Malaysia legislation

Section 42

of GAS SUPPLY (AMENDMENT) ACT 2016

Section 42

New sections 37a, 37b, 37c, 37d, 37e, 37f and 37g

The principal Act is amended by inserting after section 37

the following sections:

“Public Authorities Protection Act 1948 37a.  The Public Authorities Protection Act 1948 [Act 198]

shall apply to any action, suit, prosecution or proceedings against the Commission, the Chairman, Chief Executive Officer, any member, officer, servant or agent of the Commission, the President, any member, the Secretary, officer, servant or agent of the Gas Competition Appeal Tribunal in respect of any act, neglect or default done or committed or any omission by it or him in good faith, in such capacity.

Development of codes by Commission and compliance of codes 37b.  (1)  The Commission may, with the approval of the

Minister, develop and issue codes relating to the use of regasification terminal, transmission or distribution pipelines together with the approval of any access arrangements, or for the retail or use of gas or for the metering of gas and in respect of safety in the distribution, retail or use of gas.

(2)

The Commission may develop and issue such additional codes as the Commission deems fit and expedient or as the

Minister may direct, as the case may be.

(3)

All codes developed and issued under this section shall only be effective upon registration by the Commission.

(4)

All licensees and any other parties who have entered into any agreement shall comply with the codes.

(5)

Unless otherwise determined by the Commission, in ensuring reliability, safety and security of the gas delivery system, the codes issued under this section shall take precedence over any agreement that may exist between the parties mentioned in subsection (4).

(6)

Any person who contravenes this section commits an offence.

Guidelines or directions by Commission 37c.  (1)  The Commission may issue guidelines or directions on any matter as provided under this Act or as may be expedient or necessary for the better carrying out of the provisions of this Act.

(2)

Without prejudice to the generality of subsection (1), the Commission may issue and publish guidelines on the economic and legal analysis to be used in determining cases related to competition including the principles to be used in determining any penalty or remedy imposed under Part VIa of this Act.

Gas Supply (Amendment)

(3)

The Commission may issue directions in writing to any licensee, competent person or any person on the compliance or non-compliance of this Act or its subsidiary legislation, conditions of licences issued, including the remedying of a breach of a licence condition or on any other matter requiring the making of a direction or specifically to be made the subject of a direction in accordance with such procedures as may be prescribed.

(4)

The guidelines or directions issued by the Commission under this section shall be registered and shall be effective from the date of such registration or such later date as the

Commission may specify in the guidelines or directions.

(5)

A licensee, competent person or any person shall comply with the guidelines and directions.

(6)

A licensee, competent person or any person who fails to comply with any guideline or direction of the Commission commits an offence.

Modification, variation, review or revocation of code, guideline or direction by Commission 37d.  (1)  The Commission may modify, vary, review or revoke any code, guideline or direction issued under this Act.

(2)

The procedures set out in subsections 37b(2), (3),

(4)

and (5) shall apply in respect of any modification, variation, review or revocation of the codes, guidelines or directions.

Power of the Commission to obtain information 37e.  (1)  The Commission may by notice require any person to furnish within a reasonable period specified in the notice, all information and documents relating to such matters as may be reasonably be required by the Commission to carry out its functions or duties under this Act, which are within the knowledge of that person or in his custody or under his control.

(2)

Any person who fails without any reasonable excuse to do anything required of him by notice under subsection (1) commits an offence.

(3)

Any person who—

(a)

intentionally alters, suppresses or destroys any information or documents which he has been required by any notice under subsection (1) to furnish; or

(b)

in furnishing any documents required by any notice under subsection (1), makes any statement which he knows to be false in a material matter or recklessly make such a statement, commits an offence and shall on conviction, be liable to a fine not exceeding fifty thousand ringgit or imprisonment for a term not exceeding two years or to both.

(4)

If any person fails to comply with the notice under subsection (1), the court may, on the application of the

Commission, make such order as the court thinks fit to secure compliance with such notice.

(5)

Any order referred to in subsection (4) may provide that all the cost and expenses of and incidental to the application shall be borne by such person or by any officer of a company or other association who is responsible for the failure.

Disclosure of information obtained 37f.  (1)  This section applies to—

(a)

any information or document given by any person to the Commission under this Act; and

(b)

such information or document given whereby the person giving it notifies the Commission in writing that it is of a confidential or commercially sensitive nature.

Gas Supply (Amendment)

(2)

The Commission shall not disclose to any person the information or the contents of a document to which this section applies unless—

(a)

the Commission is of the opinion that—

(i)

the disclosure of the information or the contents of the document would not cause detriment to the person supplying it or to any other person who is aware of the information or document; or

(ii)

although the disclosure of the information or the contents of the document would cause detriment to the person supplying it or to any other person who is aware of the information or the contents of the document, the public benefit in disclosing outweighs that detriment;

(b)

the Commission gives written notice to—

(i)

the person who supplied the information or document; and

(ii)

any other person whom the Commission is aware has supplied the information or document to the person referred to in subparagraph (i), where the identity of such other person is known to the Commission, stating that the Commission wishes to disclose the information or contents of the document, specifying the nature of the intended disclosure and detailed reasons why the Commission wishes to make the disclosure and setting out a copy of this section; and

(c)

no appeal is made to the Minister under subsection (3) within twenty-one days of the date of notice.

(3)

A person aggrieved by a notice under paragraph (2)(b)

may appeal to the Minister within twenty-one days of the date of the notice.

(4)

Subsection (2) shall not prevent the Commission from disclosing any information or the contents of any document—

(a)

to any member, officer or employee of the Commission or any agent, consultant, committee or panel acting for or under the direction of the Commission;

(b)

to the Minister or any agent, consultant, committee or panel acting for or under the direction of the

Minister;

(c)

when required to do so by any court or under this

Act or any other written law; or

(d)

for the purposes of any criminal proceedings.

(5)

For the purposes of this section, the disclosure of any information or the contents of a document already in the public domain at the time the Commission wishes to disclose it cannot cause detriment to any person referred to in paragraph (2)(a).

Licensees’ infrastructure information security 37g.  (1)  Any licensee as directed by the Commission shall be responsible for the preservation of confidentiality, integrity and availability of the licensees’ information, information systems and supporting network infrastructure pertaining to its licensed activity, duties and other matters as provided under this Act.

(2)

The licensee shall—

(a)

take the necessary measures, establish and implement standards and employ the relevant information security controls to prevent, avoid, remedy, recover

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or restore its information, document, instrument or records stored in its computers and for its operational system by its computers from any risk of—

(i)

threat or unauthorized access; and

(ii)

intrusion or removal;

(b)

take necessary measures to ensure the resiliency of its supporting network infrastructure to minimise business impact against various threats to its licensed activities; and

(c)

ensure that the reliability, continuity and quality of gas delivery system, its performance of duties and conformity to the provisions of this Act and any regulations made thereunder shall not be jeopardized thereby, and shall, within the time specified by the Commission, submit such information as required by the Commission and in the event of any incident which may interfere or affect the performance of the licensed activity, report to the

Commission and other relevant authorities.

(3)

Any licensee who fails, neglects to comply with or contravenes any provision of this section commits an offence and shall, on conviction, be liable to a fine not exceeding three hundred thousand ringgit or to imprisonment for a term not exceeding three years or to both.

(4)

For the purposes of this section—

“supporting network infrastructure” refers to relevant connection, network devices, hardware and software that provides network services in supporting business functions;

“information security controls” refers to means of managing risk, including policies, procedures, guidelines, practices or organizational structures, which can be administrative, technical, management or legal in nature;

“resiliency” means an ability of an organization to resist being affected by an incident.”.

Amendment of section 39