Electricity Industry Amendment (Capital Charges) Bill 2026
65—1 page i
Western Australia
Electricity Industry Amendment (Capital
Charges) Bill 2026
Contents
Part 1 — Preliminary
Short title 2
Commencement 2
Part 2 — Amendments commencing
on day after Royal Assent
Electricity Industry Act 2004 amended 3
Part 9C inserted 3
Part 9C — Capital Charges Scheme
129U. Objective of Part 3
129V. Terms used 3
129W. Capital charges for access to services 4
129X. Adjustment mechanisms 5
129Y. Modification of regulations to implement or
facilitate additional circumstances 6
129Z. Code may also deal with certain matters 6
129ZA. Relationship between regulations and
Code 7
129ZB. Recommendation of Minister 7
129ZC. Coordinator’s review 8
129ZD. Disclosure of information to Coordinator 8
Part 12 inserted 9
Part 12 — Transitional provisions for Electricity
Industry Amendment (Capital Charges)
Act 2026
Terms used 9
Transitional regulations 9
Minister may deal with transitional matters 10
Electricity Industry Amendment (Capital Charges) Bill 2026
Contents
page ii
Part 3 — Amendments commencing
with Electricity Industry
Amendment (Distributed Energy
Resources) Act 2024 Part 3
6. Electricity Industry Act 2004 amended 12
7. Section 129W amended 12
8. Section 129Y amended 12
9. Section 129Z amended 12
10. Section 129ZA deleted 13
11. Section 149 amended 13
page 1
Western Australia
LEGISLATIVE ASSEMBLY
Electricity Industry Amendment (Capital
Charges) Bill 2026
A Bill for
An Act to amend the Electricity Industry Act 2004.
The Parliament of Western Australia enacts as follows:
Electricity Industry Amendment (Capital Charges) Bill 2026
Part 1 Preliminary
s. 1
page 2
Part 1 — Preliminary1
Short title2
This is the Electricity Industry Amendment (Capital Charges)3
Act 2026.4
Commencement5
This Act comes into operation as follows —6
(a) Part 1 — on the day on which this Act receives the7
Royal Assent (assent day);8
(b) Part 3 —9
(i) if the Electricity Industry Amendment10
(Distributed Energy Resources) Act 202411
section 53 comes into operation on or before12
assent day — on the day after assent day; or13
(ii) otherwise — immediately after the Electricity14
Industry Amendment (Distributed Energy15
Resources) Act 2024 section 53 comes into16
operation;17
(c) the rest of the Act — on the day after assent day.18
Electricity Industry Amendment (Capital Charges) Bill 2026
Amendments commencing on day after Royal Assent Part 2
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Part 2 — Amendments commencing on day after Royal1
Assent2
3. Electricity Industry Act 2004 amended3
This Part amends the Electricity Industry Act 2004.4
4. Part 9C inserted5
After section 129T insert:6
7
Part 9C — Capital Charges Scheme8
129U. Objective of Part9
(1) The objective of this Part is to establish a scheme to10
support connections to certain transmission systems11
that is consistent with the State electricity objective.12
(2) To achieve this objective, this Part aims to —13
(a) increase certainty for charges for access to14
services provided by means of the systems by15
providing for the imposition of capital charges;16
and17
(b) ensure that, over a certain period, the network18
service providers who operate the systems do19
not earn more revenue than would have been20
permitted under Part 8 if this Part had not come21
into operation.22
129V. Terms used23
(1) In this Part —24
adjustment mechanism has the meaning given in25
section 129X(1);26
capital charge has the meaning given in27
section 129W(2);28
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relevant network means —1
(a) any transmission system that is part of the2
South West interconnected system that is3
regulated under Part 8; and4
(b) any other transmission system prescribed by the5
regulations.6
(2) If a term used in this Part is given a meaning in7
section 103, it has the same meaning in this Part.8
(3) The regulations may prescribe a transmission system as9
a relevant network only if the system is regulated under10
Part 8.11
129W. Capital charges for access to services12
(1) In this section —13
related entity, of a person —14
(a) means a related body corporate as defined in15
the Corporations Act 2001 (Cth) section 9; and16
(b) includes any other person prescribed by the17
regulations.18
(2) A person is required to pay a capital charge to a19
network service provider if —20
(a) the person enters into, or modifies, an access21
agreement in the circumstances, if any,22
prescribed by the regulations and, under the23
access agreement, the person has access to24
services provided by the network service25
provider by means of a relevant network; or26
(b) an additional circumstance, if any, specified in27
the Code exists in which the person has access28
to services provided by the network service29
provider by means of a relevant network.30
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(3) The regulations may make provision for or in relation1
to the following —2
(a) the amount of the capital charge, including —3
(i) a method for calculating the amount;4
and5
(ii) indexation of the amount;6
(b) the circumstances in which the capital charge is7
payable, including eligibility criteria for8
determining which persons or classes of9
persons are required to pay the capital charge;10
(c) different capital charge amounts payable in11
different circumstances, including by reference12
to the following —13
(i) a relevant network;14
(ii) a network service provider;15
(iii) the rate at which the person may16
transfer electricity into or out of a17
relevant network.18
(4) Without limiting subsection (2)(b), an additional19
circumstance may include a person, or a related entity20
of the person —21
(a) making an application to enter into or modify22
an access agreement that provides for access to23
the services; or24
(b) having access to the services under, or in25
accordance with, any other contract or26
agreement or a determination made by way of27
arbitration.28
129X. Adjustment mechanisms29
(1) If a regulation made under this Part prescribes30
circumstances in which a person is required to pay a31
capital charge, the regulation must also provide for a32
Electricity Industry Amendment (Capital Charges) Bill 2026
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requirement (an adjustment mechanism) designed to1
ensure that, over a certain period, a network service2
provider does not earn more revenue than would have3
been permitted under Part 8 if this Part had not come4
into operation.5
(2) Without limiting subsection (1), the regulations may6
make provision for or in relation to the following —7
(a) the way in which an adjustment mechanism8
must be implemented or facilitated;9
(b) the period during which an adjustment10
mechanism applies, including a method for11
determining the period;12
(c) authorising the Authority to determine or13
implement an adjustment mechanism.14
129Y. Modification of regulations to implement or15
facilitate additional circumstances16
(1) If the Code specifies an additional circumstance under17
section 129W(2)(b), the Code may modify a regulation18
made under this Part to the extent necessary for the19
purposes of adapting the application of the regulation20
to or in relation to the circumstance.21
(2) This section has effect despite section 129ZA.22
129Z. Code may also deal with certain matters23
(1) In this section —24
relevant instrument means —25
(a) an instrument published or approved under the26
Code; and27
(b) any type of contract or agreement specified in28
the Code under which a person has access to29
services provided by means of a relevant30
network.31
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(2) Without limiting section 104B or 105, the Code may1
make provision for or in relation to the following —2
(a) the way in which a capital charge is payable,3
including payment by instalments, the charging4
of interest on capital charge amounts and the5
use of guarantees as security;6
(b) the maintenance and keeping of records of7
revenue earned by a network service provider8
from a capital charge, including the method of9
maintaining and keeping the records;10
(c) the way in which an adjustment mechanism11
must be implemented or facilitated;12
(d) a requirement for a relevant instrument to13
facilitate or otherwise provide for a requirement14
under this Part;15
(e) any other matter prescribed by the regulations.16
129ZA. Relationship between regulations and Code17
If there is a conflict or inconsistency between18
regulations made under this Part and the Code, the19
regulations prevail to the extent of the conflict or20
inconsistency.21
129ZB. Recommendation of Minister22
(1) Regulations may only be made under this Part on the23
recommendation of the Minister.24
(2) The Minister may make the recommendation only if25
the Minister is satisfied that the regulations are26
consistent with —27
(a) the objective of this Part; and28
(b) the State electricity objective.29
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129ZC. Coordinator’s review1
(1) The Coordinator must review and report on whether2
the scheme established by this Part is consistent with3
the objective of this Part and the State electricity4
objective —5
(a) as soon as practicable after the 5th anniversary6
of the day on which this Part comes into7
operation; and8
(b) after that, at intervals of not more than 5 years.9
(2) The Coordinator must, as soon as practicable after10
preparing the report, provide the report to the Minister.11
129ZD. Disclosure of information to Coordinator12
(1) The Authority must, on the request of the Coordinator,13
disclose to the Coordinator any information necessary14
to enable the Coordinator to perform the Coordinator’s15
functions under section 129ZC.16
(2) If information is disclosed under this section —17
(a) no civil or criminal liability is incurred for the18
disclosure; and19
(b) the disclosure is not —20
(i) a breach of any duty of confidentiality21
or secrecy imposed by law; or22
(ii) a breach of professional ethics or23
standards or any principles of conduct24
applicable to a person’s employment; or25
(iii) unprofessional conduct.26
27
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5. Part 12 inserted1
After section 146 insert:2
3
Part 12 — Transitional provisions for Electricity4
Industry Amendment (Capital Charges) Act 20265
147. Terms used6
In this Part —7
amendment Act means the Electricity Industry8
Amendment (Capital Charges) Act 2026;9
commencement day means the day on which the10
amendment Act section 4 comes into operation;11
publication day, in relation to transitional regulations,12
means the day on which the transitional regulations are13
published in accordance with the Interpretation14
Act 1984 section 41(1)(a);15
transitional event means the following —16
(a) the enactment or coming into operation of the17
amendment Act;18
(b) the coming into operation of regulations made19
under Part 9C, as inserted by the amendment20
Act;21
transitional matter means a matter of a transitional,22
savings or application nature;23
transitional regulations means regulations made under24
section 148.25
148. Transitional regulations26
(1) The regulations may make provision for and in relation27
to transitional matters arising in connection with a28
transitional event.29
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(2) Transitional regulations may provide that a specified1
state of affairs is taken to have existed, or not to have2
existed, earlier than publication day, but not earlier3
than commencement day.4
(3) If transitional regulations contain a provision referred5
to in subsection (2), the provision does not operate so6
as to —7
(a) affect in a manner prejudicial to any person8
(other than the State or a public authority), the9
rights of that person existing before publication10
day; or11
(b) impose liabilities on any person (other than the12
State or a public authority) in respect of13
anything done or omitted to be done before14
publication day.15
149. Minister may deal with transitional matters16
(1) In this section —17
existing instrument means a relevant instrument18
published, approved or entered into before19
commencement day;20
relevant instrument has the meaning given in21
section 129Z(1).22
(2) Transitional regulations may authorise the Minister to,23
by order published in accordance with the24
Interpretation Act 1984 section 41(1)(a) —25
(a) determine how any matter in progress26
immediately before a day (not earlier than27
commencement day) specified in the order is to28
be treated on and after that day; and29
(b) amend an existing instrument to facilitate or30
provide for, or as a consequence of, a31
transitional matter.32
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(3) The Code may provide for how anything done or in1
progress or required to be done under an existing2
instrument in relation to a transitional matter is to be3
treated from a day, not earlier than commencement4
day, specified in the Code.5
6
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Part 3 Amendments commencing with Electricity Industry
Amendment (Distributed Energy Resources) Act 2024 Part 3
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Part 3 — Amendments commencing with Electricity1
Industry Amendment (Distributed Energy Resources)2
Act 2024 Part 33
6. Electricity Industry Act 2004 amended4
This Part amends the Electricity Industry Act 2004.5
7. Section 129W amended6
In section 129W(2)(b) delete “Code” and insert:7
8
electricity system and market rules9
10
8. Section 129Y amended11
(1) In section 129Y(1):12
(a) delete “Code specifies” and insert:13
14
electricity system and market rules specify15
16
(b) delete “Code” (2nd occurrence) and insert:17
18
rules19
20
(2) Delete section 129Y(2).21
9. Section 129Z amended22
(1) In section 129Z(1) in the definition of relevant instrument:23
(a) in paragraph (a) delete “Code; and” and insert:24
25
electricity system and market rules; and26
27
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Amendment (Distributed Energy Resources) Act 2024 Part 3
Part 3
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(b) in paragraph (b) delete “Code” and insert:1
2
rules3
4
(2) In section 129Z(2) delete “Code” and insert:5
6
electricity system and market rules7
8
Note: The heading to amended section 129Z is to read:9
Electricity system and market rules may also deal with certain10
matters11
10. Section 129ZA deleted12
Delete section 129ZA.13
11. Section 149 amended14
(1) In section 149(1) delete the definition of relevant instrument15
and insert:16
17
relevant instrument —18
(a) has the meaning given in section 129Z(1); and19
(b) includes an instrument that was a relevant20
instrument under section 129Z(1) as in force21
immediately before the day on which the22
Electricity Industry Amendment (Distributed23
Energy Resources) Act 2024 section 53 came24
into operation.25
26
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Amendment (Distributed Energy Resources) Act 2024 Part 3
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(2) In section 149(3):1
(a) delete “Code” (1st occurrence) and insert:2
3
electricity system and market rules4
5
(b) delete “Code.” and insert:6
7
rules.8
9