15—Exemptions from requirement to be licensed
(1) A person who carries on operations in the electricity supply industry (the "operator") is exempt from the requirement to hold a licence under the Act authorising the operations if the electricity in relation to which the operations are carried on is only for the consumption of 1 or more of the following:
(a) the operator;
(b) a designated body;
(c) a person at premises occupied or used by the person as a tenant or licensee (whether directly or indirectly) of the operator or a designated body where that person is not charged for the supply of electricity except by an electricity entity or as an unspecified part of rent or charges for the occupation or use of the premises.
(2) A person who carries on the generation of electricity is exempt from the requirement to hold a licence under the Act authorising the operations if—
(a) the generating plant has a rated nameplate output of 100 kVA or less; or
(b) the person does not supply electricity for reward to or by means of a transmission or distribution network.
(3) A person who carries on operations as an inset network operator or inset network retailer is exempt from the requirement to hold a licence under the Act authorising the operations subject to the following conditions:
(a) a transitional inset customer may only be charged for—
(i) electricity supplied through the inset network on or after 1 January 2003; or
(ii) services or things provided on or after that date in connection with that supply of electricity,
an amount not exceeding the applicable amount (if any) according to the scale of charges fixed by the Commission under subregulation (4);
(b) an inset customer must be kept informed of—
(i) the nature of any arrangements for the purchase of electricity for the inset network made between the inset network operator or retailer and a licensed retailer for any period for which the customer purchases electricity from the inset network retailer; and
(ii) if the customer is to make a payment for or contribution towards the cost of electricity consumed in common areas, or for shared facilities, at the premises served by the inset network—
(A) the total amount of electricity so consumed; and
(B) the amount paid by the inset network operator or retailer for that electricity;
(c) an inset customer (other than a transitional inset customer) must have an effective right of access to a licensed retailer of the customer's choice;
(d) the inset network operator or retailer must follow processes of a kind approved by the Commission to resolve disputes with inset customers about the sale or supply of electricity.
(4) The Commission must fix a scale of charges for classes of inset customers for the purposes of subregulation (3)(a) that the Commission considers fair and reasonable having regard to the prices that such classes of customers could obtain from licensed retailers.
(5) An exemption under this regulation is (in addition to any other condition to which it is expressed to be subject under this regulation) subject to the condition that the person comply with any requirement imposed by or under the Act, these regulations, the National Electricity Rules or a code made by the Commission under the Essential Services Commission Act 2002 as if the person were an electricity entity authorised by a licence to carry on the operations to which the exemption relates.
(6) An exemption from subregulation (5), or from specified requirements referred to in that subregulation, may be granted by—
(a) in relation to Part 6 of the Act or Part 10, Part 11 and Part 12 of these regulations or any safety requirement—the Technical Regulator, on terms and conditions the Technical Regulator considers appropriate; or
(b) in any other case—the Commission, on terms and conditions the Commission considers appropriate.
(7) For the purposes of this regulation, an inset customer has "an effective right of access to a licensed retailer of the customer's choice only if the customer may—
(a) have access to and use the inset network for the purpose of consuming electricity purchased by the customer from a licensed retailer of the customer's choice; and
(b) install, maintain and use meters and other equipment necessary for that purpose,
without any charge being payable by the customer (other than to the licensed retailer) or by the licensed retailer.
(8) In this regulation—
"community or strata title premises" means premises the subject of the same community plan under the Community Titles Act 1996 or the same strata plan under the Strata Titles Act 1988 ;
"designated body" means a body or group of persons designated by the Minister by notice in the Gazette;
"inset customer", in relation to an inset network, means a person (other than the inset network operator or the inset network retailer) who has or seeks a supply of electricity from the inset network;
"inset network" means a transmission or distribution network that serves only a group of premises in the same ownership or community or strata title premises;
"inset network operator" means a person who operates an inset network;
"inset network retailer" means a person (other than an electricity entity) who retails electricity supplied through an inset network;
"licensed retailer" means an electricity entity licensed to retail electricity;
"premises" includes part of premises;
"transitional inset customer" means—
(a) an inset customer who occupies or uses part of a group of premises in the same ownership under a lease or licence granted before 1 January 2003,
but does not include an inset customer if—
(b) the premises served by the inset network resulted from or were affected by building work commenced on or after the commencement of this regulation; and
(c) there were no inset customers residing or carrying on business at the premises served by the network during all or part of the period over which the building work was carried out.
(9) The Minister may—
(a) by notice in the Gazette, designate a body or group of persons for the purposes of the definition of "designated body"; and
(b) by subsequent notice in the Gazette, vary or revoke a notice under this subregulation.