EXPLANATORY STATEMENT
Christmas Island Act 1958
Utilities and Services Ordinance 1996
Determination of Fees for Water and Sewerage Services No.1 of 2006
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 2006 (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.3 of 2005.
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 2006.
Overview
The Christmas Island Act 1958, enacted to provide for the administration of Christmas Island, authorised the establishment of a utility and service framework, including water and sewerage services. To further refine the provision of these services, the Utilities and Services Ordinance 1996 was enacted, empowering the Administrator to impose fees for the use of these utilities. The Determination of Fees for Water and Sewerage Services No.1 of 2006 was made under Section 3 of the Ordinance to set the fees for water and sewerage services on Christmas Island, aligning them with the fees in Western Australia to ensure parity where possible. This legislative framework ensures that the supply and use of utilities and services on the island are managed efficiently while keeping fees reasonably aligned with comparable services in Western Australia. The fees set by the Determination, which came into effect on 1 July 2006, reflect this policy objective and were established without extensive consultation due to their close alignment with existing rates in Western Australia.
Scope and Application
The Christmas Island Act 1958, as modified by the Utilities and Services Ordinance 1996, applies to the governance and regulation of utilities and services on Christmas Island, including the provision of water and sewerage services. The Determination of Fees for Water and Sewerage Services No.1 of 2006, which falls under this legislative framework, sets the fees for these services and is designed to ensure there is parity between the prices on Christmas Island and those in Western Australia wherever feasible. The fees established in the Determination are intended to be substantially equivalent to those in Western Australia and are set at a level considerably below the actual cost of supply. This Determination replaces the previous version from 2005 and took effect on 1 July 2006. The Administrator, empowered by the Ordinance, imposes these fees for the use and provision of utilities and services to individuals and entities on the island. Given the fees are closely aligned with those in Western Australia and are substantially below the cost of supply, the government did not deem it necessary to consult on these fees.
Key Provisions
The Christmas Island Act 1958, in conjunction with the Utilities and Services Ordinance 1996, provides the legal framework for the administration of utilities and services on Christmas Island, including water and sewerage services. Section 3 of the Ordinance (3) empowers the Administrator to make provisions concerning the supply and use of utilities and services. This encompasses the regulation of water and drainage and sewerage services on the island. Under Section 4 of the Ordinance (4), the Administrator is required to impose fees for the provision of these utilities and services to individuals or entities.
The Determination of Fees for Water and Sewerage Services No.1 of 2006 (the Determination) establishes the fees applicable to water and wastewater charges on Christmas Island, effective from 1 July 2006. This Determination replaces the previous Determination of Fees for Water and Sewerage Services No.3 of 2005. The fees set forth in this Determination are designed to align as closely as possible with those in Western Australia, reflecting government policy to maintain parity between the Territory and Western Australia wherever feasible. As the fees mirror those in Western Australia and are notably less than the actual cost of supply, the government deemed it unnecessary to undertake further consultation on these fees.
The obligations imposed by the Determination on parties and entities include compliance with the specified fees for water and wastewater services. The Administrator, as the entity responsible for enforcing these provisions, must ensure that all utilities and services are provided in accordance with the established fees. This includes the collection of fees from consumers and the provision of transparent billing and service information. Entities supplying water and wastewater services on Christmas Island must adhere to the fee structure outlined in the Determination and ensure that consumers are invoiced and charged appropriately.
Breaches of the provisions set out in the Determination may result in civil or criminal consequences, depending on the nature and severity of the non-compliance. While specific offences and penalties are not detailed in the explanatory statement, breaches of similar ordinances generally carry potential penalties. These could include fines for non-compliance, administrative actions by the Administrator, or in more severe cases, prosecution under the relevant legislation. The exact penalties would depend on the specific breach and the discretion of the enforcing authorities.