1Short title
This is the Energy Safety Act 2006.
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Bill homepageThis is the Energy Safety Act 2006.
This Act comes into operation on a day to be fixed by proclamation.
In this Act, unless the contrary intention appears —
business plan means a business plan referred to in section 11(1);
chief executive officer means the chief executive officer under the Public Sector Management Act 1994 of the department;
department means the department of the Public Service principally assisting the Minister in the administration of this Act;
DES office means —
the Director of Energy Safety carrying out functions as mentioned in subsection (2);
staff appointed or made available under the Energy Coordination Act 1994 to enable the Director of Energy Safety to perform his or her functions; and
persons engaged to assist in the performance of the functions of the Director of Energy Safety;
Director of Energy Safety means the Director of Energy Safety referred to in the Energy Coordination Act 1994 section 5;
document includes any tape, disc or other device or medium on which information is recorded or stored mechanically, photographically, electronically or otherwise;
energy industry participant means —
a holder of a generation licence as defined in the Electricity Industry Act 2004 section 3;
a holder of an integrated regional licence as defined in the Electricity Industry Act 2004 section 3 that authorises the holder to operate generating works;
a holder of a distribution licence as defined in the Electricity Industry Act 2004 section 3;
a holder of a transmission licence as defined in the Electricity Industry Act 2004 section 3;
a holder of a distribution licence as defined in the Energy Coordination Act 1994 section 3;
a person exempted under the Electricity Industry Act 2004 or the Energy Coordination Act 1994 from the requirement to hold a licence referred to in paragraph (a), (b), (c), (d) or (e);
a supply authority as defined in the Electricity Act 1945 section 5;
a distributor of liquefied petroleum gas; or
any other person or class of person prescribed by the regulations as an energy industry participant for the purposes of this definition;
energy safety activities means —
technical and safety regulation including energy efficiency regulation; and
safety and energy efficiency promotion and emergency management activities,
related to the energy industry;
Energy Safety Account means the account established under section 26;
investigator means a person designated as an investigator under section 29(1);
levy means a levy determined under section 14(1) and imposed under the Energy Safety Levy Act 2006;
levy notice means a notice published under section 14(1);
remuneration includes salary, allowances, fees, emoluments and benefits (whether in money or not);
In this Act a reference to functions of the Director of Energy Safety includes any or all of his or her functions —
when acting in his or her capacity as Director of Energy Safety; or
when acting in relation to energy safety activities in any other capacity as an officer of the department.
The chief executive officer and the Director of Energy Safety, must in each year prepare, and submit to the Minister for his or her approval, a draft business plan in relation to energy safety activities.
The first draft business plan must be submitted to the Minister before the start of the next financial year and each subsequent draft business plan must be submitted to the Minister not later than 6 months before the start of the next financial year.
The first business plan is to be in respect of the next full financial year after which there has been compliance with section 4(2).
A business plan must include —
a statement of intent in accordance with section 7;
a financial plan in accordance with section 8;
a statement setting out the total amount proposed to be raised by way of levy in the relevant financial year;
a statement as to what proportion of the total amount proposed to be raised by levy is to be payable by participants in the electricity industry and what proportion is to be payable by participants in the gas industry;
a description of the proposed formula or method for assessment in relation to the levy; and
such other information as the Minister may require.
The proportions referred to in subsection (1)(d) —
in the first business plan are to be 67% for participants in the electricity industry and 33% for participants in the gas industry;
may be varied in the 6th business plan and each business plan on the expiry of a 5 year interval after the making of that business plan and not otherwise.
A statement of intent must set out, in relation to energy safety activities —
the objectives of the DES office;
the nature and scope of activities to be undertaken by the DES office;
the performance targets and other measures by which the performance of the DES office may be judged and related to the stated objectives; and
the type of information and advice to be given to the Minister by the Director of Energy Safety.
A statement of intent must cover a forecast period of 5 years.
A financial plan must set out, in relation to energy safety activities —
an outline of any proposed agreement for services and facilities to be provided in the relevant financial year to the Director of Energy Safety by the department or any other public sector body;
an outline of any other services and facilities to be provided by the department to the Director of Energy Safety in the relevant financial year; and
a forecast of —
the total estimated expenditure for remuneration and labour costs of the DES office;
the total estimated expenditure for fixed and variable operating costs and expenses of the DES office, other than expenditure referred to in subparagraph (i);
the total estimated capital expenditure in relation to the DES office; and
the total estimated retained revenue of the DES office, including any amounts to be paid into the Energy Safety Account under section 26(3)(b), (c), (d) and (e),
in the relevant financial year.
The Minister may return the draft business plan to the chief executive officer and the Director of Energy Safety and request them to —
consider or further consider any matter and deal with the matter in the draft plan; and
revise the draft plan in the light of that consideration or further consideration.
The chief executive officer and the Director of Energy Safety must comply with the request as soon as is practicable.
If the chief executive officer, the Director of Energy Safety and the Minister have not reached agreement on a draft business plan by 4 months before the start of the next financial year, the Minister may, by written notice, direct the chief executive officer —
to take specified steps in relation to the draft plan; or
to make specified modifications to the draft plan.
The chief executive officer must comply with the direction as soon as is practicable and in any event within such reasonable period as the Minister may specify.
A draft business plan, or any part of a draft business plan, must not be published or made available except for the purposes of this Part, without the prior approval of the Minister.
When the Minister approves a draft business plan, it becomes, with any modifications made under section 12, the business plan for the relevant financial year.
The Minister must, within 14 days of approving the draft business plan, cause a copy of it to be laid before each House of Parliament or dealt with in accordance with section 36.
A business plan may be modified by the chief executive officer and the Director of Energy Safety, with the agreement of the Minister.
The Minister may, by written notice, direct the chief executive officer to modify the business plan.
Before giving the direction the Minister must consult with the chief executive officer and the Director of Energy Safety and take their views into account.
The chief executive officer must comply with the direction as soon as is practicable.
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