On 15 January 2025, the Australian Energy Regulator (AER) made a draft decision to grant exemptions to Jemena Pipeline Businesses from ring-fencing obligations under section 140 of the National Gas Law in relation to Jemena Northern Gas Pipeline Pty Ltd's (JNGP) operation of the Phillip Creek Compressor Station (PCCS) pursuant to rule 34 of the National Gas Rules (NGR), subject to the conditions set out in section 4 of the draft decision.
This exemption provides in effect that:
- Jemena Pipeline Businesses’ marketing staff may be employees, agents or contractors of the related business of the PCCS; and
- Jemena Pipeline Businesses’ employees, agents or contractors may be marketing staff of PCCS.
The AER considers that, in the current circumstances, the cost savings resulting from the exemption outweigh any potential benefits of complying with the ring-fencing obligations.
Jemena is required under the National Gas Rules to notify the AER, without delay, if it no longer qualifies for the exemption.
Have your say
We invite stakeholders to provide written submissions by 6 February 2025. Submissions and requests to make a submission via alternative methods should be emailed to AERringfencing
aer [dot] gov [dot] au (AERringfencing[at]aer[dot]gov[dot]au).
We prefer to make written submissions publicly available, to facilitate an informed and transparent consultative process. We will treat written submissions as public documents unless otherwise requested.