Hi Jacob, i’d like to extend on your mention of the (WIC) Act 2006.

The Water Industry Competition Amendment (Review) Act 2014 (NSW) (WIC Amendment Act) was passed in the NSW Parliament in late October 2014. The commencement of this act is yet to be set, however this act will introduce important amendments to the Water Industry Competition Act 2006 (NSW).

So what drove these changes?

During the period of 2012 and 2014 the NSW government undertook extensive regulatory reviews in particular the ‘Urban Water Regulation review’, which investigated the effectiveness of both the (WIC) 2006 (NSW) and the local government Act 1993 in a discussion paper titled ‘Joint review of the Water Industry Competition Act 2006 and regulatory arrangements for water recycling under the Local Government Act 1993’, which was then followed by a position paper pertaining to the same area of investigation. This lead to the identification of significant issues which will be addressed in the WIC amendment Act including;

to remove unnecessary regulatory duplication between the WIC Act and the Local Government Act 1993 (NSW) (LG Act),

to streamline the different standards imposed by the WIC Act and the LG Act on public utilities and private entities undertaking similar activities, and

to adopt more targeted risk-based requirements so as to protect public health while avoiding unnecessary regulatory costs (particularly for low-cost schemes).

So what will be the key changes included within the WIC Amendment Act 2014?

The key changes to be introduced by the WIC Amendment Act include:

narrowing the scope of the licensing and approval regime so that it will apply only to specified categories of water industry infrastructure,

licensing will be entity-based, enabling licensees to provide retail or operational services under a single licence throughout New South Wales,

design and operational approval will be required for new infrastructure schemes,

the ‘last resort’ provisions (which currently only apply to retailers) will extend to operators, and

the penalty system will be given increased clarity, with more significant penalties for serious offences under the WIC Act.

REFERENCE- (De Boer, 2014, http://www.herbertsmithfreehills.com/insights/legal-briefings/changing-tides-in-water-regulation)

It is also worthy of a note Jacob that although the WIC 2006 actually commenced in 2008 although it was passed in 2006. These following two papers are worth a look at, as they provide a valuable insight into the issues regarding the WIC (2006), in particular stakeholders viewpoints.

Urban Water Regulation Review - Discussion Paper

http://www.metrowater.nsw.gov.au/sites/default/files/resources/Discussion%20Paper.pdf

Urban Water Regulation Review- Position Paper

http://www.metrowater.nsw.gov.au/sites/default/files/resources/Urban%20Water%20Regulation%20Review%20-%20Position%20Paper%20%28Feb%202014%29.pdf