Third party access to gas infrastructure is regulated by the
National Gas Law (
NGL) in Australia. The uniform national framework has been developed under the Australian Energy Market Agreement (
AEMA) by the Council of Australian Governments’ (
COAG) Ministerial Council on Energy (
MCE). In Western Australia, the NGL has been adopted as uniform legislation with some specific amendments to accommodate local circumstances. The amended NGL is applied in Western Australia under the
National Gas Access (WA) Act 2009 (
NGA).
The NGL is contained in a Schedule to the South Australian lead legislation and implemented by application acts in the different jurisdictions. Legislative changes to the NGL are negotiated and developed on a national basis and agreed by State Parliaments.
The text of the NGL as it applies in Western Australia is contained in a note to the NGA. The NGA also provides for the following subsidiary legislation in Western Australia:
An overview of differences between the NGL and that applying in Western Australia is detailed further on the gas access guidelines web page. Interested parties should refer to the relevant legislation prior to making any decisions.
Processes and Institutions
The National Gas Rules (NGR)
The NGR govern access to natural gas pipeline services and elements of broader natural gas markets. The NGR have the force of law and are made under the National Gas Law.
Australian Energy Market Commission (AEMC) administers the NGR, and interested parties can submit rule changes to the AEMC.
Coverage and Classification of Pipelines
Coverage recommendation and classification decisions (NGL, Chapter 3) of pipelines are the responsibility the National Competition Council (NCC). The NCC has issued a range of guidelines.
Access Arrangement
The access arrangement process is administered by the Economic Regulation Authority (ERA). The ERA has issued the following guidelines:
Compliance
Service providers are required to comply with the relevant legislation. It is gas pipeline service providers’ responsibility to comply with the legislation. The ERA has not implemented a reporting regime, but refers interested parties to the AER’s annual compliance process.
Review
- Interested parties including gas pipeline service providers can in certain circumstances seek a review of decisions by the ERA (NGL, Chapter 8). The Australian Competition Tribunal is the review body.
Transitional Issues
Under the NGA transitional arrangements are dealt with by:
- The NGL, Schedule 3—Savings and Transitionals.
- The NGR, Schedule 1 Transitional Provisions.
- The NGA s. 20 contains a specific transitional provision for the Kalgoorlie to Kambalda pipeline.
Stakeholders should note that Goldfields Gas Transmission Pty Ltd (GGT), on behalf of Southern Cross Pipelines Australia Pty Ltd, Southern Cross Pipelines (NPL) Australia Pty Ltd and Alinta DEWAP Pty Ltd, lodged a revision for the Goldfields Gas Pipeline on 23 March 2009.
The implications for this lodgement are that The Gas Pipeline Access (Western Australia) Act 1998 and The National Third Party Access Code for Natural Gas Pipeline Systems (Gas Code) continues to be applicable for the finalisation of these revision processes, as provided for the Schedule 3 of the NGA.
The resulting Access Arrangement will be dealt with as if the Gas Code continued to apply (NGL, Schedule 3, Part 4) until a revision is submitted under the NGA. A revision is scheduled for 1 January 2015.
For further information: