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PETROLEUM LEGISLATION AMENDMENT ACT 2001 (NO. 11 OF 2001) - SECT 7

7 .         Section 4 amended

        (1)         Section 4(1) is repealed and the following subsections are inserted instead —


        (1)         A retailer at a site may —

            (a)         purchase motor fuel, for resale at the site, from a supplier other than the primary supplier for that kind and, where applicable, grade of motor fuel for that site; and

            (b)         if, under paragraph (a) or otherwise, the retailer is lawfully able to purchase motor fuel for resale at the site from a supplier other than the primary supplier for that kind and, where applicable, grade of motor fuel for that site —

                  (i)         use, for the storage of that motor fuel, any bulk storage at the site that is suitable; and

                  (ii)         use, for the dispensing of that motor fuel, any dispensing equipment on the site that is suitable.

        (1a)         Subsection (1) applies subject to this section but, except as stated in subsection (1b), despite —

            (a)         any Act or law affecting the contractual relationship between a landlord and a tenant; or

            (b)         any agreement to the contrary, whether made between the primary supplier and the retailer or not.

        (1b)         Subsection (1)(a) does not apply if a purchase under that paragraph would be contrary to an agreement that was entered into before 10 February 2001.

        (1c)         An agreement resulting from the modification, continuation, or renewal of an agreement entered into before 10 February 2001 is to be considered, when applying subsection (1b), to have been entered into on the day on which it was most recently modified, continued, or renewed, but —

            (a)         a modification is not to be taken into consideration if it had no necessary connection with the duration of the agreement; and

            (b)         a modification, continuation, or renewal is not to be taken into consideration if the retailer was the only party who had a choice about whether the modification, continuation, or renewal would be made.

        (1d)         Nothing in this section limits any right that the retailer may, independently of this section, have to purchase motor fuel, for resale at the site, from a supplier other than the primary supplier for that kind and, where applicable, grade of motor fuel for that site.

”.

        (2)         Section 4(2) is repealed and the following subsection is inserted instead —


        (2)         A right conferred on the retailer by subsection (1) is not exercisable until 7 days after notice in writing of the intention to exercise it has been given —

            (a)         if it is a right conferred by subsection (1)(a), to the retailer’s primary supplier, if any, for the kind and, where applicable, grade of motor fuel concerned;

            (b)         if it is a right conferred by subsection (1)(b), to the retailer’s landlord, if the retailer is a tenant, and to the retailer’s primary supplier, if any, for the kind and, where applicable, grade of motor fuel concerned.

”.

        (3)         Section 4(3)(a) is amended by inserting before “grade” the following —

                “ , where applicable, ”.

        (4)         Section 4(3)(b)(i) and (ii) are each amended as follows:

            (a)         by inserting after “purchases motor fuel” the following —

                “ of a particular kind and, where applicable, grade ”;

            (b)         by inserting after “other than his primary supplier” the following —


                for that kind and, where applicable, grade of motor fuel

”;

            (c)         by deleting “each kind or grade from” and inserting instead the following —

                “ that kind and, where applicable, grade from ”.

        (5)         Section 4(3)(b)(ii) is amended by deleting “each kind or grade as” and inserting instead the following —

                “ that kind and, where applicable, grade that ”.

        (6)         Section 4(3)(c) is amended by deleting “does not display” and inserting instead the following —


                for the kind and, where applicable, grade of fuel dispensed does not, and any bulk storage on the site that is not underground and is used to store motor fuel other than motor fuel supplied by the primary supplier for the kind and, where applicable, grade of fuel stored does not, display

”.

        (7)         Section 4(3)(h) is amended by deleting “petrol and diesel fuel” and inserting instead the following —


                different kinds or grades of motor fuel, but may contain a mixture of different brands of motor fuel

”.

        (8)         Section 4(3)(i) is amended by deleting “that”.

        (9)         At the foot of section 4(3), the following is inserted —

                “ Penalty:         $20 000. ”.

        (10)         After section 4(3) the following subsection is inserted —


                (3a)         For the purposes of deciding whether a retailer has, as required by subsection (3)(a), ensured, so far as is practicable, that motor fuel that the retailer is obliged to purchase from the primary supplier is available for sale at the site, the lack of availability of storage is not relevant if more than one kind or, where applicable, grade of motor fuel is being stored, under subsection (1)(b)(i), in bulk storage provided at the site for the storage of motor fuel purchased from the primary supplier.

”.

        (11)         Section 4(4) is repealed and the following subsection is inserted instead —


        (4)         Subsection (3)(b) does not apply for a particular kind or grade of motor fuel in any 6 month period if —

            (a)         the primary supplier has not, as reasonably requested by the retailer, supplied the reasonable requirements of the retailer for that kind or grade of motor fuel in that period; and

            (b)         after the failure to supply —

                  (i)         the retailer has given the primary supplier notice in writing that it is intended to rely on this subsection if the supply requested is not made within a further time reasonably specified in the notice; and

                  (ii)         the primary supplier does not make the supply within that further time.

”.

        (12)         After section 4(4), the following subsection is inserted —


        (4a)         For the purposes of deciding whether a person has, as required by subsection (3)(g) or (h), ensured, so far as is practicable, that bulk storage does not contain a particular motor fuel, the lack of availability of other storage is not relevant.

”.

        (13)         Section 4(5) is amended as follows:

            (a)         by deleting “Where a term of provision of a franchise agreement” and inserting instead the following —

                “ If a provision of an agreement ”;

            (b)         in paragraph (a) —

                  (i)         by inserting before “or any colour” the following —

                “ of a kind or grade of motor fuel ”; and

                  (ii)         by inserting after “dispensing equipment” the following —

                “ or on bulk storage that is not underground ”;

            (c)         in paragraph (c) —

                  (i)         by deleting “or” after “landlord” and inserting instead the following —

                “ , if the retailer is a tenant, or a ”; and

                  (ii)         by inserting after “operated” the following —

                “ , or bulk storage being used, ”;

            (d)         by deleting “term or”;

            (e)         by deleting “tenant’s” and inserting instead the following —

                “ retailer’s ”.

        (14)         Section 4(6) is amended by inserting before “purchased” the following —

                “ of the kind and, where applicable, grade concerned ”.

        (15)         At the foot of section 4(6), the following is inserted —

                “ Penalty:         $20 000. ”.

        (16)         Section 4(7) is amended by deleting “who fails to make an entry in a register as required by this Act or”.

        (17)         At the foot of section 4(7), the following is inserted —

“ Penalty for an offence under subsection (7): $20 000. ”.



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