Energy Coordination Act 1994

Energy Coordination (Last Resort Supply) Regulations 2005

 

Energy Coordination (Last Resort Supply) Regulations 2005

Contents

Part 1 — Preliminary

1.Citation1

2.Commencement1

3.Terms used in these regulations1

Part 2 — Last resort supply plan

4.Objectives of last resort supply plan3

5.General content of last resort supply plan3

6.Grace periods4

7.Last resort supply fee4

8.Notification procedures for the supplier of last resort5

Part 3 — Miscellaneous

9.Supplier of last resort to consult7

10.Notification procedures for the Authority7

11.Supply to transferred customers governed by standard form contract8

Notes

Compilation table9

Defined terms

 

Energy Coordination Act 1994

Energy Coordination (Last Resort Supply) Regulations 2005

Part 1  Preliminary

1.Citation

These regulations are the Energy Coordination (Last Resort Supply) Regulations 2005.

2.Commencement

These regulations come into operation on the day on which Part 3 Division 8 of the Energy Legislation Amendment Act 2003 comes into operation.

3.Terms used in these regulations

In these regulations, unless the contrary intention appears —

affected participant, in relation to a last resort supply plan, means —

(a)a person who operates a pipeline that is used to transport gas into a distribution system in the relevant supply area;

(b)a person who holds a distribution licence for a distribution system in the relevant supply area;

(c)a person who holds a trading licence for the sale of gas in the relevant supply area;

(d)a person who sells gas to the supplier of last resort for supply by the supplier of last resort to customers in the relevant supply area;

(e)a person who is prescribed for the purposes of section 11ZOD(1)(b) in relation to the retail market rules for a distribution system in the relevant supply area; and

(f)the formal entity referred to in section 11ZOF(1)(b) for an approved retail market scheme for a distribution system in the relevant supply area,

but does not include the supplier of last resort;

another supplier means a person who holds a trading licence, including the supplier of last resort;

customers, in relation to a last resort supply plan, means the small use customers to whom the plan applies;

grace period has the meaning given to that term in regulation 6(1);

last resort supply fee means the fee referred to in regulation 7(1);

relevant supply area means the supply area to which a last resort supply plan applies;

section means a section of the Act;

transfer means the transfer of customers to a supplier of last resort under a last resort supply plan;

transferred customer means a customer who is transferred to a supplier of last resort under a last resort supply plan.

Part 2  Last resort supply plan

4.Objectives of last resort supply plan

(1)A last resort supply plan must meet the objectives set out in subregulation (2).

(2)The objectives are that the plan will, if it comes into operation —

(a)adequately safeguard the interests of customers and ensure continuity in the supply of gas to customers;

(b)ensure that adequate information is given to customers about the arrangements for the supply of gas;

(c)ensure that the terms and conditions under which gas is supplied to customers by the supplier of last resort, and the prices associated with that supply, are equitable; and

(d)set out arrangements that are inexpensive to implement and enable the supplier of last resort to recover its costs.

5.General content of last resort supply plan

A last resort supply plan must set out —

(a)the rights, powers and duties of the supplier of last resort and affected participants if the plan comes into operation;

(b)a general description of any contractual arrangements entered into by the supplier of last resort that are necessary to ensure the supply of gas if the plan comes into operation;

(c)provisions that ensure that adequate information is given to customers about the arrangements under the plan; and

(d)the process for the transfer of customers to the supplier of last resort including provisions about —

(i)when the transfer will occur; and

(ii)the terms and conditions under which it will occur.

6.Grace periods

(1)A last resort supply plan may make provision for customers to be given a period of time (a grace period) in which they can transfer to another supplier instead of being transferred to the supplier of last resort under the plan.

(2)If a last resort supply plan makes provision for a grace period, the plan must —

(a)specify when the grace period begins and when it ends; and

(b)provide that, if a customer does not transfer to another supplier during the grace period, the customer will be transferred to the supplier of last resort as soon as is practicable after the end of the grace period.

7.Last resort supply fee

(1)A last resort supply plan may make provision for a fee payable by transferred customers to the supplier of last resort.

(2)If a last resort supply plan makes provision for a last resort supply fee, the plan must specify —

(a)the amount of the fee;

(b)the method used to calculate it; and

(c)when it is payable.

(3)The method used to calculate the last resort supply fee must take into account —

(a)the benefits that the supplier of last resort forecasts it will receive; and

(b)the costs that the supplier of last resort forecasts it will incur,

if the last resort supply plan comes into operation under section 11ZAD.

(4)Before approving or determining under section 11ZAG a last resort supply plan that makes provision for a last resort supply fee, the Authority must be satisfied that the last resort supply fee reflects the reasonable costs of the supplier of last resort in carrying out the arrangements and provisions in the plan.

8.Notification procedures for the supplier of last resort

(1)A last resort supply plan must make provision for the supplier of last resort to give each transferred customer notice of the transfer as soon as is practicable after the transfer occurs.

(2)The plan must require the notice to be in writing and to contain the following information —

(a)the reasons for the order under section 11ZAD(1);

(b)the day on which the last resort supply plan came into operation (being the day referred to in section 11ZAD(1));

(c)an outline of the effect of the arrangements under the last resort supply plan including —

(i)when the transfer occurred;

(ii)the terms and conditions under which the transfer occurred;

(iii)that consent was not required for the transfer;

(iv)the terms and conditions under which gas is supplied to the customer by the supplier of last resort, including any requirement to pay a last resort supply fee; and

(v)the duration of the arrangements;

and

(d)contact details for the supplier of last resort including the supplier’s —

(i)business name;

(ii)business address;

(iii)postal address;

(iv)email address;

(v)internet website address; and

(vi)telephone number.

Part 3  Miscellaneous

9.Supplier of last resort to consult

A supplier of last resort must consult with the Authority and affected participants when preparing a draft last resort supply plan under section 11ZAF(a).

10.Notification procedures for the Authority

(1)As soon as is practicable after the publication of an order under section 11ZAD(1), the Authority must —

(a)give the supplier of last resort and each affected participant notice in writing of the order; and

(b)publish a notice in a newspaper circulating in the relevant supply area.

(2)A notice under subregulation (1)(b) must —

(a)state that the Authority has made an order under section 11ZAD(1);

(b)specify the reasons for the order;

(c)specify the day on which the last resort supply plan comes into operation (being the day referred to in section 11ZAD(1)); and

(d)give contact details for the supplier of last resort including the supplier’s —

(i)business name;

(ii)business address;

(iii)postal address;

(iv)email address;

(v)internet website address; and

(vi)telephone number.

(3)A notice under subregulation (1)(b) must also give an outline of the effect of the arrangements under the last resort supply plan including —

(a)the process for the transfer of customers to the supplier of last resort, including information about —

(i)when the transfer will occur; and

(ii)the terms and conditions under which it will occur;

(b)that consent is not required for the transfer;

(c)the terms and conditions under which gas will be supplied to transferred customers by the supplier of last resort, including any requirement to pay a last resort supply fee and, if there is such a requirement, the amount of the fee; and

(d)if the last resort supply plan makes provision for a grace period —

(i)when the grace period begins and when it ends; and

(ii)the right of customers, during the grace period, to transfer to another supplier.

11.Supply to transferred customers governed by standard form contract

(1)On and from the day on which a transfer occurs each transferred customer is to be taken to have entered into the supplier of last resort’s standard form contract for the supply of gas.

(2)In subregulation (1) —

standard form contract has the meaning given to that term in section 11WB.

 

Notes

1This is a compilation of the Energy Coordination (Last Resort Supply) Regulations 2005. The following table contains information about those regulations.

Compilation table

Citation

Gazettal

Commencement

Energy Coordination (Last Resort Supply) Regulations 2005

13 May 2005 p. 2059‑70

14 May 2005 (see r. 2 and Gazette 13 May 2005 p. 2073)

 

 

Defined terms

 

[This is a list of terms defined and the provisions where they are defined. The list is not part of the law.]

Defined termProvision(s)

affected participant3

another supplier3

customers3

grace period3, 6(1)

last resort supply fee3

relevant supply area3

section3

standard form contract11(2)

transfer3

transferred customer3