Inefficiencies in the electricity and gas licensing schemes have created:
- extra administrative costs for the Economic Regulation Authority (ERA),
- sub-optimal outcomes for customers; and
- unnecessary compliance costs for industry.
These inefficiencies have been identified by Energy Policy WA and the ERA over several years.
The Information Paper, Legislative amendments to improve the efficiency of the energy licensing regime, outlines Energy Policy WA’s proposed amendments to the Electricity Industry Act 2004 (the Electricity Act) and the Energy Coordination Act 1994 (the Gas Act) to overcome these deficiencies.
Several of the proposed legislative amendments identified in the Information Paper have also been identified in the ERA’s annual gas and electricity licensing scheme and licensee compliance reports for 2018‑19 and 2019‑20.
Further information on these compliance reports can be found on the ERA website.
The Information Paper also outlines proposed amendments to:
- amend terms in the Electricity Act and Gas Act to reflect changes to a definition made in the Corporations Act 2001 (Commonwealth); and
- remove the voltage and frequency ranges in the Electricity Act 1945 and place them into subsidiary legislation.
Next steps
Subject to WA Government approvals, Energy Policy WA will progress drafting of the legislative amendments along with any required consequential amendments as part of wider energy sector reforms under Energy and Governance Legislation Reform project.
While the proposals presented are not intended to be subject to further consultation, additional consultation with industry and consumer stakeholders will occur during drafting of the legislative amendments.
Timing for passage and implementation of legislative amendments will be dependent on Government and Parliamentary process, however the changes would be unlikely to take effect until early 2023.
Announcements
