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Explanatory note
This explanatory note relates to this Bill as introduced into Parliament.
Overview of Bill
The object of this Bill is to establish a mandatory renewable energy target in relation
to all electricity consumed in New South Wales.This Bill closely follows the form and structure of the Victorian renewable energy
scheme implemented under the Victorian Renewable Energy Act 2006 of Victoria
and is similar in principle to the Commonwealth renewable energy scheme
implemented under the Renewable Energy (Electricity) Act 2000 of the
Commonwealth.The scheme facilitates the operation of a renewable energy market based on tradeable
renewable energy certificates created and sold by persons who generate electricity
using renewable energy sources.Certain persons who acquire electricity from the national electricity market for use
in New South Wales or who generate electricity for their own use or for retail supply
in New South Wales will be required to acquire a certain percentage of electricity
from renewable energy sources each year.To comply with the renewable energy target, it is necessary to surrender certificates
that are created by energy generators that generate electricity using renewable energy
sources (such as hydro, wind and solar). If a power station generates electricity using
renewable energy sources, the power station must be accredited under the Act before
certificates can be created in relation to the generation of the electricity. A simplified
procedure applies in relation to small generation units that use renewable energy
sources.
Outline of provisions
Part 1 Preliminary
Clause 1 sets out the name (also called the short title) of the proposed Act.Clause 2 provides for the commencement of the proposed Act on 1 January 2008,
subject to earlier proclamation.Clause 3 defines certain words and expressions used in the proposed Act.
Certificate is defined as a renewable energy certificate created under the proposed
Act.Eligible renewable energy source is defined as the energy sources in respect of
which certificates may be created—see clause 22 for a list of these sources.Energy acquisition statement is defined as the annual statement that must be lodged
by a relevant entity with the Scheme Administrator—see Part 5.Relevant entity is defined as a person who makes a scheme acquisition and who must
surrender certificates accordingly—see clause 60.Relevant power station is defined as a power station that is a Market Generator
within the meaning of the National Electricity Rules, as in force from time to time,
referred to in the National Electricity (NSW) Law.Renewable energy shortfall penalty is defined as the penalty payable if a relevant
entity does not surrender sufficient certificates in respect of a year—see Part 4.Scheme acquisition is defined as the kinds of acquisitions of electricity which result
in the requirement for certain persons (relevant entities) to surrender certificates (see
also the definition of relevant entity and clause 60).Scheme Administrator is defined as a person or body appointed for the time being
under the proposed Act to exercise any of the functions of the Scheme Administrator
under the proposed Act—see Part 8.Scheme capacity is defined as the generation capacity of an accredited power station
in respect of which certificates may be created—see clauses 17 and 26.Clause 4 sets out the objects of the proposed Act.
Clause 5 sets out an outline of the proposed Act for explanatory purposes.
Clause 6 provides that the proposed Act binds the Crown.
Clause 7 provides for the proposed Act to have extra-territorial operation.
Part 2 Renewable energy certificates
Division 1 Registration of persons
Clause 8 provides for the making of applications for registration under the proposed
Act. Only registered persons may create certificates under the proposed Act.Clause 9 sets out requirements which the Scheme Administrator may make with
respect to an application for registration.Clause 10 provides that the Scheme Administrator may approve or refuse an
application for registration.Clause 11 provides for the allocation of unique registration numbers.
Division 2 Provisional accreditation of power stations
Clause 12 provides for the making of applications for provisional accreditation of
relevant power stations. Provisional accreditation is a pre-cursor to obtaining full
accreditation under the proposed Act.Clause 13 provides that the Scheme Administrator may approve or refuse an
application for provisional accreditation of a relevant power station.Clause 14 specifies the time (40 business days) within which the Scheme
Administrator must decide an application for provisional accreditation. A longer
period may be agreed with the applicant.Division 3 Accreditation of power stations
Clause 15 provides for the making of applications for accreditation of relevant
power stations. If a power station is accredited under the proposed Act, certificates
may be created in respect of power generated (using renewable energy sources) by
the power station.Clause 16 sets out requirements which the Scheme Administrator may make with
respect to an application for accreditation.Clause 17 requires the Scheme Administrator to decide various matters in relation to
the accreditation of a power station, including which components of the system
comprise a relevant power station for the purposes of the proposed Act, whether the
relevant power station is eligible for accreditation, the power station’s pre-scheme
capacity, the power station’s scheme capacity, and any energy sources used by the
relevant power station that are not eligible renewable energy sources.Clause 18 provides that the Scheme Administrator may approve or refuse an
application for accreditation.Clause 19 specifies the time (40 business days) within which the Scheme
Administrator must decide an application for accreditation. A longer period may be
agreed with the applicant.Clause 20 provides that the applicant for accreditation (who must be a registered
person under Division 1) will be the nominated person for the accredited power
station. The nominated person will be able to create renewable energy certificates
(see clause 26).Clause 21 provides for the allocation of unique identification codes for accredited
power stations.Clause 22 lists the energy sources that are eligible renewable energy sources for the
purposes of the proposed Act—for example, hydro, wave, wind, geothermal-aquifer,
agricultural waste, and landfill gas. Solar energy is included, but not solar energy
used primarily for heating water.Clause 23 makes it clear that fossil fuels, material or waste products derived from
fossil fuels and native forest bio-material, are not eligible renewable energy sources
for the purposes of the proposed Act.Clause 24 provides that the regulations may specify additional energy sources as
eligible renewable energy sources.Clause 25 provides that the scheme rules may make further provision with respect to
the energy sources referred to in clauses 22 and 23.Division 4 Creation of certificates
Subdivision 1 Electricity generation
Clause 26 establishes the entitlement of a nominated person to create a certificate for
each whole megawatt hour (MWh) of electricity generated from eligible renewable
energy sources by an accredited power station utilising scheme capacity.Clause 27 provides that a certificate may be created following the generation of the
final part of electricity in relation to which the certificate is created and before the
end of the year after the year of generation.Clause 28 makes provision for participation in the scheme by persons who
participate in other renewable energy schemes (known as scheme switching). In
particular, the clause provides that a nominated person must not create certificates for
electricity generated if:
(a) a renewable energy certificate under a corresponding Act has been created in
respect of that electricity, or
(b) an abatement certificate under Part 8A of the Electricity Supply Act 1995 has
been created in respect of the generation of that electricity, or
(c) a certificate, credit or other thing conferring a similar benefit to the benefit
conferred by a renewable energy certificate under the proposed Act has been
created in respect of the generation of that electricity under a voluntary
renewable energy scheme.Clause 29 requires a nominated person for an accredited power station to provide an
audited electricity generation return for a year to the Scheme Administrator by
14 March in the following year. The return will include details of the amount of
electricity generated by the power station during the year utilising scheme capacity,
the amount of that electricity generated from eligible renewable energy sources, and
the number of certificates created during the year.Subdivision 2 Small generation units
Clause 30 provides that a certificate may be created in relation to a small generation
unit installed on or after 1 January 2007 (but not before the commencement of this
clause). Small generating units must use eligible renewable energy sources and the
scheme rules will specify the size of different types of units—for example, hydro,
wind or solar.Clause 31 provides that the number of certificates that may be created in relation to
a small generation unit is to be determined in accordance with the scheme rules.Clause 32 entitles the owner of a small generation unit to create a certificate. An
owner may assign this entitlement to another person. However, the person who
creates the certificates must be registered under Division 1.Clause 33 provides that a registered person must not create certificates in relation to
a small generation unit under Subdivision 1 (that is, as for an accredited power
station) unless an election is made under clause 35.Clause 34 makes provision for participation in the scheme by persons who
participate in other renewable energy schemes (known as scheme switching). In
particular, the clause provides that a registered person must not create certificates in
respect of electricity generated by a small generation unit if:
(a) a renewable energy certificate under a corresponding Act has been created in
respect of that electricity, or
(b) an abatement certificate under Part 8A of the Electricity Supply Act 1995 has
been created in respect of the generation of that electricity, or
(c) a certificate, credit or other thing conferring a similar benefit to the benefit
conferred by a renewable energy certificate under the proposed Act has been
created in respect of the generation of that electricity under a voluntary
renewable energy scheme.Clause 35 provides that the owner of a qualifying small generating unit (defined by
the scheme rules) may elect that Subdivision 2 does not apply to the creation of
certificates that relate to the unit. If an election is made, a person must not create
certificates under Subdivision 2, but may create certificates under Subdivision 1. The
election must be made within 20 business days beginning on the day the unit is
installed and prior to the creation of any certificates that relate to the unit under
Subdivision 2.Clause 36 requires a person who creates more than 250 certificates during a year
under Subdivision 2 to provide an audited electricity generation return to the Scheme
Administrator by 14 March in the following year.Subdivision 3 End of right to create certificates
Clause 37 provides that no certificates can be created under either Subdivision 1 or
2 on or after 1 January 2031.Subdivision 4 Improper creation of certificates
Clause 38 prohibits a person who is not entitled to create certificates from creating
certificates. The maximum penalty for a contravention of this clause is 60 penalty
units for an individual and 240 penalty units for a body corporate.Division 5 Form and registration of certificates
Clause 39 requires certificates in relation to accredited power stations to be created
in an electronic form approved by the Scheme Administrator. Each certificate is to
include a unique identification code.Clause 40 requires certificates in relation to small generating units to be created in
an electronic form approved by the Scheme Administrator. Each certificate is to
include a unique identification code.Clause 41 provides that a certificate is not valid until it is registered. The Scheme
Administrator must register certificates it determines are eligible for registration. The
Scheme Administrator may require a person who created a certificate to provide
information in connection with the creation of the certificate.Division 6 Transfer of certificates
Clause 42 provides that registered certificates may be transferred to any person.Clause 43 requires the Scheme Administrator to be notified of the transfer of a
certificate. The Scheme Administrator must record the transferee as the owner of the
certificate in the register of renewable energy certificates.Division 7 Retirement of certificates
Clause 44 provides that the owner of a certificate may voluntarily surrender it to the
Scheme Administrator.Clause 45 provides that a certificate ceases to be valid if it is surrendered voluntarily
or in compliance with a Scheme Administrator order. The Scheme Administrator
must adjust the register of renewable energy certificates accordingly.Division 8 Suspension of registration
Clause 46 provides for the suspension of a person’s registration for up to two years
if that person is convicted of the offence of improperly creating certificates. In the
case of a second conviction, the suspension may be for a longer period or permanent.Clause 47 provides for the suspension of a registered person’s registration for up to
12 months if the Scheme Administrator believes on reasonable grounds that the
person has committed an offence against the proposed Act or has breached an
undertaking given to the Scheme Administrator. This clause also provides for the
suspension of a person’s registration for such period (including permanently) as the
Scheme Administrator considers appropriate if the registration was obtained
improperly.Division 9 Changing the nominated person for an accredited
power station
Clause 48 provides that a registered person who is a stakeholder in relation to an
accredited power station (that is, an owner or operator of a power station) may apply
to the Scheme Administrator for approval to become the nominated person for the
power station.Division 10 Varying what constitutes a power station
Clause 49 provides that, on application by the nominated person for an accredited
power station, the Scheme Administrator may vary its decision on which components
constitute the power station for the purposes of the proposed Act.Division 11 Suspending the accreditation of a relevant power
station
Clause 50 provides for suspension of the accreditation of a power station if a gaming
arrangement (as defined) has occurred.Clause 51 provides for suspension of the accreditation of a power station on a
number of other grounds including because an electricity generation return has not
been lodged with the Scheme Administrator as required, or because the Scheme
Administrator believes on reasonable grounds that the nominated person has
breached an undertaking given to the Scheme Administrator.Clause 52 provides that the regulations may specify other circumstances in which
the Scheme Administrator may suspend the accreditation of a power station.Division 12 Varying pre-scheme capacity and scheme
capacity
Clause 53 provides that, on application by the nominated person for an accredited
power station, the Scheme Administrator may vary the pre-scheme or scheme
capacity for the power station. Such a variation will have effect on and from the time
the Scheme Administrator gives written notice.Part 3 Acquisitions of electricity
Clause 54 provides that a standard scheme acquisition is an acquisition of electricity
from NEMMCO or a person or body specified under the scheme rules. The electricity
acquired must be for use in New South Wales. A person that makes a standard
scheme acquisition (unless it is an excluded acquisition) will be required to comply
with the mandatory renewable energy targets set out in the proposed Act.Clause 55 provides that where a person generates electricity for use by that person
in New South Wales that person is taken to have made a notional scheme acquisition
at the time the person uses the electricity. The clause also provides that a retail
supplier (within the meaning of the Electricity Supply Act 1995) that acquires
electricity other than by a standard scheme acquisition, for use in New South Wales,
is taken to have made a notional scheme acquisition of electricity. A person that
makes a notional scheme acquisition (unless it is an excluded acquisition) will be
required to comply with the mandatory renewable energy targets set out in the
proposed Act.Clause 56 provides that an acquisition of electricity is an excluded acquisition if the
electricity is later acquired by NEMMCO or a person or body specified in the scheme
rules, or if the acquisition is a standard scheme acquisition or a notional scheme
acquisition specified by an order under clause 57, or by the regulations.Clause 57 enables the Governor to make an order specifying certain standard
scheme acquisitions and notional scheme acquisitions to be excluded acquisitions.Clause 58 provides that no acquisition of electricity by NEMMCO is a scheme
acquisition.Clause 59 provides that the amount of electricity acquired under a scheme
acquisition will be determined in accordance with the scheme rules. This clause
further provides that the amount of electricity acquired under a scheme acquisition
will exclude electricity used for the primary purpose of generating, transmitting or
distributing electricity.Part 4 Renewable energy certificate shortfall
Division 1 Prohibition of renewable energy certificate
shortfall
Clause 60 provides that a relevant entity is a person who makes a scheme acquisition
of electricity (that is, a standard scheme acquisition or a notional scheme
acquisition).Clause 61 prohibits a relevant entity from having a renewable energy certificate
shortfall for a year in which it makes a scheme acquisition of electricity.Clause 62 makes a relevant entity that has a renewable energy shortfall in a year
liable to pay a renewable energy shortfall penalty. The renewable energy shortfall
payable is to be calculated by multiplying the relevant entity’s renewable energy
shortfall for a year by the shortfall penalty rate for that year.Clause 63 provides that the shortfall penalty rate is $43 per MWh as varied each year
by the all groups consumer price index for Melbourne (this maintains consistency
with the Victorian renewable energy scheme). The Scheme Administrator must
publish the shortfall penalty rate for each year.Clause 64 provides for the calculation of a relevant entity’s renewable energy
certificate shortfall and carried forward surplus for a year, based on the renewable
power percentage for the year.Division 2 Renewable power percentage
Clause 65 provides that the Governor may, by order published in the Gazette, fix, on
or before 31 May in a year, the renewable power percentage in respect of that year.If an order has not fixed the renewable power percentage in respect of a year, the
percentage is to be calculated in the method contained in the scheme rules. The
renewable power percentage for 2008 is set at 0.576%.Clause 66 provides that the required gigawatt hours (GWh) of electricity from
eligible renewable energy sources for a year is set out in Schedule 1. The Minister
must have regard to the required GWh of electricity from renewable energy sources
in each year when recommending a renewable power percentage for a year. The
clause also allows Schedule 1 to be amended, by proclamation, to specify a different
amount of electricity from eligible renewable energy sources in respect of a year.Such a proclamation must be made on or before 30 September in the year before the
year in relation to which it has effect.Part 5 Statements and surrender of certificates
Clause 67 requires a relevant entity that acquired electricity under a scheme
acquisition during a year to lodge an audited energy acquisition statement for the
year on or before 30 April in the following year. An energy acquisition statement
must include the amount of electricity acquired under scheme acquisitions during the
year, the value, in MWh, of certificates being surrendered, and any carried forward
surplus.Clause 68 requires the payment by the relevant entity of fees fixed under clause 112
for the surrender of certificates detailed in the energy acquisition statement under
clause 67.Clause 69 provides that a certificate cannot be surrendered unless:
(a) it is valid, and
(b) it was created before 31 January in the year following the year to which the
energy acquisition statement relates, and
(c) the relevant entity is recorded in the register of renewable energy certificates
as the owner of the certificate.Part 6 Civil enforcement
Division 1 Renewable energy shortfall penalty
Clause 70 provides that, if the Scheme Administrator believes on reasonable
grounds that a relevant entity has a renewable energy shortfall for a year in which it
made a scheme acquisition of electricity, the Scheme Administrator may issue a
shortfall statement to the relevant entity. The shortfall statement must include the
relevant entity’s renewable energy shortfall for the year, the renewable energy
shortfall penalty that the relevant entity is liable to pay, and the due date and method
of payment of that penalty.Clause 71 provides that if the renewable energy shortfall penalty is not paid in
accordance with a shortfall notice, the Scheme Administrator may apply to a court
for a declaration that the relevant entity has a renewable energy shortfall for a year
and an order requiring the relevant entity to pay the renewable energy shortfall
penalty.Division 2 Surrender of additional certificates where
undertaking breached
Clause 72 empowers the Scheme Administrator to require a person to surrender
certificates following the issue of a certificate surrender notice. Such a notice may be
issued if the Scheme Administrator believes on reasonable grounds that the person
has breached an undertaking given to the Scheme Administrator and the Scheme
Administrator has suspended (as the case requires) the person’s registration or the
accreditation of the power station in relation to which certificates have been created
in breach of the undertaking.Clause 73 provides that if certificates are not surrendered in accordance with a
certificate surrender notice, the Scheme Administrator may apply to a court for a
declaration that an undertaking was breached and an order requiring the surrender to
the Scheme Administrator of the number of certificates specified in the order.Division 3 Surrender of additional certificates following
improper creation of certificates
Clause 74 empowers the Scheme Administrator to order a person to surrender
certificates. Such an order may be made only if a person is found guilty of an offence
under clause 38 (Improper creation of certificates). The maximum penalty for failure
to comply with an order is 600 penalty units and an additional 1 penalty unit for each
certificate that the person fails to surrender in accordance with the order.Part 7 Review of Scheme Administrator decisions
Clause 75 provides that an affected person in relation to a reviewable decision may
request that the Scheme Administrator reconsider that decision. A request must be
made within 30 business days after the making of the decision. Reviewable decisions
are set out in the Table to subclause (2) and include refusal to register a person and
refusal to accredit a power station. The Scheme Administrator will have 40 business
days in which to reconsider its original decision and if it does not respond within that
time it will be taken to have confirmed that decision.Part 8 Role of Scheme Administrator
Clause 76 provides that the Minister is to appoint a person or body to exercise the
functions of the Scheme Administrator under the proposed Act. The Scheme
Administrator is to have the functions conferred or imposed on it by or under the
proposed Act and under the terms of its appointment. More than one person or body
may be appointed as the Scheme Administrator and different persons or bodies may
be appointed to exercise particular functions of the Scheme Administrator. The
Scheme Administrator is responsible for general administration of the proposed Act,
including registration, accreditation, enforcement and reporting.Clause 77 requires the Scheme Administrator to publish specified information,
including a list of relevant entities with renewable energy certificate shortfalls. The
number of certificates created in a year, and the number of certificates surrendered in
a year, must also be published.Clause 78 requires the Scheme Administrator to provide to the Minister a report on
the operation of the proposed Act within the period of 4 months after 30 June in each
year.Part 9 Registers
Division 1 General
Clause 79 requires the Scheme Administrator to maintain various registers for the
purposes of the proposed Act.Division 2 Register of registered persons
Clause 80 provides that the register of registered persons must include the name and
registration number of each registered person and details of any suspension of
registration.Division 3 Register of accredited power stations
Clause 81 provides that the register of accredited power stations must include the
name and identification code for each accredited power station, the name of the
nominated person, and details as to capacity.Division 4 Register of renewable energy certificates
Clause 82 provides that the register of renewable energy certificates must include
details of the creation and ownership of each certificate.Division 5 Register of applications for accredited power
stations
Clause 83 provides that the register of applications for accredited power stations
must include details of applications for accreditation.Division 6 Form of registers
Clause 84 provides that registers are to be maintained electronically and must be
available for inspection on the Scheme Administrator’s internet site. Additions to the
registers must be posted within 20 business days.Part 10 Information-gathering powers
Clause 85 empowers the Scheme Administrator to require production of information
and documents relevant to the operation of the proposed Act.Clause 86 creates an offence of failing, without reasonable excuse, to comply with a
notice under clause 85. The maximum penalty is 60 penalty units for an individual or
240 penalty units for a body corporate.Clause 87 provides for protection against self-incrimination.
Clause 88 empowers the Scheme Administrator to inspect and copy documents
produced in response to a notice under clause 85.Clause 89 provides for the Scheme Administrator to retain documents provided in
response to a notice under clause 85.Part 11 Powers of authorised officers
Division 1 Appointment of authorised officers and identity
cards
Clause 90 provides for the Scheme Administrator to appoint persons with
appropriate skills, qualifications and experience as authorised officers.Clause 91 requires the Scheme Administrator to issue identity cards to authorised
officers and also requires authorised officers to carry and produce their identity
cards.Division 2 Powers of authorised officer
Subdivision 1 When may powers be exercised
Clause 92 provides that an authorised officer may exercise his or her powers only to
the extent reasonably necessary for substantiating information or determining
compliance with the proposed Act.Subdivision 2 Monitoring powers
Clause 93 provides that an authorised officer may enter premises at any reasonable
time to exercise monitoring powers (see clause 97). Entry must be with the
occupier’s consent (see also clause 95) or pursuant to a search warrant (see also
clause 96).Clause 94 requires an authorised officer to inform the occupier of the purpose of
entry.Clause 95 provides for an acknowledgement of consent to entry to be obtained from
an occupier. If an acknowledgement is not obtained, entry must be presumed to be
without consent (excluding entry pursuant to a search warrant under Division 4),
until the contrary is proved.Clause 96 applies Division 4 of Part 5 of the Law Enforcement (Powers and
Responsibilities Act 2002 if premises are entered under a search warrant. Among
other things, Division 4 of Part 5 of that Act provides for the use of reasonable force
to enter premises and enables a person to execute a search warrant with the aid of
assistants.Clause 97 sets out the monitoring powers of authorised officers, including powers to
search premises for any thing that may relate to the creation or transfer of certificates
or to scheme acquisitions, to take photographs or make video or audio recordings, to
inspect, and take extracts from or make copies of, documents, to secure any thing
found until a warrant to seize that thing is obtained. The monitoring powers also
include power to operate equipment to determine whether it contains relevant
information and power to operate facilities to put such information into documentary
or electronic form.Subdivision 3 Powers to ask questions and seek production
of documents
Clause 98 empowers an authorised officer to ask for relevant information or require
the production of a relevant document where he or she has entered premises with
consent.Clause 99 empowers an authorised officer to require relevant information or require
the production of a relevant document where he or she has entered premises under
warrant.Clause 100 creates an offence of failing, without reasonable excuse, to answer a
question or produce a document under clause 99. The maximum penalty is 60 penalty
units.Clause 101 provides for protection against self-incrimination.
Division 3 Occupiers’ rights and responsibilities
Clause 102 provides that an occupier, or the representative of an occupier, is entitled
to be present during the execution of a search warrant, so long as that person does not
impede execution of the warrant.Clause 103 requires the occupier, or the occupier’s representative, to assist an
authorised officer executing a warrant. Failure to do so will be an offence, with a
maximum penalty of 60 penalty units for an individual or 240 penalty units for a body
corporate.Division 4 Search warrants
Clause 104 allows an authorised officer to apply to an authorised officer under the
Law Enforcement (Powers and Responsibilities) Act 2002 for the issue of a search
warrant. The authorised officer may issue the warrant if he or she is satisfied that
access to premises is reasonably necessary to substantiate information or determine
compliance.Part 12 Confidentiality
Clause 105 creates offences for the disclosure of confidential or commercially
sensitive information (maximum penalty of 60 penalty units), or the use of such
information to obtain a pecuniary advantage (maximum penalty of 120 penalty
units). Subclause (3) provides for circumstances in which information may be
disclosed or used (for example, with the consent of the person who supplied the
information or where the information is in the public domain).Clause 106 provides that the Scheme Administrator is not prevented from divulging
or communicating information to certain persons, including a Minister, a
corresponding regulator, a public authority, NEMMCO, VENCorp, Sustainability
Victoria, and certain relevant Commonwealth entities.Part 13 General
Division 1 General offences
Clause 107 creates the offence of knowingly providing false or misleading
information or documents to the Scheme Administrator. The maximum penalty is 60
penalty units for an individual or 240 penalty units for a body corporate.Clause 108 creates the offence of failing to provide documents to the Scheme
Administrator as required. The maximum penalty is 60 penalty units for an
individual or 240 penalty units for a body corporate.Clause 109 provides that, if a body corporate commits an offence, an officer (as
defined) of the body corporate will also be guilty of the offence, and liable to the
penalty, if he or she was knowingly authorised or permitted the commission of the
offence.Division 2 Evidence and records
Clause 110 is an evidentiary provision with respect to Scheme Administrator
documents.Clause 111 requires registered persons and relevant entities to keep records, for five
years, of transactions and other activities pursuant to the proposed Act including
records of amounts of electricity generated, certificates created and amounts of
electricity acquired. The maximum penalty for a contravention of this requirement is
60 penalty units for an individual or 240 penalty units for a body corporate.Division 3 Fees
Clause 112 provides for the fixing of fees, including fees for registration of
certificates, review of decisions, lodging of statements and surrender of certificates.The Minister will fix fees, taking into account the Scheme Administrator’s costs and
expenses, and after consultation with any specified person or body prescribed by
regulations. Fees must be published in the Gazette and on the Scheme
Administrator’s internet site.Division 4 Scheme rules
Clause 113 provides for the making of rules by the Minister, including rules with
respect to eligibility of relevant power stations for accreditation, eligible renewable
energy sources, the amount of energy generated by an accredited power station,
electricity generation returns and audit, scheme acquisitions, annual energy
acquisition statements and audit and records to be kept. Rules must be published in
the Gazette and made available on the Scheme Administrator’s internet site. Rules
must also be tabled in Parliament and are subject to disallowance.Division 5 Miscellaneous
Clause 114 provides that an arrangement between a relevant entity and a trade
exposed electricity intensive user for the supply of electricity must not require the
trade exposed electricity intensive user to contribute to any of the relevant entity’s
costs of meeting the entity’s obligations under the proposed Act. The maximum
penalty for a contravention of this requirement is 60 penalty units for an individual
or 240 penalty units for a body corporate. A trade exposed electricity intensive user
is a person or body that is determined by the Minister, by order published in the
Gazette, to be a trade exposed electricity intensive user.Clause 115 provides that an offence under the proposed Act or the regulations may
be dealt with summarily by a Local Court or the Supreme Court in its summary
jurisdiction and places limitations on the penalty that may be imposed in proceedings
brought in a Local Court.Clause 116 permits the Minister to delegate his or her functions under the proposed
Act.Clause 117 enables the Governor to make regulations for the purposes of the
proposed Act.Clause 118 is a formal provision that gives effect to the amendment to the Law
Enforcement (Powers and Responsibilities) Act 2002 set out in Schedule 2.Clause 119 is a formal provision that gives effect to the savings, transitional and
other provisions set out in Schedule 3.Clause 120 provides for the review of the proposed Act in 5 years.
Schedule 1 Required GWh of electricity from eligible
renewable energy sources
Schedule 1 sets out the required GWh of electricity from eligible renewable energy
sources (see clause 66).Schedule 2 Consequential amendment of Law
Enforcement (Powers and
Responsibilities) Act 2002
Schedule 2 contains an amendment to the Law Enforcement (Powers and
Responsibilities) Act 2002 consequent on the enactment of the proposed Act.Schedule 3 Savings, transitional and other
provisions
Schedule 3 contains savings, transitional and other provisions consequent on the
enactment of the proposed Act.
Note: If this Bill is not modified, these Explanatory Notes would reflect the Bill as passed in the House. If the Bill has been amended by Committee, these Explanatory Notes may not necessarily reflect the Bill as passed.