Regulatory arrangements for reticulated LPG networks
- Project Released: 28 Aug 2008
- Project Closes: 04 Apr 2013
- Contact: Julie Dixon
The Essential Services Commission of South Australia (the Commission) is the
licensing authority for the purposes of the Gas Act 1997 SA (the Act),
a role which it assumed in July 2003. The Commission has decided to undertake a
review of how the licensing provisions of the Act apply to reticulated LPG
networks in South Australia with a view to determining if the current exemption
regime should remain, or whether a licensing regime should be implemented as is
envisaged under the Act.
Current status is Final
- Further Info
In May 2010, the Commission decided to suspend its review of the regulatory
arrangements to apply to reticulated LPG networks. This decision was made as,
around this time, the South Australian Government commenced a review of the Gas
Act 1997 to determine the form of the regulatory framework to apply to types of
gas other than natural gas following the commencement of the National Energy
Customer Framework in South Australia.
A Further Draft Decision was issued in October 2012 setting out the reasons
for the Commission’s decisions in respect of the future licensing arrangements
to apply to reticulated LPG networks in South Australia having regard to the
Government’s decision that LPG will continue to be regulated by the Commission
under the Gas Act.
Submissions to the Further Draft Decision have been received and the
Commission has now issued its Final Decision.
The Final Decision of the Commission is:
- Distributors and retailers of reticulated LPG in SA will need to be licensed
under the Gas Act unless it can be demonstrated that it would be appropriate to
grant such entities an exemption from the requirement to be licensed.
- LPG retail and distribution licences will be issued containing mandatory
- LPG licensees will be required to comply with a Reticulated LPG Industry
Code which contains modified versions of key provisions of state-based or
national consumer protection regulatory instruments.
- LPG retailer will be required to provide a written disclosure statement to
customers at the time they enter into a contract, publish LPG price fact sheets
on their website and provide such fact sheets to the Commission, including
variations to prices as and when they occur.
- Entities currently providing reticulated LPG services will be required to
apply to the Commission for the licence or licences relevant to their
operations. Applications should be received by 31 May 2013.