Download Chapter 8 - National Electricity Code Administrator

National Electricity Code - Chapter - Sorted By Class ID and Grouped by Chapter
08-Dec-98
Code
Prov
Clause
Chapter
Para
Class ID
Civil Descriptive Heading
Penalty
Reason
8
8.02
8.02.01
8.02
8.02.01
8.02
8.02.02
8.02
8.02.03
8.02
8.02.04
(c)(1)-(2) Unclassified
(f)
Unclassified
(a)-(d) Unclassified
Class A
(a)-(b) Unclassified
Specifying due date for payment in bills
If Code Participants specify due dates for payments in their
bills which are shorter than any such period specified in the
Code it could make it difficult for the debtor to pay by the
deadline, thereby triggering debt-recovery mechanisms earlier
than otherwise necessary. It is not, however, a serious
offence and could conceivably occur as a result of a clerical
error. Should a Code participant specify a shorter time period
then the debtor (if aware of the provision) will not be
required to pay until a date that is permitted under this
provision of the Code, therefore, the provision is
self-enforcing.
Adhere to dispute resolution procedures
instead of going to court
Should a participant attempt to take court action without
exhausting the dispute resolution methods under the Code, and
this was inappropriate in the opinion of the Court, then the
Court would decline to hear the action, and would have the
discipline of costs to deter the errant participant.
Appointment of dispute resolution adviser
Incapable of breach by a Code participant.
$10,000.00 Implementation of dispute management systems Failure to adopt a DMS is not something which will have an
adverse impact on others and may simply be the result of a
Participant being tardy in its adoption of such a system.
Breaches of the clause are best dealt with summarily by NECA.
First stage dispute resolution process
The most effective enforcement mechanism is an order from the
Tribunal requiring compliance.
Code
Prov
Clause
Para
Class ID
Civil Descriptive Heading
Penalty
Reason
8.02
8.02.05
(b)
Unclassified
Adviser to satisfy itself that referred
dispute is within Adviser's jurisdiction -
Incapable of breach by a Code participant.
8.02
8.02.05
(g)
Class C
Parties must participate in dispute
resolution process stipulated by Adviser
Should be classified as Class "C" to act as an incentive for
Code Participants to ensure they comply with the dispute
resolution process selected by the Adviser to govern the 2nd
stage dispute resolution process.
8.02
8.02.05
(h)
Unclassified
Complainant to let Adviser know outcome of
dispute resolution process
This provision is procedural. There are no significant
implications from a default. The most effective enforcement
mechanism is an order from the Tribunal requiring compliance.
8.02
8.02.06
(d)-(i)
Unclassified
Powers of DRP
Incapable of breach by a Code participant.
8.02
8.02.06
(j)-(k)
Unclassified
Parties to report back to DRP on action
taken pursuant to dispute resolution process
Parties failing to report back to the DRP in a timely manner
as to action taken as result of dispute resolution. This
provision is not critical. There is no reason to classify this
provision.
Note that obligations are also imposed by these clauses on the
DRP to ensure the dispute resolution process is completed
within maximum time periods - because the DRP is not a Code
participant this obligation has been ignored for Code breach
classification purposes in favour of the possible breach of
obligations imposed by the same clauses on Code participants.
8.02
8.02.09
(a)
Unclassified
DRP determination binding on parties to
dispute
General obligation described specifically in sub-clause (c).
Code
Prov
Clause
Para
Class ID
8.02
8.02.09
(c)
Class C
8.02
8.02.10
(c)
Unclassified
8.05
8.05.01
(a)-(b)
Class B
8.05
8.05.01
(c)
Unclassified
8.05
8.05.06
(c)
Class C
8.05
8.05.08
(a)-(c) Unclassified
Civil Descriptive Heading
Penalty
Reason
Participant must comply with determination
pursuant to dispute resolution process
Failure to comply with such a determination could adversely
affect Code participants who were also parties to the dispute
and could undermine the authority of the Code's dispute
resolution process.
Confidential information disclosed in
dispute resolution process
Code participants must make claims for information disclosed
during the dispute resolution process to be treated as
confidential in accordance with the procedures prescribed by
clause 8.6, and if they fail to follow those procedures they
should be dealt with summarily by NECA
Code Participant must assist investigator
Tribunal sanctions and the threat of a daily-accruing penalty
should be attracted to a breach of this clause to act as an
deterrent, as a Code Participant's failure to co-operate with
an investigation could impede attempts to identify, and
resolve, a problem with the market
Code Participant must pay cost of
investigation unless otherwise determined by
NECA or Tribunal
This provision deals with the allocation of costs and should
be self-enforcing.
Code Participants must comply with a NECA or If a Code Participant does not comply with a direction by NECA
NEMMCO direction to give effect to a
or NEMMCO giving effect to a Tribunal order, it may be
Tribunal order
persisting in a Code breach which could have dire effects on
other Code participants - classified as Class "C" for
deterrent purposes of daily fine
NECA publications in relation to Code
enforcement - NECA breach
Proceedings cannot be brought against NECA for Code breach.
8.05
8.05.08
(d)
Unclassified
Code Participants cannot make claims against
NECA for loss or damage arising from
publications concerning Code enforcement
The attaching of a pecuniary penalty to this provision is
inappropriate as the question of whether NECA has acted in
good faith in publishing information may be the legitimate
subject of argument in proceedings by a Code participant to
recover loss or damage resulting from the publication of
information. Courts hearing such actions will have their own
disciplines such as costs and striking out to prevent
vexatious litigation.
8.05
8.05.09
(a)
Class C
Code Participant must follow NEMMCO
direction
Failure by a Code Participant to follow a NEMMCO power system
security direction could have severe ramifications for other
Code Participants and end users and should attract the most
severe sanctions available
8.05
8.05.09
(b)
Unclassified
Events to be performed on stipulated day
can be breached if event is performed on a day other than the
stipulated day.
8.05
8.05.09
(d)
Class C
8.06
8.06.01
8.06
8.06.01
(a),(c) Unclassified
(b)(1)-(3)
Class C
Code Participant must notify NECA of failure
Classified as Class "C" to act as incentive for Code
to comply with NEMMCO power system security
Participants to refer alleged failures, either by themselves
direction
or by other Code Participants, to comply with a NEMMCO power
system security direction - need to ensure industry
self-regulation is entrenched and Tribunal orders could
include requiring a Code Participant which does not report a
failure to put in place formal reporting procedures
Obligations of Code Participants to keep
information confidential
"Reasonable endeavours" provisions make classification
inappropriate.
Prohibition on Code Participant disclosing
confidential information
Unauthorised disclosure of confidential information should be
treated seriously.
Code
Prov
Clause
Para
Class ID
8.06
8.06.01
(d)
Class C
8.06
8.06.01
(e)
Class A
8.06
8.06.03
8.06
8.06.06
(a)-(c)
8.06
8.06.07
8.07
8.07.02
Class B
Civil Descriptive Heading
Penalty
Transmission Network Service Provider
officers cannot be associated with
competitive electricity trading activities
of other Code Participants
$5,000.00 Transmission Network Service Provider to
provide undertaking that will comply with
confidentiality requirements
Reason
Involvement of employees of a transmission network service
provider in the competitive electricity trading activities of
other Code Participants could have a detrimental effect on the
competitive operation of the market, and should attract the
severest sanctions
The provision of undertakings by Transmission Network Service
Providers to other Transmission Network Service Providers or
Code Participants which supply it information is a procedural
matter which is best policed, and dealt with summarily, by
NECA
Conditions for permitted disclosure of
confidential information to
employees/advisers and for purposes of
financial arrangements
If a Code Participant breaches this clause which imposes
conditions on certain permitted disclosures of confidential
information it could cause material harm to other Code
Participants, but should not attract the weight of a Class C
fine. It has been classified as Class B to ensure the
Tribunal is able to make orders to prevent a recurrence of the
breach, such as requiring the offender to institute a
confidentiality compliance program
NEMMCO
Breach
NEMMCO to implement policy concerning
information dissemination
Market efficiency and Participant confidence relies on
compliance.
(a)-(b)
NEMMCO
Breach
NEMMCO to implement policy on Code Bodies Market efficiency and Participant confidence relies on
compliance.
(e)
Class A
$10,000.00 Code Participants to comply with NECA's
monitoring and reporting requirements
Code Participant's failure to comply with NECA's monitoring
and reporting requirements within specified time periods is
best policed, and dealt with summarily, be NECA
Code
Prov
Clause
Para
Class ID
Civil Descriptive Heading
Penalty
Reason
8.07
8.07.02
(f)
Class C
Code Participant must not provide misleading
or deceptive information
The provision of misleading or deceptive information by Code
Participants could have a detrimental impact on the effective
operation of the market and should attract the severest
sanctions
8.07
8.07.06
(a)-(b)
NEMMCO
Breach
NECA and NEMMCO must not charge Code
Participant, Tribunal, ACCC or
Jurisdictional Regulator for copies of
reports, and can only charge other parties
an "appropriate" fee
Essentially procedural.
8.08
8.08.02
(a)(2)
NEMMCO
Breach
NEMMCO CEO or NEMMCO delegate to sit on RP Can be breached by NEMMCO failing to allow its CEO to, or to
appoint a delegate to sit on, the Reliability Panel.
8.09
8.09.00
(a)
NEMMCO
Breach
Code consultation procedures
If the Code consultation procedures are not followed there
could be serious consequences - persons who were not consulted
may have had valuable comments to provide or may challenge
the validity of a decision made where the Code consultation
procedures were not followed.
8.09
8.09.00
(b)
Unclassified
Code consultation procedures
Procedural provision.