Electricity Supply Industry Act 1995

If an electricity entity contravenes this Act, and the contravention is, in the Regulator's opinion, serious enough to justify cancellation of the electricity entity's licence, the Regulator may give the electricity entity a written notice – stating that the Regulator is considering cancelling the electricity entity's licence; and stating the grounds on which the Regulator considers the cancellation of the licence to be justified; and inviting the electricity entity to make written representations showing why the licence should not be cancelled.

After considering – representations made by the electricity entity in response to the invitation; and any action taken, or undertaking given, by the electricity entity to remedy the contravention or to prevent recurrence of the contravention; and the effect the cancellation of the licence would have on the electricity entity's customers – the Regulator may, by written notice given to the electricity entity, cancel the licence.

The Regulator may, instead of cancelling a licence, amend the licence by adding to, or varying, the conditions of the licence.