Ring-Fencing
Waiver Applications
Under the Queensland Competition Authority’s Ring-fencing Guidelines, Distribution Network Service Providers (DNSPs) may seek a waiver from various obligations.
Electricity: Final Decision on Application for Waiver of Ring-Fencing Guidelines byErgon Energy
On 13 April 2010, the Authority received an application from Ergon Energy applying for a waiver of section 1(b) of the Authority's Ring Fencing Guidelines, in respect of a 1000kW nework support generator in the Barcaldine region. The application was made on the basis that the administrative cost of complying with the obligations would outweigh the benefit, or likely benefit, to the public of complying.
The Authority released its Draft Decision, which was to approve the application, on 20 May 2010.
Submissions on the Draft Decision closed on 24 June 2010 and no submissions were received. Following consideration of Ergon Energy's application and in the absence of any submissions to the contrary, the Authority's Final Decision is to issue a notice under section 21 of the Guidelines to waive the requirement for Ergon Energy to comply with section 1(b) in respect of its Barcaldine network support generation site.
All other provisions of the Guidelines continue to apply to the operation of the Barcaldine generation site. On 1 July 2010 responsibility for Ring-Fencing compliance will transfer to the Australian Energy Regulator with the Guidelines and any existing waivers, including this one, remaining in force until the Australian Energy Regulator makes alternative arrangements.
A copy of the Authority's Final Decision can be downloaded below.
Final Decision
Draft Decision
Application
Previous Decisions