29—Insertion of Part 3 Divisions 3A and 3B
Part 3—after Division 3 insert:
Division 3A—Standing contracts and default contracts
34A—Standing contracts
(1) This section
applies to a gas entity holding a licence authorising the retailing of gas
that is declared by the Governor under this section to be a gas entity to
which this section applies.
(2) It is a condition
of the gas entity's licence that the entity must, at the request of a small
customer or customer of a prescribed class, agree to sell and supply gas to
the customer at the entity's standing contract price and subject to the
entity's standing contract terms and conditions.
(3) A customer to whom
the gas entity was selling gas immediately before the commencement of this
section is, on that commencement, if—
(a) the
customer is then a small customer or a customer of a prescribed class; and
(b) has
not contracted with another gas entity for the purchase of gas from that
commencement,
to be taken to have requested that the entity sell and supply gas to the
customer on the basis referred to in subsection (2).
(4) The entity is not
required to sell and supply gas to a customer in compliance with the condition
imposed under subsection (2) if the entity is entitled in accordance with the
entity's standing contract terms and conditions to refuse to sell and supply
gas to the customer.
(5) The Governor may,
by proclamation—
(a)
declare that this section applies to a specified gas entity; and
(b) vary
or revoke such a declaration.
(6) In this
section—
"standing contract price", in relation to a gas entity and a customer, means
whichever of the following is the price last fixed:
(a) the
price last fixed under this Act for the sale and supply of gas to a class of
customers to which the customer belongs;
(b) a
price fixed by the entity as the entity's standing contract price for a class
of customers to which the customer belongs by notice published in the Gazette
and in a newspaper circulating generally in the State, where—
(i)
the price was fixed by the notice with effect from the
end of the period of 3 months from the date of publication of the notice; and
(ii)
the notice contained a statement of the entity's
justification for the price; and
(iii)
the Commission did not, within the period of 3 months,
fix the entity's standing contract price as referred to in paragraph (c);
(c) a
price fixed by the Commission as the entity's standing contract price for a
class of customers to which the customer belongs by a determination of a kind
referred to in section 33(1)(a);
"standing contract terms and conditions" means terms and conditions that have
been published by the gas entity under section 34 as the entity's
standing contract terms and conditions.
(7) The Governor may,
by proclamation, fix a day on which this section expires.
34B—Default contracts
(1) This section
applies to a gas entity holding a licence authorising the retailing of gas
that sells gas to one or more small customers in South Australia.
(2) It is a condition
of the gas entity's licence that the entity must, if the entity becomes bound,
in accordance with the regulations, to sell and supply gas to a small customer
under a default contract arrangement for a period specified in the
regulations—
(a) give
the customer a written notice in accordance with the regulations; and
(b) sell
and supply gas to the customer at the entity's default contract price and
subject to the entity's default contract terms and conditions for that period.
(3) In this
section—
"default contract price", in relation to a gas entity and a customer, means
whichever of the following is the price last fixed:
(a) the
price last fixed under this Act for the sale and supply of gas to a class of
customers to which the customer belongs;
(b) a
price fixed by the entity as the entity's default contract price for a class
of customers to which the customer belongs by notice published in the Gazette
and in a newspaper circulating generally in the State, where—
(i)
the price was fixed by the notice with effect from the
end of the prescribed period from the date of publication of the notice; and
(ii)
the notice contained a statement of the entity's
justification for the price; and
(iii)
the Commission did not, within the prescribed period, fix
the entity's default contract price as referred to in paragraph (c);
(c) a
price fixed by the Commission as the entity's default contract price for a
class of customers to which the customer belongs by a determination of a kind
referred to in section 33(1)(a);
"default contract terms and conditions" means terms and conditions that have
been published by the gas entity under section 34 as the entity's
default contract terms and conditions.
Division 3B—Retailer of last resort scheme
34C—Retailer of last resort scheme
The regulations may make provision—
(a)
requiring the Commission to make the licence of a prescribed gas entity
subject to conditions requiring the entity to sell and supply gas (on terms
and conditions approved by the Commission) to customers of another gas entity
in the event that the Minister declares the other entity to be in default; and
(b)
empowering the Minister to declare, by notice in the Gazette, that a gas
entity specified in the notice is in default for the purposes of paragraph (a)
if the Minister is satisfied that prescribed circumstances apply to the
entity; and
(c)
relating to the period for which the obligation to sell and supply gas to
customers of another gas entity will continue to apply; and
(d)
requiring the Commission to make a prescribed licence, or licence of a
prescribed class, subject to conditions imposing obligations on the gas entity
in the event that a declaration referred to in paragraph (b) is made by the
Minister.
34D—Minister's power to require information
(1) The Minister may
require the Commission, a gas entity or other person to give the Minister,
within a time specified by the Minister (which must be reasonable),
information in the person's possession that the Minister reasonably requires
for the purposes of this Division.
(2) A person required
to give information under this section must provide the information within the
time specified by the Minister.
Maximum penalty: $20 000.