Statutes Amendment (National Energy Laws) (Gas Pipelines) Act 2022 (SA)
South Australia
An Act
to amend the
This Act may be cited as the
Statutes Amendment (National Energy Laws) (Gas Pipelines) Act 2022 .
This Act will come into operation on a day to be fixed by proclamation.
In this Act—
(a) a provision in Part 2 amends the
National Electricity Law set out in the Schedule to theNational Electricity (South Australia) Act 1996 ; and(b) a provision in Part 3 amends the
National Energy Retail Law set out in the Schedule to theNational Energy Retail Law (South Australia) Act 2011 ; and(c) a provision in Part 4 amends the
National Gas (South Australia) Act 2008 ; and(d) a provision in Part 5 amends the
National Gas Law set out in the Schedule to theNational Gas (South Australia) Act 2008 .
Section 2, definitions of
user or consumer association anduser or consumer interest group —delete the definitions
Section 16(4)—after the definition of
affected Registered participant insert:
user or consumer association means an association or body (whether incorporated or unincorporated)—
(a) the members of which include more than 1 user, prospective user or end user; and
(b) that represents and promotes the interests of those members in relation to the provision of electricity services;
user or consumer interest group means an association or body (whether incorporated or unincorporated)—
(a) that has, as an object or purpose, the object or purpose of representing and promoting the interests of users, prospective users or end users of electricity services; but
(b) the members of which need not include a user, prospective user or end user.
(1) Section 2, definition
distribution system , (b)—delete "covered" and substitute:scheme
(2) Section 2, definition
distributor , (b)—delete "covered" and substitute:scheme
Section 88(2)(b)(i)—delete "or non‑scheme pipeline user"
(1) Section 137(5)(a)(i)—delete ", including (if the applicable access arrangement is a limited access arrangement) at the price paid or payable by the failed retailer"
(2) Section 137(10)(a)—delete "Chapter 6" and substitute:
Chapter 5
(3) Section 137(10)(c)—delete "section 184(4) of"
(4) Section 137(11)—delete "section 178 of the NGL regardless of whether the pipeline concerned is a scheme pipeline within the meaning of section 2 of the NGL" and substitute:
section 2(1) of the NGL
(5) Section 137(14)—delete
limited access arrangement ,
Part 4 Amendment of National Gas (South Australia) Act 2008
(1) Section 9(1), definition of
adjacent area of another participating jurisdiction —delete "Offshore Petroleum Act 2006 " and substitute:Offshore Petroleum and Greenhouse Gas Storage Act 2006 (2) Section 9(1), definition of
adjacent area of this jurisdiction —delete "Offshore Petroleum Act 2006 " and substitute:Offshore Petroleum and Greenhouse Gas Storage Act 2006
Section 14(2), definition of
Commonwealth bodies —delete the definition and substitute:
Commonwealth bodies means either of the following:
(a) the AER;
(b) the Tribunal.
Section 18—delete the section
(1) Section 2(1), definition of
15-year no-coverage determination —delete the definition(2) Section 2(1), definition of
access arrangement —delete "a pipeline" and substitute:a scheme pipeline
(3) Section 2(1), definition of
access determination —delete "the dispute resolution body under Chapter 6 Part 3 and includes a determination varied under Part 4 of that Chapter" and substitute:the relevant adjudicator for an access dispute under Chapter 5 Part 5 and includes a determination varied under Part 6 of that Chapter
(4) Section 2(1), definition of
access dispute —delete the definition and substitute:
access dispute means a dispute between a user or prospective user and a service provider about 1 or more aspects of access to a pipeline service provided by means of a pipeline and includes a matter that is deemed to be an access dispute under the Rules;(5) Section 2(1)—after the definition of
AER insert:
AER Compliance Procedures and Guidelines has the meaning given by section 64F;(6) Section 2(1), definition of
AER economic regulatory function or power —delete "scheme"(7) Section 2(1), definition of
applicable access arrangement —delete "a limited access arrangement or full" and substitute:an
(8) Section 2(1), definition of
applicable access arrangement decision —delete the definition and substitute:
applicable access arrangement decision means a decision of the AER under the Rules that—
(a) approves or does not approve an access arrangement or revisions to an applicable access arrangement submitted to the AER under section 113 or the Rules; or
(b) makes an access arrangement—
(i) in place of an access arrangement the AER does not approve in that decision; or
(ii) because a scheme pipeline service provider does not submit an access arrangement in accordance with section 113 or the Rules; or
(c) makes revisions to an access arrangement—
(i) in place of revisions submitted to the AER under section 113 that the AER does not approve in that decision; or
(ii) because a scheme pipeline service provider does not submit revisions to the AER under section 113;
(9) Section 2(1), definition of
associate contract decision —delete "Division 5" and substitute:Division 4
(10) Section 2(1), definition of
associate pipeline service —delete "15-year no-coverage" and substitute:greenfields incentive
(11) Section 2(1), definition of
classification decision under the Rules —delete the definition and substitute:
classification decision means a decision of the AER under Chapter 3 Part 6 Division 1;(12) Section 2(1), definitions of
coverage determination ,coverage recommendation ,coverage revocation determination ,coverage revocation recommendation ,covered pipeline ,covered pipeline service provider ,cross boundary distribution pipeline andcross boundary transmission pipeline —delete the definitions(13) Section 2(1), definition of
designated pipeline —delete the definition and substitute:
designated pipeline means a pipeline classified by the Regulations, or designated in the application Act of a participating jurisdiction, as a designated pipeline and includes an extension to, or expansion of the capacity of, the pipeline that is taken to be part of the pipeline under section 18;
Note— A designated pipeline is a scheme pipeline. See the definition of
scheme pipeline .(14) Section 2(1), definition of
designated regulatory decision —delete "full access arrangement decision that does not approve a full" and substitute:decision that does not approve an
(15) Section 2(1), definition of
developable capacity —delete "covered" wherever occurring
Note— The following Note will be inserted at the foot of the definition of
dispute resolution body in subsection (1):
Note— In Western Australia, under the
National Gas Access (WA) Act 2009 of Western Australia, section 9, the dispute resolution body generally is the entity known as the Western Australian Energy Disputes Arbitrator.(16) Section 2(1), definition of
distribution pipeline —delete the definition and substitute:
distribution pipeline means a pipeline that—
(a) is classified as a distribution pipeline under a licence or authorisation granted in relation to the pipeline under jurisdictional gas legislation; or
(b) if the licence or authorisation mentioned in paragraph (a) does not include a classification of the pipeline—is classified by the AER as a distribution pipeline,
and includes a pipeline that is reclassified by the AER as a distribution pipeline;
Note— See Chapter 3 Part 6 in relation to the classification and reclassification of pipelines. See also sections 18 and 19.
(17) Section 2(1), definition of
distributor —delete "covered" and substitute:scheme
(18) Section 2(1)—after the definition of
ERA insert:
excluded infrastructure , in relation to a pipeline, means tanks, reservoirs, machinery, equipment or other infrastructure that forms part of the pipeline but is classified by the Rules as excluded infrastructure for the purposes of this Law;(19) Section 2(1), definition of
extension and expansion requirements , (a)(i) to (iii)—delete subparagraphs (i) to (iii) and substitute:
(i) the circumstances when an extension to a scheme pipeline is to be treated as forming part of the scheme pipeline; and
(ii) whether the pipeline services provided or to be provided by means of, or in connection with, spare capacity arising out of an extension to a scheme pipeline will be subject to the applicable access arrangement applying to the pipeline services to which that arrangement applies; and
(iii) whether an extension to, or expansion of the capacity of, a scheme pipeline will affect a reference tariff and, if so, the effect on the reference tariff; and
(20) Section 2(1), definitions of
full access arrangement andfull access arrangement decision —delete the definitions(21) Section 2(1), definition of
greenfields pipeline incentive —delete the definition and substitute:
greenfields pipeline project means a project for the construction of—
(a) a pipeline that is to be structurally separate from any existing pipeline; or
(b) a major extension to an existing pipeline;
greenfields incentive determination has the meaning given by section 100;
greenfields price protection determination has the meaning given by section 109;(22) Section 2(1), definitions of
initial classification decision ,international pipeline ,jurisdictional determination criteria ,light regulation determination ,light regulation services ,limited access arrangement ,limited access arrangement decision ,Ministerial coverage decision ,NCC andNCC recommendation or decision —delete the definitions(23) Section 2(1), definition of
new facility —delete "covered" wherever occurring(24) Section 2(1), definitions of
no-coverage recommendation andnon scheme pipeline user —delete the definitions and substitute:
non‑scheme pipeline means a pipeline other than a scheme pipeline;
non‑scheme pipeline access dispute means an access dispute that involves a non‑scheme pipeline;(25) Section 2(1)—after the definition of
Operational Transportation Service Code insert:
operative period , for a greenfields incentive determination, has the meaning given by section 102(2);
Note— The following Note will be inserted at the foot of the definition of
pipeline in subsection (1):
Note— See also sections 18 and 19.
(26) Section 2(1)—after the definition of
pipeline insert:
pipeline capacity right means a right under a contract with a service provider to be provided with a pipeline service, by means of a pipeline, for a given quantity of natural gas over a given period of time;(27) Section 2(1), definition of
pipeline coverage criteria —delete the definition and substitute:
pipeline interconnection principles has the meaning given by section 136;(28) Section 2(1), definition of
pipeline service , paragraph (a)(ii)—delete "and" and substitute:or
(29) Section 2(1), definitions of
price or revenue regulation ,price regulation exemption andprice regulation exemption recommendation —delete the definition and substitute:
prescribed transparency information has the meaning given by section 136C;(30) Section 2(1), definition of
reclassification decision —delete the definition and substitute:
reclassification decision means a decision of the AER under Chapter 3 Part 6 Division 2;(31) Section 2(1), definition of
reference tariff , (a) and (b)—delete "a full" wherever occurring and substitute in each case:an
(32) Section 2(1), definition of
relevant Minister —delete the definition and substitute:
relevant adjudicator means—
(a) for a scheme pipeline access dispute—the dispute resolution body; or
(b) for a non‑scheme pipeline access dispute—the arbitrator for the dispute;
(33) Section 2(1), definition of
revenue and pricing principles —before "means" insert:, in relation to a pipeline service provided by means of a scheme pipeline,
(34) Section 2(1), definition of
ring fencing decision , (b)—delete "under section 146 granting or not granting an exemption under that section" and substitute:granting or not granting an exemption under Rules made under section 148A
(35) Section 2(1), definition of
scheme pipeline —delete the definition and substitute:
scheme pipeline means—
(a) a pipeline to which a scheme pipeline determination applies; or
(b) a designated pipeline; or
(c) a pipeline in respect of which a scheme pipeline election takes effect;
Note— However, see section 99 in relation to when a pipeline the subject of a scheme pipeline revocation determination ceases to be a scheme pipeline.
scheme pipeline access dispute means an access dispute that involves a scheme pipeline;
scheme pipeline determination has the meaning given by section 92(1);
scheme pipeline election has the meaning given by section 95;
scheme pipeline revocation determination means a determination made under section 97(1);
scheme pipeline service provider means a service provider who provides or intends to provide pipeline services by means of a scheme pipeline;(36) Section 2(1)—after the definition of
short term trading market insert:
small shipper has the meaning given by section 8AB;
South Australian Minister means the Minister of the Crown in right of South Australia administering Part 2 of theNational Gas (South Australia) Act 2008 of South Australia;(37) Section 2(1), definition of
tender approval decision —delete the definition(38) Section 2(1), definition of
transmission pipeline —delete the definition and substitute:
transmission pipeline means a pipeline that—
(a) is classified as a transmission pipeline under a licence or authorisation granted in relation to the pipeline under jurisdictional gas legislation; or
(b) if the licence or authorisation mentioned in paragraph (a) does not include a classification of the pipeline—is classified by the AER as a transmission pipeline,
and includes a pipeline that is reclassified by the AER as a transmission pipeline;
Note— See Chapter 3 Part 6 in relation to the classification and reclassification of pipelines. See also sections 18 and 19.
(39) Section 2(1), definition of
transportation facility user —delete "and a non scheme pipeline user"(40) Section 2(1), definition of
user , (a) and (b)—delete "scheme" wherever occurring(41) Section 2(1), definitions of
user or consumer association anduser or consumer interest group —delete the definitions
(1) Section 3, table, entry for item 2DC—delete "Section 91FEA" and substitute:
Section 91FC(3) and (4)
(2) Section 3, table, entry for item 2E—delete "Section 91FC(3) and (4)" and substitute:
Section 91FEA
(3) Section 3, table, entries for items 5 and 14 to 17—delete the entries
Section 4, table, entries for items 2 and 7—delete the entries
Section 5(1) and (2)—delete "scheme" wherever occurring
(1) Section 8(1)—delete "or scheme pipeline, or any part of a pipeline or scheme pipeline" and substitute:
or any part of a pipeline
Note— The Note at the foot of subsection (1) will be deleted and substituted with the following:
Note— A service provider must not provide a pipeline service by means of a pipeline unless the service provider is a legal entity of a specified kind: see section 131.
(2) Section 8(2)—delete "or scheme pipeline, or any part of a pipeline or scheme pipeline" and substitute:
or any part of a pipeline
After section 8AA insert:
8AB—Meaning of small shipper
(1) A small shipper is a user or prospective user—
(a) who is, or seeks to be, a party to a contract with a service provider for the provision of a pipeline service by means of a pipeline; and
(b) for whom the total daily pipeline capacity right provided, or sought to be provided, under 1 or more contracts with the same service provider and by means of the same pipeline is not more than—
(i) the daily pipeline capacity right prescribed for this definition by the Regulations; or
(ii) if no daily pipeline capacity right is prescribed by the Regulations, the lesser of the following amounts:
(A) 5 terajoules per day;
(B) 20% of the pipeline's nameplate rating.
(2) However, a small shipper does not include a corporation with a market capitalisation of more than $500 000 000 or a related body corporate of the corporation.
Note— See also section 19A in relation to related bodies corporate.
(3) In this section—
nameplate rating , in relation to a pipeline, means the maximum daily capacity of the pipeline under normal operating conditions.
Section 8A(1)(a)—delete "covered" and substitute:
scheme
Section 9(1)—delete "scheme"
Note— The heading to section 9 will be amended to "Passive owners of pipelines deemed to provide or intend to provide pipeline services" when this section comes into operation.
Section 13(2)—after paragraph (h) insert:
(i) the type of pipeline licence or authorisation that has been obtained in respect of the pipeline under jurisdictional gas legislation.
Sections 14 and 15—delete the sections
Section 16(g)—delete paragraph (g)
Section 17(2) and (3)—delete "covered" wherever occurring and substitute in each case:
scheme
Sections 18 and 19—delete the sections and substitute:
18—Certain extensions to, or expansion of the capacity of, pipelines to be taken to be part of a scheme pipeline
(1) Subsection (2) applies in relation to an extension to a scheme pipeline if, by operation of the extension and expansion requirements under an applicable access arrangement, the applicable access arrangement will apply to pipeline services provided by means of the scheme pipeline as extended.
(2) For the purposes of this Law—
(a) the extension to the scheme pipeline must be taken to be part of the scheme pipeline; and
(b) the pipeline as extended must be taken to be a scheme pipeline.
(3) Also, for the purposes of this Law—
(a) an expansion of the capacity of a scheme pipeline must be taken to be part of the scheme pipeline; and
(b) the pipeline as expanded must be taken to be a scheme pipeline.
19—Expansions of the capacity of non‑scheme pipelines to be taken to be part of non‑scheme pipeline For the purposes of this Law—
(a) an expansion of the capacity of a non‑scheme pipeline must be taken to be part of the non‑scheme pipeline; and
(b) the pipeline as expanded must be taken to be a non‑scheme pipeline.
Section 22(a)—delete the paragraph and substitute:
(a) the South Australian Minister; and
Heading to Chapter 1, Part 3, Division 2—after "principles" insert:
relating to scheme pipelines
(1) Section 24(1)—after "pricing principles" insert:
that apply in relation to a pipeline service provided by means of a scheme pipeline
(2) Section 24(2)—delete "service provider" first occurring and substitute:
scheme pipeline service provider
(3) Section 24(3)—delete "service provider" first occurring and substitute:
scheme pipeline service provider
(4) Section 24(4)(a)(i)—delete "full"
(5) Section 24(6)—delete "service provider" first occurring and substitute:
scheme pipeline service provider
(6) Section 24(7)—delete "service provider" and substitute:
scheme pipeline service provider
Note— The heading to section 24 will be amended to "Revenue and pricing principles relating to scheme pipelines" when this section comes into operation.
(1) Section 27(1)—after paragraph (d) insert:
(daa) to make—
(i) scheme pipeline determinations; and
(ii) scheme pipeline revocation determinations; and
(iii) greenfields incentive determinations; and
(iv) greenfields price protection determinations; and
(dab) to monitor service providers' behaviour in relation to particular matters, including, for example, the prices charged by service providers for pipeline services; and
(2) Section 27(1)(f)—delete "covered" and substitute:
scheme
(1) Section 28(1)(b)(i)(A)—delete "covered" and substitute:
scheme
(2) Section 28—after subsection (3) insert:
(4) In this section—
user or consumer association means an association or body (whether incorporated or unincorporated)—(a) the members of which include more than 1 user, prospective user or end user; and
(b) that represents and promotes the interests of those members in relation to the provision of natural gas services;
user or consumer interest group means an association or body (whether incorporated or unincorporated)—(a) that has, as an object or purpose, the object or purpose of representing and promoting the interests of users, prospective users or end users of natural gas services; but
(b) the members of which need not include a user, prospective user or end user.
Section 30C(b)—delete "covered" and substitute:
scheme
Note— The heading to section 30C will be amended to "Rate of return instrument is binding on AER and scheme pipeline service providers" when this section comes into operation.
Section 30E—delete "covered" wherever occurring and substitute in each case:
scheme
Note— The example in section 30E(3) of the Law will be amended to the following when this section comes into operation:
"Example—Matters to help a scheme pipeline service provider calculate a rate of return or the value of imputation credits."
Section 30Q(2)—delete "a full" and substitute:
an
(1) Section 43, definition of
related provider —delete "scheme pipeline service provider" and substitute:service provider
(2) Section 43, definition of
scheme pipeline service provider —delete the definition
Section 44(1) and (2)—delete "scheme pipeline" wherever occurring
Section 45(1)—delete "scheme pipeline"
Section 46(1)—delete "scheme pipeline"
Section 48(1)(a) and (2)(b)—delete "scheme pipeline" wherever occurring
Section 49(2)(a), (c)(i), (d) and (3)(b)—delete "scheme pipeline" wherever occurring
Section 52(1)(a) and (b), (3)(a) and (4)(a) and (b)—delete "scheme pipeline" wherever occurring
Section 53(2)—delete "scheme pipeline"
Section 54(1)(c)—delete "scheme pipeline"
Note— The example in section 55 of the Law will be amended to the following when the
Statutes Amendment (National Energy Laws) (Gas Pipelines) Act 2022 comes into operation:"Example—The AER may require a service provider to provide information in a form and manner that complies with relevant accounting standards"
Section 59(1)(a)(i) and (ii), (b) and (2)(b)—delete "scheme pipeline" wherever occurring
Chapter 2, Part 1—after Division 4 insert:
Division 4A—Monitoring service providers
63A—AER must monitor service providers' behaviour The AER must regularly and systematically monitor the following matters:
(a) the prices charged by service providers for pipeline services;
(b) the non-price terms and conditions for pipeline services;
(c) the financial information reported by service providers;
(d) the outcomes of access negotiations;
(e) service providers' dealings with associates;
(f) service providers' compliance with ring fencing requirements;
(g) the compliance of service providers with other requirements of this Law and the Rules.
63B—AER must report to MCE
(1) At least every 2 years, the AER must report to the MCE on its work under this Division for the previous 2 years (the
relevant period ).(2) The MCE may issue a direction to the AER requiring the AER to include information in the report about a stated matter that relates to the AER's performance or exercise of its functions or powers under Chapters 3 to 5.
(3) The report must—
(a) state how many service providers the AER monitored during the relevant period for the purposes of this Division; and
(b) summarise the information obtained in relation to the matters mentioned in section 63A; and
(c) state how the AER obtained information contained in the report; and
(d) give an assessment of the behaviour of service providers in relation to the matters mentioned in section 63A; and
(e) state the extent to which service providers have complied, or failed to comply, with their obligations under this Law, the Regulations and the Rules; and
(f) include any information requested in a direction issued by the MCE under subsection (2).
(4) As soon as practicable after giving a report to the MCE under this section, the AER must publish, on its website, a version of the report that—
(a) contains aggregated information about each of the matters mentioned in section 63A; and
(b) is not likely to result in the identification of a particular service provider.
Heading to Chapter 2, Part 1, Division 5—after "reports" insert:
relating to scheme pipelines
Note— The heading to section 64 will be amended to "Preparation of service provider performance reports relating to scheme pipelines" when the
Statutes Amendment (National Energy Laws) (Gas Pipelines) Act 2022 comes into operation.
Chapter 2, Part 1—after Division 5 insert:
Division 5A—Compliance and performance
64A—References in this Division to service providers In this Division, a reference to a service provider includes a reference to a person, other than a service provider, to whom Chapter 4, or a provision of Chapter 4, applies under section 130.
64B—Compliance audits by AER For the purpose of assessing a service provider's compliance with the requirements of this Law, the Regulations and the Rules, the AER may—
(a) carry out compliance audits of any or all activities of the service provider; or
(b) arrange for the carrying out by contractors or other persons of compliance audits on behalf of the AER of any or all activities of the service provider.
64C—Compliance audits by service providers
(1) A service provider must, if required by the AER, carry out a compliance audit in connection with specified aspects of the activities of the service provider in relation to the service provider's compliance with the requirements of this Law, the Regulations and the Rules.
(2) If the AER requires a service provider to carry out a compliance audit under this section, the service provider may arrange for the audit to be carried out on its behalf by contractors or other persons, but the service provider remains responsible for the audit.
(3) A service provider must, within a period specified by the AER, provide the AER with the results of a compliance audit carried out under this section.
Note— Subsections (1) and (3) are civil penalty provisions.
64D—Carrying out of compliance audits A compliance audit is to be carried out in accordance with the AER Compliance Procedures and Guidelines.
64E—Cost of compliance audits
(1) The cost of conducting a compliance audit under section 64B is an amount to be determined in accordance with the AER Compliance Procedures and Guidelines and is recoverable by the AER from the service provider to whom the audit relates.
(2) The cost of conducting a compliance audit under section 64C is to be borne by the service provider to whom the audit relates.
64F—AER Compliance Procedures and Guidelines
(1) The AER must make procedures and guidelines (
AER Compliance Procedures and Guidelines ) in accordance with the Rules.(2) Without limiting subsection (1), the AER Compliance Procedures and Guidelines may provide guidance for service providers about the following matters:
(a) compliance with the requirements of this Law, the Regulations and the Rules;
(b) the carrying out of compliance audits, and the costs payable by service providers, under this Division.
(3) The AER Compliance Procedures and Guidelines may include a statement of the AER's compliance priorities.
(4) The AER may amend the AER Compliance Procedures and Guidelines in accordance with the Rules.
(5) The AER Compliance Procedures and Guidelines may form part of similar guidelines under this Law, the National Electricity Law or the National Energy Retail Law.
Section 83A—delete the section and substitute:
83A—Information and transparency requirements relating to compression service facilities and storage facilities
(1) Without limiting any other provision, the Rules may provide for such things as—
(a) the collection, disclosure, verification, management and publication of information in relation to services that may be provided by means of a compression service facility or a storage facility; and
(b) without limiting paragraph (a), requirements about the information that must be provided by a compression service provider or a storage provider (each a
relevant provider ) in relation to access (or potential access) to services provided by means of any compression service facility or storage facility, including information about—
(i) the terms and conditions on which the relevant provider is prepared to make the facility available for use by others; and
(ii) the procedures that the relevant provider will apply in determining a proposal for access to the facility; and
(iii) relevant prices, costs and methodologies associated with gaining access to (and using) a facility and relevant or related services; and
(iv) access contracts and arrangements used (or required to be used) by the relevant provider; and
(c) without limiting paragraphs (a) and (b), information to be provided by a relevant provider in response to a request for access to services provided by means of a compression service facility or a storage facility; and
(d) requirements to ensure that information is accurate and complete; and
(e) the imposition or recovery of costs associated with any matter referred to in a preceding paragraph or otherwise associated with facilitating access (or potential access) to services provided by means of a compression service facility or a storage facility.
(2) Nothing in subsection (1) limits any power to grant an exemption from complying with a provision, or part of a provision, of the Rules.
83AA—Publication of information relating to compression service facilities and storage facilities A person required by the Rules made under section 83A to publish information must do so in accordance with the Rules.
Section 88—delete the section
Chapter 2, Part 4—delete the part
Section 91BH(4)(a)—delete the paragraph and substitute:
(a) sections 163 to 166 and section 169(1)(b)(i), (iv) and (2) do not apply; and
Section 91KA(5), definition of
distribution pipeline —delete the definition
Section 91LA(2)(c)—delete paragraph (c)
Chapter 3—delete the chapter and substitute:
Chapter 3—Regulatory framework for pipelines
Part 1—Scheme pipeline determinations and scheme pipeline elections
Division 1—Scheme pipeline determinations
92—AER may make scheme pipeline determination
(1) The AER may, on its own initiative or on the application of any person, make a determination that a non‑scheme pipeline is a scheme pipeline (a
scheme pipeline determination ).(2) An application for a scheme pipeline determination must—
(a) be made in accordance with the Rules; and
(b) contain the information required by the Rules; and
(c) be accompanied by the fee prescribed by the Regulations (if any); and
(d) be dealt with in accordance with the Rules.
93—Requirements for making, or not making, a scheme pipeline determination
(1) A scheme pipeline determination or a decision not to make a scheme pipeline determination must—
(a) be made in accordance with this Law and the Rules; and
(b) contain the information required by the Rules; and
(c) be given to the persons specified by the Rules; and
(d) be made publicly available in accordance with the Rules; and
(e) if a scheme pipeline determination is made—specify the date the determination takes effect.
(2) For subsection (1)(e), the date specified must be at least 6 months, but not more than 12 months, after the determination is made.
94—Effect of scheme pipeline determination A pipeline the subject of a scheme pipeline determination—
(a) becomes a scheme pipeline when the scheme pipeline determination takes effect; and
(b) continues to be a scheme pipeline while the scheme pipeline determination remains in effect.
Division 2—Scheme pipeline elections
95—Scheme pipeline elections
(1) A service provider for a non‑scheme pipeline may elect for the pipeline to be dealt with under this Law as a scheme pipeline (a
scheme pipeline election ).(2) A scheme pipeline election must be made in accordance with the Rules.
96—Effect of scheme pipeline elections
(1) A scheme pipeline election takes effect on a day, determined by the AER, that is at least 6 months, but not more than 12 months, after the AER receives the election.
(2) However, if the AER does not make a determination under subsection (1), the scheme pipeline election takes effect on the day that is 12 months after the AER receives the election.
(3) On the day a scheme pipeline election takes effect under this section, the non‑scheme pipeline the subject of the scheme pipeline election becomes a scheme pipeline.
Part 2—Scheme pipeline revocation determinations
97—AER may make scheme pipeline revocation determination
(1) The AER may, on its own initiative or on the application of any person, make a scheme pipeline revocation determination in relation to any scheme pipeline other than a designated pipeline.
(2) An application for a scheme pipeline revocation determination must—
(a) be made in accordance with the Rules; and
(b) contain the information required by the Rules; and
(c) be accompanied by the fee prescribed by the Regulations (if any); and
(d) be dealt with in accordance with the Rules.
98—Requirements for making, or not making, a scheme pipeline revocation determination A scheme pipeline revocation determination or a decision not to make a scheme pipeline revocation determination must—
(a) be made in accordance with this Law and the Rules; and
(b) contain the information required by the Rules; and
(c) be given to the persons specified by the Rules; and
(d) be made publicly available in accordance with the Rules; and
(e) if a scheme pipeline revocation determination is made—specify the date the determination takes effect.
99—Effect of scheme pipeline revocation determination A pipeline the subject of a scheme pipeline revocation determination ceases to be a scheme pipeline when the scheme pipeline revocation determination takes effect.
Part 3—Greenfields incentive determinations and greenfields price protection determinations
Division 1—Greenfields incentive determinations
100—AER may make greenfields incentive determination
(1) The AER may, on the application of the service provider for a greenfields pipeline project, make a determination that the pipeline the subject of the greenfields pipeline project cannot become a scheme pipeline during the operative period for the determination (a
greenfields incentive determination ).(2) An application for a greenfields incentive determination—
(a) cannot be made after the pipeline is commissioned; and
(b) must be made in accordance with the Rules; and
(c) must include a description of the pipeline that meets the requirements specified by the Rules; and
(d) must contain the information required by the Rules; and
(e) need not describe, or include details of, excluded infrastructure; and
(f) must be accompanied by the fee prescribed by the Regulations (if any); and
(g) must be dealt with in accordance with the Rules.
101—Requirements for making, or not making, a greenfields incentive determination
(1) A greenfields incentive determination or a decision not to make a greenfields incentive determination must—
(a) be made in accordance with this Law and the Rules; and
(b) contain the information required by the Rules; and
(c) be given to the persons specified by the Rules; and
(d) be made publicly available in accordance with the Rules; and
(e) if a greenfields incentive determination is made—specify the date the determination takes effect.
(2) The AER may, in having regard to the matters mentioned in section 112, decide a period during which a greenfields incentive determination is to continue in operation that is less than 15 years.
(3) If the AER decides a period under subsection (2), the greenfields incentive determination must also specify the period.
102—Effect of greenfields incentive determination
(1) A greenfields incentive determination takes effect on and from the date specified in the determination.
(2) The period during which a greenfields incentive determination continues in force (the
operative period ) is—
(a) if the AER decides a period under section 101(2) that is less than 15 years—that period; or
(b) otherwise—15 years from the commissioning of the pipeline.
(3) During the operative period, the pipeline the subject of the greenfields incentive determination cannot become a scheme pipeline.
(4) An application for a scheme pipeline determination in relation to a pipeline to which a greenfields incentive determination applies can be made—
(a) before the end of the operative period for the greenfields incentive determination; but
(b) only if the scheme pipeline determination is to commence from, or after, the end of the operative period.
103—Requirement for conformity between pipeline description and pipeline as constructed
(1) Subject to this Part—
(a) a greenfields incentive determination applies to the pipeline as described in the relevant pipeline description; and
(b) if the pipeline, as constructed, materially differs from the pipeline as described in the relevant pipeline description, the determination does not apply to the pipeline and the service provider is not entitled to its benefit.
(2) In determining whether a pipeline, as constructed, materially differs from the relevant pipeline description, excluded infrastructure is not to be taken into account.
(3) In this section—
relevant pipeline description means a description of the pipeline required to be included in the application for the greenfields incentive determination made under section 100.
104—Power of AER to amend pipeline description
(1) The AER may, on application by the service provider for a pipeline to which a greenfields incentive determination applies, amend the relevant pipeline description.
(2) An amendment cannot, however, be made under this section after the pipeline has been commissioned.
(3) In deciding whether to make the amendment sought, the AER must have regard to the criteria that were relevant to the making of the greenfields incentive determination.
(4) In this section—
relevant pipeline description means a description of the pipeline required to be included in the application for the greenfields incentive determination made under section 100.
Division 2—Early termination of greenfields incentive determination
105—Greenfields incentive determination may lapse
(1) A greenfields incentive determination lapses if the pipeline to which it applies is not commissioned within 3 years after the determination takes effect.
(2) The AER may, in a particular case, extend the 3 year period mentioned in subsection (1).
106—Revocation by consent The AER may, at the request of the service provider for the pipeline to which a greenfields incentive determination applies, revoke the determination.
107—Revocation for misrepresentation The AER may revoke a greenfields incentive determination on the ground that—
(a) the applicant misrepresented a material fact on the basis of which the determination was made; or
(b) the applicant failed to disclose material information that the applicant was required to disclose under this Chapter.
108—Exhaustive provision for termination of greenfields incentive determination A greenfields incentive determination does not terminate, and cannot be revoked, before the end of the operative period for the determination other than as provided for under this Part.
Division 3—Greenfields price protection determinations
109—AER may make greenfields price protection determination
(1) The AER may, on the application of the service provider for a greenfields pipeline project, make a determination that prices and non-price terms and conditions for particular pipeline services provided by means of a pipeline that are specified in the determination are protected, in the manner provided for in the Rules, in any arbitration of an access dispute involving the pipeline (a
greenfields price protection determination ).(2) An application for a greenfields price protection determination—
(a) cannot be made after the pipeline is commissioned; and
(b) must be made in accordance with the Rules; and
(c) must contain the information required by the Rules; and
(d) must be dealt with in accordance with the Rules.
110—Requirements for making, or not making, a greenfields price protection determination
(1) The AER must not make a greenfields price protection determination unless—
(a) the pipeline the subject of the determination is also the subject of a greenfields incentive determination; and
(b) the AER is satisfied—
(i) that—
(A) the pipeline has been developed following a competitive process; and
(B) the prices and non‑price terms and conditions for pipeline services that will be made available to prospective users during the operative period for the greenfields price protection determination have been set as a result of that process; or
(ii) that—
(A) one or more form of regulation factors effectively constrained the exercise of market power by the service provider when the prices and non‑price terms and conditions for pipeline services that will be made available to prospective users during the operative period for the greenfields price protection determination were determined; and
(B) the making of the determination will, or is likely to, contribute to the achievement of the national gas objective.
(2) For the purposes of subsection (1)(b)(i)(A), a pipeline is taken to have been developed following a competitive process if the AER is reasonably satisfied from the information provided to it by the applicant for the greenfields price protection determination that there was competition (whether formal or informal) to develop the pipeline between 2 or more prospective service providers that—
(a) were not related bodies corporate of each other; and
(b) did not include a related body corporate of the applicant
Example— Competition between prospective service providers could involve the service providers competing on the basis of—
(a) different pipeline routes; or
(b) an expansion of an existing pipeline and the development of a new pipeline.
(3) A greenfields price protection determination or a decision not to make a greenfields price protection determination must—
(a) be made in accordance with this Law and the Rules; and
(b) contain the information required by the Rules; and
(c) be given to the persons specified by the Rules; and
(d) be made publicly available in accordance with the Rules; and
(e) if a greenfields price protection determination is made, specify—
(i) the date the determination takes effect; and
(ii) the operative period for the determination.
(4) For subsection (3)(e)(ii), the operative period for a greenfields price protection determination—
(a) is the period during which the prices and non-price terms and conditions specified in the determination will be made available to prospective users; but
(b) cannot be longer than the operative period for the greenfields incentive determination relating to the pipeline.
111—Effect of greenfields price protection determination
(1) A greenfields price protection determination—
(a) takes effect on and from the date specified in the determination; and
(b) continues in operation for the operative period for the determination mentioned in section 110(4).
(2) A greenfields price protection determination ends if the greenfields incentive determination to which the greenfields price protection determination relates ceases to apply to the pipeline.
Part 4—Principles governing the making of particular determinations
112—Principles governing the making of particular determinations
(1) This section sets out principles that apply for the making of the following determinations (each a
relevant determination ) by the AER—
(a) a scheme pipeline determination under Part 1 Division 1;
(b) a scheme pipeline revocation determination under Part 2;
(c) a greenfields incentive determination under Part 3.
(2) In deciding whether to make a relevant determination, the AER must consider the effect of regulating the pipeline, to which the determination would apply, as a scheme pipeline or non‑scheme pipeline on—
(a) the promotion of access to pipeline services; and
(b) the costs that are likely to be incurred by an efficient service provider; and
(c) the costs that are likely to be incurred by efficient users and efficient prospective users; and
(d) the likely costs of end users.
(3) In doing so the AER—
(a) must have regard to the national gas objective; and
(b) must have regard to—
(i) the form of regulation factors; and
(ii) for a greenfields incentive determination—the extent to which the form of regulation factors or competition to develop the pipeline (whether formal or informal) between 2 or more unrelated prospective service providers will, or is likely to, pose an effective constraint on the exercise of market power in respect of services provided by means of the pipeline for the period the determination is in operation; and
Example— Competition between prospective service providers could involve the service providers competing on the basis of—
(a) different pipeline routes; or
(b) an expansion of an existing pipeline and the development of a new pipeline.
(c) may have regard to any other matter it considers relevant, including, for example, any information it obtains in the course of performing its functions.
Example for paragraph (c) — The AER may have regard to information contained in a report made by a mediator in relation to an access dispute
(4) For subsection (3)(b)(ii), prospective service providers are unrelated if the service providers—
(a) are not related bodies corporate of each other; and
(b) do not include a related body corporate of the applicant for the greenfields incentive determination.
Part 5—Access arrangements for scheme pipelines
Division 1—Submissions generally
113—Submission of access arrangement or revisions to applicable access arrangement A scheme pipeline service provider must submit to the AER, for approval by the AER under the Rules, an access arrangement or revisions to an applicable access arrangement, in relation to the pipeline services the service provider provides or intends to provide—
(a) in the circumstances specified by the Rules; and
(b) within the period of time specified by the Rules.
Division 2—Provisions relating to applicable access arrangements
114—Protection of certain pre-existing contractual rights
(1) An applicable access arrangement must not have the effect of depriving a person of a relevant protected contractual right.
(2) In this section—
relevant exclusivity right means an express contractual right that arose on or after 30 March 1995 that—
(a) prevents a service provider supplying pipeline services to persons who are not parties to the contract; or
(b) limits or controls a service provider's ability to supply pipeline services to persons who are not parties to the contract,
but does not include a user's contractual right to obtain a certain amount of pipeline services;
relevant protected contractual right means—
(a) in the case of an applicable access arrangement approved under an applicable access arrangement decision—a right under a contract (other than a relevant exclusivity right) in force immediately before that access arrangement was submitted for approval under this Law; or
(b) in the case of an applicable access arrangement made under an applicable access arrangement decision because—
(i) an access arrangement was not submitted for approval as required under section 113—a right under a contract (other than a relevant exclusivity right) in force immediately before the date on which an access arrangement was required to be submitted for approval; or
(ii) an access arrangement was not approved under an applicable access arrangement decision—a right under a contract (other than a relevant exclusivity right) in force immediately before the date on which that access arrangement was submitted for approval.
115—Service provider may enter into agreement for access different from applicable access arrangement Subject to sections 83C and 135, nothing in this Law is to be taken as preventing a service provider from entering into an agreement with a user or a prospective user about access to a pipeline service provided by means of a scheme pipeline that is different from an applicable access arrangement that applies to that pipeline service.
116—Applicable access arrangements continue to apply regardless of who provides pipeline service An applicable access arrangement applies to a pipeline service provided, or to be provided, by means of a scheme pipeline regardless of who provides that pipeline service.
Part 6—Classification and reclassification of pipelines
Division 1—Classification of pipelines
117—Application for classification of pipeline
(1) This section applies if a pipeline is not classified as a distribution or transmission pipeline under a licence or authorisation granted in relation to the pipeline under jurisdictional gas legislation.
(2) Within 20 business days after the commissioning of the pipeline, the service provider for the pipeline must apply to the AER for the pipeline to be classified as a distribution pipeline or transmission pipeline.
(3) An application for a classification decision must—
(a) be made in accordance with the Rules; and
(b) contain the information required by the Rules; and
(c) be accompanied by the fee prescribed by the Regulations (if any); and
(d) be dealt with in accordance with the Rules.
Division 2—Reclassification of pipelines
118—Reclassification of pipelines
(1) The AER may, on its own initiative or on the application of a service provider, make a decision for a pipeline to be reclassified as—
(a) if the pipeline is a transmission pipeline—a distribution pipeline; or
(b) if the pipeline is a distribution pipeline—a transmission pipeline.
(2) An application for a reclassification decision must—
(a) be made in accordance with the Rules; and
(b) contain the information required by the Rules; and
(c) be accompanied by the fee prescribed by the Regulations (if any); and
(d) be dealt with in accordance with the Rules.
Division 3—Provisions relating to classification and reclassification decisions
119—Requirements for making classification or reclassification decisions
(1) In making a classification decision or reclassification decision, the AER must have regard to—
(a) the national gas objective; and
(b) the pipeline classification criterion.
(2) A classification decision or reclassification decision must—
(a) be made in accordance with this Law and the Rules; and
(b) contain the information required by the Rules; and
(c) be given to the persons specified by the Rules; and
(d) be made publicly available in accordance with the Rules.
120—Effect of classification decision or reclassification decision On the making of a classification decision or reclassification decision, a pipeline is—
(a) if the pipeline is classified or reclassified as a distribution pipeline—a distribution pipeline; or
(b) if the pipeline is classified or reclassified as a transmission pipeline—a transmission pipeline.
Part 7—AER reviews into designated pipelines
121—AER reviews
(1) The MCE may request the AER to conduct a review into, and report to it as to, whether a pipeline should continue to be a designated pipeline.
(2) A service provider that provides pipeline services by means of a designated pipeline may request the AER to conduct a review into, and report to the MCE as to, whether that pipeline should continue to be a designated pipeline.
(3) A request under subsection (1) or (2) must be in writing.
(4) On receiving a request under this section, the AER must conduct a review as to whether the pipeline the subject of the request should continue to be a designated pipeline.
(5) In conducting a review under this section, the AER must—
(a) have regard to—
(i) the national gas objective; and
(ii) whether there has been a material change in competition in a market served by the designated pipeline; and
(b) consult, in accordance with the Rules, with the public.
(6) On the completion of a review under this section, the AER must prepare a report and—
(a) give the report to the MCE; and
(b) publish the report on its website.
(7) The AER must also give a copy of the report to the service provider that has requested the review.
Heading to Chapter 4—delete "covered"
Chapter 4—before Part 1 insert:
Part A1—Preliminary
130—Application of this Chapter
(1) This Chapter applies in relation to scheme pipelines and non‑scheme pipelines.
(2) Also, this Chapter, or a provision of this Chapter, applies to a person other than a service provider as if a reference in the Chapter or provision to a service provider were a reference to the person—
(a) if—
(i) this Chapter, or the provision, is prescribed by the Regulations for the purposes of this subsection; and
(ii) the person—
(A) is prescribed by the Regulations for the purposes of this subsection; or
(B) is a member of a class of persons prescribed by the Regulations for the purposes of this subsection; and
(b) subject to any modifications prescribed by the Regulations for the purposes of this subsection.
Heading to Chapter 4, Part 1—delete "covered"
(1) Section 131—delete "A covered pipeline service provider must not provide a pipeline service by means of a covered pipeline unless" and substitute:
A service provider must not provide a pipeline service by means of a pipeline unless
(2) Section 131(e)—delete "covered"
Note— The heading to section 131 will be amended to "Service provider must be legal entity of a specified kind to provide pipeline services" when this section comes into operation.
Section 132—delete the section
(1) Section 133(1)(a)—delete "covered pipeline"
(2) Section 133(1)(b)(i) and (ii)—delete "covered" wherever occurring
(3) Section 133(1)—delete "the covered pipeline" and substitute:
the pipeline
(4) Section 133(5)—delete the subsection and substitute:
(5) In this section—
(a) a reference to engaging in conduct is a reference to doing or refusing to do any act, including the following—
(i) refusing to supply a pipeline service;
(ii) without reasonable grounds, limiting or disrupting a pipeline service;
(iii) making, or giving effect to a provision of a contract or arrangement, arriving at, or giving effect to, a provision of an understanding, or requiring the giving of, or giving, a covenant; and
(b) a reference to refusing to do an act includes a reference to—
(i) refraining (otherwise than inadvertently) from doing that act; or
(ii) making it known that that act will not be done.
Section 134—delete the section
Section 135—delete the section and substitute:
135—Service provider must comply with queuing requirements A service provider must comply with the queuing requirements of an applicable access arrangement or the Rules.
Section 136—delete the section and substitute:
136—Compliance with pipeline interconnection principles Subject to section 91BF, a service provider must comply with the principles relating to the interconnection of pipelines and facilities (the
pipeline interconnection principles ) specified in the Rules.
136A—Prohibition against increasing charges to subsidise particular development
(1) This section applies to a service provider for a transmission pipeline, other than a pipeline within a declared transmission system.
(2) The service provider must not increase a charge for a pipeline service payable by an existing user to the service provider to subsidise the development of an extension, or expansion of the capacity, of the pipeline.
(3) However, subsection (2) does not apply to a service provider if the service provider is exempt from complying with subsection (2) under the Rules.
(4) Nothing in this section prevents a service provider from charging an existing user of the service provider for pipeline services provided by means of an extension, or expansion of the capacity, of a pipeline.
136B—Prohibition on bundling of services A service provider must not make it a condition of the provision of a particular pipeline service to a prospective user that the prospective user accept another service from the service provider unless the bundling of the services is reasonably necessary.
136C—Service providers must publish prescribed transparency information
(1) A service provider must—
(a) publish the information relating to pipelines and pipeline services specified in the Rules made for the purposes of this paragraph (the
prescribed transparency information ); and(b) ensure the prescribed transparency information is published in accordance with the Rules.
(2) However, subsection (1) does not apply to a service provider if the service provider is exempt from complying with subsection (1) under the Rules.
(1) Section 137, definition of
compliance date —delete the definition(2) Section 137, definition of
related business , paragraphs (a) and (b)—delete "covered" wherever occurring
Section 138(1) and (2)—delete "covered pipeline" wherever occurring
Note— The example in section 138 of the Law will be amended to the following when this section comes into operation:
"Example—A person in the position of general manager of marketing of a service provider or an associate of a service provider would be marketing staff whereas a person in the position of chief executive officer, or chief financial officer, of a service provider or an associate of a service provider would not be marketing staff"
Section 139—delete "on and after the compliance date, a covered pipeline" and substitute:
A
(1) Section 140(1) and (2)—delete "On and after the compliance date, a covered pipeline" and substitute:
A
(2) Section 140(1) and (2)—delete "the covered pipeline" and substitute:
the
(1) Section 141—delete "On and after the compliance date, a covered pipeline" and substitute:
A
(2) Section 141(a)—delete "covered pipeline owned, operated or controlled by the covered pipeline" and substitute:
pipeline owned, operated or controlled by the
(3) Section 141(b)—delete "covered pipeline"
(1) Section 143(1)—delete "covered pipeline service provider or associate of a covered pipeline" and substitute:
service provider or associate of a
(2) Section 143(2)(a) to (c)—delete paragraphs (a) to (c) and substitute:
(a) in the case where 1 part of the business of a service provider (
business unit A ) is providing pipeline services to another part of the business of the service provider (business unit B ), the service provider must ensure that business unit A provides the pipeline services to business unit B as if business unit B were a separate unrelated entity;(b) in the case where a service provider is providing pipeline services to an associate of the service provider, the service provider must ensure that those services are provided as if the associate of the service provider were a separate unrelated entity;
(c) users and prospective users should have sufficient information in order to understand whether a service provider is complying with paragraph (a) or (b).
(3) Section 143(3)(a) and (b)—delete "covered pipeline" wherever occurring
(4) Section 143(4), (5) and (6)—delete "covered pipeline service provider or associate of a covered pipeline" wherever occurring and substitute in each case:
service provider or associate of a
Section 144(a) and (b)—delete "covered pipeline" wherever occurring
Section 145—delete "require a covered pipeline" and substitute:
require a
Note— The examples in section 145 of the Law will be amended to the following when this section comes into operation:
Example 1— An AER ring fencing determination may require the service provider to ensure that persons employed or engaged by the service provider in relation to the provision of pipeline services are not also associates, or employed by associates, of the service provider that take part in a related business and how this must be effected.
Example 2— An AER ring fencing determination may require the service provider to put in place electronic, physical and procedural security measures in respect of the offices and computer systems of the service provider, and of the offices and computer systems of its associates, so that certain specified employees or persons engaged by the service provider do not have access to certain specified information.
Chapter 4, Part 2, Division 4—delete Division 4
Chapter 4, Part 2, Division 5—redesignate Division 5 as Division 4
Section 147—delete "covered pipeline"
(1) Section 148(1)—delete "covered pipeline"
(2) Section 148(2)—delete "covered pipeline service provider must ensure that any pipeline services that the covered pipeline service provider provides to an associate of the covered pipeline" and substitute:
service provider must ensure that any pipeline services that the service provider provides to an associate of the
After Section 148 insert:
Division 5—Exemptions from particular requirements
148A—Exemptions from particular requirements The Rules may make provisions with respect to exemptions from the requirements under section 139, 140, 141, 147 or 148.
Part 3—Negotiation of access
148B—Definition In this Part—
relevant pipeline service means a pipeline service provided, or to be provided, by means of a pipeline and includes a pipeline service provided, or to be provided, by an extension to, or expansion of the capacity of, a pipeline.
148C—Access proposals A service provider must comply with the Rules relating to access to a relevant pipeline service made for the purposes of this section.
148D—Duty to negotiate in good faith A user or prospective user seeking access to a relevant pipeline service and the service provider for the service must negotiate in good faith with each other about—
(a) whether access can be granted to the user or prospective user; and
(b) if access is to be granted—the terms and conditions for the provision of access to the user or prospective user.
Part 4—AER reviews about application of this Chapter
148E—AER reviews about application of this Chapter
(1) The MCE may request the AER to conduct a review into, and report to it as to, whether this Chapter, or a provision of this Chapter, should apply to any person or class of persons to whom the Chapter or provision does not currently apply.
(2) A request under subsection (1) must be in writing.
(3) On receiving a request under this section, the AER must conduct the review.
(4) In conducting a review under this section, the AER must—
(a) have regard to—
(i) the national gas objective; and
(ii) the effect the application of this Chapter, or a provision of this Chapter, to another person or class of persons would have on—
(A) the promotion of access to pipeline services and any other benefits that may be associated with the application; and
(B) the costs that are likely to be incurred by the person or class of persons if they were operating efficiently; and
(b) consult, in accordance with the Rules, with the public.
(5) On the completion of a review under this section, the AER must prepare a report and—
(a) give the report to the MCE; and
(b) publish the report on its website.
Chapters 5 to 6A—delete Chapters 5 to 6A (inclusive) and substitute:
Chapter 5—Access disputes
Part 1—Interpretation and application
149—Definitions In this Chapter—
access dispute pipeline , in relation to an access dispute, means the pipeline the subject of the dispute;
dispute hearing means a hearing conducted by the relevant adjudicator for an access dispute for the purpose of making an access determination in relation to the dispute;
party , in relation to an access dispute, has the meaning given by section 154.
150—Application of this Chapter to disputes arising under the Rules
(1) The provisions of this Chapter applicable to the determination of an access dispute apply to the determination of any dispute arising under any provision of the Rules specified in the Rules for the purposes of this section.
(2) This section applies subject to any modification of the provisions of this Chapter specified in the Rules.
151—Chapter does not limit how disputes about access may be raised or dealt with This Chapter does not limit how a dispute about access to a pipeline service may be raised or dealt with.
Part 2—Notice of access dispute and other provisions
Division 1—Notice of access dispute
152—Notice of access dispute
(1) This section applies if there is an access dispute between a user or prospective user and a service provider.
(2) The user, prospective user or service provider may give a notice in writing to the following entity that the access dispute exists—
(a) for a scheme pipeline access dispute—the dispute resolution body;
(b) for a non‑scheme pipeline access dispute—the AER.
(3) A notice given under subsection (2) must—
(a) include information about—
(i) the matters (if any) on which agreement has been reached; and
(ii) the matters that are in dispute; and
(iii) any other matter specified by the Rules; and
(b) be accompanied by—
(i) if an access dispute is a scheme pipeline access dispute—the fee prescribed by the Regulations (if any); or
(ii) if an access dispute is a non‑scheme pipeline access dispute—the fee set by the AER from time to time and specified on the AER's website; and
(c) be given to any other party to any negotiations that gave rise to the dispute as soon as practicable after it is given to the dispute resolution body or AER; and
(d) be dealt with in accordance with the Rules.
(4) The user, prospective user, or service provider may not give a notice under subsection (2) if the dispute relates to a matter excluded from the operation of this Chapter by the Rules.
153—Withdrawal of notice Subject to the Rules, a notice given under section 152 may be withdrawn—
(a) in accordance with the Rules; and
(b) at any time before an access determination is made in relation to the dispute.
Division 2—Parties to an access dispute
154—Parties to an access dispute
(1) The parties to an access dispute are—
(a) the parties to any negotiations that gave rise to the access dispute; and
(b) if the dispute resolution body or AER (as the case requires) is of the opinion that the resolution of the access dispute may involve requiring another person to do something and that it is appropriate that the person be joined as a party—that other person; and
(c) if a small shipper is a party and has elected, in accordance with the Rules, for a user association to be joined as a party—the user association; and
(d) if the access dispute is a scheme pipeline access dispute—any other person who applies in writing, in accordance with the Rules, to be made a party and is accepted by the dispute resolution body as having a sufficient interest.
(2) In this section—
user association means an association or body, whether incorporated or not—
(a) the members of which include more than 1 user or prospective user; and
(b) that represents and promotes the interests of those members in relation to the provision of pipeline services.
Part 3—Alternative dispute resolution for access disputes
Division 1—Alternative dispute resolution for scheme pipeline access disputes
155—Dispute resolution body may require parties to engage in alternative dispute resolution
(1) This section applies if the dispute resolution body receives a notice of a scheme pipeline access dispute under section 152.
(2) The dispute resolution body may require the parties to the dispute, in accordance with the Rules, to mediate, conciliate or engage in another alternative dispute resolution process for the purpose of resolving the dispute.
(3) A party must comply with a requirement under subsection (2).
Division 2—Mediation of access disputes involving small shippers
156—Small shipper may elect to have access dispute mediated A small shipper who is a party to an access dispute may, in accordance with the Rules, elect for the dispute to be resolved by mediation.
157—Appointment of mediator
(1) This section applies if a small shipper makes an election under section 156.
(2) The parties to the access dispute may agree to appoint, in accordance with the Rules, a mediator to resolve the dispute.
(3) If the parties do not agree to the appointment of a mediator within a period specified by the Rules, the AER must—
(a) consult with the parties to the dispute about the appointment of a mediator; and
(b) after consultation, appoint a mediator the AER considers appropriate for the dispute.
(4) A mediator must be a person who—
(a) is independent of the parties to the dispute; and
(b) is properly qualified to act in the resolution of the dispute; and
(c) has no direct or indirect interest in the outcome of the dispute.
(5) If a mediator does not, for any reason, complete a mediation of a dispute, the parties to the dispute may agree to appoint, in accordance with the Rules, an alternative mediator to resolve the dispute.
(6) However, if the parties do not agree to the appointment of an alternative mediator within a period specified by the Rules, the AER must appoint another mediator in the way set out under subsection (3).
(7) If an alternative mediator does not, for any reason, complete a mediation of the dispute, the dispute must be determined by the relevant adjudicator for the dispute under Part 5.
158—Party's lawyer may be present at mediation A party to a mediation may have a lawyer present at the mediation.
Part 4—Arbitration of non‑scheme pipeline access disputes
159—Reference of non‑scheme pipeline access dispute to arbitration
(1) This section applies if the AER receives a notice of a non‑scheme pipeline access dispute under section 152.
(2) The AER must refer the dispute to arbitration.
(3) The AER must give notice of the referral of an access dispute to arbitration to—
(a) the parties to the access dispute; and
(b) if relevant, any other person who will be a party to the access dispute.
(4) However, this section applies subject to section 156.
160—Appointment of arbitrator
(1) This section applies if a non‑scheme pipeline access dispute is referred to arbitration under section 159.
(2) The parties to the access dispute may agree to appoint, in accordance with the Rules, an arbitrator to resolve the dispute.
(3) If the parties do not agree to the appointment of an arbitrator within a period specified by the Rules, the AER must—
(a) consult with the parties to the dispute about the appointment of an arbitrator; and
(b) after consultation, appoint an arbitrator the AER considers appropriate for the dispute.
(4) An arbitrator must be a person who—
(a) is independent of the parties to the dispute; and
(b) is properly qualified to act in the resolution of the dispute; and
(c) has no direct or indirect interest in the outcome of the dispute.
(5) If an arbitrator does not, for any reason, complete an arbitration of a dispute, the parties to the dispute may agree to appoint, in accordance with the Rules, an alternative arbitrator to resolve the dispute.
(6) However, if the parties do not agree to the appointment of an alternative arbitrator within a period specified by the Rules, the AER must appoint another arbitrator in the way set out under subsection (3).
Part 5—Access determination
Division 1—Determination of access disputes generally
161—Determination of access dispute
(1) Unless the relevant adjudicator for an access dispute terminates the access dispute under Part 7, the relevant adjudicator must make a determination on access by the user or prospective user (as the case requires) (including a determination that does not require a service provider to provide access to any pipeline services).
(2) In making an access determination, the relevant adjudicator must comply with this Chapter and the Rules.
(3) An access determination may deal with any matter relating to access by the user or prospective user to the pipeline services specified by the Rules for the purposes of this subsection.
(4) The Rules may also, in connection with the making of an access determination, contain provisions for or with respect to such things as—
(a) the form of any determination; and
(b) the content of any determination, including as to the giving of reasons; and
(c) the time within which a determination must be made; and
(d) the process for making a determination; and
(e) when a determination takes effect; and
(f) the giving of notice of the making of a determination; and
(g) the publication of an access determination and other information related to the determination, including a statement of reasons for making the access determination, relevant financial calculations and any reports.
162—Matters to be taken into account for access disputes In making an access determination, the relevant adjudicator for an access dispute the subject of the determination must take into account any matters specified in the Rules for the purposes of this section.
163—Restrictions on access determinations
(1) An access determination must not have any of the following effects:
(a) preventing a user from obtaining a sufficient amount of a pipeline service under a contract or previous access determination to be able to meet the user's reasonably anticipated requirements, measured at the time the access dispute was notified;
(b) preventing a user or prospective user from obtaining, by the exercise of a pre‑notification right, a sufficient amount of a pipeline service to be able to meet the user's or prospective user's actual requirements;
(c) depriving a person of a relevant protected contractual right.
(2) In this section—
pre-notification right means a right under a contract, or under an access determination, that was in force at the time when the access dispute was notified under section 152;
relevant exclusivity right means an express contractual right that arose on or after 30 March 1995 that—
(a) prevents a service provider supplying pipeline services to persons who are not parties to the contract; or
(b) limits or controls a service provider's ability to supply pipeline services to persons who are not parties to the contract,
but does not include a user's contractual right to obtain a certain amount of pipeline services;
relevant protected contractual right means a right under a contract (other than a relevant exclusivity right) that was in force immediately before the notification of an access dispute under section 152.
164—Access determinations and part contributions of capital to fund installations or the construction of new facilities
(1) In making an access determination, the relevant adjudicator for an access dispute the subject of the determination may take into account past contributions of capital to fund installations or the construction of new facilities for the access dispute pipeline.
(2) Without limiting section 74, the Rules may—
(a) specify the matters that the relevant adjudicator must address in making that access determination; and
(b) specify the content of that access determination.
Division 2—Particular provisions relating to scheme pipeline access disputes
165—Access determination must give effect to applicable access arrangement
(1) This section applies subject to sections 161, 164 and 166 and any Rules made for the purposes of this Part.
(2) In making an access determination for a scheme pipeline access dispute, the dispute resolution body must give effect to the applicable access arrangement (the
relevant applicable access arrangement )—
(a) applying to the pipeline services provided, or to be provided, by means of the access dispute pipeline; and
(b) in effect at the time the determination is made.
(3) Subsection (2) applies even though the relevant applicable access arrangement may not have been in force when notice of the access dispute was given.
166—Rules may allow determination that varies applicable access arrangement for installation of a new facility
(1) This section applies in relation to an access determination for a scheme pipeline access dispute that requires—
(a) a service provider to install or construct a new facility to expand the capacity of the access dispute pipeline; and
(b) the user or prospective user who is a party to the access dispute to contribute some or all of the capital to fund the installation or construction of the new facility.
(2) Without limiting section 74, the Rules may—
(a) confer a function or power on the dispute resolution body, when making the access determination, to vary the applicable access arrangement; and
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89—Amendment of Schedule 2—Miscellaneous provisions relating to interpretation
(1) Schedule 2, clause 2(3)—delete "the Commonwealth Minister, the NCC,"
(2) Schedule 2, clause 8(2)—delete "subclause (3)" and substitute:
subclause (4)
(3) Schedule 2, clause 31, definition of
decision maker —delete "a relevant Minister, the NCC,"(4) Schedule 2, clause 33, definition of
NCC member —delete the definition(5) Schedule 2, clause 34(d)(iii)—delete subparagraph (iii) and substitute:
(iii) an access arrangement or revisions to an applicable access arrangement submitted for approval under section 113;
(6) Schedule 2, clause 34(d)(iv)—delete subparagraph (iv)
(7) Schedule 2, clauses 36 and 37—delete clauses 36 and 37
(8) Schedule 2, clause 53A(6), definition of
affected access arrangement decision —delete "a full" and substitute:an
90—Amendment of Schedule 3—Savings and transitionals
(1) Schedule 3—after clause 1 insert:
1A—Words in particular provisions have meanings given by former section 2
(1) Words defined under former section 2 and used in Parts 2 to 18 of this Schedule have, unless the context otherwise requires, the same meanings as they had under former section 2.
(2) In this section—
former section 2 means section 2 of the Law as in force immediately before the commencement of Part 19.(2) Schedule 3—after Part 18 insert:
Part 19—Transitional provisions related to pipeline regulation amendments
Division 1—Preliminary
104—Definitions In this Part—
15-year no-coverage determination means a 15-year no-coverage determination within the meaning of section 2 of the pre-amended Law;
commencement day means the day on which this Part comes into operation;
covered pipeline means a covered pipeline within the meaning of section 2 of the pre-amended Law;
limited access arrangement means a limited access arrangement within the meaning of section 2 of the pre-amended Law;
pre-amended Law means this Law as in force immediately before the commencement day;
price regulation exemption means a price regulation exemption within the meaning of section 2 of the pre-amended Law;
relevant entity means—
(a) a relevant Minister within the meaning of section 2 of the pre-amended Law; or
(b) the NCC within the meaning of section 2 of the pre-amended Law;
tender approval decision means a tender approval decision within the meaning of section 2 of the pre-amended Law;
tender approval pipeline means a pipeline to which a tender approval decision relates under section 126 of the pre-amended Law;
voluntary access arrangement pipeline means a pipeline in relation to which a full access arrangement was voluntarily submitted under section 127 of the pre-amended Law.
Division 2—Regulation and classification of pipelines
Subdivision 1—Covered pipelines generally
105—Particular covered pipelines deemed to be scheme pipelines
(1) This clause applies in relation to a pipeline that, immediately before the commencement day, was a covered pipeline, other than a light regulation pipeline.
Note— A covered pipeline includes a pipeline deemed to be a covered pipeline by operation of section 126 or 127 of the pre-amended Law.
(2) On the commencement day—
(a) the covered pipeline is deemed to be a scheme pipeline; and
(b) a scheme pipeline determination is deemed to have been made in relation to the pipeline.
(3) In this section—
light regulation pipeline means a covered pipeline by means of which light regulation services, within the meaning of section 2 of the pre-amended Law, are supplied under a light regulation determination, within the meaning of section 2 of the pre-amended Law.
Subdivision 2—Provisions for tender approval pipelines
106—Particular tender approval pipelines become scheme pipelines
(1) This clause applies in relation to a tender approval pipeline if the tender approval decision for the pipeline has not become irrevocable before the commencement day.
(2) On the tender approval decision becoming irrevocable—
(a) the pipeline becomes a scheme pipeline; and
(b) a scheme pipeline determination is deemed to have been made in relation to the pipeline.
107—When particular scheme pipelines become non‑scheme pipelines
(1) This clause applies in relation to a pipeline that, before the commencement day, was a tender approval pipeline and—
(a) is deemed to be a scheme pipeline under clause 105; or
(b) becomes a scheme pipeline under clause 106.
(2) On the earlier of the following events happening, the pipeline becomes a non‑scheme pipeline—
(a) if there is an applicable access arrangement that applies to the pipeline services provided by means of that pipeline—when that arrangement expires;
(b) when a scheme pipeline revocation determination made in relation to that pipeline takes effect.
Subdivision 3—Provisions for voluntary access arrangement pipelines
108—Particular voluntary access arrangement pipelines become scheme pipelines
(1) This clause applies in relation to a voluntary access arrangement pipeline if the full access arrangement voluntarily submitted to the AER has not been approved before the commencement day.
(2) On the day the full access arrangement takes effect as an applicable access arrangement—
(a) the pipeline becomes a scheme pipeline; and
(b) a scheme pipeline determination is deemed to have been made in relation to the pipeline.
109—When particular scheme pipelines become non‑scheme pipelines
(1) This clause applies to a pipeline that, before the commencement day, was a voluntary access arrangement pipeline and—
(a) is deemed to be a scheme pipeline under clause 105; or
(b) becomes a scheme pipeline under clause 108.
(2) On the earlier of the following events happening, the pipeline becomes a non‑scheme pipeline—
(a) if there is an applicable access arrangement that applies to the pipeline services provided by means of that pipeline—when that arrangement expires;
(b) when a scheme pipeline revocation determination takes effect in relation to the pipeline.
Subdivision 4—Classification of pipelines
110—Classification under pre-amended Law continues in effect
(1) On the commencement day—
(a) a pipeline that, immediately before the commencement day, is a distribution pipeline within the meaning of section 2 of the pre-amended Law continues to be a distribution pipeline; and
(b) a pipeline that, immediately before the commencement day, is a transmission pipeline within the meaning of section 2 of the pre-amended Law continues to be a transmission pipeline.
(2) Nothing in subclause (1) prevents a pipeline from being reclassified, under this Law, as a distribution pipeline or transmission pipeline.
111—Pipelines not classified under pre-amended Law or jurisdictional gas legislation
(1) This clause applies in relation to an existing pipeline that, immediately before the commencement day, was not classified as a distribution pipeline or transmission pipeline under the pre-amended Law or under a licence or authorisation granted in relation to the pipeline under jurisdictional gas legislation.
(2) On the commencement day, the pipeline is taken to have the classification shown in the register known as the 'Gas pipeline register' that is maintained by the AEMC under Part 15 of the Rules (the
AEMC register ).(3) However, if the AEMC register does not contain a classification for the pipeline, the service provider must apply to the AER for a classification decision within 2 months after the commencement day.
(4) Nothing in subclause (2) prevents the pipeline from being reclassified, under this Law, as a distribution pipeline or transmission pipeline.
112—Notice to be given about classification of particular pipelines
(1) This clause applies in relation to a pipeline that—
(a) immediately before the commencement day, was a pipeline to which the pre-amended Law applied; but
(b) does not have a classification that is continued, or taken to be, in effect for the pipeline under clauses 110 to 111.
(2) Within 2 months after the commencement day, the service provider for the pipeline must notify the AEMC whether the pipeline is classified as a distribution pipeline or as a transmission pipeline under the licence or authorisation granted in relation to the pipeline under jurisdictional gas legislation.
Division 3—Pending matters under Chapter 3 of pre-amended Law
113—Pending applications under Chapter 3 of pre-amended Law
(1) This clause applies despite clause 43(1)(b) and (c) of Schedule 2 to this Law.
(2) On the commencement day, any application under Chapter 3 of the pre-amended Law in respect of which a decision has not been made under that Chapter immediately before that day lapses.
114—Recommendation-making process under Chapter 3 of pre-amended Law
(1) This clause applies if, immediately before the commencement day, a relevant entity—
(a) is deciding whether to make a recommendation (however described) under a requirement of Chapter 3 of the pre-amended Law; and
(b) has not made the recommendation.
(2) On the commencement day—
(a) the requirement to make the recommendation stops having effect; and
(b) the relevant entity must stop deciding whether to make the recommendation.
115—Decision-making process under Chapter 3 of pre-amended Law
(1) This clause applies if, immediately before the commencement day, a relevant entity—
(a) is deciding whether to make a decision (however described) or determination (however described) under a requirement of Chapter 3 of the pre-amended Law; and
(b) has not made the decision or determination.
(2) On the commencement day—
(a) the requirement to make the decision or determination stops having effect; and
(b) the relevant entity must stop deciding whether to make the decision or determination.
Division 4—Provisions for limited access arrangements
116—Limited access arrangements
(1) This clause applies in relation to a limited access arrangement that is in force immediately before the commencement day.
(2) On the commencement day, the limited access arrangement lapses.
117—Submission of limited access arrangement
(1) This clause applies if, before the commencement day—
(a) a service provider has submitted a limited access arrangement to the AER for approval; and
(b) the AER has not approved the limited access arrangement.
(2) On the commencement day, the submission lapses.
Division 5—Provisions for 15-year no-coverage determinations
Subdivision 1—General provisions
118—15-year no-coverage determinations deemed to be greenfields incentive determinations
(1) On the commencement day, a 15‑year no-coverage determination that was in force immediately before the commencement day is deemed to be a greenfields incentive determination.
(2) The determination continues in operation for a period of 15 years from the commissioning of the pipeline.
119—Exemption for pipelines to which a 15‑year no-coverage determination applied
(1) This clause applies to a pipeline if a 15‑year no-coverage determination that applied to the pipeline before the commencement day is deemed to be a greenfields incentive determination under clause 118.
(2) During the period mentioned in clause 118(2), Chapters 4 and 5 do not apply to the pipeline unless the pipeline is or becomes a third party access pipeline.
(3) A pipeline is a third party access pipeline for the purposes of this clause if any pipeline services provided by means of the pipeline are provided, directly or indirectly, to any person other than—
(a) the service provider for the pipeline; or
(b) a related body corporate of the service provider for the pipeline; or
(c) a joint venture in which the service provider for the pipeline or a related body corporate of the service provider is a joint venture participant.
120—Pending applications for 15‑year no-coverage determinations under pre-amended Law
(1) This clause applies in relation to an application for a 15‑year no-coverage determination under Chapter 5 Part 2 of the pre-amended Law in respect of which a decision has not been made under that Part immediately before the commencement day.
(2) Chapter 5 Part 2 as in force immediately before the commencement day continues to apply to the application as if that Part were still in force.
(3) To remove any doubt, a relevant entity may, in relation to the application, make a recommendation or determination under Chapter 5 Part 2 as in force immediately before the commencement day as if that Part were still in force.
(4) A 15‑year no-coverage determination made on or after the commencement day, under the operation of this clause, is deemed to be a greenfields incentive determination.
(5) The greenfields incentive determination continues in operation for a period of 15 years from the commissioning of the pipeline.
Subdivision 2—Price regulation exemptions
121—Pending applications for price regulation exemption On the commencement day, any application for a price regulation exemption under section 160 of the pre-amended Law in respect of which a decision has not been made under Chapter 5 Part 3 of the pre-amended Law immediately before that day lapses.
122—Making of recommendations for price regulation exemptions
(1) This clause applies if the NCC—
(a) has received under section 160 of the pre-amended Law an application for a price regulation exemption for a pipeline the subject of the application; and
(b) immediately before the commencement day, has not made a recommendation under section 162 of the pre-amended Law.
(2) On the commencement day—
(a) the requirement to make the recommendation stops having effect; and
(b) the NCC must not make the recommendation.
123—Granting of price regulation exemptions
(1) This clause applies if, immediately before the commencement day, the Commonwealth Minister—
(a) is deciding whether to make a decision to grant a price regulation exemption under section 164 of the pre-amended Law; and
(b) has not granted the exemption.
(2) On the commencement day—
(a) the requirement to decide whether to make a decision to grant the exemption stops having effect; and
(b) the Commonwealth Minister must stop deciding whether to make a decision to grant the exemption.
124—Price regulation exemptions deemed to be greenfields incentive determinations
(1) This clause applies in relation to a price regulation exemption if the exemption—
(a) has been granted before the commencement day; and
(b) immediately before the commencement day, is not ineffective only because of section 167(2) of the pre-amended Law.
Note— Under section 167(2) of the pre-amended Law, a price regulation exemption is ineffective unless a limited access arrangement, approved by the AER, is in force in relation to the relevant pipeline.
(2) On the commencement day, the exemption is deemed to be a greenfields incentive determination.
(3) The greenfields incentive determination continues in operation for a period of 15 years from the commissioning of the pipeline.
Note— Under section 167(1) of the pre-amended Law, if a price regulation exemption is granted, the exemption remains in force for a period of 15 years from the commissioning of the pipeline.
Division 6—Access disputes
125—Access disputes started under pre-amended Law
(1) This clause applies if—
(a) an access dispute has been started under Chapter 6 or 6A of the pre-amended Law; and
(b) the access dispute has not been finally dealt with or decided immediately before the commencement day.
(2) An access dispute started under Chapter 6 of the pre-amended Law must be dealt with and decided under that Chapter as if it were still in force and despite Chapter 5.
(3) An access dispute started under Chapter 6A of the pre-amended Law must be dealt with and decided under that Chapter as if it were still in force and despite Chapter 5.
Division 7—Miscellaneous provisions
126—Service provider for non‑scheme pipeline not required to comply with section 131
(1) This clause applies in relation to a service provider for a pipeline that—
(a) was in operation before the commencement day; and
(b) on the commencement day, is a non‑scheme pipeline.
(2) The service provider is not required to comply with section 131.
127—Exemptions from minimum ring fencing requirements
(1) This clause applies in relation to a service provider who held an exemption under section 146 of the pre-amended Law that was in force immediately before the commencement day.
(2) On the commencement day, the exemption continues in force.
128—Delayed commencement of ring fencing requirements for non‑scheme pipelines
(1) This clause applies in relation to a pipeline that, immediately before the commencement day, was a non‑scheme pipeline.
(2) On the commencement day, Part 2 of Chapter 4 does not apply to the pipeline.
(3) However, Part 2 of Chapter 4 starts applying to the pipeline at the end of 12 months after the commencement day.
129—Provision for Goldfields Gas Pipeline
(1) On the commencement day, any expansion of the Goldfields Gas Pipeline that did not previously form part of the scheme pipeline becomes part of the scheme pipeline.
(2) In this section—
Goldfields Gas Pipeline means the transmission pipeline between Yarraloola and Kalgoorlie in Western Australia and defined in Pipeline Licence 24 (as amended) issued under thePetroleum Pipelines Act 1969 of Western Australia, including any extension to, or expansion of the capacity of, that pipeline.
130—Provision for Northern Gas Pipeline
(1) This clause applies in relation to the Northern Gas Pipeline.
(2) On the commencement day, Chapters 4 and 5 do not apply to the pipeline.
(3) However, Chapters 4 and 5 start applying to the pipeline—
(a) if the pipeline becomes a scheme pipeline—when the pipeline becomes a scheme pipeline; or
(b) otherwise—at the end of a period of 15 years from the commissioning of the pipeline.
(4) In this clause—
access principles means the arrangements agreed between the service provider for the Northern Gas Pipeline and the Northern Territory Government under which a prospective user may gain access to pipeline services on the Northern Gas Pipeline;
Northern Gas Pipeline means the pipeline between Tennant Creek in the Northern Territory and Mount Isa in Queensland, the subject of Pipeline Licence 34 granted under theEnergy Pipelines Act 1981 of the Northern Territory and Pipeline Licence 2015 granted under thePetroleum and Gas (Production and Safety) Act 2004 of Queensland, including any extension to, or expansion of the capacity of, that pipeline that is subject to the access principles.
131—Pending applications under Rules for approval of tender process
(1) This clause applies—
(a) in relation to an application that has been made to the AER under the Rules for the approval, by the AER, of a tender process for the construction and operation of a proposed pipeline as a competitive tender process; and
(b) in respect of which the AER has not made a tender approval decision before the commencement day.
(2) On the commencement day, the application lapses despite clause 43(1)(b) and (c) of Schedule 2 to this Law.
132—Decision-making process under Rules for approval of tender process
(1) This clause applies if, before the commencement day, the AER—
(a) is deciding whether to make a tender approval decision; and
(b) has not made the decision.
(2) On the commencement day—
(a) the requirement to make the tender approval decision stops having effect; and
(b) the AER must stop deciding whether to make the tender approval decision.
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