Table Of Contents

Energy Services Corporations Amendment (Distributor Efficiency) Act 2013 No 33

An Act to amend the Energy Services Corporations Act 1995 to make further provision for the operational efficiency of energy distributors.
2   Commencement
This Act commences on a day or days to be appointed by proclamation.
Schedule 1 Amendment of Energy Services Corporations Act 1995 No 95
[1]   Sections 9A and 9B
Insert after section 9:
  
9A   Joint board of energy distributors
(1)  Each of the energy distributors is to have the same board of directors and for that purpose there is to be a single board (referred to in this Act as the joint board of the energy distributors) that is to constitute the board of directors of each of the energy distributors.
(2)  The joint board is to act in the best interests of energy distributors as a combined operation (as if their individual businesses were being operated as parts of a single enterprise) even if acting in that way is not in the best interests of one or more individual energy distributors.
(3)  A reference in this Act, the State Owned Corporations Act 1989 or the constitution of an energy distributor to the voting shareholders is, in connection with the joint board of the energy distributors, a reference to the voting shareholders of all the energy distributors.
9B   Directions affecting commercial interests of energy distributors
(1)  An energy distributor is not entitled to be reimbursed under section 20N of the State Owned Corporations Act 1989 in connection with compliance with a direction under that section that is not in the commercial interests of the energy distributor if the direction is in the combined commercial interests of energy distributors.
(2)  If the direction is not in the combined commercial interests of energy distributors, any amount that the energy distributor is entitled to be reimbursed in connection with compliance with the direction is to be reduced by the amount of the net benefit accruing to any other energy distributor as a result of compliance with the direction.
(3)  A direction is considered to be in the combined commercial interests of energy distributors if the joint board of the energy distributors considers that compliance with the direction would be in the commercial interests of a single enterprise that comprised the individual businesses of the energy distributors being operated as part of that single enterprise.
[2]   Schedule 2 Supplementary provisions concerning constitution and procedure
Insert at the end of clause 1 (1):
  
Note—
Under section 9A, each of the energy distributors has the same board (the joint board of the energy distributors).
[3]   Schedule 2, clause 1 (2A)
Insert after clause 1 (2):
  
(2A)  The membership of the joint board of the energy distributors is to be as provided by subclause (2) except that the chief executive officer of each energy distributor is to be a member of the joint board.
[4]   Schedule 2, clause 2 (7)
Insert after clause 2 (6):
  
(7)  The chief executive officer of an energy distributor may delegate any functions of the chief executive officer to an employee of the energy distributor, but this power is subject to any directions of the joint board of the energy distributors.
[5]   Schedule 5 Savings, transitional and other provisions
Omit clause 1 (1). Insert instead:
  
(1)  The regulations may contain provisions of a savings or transitional nature consequent on the enactment of this Act or any Act that amends this Act.
[6]   Schedule 5, Part 4
Insert at the end of the Schedule:
  
Part 4 Provisions consequent on enactment of the Energy Services Corporations Amendment (Distributor Efficiency) Act 2013
19   Membership of first joint board of energy distributors
On the commencement of section 9A:
(a)  the members immediately before that commencement of the board of each of the energy distributors cease to hold office as such, and
(b)  the persons holding office immediately before that commencement as members of the board of Ausgrid are taken to have been appointed as members of the first joint board of the energy distributors, and
(c)  the person holding office immediately before that commencement as chairperson of the board of Ausgrid is taken to have been appointed as chairperson of the first joint board of the energy distributors.
20   Actions of previous boards
Any act, matter or thing done or omitted to be done by the board of an energy distributor before the commencement of section 9A is taken to have been done or omitted by the joint board of the energy distributors.