Section 121 Electricity Act 2023

Section 121 of the Electricity Act 2023 is about Competition and market power. It is under Part XIV (Competition and Market Power) of the Act.

(1) The Commission. shall have a continuing responsibility to monitor the NESI in regard to its potential for additional competition and to report on this subject, each year to the Minister , and until such a time as the Commission has made a declaration under section 8 (1) of this Act, the content of these reports shall be as
prescribed under the market rules, and the content of these reports shall consider whether any of the regulated services in the NESI ought to be exempted from tariff regulation.

(2) On a finding by the Commission under subsection (1) that it is in the public interest to exempt any of the regulated services from tariffs, the Commission, after consultation with the Minister, shall determine when, and under what conditions, a regulated service may be exempt from tariff regulation, provided that a license from the Commission shall continue to be required in respect of such service so exempted from tariff regulation.

(3) Subject to section 105 of the Federal Competition and Consumer Protection Act, the Commission shall have the responsility to consider, in respect of services in competitive markets, the prevention or mitigation of abuses of market power which includes market concentration, in its decisions and orders regarding matters such as licence applications and the grant of licences; licence terms and conditions, the setting of prices and tariffs, and whether or not to approve a merger, acquisition or affiliation.

(4) In discharging its ongoing responsibility to monitor the electricity businesses and markets to determine whether there is, or may be, an abuse of market power, the Commission shall be entitled to —
(a) require information from licensees;
(b) undertake inquiries; and
(c) establish or contzact with an independent entity to provide monitoring services.

(7) In the event that the Commission determines that there is an abuse of market power, it may —
(a) issue cease orders as may be required; and
(b) levy fines to such an amount it may consider appropriate.