Water Industry Competition Act 2006

An operational approval must not be granted unless IPART is satisfied as to each of the following—

the infrastructure has been substantially constructed as authorised by a scheme approval for the infrastructure,

the infrastructure is fit for purpose and is capable of operating—

safely and reliably, and

in a way consistent with the national safety guidelines for the control of public health risks, and

in a way that does not present a significant risk of harm to the environment,

there are adequate plans and systems in place to ensure the infrastructure continues to be fit for purpose and operated—

safely and reliably, and

in a way consistent with the national safety guidelines for the control of public health risks, and

in a way that does not present a significant risk of harm to the environment,

the infrastructure is capable of operating in compliance with this Act and the regulations, the plans and systems referred to in paragraph (c) and the conditions of the registered operator’s operator licence,

if the infrastructure is or is likely to be essential infrastructure—a last resort provider has been designated for each essential service provider,

the applicant is the registered operator or has entered into an agreement with the registered operator for the operation of the infrastructure,

in relation to a regulated scheme, the applicant—

holds a retailer licence or is a council, or

has entered into an agreement with a public water utility or an appropriately authorised licensed retailer for the sale of the water or sewerage services provided by the infrastructure,

matters prescribed by the regulations.

In determining an application for an operational approval, IPART must have regard to the following—

whether disciplinary action against the proposed registered retailer is pending or, as a result of disciplinary action against the proposed registered retailer, the proposed registered retailer is prohibited from being registered as the registered retailer under a further operational approval,

whether, in the reasonable suspicion of IPART, a statutory default within the meaning of Division 6 has occurred within 2 years before the determination was made, and the proposed registered retailer, or a related corporation of the proposed registered retailer, is the alleged defaulter.

On the grant of the operational approval, IPART must—

unless already registered, register the person referred to in subsection (1)(f) as the registered operator for the scheme, and

register the person referred to in subsection (1)(g) as the registered retailer for the scheme.

For the purposes of this section, disciplinary action is pending from the time when notice is given to the licensee requiring the licensee to show cause why disciplinary action should not be taken against the licensee until—

disciplinary action is taken against the licensee, or

the decision is made that disciplinary action will not be taken against the licensee.