Asia Pacific – Page 3 – Global Power Law & Policy

Australian National Electricity Rules Adopt a More ‘Cost Reflective’ Approach to Network Pricing

Dec 24 2014

The National Electricity Amendment (Distribution Network Pricing Arrangements) Rule 2014 No. 9 (Rule Change) came into effect on 1 December 2014, amending the Australian National Electricity Rules (NER) by introducing a more ‘cost reflective’ model for network pricing. Under the new regime, distribution tariffs must comply with several new pricing principles, with the objective that the network prices that a Distribution Network Service Provider (DNSP) charges each consumer should reflect its efficient costs of providing network services to that consumer.

To read the full alert, click here.

ACCC v AGL South Australia Pty Ltd [2014] FCA 1369

Dec 23 2014

The Federal Court of Australia has found that AGL South Australia Pty Ltd (AGL) made false or misleading representations and engaged in misleading or deceptive conduct concerning the level of discount residential consumers would receive under AGL’s energy plans.

The Court held that consumers who commenced an energy plan with AGL between January and mid-July 2012 would have understood through telephone conversations with AGL Customer Service Representatives that they would receive a discount calculated by reference to the rates which would otherwise have applied to them if they had not entered into the energy plan. Although they initially received the discount, in mid-2012 AGL increased the rates under its energy plans and sent a letter to these consumers advising them of their new rates, stating that they would continue to receive their discount.

Justice White held that this was false and misleading as following the rate increase, these rates were actually higher than those AGL applied to similar consumers who had subsequently commenced an energy plan post-July 2012. As such, AGL’s conduct “reduced the benefits of the discounts represented to the consumers when they agreed on their energy plan”.

If you would like to read more about this case, please click here.

Australia’s Emissions Reduction Fund Legislation Receives Royal Assent

Dec 02 2014

On 25 November 2014 the Carbon Farming Initiative Amendment Act 2014, which puts in place the Emissions Reduction Fund (ERF), received Royal Assent and is now law. The ERF is the cornerstone of the Australian Government’s Direct Action Plan climate change policy for the reduction of greenhouse gas emissions. It will provide $2.55 billion in financial incentives over four years for companies to voluntarily reduce emissions. The Government says its Direct Action Plan climate change policy will mean that Australia will meet the 5 percent emissions reduction target by 2020.

New South Wales Government passes new laws giving electricity network operators additional powers for bush fire prevention

Nov 11 2014

The New South Wales parliament has recently passed an act amending the Electricity Supply Act 1995 (NSW) to give special powers to electricity network operators in relation to bush fire prevention on bush fire prone land that is privately owned.

The Electricity Supply Amendment (Bushfire Hazard Reduction) Act 2014 (Amendment Act) provides that a network operator may give the owner or occupier of privately owned bush fire prone land a written direction requiring the owner or occupier to carry out bush fire risk mitigation work on vegetation or aerial consumer mains (being privately owned powerlines) on the land in several circumstances, including where the network operator has determined that the vegetation could make the network operator’s electricity works or aerial consumer mains become a potential cause of bush fire or where a fault in the aerial consumer mains could make them become a potential cause of bush fire.

A landowner will have 30 days to respond to a direction and must complete the required work within 60 days after the direction is given. Network operators are authorised to enter premises and do the required work if an owner fails to comply with a direction.

Significantly, directions given under the new provisions override requirements under other legislation to obtain a consent or authorisation prior to carrying out certain work (including clearing vegetation) as the Amendment Act specifically provides that work required to be done under a direction will not require development consent under the Environmental Planning and Assessment Act 1979 (NSW) or an approval or consent under certain other legislation, including the Native Vegetation Act 2003 (NSW).

The Amendment Act also addresses responsibility for the costs of complying with a direction – which will be the responsibility of the landowner in some circumstances and the network operator in others.

Australia: NSW State Government announces funding for community owned renewable energy projects

Nov 04 2014

In Australia, the New South Wales State Government recently announced that it would make funding available for community owned renewable energy projects by way of Government grants known as Growing Community Energy Grants. A total of up to $AUD700,000 has been allocated for these grants.

The Growing Community Energy Grants are designed to support and assist community renewable energy projects or community energy efficiency projects in their early stages by minimising the initial administrative costs often associated with such projects. Accordingly, any funding awarded to a project may be used only for the project development stage (including social and technical feasibility studies, planning, securing host sites and engaging with local communities) and not for capital expenditure, construction or operational costs.

Emissions Reduction Fund passes Senate in Australia

Oct 31 2014

On 31 October 2014, the Australian Senate passed the Carbon Farming Initiative Amendment Bill 2014 (Bill) which puts in place the Emissions Reduction Fund (Fund). The Fund is the cornerstone of the Australian Government’s Direct Action Plan climate change policy for the reduction of greenhouse gas emissions. It is comprised of $2.55 billion over four years to provide financial incentives for companies to voluntarily reduce emissions. The Government says its Direct Action Plan climate change policy will mean that Australia will meet the 5 percent emissions reduction target by 2020.

As last minute amendments were made to the Bill before being passed, the Bill will now return to the House of Representatives for approval before it is presented to the Governor-General for assent.

A White Paper on the Fund was released on 24 April 2014 with the intention of providing details and policy decisions regarding the Fund. Please refer to our earlier Legal Insight dated 19 May 2014.

Release of Expert Panel Report on the Renewable Energy Target in Australia

Sep 03 2014

On 28 August 2014, the Expert Panel on the Renewable Energy Target (RET) released its long-awaited Report on the RET scheme in Australia, recommending that both the Large-scale Renewable Energy Target and the Small-scale Renewable Energy Scheme be modified through a number of proposed options. Under the more drastic of these proposals, the Panel recommended that the LRET be closed to new entrants, and that the SRES be abolished immediately.

To read the full alert, click here.

Australian Competition Tribunal authorises the acquisition of Macquarie Generation by AGL Energy Limited

Jul 07 2014

The Australian Competition Tribunal (Tribunal) has recently handed down a decision authorising the acquisition of the electricity generation assets of Macquarie Generation (which are currently owned by the State of New South Wales) by AGL Energy Limited (AGL) (an entity which currently operates as a major electricity retailer in New South Wales). Read More

Department of Commerce Issues Preliminary Countervailing Duty Determination on Crystalline Solar PV Products from China

Jun 10 2014

On June 3, 2014, the U.S. Department of Commerce (the “Department”) announced that certain crystalline silicon photovoltaic (“CSPV”) products from the People’s Republic of China (“China”) had been produced by taking advantage of subsidies, and that such products could be subjected to countervailing duties when imported into the United States. Upon publication of the preliminary determination in the Federal Register on Tuesday, June 10, 2014, U.S. importers of such products will be required to make cash deposits of estimated countervailing duties at the time the products enter the United States.

Australian Government releases draft legislation to implement the Emissions Reduction Fund

May 19 2014

The Australian Government recently released draft legislation to implement the Emissions Reduction Fund (Fund), which is the cornerstone of the Government’s Direct Action Plan climate change policy. The Direct Action Plan centres around the purchase of greenhouse gas emissions reductions by the Government (via the Fund).

The release of the draft Carbon Credits (Carbon Farming Initiative) Amendment Bill 2014 (Cth) (Bill) follows issuance of an Emissions Reduction Fund Green Paper late last year and a subsequent White Paper in April 2014, both regarding the design of the Fund.

The Bill will amend the Carbon Credits (Carbon Farming Initiative) Act 2011 (Cth) (CFI Act) and build on the existing Carbon Farming Initiative (CFI) under that Act by providing for the purchase of greenhouse gas emission reductions credits by the Government. The Bill also makes minor amendments to associated Commonwealth legislation.

Catagory:Asia Pacific