19 7 0 677 VICTORIA. ANNO UNDEVICESIMO ELIZABETHS SECUNDy€ REGINS No. 8057. An Act with respect to the Rights of the Gas and Fuel Corporation of Victoria and the Colonial Gas Association Limited to supply Gas in certain Areas and for other purposes. [22nd December, 1970.] DE it enacted by the Queen's Most Excellent Majesty by and •'-' with the advice and consent of the Legislative Council and the Legislative Assembly of Victoria in this present Parliament assembled and by the authority of the same as follows (that is to say) :— 1. This Act may be cited as the Gas Franchises Att 1970. short tuit. 2. (1) In this Act unless inconsistent with the context or subject-matter— " Colonial Gas" means the Colonial Gas Association '* Colonial Limited a company incorporated in the United Kingdom °"" under the provisions of the Companies Act 1862-1886 and registered as a foreign company under the Companies Act 1961. " Corporation " means the Gas and Fuel Corporation of " corporation; Victoria. " Franchise 678 1970. Gas Franchises. No. 8057 " Franchise "Franchise area" means in relation to the Corporation area." the areas described in Schedule 1 and in relation to the Colonial Gas the areas described in Schedule 2. " Franchise " Franchise holder " in relation to the areas described in holder." Schedule 1 means the Corporation and in relation to the areas described in Schedule 2 means the Colonial Gas. • Gas." " Gas " means carburetted water gas,' coal gas, oil gas, producer gas, water gas, liquefied petroleum gas, tempered hquefied petroleum gas, reformed liquefied petroleum gas, natural gas, refiiiery gas, reformed refinery gas and any substance which the Governor in Council declares to be gas for the purposes of this Act and a mixture of two or more such gases. " Liquefied " Liquefied petroleum gas" means a gas composed petroleum gas.' predominantly of C3 or C4 hydrocarbons or of C3 and C4 hydrocarbons whether in a Uquid or gaseous state. " Metal " Metal working " means the working of metal by means of working." flame cutting, welding, brazing, silver soldering and handtorch operations wherein gas is used in combination with neat oxygen or oxygen enriched air but does not include furnace heating or any other mode of producing or concentrating heat for the purpose of performing an operation on or in respect of metal. ' Refinery gas.* " Refinery gas " means gas which is a by-product of the process of refining petroleum. Supply of gas (2) A reference in this Act to the supply of gas in bulk is a in bulk. reference to the supply of gas in containers of greater water capacity than 240 pounds. Rights of 3. Subject to section 4 a franchise holder shall have the exclusive franchise holder. right to supply— (a) gas by reticulation in its franchise area ; and {b) gas in bulk to any place within the franchise area which is served by reticulation or which is not more than one mile from a point on the reticulation system. Rights of 4. (1) Notwithstanding the provisions of section 3 any person others in franchise may within a franchise area— areas. (a) supply liquefied petroleum gas as an automotive fuel ; (b) supply gas (other than natural gas) for use as a chemical feedstock (but not as a fuel) ; (c) supply 1970^ Gas Franchises. No. 8057 679 (c) supply gas (other than natural gas) to a consumer for use as a fuel by that consumer during any period in which the supply of gas to that consumer by the undertaker is restricted or interrupted in accordance with the terms of the contract between the undertaker and that consumer ; (d) supply liquefied petroleum gas in bulk to liquefied petroleum gas merchants for filling cylinders or for trans-shipment out of the franchise area ; (e) supply liquefied petroleum gas to gas processors for processing into industrial gases provided that such industrial gases are not used as a fuel ; or (/) supply gas other than natural gas for metal working. (2) Notwithstanding the provisions of section 3 a person may with the consent of the franchise holder or pursuant to the authority of the Minister supply liquefied petroleum gas in bulk to any place which is within an area in which a franchise holder has the exclusive right to supply gas by reticulation or in bulk. (3) The Minister shall not authorize a person to supply liquefied petroleum gas under sub-section (2) unless he is of the opinion tiiat the franchise holder has unreasonably refused or neglected to grant his consent and that the franchise holder is unable or unwilling to supply gas to any particular consumer at a reasonable price. (4) A person may supply liquefied petroleum gas in bulk in a franchise area in performance of a contract in writing entered into by that person before the 1st day of November, 1970. (5) A person suppling gas under a contract referred to in sub-section (4) shall within fourteen days of the receipt of a request in writing from the Minister give to the Minister a copy of the contract. (6) Any person who produces natural gas liquefied petroleum gas or refinery gas may supply that gas— (a) to another producer of natural gas liquefied petroleum gas or refinery gas ; or {b) to a company which has the same shareholders as, or is by virtue of sub-section (5) of section 6 of the Companies Act 1961 deemed to be related to that first-mentioned person. (7) Where a person supplies gas as agent for the franchise holder he shall be the agent of the franchise holder on such terms and conditions as are agreed between that person and the franchise holder. 5. A franchise 680 1970. Gas Franchises. No. 8057 Power to franchise 5. A franchise holder may authorize a producer of natural holders to authorize gas to sell natural gas within its franchise area for such period producers to sell natural not exceeding fifteen years as he thinks fit. :as in ?ranchise areas. Franchise holders to 6. (1) A franchise holder shall within one month after the end supply of each financial year supply in writing to the Minister an estimate estimates of sales to of its sales of gas for the period of fifteen years after the end of Minister. the last preceding financial year. (2) A franchise holder shall supply such particulars as to its estimated sales and as to the quantities and types of gas that it estimates that it will supply as the Minister from time to time requests in writing. (3) Where the Minister is of the opinion that the franchise holder will be unable to supply the amount of any type of gas specified in its estimates because such an amount will not be available he may by notice in writing under his hand— {a) limit the right of the franchise holder to enter into contracts for the supply of that type of gas ; or (Jb) require that any contract or any contract of a class of contracts specified in the notice be not made without his consent. (4) The Minister may by notice in writing under his hand vary or revoke any notice given under sub-section (3). Saving of 7. The provisions of this Act shall not vary the rights of Esso certain existing Exploration and Production Australia Inc. and Hematite Petroleum agreements. Proprietary Limited for the supply of gas accruing under the terms and conditions of Agreements entered into jointly by them with the Corporation and Colonial Gas respectively before the commencement of this Act. 8. (1) Nothing in this Act shall prevent— (a) an operator from selling or supplying gas produced by him as a result of the operation of his iron or steel works— (i) to an associated company ; or (ii) to a. person to whom natural gas is not available for use by that person at a place within two miles of the place at which the iron or steel works is operating ; or {b) an associated company from selling or supplying gas produced by it to an operator if the gas is required for the efficient operation of the operator's iron or steel works. (2) In 1970. Gas Franchises. No. 8057 681 (2) In this section— " Associated company " in relation to an operator means— col^p^'y."'' (a) a corporation which is an associated company within the meaning of the Agreement ratified, validated and approved by the Western Port (Steel Works) Act 1970 ; (6) a corporation which is an operator or is a corporation which is by virtue of sub-section (5) of section 6 of the Companies Act 1961 deemed to be related to an operator ; or (c) Tubemakers of Australia Limited or a corporation which is by virtue of sub-section (5) of section 6 of the Companies Act 1961 deemed to be related to Tubemakers of Australia Limited ; " Operator " means the operator of an iron or steel works "Operator." in the vicinity of Western Port. SCHEDULES. 682 1970. Gas Franchises. No. 8057 SCHEDULES. SCHEDULE 1. FRANCHISE AREAS OF THE GAS AND FUEL CORPORATION OF VICTORIA. PART A. Country Areas. Ararat.—the area within 5 miles of the Ararat post office. Bacchus Marsh.—the area within 5 miles of the Bacchus Marsh post office. Ballarat.—the area within 10 miles of the Ballarat post office. Bendigo.—the area within 10 miles of the Bendigo post office. Castlemaine.—the area within 5 miles of the Castlemaine post office. Colac.—the area within 5 miles of the Colac post office. Hamilton.—the area within 5 miles of the Hamilton post office. Kyneton.—the area within 5 miles of the Kyneton post office.