South Australian Numbered Acts South Australian Numbered ActsAfter Part 5 insert:
Part 6—Transfer of economic regulation of electricity distribution to
AER—local provisions
16—Interpretation
(1) In this Part,
unless the contrary intention appears—
"EPO" means the Electricity Pricing Order made by the Treasurer under
section 35B of the Electricity Act 1996 on
11 October 1999, as varied from time to time under that Act;
"ESCoSA" means the Essential Services Commission established under the
Essential Services Commission Act 2002 ;
"ESCoSA distribution determination" means the 2005-2010 Electricity
Distribution Price Determination made by ESCoSA in April 2005, as varied from
time to time;
"ETSA Utilities" has the same meaning as in the EPO;
"National Electricity Law" means the National Electricity Law set out in the
Schedule to this Act as in force from time to time;
"NEC" means the National Electricity Code;
"network services" has the same meaning as in the Electricity Act 1996 ;
"relevant Amendment Act" means the National Electricity (South Australia)
(National Electricity Law—Miscellaneous Amendments) Amendment Act 2007 ;
"relevant day" means the day on which the relevant Amendment Act comes into
operation;
"small customer" has the same meaning as in the Electricity Act 1996 .
(2) A reference in
this Part to the National Electricity Law includes a reference to the old
National Electricity Law.
17—Provision of information and assistance by ESCoSA
(1) Despite any other
Act or law, ESCoSA is authorised, on its own initiative or at the request of
the AER—
(a) to
provide the AER with such information (including information given in
confidence) in the possession or control of ESCoSA that is reasonably required
by the AER for the purposes of this Part or the National Electricity Law; and
(b) to
provide the AER with such other assistance as is reasonably required by the
AER to perform or exercise a function or power under this Part or the
National Electricity Law.
(2) Despite any other
Act or law, ESCoSA may authorise the AER to disclose information provided
under subsection (1) even if the information was given to ESCoSA in
confidence.
(3) Nothing done, or
authorised to be done, by ESCoSA in acting under subsection (1) or
(2)—
(a)
constitutes a breach of, or default under, an Act or other law; or
(b)
constitutes a breach of, or default under, a contract, agreement,
understanding or undertaking; or
(c)
constitutes a breach of a duty of confidence (whether arising by contract, in
equity or by custom) or in any other way; or
(d)
constitutes a civil or criminal wrong; or
(e)
terminates an agreement or obligation or fulfils any condition that allows a
person to terminate an agreement or obligation, or gives rise to any other
right or remedy; or
(f)
releases a surety or any other obligee wholly or in part from an obligation.
18—Price determinations
(1) The
ESCoSA distribution determination continues in operation for the purposes of
the law of the State despite the amendments to the National Electricity (South
Australia) Law effected by the relevant Amendment Act until the end of the
regulatory period specified by that determination.
(2) ESCoSA—
(a) will
continue to be responsible for the operation, administration and enforcement
of the ESCoSA distribution determination; and
(b) will
cease to be responsible to make a further distribution determination in
respect of ETSA Utilities from the relevant day.
(3) In connection with
the operation of subsections (1) and (2)(a), the National Electricity
Law, the Rules, the NEC and the EPO, as in force from time to time before the
commencement of this subsection, will be taken to continue to apply with
respect to the ESCoSA distribution determination (and the amendments effected
by the relevant Amendment Act will be disregarded).
(4) On or after the
relevant day, the AER must, when acting under the National Electricity (South
Australia) Law—
(a)
comply with the requirements under subsection (5); and
(b) give
effect to the provisions of the EPO (as in force from time to time).
(5) The requirements
under this subsection are as follows:
(a) the
AER must, in making a distribution determination or approving a pricing
proposal for the purposes of the Rules, ensure that the prices charged to
small customers for network services in relation to distribution services in
the State are not subject to variation on the basis of location;
(b) the
AER must only approve a distribution loss factor that has been calculated for
the purposes of the Rules by ETSA Utilities if the distribution loss
factor—
(i)
has been calculated on a State-wide basis by reference to
voltage level and proximity of a customer's metering point to a transformer;
and
(ii)
is not related to the relative length of a distribution
line involved in supplying electricity to the customer;
(c) the
AER must determine any transmission loss factor using a single virtual
transmission node for small customers that has been calculated for the
purposes of the Rules by the holder of a licence under the Electricity
Act 1996 authorising the operation of a transmission network on a
State-wide basis;
(d) the
AER must ensure that any method of allocation agreed with ETSA Utilities in
relation to transmission use of system costs paid by ETSA Utilities requires
the allocation of those costs to ETSA Utilities' small customers on a
State-wide basis that ensures that the rates charged with respect to all such
small customers are not subject to variation on the basis of location.
(6) In connection with
the operation of subsections (4) and (5)—
(a) the
EPO will be taken to continue to apply as if the AER were the Regulator under
the EPO; and
(b) for
the avoidance of doubt, in the event of an inconsistency between the operation
or effect of subsection (5) and the EPO, subsection (5) prevails.
(7)
Subsections (4), (5) and (6) apply until the EPO is varied or revoked so
that it no longer applies to distribution determinations.
(8) This section
applies despite any provision to the contrary in the National Electricity Law
or the Rules (and, to the extent of any inconsistency between such a provision
and the operation or effect of this section, this section prevails).