Savings and Transitional Rules
CHAPTER 11

11.	Savings and Transitional Rules
Part A	Definitions
For the purposes of this Chapter:
old clause 6A.7.4(f) means clause 6A.7.4(f) of the Rules (and all definitions in, and relevant provisions of, the Rules amended by the National Electricity Amendment (Economic Regulation of Network Service Providers) Rule 2012) as in force immediately prior to the commencement of Schedules 1 to 3 and 5 of the National Electricity Amendment (Economic Regulation of Network Service Providers) Rule 2012.
statement of regulatory intent means the relevant statement adopting values, methods and credit rating levels for Distribution Network Service Providers or for specified classes of Distribution Network Service Providers issued by the AER before the commencement of Schedules 1 to 3 and 5 of the National Electricity Amendment (Economic Regulation of Network Service Providers) Rule 2012.
submission guidelines mean the relevant guidelines made by the AER for the purposes of guiding a Transmission Network Service Provider in the submission of a Revenue Proposal under Part E of Chapter 6A before the commencement of Schedules 1 to 3 and 5 of the National Electricity Amendment (Economic Regulation of Network Service Providers) Rule 2012.
WACC means the relevant weighted average cost of capital being for a Network Service Provider for a regulatory control period, being the return on capital for that Network Service Provider for that regulatory control period calculated in accordance with Chapters 6 or 6A (as the case may be) before the commencement of Schedules 1 to 3 and 5 of the National Electricity Amendment (Economic Regulation of Network Service Providers) Rule 2012.
Part B	System Restart Ancillary Services (2006 amendments)
11.2	Rules consequent on making of the National Electricity Amendment (System Restart Ancillary Services and pricing under market suspension) Rule 2006
11.2.1	Transitional provision for acquisition of non-market ancillary services
(a)	For the purposes of clause 11.2.1:
Amending Rule means the National Electricity Amendment (System Restart Ancillary Services and pricing under market suspension) Rule 2006.
Existing NMAS contract means an ancillary services agreement between NEMMCO and another person to acquire non-market ancillary services from that person, entered into prior to the NMAS commencement date.
NMAS commencement date means the date of commencement of the National Electricity Amendment (System Restart Ancillary Services and pricing under market suspension) Rule 2006;
(b)	On the NMAS commencement date
(1)	Any action taken by NEMMCO or a Rules body prior to the NMAS commencement date in anticipation of the commencement of the Amending Rule is deemed to have been taken for the purpose of the Amending Rule and continues to have effect for that purpose.
(2)	NEMMCO may continue to acquire non-market ancillary services under an existing NMAS contract and may extend the period of an existing NMAS contract for such period as NEMMCO and that person reasonably determine.
(3)	At any time when no system restart standard under clause 8.8.1(a)(1a) is in force, NEMMCO must develop and publish an interim system restart standard that is:
(i)	consistent with the requirements in clause 8.8.3(aa); and
(ii)	approved by the Reliability Panel;
and the interim system restart standard applies until such time as the Reliability Panel determines a system restart standard.
11.3	[Deleted]
Part C	Dispute Resolution for Regulatory Test (2006 amendments)
11.4	Rules consequent on making of the National Electricity Amendment (Dispute Resolution for Regulatory Test) Rule 2006
11.4.1	Continuation of things done under old clause 5.6.6
(a)	For the purposes of clause 11.4.1:
amending Rule means the National Electricity Amendment (Dispute Resolution for Regulatory Test) Rule 2006
commencement date means the date of commencement of the amending Rule
new clause 5.6.6 means clause 5.6.6 after the commencement of the amending Rule
old clause 5.6.6 means clause 5.6.6 before the commencement of the amending Rule.
(b)	On the commencement date:
(1)	any dispute commenced under the old clause 5.6.6 and not completed before the commencement date, must continue to be conducted and completed as if it were a dispute commenced in accordance with the old clause 5.6.6.
(2)	Subject to clause 11.4.1(b)(1), any action taken under the old clause 5.6.6 is deemed to have been taken for the purposes of the corresponding requirement in the new clause 5.6.6 and continues to have effect for those purposes.
Part D	Metrology (2006 amendments)
11.5	Rules consequential on the making of the National Electricity Amendment (Metrology) Rule 2006
11.5.1	Definitions
For the purposes of this rule 11.5:
Amending Rule means the National Electricity Amendment (Metrology) Rule 2006.
commencement date means the day on which the Amending Rule commences operation.
old Chapter 7 means Chapter 7 of the Rules as in force immediately before the commencement date.
new Chapter 7 means Chapter 7 of the Rules as in force immediately after the commencement date.
11.5.2	Metrology procedures continues to apply until 31 December 2006
A metrology procedure as in force under the old Chapter 7 continues in force in accordance with the old Chapter 7 until 31 December 2006.
11.5.3	Responsible person
A Local Network Service Provider who is the responsible person for a metering installation under Chapter 9 of the Rules immediately before the commencement date continues to be the responsible person for that metering installation for the purposes of clause 7.2.3.
11.5.4	NEMMCO’s responsibility to develop a metrology procedure
(a)	Subject to this clause 11.5.4, NEMMCO must publish an initial metrology procedure by 1 January 2007 in accordance with the new Chapter 7 and this procedure must commence operation on 1 January 2007.
(b)	The requirement in clause 7.14.1(b) that requires a minimum period of 3 months between the date the metrology procedure is published and the date the metrology procedure commences does not apply to the initial metrology procedure developed and published under this clause 11.5.4.
(c)	Any action taken by NEMMCO for the purpose of developing and publishing an initial metrology procedure prior to the commencement date is taken to satisfy the equivalent actions required for a metrology procedure under the new Chapter 7.
(d)	NEMMCO may dispense with, or not comply with, any relevant action under rule 7.14, if the action duplicates or is consistent with action that has already been taken under paragraph (c).
(e)	An initial metrology procedure developed and published under this clause 11.5.4 is taken to be the metrology procedure for the purposes of Chapter 7 of the Rules.
(f)	The initial metrology procedure is not required to incorporate the matters referred to in clause 7.14.1(c)(4) until 30 June 2008 and NEMMCO may develop a separate procedure for those matters during that period to 30 June 2008.
11.5.5	Jurisdictional metrology material in the metrology procedure
(a)	For the purposes of this clause 11.5.5, expiry date means 1 January 2009.
(b)	Until the expiry date, the Ministers of the MCE is taken to be each Minister of the participating jurisdictions, acting on behalf of that jurisdiction and undertaking the role of the Ministers of the MCE in relation to jurisdictional metrology material under clause 7.14.2.
(c)	For the avoidance of doubt, a Minister of a participating jurisdiction may delegate the role of submitting jurisdictional metrology material to NEMMCO under paragraph (b) by instrument in writing.
(d)	A certified copy of any delegation given under paragraph (c) must be provided to NEMMCO at the time any jurisdictional metrology material is submitted to NEMMCO under clause 7.14.2.
Note:
Ministers of participating jurisdiction have powers of delegation under their own jurisdictional legislation governing the procedure for conferring such delegations.
Part E	Economic Regulation of Transmission Services (2006 amendments)
11.6	Rules consequent on making of the National Electricity Amendment (Economic Regulation of Transmission Services) Rule 2006
11.6.1	Definitions
Subject to this rule 11.6, in this rule 11.6:
Amending Rule 2006 means the National Electricity Amendment (Economic Regulation of Transmission Services) Rule 2006.
commencement date means the date on which the Amending Rule 2006 commences operation.
current regulatory control period means the regulatory control period applicable to an existing revenue determination.
distribution matters includes matters relating to the economic regulation of distribution services, including, but not limited to, existing determinations, decisions, instruments, agreements or any other relevant action.
ElectraNet means ElectraNet Pty Ltd ACN 094 482 416 trading as ElectraNet.
existing revenue determination means any determination made, or deemed to be made, by the ACCC or the AER on or prior to the commencement date for the purpose of regulating the revenues of a Transmission Network Service Provider.
first regulatory control period means a regulatory control period immediately after a current regulatory control period.
first revenue cap determination means the first revenue cap determination after an existing revenue cap determination.
new Chapter 6A means Chapter 6A of the Rules as in force immediately after the commencement of the Amending Rule 2006.
old Chapter 6 means Chapter 6 of the Rules as in force immediately before the commencement of the Amending Rule 2006.
old clause 6.5.9 means clause 6.5.9 of the Rules as in force immediately before the commencement of the Amending Rule 2006.
old Part C means Part C (Transmission Pricing) of Chapter 6 of the Rules as in force immediately before the commencement of the Amending Rule 2006.
old Part F means Part F (Interconnections) of Chapter 6 of the Rules as in force immediately before the commencement of the Amending Rule 2006.
relevant action includes (without limitation) any of the following actions in relation to distribution matters:
(a)	the performance or exercise of any function, power, obligation or right;
(b)	the making or publishing of any guideline, standard, procedure, report, negotiating framework or other document;
(c)	the giving, publishing, service or receipt of any communication, notice or other document;
(d)	the provision or receipt of any submission or information;
(e)	the making or receiving any inquiry, request or application;
(f)	the undertaking or completion of any transaction;
(g)	the payment of any monetary amount or fee.
renumbered Chapter 6 means Chapter 6 of the Rules as in force immediately after the commencement of the Amending Rule 2006.
SP AusNet means SPI PowerNet Pty Ltd ACN 079 798 173.
Statement of Regulatory Principles means the Statement of Principles published by the AER as part of the Compendium of Electricity Transmission Regulatory Guidelines dated August 2005.
VENCorp means the Victorian Energy Networks Corporation established under the Gas Industry Act 1994 (Vic) and continued under the Gas Industry Act 2001 (Vic).
11.6.2	New Chapter 6A does not affect existing revenue determinations
(a)	Subject to this rule 11.6, the old Chapter 6 continues to apply to and in respect of, existing revenue determinations as if the new Chapter 6A had not been made.
(b)	The Amending Rule 2006 has no effect on the continuing operation of clause 9.8.4G.
(c)	The Amending Rule 2006 has no effect on the continuing operation of clause 9.16.5 in so far as it:
(1)	applies to deem a revenue cap for the financial year commencing on 1 July 2004;
(2)	specifies the basis on which prices for certain transmission services during the financial year commencing on 1 July 2004 are to be determined;
(3)	specifies the manner in which clause 6.4.3C of the old Chapter 6 is to apply for the financial year commencing on 1 July 2005; and
(4)	deems a revenue cap for the period commencing on 1 July 2004 until the end of 30 June 2009 to be for a period of five years.
11.6.3	Old Part C and Schedules 6.2, 6.3, 6.4, 6.7 and 6.8 of old Chapter 6
Subject to this rule 11.6 and rule 11.8, old Part C (including Schedules 6.2, 6.3, 6.4, 6.7 and 6.8) continues to apply for the duration of a current regulatory control period.
11.6.4	Old Part F of Chapter 6
Subject to this rule 11.6, old Part F of Chapter 6 continues to apply for the duration of a current regulatory control period.
11.6.5	Application of new Chapter 6A to Transmission Network Service Providers
Subject to this rule 11.6, a Transmission Network Service Provider is not required to submit a Revenue Proposal or a proposed negotiating framework to the AER under the new Chapter 6A until a date that is 13 months before the expiry of a current regulatory control period.
11.6.6	Application of Chapter 6 to old distribution matters
(a)	The restructuring and renumbering of provisions of the old Chapter 6 by the Amending Rule 2006 does not affect:
(1)	distribution matters occurring or in existence before the commencement date; or
(2)	anything done or omitted to be done in respect of distribution matters before the commencement date.
(b)	Without limiting paragraph (a), anything done or omitted to be done under a provision of the old Chapter 6 in respect of distribution matters before the commencement date is deemed to have been done or omitted to be done under the corresponding provision of that Chapter as restructured and renumbered by the Amending Rule 2006, as if that Rule had been in operation when the thing was done or omitted to be done.
11.6.7	References to the old Chapter 6
Unless the context otherwise requires, on and from the commencement date every reference to the old Chapter 6 in a document (however described) is deemed to be a reference to the renumbered Chapter 6 or the new Chapter 6A (as the case may be).
11.6.8	References to provisions of the old Chapter 6
Unless the context otherwise requires, on and from the commencement date every reference to a provision of the old Chapter 6 in a document (however described) is deemed to be a reference to the corresponding provision of the renumbered Chapter 6 or the corresponding provision (if any) of the new Chapter 6A (as the case may be).
11.6.9	Roll forward of regulatory asset base for first regulatory control period
In making a revenue determination for the first regulatory control period, the value of the regulatory asset base at the beginning of the first regulatory year of that period calculated in accordance with clause S6A.2.1(f), may be adjusted having regard to an existing revenue determination and any other arrangements agreed between the AER and the Transmission Network Service Provider.
11.6.10	Other adjustment carry-over mechanisms from current to first regulatory control period
The maximum allowed revenue that a Transmission Network Service Provider may earn in any regulatory year of the first regulatory control period may be adjusted for any carry-over mechanisms provided for in the relevant existing revenue determination and in any other arrangements agreed between the AER and the Transmission Network Service Provider for the purposes of, and in accordance with, the existing revenue determination.
11.6.11	Clause consequent upon making National Electricity Amendment (Cost Allocation Arrangements for Transmission Services) Rule No 2009 No 3 - Transition to new Chapter 6A: existing prescribed connection services
Definitions
(a)	In this clause 11.6.11:
existing asset means an asset that as at 9 February 2006:
(1)	was used in connection with a transmission system where the value, or a portion of the value, of that asset was included in the regulatory asset base; or
(2)	was committed to be constructed for use in connection with a transmission system where the forecast value, or a portion of the forecast value, of that asset was included in the forecast capital expenditure,
for that transmission system under a revenue determination in force as at 9 February 2006.
For the purpose of this definition, an asset is, and is only, to be taken to be committed to be constructed if it satisfied the criteria which a project needed to satisfy to be a “committed project” for the purpose of the regulatory test in force as at 9 February 2006.
replacement asset means:
(1)	an asset which replaces an existing asset after 9 February 2006; or
(2)	an asset which replaces an asset referred to in this clause 11.6.11(a) after 9 February 2006.
For the purpose of this definition, an asset will be treated as replacing another asset even if it provides an increased or different functionality to the asset it replaces, provided that the increased or different functionality was not requested by the relevant Transmission Network User.
eligible asset means, subject to clause 11.6.11(d)(3):
(1)	an existing asset which was, immediately before the commencement date, or was or is, when first commissioned after the commencement date, wholly and exclusively used by a Transmission Network Service Provider to provide connection services to a Transmission Network User or a group of Transmission Network Users at a transmission network connection point; and
(2)	a replacement asset which is wholly and exclusively used after the commencement date by a Transmission Network Service Provider to continue providing connection services to a Transmission Network User or a group of Transmission Network Users at a transmission network connection point,
and excludes:
(3)	an existing asset or a replacement asset to the extent that it ceases to be used after the commencement date to provide connection services to a Transmission Network User or a group of Transmission Network Users at a transmission network connection point; and
(4)	an existing asset or replacement asset that, as at the 2009 commencement date, was wholly and exclusively used by a Transmission Network Service Provider to provide connection services to a Transmission Network User or a group of Transmission Network Users at a transmission network connection point but had all of its costs treated as directly attributable to, or incurred in providing, transmission use of system services at that date.
prescribed connection service means a connection service provided by a Transmission Network Service Provider to a Transmission Network User at a transmission network connection point on or after the 2009 commencement date in respect of which the following criteria are satisfied:
(1)	the relevant service is provided by using assets that include eligible assets;
(2)	the whole of the relevant service is being provided under a connection agreement which was first entered into before the commencement date (as extended, amended or novated from time to time);
(3)	the connection agreement has not at any time after the 2009 commencement date been amended at the request of the Transmission Network User for the purposes of altering the relevant service; and
(4)	the relevant service would not otherwise be a prescribed transmission service for the purposes of new Chapter 6A but for this clause 11.6.11.
If, at the date a Transmission Network Service Provider submits a Revenue Proposal after the 2009 commencement date to the AER under new Chapter 6A, a connection service does not satisfy each of the above criteria, then the connection service remains a prescribed connection service until the start of the next regulatory control period to which the Revenue Proposal relates, from which time it ceases to be a prescribed connection service.
2009 commencement date means the date on which the National Electricity Amendment (Cost Allocation Arrangements for Transmission Services) Rule 2009 commences operation.
Prescribed transmission services
(b)	References to prescribed transmission services in new Chapter 6A include prescribed connection services and, where a service is a prescribed transmission service by virtue of the operation of this clause 11.6.11, that service is taken not to be a negotiated transmission service.
Interaction with new Chapter 6A
(c)	For the purposes of new Chapter 6A:
(1)	the costs of the transmission system assets that from time to time may be treated as:
(i)	directly attributable to the provision of a prescribed connection service; or
(ii)	incurred in providing a prescribed connection service,
to a Transmission Network User or a group of Transmission Network Users at a transmission network connection point are limited to the costs of the eligible assets which, from time to time, provide that prescribed connection service;
(2)	any costs of an existing asset or a replacement asset (or of any portion of an existing asset or a replacement asset) that:
(i)	is not an eligible asset (other than as a result of clause 11.6.11(d)); and
(ii)	is used by a Transmission Network Service Provider to provide connection services to a Transmission Network User or a group of Transmission Network Users at a transmission network connection point,
must be treated as costs that are directly attributable to the provision of, or are incurred in providing, prescribed TUOS services and, to avoid doubt, the services provided by those assets which would otherwise be connection services are taken to be prescribed TUOS services; and
(3)	the stand-alone amount for prescribed TUOS services is taken to include any portion of the costs referred to in clause 11.6.11(c)(2) that has not been allocated under clause 6A.23.2(d)(1).
Cessation of prescribed connection services
(d)	If a connection service ceases to be a prescribed connection service at the start of a regulatory control period for the relevant Transmission Network Service Provider:
(1)	the connection service is taken to be a negotiated transmission service;
(2)	despite clause 6A.19.2(7), the costs which were allocated to the prescribed connection service may be reallocated to negotiated transmission services;
(3)	the eligible assets that previously provided the prescribed connection service cease to be eligible assets; and
(4)	despite clause S6A.2.3, the value of the eligible assets which previously provided the prescribed connection service may be removed from the regulatory asset base of the Transmission Network Service Provider.
11.6.12	Powerlink transitional provisions
Definitions
(a)	In this clause 11.6.12:
contingent project means a project identified in the transitional revenue determination as a contingent project.
Powerlink means the Queensland Electricity Transmission Corporation Limited (ACN 078 849 233), trading as Powerlink Queensland.
transitional regulatory control period means the regulatory control period commencing on 1 July 2007 and ending on 30 June 2012.
transitional revenue determination means a final revenue determination by the AER for the Powerlink transmission network, in respect of the transitional regulatory control period.
trigger means the unique investment driver identified in the transitional revenue determination as a trigger for a contingent project.
Scope and application
(b)	This clause 11.6.12:
(1)	applies only in respect of the Powerlink transmission network and applies only until 30 June 2012; and
(2)	prevails, to the extent of any inconsistency, over any other clause in the Rules.
Transitional revenue determination
(c)	Except as provided in this clause 11.6.12, and despite any changes to the old Chapter 6:
(1)	the old Chapter 6 continues to apply in respect of the AER setting the revenue cap for the transitional regulatory control period for the Powerlink transmission network; and
(2)	in setting the revenue cap for the transitional regulatory control period, the AER must substantially adhere to the Statement of Regulatory Principles including the ex ante approach to setting the revenue cap set out in the statement.
(d)	The AER must calculate the weighted average cost of capital for the transitional regulatory control period, in accordance with the values, methodologies or benchmarks in the new Chapter 6A, in respect of the following items:
(1)	the nominal risk free rate including the maturity period and source of the benchmark;
(2)	the debt risk premium including the maturity period and source of the benchmark;
(3)	the equity beta;
(4)	the market risk premium; and
(5)	the ratio of the market value of debt as a proportion of the market value of equity and debt.
(e)	In calculating the WACC for the transitional regulatory control period, the AER must use an average gamma of 0.5.
Contingent projects
(f)	Where the trigger event identified in respect of a contingent project occurs prior to 30 June 2012, the AER must, in accordance with the transitional revenue determination:
(1)	determine:
(i)	the amount of capital and incremental operating expenditure for that contingent project for each remaining regulatory year of the transitional regulatory control period, which the AER considers is reasonably required for the purpose of undertaking the contingent project;
(ii)	the likely commencement and completion dates for the contingent project;
(iii)	the incremental revenue which is likely to be earned by Powerlink in each remaining regulatory year of the transitional regulatory control period as a result of the contingent project being undertaken; and
(iv)	the maximum allowed revenue for each regulatory year in the remainder of the transitional regulatory control period by adding the incremental revenue for that regulatory year; and
(2)	calculate the estimate referred to in subparagraph (1)(iii):
(i)	on the basis of the rate of return for Powerlink for the transitional regulatory control period in accordance with the transitional revenue determination; and
(ii)	consistently with the manner in which depreciation is calculated under the transitional revenue determination; and
(3)	amend the transitional revenue determination to apply for the remainder of the transitional regulatory control period in accordance with paragraph (g).
(g)	The AER may only vary the transitional revenue determination to the extent necessary:
(1)	to adjust the forecast capital expenditure for the transitional regulatory control period to accommodate the amount of additional capital expenditure determined under paragraph (f)(1)(i);
(2)	to adjust the forecast operating expenditure for the current regulatory control period to accommodate the amount of additional operating expenditure determined under paragraph (f)(1)(i); and
(3)	to reflect the effect of any resultant increase in forecast capital expenditure and incremental operating expenditure on the maximum allowed revenue for each regulatory year in the remainder of the transitional regulatory control period.
(h)	An application for approval of a contingent project may only be made if the intended date for commencing the contingent project is during the transitional regulatory control period.
(i)	For the first regulatory control period after the transitional regulatory control period, the forecast of capital expenditure for that first regulatory control period must be determined by applying the provisions of clause 6A.6.7 of the new Chapter 6A, in respect of the capital expenditure for a contingent project, with such modifications as are necessary to properly apply clause 6A.6.7.
Cost pass-through
(j)	For the duration of the transitional regulatory control period:
(1)	subject to subparagraph (2), clause 6A.7.2 of the new Chapter 6A applies to a network support event under the transitional revenue determination;
(2)	the process to apply to the calculation, presentation and approval of pass through resulting from a network support event is as set out in the transitional revenue determination; and
(3)	in respect of any positive change event or negative change event, the new Chapter 6A applies, with any modifications that are necessary to apply the relevant provisions to the transitional revenue determination.
Roll forward of regulatory asset base
(k)	For the avoidance of doubt, in making a revenue determination for the first regulatory control period after the transitional regulatory control period, the value of the regulatory asset base at the beginning of the first regulatory year of that period calculated in accordance with clause S6A.2.1(f), may be adjusted having regard to the transitional revenue determination and any other arrangements agreed between the AER and Powerlink.
Application of efficiency benefit sharing scheme
(l)	The efficiency benefit sharing scheme in force under clause 6A.6.5 applies to Powerlink during the transitional regulatory control period.
Power to re-open transitional revenue determination
(m)	Clause 6A.7.1 applies to the transitional revenue determination, and a reference in the clause to:
(1)	revenue determination  is taken to be a reference to the transitional revenue determination;
(2)	regulatory control period  is taken to be a reference to the transitional regulatory control period;
(3)	contingent project  has the meaning referred to in paragraph (a); and
(4)	X Factor has the same meaning as in the transitional revenue determination.
(n)	Subject to rule 11.8, old Part C (including Schedules 6.2, 6.3, 6.4, 6.7 and 6.8 of old Chapter 6) continues to apply for the duration of the transitional regulatory control period
11.6.13	ElectraNet easements transitional provisions
(a)	In this clause 11.6.13:
current regulatory control period means the regulatory control period for ElectraNet commencing on 1 January 2003 and ending on 30 June 2008.
Determination means the South Australian Transmission Network Revenue Cap Decision of the ACCC dated 11 December 2002.
easement means easements referred to in the Determination.
(b)	Without limiting the operation of the new Chapter 6A, in establishing the opening regulatory asset base for ElectraNet for the regulatory control period subsequent to ElectraNet’s current regulatory control period, the AER may also consider adjustments to the regulatory asset base for ElectraNet that relate to easements, as agreed by letter dated 3 August 2004, between the ACCC and ElectraNet.
11.6.14	TransGrid contingent projects
(a)	In this clause 11.6.14:
contingent project means a project identified in the Determination as a contingent project.
current regulatory control period means the period 1 July 2004 to 30 June 2009.
Determination means the “Final Decision, NSW and ACT Transmission Network Revenue Cap TransGrid 2004-05 to 2008-09” dated 27 April 2005 determined by the ACCC pursuant to clause 6.2.4(b) of the National Electricity Code.
TransGrid means the energy services corporation constituted under section 6A of the Energy Services Corporations Act 1995 (NSW) and specified in Part 1A of Schedule 1 to that Act.
(b)	For the purposes of the application of clause 11.6.2(a) to the Determination, a reference to the old Chapter 6 is a reference to the old Chapter 6 as modified by rule 8A.1.
(c)	For the first regulatory control period after the current regulatory control period, the forecast of capital expenditure for TransGrid for that first regulatory control period must be determined by applying the provisions of clause 6A.6.7 in respect of the capital expenditure for a contingent project, with such modifications as are necessary to properly apply clause 6A.6.7.
11.6.15	Transmission determination includes existing revenue determinations
The definition of a transmission determination may, where the context so requires, include a determination (or substituted determination) made, or deemed to be made, by the AER or the ACCC prior to the commencement date.
11.6.16	References to regulatory control period
A reference to a regulatory control period may, where the context so requires, include a period during which a revenue cap applied by virtue of a determination (or substituted determination) made, or deemed to be made, by the AER or the ACCC prior to the commencement date.
11.6.17	Consultation procedure for first proposed guidelines
(a)	In this clause 11.6.17:
guideline means:
(1)	the post-tax revenue model referred to in rule 6A.5.2;
(2)	the roll forward model referred to in rule 6A.6.1;
(3)	an efficiency benefit sharing scheme referred to in rule 6A.6.5;
(4)	a service target performance incentive scheme referred to in rule 6A.7.4;
(5)	submission guidelines referred to in rule 6A.10.2; and
(6)	Cost Allocation Guidelines referred to in rule 6A.19.3.
(b)	The AER must develop and publish the first proposed guidelines on or before 31 January 2007, and may carry out consultation in the preparation of those proposed guidelines as the AER considers appropriate.
(c)	Each proposed guideline must be published in accordance with the requirements of rule 6A.20(b), including an explanatory statement and an invitation for written submissions.
(d)	The invitation for written submissions for the proposed guidelines must allow no less than 60 business days for the making of submissions.
(e)	The AER may publish papers and hold conferences or information sessions in relation to the proposed guidelines as provided by rule 6A.20(d).
(f)	Rule 6A.20(e)-(f) applies to the publication of the final decision of the AER in relation to the first guidelines, which must be published under rule 6A.20 on or before 30 September 2007.
11.6.18	Reliance on proposed guidelines for SP AusNet, VENCorp and ElectraNet
(a)	In this clause 11.6.18:
guideline has the same meaning as in clause 11.6.17.
proposed guideline means a proposed guideline published under clause 11.6.17.
relevant provider means SP AusNet, VENCorp or ElectraNet.
2008 determination means a transmission determination to be made in 2008 for a relevant provider.
(b)	For the purposes of making a 2008 determination for the regulatory control period to be covered by a 2008 determination, anything that must be done in accordance with a guideline must instead be done in accordance with the corresponding proposed guideline.
(c)	Unless sooner revoked, a proposed guideline ceases to have effect in relation to a relevant provider at the end of the regulatory control period covered by a 2008 determination applying to the provider. For the avoidance doubt, a proposed guideline does not apply to or in respect of the making of a subsequent transmission determination.
(d)	For the purposes of making a 2008 determination for the regulatory control period to be covered by a 2008 determination, a relevant provider is taken to have complied with a requirement to comply with a Cost Allocation Methodology under the new Chapter 6A if the AER is satisfied that the relevant provider has complied with the relevant proposed guideline for cost allocation referred to in clause 11.6.17(a)(6), but only until the AER has approved a Cost Allocation Methodology for that provider under clause 6A.19.4.
11.6.19	EnergyAustralia transitional provisions
(a)	In this clause 11.6.19:
contingent project means a project approved by the ACCC and identified in the Determination as a contingent project.
current regulatory control period means the period 1 July 2004 to 30 June 2009.
Determination means the “Final Decision, NSW and ACT Transmission Network Revenue Cap EnergyAustralia 2004-05 to 2008-09”.
EnergyAustralia means the energy services corporation constituted under section 7 of the Energy Services Corporations Act 1995 (NSW) and specified in Part 2 of Schedule 1 to that Act.
maximum allowed revenue means the maximum allowed revenue in the Determination.
trigger event means an event identified as a trigger in Appendix A of the Determination in respect of a contingent project.
triggered contingent project means the contingent project referred to in Appendix A of the Determination as “A.1 Replacement of Feeders 908/909”.
Application of Chapter 6A to Determination
(b)	Subject to paragraph (c), clauses 6A.7.1, 6A.7.2 and 6A.7.3 apply to the Determination from the commencement date.
(c)	In applying clause 6A.7.1 to the Determination, a reference in the clause to:
(1)	revenue determination is taken to be a reference to the Determination;
(2)	regulatory control period is taken to be a reference to the current regulatory control period;
(3)	contingent project has the meaning referred to in paragraph (a); and
(4)	X Factor has the same meaning as in the Determination.
Treatment of contingent projects
(d)	Where the trigger event identified in respect of a contingent project occurs prior to 1 July 2009, the AER must, in accordance with the Determination:
(1)	determine:
(i)	the total capital expenditure which the AER considers is reasonably required for the purpose of undertaking the contingent project including any amount for forecast capital expenditure already included in the Determination in respect of the triggered contingent project;
(ii)	the forecast capital and incremental operating expenditure for that contingent project (in addition to any amount for forecast capital expenditure already included in the Determination in respect of the triggered contingent project) for each remaining regulatory year of the current regulatory control period, which the AER considers is reasonably required for the purpose of undertaking the contingent project in accordance with Appendix A of the Determination;
(iii)	the likely commencement and completion dates for the contingent project;
(iv)	the incremental revenue which is likely to be earned by EnergyAustralia in each remaining regulatory year of the current regulatory control period as a result of the contingent project being undertaken; and
(v)	the maximum allowed revenue for each regulatory year in the remainder of the current regulatory control period by adding the incremental revenue for that regulatory year;
(2)	calculate the estimate referred to in subparagraph (1)(iv) in accordance with the Determination, including:
(i)	on the basis of the rate of return for EnergyAustralia for the current regulatory control period; and
(ii)	consistently with the manner in which depreciation is calculated under the Determination; and
(3)	vary the Determination to apply for the remainder of the current regulatory control period in accordance with paragraph (e).
(e)	The AER may only vary the Determination to the extent necessary:
(1)	to adjust the forecast capital expenditure for the current regulatory control period to accommodate the amount of additional capital expenditure determined under paragraph (d)(1)(ii); and
(2)	to adjust the forecast operating expenditure for the current regulatory control period to accommodate the amount of additional operating expenditure determined under paragraph (d)(1)(ii); and
(3)	to reflect the effect of any resultant increase in forecast capital expenditure and incremental operating expenditure on the maximum allowed revenue for each regulatory year in the remainder of the current regulatory control period.
(f)	The intended date for commencing the contingent project must be during the current regulatory control period.
(g)	For the first regulatory control period after the current regulatory control period, the forecast of capital expenditure for EnergyAustralia for that first regulatory control period must be determined by applying the provisions of clause 6A.6.7 in respect of the capital expenditure for a contingent project, with such modifications as are necessary to properly apply clause 6A.6.7.
11.6.20	Basslink transitional provisions
Definitions
(a)	In this clause 11.6.20:
Basslink has the meaning provided in the Electricity Supply Industry Act 1995 of Tasmania, and means the interconnection between the electricity grids of the States of Tasmania and Victoria by means of:
(1)	a high voltage, direct current, submarine cable across Bass Strait;
(2)	converter stations in those States;
(3)	direct current connecting lines to those converter stations;
(4)	alternating current transmission connections to the transmission networks of those States; and
(5)	related infrastructure.
previous regulatory approach means the methodologies, objectives and principles for determination of a regulatory asset base applied in the previous regulatory determinations.
previous regulatory determinations means the decision (including the reasons for decision) made under clause 2.5.2(c) of the National Electricity Code or clause 2.5.2(c) of the Rules (as the case may be):
(1)	by the ACCC, entitled the “Murraylink Transmission Company Application for Conversion and Maximum Allowable Revenue” dated 1 October 2003; and
(2)	by the AER, entitled “Directlink Joint Ventures’ Application for Conversion and Revenue Cap” dated 3 March 2006.
Application
(b)	Where, after the commencement date, a service provided by means of, or in connection with, the Basslink transmission system ceases to be classified as a market network service:
(1)	paragraph (c) applies to that service to the exclusion of clause 2.5.2(c); and
(2)	paragraphs (d),(e),(f) and (g) apply to that service to the exclusion of clause S6A.2.1(e)(1) and (2).
(c)	If, after the commencement date, a network service provided by means of, or in connection with, the Basslink transmission system ceases to be classified as a market network service, it may at the discretion of the AER be determined to be a prescribed transmission service, in which case the relevant total revenue cap may be adjusted in accordance with Chapter 6A and this clause 11.6.20 to include to an appropriate extent the relevant network elements which provide those network services.
(d)	Where services are determined to be prescribed transmission services as referred to in paragraph (c), the value of the regulatory asset base, as at the beginning of the first regulatory year of the first regulatory control period for which those prescribed transmission services are to be regulated under a revenue determination, is the amount that is determined by the AER in accordance with paragraphs (e), (f) and (g).
(e)	Subject to paragraph (f), the AER must determine the value of the regulatory asset base for the Basslink transmission system for the purposes of paragraph (d) by applying the previous regulatory approach to the circumstances of that transmission system.
(f)	In the event of an inconsistency between the previous regulatory approach adopted in each of the previous regulatory determinations, the approach adopted in a decision of the AER regarding the Directlink transmission system prevails over the approach adopted in the decision of the ACCC regarding the Murraylink transmission system to the extent of the inconsistency.
(g)	Without limiting paragraph (e), the AER must, when exercising any discretion in relation to the application of paragraph (e) above:
(1)	have regard to the prudent and efficient value of the assets that are used by the relevant Transmission Network Service Provider to provide those prescribed transmission services (but only to the extent that those assets are used to provide such services); and
(2)	for this purpose, determine that value having regard to the matters referred to in clause S6A.2.2.
11.6.21	SPI Powernet savings and transitional provision
Definitions
(a)	In this clause 11.6.21:
easements tax change event means a change in the amount of land tax that is payable by SPI PowerNet in respect of the easements which are used for the purposes of SPI PowerNet’s transmission network. For the purposes of this definition, the change in the amount of land tax that is payable by SPI PowerNet must be calculated as the difference between:
(1)	the amount of land tax that is payable in each regulatory year by SPI PowerNet, as advised by the Commissioner of State Revenue, Victoria; and
(2)	the amount of land tax which is forecast for the purposes of and included in the revenue determination for each regulatory year of the regulatory control period.
 Regulated owner and SPI PowerNet both have the meaning provided in clause 9.3.1(2) of the Rules.
Transition to new Chapter 6A: existing prescribed transmission services
(b)	Notwithstanding clause 11.5.11, references to prescribed transmission services in the new Chapter 6A include a service provided by an asset used in connection with, or committed to be constructed for use in connection with, a transmission system as at 9 February 2006, where that asset is the subject of an agreement between SPI PowerNet and any of:
(1)	VENCorp;
(2)	a Distributor;
(3)	a Regulated owner;
(4)	a Generator; or
(5)	a Market Network Service Provider,
and:
(6)	the agreement provides or contemplates that following an interim period the relevant asset will become subject to regulation under a revenue determination applicable to SPI PowerNet; and
(7)	in the case of an agreement with a Generator or a Market Network Service Provider, the service the subject of the agreement is for connection assets provided on a non-contestable basis.
Method of adjustment of value of regulatory asset base
(c)	For the avoidance of doubt, in adjusting the previous value of the regulatory asset base for SPI PowerNet’s transmission system as required by clause S6A.2.1(f), the previous value of the regulatory asset base must be increased by the amount of capital expenditure specified in, or that forms the basis of, agreements pursuant to which SPI PowerNet constructed assets during the previous regulatory control period used to provide prescribed transmission services, adjusted for outturn inflation and depreciation in accordance with the terms of those agreements.
(d)	For the purposes of a revenue determination for SPI PowerNet (including but not limited to, a 2008 determination as defined in clause 11.6.18(a)) and clause 6A.7.3, easements tax change event is deemed to be:
(1)	a pass through event; and
(2)	a positive change event or negative change event, as the case may be, whether or not the easements tax change event would be material for the purposes of those definitions.
11.6.22	Interim arrangements pricing-related information
(a)	Clause 6.2.5(a1) as in force immediately before the commencement date continues to apply during the current regulatory control period.
(b)	The information guidelines may, in addition to the matter referred to in clause 6A.17.2(e), require the inclusion in the certified annual statements of:
(1)	information on the amount of each instance, during the relevant reporting period, of any reduction in the prices payable by a Transmission Customer for prescribed transmission services provided by the Transmission Network Service Provider;
(2)	information on each instance, during the relevant reporting period, of a reduction in the prices payable by a Transmission Customer for prescribed transmission use of system services or prescribed common transmission services (or both) that were recovered from other Transmission Customers for prescribed transmission use of system services or prescribed common transmission services; and
(3)	information to substantiate any claim by the Transmission Network Service Provider that the information provided to the AER with respect to reductions in the prices payable by a Transmission Customer for the relevant prescribed transmission services under subparagraphs (2) or (3) is confidential information.
Part F	Reform of Regulatory Test Principles (2006 amendments)
11.7	Rules consequent on making of the National Electricity Amendment (Reform of the Regulatory Test Principles) Rule 2006
11.7.1	Definitions
For the purposes of this rule 11.7:
Amending Rule means the National Electricity Amendment (Reform of the Regulatory Test Principles) Rule 2006 No.19.
commencement date means the date on which the Amending Rule commences operation.
current application means any action taken or process commenced under the Rules, which relies on or is referenced to, the regulatory test, and is not completed as at the commencement date.
new clause 5.6.5A means clause 5.6.5A of the Rules as in force immediately after the commencement of the Amending Rule.
old clause 5.6.5A means clause 5.6.5A of the Rules as in force immediately before the commencement of the Amending Rule.
transitional application means any action taken or process commenced under the Rules, which relies on or is referenced to, the regulatory test and is not completed on 31 December 2007, or the date on which amendments (if any) to the regulatory test commence, whichever is the earlier.
11.7.2	Amending Rule does not affect old clause 5.6.5A
(a)	On the commencement date, the regulatory test promulgated by the AER in accordance with the old clause 5.6.5A and in effect immediately before the commencement date, continues in effect and is taken to be consistent with the new clause 5.6.5A until 31 December 2007.
(b)	Old clause 5.6.5A, and the regulatory test promulgated under that clause 5.6.5A, continues to apply to and in respect of, any current application and any transitional application.
Part G	Pricing of Prescribed Transmission Services (2006 amendments)
11.8	Rules consequent on making the National Electricity Amendment (Pricing of Prescribed Transmission Services) Rule 2006
11.8.1	Definitions
Subject to this rule 11.8, in this rule 11.8:
agreed interim requirements means interim requirements that are equivalent to the requirements of the pricing methodology guidelines referred to in rule 6A.25 and have been developed in consultation with the relevant providers for the purposes of a proposed 2008 pricing methodology.
ElectraNet means ElectraNet Pty Ltd ACN 094 482 416 trading as ElectraNet.
existing assets means transmission system assets in existence as at 24 August 2006.
previous regulatory determinations means the decision (including the reasons for decision) made under clause 2.5.2(c) of the National Electricity Code or clause 2.5.2(c) of the Rules (as the case may be):
(1)	by the ACCC, entitled the “Murraylink Transmission Company Application for Conversion and Maximum Allowable Revenue” dated 1 October 2003; and
(2)	by the AER, entitled “Directlink Joint Ventures’ Application for Conversion and Revenue Cap” dated 3 March 2006.
Pricing Rule commencement date means the date on which the National Electricity Amendment (Pricing of Prescribed Transmission Services) Rule 2006 commences operation.
relevant provider means SPAusNet, ElectraNet or VENCorp.
SPAusNet means SPI PowerNet Pty Ltd ACN 079 798 173.
2008 pricing methodology means a pricing methodology to be made in 2008 for a relevant provider.
VENCorp means the Victorian Energy Networks Corporation established under the Gas Industry Act 1994(Vic) and continued under the Gas Industry Act 2001(Vic).
11.8.2	Regulated interconnectors
(a)	All interconnectors that formed part of the power system in the participating jurisdictions as at 31 December 1997 continue to be taken to be regulated interconnectors.
(b)	All interconnectors that ceased to be classified as a market network service by a previous regulatory determination made before 28 December 2006 are taken to be regulated interconnectors.
(c)	All interconnectors that, by a decision made after 28 December 2006 under clause 2.5.2(c) of the Rules cease to be classified as a market network service are taken to be regulated interconnectors.
11.8.3	Application of new Part J of Chapter 6A to Transmission Network Service Providers
(a)	Subject to this rule 11.8, a Transmission Network Service Provider is not required to submit a proposed pricing methodology to the AER under the new Part J of Chapter 6A until a date that is 13 months before the expiry of a current regulatory control period.
(b)	For the purposes of this clause 11.8.3, the transitional regulatory control period referred to in rule 11.6.12 (a) for Powerlink is taken to be the current regulatory control period.
11.8.4	Reliance on agreed interim guideline for ElectraNet, SPAusNet, and VenCorp
For the purpose of making a 2008 pricing methodology, anything that must be done in accordance with the pricing methodology guidelines must instead be done in accordance with the agreed interim requirements.
11.8.5	Prudent discounts under existing agreements
(a)	A Transmission Network Service Provider may continue to recover discounts arising as a result of agreements that were entered into prior to 10 October 2001 so long as the agreement remains in effect and its terms are not renegotiated.
(b)	A Transmission Network Service Provider may continue to recover discounts arising as a result of agreements that were entered into prior to 28 December 2006 so long as the agreement remains in effect and its terms are not renegotiated.
(c)	The AER is not required to re-approve discounts arising under paragraphs (a) or (b) that were approved prior to 28 December 2006, and any approval for the recovery of such discounts is valid so long as the agreement between the Transmission Network Service Provider and the Transmission Customer remains in effect and its terms are not renegotiated.
11.8.6	Application of prudent discounts regime under rule 6A.26
(a)	Despite clause 11.6.3, a Transmission Network Service Provider may apply rule 6A.26 during a current regulatory control period (as defined in clause 11.6.1).
(b)	Where a Transmission Network Service Provider applies to the AER under clause 6A.26.2 for approval to recover a proposed recovery amount in circumstances where paragraph (a) applies, the AER must make a determination in accordance with clause 6A.26.2 notwithstanding that there is no approved pricing methodology for that provider.
11.8.7	Prudent discounts pending approval of pricing methodology
(a)	This clause 11.8.7 applies where:
(1)	a Transmission Network Service Provider has submitted or resubmitted a proposed pricing methodology to the AER under clause 6A.10.1, 6A.11.2 or 6A.12.3;
(2)	the AER has not made a final decision approving or amending that methodology under rule 6A.13; and
(3)	a Transmission Customer requests the provider to charge lower prices for prescribed TUOS services or prescribed common transmission services than the prices determined in accordance with the provider’s pricing methodology as referred to in clause 6A.26.1(d).
(b)	Despite clause 6A.26.1, a Transmission Network Service Provider may agree to charge lower prices for prescribed TUOS services or prescribed common transmission services than the prices determined as referred to in clause 6A.26.1(d) in accordance with:
(1)	in the case where the AER has made a draft decision in which it proposes to approve a proposed pricing methodology, - that proposed pricing methodology; or
(2)	if subparagraph (1) does not apply, the pricing methodology most recently approved for that Transmission Network Service Provider prior to the proposed pricing methodology referred to in subparagraph (a)(1); or
(3)	if there is no a previously approved pricing methodology for that Transmission Network Service Provider, - the previous method used by the Transmission Network Service Provider to establish prices, however determined must be used in place of an approved pricing methodology.
(c)	Where a Transmission Network Service Provider applies to the AER under clause 6A.26.2 for approval to recover a proposed recovery amount in circumstances where paragraphs (a) and (b) apply, the AER must make a determination in accordance with clause 6A.26.2 notwithstanding that the reduced charges were agreed before a pricing methodology was approved.
(d)	The subsequent approval by the AER of a pricing methodology for a Transmission Network Service Provider does not require the provider to adjust, reverse or recompense any amounts to Transmission Customers in connection with charges for services established pursuant to this clause 11.8.7.
Part H	Reallocations (2007 amendments)
11.9	Rules consequent on the making of the National Electricity Amendment (Reallocations) Rule 2007
11.9.1	Definitions
For the purposes of this rule 11.9:
Amending Rule means the National Electricity Amendment (Reallocations) Rule 2007.
commencement date means the day on which the Amending Rule commences operation.
existing reallocation means a reallocation in place immediately before the commencement date.
new reallocation means a reallocation undertaken in accordance with the Rules after the date of publication of the reallocation procedures under clause 3.15.11A(d).
transitional reallocation means a reallocation in place immediately after the commencement date but prior to the date of publication of the reallocation procedures by NEMMCO under clause 3.15.11A(d).
11.9.2	Existing and transitional reallocations
(a)	Subject to paragraph (c), an existing reallocation is to be treated as if the Amending Rule had not been made.
(b)	Subject to paragraph (c), a transitional reallocation is to be treated as if the Amending Rule had not been made.
(c)	A Market Participant who is a party to an existing reallocation or a transitional reallocation may elect to have the reallocation treated as a new reallocation if the participant obtains the agreement of the Market Participant who is the other party to the reallocation.
Part I	Technical Standards for Wind Generation (2007 amendments)
11.10	Rules consequent on making of the National Electricity Amendment (Technical Standards for Wind Generation and other Generator Connections) Rule 2007
11.10.1	Definitions
Subject to this rule 11.10, in this rule 11.10:
Amending Rule means the National Electricity Amendment (Technical Standards for Wind Generation and other Generator Connections) Rule 2007.
commencement date means the date on which the Amending Rule commences operation.
new Chapter 5 means Chapter 5 of the Rules in force immediately after the commencement date.
old Chapter 5 means Chapter 5 of the Rules in force immediately prior to the commencement date.
11.10.2	Provision of information under S5.2.4 in registration application
(a)	Any requirements in the Amending Rule that require a person who is applying to be a Registered Participant to submit information in relation to clause S5.2.4 for the purposes of clause 2.9.2 does not apply to any person who has, in accordance with clause 2.9.1:
(1)	submitted an application to be registered as a Registered Participant;
(2)	commenced a process for submitting further information in relation to the application referred to in subparagraph (1); or
(3)	has submitted further information in relation to the application referred to in subparagraph (1),
and, at the commencement date, has not been registered by NEMMCO in accordance with clause 2.9.2 as a Registered Participant.
(b)	A person registered in accordance with this clause 11.10.2:
(1)	subject to subparagraph (2), is taken to be registered in accordance with the requirements of the Rules as amended by the Amending Rule; and
(2)	must submit all information required under clause S5.2.4 within six months of the commencement date.
11.10.3	Access standards made under the old Chapter 5
(a)	Any automatic access standard or negotiated access standard that applied to a generating unit or generating system under the old Chapter 5 continues to apply to that system or unit as if the Amending Rule had not been made.
(b)	Unless a Generator and a Network Service Provider otherwise agree, a negotiated access standard that is the subject of a negotiating process as at the commencement date, is to be negotiated in accordance with the old Chapter 5, as if the Amending Rule had not been made.
11.10.4	Modifications to plant by Generators
Unless the Generator and the relevant Network Service Provider otherwise agree, a Generator who at the commencement date has proposed to modify a plant and has commenced negotiations with a Network Service Provider under the old Chapter 5 is to continue the negotiating process in accordance with the old Chapter 5 as if the Amending Rule had not been made.
11.10.5	Technical Details to Support Application for Connection and Connection Agreement
(a)	Subject to paragraphs (b) and (c), any decision or action taken by NEMMCO for the purpose of developing and publishing an initial Generating System Design Data Sheet, an initial Generating System Setting Data Sheet and initial Generating System Model Guidelines under clause S5.5.7 prior to the commencement date has continuing effect as if the decision had been made or the action had been taken under the Amending Rule.
(b)	Pending the final publication of the Generating System Design Data Sheet and the Generating System Setting Data Sheet under clause S5.5.7:
(1)	schedule 5.5.1 of the Rules as in force immediately before the commencement date is taken to be the interim Generating System Design Data Sheet; and
(2)	schedule 5.5.2 of the Rules as in force immediately before the commencement date is taken to be the interim Generating System Setting Data Sheet.
(c)	The interim Generating System Design Data Sheet and interim Generating System Setting Data Sheet referred to in paragraph (b) continue in force until NEMMCO publishes the equivalent data sheet under S5.5.7 which must be no later than 29 February 2008.
11.10.6	Transitional arrangements for establishment of performance standards
For the purposes of the definition of performance requirement in clause 4.16.1, clauses S5.2.8 and S5.2.9 of the old Chapter 5 applies as if the Amending Rule had not been made.
11.10.7	Jurisdictional Derogations for Queensland
(a)	For the purposes of clause 9.37.12, clause S5.2.5.2(c) of the old Chapter 5 applies as if the Amending Rule had not been made.
(b)	For the purposes of clause 9.37.21, clause S5.2.5.13 of the old Chapter 5 applies as if the Amending Rule had not been made.
11.10A	Rules consequent on the making of the National Electricity Amendment (Central Dispatch and Integration of Wind and Other Intermittent Generation) Rule 2008
11.10A.1	Definitions
In this rule 11.10A:
Amending Rule means the National Electricity Amendment (Central Dispatch and Integration of Wind and Other Intermittent Generation) Rule 2008.
classified generating unit means a non-scheduled generating unit or scheduled generating unit immediately before the registration date that could be classified as a semi-scheduled generating unit immediately after the registration date.
commencement date means the date on which Schedule 2 of the Amending Rule commences operation.
committed project means a project that NEMMCO considers has been fully committed by the project proponent taking into account the following factors:
(a)	the project proponent's rights to land for the construction of the project;
(b)	whether contracts for the supply and construction of the project’s major plant or equipment, including contract provisions for project cancellation payments, have been executed;
(c)	the status of all planning and construction approvals and licences necessary for the commencement of construction of the project, including completed and approved environmental impact statements;
(d)	the level of commitment to financing arrangements for the project; and
(e)	whether project construction has commenced or a firm date has been set for it to commence.
initial ECM guidelines has the meaning given in clause 11.10A.8.
potential semi-scheduled generating unit means a generating unit that, at the time of registration of that unit under Chapter 2, could have been classified as a semi-scheduled generating unit in accordance with clause 2.2.7 and:
(a)	is listed in “Table 4.22: Committed NEM Wind Farms” of the 2007 statement of opportunities; or
(b)	is considered by NEMMCO to be a committed project as at 1 January 2008,
and, for the avoidance of doubt, does not include a classified generating unit.
registered generating unit means a generating unit which has had its classification as a semi-scheduled generating unit approved by NEMMCO on or after the registration date and before the commencement date.
registration date means the date on which Schedule 1 of the Amending Rule commences operation.
11.10A.2	Registration and reclassification of classified generating units
(a)	On and after the registration date, a Non-Scheduled Generator or Scheduled Generator with a classified generating unit will not be required to register as a Semi-Scheduled Generator and reclassify the classified generating unit as a semi-scheduled generating unit.
(b)	For a period of 2 years after the commencement date, a Generator who:
(1)	as at the commencement date has classified generating units; and
(2)	subsequently reclassifies those generating units as semi-scheduled generating units,
is not required to pay Participant fees in accordance with rule 2.11.
(c)	Classified generating units that are reclassified as semi-scheduled generating units after the registration date but prior to the commencement date are taken to be non-scheduled generating units or scheduled generating units (as the case may be) until the commencement date.
11.10A.3	Registered generating unit
(a)	Subject to paragraph (b) and clause 11.10A.4, until the commencement date, a registered generating unit is taken to be a non-scheduled generating unit for the purposes of the Rules.
(b)	A registered generating unit must meet the technical requirements for a semi-scheduled generating unit in schedule 5.2.
(c)	A registered generating unit that:
(1)	prior to the registration date is classified as a scheduled generating unit; and
(2)	on or after the registration date but prior to the commencement date is reclassified as a semi-scheduled generating unit,
is taken to continue to be a scheduled generating unit until the commencement date.
11.10A.4	Classification of potential semi-scheduled generating unit
(a)	On and after the registration date, a person may apply to NEMMCO to classify a potential semi-scheduled generating unit as:
(1)	a scheduled generating unit in accordance with clause 2.2.2; or
(2)	a non-scheduled generating unit in accordance with clause 2.2.3.
(b)	NEMMCO must treat an application received under paragraph (a) as:
(1)	in the case of an application referred to paragraph (a)(1), as an application to be classified as a scheduled generating unit; or
(2)	in the case of an application referred to in paragraph (a)(2), as an application to be classified as a non-scheduled generating unit.
(c)	In assessing an application referred to in paragraph (a)(2), NEMMCO must approve the classification if NEMMCO is satisfied that the output of the generating unit is intermittent even where the generating unit does not meet the requirements of clause 2.2.3(b)(1) or (2).
(d)	If an application for classification of a potential semi-scheduled generating unit made under this clause 11.10A.4 is approved by NEMMCO in accordance with clause 2.2.2 or, subject to paragraph (c), clause 2.2.3, the relevant unit is taken to be a scheduled generating unit or non-scheduled generating unit (as the case may be) for the purposes of the Rules.
11.10A.5	Participant fees
Until NEMMCO determines a structure of Participant fees under rule 2.11 which provides for Semi-Scheduled Generators, references to Scheduled Generators in NEMMCO’s “Structure of Participant Fees under rule 2.11 of the National Electricity Rules” publication dated 24 March 2006, will be taken to include Semi-Scheduled Generators.
11.10A.6	Timetable
(a)	NEMMCO must amend the timetable in accordance with clause 3.4.3(b) to take into account the Amending Rule with those amendments to take effect from the commencement date.
(b)	All actions taken by NEMMCO prior to the commencement date in anticipation of the commencement date to amend the timetable as required under paragraph (a) are taken to satisfy the equivalent action required under clause 3.4.3(b).
11.10A.7	Procedure for contribution factors for ancillary service transactions
(a)	NEMMCO must amend the procedure prepared by NEMMCO under clause 3.15.6A(k) in accordance with clause 3.15.6A(m) to take into account the Amending Rule with those amendments to take effect from the commencement date.
(b)	All actions taken by NEMMCO prior to the commencement date in anticipation of the commencement date to amend the procedure prepared by NEMMCO under clause 3.15.6A(k) as required under paragraph (a) are taken to satisfy the equivalent action under clause 3.15.6A(m).
11.10A.8	Guidelines for energy conversion model information
(a)	Subject to paragraph (b), for the purposes of clause 2.2.7(d) NEMMCO must publish guidelines by no later than the registration date setting out the information to be contained in energy conversion models (the initial ECM guidelines).
(b)	The initial ECM guidelines do not need to be prepared in consultation with Semi-Scheduled Generators. NEMMCO must replace the initial ECM guidelines as soon as reasonably practicable with guidelines described in clause 2.2.7(d) which have been prepared in consultation with Semi-Scheduled Generators and such other person that NEMMCO, acting reasonably, considers appropriate.
Part J	Cost Recovery of Localised Regulation Services (2007 amendments)
11.11	Rules consequent on making of the National Electricity Amendment (Cost Recovery of Localised Regulation Services) Rule 2007
11.11.1	Definitions
For the purposes of this rule 11.11:
Amending Rule means the National Electricity Amendment (Cost Recovery of Localised Regulation Services) Rule 2007.
commencement date means 1 January 2009.
11.11.2	Action taken by NEMMCO for the purposes of Amending Rule
(a)	Any action taken by NEMMCO prior to the commencement date for the purpose of amending the procedure prepared by NEMMCO under clause 3.15.6A(k) for the purpose of the Amending Rule is taken to have satisfied the equivalent action under the Rules.
(b)	Any action taken by NEMMCO prior to the commencement date to calculate the local market ancillary service requirement to include regulation services for the purposes of the Amending Rule is taken to have satisfied the equivalent action under the Rules.
11.12	[Deleted]
Part L	[Deleted]
Division 1	General Provisions
11.14	General provisions
11.14.1	Application of this Division
This Division has no application in relation to Victoria.
11.14.2	Definitions
amending rules means the National Electricity (Economic Regulation of Distribution Services) Amendment Rules 2007.
current Chapter 6 means Chapter 6 of these Rules as currently in force.
former Chapter 6 means Chapter 6 of these Rules as in force before the substitution of the current Chapter 6 by the amending rules.
jurisdictional pricing determination for a participating jurisdiction means a determination regulating distribution service pricing made by the Jurisdictional Regulator for the participating jurisdiction and in force immediately before the date of the relevant amendment.
new regulatory provisions means the provisions of current Chapter 6 or (if applicable) of later Divisions of this Part providing for the economic regulation of distribution services after the transitional regulatory period comes to an end.
old regulatory regime for a participating jurisdiction includes:
(a)	the jurisdictional pricing determination for the participating jurisdiction; and
(b)	the laws (including the former Chapter 6) governing the making, monitoring, administration and enforcement of the jurisdictional pricing determination;
(c)	any other determination, guideline, code or document (whatever its description) of a kind contemplated by the former Chapter 6 that was made for the participating jurisdiction by the relevant Jurisdictional Regulator and was in force immediately before the date of the relevant amendment;
(d)	any other obligation imposed by or under the former Chapter 6;
(e)	any power or function of the Jurisdictional Regulator under the former Chapter 6.
new regulatory regime means the system for the economic regulation of distribution services contemplated by the new regulatory provisions.
relevant amendment means the substitution of the current Chapter 6 for the former Chapter 6 by the amending rules.
transitional regulatory period for a participating jurisdiction means the regulatory control period for which the jurisdictional pricing determination for the relevant participating jurisdiction was made.
11.14.3	Preservation of old regulatory regime
(a)	Subject to this Part, a Distribution Network Service Provider who was providing distribution services in a participating jurisdiction at the date of the relevant amendment
(1)	remains subject to the old regulatory regime for the duration of the transitional regulatory period; and
(2)	does not become subject to the new regulatory regime until the end of the transitional regulatory period.
Examples:
1.	Reporting, monitoring and other compliance requirements continue under the old regulatory regime until the end of the transitional regulatory period and (subject to this Part) are unaffected by the new regulatory provisions.
2.	Price regulation continues under the old regulatory regime until the end of the transitional regulatory period and is unaffected by the new regulatory provisions.
3.	Prudential, billing and settlement issues are governed by rules 6.7 and 6.8 of former Chapter 6 and any applicable regulatory instruments (rather than Parts J and K of current Chapter 6).
4.	Access disputes are dealt with under the old regulatory regime (and cannot be notified under Part L of current Chapter 6).
(b)	However:
(1)	the new regulatory provisions govern the making of a distribution determination for the Distribution Network Service Provider at the end of the transitional regulatory period; and
(2)	in that respect the new regulatory provisions apply to a Distribution Network Service Provider who is still subject to the old regulatory regime as if the jurisdictional pricing determination were a distribution determination approaching the end of its regulatory control period.
11.14.4	Transfer of regulatory responsibility
(a)	The Minister for a participating jurisdiction may, during the course of the transitional regulatory period, transfer responsibility for the economic regulation of distribution services in the relevant jurisdiction from the Jurisdictional Regulator to the AER.
(b)	A Minister for a participating jurisdiction makes (or is taken to make) a transfer of regulatory responsibility under this clause:
(1)	by giving notice of the transfer to the Jurisdictional Regulator and the AER; or
(2)	if powers exist apart from this clause under the law of the participating jurisdiction to transfer regulatory responsibility from the Jurisdictional Regulator to the AER – by exercising those powers.
(c)	If the Minister makes a transfer of regulatory responsibility under this clause:
(1)	the AER is subrogated to the position of the Jurisdictional Regulator; and
(2)	the AER may therefore exercise powers and functions of the Jurisdictional Regulator (including legislative powers and functions) under the old regulatory regime; and
Note:
The AER may also use its powers (e.g. for information gathering) under the Law.
(3)	references to the Jurisdictional Regulator in a determination or other instrument (including a legislative instrument) related to the old regulatory regime will be read as references to the AER.
11.14.5	Special requirements with regard to ring fencing
(a)	The requirements of the old regulatory regime with regard to ring fencing (rule 6.12 of former Chapter 6 and related guidelines) apply to a Distribution Network Service Provider until the AER assumes regulatory responsibility at the end of the transitional regulatory period or on the earlier transfer of regulatory responsibility to the AER.
(b)	On the AER's assumption of regulatory responsibility, a Distribution Network Service Provider:
(1)	ceases to be subject to the requirements of the old regulatory regime with regard to ring fencing; and
(2)	becomes subject to the ring fencing requirements of the new regulatory regime; but
(3)	guidelines in force for a participating jurisdiction immediately before the AER's assumption of regulatory responsibility (transitional guidelines) continue in force for that jurisdiction subject to amendment, revocation or replacement by guidelines made under the new regulatory regime.
(c)	The transitional guidelines:
(1)	are taken to be guidelines made by the AER under the new regulatory regime; and
(2)	are to be construed as if references to a Jurisdictional Regulator were references to the AER.
(d)	A waiver granted, or additional ring fencing requirement imposed, by a Jurisdictional Regulator under the transitional guidelines continues in force under the transitional guidelines subject to variation or revocation by the AER.
11.14.6	Additional requirements with regard to cost allocation
(a)	Even though a Distribution Network Service Provider remains subject to the old regulatory regime, the provider is also subject, as from the date of the relevant amendment, to the requirements of Part F of the current Chapter 6 (Cost Allocation).
(b)	This clause applies only for the purposes of the next distribution determination for the Distribution Network Service Provider.
11.14.7	Construction of documents
To facilitate the transition from the old regulatory regime to the new regulatory regime, references in determinations and other documents to provisions of former Chapter 6 are to be read (where the context admits) to corresponding provisions of the current Chapter 6.
Part M	Economic Regulation of Distribution Services (2007 amendments)
Division 1	General Provisions
11.14	General provisions
11.14.1	Application of this Division
This Division has no application in relation to Victoria.
11.14.2	Definitions
amending rules means the National Electricity (Economic Regulation of Distribution Services) Amendment Rules 2007.
current Chapter 6 means Chapter 6 of these Rules as currently in force.
former Chapter 6 means Chapter 6 of these Rules as in force before the substitution of the current Chapter 6 by the amending rules.
jurisdictional pricing determination for a participating jurisdiction means a determination regulating distribution service pricing made by the Jurisdictional Regulator for the participating jurisdiction and in force immediately before the date of the relevant amendment.
new regulatory provisions means the provisions of current Chapter 6 or (if applicable) of later Divisions of this Part providing for the economic regulation of distribution services after the transitional regulatory period comes to an end.
old regulatory regime for a participating jurisdiction includes:
(a)	the jurisdictional pricing determination for the participating jurisdiction; and
(b)	the laws (including the former Chapter 6) governing the making, monitoring, administration and enforcement of the jurisdictional pricing determination;
(c)	any other determination, guideline, code or document (whatever its description) of a kind contemplated by the former Chapter 6 that was made for the participating jurisdiction by the relevant Jurisdictional Regulator and was in force immediately before the date of the relevant amendment;
(d)	any other obligation imposed by or under the former Chapter 6;
(e)	any power or function of the Jurisdictional Regulator under the former Chapter 6.
new regulatory regime means the system for the economic regulation of distribution services contemplated by the new regulatory provisions.
relevant amendment means the substitution of the current Chapter 6 for the former Chapter 6 by the amending rules.
transitional regulatory period for a participating jurisdiction means the regulatory control period for which the jurisdictional pricing determination for the relevant participating jurisdiction was made.
11.14.3	Preservation of old regulatory regime
(a)	Subject to this Part, a Distribution Network Service Provider who was providing distribution services in a participating jurisdiction at the date of the relevant amendment
(1)	remains subject to the old regulatory regime for the duration of the transitional regulatory period; and
(2)	does not become subject to the new regulatory regime until the end of the transitional regulatory period.
Examples:
1.	Reporting, monitoring and other compliance requirements continue under the old regulatory regime until the end of the transitional regulatory period and (subject to this Part) are unaffected by the new regulatory provisions.
2.	Price regulation continues under the old regulatory regime until the end of the transitional regulatory period and is unaffected by the new regulatory provisions.
3.	Prudential, billing and settlement issues are governed by rules 6.7 and 6.8 of former Chapter 6 and any applicable regulatory instruments (rather than Parts J and K of current Chapter 6).
4.	Access disputes are dealt with under the old regulatory regime (and cannot be notified under Part L of current Chapter 6).
(b)	However:
(1)	the new regulatory provisions govern the making of a distribution determination for the Distribution Network Service Provider at the end of the transitional regulatory period; and
(2)	in that respect the new regulatory provisions apply to a Distribution Network Service Provider who is still subject to the old regulatory regime as if the jurisdictional pricing determination were a distribution determination approaching the end of its regulatory control period.
11.14.4	Transfer of regulatory responsibility
(a)	The Minister for a participating jurisdiction may, during the course of the transitional regulatory period, transfer responsibility for the economic regulation of distribution services in the relevant jurisdiction from the Jurisdictional Regulator to the AER.
(b)	A Minister for a participating jurisdiction makes (or is taken to make) a transfer of regulatory responsibility under this clause:
(1)	by giving notice of the transfer to the Jurisdictional Regulator and the AER; or
(2)	if powers exist apart from this clause under the law of the participating jurisdiction to transfer regulatory responsibility from the Jurisdictional Regulator to the AER – by exercising those powers.
(c)	If the Minister makes a transfer of regulatory responsibility under this clause:
(1)	the AER is subrogated to the position of the Jurisdictional Regulator; and
(2)	the AER may therefore exercise powers and functions of the Jurisdictional Regulator (including legislative powers and functions) under the old regulatory regime; and
Note:
The AER may also use its powers (e.g. for information gathering) under the Law.
(3)	references to the Jurisdictional Regulator in a determination or other instrument (including a legislative instrument) related to the old regulatory regime will be read as references to the AER.
11.14.5	Special requirements with regard to ring fencing
(a)	The requirements of the old regulatory regime with regard to ring fencing (rule 6.12 of former Chapter 6 and related guidelines) apply to a Distribution Network Service Provider until the AER assumes regulatory responsibility at the end of the transitional regulatory period or on the earlier transfer of regulatory responsibility to the AER.
(b)	On the AER's assumption of regulatory responsibility, a Distribution Network Service Provider:
(1)	ceases to be subject to the requirements of the old regulatory regime with regard to ring fencing; and
(2)	becomes subject to the ring fencing requirements of the new regulatory regime; but
(3)	guidelines in force for a participating jurisdiction immediately before the AER's assumption of regulatory responsibility (transitional guidelines) continue in force for that jurisdiction subject to amendment, revocation or replacement by guidelines made under the new regulatory regime.
(c)	The transitional guidelines:
(1)	are taken to be guidelines made by the AER under the new regulatory regime; and
(2)	are to be construed as if references to a Jurisdictional Regulator were references to the AER.
(d)	A waiver granted, or additional ring fencing requirement imposed, by a Jurisdictional Regulator under the transitional guidelines continues in force under the transitional guidelines subject to variation or revocation by the AER.
11.14.6	Additional requirements with regard to cost allocation
(a)	Even though a Distribution Network Service Provider remains subject to the old regulatory regime, the provider is also subject, as from the date of the relevant amendment, to the requirements of Part F of the current Chapter 6 (Cost Allocation).
(b)	This clause applies only for the purposes of the next distribution determination for the Distribution Network Service Provider.
11.14.7	Construction of documents
To facilitate the transition from the old regulatory regime to the new regulatory regime, references in determinations and other documents to provisions of former Chapter 6 are to be read (where the context admits) to corresponding provisions of the current Chapter 6.
Division 2	[Deleted]
Division 3	Transitional arrangements for first distribution determination for Queensland Distribution Network Service Providers
11.16	Transitional arrangements for first distribution determination for Queensland Distribution Network Service Providers
11.16.1	Definitions
In this Division 3:
2005 determination means the Final Determination: Regulation of Electricity Distribution of the Queensland Competition Authority dated April 2005.
EDSD Review means the review by the Independent Panel appointed by the Queensland Government into Electricity Distribution and Service Delivery for the 21st Century which was established in March 2004 and reported in July 2004.
ENERGEX means Energex Limited A.C.N 078 849 055 and any successor business.
Ergon Energy means Ergon Energy Corporation Limited A.C.N. 087 646 062 and any successor business.
Queensland Competition Authority means the authority established by section 7 of the Queensland Competition Authority Act 1997 (Qld).
regulatory control period means the regulatory control period beginning 1 July 2010.
11.16.2	Application of Part to Queensland 2010 distribution determinations
The requirements of this Division 3 apply for the purposes of making a distribution determination for ENERGEX and Ergon Energy for the regulatory control period and modify the application of Chapter 6 of the Rules to the extent set out in this Division 3.
11.16.3	Treatment of the regulatory asset base
(a)	Nothing in Chapter 6 of the Rules requires ENERGEX or Ergon Energy to amend the approach allowed in the 2005 determination in relation to the treatment of standard control services and other services in the regulatory asset base for the regulatory control period.
(b)	The AER must accept the approach proposed by ENERGEX and Ergon Energy for the regulatory control period if it is consistent with the approach in the 2005 determination.
(c)	The AER must provide for any necessary adjustments or mechanisms in the distribution determination for the regulatory control period to prevent any cross-subsidies between standard control services and other distribution services.
Note:
The regulatory asset bases for Ergon Energy and ENERGEX are likely to include assets used to provide services which are not standard control services and accordingly the expected revenue for each year will need to be adjusted to avoid double recovery of those costs.
11.16.4	Efficiency Benefit Sharing Scheme
(a)	An efficiency benefit sharing scheme for ENERGEX and Ergon Energy for the regulatory control period must not cover efficiency gains and losses relating to capital expenditure.
(b)	For the purposes of clause 6.5.8(c) the AER must also have regard to the continuing obligations on ENERGEX and Ergon Energy throughout the regulatory control period to implement the recommendations from the EDSD Review adopted by the Queensland Government.
11.16.5	Service Target Performance Incentive Scheme
In formulating a service target performance incentive scheme to apply to ENERGEX and Ergon Energy for the regulatory control period, the AER, in addition to the requirements in clause 6.6.2(b), must also:
(1)	take into account the continuing obligations on ENERGEX and Ergon Energy throughout the regulatory control period to implement the recommendations from the EDSD Review adopted by the Queensland Government;
(2)	take into account the impact of severe weather events on service performance; and
(3)	consider whether the scheme should be applied by way of a paper trial or whether a lower powered incentive is appropriate.
11.16.6	Framework and approach
(a)	If either ENERGEX or Ergon Energy submits a proposal to the AER as to the classification of services and control mechanism for the regulatory control period on or before 31 March 2008, the AER must publish its framework and approach paper under clause 6.8.1 in relation to those issues within five months of receiving the proposal from ENERGEX or Ergon Energy (as the case may be).
(b)	This clause does not affect the timing or the processes of the AER in preparing and publishing its framework and approach paper on the remaining issues in clause 6.8.1 for ENERGEX or Ergon Energy if they submit a proposal under paragraph (a).
11.16.7	Regulatory Proposal
(a)	For the purposes of submitting a regulatory proposal under clause 6.8.2 for the regulatory control period, ENERGEX and Ergon Energy may, for the purposes of calculating indicative prices referred to in clause 6.8.2(c)(4) and including X factors for the purposes of clause 6.5.9, treat the proposed statement of regulatory intent published under clause 6.16(b)(1) as if it were the applicable statement of regulatory intent.
(b)	If the statement of regulatory intent differs materially from the proposed statement of regulatory intent, ENERGEX or Ergon Energy may revise its calculation of indicative prices and proposed X factors in its regulatory proposal on or before 1 July 2009.
(c)	The AER must publish any revised information submitted by ENERGEX or Ergon Energy under this clause.
11.16.8	Side constraints
For the regulatory control period, nothing in clause 6.18.6 should preclude the implementation of any price paths approved by the Queensland Competition Authority (including any necessary adjustment of those price paths in light of the expected revenue for the first regulatory year of the regulatory control period).
11.16.9	Cost pass throughs
(a)	If an event or circumstance occurs before 1 July 2010 which would constitute a pass through under the 2005 determination and no application for a pass through has been made in relation to that event or circumstance, ENERGEX or Ergon Energy may apply to the AER within a year of the event or circumstance occurring to accommodate the impact of the event in the regulatory control period.
(b)	The AER must allow a pass through of such amounts if the event or circumstance would have constituted a pass through under the 2005 determination as if the amounts were approved pass through amounts under clause 6.6.1.
11.16.10	Capital Contributions Policy
(a)	ENERGEX and Ergon Energy must comply with a capital contributions policy published under this clause 11.16.10 for the regulatory control period.
(b)	By 1 July 2009, ENERGEX and Ergon Energy must publish on their website a capital contributions policy based upon the requirements relating to capital contributions in their Network Pricing Principles Statements approved by the Queensland Competition Authority immediately in force prior to 1 July 2009.
(c)	The AER may by written notice, before 1 January 2010, direct ENERGEX or Ergon Energy to revise and republish their capital contributions policy within 15 business days of the notice only if the published policy does not give effect to the requirements relating to capital contributions in their Network Pricing Principles Statement.
(d)	After 1 January 2010, ENERGEX or Ergon Energy may apply to the AER to amend their published capital contributions policy and the AER may, after such consultation as it considers appropriate, approve or not approve that amendment.
Division 4	Transitional provisions of specific application to Victoria
11.17	Transitional provisions of specific application to Victoria
11.17.1	Definitions
In this Division:
AMI Order in Council means the Order in Council made by the Governor of Victoria under section 15A and section 46D of the Electricity Industry Act 2000 (Vic) and published in the Victoria Government Gazette on 28 August 2007 (and includes that Order in Council as amended from time to time).
ESC cost allocation guidelines means Electricity Industry Guideline No.3, Regulatory Information Requirements made by the ESC and dated 14 December 2006 (and includes those guidelines as amended from time to time).
ESC distribution pricing determination means the Victorian distribution pricing determination as defined in section 3(1) of the National Electricity (Victoria) Act 2005.
Victorian Distribution Network Service Provider means a Distribution Network Service Provider for a distribution network situated wholly or partly in Victoria.
11.17.2	Calculation of estimated cost of corporate income tax
(a)	This clause applies to the calculation of the estimated cost of corporate income tax for the purposes of distribution determinations that are to take effect on 1 January 2011 for Victorian Distribution Network Service Providers.
(b)	For calculating the estimated cost of corporate income tax, the AER must adopt:
(1)	the taxation values of assets carried over from the ESC distribution pricing determination; and
(2)	the classification of assets, and the method of classification, adopted for the ESC distribution pricing determination; and
(3)	the same method of depreciation as was adopted by the ESC for the ESC distribution pricing determination.
(c)	The AER may, however, depart from methods of asset classification or depreciation mentioned in paragraph (b)(2) or (3) to the extent required by changes in the taxation laws or rulings given by the Australian Taxation office.
(d)	A post-tax revenue model must be consistent with this clause.
11.17.3	Decisions made in the absence of a statement of regulatory intent
(a)	This clause applies if a Victorian Distribution Network Service Provider submits a building block proposal before the AER issues a statement of regulatory intent.
(b)	In deciding questions to which the considerations stated in clause 6.5.4(e) are relevant, the AER must have regard to those considerations.
11.17.4	Cost allocation guidelines
(a)	In formulating the Cost Allocation Guidelines under clause 6.15.3, the AER must include guidelines specifically applicable to Victorian Distribution Network Service Providers (the guidelines of specific application to Victoria).
(b)	The guidelines of specific application to Victoria:
(1)	must be formulated with regard to the ESC cost allocation guidelines; and
(2)	must be designed to ensure, to the maximum practicable extent, consistency between cost allocation as required by the ESC distribution pricing determination and cost allocation in later regulatory control periods.
11.17.5	Modification of requirements related to cost allocation method
(a)	Clause 6.15.4(a) applies to a Victorian Distribution Network Service Provider as if, instead of requiring submission of the provider's proposed Cost Allocation Method within 12 months after the commencement of Chapter 6, it required submission of the proposed Cost Allocation Method together with the first building block proposal to be submitted by the provider after the commencement of Chapter 6.
(b)	The references in clauses 6.5.6(b)(2) and 6.5.7(b)(2) to the Cost Allocation Method are, if paragraph (a) is applicable, to be read as references to the proposed Cost Allocation Method submitted with the building block proposal.
(c)	The AER must include in its framework and approach paper prepared for a Victorian Distribution Network Service Provider, in relation to the first building block proposal to be submitted by the provider after the commencement of Chapter 6, a statement of its likely approach to cost allocation based on the guidelines then in force.
(d)	The AER:
(1)	must, in deciding under clause 6.15.4(c) whether to approve a Cost Allocation Method submitted by a Victorian Distribution Network Service Provider, have regard to previous cost allocation in accordance with the ESC distribution pricing determination; and
(2)	must not approve the Cost Allocation Method unless it allows effective comparison of historical and forecast cost allocation between the period to which the ESC distribution pricing determination applies and later regulatory control periods; and
(3)	may, subject to the relevant Cost Allocation Guidelines, refuse to approve the Cost Allocation Method if it differs from the method previously used by the Victorian Distribution Network Service Provider.
11.17.6	AMI Order in Council
(a)	Metering services that are regulated under the AMI Order in Council are not, while so regulated, subject to regulation under a distribution determination but, on cessation of regulation under the AMI Order in Council, are liable to regulation under a distribution determination.
(b)	However, for a relevant regulatory control period, services to which exit fees under clause 7, or restoration fees under clause 8, of the AMI Order in Council applied are to be classified as alternative control services and are to be regulated by the AER on the same basis as applied under the AMI Order in Council.
(c)	For paragraph (b), a relevant regulatory control period is a regulatory control period commencing on or after 1 January 2016 and before 1 January 2021.
(d)	Until there is a transfer of regulatory responsibility from the ESC to the AER under a law of Victoria, clause 7.3.6(f) in its application to Victoria will be read as if it permitted the recovery of the costs to which it refers in accordance with a determination made either by the AER or by the ESC.
(e)	This clause expires on 1 January 2021.
Part N	Registration of Foreign Based Persons and Corporations as Trader Class Participants (2007 amendments)
11.18	Rules consequential on the making of the National Electricity Amendment (Registration of Foreign Based Persons and Corporations as Trader Class Participants) Rule 2007
11.18.1	Definitions
For the purposes of this rule 11.18:
Amending Rule means the National Electricity Amendment (Registration of Foreign Based Persons and Corporations as Trader Class Participants) Rule 2007.
commencement date means the day on which the Amending Rule commences operation.
11.18.2	Auction rules
(a)	NEMMCO must amend the auction rules by 1 September 2008 in accordance with clause 3.18.3 to incorporate the amendments to the Rules made by the Amending Rule.
(b)	Any action taken by NEMMCO prior to the commencement date, in anticipation of the commencement date, to amend the auction rules for the purpose of the Amending Rule is taken to satisfy the equivalent action under clause 3.18.3.
Part O	Process for Region Change (2007 amendments)
11.19	Rules consequent on making of the National Electricity Amendment (Process for Region Change) Rule 2007
11.19.1	Definitions
Amending Rule means the National Electricity Amendment (Process for Region Change) Rule 2007.
commencement date means the day on which the Amending Rule commences operation.
old clause 3.5.5 means clause 3.5.5 of the Rules as in force immediately before the commencement date.
11.19.2	Regions Publication
The Regions Publication published by NEMMCO immediately before the commencement date in accordance with old clause 3.5.5 and clause 11.13.10 is taken to be the Regions Publication published by NEMMCO in accordance with clause 2A.1.3.
Part P	Integration of NEM Metrology Requirements
11.20	Rules consequential on the making of the National Electricity Amendment (Integration of NEM Metrology Requirements) Rule 2008
11.20.1	Definitions
For the purposes of this rule 11.20:
Amending Rule means the National Electricity Amendment (Integration of NEM Metrology Requirements) Rule 2008.
commencement date means the day on which the Amending Rule commences operation.
first-tier jurisdictional requirements publication means the publication published by NEMMCO in accordance with clause 11.20.6.
Minimalist Transitioning Approach has the same meaning as in the Queensland Electricity Industry Code.
new clause 7.3.1 means clause 7.3.1 of the Rules immediately after the commencement date.
Victorian first-tier load means a load in Victoria where the electricity flowing through the connection point is equal to, or greater than, 160 MWh per annum.
11.20.2	Metering installations for non-market generating units immediately prior to 30 June 2008
(a)	A metering installation for a non-market generating unit that was installed immediately prior to 30 June 2008 and complied with the applicable jurisdictional requirements for that installation on 30 June 2008 is taken to satisfy the requirements for metering installations for non-market generating units in new clause 7.3.1.
(b)	Where a metering installation for a non-market generating unit did not comply with the requirements referred to in paragraph (a), that installation must be repaired or replaced in accordance with the requirements of new clause 7.3.1.
(c)	The applicable jurisdictional requirements for metering installations for non-market generating units referred to in paragraph (a) must be referred to in the first-tier jurisdictional requirements publication.
11.20.3	First-tier load metering installations
(a)	Subject to clause 11.20.5, a first-tier load metering installation as at 30 June 2008 that complied with the applicable jurisdictional requirements for that installation as at that date is taken to comply with the Rules provided the metering installation continues to comply with the applicable jurisdictional requirements as at 30 June 2008.
(b)	A first-tier load metering installation that does not satisfy the requirements of paragraph (a) must be repaired or replaced in accordance with the Rules.
(c)	The applicable jurisdictional requirements referred to in paragraph (a) for first-tier load metering installations must be referred to in the first-tier jurisdictional requirements publication.
11.20.4	First-tier load metering installations in Victoria
(a)	Subject to paragraph (b) and despite the Rules, a Market Participant who is responsible for a Victorian first-tier load with a type 5 or type 6 metering installation immediately before the commencement date is taken to be the responsible person for that metering installation.
(b)	A Market Participant who is taken to be the responsible person for the metering installation referred to in paragraph (a) must ensure the metering installation meets the applicable jurisdictional requirements for that installation as referred to in the first-tier jurisdictional requirements publication in accordance with clause 11.20.3(c).
11.20.5	Minimalist Transitioning Approach in Queensland
For the duration of the Minimalist Transitioning Approach, clauses 7.2.3(i)(2), 7.2.5(b)(2), 7.2.5(d)(6) and 7.3.1(f) of the Rules do not apply in respect of a metering installation which:
(a)	is the responsibility of a Market Participant or responsible person who is operating under the Minimalist Transitioning Approach in Queensland; and
(b)	in accordance with the Market Settlement and Transfer Solution Procedures:
(1)	has a NMI classification of SMALL; and
(2)	the Local Network Service Provider has not received a valid request from a Market Customer for the NMI to be registered with NEMMCO.
11.20.6	First-tier jurisdictional requirements publication
(a)	NEMMCO must, in consultation with the participating jurisdictions, publish a document (‘first-tier jurisdictional requirements publication’) that lists the documents that contain the applicable jurisdictional requirements referred to in clauses 11.20.2, 11.20.3 and 11.20.4.
(b)	NEMMCO must publish the first-tier jurisdictional requirements publication by 30 June 2008.
11.20.7	Metrology procedure
(a)	NEMMCO must make the required amendments to the metrology procedure as a result of the Amending Rule by 31 July 2008.
(b)	All actions taken by NEMMCO prior to the commencement date to amend the metrology procedure in accordance with paragraph (a) are deemed to be valid as at the commencement date to the extent that those actions were taken in accordance with the relevant requirements of rule 7.14 (as though the Amending Rule was in force at the time that the action was taken).
(c)	The metrology procedure published in accordance with rule 7.14 immediately before the commencement date continues to apply as if the Amending Rule had not been made and until NEMMCO publishes the amended the metrology procedure in accordance with paragraph (a).
Part PA	Reliability Settings: Information Safety Net and Directions
11.21	Rules consequential on the making of the National Electricity Amendment (NEM Reliability Settings: Information Safety Net and Directions) Rule 2008
11.21.1	Definitions
In this rule 11.21:
Amending Rule means the National Electricity Amendment (NEM Reliability Settings: Information Safety Net and Directions) Rule 2008 No. 6.
Commencement date means the date the Amending Rule commences operation.
11.21.2	EAAP guidelines
All actions taken by NEMMCO prior to the commencement date in anticipation of the commencement date for the purposes of preparing and publishing the first EAAP guidelines as required by clause 3.7C(p) are taken to satisfy the equivalent actions required for EAAP guidelines under rule 3.7C.
11.21.3	[Deleted]
11.21.4	[Deleted]
11.21.5	Timetable
(a)	NEMMCO must amend the timetable in accordance with clause 3.4.3(b) to take into account the Amending Rule and those amendments are to take effect from the commencement date.
(b)	All actions taken by NEMMCO prior to the commencement date in anticipation of the commencement date to amend the timetable as required by paragraph (a) are taken to satisfy the equivalent action required under clause 3.4.3(b).
11.21.6	Power system security and reliability standards
(a)	The Reliability Panel must amend the power system security and reliability standards in accordance with clause 8.8.3 to take into account the Amending Rule and those amendments are to take effect from the commencement date.
(b)	All actions taken by the Reliability Panel prior to the commencement date in anticipation of the commencement date to amend the power system security and reliability standards as required by paragraph (a) are taken to satisfy the equivalent action required under clause 8.8.3.
11.21.7	Report on statement of opportunities
All actions taken by NEMMCO prior to the commencement date in anticipation of the commencement date for the purposes of preparing and providing a report to the Reliability Panel as required by clause 3.13.3(u) are taken to satisfy the equivalent actions required for preparing and providing a report under clause 3.13.3(u).
11.21.8	Methodology for dispatch prices and ancillary services prices
Minor or administrative amendments made by NEMMCO to the methodology for determining dispatch prices and ancillary service prices developed in accordance with clause 3.9.3(e) prior to the commencement date are taken to have been made under clause 3.9.3(g).
Part Q	Regulatory Test Thresholds and Information Disclosure on Network Replacements
11.22	Rules consequential on the making of the National Electricity Amendment (Regulatory Test Thresholds and Information Disclosure on Network Replacements) Rule 2008
11.22.1	Definitions
In this rule 11.22:
amended definitions means the definitions of "new large transmission network asset" and "new small transmission network asset" as amended by the Amending Rule.
Amending Rule means the National Electricity Amendment (Regulatory Test Thresholds and Information Disclosure on Network Replacements) Rule 2008.
commencement date means the date on which the Amending Rule commences operation.
old definitions means the definitions of "new large transmission network asset" and "new small transmission network asset" as in force immediately before the commencement date.
11.22.2	Amending Rule does not affect existing regulatory test
The old definitions continue to apply in place of the amended definitions following the commencement date in respect of:
(a)	a new small transmission network asset for which a Transmission Network Service Provider has set out the matters required under clauses 5.6.2A(b)(4) and (5) in an Annual Planning Report published prior to the commencement date;
(b)	a new small transmission network asset not identified in an Annual Planning Report for which a Transmission Network Service Provider has published a report required under clause 5.6.6A(c) prior to the commencement date; and
(c)	a new large transmission network asset for which a Transmission Network Service Provider has taken an action or commenced a process under the Rules which relies on or is referenced to the Regulatory Test (such as publishing an application notice under clause 5.6.6(c)) that has not completed prior to the commencement date.
Part R	Performance Standard Compliance of Generators
11.23	Rules consequential on the making of the National Electricity Amendment (Performance Standards Compliance of Generators) Rule 2008
11.23.1	Definitions
For the purposes of this rule 11.23:
Amending Rule means the National Electricity Amendment (Performance Standards Compliance of Generators) Rule 2008.
Old Clause 5.7.3(b) means the clause 5.7.3(b) in the version of the Rules that was in force immediately prior to the commencement of the Amending Rule.
11.23.2	Application of rule 11.23 for compliance programs implemented immediately after the commencement of the Amending Rule
Registered Participants are not required to comply with the obligation set out in rule 4.15(b) until 3 months after the day on which the Reliability Panel published its initial template for generator compliance programs under clause 8.8.3 of the Rules or until a date determined by the Reliability Panel.
11.23.3	Application of rule 11.23 for compliance programs implemented immediately prior to the commencement of the Amending Rule
Registered Participants which implemented compliance programs under the Old Clause 5.7.3(b) must maintain compliance with those programs until 3 months after the day on which the Reliability Panel published its initial template for generator compliance programs under clause 8.8.3 of the Rules or until a date determined by the Reliability Panel.
11.23.4	Application of rule 11.23 for compliance programs not implemented immediately prior to the commencement of the Amending Rule
Registered Participants which have not implemented compliance programs under the Old Clause 5.7.3(b) must implement and maintain compliance programs under the Old Clause 5.7.3(b) until 3 months after the day on which the Reliability Panel published its initial template for generator compliance programs under clause 8.8.3 of the Rules or until a date determined by the Reliability Panel.
Part S	[Deleted]
Part U	Confidentiality Arrangements concerning Information required for Power System Studies
11.25	Rule consequential on the making of the National Electricity Amendment (Confidentiality Arrangements in Respect of Information Required for Power System Studies) Rule 2009
11.25.1	Definitions
For the purposes of rule 11.25:
Amending Rule means the National Electricity Amendment (Confidentiality Arrangements in Respect of Information Required for Power System Studies) Rule 2009.
Commencement date means the date on which the Amending Rule commences operation.
11.25.2	Transitional arrangements for the provision of information
(a)	A Generator must provide NEMMCO with a releasable user guide by 29 May 2009 or a date which NEMMCO considers to be reasonable in the circumstances but which must be no later than 27 November 2009, except in relation to the following information:
(1)	information provided to NEMMCO before 15 March 2007 that NEMMCO holds at the commencement date only to the extent that such information is of a type required in a releasable user guide and was authorized by the Rules to be released for the same purpose as intended by clause 3.13.3(l) as at the date that information was provided to NEMMCO; and
(2)	information provided to NEMMCO after 15 March 2007 only if the relevant Generator has provided to NEMMCO model source code under clause S5.2.4(b)(6), being the provider identified in clause 3.13.3(l2), and provides its written consent to NEMMCO for NEMMCO to use information that NEMMCO holds at the commencement date of a type required in a releasable user guide for the purposes of clause 3.13.3(l).
(b)	A person required under the Rules to register as a Generator in respect of a generating system comprised of generating units with a combined nameplate rating of 30 MW or more, must provide NEMMCO with a releasable user guide by 29 May 2009 or a date which NEMMCO considers to be reasonable in the circumstances but which must be no later than 27 November 2009, except in relation to the following information:
(1)	information provided to NEMMCO before 15 March 2007 that NEMMCO holds at the commencement date only to the extent that such information is of a type required in a releasable user guide and was authorized by the Rules to be released for the same purpose as intended by clause 3.13.3(l) as at the date that information was provided to NEMMCO; and
(2)	information provided to NEMMCO after 15 March 2007 only if the relevant person described in this paragraph as required under the Rules to register as a Generator, has provided to NEMMCO model source code under clause S5.2.4(b)(6), being the provider identified in clause 3.13.3(l2), and provides its written consent to NEMMCO for NEMMCO to use information that NEMMCO holds at the commencement date of a type required in a releasable user guide for the purposes of clause 3.13.3(l).
(c)	If a Generator provided to NEMMCO model source code under clause S5.2.4(b)(6) between 15 March 2007 and the commencement date:
(1)	it may provide to NEMMCO a substitute model source code in respect of its generating system in conjunction with a releasable user guide provided under rule 11.25.2(a); and
(2)	that substitute model source code will be taken to be the model source code provided under clause S5.2.4(b)(6) only if it complies with clause S5.2.4(c).
(d)	If a person required under the Rules to register as a Generator in respect of a generating system comprised of generating units with a combined nameplate rating of 30 MW or more, provided to NEMMCO model source code under clause S5.2.4(b)(6) between 15 March 2007 and the commencement date:
(1)	it may provide to NEMMCO a substitute model source code in respect of its generating system in conjunction with a releasable user guide provided under rule 11.25.2(b); and
(2)	that substitute model source code will be taken to be the model source code provided under clause S5.2.4(b)(6) only if it complies with clause S5.2.4(c).
(e)	Releasable user guide information provided to NEMMCO under clauses 11.25.2(a) and 11.25.2(b) is deemed to be releasable user guide information provided under clause S5.2.4(b)(8) and for the purposes of clause 3.13.3(l).
(f)	NEMMCO must implement any changes to its systems needed to comply with its obligations under the Amending Rule within 12 months of the commencement date.
Part V	WACC Reviews: Extension of Time
11.26	Rule consequential on the making of the National Electricity Amendment (WACC Reviews: Extension of Time) Rule 2009
11.26.1	Definitions
In this rule 11.26:
regulatory control period 2010-2015 means the regulatory control period commencing on 1 July 2010 in relation to Distribution Network Service Providers in South Australia and Queensland.
11.26.2	Extension of time to submit a regulatory proposal for the regulatory control period 2010-2015
(a)	This rule 11.26 applies to Distribution Network Service Providers in South Australia and Queensland.
(b)	Despite clause 6.8.2(b)(1), where a relevant Distribution Network Service Provider is required to submit a regulatory proposal for the regulatory control period 2010-2015 to the AER under clause 6.8.2(a), that regulatory proposal must be submitted by 1 July 2009.
Part W	National Transmission Statement
11.27	Rules consequent on the making of the National Electricity Amendment (National Transmission Statement) Rule 2009
11.27.1	Definitions
For the purposes of this rule 11.27:
Amending Rule 2009 means the National Electricity Amendment (National Transmission Statement) Rule 2009.
commencement date means the date on which the Amending Rule 2009 commences operation.
jurisdictional planning body means an entity nominated from time to time by the relevant Minister of a participating jurisdiction as having transmission system planning responsibility in that participating jurisdiction.
National Transmission Network Development Plan means the document that is to replace the Annual National Transmission Statement, the first of which is to be published by AEMO after 2009.
National Transmission Statement means the statement published by AEMO in accordance with clause 11.27.4.
National Transmission Statement review or NTS review means the review conducted by AEMO in accordance with clause 11.27.4.
11.27.2	Purpose
The purpose of this rule 11.27 is to require AEMO to publish a National Transmission Statement by 31 December 2009 in the place of an Annual National Transmission Statement for 2009. This will facilitate the efficient transition from the Annual National Transmission Statement in 2008 to the first National Transmission Network Development Plan to be published after 2009.
11.27.3	Application of rule 11.27
From the commencement date, rule 11.27 applies despite any other provision of the Rules (including any guideline or procedure made under the Rules) applicable to the ANTS review and publication of an Annual National Transmission Statement for 2009.
11.27.4	National Transmission Statement
(a)	AEMO must conduct a review of the following matters:
(1)	national transmission flow paths;
(2)	historical and forecast utilisation of national transmission flow paths;
(3)	historical and forecast constraints in respect of national transmission flow paths, including those identified in the Annual Planning Reports;
(4)	augmentations proposed by each Transmission Network Service Provider in their most recent Annual Planning Reports and the manner in which the proposed augmentations relate to the national transmission flow paths;
(5)	other network and non-network options identified during the consultation described in paragraph (b) and the manner in which the options relate to the national transmission flow paths,
(the NTS review) and prepare and publish the National Transmission Statement by 31 December 2009 setting out the results of the NTS review.
(b)	AEMO must, in carrying out the NTS review, consult with Registered Participants and interested parties in relation to:
(1)	the data and assumptions to be used as part of the review;
(2)	the potential options for addressing identified constraints impacting national transmission flow paths; and
(3)	the content of the National Transmission Statement.
(c)	In carrying out the NTS review, AEMO must consider the following matters:
(1)	the location of the current national transmission flow paths and the current capacities, constraints and congestion points on those flow paths;
(2)	the location of the potential national transmission flow paths over the next 20 years, and the likely capabilities, constraints and congestion points on those flow paths;
(3)	the quantity of electricity which flowed, the periods in which the electricity flowed, and constraints, on the national transmission flow paths over the previous financial year or such other period as determined by AEMO having regard to data which is available to AEMO;
(4)	the forecast quantity of electricity which is expected to flow, and the periods in which the electricity is expected to flow, the magnitude and significance of future network losses and constraints on the current and potential national transmission flow paths over the current financial year or such other period as determined by AEMO having regard to data which is available to AEMO;
(5)	the projected capabilities of the existing transmission network and the network control ancillary services required to support existing and future transmission network capabilities;
(6)	demand forecasts for the next 20 financial years;
(7)	possible scenarios for additional generation and demand side options to meet demand forecasts;
(8)	relevant intra-jurisdictional developments and any incremental works which may be needed to coordinate national transmission flow path planning with intra-jurisdictional planning;
(9)	the options for relieving forecast constraints on the national transmission flow paths identified in the Annual Planning Reports or through the consultation required under paragraph (b); and
(10)	such other matters as AEMO, in consultation with the participating jurisdictions, considers are appropriate.
(d)	In considering the matters described in paragraph (c), AEMO must have regard to:
(1)	the Annual Planning Reports published in 2009; and
(2)	information obtained for the purposes of preparing the statement of opportunities to be published in 2009;
and may include information from the Annual Planning Reports and the statement of opportunities in the National Transmission Statement.
(e)	In carrying out the NTS review, AEMO may seek the assistance of each jurisdictional planning body.
(f)	AEMO may by written notice request a jurisdictional planning body to provide AEMO with any additional information or documents reasonably available to it that AEMO reasonably requires for the purpose of the NTS review.
(g)	A jurisdictional planning body must comply with a written notice from AEMO issued under paragraph (f).
(h)	AEMO may only use information or documents provided in accordance with paragraphs (f) and (g) for the purpose of preparing the National Transmission Statement or, where relevant, the statement of opportunities to be published in 2009.
11.27.5	Scope and Content of National Transmission Network Development Plan
The National Transmission Statement must also identify the expected scope and content of the first National Transmission Network Development Plan.
11.27.6	Energy Adequacy Assessment Projection
Despite anything to the contrary in rule 3.7C, until the first National Transmission Network Development Plan is published, clause 3.7C(b)(6)(B) is to be taken as requiring the EAAP to take into account, where relevant, the matters AEMO is required to consider for the purposes of clause 11.27.4(c) in carrying out the NTS review.
11.27.7	Amendment to Last Resort Power
The National Transmission Statement is deemed to be an Annual National Transmission Statement for 2009 for the purposes of clause 5.6.4(g)(2).
11.27.8	Actions taken prior to commencement of Rule
Any relevant action taken by NEMMCO prior to the commencement date is taken to have been made or done in accordance with the Rules for the purpose of the Amending Rule 2009.
Part X	National Transmission Planning
11.28	Rules consequential on the making of the National Electricity (Australian Energy Market Operator) Amendment Rules 2009
11.28.1	Definitions
In this rule:
amending rules means the National Electricity (Australian Energy Market Operator) Amendment Rules 2009.
commencement date means the date Schedule 2 of the amending rules comes into operation.
new National Electricity Rules means the National Electricity Rules as in force after the commencement date.
old National Electricity Rules means the National Electricity Rules as in force before the commencement date.
11.28.2	Jurisdictional planning bodies and representatives
(a)	The former responsible planning entity for a participating jurisdiction is taken to be the jurisdictional planning body for the participating jurisdiction until the relevant Minister nominates a different entity under the new National Electricity Rules.
(b)	The representative from the former responsible planning entity for a participating jurisdiction who was a member of the Inter-regional Planning Committee immediately before the commencement date is taken to be the jurisdictional planning representative for that participating jurisdiction under the new National Electricity Rules until another person is nominated under the new National Electricity Rules.
(c)	This clause does not apply to a jurisdiction for which AEMO is the jurisdictional planning body.
(d)	In this clause:
former responsible planning entity for a participating jurisdiction means the entity that was treated, for the purposes of clause 5.6.3(b)(2) of the old National Electricity Rules, as having transmission system planning responsibility in the participating jurisdiction.
11.28.3	Criteria and guidelines published by Inter-regional Planning Committee
(a)	The old transmission network augmentation criteria continue in force, subject to revocation or variation by AEMO, as if they had been published by AEMO under clause 5.6.3(b) of the new National Electricity Rules.
(b)	The old inter-network test guidelines continue in force, subject to revocation or variation by AEMO, as if they had been published by AEMO under clause 5.7.7(k) of the new National Electricity Rules.
(c)	In this clause:
old inter-network test guidelines means guidelines for assisting Registered Participants to determine when an inter-network test may be required that were published by the Inter-regional Planning Committee under clause 5.7.7(k) of the old National Electricity Rules and were applicable immediately before the commencement date.
old transmission network augmentation criteria means criteria for assessing whether a proposed transmission network augmentation is reasonably likely to have a material inter-network impact that were published by the Inter-regional Planning Committee under clause 5.6.3(i) of the old National Electricity Rules and were applicable immediately before the commencement date.
11.28.4	Augmentation technical reports
If a request for an augmentation technical report was made under clause 5.6.3 of the old National Electricity Rules, but proceedings based on, or related to, the request had not been completed by the commencement date, the proceedings are to be continued and completed by AEMO as if anything done under the old National Electricity Rules had been done under the corresponding provisions of the new National Electricity Rules.
11.28.5	Last Resort Planning Power
For the purposes of clause 5.6.4(g)(2) of the new National Electricity Rules, a reference to an NTNDP extends to:
(1)	the National Transmission Statement published under clause 11.27.4;
(2)	an Annual National Transmission Statement published under clause 5.6.5 of the old National Electricity Rules .
11.28.6	Inter-network power system tests
(a)	Proceedings commenced before the commencement date under clause 5.7.7 of the old National Electricity Rules may be continued and completed under clause 5.7.7 of the new National Electricity Rules.
(b)	Anything validly done before the commencement date under clause 5.7.7 of the old National Electricity Rules is taken to have been validly done under the corresponding provision of clause 5.7.7 of the new National Electricity Rules.
11.28.7	Control and protection settings for equipment
(a)	A matter referred to the Inter-regional Planning Committee under clause 5.8.3(d) of the old National Electricity Rules that remained undecided at the commencement date must be decided by AEMO within 20 business days after the commencement date.
(b)	AEMO’s decision is final.
11.28.8	Revenue Proposals
Clauses 6A.6.6(e)(11) and 6A.6.7(e)(11) of the new National Electricity Rules only apply in respect of a Revenue Proposal submitted to the AER under clause 6A.10.1 of the new National Electricity Rules more than 20 business days after the commencement date.
Part Y	Regulatory Investment Test for Transmission
11.29	Rules consequent on making of the National Electricity Amendment (Regulatory Investment Test for Transmission) Rule 2009
11.29.1	Definitions
For the purposes of this rule 11.29:
Amending Rule means the National Electricity Amendment (Regulatory Investment Test for Transmission) Rule 2009.
commencement date means the date on which the Amending Rule commences operation.
current application means any action taken or process initiated under the Rules which relies on or is referenced to the regulatory test and is not completed as at 1 August 2010.
initiated means:
(a)	in respect of a new large transmission network asset (as defined under the Rules immediately prior to the commencement date), that an application notice has been made available in respect of that asset in accordance with the old clause 5.6.6(c);
(b)	in respect of a new small transmission network asset (as defined under the Rules immediately prior to the commencement date), that consultation has already commenced in respect of that asset in accordance with the old clause 5.6.6A(a).
new clauses 5.6.5B-E means clauses 5.6.5B-E of the Rules after the commencement date.
old clause 5.6.2A(b)(5) means clause 5.6.2A(b)(5) of the Rules (and all definitions in, and relevant provisions of, the Rules amended by the Amending Rule) as in force immediately before the commencement date.
old clause 5.6.5A means clause 5.6.5A of the Rules (and all definitions in, and relevant provisions of, the Rules amended by the Amending Rule) as in force immediately before the commencement date.
old clause 5.6.6 means clause 5.6.6 of the Rules (and all definitions in, and relevant provisions of, the Rules amended by the Amending Rule) as in force immediately before the commencement date.
old clause 5.6.6A means clause 5.6.6A of the Rules (and all definitions in, and relevant provisions of, the Rules amended by the Amending Rule) as in force immediately before the commencement date.
11.29.2	Period when Amending Rule applies to transmission investment
(a)	For the period from the commencement date to 1 August 2010:
(1)	new clauses 5.6.5B-E have no effect in respect of transmission investment; and
(2)	old clause 5.6.2A(b)(5), old clause 5.6.5A, old clause 5.6.6, old clause 5.6.6A and the regulatory test and regulatory test application guidelines promulgated from time to time under clause 5.6.5A, continue to apply in respect of transmission investment.
(b)	From 1 August 2010:
(1)	new clauses 5.6.5B-E will have effect in respect of transmission investment;
(2)	old clause 5.6.5A, old clause 5.6.6, old clause 5.6.6A, and the regulatory test and regulatory test application guidelines promulgated from time to time under clause 5.6.5A, continue to apply in respect of any current application; and
(3)	for the purposes of an Annual Planning Report published before 1 August 2010, old clause 5.6.2A(b)(5) applies to any current application in relation to a new small transmission network asset (as defined under the Rules immediately prior to the commencement date).
Part Z	Congestion Information Resource

11.30	Rules consequent on the making of the National Electricity Amendment (Congestion Information Resource) Rule 2009
11.30.1	Definitions
In this rule 11.30:
Amending Rule means the National Electricity Amendment (Congestion Information Resource) Rule 2009.
commencement date means the day on which the Amending Rule commences operation.
interim congestion information resource means the information resource developed and published in accordance with clause 11.30.2.
network outage schedule means a schedule developed by AEMO based on information received from Transmission Network Service Providers in accordance with rule 3.7A that lists the planned network outages on each transmission system for a period of up to two years in advance and that identifies the likelihood of each planned network outages proceeding following an assessment of forecast demand for the period of the planned network outages.
11.30.2	Interim congestion Information resource
(a)	Pending the development and publication of the congestion information resource under rule 3.7A, AEMO must develop an interim congestion information resource to implement the congestion information resource objective in accordance with this rule 11.30. For the avoidance of doubt, AEMO is not required to follow the Rules consultation procedures in developing the interim congestion information resource.
(b)	The interim congestion information resource must include:
(1)	the network outages schedule;
(2)	historical data on mis-pricing at transmission network nodes in the national electricity market;
(3)	the following information on network outages planned for the subsequent thirteen months that, in the reasonable opinion of the relevant Transmission Network Service Provider, will have or are likely to have a material effect on transfer capabilities:
(i)	details of the forecast timing and the factors affecting the timing of planned network outages and the likelihood that the planned timing will vary; and
(ii)	details of the reasons for the planned network outages, including the nature, and a description, of the works being carried out during the planned network outages, if any;
(4)	the following information on planned network outages referred to in subparagraph (3):
(i)	an assessment of the projected impact on intra-regional settlements residue¸ the accuracy of which must be appropriate to implement the congestion information resource objective; and
(i)	an assessment of the projected impact on inter-regional settlements residue, the accuracy of which must be appropriate to implement the congestion information resource objective;
(5)	any other information with respect to planned network outages referred in subparagraph (3) that AEMO considers relevant to implement the congestion information resource objective; and
(6)	any other information that AEMO, in its reasonable opinion, considers relevant to implement the congestion information resource objective.
(c)	Each month, in accordance with the timetable for the provision of information to medium term PASA, each Transmission Network Service Provider must provide to AEMO:
(1)	the information referred to in paragraphs (b)(3) and (b)(4); and
(2)	for the purposes of paragraph (b)(5), any other information with respect to the planned network outages referred to in paragraph (b)(3) that AEMO considers relevant to implement the congestion information resource objective.
(d)	By 1 March 2010, AEMO must publish the interim congestion information resource and amend the timetable taking into account the Amending Rule.
(e)	AEMO must determine the frequency of updating (whether in whole or in part) and publishing the information contained in the interim congestion information resource.
(f)	At intervals determined by AEMO under paragraph (e), AEMO must, in accordance with the timetable, update and publish the interim congestion information resource.
(g)	Transmission Network Service Providers must provide AEMO with such information as is requested by AEMO for inclusion in the interim congestion information resource in accordance with paragraph (b) and such information is to be provided to AEMO in a form which clearly identifies confidential information.
(h)	If there has been a material change to the information provided by a Transmission Network Service Provider under paragraph (g), the Transmission Network Service Provider must provide AEMO with the revised information as soon as practicable.
(i)	Information contained in the interim congestion information resource which has been provided by, or has been derived from information provided by, a Transmission Network Service Provider:
(1)	must represent the Transmission Network Service Provider’s current intentions and best estimates regarding planned network outages at the time the information is made available;
(2)	does not bind the Transmission Network Service Provider to comply with an advised outage program; and
(3)	may be subject to change due to unforeseen circumstances outside the control of the Transmission Network Service Provider.
(j)	AEMO must not publish confidential information as part of, or in connection with, the interim congestion information resource.
Part ZA	Reliability and emergency reserve trader (2009 amendments)
11.31	Rules consequent on the making of the National Electricity Amendment (Improved RERT Flexibility and Short-notice Reserve Contracts) Rule 2009

11.31.1	Definitions
For the purposes of this rule 11.31:
Amending Rule means the National Electricity Amendment (Improved RERT Flexibility and Short-notice Reserve Contracts) Rule 2009.
commencement date means the day on which the Amending Rule commences operation.
11.31.2	Purpose
The purpose of this rule 11.31 is to provide transitional arrangements to facilitate AEMO contracting for reserves in relation to long, medium and short notice situations to ensure reliability of supply and, where practicable, to maintain power system security.
11.31.3	Amendments to Reliability Panel's RERT Guidelines
(a)	Within two weeks of the commencement date, the Reliability Panel must, in respect of its RERT guidelines referred to in clause 3.20.8(c), develop and publish interim amendments with respect to matters relevant to AEMO contracting for reserves in relation to long, medium and short notice situations to ensure reliability of supply and, where practicable, to maintain power system security.
(b)	All relevant actions taken by the Reliability Panel up to two weeks after the commencement date for the purposes of developing and publishing the interim amendments to the RERT guidelines as required by paragraph (a) are taken to satisfy the equivalent actions required for the RERT guidelines under clause 3.20.8(b). For the avoidance of doubt, the Reliability Panel is not required to develop and publish the interim amendments to the RERT guidelines in accordance with clauses 8.8.3(d)-(l).
(c)	The interim amendments published under paragraph (a) will cease to apply when the Reliability Panel publishes amendments to its RERT guidelines in accordance with paragraph (d) of this clause but, for so long as they apply, references in rule 3.20 to the RERT guidelines are taken to include references to those interim amendments.
(d)	The Reliability Panel must, in respect of the RERT guidelines referred to in clause 3.20.8 and in accordance with that clause, develop and publish amendments by 30 June 2010 with respect to matters relevant to AEMO contracting for reserves in relation to long, medium and short notice situations as described in the RERT guidelines to ensure reliability of supply and, where practicable, to maintain power system security.
11.31.4	Amendments to AEMO's RERT procedures for exercising the RERT
(a)	Within four weeks of the commencement date, AEMO must, in respect of its procedures referred to in clause 3.20.7(e), develop and publish interim amendments with respect to measures to contract for reserves in relation to long, medium and short notice situations as described in interim amendments to the RERT guidelines published in accordance with clause 11.31.3(a), to ensure reliability of supply and, where practicable, to maintain power system security.
(b)	For the purposes of clause 11.31.4(a):
(1)	AEMO is not required to develop, publish or amend the interim amendments to its relevant procedures in accordance with the Rules consultation procedures;
(2)	the interim amendments to AEMO’s relevant procedures must take into account the RERT principles and interim amendments to the RERT guidelines referred to in paragraph (a);
(3)	the interim amendments to the relevant procedures will cease to apply when AEMO publishes amendments to its procedures for the exercise of the RERT as required by paragraph (c); and
(4)	for so long as those interim amendments to the relevant procedures apply, references in rule 3.20 to the procedures referred to in clause 3.20.7(e) are taken to include references to those interim amendments.
(c)	AEMO must, in respect of its procedures referred to in clause 3.20.7(e) and in accordance with that clause, develop and publish amendments by 30 November 2010, with respect to measures to contract for reserves in relation to long, medium and short notice situations, as described in amendments to the RERT guidelines published in accordance with clause 11.31.3(d), to ensure reliability of supply and, where practicable, to maintain power system security.
Part ZB	Early Application of Market Impact Parameters
11.32	Rules consequent on the making of the National Electricity Amendment (Early Implementation of Market Impact Parameters) Rule 2010
11.32.1	Definitions
For the purposes of this rule 11.32:
Amending Rule means the National Electricity (Early Implementation Market Impact Parameters) Rule 2010.
cap has the meaning given in the service target performance incentive scheme dated March 2008.
commencement date means the day on which the Amending Rule commences operation.
market impact component of the service target performance incentive scheme means the market impact component described in the service target performance incentive scheme dated March 2008.
financial incentive  has the meaning given in the service target performance incentive scheme dated March 2008.
performance target  has the meaning given in the service target performance incentive scheme dated March 2008.
Powerlink means the Queensland Electricity Transmission Corporation Limited (ACN 078 849 233), trading as Powerlink Queensland.
proposal means the proposal described in clause 11.32.3(d).
proposed start date  means a commencement date for the early application of the market impact component of the service target performance incentive scheme proposed by a Transmission Network Service Provider under clause 11.32.3(d).
start date  means the commencement date for the early application of the market impact component of the service target performance incentive scheme as decided by the AER under clause 11.32.3(l).
transitional regulatory control period  means, in respect of Powerlink, the regulatory control period commencing on 1 July 2007 and ending on 30 June 2012.
11.32.2	Purpose
The purpose of this rule 11.32 is to allow certain Transmission Network Service Providers to seek the earlier application of the market impact component of the service target performance incentive scheme from the AER than permitted under clause 6A.7.4(f).
11.32.3	Early application of the market impact component of the service target performance incentive scheme
(a)	The Amending Rule applies to a Transmission Network Service Provider which will be subject to the market impact component of the service target performance incentive scheme during its next regulatory control period:
(1)	for the regulatory control period which commenced before the commencement date and as at the commencement date, has not ended; or
(2)	in respect of Powerlink, for the transitional regulatory control period.
(b)	If the AER publishes a service target performance incentive scheme after the commencement date which is different to the service target performance incentive scheme dated March 2008, a Transmission Network Service Provider may not apply for the early application of the market impact component of the service target performance incentive scheme under the Amending Rule.
(c)	If Powerlink applies for the early application of the market impact component of the service target performance incentive scheme under the Amending Rule, the financial incentive under the market impact component of the service target performance incentive scheme must be calculated by the AER using the maximum allowed revenue set out in the AER's decision on Powerlink's transmission network revenue cap dated 14 June 2007, as amended by the AER in accordance with the Rules.
Submission of proposal
(d)	If a Transmission Network Service Provider seeks the earlier application of the market impact component of the service target performance incentive scheme than permitted under old clause 6A.7.4(f), the Transmission Network Service Provider must submit a proposal to the AER setting out:
(1)	its proposed start date;
(2)	if relevant, information on whether the Transmission Network Service Provider can apply the market impact component of the service target performance incentive scheme earlier than the proposed start date; and
(3)	the proposed values for a performance target and a cap in accordance with the relevant requirements of the market impact component of the service target performance incentive scheme.
(e)	A Transmission Network Service Provider's proposal under paragraph (d) must be submitted at least 80 business days prior to the proposed start date.
Preliminary examination and determinatino on compliance with relevant information requirements
(f)	If the AER receives a proposal under paragraph (d), it must:
(1)	make a determination on whether the proposal complies with the relevant information requirements of the submission guidelines in respect of the service target performance incentive scheme; and
(2)	notify the Transmission Network Service Provider of its determination within 10 business days after receiving the proposal.
(g)	A determination referred to in paragraph (f) must be accompanied by written reasons that set out, where applicable:
(1)	the respects in which the proposal does not comply with the relevant information requirements of the submission guidelines; and
(2)	the requirements that have not been complied with.
Revision of proposal
(h)	If the AER notifies a Transmission Network Service Provider that its proposal does not comply with the relevant information requirements of the submission guidelines in a determination under paragraph (f), the Transmission Network Service Provider:
(1)	must, within 10 business days after receiving that notice, submit a revised proposal in a form that complies with the relevant information requirements identified in that determination; and
(2)	may only make changes to its proposal under paragraph (d) to address the matters raised in the determination made under paragraph (f).
(i)	The AER must, as soon as practicable, publish on the AER’s website and make available for public inspection at the AER’s public offices:
(1)	the proposal, or any revised proposal, submitted under paragraphs (d) or (h), except to the extent that the submission guidelines provide that it will not be publicly disclosed, and, in that case, the relevant Transmission Network Service Provider has not otherwise consented; and
(2)	an invitation for written submissions from any person on the proposal or any revised proposal (as the case may be) within a period specified by the AER, being a period not less than 10 business days from the date of publication of the invitation for submissions.
(j)	Any person may make a written submission to the AER on the proposal, or any revised proposal, within the period specified in the invitation referred to in paragraph (i).
(k)	The AER may publish an issues paper examining the issues raised in connection with the proposal, or any revised proposal, at the same time as, or subsequent to, publication of the invitation to make submissions referred to in paragraph (i).
Making of final decision
(l)	Subject to rule 6A.16(a), the AER must consider the proposal, or any revised proposal, submitted under paragraphs (d) or (h), and any written submissions made on the proposal, or any revised proposal, in its final decision and must make a final decision in relation to the proposal, or any revised proposal.
(m)	The AER's final decision must be made in accordance with, and must comply with, the relevant requirements set out in paragraphs (n) - (s).
Requirements relating to final decision
(n)	A final decision under paragraph (l) is a decision by the AER on:
(1)	the start date; and
(2)	whether it approves or refuses to approve the proposed values for a performance target or a cap for the market impact component of the service target performance incentive scheme,
setting out reasons for the decision.
(o)	The AER may make a decision on a start date which is different to the proposed start date, provided the start date is not later than the proposed start date.
(p)	In making a decision on a start date, the AER must take into consideration any information provided by the Transmission Network Service Provider in its proposal, or revised proposal, on whether the Transmission Network Service Provider can apply the market impact component of the service target performance earlier than the proposed start date.
(q)	The AER must approve the proposed values for a performance target or a cap for the market impact component of the service target performance incentive scheme if it is satisfied that those values comply with the relevant requirements of the market impact component of the service target performance incentive scheme.
(r)	If the AER’s final decision is to refuse to approve the proposed values for a performance target or a cap for the market impact component of the service target performance incentive scheme, the AER must include in its final decision a substitute value which it reasonably considers will comply with the relevant requirements of the market impact component of the service target performance incentive scheme.
(s)	The market impact component of the service target performance incentive scheme will apply to the Transmission Network Service Provider who submitted a proposal under paragraph (d) from the start date.
Notice of final decision
(t)	The AER must, at least 1 business day before the start date, but not later than 20 business days before the proposed start date, publish:
(1)	notice of the making of the final decision; and
(2)	the final decision, including its reasons.
Part ZC	Transparency of operating data
11.33	Rules consequential on the making of National Electricity Amendment (Transparency of Operating Data) Rule 2010
11.33.1	Definitions
For the purposes of this rule 11.33:
Amending Rule means the National Electricity Amendment (Transparency of Operating Data) Rule 2010.
commencement date means the date the Amending rule commences operation.
11.33.2	Spot market operations timetable
(a)	Clause 3.4.3(b) does not apply to an amendment of the timetable made by AEMO in accordance with paragraph (b).
(b)	By no later than 9 months after the commencement date, AEMO must amend the then current timetable as follows:
(1)	in the row of the timetable that relates to the information publication requirements under clause 3.13.4(n), omit the bullet point item “Inter-regional flows;” from the column headed “EVENT”;
(2)	below the row in the timetable that relates to the information publication requirements under clause 3.13.4(n), insert the row in table 1;
(3)	in the row of the timetable that relates to the information publication requirements under clause 3.13.4(q), omit all the text from the column headed “EVENT” and substitute “Publish dispatched generation, dispatched network service, dispatched load for each scheduled generating unit, semi-scheduled generating unit, scheduled network service and scheduled load respectively. Publish application of semi-dispatch cap to each semi-scheduled generating unit”; and
(4)	omit the row of the timetable that relates to the information publication requirements under clause 3.13.4(r) and substitute the row in table 2.
(c)	Clause 3.4.3(c) applies to an amendment of the timetable made by AEMO in accordance with paragraph (b) as if the words "in accordance with paragraph (b)" in clause 3.4.3(c) were omitted and substituted with the words "in accordance with clause 11.32.2(b)".
Table 1:	

Day + 1	ASAP after start of trading day	Publish for Day 0, inter-regional flows	AEMO	Participants	Day 0	Daily	Half hourly resolution	3.13.4(n1)	

Table 2:	

Day 0	ASAP after start of dispatch interval	Publish actual generation of scheduled generating unit, semi-scheduled generating unit and non-scheduled generating unit or non-scheduled generating system.
Publish actual network service for scheduled network service.
Publish actual load for scheduled load.	AEMO	Public	Current dispatch interval	Every 5 minutes	The actual generation is measured at the beginning of each dispatch interval.	3.13.4(r)	

Part ZD	Cost Recovery for Other Services Directions
11.34	Rules consequent on making of the National Electricity Amendment (Cost Recovery for Other Services Directions) Rule 2010
11.34.1	Definitions
For the purposes of this rule 11.34:
Amending Rule means the National Electricity Amendment (Cost Recovery for Other Services Directions) Rule 2010.
commencement date means the date on which the Amending Rule commences operation.
current funding of compensation means any process initiated under the Rules or action taken which relies on or is referenced to old clause 3.15.7(d) or old clause 3.15.8(g) and is not completed by the commencement date.
new clause 3.15.7(d) means clause 3.15.7(d) of the Rules after the commencement date.
new clauses 3.15.7A(a1) and (a2) means clauses 3.15.7A(a1) and (a2) of the Rules after the commencement date.
new clause 3.15.8(g) and (h) means clauses 3.15.8(g) and (h) of the Rules after the commencement date.
old clause 3.15.7(d) means clause 3.15.7(d) of the Rules and all definitions in, and relevant provisions of, the Rules as in force immediately before the commencement date.
old clause 3.15.8(g) means clause 3.15.8(g) of the Rules and all definitions in, and relevant provisions of, the Rules as in force immediately before the commencement date.
11.34.2	Period when Amending Rules applies to funding of compensation
(a)	From the commencement date, in respect of any current funding of compensation:
(1)	new clause 3.15.7(d), new clauses 3.15.7A(a1) and (a2) and new clauses 3.15.8(g) and (h) have no effect; and
(2)	old clause 3.15.7(d) and old clause 3.15.8(g) continue to apply.
Part ZE	Payments under Feed-in Schemes and Climate Change Funds
11.35	Rules consequential on the making of the National Electricity Amendment (Payments under Feed-in Schemes and Climate Change Funds) Rule 2010
11.35.1	Definitions
For the purposes of this rule 11.35:
Amending Rule  means the National Electricity Amendment (Payments under Feed-in Schemes and Climate Change Funds) Rule 2010.
commencement date  means 1 July 2010.
current regulatory control period  for a Distribution Network Service Provider means the regulatory control period that commenced before the commencement date and, as at the commencement date, has not ended.
new clause 6.6.1A(d)(3)  means clause 6.6.1A of the Rules as in force immediately after the commencement date.
new clauses 6.18.2(b)(6A) and (6B)  means clauses 6.18.2(b)(6A) and (6B) of the Rules as in force immediately after the commencement date.
new clause 6.18.6(d)(3)  means clause 6.18.6(d)(3) of the Rules as in force immediately after the commencement date.
new clause 6.18.7A  means clause 6.18.7A of the Rules as in force immediately after the commencement date.
next regulatory control period  for a Distribution Network Service Provider means the regulatory control period that commences after the end of the current regulatory control period.
11.35.2	Application of recovery of jurisdictional scheme Rules
(a)	Subject to paragraph (h), a Distribution Network Service Provider is not required to comply with:
(1)	new clause 6.18.2(b)(6A) and (6B); and
(2)	new clause 6.18.7A(a) to (c),
until the date that the Distribution Network Service Provider is required to submit a pricing proposal for the first regulatory year of the next regulatory control period.
(b)	Subject to paragraph (h), the first pricing proposal of a Distribution Network Service Provider that the new clause 6.18.6(d)(3) applies to is the pricing proposal for the second or subsequent regulatory year of the next regulatory control period.
(c)	A Distribution Network Service Provider may by written notice to the AER at least 20 business days before the date that a pricing proposal is required to submitted under clause 6.18.2(a)(2) in respect of a regulatory year in its current regulatory control period, elect to submit a pricing proposal for that regulatory year that complies with new clauses 6.18.2(b)(6A) and (6B) and new clause 6.18.7A(a) to (c).
(d)	An election under paragraph (c) is valid if:
(1)	the election is made in relation to the second or subsequent regulatory year of its current regulatory control period;
(2)	the Distribution Network Service Provider has complied with clause 11.35.3 and the AER has made a decision or is taken to have made a decision under new clause 6.6.1A(e) or (f) (whichever is applicable) in respect of each jurisdictional scheme under which the Distribution Network Service Provider has jurisdictional scheme obligations; and
(3)	if and to the extent that any forecast or estimate of amounts payable under jurisdictional schemes has been included as forecast operating expenditure in the Distribution Network Service Provider’s distribution determination for the current regulatory control period, the AER has agreed to a revocation and substitution of the distribution determination under clause 11.35.4.
(e)	Not later than 10 business days after receiving a notice under paragraph (c), the AER must notify the Distribution Network Service Provider:
(1)	whether it accepts the election made under paragraph (c); and
(2)	if it does not accept the election under paragraph (c), the reasons for that decision.
(f)	If the AER has not notified the Distribution Network Service Provider under paragraph (e) within 10 business days of receiving a notice under paragraph (c), the AER is taken to have accepted the election.
(g)	The AER must accept an election under paragraph (e) if it is valid under paragraph (d).
(h)	If the AER accepts a Distribution Network Service Provider’s election under paragraph (e) or is taken to have accepted the election under paragraph (f) (whichever is applicable), the Distribution Network Service Provider must comply with:
(1)	new clauses 6.18.2(b)(6A) and (6B) and new clause 6.18.7A(a) to (c) in respect of the pricing proposal for each regulatory year of the current regulatory control period that commences after the acceptance of an election under paragraph (e) or (f) (whichever is applicable); and
(2)	new clause 6.18.6(d)(3) in respect of each regulatory year of the current regulatory control period in relation to which an election has been accepted under paragraph (e) or (f) (whichever is applicable).
11.35.3	Reporting on jurisdictional schemes
(a)	If during the current regulatory control period a Distribution Network Service Provider is or becomes subject to jurisdictional scheme obligations under a jurisdictional scheme, the Distribution Network Service Provider may request the AER to determine how it is to report to the AER on its recovery of jurisdictional scheme amounts under that scheme for each regulatory year of the regulatory control period and on the adjustments to be made to subsequent pricing proposals to account for over or under recovery of those amounts.
(b)	To make a request under paragraph (a), a Distribution Network Service Provider must submit to the AER a written statement which specifies:
(1)	the name of the relevant jurisdictional scheme;
(2)	the date the Distribution Network Service Provider became subject to jurisdictional scheme obligations; and
(3)	details of how the Distribution Network Service Provider proposes to:
(i)	estimate the jurisdictional scheme amounts for the relevant jurisdictional scheme for the purposes of new clause 6.18.7A(b);
(ii)	carry out any adjustments to jurisdictional scheme amounts for the relevant jurisdictional scheme for the purposes of new clause 6.18.7A(b); and
(iii)	report to the AER on the recovery process under new clause 6.18.7A(a) and (b).
(c)	If a Distribution Network Service Provider makes a request under paragraph (a) and provides a statement under paragraph (b):
(1)	clauses 6.6.1A(c) to (f) apply to the AER and Distribution Network Service Provider as if references to “a statement under paragraph (b)” in those clauses was a reference to “a statement under clause 11.35.3(b)”; and
(2)	the AER and Distribution Network Service Provider are bound to comply with clauses 6.6.1A(c) to (f) in respect of the determination requested under paragraph (a) as if it had been requested under new clause 6.6.1A(a) and a statement had been provided in accordance with new clause 6.6.1A(b).
11.35.4	Revocation and substitution of distribution determination for jurisdictional scheme recovery
(a)	The AER may revoke a distribution determination for a Distribution Network Service Provider during the current regulatory control period if:
(1)	a forecast or estimate of amounts to be paid, credited or reimbursed under one or more jurisdictional schemes has been included in the Distribution Network Service Provider’s forecast operating expenditure in its distribution determination (as adjusted under clause 6.6.1, if applicable) for the current regulatory control period; and
(2)	the Distribution Network Service Provider gives the AER written notice that it intends to make an election under clause 11.35.2(c).
(b)	If the AER revokes a distribution determination under paragraph (a), the AER must make a new distribution determination in substitution for the revoked determination to apply for the remainder of the regulatory control period for which the revoked determination was to apply.
(c)	If the AER revokes a distribution determination under paragraph (a), the substituted determination must only vary from the revoked determination to the extent necessary to correct for the amounts referred to in subparagraph (a)(1).
(d)	The AER may only revoke and substitute a distribution determination under this clause 11.35.4, if it has first consulted with the relevant Distribution Network Service Provider and such other persons as it considers appropriate.
Part ZF	Transitional Arrangements for Ministerial Smart Meter Roll Out Determinations
11.36	Ministerial Smart Meter Roll Out Determinations
11.36.1	Definitions
In this rule:
relevant commencement date, for a relevant metering installation, means the day on which the Ministerial smart meter roll out determination that applies to the relevant metering installation takes effect.
relevant metering installation has the meaning given by rule 11.36.2.
specified amount means the amount assigned to variable "y" in accordance with S7.2.3 in relation to a participating jurisdiction.
supply point means a supply point:
(1)	that is a connection point connected to the distribution system of a regulated distribution system operator; and
(2)	through which the regulated distribution system operator is required to provide smart metering services in accordance with a Ministerial smart meter roll out determination.
volume consumption means the volume of energy consumed by a customer through the relevant supply point calculated in accordance with S7.2.3.
11.36.2	Meaning of relevant metering installation
(a)	For the purpose of this rule, a relevant metering installation is a metering installation for a supply point in respect of which the volume consumption of the customer is less than the specified amount.
(b)	For the purpose of this rule, a relevant metering installation does not include:
(1)	a metering installation installed for a supply point before the relevant commencement date in respect of which a Market Participant is the responsible person; or;
(2)	a metering installation referred in paragraph (a) that is installed for the supply point referred to in that paragraph on and after the relevant commencement date in accordance with the ordinary replacement cycle of that Market Participant; or
(3)	a metering installation located at a high voltage connection point.
11.36.3	Period of application of rule to relevant metering installation
This rule:
(a)	applies to a relevant metering installation on the day the Ministerial smart meter roll out determination that applies to the relevant metering installation takes effect; and
(b)	ceases to apply to a relevant metering installation on the day the Ministerial smart meter roll out determination that applies to the relevant metering installation ceases to have effect.
11.36.4	Designation of responsible person
Despite clauses 7.2.2 and 7.2.3, the responsible person for a relevant metering installation is the regulated distribution system operator to whom the Ministerial smart meter roll out determination (that applies to that relevant metering installation) applies.
11.36.5	[Deleted]
11.36.6	[Deleted]
Part ZG	Provision of Metering Data Services and Clarification of Existing Metrology Requirements
11.37	Rules consequential on the making of the National Electricity Amendment (Provision of Metering Data Services and Clarification of Existing Metrology Requirements) Rule 2010
11.37.1	Definitions
For the purposes of this rule 11.37:
Amending Rule means the National Electricity Amendment (Provision of Metering Data Services and Clarification of Existing Metrology Requirements) Rule 2010.
commencement date means 16 December 2010.
11.37.2	Commencement of special site or technology related conditions
(a)	AEMO is not required to comply with the obligation set out in clause 7.2.4A(c) until 6 months after the commencement date (but may comply with that obligation any time earlier than 6 months).
(b)	Prior to the publication of the document referred to in clause 7.2.4A(c)(1), AEMO may notify a responsible person or a financially responsible Market Participant, as appropriate, of the existence of a special site or technology related condition and that notification will operate to fulfil the requirement of clauses 7.2.4A(c)(1) and 7.2.4A(c)(2).
11.37.3	Initial service level procedures
(a)	AEMO is not required to comply with the obligation set out in clause 7.14.1A(b) until 9 months after the commencement date (but may comply with that obligation any time earlier than 9 months).
(b)	AEMO must establish and publish the initial service level procedures in accordance with clauses 7.1.3 and 7.14.1A within 9 months after the commencement date.
(c)	Prior to the publication of the initial service level procedures, AEMO may use service level requirements that are published and in common use by the responsible person, the Metering Provider, and the Metering Data Provider.
(d)	If, during the period between the commencement date and the publication of the initial service level procedures, AEMO:
(1)	receives a request from a responsible person, a Metering Provider or a Metering Data Provider; and
(2)	if that request relates to:
(i)	an inconsistency between the published service level requirements and the requirements in clause 7.14.1A(c); or
(ii)	an inadequacy in the published service level requirements when compared to the requirements in clause 7.14.1A(c),
AEMO must:
(3)	make a determination in regard to that request in accordance with clause 7.1.4(e) if, in AEMO’s reasonable opinion, the request referred to in paragraph (d) relates to matters that warrant resolution prior to publication of the initial service level procedures.
(e)	For the purpose of this clause 11.37.2, the reference to procedure in clause 7.1.3(e) is a reference to any document that carries the determination specified in paragraph (d) (but not to the service level procedures referred to in clause 7.14.1A(b)).
Part ZH	Spot Market Operations Timetable
11.38	Rules consequential on the making of National Electricity Amendment (Amendments to PASA-related Rules) Rule 2010
11.38.1	Definitions
For the purposes of this rule 11.38:
Amending rule means the National Electricity Amendment (Amendments to PASA-related Rules) Rule 2010.
commencement date  means the date the Amending Rule commences operation.
11.38.2	Spot market operations timetable
(a)	Clause 3.4.3(b) does not apply to an amendment of the timetable made by AEMO in accordance with paragraph (b).
(b)	By no later than 9 months after the commencement date, AEMO must amend the then current timetable as follows:
(1)	in Table 4.2 PASA and Table 4.4 Market Information of the timetable, omit "day 8 days" and substitute "Sunday" wherever occurring; and
(2)	in Table 4.2 PASA and Table 4.4 Market Information of the timetable, omit "Current system targets to cover additional days starting from next Sunday." wherever occurring.
(c)	Clause 3.4.3(c) applies to an amendment of the timetable made by AEMO in accordance with paragraph (b) as if the words "in accordance with paragraph (b)" in clause 3.4.3(c) were omitted and substituted with the words "in accordance with clause 11.38.2(b)".
Part ZI	DNSP Recovery of Transmission-related Charges
11.39	Rules consequential on the making of the National Electricity Amendment (DNSP Recovery of Transmission-related Charges) Rule 2011
11.39.1	Definitions
For the purposes of this rule 11.39:
Amending Rule means the DNSP Recovery of Transmission-related Charges Rule 2011.
Bairnsdale network support payments means payments made by SP AusNet to the owners of the Bairnsdale Power Station under the network support agreement of 2001, but only to the extent those payments have been approved by the Essential Services Commission of Victoria established by the Essential Services Commission Act 2001 (Vic), or its succeeding body assuming its powers and functions.
commencement date means the date that the Amending Rule commences operation.
current regulatory control period for a Distribution Network Service Provider means the regulatory control period that commenced before the commencement date and, as at the commencement date, has not ended.
Energex means Energex Limited (ACN 078 849 055).
Energex transitional charges means charges levied by Powerlink on Energex in respect of entry services and exit services for the connection of Energex's 110kV network at Archerfield.
Ergon Energy means Ergon Energy Corporation Limited (ACN 087 646 062).
Ergon Energy connection points means the connection at Oakey Power Station to supply Oakey town, the connection at Queensland Nickel, the connection at Stoney Creek for the Sunwater pump sites and the connection at King Creek for the Sunwater pump sites.
Ergon Energy transitional charges means charges levied on Ergon Energy for use of the 220kV network which supplies the Cloncurry township as approved by the AER in its distribution determination for the current regulatory control period, and charges levied by Powerlink on Ergon Energy for entry services and exit services at the Ergon Energy connection points.
Powerlink means Queensland Electricity Transmission Corporation Limited (ACN 078 849 233).
SP AusNet means SPI Electricity Pty Ltd (ABN 91 064 651 118).
Victorian Distribution Network Service Provider means a Distribution Network Service Provider for a distribution network situated wholly or partly within Victoria for whom a distribution determination took effect on 1 January 2011.
11.39.2	Recovery by Victorian distribution network service providers during current regulatory control period
(a)	Subject to the remainder of this clause, a Victorian Distribution Network Service Provider may, in any of its pricing proposals for the remainder of the current regulatory control period, provide for the recovery of any additional designated pricing proposal charges which it could have passed on to customers in the first regulatory year of the current regulatory control period as if the Amending Rule were operative during that first regulatory year.
(b)	A Victorian Distribution Network Service Provider may recover the total amount of charges described in paragraph (a) during a single regulatory year or over the course of several regulatory years during the current regulatory control period.
(c)	A Victorian Distribution Network Service Provider must not recover in total under this clause any more than the additional designated pricing proposal charges referred to in paragraph (a).
(d)	The additional charges recovered under paragraph (a) must be adjusted for an appropriate cost of capital that is consistent with the rate of return used in the distribution determination for the Distribution Network Service Provider for the current regulatory control period.
11.39.3	Recovery by Victorian distribution network service providers for shared network augmentations
The definition of designated pricing proposal charges as it applies to a Victorian Distribution Network Service Provider during the current regulatory control period includes charges in respect of negotiated transmission services levied by AEMO on the Victorian Distribution Network Service Provider to recover costs incurred by AEMO in augmenting the relevant declared shared network to facilitate a connection between the declared shared network and a distribution network.
11.39.4	Bairnsdale network support agreement
The definition of designated pricing proposal charges as it applies to SP AusNet includes Bairnsdale network support payments.
11.39.5	Approval of pricing proposal
For the purposes of determining whether to approve a pricing proposal under clause 6.18.8, the AER must exclude from its consideration any part of a distribution determination for a current regulatory control period which does not permit a Distribution Network Service Provider to recover charges which are recoverable under clause 6.18.7.
11.39.6	Ergon Energy transitional charges
The definition of designated pricing proposal charges as it applies to Ergon Energy includes Ergon Energy transitional charges, but only for the current regulatory control period.
11.39.7	Energex transitional charges
The definition of designated pricing proposal charges as it applies to Energex includes Energex transitional charges, but only for the current regulatory control period.
Part ZJ	Network Support and Control Ancillary Services
11.40	Rules consequential on the making of the National Electricity Amendment (Network Support and Control Ancillary Services) Rule 2011
11.40.1	Definitions
For the purposes of this rule 11.40:
Amending Rule means the National Electricity Amendment (Network Support and Control Ancillary Services) Rule 2011.
Existing NCAS contract means an ancillary services agreement entered into between AEMO and a Registered Participant prior to the NSCAS commencement date whereby AEMO acquires NCAS from that Registered Participant.
NCAS means network control ancillary services, as that term was defined in the Rules immediately prior to the NSCAS commencement date.
NMAS tender guidelines has the meaning given in clause 3.11.5(a).
NSCAS commencement date means the date of the commencement of the Amending Rule.
NSCAS description has the meaning given in clause 3.11.4(a1).
NSCAS quantity procedure has the meaning given in clause 3.11.4(a1).
AEMO NSCAS Acquisition Process commencement date is 5 April 2012.
Regional benefit ancillary services procedures has the meaning given in clause 3.15.6A(c1).
11.40.2	Purpose
The purpose of this rule 11.40 is to provide transitional arrangements to facilitate AEMO’s transition from the framework for the acquisition of NCAS prior to the NSCAS commencement date to the framework for the acquisition of NSCAS initiated under clause 3.11.3.
11.40.3	Existing NCAS contracts to continue
(a)	AEMO may continue to acquire NCAS under existing NCAS contracts and may extend the term of any existing NCAS contract for such period as is agreed between AEMO and each counterparty to the relevant existing NCAS contract.
(b)	After the NSCAS commencement date, an existing NCAS contract is to be regarded as an ancillary services agreement for the provision of NSCAS that does not benefit a specific region for the purposes of clauses 3.15.6A (c1) – (c9) (including during any period that the existing NCAS contract is extended under paragraph (a)).
11.40.4	Amendments to existing guidelines
(a)	AEMO must amend the NMAS tender guidelines and the guidelines for the dispatch of network support and control ancillary services under clause 3.11.6(d) to take into account the Amending Rule with those amendments to take effect from AEMO NSCAS Acquisition Process commencement date.
(b)	Any action taken by AEMO prior to the AEMO NSCAS Acquisition Process commencement date for the purpose of amending the NMAS tender guidelines and the guidelines for the dispatch of network support and control ancillary services as a result of the Amending Rule is taken to satisfy any equivalent actions required under the Rules.
11.40.5	New procedures
(a)	AEMO must develop and publish the NSCAS description and the NSCAS quantity procedure to take into account the Amending Rule and to take effect from the NSCAS commencement date.
(b)	AEMO must develop and publish the regional benefit ancillary services procedures to take into account the Amending Rule and to take effect from the AEMO NSCAS Acquisition Process commencement date.
(c)	Any action taken by AEMO prior to the NSCAS commencement date for the purpose of developing the NSCAS description, NSCAS quantity procedure and the regional benefit ancillary services procedures as a result of the Amending Rule is taken to satisfy any equivalent actions required under the Rules.
11.40.6	Decisions and actions taken prior to Amending Rule
All decisions and actions taken by AEMO prior to the NSCAS commencement date in anticipation of the commencement of the Amending Rule are taken to satisfy the equivalent actions required after the NSCAS commencement date and continue to have effect for that purpose.
Part ZK	Application of Dual Marginal Loss Factors
11.41	Rules consequential on the making of the National Electricity Amendment (Application of Dual Marginal Loss Factors) Rule 2011
11.41.1	Definitions
For the purposes of this rule 11.41:
Amending Rule means the National Electricity Amendment (Application of Dual Marginal Loss Factors) Rule 2011.
commencement date means the date that the Amending Rule commences operation.
relevant financial year means the financial year that commences on 1 July 2011.
11.41.2	Amendments to loss factor methodology
If AEMO, prior to the commencement date and for the purpose of amending the methodology referred to in clause 3.6.2(d) as a result of the Amending Rule, has taken steps equivalent to those required by the Rules consultation procedures, then it will be taken to have complied with those steps for the purposes of clause 3.6.2(d).
11.41.3	Procedure applying dual intra-regional loss factors in central dispatch and spot market transactions
(a)	Despite clause 3.6.2(d1), AEMO may determine a procedure for the purpose of that clause without consulting with Registered Participants.
(b)	By no later than 30 June 2012, AEMO must determine and publish a procedure for the purpose of clause 3.6.2(d1) following consultation with Registered Participants.
11.41.4	Publication of intra-regional loss factors
(a)	Clause 3.6.2(f1) does not apply in respect of the intra-regional loss factors for the relevant financial year and any intra-regional loss factors published by AEMO on 1 April 2011 in compliance with clause 3.6.2(f1) will not apply for the relevant financial year unless they are published again by AEMO in accordance with paragraph (b).
(b)	AEMO must publish on or before 30 June 2011 the intra-regional loss factors revised under clause 3.6.2(f) and to apply for the relevant financial year.
 (c)	For the avoidance of doubt, paragraph (b) does not require AEMO to recalculate any intra-regional loss factors that were previously published except where this is necessary as a result of a change to the methodology referred to in clause 3.6.2(d).
Part ZL	Tasmania Tranche 5a Procedure Changes
11.42	Rules consequential on the making of the National Electricity Amendment (Tasmania Tranche 5a Procedure Changes) Rule 2011
11.42.1	Definitions
For the purposes of this rule 11.42:
Relevant Procedure means each of:
(a)	the Metrology Procedure;
(b)	the Market Settlement and Transfer Solution Procedures; and
(c)	the B2B Procedures.
11.42.2	AEMO may amend Relevant Procedures
(a)	Subject to paragraphs (b) and (c), AEMO may amend any Relevant Procedure without complying with any provisions of these Rules that specifies a process for amendment of that Relevant Procedure.
(b)	AEMO may only amend a Relevant Procedure under paragraph (a):
(1)	prior to 31 July 2011; and
(2)	if the amendment:
(i)	is required for the purpose of introducing contestability for connection points located in the Tasmanian region with annual consumption between 50 and 150 MWh; and
(ii)	does not affect the manner in which the Relevant Procedure applies in any participating jurisdiction other than Tasmania.
(c)	If AEMO amends a Relevant Procedure under this clause 11.42.2, it must publish the amended Relevant Procedure as soon as practicable but in any event no later than the date that the amendments to the Relevant Procedure takes effect.
Part ZM	Application and Operation of Administered Price Periods
11.43	Rules consequential on the making of National Electricity Amendment (Application and Operation of Administered Price Periods) Rule 2011
11.43.1	Definitions
For the purposes of this rule 11.43:
Amending Rule means the National Electricity Amendment (Application and Operation of Administered Price Periods) Rule 2011.
APC Schedule means the schedule the AEMC is required to publish under clause 3.14.1(a).
commencement date means the date Schedules 1 and 3 of the Amending Rule commence operation.
First APC Schedule means the Administered Price Cap Schedule dated 20 May 2008 published by the AEMC under clause 3.14.1(a).
11.43.2	Administered Price Cap Schedule
(a)	As soon as practicable, but in any event within 20 business days of the commencement date, the AEMC must amend the First APC Schedule in accordance with paragraph (b) and publish the amended APC Schedule on its website.
(b)	The AEMC must amend the First APC Schedule by:
(1)	omitting "20 May 2008" and substituting the date on which the amended APC Schedule is published by the AEMC;
(2)	omitting "and market ancillary service prices" and substituting ", dispatch prices and ancillary service prices";
(3)	omitting "This schedule will become effective" and substituting "The administered price cap specified in this schedule became effective"; and
(4)	including at the end of the Schedule notes to the effect that:
(i)	the First APC Schedule developed and published by the AEMC under clause 3.14.1(a) was dated 20 May 2008; and
(ii)	the First APC Schedule was varied by the AEMC pursuant to the Amending Rule.
(c)	The requirement in clause 3.14.1(a) that the AEMC comply with the Rules consultation procedures when developing, authorising and publishing an APC Schedule does not apply to amendments made to the APC Schedule in accordance with this clause 11.43.2.
Part ZO	Negative Intra-regional Settlements Residue
11.45	Rules consequential on the making of National Electricity Amendment (Negative Intra-regional Settlements Residue) Rule 2012
11.45.1	Definitions
For the purposes of this rule 11.45:
amended clause 3.6.5(a) means clause 3.6.5(a) as amended by the Amending Rule.
Amending Rule means the National Electricity Amendment (Negative Intra-regional Settlements Residue) Rule 2012.
commencement date means 5 April 2012.
negative settlements residue procedure means the payment time, interval and payment method for settlement of negative settlements residue amounts and interest cost amounts for unrecovered negative settlements residue amounts.
old clause 3.6.5(a) means clause 3.6.5(a) as in force immediately before the commencement date.
11.45.2	Recovery of negative settlements residue prior to consultation under the Amending Rule
Until such time as AEMO has determined a negative settlements residue procedure under amended clause 3.6.5(a) that relates to both negative inter-regional and intra-regional settlements residue amounts, AEMO must recover:
(a)	negative intra-regional  settlements residue amounts in accordance with old clause 3.6.5(a) and clause 3.15.16; and
(b)	negative inter-regional settlements residue amounts in accordance with old clause 3.6.5(a).
11.45.3	First consultation on negative intra-regional settlements residue procedure
(a)	Prior to commencing its consultation with Transmission Network Service Providers under amended clause 3.6.5(a) on the first negative settlements residue procedure that relates to both negative inter-regional and intra-regional settlements residue amounts, AEMO must notify each Transmission Network Service Provider:
(1)	that it intends to commence the consultation;
(2)	how it plans to conduct the consultation; and
(3)	that if a Transmission Network Service Provider wishes the consultation to be conducted in accordance with the Rules consultation procedures, it must notify AEMO within one week of the notice under this paragraph (a).
(b)	If within one week of the notice under paragraph (a) AEMO receives a notice from a Transmission Network Service Provider under paragraph (a)(3), then AEMO must consult with Transmission Network Service Providers on the negative settlements residue procedure in accordance with the Rules consultation procedures.
(c)	If within one week of the notice under paragraph (a) AEMO has not received a notice from a Transmission Network Service Provider under paragraph (a)(3), then AEMO may consult on the negative settlements residue procedure as indicated in its notice under paragraph (a).
Part ZP	Interim Connection Charging Rules
11.46	Rules consequential to the insertion of Chapter 5A by the National Electricity (National Energy Retail Law) Amendment Rule 2012
Division 1	Preliminary
11.46.1	Definitions
In this Part:
ACT distributor means ActewAGL Distribution, a partnership of ACTEW Distribution Ltd (ACN 073 025 224) and Jemena Networks (ACT) Pty Ltd (ACN 008 552 663).
established distributor means any of the following Distribution Network Service Providers:
(a)	an ACT distributor; or
(b)	a NSW distributor; or
(c)	a QLD distributor; or
(d)	a SA distributor; or
(e)	a Tasmanian distributor; or
(f)	a Victorian distributor.
NSW distributor means any of the following:
(a)	Essential Energy (established under the Energy Services Corporation Act 1995 (NSW));
(b)	Endeavour Energy (established under the Energy Services Corporation Act 1995 (NSW));
(c)	Ausgrid (established under the Energy Services Corporation Act 1995 (NSW);
interim connection charging rules (ICCR)  means the rules prescribed in this Part.
QLD distributor means either of the following:
(a)	Ergon Energy Corporation Limited (ACN 087 646 062);
(b)	Energex Ltd (ACN 078 849 055).
relevant provisions  means Chapter 5A and Part DA of Chapter 6.
SA distributor means ETSA Utilities (ABN 13 332 330 749) a partnership of Spark Infrastructure (No. 1) Pty Ltd (ACN 091 142 380), Spark Infrastructure (No.2) Pty Ltd (ACN 091 143 038), Spark Infrastructure (No. 3) Pty Ltd (ACN 091 142 362), CKI Utilities Development Ltd (ARBN 090 718 880) and Pai Utilities Development Ltd (ARBN 090 718 951)
start date  means the date when these interim connection charging rules come into operation.
Tasmanian distributor means Aurora Energy Pty Ltd (ACN 082 464 622).
transition date  means for each distributor the date on which the transition period for that distributor ends.
transition period  means:
(a)	for the ACT distributor – the period from the start date to the actual commencement date of the regulatory control period due to commence on 1 July 2014; and
(b)	for a NSW distributor – the period from the start date to the actual commencement date of the regulatory control period due to commence on 1 July 2014; and
(c)	for a QLD distributor – the period from the start date to the actual commencement date of the regulatory control period due to commence on 1 July 2015; and
(d)	for the SA distributor – the period from the start date to the actual commencement date of the regulatory control period due to commence on 1 July 2015; and
(e)	for the Tasmanian distributor – the period from the start date to the actual commencement date of the regulatory control period due to commence on 1 July 2017; and
(f)	for a Victorian distributor – the period from the start date to the actual commencement date of the regulatory control period due to commence on 1 January 2016.
Victorian distributor means any of the following:
(a)	United Energy Distribution Pty Ltd (ACN 064 651 029);
(b)	Jemena Electricity Networks (Vic) Ltd (ACN 064 651 083);
(c)	Citipower Pty (ACN 064 651 056);
(d)	Powercor Australia Ltd (ACN 064 651 109);
(e)	SPI Electricity Pty Ltd (ACN 064 651 118)
11.46.2	Extended meaning of some terms
During the transition period:
(a)	a basic connection service includes not only a connection service for which a model standing offer has been approved by the AER (see paragraph (c) of the definition in clause 5A.A.1) but also one for which the AER’s approval of a model standing offer is not required; and
(b)	a standard connection service includes not only a connection service for which a model standing offer has been approved by the AER (see definition in clause 5A.A.1) but also one for which the AER’s approval of a model standing offer is not required; and
(c)	a model standing offer includes a document prepared and published by an established distributor, without the AER’s approval, as a model standing offer to have effect during the transition period (but not beyond the end of that period).
11.46.3	Transitional operation of relevant provisions
(a)	During the transition period, the relevant provisions operate subject to the exclusions, qualifications and modifications prescribed by this Part.
(b)	However, the relevant provisions operate without the exclusions, qualifications and modifications prescribed by this Part insofar as they relate to:
(1)	a period beyond the transition period; or
(2)	a person (such as a new entrant to the industry) that is not an established distributor.
Example
An established distributor who submits a regulatory proposal for the regulatory control period that follows on the distributor’s transition period is bound by the relevant provisions (without exclusion, qualification or modification) in relation to the regulatory proposal even though the proposal is submitted during the transition period.
(c)	A transaction commenced by or with an established distributor during the transition period may be continued and completed after the transition period without regard to changes to the rules governing the transaction that take effect at the end of the transition period.
Division 2	Jurisdictional differences
11.46.4	Exclusions, qualifications and modifications for ACT
During the transition period, the relevant provisions apply to, and in relation to, the ACT distributor subject to the following exclusions, qualifications and modifications:
Connection Policy
(a)	A document, prepared by the ACT distributor and published on the ACT distributor’s website, will (although not approved by the AER) be taken to be the ACT distributor’s connection policy for the purposes of the relevant provisions if:
(1)	it sets out the circumstances in which connection charges are payable and the basis for determining the amount of such charges; and
(2)	it applies and is consistent with:
(i)	the Electricity Network Capital Contributions Code approved in 2007 by the ACT Independent Competition and Regulatory Commission under section 58 of the Utilities Act 2000 (ACT); and
(ii)	the AER’s final decision on the distribution determination for the Australian Capital Territory for the regulatory years 2009-10 to 2013-14 dated 28 April 2009.
Model standing offers (basic connection services)
(b)	A document, prepared by the ACT distributor and published on the ACT distributor’s website, will (although not approved by the AER) be regarded as a model standing offer to provide basic connection services during the transition period if it complies with the requirements of clause 5A.B.2(b) as to its terms and conditions.
(c)	If, during the transition period, the AER approves a model standing offer for the same basic connection services, the approved model standing offer supersedes the former model standing offer under this clause.
(d)	The ACT distributor’s obligation to have a model standing offer to provide basic connection services (clause 5A.B.1) operates during the transition period but the AER’s approval of the model standing offer is not required until the transition date.
(e)	The ACT distributor’s obligation to submit for the AER’s approval a proposed model standing offer to provide basic connection services (Clause 5A.B.2(a)) does not arise until the ACT distributor is obliged to submit a regulatory proposal for the regulatory control period first commencing after the transition date.
Model standing offer (standard connection services)
(f)	A document, prepared by the ACT distributor and published on the ACT distributor’s website, will (although not approved by the AER) be regarded as a model standing offer to provide standard connection services during the transition period if it complies with the requirements of clause 5A.B.4(c) as to its terms and conditions.
(g)	If, during the transition period, the AER approves a model standing offer for the same standard connection services, and the approved model standing offer is to take effect before the end of the transition period, the approved model standing offer supersedes the former model standing offer.
(h)	The ACT distributor may submit for the AER’s approval a model standing offer to provide standard connection services (clause 5A.B.4) during the transition period but the AER’s approval of the standing offer is not required until the transition date.
Amendment of standing offers
(i)	During the transition period, the ACT distributor may amend a standing offer to provide basic connection services or standard connection services during the transition period by publishing the amendments and the amended text on its website. (This paragraph applies during the transition period to the exclusion of clause 5A.B.6.)
11.46.5	Exclusions, qualifications and modifications for NSW
During the transition period, the relevant provisions apply to, and in relation to, NSW distributors subject to the following exclusions, qualifications and modifications:
Connection Policy
(a)	A document, prepared by a NSW distributor and published on the NSW distributor’s website, will (although not approved by the AER) be taken to be the NSW distributor’s connection policy for the purposes of the relevant provisions if:
(1)	it sets out the circumstances in which connection charges are payable and the basis for determining the amount of such charges;
(2)	it applies and is consistent with Determination No 1 of 2002 “Capital Contributions and Repayments for Connections to Electricity Distribution Networks in New South Wales” made by IPART under section 11(3) of the Independent Pricing and Regulatory Tribunal Act 1992 (NSW).
Model standing offers (basic connection services)
(b)	A document, prepared by a NSW distributor and published on the NSW distributor’s website, will (although not approved by the AER) be regarded as a model standing offer to provide basic connection services during the transition period if it complies with the requirements of clause 5A.B.2(b) as to its terms and conditions.
(c)	If, during the transition period, the AER approves a model standing offer for the same basic connection services, the approved model standing offer supersedes the former model standing offer.
(d)	A NSW distributor’s obligation to have a model standing offer to provide basic connection services (clause 5A.B.1) operates during the transition period but the AER’s approval of the standing offer is not required until the transition date.
(e)	A NSW distributor’s obligation to submit for the AER’s approval a proposed model standing offer to provide basic connection services (Clause 5A.B.2(a)) does not arise until the NSW distributor is obliged to submit a regulatory proposal for the regulatory control period first commencing after the transition date.
Model standing offer (standard connection services)
(f)	A document, prepared by a NSW distributor and published on the NSW distributor’s website, will (although not approved by the AER) be regarded as a model standing offer to provide standard connection services during the transition period if it complies with the requirements of clause 5A.B.4(c) as to its terms and conditions.
(g)	If, during the transition period, the AER approves a model standing offer for the same standard connection services, the approved model standing offer supersedes the former model standing offer.
(h)	A NSW distributor may submit for the AER’s approval a model standing offer to provide standard connection services (clause 5A.B.4) during the transition period but the AER’s approval of the standing offer is not required until the transition date.
Amendment of standing offers
(i)	During the transition period, a NSW distributor may amend a standing offer to provide basic connection services or standard connection services during the transition period by publishing the amendments and the amended text on its website. (This paragraph applies during the transition period to the exclusion of clause 5A.B.6.)
11.46.6	Exclusions, qualifications and modifications for Queensland
During the transition period, the relevant provisions apply to, and in relation to, a QLD distributor subject to the following exclusions, qualifications and modifications:
Connection Policy
(a)	If a QLD distributor has a capital contributions policy published under clause 11.16.10, that policy is, during the transition period, taken to be the QLD distributor’s connection policy (although not approved as a connection policy by the AER).
Model standing offer (basic connection services)
(b)	A document, prepared by a Queensland distributor and published on a Queensland distributor’s website, will (although not approved by the AER) be regarded as a model standing offer to provide basic connection services during the transition period if it complies with the requirements of clause 5A.B.2(b) as to its terms and conditions.
(c)	The QLD distributor’s obligation to submit for the AER’s approval a proposed model standing offer to provide basic connection services (Clause 5A.B.2(a)) does not arise until the QLD distributor is obliged to submit a regulatory proposal for the regulatory control period first commencing after the transition date.
Model standing offer (standard connection services)
(d)	A document, prepared by a QLD distributor and published on the QLD distributor’s website, will (although not approved by the AER) be regarded as a model standing offer to provide standard connection services during the transition period if it complies with the requirements of clause 5A.B.4(c) as to its terms and conditions.
(e)	If, during the transition period, the AER approves a model standing offer for the same standard connection services, the approved model standing offer supersedes the former model standing offer.
(f)	A QLD distributor may submit for the AER’s approval a model standing offer to provide standard connection services (clause 5A.B.4) during the transition period but the AER’s approval of the standing offer is not required until the transition date.
Amendment of standing offers
(g)	During the transition period, a QLD distributor may amend a standing offer to provide basic connection services or standard connection services by publishing the amendments and the amended text on its website. (This paragraph applies during the transition period to the exclusion of clause 5A.B.6.)
11.46.7	Exclusions, qualifications and modifications for SA
During the transition period, the relevant provisions apply to, and in relation to, the SA distributor subject to the following exclusions, qualifications and modifications:
Connection Policy
(a)	A document, prepared by the SA distributor and published on the SA distributor’s website, will (although not approved by the AER) be taken to be the SA distributor’s connection policy for the purposes of the relevant provisions if:
(1)	it sets out the circumstances in which connection charges are payable, the basis for determining the amount of those charges, the time at which those charges may be required by the SA distributor and any rebate from the SA distributor to the customer; and
(2)	it applies and is consistent with the distribution determination 2010-11 to 2014-15, made for the SA distributor by the AER.
Model standing offers (basic connection services)
(b)	The SA distributor’s obligation to have a model standing offer to provide basic connection services (clause 5A.B.1) operates from the commencement of the transition period.
(c)	The SA distributor must therefore comply with its obligation to submit for the AER’s approval a proposed model standing offer to provide basic connection services (Clause 5A.B.2(a)).
(d)	The requirements as to the content of the model standing offer (clause 5A.B.2(b)) apply during (as well as after) the transition period.
Model standing offers (standard connection services)
(e)	The relevant provisions regarding model standing offers to provide standard connection services operate without modification during the transition period.
Amendment of standing offers
(f)	During the transition period, clause 5A.B.6 applies to the amendment of a standing offer to provide basic connection services or standard connection services.
11.46.8	Exclusions, qualifications and modifications for Tasmania
During the transition period, the relevant provisions apply to, and in relation to, the Tasmanian distributor subject to the following exclusions, qualifications and modifications:
Connection Policy
(a)	The document “Policy: Customer Capital Contributions” submitted by the Tasmanian distributor as part of its regulatory proposal for the regulatory years 1 July 2012 to 30 June 2017 is taken, during the transition period to be a connection policy approved by the AER.
Model standing offers (basic connection services)
(b)	A document, prepared by the Tasmanian distributor and published on the Tasmanian distributor’s website, will (although not approved by the AER) be regarded as a model standing offer to provide basic connection services during the transition period if it complies with the requirements of clause 5A.B.2(b) as to its terms and conditions.
(c)	If, during the transition period, the AER approves a model standing offer for the same basic connection services, the approved model standing offer supersedes the former model standing offer.
(d)	The Tasmanian distributor’s obligation to have a model standing offer to provide basic connection services (clause 5A.B.1) operates during the transition period but the AER’s approval of the standing offer is not required until the transition date.
(e)	The Tasmanian distributor’s obligation to submit for the AER’s approval a proposed model standing offer to provide basic connection services (Clause 5A.B.2(a)) does not arise until the Tasmanian distributor is obliged to submit a regulatory proposal for the regulatory control period first commencing after the transition date.
Model standing offer (standard connection services)
(f)	A document, prepared by the Tasmanian distributor and published on the Tasmanian distributor’s website, will (although not approved by the AER) be regarded as a model standing offer to provide standard connection services during the transition period if it complies with the requirements of clause 5A.B.4(c) as to its terms and conditions.
(g)	If, during the transition period, the AER approves a model standing offer for the same standard connection services, the approved model standing offer supersedes the former model standing offer.
(h)	The Tasmanian distributor may submit for the AER’s approval a proposed model standing offer to provide standard connection services (clause 5A.B.4) during the transition period but the AER’s approval of the model standing offer is not required until the transition date.
Amendment of standing offers
(i)	During the transition period, the Tasmanian distributor may amend a standing offer to provide basic connection services or standard connection services by publishing the amendments and the amended text on its website. (This paragraph applies during the transition period to the exclusion of clause 5A.B.6.)
11.46.9	Exclusions, qualifications and modifications for Victoria
During the transition period, the relevant provisions apply to, and in relation to, Victorian distributors subject to the following exclusions, qualifications and modifications:
Connection Policy
(a)	A document, prepared by a Victorian distributor and published on the Victorian distributor’s website, will (although not approved by the AER) be taken to be the Victorian distributor’s connection policy if:
(1)	it sets out the circumstances in which connection charges are payable and the basis for determining the amount of such charges; and
(2)	it is consistent with:
(i)	connection policies prepared and published by Victorian distributors in accordance with the relevant industry guideline (if applicable); and
(ii)	the Electricity Determination (if applicable).
(b)	In this clause:
Electricity determination  means the 2011-2015 distribution pricing determination (as amended or substituted from time to time).
relevant industry guideline means the Electricity Industry Guideline No. 14 (Provision of Services by Electricity Distributors):
(a)	as in force immediately before the start date; and
(b)	published by the Victorian Essential Services Commission and dated April 2004.
Model standing offer (basic connection services)
(c)	A document, prepared by a Victorian distributor and published on the Victorian distributor’s website, will (although not approved by the AER) be regarded as a model standing offer to provide basic connection services until 1 July 2013 if it complies with the requirements of clause 5A.B.2(b) as to its terms and conditions.
(d)	If, before 1 July 2013, the AER approves a model standing offer for the same basic connection services, the approved model standing offer supersedes the former model standing offer.
(e)	A Victorian distributor’s obligation to have a model standing offer to provide basic connection services (clause 5A.B.1) operates during the transition period but the AER’s approval of the standing offer is not required until 1 July 2013.
Model standing offer (standard connection services)
(f)	A document, prepared by a Victorian distributor and published on the Victorian distributor’s website, will (although not approved by the AER) be regarded as a model standing offer to provide standard connection services until 1 July 2013 if it complies with the requirements of clause 5A.B.4(c) as to its terms and conditions.
(g)	If, before 1 July 2013, the AER approves a model standing offer for the same standard connection services, the approved model standing offer supersedes the former model standing offer.
(h)	A Victorian distributor may submit for the AER’s approval a proposed model standing offer to provide standard connection services (clause 5A.B.4) before 1 July 2013 but the AER’s approval of the model standing offer is not required until 1 July 2013.
Amendment of standing offers
(i)	Until 1 July 2013, a Victorian distributor may amend a standing offer to provide basic connection services or standard connection services by publishing the amendments and the amended text on its website. (This paragraph applies until 1 July 2013 to the exclusion of clause 5A.B.6.)
Division 3	General provisions
11.46.10	Connection charges
(a)	A Distribution Network Service Provider must comply with its connection policy and any other applicable regulatory obligation or requirement when calculating or imposing a connection charge for the transition period.
(b)	This clause operates to the exclusion of clauses 5A.E.1 and 5A.E.2 until the transition date.
11.46.11	References
A reference to any of the relevant provisions in a legislative or other instrument will be construed, during the transition period, as a reference to the provision as modified by this Part.
Part ZQ	NSW transitional retail support and credit support rules
11.47	Rules consequential on the insertion of Chapter 6B by the National Electricity (National Energy Retail Law) Amendment Rule 2012
Division 1	Preliminary
11.47.1	Definitions
In this Part:
applicable dispute resolution procedures means the dispute resolution regime contained in rule 8.2 unless the NSW DNSP and NSW Retailer have agreed under clause 11.47.2 that alternative dispute resolution procedures are to apply.
Bank bill rate in respect of any day means:
(a)	the Bank Bill Swap Reference Rate for 30 days on that day (or if not a business day, on the previous business day) published in the Australian Financial Review; or
(b)	if the rate in paragraph (a) is not available, the rate percent per annum agreed by the parties in good faith to be the appropriate rate having regard to comparable indices then available in the then current bill market.
bill receipt date means the date on which the bill is given (or taken to be given) to a NSW Retailer by a NSW DNSP in the same manner as the notices under rule 1.8 of these Rules.
default rate means the Bank bill rate plus 2% per annum.
disputed amount means an amount that satisfies all of the following:
(a)	the amount is specified in a bill issued by a NSW DNSP to a NSW Retailer in respect of network charges payable by the NSW Retailer; and
(b)	the NSW Retailer has provided a Notice of disputed amount in respect of that amount.
due date for payment means:
(a)	in the case of an amount specified in a bill in respect of network charges:
(i)	where a bill is given before 1 July 2002, the date specified in the bill (being a date not less than 20 business days from the giving of the bill to the NSW Retailer); or
(ii)	where a bill is given on or after 1 July 2002, the date specified in the bill (being a date not less than 16 business days from the giving of the bill to the NSW Retailer),
or
(b)	in the case of a disputed amount that is determined to be payable by a NSW Retailer in accordance with applicable dispute resolution procedures, 5 business days after the determination.
Notice of disputed amount means a notice given by a NSW Retailer to a NSW DNSP stating that:
(a)	that the NSW Retailer disputes payment of an amount specified in the bill; and
(b)	the grounds for dispute in respect of the amount disputed; and
(c)	that the NSW Retailer undertakes to the NSW DNSP that the dispute in respect of the particular disputed amount is a bona fide dispute.
Notice of intention to draw on credit support means a notice given to a NSW Retailer by a NSW DNSP stating:
(a)	the date of the notice;
(b)	that the NSW DNSP intends to draw on the credit support;
(c)	the date (not less than 5 business days from the date of the notice) on which the NSW DNSP will draw on the credit support.
Notice of request for credit support means a notice requesting credit support stating:
(a)	the required credit support amount;
(b)	the basis for calculation of the required credit support amount, and includes a notice where a required credit support is reviewed.
network charges has the same meaning as in the NERL.
NSW DNSP means any of the following:
(a)	Essential Energy (established under the Energy Services Corporation Act 1995 (NSW);
(b)	Endeavour Energy (established under the Energy Services Corporation Act 1995 (NSW); and
(c)	Ausgrid (established under the Energy Services Corporation Act 1995 (NSW);
NSW Retailer means the financially responsible Market Participant for a market connection point located in NSW and for any market connection point on Essential Energy's distribution network.
outstanding amount means any amount specified in a bill for network charges (excluding any disputed amount) that is unpaid by the due date for payment
required credit support amount means an amount of credit support equal to 90 days of network charges reasonably estimated by the NSW DNSP to be incurred by the NSW Retailer during the period of 90 days following the request by the NSW DNSP for credit support.
shared customer has the same meaning as in the NERL.
small customer has the same meaning as in the NERL.
start date means the date when this rule 11.47 comes into operation.
transition period means the period from the start date to the actual commencement date of the regulatory control period due to commence on 1 July 2014.
11.47.2	Application
(a)	During the transition period, Chapter 6B of the Rules does not apply to a NSW DNSP and NSW Retailer in relation to market connection points located in NSW and any market connection point on Essential Energy's distribution network.
(b)	Nothing in this rule 11.47 prevents a NSW DNSP and a NSW Retailer from reaching agreement on any matters under this rule 11.47 or the Rules, provided that any such agreement:
(i)	is expressed to incorporate the rights and obligations of the respective parties set out in clause 11.47.4, and to be subject to clause 11.47.4; and
(ii)	is consistent with the rights and obligations of the parties as Registered participants.
11.47.3	Obligation to pay
(a)	A NSW retailer must pay to a NSW DNSP the network charges payable in respect of each shared customer in accordance with this rule 11.47 by the due date for payment.
(b)	A NSW DNSP must not specify a due date for payment which is less than 16 business days from the date on which the bill is given to the NSW Retailer.
(c)	Where a NSW Retailer disputes payment of all or any part of the bill, the NSW Retailer must give a Notice of disputed amount not less than 3 business days before the due date for payment.
(d)	A Notice of disputed amount given in accordance with paragraph (c) entitles the NSW Retailer to withhold payment on the due date for payment of the disputed amount but does not entitle non-payment of any other amounts contained in the bill.
(e)	A dispute between a NSW Retailer and a NSW DNSP in relation to this rule 11.47 must be resolved in accordance with the applicable dispute resolution procedures.
11.47.4	Charging and billing
(a)	For small customers, a NSW DNSP may only require payment of, and issue bills for, network charges from the small customer’s retailer.
(b)	Where a customer (who is not a small customer or Registered Customer) and a NSW Retailer agree, the NSW DNSP may require payment of, and issue bills for, network charges in respect of that customer’s connection point.
11.47.5	Interest on unpaid amounts
(a)	Where a NSW Retailer does not pay a NSW DNSP all network charges specified in the bill by the due date for payment, the NSW Retailer is liable to pay interest on any outstanding amount.
(b)	If a part of a disputed amount is determined to be payable by a NSW Retailer in accordance with the applicable dispute resolution procedures, the NSW Retailer is liable to pay interest on any unpaid amount from the due date for payment until the amount is paid.
(c)	Interest is to be calculated:
(i)	at the default rate applicable on the first business day of the month;
(ii)	on actual days elapsed;
(iii)	on a 365 day year,
and is to be capitalised on the first business day of each month.
(d)	Any interest accrued is to be included in the next bill issued by the NSW DNSP as a proper charge payable by the NSW Retailer.
11.47.6	Circumstances where NSW DNSP may request credit support
(a)	A NSW DNSP may require a NSW Retailer to provide credit support for payment of network charges in favour of the NSW DNSP, but only in accordance with this rule 11.47.
(b)	Credit support for payment of network charges may only be required if, at any time, a NSW Retailer does not have an unqualified credit rating of at least:
(i)	BBB from Standard and Poor’s (Australia) Pty Ltd;
(ii)	Baa from Moody’s Investor Service Pty Ltd; or
(iii)	an equivalent credit rating as determined by the NSW DNSP.
11.47.7	Credit support
Credit support is an undertaking in writing from a person (the Credit Support Provider) which:
(a)	is a guarantee or bank letter of credit in a form acceptable to the NSW DNSP;
(b)	is duly executed by the Credit Support Provider and delivered unconditionally to the NSW DNSP;
(c)	constitutes valid and binding unsubordinated obligations of the Credit Support Provider to pay the DNSP amounts in accordance with the terms of the undertaking that relate to obligations of the NSW Retailer under this rule 11.47; and
(d)	permits drawings or claims by the NSW DNSP to the required credit support amount under this rule 11.47.
11.47.8	Credit support providers
(a)	The Credit Support Provider must meet the requirements set out in clause 3.3.3 of the Rules.
(b)	For the purposes of this rule 11.47, an acceptable credit rating for a Credit Support Provider is:
(i)	AA from Standard and Poor’s (Australia) Pty Ltd;
(ii)	Aa from Moody’s Investor Service Pty Ltd; or
(iii)	an equivalent credit rating as determined by the NSW DNSP.
11.47.9	NSW DNSP to determine required credit support amount
(a)	In determining the required credit support amount in respect of a NSW Retailer, the NSW DNSP must consider the basis for calculation of network charges for the market connection points for which the NSW Retailer is the financially responsible market participant in the distribution network of the NSW DNSP.
(b)	The NSW DNSP must inform the NSW Retailer of the basis for calculation of the required credit support amount when giving a Notice of request for credit support.
(c)	A NSW DNSP may review a required credit support amount not less than 10 business days after the date of any previous Notice of request for credit support.
(d)	A NSW Retailer may request a NSW DNSP to review a required credit support amount not less than 10 business days after the date of any previous Notice of request for credit support.
	11.47.10	NSW Retailer to ensure credit support available
(a)	A NSW Retailer must provide credit support in accordance with a Notice of request for credit support within 5 business days of the giving of the notice.
(b)	Without limiting paragraphs (c) and (d), the NSW Retailer must ensure that at all times the aggregate and undrawn amounts of the then current and valid credit support held by the NSW DNSP in respect of the NSW Retailer for network charges are not less than the current required credit support amount for that NSW Retailer.
(c)	A NSW Retailer must ensure in the case where any current credit support is due to expire or terminate that:
(i)	the NSW DNSP is notified at least 10 business days prior to such expiry or termination; and
(ii)	replacement credit support that complies with this rule 11.47 is in place and effective from the date of expiry or termination.
(d)	Where as a result of the NSW DNSP exercising its rights under a credit support provided by the NSW Retailer, the total remaining credit support is less than the required credit support amount, the NSW Retailer must, within 24 hours of receiving a request for replacement credit support from the NSW DNSP, procure the replacement amount to restore the required credit support amount.
11.47.11	Drawing on credit support
(a)	A NSW DNSP may only draw on credit support in respect of an outstanding amount where all of the following circumstances apply:
(i)	the NSW DNSP is entitled to require credit support and has given Notice of request for credit support in accordance with this rule 11.47;
(ii)	5 business days have elapsed since the NSW DNSP gave Notice of intention to draw on credit support; and
(iii)	the outstanding amount remains unpaid on the date on which the NSW DNSP draws on the credit support
(b)	Where a disputed amount is determined to be payable by a NSW Retailer in accordance with applicable dispute resolution procedures, a DNSP may draw on credit support in respect of amounts payable in accordance with this clause.
11.47.12	Specific transitional arrangements
Any action taken under Market Operation Rule (Network Use of System Agreements) No. 2 of 2001 (made under section 63C of the Electricity Supply Act 1995 (NSW)) as in force immediately before the start date is taken to be the equivalent action under this rule 11.47.
Part ZR	Miscellaneous transitional rules—NERL
11.48	Rules consequential on the making of the National Electricity (National Energy Retail Law) Amendment Rule 2012
11.48.1	Extension of time period for AER to consider certain pass through applications
(a)	This clause applies to an application from a Distribution Network Service Provider for pass through of costs under clause 6.6.1 or clause 6.6.1 of Appendix 1, arising from the commencement of the National Energy Retail Law, the National Energy Retail Rules, the National Energy Retail Regulations and associated amendments to the energy laws as they apply in the State or Territory in which that Distribution Network Service Provider operates.
(b)	The time limit for the making of a determination by the AER in subclause 6.6.1(e) and subclause 6.6.1(e) of Appendix 1, is 100 business days.
Part ZS	Cost pass through arrangements for Network Service Providers
11.49	Rules consequential on the making of National Electricity Amendment (Cost pass through arrangements for Network Service Providers) Rule 2012
11.49.1	Definitions
In this rule 11.49:
Amending Rule means the National Electricity Amendment (Cost pass through arrangements for Network Service Providers) Rule 2012.
commencement date means the date the Amending Rule commences operation.
current regulatory control period for a Network Service Provider means the regulatory control period that commenced before the commencement date and, as at the commencement date, has not ended.
next regulatory control period for a Network Service Provider means the regulatory control period that commences after the end of the current regulatory control period.
Powerlink means Queensland Electricity Transmission Corporation Ltd (ACN 078 849 233).
ElectraNet means ElectraNet Pty Ltd (ACN 094 482 416).
Murraylink means Murraylink Transmission Company Pty Ltd (ACN 089 875 605).
terrorism event means terrorism event as defined in Chapter 10 of the Rules as in force immediately before the commencement date.
11.49.2	Terrorism event is a cost pass through event in the current regulatory control period
Despite the Amending Rule, a terrorism event is a pass through event for a Network Service Provider during its current regulatory control period.
11.49.3	Transitional arrangement for Powerlink
(a)	Powerlink may, by written notice to the AER not later than 90 days after the commencement date, apply to amend its transmission determination for the current regulatory control period to include one or more nominated pass through events. 
(b)	Within 90 business days of receiving a notice under paragraph(a), the AER must determine the additional pass through events that are to apply to Powerlink for the current regulatory control period. 
(c)	In making a determination under paragraph (b), the AER must take into account the nominated pass through event considerations.
(d)	If the AER determines under paragraph(b) that additional pass through events should apply to Powerlink for the current regulatory control period, the AER must as soon as practicable: 
(1)	notify Powerlink of that determination in writing; and
(2)	amend Powerlink's transmission determination in accordance with paragraph(e). 
(e)	Amendments to a transmission determination referred to in paragraph (d)(2) must only vary the  determination to the extent necessary to include the additional pass through events that the AER has determined will apply to Powerlink in the transmission determination.
(f)	If the AER determines under paragraph (b) that Powerlink's transmission determination should not include a pass through event nominated by Powerlink under paragraph (a), it must notify Powerlink as soon as practicable.
11.49.4	Transitional arrangements for ElectraNet and Murraylink
(a)	Each of ElectraNet and Murraylink may, not later than 30 days after the commencement date, submit to the AER a proposal as to the events that should be defined as pass through events under clause 6A.7.3(a1)(5) for the purposes of its Revenue Proposal for the next regulatory control period, having regard to the nominated pass through event considerations.
(b)	If within 30 days after the commencement date the AER receives a proposal under paragraph (a) from ElectraNet or MurrayLink, then the AER must treat the proposal as if it had been included in the relevant Transmission Network Service Provider's Revenue Proposal for the next regulatory control period and make a decision under clause 6A.14.1(9) in respect of that proposal.
Part ZT	Distribution Network Planning and Expansion
11.50	Rules consequential on the making of the National Electricity Amendment (Distribution Network Planning and Expansion) Rule 2012
11.50.1	Interpretation
Unless otherwise specified, terms defined in clause 5.10.2 have the same meaning when used in this rule 11.50.
11.50.2	Definitions
For the purposes of this rule 11.50:
Amending Rule means the National Electricity Amendment (Distribution Network Planning and Expansion) Rule 2012.
commencement date means the date of commencement of Schedules 1 to 4 and Schedule 6 of the Amending Rule.
DAPR date  has the meaning given to it in clause 5.13.2(a).
new rules 5.15 and 5.17 means rules 5.15 and 5.17 of the Rules as in force immediately after the commencement date.
new network investment means has the meaning given to it in the Rules as in force immediately before the commencement date.
old clause 5.6.2(e1) to (k) means clauses 5.6.2(e1) to (k) of the Rules as in force immediately before the commencement date.
old clause 5.6.5A means clause 5.6.5A of the Rules (including the regulatory test and the regulatory test application guidelines made under by the AER under that clause and all definitions used in that clause) as in force immediately before the commencement date.
regulatory test  has the meaning given to it in the Rules as in force immediately before the commencement date.
regulatory test project for a Distribution Network Service Provider means each project specified in the list provided by the Distribution Network Service Provider to the AER under clause 11.50.5(c), except any project the subject of a determination under clause 11.50.5(e).
RIT-D commencement date means the date that is one year from the commencement date.
11.50.3	Timing for first Distribution Annual Planning Report
If the first DAPR date for a Distribution Network Service Provider is less than 6 months after the commencement date then, despite clause 5.13.2(b), the Distribution Network Service Provider is not required to publish its first Distribution Annual Planning Report under clause 5.13.2 until the second DAPR date for that Distribution Network Service Provider after the commencement date.
11.50.4	Contents of Distribution Annual Planning Report
(a)	A Distribution Network Service Provider is not required to include in its first Distribution Annual Planning Report published under clause 5.13.2 the information specified in clause S5.8(a)(5) if information on energy and demand forecasts was not required to be reported by the Distribution Network Service Provider under jurisdictional electricity legislation applicable at the time the previous report was prepared.
(b)	Notwithstanding clause S5.8(e) , if a Distribution Annual Planning Report is published: 
(1)	in the period from the commencement date to the RIT-D commencement date, then the Distribution Network Service Provider: 
(i)	is not required to include the information specified in clauses S5.8(e) and (f) in its Distribution Annual Planning Report; and
(ii)	must include in its Distribution Annual Planning Report the information specified in paragraph (c); and
(2)	in the period from the RIT-D commencement date until the DAPR date after the completion of its last assessment of a project under the regulatory test, then the Distribution Network Service Provider: 
(i)	is not required to include the information specified in clauses S5.8(e) and (f) in its Distribution Annual Planning Report; and
(ii)	must include in its Distribution Annual Planning Report the information specified in paragraph (d).
(c)	For the purposes of paragraph (b)(1)(ii), the Distribution Network Service Provider must include in its Distribution Annual Planning Report the information specified in clauses S5.8(e) and (f) as if those clauses were modified as follows:
(1)	by omitting "RIT-D project" and substituting "new network investment";
(2)	by omitting "regulatory investment test for distribution" and substituting "regulatory test";
(3)	by omitting "credible option" and substituting "investment option"; and
(4)	by omitted "preferred option" and substituting "preferred proposal".
(d)	For the purposes of paragraph (b)(2)(ii), the Distribution Network Service Provider must include in its Distribution Annual Planning Report the information specified in clauses S5.8(e) and (f) as if those clauses were modified as follows:
(1)	by omitting "RIT-D projects" and substituting "new network investment or RIT-D projects (as the case may be)";
(2)	by omitting "regulatory investment test for distribution" and substituting "regulatory test or the regulatory investment test for distribution (as the case may be)";
(3)	by omitting "credible option" and substituting "investment option or credible option (as the case may be)"; and
(4)	by omitted "preferred option" and substituting "preferred proposal or preferred option (as the case may be)".
11.50.5	Transition from the regulatory test to the regulatory investment test for distribution
(a)	From the commencement date until the RIT-D commencement date:
(1)	new rules 5.15 and 5.17 have no effect in relation to RIT-D projects or joint planning projects; 
(2)	old clause 5.6.5A continues to apply to new network investment; and
(3)	Registered Participants must comply with old clauses 5.6.2(e1) to (k) to the extent those provisions are relevant to the application of the regulatory test. 
(b)	After the RIT-D commencement date:
(1)	new rules 5.15 and 5.17 have no effect in relation to RIT-D projects that are regulatory test projects; 
(2)	old clause 5.6.5A continues to apply to regulatory test projects; and 
(3)	Registered Participants must comply with old clauses 5.6.2(e1) to (k) to the extent those provisions are relevant to the application of the regulatory test.
(c)	By 31 December 2013, each  Network Service Provider that has commenced assessing a project under the regulatory test must submit to the AER a list of those projects.
(d)	In the first regulatory investment test for distribution application guidelines it publishes under clause 5.17.2(d), the AER must, in addition to meeting the requirements of clause 5.17.2, provide guidance as to when a regulatory test assessment will be considered to have commenced for the purposes of paragraph (c).
(e)	The AER may, having regard to any guidelines made under clause 5.17.2(d), determine that a project or projects in the list submitted by a  Network Service Provider under paragraph (c) have not commenced assessment under the regulatory test.
Part ZU	New Prudential Standard and Framework in the NEM
11.51	Rules consequential on the making of the National Electricity Amendment (New Prudential Standard and Framework in the NEM) Rule 2012
11.51.1	Definitions
For the purposes of this rule 11.51:
Amending Rule means the National Electricity Amendment (New Prudential Standard and Framework in the NEM) Rule 2012.
commencement date means the date the Amending Rule commences operation.
credit limit procedures has the meaning given to it in clause 3.1.1A of the Rules after the commencement date.
maximum credit limit has the meaning given to it in Chapter 10 of the Rules immediately prior to the commencement date.
new clause 3.3.8 means clause 3.3.8 of the Rules after the commencement date.
old clause 3.3.8 means clause 3.3.8 of the Rules (and all definitions in, and relevant provisions of, the Rules amended by the Amending Rule) as in force immediately prior to the commencement date.
prudential margin has the meaning given to it in Chapter 10 of the Rules immediately prior to the commencement date.
prudential settings has the meaning given to it in clause 3.1.1A of the Rules after the commencement date.
11.51.2	AEMO's responsibility to develop and publish the credit limit procedures
As soon as it is practicable after the commencement date, and in accordance with the Rules consultation procedures, AEMO must develop and publish the credit limit procedures in accordance with the Amending Rule.
11.51.3	Transition to the framework for determining prudential settings
(a)	AEMO must continue to calculate the maximum credit limit and the prudential margin to apply to Market Participants under old clause 3.3.8 until it determines the prudential settings to apply to Market Participants under new clause 3.3.8.
(b)	By 1 December 2013:
(1)	AEMO must determine the prudential settings to apply to each Market Participant under new clause 3.3.8; and
(2)	AEMO must notify each Market Participant, in writing, of the prudential settings that apply to it under new clause 3.3.8.
11.51.4	Prior consultation, step, decision or action taken by AEMO
(a)	If, prior to the commencement date and for the purposes of developing the credit limit procedures in anticipation of the Amending Rule, AEMO undertook a consultation or step equivalent to that as required in the Rules consultation procedures, then that consultation or step is taken to satisfy the equivalent consultation or step under the Rules consultation procedures.
(b)	If, prior to the commencement date and in anticipation of the Amending Rule, AEMO made a decision or took an action, that decision or action is taken to satisfy the equivalent decision or action under the Rules.
Part ZV	Small Generation Aggregator Framework
11.52	Rules consequential on the making of the National Electricity Amendment (Small Generation Aggregator Framework) Rule 2012
11.52.1	Definitions
In this rule 11.52:
Amending Rule means the National Electricity Amendment (Small Generation Aggregator Framework) Rule 2012.
Amending Rule commencement date means the date of commencement of the Amending Rule.
customer energy has the same meaning in clause 3.15.6A(o)(3) of new clause 3.15.6A.
small generator energy has the same meaning in clause 3.15.6A(o)(5) of new clause 3.15.6A.
MSGA participant fees and Chapter 3 commencement date has the meaning given to it in clause 11.52.2.
new clause 3.15.6A means clause 3.15.6A of the Rules after the Amending Rule commencement date.
new clause 3.15.8 means clause 3.15.8 of the Rules after the Amending Rule commencement date.
new clause 3.15.10C means clause 3.15.10C of the Rules after the Amending Rule commencement date.
old clause 3.15.6A means clause 3.15.6A of the Rules (and all definitions in, and relevant provisions of, the Rules) in force immediately prior to the Amending Rule commencement date.
old clause 3.15.8 means clause 3.15.8 of the Rules (and all definitions in, and relevant provisions of, the Rules) in force immediately prior to the Amending Rule commencement date.
old clause 3.15.10C means clause 3.15.10C of the Rules (and all definitions in, and relevant provisions of, the Rules) in force immediately prior to the Amending Rule commencement date.
11.52.2	Commencement of participant fees as well as transactions, funding and settlements under Chapter 3 for Market Small Generation Aggregators
(a)	Subject to paragraph (b), the MSGA participant fees and Chapter 3 commencement date is 31 December 2013.
(b)	AEMO may determine a MSGA participant fees and Chapter 3 commencement date that is earlier than 31 December 2013 provided that:
(1)	AEMO is able to do all of the following:
(i)	charge Participant fees under this Part; and
(ii)	determine ancillary services transactions under new clause 3.15.6A; and
(iii)	include (if required) in a relevant final statement amounts calculated under new clause 3.15.10C; and
(2)	AEMO publishes a notice that specifies the earlier MSGA participant fees and Chapter 3 commencement date, which must not be less than 10 business days before the specified date.
11.52.3	Participant fees for Market Small Generation Aggregators
(a)	For the period from the MSGA participant fees and Chapter 3 commencement date until the date that AEMO publishes a revised structure of Participant fees under rule 2.11, for the purposes of charging a Market Small Generator Aggregator a Participant fee, in the document titled "Structure of Participant Fees under rule 2.11 of the National Electricity Rules" dated 21 March 2011, references to Market Customer will be taken to include Market Small Generator Aggregator.
(b)	In publishing a revised structure of Participant fees under rule 2.11, AEMO must take into account the Amending Rule.
11.52.4	Ancillary service transactions, funding of compensation for directions and intervention settlements for directions for Market Small Generation Aggregators
(a)	As soon as practicable after the Amending Rule commencement date:
(1)	AEMO must implement a plan to update its process, software or algorithm in regards to the determination by AEMO of ancillary service transactions referred to in clause 3.15.6A to take into account the Amending Rule; and
(2)	AEMO must amend the procedure for determining contribution factors as referred to in clause 3.15.6A(j) to take into account the Amending Rule.
(b)	From the Amending Rule commencement date to the MSGA participant fees and Chapter 3 commencement date:
(1)	AEMO must determine ancillary service transactions under old clause 3.15.6A, where:
(i)	Market Customer will be taken to include Market Small Generation Aggregator; and
(ii)	customer energy will be taken to include small generator energy;
(2)	AEMO must calculate funding of compensation for directions under old clause 3.15.8; and
(3)	AEMO must include in a relevant final statement amounts calculated under old clause 3.15.10C.
(c)	AEMO may amend the procedure for determining contribution factors as referred to in clause 3.15.6A(j) to take into account the Amending Rule without complying with the Rules consultation procedures provided that it:
(1)	publishes a notice that the procedure for determining contribution factors as referred to in clause 3.15.6A(j) has been amended to take into account the Amending Rule; and
(2)	makes available on its website the amended procedure for determining contribution factors as referred to in clause 3.15.6A(j).
11.52.5	Amendments to the carbon dioxide equivalent intensity index procedures
(a)	As soon as practicable after the Amending Rule commencement date, AEMO must amend and publish the carbon dioxide equivalent intensity index procedures so that a reference to a market generating unit is not taken to include a small generating unit.
(b)	AEMO may amend the carbon dioxide equivalent intensity index procedures so that a reference to a market generating unit is not taken to include a small generating unit, without complying with the Rules consultation procedures provided that it:
(1)	publishes a notice that a reference to amarket generating unit in the carbon dioxide equivalent intensity index procedures is not taken to include a small generating unit; and
(2)	makes available on its website the amended carbon dioxide equivalent intensity index procedures.
11.52.6	Amendments of the metrology procedures
(a)	As soon as practicable after the Amending Rule commencement date, AEMO must amend the metrology procedures to take into account the Amending Rule.
(b)	Only to the extent of amending the metrology procedures to take into account the Amending Rule, AEMO:
(1)	is not subject to, or required to comply with, clause 7.1.4(a) and (b);
(2)	is not required to comply with the Rules consultation procedures;
(3)	must publish a notice that the metrology procedures has been amended to take into account the Amending Rule; and
(4)	must make available on its website the amended metrology procedures.
11.52.7	Amendments to the Market Settlement and Transfer Solution Procedures
(a)	As soon as practicable after the Amending Rule commencement date, AEMO must amend and publish the Market Settlement and Transfer Solution Procedures to take into account the Amending Rule.
(b)	If, prior to the Amending Rule commencement date, and for the purposes of developing the Market Settlement and Transfer Solution Procedures in anticipation of the Amending Rule, AEMO undertook a consultation, step, decision or action equivalent to that as required in the Rules consultation procedures, then that consultation, step, decision or action is taken to satisfy the equivalent consultation, step, decision or action under the Rules consultation procedures.
Part ZW	Economic Regulation of Network Service Providers (2012 amendments)
Division 1	Miscellaneous transitional provisions
11.53	Publication of Chapter 6 Guidelines
11.53.1	Shared Asset Guidelines
(a)	The AER must publish the first Shared Asset Guidelines under clause 6.4.4 by 29 November 2013.
(b)	By no later than 21 December 2012, the AER must publish a paper that sets out:
(1)	a schedule setting out the key dates and milestones for the making of the first Shared Asset Guidelines by the date specified in paragraph (a); and
(2)	the specific consultation procedure that the AER will follow in making the first Shared Asset Guidelines, which must be consistent with the distribution consultation procedures.
11.53.2	Capital Expenditure Incentive Guidelines
(a)	The AER must publish the first Capital Expenditure Incentive Guidelines under rule 6.4A by 29 November 2013
(b)	By no later than 21 December 2012, the AER must publish a paper that sets out:
(1)	a schedule setting out the key dates and milestones for the making of the first Capital Expenditure Incentive Guidelines by the date specified in paragraph (a); and
(2)	the specific consultation procedure that the AER will follow in making the first Capital Expenditure Incentive Guidelines, which must be consistent with the distribution consultation procedures.
11.53.3	Rate of Return Guidelines
(a)	The AER must publish the first Rate of Return Guidelines under clause 6.5.2 by 29 November 2013.
(b)	By no later than 21 December 2012, the AER must publish a paper that sets out:
(1)	a schedule setting out the key dates and milestones for the making of the first Rate of Return Guidelines by the date specified in paragraph (a); and
(2)	the specific consultation procedure that the AER will follow in making the first Rate of Return Guidelines, which must be consistent with the distribution consultation procedures.
11.53.4	Expenditure Forecast Assessment Guidelines
(a)	The AER must publish the first Expenditure Forecast Assessment Guidelines under clause 6.4.5 by 29 November 2013.
(b)	By no later than 21 December 2012, the AER must publish a paper that sets out:
(1)	a schedule setting out the key dates and milestones for the making of the first Expenditure Forecast Assessment Guidelines by the date specified in paragraph (a); and
(2)	the specific consultation procedure that the AER will follow in making the first Expenditure Forecast Assessment Guidelines, which must be consistent with the distribution consultation procedures.
11.53.5	Distribution Confidentiality Guidelines
(a)	The AER must publish the first Distribution Confidentiality Guidelines under rule 6.14A by 29 November 2013.
(b)	By no later than 21 December 2012, the AER must publish a paper that sets out:
(1)	a schedule setting out the key dates and milestones for the making of the first Distribution Confidentiality Guidelines by the date specified in paragraph (a); and
(2)	the specific consultation procedure that the AER will follow in making the first Distribution Confidentiality Guidelines, which must be consistent with the distribution consultation procedures.
11.53.6	Consultation procedure paper
For the avoidance of doubt, nothing prevents the AER from publishing one or more of the papers referred to in clauses 11.53.1(b), 11.53.2(b), 11.53.3(b), 11.53.4(b) and 11.53.5(b) or in rule 11.54 in the same document.
11.54	Publication of Chapter 6A Guidelines
11.54.1	Shared Asset Guidelines
(a)	The AER must publish the first Shared Asset Guidelines under clause 6A.5.5 by 29 November 2013.
(b)	By no later than 21 December 2012, the AER must publish a paper that sets out:
(1)	a schedule setting out the key dates and milestones for the making of the first Shared Asset Guidelines by the date specified in paragraph (a); and
(2)	the specific consultation procedure that the AER will follow in making the first Shared Asset Guidelines, which must be consistent with the transmission consultation procedures.
11.54.2	Capital Expenditure Incentive Guidelines
(a)	The AER must publish the first Capital Expenditure Incentive Guidelines under rule 6A.5A by 29 November 2013.
(b)	By no later than 21 December 2012, the AER must publish a paper that sets out:
(1)	a schedule setting out the key dates and milestones for the making of the first Capital Expenditure Incentive Guidelines by the date specified in paragraph (a); and
(2)	the specific consultation procedure that the AER will follow in making the first Capital Expenditure Incentive Guidelines, which must be consistent with the transmission consultation procedures.
11.54.3	Rate of Return Guidelines
(a)	The AER must publish the first Rate of Return Guidelines under clause 6A.6.2 by 29 November 2013.
(b)	By no later than 21 December 2012, the AER must publish a paper that sets out:
(1)	a schedule setting out the key dates and milestones for the making of the first Rate of Return Guidelines by the date specified in paragraph (a); and
(2)	the specific consultation procedure that the AER will follow in making the first Rate of Return Guidelines, which must be consistent with the transmission consultation procedures.
11.54.4	Expenditure Forecast Assessment Guidelines
(a)	The AER must publish the first Expenditure Forecast Assessment Guidelines under clause 6A.5.6 by 29 November 2013.
(b)	By no later than 21 December 2012, the AER must publish a paper that sets out:
(1)	a schedule setting out the key dates and milestones for the making of the first Expenditure Forecast Assessment Guidelines by the date specified in paragraph (a); and
(2)	the specific consultation procedure that the AER will follow in making the first Expenditure Forecast Assessment Guidelines, which must be consistent with the transmission consultation procedures.
11.54.5	Transmission Confidentiality Guidelines
(a)	The AER must publish the first Transmission Confidentiality Guidelines under rule 6A.16A by 29 November 2013.
(b)	By no later than 21 December 2012, the AER must publish a paper that sets out:
(1)	a schedule setting out the key dates and milestones for the making of the first Transmission Confidentiality Guidelines by the date specified in paragraph (a); and
(2)	the specific consultation procedure that the AERwill follow in making the first Transmission Confidentiality Guidelines, which must be consistent with the transmission consultation procedures.
11.54.6	Consultation paper procedure
For the avoidance of doubt, nothing prevents the AER from publishing one or more of the papers referred to in clauses 11.54.1(b), 11.54.2(b), 11.54.3(b), 11.54.4(b) and 11.54.5(b) or in rule 11.53 in the same document.
Division 2	Transitional provisions for NSW/ACT Distribution Network Service Providers
11.55	General provisions
11.55.1	Definitions
In this Division 2:
affected DNSP  means a NSW/ACT DNSP.
Amending Rules  means Schedules 1 and 3 of the National Electricity Amendment (Economic Regulation of Network Service Providers) Rule 2012.
current Chapter 6  means Chapter 6 of the Rules as in force immediately after the Amending Rules come into force. 
current regulatory control period, of an affected DNSP, means the regulatory control period for the affected DNSP that immediately precedes the transitional regulatory control period.
former Chapter 6  means Chapter 6 of the Rules as in force immediately before the Amending Rules come into force.
NSW/ACT DNSP  means each of the following Distribution Network Service Providers:
(a)	ActewAGL, the joint venture between ACTEW Distribution Limited ACN 073 025 224 and Jemena Networks (ACT) Pty Ltd ACN 008 552 663 providing distribution services in the Australian Capital Territory, or any successor to its business;
(b)	Ausgrid, the energy services corporation of that name (formerly known as EnergyAustralia), which is constituted under section 7 of the Energy Services Corporations Act 1995 (NSW) and specified in Part 2 of Schedule 1 to that Act, or any successor to its business;
(c)	Endeavour Energy, the energy services corporation of that name (formerly known as Integral Energy), which is constituted under section 7 of the Energy Services Corporations Act 1995 (NSW) and specified in Part 2 of Schedule 1 to that Act, or any successor to its business; and
(d)	Essential Energy, the energy services corporation of that name (formerly known as Country Energy), which is constituted under section 7 of the Energy Services Corporations Act 1995 (NSW) and specified in Part 2 of Schedule 1 to that Act, or any successor to its business.
subsequent regulatory control period, of an affected DNSP, means the regulatory control period for the affected DNSP that immediately follows the transitional regulatory control period.
Note:
The definition of regulatory control period for the purposes of this definition is affected by clause 11.56.4(k).
transitional Chapter 6  has the meaning given to it in clause 11.55.2.
transitional regulatory control period  means a period of one year that commences on 1 July 2014 and ends on 30 June 2015.
transitional regulatory proposal, for an affected DNSP, means a regulatory proposal for distribution services provided by means of, or in connection with, a distribution system that is owned, controlled or operated by the affected DNSP, being a regulatory proposal that is for the transitional regulatory control period.
Note:
The definition of regulatory proposal for the purposes of this definition is affected by clause 11.55.2(b).
11.55.2	Transitional Chapter 6
For the purposes of this Division 2, transitional Chapter 6 means current Chapter 6 except that:
(a)	the following clauses are omitted: clauses 6.3, 6.4.3, 6.4.4(a), (b), 6.5.2(a)-(l), 6.5.3, 6.5.5, 6.5.6, 6.5.7, 6.5.9, 6.5.10, 6.6.1(j)(7), 6.6.5, 6.6A, 6.8.1, 6.8.1A, 6.9.1, 6.9.2, 6.9.2A, 6.9.3(b), (b1), (b2), 6.10, 6.11.1A, 6.12.1(2)-(8), 6.12.2(b), 6.12.3(b)-(j), Schedule 6.1, S6.2.1, S6.2.2A, S6.2.2B and S6.2.3;
(b)	clauses 6.8.2(a)-(c2) are deleted and replaced with the following:
"(a)	An affected DNSP must submit a transitional regulatory proposal to the AER at least 5 months before the expiry of the current regulatory control period of that affected DNSP.
(b)	A transitional regulatory proposal must include (but need not be limited to) the following elements:
(1)	an amount that the affected DNSP proposes will be the annual revenue requirement for the transitional regulatory control period, it being acknowledged that such amount will not be calculated in accordance with the provisions of the Rules that would otherwise apply to the calculation of the annual revenue requirement; and
(2)	the elements referred to in clauses 6.8.2(c)(4), (5A) and (6) of current Chapter 6.";
(c)	in clause 6.6.1(j)(4), all the words after "the time cost of money" are deleted;
(d)	clause 6.9.3(c) of former Chapter 6 applies instead of clause 6.9.3(c) of current Chapter 6 but as if the reference to 30 business days were a reference to 20 business days;
(e)	all references in a rule (other than rule 6.10) to a draft distribution determination under rule 6.10 are deleted; 
Note:
Rule 6.10 is excluded from transitional Chapter 6 under paragraph (a) above.
(f)	clause 6.12.1 includes as an additional constituent decision "a decision on the commencement and length of the regulatory control period";
(g)	the reference to "building block proposal" in clause 6.12.2(a)(2)(i) is replaced with a reference to "regulatory proposal"; 
(h)	in each of clauses 6.18.7(c)(3) and 6.18.7A(c)(3), all the words after "adjusts for an appropriate cost of capital" are deleted; and
(i)	any provisions of transitional Chapter 6 that pertain to:
(1)	the resubmission or publication of a regulatory proposal (or the accompanying information) under rule 6.9;
(2)	the publication of the AER's proposed Negotiated Distribution Service Criteria; or
(3)	the assessment by the AER of, or consultation on, the documents and matters referred to in subparagraphs (1) and (2),
do not apply to that extent for the purposes of the AER making a distribution determination for the transitional regulatory control period.
11.55.3	Application of rule 11.56
Rule 11.56 prevails to the extent of any inconsistency over any other clause of the Rules.
11.56	Special provisions applying to affected DNSPs
11.56.1	Requirement to make distribution determination
(a)	The AER must, in accordance with transitional Chapter 6 and this Division 2, make for the transitional regulatory control period a distribution determination for each distribution system that is owned, controlled or operated by the affected DNSP and in respect of which the AER made a distribution determination for the current regulatory control period of that affected DNSP.
(b)	A distribution determination referred to in paragraph (a) must, among other things, set out the amount that the AER approves as the affected DNSP's annual revenue requirement for the transitional regulatory control period in accordance with clause 11.56.3.
11.56.2	Transitional regulatory proposal
 Requirement for transitional regulatory proposal
(a)	A transitional regulatory proposal must comply with the requirements of transitional Chapter 6 and this Division 2.
Additional information to accompany transitional regulatory proposal
(b)	At the same time as an affected DNSP submits its transitional regulatory proposal to the AER, it must also submit the following accompanying information to the AER:
(1)	an indicative estimate of the value of the regulatory asset base for the relevant distribution system as at the beginning of the transitional regulatory control period;
(2)	an indicative range for the rate of return that should be applied to the regulatory asset base referred to in subparagraph (1), which takes into account available market information and expected market trends, and has regard to the Rate of Return Guidelines published by the AER;
(3)	an indicative estimate of forecast operating expenditure and capital expenditure for the transitional regulatory control period;
(4)	an indicative estimate of the cost of corporate tax and depreciation for the transitional regulatory control period;
(5)	an indicative range of the affected DNSP's revenue requirements, for the provision of standard control services, for the transitional regulatory control period and for each of the subsequent four regulatory years, which is based on the information and inputs referred to in subparagraphs (1) to (4) and such other information or inputs as the affected DNSP considers to be relevant and as it includes in the information that accompanies the transitional regulatory proposal;
(6)	a summary of the affected DNSP's plan for expenditure for the transitional regulatory control period and the subsequent four regulatory years, together with an explanation of how this proposed expenditure is consistent with the proposed annual revenue requirement that is set out in the transitional regulatory proposal;
(7)	where the control mechanism that is to apply for a direct control service under clause 11.56.3(a)(5) or (6) is or includes a price cap or a price control, an indicative estimate of demand (including customer numbers, energy demand and maximum demand) for that type of direct control service for the transitional regulatory control period and each of the subsequent four regulatory years;
(8)	the revenue that the affected DNSP estimates it will earn from the provision of standard control services during the last regulatory year of its current regulatory control period; and
(9)	such other information or inputs as the affected DNSP considers to be relevant to the approval by the AER, under clause 11.56.3, of its annual revenue requirement for the transitional regulatory control period.
11.56.3	Distribution determination for a transitional regulatory control period
Content of distribution determination - general
(a)	Without otherwise limiting the operation of clause 6.12.1 of transitional Chapter 6, a distribution determination made by the AER for an affected DNSP for the transitional regulatory control period must:
(1)	specify the same classification of distribution services as that which was decided for the distribution determination for the current regulatory control period of the affected DNSP, except to the extent the framework and approach paper that is published in respect of the subsequent regulatory control period of the affected DNSP provides otherwise, in which case the classification must (to that extent) be as supplemented or modified in accordance with the framework and approach paper;
(2)	specify the commencement and length of the regulatory control period consistently with the commencement and length of the transitional regulatory control period;
(3)	specify that no capital expenditure sharing scheme or small-scale incentive scheme applies to the affected DNSP for the transitional regulatory control period;
(4)	specify that the D-factor scheme, efficiency benefit sharing scheme, service target performance incentive scheme and demand management and embedded generation connection incentive scheme that applied to the affected DNSP under the distribution determination for its current regulatory control period apply to the affected DNSP for the transitional regulatory control period subject to such modifications as are set out in the framework and approach paper that is published in respect of the subsequent regulatory control period of the affected DNSP (including as to the incentives under, and the non-application of, the relevant scheme);
(5)	specify the same control mechanisms for standard control services as those which were decided for the distribution determination for the current regulatory control period of the affected DNSP, except to the extent the framework and approach paper that is published in respect of the subsequent regulatory control period of the affected DNSP provides otherwise in accordance with paragraph (h)(2), in which case the relevant control mechanisms must be as set out in that framework and approach paper;
(6)	subject to paragraph (j), specify the same control mechanisms for alternative control services as those which were decided for the distribution determination for the current regulatory control period of the affected DNSP, except to the extent the framework and approach paper that is published in respect of the subsequent regulatory control period of the affected DNSP provides otherwise in accordance with paragraph (h)(2), in which case the relevant control mechanisms must be as set out in that framework and approach paper;
(7)	specify the manner of demonstration of compliance with a relevant control mechanism as being that which was decided for the distribution determination for the current regulatory control period of the affected DNSP, except to the extent the framework and approach paper that is published in respect of the subsequent regulatory control period of the affected DNSP in accordance with paragraph (h)(2) specifies a different control mechanism, in which case the manner of demonstration of compliance with that control mechanism must be as decided by the AER in the distribution determination for the transitional regulatory control period;
(8)	specify, as the additional pass through events that are to apply for the transitional regulatory control period:
(i)	the same additional pass through events that were decided in the distribution determination for the current regulatory control period of the affected DNSP; and
(ii)	the "terrorism event" as defined in the Rules immediately prior to the date the National Electricity Amendment (Cost pass through arrangements for Network Service Providers) Rule 2012 came into force;
(9)	specify, as the negotiating framework that is to apply to the affected DNSP for the transitional regulatory control period, the negotiating framework that was decided for the current regulatory control period of the affected DNSP;
(10)	specify, as the Negotiated Distribution Service Criteria for the affected DNSP, the Negotiated Distribution Service Criteria that were decided for the distribution determination for the current regulatory control period of the affected DNSP;
(11)	specify, as the procedures for assigning retail customers to tariff classes or reassigning retail customers from one tariff class to another, the same procedures as those which were decided for the distribution determination for the current regulatory control period of the affected DNSP;
(12)	approve, as the pricing methodology for any transmission standard control services the pricing in respect of which was regulated under Part J of Chapter 6A during the current regulatory control period of the affected DNSP, the pricing methodology (if any) which was approved for those services for the distribution determination for that current regulatory control period; 
(13)	specify that the depreciation for establishing the regulatory asset base as at the commencement of the subsequent regulatory control period of the affected DNSP is to be based on actual capital expenditure (if that was decided for the distribution determination for the current regulatory control period of the affected DSNP) or forecast capital expenditure (if that was decided for the distribution determination for the current regulatory control period of the affected DNSP);
(14)	specify, as the manner in which the affected DNSP is to report to the AER on its recovery of designated pricing proposal charges and jurisdictional scheme amounts, the manner that was decided for the current regulatory control period of the affected DNSP, except to the extent the designated pricing proposal charge or jurisdictional scheme was not subject to such a decision for that current regulatory control period, in which case the manner of reporting must (to that extent) be as decided by the AER in the distribution determination for the transitional regulatory control period; and
(15)	specify, as the adjustments to be made to subsequent pricing proposals to account for over or under recovery of any designated pricing proposal charges or jurisdictional scheme amounts, the adjustments that were decided for the current regulatory control period of the affected DNSP, except to the extent the designated pricing proposal charge or jurisdictional scheme was not subject to such a decision for that current regulatory control period, in which case the adjustments must (to that extent) be as decided by the AER in the distribution determination for the transitional regulatory control period.
Annual revenue requirement
(b)	The AER must only approve the amount that is proposed by an affected DNSP to be its annual revenue requirement for the transitional regulatory control period, as set out by the affected DNSP in its transitional regulatory proposal, if the AER is satisfied that the amount is such that the recovery of it by the affected DNSP is reasonably likely to minimise variations in prices between the affected DNSP's current regulatory control period, transitional regulatory control period and subsequent regulatory control period and between the regulatory years of the subsequent regulatory control period.
Note:
In deciding whether or not to approve such an amount the AER must also take into account the national electricity objective and the revenue and pricing principles: see National Electricity Law, s.16(1)(a) and (2)(a).
(c)	In deciding whether or not to approve an amount as referred to in paragraph (b), the AER must have regard to the following:
(1)	the fact that the annual revenue requirement for the transitional regulatory control period is an estimate that is based on indicative inputs and that the distribution determination for the subsequent regulatory control period will make an adjustment to the total revenue requirement for the subsequent regulatory control period in accordance with clause 11.56.4(h) and (i);
(2)	the information included in or accompanying the transitional regulatory proposal;
(3)	submissions received in the course of consulting on the transitional regulatory proposal; and
(4)	analysis undertaken by or for the AER in connection with the transitional regulatory proposal.
(d)	If the AER does not approve the amount that is proposed by the affected DNSP as its annual revenue requirement for the transitional regulatory control period, then the AER must approve an amount as the annual revenue requirement of the affected DNSP for the transitional regulatory control period that it is satisfied is such that the recovery of it by the affected DNSP is reasonably likely to minimise variations in prices between the affected DNSP's current regulatory control period, transitional regulatory control period and subsequent regulatory control period and between the regulatory years of the subsequent regulatory control period.
Note:
In deciding on such an amount, the AER must also take into account the national electricity objective and the revenue and pricing principles: see National Electricity Law, s.16(1)(a) and (2)(a).
(e)	A decision of the AER under this clause 11.56.3 to approve an amount as the annual revenue requirement of an affected DNSP for the transitional regulatory control period is taken to be a constituent decision for the purposes of clause 6.12.1 of transitional Chapter 6.
(f)	An amount approved by the AER under this clause 11.56.3 as the annual revenue requirement of an affected DNSP for the transitional regulatory control period is to be taken, for the purpose of the Rules, to be the annual revenue requirement of the affected DNSP for the transitional regulatory control period.
Dual function assets
(g)	Where the AER has determined, for the current regulatory control period of an affected DNSP, that pricing in respect of transmission standard control services provided by any dual function assets that are owned, controlled or operated by the affected DNSP should be regulated under Part J of Chapter 6A through the application of former Chapter 6, the AER is taken to have made that same determination for the transitional regulatory control period.
Framework and approach paper
(h)	A framework and approach paper that is published in respect of the subsequent regulatory control period of an affected DNSP may specify the following matters in relation to the distribution determination for that affected DNSP for the transitional regulatory control period:
(1)	the classification of distribution services for the transitional regulatory control period (which must be the same as the classification of distribution services that is specified for the subsequent regulatory control period by any framework and approach paper);
(2)	where a framework and approach paper specifies a classification for distribution services for the transitional regulatory control period that is different from that decided for the distribution determination for the current regulatory control period, the form of, and formulae to give effect to, the control mechanism for those distribution services (which must be the same as the form and formulae that are specified for the subsequent regulatory control period by any framework and approach paper);
(3)	the modifications to be made to an incentive scheme as referred to in paragraph (a)(4); 
(4)	the manner in which the prices that may be charged for alternative control services during the subsequent regulatory control period are to be adjusted to account for any over or under recovery of revenue earned from the provision of those services during the transitional regulatory control period; and
(5)	the treatment of any other matters relating to the transitional regulatory control period, providing that the treatment of those matters is not inconsistent with this Division 2.
Allocation of costs
(i)	For the purposes of the application of clause 6.15.2(7) of transitional Chapter 6, the transitional regulatory control period must be treated as if it were the last regulatory year of the current regulatory control period of the affected DNSP, and not a separate regulatory control period.
Pricing of alternative control services
(j)	The prices for alternative control services that are provided by an affected DNSP during the transitional regulatory control period must be the prices that applied as at the end of the current regulatory control period of the affected DNSP escalated by the CPI as at that time.
11.56.4	Subsequent regulatory control period
General
(a)	Except as otherwise specified in this clause 11.56.4, current Chapter 6 governs the making of a distribution determination for the subsequent regulatory control period of an affected DNSP.
Calculation of annual revenue requirement and other matters
(b)	Except as provided in paragraph (d), an affected DNSP must prepare and submit its regulatory proposal for the subsequent regulatory control period of the affected DNSP, together with all the information that is required to accompany that regulatory proposal, in accordance with current Chapter 6 and as if:
(1)	the subsequent regulatory control period comprised the transitional regulatory control period (as the first regulatory year of the subsequent regulatory control period) and all of the regulatory years of the subsequent regulatory control period (as the remaining regulatory years of the subsequent regulatory control period); and
(2)	the transitional regulatory control period were not a separate regulatory control period.
(c)	For the purposes of making a distribution determination for an affected DNSP for the subsequent regulatory control period of that affected DNSP, the AER must determine:
(1)	the annual revenue requirement of the affected DNSP for each regulatory year of its subsequent regulatory control period;
(2)	the total revenue requirement of the affected DNSP for that subsequent regulatory control period;
(3)	the X factor for each control mechanism for each regulatory year of that subsequent regulatory control period; and
(4)	the opening value of the regulatory asset base for the relevant distribution system, 
in accordance with current Chapter 6 (except that clause 6.5.9(b)(2) of current Chapter 6 does not apply to the determination of any X factor) and as if:
(5)	the subsequent regulatory control period comprised the transitional regulatory control period (as the first regulatory year of the subsequent regulatory control period) and all of the regulatory years of the subsequent regulatory control period (as the remaining regulatory years of the subsequent regulatory control period); and
(6)	the transitional regulatory control period were not a separate regulatory control period.
For the avoidance of doubt, this paragraph (c) requires the AER to determine a notional annual revenue requirement, a notional X factor or X factors and a notional opening value of the regulatory asset base for the regulatory year that comprises the transitional regulatory control period.
(d)	The transitional regulatory control period of an affected DNSP must be treated as if it were the last regulatory year of the current regulatory control period of the affected DNSP, and not a separate regulatory control period, for the purposes of the application of the following clauses of current Chapter 6 in respect of a distribution determination for the subsequent regulatory control period of that affected DNSP: clauses 6.25(a), S6.1.1(6) and S6.1.2(7).
(e)	The transitional regulatory control period of an affected DNSP must be treated as if it were the first regulatory year of the subsequent regulatory control period of the affected DNSP, and not a separate regulatory control period, for the purposes of the application of the following clauses of current Chapter 6 in respect of a distribution determination for the affected DNSP for that subsequent regulatory control period: clauses 6.5.2(i), 6.6.5 and 6.6A.
(f)	The transitional regulatory control period of an affected DNSP must be treated as if it were the first regulatory year of the subsequent regulatory control period of that affected DNSP, and not a separate regulatory control period, for the purposes of the application of the following clauses of current Chapter 6 in respect of a distribution determination for the affected DNSP for the regulatory control period that follows that subsequent regulatory control period: clauses 6.5.1(e)(1), (3) and S6.2.1.
(g)	Nothing in this clause 11.56.4 has the effect of actually rendering the transitional regulatory control period as the first regulatory year of the subsequent regulatory control period and, except for the purposes of the application of paragraphs (b) to (f) in accordance with its terms, the transitional regulatory control period must be treated as a regulatory control period that is separate from the subsequent regulatory control period.
Adjustment to annual revenue requirement
(h)	An affected DNSP's total revenue requirement for its subsequent regulatory control period must be fully adjusted for the adjustment amount determined in accordance with paragraph (i). The adjustment must be made by increasing (where the adjustment amount is negative) or decreasing (where the adjustment amount is positive) the annual revenue requirement of one or more regulatory years of the subsequent regulatory control period as the AER considers appropriate, provided that the aggregate of all such increases or decreases for the relevant regulatory years is equivalent in net present value terms to the adjustment amount.
(i)	For the purposes of paragraph (h), the adjustment amount is calculated as:
(1)	the amount of the annual revenue requirement that was approved for the transitional regulatory control period under clause 11.56.3(b) or (d); less
(2)	the amount of the notional annual revenue requirement for the transitional regulatory control period that is determined under paragraph (c),
subject to such modifications in relation to the calculation of that adjustment amount as are set out in a framework and approach paper that applies in respect of a distribution determination for the subsequent regulatory control period and as are necessary by virtue of the application of a price cap or price control, rather than a revenue cap or revenue control, in respect of any standard control services that are provided by the affected DNSP.
(j)	The determination by the AER of the amount of the notional annual revenue requirement for the transitional regulatory control period under paragraph (c), and of the adjustment amount under paragraph (i), are each taken to be constituent decisions for the purposes of clause 6.12.1 of current Chapter 6.
Length of subsequent regulatory control period
(k)	If:
(1)	an affected DNSP proposes in its regulatory proposal a period of 4 regulatory years as the period for the subsequent regulatory control period of the affected DNSP, then the AER must, in its distribution determination for that subsequent regulatory control period, approve that period as (and that period will be) the regulatory control period for the affected DNSP that immediately follows the transitional regulatory control period; or
(2)	an affected DNSP proposes in its regulatory proposal:
(i)	a period of less than 4 regulatory years but not less than 3 regulatory years; or
(ii)	a period of more than 4 regulatory years;
as the period for the subsequent regulatory control period of the affected DNSP, then the AER may, in its distribution determination for that subsequent regulatory control period, approve that period as (in which case that period will be) the regulatory control period for the affected DNSP that immediately follows the transitional regulatory control period,
and the provisions of the Rules must be applied consistently with these requirements.
Modifications to framework and approach paper
(l)	The AER must make the framework and approach paper or papers that apply in respect of a distribution determination for an affected DNSP for the subsequent regulatory control period of that affected DNSP in two stages, namely:
(1)	a framework and approach paper or papers for the matters referred to in clause 6.8.1(b)(1), (2)(i) and (ii) of current Chapter 6 and in clause 11.56.3(h)(1) and (2), which are collectively referred to in this Division 2 as the "Stage 1 F&A paper"; and
(2)	a framework and approach paper or papers for the matters referred to in clause 6.8.1(b)(2)(iii) to (ix) of current Chapter 6 and in clauses 11.56.3(h)(3), (4), (5) and 11.56.4(i), which are collectively referred to in this Division 2 as the "Stage 2 F&A paper".
Note:
The matters referred to in clause 11.56.3(h) are required to be included in the Stage 1 or Stage 2 F&A paper, as appropriate, even though they relate to the transitional regulatory control period rather than the subsequent regulatory control period.
(m)	Clause 6.8.1(a)(2) of current Chapter 6 applies in respect of the Stage 1 F&A paper and the Stage 2 F&A paper as if the words "the AER has published a notice under paragraph (c)(3) stating" were replaced with the words "the AER has decided".
(n)	The AER must decide to make a Stage 2 F&A paper, for the matters referred to in paragraph (l)(2), in accordance with current Chapter 6 (as modified by this clause 11.56.4).
Modifications to time periods and process under current Chapter 6
(o)	For the purposes of making a distribution determination for the subsequent regulatory control period of an affected DNSP, current Chapter 6 applies subject to the further modifications set out in the following table:

Description	Reference	Transitional treatment	
Timing for a Distribution Network Service Provider to request the AER to make an amended or replacement framework and approach paper.	Clause 6.8.1(c)(1)	Clause 6.8.1(c)(1) does not apply in respect of the Stage 1 F&A paper or the Stage 2 F&A paper.	
Timing for the AER to publish a notice inviting submissions on whether it is necessary or desirable to amend or replace a framework and approach paper.	Clause 6.8.1(c)(2)	Clause 6.8.1(c)(2) does not apply in respect of the Stage 1 F&A paper or the Stage 2 F&A paper.	
Timing for the AER's decision on the amendment or replacement of a framework and approach paper.	Clause 6.8.1(c)(3)	Clause 6.8.1(c)(3) and (d) do not apply in respect of the Stage 1 F&A paper or the Stage 2 F&A paper.	
Timing for the AER to make, amend or replace a framework and approach paper.	Clause 6.8.1(e)	"23 months" is replaced with "27 months" for the Stage 1 F&A paper and with "17 months" for the Stage 2 F&A paper.	
Timing for submission of information about forecasting methodology	Clause 6.8.1A(b)(1)	"24 months" is replaced with "19 months".	
Timing for the Distribution Network Service Provider to submit a regulatory proposal.	Clause 6.8.2(b)(1)	"17 months" is replaced with "13 months".	
Publication of an issues paper with respect to a regulatory proposal.	Clause 6.9.3(b), (b1) and (b2)	These rules do not apply.	
Written submissions on regulatory proposal.	Clause 6.9.3(c)	Clause 6.9.3(c) of former Chapter 6 applies instead of clause 6.9.3(c) of current Chapter 6.	
Written submissions on draft distribution determination.	Clause 6.10.2(c)	Clause 6.10.2(c) of former Chapter 6 applies instead of clause 6.10.2(c) of current Chapter 6.	
Period in which Distribution Network Service Provider may submit a revised regulatory proposal.	Clause 6.10.3(a)	Clause 6.10.3(a) of former Chapter 6 applies instead of clause 6.10.3(a) of current Chapter 6.	
Submissions on specified matters	Clause 6.10.4	This rule does not apply.	
Notification of value of dual function assets	Clause 6.25(a) 	"32 months" is replaced with "20 months".	

(p)	For the purposes of making a distribution determination for the subsequent regulatory control period of an affected DNSP, the AER must:
(1)	publish an invitation to attend a public forum on the regulatory proposal submitted or resubmitted under clause 6.8.2 or 6.9.2 (as the case may be) of current Chapter 6 (as modified under paragraph (o)) and on the proposed Negotiated Distribution Service Criteria published under clause 6.9.3(a)(1) of current Chapter 6; and
(2)	hold a public forum on that regulatory proposal and those proposed Negotiated Distribution Service Criteria not more than 15 business days after the publication of the invitation under clause 6.9.3(a)(2) of current Chapter 6
Pricing proposals
(q)	A pricing proposal for a regulatory year of the subsequent regulatory control period of an affected DNSP must comply with the requirements set out in a framework and approach paper under clause 11.56.3(h)(4).
11.56.5	Review of past capital expenditure
For the purposes of the application of clause S6.2.2A of current Chapter 6 in respect of an affected DNSP:
(a)	the review period (as defined in clause S6.2.2A(a1) of current Chapter 6) does not include the transitional regulatory control period or any regulatory year that precedes the transitional regulatory control period;
(b)	capital expenditure incurred in the regulatory year in which the first Capital Expenditure Incentive Guidelines were published or any prior regulatory year is excluded from the capital expenditure referred to in clause S6.2.2A(d) for the purposes of determining whether the margin requirement has been satisfied and clause S6.2.2A(i) does not apply in respect of any margin that forms part of that excluded capital expenditure; and
(c)	capital expenditure incurred in the regulatory year in which the first Capital Expenditure Incentive Guidelines were published or any prior regulatory year is excluded from the capital expenditure referred to in clause S6.2.2A(e) for the purposes of determining whether the capitalisation requirement has been satisfied and clause S6.2.2A(j) does not apply in respect of any capitalised operating expenditure that forms part of that excluded capital expenditure.
Division 3	Transitional provisions for NSW and Tasmanian Transmission Network Service Providers and Directlink
11.57	General provisions
11.57.1	Definitions
In this Division 3:
affected TNSP means the NSW TNSP or the Tasmanian TNSP.
Amending Rules means Schedules 2 and 3 of the National Electricity Amendment (Economic Regulation of Network Service Providers) Rule 2012.
commencement date means the date the Amending Rules come into force.
current Chapter 6A means Chapter 6A of the Rules as in force immediately after the Amending Rules come into force.
current regulatory control period of an affected TNSP, means the regulatory control period for the affected TNSP that immediately precedes the transitional regulatory control period.
Directlink means the Transmission Network Service Provider that owns, controls or operates the electricity transmission link between New South Wales and Queensland known as Directlink.
former Chapter 6A means Chapter 6A of the Rules as in force immediately before the Amending Rules come into force. 
NSW TNSP means the energy services corporation constituted under section 6A of the Energy Services Corporations Act 1995 (NSW) and specified in Part 1A of Schedule 1 to that Act, or any successor to its business.
subsequent regulatory control period, of an affected TNSP, means the regulatory control period for the affected TNSP that immediately follows the transitional regulatory control period.
Note:
The definition of regulatory control period for the purposes of this definition is affected by clause 11.58.4(l).
Tasmanian TNSP means Transend Networks Pty Ltd ACN 082 586 892 or any successor to its business.
transitional Chapter 6A has the meaning given to it in clause 11.57.2.
transitional regulatory control period means a period of one year that commences on 1 July 2014 and ends on 30 June 2015.
transitional Revenue Proposal, for an affected TNSP, means a Revenue Proposal relating to prescribed transmission services provided by means of, or in connection with, a transmission system that is owned, controlled or operated by the affected TNSP, being a Revenue Proposal that is for the transitional regulatory control period.
Note:
The definition of Revenue Proposal for the purposes of this definition is affected by clause 11.57.2(b).
11.57.2	Transitional Chapter 6A
For the purposes of this Division 3, transitional Chapter 6A means current Chapter 6A except that:
(a)	the following clauses are omitted: clauses 6A.4.1(b), 6A.4.2, 6A.5.1, 6A.5.3, 6A.5.4, 6A.5.5(a), (b), 6A.6.2(a)-(l), 6A.6.3, 6A.6.4, 6A.6.6, 6A.6.7, 6A.6.8, 6A.6.9, 6A.7.1, 6A.7.3(j)(6A), 6A.8, 6A.10.1A, 6A.10.1B, 6A.11.1, 6A.11.2, 6A.11.2A, 6A.11.3(b), (b1), (b2), 6A.12, 6A.13.2, 6A.13.2A, 6A.14.1(1), (2), (3), (4), (5B), (5C), (5D), (5E), (5F), 6A.14.2(b), 6A.14.3(b)-(i), Schedule 6A.1, S6A.2.1, S6A.2.2A, S6A.2.2B, S6A.2.3 and S6A.2.4;
(b)	clause 6A.10.1(a)-(h) are deleted and replaced with the following:
"(a)	An affected TNSP must submit a transitional Revenue Proposal to the AER at least 5 months before the expiry of the current regulatory control period of that affected TNSP.
(b)	A transitional regulatory proposal must include (but need not be limited to) the following matters:
(1)	an amount that the affected TNSP proposes will be the maximum allowed revenue for the transitional regulatory control period, it being acknowledged that such amount will not be calculated in accordance with the provisions of the Rules that would otherwise apply to the calculation of the maximum allowed revenue; and
(2)	the matters referred to in clause 6A.10.1(f)(2) of current Chapter 6A.
(c)	The Revenue Proposal must comply with the requirements of, and must contain or be accompanied by such information as is required by, any relevant regulatory information instrument.";
(c)	in clauses 6A.7.2(i)(4) and 6A.7.3(j)(4), all the words after "the time cost of money" are deleted;
(d)	clause 6A.11.3(c) of former Chapter 6A applies instead of clause 6A.11.3(c) of current Chapter 6A but as if the reference to 30 business days were a reference to 20 business days;
(e)	all references in a rule (other than rule 6A.12) to a draft decision under rule 6A.12 are deleted;
Note:
Rule 6A.12 is excluded from transitional Chapter 6A under paragraph (a) above.
(f)	in clause 6A.13.3, the words "3 months" are substituted for the words "2 months";
(g)	clause 6A.14.1 includes as additional decisions:
(1)	"a decision on the commencement and length of the regulatory control period";
(2)	"a decision on the values that are to be attributed to the performance incentive scheme parameters for any service target performance incentive scheme that is to apply to the Transmission Network Service Provider in respect of the regulatory control period"; and 
(3)	"a decision on the values that are to be attributed to the efficiency benefit sharing scheme parameters for any efficiency benefit sharing scheme that is to apply to the Transmission Network Service Provider in respect of the regulatory control period"; and
(h)	any provisions of transitional Chapter 6A that pertain to:
(1)	the submission or publication of a proposed pricing methodology or a proposed negotiating framework;
(2)	the resubmission or publication of documents under rule 6A.11;
(3)	the publication of the AER's proposed Negotiated Transmission Service Criteria; or
(4)	the publication or assessment by the AER of, or consultation on, the documents and matters referred to in subparagraphs (1) to (3),
do not apply to that extent for the purposes of the AER making a transmission determination for the transitional regulatory control period.
11.57.3	Application of rule 11.58
Rule 11.58 prevails to the extent of any inconsistency over any other clause of the Rules.
11.58	Special provisions applying to affected TNSPs
11.58.1	Requirement to make transmission determination
(a)	The AER must, in accordance with transitional Chapter 6A and this Division 3, make for the transitional regulatory control period a transmission determination for each transmission system that is owned, controlled or operated by the affected TNSP and in respect of which the AER made a transmission determination for the current regulatory control period of that affected TNSP.
(b)	A transmission determination referred to in paragraph (a) must, among other things, set out the amount that the AER approves as the affected TNSP's maximum allowed revenue for the transitional regulatory control period in accordance with clause 11.58.3.
11.58.2	Requirement to submit a transitional Revenue Proposal
(a)	A transitional Revenue Proposal must comply with the requirements of transitional Chapter 6A and this Division 3.
Additional information to accompany transitional Revenue Proposal
(b)	At the same time as an affected TNSP submits its transitional Revenue Proposal to the AER, it must also submit the following accompanying information to the AER:
(1)	an indicative estimate of the value of the regulatory asset base for the relevant transmission system as at the beginning of the transitional regulatory control period;
(2)	an indicative range for the rate of return that should be applied to the regulatory asset base referred to in subparagraph (1), which takes into account available market information and expected market trends, and has regard to the Rate of Return Guidelines published by the AER; 
(3)	an indicative estimate of forecast operating expenditure and capital expenditure for the transitional regulatory control period;
(4)	an indicative estimate of the cost of corporate tax and depreciation for the transitional regulatory control period;
(5)	an indicative range of the affected TNSP's revenue requirements, for the provision of prescribed transmission services, for the transitional regulatory control period and for each of the subsequent four regulatory years, which is based on the information and inputs referred to in subparagraphs (1) to (4) and such other information or inputs as the affected TNSP considers to be relevant and as it includes in the information that accompanies the transitional Revenue Proposal;
(6)	a summary of the affected TNSP's plan for expenditure for the transitional regulatory control period and the subsequent four regulatory years, together with an explanation of how this proposed expenditure is consistent with the proposed maximum allowed revenue that is set out in the transitional Revenue Proposal;
(7)	the revenue that the affected TNSP estimates it will earn from the provision of prescribed transmission services during the last regulatory year of its current regulatory control period; and
(8)	such other information or inputs as the affected TNSP considers to be relevant to the approval by the AER, under clause 11.58.3, of its maximum allowed revenue for the transitional regulatory control period.
11.58.3	Transmission determination for a transitional regulatory control period
Content of transmission determination - general
(a)	Without otherwise limiting the operation of clause 6A.14.1 of transitional Chapter 6A, a transmission determination made by the AER for an affected TNSP for the transitional regulatory control period must:
(1)	specify the commencement and length of the regulatory control period consistently with the commencement and length of the transitional regulatory control period;
(2)	specify that no capital expenditure sharing scheme or small-scale incentive scheme applies to the affected TNSP for the transitional regulatory control period;
(3)	specify that the efficiency benefit sharing scheme and service target performance incentive scheme that applied to the affected TNSP under the transmission determination for its current regulatory control period apply to the affected TNSP for the transitional regulatory control period subject to such modifications as are set out in the framework and approach paper that is published in respect of the subsequent regulatory control period of the affected TNSP (including as to the incentives under, and the non-application of, the relevant scheme);
(4)	specify the "terrorism event" as defined in the Rules immediately prior to the date the National Electricity Amendment (Cost pass through arrangements for Network Service Providers) Rule 2012 came into force as an additional pass through event that is to apply for the transitional regulatory control period;
(5)	approves, as the negotiating framework that is to apply to the affected TNSP for the transitional regulatory control period, the negotiating framework that was approved as part of the transmission determination for the current regulatory control period of the affected TNSP;
(6)	specify, as the Negotiated Transmission Service Criteria for the affected TNSP, the Negotiated Transmission Service Criteria that were specified as part of the transmission determination for the current regulatory control period of the affected TNSP; and
(7)	approve, as the pricing methodology for the affected TNSP, the pricing methodology which was approved as part of the transmission determination for the current regulatory control period of the affected TNSP.
Maximum allowed revenue
(b)	The AER must only approve the amount that is proposed by an affected TNSP to be its maximum allowed revenue for the transitional regulatory control period, as set out by the affected TNSP in its transitional Revenue Proposal, if the AER is satisfied that the amount is such that the recovery of it by the affected TNSP is reasonably likely to minimise variations in prices between the affected TNSP's current regulatory control period, transitional regulatory control period and subsequent regulatory control period and between the regulatory years of the subsequent regulatory control period.
Note:
In deciding whether or not to approve such an amount, the AER must also take into account the national electricity objective and the revenue and pricing principles: see National Electricity Law, s.16(1)(a) and (2)(a).
(c)	In deciding whether or not to approve an amount as referred to in paragraph (b), the AER must have regard to the following:
(1)	the fact that the maximum allowed revenue for the transitional regulatory control period is an estimate that is based on indicative inputs and that the transmission determination for the subsequent regulatory control period will make an adjustment to the total revenue cap for the subsequent regulatory control period in accordance with clause 11.58.4(i) and (j);
(2)	the information included in or accompanying the transitional Revenue Proposal;
(3)	submissions received in the course of consulting on the transitional Revenue Proposal; and
(4)	analysis undertaken by or for the AER in connection with the transitional Revenue Proposal.
(d)	If the AER does not approve the amount that is proposed by the affected TNSP as its maximum allowed revenue for the transitional regulatory control period, then the AER must approve an amount as the maximum allowed revenue of the affected TNSP for the transitional regulatory control period that it is satisfied is such that the recovery of it by the affected TNSP is reasonably likely to minimise variations in prices between the affected TNSP's current regulatory control period, transitional regulatory control period and subsequent regulatory control period and between the regulatory years of the subsequent regulatory control period.
Note:
In deciding on such an amount, the AER must also take into account the national electricity objective and the revenue and pricing principles: see National Electricity Law, s.16(1)(a) and (2)(a).
(e)	A decision of the AER under this clause 11.58.3 to approve an amount as the maximum allowed revenue of an affected TNSP for the transitional regulatory control period is taken to be a decision for the purposes of clause 6A.14.1 of transitional Chapter 6A.
(f)	An amount approved by the AER under this clause 11.58.3 as the maximum allowed revenue of an affected TNSP for the transitional regulatory control period is to be taken, for the purpose of the Rules, to be the maximum allowed revenue of the affected TNSP for the transitional regulatory control period.
Framework and approach paper
(g)	A framework and approach paper that is published in respect of the subsequent regulatory control period of an affected TNSP may specify the following matters in relation to the transmission determination for that affected TNSP for the transitional regulatory control period:
(1)	the modifications to be made to an incentive scheme as referred to in paragraph (a)(3); and
(2)	the treatment of any other matters relating to the transitional regulatory control period, providing that the treatment of those matters is not inconsistent with this Division 3.
Pricing methodology guidelines
(h)	An amendment or replacement of the pricing methodology guidelines that is made after the commencement date will have no effect in respect of the pricing methodology that applies for a transitional regulatory control period.
11.58.4	Subsequent regulatory control period
General
(a)	Except as otherwise specified in this clause 11.58.4, current Chapter 6A will govern the making of a transmission determination for the subsequent regulatory control period of an affected TNSP.
Calculation of maximum allowed revenue and other matters
(b)	Except as provided in paragraph (d), an affected TNSP must prepare and submit its Revenue Proposal for the subsequent regulatory control period of the affected TNSP, together with all the information that is required to accompany that Revenue Proposal, in accordance with current Chapter 6A and as if:
(1)	the subsequent regulatory control period comprised the transitional regulatory control period (as the first regulatory year of the subsequent regulatory control period) and all of the regulatory years of the subsequent regulatory control period (as the remaining regulatory years of the subsequent regulatory control period); and
(2)	the transitional regulatory control period were not a separate regulatory control period.
(c)	For the purposes of making a transmission determination for an affected TNSP for the subsequent regulatory control period of that affected TNSP, the AER must determine:
(1)	the maximum allowed revenue of the affected TNSP for each regulatory year of its subsequent regulatory control period;
(2)	the total revenue cap of the affected TNSP for the subsequent regulatory control period;
(3)	the X factor for each regulatory year of that subsequent regulatory control period; and
(4)	the opening value of the regulatory asset base for the relevant transmission system,
in accordance with current Chapter 6A (except that clause 6A.6.8(c)(2) of current Chapter 6A does not apply to the determination of any X factor) and as if:
(5)	the subsequent regulatory control period comprised the transitional regulatory control period (as the first regulatory year of the subsequent regulatory control period) and all of the regulatory years of the subsequent regulatory control period (as the remaining regulatory years of the subsequent regulatory control period); and
(6)	the transitional regulatory control period were not a separate regulatory control period.
For the avoidance of doubt, this paragraph (c) requires the AER to determine a notional maximum allowed revenue, a notional X factor and a notional opening value of the regulatory asset base for the regulatory year that comprises the transitional regulatory control period.
(d)	The transitional regulatory control period of an affected TNSP must be treated as if it were the last regulatory year of the current regulatory control period of the affected TNSP, and not a separate regulatory control period, for the purposes of the application of the following clauses of current Chapter 6A in respect of a transmission determination for the subsequent regulatory control period of that affected TNSP: clauses S6A.1.1(6) and S6A.1.2(7).
(e)	The transitional regulatory control period of an affected TNSP must be treated as if it were the first regulatory year of the subsequent regulatory control period of that affected TNSP, and not a separate regulatory control period, for the purposes of the application of the following clauses of current Chapter 6A in respect of a transmission determination for the affected TNSP for that subsequent regulatory control period: clauses 6A.6.2(i), 6A.6.3(c)(2), 6A.7.1 and 6A.8.
(f)	The transitional regulatory control period of an affected TNSP must be treated as if it were the first regulatory year of the subsequent regulatory control period of that affected TNSP, and not a separate regulatory control period, for the purposes of the application of the following clauses of current Chapter 6A in respect of a transmission determination for the affected TNSP for the regulatory control period that follows that subsequent regulatory control period: clauses 6A.6.1(e)(1), (3), S6A.2.1 and S6A.2.3(a).
(g)	Nothing in this clause 11.58.4 has the effect of actually rendering the transitional regulatory control period as the first regulatory year of the subsequent regulatory control period and, except for the purposes of the application of paragraphs (b) to (f) in accordance with its terms, the transitional regulatory control period must be treated as a regulatory control period that is separate from the subsequent regulatory control period.
(h)	For the purposes only of the application of clause 6A.7.2 of current Chapter 6A in respect of network support payments made by an affected TNSP during the transitional regulatory control period, the following provisions apply:
(1)	for the purposes of the application of clause 6A.7.2 of current Chapter 6A and the definition of "network support pass through amount" in Chapter 10, but not for the purposes of the definitions of "network support event", "negative network support event" and "positive network support event" in Chapter 10, a network support event arising out of network support payments made during the transitional regulatory control period will be taken to have occurred instead in the first year of the subsequent regulatory control period of that affected TNSP; and
(2)	for the purposes of the definitions of "network support event", "negative network support event" and "positive network support event" in Chapter 10, the relevant annual building block revenue requirement and capital expenditure allowance will be those which are used in the calculation of the notional maximum allowed revenue for the transitional regulatory control period under paragraph (c).
Adjustment to maximum allowed revenue
(i)	An affected TNSP's total revenue cap for its subsequent regulatory control period must be fully adjusted for the adjustment amount determined in accordance with paragraph (j). The adjustment must be made by increasing (where the adjustment amount is negative) or decreasing (where the adjustment amount is positive) the maximum allowed revenue of one or more regulatory years of the subsequent regulatory control period as the AER considers appropriate, provided that the aggregate of all such increases or decreases for the relevant regulatory years is equivalent in net present value terms to the adjustment amount.
(j)	For the purposes of paragraph (i), the adjustment amount is calculated as:
(1)	the amount of the maximum allowed revenue that was approved for the transitional regulatory control period under clause 11.58.3(b) or (d); less
(2)	the amount of the notional maximum allowed revenue for the transitional regulatory control period that is determined under paragraph (c).
(k)	The determination by the AER of the amount of the notional maximum allowed revenue for the transitional regulatory control period under paragraph (c), and of the adjustment amount under paragraph (j), are each taken to be decisions for the purposes of clause 6A.14.1 of current Chapter 6A.
Length of subsequent regulatory control period
(l)	If:
(1)	an affected TNSP proposes in its Revenue Proposal a period of 4 regulatory years as the period for the subsequent regulatory control period of the affected TNSP, then the AER must, in its transmission determination for that subsequent regulatory control period, approve that period as (and that period will be) the regulatory control period for the affected TNSP that immediately follows the transitional regulatory control period; or
(2)	an affected TNSP proposes in its Revenue Proposal:
(i)	a period of less than 4 regulatory years but not less than 3 regulatory years; or
(ii)	a period of more than 4 regulatory years,
as the period for the subsequent regulatory control period of the affected TNSP, then the AER may, in its transmission determination for that subsequent regulatory control period, approve that period as (in which case that period will be) the regulatory control period for the affected TNSP that immediately follows the transitional regulatory control period,
and the provisions of the Rules must be applied consistently with these requirements.
Framework and approach paper
(m)	The AER must make a framework and approach paper or papers that apply in respect of a transmission determination for an affected TNSP for the subsequent regulatory control period of that affected TNSP, for the matters referred to in clause 6A.10.1A(b) of current Chapter 6A and in clause 11.58.3(g), in accordance with current Chapter 6A (as modified by this clause 11.58.4).
Note:
The matters referred to in clause 11.58.3(g) are required to be included in the framework and approach paper even though they relate to the transitional regulatory control period rather than the subsequent regulatory control period.
Modifications to time periods and process current Chapter 6A – NSW TNSP, Tasmanian TNSP and Directlink
(n)	For the purposes of making a transmission determination for the subsequent regulatory control period of an affected TNSP or for the regulatory control period commencing 1 July 2015 for Directlink, current Chapter 6A applies subject to the further modifications set out in the following table:

Description	Reference	Transitional treatment	
Timing for the AER to make a framework and approach paper	Clause 6A.10.1A(e)	"23 months" is replaced with "17 months".	
Timing for submission of information about forecasting methodology. 	Clause 6A.10.1B(b)(1)	"24 months" is replaced with "19 months".	
Timing for the Transmission Network Service Provider to submit a Revenue Proposal, pricing methodology and negotiating framework.	Clause 6A.10.1(a)(1)	"17 months" is replaced with "13 months".	
Publication of an issues paper with respect to a Revenue Proposal, pricing methodology and negotiating framework.	Clause 6A.11.3(b), (b1) and (b2)	These rules do not apply.	
Written submissions on a Revenue Proposal.	Clause 6A.11.3(c)	Clause 6A.11.3(c) of former Chapter 6A applies instead of clause 6A.11.3(c) of current Chapter 6A.	
Written submissions on draft decision.	Clause 6A.12.2(c)	Clause 6A.12.2(c) of former Chapter 6A applies instead of clause 6A.12.2(c) of current Chapter 6A but as if "30 business days" were substituted for "45 business days".	
Period in which a Transmission Network Service Provider may submit a revised Revenue Proposal, pricing methodology or negotiating framework.	Clause 6A.12.3(a)	Clause 6A.12.3(a) of former Chapter 6A applies instead of clause 6A.12.3(a) of current Chapter 6A.	
Submissions on specified matters.	Clause 6A.12.4	This rule does not apply.	

(o)	For the purposes of making a transmission determination for the subsequent regulatory control period of an affected TNSP or for the regulatory control period commencing 1 July 2015 for Directlink, the AER must:
(1)	publish an invitation to attend a public forum on the Revenue Proposal, the proposed negotiating framework, the proposed pricing methodology and the information submitted or resubmitted under clause 6A.10.1 or clause 6A.11.2 (as the case may be) of current Chapter 6A (as modified under paragraph (n)) and on the proposed Negotiated Transmission Service Criteria published under clause 6A.11.3(a)(5) of current Chapter 6A; and
(2)	hold a public forum on that Revenue Proposal, that proposed negotiating framework, that proposed pricing methodology, that information and those proposed Negotiated Transmission Service Criteria not more than 15 business days after the publication of the invitation under clause 6A.11.3(a)(6) of current Chapter 6A.
11.58.5	Review of past capital expenditure
For the purposes of the application of clause S6A.2.2A of current Chapter 6A in respect of an affected TNSP:
(a)	the review period (as defined in clause S6A.2.2A(a1) of current Chapter 6A) does not include the transitional regulatory control period or any regulatory year that precedes the transitional regulatory control period;
(b)	capital expenditure incurred in the regulatory year in which the first Capital Expenditure Incentive Guidelines were published or any prior regulatory year is excluded from the capital expenditure referred to in clause S6A.2.2A(d) for the purposes of determining whether the margin requirement has been satisfied and clause S6A.2.2A(i) does not apply in respect of any margin that forms part of that excluded capital expenditure; and
(c)	capital expenditure incurred in the regulatory year in which the first Capital Expenditure Incentive Guidelines were published or any prior regulatory year is excluded from the capital expenditure referred to in clause S6A.2.2A(e) for the purposes of determining whether the capitalisation requirement has been satisfied and clause S6A.2.2A(j) does not apply in respect of any capitalised operating expenditure that forms part of that excluded capital expenditure.
Division 4	Transitional provisions for the Victorian TNSP
11.59	Special provisions applying to the Victorian TNSP
11.59.1	Definitions
In this Division 4:
Amending Rules means Schedules 2 and 3 of the National Electricity Amendment (Economic Regulation of Network Service Providers) Rule 2012.
commencement date means the date the Amending Rules come into force.
current Chapter 6A means Chapter 6A of the Rules as in force immediately after the Amending Rules come into force.
current regulatory control period means the regulatory control period for the Victorian TNSP that ends on 31 March 2014.
former Chapter 6A/10  means Chapters 6A and 10 of the Rules as in force immediately before the Amending Rules come into force.
next regulatory control period means the regulatory control period for the Victorian TNSP that immediately follows the current regulatory control period.
Victorian TNSP means SPI PowerNet Pty Ltd ACN 079 798 173 or any successor to its business.
11.59.2	Application of rule 11.59
This rule 11.59 prevails to the extent of any inconsistency over any other clause of the Rules.
11.59.3	Former Chapter 6A/10 applies
(a)	Subject to paragraph (b), former Chapter 6A/10 applies in respect of the making of a transmission determination for the Victorian TNSP for the next regulatory control period.
(b)	A transmission determination for the Victorian TNSP for the next regulatory control period must specify that the next regulatory control period commences on 1 April 2014 and ends on 31 March 2017, and the provisions of the Rules must be applied consistently with this requirement.
11.59.4	Review of past capital expenditure
For the purposes of the application of clause S6A.2.2A of current Chapter 6A in respect of the Victorian TNSP:
(a)	the review period (as defined in clause S6A.2.2A(a1) of current Chapter 6A) does not include the regulatory year in which the first Capital Expenditure Incentive Guidelines were published or any regulatory year that precedes that regulatory year;
(b)	capital expenditure incurred in the regulatory year in which the first Capital Expenditure Incentive Guidelines were published or any prior regulatory year is excluded from the capital expenditure referred to in clause S6A.2.2A(d) for the purposes of determining whether the margin requirement has been satisfied and clause S6A.2.2A(i) does not apply in respect of any margin that forms part of that excluded capital expenditure; and
(c)	capital expenditure incurred in the regulatory year in which the first Capital Expenditure Incentive Guidelines were published or any prior regulatory year is excluded from the capital expenditure referred to in clause S6A.2.2A(e) for the purposes of determining whether the capitalisation requirement has been satisfied and clause S6A.2.2A(j) does not apply in respect of any capitalised operating expenditure that forms part of that excluded capital expenditure.
Division 5	Transitional provisions for Qld/SA and Victorian Distribution Network Service Providers
11.60	Special provisions applying to the Qld/SA and Victorian Distribution Network Service Providers
11.60.1	Definitions
In this Division 5:
affected DNSP means a Qld/SA DNSP or a Victorian DNSP.
Amending Rules means Schedules 1 and 3 of the National Electricity Amendment (Economic Regulation of Network Service Providers) Rule 2012.
current Chapter 6 means Chapter 6 of the Rules as in force immediately after the Amending Rules come into force.
current regulatory control period, of an affected DNSP, means:
(a)	for a Qld/SA DNSP, the regulatory control period that ends on 30 June 2015; and
(b)	for a Victorian DNSP, the regulatory control period that ends on 31 December 2015.
former Chapter 6 means Chapter 6 of the Rules as in force immediately before the Amending Rules come into force.
Qld/SA DNSP means each of the following Distribution Network Service Providers:
(a)	Energex Limited ACN 078 849 055 or any successor to its business;
(b)	Ergon Energy Corporation Limited ACN 087 646 062 or any successor to its business; and
(c)	SA Power Networks (formerly known as ETSA Utilities) ABN 13 332 330 749 or any successor to its business.
next regulatory control period, of an affected DNSP, means the regulatory control period for the affected DNSP that immediately follows the current regulatory control period.
Note:
The definition of regulatory control period for the purposes of this definition is affected by clause 11.60.3(d).
Victorian DNSP means each of the following Distribution Network Service Providers:
(a)	United Energy Distribution Pty Ltd ACN 064 651 029 or any successor to its business;
(b)	Jemena Electricity Networks (Vic) Limited ACN 064 651 083 or any successor to its business;
(c)	CitiPower Pty ACN 064 651 056 or any successor to its business;
(d)	Powercor Australia Limited ACN 064 651 109 or any successor to its business; and
(e)	SPI Electricity Pty Limited ACN 064 651 118 or any successor to its business.
11.60.2	Application of rule 11.60
This rule 11.60 prevails to the extent of any inconsistency over any other clause of the Rules.
11.60.3	Distribution determination for next regulatory control period
(a)	Subject to paragraphs (b), (c) and (d), current Chapter 6 applies in respect of the making of a distribution determination for an affected DNSP for the next regulatory control period of that affected DNSP.
(b)	For the purposes of making a distribution determination for the next regulatory control period of an affected DNSP:
(1)	the following clauses of current Chapter 6 do not apply: clauses 6.5.9(b)(2), 6.9.3(b), (b1), (b2), 6.10 and 6.11.1A;
(2)	all references in a rule (other than rule 6.10) to a draft distribution determination under rule 6.10 are deleted; and
(3)	the AER must:
(i)	publish an invitation to attend a public forum on the regulatory proposal submitted or resubmitted under clause 6.8.2 or 6.9.2 (as the case may be) of current Chapter 6 (as modified under paragraph (c)) and on the proposed Negotiated Distribution Service Criteria published under clause 6.9.3(a)(1) of current Chapter 6; and
(ii)	hold a public forum on that regulatory proposal and those proposed Negotiated Distribution Service Criteria not more than 15 business days after the publication of the invitation under clause 6.9.3(a)(2) of current Chapter 6.
(c)	For the purposes of making a distribution determination for the next regulatory control period of an affected DNSP, current Chapter 6 is subject to the further modifications set out in the following table:

Description	Reference	Transitional treatment	
Timing for a Distribution Network Service Provider to request the AER to make an amended or replacement framework and approach paper.	Clause 6.8.1(c)(1)	"32 months" is replaced with "23 months".	
Timing for the AER to publish a notice inviting submissions on whether it is necessary or desirable to amend or replace a framework and approach paper.	Clause 6.8.1(c)(2)	"31 months" is replaced with "22 months".	
Timing for the AER's decision on the amendment or replacement of a framework and approach paper.	Clause 6.8.1(c)(3)	"30 months" is replaced with "21 months".	
Timing for the AER to make, amend or replace a framework and approach paper.	Clause 6.8.1(e)	"23 months" is replaced with "14 months".	
Timing for submission of information about forecasting methodology	Clause 6.8.1A(b)(1)	"24 months" is replaced with "19 months".	
Timing for the Distribution Network Service Provider to submit a regulatory proposal.	Clause 6.8.2(b)(1)	"17 months" is replaced with "8 months".	
Written submissions on regulatory proposal.	Clause 6.9.3(c)	Clause 6.9.3(c) of former Chapter 6 applies instead of clause 6.9.3(c) of current Chapter 6.	
Notification of value of dual function assets	Clause 6.25(a) 	"32 months" is replaced with "23 months".	
Timing of value of dual function assets	Clause 6.25(a)	"36 months" is replaced with "24 months"	

(d)	If an affected DNSP proposes in its regulatory proposal a period of less than 5 regulatory years but not less than 3 regulatory years as the period for the next regulatory control period of the affected DNSP, then the AER may, in its distribution determination for the next regulatory control period, approve that period as (in which case that period will be) the regulatory control period for the affected DNSP that immediately follows the current regulatory control period, and the provisions of the Rules must be applied consistently with these requirements.
11.60.4	Re-opening of distribution determination for next regulatory control period
(a)	At the same time as the AER publishes the distribution determination for the next regulatory control period of an affected DNSP under clause 6.11.2 of current Chapter 6, the AER must also publish an invitation for written submissions on the revocation and substitution of that distribution determination.
(b)	Any person may make a written submission to the AER in relation to the revocation and substitution of the distribution determination referred to in paragraph (a) within the time period specified in the invitation referred to in that clause, which must not be earlier than 45 business days after the making of that distribution determination. Without otherwise limiting the manner in which the affected DNSP may make such submissions, the affected DNSP may make a submission in the form of revisions to the regulatory proposal that it submitted to the AER in relation to the distribution determination referred to in paragraph (a).
(c)	No later than 8 months before the commencement of the second regulatory year of the next regulatory control period of an affected DNSP, the AER must revoke the distribution determination for that next regulatory control period and make a new distribution determination in substitution for the revoked determination which takes effect as at the date it is made and applies in respect of the next regulatory control period.
(d)	The new distribution determination made under paragraph (c) must provide for the following adjustments:
(1)	for standard control services, the affected DNSP’s total revenue requirement for the next regulatory control period must be fully adjusted for the amount determined in accordance with paragraph (e). The adjustment must be made by increasing (where the adjustment amount is negative) or decreasing (where the adjustment amount is positive) the annual revenue requirement of one or more remaining regulatory years of the next regulatory control period as the AER considers appropriate provided that the aggregate of all such increases or decreases for the relevant regulatory years is equivalent in net present value terms to the adjustment amount; and
(2)	for alternative control services, such adjustments as are required to accommodate any difference between revenues or prices that are approved, under or as a result of the revoked determination, for the first regulatory year of the next regulatory control period and revenues and prices that are approved, under or as a result of the new distribution determination, for that first regulatory year (including, if appropriate through providing for adjustments to any existing or future approved pricing proposals). Any such adjustments must be made such that they are equivalent in net present value terms to that difference.
(e)	For the purposes of paragraph (d), the adjustment amount is calculated as:
(1)	the amount of the annual revenue requirement that was approved for the first regulatory year of the next regulatory control period in the revoked determination; less
(2)	the amount of the annual revenue requirement for the first regulatory year of the next regulatory control period that is determined in the new distribution determination,
subject to such modifications in relation to the calculation of that adjustment amount as are necessary by virtue of the application of a price cap or price control, rather than a revenue cap or revenue control, in respect of any standard control services that are provided by the affected DNSP.
(f)	In making a new distribution determination as referred to in paragraph (c), and subject to rule 6.14 of current Chapter 6 (as modified by paragraphs (g) and (h) below), the AER must have regard to each of the following:
(1)	the matters it would be required to have regard to if it were making a final distribution determination under current Chapter 6 subsequent to it making a draft distribution determination that is the same as the revoked determination including (except where subparagraph (3) below applies) the regulatory proposal that was submitted to the AER in relation to the revoked determination;
(2)	written submissions received under paragraph (b);
(3)	any revisions to the regulatory proposal that was submitted to the AER in relation to the revoked determination and that are given to the AER under paragraph (b); and
(4)	any analysis undertaken by or for the AER that is published prior to the making of the distribution determination or as part of the distribution determination.
(g)	Clauses 6.5.6(e)(12) and 6.5.7(e)(12) of current Chapter 6 apply for the purposes of paragraph (f) as if each reference in those clauses to the affected DNSP's revised regulatory proposal under clause 6.10.3 was instead a reference to the affected DNSP's regulatory proposal in relation to the revoked determination.
(h)	Clause 6.5.9(b)(2) does not apply for the purposes of making a new distribution determination as referred to in paragraph (c).
(i)	In making a new distribution determination as referred to in paragraph (c), the AER must make each of the decisions referred to in clause 6.12.1 of current Chapter 6.
(j)	Rule 6.14 of current Chapter 6 applies for the purposes of paragraph (f) as if the words "or clause 11.60.4(a)" were inserted after the word "Chapter" in paragraph (c) of that rule.
(k)	The AER must use its best endeavours to publish, a reasonable time prior to the making of the new distribution determination referred to in paragraph (c), any analysis undertaken by or for it on which it proposes to rely, or to which it proposes to refer, for the purposes of that new distribution determination.
(l)	The AER must as soon as practicable publish:
(1)	notice of the making of a new distribution determination under paragraph (c);
(2)	the new distribution determination itself; and
(3)	the AER's reasons for making the new distribution determination, including such decisions made by it as are referred to in rule 6.12.
11.60.5	Review of past capital expenditure
For the purposes of the application of clause S6.2.2A of current Chapter 6 in respect of an affected DNSP:
(a)	the review period (as defined in clause S6.2.2A(a1) of current Chapter 6) does not include the regulatory year in which the first Capital Expenditure Incentive Guidelines were published or any regulatory year that precedes that regulatory year; 
(b)	capital expenditure incurred in the regulatory year in which the first Capital Expenditure Incentive Guidelines were published or any prior regulatory year is excluded from the capital expenditure referred to in clause S6.2.2A(d) for the purposes of determining whether the margin requirement has been satisfied and clause S6.2.2A(i) does not apply in respect of any margin that forms part of that excluded capital expenditure; and
(c)	capital expenditure incurred in the regulatory year in which the first Capital Expenditure Incentive Guidelines were published or any prior regulatory year is excluded from the capital expenditure referred to in clause S6.2.2A(e) for the purposes of determining whether the capitalisation requirement has been satisfied and clause S6.2.2A(j) does not apply in respect of any capitalised operating expenditure that forms part of that excluded capital expenditure.
Division 6	Review of past capital expenditure
11.61	Definitions and application
(a)	In this Division 6:
Amending Rules means the National Electricity Amendment (Economic Regulation of Network Service Providers) Rule 2012.
current Chapter 6  means Chapter 6 of the Rules as in force immediately after Schedules 1 and 3 of the Amending Rules come into force.
current Chapter 6A means Chapter 6A of the Rules as in force immediately after Schedules 2 and 3 of the Amending Rules come into force.
(b)	This Division 6 applies to:
(1)	a Distribution Network Service Provider that is not an affected DNSP under Division 2 or an affected DNSP under Division 5; and
(2)	a Transmission Network Service Provider that is not an affected TNSP under Division 3 or the Victorian TNSP under Division 4.
11.62	Review of past capital expenditure under Chapter 6
For the purposes of the application of clause S6.2.2A of current Chapter 6 in respect of a Distribution Network Service Provider to which this Division 6 applies:
(a)	the review period (as defined in clause S6.2.2A(a1) of current Chapter 6) does not include the regulatory year in which the first Capital Expenditure Incentive Guidelines were published or any regulatory year that precedes that regulatory year;
(b)	capital expenditure incurred in the regulatory year in which the first Capital Expenditure Incentive Guidelines were published or any prior regulatory year is excluded from the capital expenditure referred to in clause S6.2.2A(d) for the purposes of determining whether the margin requirement has been satisfied and clause S6.2.2A(i) does not apply in respect of any margin that forms part of that excluded capital expenditure; and
(c)	capital expenditure incurred in the regulatory year in which the first Capital Expenditure Incentive Guidelines were published or any prior regulatory year is excluded from the capital expenditure referred to in clause S6.2.2A(e) for the purposes of determining whether the capitalisation requirement has been satisfied and clause S6.2.2A(j) does not apply in respect of any capitalised operating expenditure that forms part of that excluded capital expenditure.
11.63	Review of past capital expenditure under Chapter 6A
For the purposes of the application of clause S6A.2.2A of current Chapter 6A in respect of a Transmission Network Service Provider to which this Division 6 applies:
(a)	the review period (as defined in clause S6A.2.2A(a1) of current Chapter 6A) does not include the regulatory year in which the first Capital Expenditure Incentive Guidelines were published or any regulatory year that precedes that regulatory year; 
(b)	capital expenditure incurred in the regulatory year in which the first Capital Expenditure Incentive Guidelines were published or any prior regulatory year is excluded from the capital expenditure referred to in clause S6A.2.2A(d) for the purposes of determining whether the margin requirement has been satisfied and clause S6A.2.2A(i) does not apply in respect of any margin that forms part of that excluded capital expenditure; and
(c)	capital expenditure incurred in the regulatory year in which the first Capital Expenditure Incentive Guidelines were published or any prior regulatory year is excluded from the capital expenditure referred to in clause S6A.2.2A(e) for the purposes of determining whether the capitalisation requirement has been satisfied and clause S6A.2.2A(j) does not apply in respect of any capitalised operating expenditure that forms part of that excluded capital expenditure.
Part ZX	Inter-regional Transmission Charging
11.64	Rules consequent on the making of the National Electricity Amendment (Inter-regional Transmission Charging) Rule 2013
11.64.1	Definitions
For the purposes of this rule 11.64:
Amending Rule means the National Electricity Amendment (Inter-regional Transmission Charging) Rule 2013.
commencement date means the date of commencement of Schedule 3 of the Amending Rule.
proposed amended pricing methodology means proposed amendments to the pricing methodology by a Transmission Network Service Provider as referred to in clause 11.64.3(a)(1).
regulatory year 1 means the first regulatory year of the Transmission Network Service Provider's transmission determination that commences after the commencement date.
regulatory year 2 means the regulatory year that follows regulatory year 1.
11.64.2	Amendments to the pricing methodology guidelines
(a)	By no later than 30 September 2014, the AER must amend the pricing methodology guidelines to take into account the Amending Rule.
(b)	In amending the pricing methodology guidelines under paragraph (a), the AER must set out the basis on which a Transmission Network Service Provider who is also a Co-ordinating Network Service Provider is to publish details of modified load export charges that are to apply for the following financial year as referred to in clause 6A.24.2(b).
11.64.3	Amendments to the pricing methodologies of Transmission Network Service Providers
(a)	By no later than 27 February 2015, each Transmission Network Service Provider:
(1)	 must amend their pricing methodology to:
(i)	comply with the requirements of the pricing methodology guidelines amended under clause 11.64.2(a);
(ii)	comply with the requirements of this Amending Rule; and
(iii)	set out the process by which the methodology, formula, process or approach for adjustments in clause 6A.23.3(f) are proposed to be taken,
(the "proposed amended pricing methodology"); and
(2)	must submit the proposed amended pricing methodology to the AER.
(b)	Despite the date referred to in paragraph (a), each Transmission Network Service Provider must use its best endeavours to amend its pricing methodology in accordance with subparagraph (a)(1) as soon as practicable after the AER has amended its pricing methodology guidelines under clause 11.64.2(a).
(c)	All references in clauses 6A.11.1, 6A.11.2, 6A.11.3, 6A.14.3(g) and 6A.14.3(h) to the "proposed pricing methodology" apply to the "proposed amended pricing methodology" submitted in accordance with subparagraph (a)(2).
(d)	Despite paragraph (c), the time specified in the invitation to make submissions on the proposed amended pricing methodology must not be earlier than 20 business days after its publication by the AER.
(e)	By no later than 60 business days after the relevant time referred to in paragraph (d), or as soon as practicable after that date, the AER must publish:
(1)	notice of the making of the final decision on the proposed amended pricing methodology; and
(2)	the final decision on the proposed amended pricing methodology, including the reasons required to be included in it.
(f)	Despite clauses 6A.24.1(e), (f) and item 2 in clause S6A.4.2(k), a proposed amended pricing methodology that is approved by the AER under paragraph (e) will be deemed to be the Transmission Network Service Provider's pricing methodology from the date of its approval by the AER.
11.64.4	Commencement of clause 6A.23.3(f) for further adjustments
(a)	Despite any other provision of the Rules (including any guideline or procedure made under the Rules), for regulatory year 1 and regulatory year 2, adjustments as referred to in clause 6A.23.3(f) must be determined in accordance with the methodology, formula, process or approach contained in the relevant Transmission Network Service Provider's pricing methodology approved under clause 11.64.3(e).
Part ZY	Network Service Provider Expenditure Objectives
11.65	Rules consequent on the making of the National Electricity Amendment (Network Service Provider Expenditure Objectives) Rule 2013
11.65.1	Definitions
For the purposes of this rule 11.65:
Amending Rule means the National Electricity Amendment (Network Service Provider Expenditure Objectives) Rule 2013.
commencement date means the date of commencement of the Amending Rule.
11.65.2	Application of rule 11.65
From the commencement date, despite clauses 11.55.3, 11.57.3 and 11.60.2, in rules 11.55 to 11.60, references to:
(a)	'current Chapter 6' are to be read as Chapter 6 of the Rules as in force immediately after the Amending Rule comes into force; and
(b)	'current Chapter 6A' are to be read as Chapter 6A of the Rules as in force immediately after the Amending Rule comes into force.
Part ZZ	Access to NMI Standing Data
11.66	Rules consequent on the making of the National Electricity Amendment (Access to NMI Standing Data) Rule 2013
11.66.1	Definitions
In this rule 11.66:
Amending Rule means the National Electricity Amendment (Access to NMI Standing Data) Rule 2013.
Commencement Date means the date on which the Amending Rule commences operation.
11.66.2	Minor amendment of the Market Settlement and Transfer Solution Procedures
If, and only to the extent of, amending the Market Settlement and Transfer Solution Procedures to take into account the Amending Rule, AEMO:
(a)	is not required to comply with the Rules consultation procedures;
(b)	within 10 months after the Commencement Date, must:
(1)	publish a notice on its website that it intends to amend the Market Settlement and Transfer Solution Procedures to take into account the Amending Rule;
(2)	make available on its website a copy of the Market Settlement and Transfer Solution Procedures marked up with the proposed amendments to take into account the Amending Rule; and
(3)	invite submissions on procedures made available under subparagraph (2) for a period of not less than 14 days; and
(c)	not later than 12 months after the Commencement Date, must:
(1)	consider submissions received under paragraph (b)(3);
(2)	make available on its website a description of submissions it considered under subparagraph (1) with an explanation how it considered those submissions;
(3)	publish on its website a notice that the Market Settlement and Transfer Solution Procedures has been amended to take into account the Amending Rule; and
(4)	on the same day as the notice referred to in subparagraph (3), make available on its website the amended the Market Settlement and Transfer Solution Procedures.
Part ZZA	Publication of Zone Substation Data
11.67	Rules consequent on the making of the National Electricity Amendment (Publication of Zone Substation Data) Rule 2014
11.67.1	Definitions
In this rule 11.67:
Amending Rule means the National Electricity Amendment (Publication of Zone Substation Data) Rule 2014.
Commencement Date means the date on which the Amending Rule commences operation.
DAPR date has the meaning given to it in clause 5.13.2(a).
11.67.2	Distribution Network Service Providers' obligations to commence on the next DAPR date
Despite rule 5.13A:
(a)	a Distribution Network Service Provider is not required to comply with its obligations under rule 5.13A until the first DAPR date for that Distribution Network Service Provider after the Commencement Date; and
(b)	a person may not make a request to a Distribution Network Service Provider under clause 5.13A(e) until the first DAPR date for that Distribution Network Service Provider after the Commencement Date.
Part ZZB	Connecting Embedded Generators
11.68	Rules consequential on the making of the National Electricity Amendment (Connecting embedded generators) Rule 2014
11.68.1	Definitions
For the purposes of this rule 11.68:
Amending Rule means the National Electricity Amendment (Connecting embedded generators) Rule 2014.
commencement date means the date on which the Amending Rule commences operations.
11.68.2	Continuation of enquiries lodged
(a)	Unless an Embedded Generator and Distribution Network Service Provider otherwise agree, any enquiry lodged by the Connection Applicant under clause 5.3.2 that has not been responded to or otherwise finalised under clause 5.3.3 on the commencement date, must be responded to or finalised under clause 5.3.3 unless both the Connection Applicant and the Distribution Network Service Provider agree otherwise.
Part ZZC	Customer access to information about their energy consumption
11.69	Rules consequential on the making of the National Electricity Amendment (Customer access to information about their energy consumption) Rule 2014
11.69.1	Definitions
For the purposes of this rule 11.69:
amending rule means the National Electricity Amendment (Customer access to information about their energy consumption) Rule 2014. 
commencement date means 1 December 2014.
11.69.2	AEMO to develop and publish the metering data provision procedure
(a)	The metering data provision procedures must be developed and published by AEMO by 1 September 2015.
(b)	The procedures published by AEMO under paragraph (a) will commence on 1 March 2016.
Part ZZD	National Electricity Amendment (Distribution Network Pricing Arrangements) Rule 2014
Division 1	Miscellaneous transitional provisions
11.70	General provisions
11.70.1	Definitions
In this Part ZZD:
Amending Rules means Schedules 1, 3 and 4 of the National Electricity Amendment (Distribution Network Pricing Arrangements) Rule 2014.
current Chapter 6 means Chapter 6 of the Rules as in force immediately after the Amending Rules come into force.
former Chapter 6 means Chapter 6 of the Rules as in force immediately before the Amending Rules come into force.
NSW/ACT DNSP means each of the following Distribution Network Service Providers:
(a)	ActewAGL, the joint venture between ACTEW Distribution Limited ACN 073 025 224 and Jemena Networks (ACT) Pty Ltd ACN 008 552 663 providing distribution services in the Australian Capital Territory, or any successor to its business;
(b)	Ausgrid, the energy services corporation of that name (formerly known as EnergyAustralia), which is constituted under section 7 of the Energy Services Corporations Act 1995 (NSW) and specified in Part 2 of Schedule 1 to that Act, or any successor to its business;
(c)	Endeavour Energy, the energy services corporation of that name (formerly known as Integral Energy), which is constituted under section 7 of the Energy Services Corporations Act 1995 (NSW) and specified in Part 2 of Schedule 1 to that Act, or any successor to its business; and
(d)	Essential Energy, the energy services corporation of that name (formerly known as Country Energy), which is constituted under section 7 of the Energy Services Corporations Act 1995 (NSW) and specified in Part 2 of Schedule 1 to that Act, or any successor to its business.
Qld/SA DNSP means each of the following Distribution Network Service Providers:
(a)	Energex Limited ACN 078 849 055 or any successor to its business;
(b)	Ergon Energy Corporation Limited ACN 087 646 062 or any successor to its business; and
(c)	SA Power Networks (formerly known as ETSA Utilities) ABN 13 332 330 749 or any successor to its business.
SA TNSP means ElectraNet Pty Ltd ACN 094 482 416, trading as ElectraNet, or any successor to its business.
Tasmanian DNSP means Aurora Energy Pty Ltd ACN 082 464 622, or any successor to its business.
Victorian DNSP means each of the following Distribution Network Service Providers:
(a)	United Energy Distribution Pty Ltd ACN 064 651 029 or any successor to its business;
(b)	Jemena Electricity Networks (Vic) Limited ACN 064 651 083 or any successor to its business;
(c)	CitiPower Pty ACN 064 651 056 or any successor to its business;
(d)	Powercor Australia Limited ACN 064 651 109 or any successor to its business; and
(e)	SPI Electricity Pty Limited ACN 064 651 118 or any successor to its business.
	11.70.2	Application of Part ZZB
This Part ZZB prevails to the extent of any inconsistency over any other clause of the Rules.
	11.71	Special provisions applying to SA TNSP
(a)	This rule 11.71 applies in relation to the SA TNSP.
(b)	Solely for the purpose of the setting and publication of the SA TNSP's prices for prescribed transmission services for the regulatory year commencing 1 July 2017 in accordance with rules 6A.23 and 6A.24, paragraph 6A.3.1(1) is amended to read "(1) the revenue determination forming part of the applicable transmission determination, but as if the ΔCPI figure in the formula in the revenue determination to calculate the allowed revenue for the regulatory year commencing 1 July 2017 were the estimated ΔCPI figure published by the AER under clause 11.71(c)".
(c)	The AER must, by a date that is 5 months prior to the commencement of the regulatory year commencing 1 July 2017, publish its reasonable estimate of the annual percentage change in the ABS consumer price index (CPI) all groups, weighted average of eight capital cities from March 2016 to March 2017 (the ΔCPI).
(d)	Paragraph (b) does not otherwise alter the meaning of the maximum allowed revenue of the SA TNSP for the regulatory year commencing 1 July 2017.
Note
For example, any over-recovery amount or under-recovery amount resulting from the difference between the estimated ΔCPI published by the AER and the actual ΔCPI published by the Australian Bureau of Statistics would lead to the adjustment of the pre-adjusted non-locational component under clause 6A.23.3.
Division 2	Transitional provisions for NSW/ACT and Qld/SA Distribution Network Service Providers
11.72	General provisions
11.772.1	Definitions
In this Division 2:
affected DNSP means a NSW/ACT DNSP or a Qld/SA DNSP.
initial regulatory control period means the regulatory control period commencing 1 July 2015.
	11.73	Special provisions applying to affected DNSPs
	11.73.1	Distribution determination and pricing proposals
(a)	Former Chapter 6 governs the making of a distribution determination (not including a tariff structure statement) for the initial regulatory control period of an affected DNSP.
(b)	Former Chapter 6 applies in relation to an affected DNSP's pricing proposals for the first and second regulatory years of the initial regulatory control period of the affected DNSP.
(c)	Current Chapter 6 applies in relation to an affected DNSP's pricing proposals for the third and remaining regulatory years of the initial regulatory control period of the affected DNSP subject to the modifications set out in the following table:

Description	Reference	Transitional treatment	
Submission of a pricing proposal	Clause 6.18.2(b)(7)	"including" is replaced with "and".	
Approval of a pricing proposal	Clause 6.18.8(a)(1)	"including" is replaced with "and".	

	11.73.2	Tariff structure statement
(a)	The making, amendment and operation of an affected DNSP's tariff structure statement for the initial regulatory control period is governed by current Chapter 6 subject to the modifications set out in the following table:

Description	Reference	Transitional treatment	
Submission of tariff structure statement	Clause 6.8.2(a), (b), (e), (f)	All references to "regulatory proposal" are removed.
Sub-paragraphs (b)(1) and (b)(2) are replaced with "by 27 November 2015". 	
Requirements for a regulatory proposal	Clause 6.8.2(c), (c1), (c2), (d)	These rules do not apply.
Insert a new clause 6.8.2(c): "A proposed tariff structure statement must be accompanied by information that contains a description (with supporting materials) of how the proposed tariff structure statement complies with the pricing principles for direct control services". 	
Overview paper to accompany a proposed tariff structure statement	Clause 6.8.2(c1a)	"The overview paper must also include" is replaced with "The proposed tariff structure statement must be accompanied by an overview paper which includes".	
Preliminary examination of a tariff structure statement	Clause 6.9.1	All references to "regulatory proposal" are removed.
Sub-paragraph (a)(1) does not apply.	
Resubmission of proposal	Clause 6.9.2	All references to "regulatory proposal" are removed.	
Consultation of the proposed tariff structure statement	Clause 6.9.3	Sub-paragraphs (a)(1) and (a)(4) do not apply. 
All references to "regulatory proposal" are removed.
In all instances, "sub-paragraphs (a)(1) to (a)(4)" is replaced with "sub-paragraphs (a)(2) and (a)(3)".
In all instances, "sub-paragraphs (a)(1) to (a)(3)" is replaced with "sub-paragraphs (a)(2) and (a)(3)".	
Draft determination on a tariff structure statement	Clause 6.10.1	In all instances, "draft distribution determination in relation to" is replaced with "draft determination on the proposed tariff structure statement submitted by".
In all instances in sub-paragraph (b)(3), "draft distribution determination" is replaced with "draft determination".
All references to "regulatory proposal" are removed.
In sub-paragraph (b)(2), "sub-paragraphs 6.9.3(a)(1) to 6.9.3(a)(4)" is replaced with "sub-paragraphs 6.9.3(a)(2) and (3)".	
Publication of draft determination on a tariff structure statement	Clause 6.10.2	In all instances, "distribution determination" is replaced with "determination on the proposed tariff structure statement".
In paragraph (a), before "publish", add "but by no later than 1 July 2016".
Sub-paragraph (a)(3) is replaced with "(3) the AER's reasons for suggesting that the proposed tariff structure statement should or should not be approved;".
Sub-paragraph (a)(4) and paragraph (b) do not apply.	
Submission of revised proposal	Clause 6.10.3	All references to "revised regulatory proposal" are removed.
Paragraphs (c) and (c1) do not apply.
In all instances, "distribution determination" is replaced with "determination on the proposed tariff structure statement".	
Submission on specified matters	Clause 6.10.4	All references to "revised regulatory proposal" are removed.	
Making of determination	Clause 6.11.1	In all instances, "distribution determination" is replaced with "determination on the proposed tariff structure statement".
All references to "regulatory proposal" are removed.
In paragraphs (a) and (b), "in relation" is replaced with "submitted by".	
Out of scope revised regulatory proposal or late submissions	Clause 6.11.1A	In all instances, "distribution determination" is replaced with "determination on the proposed tariff structure statement".
All references to "revised regulatory proposal" and "regulatory proposal" are removed.	
Notice of determination	Clause 6.11.2	In all instances, "distribution determination" is replaced with "determination on the proposed tariff structure statement".
"2 months before the commencement of the relevant regulatory control period" is replaced with "30 January 2017".
Paragraph (3) is replaced with "(3) the AER's reasons for making the determination in its final form".	
Commencement of the tariff structure statement	Clause 6.11.3	Paragraph (a) is replaced with "(a) A tariff structure statement included in the AER's determination under this rule 6.11 takes effect at the commencement of the third regulatory year of the regulatory control period to which it relates".
Paragraph (b) does not apply.	
Constituent decisions of a distribution determination	Clause 6.12.1	This rule does not apply.	
Reasons for decisions	Clause 6.12.2	In paragraph (a), "draft distribution determination" is replaced with "draft determination".
In paragraph (a), "final distribution determination" is replaced with "final determination".
In sub-paragraph (a)(2), delete from ", including:" to the end of sub-paragraph (ii).
Paragraph (b) does not apply.	
Extent of the AER's discretion in making the determination	Clause 6.12.3(a)-(j)	These rules do not apply.	
Amending a proposed tariff structure statement	Clause 6.12.3(l)	"distribution determination in relation to a Distribution Network Service Provider" is replaced with "final determination under rule 6.11".
"that distribution determination" is replaced with "that determination".	
Revocation and substitution of a tariff structure statement for wrong information or error	Rule 6.13	In all instances, "distribution determination" is replaced with "tariff structure statement".	
Tariff structure statement	Clause 6.18.1A(f)	Insert "subsequent" before "regulatory year".	
Amending a current tariff structure statement	Clause 6.18.1B	"(other than the first regulatory year of a regulatory control period)" is replaced with "(other than the third regulatory year of a regulatory control period)".	
Sub-threshold tariffs	Clause 6.18.1C(a)	"(other than the first regulatory year of a regulatory control period)" is replaced with "(other than the third regulatory year of a regulatory control period)".	

(b)	For the avoidance of doubt, an affected DNSP's tariff structure statement for the initial regulatory control period does not form a part of the distribution determination for the initial regulatory control period of that affected DNSP.
	11.73.3	Dispute resolution
Until the end of the second regulatory year of the initial regulatory control period of an affected DNSP, the reference in clause 6.22.2(a)(1) to "the Distribution Network Service Provider's tariff structure statement" is deemed to be removed.
Division 3	Transitional provisions for Tasmanian Distribution Network Service Provider
11.74	Application of former Chapter 6
Former Chapter 6 applies to the exclusion of current Chapter 6 in relation to the regulatory control period of the Tasmanian DNSP commencing 1 July 2012.
Division 4	Transitional provisions for Victorian Distribution Network Service Providers
11.75	General provisions
11.75.1	Definitions
In this Division 4:
affected DNSP means a Victorian DNSP.
initial regulatory control period means the regulatory control period commencing 1 January 2016.
11.76	Special provisions applying to affected DNSPs
11.76.1	Distribution determination and pricing proposals
(a)	Former Chapter 6 governs the making of a distribution determination (not including a tariff structure statement) for the initial regulatory control period of an affected DNSP.
(b)	Former Chapter 6 applies in relation to an affected DNSP's pricing proposal for the first regulatory year of the initial regulatory control period of the affected DNSP.
(c)	Current Chapter 6 applies in relation to an affected DNSP's pricing proposals for the second and remaining regulatory years of the initial regulatory control period of the affected DNSP. subject to the modifications set out in the following table:

Description	Reference	Transitional treatment	
Submission of a pricing proposal	Clause 6.18.2(b)(7)	"including" is replaced with "and".	
Approval of a pricing proposal	Clause 6.18.8(a)(1)	"including" is replaced with "and".	

11.76.2	Tariff structure statement
(a)	The making, amendment and operation of an affected DNSP's tariff structure statement for the initial regulatory control period is governed by current Chapter 6 subject to the modifications set out in the following table:

Description	Reference	Transitional treatment	
Submission of tariff structure statement	Clause 6.8.2(a), (b), (e), (f)	All references to "regulatory proposal" are removed.
Sub-paragraphs (b)(1) and (b)(2) are replaced with "by 25 September 2015".	
Requirements for a regulatory proposal	Clause 6.8.2(c), (c1), (c2), (d)	These rules do not apply.
Insert a new clause 6.8.2(c): "A proposed tariff structure statement must be accompanied by information that contains a description (with supporting materials) of how the proposed tariff structure statement complies with the pricing principles for direct control services".	
Overview paper to accompany a proposed tariff structure statement	Clause 6.8.2(c1a)	"The overview paper must also include" is replaced with "The proposed tariff structure statement must be accompanied by an overview paper which includes".	
Preliminary examination of a tariff structure statement	Clause 6.9.1	All references to "regulatory proposal" are removed.
Sub-paragraph (a)(1) does not apply.	
Resubmission of proposal	Clause 6.9.2	All references to "regulatory proposal" are removed.
In paragraph (a), "20 business days" is replaced with "10 business days".	
Consultation of the proposed tariff structure statement	Clause 6.9.3	Sub-paragraphs (a)(1) and (a)(4) do not apply. 
All references to "regulatory proposal" are removed.
In all instances, "sub-paragraphs (a)(1) to (a)(4)" is replaced with "sub-paragraphs (a)(2) and (a)(3)".
In all instances, "sub-paragraphs (a)(1) to (a)(3)" is replaced with "sub-paragraphs (a)(2) and (a)(3)".
In sub-paragraph (b)(1), "40 business days" is replaced with "30 business days".
In paragraph (c), "30 business days" is replaced with "15 business days".	
Draft determination on a tariff structure statement	Clause 6.10.1	In all instances, "draft distribution determination in relation to" is replaced with "draft determination on the proposed tariff structure statement submitted by".
In all instances in sub-paragraph (b)(3), "draft distribution determination" is replaced with "draft determination".
All references to "regulatory proposal" are removed.
In sub-paragraph (b)(2), "sub-paragraphs 6.9.3(a)(1) to 6.9.3(a)(4)" is replaced with "sub-paragraphs 6.9.3(a)(2) and (3)".	
Publication of draft determination on a tariff structure statement	Clause 6.10.2	In all instances, "distribution determination" is replaced with "determination on the proposed tariff structure statement".
In paragraph (a), before "publish", add "but by no later than 22 February 2016".
Sub-paragraph (a)(3) is replaced with "(3) the AER's reasons for suggesting that the proposed tariff structure statement should or should not be approved;".
Sub-paragraph (a)(4) and paragraph (b) do not apply.	
Submission of revised proposal	Clause 6.10.3	All references to "revised regulatory proposal" are removed.
Paragraphs (c) and (c1) do not apply.
In all instances, "distribution determination" is replaced with "determination on the proposed tariff structure statement".	
Submission on specified matters	Clause 6.10.4	All references to "revised regulatory proposal" are removed.	
Making of determination	Clause 6.11.1	In all instances, "distribution determination" is replaced with "determination on the proposed tariff structure statement".
All references to "regulatory proposal" are removed.
In paragraphs (a) and (b), "in relation" is replaced with "submitted by".	
Out of scope revised regulatory proposal or late submissions	Clause 6.11.1A	In all instances, "distribution determination" is replaced with "determination on the proposed tariff structure statement".
All references to "revised regulatory proposal" and "regulatory proposal" are removed.	
Notice of determination	Clause 6.11.2	In all instances, "distribution determination" is replaced with "determination on the proposed tariff structure statement".
"2 months before the commencement of the relevant regulatory control period" is replaced with "29 July 2016".
Paragraph (3) is replaced with "(3) the AER's reasons for making the determination in its final form".	
Commencement of the tariff structure statement	Clause 6.11.3	Paragraph (a) is replaced with "(a) A tariff structure statement included in the AER's determination under this rule 6.11 takes effect at the commencement of the second regulatory year of the regulatory control period to which it relates".
Paragraph (b) does not apply.	
Constituent decisions of a distribution determination	Clause 6.12.1	This rule does not apply.	
Reasons for decisions	Clause 6.12.2	In paragraph (a), "draft distribution determination" is replaced with "draft determination".
In paragraph (a), "final distribution determination" is replaced with "final determination".
In sub-paragraph (a)(2), delete from ", including:" to the end of sub-paragraph (ii).
Paragraph (b) does not apply.	
Extent of the AER's discretion in making the determination	Clause 6.12.3(a)-(j)	These rules do not apply.	
Amending a proposed tariff structure statement	Clause 6.12.3(l)	"distribution determination in relation to a Distribution Network Service Provider" is replaced with "final determination under rule 6.11".
"that distribution determination" is replaced with "that determination".	
Revocation and substitution of a tariff structure statement for wrong information or error	Rule 6.13	In all instances, "distribution determination" is replaced with "tariff structure statement".	
Tariff structure statement	Clause 6.18.1A(f)	Insert "subsequent" before "regulatory year".	
Amending a current tariff structure statement	Clause 6.18.1B	"(other than the first regulatory year of a regulatory control period)" is replaced with "(other than the second regulatory year of a regulatory control period)".	
Sub-threshold tariffs	Clause 6.18.1C(a)	"(other than the first regulatory year of a regulatory control period)" is replaced with "(other than the second regulatory year of a regulatory control period)".	

(b)	For the avoidance of doubt, an affected DNSP's tariff structure statement for the initial regulatory control period does not form a part of the distribution determination for the initial regulatory control period of that affected DNSP.
	11.76.3	Dispute resolution
Until the end of the first regulatory year of the initial regulatory control period of an affected DNSP, the reference in clause 6.22.2(a)(1) to "the Distribution Network Service Provider's tariff structure statement" is deemed to be removed.
Part ZZE	Early Application of Network Capability Component (STPIS)
11.77	Rules consequent on the making of the National Electricity Amendment (Early Application of Service Target Performance Incentive Scheme (STPIS) Components for Transmission Businesses) Rule 2015
11. 77.1	Definitions
For the purposes of this rule 11.77:
Amending Rule means the National Electricity Amendment (Early Application of Service Target Performance Incentive Scheme (STPIS) Components for Transmission Businesses) Rule 2015.
commencement date means the day on which the Amending Rule commences operation.
current regulatory control period  means, for a Transmission Network Service Provider, a regulatory control period that commenced before the commencement date and, as at the commencement date, has not ended.
network capability component means the network capability component described in the relevant STIPS.
priority project has the meaning set out in the glossary of the relevant STPIS.
proposal means the proposal described in clause 11.77.3(b).
relevant STPIS means version 4.1 of the service target performance incentive scheme dated September 2014.
start date  means the date from which the network capability component will apply to a Transmission Network Service Provider.
11.77.2	Purpose
The purpose of this rule 11.77 is to allow a Transmission Network Service Provider to apply to the AER for the application of the network capability component during its current regulatory control period.
11.77.3	Earlier application of the network capability component of the service target performance incentive scheme
(a)	The Amending Rule applies to a Transmission Network Service Provider, which will be subject to the network capability component during its next regulatory control period, for the current regulatory control period.
Submission of proposal
(b)	If a Transmission Network Service Provider wishes the network capability component to apply to it during its current regulatory control period, the Transmission Network Service Provider must submit a proposal to the AER setting out:
(1)	the proposed start date for the network capability component, which must be a date no earlier than 60 business days after the proposal is submitted;
(2)	if relevant, information on whether the Transmission Network Service Provider could apply the network capability component earlier than the proposed start date;
(3)	its network capability incentive parameter action plan (NCIPAP) that covers the period from the proposed start date to the end of its current regulatory control period and complies with clause 5.2(b)-(j) and (q) of the relevant STPIS; and
(4)	a description of how the Transmission Network Service Provider has engaged with electricity consumers in relation to its NCIPAP and how the Transmission Network Service Provider has sought to address any relevant concerns identified as a result of that engagement.
Preliminary examination and determination on compliance with relevant information requirements
(c)	If the AER receives a proposal under paragraph (b), it must:
(1)	make a determination on whether the proposal complies with the relevant information requirements of the submission guidelines in respect of the relevant STPIS; and
(2)	notify the Transmission Network Service Provider of its determination within 10 business days after receiving the proposal.
(d)	A determination referred to in paragraph (c) must be accompanied by written reasons that set out, where applicable:
(1)	the respects in which the proposal does not comply with the relevant information requirements of the submission guidelines; and
(2)	the requirements that have not been complied with.
Revision of proposal
(e)	If the AER notifies a Transmission Network Service Provider that its proposal does not comply with the relevant information requirements of the submission guidelines in a determination under paragraph (c), the Transmission Network Service Provider:
(1)	must, within 10 business days after receiving that notice, submit a revised proposal in a form that complies with the relevant information requirements identified in that determination; and
(2)	may only make changes to its proposal under paragraph (b) to address the matters raised in the determination made under paragraph (d).
Publication and consultation on proposal
(f)	The AER must, as soon as practicable, publish
(1)	the proposal or any revised proposal, submitted under paragraphs (b) or (e); and
(2)	an invitation for written submissions from any person on the proposal within a period specified by the AER, being a period not less than 20 business days from the date of publication of the invitation for submissions.
(g)	Any person may make a written submission to the AER on the proposal, within the period specified in the invitation referred to in paragraph (f)(2).
Making of final decision
(h)	In making its final decision, the AER must consider the proposal, or any revised proposal, submitted under paragraph (b) or (e), and any written submissions made on the proposal or any revised proposal.
(i)	The AER must make its final decision in accordance with paragraphs (j) - (n).
(j)	In determining whether to approve a priority project and the ranking of such projects, the AER is to apply clauses 5.2(k)-(q) of the relevant STIPS and is to consider any submissions made pursuant to paragraph (f)(2).
Requirements relating to final decision
(k)	A final decision under paragraph (i) is a decision by the AER on whether to apply the network capability component to a Transmission Network Service Provider during its current regulatory control period and (where relevant) must include a decision on:
(1)	the start date; and
(2)	the Transmission Network Service Provider's priority projects,
and set out reasons for the decision.
(l)	The AER may make a decision on a start date which is different to the proposed start date, provided the start date is not later than the proposed start date.
(m)	If the AER makes a final decision that the network capability component will apply to a Transmission Network Service Provider then it will apply to the relevant Transmission Network Service Provider from the start date.
Notice of final decision
(n)	The AER must, at least 1 business day before the start date, but not later than 20 business days before the proposed start date, publish:
(1)	notice of the making of the final decision; and
(2)	the final decision, including its reasons.
Actions performed prior to the commencement date
(o)	Any action taken by a Transmission Network Service Provider prior to the commencement date that fulfils the requirements of paragraph (b)(3) is taken to satisfy the requirements of that paragraph, notwithstanding it was done prior to the commencement date.
Part ZZF	National Electricity Amendment (Governance arrangements and implementation of the reliability standard and settings) Rule 2015
11.78	Rules consequent on the making of the National Electricity Amendment (Governance arrangements and implementation of the reliability standards and settings) Rule 2015
11.78.1	Definitions
In this Part ZZF:
Amending Rule means the National Electricity Amendment (Governance arrangements and implementation of the reliability standard and settings) Rule 2015.
commencement date means the commencement date of the Amending Rule.
current Chapter 3 means Chapter 3 of the Rules as in force immediately after the commencement date.
current Chapter 4 means Chapter 4 of the Rules as in force immediately after the commencement date.
current Chapter 10 means Chapter 10 of the Rules as in force immediately after the commencement date.
former Chapter 10 means Chapter 10 of the Rules as in force immediately before the commencement date.
RSIG commencement date  means 31 December 2015.
11.78.2	Existing power system security and reliability standards
For the avoidance of doubt:
(a)	with effect from the commencement date, the reliability standard (as defined in former Chapter 10) ceases to have any effect and the reliability standard (as defined in current chapter 10) has effect for the purposes of these Rules.
(b)	the Reliability Panel is not required to make any change to the power system security standards as a result of the Amending Rule.
11.78.3	Reliability standard and settings guidelines
The Reliability Panel must publish the first reliability standard and settings guidelines by 1 January 2017.
11.78.4	Reliability standard implementation guidelines
(a)	AEMO must publish the first reliability standard implementation guidelines by the RSIG commencement date.
(b)	In this clause 11.78.4:
(1)	a reference to a “former clause…” is a reference to a clause of the Rules as in force immediately before the commencement date;
(2)	a reference to a “former definition…” is a reference to a definition in Chapter 10 of the Rules as in force immediately before the commencement date; and
(3)	a reference to a “current definition…” is a reference to a definition in Chapter 10 of the Rules as in force immediately after the commencement date.
(c)	Current Chapter 3 applies from the commencement date subject to the modifications set out in the following table:

Description	Reference	Transitional treatment	
Administration of PASA	Clause 3.7.1	Former clause 3.7.1 continues to apply until the RSIG commencement date.	
Medium Term PASA	Clause 3.7.2	Former clause 3.7.2 continues to apply until the RSIG commencement date.	
Short Term PASA	Clause 3.7.3	Former clause 3.7.3 continues to apply until the RSIG commencement date	

(d)	Current Chapter 4 applies from the commencement date subject to the modifications set out in the following table:

Description	Reference	Transitional treatment	
Reliable Operating State 	Clause 4.2.7	Former clause 4.2.7 continues to apply until the RSIG commencement date but as if the words “power system security and reliability standards” were replaced with the words “reliability standard”.	
Responsibility of AEMO for power system security	Clause 4.3.1	Former clause 4.3.1 continues to apply until the RSIG commencement date but as if the words “power system security and reliability standards” (wherever occurring in that clause) were replaced with the words “power system security standards”.	
Declaration of conditions	Clause 4.8.4	Former clause 4.8.4 continues to apply until the RSIG commencement date.	
Load forecasting	Clause 4.9.1	Former clause 4.9.1 continues to apply until the RSIG commencement date but as if the words “power system security and reliability standards” (wherever occurring in that clause) were replaced with the words “power system security standards”.	

(e)	Current Chapter 10 applies from the commencement date subject to the modifications set out in the following table:

Description	Reference	Transitional treatment	
Definitions of medium term capacity reserve and short term capacity reserve	Chapter 10	The former definitions of “medium term capacity reserve and short term capacity reserve” continue in effect until the RSIG commencement date.	
medium term capacity reserve standard	Chapter 10	The former definition of “medium term capacity reserve standard” continues in effect until the RSIG commencement date but as if the words “power system security and reliability standards” were replaced with the words “reliability standard”.	
power system security standards	Chapter 10	Until the RSIG commencement date, the current definition applies but as if the following words were inserted before the full stop at the end of the definition “, short term capacity reserves and medium term capacity reserves”	

Part ZZG	Improving demand side participation information provided to AEMO by registered participants
11.79	Rules consequential on making of the National Electricity Amendment (Improving demand side participation information provided to AEMO by registered participants) Rule 2015
11.79.1	AEMO to develop and publish the demand side participation information guidelines
(a)	The first demand side participation information guidelines (as defined in rule 3.7D) must be developed and published by AEMO by 26 September 2016.
Part ZZH	Transitional Arrangements for Aligning TasNetworks' regulatory control periods

11.80	National Electricity Amendment (Aligning TasNetworks' regulatory control periods) Rule 2015
11.80.1	Definitions
For the purposes of this rule 11.80:
Amending Rule means the National Electricity Amendment (Aligning TasNetworks' regulatory control periods) Rule 2015.
commencement date  means the date on which the Amending Rule commences operation. 
current regulatory control period means the regulatory control period for TasNetworks that ends on 30 June 2017.
next regulatory control period means the regulatory control period for TasNetworks that immediately follows the current regulatory control period.
subsequent regulatory control period means the regulatory control period for TasNetworks that immediately follows the next regulatory control period.
TasNetworks means Tasmanian Networks Pty Ltd ACN 167 357 299, in its capacity as Distribution Network Service Provider.
Note
The current distribution determination in place for TasNetworks was made for its predecessor, Aurora Energy Pty Limited (ACN 082 464 622). 
11.80.2	Application of rule 11.80
This rule 11.80 prevails to the extent of any inconsistency over any other clause of the Rules.
11.80.3	Next regulatory control period
A distribution determination for TasNetworks for the next regulatory control period must specify that the next regulatory control period commences on 1 July 2017 and ends on 30 June 2019, and the provisions of the Rules must be applied consistently with this requirement.
11.80.4	Subsequent regulatory control period
For the purposes of making a distribution determination for TasNetworks for the subsequent regulatory control period, the provisions of the Rules must be applied consistently with the requirement in clause 11.80.3. 
Part ZZI	System Restart Ancillary Services
11.81	Rules consequential on the making of the National Electricity Amendment (System Restart Ancillary Services) Rule 2015
11.81.1	Definitions
For the purposes of this rule 11.81:
Amending Rule means the National Electricity Amendment (System Restart Ancillary Services) Rule 2015.
Commencement Date means the date of commencement of the Amending Rule.
existing SRAS contract means an ancillary services agreement between AEMO and another person for the provision of system restart ancillary services entered into prior to the Commencement Date.
old clause 3.11.4A means clause 3.11.4A of the Rules as in force immediately prior to the Commencement Date.
11.81.2	System restart standard
As soon as practicable after the Commencement Date, the Reliability Panel must revise the system restart standard to take into account the Amending Rule and provide the revised standard to the AEMC.
11.81.3	SRAS Guideline
As soon as practicable after the AEMC publishes the system restart standard as revised by the Reliability Panel under clause 11.81.2, AEMO must develop and publish the first SRAS Guideline and NSCAS tender guidelines.
11.81.4	Regional Benefit Ancillary Services Procedures
As soon as practicable after the Commencement Date, AEMO must amend and publish the Regional Benefit Ancillary Services Procedures referred to in clause 3.15.6A to take into account the Amending Rule.
11.81.5	Consultation prior to the Commencement Date
If, prior to the Commencement Date, and for the purposes of developing or amending the standards, guidelines and procedures referred to in clauses 11.81.2 to 11.81.4, either AEMO or the Reliability Panel undertook a consultation, step decision or action equivalent to that consultation, step decision or action as required under:
(a)	in the case of AEMO, the Rules consultation procedures; or
(b)	in the case of the Reliability Panel, the requirements of clause 8.8.3(d) to (j), then that consultation, step decision or action is taken to satisfy the relevant requirement for the equivalent consultation, step decision or action.
11.81.6	Existing SRAS Contract
(a)	AEMO may continue to acquire system restart ancillary services under an existing SRAS contract and may extend the period of an existing SRAS contract for such period as AEMO and that person reasonably determine.
(b)	Any reference in an existing SRAS contract to a document published by AEMO under old clause 3.11.4A is taken to be a reference to the relevant provision of that document as in effect immediately before the Commencement Date.
Part ZZJ	Demand management incentive scheme
11.82	Rules consequential on making of the National Electricity Amendment (Demand management incentive scheme) Rule 2015
11.82.1	Definitions
(a)	In this rule 11.82:
Amending Rule means the National Electricity Amendment (Demand Management Incentive Scheme) Rule 2015.
commencement date means the date Schedules 1, 2 and 3 of the Amending Rule commence.
new clauses 6.6.3 and 6.6.3A means clauses 6.6.3 and 6.6.3A of the Rules as in force after the commencement date.
(b)	Italicised terms used in this rule have the same meaning as under Schedule 3 of the Amending Rule.
11.82.2	AER to develop and publish the demand management incentive scheme and demand management innovation allowance mechanism
(a)	By 1 December 2016, the AER must develop and publish the first:
(i)	demand management incentive scheme under new clause 6.6.3; and
(ii)	demand management innovation allowance mechanism under new clause 6.6.3A.
Part ZZK	AEMO access to demand forecasting information
11.83	Rules consequential on the making of the National Electricity Amendment (AEMO access to demand forecasting information) Rule 2015
11.83.1	AEMO to include supporting information in NTNDP database
Despite clause 5.20.4(b2), AEMO must include the information referred to in that clause in the NTNDP database by no later than 1 July 2017.
Part ZZL	Compensation arrangements following application of an Administered Price Cap or Administered Floor Price
11.84	Rules consequential on the making of the National Electricity Amendment (Compensation Arrangements following application of an Administered Price Cap and Administered Floor Price) Rule 2016
11.84.1	Definitions
In this rule 11.84:
Amending Rule  means the National Electricity Amendment (Compensation Arrangements following application of an Administered Price Cap and Administered Floor Price) Rule 2016.
commencement date means the date Schedule 1 of the Amending Rule commences operation.
existing compensation guidelines  means the compensation guidelines made by the AEMC under old clause 3.14.6.
old clause 3.14.6 means clause 3.14.6 of the Rules as in force immediately prior to the commencement date.
11.84.2	Compensation Guidelines
By the commencement date, the AEMC must, in accordance with the transmission consultation procedures, amend the existing compensation guidelines to take into account the Amending Rule and publish the compensation guidelines under clause 3.14.6(c) .
Part ZZM	Common definitions of distribution reliability measures
11.85	Rules consequential on the making of the National Electricity Amendment (Common definitions of distribution reliability measures) Rule 2015
11.85.1	Definitions
(a)	In this rule 11.85:
Amending Rule means the National Electricity Amendment (Common definitions of distribution reliability measures) Rule 2015.
effective date means 30 June 2017.
11.85.2	Distribution reliability measures guidelines
Despite clause 6.28(a), the AER must develop and publish the distribution reliability measures guidelines by 30 June 2017.
11.85.3	Amended STPIS
(a)	If, prior to the effective date, and for the purposes of developing changes to the current version of the service target performance incentive scheme in anticipation of the Amending Rule, the AER undertook a consultation, step, decision or action equivalent to that as required in the distribution consultation procedures or otherwise under the Rules, then that consultation, step, decision or action is taken to satisfy the equivalent consultation step, decision or action under the distribution consultation procedures or Rules.
Part ZZN	Expanding competition in metering and metering related services
11.86	Rules consequent on making of the National Electricity Amendment (Expanding competition in metering and related services) Rule 2015
11.86.1	Definitions
Subject to this rule 11.86, in this rule 11.86:
Amending Rule  means the National Electricity Amendment (Expanding competition in metering and metering related services) Rule 2015.
effective date means 1 December 2017.
old Chapter 7  means the Chapter 7 of the Rules as in force immediately before the effective date.
new Chapter 7 means the Chapter 7 of the Rules as in force immediately after the effective date.
new rule 2.4A means the new rule 2.4A of Chapter 2 of the Rules as in force immediately after the commencement of Schedule 1 of the Amending Rule and a reference to new clause 2.4A.1 or 2.4A.2 has a corresponding meaning.
11.86.2	References to old Chapter 7
Unless the context otherwise requires, on and from the effective date every reference to old Chapter 7 in the Rules or a document produced under the Rules is deemed to be a reference to the new Chapter 7. 
11.86.3	References to provisions of the old Chapter 7
Unless the context otherwise requires, on and from the effective date every reference to a provision of the old Chapter 7 in the Rules or a document produced under the Rules is deemed to be a reference to the corresponding provision of the new Chapter 7 (if any).
11.86.4	References to responsible person
Unless the context otherwise requires, on and from the effective date every reference to a responsible person in the Rules or a document produced under the Rules is deemed to be a reference to a Metering Coordinator.
11.86.5	Continued operation of old Rules until the effective date
Subject to this rule 11.86, old Chapter 7:
(a)	continues to apply until the effective date; and
(b)	ceases to apply on and from the effective date.
11.86.6	New and amended procedures
(a)	By 1 September 2016, AEMO must amend and publish the following procedures to take into account the Amending Rule:
(1)	service level procedures;
(2)	Market Settlement and Transfer Solution Procedures;
(3)	metrology procedure; 
(4)	meter churn procedures; and
(5)	RoLR Procedures.
(b)	By 1 September 2016, AEMO must develop and publish the following procedures to take into account the Amending Rule:
(1)	emergency priority procedures;
(2)	procedures relating to the minimum services specification in accordance with clause 7.8.3(b) of new Chapter 7; and
(3)	procedures relating to the installation and removal of network devices in accordance with clause 7.8.6(i) of new Chapter 7.
(c)	AEMO in its complete discretion may amend:
(1)	the service level procedures to make provision for the procedures listed in subparagraphs (b)(1) and b(2); and
(2)	the meter churn procedures to make provision for the procedures listed in subparagraph (b)(3),
instead of developing new procedures.
(d)	By 1 March 2017, AEMO must develop and publish information relating to the process by which persons can apply for registration as Metering Coordinators under new rule 2.4A to take into account the Amending Rule.
(e)	[Deleted]
(f)	[Deleted]
(g)	By the date which is six months after the date on which AEMO publishes the information referred to in paragraph (d), AEMO must develop and publish a procedure relating to the issue of a Metering Coordinator default notice in accordance with clause 7.7.3(a) of new Chapter 7.
(h)	AEMO must:
(1)	comply with the Rules consultation procedures when meeting its obligations under paragraphs (a), (b) and (g); and
(2)	for the purposes of the Rules consultation procedures, consult with any person that has, in AEMO's opinion, or identifies itself to AEMO as having, an interest in the relevant procedure listed in subparagraph (1).
11.86.7	Metering Coordinator for type 5 or 6 metering installation from effective date
(a)	On and from the effective date, a Local Network Service Provider that was the responsible person for a type 5 or 6 metering installation connected to, or proposed to be connected to, the Local Network Service Provider's network under clause 7.2.3(a)(2) of old Chapter 7 or clause 9.9C.3 immediately before the effective date must be appointed as the Metering Coordinator by the financially responsible Market Participant. 
(b)	By no later than 1 September 2017, the Local Network Service Provider must provide each financially responsible Market Participant with a standard set of terms and conditions on which it will agree to act as the Metering Coordinator with respect to a type 5 or type 6 metering installation referred to in paragraph (a). 
(c)	Unless the financially responsible Market Participant and Local Network Service Provider agree other terms and conditions to apply to the Local Network Service Provider's appointment as the Metering Coordinator under paragraph (a) prior to the effective date, the Local Network Service Provider will be deemed to be appointed as the Metering Coordinator on the standard terms and conditions of appointment referred to in paragraph (b) on and from the effective date.
(d)	The terms and conditions on which a Local Network Service Provider is appointed as Metering Coordinator under paragraph (a) or deemed to be appointed as Metering Coordinator under paragraph (c) must:
(1)	include terms as to price which are consistent with Chapter 6 and, where relevant, Chapter 11;
(2)	include a scope of services which is consistent with the responsibilities of the Metering Coordinator with respect to the connection point under new Chapter 7;
(3)	provide that the financially responsible Market Participant may terminate the appointment or deemed appointment on reasonable notice to the Metering Coordinator;
(4)	require the Local Network Service Provider promptly to notify the financially responsible Market Participant of a metering installation malfunction which occurs to a metering installation other than the installations referred to in clause 7.8.10(a)(1) of new Chapter 7;
(5)	require the financially responsible Market Participant which receives a notice from the Local Network Service Provider under subparagraph (4) to promptly appoint a Metering Coordinator; and
(6)	subject to paragraph (e), must not prevent, hinder or otherwise impede a financially responsible Market Participant from appointing a person other than the Local Network Service Provider as Metering Coordinator on any day following the effective date.
(e)	Subparagraph (d)(6) does not prevent the terms and conditions on which a Metering Coordinator is appointed under paragraph (a) from including a requirement for the financially responsible Market Participant to pay the Local Network Service Provider an exit fee when the appointment ceases, provided that the exit fee is consistent with Chapter 6 and, where relevant, Chapter 11.
(f)	An agreement between a Local Network Service Provider and the financially responsible Market Participant relating to the appointment under paragraph (a) or deemed appointment under paragraph (c) of the Local Network Service Provider as Metering Coordinator may include agreed terms and conditions that are in addition to those required by paragraph (d), provided the additional terms and conditions are consistent with paragraph (d).
(g)	Any Metering Coordinator appointed under paragraph (a) or deemed to be appointed under paragraph (c):
(1)	is not required to meet the requirements of new clause 2.4A.2(a)(4) except if, immediately before the effective date, the Metering Coordinator is the responsible person for metering installations that would fall within the definition of small customer metering installations under the Amending Rule.
(2)	is not obliged to comply with clause 7.8.10(a)(2) of new Chapter 7; and
(3)	must promptly notify the financially responsible Market Participant of a metering installation malfunction which occurs to a metering installation other than the installations referred to in clause 7.8.10(a)(1) of new Chapter 7.
(h)	A financially responsible Market Participant which receives a notice under subparagraph (g)(3) must promptly appoint a Metering Coordinator.
(i)	Any Metering Coordinator appointed by the financially responsible Market Participant following a notice under subparagraph (g)(3) must comply with clause 7.8.10(a)(2) of new Chapter 7 within 10 business days after its appointment.
(j)	For the avoidance of doubt:
(1)	any Metering Coordinator appointed under paragraph (a), or deemed to be appointed under paragraph (c), must comply with Chapter 2 of the Rules, including the requirement that a Metering Coordinator be registered with AEMO as a Metering Coordinator under new clause 2.4A.1(a) of Chapter 2 of the Rules; and
(2)	to the extent of any inconsistency between this clause 11.86.7 and clause 7.6.1(a) of new Chapter 7, this clause 11.86.7 prevails.
(k)	Despite anything to the contrary in the terms and conditions on which a Local Network Service Provider is appointed as Metering Coordinator under paragraph (a) or a deemed appointment under paragraph (c), that appointment will continue until the earlier of:
(1)	the services provided with respect to the metering installation ceasing to be classified by the AER as direct control services; and
(2)	a Metering Coordinator being appointed with respect to that connection point under new Chapter 7.
Note
The consequence of this provision is that the appointment or deemed appointment (as the case may be) will come to an end when a new or replacement metering installation is installed in accordance with clause 7.8.3 or 7.8.4 of new Chapter 7, provided that the AER does not classify services provided by small customer metering installations or type 4A metering installations as direct control services.
11.86.8	Distribution Ring Fencing Guidelines
(a)	AER must by 1 December 2016 publish Distribution Ring-Fencing Guidelines.
11.86.9	[Deleted]
Part ZZO	Embedded Networks
11.87	Rules consequential on the making of the National Electricity Amendment (Embedded Networks) Rule 2015
11.87.1	Definitions
(a)	In this rule 11.87:
Amending Rule means the National Electricity Amendment (Embedded Networks) Rule 2015.
effective date means 1 December 2017.
old Chapter 7 means the Chapter 7 of the Rules as in force immediately before the effective date.
(b)	Italicised terms used in this rule, not otherwise defined, have the same meaning as under Schedule 3 of the Amending Rule.
11.87.2	Amended Procedures and NMI Standing Data Schedule
(a)	By 1 September 2016, AEMO must amend and publish the following procedures to take account of the Amending Rule:
(1)	Market Settlement and Transfer Solution Procedures;
(2)	metrology procedure; and
(3)	service level procedure.
(b)	[Deleted]
(c)	[Deleted]
(d)	By 1 September 2016, AEMO must amend and publish the NMI Standing Data Schedule referred to in clause 3.13.12A to take account of the Amending Rule.
(e)	AEMO must:
(1)	comply with the Rules consultation procedures when meeting its obligations under paragraphs (a) and (d); and
(2)	for the purposes of the Rules consultation procedures, consult with any person that has, in AEMO's opinion, or identifies itself to AEMO as having, an interest in the relevant procedure listed in subparagraph (a).
11.87.3	ENM service level procedures and guide to embedded networks and list of Embedded Network Managers
(a)	By 1 March 2017, AEMO must develop and publish the:
(1)	ENM service level procedures; and
(2)	guide to embedded networks referred to in clause 7.16.6B of the Amending Rule,
in accordance with the Amending Rule.
(b)	From 1 March 2017 to the effective date, AEMO must maintain and publish an interim list of Embedded Network Managers and update this list as persons are accredited as Embedded Network Managers.
11.87.4	Exemptions under section 13 of the National Electricity Law
(a)	By 1 December 2016, the AER must:
(1)	amend and publish the guidelines developed under clause 2.5.1(d) to take account of the Amending Rule; and
(2)	make any determination under clause 2.5.1(d2) that it considers necessary.
(b)	If, prior to the effective date and for the purposes of developing changes to the guidelines referred to in paragraph (a) in anticipation of the Amending Rule, the AER undertook a consultation or step equivalent to that as required in the Rules consultation procedures, then that consultation or step is taken to satisfy the equivalent consultation or step under the Rules consultation procedures.
Part ZZP	Meter Replacement Processes
11.88	Rules consequential on the making of the National Electricity Amendment (Meter Replacement Processes) Rule 2016
11.88.1	Definitions
In this rule 11.88:
Amending Rule means the National Electricity Amendment (Meter Replacement Processes) Rule 2016.
effective date means 1 December 2017.
11.88.2	Amended Procedures
(a)	By 1 September 2016, AEMO must amend and publish the following procedures, as required, to take into account the Amending Rule:
(1)	Market Settlement and Transfer Solution Procedures;
(2)	meter churn procedures;
(3)	metrology procedure; and
(4)	service level procedures.
(b)	If, prior to the effective date and for the purposes of developing changes to the procedures referred to in paragraph (a) in anticipation of the Amending Rule, AEMO undertook consultation or a step equivalent to that required in the Rules consultation procedures, then that consultation or step is taken to satisfy the equivalent consultation or step under the Rules consultation procedures.
Part ZZQ	Energy Adequacy Assessment Projection
11.89	Rules consequential to the National Electricity Amendment (Energy Adequacy Assessment Projection timeframes) Rule 2016
11.89.1	Amended guideline and timetable
(a)	By 31 October 2016, AEMO must amend and publish the EAAP guidelines, the timetable and the reliability standard implementation guidelines to take into account the National Electricity Amendment (Energy Adequacy Assessment Projection timeframes) Rule 2016.
(b)	Amendments to the EAAP guidelines, the timetable and the reliability standard implementation guidelines under paragraph (b) must take effect on 1 November 2016.
Part ZZR	Reliability and emergency reserve trader (2016 amendments)
11.90	Rules consequent on the making of the National Electricity Amendment (Extension of the Reliability and Emergency Reserve Trader) Rule 2016
11.90.1	Definitions
For the purposes of this rule 11.90:
Amending Rule means the National Electricity Amendment (Extension of the Reliability and Emergency Reserve Trader) Rule 2016.
RERT procedures means the procedures made under clause 3.20.7(e).
Schedule 2 commencement date means the day on which schedule 2 of the Amending Rule commences operation.
11.90.2	Amendments to Reliability Panel's RERT Guidelines
No later than 28 February 2017, the Reliability Panel must amend the RERT guidelines in accordance with clause 3.20.8 to reflect the Amending Rule, with those amendments to take effect from the Schedule 2 commencement date.
11.90.3	Amendments to AEMO's RERT procedures
No later than the Schedule 2 commencement date, AEMO must amend the RERT procedures in accordance with clause 3.20.7(e) to reflect the Amending Rule and the amended RERT guidelines made under clause 11.90.2, with those amendments to take effect from the Schedule 2 commencement date.
11.90.4	Reserve contracts entered into before Schedule 2 commencement date
Nothing in this Amending Rule affects any reserve contract entered into prior to the Schedule 2 commencement date.
Part ZZS	Updating the electricity B2B framework
11.91	Rules consequential on the making of the National Electricity Amendment (Updating the electricity B2B framework) rule 2016
11.91.1	Definitions
(a)	In this rule 11.91:
Amending Rule means the National Electricity Amendment (Updating the electricity B2B framework) Rule 2016.
B2B Recommendation has the meaning given in clause 11.91.5.
commencement date means the date of commencement of Schedule 1 of the Amending Rule.
effective date means the date of commencement of Schedule 4 of the Amending Rule.
Existing B2B Procedures means the B2B Procedures as in force immediately before the commencement date.
New B2B Procedures means the B2B Procedures published by AEMO in accordance with clause 11.91.5.
New Chapter 7 means Chapter 7 of the Rules as in force on the effective date.
New Chapter 10 means Chapter 10 of the Rules as in force on the effective date.
New IEC has the meaning given in clause 11.91.4.
Old Chapter 7 means Chapter 7 of the Rules as in force immediately before the commencement date.
Old IEC means the Information Exchange Committee (as defined under Chapter 10 of the Rules as in force immediately before the commencement date) in existence immediately before the commencement date.
transitional period means the period beginning on the commencement date and ending immediately before the effective date.
(b)	Italicised terms used in this rule, not otherwise defined, have the same meaning as under New Chapter 10.
11.91.2	B2B Procedures
(a)	The Existing B2B Procedures continue in force until the effective date.
(b)	During the transitional period, a reference to the “B2B Procedures” in Chapter 7 of the Rules is taken to be a reference to the Existing B2B Procedures.
(c)	AEMO must make available the Existing B2B Procedures on its website during the transitional period.
11.91.3	Information Exchange Committee Election Procedures and Information Exchange Committee Operating Manual
(a)	AEMO must:
(1)	by 1 August 2016, prepare and publish the Information Exchange Committee Election Procedures and Information Exchange Committee Operating Manual to take into account the Amending Rule;
(2)	ensure that the Information Exchange Committee Election Procedures published under subparagraph (1) include provisions in respect of those matters set out in clauses 7.17.6(g)(1) to (4) of New Chapter 7; and
(3)	consult with Distribution Network Service Providers, retailers, Local Retailers, Metering Providers and Metering Data Providers prior to publishing the Information Exchange Committee Election Procedures and Information Exchange Committee Operating Manual under subparagraph (1).
(b)	AEMO is not required to comply with the Rules consultation procedures in respect of its obligations under paragraph (a). 
(c)	Rule 8.2 does not apply to a decision made by AEMO with regard to the preparation and publication of the Information Exchange Committee Election Procedures and Information Exchange Committee Operating Manual under paragraph (a).
(d)	The New IEC, AEMO and B2B Parties must each comply with the Information Exchange Committee Election Procedures and Information Exchange Committee Operating Manual published under paragraph (a) during the transitional period.
(e)	The Information Exchange Committee Election Procedures and Information Exchange Committee Operating Manual published under paragraph (a) are deemed to be the Information Exchange Committee Election Procedures and Information Exchange Committee Operating Manual under New Chapter 7 in force on the effective date.
(f)	Consultation on the Information Exchange Committee Election Procedures and Information Exchange Committee Operating Manual undertaken by AEMO:
(1)	prior to the commencement date; and
(2)	for the purposes of developing the Information Exchange Committee Election Procedures and Information Exchange Committee Operating Manual in anticipation of the Amending Rule,
is taken to form part of the consultation required under subparagraph (a)(3).
11.91.4	The New IEC
Establishment of the New IEC
(a)	Without limiting paragraph (b), AEMO must establish the Information Exchange Committee by 1 September 2016 in accordance with:
(1)	clauses 7.17.6(b), 7.17.10 and 7.17.11(a) and (d) of New Chapter 7; and
(2)	the Information Exchange Committee Election Procedures and Information Exchange Committee Operating Manual  published under clause 11.91.3,
(the New IEC).
(b)	The following provisions in New Chapter 7 apply to, and in respect of, the establishment and operation of the New IEC during the transitional period:
(1)	clause 7.17.6, excluding clause 7.17.6(g);
(2)	clause 7.17.7(e) and (f);
(3)	clause 7.17.8;
(4)	clause 7.17.9;
(5)	clause 7.17.10; and 
(6)	clause 7.17.11(b) and (c).
(c)	The New IEC is deemed to be the Information Exchange Committee established by AEMO under clause 7.17.6(a) of New Chapter 7 with effect on the effective date.
Functions and powers of the New IEC
(d)	During the transitional period, the functions and powers of the New IEC are limited to:
(1)	developing, consulting on and making the B2B Recommendation;
(2)	recommending minor or administrative changes to the New B2B Procedures under clause 11.91.5(d);
(3)	establishing Information Exchange Committee Working Groups;
(4)	developing, consulting on and approving the Information Exchange Committee Works Programme; and
(5)	reviewing and considering work completed by the Information Exchange Committee Working Groups.
Note
The Old IEC was dissolved on the commencement date as a consequence of the amendments to rule 7.2A under Schedule 1 of the Amending Rule.
11.91.5	Amended Procedures
(a)	By 1 May 2017, the New IEC must make an Information Exchange Committee Recommendation to change the Existing B2B Procedures with effect on and from the effective date to take into account:
(1)	the Amending Rule;
(2)	the National Electricity Amendment (Embedded Networks) Rule 2015; and
(3)	the National Electricity Amendment (Expanding competition in metering and related services) Rule 2015,
(the B2B Recommendation).
(b)	Subject to clause 7.17.5(b) of New Chapter 7, AEMO must publish the B2B Procedures in accordance with the B2B Recommendation within 20 business days of the New IEC making the B2B Recommendation.
(c)	The following provisions in New Chapter 7 apply to, and in respect of, the B2B Recommendation:
(1)	clause 7.17.3; 
(2)	clauses 7.17.4(i) to (r) (inclusive), with such modifications as are necessary to properly apply the consultation requirements to the B2B Recommendation; and
(3)	clause 7.17.5, subject to the reference to '10 business days' in clause 7.17.5(e) being taken to be a reference to '20 business days'.
(d)	During the transitional period, if the New IEC considers that a minor or administrative change to the New B2B Procedures is necessary to correct a manifest error, the New IEC may recommend the change to AEMO and need not consult on the change in accordance with the Rules consultation procedures. Clauses 7.17.4(a) to (c) and (n) to (q) (inclusive) and clause 7.17.5 apply to any such change to the Existing B2B Procedures (with any necessary modifications).
(e)	AEMO must publish its B2B Decision in relation to a change under paragraph (d) and notify all B2B Parties of the change to the Existing B2B Procedures.
11.91.6	B2B e-Hub Participant accreditation process
By 1 June 2017, AEMO must:
(a)	establish and maintain an accreditation process for B2B e-Hub Participants (including a process under which accreditation can be revoked by AEMO); and
(b)	publish information relating to the process by which parties can apply to be accredited as B2B e-Hub Participants under clause 7.17.2 of New Chapter 7,
to take into account the Amending Rule.
11.91.7	New IEC Budget and 2016 Annual Report
(a)	The New IEC must prepare an Information Exchange Committee Annual Report for the year ending 31 December 2016, which must contain the information required by the Information Exchange Committee Operating Manual published under clause 11.91.3(a) (the 2016 Annual Report). The New IEC must provide the 2016 Annual Report to AEMO by 31 March 2017.
(b)	The New IEC must prepare, and provide to AEMO, a draft budget and budget for the financial year ending 30 June 2018 in accordance with clause 7.17.7(d) of New Chapter 7.
(c)	AEMO must:
(1)	provide all reasonable assistance to the New IEC with respect to the New IEC’s preparation of the 2016 Annual Report, including retaining, and making available to the New IEC, all records in AEMO’s possession that may be necessary or convenient for the New IEC to prepare the 2016 Annual Report;
(2)	publish the 2016 Annual Report; and
(3)	when publishing its budget under clause 2.11.3 for the financial year ending 30 June 2018, advise the New IEC of the final budget for the New IEC for that financial year.
11.91.8	Cost recovery
(a)	Costs incurred, but not recouped, by AEMO before the commencement date in accordance with clause 7.2A.6 of Old Chapter 7, may be recouped by AEMO as Participant fees during the transitional period.
(b)	During the transitional period, costs in respect of:
(1)	subject to subparagraph (2), the development of the New B2B Procedures, establishment and operation of the New IEC (including the engagement costs of specialist advisers) and the costs of the AEMO Member, must be incurred and paid by AEMO in the first instance and may be recouped by AEMO as Participant fees;
(2)	any Member’s participation in the New IEC (other than the AEMO Member) and the costs of individuals relating to their participation in the Information Exchange Committee Working Groups, is to be borne by that Member or individual, respectively, and not AEMO; and
(3)	a person’s implementation and maintenance of necessary systems and processes to ensure compliance with the New B2B Procedures must be met by that person.
Part ZZT	Application of Offsets in the Prudential Margin Calculation
11.92	Rules consequential on the making of the National Electricity Amendment (Application of Offsets in the Prudential Margin Calculation) Rule 2016
11.92.1	Definitions
In this rule 11.92:
Amending Rule means the National Electricity Amendment (Application of Offsets in the Prudential Margin Calculation) Rule 2016.
credit limit procedures has the meaning given in clause 3.1.1A.
reallocation timetable has the meaning given in clause 3.15.11(d)(2).
11.92.2	Amended procedures
(a)	By 1 July 2017, AEMO must amend and publish the following, as required, to take into account the Amending Rule:
(1)	credit limit procedures; 
(2)	reallocation procedures; and
(3)	reallocation timetable.
(b)	AEMO must comply with the Rules consultation procedures when meeting its obligations under paragraph (a).
Part ZZU	Rate of Return Guidelines Review
11.93	Rules consequential on the making of the National Electricity Amendment (Rate of Return Guidelines Review) Rule 2016
11.93.1	Definitions
In this rule 11.93:
affected DNSP means each of the following Distribution Network Service Providers:
(a)	ActewAGL Distribution, the joint venture between Icon Distribution Investments Limited ACN 073 025 224 and Jemena Networks (ACT) Pty Ltd ACN 008 552 663 providing distribution services in the Australian Capital Territory, or any successor to its business;
(b)	Ausgrid, the energy services corporation of that name (formerly known as EnergyAustralia), which is constituted under section 7 of the Energy Services Corporations Act 1995 (NSW) and specified in Part 2 of Schedule 1 of that Act, or any successor to its business (including any ‘authorised distributor’ of Ausgrid’s ‘network infrastructure assets’ (as those terms are defined in the Electricity Network Assets (Authorised Transactions) Act 2015 (NSW)) following the transfer of the whole, or part of, those network infrastructure assets to the private sector); 
(c)	Endeavour Energy, the energy services corporation of that name (formerly known as Integral Energy), which is constituted under section 7 of the Energy Services Corporations Act 1995 (NSW) and specified in Part 2 of Schedule 1 to that Act, or any successor to its business (including any ‘authorised distributor’ of Endeavour Energy’s ‘network infrastructure assets’ (as those terms are defined in the Electricity Network Assets (Authorised Transactions) Act 2015 (NSW)) following the transfer of the whole, or part of, those network infrastructure assets to the private sector);
(d)	Essential Energy, the energy services corporation of that name (formerly known as Country Energy), which is constituted under section 7 of the Energy Services Corporations Act 1995 (NSW) and specified in Part 2 of Schedule 1 to that Act, or any successor to its business;
(e)	Power and Water Corporation ABN 15 947 352 360, providing distribution services in the Northern Territory, or any successor to its business; and
(f)	Tasmanian Networks Pty Ltd ACN 167 357 299, providing distribution services in Tasmania, or any successor to its business.
affected TNSP means the Transmission Network Service Provider, Tasmanian Networks Pty Ltd ACN 167 357 299, providing transmission services in Tasmania, or any successor to its business.
commencement date means 20 October 2016.
current rate of return guidelines means the Rate of Return Guidelines as in force on the commencement date.
current regulatory control period of an affected DNSP or affected TNSP, means the regulatory control period for that affected DNSP or affected TNSP, which commenced before the commencement date and, as at the commencement date, has not ended.
subsequent regulatory control period of an affected DNSP or affected TNSP, means the regulatory control period for that affected DNSP or affected TNSP that immediately follows the current regulatory control period.
11.93.2	Application of current rate of return guidelines to making of a distribution determination for the subsequent regulatory control period
For the purposes of the application of:
(a)	Chapter 6 to the making, amendment, revocation or substitution of a distribution determination for an affected DNSP’s subsequent regulatory control period; and
(b)	Chapter 6A to the making, amendment, revocation or substitution of a transmission determination for the affected TNSP’s subsequent regulatory control period,
a reference to the Rate of Return Guidelines is deemed to be a reference to the current rate of return guidelines.