In Western Australia’s context, the Limited Merits Review regime applies to the regulation of gas pipelines in Western Australia that are subject to the National Gas Law scheme via the National Gas Access (WA) Act 2009 (WA).
Following a review in late 2016, Energy Ministers agreed in-principle to implement reforms to the Limited Merits Review regime. Areas of reforms were outlined in the COAG Energy Council’s Meeting Communique of 14 December 2016. The COAG Energy Council was expected to consider policy positions to underpin legislative amendments to the Limited Merits Review regime at its meeting in July 2017.
In forming a position on the specific legislative reforms to improve the Limited Merits Review regime, the Western Australian Minister for Energy sought the views of stakeholders, particularly Western Australian stakeholders, on the proposed areas of reform ahead of the COAG Energy Council meeting.
On 6 June 2017, a consultation paper prepared by the Public Utilities Office was released to assist stakeholders in providing their views for consideration by the Western Australian Minister for Energy (see below).
As indicated in the COAG Energy Council’s Meeting Communique of 14 July 2017, at the meeting Energy Council Ministers noted the Commonwealth Government intention to abolish the Limited Merits Review regime and also agreed to ensure greater certainty by requiring the Australian Energy Regulator, in consultation with stakeholders, to develop a binding rate of return guideline.
