Energy Legislation Amendment (Energy Safety) Bill 2023
Assembly - second reading

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Energy Legislation Amendment (Energy

Safety) Bill 2023

Introduction Print

EXPLANATORY MEMORANDUM

Clause Notes

Part 1—Preliminary

Clause 1 sets out the purposes of the Bill. The main purposes of the Bill

are—

• to amend the Electricity Safety Act 1998 in relation

to—

• requirements for certain owners and operators of

electrical installations; and

• general duties of owners and operators of

complex electrical installations and railways; and

• modifications of supply networks and changes to

safety management systems; and

• revised electricity safety management schemes

and bushfire mitigation plans; and

• voluntary electricity safety management schemes

for operators of complex electrical installations;

and

• the period within which things seized by

enforcement officers must be returned; and

• preservation of serious electrical incident sites;

and

601018 BILL LA INTRODUCTION 16/5/2023

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• acceptance and enforcement of written

undertakings; and

• the period within which a proceeding for an

offence against that Act may be commenced; and

• penalties for offences against that Act; and

• to amend the Gas Safety Act 1997 in relation to—

• preservation of gas incident sites; and

• modifications of facilities and changes to safety

management systems; and

• revised safety cases; and

• the period within which things seized by

inspectors must be returned; and

• acceptance and enforcement of written

undertakings; and

• the period within which a proceeding for an

offence against that Act may be commenced; and

• penalties for offences against that Act; and

• to amend the Pipelines Act 2005 in relation to—

• acceptance and enforcement of written

undertakings; and

• penalties for offences against that Act.

Clause 2 is the commencement provision, which provides for the Bill to

come into operation on a day or days to be proclaimed, or on

16 May 2024 if not proclaimed before that date.

Part 2—Amendment of Electricity Safety Act 1998

Clause 3 sets out definitions for declared installation and declared owner

or operator and amends the existing definitions of accepted

ESMS operator, bushfire mitigation plan and fire control

authority in section 3 of the Electricity Safety Act 1998.

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Clause 4 inserts new section 3B into the Electricity Safety Act 1998.

The new section provides for the Governor in Council, on the

recommendation of the Minister, to declare, by Order published

in the Government Gazette, an owner or operator of an electrical

installation to be a declared owner or operator in respect of any

electrical installation, or any part of an electrical installation,

specified in the Order. Once an owner or operator has been

declared as a declared owner or operator, they will be subject to

the same general duties and obligations in Part 10 of the

Electricity Safety Act 1998 that currently apply to major

electricity companies. This is set out in clause 20 of this Bill.

Clause 5 amends section 8 of the Electricity Safety Act 1998 to require a

transmission company to pay to Energy Safe Victoria at such

time or times as the Minister determines such annual amount

(if any) as the Minister determines to be payable by that company

in respect of the reasonable costs and expenses of Energy Safe

Victoria. This broadens the existing provision, which only

applies to a distribution company. Clause 5 also inserts a new

subsection (2) into section 8 of that Act to provide for an

equivalent requirement to apply to a declared owner or operator.

Clause 6 substitutes existing section 75(1) and (2) of the Electricity

Safety Act 1998 to align the general duties of an owner or

operator of a complex electrical installation with those of a major

electricity company under that Act. The new provisions will

require an owner or operator of a complex electrical installation

to design, construct, operate, maintain and decommission the

installation to minimise as far as practicable—

• the hazards and risks to the safety of any person arising

from the installation; and

• the hazards and risks of damage to the property of any

person arising from the installation; and

• the bushfire danger arising from the installation—

Secondly, the new provisions will require an owner or operator of

a railway to design, construct, operate, maintain and

decommission the supply network of the railway to minimise as

far as practicable—

• the hazards and risks to the safety of any person arising

from the supply network; and

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• the hazards and risks of damage to the property of any

person arising from the supply network; and

• the bushfire danger arising from the supply network.

An owner or operator that contravenes section 75(1) or (2) is

liable for a penalty not exceeding—

• in the case of a natural person, 1800 penalty units;

• in the case of a body corporate, 9000 penalty units.

Clause 7 amends the maximum penalty for an offence under section

83B(1) of the Electricity Safety Act 1998, to increase the

amount of 300 penalty units in the case of a natural person to

1800 penalty units and the amount of 1500 penalty units in the

case of a body corporate to 9000 penalty units.

Clause 8 amends the maximum penalty for an offence under section

83BA(1) of the Electricity Safety Act 1998, to increase the

amount of 300 penalty units in the case of a natural person to

600 penalty units and the amount of 1500 penalty units in the

case of a body corporate to 3000 penalty units.

Clause 9 amends the maximum penalty for offences under section

83BB(1) and (2) of the Electricity Safety Act 1998, to increase

the amount of 300 penalty units in the case of a natural person to

1200 penalty units and the amount of 1500 penalty units in the

case of a body corporate to 6000 penalty units.

Clause 10 amends the maximum penalty for an offence under section 90 of

the Electricity Safety Act 1998, to increase the amount of

50 penalty units in the case of a natural person to 100 penalty

units and the amount of 250 penalty units in the case of a body

corporate to 500 penalty units.

Clause 11 amends the maximum penalty for an offence under section 98 of

the Electricity Safety Act 1998, to increase the amount of

300 penalty units in the case of a natural person to 1800 penalty

units and the amount of 1500 penalty units in the case of a body

corporate to 9000 penalty units.

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Clause 12 amends the maximum penalty for an offence under section 99(1)

of the Electricity Safety Act 1998, to increase the amount of

300 penalty units in the case of a natural person to 600 penalty

units and the amount of 1500 penalty units in the case of a body

corporate to 3000 penalty units.

Subclause (2) makes a consequential amendment to section

99(2A) due to the amendments to section 113A of the Electricity

Safety Act 1998 set out in clause 17 of this Bill.

Clause 13 amends the maximum penalty for offences under section 106(1),

(2), (3) and (4) of the Electricity Safety Act 1998, to increase

the amount of 300 penalty units in the case of a natural person to

1200 penalty units and the amount of 1500 penalty units in the

case of a body corporate to 6000 penalty units.

Subclause (2) omits the reference to "significantly" in section

106(4)(a) and (b) and omits the reference to "significant" in

section 106(4)(c). These amendments mean that a major

electricity company will be prohibited from—

• undertaking or permitting a modification of a supply

network that has the potential to increase the overall

levels of risk to the safety of any person or property

arising from the supply network; or

• undertaking or permitting a modification of a supply

network that has the potential to influence the level of

specific risk to the safety of any person or property

arising from the supply network or the ranking of risk

contributing factors; or

• making or permitting a change to the safety

management system in relation to the supply network—

unless Energy Safe Victoria has accepted a revision of the

accepted electricity safety management scheme in relation to that

matter for the supply network—

instead of the current requirements under the Electricity Safety

Act 1998 to not undertake or permit a modification that has

potential to significantly increase the overall levels of risks in

relation to the overall levels of risk to safety of any person or

property or significantly influence the level of specific risk to the

safety of any person or property arising from the supply network

or the ranking of contributing factors or make a significant

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change to the safety management system in relation to the supply

network.

Clause 14 amends section 107(b), (c) and (d) of the Electricity Safety

Act 1998 to omit references to "significant". The amendments

mean that a major electricity company will be required to submit

a revised electricity safety management scheme to Energy Safety

Victoria if—

• a proposed modification to the supply network will

result in an increase in the overall level of risk to the

safety of the person or property arising from the supply

network; or

• a proposed modification to the work practices covered

by the accepted electricity safety management scheme

will result in an increase in the overall levels of risk to

the safety of any person or property arising from the

supply network; or

• the major electricity company proposes to make a

change to the accepted electricity safety management

scheme—

instead of the current requirements under the Electricity Safety

Act 1998 to submit a revised electricity safety management

scheme where there is only a significant increase in the overall

levels of risk to safety to any person or property arising from the

supply network or significant changes to the accepted scheme.

Clause 15 substitutes section 108 of the Electricity Safety Act 1998 to

ensure that a major electricity company prepares a revised

electricity safety management scheme every 5 years. The new

section requires a major electricity company to submit a revised

electricity safety management scheme for a supply network of the

company to Energy Safe Victoria at the end of a review period.

For the purpose of section 108, relevant day is defined to mean

the day on which clause 15 of the Bill comes into operation and

review period is defined to mean

• either—

• for an accepted ESMS in force immediately

before the relevant day, the period of 5 years

commencing on the day of its most recent

acceptance before the relevant day; or

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• for any other accepted ESMS, the period of

5 years commencing on the day on which it is

first accepted; and

• every subsequent period of 5 years commencing

on the day after the day on which the previous

period ends.

• A major electricity company that contravenes

section 108 is liable to a penalty not exceeding—

• in the case of a natural person, 300 penalty units;

or

• in the case of a body corporate, 1500 penalty

units.

Clause 16 amends the maximum penalty for an offence under section 110 of

the Electricity Safety Act 1998, to increase the amount of

80 penalty units in the case of a natural person to 300 penalty

units and the amount of 400 penalty units in the case of a body

corporate to 1500 penalty units.

Clause 17 amends section 113A of the Electricity Safety Act 1998 by

substituting section 113A(1) and inserting a new section

113A(1A). New section 113A(1) gives certainty that a major

electricity company must prepare and submit an initial plan for

the company's proposals for mitigation of bushfire in relation to

the company's supply network to Energy Safe Victoria for

acceptance under Division 2A of Part 10 of the Act.

New section 113A(1A) will require a major electricity company

to prepare and submit a revised plan for the company's proposals

for mitigation of bushfire in relation to the company's supply

network to Energy Safe Victoria, for acceptance under the same

Division, at the end of a review period (effectively, every

5 years).

A major electricity company that contravenes section 113A(1) or

(1A) is liable to a penalty not exceeding—

• in the case of a natural person, 600 penalty units; or

• in the case of a body corporate, 3000 penalty units.

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For the purpose of section 113A, relevant day is defined to mean

the day on which clause 17 of the Bill comes into operation and

review period is defined to mean—

• either—

• for an accepted bushfire mitigation plan in force

immediately before the relevant day, the period

of 5 years commencing on the day of its most

recent acceptance before the relevant day; or

• for any other accepted bushfire mitigation plan,

the period of 5 years commencing on the day on

which it is first accepted; and

• every subsequent period of 5 years commencing on the

day after the day on which the previous period ends.

Clause 18 amends the maximum penalty for offences under section 113B(1)

and (2) of the Electricity Safety Act 1998, to increase the

amount of 300 penalty units in the case of a natural person to

1200 penalty units and the amount of 1500 penalty units in the

case of a body corporate to 6000 penalty units.

Clause 19 repeals section 113D(3) of the Electricity Safety Act 1998 as a

consequence of the amendments made by clause 15 of this Bill,

which will require a revised electricity safety management

scheme to be submitted to Energy Safe Victoria every 5 years

despite any other revisions that may be made to it under

sections 107 and 109. As such, section 113D(3) is no longer

applicable.

Clause 20 inserts a new Division 2B into Part 10 of the Electricity Safety

Act 1998. The new Division sets out the general duties that

apply to a declared owner or operator and the requirements for

declared owners and operators relating to electricity safety

management schemes and bushfire mitigation plans.

New section 113G requires a declared owner or operator to

design, construct, operate, maintain and decommission its

declared installation to minimise as far as practicable—

• the hazards and risks to the safety of any person arising

from the installation; and

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• the hazards and risks of damage to the property of any

person arising from the installation; and

• the bushfire danger arising from the installation.

A person who contravenes new section 113G is liable to a

penalty not exceeding—

• in the case of a natural person, 1800 penalty units; or

• in the case of a body corporate, 9000 penalty units.

New section 113H provides that, subject to that section,

Division 2 of Part 10 of the Electricity Safety Act 1998 applies

to a declared owner or operator in respect of its declared

installation as if—

• a reference to a major electricity company were a

reference to a declared owner or operator; and

• a reference to a supply network were a reference to a

declared installation; and

• the reference in section 99(2)(b)(i) to duties under

Division 1 were a reference to duties under

section 113G; and

• the reference in section 113 to a duty or obligation set

out in Division 1 were a reference to a duty or

obligation set out in section 113G.

New section 113H(2) provides that, if a declared installation is in

operation immediately before the day on which a declaration

under section 3B takes effect in respect of that installation, the

electricity safety management scheme for that installation must

be submitted to Energy Safe Victoria before the first anniversary

of that day.

New section 113I(1) provides that Division 2A of Part 10 of the

Electricity Safety Act 1998 (except sections 113C and 113F)

applies to a declared owner or operator in respect of its declared

installation as if—

• a reference to a major electricity company were a

reference to a declared owner or operator; and

• a reference to a supply network were a reference to a

declared installation.

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New section 113I(2) provides that sections 83BC to 83BH apply

to the validation, acceptance, provisional acceptance,

non-acceptance and determination by Energy Safe Victoria of a

bushfire mitigation plan for a declared owner or operator in

respect of its declared installation as if—

• a reference to a specified operator were a reference to a

declared owner or operator; and

• a reference to an at-risk electric line were a reference to

a declared installation; and

• a reference to a bushfire mitigation plan submitted

under section 83BA were a reference to a bushfire

mitigation plan submitted under Division 2A.

New section 113J provides Energy Safe Victoria with a power to

exempt a declared owner or operator from compliance with—

• any regulations relating to the operation, maintenance or

decommissioning of its declared installation; or

• section 44(2), 45(1), (2) or (3) or 45A of the Electricity

Safety Act 1998.

Clause 21 amends section 116 of the Electricity Safety Act 1998 to enable

Energy Safe Victoria to permit an operator of a complex

electrical installation, in addition to an owner of a complex

electrical installation, to submit an electricity safety management

scheme in respect of the design, construction, operation,

maintenance and decommissioning of the complex electrical

installation.

Clause 22 amends section 117(2A) of the Electricity Safety Act 1998 to

provide that, if Energy Safe Victoria accepts an electricity safety

management scheme submitted under section 116 of that Act,

Energy Safe Victoria may exempt an operator of a complex

electrical installation to which the scheme applies, in addition to

an owner of a complex electrical installation, from compliance

with any of the regulations relating to the operation, maintenance,

and decommissioning of the complex electrical installation or

from compliance with section 44(2), 45(1), (2) or (3) or 45A of

the Act.

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Clause 23 amends the maximum penalty for offences under section 118(1),

(2) and (3) of the Electricity Safety Act 1998, to increase the

amount of 200 penalty units in the case of a natural person to

1200 penalty units and the amount of 1000 penalty units in the

case of a body corporate to 6000 penalty units.

Clause 24 substitutes section 119 of the Electricity Safety Act 1998 to

ensure that a voluntary electricity safety management scheme

operator prepares a revised electricity safety management scheme

every 5 years. A voluntary electricity safety management

scheme operator will be required to submit a revised electricity

safety management scheme, for a complex electrical installation

or electrical work to which an accepted electricity safety

management scheme applies, to Energy Safe Victoria at the end

of a review period.

For the purpose of section 119 relevant day is defined to mean

the day on which clause 24 of the Bill comes into operation and

review period is defined to mean—

• either—

• for an accepted ESMS in force immediately

before the relevant day, the period of 5 years

commencing on the day of its most recent

acceptance before the relevant day; or

• for any other accepted ESMS, the period of

5 years commencing on the day on which it is

first accepted; and

• every subsequent period of 5 years commencing on the

day after the day on which the previous period ends.

A voluntary electricity safety management scheme operator that

contravenes section 119(1) is liable to a penalty not exceeding—

• in the case of a natural person, 300 penalty units; or

• in the case of a body corporate, 1500 penalty units.

Clause 25 amends section 120(b), (c) and (d) of the Electricity Safety

Act 1998 to omit references to "significant". A voluntary

electricity safety management scheme operator will be required

to submit a revised electricity safety management scheme to

Energy Safe Victoria if—

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• a proposed modification to the supply network or

electrical installation will result in an increase in the

overall risk to the safety of any person or property

arising from the supply network or electrical

installation; or

• a proposed change to the electrical work to which the

electricity safety management scheme applies will result

in an increase in the overall levels of risk to the safety of

any person or property arising from electricity; or

• the voluntary electricity safety management scheme

operator proposes to make a change to the scheme.

Clause 26 amends section 120A(1)(c) of the Electricity Safety Act 1998 to

allow Energy Safe Victoria to request at any time a voluntary

electricity safety management scheme operator that is an operator

of a complex electrical installation to submit a revised electricity

safety management scheme for that installation.

Clause 27 amends the maximum penalty for an offence under section 120B

of the Electricity Safety Act 1998, to increase the amount of

80 penalty units in the case of a natural person to 300 penalty

units and the amount of 400 penalty units in the case of a body

corporate to 1500 penalty units.

Clause 28 substitutes section 120C(2)(b) of the Electricity Safety Act 1998

to allow a voluntary electricity safety management scheme

operator that is an operator of a complex electrical installation to

withdraw an accepted scheme applying to that installation.

Clause 29 amends the maximum penalty for an offence under section 120D

of the Electricity Safety Act 1998, to increase the amount of

200 penalty units in the case of a natural person to 1200 penalty

units and the amount of 1000 penalty units in the case of a body

corporate to 6000 penalty units.

Clause 30 amends the maximum penalty for an offence under section 120E

of the Electricity Safety Act 1998, to increase the amount of

200 penalty units in the case of a natural person to 1200 penalty

units and the amount of 1000 penalty units in the case of a body

corporate to 6000 penalty units.

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Clause 31 amends section 120F of the Electricity Safety Act 1998 to

require an operator of a complex electrical installation, in respect

of the complex electrical installation to which an electricity

safety management scheme applies, to minimise as far as

practicable the hazards and risks to the safety of any person and

the hazards and risks of damage to property arising from that

installation.

Subclause (3) amends the maximum penalty for an offence under

section 120F of the Electricity Safety Act 1998, to increase the

amount of 200 penalty units in the case of a natural person to

1200 penalty units and the amount of 1000 penalty units in the

case of a body corporate to 6000 penalty units.

Clause 32 amends section 120H(1)(a)(ii) of the Electricity Safety

Act 1998. This amendment will allow Energy Safe Victoria to

require an accepted electricity safety management scheme

operator to obtain an independent audit of the operator's

compliance with the accepted scheme where it applies to an

installation declared to be a declared installation under the new

section 3B to be inserted by clause 4 of this Bill.

Clause 33 amends section 120I(b) of the Electricity Safety Act 1998.

The amendment will allow Energy Safe Victoria to conduct, or

cause to be conducted, an audit to determine whether or not an

accepted electricity safety management scheme operator is

satisfactorily complying with the accepted scheme where it

applies to the operator's installation declared to be a declared

installation under the new section 3B.

Clause 34 amends section 126(2) of the Electricity Safety Act 1998 to

substitute the references to "14 days" with "60 days". The effect

of this amendment is that, if an enforcement officer seizes a thing

under section 125 of that Act and does not return the thing to the

person from whom it was seized within 60 days, the officer must

take reasonable steps to return it unless proceedings have

commenced and those proceedings (including any appeal) have

not been completed or a court makes an order under section 127

of the Act extending the period of 60 days.

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Clause 35 amends section 141(3) of the Electricity Safety Act 1998 to

include a declared owner or operator in the definition of relevant

person in that section. This means that Energy Safe Victoria will

be able to give directions under that section to a declared owner

or operator, in the same way that it can currently give directions

under that section to an electricity supplier or another person

supplying or licensed to supply or sell electricity.

This clause substitutes section 141AB(1) of the Electricity

Safety Act 1998 to allow Energy Safe Victoria to require, by

written notice, a person to give Energy Safe Victoria information

in the person's possession or control that Energy Safe Victoria

reasonably requires for the purpose of verifying—

• the performance of transmission companies in

complying with Divisions 1A, 2 and 4 of Part 8, and

Part 10 of that Act; or

• the performance of declared owners or operators in

complying with Part 10 of that Act.

This is in addition to Energy Safe Victoria's existing power under

that section to require information for the purpose of verifying

the performance of distribution companies in complying with

Divisions 1A, 2 and 4 of Part 8, and Part 10 of that Act.

Clause 37 inserts a new Division 1A into Part 12 of the Electricity Safety

Act 1998 to allow for Energy Safe Victoria to accept written

undertakings. New section 141D allows Energy Safe Victoria to

accept, by written notice, a written undertaking given by a person

in connection with a matter relating to a contravention or alleged

contravention by the person of the Electricity Safety Act 1988

or regulations made under that Act. A person may withdraw or

vary an undertaking with the written consent of Energy Safe

Victoria.

If a person who gives an undertaking accepted under new section

141D(1) contravenes that undertaking, that person is liable to a

penalty not exceeding—

• in the case of a natural person, 500 penalty units; or

• in the case of a body corporate, 2500 penalty units.

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Energy Safe Victoria must not commence a proceeding for an

offence against the Electricity Safety Act 1998 or regulations

made under that Act, constituted by a contravention or alleged

contravention to which an undertaking accepted by Energy Safe

Victoria relates, if the undertaking—

• is in effect and is being satisfied; or

• has been fully satisfied and discharged.

New section 141E provides that, if Energy Safe Victoria

considers that a person has contravened an undertaking given by

the person and accepted under section 141D, Energy Safe

Victoria may apply to the Magistrates' Court for an order under

subsection (2).

Subsection (2) provides that, if the Court is satisfied that a person

has contravened an undertaking given by the person and accepted

under section 141D, the Court may make—

• an order that the person comply with the undertaking or

take specified action to comply with the undertaking; or

• any other order that the Court considers appropriate.

Clause 38 inserts a new section 142(2A) into the Electricity Safety

Act 1998 to require a declared owner or operator, in addition to

an electricity supplier as currently provided under that Act, to

report to Energy Safe Victoria in accordance with the regulations

made under that Act any serious electrical incident which occurs

in relation to its declared installation. A declared owner or

operator that contravenes new section 142(2A) is liable to a

penalty not exceeding—

• in the case of a natural person, 300 penalty units; or

• in the case of a body corporate, 1500 penalty units.

Clause 39 inserts a new section 142A into the Electricity Safety Act 1998

to require an electricity supplier that is required to report a

serious electrical incident under section 142 of that Act to ensure,

subject to subsection (2), that the site of the incident is not

disturbed until an enforcement officer directs otherwise.

Subsection (2) provides exemptions to subsection (1), such that

an electricity supplier may disturb the site for the purpose of—

• protecting the health or safety of any person; or

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• aiding an injured person who was involved in the

incident; or

• taking action necessary to make the site safe or to

prevent a further serious electrical incident; or

• restoring supply of electricity.

An electricity supplier who contravenes new section 142A(1) is

liable to a penalty not exceeding—

• in the case of a natural person, 240 penalty units; or

• in the case of a body corporate, 1200 penalty units.

Clause 40 substitutes section 148A of the Electricity Safety Act 1998 to set

out the period within which proceedings for offences under the

Electricity Safety Act 1998 or regulations made under that Act

may be commenced. The amendment will allow Energy Safe

Victoria to commence a proceeding within 3 years after it

becomes aware of the commission of an alleged offence.

Currently, a proceeding may only be commenced within 3 years

after the alleged offence is committed. Energy Safe Victoria may

not become aware of an alleged offence until several years after

its alleged commission, in which case it is too late to commence a

proceeding.

Subsection (1) provides that, subject to subsection (2), despite

anything to the contrary in any Act (other than the Charter of

Human Rights and Responsibilities Act 2006)—

• Energy Safe Victoria may commence a proceeding for

an offence against the Electricity Safety Act 1998 or

regulations made under that Act within the period of

3 years after it becomes aware of the commission of the

alleged offence; and

• any other person may commence a proceeding for an

offence against the Electricity Safety Act 1998 or

regulations made under that Act within the period of

3 years after the commission of the alleged offence.

Subsection (2) prohibits Energy Safe Victoria from commencing

a proceeding for an offence against section 141D(3), or any other

offence against the Electricity Safety Act 1998 or the

regulations made under that Act constituted by a contravention or

alleged contravention to which an undertaking accepted under

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section 141D(1) relates, unless it does so within the period of

6 months after the day on which it—

• becomes aware that the undertaking has been

contravened; or

• consents to the withdrawal of the undertaking under

section 141D(2).

Part 3—Amendment of Gas Safety Act 1997

Clause 41 amends the maximum penalty for an offence under section 32 of

the Gas Safety Act 1997, to increase the amount of 300 penalty

units in the case of a natural person to 1800 penalty units and the

amount of 1500 penalty units in the case of a body corporate to

9000 penalty units.

Clause 42 amends the maximum penalty for offences under section 33(1)

and (2) of the Gas Safety Act 1997, to increase the amount of

300 penalty units in the case of a natural person to 1800 penalty

units and the amount of 1500 penalty units in the case of a body

corporate to 9000 penalty units.

Clause 43 amends the maximum penalty units for offences under

section 34(1) and (2) of the Gas Safety Act 1997, to increase the

amount of 300 penalty units in the case of a natural person to

1800 penalty units and the amount of 1500 penalty units in the

case of a body corporate to 9000 penalty units.

Clause 44 inserts a new section 36A into the Gas Safety Act 1997 to

require a gas company that is required to report a gas incident

under 36 to ensure, subject to new subsection (2), that the site of

the gas incident is not disturbed until an inspector directs

otherwise.

New section 36A(2) provides exemptions to the requirement not

to disturb the site of an incident, being for the purpose of—

• protecting the health or safety of any person; or

• aiding an injured person who was involved in the gas

incident; or

• taking action necessary to make the site safe or to

prevent a further gas incident; or

• restoring supply of gas.

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Clause 45 amends the maximum penalty for an offence under section 37(1)

of the Gas Safety Act 1997, to increase the amount of

300 penalty units in the case of a natural person to 600 penalty

units and the amount of 1500 penalty units in the case of a body

corporate to 3000 penalty units.

Clause 46 amends the maximum penalty for offences under section 44(1),

(2), (3) and (4) of the Gas Safety Act 1997, to increase the

amount of 300 penalty units in the case of a natural person to

1200 penalty units and the amount of 1500 penalty units in the

case of a body corporate to 6000 penalty units.

Subclause (2) amends section 44(4)(a) and (b) to omit references

to "significantly" and section 44(4)(c) to omit the reference to

"significant". As a result, a gas company will be required to

not—

• undertake or permit a modification of a facility that has

the potential to increase the overall levels of risk in

relation to a facility; or

• undertake or permit a modification that has the potential

to influence the level of a specific risk or the ranking of

risk contributing factors; or

• make or permit a change to the safety management

system in relation to the facility—

unless Energy Safe Victoria has accepted a revision of the safety

case in relation to that matter for that facility—

instead of the current requirements under the Gas Safety

Act 1997 to not undertake or permit a modification that has

potential to significantly increase the overall levels of risk in

relation to the facility or significantly influence the level of

specific risk or the ranking of the risk contributing factors or

make a significant change to the safety management of the

facility.

Clause 47 amends section 45(b) of the Gas Safety Act 1997 to omit the

reference to "significant increase" and substitute with "an

increase", amends section 45(c) to omit the reference to

"significantly" and amends section 45(d) to omit the reference to

"significant". In addition to other matters set out in section 45, a

gas company will be required to submit a revised safety case to

Energy Safe Victoria if—

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• proposed modifications of the facility will result in an

increase in the overall levels of risk in relation to the

facility; or

• a proposed modification of the facility may influence

the level of a specific risk or the ranking of risk

contributing factors; or

• the gas company proposes to make a change to the

safety management system in relation to the facility—

instead of the current requirements under the Gas Safety

Act 1997 to submit a revised safety case if the proposed

modifications of the facility would result in a significant increase

in the overall levels of risk in relation to the facility or would

significantly influence the level of specific risk or ranking of risk

contributing factors or the gas company proposes to make

significant changes to the safety management system.

Clause 48 substitutes section 46 of the Gas Safety Act 1997 to ensure that a

gas company prepares a revised safety case every 5 years after

the acceptance of a scheme under section 40 of that Act. A gas

company will be required to submit a revised safety case for a

facility of the company to Energy Safe Victoria at the end of a

review period.

For the purpose of section 46 a relevant day is defined to mean

the day on which clause 48 of this Bill comes into operation and

review period is defined to mean—

• either—

• for an accepted safety case in force immediately

before the relevant day, the period of 5 years

commencing on the day of its most recent

acceptance before the relevant day; or

• for any other accepted safety case, the period of

5 years commencing on the day on which it is

first accepted; and

• every subsequent period of 5 years commencing on the

day after the day on which the previous period ends.

20

A gas company that contravenes section 46 is liable to a penalty

not exceeding—

• in the case of a natural person, 300 penalty units.

• in the case of a body corporate, 1500 penalty units.

Clause 49 amends the maximum penalty for an offence under section 48 of

the Gas Safety Act 1997, to increase the amount of 80 penalty

units in the case of a natural person to 300 penalty units and the

amount of 400 penalty units in the case of a body corporate to

1500 penalty units.

Clause 50 amends the maximum penalty for offences under section 56(1),

(2) and (3) of the Gas Safety Act 1997, to increase the amount of

200 penalty units in the case of a natural person to 1200 penalty

units and the amount of 1000 penalty units in the case of a body

corporate to 6000 penalty units.

Clause 51 substitutes section 57 of the Gas Safety Act 1997 to ensure that

the operator prepares a revised safety case every 5 years after the

first safety case is accepted. An operator of a complex gas

installation or a manufacturer of a class of Type B appliances or a

class of complex gas installations, in respect of which an

accepted safety case applies under Division 3 of Part 3 of the Gas

Safety Act 1997 will be required to submit a revised safety case

to Energy Safe Victoria at the end of the review period.

For the purpose of section 57, relevant day is defined to mean the

day on which clause 51 of this Bill comes into operation and

review period is defined to mean—

• either—

• for an accepted safety case in force immediately

before the relevant day, the period of 5 years

commencing on the day of its most recent

acceptance before the relevant day; or

• for any other accepted safety case, the period of

5 years commencing on the day on which it is

first accepted; and

• every subsequent period of 5 years commencing on the

day after the day on which the previous period ends.

21

An operator of a complex gas installation or a manufacturer of a

class of Type B appliances or a class of complex gas installations

that contravenes section 57 is liable to a penalty not exceeding—

• in the case of a natural person, 300 penalty units.

• in the case of a body corporate, 1500 penalty units.

Clause 52 amends the maximum penalty for an offence under section 59 of

the Gas Safety Act 1997, to increase the amount of 80 penalty

units in the case of a natural person to 300 penalty units and the

amount of 400 penalty units in the case of a body corporate to

1500 penalty units.

Clause 53 amends the maximum penalty for an offence under section 61 of

the Gas Safety Act 1997, to increase the amount of 200 penalty

units in the case of a natural person to 1200 penalty units and the

amount of 1000 penalty units in the case of a body corporate to

6000 penalty units.

Clause 54 amends the maximum penalty for an offence under section 62 of

the Gas Safety Act 1997, to increase the amount of 200 penalty

units in the case of a natural person to 1200 penalty units and the

amount of 1000 penalty units in the case of a body corporate to

6000 penalty units.

Clause 55 amends the maximum penalty for an offence under section 63 of

the Gas Safety Act 1997, to increase the amount of 200 penalty

units in the case of a natural person to 1200 penalty units and the

amount of 1000 penalty units in the case of a body corporate to

6000 penalty units.

Clause 56 amends section 91(2) of the Gas Safety Act 1997 to substitute

the reference to "14 days" to "60 days". If an inspector seizes a

thing under section 90 of that Act, and does not return the thing

within 60 days the inspector must take reasonable steps to return

it unless proceedings have commenced and those proceedings

(including an appeal) have not been completed or a court makes

an order under section 92 of the Gas Safety Act 1997 extending

the period of 60 days.

22

Clause 57 inserts a new Division 1A into Part 6 of the Gas Safety Act 1997

to allow Energy Safe Victoria to accept written undertakings.

New section 109C allows Energy Safe Victoria to accept, by

written notice, a written undertaking given by a person in

connection with a matter relating to a contravention or alleged

contravention by the person of that Act or the regulations made

under that Act. A person may withdraw or vary an undertaking

with the written consent of Energy Safe Victoria.

If a person who gives an undertaking accepted under new

section 109C contravenes that undertaking, that person is liable

for a penalty not exceeding—

• in the case of a natural person, 500 penalty units;

• in the case of a body corporate, 2500 penalty units.

Energy Safe Victoria must not commence a proceeding for an

offence against the Gas Safety Act 1997 or regulations made

under that Act, constituted by a contravention or alleged

contravention to which an undertaking accepted under new

section 109C(1) relates, if the undertaking—

• is in effect and is being satisfied; or

• has been fully satisfied and discharged.

New section 109D provides that if Energy Safe Victoria

considers that a person has contravened an undertaking given by

the person and accepted under new section 109C(1), Energy Safe

Victoria may apply to the Magistrates' Court for an order under

subsection 109D(2).

Section 109D(2) provides that if the Court is satisfied that a

person has contravened an undertaking given by the person and

accepted under section 109C(1), the Court may make—

• an order that the person comply with the undertaking or

take specified action to comply with the undertaking; or

• any other order that the Court considers appropriate.

Clause 58 substitutes section 117AA of the Gas Safety Act 1997 to set out

the period within which proceedings for offences under that Act

or regulations made under that Act may be brought.

The amendment provides for Energy Safety Victoria to bring

proceedings after it becomes aware of the commission of an

alleged offence. Currently, a proceeding may only be brought

23

3 years after the commission of the alleged offence, which may

not become apparent for several years after the commission of

the alleged offence has occurred.

Section 117AA(1) provides that, subject to subsection (2),

despite anything to the contrary in any Act (other than the

Charter of Human Rights and Responsibilities Act 2006)—

• Energy Safe Victoria may commence a proceeding for

an offence against the Gas Safety Act 1997 or

regulations made under that Act within the period of

3 years after it becomes aware of the commission of the

alleged offence; and

• any other person may commence a proceeding for an

offence against the Gas Safety Act 1997 or regulations

made under that Act within the period of 3 years after

the commission of the alleged offence.

Energy Safe Victoria must not commence a proceeding for an

offence against section 109C(3) or any other offence against the

Gas Safety Act 1997 or the regulations constituted by a

contravention or alleged contravention to which an undertaking

accepted under section 109C(1) relates unless it does so within

the period of 6 months after the day on which it—

• becomes aware that the undertaking has been

contravened; or

• consents to the withdrawal of the undertaking under

section 109C(2).

Part 4—Amendment of Pipelines Act 2005

Clause 59 amends the maximum penalty for an offence under

section 100(1) of the Pipelines Act 2005, to increase the amount

of 240 penalty units in the case of a natural person to

1200 penalty units and the amount of 1200 penalty units in the

case of a body corporate to 6000 penalty units.

Clause 60 amends the maximum penalty for an offence under

section 101(2) of the Pipelines Act 2005, to increase the amount

of 240 penalty units in the case of a natural person to

1200 penalty units and the amount of 1200 penalty units in the

case of a body corporate to 6000 penalty units.

24

Clause 61 amends the maximum penalty for an offence under

section 102(3) of the Pipelines Act 2005, to increase the amount

of 240 penalty units in the case of a natural person to

1200 penalty units and the amount of 1200 penalty units in the

case of a body corporate to 6000 penalty units.

Clause 62 amends the maximum penalty for an offence under

section 103(2) of the Pipelines Act 2005, to increase the amount

of 240 penalty units in the case of a natural person to

1200 penalty units and the amount of 1200 penalty units in the

case of a body corporate to 6000 penalty units.

Clause 63 amends the maximum penalty for an offence under section 109 of

the Pipelines Act 2005, to increase the amount of 240 penalty

units in the case of a natural person to 1200 penalty units and the

amount of 1200 penalty units in the case of a body corporate to

6000 penalty units.

Clause 64 amends the maximum penalty for an offence under section 111 of

the Pipelines Act 2005, to increase the amount of 240 penalty

units in the case of a natural person to 1200 penalty units and the

amount of 1200 penalty units in the case of a body corporate to

6000 penalty units.

Clause 65 amends the maximum penalty for offences under section 114(3)

and (4) of the Pipelines Act 2005, to increase the amount of

240 penalty units in the case of a natural person to 300 penalty

units and the amount of 1200 penalty units in the case of a body

corporate to 1500 penalty units.

Clause 66 amends the maximum penalty for an offence under section

115(5) of the Pipelines Act 2005, to increase the amount of

240 penalty units in the case of a natural person to 1200 penalty

units and the amount of 1200 penalty units in the case of a body

corporate to 6000 penalty units.

Clause 67 amends the maximum units for an offence under section 124 of

the Pipelines Act 2005, to increase the amount of 240 penalty

units in the case of a natural person to 1800 penalty units and the

amount of 1200 penalty units in the case of a body corporate to

9000 penalty units.

25

Clause 68 amends the maximum penalty for an offence under section 127 of

the Pipelines Act 2005, to increase the amount of 240 penalty

units in the case of a natural person to 1200 penalty units and the

amount of 1200 penalty units in the case of a body corporate to

6000 penalty units.

Clause 69 amends the maximum penalty for an offence under section 129 of

the Pipelines Act 2005, to increase the amount of 240 penalty

units in the case of a natural person to 1200 penalty units and the

amount of 1200 penalty units in the case of a body corporate to

6000 penalty units.

Clause 70 amends the maximum penalty for an offence under section 132 of

the Pipelines Act 2005, to increase the amount of 60 penalty

units in the case of a natural person to 300 penalty units and the

amount of 240 penalty units in the case of a body corporate to

1500 penalty units.

Clause 71 amends the maximum penalty for an offence under section 134 of

the Pipelines Act 2005, to increase the amount of 240 penalty

units in the case of a natural person to 1200 penalty units and the

amount of 1200 penalty units in the case of a body corporate to

6000 penalty units.

Clause 72 amends the maximum penalty for an offence under section 136 of

the Pipelines Act 2005, to increase the amount of 240 penalty

units in the case of a natural person to 1200 penalty units and the

amount of 1200 penalty units in the case of a body corporate to

6000 penalty units.

Clause 73 amends the maximum penalty for an offence under section 139 of

the Pipelines Act 2005, to increase the amount of 60 penalty

units in the case of a natural person to 300 penalty units and the

amount of 240 penalty units in the case of a body corporate to

1500 penalty units.

Clause 74 inserts a new Division 1A into Part 11 of the Pipelines Act 2005

to allow for the Minister administering that Act to accept written

undertakings. New section 156A allows the Minister to accept,

by written notice, a written undertaking given by a person in

connection with a matter relating to a contravention or alleged

contravention by the person of the Pipelines Act 2005 or

regulations made under that Act. A person may withdraw or vary

an undertaking with the written consent of the Minister.

26

If a person who gives an undertaking accepted under new section

156A(1) contravenes that undertaking, that person is liable for a

penalty not exceeding—

• in the case of a natural person, 500 penalty units;

• in the case of a body corporate, 2500 penalty units.

The Minister must not commence a proceeding for an offence

against the Pipelines Act 2005 or regulations made under that

Act, constituted by a contravention or alleged contravention to

which an undertaking accepted under new section 156A(1)

relates, if the undertaking—

• is in effect and is being satisfied; or

• has been fully satisfied and discharged.

New section 156B provides that if the Minister considers that a

person has contravened an undertaking given by the person and

accepted under new section 156A(1), the Minister may apply to

the Magistrates' Court for an order under subsection 156B(2).

Section 156B(2) provides that if the Court is satisfied that a

person has contravened an undertaking given by the person and

accepted under section 156A(1), the Court may make—

• an order that the person comply with the undertaking or

take specified action to comply with the undertaking; or

• any other order that the Court considers appropriate.

Part 5—Repeal of this Act

Clause 75 provides for the automatic repeal of the Energy Legislation

Amendment (Energy Safety) Act 2023 on 16 May 2025.

The repeal of that Act does not affect the continuing operation of

the amendments made by it (see section 15(1) of the

Interpretation of Legislation Act 1984).