40ADDeclarations and determinations in relation to certain services

40AD Declarations and determinations in relation to certain services

[Section 40AD Inserted by No. 5 of 2013, s. 12, Applied:01 Jun 2013]

(1)  The Regulator may declare that goods or a service that are or may be provided by an electricity entity, or an authorised retailer, specified in the declaration are a declared electrical service.

(2)  A declaration may not be made under subsection (1) in relation to –

(a) a service provided under standard retail contracts in respect of small customers; or

(b) a distribution service or a transmission service.

(3)  The Regulator may only make a declaration under subsection (1) in relation to goods, or a service, that are or may be provided by an electricity entity, or an authorised retailer, specified in the declaration, if –

(a) the electricity entity or authorised retailer has substantial market power in respect of the service; and

(b) the promotion of competition, efficiency or the public interest requires the making of the declaration.

(4)  The Regulator may amend or revoke a declaration made under subsection (1) .

(5)  If the Regulator declares in accordance with subsection (1) goods or a service to be a declared electrical service, the Regulator may, in accordance with the regulations, determine the maximum prices, in relation to the declared electrical service, that the electricity entity or authorised retailer specified in the declaration may charge for the provision of the service.

(6)  If the Regulator determines in accordance with subsection (5) the maximum prices that the electricity entity or authorised retailer specified in the declaration may charge for the provision of a declared electrical service, the electricity entity or authorised retailer must only impose a price in respect of the service if the price is in accordance with the determination, as amended, if at all, under subsection (7) .

Penalty:  Fine not exceeding 1 000 penalty units.