EXPOSURE DRAFT
Mr Mick Gentleman
(Prepared by Parliamentary Counsel’s Office)
Electricity Feed-in (Solar Premium) Bill 2007

Contents
	Page

Part 1	Preliminary
	1	Name of Act	2
	2	Commencement	2
	3	Object of Act	2
	4	Dictionary	2
	5	Notes	3
Part 2	Renewable energy sources—supply to electricity distributors
	6	Feeding-in electricity generated by renewable energy generator to electricity distribution network	4
	7	Utility Service	4
	8	Renewable energy generator—standards	5
Part 3	Solar premium—determination of rate
	9	Determination of premium rate	6
Part 4	Miscellaneous
	10	Regulation-making power	7
	11	Independent Competition and Regulatory Commission Act 1997, new section 20 (2) (l)	7
	12	Independent Competition and Regulatory Commission Act 1997, new section 20AA	7
Dictionary		9

EXPOSURE DRAFT
Mr Mick Gentleman
(Prepared by Parliamentary Counsel’s Office)
Electricity Feed-in (Solar Premium) Bill 2007

A Bill for
An Act about the supply of electricity from solar and other renewable energy sources to electricity distributors, and for other purposes

    

The Legislative Assembly for the Australian Capital Territory enacts as follows:

Part 1	Preliminary
1	Name of Act
This Act is the Electricity Feed-in (Solar Premium) Act 2007.
2	Commencement
This Act commences on the day after its notification day.
Note	The naming and commencement provisions automatically commence on the notification day (see Legislation Act, s 75 (1)).
3	Object of Act
The object of this Act is to promote the generation of electricity from renewable energy sources.
4	Dictionary
The dictionary at the end of this Act is part of this Act.
Note 1	The dictionary at the end of this Act defines certain terms used in this Act, and includes references (signpost definitions) to other terms defined elsewhere.
	For example, the signpost definition ‘electricity distributor—see Utilities Act 2000, dictionary.’ means that the term ‘electricity distributor’ is defined in that dictionary and the definition applies to this Act.
Note 2	A definition in the dictionary (including a signpost definition) applies to the entire Act unless the definition, or another provision of the Act, provides otherwise or the contrary intention otherwise appears (see Legislation Act, s 155 and s 156 (1)). 
5	Notes
A note included in this Act is explanatory and is not part of this Act.
Note	See the Legislation Act, s 127 (1), (4) and (5) for the legal status of notes.

Part 2	Renewable energy sources—supply to electricity distributors
6	Feeding-in electricity generated by renewable energy generator to electricity distribution network
	(1)	This section applies to an electricity distributor licensed to distribute electricity through an electricity network.
	(2)	It is a condition of the distributor’s licence that the distributor must, on application by the occupier of premises at which there is a renewable energy generator—
	(a)	connect the generator to the distributor’s network to enable electricity generated by the generator to be supplied to the network; and 
	(b)	buy the electricity supplied to the network from the generator.
	(3)	The distributor must pay the occupier for the total amount of electricity supplied to the distributor’s network from renewable energy generators at the occupier’s premises—
	(a)	for not more than 10kwh of installed capacity—at the premium rate; and
	(b)	for more than 10kwh of installed capacity—at 50% of the premium rate.
7	Utility Service
The action required by a distributor under section 6 is a utility service for the Utilities Act 2000.
8	Renewable energy generator—standards
	(1)	An electricity distributor must determine the standards that apply to the connection of a renewable energy generator to the distributor’s electricity network.
	(2)	A determination under this section is a notifiable instrument.
Note	A notifiable instrument must be notified under the Legislation Act.
	(3)	The distributor must also—
	(a)	publish the standards in a daily newspaper published and circulating in the ACT; and
	(b)	make copies of the standards available for public inspection during office hours at the distributor’s business premises.

Part 3	Solar premium—determination of rate
9	Determination of premium rate
	(1)	The Minister must determine the premium rate payable under this Act by an electricity distributor, for each financial year.
	(2)	A determination is a disallowable instrument.
Note	A disallowable instrument must be notified, and presented to the Legislative Assembly, under the Legislation Act.
	(3)	In making a determination, the Minister must have regard to the following:
	(a)	the need to encourage the generation of electricity from renewable sources;
	(b)	the need to reduce emissions from greenhouse gases;
	(c)	the desirability of customers being able to recoup investment on renewable energy generators within a reasonable time;
	(d)	the distributor’s costs in making payments under this Act;
	(e)	anything else the Minister considers relevant.
	(4)	Until the Minister determines the premium rate under this section, the premium rate is 3.88 times the highest retail price of electricity for a domestic customer on the day this Act commences.

Part 4	Miscellaneous
10	Regulation-making power
	(1)	The Executive may make regulations for this Act.
Note	Regulations must be notified, and presented to the Legislative Assembly, under the Legislation Act.
	(2)	The regulations may prescribe offences for contraventions of the regulations and prescribe maximum penalties of not more than 10 penalty units for offences against the regulations.
	(3)	The regulations may prescribe the form of notices to be placed on sites where a renewable energy generator is located.
11	Independent Competition and Regulatory Commission Act 1997, new section 20 (2) (l)
insert
	(l)	if the regulated service is the supply of electricity—the cost of renewable energy feed-in payable under the Electricity Feed-in (Solar Premium) Act 2007.
12	Independent Competition and Regulatory Commission Act 1997, new section 20AA
after section 20, insert
20AA	Price regulation—solar premium
	(1)	This section applies if—
	(a)	the commission is required to make a decision under section 20 (1) in relation to the price of electricity; and
	(b)	the terms of reference for the reference to the commission include the cost of renewable energy feed-in payable under the Electricity Feed-in (Solar Premium) Act 2007.
	(2)	In making the decision, the commission must direct that any increase in the price of electricity attributable to the cost of renewable energy feed-in is applied to consumers in proportion to the amount of electricity used by each consumer.
Example
price increases are discounted for certain groups like low level users or pensioner concession card holders
Note	An example is part of the Act, is not exhaustive and may extend, but does not limit, the meaning of the provision in which it appears (see Legislation Act, s 126 and s 132).

Dictionary
(see s 3)
Note 1	The Legislation Act contains definitions and other provisions relevant to this Act.
Note 2	For example, the Legislation Act, dict, pt 1, defines the following terms:
·	disallowable instrument
·	Executive
·	Minister (see s 162)
·	regulation
·	under
customer—see the Utilities Act 2000, section 17.
electricity distributor—see the Utilities Act 2000, dictionary.
electricity network—see the Utilities Act 2000, section 7.
occupier means the retail electricity customer for the premises.
renewable energy generator means a device that—
	(a)	is capable of generating electricity exclusively from a renewable energy source; and
	(b)	for a photovoltaic generator with a capacity that is not more than 10kVA for a single phase connection—complies with AS 4777; and
	(c)	for a photovoltaic generator with a capacity that is more than 10kVA for a single phase connection—complies with the distributor’s standard under section 8; and
	(d)	for a photovoltaic generator with a capacity that is not more than 30kVA for a three phase connection—complies with AS 4777; and
	(e)	for a photovoltaic generator with a capacity that is more than 30kVA for a three phase connection—complies with the distributor’s standard under section 8.
renewable energy source means any of the following:
	(a)	solar;
	(b)	wind;
	(c)	any other source prescribed by regulation.

Endnotes
1	Presentation speech
	Presentation speech made in the Legislative Assembly on	2007.
2	Notification
	Notified under the Legislation Act on	2007.
3	Republications of amended laws
	For the latest republication of amended laws, see www.legislation.act.gov.au.