Hydro-Electric Corporation Act 1995 An Act to modernise the legislation under which the Hydro-Electric Corporation (formerly the Hydro-Electric Commission) operates, to provide for it to continue as a Government Business Enterprise operating in the electricity supply industry and to provide for other purposes [Royal Assent 4 October 1995] Be it enacted by His Excellency the Governor of Tasmania, by and with the advice and consent of the Legislative Council and House of Assembly, in Parliament assembled, as follows: PART 1 - Preliminary 1. Short title This Act may be cited as the Hydro-Electric Corporation Act 1995 . 2. Commencement The provisions of this Act commence on a day or days to be proclaimed. 3. Interpretation In this Act, unless the contrary intention appears – Corporation means the Hydro-Electric Corporation; Basslink means the interconnection between the electricity grids of the States of Tasmania and Victoria by means of – (a) a high voltage, direct current, submarine cable across Bass Strait; and (b) converter stations in those States; and (c) direct current connecting lines to those converter stations; and (d) alternating current transmission connections to the transmission systems of those States; and (e) related infrastructure; derivative means – (a) an arrangement in relation to which the following conditions are satisfied: (i) under the arrangement a party to the arrangement must, or may be required to, provide at some future time consideration to a person; (ii) the amount or value of that consideration is ultimately determined, derived from or varies by reference to (wholly or in part) the value or amount of something else (of any nature whatsoever and whether or not deliverable), including but not limited to an asset, an interest rate, exchange rate or other rate, an index and a commodity; and (b) anything prescribed in the regulations to be a derivative – but does not include an arrangement or other thing prescribed in the regulations as not being a derivative; electricity infrastructure means anything used for, or in connection with, the generation of electricity including– (a) electricity generating plant; and (b) structures and equipment to hold water, or to direct, monitor or control the flow of water, for the purposes of hydro-electric generation; and (c) (d) (e) equipment for metering, monitoring or controlling electricity; land includes – (a) an estate or interest in land (including an easement); and (b) a right or power over or in respect of land; National Electricity Law is the National Electricity Law established by the National Electricity (South Australia) Act 1996 and adopted by participating jurisdictions, within the meaning of that Law, as a consequence of the National Electricity Market Legislation Agreement dated 9 May 1996 between the States of New South Wales, Victoria, Queensland and South Australia and the Australian Capital Territory; National Electricity Market means the market for wholesale electricity operating under the National Electricity Rules; National Electricity Rules has the same meaning as in the Electricity Supply Industry Act 1995 ; subsidiary has the same meaning as in the Government Business Enterprises Act 1995 ; transmission system has the same meaning as in the Electricity Supply Industry Act 1995 . PART 2 - The Hydro-Electric Corporation 4. Continuance of the Corporation (1) The Corporation, formerly known as the Hydro-Electric Commission, continues. (2) The Corporation is a Government Business Enterprise under the Government Business Enterprises Act 1995 . 5. Functions and powers of Corporation (1) The functions of the Corporation are as follows: (a) to generate electricity; (b) to do all things necessary for, or related to, the generation of electricity; (c) to retail electricity if the Minister approves; (d) to perform other functions as agreed between the Corporation and the Minister. (2) The Corporation has the following powers: (a) to construct, maintain and operate electricity infrastructure necessary for the generation of electricity; (b) to do all things necessary or convenient for, or related to, the generation of electricity, including the sale or trade of electricity; (c) to acquire and trade in, and facilitate the acquisition of and trading in, electricity; (d) to participate in the National Electricity Market; (e) to develop, construct, operate and own Basslink and to participate in the development, construction, operation and ownership of Basslink and to use Basslink; (f) to enter into agreements in respect of the development, construction, operation and ownership of Basslink; (g) to do all things necessary or convenient for, or related to – (i) its development, construction, operation and ownership of Basslink and its participation in the development, construction, operation and ownership of Basslink; and (ii) its participation in the National Electricity Market; (h) to provide consultancy services in respect of electricity, environmental science, engineering or any other area of expertise in which the Corporation considers it has competence; (i) to carry out investigations, research and development. (3) Without limiting its powers under subsection (2)(b) , (c) and (g) , the Corporation under that subsection may, in accordance with any relevant Treasurer's Instructions issued under the Government Business Enterprises Act 1995 , enter into trading and financial arrangements that concern, or are in the nature of, derivatives or electricity generated from renewable or other energy sources. 6. . . . . . . . . 7. Limitations on Corporation's powers (1) The Corporation may only carry out functions for which a licence is required under the Electricity Supply Industry Act 1995 in pursuance of a licence under that Act. (2) Despite anything to the contrary in the Government Business Enterprises Act 1995 , the Corporation may only – (a) deal with or dispose of a prescribed generating plant; or (b) acquire, deal with or dispose of land – if the transaction is consented to in writing by the Minister or the Minister's delegate. (3) A consent under subsection (2) may relate to a particular transaction or to transactions of a particular class. (4) If a consent under subsection (2) relates to a dealing with or disposal of the prescribed generating plant known as the Bell Bay Power Station or land on which that prescribed generating plant is situated, that consent is of no effect until it is approved by both Houses of Parliament. (5) For the purposes of subsection (4) , a consent is approved by a House of Parliament– (a) when the House passes a motion approving the consent; or (b) at the end of 5 sitting days after the consent was laid before the House if no notice of a motion to disapprove the consent is before the House; or (c) if such a notice is before the House at the end of that period, when the first of the following occurs: (i) the notice is withdrawn; (ii) the motion is negatived; (iii) a further period of 5 sitting days ends. (6) If a consent under subsection (2) relates to a dealing with or disposal of any prescribed generating plant (other than that known as the Bell Bay Power Station) or land on which any prescribed generating plant (other than that known as the Bell Bay Power Station) is situated, that consent is of no effect unless a proposal for that consent has been approved by a majority of the electors voting in a referendum held under the Referendum Procedures Act 1994 . (7) Subsections (4) and (6) do not apply in respect of the following dealings or disposals: (a) a dealing with or disposal of any prescribed generating plant, or land on which the plant is situated, that relates to or arises from the maintenance, repair, replacement or upgrading of the plant; (b) a dealing with or disposal of any prescribed generating plant, or land on which any prescribed generating plant is situated, that does not result in any significant change to the capacity of the Corporation to generate electricity. (7A) Even though any prescribed generating plant, or land on which any prescribed generating plant is situated, is a main undertaking within the meaning of the Government Business Enterprises Act 1995 , section 10(7) of that Act does not apply to that plant or land. (8) If an agreement entered into under section 5(2)(f) in respect of Basslink provides to the effect that the Corporation may acquire the whole or a part of Basslink – (a) subsection (2) does not apply in respect of – (i) the acquisition of land necessary for the acquisition of the whole or part of Basslink under that agreement; and (ii) any subsequent dealing in or disposal of that land; and (b) section 10(7) of the Government Business Enterprises Act 1995 does not apply in respect of the disposal of that land or the whole or part of Basslink acquired under that agreement; and (c) the Corporation may only acquire or dispose of the whole or a part of Basslink if – (i) both the Minister and the Minister to whom the administration of the Government Business Enterprises Act 1995 is assigned have agreed, in writing, to that acquisition or disposal; and (ii) the Minister has tabled in both Houses of Parliament a notice that specifies that the Corporation intends to acquire or dispose of the whole or a part of Basslink, that the Ministers referred to in subparagraph (i) have agreed to the acquisition or disposal and the reasons for their agreement. (9) Before agreeing to an acquisition of the whole or part of Basslink under subsection (8)(c)(i) , the Minister and the Minister to whom the administration of the Government Business Enterprises Act 1995 is assigned must be satisfied that the acquisition is consistent with the protection of the operational and financial interests of the Corporation. (10) For the purposes of subsection (8) , a notice is tabled in a House of Parliament if – (a) it is laid before that House; or (b) if that House is not sitting at the relevant time – (i) it is provided to the Clerk of that House; and (ii) it is published in the Gazette. (11) An Act that purports to repeal or amend subsection (2) , (4) , (6) , (7) , (12) or (13) , this subsection or the definition of prescribed generating plant in subsection (13) is of no effect unless the proposal for the repeal or amendment has been approved by a majority of the electors voting in a referendum held under the Referendum Procedures Act 1994 . (12) Subsection (11) does not apply to an Act that – (a) repeals subsection (2) , (4) , (6) , (7) , (11) or (13) or this subsection if the Act enacts a provision substantially similar to the subsection repealed; or (b) amends subsection (2) , (4) , (6) , (7) , (11) or (13) or this subsection if the amendments enacted do not lessen a majority required by subsection (11) or otherwise substantially alter the effect of the subsection amended. (13) In this section, prescribed generating plant means – (a) an electricity generating plant (including the structures and equipment to hold water, or to direct, monitor or control the flow of water, for the purposes of hydro-electric generation), as it existed on 30 June 2001, that is specified in Schedule 1 ; and (b) a part of an electricity generating plant, as it existed on 30 June 2001, referred to in paragraph (a) . 8. Construction of major power facility (1) The Corporation may only construct, or participate in constructing, a major power facility if– (a) the construction of the major power facility is specifically authorised by an Act; or (b) the proposal to establish the major power facility has been laid before both Houses of Parliament and both Houses have approved the proposal. (2) A proposal under subsection (1) (b) must be accompanied by details of – (a) the nature of the major power facility; and (b) its capacity to generate electricity; and (c) where the major power facility is to be situated; and (d) the estimated cost of constructing the major power facility, the extent to which the cost is to be met by the Corporation and the amount of loan finance the Corporation will need to obtain to meet the cost, or its share of the cost, of the major power facility. (3) A House of Parliament approves a proposal for the purposes of this section as follows: (a) the House may pass a resolution approving the proposal; (b) if at the end of 5 sitting days from when the proposal was laid before the House, the House has not resolved to disapprove the proposal and no notice of motion to disapprove the proposal is before the House, the House is taken to have approved the proposal at the end of that period; (c) if a notice of motion to disapprove the proposal is before the House at the end of that period, the House is taken to have approved the proposal if (and when) – (i) the notice is withdrawn; or (ii) the motion is negatived; or (iii) a further period of 9 sitting days ends (and a motion to disapprove the proposal has not been passed within that period). (4) In this section – major power facility means new generating plant with an installed capacity exceeding 40 megawatts or a limit fixed by regulation together with, in the case of hydro-electric generating plant, associated equipment to hold water, or to direct, monitor or control the flow of water, for the purposes of hydro-electric generation; new generating plant does not include plant installed by way of modification to existing generating plant or plant installed to replace existing generating plant on the same site or plant for the generation of electricity from the wind. 9. Minister's right to convene and attend meetings of the board of directors of the Corporation (1) The chairperson of the board of directors of the Corporation must, at the Minister's request, convene a meeting of the board. (2) The Minister may – (a) attend meetings of the board of directors of the Corporation (whether convened under this section or not); and (b) propose business for consideration at meetings of the board. PART 3 - Miscellaneous 10. Regulations (1) The Governor may make regulations for the purposes of this Act. (2) Regulations may be made so as to apply differently according to matters, limitations or restrictions, whether as to time, circumstance or otherwise, specified in the regulations. (3) The regulations may – (a) provide that a contravention of, or a failure to comply with, any of the regulations is an offence; and (b) in respect of such an offence, provide for the imposition of a fine not exceeding 100 penalty units and, in the case of a continuing offence, a further fine not exceeding 10 penalty units for each day during which the offence continues. (4) The regulations may authorise any matter to be from time to time determined, applied or regulated by the Minister or an officer or person nominated in the regulations. (5) The regulations may contain provisions of a savings or transitional nature consequent on the commencement of the Hydro-Electric Corporation Amendment Act 1997 . (6) A provision referred to in subsection (5) may take effect on and from the day on which the Hydro-Electric Corporation Amendment Act 1997 commences or on a later day. 11. Administration of Act Until provision is made in relation to this Act by order under section 4 of the Administrative Arrangements Act 1990 – (a) the administration of this Act is assigned to the Minister for Energy; and (b) the department responsible to the Minister for Energy in relation to the administration of this Act is the Corporation. SCHEDULE 1 - Prescribed generating plants Section 7(13) For the purposes of the definition of prescribed generating plant in section 7(13) , the following power stations are specified (by their commonly known names) as prescribed generating plants: 1. Bastyan 2. Bell Bay 3. Butlers Gorge 4. Catagunya 5. Cethana 6. Cluny 7. Currie 8. Devil's Gate 9. Fisher 10. Gordon 11. John Butters 12. Lake Echo 13. Lake Margaret 14. Lemonthyme 15. Liapootah 16. Mackintosh 17. Meadowbank 18. Paloona 19. Poatina 20. Reece 21. Repulse 22. Rowallan 23. Tarraleah 24. Tods Corner 25. Trevallyn 26. Tribute 27. Tungatinah 28. Wayatinah 29. Whitemark 30. Wilmot