Part 6Transfer of economic regulation of electricity distribution to AER—local provisions

Part 6—Transfer of economic regulation of electricity distribution to AER—local provisions 16—Interpretation (1) In this Part, unless the contrary intention appears— EPO means the Electricity Pricing Order made by the Treasurer under section 35B of the Electricity Act 1996 on 11 October 1999, as varied from time to time under that Act; ESCoSA means the Essential Services Commission established under the Essential Services Commission Act 2002; ESCoSA distribution determination means the 2005-2010 Electricity Distribution Price Determination made by ESCoSA in April 2005, as varied from time to time; ETSA Utilities has the same meaning as in the EPO; National Electricity Law means the National Electricity Law set out in the Schedule to this Act as in force from time to time; NEC means the National Electricity Code; network services has the same meaning as in the Electricity Act 1996; relevant Amendment Act means the National Electricity (South Australia) (National Electricity Law—Miscellaneous Amendments) Amendment Act 2007; relevant day means the day on which the relevant Amendment Act comes into operation; small customer has the same meaning as in the Electricity Act 1996. (2) A reference in this Part to the National Electricity Law includes a reference to the old National Electricity Law. 17—Provision of information and assistance by ESCoSA (1) Despite any other Act or law, ESCoSA is authorised, on its own initiative or at the request of the AER— (a) to provide the AER with such information (including information given in confidence) in the possession or control of ESCoSA that is reasonably required by the AER for the purposes of this Part or the National Electricity Law; and (b) to provide the AER with such other assistance as is reasonably required by the AER to perform or exercise a function or power under this Part or the National Electricity Law. (2) Despite any other Act or law, ESCoSA may authorise the AER to disclose information provided under subsection (1) even if the information was given to ESCoSA in confidence. (3) Nothing done, or authorised to be done, by ESCoSA in acting under subsection (1) or (2)— (a) constitutes a breach of, or default under, an Act or other law; or (b) constitutes a breach of, or default under, a contract, agreement, understanding or undertaking; or (c) constitutes a breach of a duty of confidence (whether arising by contract, in equity or by custom) or in any other way; or (d) constitutes a civil or criminal wrong; or (e) terminates an agreement or obligation or fulfils any condition that allows a person to terminate an agreement or obligation, or gives rise to any other right or remedy; or (f) releases a surety or any other obligee wholly or in part from an obligation. 18—Price determinations (1) The ESCoSA distribution determination continues in operation for the purposes of the law of the State despite the amendments to the National Electricity (South Australia) Law effected by the relevant Amendment Act until the end of the regulatory period specified by that determination. (2) ESCoSA— (a) will continue to be responsible for the operation, administration and enforcement of the ESCoSA distribution determination; and (b) will cease to be responsible to make a further distribution determination in respect of ETSA Utilities from the relevant day. (3) In connection with the operation of subsections (1) and (2)(a), the National Electricity Law, the Rules, the NEC and the EPO, as in force from time to time before the commencement of this subsection, will be taken to continue to apply with respect to the ESCoSA distribution determination (and the amendments effected by the relevant Amendment Act will be disregarded). (4) On or after the relevant day, the AER must, when acting under the National Electricity (South Australia) Law— (a) comply with the requirements under subsection (5); and (b) give effect to the provisions of the EPO (as in force from time to time). (5) The requirements under this subsection are as follows: (a) the AER must, in making a distribution determination or approving a pricing proposal for the purposes of the Rules, ensure that the prices charged to small customers for network services in relation to distribution services in the State are not subject to variation on the basis of location; (b) the AER must only approve a distribution loss factor that has been calculated for the purposes of the Rules by ETSA Utilities if the distribution loss factor— (i) has been calculated on a State‑wide basis by reference to voltage level and proximity of a customer's metering point to a transformer; and (ii) is not related to the relative length of a distribution line involved in supplying electricity to the customer; (c) the AER must determine any transmission loss factor using a single virtual transmission node for small customers that has been calculated for the purposes of the Rules by the holder of a licence under the Electricity Act 1996 authorising the operation of a transmission network on a State‑wide basis; (d) the AER must ensure that any method of allocation agreed with ETSA Utilities in relation to transmission use of system costs paid by ETSA Utilities requires the allocation of those costs to ETSA Utilities' small customers on a State‑wide basis that ensures that the rates charged with respect to all such small customers are not subject to variation on the basis of location. (6) In connection with the operation of subsections (4) and (5)— (a) the EPO will be taken to continue to apply as if the AER were the Regulator under the EPO; and (b) for the avoidance of doubt, in the event of an inconsistency between the operation or effect of subsection (5) and the EPO, subsection (5) prevails. (7) Subsections (4), (5) and (6) apply until the EPO is varied or revoked so that it no longer applies to distribution determinations. (8) This section applies despite any provision to the contrary in the National Electricity Law or the Rules (and, to the extent of any inconsistency between such a provision and the operation or effect of this section, this section prevails).