the AEMC

38—The Reliability Panel

  1. (1)

    The AEMC must establish a panel of persons to be known as the Reliability Panel, the composition of which must be in accordance with the Rules.

  2. (2)

    The functions and powers of the Reliability Panel are—

    1. (a)

      to monitor, review and report on, in accordance with the Rules, the safety, security and reliability of the national electricity system; and

    2. (b)

      at the request of the AEMC, to provide advice in relation to the safety, security and reliability of the national electricity system; and

    3. (c)

      any other functions and powers conferred on it under this Law and the Rules.

  3. (3)

    At the completion of a review, the Reliability Panel must give a report to the AEMC.

  4. (4)

    If requested to do so by the AEMC, the Reliability Panel must provide advice to the AEMC in relation to the safety, security and reliability of the national electricity system.

39—Establishment of committees and panels (other than the Reliability Panel) and working groups

The AEMC may establish committees and panels (other than the Reliability Panel) and working groups to—

  1. (a)

    provide advice on specified aspects of the AEMC's functions; or

  2. (b)

    undertake any other activity in relation to the AEMC's functions as is specified by the AEMC.

Division 4—MCE directed reviews

40—Definition

In this Division—

MCE directed review means a review conducted in accordance with this Division.

41—MCE directions

  1. (1)

    The MCE may give a written direction to the AEMC that the AEMC conduct a review into—

    1. (a)

      any matter relating to the national electricity market; or

    2. (b)

      the operation and effectiveness of the Rules; or

    3. (c)

      any matter relating to the Rules.

  2. (2)

    A direction given to the AEMC under this section is binding on the AEMC and must be complied with despite anything to the contrary in the Rules.

  3. (3)

    A direction given under this section must be published in the South Australian Government Gazette.

  4. (4)

    The AEMC must cause a direction given under this section to be published on its website.

42—Terms of reference

  1. (1)

    The terms of reference of a MCE directed review will be as specified in the direction given by the MCE.

  2. (2)

    The MCE may in its direction to the AEMC do one or more of the following—

    1. (a)

      require the AEMC to give a report on a MCE directed review to the MCE within a specified period;

    2. (b)

      require the AEMC to make the report on a MCE directed review publicly available or available to specified persons or bodies;

    3. (c)

      require the AEMC to make a draft report publicly available or available to specified persons or bodies during a MCE directed review;

    4. (d)

      require the AEMC to consider specified matters in the conduct of a MCE directed review;

    5. (e)

      require the AEMC to have specified objectives in the conduct of a MCE directed review which need not be limited by the national electricity market objective;

    6. (f)

      give the AEMC other specific directions in respect of the conduct of a MCE directed review.

43—Notice of MCE directed review

  1. (1)

    The AEMC must publish notice of a MCE directed review on its website and in a newspaper circulating generally throughout Australia.

  2. (2)

    The AEMC must publish a further such notice if a term of reference or a requirement or direction relating to the MCE directed review is varied.

44—Conduct of MCE directed review

Subject to any requirement or direction of the MCE, a MCE directed review—

  1. (a)

    may be conducted in such manner as the AEMC considers appropriate; and

  2. (b)

    may (but need not) involve public hearings.

Division 5—Other reviews

45—Reviews by the AEMC

  1. (1)

    The AEMC may conduct a review into—

    1. (a)

      the operation and effectiveness of the Rules; or

    2. (b)

      any matter relating to the Rules.

  2. (2)

    A review—

    1. (a)

      may be conducted in such manner as the AEMC considers appropriate; and

    2. (b)

      may (but need not) involve public hearings.

  3. (3)

    During the course of a review, the AEMC may—

    1. (a)

      consult with any person or body that it considers appropriate;

    2. (b)

      establish working groups to assist it in relation to any aspect, or any matter or thing that is the subject, of the review;

    3. (c)

      commission reports by other persons on its behalf on any aspect, or matter or thing that is the subject, of the review;

    4. (d)

      publish discussion papers or draft reports.

  4. (4)

    At the completion of a review, the AEMC must—

    1. (a)

      publish a report; and

    2. (b)

      give a copy of the report to the MCE.

Division 6—Miscellaneous

46—AEMC must publish and make available up to date versions of the National Electricity Rules

The AEMC must, at all times—

  1. (a)

    publish on its website, the National Electricity Rules, as in force from time to time; and

  2. (b)

    make copies of the National Electricity Rules, as in force from time to time, available to the public for inspection at its offices during normal business hours.

47—Fees for services provided

  1. (1)

    The AEMC may charge a fee specified in the Regulations for services provided by it in performing or exercising any of its functions or powers under this Law or the Rules.

  2. (2)

    The fee must not be such as to amount to taxation.

48—Confidentiality of information received for the purposes of a review

  1. (1)

    Information provided to the AEMC for the purposes of a MCE directed review or a review conducted by the AEMC under section 45 is confidential information for the purposes of Division 4 or 5 if—

    1. (a)

      the person who provides it claims, when providing it to the AEMC, that it is confidential information; and

    2. (b)

      the AEMC decides that the information is confidential information.

  2. (2)

    Nothing prevents the disclosure of confidential information in a report to the MCE or a Minister of a participating jurisdiction under Division 4 or 5, but the AEMC must ensure that the information is identified as such in the report.

  3. (3)

    If the AEMC decides that information provided to it for the purposes of a MCE directed review, or a review conducted by the AEMC under section 45, is confidential information, the AEMC, the MCE or a Minister of a participating jurisdiction may only make public a version of the report from which the information has been omitted.

  4. (4)

    If information is omitted from a published version of a report as being confidential information, a note to that effect must be included in the report at the place in the report from which the information is omitted.

  5. (5)

    In this section—

MCE directed review has the same meaning as in section 40.

Note—

Section 48 of this Law permits the disclosure of confidential information for the purposes of section 24(2) of the Australian Energy Market Commission Establishment Act 2004 of South Australia.

Part 5—Role of NEMMCO under the National Electricity Law

Division 1—Conferral of certain functions

49—Functions of NEMMCO in respect of national electricity market

  1. (1)

    NEMMCO has the following functions in respect of the national electricity market—

    1. (a)

      to operate and administer, in accordance with this Law and the Rules, the wholesale exchange; and

    2. (b)

      to promote the development and improve the effectiveness of the operation and administration of the wholesale exchange; and

    3. (c)

      to register persons as Registered participants in accordance with this Law and the Rules or otherwise in accordance with the Rules; and

    4. (d)

      to exempt certain persons from being registered as Registered participants; and

    5. (e)

      to maintain and improve power system security; and

    6. (f)

      to undertake the coordination of the planning of augmentations to the national electricity system; and

    7. (g)

      any other functions conferred on it under this Law or the Rules.

  2. (2)

    NEMMCO must exercise the functions referred to in this section in accordance with this Law and the Rules.

50—Operation and administration of national electricity market

NEMMCO must perform a function referred to in section 49 efficiently and on a full cost recovery but not for profit basis.

51—NEMMCO not to be taken to be engaged in the activity of controlling or operating a generating, transmission or distribution system

NEMMCO is not to be taken to be engaged in the activity of controlling or operating a generating system, transmission system or distribution system by reason only of it performing the functions conferred on it under this Law or the Rules.

52—Delegation

NEMMCO, in accordance with the Rules, may, in writing, delegate to any person a function or power conferred on it under this Law or the Rules other than this power of delegation.

Division 2—Statutory funds of NEMMCO

53—Definitions

In this Division—

Code fund has the same meaning as in section 65 of the old National Electricity Law;

existing Rule fund means a Code fund established by NEMMCO under section 67 of the old National Electricity Law;

new Rule fund means a fund that NEMMCO is required to establish in accordance with this Law;

Rule fund means an existing Rule fund or new Rule fund.

54—Rule funds of NEMMCO

  1. (1)

    Subject to the Rules, NEMMCO must continue to have, in the books of the corporation, the existing Rule funds.

    1. (a)

      authorised by the ACCC under Part VII of the Trade Practices Act 1974 of the Commonwealth in the determination of the ACCC entitled "Tasmanian Derogations and Vesting Contract – Tasmania's NEM entry", dated 14 November 2001; and

    2. (b)

      in any determination of the ACCC varying the authorisation referred to in paragraph (a).

  2. (2)

    The AEMC must, despite anything to the contrary in this Law, the Regulations, the Rules or the Australian Energy Market Commission Establishment Act 2004 of South Australia, make the jurisdictional derogation as soon as practicable after being given a direction under subclause (1).

  3. (3)

    In making the jurisdictional derogation under subclause (2), the AEMC need not comply with Division 3 of Part 7 of this Law (other than sections 103(2), 104 and 105).

17—Definition of national electricity system to permit Tasmania to participate in national electricity market before commissioning of Basslink

  1. (1)

    Despite anything to the contrary in this Law, the Regulations or the Rules, on and from the commencement day and until the relevant day, every reference in this Law, the Regulations or the Rules to the interconnected transmission and distribution system is to be read as including a reference to the interconnected transmission and distribution system in the State of Tasmania.

  2. (2)

    The Minister in right of the Crown of South Australia administering Part 2 of the National Electricity (South Australia) Act 1996 of South Australia may, on being satisfied that Basslink will connect the electricity grids of the States of Tasmania and Victoria on a particular day, publish notice of that day in the South Australian Government Gazette.

  3. (3)

    In this clause—

relevant day means the day notified under subclause (2);

Basslink has the same meaning as in the Electricity Supply Industry Act 1995

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