Australian Capital Territory Numbered Regulations Australian Capital Territory Numbered Regulations(1) This section applies if the scheme administrator imposes a condition on the accreditation of a person as an accredited abatement certificate provider requiring the person to provide a financial assurance to the scheme administrator to secure or guarantee the person's compliance with any order that may be made against the person under the Act, section 35.
(2) The amount of any financial assurance required by the scheme administrator is to be decided by the scheme administrator having regard to the following:
(a) the activities in relation to which the person is accredited or to be accredited;
(b) the number of abatement certificates that the person has created or is likely to create;
(c) the frequency of audits conducted or to be conducted in relation to the person;
(d) anything else the scheme administrator considers relevant.
(3) A financial assurance must be in the form the scheme administrator considers appropriate.
Example
a bank guarantee or bond
Note An example is part of the regulation, is not exhaustive and may extend, but does not limit, the meaning of the provision in which it appears (see Legislation Act, s 126 and s 132).
(4) A financial assurance provided to the scheme administrator may be claimed or realised by the scheme administrator only if—
(a) an order is made against the person under the Act, section 35; and
(b) the person who gave the financial assurance fails to comply with the order.
(5) The scheme administrator must give to the person who provided the financial assurance written notice of its intention to make a claim on or realise the financial assurance (or any part of it) at least 21 days before doing so.
(6) The maximum amount that the scheme administrator may claim or recover under the financial assurance is the compliance cost in relation to the person's failure to comply with the order under the Act, section 35.
(7) For this section, the compliance cost in relation to a person's failure to comply with an order under the Act, section 35 is to be decided by the scheme administrator by multiplying the number of certificates that the person failed to surrender in compliance with the order by the market value of those certificates when the financial assurance is claimed on or realised.
Division 3.5 Creation of abatement certificates