Response to issues paper exempt selling regime madeleine kingston


Part 5 Authorisation of retailers and exempt seller regime



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Part 5 Authorisation of retailers and exempt seller regime

Division 1 Prohibition on unauthorised selling of energy

501 Requirement for authorisation or exemption

(1) A person must not, in this jurisdiction, engage in the activity of selling energy unless—

(a) the person is the holder of a current retailer authorisation and subsection (2) or (3) applies to the person; or

(b) the person is an exempt seller.

(2) This subsection applies to a person in relation to the sale of electricity if the person is a Registered participant in relation to the purchase of electricity directly through a wholesale exchange, as required by section 11 (4) of the NEL.

(3) This subsection applies to a person in relation to the sale of gas if the person—

(a) is a user or non-scheme pipeline user (within the meaning of the NGL) registered (or exempted from registration) to participate in a regulated retail gas market in this jurisdiction, as required by section 91LB of the NGL, in a registrable capacity specified in the NGR relating to this jurisdiction for a user or non-scheme pipeline user; and

(b) is a Registered participant in relation to a declared wholesale gas market, as required by section 91BJ of the NGL, in the registrable capacity specified in the NGR for a person who sells natural gas to customers that has been transported through the declared transmission system.

Note—

This section is a civil penalty provision.

Under Part 5 of the proposed Retail Law, the AER will be responsible for issuing and revoking retailer authorizations. Unless exempt from the requirement, a person must hold a retailer authorization prior to engaging in the retail sale of energy.

Energy laws prohibit “unauthorized selling or energy”

How would the AER view a situation where a service provider, either licensed or unlicensed, breaches provisions for re-sale and charging for energy by re-defining energy altogether, and using devices in calculating alleged deemed usage of gas by measuring through a temperature gauge attached to a water panel used to heat a room, and the claim provision of energy expressed in KwH, but charging in cents per litre.

How can such an alleged “energy service” be related to the provision of gas for the heating of a single boiler tank supplying water for taps in individual apartments (kitchen, bathroom, laundry), as well as for

The prescribed unit of measure for gas is joules, megajoules, gigajoules or multiples thereof. Gas cannot be measured or expressed in KwH. It is also inappropriate to measure gas whilst charging in cents per litre (despite the misguided provisions contained within the Victorian Energy Retail Code v7 (February 2010, applicable from April 2010) Clause 3 and 4 and an appendix)

Electricity exemptions pursuant to the National Trade Measurement Act 1960.

Certainly, the usage of novel devices such as may be able to measure the temperature of water transmitted in water pipes to a heat panel. In the cases I have in mind the tepid water leaves the heat bank is recycled and a further supply of water is transmitted, after being heated by a single gas meter on a property housing say 160+ or 300+ owner-occupiers or residential tenants.

This is exactly what is happening on some properties, in arrangements claiming to have locked in unsuspecting owners’ corporations to up to two decades or more to unsolicited and unwanted service arrangements at sometimes twice the price obtainable elsewhere because of decisions made by developers and their associates or chosen “service providers” to “operate and manage” and even allegedly own various forms of infrastructure, for the most part of a nature that is normally an integral part of body corporate property.

The BOOT system of operation (buy own operate and transfer) may be common practice – but can it be considered legal and meeting all laws, including generic, trade measurement, owners’ cooperation, tort, and common law provisions, including the rights of natural justice.

Providers of one description, whether or not licensed or exempted, whether or not monitored or required to be accountable, where or not covered by existing complaints mechanisms; are seeking to bundle charges, not as part of rent, such as s service charge that may be issued by a public housing authority to cover composite services, but rather a range of alleged goods and services for which they expect, upon the direction of a property developer, for example, seeking to gain from securing without consent of Body Corporate entities as collective owners

gas company means a gas distribution company, a gas retailer or a gas transmission company;

gas distribution company means a person who holds a licence to provide services by means of a distribution pipeline; gas distribution system means-

(a) the primary distribution system; and

(b) any distribution pipeline or system of distribution pipelines that, under section 13(1), is an approved distribution connection; and

(c) any distribution pipeline or system of distribution pipelines that, under section 13(2), is an approved distribution adjunct;

gas fitting includes meter, pipeline, burner, fitting, appliance and apparatus used in connection with the consumption of gas;

gas producer means a person who carries on a business of producing natural gas;

gas retailer means a person who holds a licence to sell gas; gas transmission company means any person, other than AEMO, who owns, operates or provides a service by means of a transmission pipeline;

gas transmission system means-

(a) the primary transmission system; and

(b) any transmission pipeline or system of transmission pipelines that, under section 14(1) is an approved transmission connection; and

(c) any transmission pipeline or system of transmission pipelines that, under section 14(2), is an approved transmission adjunct;

transmission pipeline means-

(a) a pipeline for the conveyance of gas-

(i) in respect of which a person is, or is deemed to be, the licensee under the Pipelines Act 2005; and

(ii) that has a maximum design pressure exceeding 1050kPa- other than a gathering line within the meaning of the Petroleum Act 1998; or

(b) a pipeline that is declared under section 10 to be a transmission pipeline- but does not include a pipeline declared under section 10 not to be a transmission pipeline;

transmit means convey gas through a transmission pipeline;

MK Comment: (see further discussion under appendix Comparative Analysis of Energy and Trade Measurement Laws

This AER’s Issues Paper as the first consultative step seeks feedback from stakeholders on a range of potential issues have been identified in developing a framework for exempt selling under the proposed Retail Law and Retail Rules.

However, the AER has welcomed any comments on issues in relation to exempt selling not specifically raised in this paper. In this submission to the AER I will not only be relying on this invitation, and repeating much of what has already been proffered to the public arena, including to other AER consultations; to the AEMC, MCE, AEMO; and other consultations, but will also refute the appropriateness of the statement made within the Issues Paper that the AER will not deal with certain matters notably the alleged distortions of energy laws by various classes of energy and alleged “ancillary services;” “reference services” “additional services” providers.

Suffice it to say here that I intend herein and in future submissions as the Exempt Selling Regime is developed to examine the approach apparently taken by the AER on the one hand:



  1. Endorse the including of Capital Expenditure (CAPEX) and Operating Expenditure (OPEX) costs for expensive upgrades to water meters and hot water flow meters involving for example the addition of radio-frequency heads to existing hot water flow meters, as for example proposed and granted to Jemena Gas Networks (NSW) Pty Ltd in their Gas Access Proposal for 2010-2015.97

  2. Refuse to consider appropriate protections and the implications of the growing “bulk hot water” market, wherein providers who neither own the water, nor are entitled to charge for alleged gas consumption based on measurement of “calorific values” if these can be measured at all

  3. Apparently fails to consider existing distortions and malfunctioning within the marketplace with special reference to perverse outcomes intended by the introduction of a new category of service provider – that of Metering Data Service Provider (MDS). In practice many of these registered unregistered providers appear to be exploiting the market and locking in unsuspecting owners and/or residential or corporate tenants into a BOOT system of operation (buy, own, operate and transfer) contrary to the exclusionary provisions of s47 of the Trade Practices Act 1974 (to be re-named Competition and Consumer Law 2010; Owners’ Corporations provisions and other provisions.

  4. In my view AER and its associated bodies as policy and rule makers, such as the MCE, AER and AEMO should not on the one hand wash its hands of determining any guidelines regarding the distorted interpretation of provision of energy (described within the Issues Paper, the Victorian Energy Retail Code; within generic and trade measurement laws as referring to gas or electricity only, not heated water or milk honey, petrol, calorific value (as an attribute and expressed in terms that are not endorsed by trade measurement practices requiring specified units and scale of measurement, subject to imminent lifting of utility exemptions) or any other commodity.

So-called providers of energy have found creative ways in which to define energy (for example in calorific values, as measured by a device fitted with temperature sensors affixed to a water heat panel for room heating. This has nothing whatever to do with measuring gas consumption, for example through a single gas meter used to heat a communal water tank, a process mistakenly and meaninglessly referred to as bulk hot water or “consumed energy hot water energy consumed”

The ESC in its analysis of the responses to its Small Scale Licensing Review mistakenly believed that energy is “consumed” by an individual end-user of heated water at a single gas meter used to heat a single boiler tank. IU have analyzed in some detail in various appendices including of the Victorian Gas Industry Act 2001 and other provisions (see Appendix 3) why it seems that the deemed provisions under that enactment seem to have become distorted, and my concerns about the risks of such distortion being carried into the National Laws.

Failure to explicitly forbid such arrangements within energy laws by ignoring market failures and distortions of this kind is tantamount to tacit endorsement, as well as failure to properly monitor the marketplace.

No redress under existing complaints schemes exists for those who are exploited by unlicensed and unregistered providers wishing to seize on existing weaknesses within energy codes, notably the Victorian Energy Retail Code Clause 3 and 4 and an appendix, as discrepantly adopted in several other states.

Those who are vulnerable are not restricted to those living in caravan parks, rooming or boarding houses and the like. Vulnerable parties include unsuspecting purchasers of strata titled property purchasing off-the-plan; body corporate members as owner-occupiers, residential tenants, corporate tenants in shopping centres and a host of others, both in relation to gas and electricity.

Whereas it is possible for an electricity network to change ownership and operation – and for the term “embedded consumer” to be correctly applied because there is direct “flow of energy” facilitated regardless of change of ownership or operation, the same does not and should not apply to gas, as much as the AER and others are motivated to standardize provisions.

There are significant differences between gas and electricity. There are many safety had technical considerations is allowing on-sellers, owners and operators of facilities to assume direct responsibility for gas provision or to allow continuing market distortions to occur when only a single gas meter supplies gas to an entire multi-tenanted property, often with multiple buildings scattered over a considerable portion of land, or else contained within high rise or medium rise apartments.

The a philosophical mind-set to expand the Exempt selling regime through the auspices of the AER, and consideration being given to including Landlords and Body Corporate entities without considering the implications and glaring evidence of market distortion and consumer detriment, including detriment to body corporate entities and tenants, residential and business.

Landlords and body corporate entities do not sell energy or “energy services” when they supply heated water to individual residential tenants in water pipes, after the water has been centrally heated by a single gas or electricity meter that heats a single boiler tank.

Neither does measurement of temperature through a device attached to a water heat panel (for room heating) constitute legitimate measurement of gas or electricity used to heat water that is centrally heated through a single gas or electricity meter



I refer to process of arranging for energy suppliers and/or others to supply energy, say specifically gas or electricity for, say an block or flats or apartments, where:

  • multiple individuals or groups occupy a separate residential abode (premises),

  • questionable trade measurement practices are employed in the use of water meter infrastructure (cold water mains, subsidiary cold water meter; hot water flow meters, temperature calculation devices affixed to water heat panels used for room heating upon which calculations are made for alleged individual ascertainment of the heated component of water is assessed for both hot water tap supply and for water panel heating), to calculate by imprecise methods deemed apportionment of energy use;

  • contribute to inflated costs allegedly associated with the distribution and transmission of electricity or gas; by employing third parties providing billing and metering data services

  • by using infrastructure not designed for the purpose;

  • using the wrong instrument for the wrong commodity;

  • using the wrong units and scale of measurement in trade measurement calculations

  • third party operators frequently aim to assist landlords and Body Corporate entities to escape their mandated obligations under tenancy laws to undertake “other services” (to retailers and landlords not alleged end-consumers of alleged energy supplies of heated of that involve use of water meter infrastructure to calculate alleged consumption of, sale and supply of gas and electricity.

  • In other cases, such third-party operators seeking to include a range of unrelated “bundled services” (including alleged supply of energy; alleged servicing of boiler systems; internet, security, TV cabling and other such services)98 as dictated by a property developer.

For example selling off the plan, the victims are unsuspecting property purchasers in strata titled property, who deny authorization of the arrangements in place, and are forced into commercial litigation to illustrate the absence of a legally sustainable alleged contract for sale and supply of those services, often, contrary to the exclusive dealing provisions of generic laws and competition laws to lock in purchasers and their successors as well as tenants into long-range

  • I have discovered that energy providers, associated “metering data providers,” licensed and unlicensed, for the most part altogether are escaping the laws in place or the scrutiny of regulators charged with monitoring the market and ensuring that practices are fair and do not cause consumer detriment, including to small consumers and businesses alike.

  • Some such providers measuring alleged energy consumption for “gas-fired hot water heating” and apartment heating using “WATER PANELS” using a single gas mater for multi-tenanted dwellings, expressing that consumption in kilowatt hour and charging in cents per litre by employing temperature sensors attached to water panels that are unconnected with heated water flowing through taps in kitchens, laundries and bathrooms.

  • The AER has recently sanctioned massive CAPEX and OPEX outlays by Jemena Gas Networks (NSW) Ltd as requested through their Asset Management company Jemena Asset Management (JAM), a subsidiary of Jemena Ltd.

  • This is for outlays on radiofrequency heads for water meters and hot water flow meters to facilitate remote reads and disconnections of water in a processes using hot water flow meters (which measure only water volume not gas, electricity or heat) and cold water meters effectively as substitutes for gas and electricity meters.

  • The AER, following policies recommended by the AEMO, AER and MCE either fail to understand or have no interest in examining the impacts of regulatory decisions (gas and electricity access determinations) or have no power to over-ride other decisions. Though officially part of the ACCC, the AER is largely controlled by energy policy and rule makers without expertise in metrology or the will to maintain minimal standards or monitoring.

  • Detailed plant and services contracts of questionable validity between developers and unlicensed alleged “energy and water providers” which refer to “domestic hot water heat exchangers immersed coil type Edwards LEX manufacture or approved equivalent. The heat exchangers are complete with “temperature sensor, expansion, vessel, pressure relief, overflow, piping connections, insulation and other safeties.”

  • None of these devices can possibly measure gas or electricity consumption, yet relying on discrepant interpretation of existing written and unwritten codes and guidelines in place at jurisdictional level, a new vehicle for exploitation has been created by either tacit or explicit endorsement at all levels. It is as if entirely ignoring the evidence of market distortion makes the matter disappear.

  • However, the central issue is usage of the wrong instrument for the wrong purpose, measuring the wrong commodity, as well as apportioning contractual liability on the wrong parties. Lifting of utility exemptions is pending, but by the end of this year electricity exemptions will be lifted under National Measurement provisions.

  • The National Measurement is the sole legal authority on trade measurement issues, contrary to impressions of others that all metrology procedures belong within the energy arena.

  • Though it is encouraging that the AER, consistent with the proposed National Retail Energy Law, is required to uphold the concept of sale of energy being restricted to gas and electricity, there are many loopholes that have not been addressed, and will have direct impacts on proper practice and protection under the proposed Exempt Selling Regime.

More recently I have been involved in addressing the perspectives of Owners Corporation entities that are also being exploited by current policies and practices. It has become blatantly obvious wish energy providers, property developers, unlicensed “service providers” and others wish to purchase or lease back water infrastructure including boiler equipment in strata titled property. The outcomes are imposition of long range “service obligations” and exploitation in other ways or owners of properties who believe that in purchasing property they are also purchasing common property infrastructure such as boiler systems, lifts and the like and will not be saddled with long-range service agreements hampering competition.

The hot water and cold water meters are being used as tools of exploitation against both property owners and tenants. The levels of exploitive market conduct are serious and unaddressed by all policy makers involved.



transmission of gas does not mean transmission of heated water in water coils or water services pipes

Under the Victorian Energy Retail Code energy means electricity or gas or both

Yet the Victorian Energy Retail Code v7 (February 2010, effective April 2010) sanctions provisions previously contained within a now obsolete Guideline, the “Bulk Hot Water Charging Guideline and Bills Based on Interval Meters”

The Gas Industry Act 2001 refers to licences



licence means a licence issued under Part 3;

licensee means the holder of a licence issued under Part 3;

licensee standing offer means-

(a) the tariffs determined by a licensee under section 42(1) and published

in the Government Gazette in accordance with that subsection, as varied from time to time by the licensee as provided for under section42(3); and

(b) the terms and conditions determined by a licensee and approved by the Commission under section 42(1) and published in the Government Gazette in accordance with that subsection, as varied from time to time by the licensee and approved by the Commission as provided for under section 42(4);

Regulation of tariffs for prescribed customers

21. Regulation of tariffs for prescribed customers

(1) The Governor in Council may, by Order published in the Government Gazette, regulate, in such manner and in relation to such period as the Governor in Council thinks fit, tariffs for the sale of gas to prescribed customers or a class of prescribed customers.

(1A) The Governor in Council may only make an Order under subsection (1) if under an MCE directed retail competition review the AEMC-

(a) concludes that competition in a market for gas is not effective; and

(b) recommends, in accordance with the MCE's written direction for that review, that price controls on prices for retail gas services be (as the case requires) retained or reintroduced.

(2) Without limiting the generality of subsection (1), the manner may include-

(a) fixing the tariff or the rate of increase or decrease in the tariff;

(b) fixing a maximum tariff or maximum rate of increase or minimum rate of decrease in the maximum tariff;

(c) fixing an average tariff or an average rate of increase or decrease in the average tariff;

(d) specifying policies and principles for fixing tariffs;

(e) specifying a tariff determined by reference to a general price index, the cost of production, a rate of return on assets employed or any other specified factor;

(f) specifying a tariff determined by reference to any one or more of the following-

(i) a prescribed customer or class of prescribed customers;

(ii) a person or a class of persons authorised to sell gas;

(iii) the purpose for which the gas is used;

(iv) the quantity of gas used;

(v) the period of use;

(vi) the place of supply;

(vii) any other specified factor relevant to the sale of gas.

(2A) Without limiting the generality of subsection (1), in determining the manner tariffs for the sale of gas to prescribed customers or a class of

prescribed customers are to be regulated, the Governor in Council may have regard to the tariffs payable by the prescribed customers or a class of prescribed customers during the review period.

(3) An Order under subsection (1) may direct the Commission to make a decision in respect of such factors and matters or in accordance with such procedures, matters or bases as are specified in the Order, or both.

(4) An Order under subsection (1) has effect as from the date specified in the Order.

(4A) Sections 53 and 54 of the Essential Services Commission Act 2001 apply to an Order under subsection (1) as if the Order were a determination made by the Commission under that Act.

(5) The Governor in Council may, by Order published in the Government Gazette, declare that a person or class of persons specified in the Order is, for the purposes of this section, a prescribed customer or class of prescribed customers.

(6) In this section-

MCE directed retail competition review means an MCE directed review (within the meaning of the National Gas (Victoria) Law) under section 79(1)(e) of that Law;

prescribed customer means a person, or a member of a class of persons, to whom an Order under subsection (5) applies;

review period means the period-

(a) commencing on the day that the direction of the MCE requiring an MCE directed retail competition review is published in the South Australian Government Gazette under section 79(3) of the National Gas (Victoria) Law; and

(b) ending on the day before the day the Order under subsection (1) is made.

* * * * *

2) A person must not engage in the sale of gas by retail, either as principal or agent, unless the person-



(a) is the holder of a licence authorising the sale of gas by retail; or

(b) is exempt from the requirement to obtain a licence in respect of the sale of gas by retail because of an Order under section 24.

Penalty: 1200 penalty units and 120 penalty units for each day after the day on which a notice of contravention of this subsection is served on the person by the Commission.

* * * * *

In the case study refereed to below and the subject of further discussion in Appendix with the view of illustrating how distorted discrepant interpretation of provisions and legal obligations have become an unlicensed provider with no exemptions for either gas or electricity on-selling has found a creative way of interpreting entitlement to bill in kilowatt hour in a cents per litre rate for heat supplied by a single gas meter on the property servicing not only to heat a single boiler tank, but reticulation of heated water to heat panels for room heating; and for the purposes of cooking.

There is no legally sustainable method of measuring the gas used individually by each apartment. The Body Corporate Owners deny the legality or validity of any contract with the service provider appointed by the Property Developer, under terms and conditions entered into by a “Body Corporate Guardian” signing himself inappropriately as “Secretary” for a Body Corporate Committee not yet formed.

For residential tenants the situation is even more unfair when it comes to heated water, which under some tenancy laws may only be charged at the cold water rate, and the Owners’ Corporation receives a bill for that cold water.

Though for settlement purposes only a single gas meter exists and the retailer is charged by the distributor for gas (or electricity) distribution to that single meter, the former are endeavouring to impose both consumption and supply and other charges, including metering data services and billing charges on end-users who are not party to any contract (except as a figment of imagination that bears no relationship to contract law or sale of goods provisions at either federal or state level).

NSW Strata owners are similar aggrieved by the provisions for different reasons as discussed elsewhere.

There are more class actions being initiated on the basis of contract, often by members of strata property in multi-tenanted dwelling. In one such litigious matter before the open courts the following issues are under challenge in the open courts:

Reliance on the flawed jurisdictional “bulk hot water arrangements” under energy laws (effectively using water meters to pose as gas meters for the purpose of calculating deemed gas usage), initiated by Victoria and adopted in two other States, albeit applied discrepantly in each.

At least three jurisdictions continue to apply these provisions discrepantly without due regard to numerous overlapping provisions, and complete disrespect for the spirit and intent of trade measurement provisions, notwithstanding that the utility exemptions from the NMA are yet to be lifted. These are Victoria, Queensland and South Australia. In the case of NSW I am unable to see how these provisions are different except for nominally recognizing in the Gas Supply Act 1996 that choice of energy provider must exist. In this case we are speaking of water provided, of varying temperature that is centrally heated and supplied to individual apartments.

If Owners of each apartment obtain the consent of the OC to fit a separate gas meter and boiler system internally that is dedicated to that apartment, that is one thing.

To expect tenants to do so is absurd and normally hot permitted by the OC or Landlord in any case.

Under current legal challenge by members of an Owners Corporation in Victoria the following matters have been raised:



  1. The legality of arrangements for the sale of “Hot Water and Internet Infrastructure;”

  2. The signing of contracts by the original Owners’ Corporation Manager;

  3. The alleged contract, allegedly signed by the OC;

  4. The possible excessiveness of the charges, using the flawed Victorian algorithm conversion factors and employing hot water flow meters to pose as electricity meters;

  5. Challenge to operational and service design parameters initiated by the Developer in consultation with the energy providers using hot water flow meters to pose as gas meters, and selection of hot water infrastructure leading to water wastage and inflated charges

  6. Operational design – relating to flow rate of the hot water being greater than the cold water.

  7. The quality of supply and service of all the above alleged supplies and services over a period of six years. (this last matter raises issues pertinent to proposed revisions to statutory and implied warranty considerations under the Australian Consumer Law (TPA).

In the case of renting tenants the issue of inappropriate imposition of contractual status raises issues of inadequate and poorly conceived policies and practices that appear to un-monitored.

Such lack of assessment of impacts has led to decades of compromised consumer protection, which has apparently been justified on the grounds of enhancing competition apparently without robust understanding of the original intents of national competition (refer to Senate Select Committee of 2000, as referred to in my multipart submission to the Productivity C omissions Inquiry Into Australia’s Consumer Policy Framework (subdr242parts 1-5 and Part 8, 2008) and other public consultation arenas.

The Scheme in question appears to have sought to exploit ignorance and poor protection for unsuspecting purchasers of individual properties purchased off-the-plan” ASIC has shown a keen interest in such arrangements and has taken action in many such instances in several states. This is discussed in more detail shortly.

See extract below taken from an agreement allegedly applicable to owners of a Body Corporate the subject of a case study outlined in Appendix 1. The essence of these arrangements is encapsulated in a document that until recently was transparently available online on the website of the relevant Service Provider. Seeking to promote the boot concept and force through what appear to be “third party line forcing” strategies calculated to ensure that service arrangements and obligations deemed to exist through unilateral imposition of obligation in perpetuum not only expected to be encumbent on immediate prospective owners or occupiers, but all successive owners and/or assignees.



In that particular Contract of Sale an alleged provider of energy sought to lock in each and every owner under a BOOT Scheme (buy own operate transfer) that should be scrutinized under the exclusive dealings provisions (s47 for example) of the Trade Practices Act 1974. See extract below



The above may be interpreted as meaning that all costs for the supply of electricity, water, telecommunications, monitored security alarms, high speed Internet access and community website (not supplied) belong to the Service Provider Service Link, and no separate bills should be issued for electricity or gas or water used for the boiler plant and supply of heated water for the water panels and for the hot taps in each apartment.

The Service Provider, an unlicensed party who seems to have escaped the scrutiny of the ESC (Victoria) apparently obtained authority to operate in this manner appears through the Property Developer Inkerman Developments, associated with the activities of property spruiker Henry Kaye, during July 2010 banned by ASIC from managing corporations for five years) purports to be selling ENERGY (which is defined in the Victorian Energy Retail Code simply as either gas or electricity). It does not mean honey; milk; temperature; water; heat (calorific value, an attribute not a commodity).

The wording of the standard form contract for the same property that was till; recently published online by the Service provider read as follows:




WATER HEATING SUPPLY AGREEMENT

(name of Service Provider )

BAGKGROUND

A The Owner/Occupier wishes to engage the Contractor to provide heated water and heating to the Premises ................................................. (the Premises) on the terms set out in this Agreement.


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