Commonwealth Consolidated Acts Commonwealth Consolidated ActsScope
(1) This section applies if:
(a) an eligible offsets project is a sequestration offsets project to remove carbon dioxide from the atmosphere; and
(b) a number of Australian carbon credit units have been issued in relation to the project; and
(c) there has been a reversal of the removal; and
(d) the reversal is, under the regulations or the legislative rules, taken to be a significant reversal; and
(e) the reversal is not attributable to:
(i) natural disturbance; or
(ii) reasonable actions taken to reduce the risk of bushfire; or
(iii) conduct engaged in by a person (other than the project proponent for the project), where the conduct is not within the reasonable control of the project proponent; and
(f) if the relevant section 27 declaration has never been varied so as to add one or more project areas--the period that has passed since the first occasion on which an Australian carbon credit unit was issued in relation to the project in accordance with Part 2 is shorter than the permanence period for the project; and
(g) if the relevant section 27 declaration has been varied so as to add one or more project areas--the period that has passed since the last occasion on which the declaration was so varied is shorter than the permanence period for the project.
(2) The Regulator may, by written notice given to the project proponent for the project, require the project proponent to relinquish a specified number of Australian carbon credit units.
(3) The specified number must not exceed the net total number of Australian carbon credit units issued in relation to the project in accordance with Part 2.
(4) The project proponent must comply with the requirement within 90 days after the notice was given.
Note: An administrative penalty is payable under section 179 for non - compliance with a relinquishment requirement.