National Electricity (South Australia) (Firm Energy Reliability and Orderly Exit Management) Regulations 2025

The Scheme Regulator must, at the direction of the Minister, by 1 or more written notices served on a TNSP (initial contribution notices), require the TNSP to pay an amount in order to—

make payments to long duration capacity providers who are required under a transitional FERM contract or deemed FERM contract to provide long duration dispatchable electricity capacity;

cover the costs of the administration and implementation of the scheme during the transition period;

enable a minimum prudent cash balance to be established or maintained in the Fund.

An initial contribution notice must specify—

the amount to be paid by the TNSP (which may include the amount being paid in instalments); and

the date or dates by which a payment must be made by the TNSP;

and

the way in which each payment must be made; and

any other matter specified by the Scheme Regulator's guidelines.

In determining the requirements to be included in an initial contribution notice, the Scheme Regulator—

must take into account the following:

the equitable allocation of amounts payable between TNSPs (after applying any principles, methodologies or approaches specified by the Scheme

Regulator's guidelines); and

the need for the Financial Vehicle to be able to meet its liabilities as they fall due; and

may take into account any other matter considered relevant by the

Scheme Regulator.

A TNSP must comply with the requirements of an initial contribution notice.

A payment by a TNSP under an initial contribution notice must be paid to the Financial Vehicle for payment into the

Fund.

The amount to be paid by a TNSP under an initial contribution notice is recoverable by the Financial Vehicle as a debt in a court of competent jurisdiction (and once recovered is payable into the

Fund).

An initial contribution notice may be issued under this regulation before a contribution determination is made under regulation 27.

Despite a preceding subregulation, the Minister may issue an initial contribution notice under this regulation instead of the Scheme

Regulator if the Minister so determines and in such a case, for the purposes of subregulation (3)—

a reference to the Scheme Regulator will be taken to include a reference to the Minister; and

the Minister may apply any principles, methodologies or approaches determined by the Minister rather than as specified by the Scheme Regulator's guidelines.