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regulatory materials>> dispute resolution
Dispute Resolution

 

 

Tempered Electricity Property
Tampering has become one of the most common causes of disputes especially among residential customers

The LEA Act authorises the LEA to resolve disputes between licence holders themselves, and between licence holders and their consumers. The LEA therefore has wide powers to resolve disputes. The LEA Act does not define a particular type or class of dispute, which the LEA is authorised to resolve, neither does it spell out the process to be used. This, therefore gives the LEA some flexibility to determine what type or class of disputes it will resolve, and how it should go about achieving it. Although there is always room for interpreting the LEA Act to clarify the LEA's role (which can be express or implied), this is constrained by the normal legal principle that statutory bodies are confined by their powers as set out in their founding legislation.


The LEA may therefore, at the request of any licensee or its consumer, resolve disputes between licensees themselves or between licensees and their consumers. It may elect to resolve these disputes by trying to mediate (bringing the disagreeing parties to agree on a solution to their dispute by themselves) or it may decide to arbitrate ( a legal process that determines which party is at fault).


The LEA Act makes it compulsory for the LEA to arbitrate or mediate in any matter. LEA has powers to decide what types of disputes fall within its responsibilities to resolve, and what types of disputes must be resolved elsewhere i.e. through the courts or some other legal avenue. The rules the LEA has put in place set out the way in which the LEA intends resolving disputes referred to it. For example, the procedure provides that:


Prior to accepting the responsibility of resolving a dispute, the LEA elects to mediate or arbitrate in the matter
If it decides to arbitrate, the LEA has to insist that the parties must agree to comply with the Dispute Rules
The Dispute Rules spell out the role of the LEA, the procedure (process) that the LEA wishes to follow in arbitrating in the matter, the rules of the arbitration, the effect of the LEA ruling (i.e. that it can be made an order of court that can be enforced) and how to deal with costs of the arbitration, and whether the successful party can recoup its costs from the unsuccessful party

The decisions of the LEA are not subject to direct appeal to the Minister (of Natural Resources) as the Authority does business on behalf of the Minister. But there are two instances where the LEA's decisions can be challenged. The first is where a decision of the LEA is taken on review to the High Court (e.g. where the LEA has failed to follow its own procedures, or acted outside of its powers). The second is where certain decisions of the LEA (related to licensing conditions) are disputed and hence are subject to arbitration at the discretion of the affected party.

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