Water Services Economic Efficiency and Consumer Protection Bill

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Hon Dr Duncan Webb

Water Services Economic Efficiency and Consumer Protection Bill

Government Bill

192—2

	Commentary
	Key
1	Title
2	Commencement
	Part 1 Preliminary provisions
3	~~Purpose~~Overview
4	~~Functions of Commission under this Act~~
4	Commission’s functions under this Act
5	Matters to be considered by Commission and Minister
6	Duties of Commission relating to te Tiriti o Waitangi/the Treaty of Waitangi
7	Interpretation
8	Meaning of drinking water infrastructure services
9	Transitional, savings, and related provisions
10	Act binds the Crown
	Part 2 Price and quality regulation
	Subpart 1—General
11	Overview of this Part
12	Purpose of this Part
13	Interpretation
14	Regulation of water infrastructure services
15	Determinations made by Commission under this section
16	Amendment of section 15 determination
17	Power to exempt disclosure of commercially sensitive information
	Subpart 2—Timing
18	When initial input methodologies must be determined
19	When initial section 15 determinations must be made
20	Regulatory periods
21	~~Ability to change implementation date~~
22	Ability to change ~~other~~ dates for initial input methodologies and initial section 15 determinations
23	~~Minister’s recommendation~~
23	Minister’s recommendation
	Subpart 3—Input methodologies
24	Purpose of input methodologies
25	Requirement for input methodologies
26	How input methodologies apply
27	Matters covered by input methodologies
28	Commission process for determining input methodologies
29	Status of input methodologies, amendments, and revocations
30	Changes to input methodologies
31	Review and date of publication of input methodologies
31A	Commission may direct regulated water services provider to comply with relevant input methodology requirement
31B	Regulated water services provider must comply with direction from Commission
	Subpart 4—Information disclosure regulation
32	Purpose of information disclosure regulation
33	Effect of being subject to information disclosure regulation
34	Section 15 determination to set out information disclosure requirements
35	Information required may include information about goods or services not subject to regulation under this Part
36	Charge for providing copies to public
	Subpart 5—Quality regulation
37	Purpose of quality regulation
38	Effect of being subject to quality regulation
39	Section 15 determination to set out quality path requirements
	Subpart 6—Price-quality regulation
40	Purpose of price-quality regulation
41	Effect of being subject to price-quality regulation
42	Section 15 determination to set out price-quality path requirements
43	Wash-up mechanism for maximum revenues specified in initial price-quality paths
44	Smoothing revenues and prices
45	Making new section 15 determination
46	What happens to price-quality path if input methodologies change
	~~Subpart 7~~—~~Reviews~~
47	~~Deregulation reviews~~
48	~~Reviews of unregulated water services entities~~
49	~~Reviews in relation to timing of price-quality regulation~~
50	~~Outcome of reviews~~
	Subpart 8—Commission review of funding and pricing plans and tariff lists
51	Commission must review funding and pricing plans and tariff lists
52	Commission may give directions
53	Obligations of boards of regulated water services providers in response to direction from Commission
	Subpart 9—Designations of ~~unregulated~~ water services entities following a review
53A	Overview of subpart
54	Designation of water services entities by Order in Council
55	Minister’s recommendation
56	Content of designation
57	Duration of designation
58	Amendment and revocation of designation
	Part 3 Consumer protection
	Subpart 1AAA—General
59	Overview of this Part
60	Purpose of this Part
61	Interpretation
	Subpart 1—Designations of water services entities following a review
61A	Overview of subpart
62	Designation of water services entities by Order in Council
63	Minister’s recommendation
64	~~Commission’s recommendation~~
65	~~Process for Commission’s recommendation~~
66	Content of designation order
67	Duration of designation order
68	Amendment and revocation of designation order
	Subpart 2—Service quality code
69	Commission must make service quality code
70	Contents of Commission’s service quality code
71	Regulated water services providers must comply with service quality code
72	Process for making or amending service quality code
	Subpart 3—Consumer complaints process and consumer dispute resolution service
	Consumer complaints process
73	Requirement for regulated water services provider and drinking water suppliers to provide information to consumers and have complaints process
74	Review of complaint outcome using consumer dispute resolution service
75	Commission must monitor compliance with complaints process
	Consumer dispute resolution service
76	Consumer dispute resolution service
77	Determinations binding on regulated water services providers and drinking water suppliers
78	~~Appeals against~~ Applications to set aside determinations
79	Procedure on ~~appeal~~ section 78 applications
80	~~Compliance with rules, binding settlements, and determinations~~Enforcement of binding settlements and determinations
	Commission review of consumer dispute resolution service
81	Commission must review consumer dispute resolution service
81A	Compliance statement may be required for purposes of provision of this Part or Schedule 2
81B	Commission may give direction to comply with timetables and development codes
	Miscellaneous matters
82	Duties of ~~dispute resolution~~ service provider, regulated water services providers, and drinking water suppliers
	Part 4 Enforcement, monitoring, and appeals
	Subpart 1—Civil liability
83	Overview of civil liability
	Pecuniary penalty orders
84	When court may make pecuniary penalty order
85	Maximum amount of pecuniary penalty
86	Considerations for court in determining pecuniary penalty
87	Court must order that recovery from pecuniary penalty be applied to Commission’s actual costs
	Compensatory orders
88	When court may make compensatory orders
89	Terms of compensatory orders
	Injunctions
90	Court may grant injunctions
91	When court may grant restraining injunctions
92	Commission’s undertaking as to damages not required
	Orders about information disclosure
92A	Order requiring information disclosure requirement to be complied with
	Rules of procedure
93	Rules of civil procedure and civil standard of proof apply
94	Limit on proceedings
	Relationship between proceedings and orders
95	More than 1 civil liability remedy may be given for same conduct
96	Only 1 pecuniary penalty order may be made for same conduct
97	No pecuniary penalty and criminal penalty for same conduct
	Subpart 2—Offences
98	~~Order requiring information disclosure requirement to be complied with~~
99	Offences relating to information disclosure regulation
100	Offence relating to quality regulation
101	Offence relating to price-quality regulation
101A	Offence relating to direction of Commission
102	Offence relating to service quality code
102A	Offence involving failure to advise consumers about, provide information, and report on complaints process
102B	Failure to comply with development code, etc
	Subpart 3—Additional remedies and penalties relating to Part 3
103	Overview of this subpart
	Additional remedies in relation to ~~breach of service quality code~~failure to comply with service quality code or a development code
104	Order to disclose information or publish advertisement
105	General orders for ~~breach of service quality code~~failure to comply with service quality code or development code
106	Other order for ~~breach of service quality code~~failure to comply with service quality code or development code
107	Certain provisions of subpart 1 apply in respect of proceedings under subpart 3
	Infringement offences
108	Interpretation
109	Infringement offences
110	Who may issue infringement notices
111	When infringement notice may be issued
112	Revocation of infringement notice before payment made
113	What infringement notice must contain
114	How infringement notice may be issued to person
115	Payment of infringement fees
116	Reminder notices
117	Relationship between infringement offences and other offences
	Subpart 4—Appeals
118	Appeals against Commission determinations
119	Appeals against input methodology determinations
120	Process for appeals
121	Input methodology applies pending outcome of appeal
	Subpart 5—Miscellaneous provisions relating to enforcement
122	Jurisdiction of High Court
123	Jurisdiction of District Court
124	Involvement in contravention
125	Illegal contracts provisions do not apply
126	Enforceability of other provisions not affected
	Part 5 Miscellaneous
	Subpart 1—Water Services Commissioner
	Water Services Commissioner
127	Appointment of Water Services Commissioner
128	Minister’s recommendation
129	Further provisions relating to Water Services Commissioner
130	Who performs or exercises functions, duties, and powers of Commission
~~131~~	~~Further provisions relating to when Water Services Commissioner acts alone~~
132	Further provisions relating to when Water Services Commissioner acts with 2 or more other members
~~133~~	~~Accountability for collective duties~~
134	Alternate member to act instead of Water Services Commissioner in certain circumstances
~~135~~	~~Ability to delegate~~
135	Ability to delegate
	Subpart 2—Application of Commerce Act 1986
136	Application of Part 6 of Commerce Act 1986 (enforcement, remedies, and appeals)
137	Application of Part 7 of Commerce Act 1986 (miscellaneous provisions)
138	Additional monitoring and investigation powers based on subpart 8 of Part 4 of Commerce Act 1986
139	Powers of Commission under this Part
	Subpart 2A—Reviews
	Process
139A	How review triggered
139B	Process requirements for Commission
139C	Minister’s decision
	Reviews relating to Part 2
139D	Additional regulation reviews
139E	Outcome of additional regulation review
139F	Deregulation reviews
139G	Outcome of deregulation review
139H	Review in relation to early price-quality regulation
139I	Outcome of review in relation to early price-quality regulation
139J	Review in relation to late price-quality regulation
139K	Outcome of review in relation to late price-quality regulation
	Reviews relating to Part 3
139L	Additional regulation reviews
139M	Outcome of additional regulation review
139N	Deregulation reviews
139O	Outcome of deregulation review
	Subpart 3—Other provisions
140	Regulations
141	Regulations relating to levy
142	Levy for consumer dispute resolution services
143	Recovery of fees and other money
144	Commission to have regard to economic policies of Government
~~145~~	~~Material may be incorporated by reference~~
145	Material incorporated by reference
145A	Minister may establish Water Services Consumers Agency
145B	Function of Water Services Consumers Agency
	Amendments to Water Services Act 2021
146	Principal Act
147	~~Part 2, subpart 4 heading~~ Subpart 4 heading in Part 2 amended
148	Section 38 amended (Requirement for supplier to provide information to consumers and have complaints process)
149	Sections 39 and 40 repealed
150	Section 57 amended (General exemptions)
151	Section 165 amended (Defence in prosecution for strict liability offence)
152	Section 169 amended (Liability of volunteers)
153	Cross-heading above section 188 amended
154	Section 188 amended (Offence involving failure to advise consumers about, provide, and report on complaint process)
155	Section 200 amended (Regulations)
	Schedule 1 Transitional, savings, and related provisions
	Schedule 2 Consumer dispute resolution service
	Legislative history

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