On 10 April 2025, the Federal Court ordered that Jemena Eastern Gas Pipeline (1) Pty Ltd and three other subsidiaries of SGSP (Australia) Assets Pty Ltd (together, Jemena) pay a total pecuniary penalty of $5.5 million for breaches of the National Gas Rules (NGR) by failing to determine Auction Quantity Limits (AQLs) in accordance with the procedures developed by the Australian Energy Market Operator (AEMO) and the Part 24 information standard.
In proceedings brought by the Australian Energy Regulator (AER), the Federal Court found that between 1 March 2019 and 22 February 2022, Jemena contravened:
- rule 649(1) of the NGR on 2,604 occasions by failing to determine AQLs in accordance with the Part 24 information standard, and
- rule 653(1)(a) of the NGR on 3,019 occasions by failing to determine AQLs in accordance with the procedures developed by AEMO.
The Federal Court also ordered Jemena to establish and implement a compliance program and to pay $300,000 toward the AER’s costs.