Guideline: How to complete an application for exempt gas connection

This guideline is designed to assist property owners, or their authorised representatives, to prepare an application for an exempt gas connection under the Climate Change and Greenhouse Gas Reduction Regulation 2023 (No 1).

This guideline has been prepared to provide general information about the regulation and exemption application process, as well as guidance on what should be considered when completing the form. It outlines the minimum expected information to be provided as part of an application. Depending on the proposed use of the new connection, the nature of the business and the complexity of the application responses, an application may need to include additional information by attaching documents to the form.

This guideline must be read in conjunction with the Application for exempt gas connection (the application form) and should also be read in conjunction with the following laws and standards:

• Climate Change and Greenhouse Gas Reduction Act 2010 (Act)
• Climate Change and Greenhouse Gas Reduction Regulation 2011 (Regulation)
• The Territory Plan 2023, made under the Planning Act 2023
• The ACT Building Code, which consists of Volumes 1 and 2 of the National Construction Code, any ACT Appendix to those volumes, and any regulations prescribing technical requirements for building work; and any other related ACT legislation for the approval or carrying out of the proposed building work.

Overview

The ACT Government has enacted a regulation that restricts Evoenergy from providing new natural gas network connections in most circumstances in the Territory from 8 December 2023.

This regulation supports the ACT Government’s commitment to phasing out fossil fuels and achieving net zero emissions by 2045. In the position paper, ‘Our Pathway to Electrification’, the ACT Government confirmed that the Territory will transition away from use of fossil fuel gas to renewable energy by 2045. This means that the natural gas network will need to be substantially decommissioned ahead of 2045.

The regulation does not restrict access to existing connections but does restrict the ability to alter a connection to increase the capacity, or amount of gas that can be supplied from the connection.

Wherever possible and feasible, gas reliant businesses should seek to utilise existing and available gas connections, or locate in a non-restricted area.

If you consider you or your business requires a new connection to the natural gas network but are restricted by the regulation, you may be eligible to make an application for an exempt new connection.

Public consultation on the regulation found the community expects that exemptions from the regulation should only be granted where there are no feasible alternatives, and there is a clear benefit to the community or Territory for allowing a gas connection to proceed.

For this reason, the exemption application process requires applicants to address several criteria that will be assessed. The minister must consider the objects of the Climate Change and Greenhouse Gas Reduction Act, the ACT’s greenhouse gas reduction target, the likely impact on the Territory if the application is approved and information provided by the gas distributor. Assessment considerations include, but are not limited to:

• the potential emissions impact of the proposed new gas connection;
• Whether electric alternatives are available for operations, and efforts made to minimise gas use;
• The applicant’s efforts to secure a location or premises where the connection restriction does not apply or with an existing gas connection;
• Benefits to the Territory community and/or economy that would result from granting the exemption;
• Potential impacts on the gas distributors network planning;
• The applicant’s plans to transitions operations away from gas.

A copy of the application for an exempt gas connection form can be downloaded from the Everyday Climate Choices website.

Before you begin an application

Before submitting your application, please confirm whether a gas meter is installed for the specific premises, shop or unit from which you intend to operate. The presence of a gas meter usually indicates that the premises is connected to the gas network.

If the premises is part of a multi-unit building, please be aware that gas to the building does not mean all individual units will have their own gas connection. You must confirm whether a gas meter is installed specifically for the unit where you plan to operate your business. If the unit does not have its own gas meter, a new gas connection will be required, even if the building or other units are already connected to the gas network

If you are in doubt, you can contact Evoenergy (email: act@jemena.com.au) to confirm the connection status of the premises.

Standing (automatic) exemptions

A transition period ran until 1 March 2024. This period allowed Building Approvals and Development Applications to be lodged and continue with a gas connection, provided they met the requirements of the relevant Building Approval or Development Application.

Standing exemptions only apply if the premises has a valid Development Application (DA) or Building Approval (BA) that:

• was lodged (DA) or issued (BA) before 2 March 2024,
• has not expired or been revoked, and
• does not have a Certificate of Occupancy.

If your premises meet the above criteria you will need to provide evidence of a valid Development Application or Building Approval to Evoenergy as part of your connection request.

Assess whether you need to apply for an exemption.

Does the regulation apply to me?

Premises on ‘designated areas’ of the Territory Plan

If your premises is in a designated area and is ‘National Land’ (not Territory Land), the regulation will not apply. To find out more about National Land, contact the National Capital Authority.

Assess whether you are eligible to apply for an exemption.

The owner of a premises may apply for an exemption to the restriction on a new gas network connection.

If you are not the owner of the premises, but you are seeking a new connection, you will need the owner’s authorisation to apply for an exemption. This means that if you are a tenant, such as a tenant in a commercial space, you will need to work with your property manager and landlord to apply for an exemption.

Note: If an exemption is granted, it will be issued to the property owner, against the authorised premises.

Is my project eligible for an exemption?

Land and buildings where an exemption must be refused

The regulation sets out several areas where an exemption request must be refused (see regulation section 11). Exemptions are not available in the following building classes or land use zones:

• Class 1-2 buildings – these are residential type buildings and include apartments (see National Construction Code for building class explanations)
• CZ1 (Core Zone) and CZ2 (Business Zone) in the district of Molonglo, or
• Any residential zone land (RZ1-RZ5)

Note: zone information about the block of land you are enquiring about can be found on the Territory Plan map in ACTmapi

Land and buildings where an exemption can be granted

You may apply for an exemption in the following zones:

• CZ1 Commercial Core – except in the district of Molonglo
• CZ2 Business Zone – except in the district of Molonglo
• CZ3 Services Zone
• CZ4 Local Centres Zone
• CZ5 Mixed Use Zone
• CZ6 Leisure and Accommodation Zone
• CFZ Community Facility Zone

Note: if your building is a class 1-2 building in any of these zones you are ineligible for an exemption and your application will be refused.

Additionally, if you are seeking to build a class 3-4 building, you may also apply for an exemption in these zones:

• IZ1 General Industrial Zones
• IZ2 Mixed Use Industrial Zone
• PRZ1 Urban Open Space Zone
• PRZ2 Restricted Access Recreation Zone
• TSZ1 Transport Zone
• TSZ2 Services Zone
• NUZ1 Broadacre Zone
• NUZ2 Rural Zone
• NUZ3 Hills, Ridges and Buffer Zone
• NUZ4 River Corridor Zone
• NUZ5 Mountains and Bushland Zone

How to apply for an exemption?

All applicants must complete an ‘Application for exempt gas connection’ form.

Completed applications, with supporting attachments, must be sent to: gasexemption@act.gov.au.

Please contact gasexemption@act.gov.au if you have any questions about completing the application form.

Note: Incomplete applications, or applications that do not comply with the application form may not be assessed.

If your business is granted a gas exemption, it will likely be time-limited and contingent upon a formal commitment to transition actions outlined in a structured plan.

Guidance on completing the application.

For all exemption applications you will need to meet eligibility requirements (Section 1: Eligibility Assessment), speak with relevant stakeholders (Section 2: Pre-conditions to Application), complete the application form and provide required supporting documentation.

The application form is broken into sections, which guide the applicant through the eligibility requirements. Guidance on completing these sections is below.

Mandatory fields

Prior to submitting the application form, please check that all mandatory fields (marked with *) are completed in full, otherwise the application may not be considered.

Section 1: Eligibility Assessment

Section 1 is to check the eligibility for the application. An exemption application can only be made if the following conditions are met: (1) it applies to a land use zone and building class prescribed in the Regulation, and (2) the premises requires a new gas connection defined under the Act.

The regulation restricts new connections in specific land use zones and to certain building classes.

Section 1 requires information about the land use zone and building class(es) of the premises where the proposed new connection is to be made.

1.1 Land Use Zones and Building Class

Land Use Zones

Applicants must specify the current land use zone for the premises of the proposed new connection.

Land use zone information can be found on the Territory Plan map in ACTmapi and in the Territory Plan 2023. Follow these steps to locate the information:

1. Access ACTmapi:
   • Navigate to the ACTmapi website.
   • Select the Territory Plan Map from the navigator page.
2. Search for a Block:
   • Click on ‘Search Block’ in the top toolbar.
   • Select ‘Search Blocks by Street Address’ from the left-hand menu.
   • Enter the address and click ‘Submit’.
3. View Land Use Zone Information:
   • The land use zone information will be displayed under ‘LAND_USE_POLICY_ZONE’.

Building Class

The regulation restricts connections for some building classes. Applicants must specify the building class of all buildings that the proposed new gas connection would service.

Example
A mixed use commercial / residential building may include several building classes. If a proposed gas connection was to provide a central hot water system that would service the entire building, you would need to tick all classes applicable to the building.  Alternatively, if the gas connection was only to service shops on the ground floor, you would select class 6.

Detailed information describing Building Classes is outlined in the National Construction Code and can be found on the Australian Building Codes Board website.

The Australian Building Codes Board’s ‘Understanding the NCC Building classifications’ states that:

• Class 1 buildings are houses, typically standalone single dwellings of a domestic or residential nature.
• Class 2 buildings are apartment buildings, typically multi-unit residential buildings where people live above and below each other.
• Class 3 buildings are residential buildings, other than Class 1 or Class 2 buildings, or a Class 4 part of a building. Class 3 buildings are a common place of long term or transient living for a number of unrelated people.
• Class 4 part of a building is a sole dwelling or residence within a building of a non-residential nature. An example of a Class 4 part of a building would be a caretaker’s residence in a storage facility. Class 4 part can only be located in a Class 5 to 9 building.
• Class 5 buildings are office buildings used for professional or commercial purposes.
• Class 6 buildings are typically shops, restaurants and cafes. They are a place for the sale of retail goods, or the supply of services direct to the public.
• Class 8 buildings are typically factories. It is a building in which a process or handicraft is carried out for trade, sale or gain.

For more information about the different classes of buildings, and the nature of Class 7, 9 and 10 buildings, please refer to the information provided by the Australian Building Codes Board.

Note: applications in relation to a new connection to a Class 1 or Class 2 building must be refused (s 11(3)).

1.2 New Connection Type

This question requires you to select the statement that best describes the proposed new connection. A space is provided for you to describe the connection if none of the descriptions listed describe the proposed connection. The restriction in the regulation only applies to ‘new gas connections’. What is and is not considered a gas connection is defined under section 13A(4) of the Climate Change and Greenhouse Gas Reduction Act 2010, and includes a physical link between a distribution pipeline and the premises to allow the flow of natural gas.  This includes the installation of a meter. The proposed connection to which the exemption application relates must fall within the definition of ‘new gas connection’.

A new gas connection in a premises or property does not include:

• A change in the energy retailer who manages an existing gas connection (e.g., the customer changes their energy retailer).
• A change in the customer supplied by an existing connection (e.g., a new person moves in).
• An alteration of an existing connection that does not result in an additional point of supply to the premises, or another premises.
  • This could include routine maintenance works on gas connection infrastructure, including the replacement of meters.
• A new connection exempt by the Regulation.

Select the description that best describes the new connection. A new gas connection in a premises or property is:

• A new connection to the premises.
  • There is no gas meter, or the service line is not connected to the gas main, currently at the premises.
  • This includes the replacement or reinstatement of a connection that was previously abolished. Once the connection is abolished, it no longer exists, and a new gas connection must be made to reinstate gas supply.
    • Example:
      During a ‘knock-down rebuild’ or significant renovation, the gas connection to the premises may be required to be abolished to ensure the demolition and construction is safe. In this situation, a future connection to the premises would be considered a new gas connection.

• An alteration of an existing connection that results in an additional point of supply to the premises or another premises.
  • This can mean the installation of an additional meter where a connection to the building already exists. This could happen where a commercial kitchen establishes operations on the ground floor of an existing mixed used commercial building and wants to utilise a natural gas connection for cooking. The building may already use natural gas for hot water heating for the office spaces on other floors, but no point of supply exists on the ground floor. An additional point of supply and meter would need to be established for the commercial kitchens needs.

Section 2: Pre-conditions to application

Section 2 of the application form sets out pre-conditions that must be completed before your application will be considered.

Before you submit an application, you must seek advice from:

1. Sustainable Business Program, ACT Government at sustainablebusiness@act.gov.au;
   The Sustainable Business Program provides business support in the areas of energy, transport, waste and water. Technical experts in this program will provide your business with advice on alternatives to a gas connection, and access to rebates and resources to help your business be more sustainable. The role of the Sustainable Business Program (SBP) team is limited to providing tailored advice on electrification options for your business. It does not include offering guidance or advice on the Gas Exemption process.
2. Evoenergy at act@jemena.com.au.
   Evoenergy can provide information related the proposed connection that is required in the application, including potential connection costs, connection type and required connection size or capacity. Download the email template.

Note: Jemena processes gas connection requests on Evoenergy’s behalf.

The assessment team will confirm that you have sought and received advice from the Sustainable Business Program before assessing your application.

You must attach evidence of your contact and any advice from Evoenergy/Jemena for your application to be considered. The advice received from Evoenergy will help you complete responses to section 7.

Section 3: Applicant details

Section 2 of the application form requires the applicant to provide their full name and contact information.

Section 4: Owner details

Section 3 of the application form requires information to be provided about the owner of the premises to which the new connection is proposed to be made.

Only the owner of the premises can be granted an exemption, so owners must apply for approval for a new connection to the premises to be exempt (Regulation section 9(1)).

If you are not the owner of the premises, but you are seeking a new connection, you will need the owner’s authorisation and co-signature on the form to apply for an exemption. This means that if you are a tenant, such as a tenant in a commercial space, you will need to work with your property manager and/or landlord to apply for an exemption.

NOTE: if an application for an exemption is approved, exemption holder details may be published on an ACT Government register. Details of the application, including the owner of the premises will be provided to Evoenergy for compliance purposes.

Section 5: Authorised Representative Details

Section 5 of the application form requires the authorised representative to provide their full name and contact information.

Section 6: Property details

Section 4 of the application form requires information about the location and premises where the proposed new connection is sought.

Information about the block of land for which you are seeking an application can be found on the Territory Plan map in ACTmapi.

NOTE: Granted exemption locations, at a district and division level, may be published on an ACT Government register. Details of the application, including all property details, will be provided to Evoenergy for compliance purposes.

Section 7: Required Connection and Intended Use

Section 7 requires information about the proposed connection and what it will be used for.

7.1 What is the proposed connection type (basic, standard or negotiated), the capacity/meter size for the proposed new connection and expected number of years it will be in service?

Question 7.1 requires you to provide information about: the connection type, capacity/meter size and expected number of years the proposed new connection will be in service.

Evoenergy (via its representative Jemena) will provide advice to help you answer this question. Seeking this advice is required as a pre-condition to applying for an exemption and is requested at Question 2.2 of the application form. Advice can be sought from Evoenergy by emailing: act@jemena.com.au. Download the email template.

Connection type

In additional to advice from Evoenergy, the National Gas Rules, available on the Australian Energy Market Commission (AEMC) website describes different natural gas connection services. These services are: Basic, Standard or negotiated connection services.

Evoenergy will advise what type of connection service they are offering.

Capacity

Applicants should state what capacity the connection will be, this includes service size, pressure and meter size. The capacity of the proposed new connection is important to understand the potential amount of gas that can be provided by the connection and calculate the emissions impact. This information is also required to be stated on an exemption if it is granted.

Examples

18mm service with a network pressure of 200kPa, with an M10 meter.

32mm service with a network pressure of 200kPa, with an M60 meter.

Evoenergy will provide information on their recommended meter type and capacity.

Expected number of years of service

Applicants should state how many years they expect to use the new gas connection for. This should consider transition planning commitments.

The expected number of years of service is important to understand the expected amount of gas that will be provided over the lifetime of the connection, and implications for long term network planning.

Please note: if an exemption is granted, it may be time limited.

7.2 Describe the nature of your business and the service it provides to the ACT.

Your response should describe the nature of the business and service that will be utilising the proposed new connection.

Examples of descriptions could include:

• Commercial laundry: providing services to the hospitality industry and hotels to specific areas in the ACT including services to 5 small to medium scale restaurants in the districts of Dickson and Braddon and 5 hotels in the district of Reid and Acton.
• Asphalt production: providing asphalt paving services and spray seal services across the whole of the ACT.
• Coffee bean roaster: commercial scale coffee bean roasting to service multiple cafes, and for purchase for private domestic use with distribution across the whole of the ACT.
• Hydrotherapy treatment: allied health exercise physiologist clinic, offering hydrotherapy treatment to manage injuries and chronic disease.

7.3 Specify what the gas connection will be used for

Your response must provide details about all appliances, services and end uses the proposed gas connection would be used for. Include details of make and model number for each appliance and links to the manufacturer websites where available. If you have not yet selected appliances for your business, please provide as much detail as possible regarding anticipated appliances and services.

Applicants must provide this information in the appliance and emissions attachment

Examples of appliances and services include:

Cremation services

• Appliance: 1 cremator furnace [make/model no.].
• Services and end use: cremation of bodies and remains on cemetery grounds in the ACT. The cremator furnace incinerates bodies.

Glass making

• Appliances: 2 crucible kilns/glass melting furnaces [make/model no.].
• Services and end use: providing glass making equipment for artists and workshop spaces for public workshops. Crucible kilns to be used as essential part of glass making process to melt glass at high temperature to be blown.

Asphalt production

• Appliances: 1 drum heater [make/model no.].
• Services and end use: manufacturing and production of asphalt. Drum heater.

Coffee bean roaster

• Appliance: 2 roasters [make/model no.] and 1 afterburner [make/model no.].
• Services and end use: large, wholesale coffee bean roasting operations servicing multiple cafes in the ACT. Roasters to be used to heat raw green coffee beans to be chemically and physically suitable for consumption. Afterburner to be used to remove pollutants and odours produced during the coffee roasting process.

Physiologist and hydrotherapy clinic

• Appliance: 1 boiler system [make/model no.].
• Services and end use: provide hydrotherapy treatment for the management of injuries and chronic disease. Boiler system used to heat hydrotherapy pool.

Section 9: Impacts and benefits

Section 9 provides an opportunity for the applicant to explain the impacts and benefits of the proposed connection, which are critical factors for assessment. The Minister will consider the ACT's greenhouse gas emission targets and the potential social-economic impact of the new connection on the Territory during the assessment. Please substantiate your statements with evidence.

9.1 What is the expected annual emissions impact of the new connection.

Question 9.1 requires you to calculate the expected annual emissions impact of the proposed new connection. Applicants must provide this information in the appliance and emissions attachment. Guidance on how to enter data plate information required to complete the appliance sheet, is provided in the attachment,

Emissions calculations must be done in accordance with the Australian Government's National Greenhouse Accounts Factors: 2023. The appliance and emissions attachment will automatically calculate emissions data. When calculating emissions, you will need to consider:

• Appliance [type / model if known]
• Input MJ/h [data plate]
• Expected annual hours in use.

Examples below:

If you would prefer to use a different form to outline appliance and emissions calculations, please contact the team at gasexemption@act.gov.au.

9.2 Please outline the community, social and/or economic benefits (whichever apply) that the proposed gas connection would have on the local area, district or Territory.

Applicants must detail the benefits the community or local area would receive by allowing the gas connection.

The response should consider how the proposed new connection, and any associated services will provide social, community and/or economic benefit to the Territory, as a whole or to a particular local area or district. An important consideration is whether claimed benefits require gas reliant operations, or whether similar benefits could be achieved from an all-electric business. The applicant may also wish to explore the impact or cost to the community if the gas connection was not allowed. Your response should be supported by evidence of your claims.

Applicants should include details of direct economic benefits to the Territory such as employment. Community benefits include the provision of an essential service. Social benefits include provision of services that are not available within an area. Please attach a copy of any relevant evidence to support your answer.

Some benefits will fit into multiple categories. For example, establishing a social enterprise that assists vulnerable members of the community and creates employment and fosters new skills in the local community provides community, social and economic benefit to the ACT.

Providing evidence to support your claims

Consider what information you can provide to support your response to this question. Some approaches to consider include:

• Undertake a needs analysis: this is an analysis carried out to determine what requirements are sought by the community, separating “wants” from “needs” and determining the priorities giving reasons. You should also consider if a similar service is already available in the area.  You can provide details of any community briefings, meetings or workshops conducted to gather information.
• Assuming it is not physically or financially feasible for your business to use electricity alone, please outline how not having access to the good or service you intend to provide might impact on the community:
  • Would it be reasonable to expect that the community would pay more, less, or about the same if you were not able to establish a business connected to the natural gas network in a particular area?
  • Would there be follow on employment from the business having access to a gas connection (e.g., a range of other businesses depend on that service) that would not arise with a “non-gas” business?
• Develop a strategy that details how the service provided by the proposed connection will provide social/ community benefits. Provide plan that details implementation and delivery of outcomes, as measured against the strategy.

Other considerations not required by the application form

9.3 Outline any additional information that is relevant to this application that you would like to share with the assessment team about the connection request.

Applicants may provide additional information to support their submission.