Commerce Act 1986

Regulated goods or services - Gas pipeline services - Overview and interpretation

55A: Meaning of gas pipeline services

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"What 'gas pipeline services' means in the law, including transporting natural gas through pipelines"

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When you hear the term 'gas pipeline services', it means the transportation of natural gas through pipelines, and this includes being responsible for any losses of natural gas. You need to know that gas pipeline services do not include conveying natural gas to a gas processing facility, or if the amount of gas conveyed is less than 75,000 gigajoules per year. Gas pipeline services also do not include conveying natural gas by a pipeline listed in the second column of Schedule 6.

When measuring the amount of gas conveyed, you must include the gas conveyed by any associate of the supplier. The term 'associate' has the same meaning as in section 12 of the Electricity Industry Reform Act 1998, and 'consumer' has the same meaning as in section 2(1) of the Gas Act 1992. A 'pipeline' refers to everything used to transport natural gas between the gas field and the point of supply to a consumer, but it does not include meters.

The Governor-General can amend Schedule 6 by adding, deleting, or changing the description of any pipeline. The Minister can only make a recommendation to amend Schedule 6 if the Commission has made a similar recommendation and has consulted with interested parties. Any order to amend Schedule 6 is considered secondary legislation, and you can find more information about this in Part 3 of the Legislation Act 2019.

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55: Overview of subpart, or

"A guide to the law about gas pipeline services and their rules"


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55B: Gas pipeline services declared to be regulated, or

"Rules for gas pipelines are controlled by law"

Part 4Regulated goods or services
Gas pipeline services: Overview and interpretation

55AMeaning of gas pipeline services

  1. In this subpart, unless the context otherwise requires, gas pipeline services means the conveyance of natural gas by pipeline, including the assumption of responsibility for losses of natural gas.

  2. However, none of the following are gas pipeline services:

  3. conveying natural gas to a gas processing facility:
    1. conveying natural gas if the total amount of gas conveyed to consumers by the supplier is less than 75 000 gigajoules per annum:
      1. conveying natural gas by a pipeline that is listed in the second column of Schedule 6.
        1. The gas conveyed, when measured in relation to a supplier includes, for the purposes of subsection (2)(b), the gas conveyed by any associate of the supplier.

        2. In this section, unless the context otherwise requires,—

          associate has the same meaning as in section 12 of the Electricity Industry Reform Act 1998

            consumer has the same meaning as in section 2(1) of the Gas Act 1992

              container has the same meaning as in section 2(1) of the Gas Act 1992

                gas refueller has the same meaning as in section 2(1) of the Gas Act 1992

                  pipeline

                  1. means everything used, or designed or intended for use, (whether above or below ground) in or in connection with the conveyance of natural gas between—
                    1. the boundary of the gas field or gas processing facility to the point of supply to a consumer or gas refueller; or
                      1. the outlet of the container in which gas is stored to the point of supply to a consumer or gas refueller; but
                      2. excludes meters.

                      3. The Governor-General may, by Order in Council made on the recommendation of the Minister, amend Schedule 6 by—

                      4. adding any pipeline:
                        1. deleting any pipeline:
                          1. changing the description of any pipeline or its owner.
                            1. The Minister may make a recommendation for the purpose of subsection (5) only if the Minister is satisfied that—

                            2. the Commission has made a recommendation to the same effect; and
                              1. in the case of a recommendation to add a pipeline, the gas pipeline services are supplied in a market where the owner of the pipeline does not have a substantial degree of market power; and
                                1. in the case of a recommendation to delete a pipeline, the gas pipeline services are supplied in a market where the owner of the pipeline has a substantial degree of market power; and
                                  1. the Commission has consulted (without necessarily holding an inquiry) with interested parties.
                                    1. An order under subsection (5) is secondary legislation (see Part 3 of the Legislation Act 2019 for publication requirements).

                                    Notes
                                    • Section 55A: inserted, on , by section 4 of the Commerce Amendment Act 2008 (2008 No 70).
                                    • Section 55A(7): inserted, on , by section 3 of the Secondary Legislation Act 2021 (2021 No 7).