Licences authorising generation of electricity

In force

(1)

The

Commission must make a licence authorising the generation of electricity subject to conditions determined by the Commission—

(a)

requiring compliance with directions of the system controller; and

(b)

requiring the electricity entity not to do anything affecting the compatibility of the entity's electricity generating plant with any transmission or distribution network so as to prejudice public safety or the security of the power system of which the generating plant forms a part; and

(c)

requiring the electricity entity—

(i)

to prepare, maintain and periodically revise a safety, reliability, maintenance and technical management plan dealing with matters prescribed by regulation; and

(ii)

to obtain the approval of the Technical Regulator—

(A)

to the plan (prior to the commencement of the operation of the generating plant to which the plan relates); and

(B)

to any revision of the plan; and

(iii)

to comply with the plan as approved from time to time; and

(iv)

to audit from time to time the entity's compliance with the plan and report the results of those audits to the Technical Regulator; and

(d)

requiring the electricity entity to provide to AEMO such information as it may reasonably require for the performance of its functions; and

(e)

requiring the electricity entity—

(i)

to grant to each electricity entity holding a licence authorising the operation of a transmission or distribution network rights to use or have access to the entity's electricity generating plant that are necessary for the purpose of ensuring the proper integrated operation of the State's power system and the proper carrying on of the operations authorised by the entity's licence; and

(ii)

in the absence of agreement as to the terms on which such rights are to be granted, to comply with any determination of the Commission as to those terms; and

(iii)

to comply with any code provisions in force from time to time under the

Essential

Services Commission Act 2002 establishing a scheme for the resolution of disputes in relation to such rights; and

(f)

requiring the electricity entity to maintain insurance against any liability for causing a bushfire and to provide the Commission with a certificate of the insurer or the insurance broker by whom the insurance was arranged certifying (in a manner approved by the

Commission) that the insurance is adequate and appropriate given the nature of the operations carried on under the entity's licence and the risks entailed in those operations.

(1a)

In addition, it is a condition of a licence authorising the generation of electricity that the holder of the licence—

(a)

prepare and maintain an internal switching manual in accordance with the regulations; and

(b)

comply with any other requirements relating to switching prescribed in the regulations.

(2)

This section does not limit the matters that may be dealt with by terms or conditions of a licence authorising the generation of electricity.

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22 Licences authorising generation of electricity