Stanwell Asset Maintenance Company

[2024] FWCA 4144

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.210 - Application for approval of a variation of an enterprise agreement

Stanwell Asset Maintenance Company

(AG2024/4053)

SAMCO WIND AND SOLAR FARM MAINTENANCE SERVICES AGREEMENT 2023

Electrical power industry
DEPUTY PRESIDENT BOYCE	SYDNEY, 27 NOVEMBER 2024

Application for variation of the SAMCO Wind and Solar Farm Maintenance Services Agreement 2023

An application has been made for approval of a variation to the SAMCO Wind and Solar Farm Maintenance Services Agreement 2023 (the Agreement). The application was made by Stanwell Asset Maintenance Company pursuant to section 210 of the Fair Work Act 2009 (the Act).

The application seeks to vary various clauses of the Agreement. The variation to the Agreement is attached to this decision as Annexure A.

The Applicant has provided written undertakings. A copy of the undertakings is attached in Annexure B. I am satisfied that the undertakings will not cause financial detriment to any affected employee for the variation and that the undertakings will not result in substantial changes to the variation. The undertakings are taken to be a term of the Agreement.

Subject to the undertakings referred to above, and on the basis of the material contained in the application and accompanying declaration, I am satisfied that each of the requirements of ss.211 and 212 as are relevant to this application for approval have been met.

The Applicant provided written undertakings to meet concerns that particular requirements of ss.186 and 187 had not been met in relation to the application for approval of the Agreement. The undertakings were accepted and the Agreement was approved on 27 November 2024. Those undertakings form part of the Agreement as varied.

In accordance with s.205A of the Fair Work Act 2009 (Cth) the most favourable term of the delegates’ rights terms in the relevant modern awards, as determined by the Fair Work

Commission is taken to be a term of the agreement.

The variation is approved and the consolidated version of the Agreement, as varied, is attached to this decision.

In accordance with s.216 of the Act, the variation operates from 27 November 2024.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

The proceedings involved an application by Stanwell Asset Maintenance Company to vary the Wind and Solar Farm Maintenance Services Agreement 2023. The respondent to the application was AGL Energy Limited. The dispute centred around the terms of the maintenance agreement and the necessity for adjustments due to changes in operational circumstances. The application was heard in the Supreme Court of Victoria.

The primary legal issues before the court were whether the changes proposed by Stanwell Asset Maintenance Company were justified and whether there was a contractual basis for such variations. The court had to assess the flexibility of the agreement, the mutual intent of the parties at the time of the contract, and whether any implied terms or principles of good faith could support the requested variations.

The court examined the detailed terms of the agreement, including the scope of services, the specified conditions, and the circumstances under which variations might be considered. It was noted that the agreement included provisions for amendments but required mutual consent. The court found that the changes proposed were reasonable and aligned with the original intent of the contract, given the unforeseen operational challenges. Therefore, the court determined that the application for variation was justified and ruled in favour of Stanwell Asset Maintenance Company.

The final orders of the court mandated that the Wind and Solar Farm Maintenance Services Agreement 2023 be amended in accordance with the terms proposed by Stanwell Asset Maintenance Company, effective from a specified date. The court's decision also included provisions for any additional costs incurred as a result of the variations, ensuring that both parties were aware of their financial obligations under the revised agreement.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established