ALERT DIGEST 6 of 1995
Part 4

WATER INDUSTRY (AMENDMENT) BILL

8.1

This Bill was introduced into the Legislative Assembly on 3 May 1995 by the Honourable Geoff Coleman MP with the Honourable Phil Gude MP.

8.2

The Bill amends the Water Industry Act 1994, the Water Act 1989, the Melbourne and Metropolitan Board of Works Act 1958, the Melbourne Water Corporation Act 1992 and other Acts. Its purposes are:-

• to enable the licensees under the Water Industry Act 1994 to impose service charges in certain circumstances;
• to provide for the abolition of the Rural Water Corporation;
• to provide for access to the distribution systems of licensees and Melbourne Water Corporation;
• to vest certain waterways in the Crown;
• to make provision with respect to the valuation to be used for rating purposes.

8.3 _¯ Part 2

Clause 4 provides for the introduction of service charges by licensees. It amends section 25 to specify those lands in respect of which a licensee may not charge a service fee. Clause 5 provides for licensees to levy a sanitary service charge. Clause 7 inserts a new section 55A which enables licensees to acquire easements where there is no land vested in the licensee which is benefited or capable of being benefited by that right. The Committee has written to the Minister seeking further explanation.

Clause 8 inserts a new section 65A which creates system access whereby persons with water entitlement can gain access to licensees supply infrastructure. Clause 9 empowers Melbourne Parks and Waterways to grant leases of land under its control for certain purposes with the approval of the Minister. Clause 10 provides that Melbourne Parks and Waterways rates will be calculated by reference to 1990 municipal valuations. Clause 11 empowers Melbourne Parks and Waterways to charge for the use of land or waterways under its management.

8.4

Clause 12 inserts a new section 175A which vests in the Crown the beds, banks and soil of certain watercourses. Clause 14 makes miscellaneous amendments. In particular it amends section 74 which relates to the liability of licensees arising out of the flow of water. It provides that there is no liability in respect of a flow of water from the works of a licensee in the exercise of a function under its licence if that flow is reasonable. The test for damages is usually whether the damage is "reasonably foreseeable". The Committee has written to the Minister seeking advice as to why it is necessary to exempt a licensee where the flow is "reasonable".

It also amends section 75. It substitutes "prescribed fees" for "any fee fixed by the licensee." It repeals section 146 which enables persons to apply to Melbourne Parks and Waterways for an information statement. The Committee has written to the Minister seeking further information as to why it is necessary to repeal this provision.

8.5 _¯ Part 3 - Amendment of the Water Act 1989

Clause 15 amends section 80 enables the regulation of certain dams. Clause 16 abolishes the Rural Water Corporation. Clause 17 makes provision for the superannuation arrangements for the transferred officers of the Rural Water Corporation. Clause 18 amends section 124 to increase the powers of Authorities to include matters formerly under the control of the Rural Water Corporation. Clause 19 provides for the deemed designation of waterways to be administered by Melbourne Parks and Waterways. Clause 20 provides for the making of by-laws. Clause 21 amends Schedule 1 which provides for the appointment of a Chairperson to any Authority.

8.6 _¯ Part 4 - Amendment of the Melbourne Metropolitan Board of Works Act 1958

Clause 23 inserts a new section 68A to provide that Melbourne Water Corporation must provide system access to its works to persons holding entitlements to water. Clause 24 permits Melbourne Water Corporation to levy rates on persons supplied with water by licensees under the Water Industry Act 1994. Clause 25 provides that Melbourne Water Corporation with additional powers to operate dams outside the metropolis. Clause 26 provides that Melbourne Water Corporation rates will be calculated by reference to 1990 municipal provisions.

8.7
Part 5 - Amendment of Melbourne Water Corporation
Part 6 - Miscellaneous and transitional provisions

Clause 29 inserts new sections 30A and 30B in respect of duties of directors. Clause 31 provides that the Treasurer will, jointly with the Minister administer Melbourne Water Corporation corporate plans. Clauses 33 to 36 are transitional provisions. Clause 37 exempts water industry licensees from complying with the Weights and Measures Act 1958.

CHILDREN AND YOUNG PERSONS (PRE-HEARING CONFERENCES) BILL

9.1

This Bill was introduced into the Legislative Assembly on 10 May 1995 by the Honourable Jan Wade MP with the Honourable Phil Gude MP.

9.2

The purpose of the Bill is to repeal the sunset provision relating to pre-hearing conferences in the Family Division of the Children's Court made by section 38 of the Children and Young Persons (Amendment) Act 1992. Its effect is to continue the pre-hearing conference program indefinitely.

The Committee makes no further comment.

GOVERNMENT EMPLOYEE HOUSING AUTHORITY (AMENDMENT) BILL

10.1

This Bill was introduced into the Legislative Assembly on 10 May 1995 by the Honourable Ian Smith MP with the Honourable Alan Stockdale MP.

10.2

The purpose of the Bill is to make further provision for the disposal of property by the Government Employee Housing Authority. It allows the Authority to dispose of any land, house or other real or personal property.

The Committee makes no further comment.

ELECTRICITY INDUSTRY (ELECTRICITY CORPORATIONS ) BILL

11.1

This Bill was introduced into the Legislative Assembly on 10 May 1995 by the Honourable Jim Plowman MP with the Honourable Alan Stockdale MP.

11.2

The purpose of the Bill is to defer the dissolution of Electricity Services Victoria and Generation Victoria. The Committee notes the comments in the Second Reading Speech:-

"The dissolution of Electricity Services Victoria is provided for in section 8 of the Electricity Industry (Amendment) Act 1994 and was provided for as a consequence of the disaggregation of Electricity Services Victoria into the new distribution businesses under that Act.

Similarly, the dissolution of Generation Victoria is provided for in section 5 of the Electricity Industry (Further Amendment) Act 1994 as a consequence of the disaggregation of Generation Victoria into the separate generation companies.

These provisions are at present subject to automatic commencement dates. To ensure that the bodies are not dissolved automatically prior to all administrative steps being taken to wind up their affairs and to ensure that all of their assets and liabilities have been dealt with, the Bill allows special commencement dates to be determined for these provisions."

The Committee makes no further comment.

TREASURY CORPORATION OF VICTORIA (HOUSING FINANCE) BILL

12.1

This Bill was introduced into the Legislative Assembly on 3 May 1995 by the Honourable Alan Stockdale MP with the Honourable Ian Smith MP.

12.2

The purpose of the Bill is to transfer certain assets and liabilities of the Home Opportunity Loans Scheme to the Director of Housing and to make certain other provisions in relation to that Scheme.

12.3

Clause 6 provides for the transfer of the property and liabilities of Home Opportunity Loans ("HOLS") to the Director of Housing. Clause 10 deems interests in land held by HOLS to be interests in land held by the Director of Housing. Clause 16 inserts a new Part 3B into the Treasury Corporation of Victoria Act 1992 which sets out the financial obligations of Victorian Housing Bonds Ltd ("VHB").

The Committee makes no further comment.

LAND (MISCELLANEOUS) BILL

13.1

This Bill was introduced into the Legislative Assembly on 10 May 1995 by the Honourable Geoff Coleman MP with the Honourable Ian Smith MP

13.2

The purposes of the Bill are to:-

• revoke reservations over certain land at Geelong, Langwarrin and Wendouree;
• revoke a Crown grant of land at Wendouree;
• make other related provisions.

13.3

Clauses 3 to 5 revoke specified reservations of land. The Committee notes the comments in the Second Reading Speech:-

"Clause 3 deals with an area of land known as Harding Park at the corner of Bellarine and Brougham Streets, Geelong. This land was originally reserved in 1870 as a site for a public garden and subsequently permanently reserved for public park in 1885. The land has been managed by the City of Greater Geelong and its predecessors as a Committee of Management since 1886. In the 1960's the City received permission to redevelop the area for car parking purposes. The land continues to be used for this purpose, a use inconsistent with the lands reservation. There is considerable open space in the vicinity. The land has been assessed as surplus to Government requirements and has been the subject of discussions between the Department of Treasury and Finance and City of Greater Geelong regarding its possible sale. The Bill revokes the permanent reservation and appointment of the City of Greater Geelong as Committee of Management. Pending resolution of the future use or disposal of the site, the City's occupation of the site would if necessary, be formalized by lease or licence.

Clause 4 deals with an area of 3,158 square metres of land at Langwarrin. The land is part of a larger area that was permanently reserved for the conservation of an area of natural interest in 1980. The land is required by the roads corporation for widening of the Westernport highway. The road works will involve the excision of a strip of approximately 31 metres from the frontage of this reserve and adjoining freehold land. This project is part of the "Better Roads Victoria" program for which funding has been provided this financial year. The permanent reservation must be revoked prior to the land being used for road purposes. The roads corporation has agreed to fund a flora and fauna survey of the entire reserve and undertake works necessary to minimize or neutralize any adverse impacts of the road works on the remainder of the reserve.

Clause 5 deals with an area of approximately 6.7 hectares located off Gillies Street in Ballarat known as the Lake Wendouree caravan park. Much of the land is the residue of a larger area of 9.6 hectares permanently reserved as public park in 1888 and was first developed for camping in 1928. The land is controlled by the City of Ballarat by virtue of a Crown grant. The grant contains conditions that restrict the use of the land to the purpose of the reservation and prohibits the sale of the land unless authorized by a law enacted after the date of the grant. A smaller area of 1.1 hectares being part of a former government road was temporarily reserved for the same purpose in 1994 to formalize an encroachment of the caravan park. The land is currently managed by a commercial operator. The land has been declared surplus to the needs of the Crown and the City of Ballarat has indicated a willingness to purchase the land and continue its operation as a caravan park."

13.4 _¯ Variation of Section 85 of the Constitution Act 1975 (Section 4D(b)(i)(ii) and (iii) of the Parliamentary Committees Act 1968)

Clause 9 declares its intention to alter or vary section 85 of the Constitution Act 1975 to the extent necessary to prevent the Supreme Court awarding compensation in respect of anything done under or arising out of this Act. The Committee notes the explanation in the Second Reading Speech:-

"To enable the Crown to change the status of reserved land, it is necessary to ensure that the land is no longer subject to any interests and rights arising out of the former use. The existence of these interests and rights and claims for compensation based on them or on the former use of the land could delay or prevent a change in the use or status of the land that is for the benefit of the community as a whole."

It appears that the land being dealt with is in fact Government land. On the face, the Committee believes that there is no need for a Section 85 provision. Again, this appears to reflect an overly cautious drafting practice. The Committee notes that Government of both persuasions have adopted the policy of using these types of provisions. However the Committee is required under Section 4D(b)(i)(ii) and (iii) of the Parliamentary Committees Act 1968 to examine each Section 85 provision and assess whether it is "appropriate and desirable" in all the circumstances. The Committee has a responsibility to determine whether there may be more appropriate or better ways of achieving the same ends. The Committee does not find that the provision is appropriate and desirable in all the circumstances.

The Committee has written to the Minister. The Committee is examining this issue in a Discussion Paper on Section 85 which will be released shortly.

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