Victorian Energy Efficiency Target Act 2007

79 Savings provision—Victorian Energy Efficiency Target Amendment (Energy Upgrades for the Future) Act 2025 140

Schedule 1—Table of civil penalty requirements and civil penalty amounts 141

Endnotes 146

1 General information 146

2 Table of Amendments 148

3 Explanatory details 151

Version No. 023

Victorian Energy Efficiency Target Act 2007

No. 70 of 2007

Version incorporating amendments as at

The Parliament of Victoria enacts:

Part 1—Preliminary

1 Purpose

The purpose of this Act is to promote the reduction of greenhouse gas emissions by establishing the VEET scheme which—

(a) provides for the creation and acquisition of energy efficiency certificates; and

(b) requires the surrender of energy efficiency certificates.

2 Commencement

(1) Subject to subsection (2), this Act comes into operation on a day or days to be proclaimed.

(2) If a provision of this Act does not come into operation before 1 January 2009, it comes into operation on that day.

3 Definitions

(1) In this Act—

accredited person means a person accredited under Division 1 of Part 3;

S. 3(1) def. of AEMO inserted by No. 23/2009 s. 35(1).

AEMO means Australian Energy Market Operator Limited (ACN 072 010 327);

approved interstate energy efficiency regime means a law of another State or a Territory approved under section 8;

S. 3(1) def. of assurance audit inserted by No. 34/2022 s. 49.

assurance audit means an audit conducted under Division 2 of Part 7A;

S. 3(1) def. of assurance audit schedule inserted by No. 34/2022 s. 49.

assurance audit schedule means a schedule published in accordance with section 55K;

business day means a day other than a Saturday or Sunday or a public holiday appointed under the Public Holidays Act 1993;

carried forward surplus has the meaning given by section 29(2)(c);

certificate means an energy efficiency certificate created under Division 3 of Part 3;

S. 3(1) def. of code of conduct inserted by No. 34/2022 s. 33.

code of conduct means a code of conduct prescribed in accordance with section 14G;

S. 3(1) def. of competent and capable person inserted by No. 34/2022 s. 4.

competent and capable person means a person who is competent and capable for the purposes of this Act, having regard to the matters specified in section 10C;

S. 3(1) def. of compliance audit inserted by No. 34/2022 s. 49.

compliance audit means an audit conducted under Division 1 of Part 7A;

S. 3(1) def. of contractor inserted by No. 34/2022 s. 33.

contractor includes a subcontractor;

S. 3(1) def. of CPD obligations inserted by No. 34/2022 s. 4.

CPD obligations means continuing professional development obligations specified in the ESC guidelines for the purposes of section 14F;

energy acquisition statement means an energy acquisition statement under section 33;

energy efficiency certificate shortfall has the meaning given by section 29(2)(a);

energy efficiency shortfall penalty has the meaning given by section 28;

ESC means the Essential Services Commission established under section 7 of the Essential Services Commission Act 2001;

ESC guidelines means the guidelines made by the ESC under section 74;

S. 3(1) def. of Essential Services Commission Enforcement Fund inserted by No. 41/2021 s. 73.

Essential Services Commission Enforcement Fund means the fund established by section 54ZP of the Essential Services Commission Act 2001;

S. 3(1) def. of finding of guilt inserted by No. 34/2022 s. 4.

finding of guilt has the meaning given by section 4 of the Worker Screening Act 2020;

S. 3(1) def. of fit and proper person inserted by No. 34/2022 s. 4.

fit and proper person means—

(a) a natural person who is fit and proper for the purposes of this Act, having regard to the matters specified in section 10B; or

(b) a body corporate that is fit and proper for the purposes of this Act, having regard to the matters specified in section 10B in relation to the body corporate and any officer of the body corporate;

gas has the same meaning as it has under section 3 of the Gas Industry Act 2001;

GJ means a gigajoule of energy from the combustion of gas;

greenhouse gas means—

(a) carbon dioxide, methane, nitrous oxide, sulfur hexafluoride, hydrofluorocarbons and perfluorocarbons; and

(b) any other gas prescribed to be a greenhouse gas;

greenhouse gas reduction rate means a rate fixed by Order under section 32(2) or in accordance with section 32(3);

S. 3(1) def. of human health inserted by No. 15/2025 s. 17.

human health includes psychological health;

S. 3(1) def. of improvement notice inserted by No. 15/2025 s. 17.

improvement notice—see section 40AB(1);

S. 3(1) def. of independent auditor inserted by No. 34/2022 s. 49.

independent auditor means an auditor included in the list of independent auditors;

S. 3(1) def. of list of independent auditors inserted by No. 34/2022 s. 49.

list of independent auditors means the list published by the ESC in accordance with section 55L;

monitoring warrant means a warrant issued under section 55;

MWh means megawatt hour;

S. 3(1) def. of NEMMCO repealed by No. 23/2009 s. 35(2).

occupier in relation to premises, includes a person present at the premises who is in apparent control of the premises;

S. 3(1) def. of pending charge inserted by No. 34/2022 s. 4.

pending charge has the meaning given by section 6 of the Worker Screening Act 2020;

S. 3(1) def. of police officer inserted by No. 37/2014 s. 10(Sch. item 178.1).

police officer has the same meaning as in the Victoria Police Act 2013;

premises includes the following—

(a) a structure, building or vehicle;

(b) a place (whether enclosed or built on or not);

(c) a part of a thing referred to in paragraph (a) or (b);

prescribed means prescribed by the regulations;

prescribed activity means an activity which is prescribed to be a prescribed activity in accordance with section 15;

prescribed greenhouse gas scheme means—

(a) a voluntary offset scheme; or

(b) a mandatory greenhouse gas scheme; or

(c) any other arrangement—

which promotes the reduction of greenhouse gas emissions and which is prescribed for the purposes of this Act;

produce includes permit access to;

S. 3(1) def. of prohibition notice inserted by No. 15/2025 s. 24.

prohibition notice—see section 40AC(1);

register of accredited persons has the meaning given by section 58;

register of energy efficiency certificates has the meaning given by section 59;

registration number has the meaning given by section 13;

S. 3(1) def. of regulated action inserted by No. 34/2022 s. 33.

regulated action, in relation to a prescribed activity, means any of the following—

(a) lead generation for the prescribed activity;

(b) marketing of the prescribed activity;

(c) entering into a contract for the sale or supply of the prescribed activity;

(d) undertaking the prescribed activity or any part of the prescribed activity;

(e) undertaking any follow-up activity that relates to a prescribed activity;

S. 3(1) def. of relevant entity substituted by No. 35/2013 s. 16.

relevant entity means a person—

(a) who sells either electricity or gas, or both electricity and gas, to customers; and

(b) who makes a scheme acquisition in connection with the sale of either electricity or gas, or the sale of both electricity and gas, to customers; and

(c) who—

(i) has 5000 or more customers to whom either electricity or gas is, or both electricity and gas are, sold to in Victoria; or

(ii) makes a scheme acquisition of 30 000 MWh or more of electricity; or

(iii) makes a scheme acquisition of 350 000 GJ or more of gas—

but does not include a person prescribed not to be a relevant entity for the purposes of this Act;

S. 3(1) def. of scheme acquisition amended by No. 23/2009 s. 35(3).

scheme acquisition means the purchase for on‑sale to a prescribed customer or prescribed class of customers in Victoria of—

(a) electricity from AEMO or a person or body prescribed for the purposes of this paragraph but does not include any acquisition of electricity by AEMO;

(b) gas from a producer, storage provider or interconnected pipeline operator (within the meaning of the National Gas Rules) or from AEMO or a person or body prescribed for the purposes of this paragraph but does not include any acquisition of gas by AEMO;

S. 3(1) def. of scheme participant inserted by No. 34/2022 s. 33.

scheme participant has the meaning given by section 3A;

VEET scheme means the scheme established by this Act;

S. 3(1) def. of VEET scheme registry account inserted by No. 34/2022 s. 20.

VEET scheme registry account means an account maintained by the ESC for the holding, transfer and surrender of energy efficiency certificates;

VEET scheme target means the VEET scheme target under section 30;

S. 3(1) def. of VENCorp repealed by No. 23/2009 s. 35(2).

warrant premises, in relation to a monitoring warrant, means the premises to which the warrant relates;

year means calendar year.

(2) For the purposes of this Act, electricity or gas is taken to be a good that can be acquired.

(3) For the purposes of this Act, the carbon dioxide equivalent of a greenhouse gas means the tonnes of carbon dioxide that have the same global warming potential as a tonne of the greenhouse gas.

S. 3A inserted by No. 34/2022 s. 34.

3A Meaning of *scheme participant*

(1) A scheme participant, in relation to a prescribed activity, is a person (other than an accredited person or a consumer of electricity or gas) who—

(a) undertakes the prescribed activity or any part of the prescribed activity on behalf of an accredited person, including as—

(i) an employee of an accredited person; or

(ii) a contractor of an accredited person; or

(iii) an employee of a contractor of an accredited person; or

(b) undertakes any regulated action in respect of the prescribed activity.

(2) A person who is purporting to undertake any part of a prescribed activity on behalf of an accredited person is taken to be a scheme participant if—

(a) the accreditation of the accredited person is suspended or has expired or been cancelled; or

(b) the activity does not meet the requirements of a prescribed activity.

4 Objects

The objects of this Act are to—

(a) reduce greenhouse gas emissions;

(b) encourage the efficient use of electricity and gas;

(c) encourage investment, employment and technology development in industries that supply goods and services which reduce the use of electricity and gas by consumers.

5 Crown to be bound

This Act binds the Crown in right of Victoria and, so far as the legislative power of the Parliament permits, the Crown in all its other capacities.

6 Extra-territorial operation

It is the intention of the Parliament that the operation of this Act should, so far as possible, include operation in relation to the following—

(a) land situated outside Victoria, whether in or outside Australia;

(b) things situated outside Victoria, whether in or outside Australia;

(c) acts, transactions and matters done, entered into or occurring outside Victoria, whether in or outside Australia;

(d) things, acts, transactions and matters, (wherever situated, done, entered into or occurring) that would, apart from this Act, be governed or otherwise affected by the law of the Commonwealth, another State, a Territory or a foreign country.

S. 6A inserted by No. 34/2022 s. 45.

6A Relevant legislation

For the purposes of the Essential Services Commission Act 2001—

(a) this Act is relevant legislation; and

(b) the VEET scheme is a regulated industry.

Part 2—Administration

7 Role of ESC

(1) The ESC is responsible for the general administration of this Act.

(2) Without limiting subsection (1), the functions of the ESC under this Act include to—

(a) accredit persons who may create certificates;

(b) monitor and administer the creation, registration, transfer and surrender of certificates;

(c) enforce the imposition of energy efficiency shortfall penalties;

S. 7(2)(ca) inserted by No. 34/2022 s. 21(1).

(ca) regulate participation in the holding, transfer and surrender of certificates;

S. 7(2)(cb) inserted by No. 34/2022 s. 21(1).

(cb) publish information relating to the holding, transfer and surrender of certificates;

S. 7(2)(d) substituted by No. 34/2022 s. 50.

(d) undertake compliance audits of accredited persons;

S. 7(2)(da) inserted by No. 34/2022 s. 50.

(da) administer the conduct of independent compliance audits and independent assurance audits;

S. 7(2)(e) substituted by No. 34/2022 s. 21(2).

(e) monitor compliance with this Act;

S. 7(2)(f) inserted by No. 34/2022 s. 21(2).

(f) publish information about the operation of this Act.

(3) The ESC must provide a report on the performance of the VEET scheme to the Minister—

(a) after the end of each year after the commencement of this section; and

(b) at the end of any other period as requested by the Minister in writing.

S. 7(3A) inserted by No. 34/2022 s. 21(3).

(3A) A report under subsection (3) must include the prescribed matters relating to the holding, transfer and surrender of certificates.

(4) The ESC must include a report on the operation of this Act in its annual report of operations under Part 7 of the Financial Management Act 1994.

S. 7A inserted by No. 34/2022 s. 22.

7A Publishing and reporting information about certificate transfers

The ESC must publish and maintain on its internet site prescribed information relating to the holding, transfer and surrender of certificates.

S. 7B inserted by No. 34/2022 s. 5.

7B ESC may provide advice and support

(1) To promote best practices in the promotion of the objects of this Act, the ESC may provide advice and support to—

(a) accredited persons; and

(b) scheme participants; and

(c) consumers of electricity and gas; and

(d) any other person.

(2) Without limiting subsection (1), the ESC may provide any of the following—

(a) education about, and information in relation to, matters relating to energy efficiency, prescribed activities and regulated actions;

(b) education and training for accredited persons to enable accredited persons to meet their CPD obligations;

(c) education and training for accredited persons and scheme participants to promote the adoption of best practices in undertaking prescribed activities and regulated actions;

(d) in respect of contracts created and executed for prescribed activities—

(i) standardised, recommended or model provisions; and

(ii) templates, manuals or guidelines.

8 Approved interstate energy efficiency regime

(1) The Minister, by notice published in the Government Gazette, may approve a law of another State or a Territory to be an approved interstate energy efficiency regime.

(2) The Minister must not approve a law of another State or a Territory to be an approved interstate energy efficiency regime unless he or she is satisfied that—

(a) the approval of that law would complement, and not detract from, the achievement of the purpose and objects of this Act; and

(b) the approval of that law would not impose unreasonable costs on purchasers of electricity or gas in Victoria; and

(c) the law promotes the reduction of greenhouse gas emissions; and

(d) the arrangements for the monitoring, and enforcement, of compliance with that law are no less stringent than those under this Act.

Part 3—Energy efficiency certificates

Division 1—Accredited persons

Pt 3 Div. 1 Subdiv. 1 (Heading) inserted by No. 34/2022 s. 6.

Subdivision 1—Application for grant or renewal of accreditation

9 Who may apply to be accredited?

S. 9(1) substituted by No. 34/2022 s. 7(1).

(1) A person may apply to the ESC to—

(a) be an accredited person; or

(b) renew the person's accreditation as an accredited person.

S. 9(2) amended by No. 34/2022 s. 7(2)(a).

(2) An application for the grant or renewal of accreditation must—

(a) be made in a form and manner required by the ESC; and

(b) contain any information required by the ESC which the ESC considers necessary for the purposes of the VEET scheme; and

S. 9(2)(ba) inserted by No. 34/2022 s. 7(2)(b).

(ba) include a declaration that the applicant is, for the purposes of accreditation—

S. 9(2)(bb) inserted by No. 34/2022 s. 7(2)(b).

(bb) include the prescribed activities or class of prescribed activities for which accreditation is sought; and

S. 9(2)(bc) inserted by No. 34/2022 s. 7(2)(b).

(bc) in the case of an applicant who has been an accredited person within the 12 months prior to the application, include a declaration and a report as to each of the following matters—

(i) the person's compliance with any CPD obligations;

(ii) the person's compliance with any conditions or restrictions of the accredited person's accreditation;

(iii) the prescribed activities (if any) undertaken by the person in the current accreditation period.

This may include the details of any periods in which the person did not undertake any prescribed activities.

(c) be accompanied by any documents required by the ESC which the ESC considers necessary for the purposes of deciding whether to approve the application; and

(d) be accompanied by any relevant fee fixed under section 73.

(3) If required by the ESC under section 10, the applicant must provide to the ESC—

(a) evidence of the kind referred to in section 10(1); and

(b) an undertaking referred to in section 10(2).

S. 9(4) inserted by No. 34/2022 s. 7(3).

(4) If required by the ESC under section 10A, an applicant for renewal of accreditation must provide to the ESC evidence to support the applicant's declaration that the applicant is, for the purposes of accreditation—

(a) a fit and proper person; and

(b) a competent and capable person.

S. 9A inserted by No. 34/2022 s. 8.

9A Timing of application for renewal

(1) Subject to subsection (2), an accredited person must apply for renewal of accreditation at least 90 days before the date on which the accredited person's accreditation will expire.

A notice given by the ESC to an accredited person on the granting of accreditation or the renewal of accreditation must specify the date by which the accredited person must apply for renewal of accreditation.

(2) The ESC may accept an application for renewal of accreditation less than 90 days before the date on which the accredited person's accreditation will expire if—

(a) the ESC is satisfied that it is appropriate in the circumstances to accept the application; and

S. 9A(2)(b) amended by No. 12/2023 s. 6.

(b) the application is accompanied by the fee (if any) fixed under section 73 for a late application.

S. 9B inserted by No. 34/2022 s. 8.

9B Application for renewal made after expiry

(1) An application by a person for renewal of accreditation made after the expiry of the person's accreditation is taken to be an application under section 9(1)(a) for the grant of accreditation.

(2) In determining whether to grant accreditation to a person whose accreditation has expired, the ESC may have regard to any of the following matters—

(a) the fact that the person was previously accredited;

(b) the person's compliance with their obligations as an accredited person;

(c) the prescribed activities undertaken by the person while accredited.

S. 9C inserted by No. 34/2022 s. 8.

9C No application if suspended or disqualified

An accredited person must not apply for accreditation if the person's accreditation is suspended or disqualified.

10 ESC may require consent or undertaking from applicant for accreditation

(1) The ESC may require an applicant under section 9 to consent in writing to the disclosure of information of a kind specified by the ESC and held under a prescribed greenhouse gas scheme.

(2) The ESC may require an applicant under section 9 to give an undertaking not to claim any benefit under a prescribed greenhouse gas scheme if that would result in a benefit being obtained under both that scheme and the VEET scheme in respect of the same activity.

(3) For the purposes of subsection (2), benefit means—

(a) the creation of a certificate under the VEET scheme; or

(b) a benefit under the prescribed greenhouse gas scheme.

S. 10A inserted by No. 34/2022 s. 9.

10A ESC may request further information from applicant

(1) The ESC, by notice, may request an applicant for the grant or renewal of accreditation to provide within a period (not less than 14 days) specified in the notice—

(a) evidence as to whether the applicant is—

(b) in the case of an application for renewal of accreditation, the prescribed activities (if any) undertaken by the applicant while accredited; and

(c) any other information relevant to the application.

(2) Time does not accrue for the purposes of section 12(1) for the period—

(b) ending on the date on which the applicant complies with the request.

(3) The ESC may refuse to grant an application if the applicant fails to comply with a request under subsection (1) within the period specified in the notice.

S. 10B inserted by No. 34/2022 s. 9.

10B Fit and proper person

In determining whether a person is a fit and proper person, the ESC may have regard to any relevant matter, including the following—

(a) a finding of guilt in relation to the person's commission of an offence against this Act or regulations made under it;

(b) a finding of guilt, within the preceding 10 years, in relation to the person's commission of—

(i) an indictable offence; or

(ii) an offence that, if committed in Victoria, would constitute an indictable offence; or

(iii) an offence under any law of the Commonwealth, or another State or a Territory, regulating an energy efficiency regime;

(c) a finding of guilt in relation to the person's commission of an offence involving dishonesty or fraud;

(d) a pending charge for an alleged commission by the person of an offence specified in paragraph (a), (b) or (c);

(e) a failure to comply with—

(i) any provision of this Act or regulations made under it; or

(ii) any conditions of accreditation;

(f) any improper or adverse conduct engaged in by the person, including—

(i) a failure to disclose any information that has been requested of the person by the ESC or that is otherwise required to be provided under this Act or regulations made under it; or

(ii) misleading, false or deceptive conduct;

(g) if the person has been accredited under this Act or under a law of another State or Territory or of the Commonwealth relating to an energy efficiency program—

(i) a suspension, revocation or cancellation of accreditation or disqualification from applying for accreditation; and

(ii) the reason for the suspension, revocation, cancellation or disqualification;

(h) if the person has held an account for the holding, transfer and surrender of certificates under this Act or under a law of another State or Territory or of the Commonwealth relating to an energy efficiency program—

(i) a suspension or cancellation of the person's account; and

(ii) the reason for the suspension or cancellation;

(i) the person becoming or having been insolvent;

(j) the person becoming or having been an officer of an externally-administered company under the Corporations Act;

(k) a failure to comply with an order or decision made by—

(i) a court, VCAT or ESC under this Act; or

(ii) a court or tribunal under a law of the Commonwealth or another State or a Territory relating to an energy efficiency regime;

S. 10B(ka) inserted by No. 15/2025 s. 25.

(ka) a contravention by the person of section 40AC(5);

(l) a failure to disclose any of the above matters;

(m) any other prescribed matter.

S. 10C inserted by No. 34/2022 s. 9.

10C Competent and capable person

In determining whether a person is a competent and capable person for the purposes of accreditation, the ESC may have regard to any relevant matter, including the following—

(a) the skills and expertise of the person exercising powers and performing duties as an accredited person, including undertaking a prescribed activity;

The ESC may consider the skills and expertise of a body corporate as a whole and as well as the skills and expertise of key personnel at the body corporate.

(b) whether the person has the appropriate licensing and regulatory approvals for undertaking a prescribed activity;

(c) whether the person and any contractors or employees engaged by the person have appropriate professional accreditations for undertaking a prescribed activity or part of a prescribed activity;

(d) the past performance of the person in undertaking a prescribed activity;

(e) whether the person has appropriate policies and practices to ensure a prescribed activity is undertaken in compliance with relevant occupational health and safety legislation;

(f) whether the person has complied with or incorporated any recommended practices for creating and executing contracts in accordance with this Act or any regulations or guidelines made under it;

(g) whether the person has complied with their CPD obligations;

S. 10C(ga) inserted by No. 15/2025 s. 18.

(ga) whether an improvement notice has been issued to the person and, if so, whether the person has complied with the notice;

(h) any other prescribed circumstances.

Pt 3 Div. 1 Subdiv. 2 (Heading) inserted by No. 34/2022 s. 9.

Subdivision 2—Grant of accreditation

11 ESC to approve or refuse application

(1) If the ESC receives an application that complies with section 9, the ESC must approve the application.

(2) If the ESC is not satisfied that an application complies with section 9, the ESC must refuse the application.

S. 11(3) inserted by No. 34/2022 s. 10.

(3) Without limiting subsection (2), the ESC must refuse a person's application for the grant or renewal of accreditation if—

(a) the ESC is not satisfied that the person is a fit and proper person for the purposes of accreditation; or

(b) the ESC is not satisfied that the person is a competent and capable person for the purposes of accreditation; or

(c) the application is not accompanied by the relevant fee.

S. 11(4) inserted by No. 34/2022 s. 10.

(4) In determining an application for the grant or renewal of accreditation, the ESC may have regard to any available information about—

(a) any previous conduct of the applicant in exercising powers and performing duties as an accredited person; and

(b) the prescribed activities (if any) undertaken by the applicant while accredited.

The ESC may have regard to any periods during which the applicant did not undertake any prescribed activities.

12 Time limit for deciding applications

(1) The ESC must decide an application made under section 9 within—

(a) the period of 20 business days beginning on the day the ESC received the application; or

(b) if before the end of that period the ESC and the applicant agree to a longer period, that longer period.

(2) If during the period applicable under subsection (1), the ESC requests information from an applicant for the purpose of deciding the application, the period between the request and the giving of the information must be disregarded for the purpose of calculating the period applicable under subsection (1).

(3) If the ESC has not decided the application within the period applicable under this section, the ESC is to be taken to have made a decision at the end of that period under section 11 refusing the application.

S. 13 (Heading) amended by No. 34/2022 s. 11(1).

S. 13 amended by No. 34/2022 s. 11(2)(a).

13 ESC to allocate accreditation numbers

If the ESC approves an application for the grant of accreditation under section 11, the ESC must—

S. 13(a) amended by No. 34/2022 s. 11(2)(b).

(a) allocate the applicant a unique accreditation number; and

(b) advise the applicant of the number.

S. 13A inserted by No. 34/2022 s. 12.

13A Notice of approval or refusal of application

(1) The ESC must provide an applicant for accreditation or renewal of accreditation written notice of the ESC's decision to approve or refuse the application.

(2) A notice of a decision to approve an application must include—

(a) the date of commencement of accreditation; and

(b) the date of expiry of accreditation; and

(c) the date by which the accredited person must apply for the renewal of accreditation; and

(d) the prescribed activities or class of prescribed activities for which accreditation is granted; and

(e) any other conditions of accreditation.

S. 13B inserted by No. 34/2022 s. 12.

13B Period of accreditation

(1) If the ESC approves an application by a person for the grant of accreditation, the accreditation—

(a) commences on the date on which the ESC approves the application; and

(b) expires 12 months after the date of the grant of accreditation.

If the ESC approves the grant of accreditation to a person on 15 May 2025, the person's accreditation expires on 16 May 2026.

(2) If the ESC approves an application by a person for the renewal of accreditation, the accreditation—

(a) commences on the day the person's accreditation was due to expire; and

(b) expires 12 months after the date of the commencement of accreditation.

An accredited person's accreditation is due to expire on 27 April 2026. The ESC approves the person's renewal of accreditation on 1 February 2026. The accredited person's accreditation renews on 27 April 2026 and expires on 28 April 2027.

(3) Despite subsection (2)(b), an accredited person who applies for renewal of their accreditation before the expiry of their accreditation remains accredited until the ESC determines the application.

(4) This section applies subject to any other provision in relation to the suspension or cancellation of accreditation.

S. 13C inserted by No. 34/2022 s. 12.

13C Conditions of accreditation

(1) Accreditation under section 11 is subject to the condition that the accredited person must only undertake a prescribed activity or class of prescribed activity for which accreditation is granted.

(2) Accreditation under section 11 may be subject to—

(a) any other prescribed conditions; and

(b) any other conditions that the ESC considers appropriate in the circumstances.

(3) The ESC may vary the conditions of accreditation on the application of the accredited person.

S. 13D inserted by No. 34/2022 s. 12.

13D Application to vary conditions of accreditation

(1) An accredited person may apply to the ESC in writing for approval to vary the conditions of accreditation.

(2) Without limiting subsection (1), an accredited person may apply to the ESC to vary the prescribed activities or class of prescribed activities that the accredited person may undertake.

S. 13D(3) amended by No. 12/2023 s. 7.

(3) An application to vary the conditions of accreditation must be accompanied by the fee (if any) fixed under section 73.

Pt 3 Div. 1 Subdiv. 3 (Heading) inserted by No. 34/2022 s. 38.

Subdivision 3—Suspension, cancellation and disqualification from accreditation

S. 14 amended by No. 59/2011 s. 24, substituted by No. 34/2022 s. 38.

14 Suspension or cancellation of accreditation or disqualification from applying for accreditation

(1) The ESC may take an action referred to in subsection (2) in respect of an accredited person if the ESC believes on reasonable grounds that the accredited person—

(a) has committed an offence against this Act; or

(b) has breached an undertaking given to the ESC under section 10(2); or

(c) has created certificates that do not comply with the requirements of this Act or regulations made under it; or

(d) has failed to comply with the requirements of this Act or regulations made under it relating to the recording or undertaking of prescribed activities; or

(e) has obtained accreditation improperly; or

(f) has contravened a condition or restriction imposed under section 14B or 40A; or

(g) has failed to comply with an order under section 40; or

S. 14(1)(ga) inserted by No. 15/2025 s. 19.

(ga) has failed to comply with an improvement notice; or

S. 14(1)(gb) inserted by No. 15/2025 s. 26.

(gb) has contravened section 40AC(5); or

(h) has contravened the person's obligations under section 55F or 55J; or

(i) has contravened a condition or restriction imposed under section 55Q; or

(j) is no longer, for the purposes of accreditation—

(i) a fit and proper person; or

(ii) a competent and capable person.

(2) The ESC, by written notice, may do any of the following in respect of the accreditation of an accredited person specified in subsection (1)—

(a) suspend the person's accreditation for the period (not exceeding 12 months) specified in the notice;

(b) cancel the person's accreditation;

(c) cancel the person's accreditation and disqualify the person from applying for renewal of accreditation for the period (not exceeding 5 years) specified in the notice.

(3) Subject to subsection (2), the ESC may specify a period of suspension or disqualification that the ESC considers to be appropriate in the circumstances.

(4) The ESC must not take the action referred to in subsection (2)(c) unless the ESC is satisfied that, in the circumstances suspension or cancellation of accreditation is not adequate.

S. 14A inserted by No. 59/2011 s. 25, substituted by No. 34/2022 s. 38.

14A Notice of proposed action

Before taking an action against an accredited person under section 14, the ESC must give the accredited person written notice—

(a) advising that the ESC is satisfied that there are grounds for taking an action under that section; and

(c) inviting a submission from the person to establish why the ESC should not take the action that it is proposing to take; and

(d) advising that the person may make a written submission to the ESC no later than—

S. 14AB inserted by No. 34/2022 s. 38.

14AB Immediate suspension and notice of proposed action

(1) Despite section 14A, the ESC may suspend the accreditation of an accredited person without giving the accredited person a notice under that section if the ESC considers that immediate suspension of the person's accreditation is necessary, having regard to—

(a) whether the person is a fit and proper person for the purposes of accreditation; and

(b) whether the person is a competent and capable person for the purposes of accreditation; and

(c) the purposes of this Act.

(2) On suspending the accreditation of an accredited person under subsection (1), the ESC must give to the accredited person written notice—

(a) stating that the ESC is satisfied that there are grounds for the ESC to—

(i) immediately suspend the person's accreditation; and

(ii) take an action under section 14; and

(c) inviting a submission from the person to establish why the ESC should not take the action under section 14 that it is proposing to take; and

(d) advising that the person may make a written submission to the ESC no later than—

See section 14AE which provides protection against self‑incrimination.

S. 14AC inserted by No. 34/2022 s. 38.

14AC Request for extension of time for submissions

(1) A person given notice under section 14A or 14AB may request in writing an extension of time for making a submission to the ESC.

(2) The ESC, by written notice, may extend the time within which the person may make a written submission by no more than 28 days.

S. 14AD inserted by No. 34/2022 s. 38.

14AD Request by ESC for further information

(1) The ESC, by written notice, may request an accredited person to provide within a period (not less than 14 days) specified in the notice—

(a) evidence as to whether the accredited person is—

(b) any other information relevant to person's conduct as an accredited person.

(2) Time does not accrue for the purposes of section 14AF for the period—

(b) ending on the date on which the applicant complies with the request.

S. 14AE inserted by No. 34/2022 s. 38.

14AE Protection against self-incrimination

A person may refuse or fail to comply with a request under section 14AD(1) of the disclosure of information to the ESC would tend to incriminate the person.

S. 14AF inserted by No. 34/2022 s. 38.

14AF Time for making determination

The ESC must determine whether to take an action under section 14—

(a) if the accredited person has made a submission to the ESC, within 28 days of receiving the submission; or

(b) if the accredited person has not made a submission to the ESC within the specified time period, within 10 days of the end of that period.

S. 14AG inserted by No. 34/2022 s. 38.

14AG Decision of ESC

(1) After giving notice to an accredited person under section 14A or 14AB and considering any submissions made by the person and any other available information, the ESC may—

(a) cancel any suspension imposed under section 14AB(1); or

(b) take any action under section 14; or

(c) take no further action.

(2) The ESC must give an accredited person a statement of written reasons for a decision to take any action under section 14 in respect of the accredited person.

(3) If the ESC determines to suspend the accreditation of an accredited person for a specified period, any period of suspension imposed under section 14AB(1) until the date of the ESC's determination under this section is to be deducted from the specified period of suspension.

S. 14B inserted by No. 59/2011 s. 25.

14B ESC may impose conditions at end of suspension

If the ESC suspends the accreditation of an accredited person under section 14 or 14A, at the end of the period of suspension the ESC may impose a condition or restriction on the person's accreditation.

S. 14C inserted by No. 59/2011 s. 25.

14C Request to cancel accreditation

(1) An accredited person may, by written notice, request the ESC to cancel the person's accreditation.

(2) If the ESC cancels the person's accreditation, the cancellation takes effect—

(a) when the ESC notifies the person in writing of the cancellation; or

(b) on a date agreed by the ESC and the accredited person.

Pt 3 Div. 1 Subdiv. 4 (Heading and ss 14D–14F) inserted by No. 34/2022 s. 13.

Subdivision 4—Matters relating to accreditation

S. 14D inserted by No. 34/2022 s. 13.

14D Duty to disclose matters adverse to accreditation

(1) An accredited person must not, without reasonable excuse, fail to disclose to the ESC any adverse matter within 14 days of becoming aware of the adverse matter.

Penalty: 20 penalty units.

(2) In this section, a matter is an adverse matter if it is likely that the ESC, having regard to the matter, would determine that the person is not—

(a) a fit and proper person for the purposes of accreditation; or

(b) a competent and capable person for the purposes of accreditation.

S. 14E inserted by No. 34/2022 s. 13.

14E Protection against self-incrimination

It is a reasonable excuse for the purposes of section 14D(1) for a person to refuse or fail to disclose an adverse matter within the meaning of that section if the disclosure of the adverse matter would tend to incriminate the person.

S. 14F inserted by No. 34/2022 s. 13.

14F Continuing professional development obligations

(1) An accredited person must comply with any continuing professional development obligations specified in the ESC guidelines for the purposes of this section within—

(a) the period 30 March of the year of accreditation to 29 March next following; or

(b) any other period specified in the guidelines.

(2) CPD obligations imposed under subsection (1) may relate to an accredited person who is accredited to undertake—

(a) a prescribed activity; or

(b) a class of prescribed activity.

(3) The ESC, by written notice, may at any time request an accredited person to provide within a period (not less than 14 days) specified in the notice any information in relation to the person's compliance with CPD obligations within a particular period.

S. 14FA inserted by No. 15/2025 s. 34.

14FA Training and competency requirements for scheme participants

(1) A scheme participant must not undertake a prescribed activity or any part of a prescribed activity on behalf of an accredited person unless the scheme participant has—

(a) complied with any training and competency requirements specified in the ESC guidelines; and

(b) provided evidence of that compliance to the accredited person.

(2) A scheme participant must not undertake a regulated action on behalf of an accredited person unless the scheme participant has—

(a) complied with any training and competency requirements specified in the ESC guidelines; and

(b) provided evidence of that compliance to the accredited person.

(3) A scheme participant must not provide information to an accredited person that purports to be evidence of the scheme participant's compliance with any training and competency requirements specified in the ESC guidelines and that the scheme participant knows to be false or misleading in a material particular.

Penalty: In the case of a natural person, 30 penalty units;

In the case of a body corporate, 120 penalty units.

(4) A scheme participant must not provide information to an accredited person that purports to be evidence of the scheme participant's compliance with any training and competency requirements specified in the ESC guidelines and that is false or misleading in a material particular.

(5) The ESC, by written notice, may require a scheme participant to provide to the ESC, within 14 days or any longer period specified in the notice, any information or evidence relating to the scheme participant's compliance with any training and competency requirements specified in the ESC guidelines.

S. 14G inserted by No. 34/2022 s. 35.

14G Prescribed code of conduct

(1) The regulations may prescribe a code of conduct for accredited persons and scheme participants who undertake—

(a) a prescribed activity or any part of a prescribed activity; or

(b) a regulated action.

(2) Without limiting subsection (1), the code of conduct may impose requirements relating to any of the following matters—

(a) the manner and form in which prescribed activities may be promoted;

(b) engaging with consumers of gas and electricity;

(c) the provision of information about prescribed activities, regulated actions and other related matters;

(d) processes to be complied with when undertaking a prescribed activity or regulated action;

(e) dispute resolution processes in relation to a prescribed activity or regulated action.

(3) For the purposes of section 14H, the regulations may prescribe any requirement specified in the code of conduct to be a requirement that must be complied with in the undertaking of a prescribed activity or regulated action.

S. 14H inserted by No. 34/2022 s. 35, amended by No. 15/2025 s. 49.

14H Offence to contravene prescribed code of conduct requirement

A person who undertakes a prescribed activity or a regulated action must not contravene a prescribed code of conduct requirement that applies in relation to the prescribed activity or regulated action.

Division 2—Prescribed activities

15 Prescribed activities

(1) Regulations made under section 75 may prescribe an activity in Victoria or in another State or Territory in which an approved interstate energy efficiency regime is in force to be a prescribed activity.

(2) An activity may be prescribed to be a prescribed activity if the activity will result in a reduction in greenhouse gas emissions that would not otherwise have occurred if the activity was not undertaken.

(3) Without limiting the generality of subsection (2), an activity of the following kind is an activity that will result in a reduction in greenhouse gas emissions that would not otherwise have occurred if the activity was not undertaken—

(a) modifying or replacing an appliance, a structure or any equipment so as to reduce consumption of electricity or gas where there is no negative effect on output;

S. 15(3)(ab) inserted by No. 15/2025 s. 7(a).

(ab) modifying an appliance or any equipment so that it reduces the consumption of electricity or gas at times or in circumstances where that consumption would be unnecessary or inefficient, or installing an appliance or any equipment that performs that function;

(b) replacing any equipment or system that uses electricity or gas and emits relatively high levels of greenhouse gases with an energy source that emits relatively low levels of greenhouse gases;

(c) purchasing an appliance or any equipment for the purpose of being installed which has an efficiency rating prescribed as a high efficiency rating for an appliance or equipment of that kind or class;

S. 15(3)(d) amended by No. 15/2025 s. 7(b).

(d) installing an appliance or any equipment which has an efficiency rating prescribed as a high efficiency rating for an appliance or equipment of that kind or class;

S. 15(3)(e) inserted by No. 15/2025 s. 7(c).

(e) generating or providing information regarding the electricity or gas consumption, or the energy efficiency, of particular premises, appliances, structures or equipment.

S. 15(4) inserted by No. 15/2025 s. 4.

(4) An activity may be prescribed to be a prescribed activity whether or not a law requires that activity to be undertaken.

S. 15(5) inserted by No. 15/2025 s. 4.

(5) In determining whether a prescribed activity has been undertaken, it does not matter that it was undertaken because a law required it to be undertaken.

S. 15(6) inserted by No. 15/2025 s. 6.

(6) Without limiting anything in this section or in section 75, the regulations may prescribe, as a prescribed activity, an activity that is undertaken in respect of a consumer of electricity or gas who belongs to a prescribed class.

S. 15A inserted by No. 34/2022 s. 39.

15A Offence to undertake prescribed activity without accreditation

A person (other than a scheme participant) must not undertake a prescribed activity or any part of a prescribed activity if—

(a) the person is not accredited to undertake the prescribed activity; or

(b) the undertaking of the prescribed activity or any part of the prescribed activity is contrary to a condition of the person's accreditation; or

(c) the person's accreditation is suspended or has expired or been cancelled.

S. 15B inserted by No. 34/2022 s. 39.

15B Offence to undertake prescribed activity on behalf of person without accreditation

A person (other than an accredited person) must not undertake a prescribed activity or any part of a prescribed activity on behalf of another person, whether as an employee, contractor or employee of a contractor of that other person, if—

(a) the other person is not accredited to undertake the prescribed activity; or

(b) the undertaking of the prescribed activity or any part of the prescribed activity is contrary to a condition of the other person's accreditation; or

(c) the other person's accreditation is suspended or has expired or been cancelled.

Division 3—Creation of certificates

16 Who may create a certificate?

S. 16(1) substituted by No. 34/2022 s. 59(1).

(1) Subject to sections 17 and 18, any of the following persons may create a certificate in relation to a prescribed activity if the person is an accredited person—

(a) the consumer of electricity or gas in respect of whom the prescribed activity is undertaken;

(b) if the prescribed activity is the sale of an appliance or any equipment which has an efficiency rating prescribed as a high efficiency rating for an appliance or equipment of that kind or class, the person who sells the appliance or equipment;

(c) a person who is the holder of an assignment of a right to create a certificate made by a person referred to in paragraph (a) or (b).

S. 16(2) substituted by No. 34/2022 s. 59(1).

(2) For the purposes of subsection (1)(a), the owner of a premises who is not a consumer of electricity or gas at the premises is taken to be the consumer if the owner—

(a) is the landlord of the premises and has arranged for the prescribed activity to be undertaken at the premises; or

(b) is undertaking the construction or renovation of the premises and the premises are not currently connected for electricity or gas.

S. 16(2A) inserted by No. 35/2013 s. 17.

(2A) If a prescribed activity is undertaken in relation to public lighting, the person responsible for the payment for the electricity or gas supplied for public lighting purposes is taken to be the consumer of electricity or gas in respect of whom that activity is undertaken for the purposes of subsection (1)(a).

S. 16(3) amended by No. 34/2022 s. 59(2).

(3) An assignment for the purposes of subsection (1)(c) must be made—

S. 16(3)(a) substituted by No. 59/2010 s. 52.

(a) by—

(i) written notice; or

(ii) by notice in a manner that is prescribed, in the case of a prescribed activity that is prescribed for the purposes of this subparagraph; and

S. 16(3)(b) amended by No. 15/2025 s. 37(1).

(b) subject to subsection (3A), in the manner and form specified in the ESC guidelines.

S. 16(3A) inserted by No. 15/2025 s. 37(2).

(3A) An assignment for the purposes of subsection (1)(c) must contain any information specified in the ESC guidelines.

S. 16(4) amended by No. 34/2022 s. 59(3).

(4) If a person makes an assignment in accordance with subsection (3), the person ceases to be entitled to create the certificate or certificates in respect of the prescribed activity to which the assignment relates.

(5) In this section, owner has the same meaning as in the Subdivision Act 1988.

S. 17 substituted by No. 35/2013 s. 18.

17 When can a certificate be created?

S. 17(1) amended by Nos 34/2022 s. 30, 15/2025 s. 8.

(1) A certificate can only be created if the prescribed activity has been undertaken on or after the commencement of the VEET scheme and before 1 January 2046.

(2) A certificate must be created not later than 6 months after the end of the year in which the reduction in greenhouse gas emissions that results from the prescribed activity occurs.

(3) Regulations made under section 75 may—

(a) specify for the purposes of subsection (1) when a prescribed activity is to be taken to have been undertaken;

(b) specify for the purposes of subsection (2) when a reduction in greenhouse gas emissions is taken to have occurred with respect to a prescribed activity;

(c) specify whether an accredited person must create all certificates in respect of a prescribed activity at the same time;

(d) prescribe conditions or circumstances under which a certificate cannot be created.

18 How many certificates may be created in respect of a prescribed activity

S. 18(1) amended by No. 15/2025 s. 5(1).

(1) An accredited person may create a certificate for each applicable amount of carbon dioxide equivalent of greenhouse gases to be reduced by the prescribed activity as determined in accordance with this section.

S. 18(1AA) inserted by No. 15/2025 s. 5(2).

(1AA) The applicable amount for a prescribed activity is—

(a) if no law required that activity to be undertaken—1 whole tonne; or

(b) if a law required that activity to be undertaken, either—

(i) the amount provided for by the regulations in respect of that activity; or

(ii) if the regulations do not so provide, 1 whole tonne.

S. 18(1AAB) inserted by No. 15/2025 s. 5(2).

(1AAB) Regulations made under section 75 may provide for—

(a) an amount in respect of a particular prescribed activity for the purposes of subsection (1AA)(b)(i); or

(b) a method and variables to be used to calculate an amount in respect of a particular prescribed activity for the purposes of subsection (1AA)(b)(i).

S. 18(1A) inserted by No. 55/2010 s. 84, amended by No. 15/2025 s. 5(3).

(1A) If an amount of carbon dioxide equivalent of greenhouse gases to be reduced by the prescribed activity is less than the applicable amount but greater than or equal to half the applicable amount, the accredited person may create 1 certificate in respect of the carbon dioxide equivalent of greenhouse gases to be reduced by the prescribed activity.

(2) Regulations made under section 75 may provide for the method and variables to be used to calculate the carbon dioxide equivalent of greenhouse gases to be reduced by the prescribed activity for the purposes of this section.

S. 18(3) inserted by No. 15/2025 s. 5(4).

(3) The method and variables to be used to calculate the carbon dioxide equivalent of greenhouse gases to be reduced by a prescribed activity may provide for the calculation, if the prescribed activity was undertaken because a law required a prescribed activity to be undertaken, of the reduction that is additional to what compliance with that law entailed.

S. 18(4) inserted by No. 15/2025 s. 5(4).

(4) If a method and variables is provided for in respect of a prescribed activity as described in subsection (3), a reference in this Act to the carbon dioxide equivalent of greenhouse gases to be reduced by the activity is a reference to the additional reduction described in that subsection.

19 Declaration of discount factors

(1) This section applies if the Minister proposes to make a declaration specifying the discount factors which are to be used to calculate the carbon dioxide equivalent of greenhouse gas emissions to be reduced by a prescribed activity or a class of prescribed activities for the purposes of section 18(1).

(2) Without limiting the generality of subsection (1), the discount factors are to take into account any uncertainty associated with the reduction of greenhouse gas emissions that would eventuate from a specified prescribed activity or specified class of prescribed activities but for the existence of the VEET scheme.

(3) The Minister must publish in the Government Gazette a notice of intention to declare a discount factor specifying—

(a) the proposed discount factor;

(b) the prescribed activity or class of prescribed activities in respect of which the discount factor is proposed;

(c) the reasons for the proposed discount factor;

(d) the procedures for the making and consideration of submissions.

(4) If after complying with subsection (3), the Minister determines to make the declaration, the Minister may make the declaration by notice published in the Government Gazette.

(5) A notice under subsection (4) must—

(a) contain a copy of the declaration; and

(b) specify the date from which the declaration is to take effect.

S. 19A inserted by No. 59/2011 s. 26, repealed by No. 34/2022 s. 51.

S. 20 (Heading) amended by No. 15/2025 s. 31(1).

20 Offences and civil obligations relating to creation of certificates

S. 20(1) amended by No. 59/2011 s. 27(1).

(1) A person who is not an accredited person must not create a certificate under this Act.

S. 20(2) repealed by No. 59/2011 s. 27(2).

(3) An accredited person must not create a certificate in respect of a prescribed activity which occurred before the person applied for accreditation under section 9.

S. 20(4) amended by No. 59/2011 s. 27(3).

(4) An accredited person must not create a certificate during any period in which accreditation under section 9 is suspended in accordance with section 14 or 14A.

S. 20(5) substituted by No. 35/2013 s. 19.

(5) An accredited person must not create a certificate in respect of a reduction in greenhouse gas emissions resulting from a prescribed activity if the accredited person—

(a) has previously created a valid certificate under this Act in respect of that reduction in greenhouse gas emissions; or

(b) has knowledge that another person has previously created a valid certificate under this Act in respect of that reduction in greenhouse gas emissions.

Penalty: 60 penalty units in the case of an individual;

(6) An accredited person must not create a certificate in respect of a prescribed activity if the accredited person or another person has previously obtained any benefit in respect of that prescribed activity under a prescribed greenhouse gas scheme.

S. 20(7) inserted by No. 59/2011 s. 27(4).

(7) An accredited person must not create a certificate that the person knows—

(a) contains incorrect information in respect of a prescribed activity; or

S. 20(7)(b) amended by No. 15/2025 s. 60(1).

(b) does not comply with the requirements of this Act or the regulations for creating certificates or recording prescribed activities.

Penalty: 60 penalty units in the case of an individual;

S. 20(8) inserted by No. 15/2025 s. 31(2).

(8) An accredited person must not create a certificate that—

(a) contains incorrect information in respect of a prescribed activity; or

(b) does not comply with the requirements of this Act or the regulations for creating certificates or recording prescribed activities.

S. 20A inserted by No. 34/2022 s. 40.

20A Offence to create certificate in certain circumstances

A person must not create a certificate in contravention of a condition or restriction of the person's accreditation.

Division 4—Form, registration, expiry and transfer of certificates

21 Form and content of certificates

(1) A certificate must be created in an electronic form specified in the ESC guidelines.

(2) A certificate must contain—

(a) a unique identification code;

(b) the name of the consumer of electricity or gas;

(c) the date on which the prescribed activity occurred;

(d) details of the prescribed activity;

S. 21(2)(da) inserted by No. 35/2013 s. 20.

(da) the date on which the reduction in greenhouse gas emissions resulting from the prescribed activity occurred;

(e) the date on which the certificate was created.

(3) A certificate's unique identification code consists of the following in the following order—

(a) the accredited person's registration number;

(b) the year;

(c) a number in an unbroken sequence, that is used for all certificates issued by the accredited person in that year, that starts at one and has increments of one.

S. 21(4) inserted by No. 15/2025 s. 38.

(4) The ESC may require—

(a) a certificate to contain any information specified in subsection (5); or

(b) the accredited person to provide to the ESC any information specified in subsection (5) with the certificate.

S. 21(5) inserted by No. 15/2025 s. 38.

(5) For the purposes of subsection (4), the following information is specified—

(a) the consumer's contact details;

(b) the address of the premises at which the prescribed activity was undertaken;

(c) the name and contact details of any scheme participant who—

(i) undertook the prescribed activity or any part of the prescribed activity; or

(ii) undertook a regulated action in relation to the prescribed activity;

(d) the ABN of a scheme participant described in paragraph (c);

(e) any other information specified in the ESC guidelines that the ESC considers necessary for the purposes of the VEET scheme.

22 Certificates must be registered

(1) A certificate is not valid until it has been registered by the ESC.

(2) If the ESC is notified that a certificate has been created, the ESC must decide whether the certificate is eligible for registration.

S. 22(3) substituted by No. 59/2011 s. 28(1).

(3) A certificate is eligible for registration if—

S. 22(3)(a) amended by No. 15/2025 s. 60(2).

(a) the certificate complies with the requirements of this Act or the regulations for creating certificates and recording prescribed activities; and

(b) the ESC has been paid any relevant fee fixed under section 73 for registration of the certificate.

S. 22(4) amended by No. 59/2011 s. 28(2).

(4) If the ESC decides that a certificate is eligible for registration, the ESC must, subject to subsection (5), create an entry for the certificate in the register of energy efficiency certificates and record the person who created the certificate as the owner of the certificate.

S. 22(5) substituted by No. 59/2011 s. 28(3).

(5) If the ESC decides that a certificate is not eligible for registration or that a certificate has been created in contravention of section 20, the ESC must—

(a) not register the certificate; and

(b) notify the person who created the certificate that the certificate has not been registered.

S. 22(6) inserted by No. 59/2011 s. 28(3).

(6) The ESC may make a decision under subsection (5) in relation to all certificates that have been created by an accredited person but not yet registered if—

(a) the ESC has conducted an audit or investigation of a sample of those certificates; and

(b) the ESC forms the view that the audit or investigation indicates that a high proportion of the total of those certificates would not be eligible for registration or would have been created in contravention of section 20.

23 Expiry of certificate

(1) A certificate expires—

(a) on the day which is the sixth anniversary of the day on which the prescribed activity was undertaken; or

(b) if it is surrendered to the ESC before the certificate expires under paragraph (a), on the day on which it is surrendered.

(2) If a certificate expires, the ESC must alter the entry relating to the certificate in the register of certificates to show that the certificate has expired and is no longer valid.

24 Certificates may be transferred

S. 24(1) amended by No. 34/2022 s. 23.

(1) A certificate registered under section 22 may be transferred to a person who holds a VEET scheme registry account.

(2) The ESC must be notified of the transfer of a certificate.

S. 24(2A) inserted by No. 34/2022 s. 60, amended by No. 15/2025 s. 39.

(2A) The notification must include any information specified in the ESC guidelines.

(3) The notification must be by electronic transmission in the manner specified in the ESC guidelines.

(4) The notification must be accompanied by any relevant fee fixed under section 73.

(5) If the ESC is notified in accordance with this section, the ESC must alter the register of certificates to show the transferee as the owner of the certificate.

Division 5—Retirement of certificates

25 Owner may surrender certificate voluntarily

S. 25(1) amended by No. 34/2022 s. 61(1).

(1) Subject to subsection (4), the owner of a certificate may voluntarily surrender the certificate under this section.

Certificates may also be surrendered under section 33, 38, 39 or 40.

(2) The owner of a certificate, must at the same time, give the ESC, reasons in writing, why the certificate is being surrendered.

(3) A certificate surrendered under this section must not be included in an energy acquisition statement.

S. 25(4) inserted by No. 34/2022 s. 61(2).

(4) The owner of a certificate must not voluntarily surrender the certificate in contravention of a Ministerial order made under subsection (7).

S. 25(5) inserted by No. 34/2022 s. 61(2).

(5) The Minister must publish in the Government Gazette a notice of intention to disallow the voluntary surrender of certificates for a specified period.

S. 25(6) inserted by No. 34/2022 s. 61(2).

(6) A notice under subsection (5) must include—

(a) the proposed period of disallowance; and

(b) the reasons for the proposed period of disallowance; and

(c) the procedures for the making and consideration of submissions.

S. 25(7) inserted by No. 34/2022 s. 61(2).

(7) If the Minister, after complying with subsection (5), determines that the limitation on the voluntary surrender of certificates is necessary to protect the integrity of the operation of this Act, the Minister may make the order to limit the voluntary surrender of certificates for a specified period by notice published in the Government Gazette.

26 Retirement of certificates

(1) If a certificate is surrendered under section 25 or 33 or in accordance with section 38, 39 or 40, the certificate ceases to be valid.

(2) If a certificate ceases to be valid, the ESC must alter the entry relating to the certificate in the register of energy efficiency certificates to show that the certificate is no longer valid.

Pt 3 Div. 6 (Heading and ss 26A–26P) inserted by No. 34/2022 s. 24.

Division 6—VEET scheme registry accounts

S. 26A inserted by No. 34/2022 s. 24.

26A Application for VEET scheme registry account

(1) A person may apply to the ESC to open a VEET scheme registry account.

(2) An application to open a VEET scheme registry account must—

(a) include a declaration that the applicant is a fit and proper person for the purposes of holding a VEET scheme registry account; and

(b) in the case of an application by a body corporate, include details of the officers of the body corporate; and

(c) include any other information requested by the ESC; and

S. 26A(2)(d) amended by No. 12/2023 s. 8.

(d) be accompanied by the fee (if any) fixed under section 73.

S. 26B inserted by No. 34/2022 s. 24.

26B Approval of application

(1) The ESC may approve an application for a VEET scheme registry account if—

(a) the ESC determines that the applicant is a fit and proper person for the purposes of holding a VEET scheme registry account; and

(b) the applicant does not hold a VEET scheme registry account; and

S. 26B(1)(c) repealed by No. 15/2025 s. 40.

S. 26B(1)(d) amended by No. 12/2023 s. 9.

(d) the application is accompanied by the fee (if any) fixed under section 73.

(2) If the ESC is not satisfied that an application for a VEET scheme registry account complies with subsection (1), the ESC must refuse the application.

(3) Without limiting subsection (2), the ESC must refuse a person's application for a VEET scheme registry account if—

(a) the ESC determines that the person is not a fit and proper person for the purposes of holding a VEET scheme registry account; or

(b) the application is not accompanied by the relevant fee.

S. 26C inserted by No. 34/2022 s. 24.

26C Conditions of approval

Approval of an application to open a VEET scheme registry account may be subject to—

(a) any prescribed conditions; and

(b) any other conditions that the ESC considers appropriate in the circumstances.

S. 26D inserted by No. 34/2022 s. 24.

26D Suspension of VEET scheme registry account

(1) The ESC may suspend a person's VEET scheme registry account for a period of up to 12 months if—

(a) the ESC determines that the person is not a fit and proper person for the purposes of holding a VEET scheme registry account; or

(b) the person breaches a condition of holding the VEET scheme registry account.

(2) The ESC may suspend a VEET scheme registry account for a further period of up to 12 months.

S. 26E inserted by No. 34/2022 s. 24.

26E Notice of proposed action

Before suspending a VEET scheme registry account, the ESC must give the account holder notice—

(a) advising that the ESC is satisfied that there are grounds for suspending the VEET scheme registry account; and

(c) inviting a submission from the account holder to establish why the ESC should not suspend the VEET scheme registry account; and

See section 26I which provides a person with protection against self-incrimination.

(d) advising that the account holder may make a written submission to the ESC no later than—

S. 26F inserted by No. 34/2022 s. 24.

26F Immediate suspension and notice of proposed action

(1) Despite section 26E, the ESC may suspend a VEET scheme registry account without giving the account holder notice under that section if the ESC considers that immediate suspension of the VEET scheme registry account is necessary, having regard to—

(a) whether the account holder is a fit and proper person for the purposes of holding a VEET scheme registry account; and

(b) the purposes of this Act.

(2) On suspending a VEET scheme registry account under subsection (1), the ESC must give the account holder notice—

(a) stating that the ESC is satisfied that there are grounds for the ESC to immediately suspend the VEET scheme registry account; and

(c) inviting a submission from the account holder to establish why the ESC should not suspend the VEET scheme registry account; and

(d) advising that the account holder may make a written submission to the ESC no later than—

S. 26G inserted by No. 34/2022 s. 24.

26G Request for extension of time for submissions

(1) A person given notice under section 26E or 26F may request in writing an extension of time for making a submission to the ESC.

(2) The ESC, by written notice, may extend the time for making a written submission by no more than 28 days.

S. 26H inserted by No. 34/2022 s. 24.

26H Request by ESC for further information

(1) The ESC, by written notice, may request a person who holds a VEET scheme registry account to provide within a period (not less than 14 days) specified in the notice—

(a) evidence as to whether the person is a fit and proper person for the purposes of holding a VEET scheme registry account; and

(b) any other information relevant to whether the person should hold a VEET scheme registry account.

(2) Time does not accrue for the purposes of section 26J for the period—

(b) ending on the date on which the person complies with the request.

S. 26I inserted by No. 34/2022 s. 24.

26I Protection against self-incrimination

A person may refuse or fail to comply with a request under section 26H if the disclosure of the information to the ESC would tend to incriminate the person.

S. 26J inserted by No. 34/2022 s. 24.

26J Time for making decision

The ESC must make a decision under section 26K—

(a) if the person has made a submission to the ESC, within 28 days of receiving the submission; or

(b) if the person has not made a submission to the ESC within the specified time period, within 10 days of the end of that period.

S. 26K inserted by No. 34/2022 s. 24.

26K Decision of ESC after giving notice

(1) After giving notice to an account holder under section 26E or 26F and considering any submissions made by the account holder and any other available information, the ESC may—

(a) cancel any suspension imposed under section 26F; or

(b) suspend the VEET scheme registry account under section 26D; or

(c) take no further action.

(2) The ESC must give an account holder a statement of written reasons for a decision to suspend a VEET scheme registry account.

(3) Any period of suspension imposed under section 26F until the date of the ESC's decision under this section is to be deducted from a period of suspension under subsection (1)(b).

S. 26L inserted by No. 34/2022 s. 24.

26L ESC may impose conditions at end of suspension

If the ESC suspends a person's VEET scheme registry account under this Division, at the end of the period of suspension the ESC may impose a condition or restriction on the person's VEET scheme registry account.

S. 26M inserted by No. 34/2022 s. 24.

26M Cancellation of VEET scheme registry account

The ESC may cancel a VEET scheme registry account held by a person if the ESC is satisfied, having regard to the circumstances of the case and any other previous suspensions or cancellations of the person's VEET scheme registry account—

(a) that suspension of the person's VEET scheme registry account is inadequate; and

(b) it is necessary to cancel the person's VEET scheme registry account.

S. 26N inserted by No. 34/2022 s. 24.

26N Permission to transfer or surrender certificates while account cancelled or suspended

The ESC, by written notice, may authorise a person to transfer or surrender certificates for the period specified in the notice if—

(a) the person's VEET scheme registry account is cancelled or suspended; and

(b) in the circumstances, the ESC considers it appropriate to allow the person to transfer or surrender certificates.

S. 26O inserted by No. 34/2022 s. 24.

26O Offence to hold certificate without account

A person must not hold a certificate if the person does not have a VEET scheme registry account.

S. 26P inserted by No. 34/2022 s. 24.

26P Offence to transfer or surrender certificate in certain circumstances

A person must not transfer or surrender a certificate if the person—

(a) has a VEET scheme registry account that is suspended or cancelled; and

(b) does not have authority under section 26N to transfer or surrender certificates.

Part 4—Energy efficiency certificate shortfall and VEET scheme target

27 Energy efficiency certificate shortfall

(1) A relevant entity must not have an energy efficiency certificate shortfall for a year in which the relevant entity makes a scheme acquisition.

S. 27(2) amended by Nos 34/2022 s. 31, 15/2025 s. 9.

(2) Subsection (1) does not apply in the year commencing 1 January 2046 or any year after that year.

28 Civil penalty for shortfall

S. 28(1) amended by No. 41/2021 s. 74.

(1) A relevant entity which has an energy efficiency certificate shortfall for a year is liable to pay to the Essential Services Commission Enforcement Fund, as a pecuniary penalty, an energy efficiency shortfall penalty determined in accordance with this section.

(2) The energy efficiency shortfall penalty payable by a relevant entity for a year is determined by multiplying the relevant entity's energy efficiency certificate shortfall (in tonnes of carbon dioxide equivalent of greenhouse gas emissions) for that year by the prescribed shortfall penalty rate.

29 Calculation of energy efficiency certificate shortfall

(1) The energy efficiency certificate shortfall of a relevant entity for a year is to be calculated in accordance with the formula—

A – (B + C)

"A" is the number of tonnes of carbon dioxide equivalent of greenhouse gas emissions that the relevant entity is liable for under section 31 in that year;

"B" is the number of tonnes of carbon dioxide equivalent of greenhouse gas emissions attributable to certificates surrendered under section 33 by the relevant entity in that year;

"C" is the number of tonnes of carbon dioxide equivalent of greenhouse gas emissions which are a carried forward surplus for the previous year.

(2) If the result of the calculation under subsection (1)—

(a) is greater than zero, the relevant entity has an energy efficiency certificate shortfall for the year equal to the result;

S. 29(2)(b) amended by No. 15/2025 s. 55.

(b) is zero or less than zero, the relevant entity does not have an energy efficiency certificate shortfall for the year;

(c) is less than zero, the relevant entity has a carried forward surplus for the year.

S. 30 substituted by No. 61/2015 s. 3.

30 VEET scheme target

The VEET scheme target is—

(a) in 2016, 5·4 million tonnes of carbon dioxide equivalent; and

(b) in 2017, 5·9 million tonnes of carbon dioxide equivalent; and

(c) in 2018, 6·1 million tonnes of carbon dioxide equivalent; and

(d) in 2019, 6·3 million tonnes of carbon dioxide equivalent; and

(e) in 2020, 6·5 million tonnes of carbon dioxide equivalent; and

S. 30(f) amended by No. 33/2021 s. 21.

(f) in each year in the period commencing 1 January 2021 and ending 31 December 2025, the target prescribed for that year by regulations made before that year; and

S. 30(g) amended by No. 34/2022 s. 32, substituted by No. 15/2025 s. 10.

(g) in each of 2026 and 2027, the target prescribed for that year by regulations made not later than 31 May 2025; and

S. 30(h) inserted by No. 15/2025 s. 10.

(h) in each of 2028, 2029 and 2030, the target prescribed for that year by regulations made not later than 31 August 2027; and

S. 30(i) inserted by No. 15/2025 s. 10.

(i) in each of 2031, 2032, 2033, 2034 and 2035, the target prescribed for that year by regulations made not later than 31 May 2030; and

S. 30(j) inserted by No. 15/2025 s. 10.

(j) in each of 2036, 2037, 2038, 2039 and 2040, the target prescribed for that year by regulations made not later than 31 August 2035; and

S. 30(k) inserted by No. 15/2025 s. 10.

(k) in each of 2041, 2042, 2043, 2044 and 2045, the target prescribed for that year by regulations made not later than 31 May 2040.

31 Greenhouse gas emissions liability for relevant entity

(1) For the purposes of section 29, the total amount in tonnes of carbon dioxide equivalent of greenhouse gas emissions that a relevant entity is liable for in respect of electricity in a year is to be calculated in accordance with the formula—

E × RE

"E" is the amount of electricity (in MWh) acquired by the relevant entity under scheme acquisitions in that year;

"RE" is the greenhouse gas reduction rate for electricity fixed under section 32 for that year.

(2) For the purposes of section 29, the total amount in tonnes of carbon dioxide equivalent of greenhouse gas emissions that a relevant entity is liable for in respect of gas in a year is to be calculated in accordance with the formula—

G × RG

"G" is the amount of gas (in GJ) acquired by the relevant entity under scheme acquisitions in that year;

"RG" is the greenhouse gas reduction rate for gas fixed under section 32 for that year.

(3) The amount calculated under subsection (1) or (2) is to be rounded up to the nearest tonne of carbon dioxide equivalent of greenhouse gas emissions.

32 Greenhouse gas reduction rates

S. 32(1) amended by No. 61/2015 s. 4(1).

(1) The Governor in Council, on the recommendation of the Minister and by Order published in the Government Gazette, may fix greenhouse gas reduction rates for electricity and for gas in respect of a year.

S. 32(1A) inserted by No. 61/2015 s. 4(2), amended by No. 33/2021 s. 22(1).

(1A) In recommending the greenhouse gas reduction rates for electricity and for gas that are to be fixed in respect of a particular year, the Minister must have regard to the VEET scheme target in that year (if any).

S. 32(2) amended by No. 33/2021 s. 22(2).

(2) An Order under subsection (1) fixing the greenhouse gas reduction rate for electricity and for gas in respect of a year must be made and take effect before that year.

(3) If a greenhouse gas reduction rate for electricity or for gas for any year is not fixed by Order, the greenhouse gas reduction rate for electricity or for gas for that year is the greenhouse gas reduction rate for electricity or for gas for the previous year.

S. 32A inserted by No. 55/2010 s. 85.

32A Effect of specified Order made under section 32

(1) The specified Order has, and is taken always to have had, the same force and effect as it would have had if—

(a) for "0.13501" in the Order there were substituted "0.15508"; and

(b) for "0.00803" in the Order there were substituted "0.00923".

(2) In this section—

specified Order means the Order made under section 32 on 25 May 2010 and published in the Government Gazette on 27 May 2010.

Part 5—Statements and surrender of certificates

33 Annual energy acquisition statements

(1) A relevant entity which makes a scheme acquisition during a year must lodge an energy acquisition statement for the year on or before—

(a) 30 April in the following year; or

S. 33(1)(b) substituted by No. 15/2025 s. 47(1).

(b) any later day approved by the Minister or the ESC in accordance with subsection (1A) or (1B).

S. 33(1A) inserted by No. 15/2025 s. 47(2).

(1A) For the purposes of subsection (1)(b), the Minister, by notice published in the Government Gazette, may approve a day (that is not later than 31 December in the following year) as the day on or before which an energy acquisition statement must be lodged.

S. 33(1B) inserted by No. 15/2025 s. 47(2).

(1B) For the purposes of subsection (1)(b), the ESC may approve a day (that is not later than 30 May in the following year) as the day on or before which an energy acquisition statement must be lodged.

(2) An energy acquisition statement must set out—

(a) the name and postal address of the relevant entity;

(b) the amount of electricity and gas acquired under scheme acquisitions during the year;

(c) the value, in tonnes of carbon dioxide equivalent of greenhouse gas emissions, of certificates being surrendered for that year under this section;

(d) any carried forward surplus for the previous year;

(e) any carried forward surplus for the current year;

(f) any other information specified in the ESC guidelines.

(3) An energy acquisition statement must—

(a) be made in a form and manner specified in the ESC guidelines;

(b) be accompanied by any relevant fee fixed under section 73 in respect of the lodging of an energy acquisition statement;

(c) be signed by or on behalf of the relevant entity making the statement.

(4) An energy acquisition statement must be accompanied by details of all certificates being surrendered for that year under this section.

(5) A certificate cannot be specified in the energy acquisition statement unless the relevant entity is recorded in the register of energy efficiency certificates as the owner of the certificate at the time that the statement is lodged.

(6) An energy acquisition statement must also be audited by an independent third party engaged by the relevant entity before it is lodged under this section.

S. 33(7) inserted by No. 15/2025 s. 47(3).

(7) In this section—

following year, in relation to an energy acquisition statement, means the year following the year to which the energy acquisition statement relates.

34 Restrictions on certificates that can be surrendered

A certificate cannot be surrendered under section 33 unless—

(a) the certificate is valid; and

S. 34(b) repealed by No. 15/2025 s. 48.

(c) the relevant entity is recorded in the register of energy efficiency certificates as the owner of the certificate at the time that the statement is lodged.

35 Fees for surrender of certificates

(1) The ESC must, by notice in writing given to the relevant entity, advise the relevant entity—

(a) of the number of certificates specified under section 33(4) that can be surrendered for that year; and

(b) of any relevant fee fixed under section 73 that is payable by the relevant entity in respect of the surrender of those certificates.

(2) The relevant entity must pay the fee within the period of 20 business days beginning on the day the relevant entity receives the notice under subsection (1).

(3) If the fee is unpaid at the end of that period, the fee is a debt due to the Crown and is recoverable by the ESC in any court of competent jurisdiction.

Part 6—Enforcement

36 Shortfall statement

(1) If the ESC considers that a relevant entity is in breach of an obligation under section 27 in respect of a year, the ESC may issue a shortfall statement to the relevant entity.

(2) The shortfall statement must set out—

(a) the name and postal address of the relevant entity;

(b) the relevant entity's energy efficiency certificate shortfall for the year;

(c) the energy efficiency shortfall penalty that the relevant entity is liable to pay under section 28;

(d) the manner in which that penalty is to be paid;

(e) the time within which that penalty is to be paid;

(f) any other information which may be required by the ESC.

(3) The shortfall statement must include a statement advising the relevant entity that if the energy efficiency shortfall penalty is not paid in accordance with the shortfall notice, the ESC may apply to a court for an order requiring the penalty to be paid.

37 Application for declaration and order for payment of shortfall penalty

(1) If an energy efficiency shortfall penalty is not paid in accordance with a shortfall notice, the ESC may apply to a court for—

(a) a declaration that the relevant entity has contravened section 27; and

(b) an order requiring the relevant entity to pay the energy efficiency shortfall penalty.

(2) If the court is satisfied that the relevant entity has contravened section 27, the court may—

(a) make the declaration sought; and

S. 37(2)(b) amended by No. 41/2021 s. 75.

(b) order the relevant entity to pay to the ESC for payment into the Essential Services Commission Enforcement Fund the amount of the energy efficiency shortfall penalty that the relevant entity is liable to pay under section 28.

(3) An order made under this section is taken, for the purposes of enforcement, to be an order made by the court in a civil proceeding.

S. 37A inserted by No. 34/2022 s. 41.

37A Offence to contravene shortfall statement

A person must comply with a shortfall statement issued to the person under section 36.

Penalty: 240 penalty units.

38 Certificate surrender notice

(1) If the ESC considers that an accredited person is in breach of an undertaking given under section 10(2), the ESC may issue a certificate surrender notice to that person.

(2) A person must comply with a certificate surrender notice issued to the person under this section.

1. 600 penalty units and an additional 1 penalty unit for each certificate that the person fails to surrender in accordance with the notice.

S. 38(3) repealed by No. 34/2022 s. 62.

(4) A surrender certificate notice must specify—

(a) the name and postal address of the accredited person;

(b) the number of certificates that must be surrendered to the ESC;

(c) the time within which the certificates specified must be surrendered.

(5) The number of certificates that must be surrendered must be equivalent to the number of certificates created and registered under this Act in breach of the undertaking.

(6) The certificate surrender notice must include a statement advising the accredited person that if the number of certificates specified in the certificate surrender notice to be surrendered is not surrendered in accordance with the certificate surrender notice, the ESC may apply to a court for an order under section 39.

(7) A certificate surrendered in accordance with a certificate surrender notice is not to be counted toward a person's compliance with section 27.

(8) To avoid doubt, it is not an excuse for a failure to comply with a certificate surrender notice that the person to whom the certificate surrender notice is issued is not, at the time the certificate surrender notice is issued, the registered owner of a sufficient number of certificates to comply with the certificate surrender notice.

39 Application for declaration and order requiring surrender of certificates

(1) If certificates are not surrendered in accordance with a certificate surrender notice, the ESC may apply to a court for—

(a) a declaration that an accredited person has breached an undertaking given by that person under section 10(2); and

(b) an order requiring the accredited person to surrender to the ESC the number of certificates specified in the order.

(2) If the court is satisfied that the accredited person has breached the undertaking given by the person under section 10(2), the court may—

(a) make the declaration sought; and

(b) order the accredited person to surrender to the ESC the number of certificates specified in the order within the time specified in the order.

S. 39(3) repealed by No. 34/2022 s. 63.

(4) A certificate surrendered in accordance with an order made under this section is not to be counted toward a person's compliance with section 27.

(5) To avoid doubt, it is not an excuse for a failure to comply with an order under this section that the person who is the subject of the order is not, at the time the order is made, the registered owner of a sufficient number of certificates to comply with the order.

40 ESC may require surrender of certificates if certificates improperly created

(1) The ESC may by order in writing require a person to surrender to the ESC, within a period specified in the order, the number of certificates specified in the order.

(2) A person must comply with an order under this section.

1. 600 penalty units and an additional 1 penalty unit for each certificate that the person fails to surrender in accordance with the order.

S. 40(3) substituted by No. 59/2011 s. 29(1).

(3) An order may only be made against a person under this section if—

(a) the ESC considers that—

(i) the person created a certificate that does not comply with the requirements of this Act or the regulations; or

(ii) the person failed to comply with the requirements of this Act or the regulations relating to the recording or carrying out of the prescribed activity to which a certificate relates; or

(b) the ESC reasonably believes that a certificate has been created by the person in contravention of section 20; or

(c) the person is found guilty of an offence against section 20(1), 20(3), 20(4), 20(5), 20(6) or 20(7).

S. 40(4) amended by No. 59/2011 s. 29(2).

(4) If an order is made against a person found guilty of an offence under section 20(1), 20(3), 20(4), 20(5), 20(6) or 20(7), the ESC must require the person to surrender the number of certificates that is equivalent to the number of certificates that were created by the person in contravention of section 20(1), 20(3), 20(4), 20(5), 20(6) or 20(7) and registered under this Act.

S. 40(4A) inserted by No. 59/2011 s. 29(3), amended by No. 15/2025 s. 60(3).

(4A) If an order is made against a person referred to in subsection (3)(a) or (b), the ESC must require the person to surrender the number of certificates that is equivalent to the number of certificates that the ESC reasonably believes have been registered under this Act and that—

(a) were not created in compliance with the requirements of this Act or the regulations; or

(b) were not created in compliance with the requirements of this Act or the regulations relating to the recording or carrying out of prescribed activities; or

(c) were created in contravention of section 20.

(5) A certificate surrendered under this section is not to be counted toward a person's compliance with section 27.

(6) To avoid doubt, it is not an excuse for a failure to comply with an order under this section that the person who is the subject of the order is not, at the time the order is made, the registered owner of a sufficient number of certificates to comply with the order.

S. 40A inserted by No. 59/2011 s. 30.

40A ESC may give warning or impose condition

(1) This section applies if the ESC believes on reasonable grounds that an accredited person—

S. 40A(1)(a) amended by No. 15/2025 s. 60(4)(a).

(a) may have committed any offence against this Act; or

S. 40A(1)(b) amended by No. 15/2025 s. 50.

(b) has unintentionally—

S. 40A(1)(b)(i) amended by No. 15/2025 s. 60(4)(b).

(i) created certificates that do not comply with the requirements of this Act or the regulations; or

S. 40A(1)(b)(ii) amended by No. 15/2025 s. 60(4)(b).

(ii) failed to comply with the requirements of this Act or the regulations relating to the recording or carrying out of prescribed activities.

(2) The ESC may do one or more of the following—

(a) warn the accredited person;

(b) reprimand the accredited person;

(c) impose a condition or restriction on the accreditation of the accredited person.

S. 40AB inserted by No. 15/2025 s. 20.

40AB ESC may issue improvement notice

(1) The ESC may issue a relevant person with an improvement notice if the ESC believes on reasonable grounds that—

(a) the person is contravening or has contravened a provision of this Act or the regulations in relation to—

(i) the undertaking of a prescribed activity; or

(ii) the undertaking of a regulated action; or

(b) the person, in undertaking or purporting to undertake a prescribed activity under or in accordance with the VEET scheme, has provided an appliance, equipment or a service that has caused or is likely to cause harm to human health or safety or damage to property.

(2) An improvement notice may require the person to whom it is issued—

(a) to take any action that the ESC reasonably considers necessary to remedy the contravention or anything causing the contravention; or

(b) to remedy the conduct that has caused or is likely to cause harm to human health or safety or damage to property.

(3) An improvement notice must—

(a) be in writing; and

(b) specify the name and address of the person to whom it is issued; and

(c) state the grounds on which the notice is issued; and

(d) specify what the person must do to comply with the notice; and

(e) specify the period within which the person must comply with the notice; and

(f) set out the penalty for failure to comply with the notice.

(4) On its own initiative or on request by a person to whom an improvement notice has been issued, the ESC, by further notice in writing to the person, may extend the period within which the person must comply with the improvement notice.

(5) A person to whom an improvement notice is issued must comply with the notice.

(6) In this section—

relevant person means a person who—

(a) is or was at any time an accredited person; or

(b) is or was at any time a scheme participant; or

(c) has at any time held themselves out to be an accredited person or a scheme participant or to be acting under or in accordance with the VEET scheme.

S. 40AC inserted by No. 15/2025 s. 27.

40AC ESC may issue prohibition notice

(1) The ESC may issue a relevant person with a prohibition notice if the ESC believes on reasonable grounds that—

(a) the person—

(i) is contravening or has contravened a provision of this Act or the regulations in relation to—

(A) the undertaking of a prescribed activity; or

(B) the undertaking of a regulated action; or

(ii) has engaged in or proposes to engage in conduct that has caused or is likely to cause harm to human health or safety or damage to property; and

(b) having regard to the nature of the contravention or the conduct, prohibiting the person from undertaking a prescribed activity or a regulated action is necessary to prevent harm to human health or safety or damage to property.

(2) A prohibition notice may—

(a) prohibit the person to whom it is issued from undertaking or purporting to undertake, on behalf of an accredited person or otherwise under or in accordance with the VEET scheme, any of the following—

(i) a prescribed activity or any part of a prescribed activity;

(ii) a regulated action; and

(b) require the person to whom it is issued to take any action that the ESC reasonably considers necessary to prevent or minimise harm to human health or safety or damage to property.

(3) A prohibition notice must—

(a) be in writing; and

(b) specify the name and address of the person to whom it is issued; and

(c) state the grounds on which the notice is issued; and

(d) specify—

(i) what the notice prohibits the person from undertaking or purporting to undertake; and

(ii) any action that the notice requires the person to take; and

(e) specify the period for which the notice applies; and

(f) set out the penalty for failure to comply with the notice; and

(g) set out how the person may seek review of the decision to issue the notice.

(4) A person to whom a prohibition notice is issued must comply with the notice.

(5) An accredited person must not require or permit any other person to undertake, on the accredited person's behalf, a prescribed activity or any part of a prescribed activity or a regulated action if the accredited person knows, or reasonably ought to know, that the other person is prohibited from undertaking that prescribed activity or regulated action.

(6) In this section—

relevant person means a person who—

(a) is or was at any time a scheme participant; or

(b) has at any time held themselves out to be acting under or in accordance with the VEET scheme.

S. 40AD inserted by No. 15/2025 s. 27.

40AD Application for revocation or variation of prohibition notice

(1) A person may apply to the ESC—

(a) to revoke a prohibition notice that applies to the person; or

(b) to vary the period for which a prohibition notice applies to the person; or

(c) to vary a requirement to take action specified in a prohibition notice that applies to the person.

(2) An application under subsection (1)—

(a) must be made in a form specified in the ESC guidelines; and

(b) must set out the reason why the revocation or variation is sought; and

(c) must include—

(i) evidence of a relevant change in circumstances since the prohibition notice was issued; and

(ii) evidence demonstrating that the applicant is a suitable person to undertake the prescribed activity or the regulated action specified in the prohibition notice; and

(iii) any information specified in the ESC guidelines for the purposes of this subparagraph; and

(d) may include—

(i) evidence demonstrating that any harm or damage or likely harm or damage specified in the prohibition notice has been remedied or prevented; and

(ii) any information relevant to the prohibition notice.

(3) Within 28 days after receiving an application under subsection (1), the ESC must—

(a) consider the application; and

(b) by written notice to the applicant—

(i) revoke the prohibition notice; or

(ii) vary the period for which the prohibition notice applies; or

(iii) vary the requirement to take action specified in the prohibition notice; or

(iv) refuse to revoke or vary the prohibition notice.

(4) In considering an application under subsection (1), the ESC must have regard to the following—

(a) the information and evidence included in the application;

(b) any conduct of the applicant that was considered by the ESC when it issued the prohibition notice;

(c) any other matter that the ESC considers relevant.

(5) A written notice revoking or varying a prohibition notice under subsection (3)(b) must specify the day on which the revocation or variation takes effect.

S. 40AE inserted by No. 15/2025 s. 27.

40AE ESC may revoke or vary prohibition notice on its own initiative

(1) The ESC, on its own initiative, may revoke a prohibition notice, vary the period for which a prohibition notice applies or vary a requirement to take action specified in a prohibition notice if the ESC receives or otherwise becomes aware of information that—

(a) relates to the grounds on which the prohibition notice was issued; and

(b) was not known to the ESC at the time the notice was issued.

(2) Before revoking or varying a prohibition notice under subsection (1), the ESC must—

(a) give the person to whom the prohibition notice was issued written notice—

(i) advising that the ESC proposes to revoke or vary the prohibition notice; and

(ii) stating that the person may make a written submission to the ESC regarding the proposal within 20 business days after receiving the notice; and

(b) consider any submission received under paragraph (a)(ii).

(3) The ESC must give the person to whom the prohibition notice was issued written notice of the ESC's decision on the proposed revocation or variation within 20 business days after—

(a) if no submission is received from the person in accordance with subsection (2)(a)(ii), the day on which notice is provided under subsection (2); or

(b) if a submission is received from the person in accordance with subsection (2)(a)(ii), the day on which the submission is received.

Pt 6A (Heading and ss 40B–40D) inserted by No. 34/2022 s. 46.

Part 6A—Civil penalty requirements

S. 40B inserted by No. 34/2022 s. 46.

40B Civil penalty requirements

(1) The Table in Schedule 1 sets out civil penalty requirements for the purposes of the Essential Services Commission Act 2001 and, for each civil penalty requirement—

(a) the provision which is a civil penalty requirement; and

(b) the regulated entity that is subject to the civil penalty requirement.

(2) A provision specified in column 3 of the Table in Schedule 1 constitutes a civil penalty requirement for the purposes of the Essential Services Commission Act 2001.

For matters relating to contraventions of provisions that are offences and civil penalty requirements, see Subdivision 4 of Division 1 of Part 7 of the Essential Services Commission Act 2001.

(3) A person or entity specified in column 4 of the Table in Schedule 1 is a regulated entity for the purposes of Divisions 1 and 2 of Part 7 and 54ZN of the Essential Services Commission Act 2001.

(4) An amount specified in column 5 of the Table in Schedule 1 is a civil penalty amount for the purposes of section 54E(f) of the Essential Services Commission Act 2001.

S. 40C inserted by No. 34/2022 s. 46.

40C Notice penalties

For the purposes of section 54T(1)(a)(ii) and (b)(ii) of the Essential Services Commission Act 2001, the regulations may prescribe the notice penalty for a contravention by a regulated entity of a civil penalty requirement specified in column 3 of the Table in Schedule 1.

S. 40D inserted by No. 34/2022 s. 46.

40D Contravening a civil penalty provision is not an offence

To avoid doubt, a contravention of a civil penalty provision is not an offence.

Part 7—Powers of authorised officers

Division 1—Appointment of authorised officers

41 Appointment of authorised officers

(1) The ESC may, in writing, appoint any of the following persons as an authorised officer for the purposes of this Part—

(a) an employee of the ESC;

(b) a person employed under Part 3 of the Public Administration Act 2004;

(c) any other person employed by the State;

(d) any other person who the ESC considers has appropriate skills, qualifications and experience.

(2) The ESC must not appoint a person as an authorised officer unless the ESC is satisfied that the person has appropriate skills, qualifications and experience.

(3) In exercising powers or performing functions as an authorised officer, an authorised officer must comply with any directions of the ESC.

42 Identity cards

(1) The ESC must issue an identity card to an authorised officer.

(2) The identity card must contain a recent photograph and the signature of the authorised officer.

(3) An authorised officer must carry the identity card at all times when exercising powers or performing functions as an authorised officer.

(4) An authorised officer must produce his or her identity card for inspection—

(a) before exercising a power under this Part other than a requirement made by post, fax, email or other electronic communication; and

(b) at any time during the exercise of a power under this Part, if asked to do so.

1. 10 penalty units.

Division 2—Powers of authorised officer

43 When may powers be exercised?

(1) An authorised officer may exercise powers under this Part only to the extent that it is reasonably necessary to do so for substantiating information provided under this Act or for determining whether this Act has been complied with.

(2) In exercising powers under this Part, an authorised officer must—

(a) cause as little inconvenience as possible; and

(b) not remain on premises any longer than is reasonably necessary.

44 Entry to premises

(1) An authorised officer may at any reasonable time of the day—

(a) without force, enter any premises; and

(b) exercise the monitoring powers set out in section 48.

(2) An authorised officer is not authorised to enter premises under subsection (1) unless—

(a) the occupier of the premises, whether business or residential, has consented to the entry and the authorised officer has complied with section 46; or

(b) the entry is made under a monitoring warrant.

(3) If the authorised officer is on the premises with the consent of the occupier, the authorised officer must leave the premises if the occupier asks the authorised officer to do so.

45 Information to be provided to occupier on entry

(1) If the occupier of the premises is present when an authorised officer exercises a power of entry under this Part, the officer must inform the occupier of the purpose of the entry.

The authorised officer must also produce his or her identity card for inspection: see section 42(4).

(2) If an authorised officer exercises a power of entry under this Part without the occupier being present, the officer must—

(a) on leaving the premises, leave a notice setting out—

(i) the time of entry; and

(ii) the purpose of entry; and

(iii) a description of all things done while on the premises; and

(iv) the time of departure; and

(v) the procedure for contacting the officer for further details of the entry; and

(b) post a copy of that notice to the occupier of the premises, if the identity and address of the occupier are known to the officer.

46 Entry with consent

(1) If an occupier consents to an entry under section 44, the authorised officer must before entering the premises ask the occupier to sign an acknowledgement stating—

(a) that the occupier has been informed of the purpose of the entry; and

(b) that the occupier has been informed that he or she may refuse to consent to the entry; and

(c) that the occupier has consented to the entry; and

(d) the date and time that the occupier consented.

(2) An occupier who signs an acknowledgement must be given a copy of the signed acknowledgement before the authorised officer leaves the premises.

(3) If, in any proceeding, an acknowledgement is not produced to the court or tribunal, it must be presumed, until the contrary is proved, that the occupier did not consent to the entry.

(4) An entry of an authorised officer by virtue of the consent of a person is not lawful unless the person voluntarily consented to the entry.

47 Entry with monitoring warrant

(1) An authorised officer executing a monitoring warrant must, before entering premises under the warrant—

(a) announce that he or she is authorised to enter the premises; and

(b) give any person at the premises an opportunity to allow entry to the premises.

(2) If a monitoring warrant is being executed and the occupier of the premises or another person who apparently represents the occupier is present at the premises, the authorised officer must make available to that person a copy of the warrant.

(3) The authorised officer must identify himself or herself to the person referred to in subsection (2).

48 Monitoring powers of authorised officers

(1) For the purposes of this Part, the following are the monitoring powers that an authorised officer may exercise in relation to premises under section 44—

(a) the power to search the premises for any thing on the premises that may relate to—

(i) the creation or transfer of certificates; or

(ii) scheme acquisitions;

(b) the power to examine any activity conducted on the premises that may relate to information provided for the purposes of this Act;

(c) the power to examine any thing on the premises that may relate to information provided for the purposes of this Act;

(d) the power to take photographs or make video or audio recordings or sketches on the premises of any such activity or thing;

(e) the power to inspect any document on the premises that may relate to information provided for the purposes of this Act;

(f) the power to take extracts from, or make copies of, that document;

(g) the power to take onto the premises any equipment and materials as the authorised officer requires for the purpose of exercising powers in relation to the premises;

(h) the power to secure a thing that—

(i) is found during the exercise of monitoring powers on the premises; and

(ii) an authorised officer believes on reasonable grounds affords evidence of the commission of an offence against this Act; and

(iii) the authorised officer believes on reasonable grounds would be lost, destroyed or tampered with before a warrant can be obtained—

until a warrant is obtained to seize the thing;

(i) the powers in subsections (2) and (3).

(2) For the purposes of this Part, monitoring powers include the power to operate equipment at premises to see whether—

(a) the equipment; or

(b) a disk, tape or other storage device that—

(i) is at the premises; and

(ii) can be used with the equipment or is associated with it—

contains information that is relevant to substantiating information provided under this Act.

(3) For the purposes of this Part, monitoring powers include the following powers in relation to information described in subsection (2) found in the exercise of the power under that subsection—

(a) the power to operate facilities at the premises to put the information in documentary form and copy the documents so produced;

(b) the power to operate facilities at the premises to transfer the information to a disk, tape or other storage device that—

(i) is brought to the premises for the exercise of the power; or

(ii) is at the premises and the use of which for the purpose has been agreed in writing by the occupier of the premises;

(c) the power to remove from the premises a disk, tape or other storage device to which the information has been transferred in the exercise of the power under paragraph (b).

49 Authorised officer may ask for information

If the authorised officer was only authorised to enter premises because the occupier of the premises consented to the entry, the authorised officer may ask the occupier to—

(a) answer any questions related to the creation or transfer of certificates, scheme acquisitions or the provision of information under this Act that are put by the authorised officer; and

(b) produce any document requested by the authorised officer that is so related.

50 Authorised officer may require information

If the authorised officer was authorised to enter the premises by a monitoring warrant, the authorised officer may require any person in or on the premises to—

(a) answer any questions related to the creation or transfer of certificates, scheme acquisitions or the provision of information under this Act that are put by the authorised officer; and

(b) produce any document requested by the authorised officer that is so related.

51 Failure to produce documents or answer questions

A person must not, without reasonable excuse, fail to answer a question or produce a document required under section 50.

1. 60 penalty units.

52 Protection against self-incrimination

(1) It is a reasonable excuse for an individual to refuse or fail to answer a question or produce a document under section 50 if the answering of the question or the production of the document would tend to incriminate the person.

(2) Despite subsection (1), it is not a reasonable excuse for an individual to refuse or fail to produce a document that the person is required to keep by this Act, if the production of the document would tend to incriminate the person.

Division 3—Occupiers' rights and responsibilities

53 Occupier may be present during execution of warrant

(1) If a monitoring warrant is being executed and the occupier of the warrant premises, or another person who apparently represents the occupier, is present at the premises, the person is entitled to observe the execution of the warrant.

(2) The right to observe the execution of the warrant ceases if the person impedes that execution.

(3) This section does not prevent the execution of the warrant in 2 or more areas of the premises at the same time.

54 Occupier to provide authorised officer with assistance

The occupier of warrant premises, or another person who apparently represents the occupier, must provide the authorised officer executing the warrant and any person assisting that officer with all reasonable facilities and assistance for the effective exercise of their powers.

Division 4—Monitoring warrants

55 Monitoring warrants

(1) An authorised officer may apply to a magistrate for a warrant under this section in relation to premises.

S. 55(2) amended by No. 6/2018 s. 68(Sch. 2 item 134).

(2) Subject to subsection (3), the magistrate may issue the warrant if the magistrate is satisfied, by information on oath or by affirmation, that it is reasonably necessary that one or more authorised officers should have access to the premises for the purposes of substantiating information provided under this Act or determining whether this Act has been complied with.

(3) The magistrate must not issue the warrant unless the authorised officer or some other person has given the magistrate, either orally or by affidavit, any further information as the magistrate requires concerning the grounds on which the issue of the warrant is sought.

(4) The warrant must—

(a) authorise one or more authorised officers (whether or not named in the warrant), with any assistance and any force as is necessary and reasonable—

(i) to enter the premises; and

(ii) to exercise the powers set out in section 48 in relation to the premises; and

(b) state whether the entry is authorised to be made at any time of the day or during specified hours of the day; and

(c) specify the day (not more than 6 months after the issue of the warrant) on which the warrant ceases to have effect; and

(d) state the purpose for which the warrant is issued.

(5) A warrant issued under this section must be issued in accordance with the Magistrates' Court Act 1989 as if it were a search warrant issued under that Act and must be in a form set out in the regulations under that Act.

(6) Section 78(1)(b)(iii) of the Magistrates' Court Act 1989 does not apply to a warrant issued under this section.

(7) Subject to any provisions to the contrary in this Part, the rules to be observed with respect to search warrants mentioned in the Magistrates' Court Act 1989 extend and apply to warrants under this section.

Pt 7A (Headings and ss 55A–55R) inserted by No. 34/2022 s. 52.

Part 7A—Audits

Division 1—Compliance audits

S. 55A inserted by No. 34/2022 s. 52.

55A Compliance audit

(1) If the ESC has reasonable grounds to suspect that an accredited person has contravened a provision of this Act or regulations made under it, the ESC may—

(a) conduct an audit of the accredited person's compliance with this Act and regulations made under it; or

(b) require the accredited person to appoint an independent auditor to audit the accredited person's compliance with this Act and regulations made under it.

(2) A compliance audit may relate to one or more matters.

S. 55B inserted by No. 34/2022 s. 52.

55B Notice of compliance audit by ESC

Before conducting a compliance audit of an accredited person, the ESC must give the accredited person written notice of the following—

(a) the matters to be covered by the compliance audit;

(b) the date or dates on which the audit will be conducted;

(c) the accredited person's obligation to cooperate with the ESC for the conduct of the compliance audit.

S. 55C inserted by No. 34/2022 s. 52.

55C Report of compliance audit by ESC

(1) The ESC must prepare an audit report on the completion of conducting a compliance audit of an accredited person.

(2) The ESC must provide the accredited person with a copy of the audit report within 90 days of the finalisation of the audit report.

S. 55D inserted by No. 34/2022 s. 52.

55D Notice of compliance audit by independent auditor

(1) If the ESC requires an accredited person to appoint an independent auditor to conduct a compliance audit, the ESC must give the accredited person written notice of the following—

(a) the requirements for appointing an independent auditor to conduct the compliance audit;

(b) the requirement for the independent auditor, when conducting a compliance audit, to comply with any matters specified in the ESC guidelines for the purposes of this Division;

(c) the matters to be covered by the compliance audit;

(d) the required form of the audit report;

(e) the matters to be addressed by the audit report;

(f) the timeframe in which the audit report must be provided to the ESC.

(2) A written notice under subsection (1) must be accompanied by a copy of the applicable ESC guidelines.

S. 55E inserted by No. 34/2022 s. 52.

55E Independent auditor must comply with guidelines

An independent auditor who conducts a compliance audit of an accredited person must comply with the matters specified in the ESC guidelines for the purposes of this Division.

S. 55F inserted by No. 34/2022 s. 52.

55F Obligations of accredited person

(1) An accredited person who appoints an independent auditor to conduct a compliance audit must—

(a) comply with the requirements of the notice under section 55D; and

(b) cooperate with the independent auditor in the conduct of the compliance audit.

(2) An accredited person is responsible for the costs associated with the compliance audit.

(3) An accredited person must ensure that the ESC is provided with a copy of the audit report by the date specified in the notice under section 55D.

Division 2—Assurance audits

S. 55G inserted by No. 34/2022 s. 52.

55G Assurance audit

(1) The ESC may require an accredited person to obtain an independent audit of the reliability, accuracy and completeness of a matter specified by the ESC.

(2) An assurance audit may relate to one or more matters.

(3) An accredited person must appoint an independent auditor to conduct an assurance audit when required by the ESC.

S. 55H inserted by No. 34/2022 s. 52.

55H Notice of assurance audit by independent auditor

(1) If the ESC requires an accredited person to appoint an independent auditor to conduct an assurance audit, the ESC must give the accredited person written notice of the following—

(a) the requirements for appointing an independent auditor to conduct the assurance audit;

(b) the requirement for the independent auditor, when conducting an assurance audit, to comply with the matters specified in the ESC guidelines for the purposes of this Part;

(c) the matters to be covered by the assurance audit;

(d) the required form of the audit report;

(e) the matters to be addressed by the audit report;

(f) the timeframe in which the assurance audit report must be provided to the ESC.

(2) A written notice under subsection (1) must be accompanied by a copy of the applicable ESC guidelines.

S. 55I inserted by No. 34/2022 s. 52.

55I Independent auditor must comply with guidelines

An independent auditor who conducts an assurance audit of an accredited person must comply with the matters specified in the ESC guidelines for the purposes of this Division.

S. 55J inserted by No. 34/2022 s. 52.

55J Obligations of accredited person

(1) An accredited person who appoints an independent auditor to conduct an assurance audit must—

(a) comply with the requirements of the notice under section 55H; and

(b) cooperate with the independent auditor in the conduct of the assurance audit.

(2) An accredited person is responsible for the costs associated with an assurance audit.

(3) An accredited person must ensure that the ESC is provided with a copy of the audit report by the date specified in the notice under section 55H.

See section 55P which provides a person with protection against self-incrimination.

S. 55K inserted by No. 34/2022 s. 52.

55K Schedule for conduct of assurance audits

(1) The ESC must prepare and administer a schedule for the conduct of assurance audits of accredited persons to ensure that an accredited person is audited at regular intervals.

(2) The audit schedule must provide for the conduct of an assurance audit of an accredited person at least once every 2 years.

(3) The audit schedule must be published on the ESC's internet site.

(4) The ESC must review and update the audit schedule at least once every 12 months.

Division 3—Auditor requirements

S. 55L inserted by No. 34/2022 s. 52.

55L List of independent auditors

(1) The ESC must publish and maintain on the ESC's internet site a list of independent auditors.

(2) The ESC must not include an auditor in the list of independent auditors unless the ESC is satisfied that the auditor—

(a) has the relevant skills, competencies and qualifications to conduct assurance audits or compliance audits in accordance with this Part; and

(b) has undertaken training or has sufficient knowledge or experience in relation to the VEET scheme.

(3) At any time, the ESC may require an auditor who is included in the list of independent auditors to undertake training in relation to the VEET scheme.

(4) The ESC may remove an auditor from the list of independent auditors if the ESC believes on reasonable grounds that the auditor—

(a) no longer satisfies the requirements specified in subsection (2)(a) or (b); or

(b) in the conduct of a compliance audit or assurance audit, has contravened any applicable requirements of this Act or regulations or guidelines made under it.

S. 55M inserted by No. 34/2022 s. 52.

55M Appointment of independent auditor

(1) An accredited person must not appoint an auditor to conduct a compliance audit or an assurance audit unless the auditor is included on the list of independent auditors.

(2) The ESC may specify in guidelines the number of consecutive times that an accredited person can appoint the same auditor to conduct a compliance audit.

Division 4—Other matters relating to audits

S. 55N inserted by No. 34/2022 s. 52.

55N Offence to provide false or misleading information to auditor

A person must not, without reasonable excuse, give information to an auditor conducting a compliance audit or an assurance audit that the person knows or believes to be false or misleading in a material particular.

S. 55O inserted by No. 34/2022 s. 52.

55O Offence to withhold information from auditor

A person who is required to disclose information to an auditor for the purposes of a compliance audit or an assurance audit must not, without reasonable excuse, withhold the information from or otherwise fail to disclose the information to the auditor.

S. 55P inserted by No. 34/2022 s. 52.

55P Protection against self-incrimination

It is a reasonable excuse for the purposes of section 55O or 55N for a person to refuse or fail to disclose information or produce a document to an auditor if the disclosure of the information or production of the document would tend to incriminate the person.

S. 55Q inserted by No. 34/2022 s. 52.

55Q Conditions or restrictions of accreditation

(1) The ESC may impose a condition or a restriction on the accreditation of an accredited person if—

(a) an auditor has conducted a compliance audit or assurance audit of the accredited person; and

(b) the accredited person has not met the required standards for one or more matters addressed by the audit.

(2) A condition or restriction imposed under subsection (1) may be—

(a) a prescribed condition or restriction; or

(b) any other condition or restriction that the ESC considers appropriate in the circumstances.

(3) The ESC may vary the conditions or restrictions of accreditation on the application of the accredited person under section 13D.

S. 55R inserted by No. 34/2022 s. 52.

55R ESC may publish audit information

(1) The ESC may publish on the ESC's internet site information about compliance audits and assurance audits conducted for accredited persons.

(2) Information must not be published under subsection (1) about an accredited person unless the auditor did not identify any significant issues in the conduct of an audit of the accredited person.

Part 8—General

Division 1—Review of decisions

S. 56 (Heading) amended by No. 34/2022 s. 56(1).

56 Review of decisions by ESC

(1) An affected person in relation to a reviewable decision may request that the ESC reconsider the decision.

S. 56(2) amended by No. 34/2022 s. 56(2).

S. 56(2) (Table) amended by No. 59/2011 s. 31, substituted by No. 34/2022 s. 56(3), amended by Nos 34/2022 ss 14, 25, 42, 13/2024 s. 3(Sch. 1 item 13.1), 15/2025 ss 21, 28, 56.

(2) The following Table sets out the reviewable decisions for the purposes of this section and, for each decision, sets out the provision under which it is made and the affected person in relation to that reviewable decision.

S. 56(2A) inserted by No. 34/2022 s. 56(4).

(2A) The regulations may prescribe—

(a) a decision under this Act or regulations made under it to be a reviewable decision; and

(b) a person or body to be an affected person.

(3) The request must be—

(a) in writing setting out the reasons for the request;

(b) accompanied by any relevant fee fixed under section 73;

(c) given to the ESC within 30 business days after the making of the decision.

(4) The ESC must reconsider the decision and confirm, vary or set aside the decision.

S. 56(5) substituted by No. 34/2022 s. 56(5).

(5) The ESC must provide an affected person with written notice of the ESC's decision under subsection (4) within 40 business days after the request to reconsider the decision is received by the ESC.

S. 56(5A) inserted by No. 34/2022 s. 56(5).

(5A) A notice of a decision under this section must include the reasons for the decision.

(6) Only one request can be made in respect of each reviewable decision.

S. 56A inserted by No. 34/2022 s. 57.

56A Conduct of internal review

A review of a reviewable decision under section 56 may be conducted by—

(a) the ESC; or

(b) a person delegated the function under section 26 of the Essential Services Commission Act 2001.

S. 56B inserted by No. 34/2022 s. 57.

56B Review of decisions by VCAT

(1) An affected person in relation to a reviewable decision may apply to VCAT for a review of the decision.

(2) The following Table sets out the reviewable decisions for the purposes of this section and, for each decision, sets out the provision under which it is made and the affected person in relation to that reviewable decision.

S. 56B(2) (Table) amended by Nos 34/2022 ss 15, 26, 43, 13/2024 s. 3(Sch. 1 item 13.2), 15/2025 ss 22, 29, 57.

(3) An application by an affected person must be made within 28 days of the later of—

(a) the decision that is the subject of the application; or

(b) if, under section 45 of the Victorian Civil and Administrative Tribunal Act 1998, the person requests a statement of reasons for the decision, the day on which—

(i) the statement of reasons is given to the person; or

(ii) the person is informed under section 46(5) of that Act that a statement of reasons will not be given.

S. 56C inserted by No. 34/2022 s. 57.

56C Person must seek internal review first

A person must not seek a review by VCAT under section 56B in relation to a reviewable decision within the meaning of that section unless the person—

(a) has sought an internal review of the decision by the ESC under section 56; and

(b) has received written notice of the ESC's decision under section 56(4).

S. 56D inserted by No. 34/2022 s. 57, amended by No. 15/2025 s. 58.

56D Proceedings for review by VCAT

On an application under section 56B in relation to a reviewable decision within the meaning of that section, VCAT may—

(a) affirm the decision of the ESC; or

(b) set aside the decision of the ESC and remit the matter to the ESC for reconsideration of the decision in accordance with any directions or recommendations of VCAT.

S. 56E inserted by No. 34/2022 s. 57.

56E ESC to give effect to VCAT decisions

The ESC must take such action as is necessary to give effect to a decision of VCAT.

Division 2—Registers

57 Registers to be maintained

(1) The ESC must maintain—

(a) the register of accredited persons;

(b) the register of energy efficiency certificates.

(2) A register must be maintained by electronic means.

(3) A register must be made available for inspection on the ESC's Internet site.

(4) Any addition to a register must be made available on the ESC's Internet site within 20 business days after the ESC registers the accreditation of the person or the creation of the certificate.

58 Register of accredited persons

(1) The register of accredited persons must contain—

(a) the name of each accredited person;

(b) the registration number for each accredited person;

S. 58(1)(ba) inserted by No. 34/2022 s. 16(1).

(ba) the prescribed activities or class of prescribed activities for which an accredited person is accredited;

(c) any other information specified in the ESC guidelines for the purposes of facilitating the transfer of certificates in the VEET scheme.

(2) The register must also contain the following information about any person whose accreditation is suspended—

(a) the name of the person;

(b) the person's registration number;

S. 58(2)(ba) inserted by No. 34/2022 s. 16(2).

(ba) the prescribed activities or class of prescribed activities for which an accredited person is accredited;

(c) the period for which registration is suspended;

(d) any other information specified in the ESC guidelines for the purposes of this subsection.

59 Register of energy efficiency certificates

The register of energy efficiency certificates must contain—

(a) the unique identification code of each valid certificate;

(b) the year in which the certificate was created;

(c) the name of the accredited person who created the certificate;

(d) the name of the current registered owner, and each previous registered owner, of each certificate;

(e) any other information specified in the ESC guidelines for the purposes of this section.

Division 3—Information provisions

60 ESC may obtain information and documents

(1) This section applies to a person if the ESC has reason to believe that the person has information or a document that is relevant to the operation of this Act.

(2) The ESC may, by written notice given to the person, require the person—

(a) to give to the ESC, within the period (not being less than 10 business days) and in the manner and form specified in the notice, that information; or

(b) to produce to the ESC, within the period and in the manner specified in the notice, that document; or

(c) if the person is an individual, to appear before the ESC at a time and place specified in the notice to give any information, either orally or in writing, and produce that document; or

(d) if the person is a body corporate, to cause a competent officer of the body corporate to appear before the ESC at a time and place specified in the notice to give that information, either orally or in writing, and produce that document.

(3) A notice under subsection (2) must set out the effect of sections 61 and 62.

61 Failure to comply with notice

A person must not, without reasonable excuse, fail to comply with a notice given to the person under section 60.

62 Protection against self-incrimination

It is a reasonable excuse for an individual to refuse or fail to give information or evidence or produce a document under section 60 if the giving of the information or evidence or the production of the document would tend to incriminate the person.

63 Copies of documents

The ESC may inspect a document produced under this Division and may make and retain copies of, or take and retain extracts from, such a document.

64 ESC may retain documents

(1) The ESC may take, and retain for as long as necessary, possession of a document produced under this Division.

(2) The person otherwise entitled to possession of the document is entitled to be supplied, as soon as practicable, with a copy certified by the ESC to be a true copy.

(3) The certified copy must be received in all courts and tribunals as evidence as if it were the original.

(4) Until a certified copy is supplied, the ESC must, at the times and places that the ESC considers appropriate, permit the person otherwise entitled to possession of the document, or a person authorised by that person, to inspect and make copies of, or take extracts from, the document.

65 Disclosure of information an offence

(1) A person must not disclose any confidential or commercially-sensitive information obtained during the exercise of a power or the performance of a function under, or in connection with, this Act.

1. 60 penalty units.

(2) A person must not use any information referred to in subsection (1) to obtain directly or indirectly any pecuniary or other advantage for himself or herself or any other person.

1. 120 penalty units.

(3) However, the person may disclose or use information referred to in subsection (1) if—

(a) the disclosure or use is made in the exercise of a power or the performance of a function under, or in connection with, this Act; or

(b) the person has the consent of the person who supplied the information; or

(c) the disclosure or use is made in legal proceedings at the direction of a court; or

(d) the information is in the public domain at the time it is disclosed or used.

(4) To avoid doubt, subsection (3) is not intended to interfere with any rights another person may have with regard to the disclosure or use of the information.

S. 66 amended by No. 34/2022 s. 64(2) (ILA s. 39B(1)).

66 Information may be disclosed to specified persons or bodies

(1) This Division does not prevent the ESC, or a person authorised by the ESC, from divulging or communicating information to—

(a) the Minister; or

S. 66(1)(b) amended by No. 23/2009 s. 35(4)(a).

(b) AEMO; or

S. 66(1)(c) repealed by No. 23/2009 s. 35(4)(b).

(d) Sustainability Victoria established under the Sustainability Victoria Act 2005; or

(e) the person responsible for administering an approved interstate energy efficiency regime; or

S. 66(1)(f) substituted by No. 1/2017 s. 21.

(f) an officer of the department of the Commonwealth Government administered by the Minister responsible for administering the Greenhouse and Energy Minimum Standards Act 2012 of the Commonwealth; or

S. 66(1)(g) substituted by No. 1/2017 s. 21.

(g) an officer of that part of the Department of Agriculture and Water Resources of the Commonwealth Government known as the Australian Bureau of Agricultural and Resource Economics and Sciences (ABARES) for the purposes of the performance of any of ABARES's functions or the exercise of any of ABARES's powers; or

S. 66(1)(h) inserted by No. 1/2017 s. 21.

(h) a member of the staff of the Australian Bureau of Statistics established under section 5 of the Australian Bureau of Statistics Act 1975 of the Commonwealth for the purposes of the performance of the Bureau's functions or the exercise of any of the Bureau's powers; or

S. 66(1)(i) inserted by No. 1/2017 s. 21, amended by No. 34/2022 s. 64(1)(a).

(i) an official of the Regulator within the meaning of section 4 of the Clean Energy Regulator Act 2011 of the Commonwealth for the purposes of the performance of the Clean Energy Regulator's functions or the exercise of any of the Regulator's powers; or

S. 66(1)(j) inserted by No. 34/2022 s. 64(1)(b).

(j) a public sector body or Council for the purposes of administering a program related to prescribed activities; or

S. 66(1)(k) inserted by No. 34/2022 s. 64(1)(b).

(k) a non-Victorian government body approved by the Minister; or

S. 66(1)(l) inserted by No. 34/2022 s. 64(1)(b).

(l) a Distribution Network Service Provider for the purpose of assessing the impact of prescribed activities on energy demand; or

S. 66(1)(m) inserted by No. 34/2022 s. 64(1)(b), amended by No. 15/2025 s. 51.

(m) an accredited person for the purpose of informing the accredited person of—

(i) a scheme participant's compliance with the code of conduct; or

(ii) the details of any improvement notice or prohibition notice issued to a person; or

(iii) a scheme participant's conduct when undertaking a prescribed activity or regulated action; or

(iv) a scheme participant's compliance with this Act and the regulations.

S. 66(2) inserted by No. 34/2022 s. 64(2).

(2) For the purposes of subsection (1)(k), the Minister, by notice published in the Government Gazette, may approve a non‑Victorian government body to be a body to which information may be divulged or communicated under subsection (1).

S. 66(3) inserted by No. 34/2022 s. 64(2).

(3) The Minister must not approve a non‑Victorian government body under subsection (2) unless the Minister is satisfied that the body administers an energy efficiency program under a law of another State or Territory or of the Commonwealth.

S. 66(4) inserted by No. 34/2022 s. 64(2).

Council has the same meaning as in section 3(1) of the Local Government Act 2020;

Distribution Network Service Provider has the same meaning as in section 13 of the National Electricity (Victoria) Act 2005;

non-Victorian government body means the equivalent of a public sector body that is established by or under, or holds an office or position under, the law of another State or a Territory or of the Commonwealth;

public sector body has the same meaning as in section 4(1) of the Public Administration Act 2004.

67 ESC must publish certain information

(1) The ESC must publish—

(a) a list of each relevant entity that has an energy efficiency certificate shortfall for a particular year;

(b) the amount of each relevant entity's energy efficiency certificate shortfall for that year;

(c) the total of the energy efficiency certificate shortfalls for that year;

(d) the number of certificates created in a particular year;

(e) the number of certificates surrendered in a particular year.

(2) Nothing in this Division prevents the publication of the information referred to in subsection (1).

Division 4—General offences

S. 68 amended by No. 15/2025 s. 32 (ILA s. 39B(1)).

68 False or misleading information

(1) A person must not—

(a) give information to the ESC or any person exercising powers under or in connection with this Act that the first-mentioned person knows to be false or misleading in a material particular; or

(b) produce a document to the ESC or any person exercising powers under or in connection with this Act that the first-mentioned person knows to be false or misleading in a material particular without indicating the respect in which it is false or misleading and, if practicable, providing correct information.

S. 68(2) inserted by No. 15/2025 s. 32.

(2) A person must not—

(a) give information to the ESC or any person exercising powers under or in connection with this Act that is false or misleading in a material particular; or

(b) produce a document to the ESC or any person exercising powers under or in connection with this Act that is false or misleading in a material particular without indicating the respect in which it is false or misleading and, if practicable, providing correct information.

69 Failure to provide documents

If a person is required under this Act to provide a document (including a statement or return) to the ESC within a specified time or by a specified date, the person, must not, without reasonable excuse, fail to provide the document by the specified time or the specified date.

70 Offences by bodies corporate

(1) If a body corporate commits an offence against this Act, any officer of the body corporate who knowingly authorised or permitted the commission of the offence is also guilty of that offence and liable to the penalty for it.

(2) A person may be proceeded against and convicted under a provision in accordance with subsection (1) whether or not the body corporate has been proceeded against or convicted under that provision.

(3) If in a proceeding for an offence against this section it is necessary to establish the intention of a body corporate, it is sufficient to show that a servant or agent of the body corporate had that intention.

(4) In subsection (1), officer, in relation to a body corporate, means—

(a) a director, secretary or executive officer of the body corporate; or

(b) any person in accordance with whose directions or instructions the directors of the body corporate are accustomed to act; or

(c) a person concerned in the management of the body corporate.

S. 70A inserted by No. 59/2011 s. 32.

70A Proceedings for offences

(1) Proceedings for an offence against this Act or the regulations may be brought by—

(a) the ESC; or

S. 70A(1)(b) substituted by No. 37/2014 s. 10(Sch. item 178.2).

(b) a police officer; or

(c) a person authorised by the ESC.

(2) The ESC may authorise a person under subsection (1)(c) if the ESC is satisfied that the person is appropriately qualified and trained.

(3) An authority given by the ESC under subsection (1)(c) must be in writing and may be given generally or in relation to a particular matter.

(4) In a proceeding for an offence against this Act or the regulations it must be presumed, in the absence of evidence to the contrary, that the person bringing the proceeding was authorised to bring it.

Division 5—Evidence and records

71 Evidence

(1) A document sealed by the ESC purporting to be a copy of a document issued or given by the ESC under this Act is evidence that the second-mentioned document was so issued or given.

(2) A document sealed by the ESC purporting to be a copy of, or an extract from, an energy efficiency shortfall statement is evidence of the matter set out in the document to the same extent as the original statement would be if it were produced.