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Legislative Council - Fifty-First Parliament, Third Session (51-3)
2009-09-22 Daily Xml
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STATUTES AMENDMENT (ELECTRICITY AND GAS—INFORMATION MANAGEMENT AND RETAILER OF LAST RESORT) BILL

Introduction and First Reading

Received from the House of Assembly and read a first time.

Second Reading

The Hon. P. HOLLOWAY (Minister for Mineral Resources Development, Minister for Urban Development and Planning, Minister for Small Business) (22:39): I move:

That this bill be now read a second time.

I seek leave to have the second reading explanation inserted in Hansard without my reading it.

Leave granted.

The Technical Regulator has various powers and functions under the Electricity Act 1996 and the Gas Act 1997 (the Acts), related mainly to the monitoring and regulation of safety and technical standards with respect to the electricity and gas supply industries.

The Bill includes amendments to remove barriers in section 11 of the Electricity Act 1996 and section 11 of the Gas Act 1997 to the provision, by the Technical Regulator of information gained in the course of performance of the Technical Regulator's functions under the Acts, to other parties, and to extend the existing Retailer of Last Resort (RoLR) regime for a further five years to 2015.

Section 11 of each Act requires the Technical Regulator to preserve the confidentiality of information that could affect the competitive position of an electricity or gas entity or another person, or is commercially sensitive for some other reason. The only disclosure of such information that is expressly allowed is between persons engaged in the administration of the Acts, including the Essential Services Commission of South Australia (ESCOSA).

As worded, there is doubt as to whether the Technical Regulator is permitted to pass confidential information to a range of other authorities, such as the Crown Solicitor's Office for purposes of the administration or enforcement of the Acts that the Technical Regulator administers. Similarly, there is doubt as to whether confidential information may be provided to the Commissioner for Consumer Affairs, who is responsible for the licensing of electrical and gas contractors, electricians and gas fitting workers under the Plumbers, Gas Fitters and Electricians Act 1995 and disciplinary proceedings for its enforcement. The Bill will, in specified circumstances, enable the Technical Regulator to pass information to the Crown Solicitor's Office and the Commissioner for Consumer Affairs to assist in the proceedings, as well as to ESCOSA and the Minister.

The Bill also enables, again in defined circumstances, the Technical Regulator to pass information to South Australian, interstate or Commonwealth government bodies to assist them with the administration and enforcement of other laws. This applies when, for example, persons who are the subject of an investigation for non-compliance with safety requirements under the Acts move interstate to continue such activities.

The Bill also permits confidential information to be provided to other Government agencies for purposes related to the performance of their functions. This enables the Technical Regulator to be involved in schemes such as the auditing of insulation rebates on behalf of the Commonwealth. The laying of insulation is covered by Standards, compliance with which is required by regulations under the Electricity Act 1996.

The Bill also clarifies that information may be provided with the consent of the person who provided the information, or to whom the information relates, as required by a court or Tribunal, and enables it to be provided as authorised by the Minister.

The Bill also deletes a reference in section 11 of the Gas Act 1997 to the repealed Gas Pipelines Access (South Australia) Law and substitutes a reference to the current National Gas (South Australia) Law.

Retailer of Last Resort

A Retailer of Last Resort (RoLR) scheme is intended to ensure that electricity customers continue to receive supplies in circumstances where their existing retailer is unable to continue to provide that supply. This may be because the retailer ceases to be licensed to sell electricity or because it is unable to access electricity in the wholesale market to supply its customers.

ETSA Utilities is the current South Australian electricity RoLR. The requirement to provide RoLR services to cover a failed electricity retailer is imposed under section 23(1)(n)(ix) of the Electricity Act, with the Act specifying that this requirement continues until 30 June 2010.

The Bill extends ETSA's responsibility as the RoLR until 30 June 2015, pending resolution of a national RoLR framework, which will not occur until after 30 June 2010.

I commend the Bill to Members.

Explanation of Clauses

Part 1—Preliminary

1—Short title

2—Commencement

3—Amendment provisions

These clauses are formal.

Part 2—Amendment of Electricity Act 1996

4—Amendment of section 11—Obligation to preserve confidentiality

This clause substitutes a new subsection (1a) into the Electricity Act 1996 that provides the Technical Regulator with additional authority to share otherwise confidential information.

Proposed paragraph (a) provides that the Technical Regulator may share confidential information as reasonably required in connection with the administration or enforcement of the Electricity Act 1996 or otherwise related to the performance of the Technical Regulator's functions under any other Act.

Proposed paragraph (b) provides that the Technical Regulator may share confidential information to a person concerned in the administration of another law of the State, or a law of the Commonwealth or another State or a Territory of the Commonwealth, for purposes related to the administration or operation of that other law.

Proposed paragraph (c) provides that the Technical Regulator may share confidential information to a government agency or instrumentality of this State, the Commonwealth or another State or Territory of the Commonwealth for purposes related to the performance of its functions (or to a person acting on behalf of such a government agency or instrumentality).

Proposed paragraph (d) provides that the Technical Regulator may share confidential information with the consent of the person who gave the information or to whom the information relates.

Proposed paragraph (e) provides that the Technical Regulator may share confidential information as required by a court or tribunal constituted by law.

Proposed paragraph (f) provides that the Technical Regulator may share confidential information as authorised by the Minister.

5—Amendment of section 23—Licences authorising operation of transmission or distribution network

Section 23 creates the retailer of last resort requirement that applies to a licence authorising the operation of a distribution network by an electricity entity. Currently, that requirement is to operate until 30 June 2010. This clause proposes to extend the operation of the retailer of last resort requirement until 30 June 2015.

Part 3—Amendment of Gas Act 1997

6—Amendment of section 11—Obligation to preserve confidentiality

This clause substitutes a new subsection (2) into section 11 of the Gas Act 1997 that provides the Technical Regulator with additional authority to share otherwise confidential information.

Proposed paragraph (a) provides that the Technical Regulator may share confidential information as reasonably required in connection with the administration or enforcement of the Gas Act 1997, the National Gas (South Australia) Law or otherwise related to the performance of the Technical Regulator's functions under any other Act.

Proposed paragraph (b) provides that the Technical Regulator may share confidential information to a person concerned in the administration of another law of the State, or a law of the Commonwealth or another State or a Territory of the Commonwealth, for purposes related to the administration or operation of that other law.

Proposed paragraph (c) provides that the Technical Regulator may share confidential information to a government agency or instrumentality of this State, the Commonwealth or another State or Territory of the Commonwealth for purposes related to the performance of its functions (or to a person acting on behalf of such a government agency or instrumentality).

Proposed paragraph (d) provides that the Technical Regulator may share confidential information with the consent of the person who gave the information or to whom the information relates.

Proposed paragraph (e) provides that the Technical Regulator may share confidential information as required by a court or tribunal constituted by law.

Proposed paragraph (f) provides that the Technical Regulator may share confidential information as authorised by the Minister.

Debate adjourned on motion of Hon. S.G. Wade.

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