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Annual Report 2014/2015 Utilities Commission



Annual Report 2014/2015 Utilities Commission

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Tabled paper 1571


Tabled Papers for 12th Assembly 2012 - 2016; Tabled Papers; ParliamentNT






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22 Licence Variations On 29 September 2014, the Commission issued an administrative variation to Jacana Energys retail licence to correct a reference to its Daly Waters retail licence area. The Commission issued an administrative variation to retail, standard generation and network licences in April 2015 to clarify an inconsistency across licences for a clause requiring the licensee to comply with regulatory instruments. On 30 June 2015, the Commission made a variation to the generation licences of Power and Water and Territory Generation to reflect the outcome of structural separation in accordance with the Government Owned Corporations (Power Corporations Restructure) Regulations and the associated Generation Business Register as per regulation 5(1). As Power and Water continues to be a key market participant, with licences for network services, system control, retail, generation and water supply and sewerage services, the Commission continued to monitor the compliance of Power and Water through compliance audits. In late 2014, the Commission completed a technical audit of Power and Water and Territory Generations compliance with technical obligations under the relevant network, generation and system control licences. A further audit was undertaken of Power and Waters compliance framework and compliance reporting in mid-2015. Review of Retail Licences The Commission undertook a review of existing retail licences in 2014-15 to identify appropriate amendments required in light of developments in the electricity industry in the Territory, including structural separation of Power and Water, and to ensure that the licences contain conditions that meet the requirements of the Electricity Reform Act and are consistent with good regulatory practice. On 3 July 2015, the Commission published a Consultation Paper containing a template retail licence seeking submissions from stakeholders. In late 2015, the Commission will evaluate submissions made in response to the Consultation Paper, and vary the existing licences as appropriate. Market Conduct Regulation The Commission monitors the conduct and operations of the electricity supply industry and licensed entities. The Commission may also make codes and rules relating to the conduct or operations of the electricity supply industry or licensed entities, where authorised by legislation. All electricity customers became contestable from April 2010. Full retail contestability means that all electricity customers in the Territory can contract with a licensed retailer. Following the entry of additional electricity retailers, the Commission recognised the need to provide further guidance to market participants on the conduct of retail supply activities.