Update from the Office of Best Practice and Regulation
Update from the Office of Best Practice and Regulation
Regulation Best Practice Regulation Compliance Reporting
Tuesday, 05 May 2020
Department of the Prime Minister and Cabinet
Office of Best Practice Regulation (OBPR) released the following reports in March and April 2020:
- Prime Minister exemption COVID-19
The Prime Minister has granted an exemption from the need to complete regulatory impact analysis in the form of Regulation Impact Statements (RISs) for all Australian Government measures made in response to COVID-19.
- Live sheep exports to, or through, the Middle East - Northern Hemisphere summer
New regulation to limit the risk of heat stress in live sheep exported to, or through, the Middle East during the Northern Hemisphere summer, from 1 May to 31 October inclusive.
- Improved Transparency in the Australian Gas Market
The Council of Australian Governments (COAG) Energy Council endorsed a Regulation Impact Statement (RIS) containing measures to improve gas market transparency.
- COAG Decision Regulation Impact Statement - System Restart Services, Standards and Testing
Australian Energy Market Commission (AEMC) released a final rule determination making changes to the frameworks for the procurement, testing and deployment of system restart ancillary services (SRAS) that need to take effect prior to the procurement of the next round of SRAS contracts by the Australian Energy Market Operator (AEMO).
- COAG Decision Regulation Impact Statement- Australian Energy Market Commission
The Australian Energy Market Commission (AEMC) released a final rule determination to require all scheduled and semi-scheduled generators in the National Electricity Market (NEM) to support the secure operation of the power system by responding automatically to changes in power system frequency.
- Victorian jurisdictional derogation – reliability and emergency reserve trader (RERT) contracting
Australian Energy Market Commission (AEMC) released a final rule determination and accompanying final rule titled: National Electricity Amendment (Victorian Jurisdictional Derogation - RERT Contracting) Rule 2020. This rule applies only in Victoria, and complements the reliability and emergency reserve trader (RERT), which is a last resort mechanism allowing the Australian Energy Market Operator (AEMO) to pay for additional capacity to be on stand-by in case of emergencies when the electricity demand and supply balance is tight.
- Wholesale Demand Response Mechanism
The Australian Energy Market Operator (AEMO) also published a high-level design to assist stakeholders in understanding the implementation of the wholesale demand response mechanism.
- Phasing out exports of waste plastic, paper, glass and tyres
The Council of Australian Governments (COAG) agreed to ban the exports of waste plastic, paper, tyres and glass with additional supporting government interventions to build recycling markets and associated demand.
- Regulatory Framework for Foreign Financial Service Providers
Australian Securities and Investments Commission (ASIC) announced a new framework for the regulation of foreign financial services providers (FFSPs) providing financial services to Australian wholesale clients.
- Improvements to the authorised maximum daily quantity
The Australian Energy Market Commission (AEMC) released a final rule determination that amends the National Gas Rules to replace the current authorised maximum daily quantity (AMDQ) regime in the Victorian declared wholesale gas market (DWGM) with a new entry and exit capacity certificates regime. These certificates can be purchased by market participants at an auction run by AEMO to gain the benefits of injection and withdrawal tie-breaking.
- Simplified Wholesale Pricing Arrangements
The Australian Energy Market Commission (AEMC) released a final rule determination that amends the National Gas Rules to simplify wholesale pricing in relation to the Victorian Declared Wholesale Gas Market.
- Changes to home care subsidy payment administration
On 27 February 2020, the Government introduced the Aged Care Legislation Amendment (Improved Home Care Payment Administration No. 1) Bill 2020 to change the payment of home care subsidy to approved providers from being paid in advance to being paid in arrears. Payment of subsidy in arrears is intended to introduce a more contemporary business practice into home care subsidy payment arrangements and bring these arrangements into alignment with other Government programs.
- Optimisation of Arrangements in the 3400-3575 MHZ Band
On 28 November 2019, the Australian Communications and Media Authority (ACMA) announced its plans to optimise arrangements for the 3400-3575 MHz band
- Standardised Measurement Approach to bank operational risk
The new standard updates quantitative requirements for ADIs to ensure they hold sufficient regulatory capital against operational risk and to ensure Australia continues to align with international standards. Operational risk refers to the risk of loss from inadequate or failed internal processes, people and systems or from external events.
- Mobile Porting Fraud
The new Telecommunications (Mobile Number Pre-porting Additional Identify Verification) Industry Standard 2020 will commence from 30 April 2020 and require mobile providers to implement additional identity verification processes before a phone number can be transferred.
- Wind Up of Eligible Rollover Funds
On 6 February 2020, the Government introduced Treasury Laws Amendment (Reuniting More Superannuation) Bill 2020, which seeks to facilitate the closure of Eligible Rollover Funds (ERFs) by 30 June 2021 and enable the Commissioner of Taxation to reunite amounts he or she receives from ERFs with a superannuation fund member's active account.
- Short Term forward market for electricity derivatives
The AEMC has determined not to make a final rule in relation to introducing a voluntary short term forward market (STFM) in the national electricity market (NEM).
Visit the OBPR for the full list of Regulatory Impact Statement (RIS) updates.