EXPLANATORY STATEMENT
Christmas Island Act 1958
Utilities and Services Ordinance 1996
Determination of Fees for Water and Sewerage Services No.1 of 2007
Section 3 of the Utilities and Services Ordinance 1996 (the Ordinance) authorises the Administrator to make provision for the supply and use of utilities and services in relation to, amongst other things, water and drainage and sewerage in the Territory. Section 4 of the Ordinance provides that the Administrator is to impose a fee for the provision to a person, or the use by a person, of such utilities and services.
The Determination of Fees for Water and Sewerage Services No.1 of 2007 (the Determination) sets the fees for water and wastewater charges on Christmas Island and replaces the Determination of Fees for Water and Sewerage Services No.1 of 2006.
It is Government policy that there should be parity between the prices in the Territory and those in Western Australia wherever possible. The fees set in the Determination are substantially the same as those which apply in Western Australia and are considerably less than the cost of supply. Accordingly, consultation on the fees was not undertaken.
The Determination commences on 1 July 2007.
Overview
The Christmas Island Act 1958, enacted by the Australian Parliament, was introduced to establish the legislative framework governing the administration and governance of Christmas Island. The Act was designed to address the unique needs of the island's community by providing a tailored legal structure that ensures the efficient and effective management of island affairs. Complementing this, the Utilities and Services Ordinance 1996 was introduced to regulate the provision and use of utilities and services, including water and sewerage, in the Territory. The Determination of Fees for Water and Sewerage Services No. 1 of 2007 was made under the authority of the Ordinance to set the fees for water and wastewater charges on Christmas Island, with the aim of achieving parity between the prices on the island and those in Western Australia, thereby ensuring affordability and accessibility for the island's residents.
Scope and Application
The Christmas Island Act 1958, as amended by the Utilities and Services Ordinance 1996, applies to the regulation of utility services on Christmas Island, including the provision of water and sewerage services. This legislation empowers the Administrator to establish provisions and fees for these services, ensuring that they are supplied and used in accordance with the law. The Determination of Fees for Water and Sewerage Services No.1 of 2007 sets forth the fees for water and wastewater charges on the island, aligning them with prices in Western Australia where feasible. This legislative framework ensures that fees are substantially lower than the cost of supply, reflecting government policy. The Determination took effect on 1 July 2007, and the Ordinance’s provisions extend to the entire Territory, encompassing all persons and entities utilising water and sewerage services. The Act does not explicitly mention exclusions, exemptions, or thresholds but relies on subordinate instruments to further detail its application and enforcement.
Key Provisions
The main operative sections of the Determination of Fees for Water and Sewerage Services No.1 of 2007 (sections 1 and 2) establish the fees for water and wastewater services on Christmas Island, aligning them closely with the fees in Western Australia. Section 1 specifies the fees for different categories of water usage, such as residential, commercial, and industrial, while section 2 outlines the fees for sewerage services. This legislative instrument is grounded in the Utilities and Services Ordinance 1996, which authorises the Administrator to make provisions for the supply and use of utilities and services (section 3) and to impose fees for their provision and use (section 4).
The Act imposes several obligations on the parties or entities it governs. Firstly, it mandates that the fees set in the Determination are to be applied consistently and fairly across all users of water and sewerage services on Christmas Island. This includes ensuring that the fees are transparent and understandable to the public. Secondly, the Administrator is responsible for the collection of these fees and must ensure that they are charged in accordance with the provisions outlined in the Determination. The Administrator must also oversee the efficient and equitable use of the utilities and services, ensuring that they are supplied in a manner that meets the needs of the community.
The Determination also includes provisions for potential breaches and the associated penalties. Although the explanatory statement does not explicitly detail specific offences or penalties, the general legal framework of the Utilities and Services Ordinance 1996 would apply. Generally, under this Ordinance, any failure to comply with the imposed fees or the terms of service could potentially be subject to administrative action, including fines. The maximum penalties for such breaches would depend on the specific circumstances and the severity of the non-compliance, as outlined in the broader regulatory framework of the Territory. However, in this particular instance, given the close alignment with Western Australian fees and the policy intent to maintain parity, the likelihood of enforcement actions might be relatively low.