RENEWABLE ENERGY (ELECTRICITY) AMENDMENT BILL 2010

i Renewable Energy (Electricity) Amendment Bill 2010 No. , 2010

Contents

1 Short

title

...........................................................................................

2 Commencement

.................................................................................

3 Schedule(s)

........................................................................................

Schedule 1--Amendments

Part 1--Main amendments

Renewable Energy (Electricity) Act 2000

Part 2--Other amendments

Renewable Energy (Electricity) Act 2000

Schedule 2--Application, saving and transitional provisions

Part 1--Provisions relating to main amendments

Part 2--Provisions relating to other amendments

Part 3--Regulations

Part 4--Other matters

Renewable Energy (Electricity) Amendment Bill 2010 No. , 2010 1

A Bill for an Act to amend the Renewable Energy

(Electricity) Act 2000, and for related purposes

The Parliament of Australia enacts:

1 Short title

This Act may be cited as the Renewable Energy (Electricity)

Amendment Act 2010.

2 Commencement

(1) Each provision of this Act specified in column 1 of the table

commences, or is taken to have commenced, in accordance with

column 2 of the table. Any other statement in column 2 has effect

according to its terms.

2 Renewable Energy (Electricity) Amendment Bill 2010 No. , 2010

Commencement information

Column 1

Column 2

Column 3

Provision(s)

Commencement

Date/Details

1. Sections 1 to 3

and anything in

this Act not

elsewhere covered

by this table

The day this Act receives the Royal Assent.

2. Schedule 1,

Part 1

1 January 2011.

1 January 2011

3. Schedule 1,

Part 2

The day after this Act receives the Royal

Assent.

4. Schedule 2

The day after this Act receives the Royal

Assent.

Note:

This table relates only to the provisions of this Act as originally

passed by both Houses of the Parliament and assented to. It will not be

expanded to deal with provisions inserted in this Act after assent.

(2) Column 3 of the table contains additional information that is not

part of this Act. Information in this column may be added to or

edited in any published version of this Act.

3 Schedule(s)

Each Act that is specified in a Schedule to this Act is amended or

repealed as set out in the applicable items in the Schedule

concerned, and any other item in a Schedule to this Act has effect

according to its terms.

Amendments Schedule 1

Main amendments Part 1

Renewable Energy (Electricity) Amendment Bill 2010 No. , 2010 3

Schedule 1--Amendments

Part 1--Main amendments

Renewable Energy (Electricity) Act 2000

1 Subsection 5(1)

Insert:

additional surrender notice has the meaning given by section 45C.

2 Subsection 5(1)

Insert:

assessment year's reduced acquisitions has the meaning given by

section 38AA.

3 Subsection 5(1) (definition of certificate)

Omit "created under Division 4 of Part 2".

4 Subsection 5(1)

Insert:

clearing house has the meaning given by section 30J.

5 Subsection 5(1)

Insert:

clearing house transfer list has the meaning given by subsection

30L(2).

6 Subsection 5(1)

Insert:

first quarter has the meaning given by section 38AA.

7 Subsection 5(1)

Insert:

fourth quarter has the meaning given by section 38AA.

Schedule 1 Amendments

Part 1 Main amendments

4 Renewable Energy (Electricity) Amendment Bill 2010 No. , 2010

8 Subsection 5(1)

Insert:

GST has the same meaning as in the A New Tax System (Goods

and Services Tax) Act 1999 (including as provided by

section 177-1 of that Act).

Note:

Section 177-1 of the A New Tax System (Goods and Services Tax) Act

1999 provides for the Commonwealth's notional liability to pay GST.

9 Subsection 5(1)

Insert:

large-scale generation certificate means a certificate created under

Subdivision A of Division 4 of Part 2.

Note:

These certificates relate to generation of electricity by accredited

power stations.

10 Subsection 5(1)

Insert:

large-scale generation shortfall has the meaning given by

section 38.

11 Subsection 5(1)

Insert:

large-scale generation shortfall charge has the meaning given by

section 36.

12 Subsection 5(1)

Insert:

large-scale generation shortfall statement has the meaning given

by section 46.

13 Subsection 5(1) (definition of partial exemption)

Omit "renewable energy certificate shortfall for the year under

section 38", substitute "large-scale generation shortfall or small-scale

technology shortfall for the year".

14 Subsection 5(1)

Amendments Schedule 1

Main amendments Part 1

Renewable Energy (Electricity) Amendment Bill 2010 No. , 2010 5

Insert:

previous year's reduced acquisitions has the meaning given by

section 38AA.

Note:

See also sections 38AF, 38AG and 38AH.

15 Subsection 5(1)

Insert:

quarter has the meaning given by section 38AA.

16 Subsection 5(1)

Insert:

quarterly shortfall has the meaning given by section 38AE.

17 Subsection 5(1)

Insert:

quarterly surplus has the meaning given by section 38AE.

18 Subsection 5(1)

Insert:

register of large-scale generation certificates has the meaning

given by section 140.

19 Subsection 5(1) (definition of register of renewable energy

certificates)

Repeal the definition.

20 Subsection 5(1)

Insert:

register of small-scale technology certificates has the meaning

given by section 141AA.

21 Subsection 5(1) (definition of renewable energy certificate)

Repeal the definition, substitute:

renewable energy certificate means a large-scale generation

certificate or a small-scale technology certificate.

Schedule 1 Amendments

Part 1 Main amendments

6 Renewable Energy (Electricity) Amendment Bill 2010 No. , 2010

22 Subsection 5(1) (definition of renewable energy certificate

shortfall)

Repeal the definition.

23 Subsection 5(1) (definition of renewable energy shortfall

charge)

Repeal the definition, substitute:

renewable energy shortfall charge means large-scale generation

shortfall charge or small-scale technology shortfall charge.

24 Subsection 5(1) (definition of renewable energy shortfall

statement)

Repeal the definition, substitute:

renewable energy shortfall statement means a large-scale

generation shortfall statement or a small-scale technology shortfall

statement.

25 Subsection 5(1)

Insert:

required large-scale renewable energy has the meaning given by

section 38.

26 Subsection 5(1) (definition of required renewable energy)

Repeal the definition.

27 Subsection 5(1)

Insert:

required surrender amount has the meaning given by

section 38AE.

28 Subsection 5(1)

Insert:

second quarter has the meaning given by section 38AA.

29 Subsection 5(1)

Insert:

Amendments Schedule 1

Main amendments Part 1

Renewable Energy (Electricity) Amendment Bill 2010 No. , 2010 7

small-scale technology certificate means a certificate created

under Subdivision B or BA of Division 4 of Part 2 or under

section 30P.

Note 1:

Certificates created under Subdivision B or BA of Division 4 of Part 2

relate to the installation of solar water heaters and small generation

units.

Note 2:

Certificates created under section 30P are created by the Regulator for

purchase through the clearing house.

30 Subsection 5(1)

Insert:

small-scale technology percentage has the meaning given by

section 40A.

31 Subsection 5(1)

Insert:

small-scale technology shortfall has the meaning given by

section 38AD.

32 Subsection 5(1)

Insert:

small-scale technology shortfall charge has the meaning given by

section 38AB.

33 Subsection 5(1)

Insert:

small-scale technology shortfall statement has the meaning given

by section 46.

34 Subsection 5(1)

Insert:

surrendered amount has the meaning given by section 38AE.

35 Subsection 5(1)

Insert:

surrender instrument has the meaning given by subsection 45(1).

Schedule 1 Amendments

Part 1 Main amendments

8 Renewable Energy (Electricity) Amendment Bill 2010 No. , 2010

36 Subsection 5(1)

Insert:

surrender period has the meaning given by section 38AA.

37 Subsection 5(1)

Insert:

taxable supply has the same meaning as in the A New Tax System

(Goods and Services Tax) Act 1999 (including as provided by

section 177-1 of that Act).

Note:

Section 177-1 of the A New Tax System (Goods and Services Tax) Act

1999 provides for the Commonwealth's notional liability to pay GST.

38 Subsection 5(1)

Insert:

third quarter has the meaning given by section 38AA.

39 Section 8

After:

This Part deals with the creation, trading and extinguishing of

renewable energy certificates.

Insert:

There are 2 types of renewable energy certificates:

(a)

large-scale generation certificates, which are

created in relation to the generation of electricity

by accredited power stations; and

(b)

small-scale technology certificates, which are

created in relation to the installation of solar water

heaters and small generation units.

40 At the end of section 8

Add:

Amendments Schedule 1

Main amendments Part 1

Renewable Energy (Electricity) Amendment Bill 2010 No. , 2010 9

See also Part 2A (clearing house for small-scale technology

certificates), which:

(a)

provides a clearing house facility for the transfer of

small-scale technology certificates; and

(b)

gives the Regulator a limited power to create or

cancel small-scale technology certificates.

41 Division 4 of Part 2 (heading)

Repeal the heading, substitute:

Division 4--Creation of renewable energy certificates

Subdivision AA--Preliminary

17B Overview of Division

This Division deals with the creation of certificates, known as

renewable energy certificates.

There are 2 types of renewable energy certificates:

(a)

large-scale generation certificates, which are

created in relation to the generation of electricity

by accredited power stations (see Subdivision A);

and

(b)

small-scale technology certificates, which are

created in relation to the installation of solar water

heaters and small generation units (see

Subdivisions B and BA).

Small-scale technology certificates can also be created by the

Regulator under Part 2A (clearing house for small-scale technology

certificates).

Subdivision B requires people who create certificates under

Subdivision B or BA to submit returns relating to the creation of

the certificates.

Schedule 1 Amendments

Part 1 Main amendments

10 Renewable Energy (Electricity) Amendment Bill 2010 No. , 2010

Subdivision C contains offence and civil penalty provisions

relating to the improper creation of certificates.

42 Subdivision A of Division 4 of Part 2 (heading)

Repeal the heading, substitute:

Subdivision A--Large-scale generation certificates for

accredited power stations

17C Large-scale generation certificates

Certificates created under this Subdivision are large-scale

generation certificates.

43 Subdivision B of Division 4 of Part 2 (heading)

Repeal the heading, substitute:

Subdivision B--Small-scale technology certificates for solar

water heaters

20B Small-scale technology certificates

Certificates created under this Subdivision are small-scale

technology certificates.

44 Subdivision BA of Division 4 of Part 2 (heading)

Repeal the heading, substitute:

Subdivision BA--Small-scale technology certificates for small

generation units

23AB Small-scale technology certificates

Certificates created under this Subdivision are small-scale

technology certificates.

45 Subsection 25(1)

Omit "Certificates under Subdivision A of Division 4", substitute

"Large-scale generation certificates".

Amendments Schedule 1

Main amendments Part 1

Renewable Energy (Electricity) Amendment Bill 2010 No. , 2010 11

Note:

The heading to section 25 is replaced by the heading "Form and content of large-scale

generation certificates".

46 Subsection 25A(1)

Omit "Certificates under Subdivision B or BA of Division 4", substitute

"Small-scale technology certificates.

Note:

The heading to section 25A is replaced by the heading "Form and content of

small-scale technology certificates".

47 Paragraph 25A(2)(f)

Repeal the paragraph, substitute:

(f) a statement that the certificate was created in relation to a

solar water heater, or that it was created in relation to a small

generation unit (as appropriate); and

48 At the end of section 25A

Add:

(3) This section does not apply in relation to a small-scale technology

certificate created by the Regulator under section 30P.

49 Subsection 26(4)

Omit "register of renewable energy certificates", substitute "register of

large-scale generation certificates or the register of small-scale

technology certificates (as appropriate)".

50 At the end of section 26

Add:

(7) This section does not apply in relation to a small-scale technology

certificate created by the Regulator under section 30P.

51 Section 27

After "26", insert "or subsection 30P(3)".

52 At the end of section 27

Add:

Note:

Subsection 30P(3) deals with registration of small-scale technology

certificates created by the Regulator for purchase through the clearing

house.

Schedule 1 Amendments

Part 1 Main amendments

12 Renewable Energy (Electricity) Amendment Bill 2010 No. , 2010

53 At the end of section 28

Add:

(4) This section does not apply in relation to a transfer of a small-scale

technology certificate by or to the Regulator under subsection

30N(2) or 30P(4).

54 Section 28A (notes 1 and 2)

Repeal the notes, substitute:

Note 1:

The name of the current registered owner of each certificate is in the

small-scale technology certificates (as appropriate).

Note 2:

Certificates can also be surrendered:

(a) under Subdivision A of Division 1 of Part 5; or

(b) if they are large-scale generation certificates--under section 95.

55 Subsection 29(1)

Omit "44 or", substitute "Subdivision A of Division 1 of Part 5, or

section".

56 Paragraphs 30D(1)(d) and (3)(b)

Omit "certificates", substitute "large-scale generation certificates".

57 Subsection 30D(6)

Omit "certificates", substitute "large-scale generation certificates".

58 After Part 2

Insert:

Amendments Schedule 1

Main amendments Part 1

Renewable Energy (Electricity) Amendment Bill 2010 No. , 2010 13

Part 2A--Clearing house for small-scale technology

certificates

Division 1--Preliminary

30H Overview of Part

This Part provides for the Regulator to establish and operate a

clearing house for the transfer of small-scale technology

certificates.

Division 2--Regulator to establish and operate clearing

house

30J Regulator to establish and operate clearing house

The Regulator is to establish and operate a facility (the clearing

house) for the transfer of small-scale technology certificates in

accordance with this Part.

Division 3--Entering certificates into the clearing house

30K Application for certificate to be entered into the clearing house

(1) A person who:

(a) is the registered owner of a small-scale technology

certificate; or

(b)

has

both:

(i) created a small-scale technology certificate; and

(ii) advised the Regulator of the creation of the certificate

under subsection 26(2);

may apply to the Regulator for the certificate to be entered into the

clearing house.

(2) The application must:

(a) be in writing; and

(b) be in a form approved, in writing, by the Regulator; and

Schedule 1 Amendments

Part 1 Main amendments

14 Renewable Energy (Electricity) Amendment Bill 2010 No. , 2010

regulations; and

(d) be accompanied by any documents required by the

regulations.

30L Regulator to enter certificate into the clearing house

(1)

If:

(a) an application is made in accordance with section 30K in

relation to a small-scale technology certificate; and

(b) the certificate is or becomes registered in the register of

small-scale technology certificates;

the Regulator must enter the certificate into the clearing house by

including the certificate on the clearing house transfer list in

accordance with the regulations.

(2)

The

clearing house transfer list is a list, maintained by the

Regulator in accordance with the regulations, of the certificates

that are available for transfer through the clearing house. The list

must be maintained so that:

(a) subject to paragraph (b), certificates are included on the list

in the order in which applications relating to the certificates

are received (with the certificates to which the most recent

applications relate at the bottom of the list); and

(b) if a certificate to which an application relates does not

become registered until after the application was received,

paragraph (a) applies as if the application was received when

the certificate was registered; and

(i) the certificate is withdrawn from the clearing house; or

(ii) the certificate is transferred under section 30N; or

(iii) the certificate is cancelled under section 30P.

Note:

Regulations under section 30U may allow the Regulator to remove

certificates from the list in other circumstances.

(3) If the Regulator includes a certificate on the clearing house transfer

list, the Regulator must:

(a) alter the register of small-scale technology certificates to

show that the certificate is in the clearing house; and

(b) take such other steps as are prescribed by the regulations.

Amendments Schedule 1

Main amendments Part 1

Renewable Energy (Electricity) Amendment Bill 2010 No. , 2010 15

(4) While a certificate is on the clearing house transfer list, the

certificate may still be transferred by its registered owner to

another person otherwise than under this Part. Despite that transfer,

the certificate will remain on the clearing house transfer list, and

may be dealt with under this Part, unless the new registered owner

withdraws the certificate from the clearing house.

Note:

See also sections 27 (certificates may be transferred) and 28

(Regulator to be notified of transfer).

(5) The clearing house transfer list is not a legislative instrument.

Division 4--Purchase of certificates through the clearing

house

30M Application for purchase of certificate through the clearing

house

(1) Subject to subsection (2), a person may apply to the Regulator to

purchase a small-scale technology certificate.

(2) The regulations may provide that certain persons are not entitled

(either generally or in particular circumstances) to make an

application.

(3) An application must:

(a) be in writing; and

(b) be in a form approved, in writing, by the Regulator; and

(d) be accompanied by any fee required by the regulations.

30N If there is a certificate on the clearing house transfer list--

Regulator to transfer certificate

Scope

(1) This section applies if:

(a) a person (the purchaser) has made an application in

accordance with section 30M to purchase a small-scale

technology certificate; and

(b) there is a small-scale technology certificate on the clearing

house transfer list.

Schedule 1 Amendments

Part 1 Main amendments

16 Renewable Energy (Electricity) Amendment Bill 2010 No. , 2010

Regulator to transfer certificate at top of clearing house transfer

list

(2) The Regulator must transfer the certificate that is at the top of the

clearing house transfer list to the purchaser on behalf of the person

(the seller) who, immediately before the transfer, was the

registered owner of that certificate.

(3) If the Regulator transfers a certificate under subsection (2), the

Regulator must, as soon as practicable:

(a) give the purchaser notice in writing of the transfer; and

(b) pay the seller the amount specified in subsection (4); and

show the purchaser as the owner of the certificate.

(4) For the purposes of paragraph (3)(b), the amount is:

(a) if the transfer of the certificate is a taxable supply by the

seller to the purchaser--$44; or

(b) if the transfer of the certificate is not a taxable supply by the

seller to the purchaser--$40.

(5) Ownership of the certificate transfers to the purchaser when the

accordance with paragraph (3)(c).

30P If there is no certificate on the clearing house transfer list--

Regulator to create certificate

Scope

(1) This section applies if:

(a) a person (the purchaser) has made an application in

accordance with section 30M to purchase a small-scale

technology certificate; and

(b) there is no small-scale technology certificate on the clearing

house transfer list.

Regulator to create certificate

(2) The Regulator must create a small-scale technology certificate for

the purchaser.

(3) If the Regulator creates a certificate under subsection (2):

Amendments Schedule 1

Main amendments Part 1

Renewable Energy (Electricity) Amendment Bill 2010 No. , 2010 17

(a) the certificate is valid; and

(b) the Regulator must, as soon as practicable:

(i) give the purchaser notice in writing of the creation of

the certificate; and

(ii) create an entry for the certificate in the register of

small-scale technology certificates and record the

purchaser as the owner of the certificate.

Cancellation of next certificate included on clearing house transfer

list

(4) If a certificate is created under subsection (2), the following

provisions apply:

(a) the next small-scale technology certificate (the transferred

certificate) that is included on the clearing house transfer list

is, immediately after being so included, taken to be

transferred to the Regulator by the person (the seller) who

was its registered owner immediately before it was included

on the list;

(b) the Regulator must, as soon as practicable:

(i) cancel the transferred certificate; and

(ii) pay the seller the amount specified in subsection (5);

and

(iii) alter the entry relating to the transferred certificate in the

that the transferred certificate is no longer valid.

(5) For the purposes of subparagraph (4)(b)(ii), the amount is:

(a) if the transfer to the Regulator of the transferred certificate

constitutes a taxable supply by the seller to the Regulator--

$44; or

(b) if the transfer to the Regulator of the transferred certificate

does not constitute a taxable supply by the seller to the

Regulator--$40.

30Q Form and content of certificates created by the Regulator

(1) Certificates created by the Regulator under subsection 30P(2) are

to be created in an electronic form approved in writing by the

Regulator.

Schedule 1 Amendments

Part 1 Main amendments

18 Renewable Energy (Electricity) Amendment Bill 2010 No. , 2010

(2) Each certificate is to contain:

(a) the year; and

(b) a statement to the effect that the certificate was created by the

Regulator under section 30P; and

certificates created by the Regulator in that year and that

starts at one and has increments of one; and

(d) the date on which the certificate was created.

Division 5--Renewable Energy Special Account

30R Renewable Energy Special Account

(1) The Renewable Energy Special Account is established by this

section.

(2) The Renewable Energy Special Account is a Special Account for

the purposes of the Financial Management and Accountability Act

1997.

30S Credits to the Renewable Energy Special Account

There must be credited to the Renewable Energy Special Account

amounts equal to amounts received by the Regulator under

paragraph 30M(3)(c) in relation to the purchase of certificates.

Note:

An Appropriation Act may contain a provision to the effect that, if any

of the purposes of a Special Account is a purpose that is covered by an

item in the Appropriation Act (whether or not the item expressly refers

to the Special Account), then amounts may be debited against the

appropriation for that item and credited to that Special Account.

30T Purposes of the Renewable Energy Special Account

The purposes of the Renewable Energy Special Account are as

follows:

(a) paying amounts under paragraph 30N(3)(b) in relation to the

transfer of certificates;

(b) paying amounts under subparagraph 30P(4)(b)(ii) in relation

to the transfer of certificates;

paragraph 30U(2)(i);

Amendments Schedule 1

Main amendments Part 1

Renewable Energy (Electricity) Amendment Bill 2010 No. , 2010 19

(d) paying amounts of GST for which the Regulator is liable

because of the creation of certificates for purchasers under

section 30P.

Note:

See section 21 of the Financial Management and Accountability Act

1997 (debits from Special Accounts).

Division 6--Other matters

30U Regulations about the operation of the clearing house

(1) The regulations may prescribe the policies, procedures and rules

that apply in relation to the establishment and operation of the

clearing house.

(2) In particular, the regulations may deal with any or all of the

following matters:

(a) the time when applications may be made;

(b) the time within which, and the manner by which, applications

must be dealt with;

(d) the circumstances in which the Regulator may remove a

certificate from the clearing house transfer list other than

under paragraph 30L(2)(c);

(e) the timing and methods of payment of amounts;

(f) the publication of information about the clearing house,

including publication of the clearing house transfer list;

(g) the keeping of records by the Regulator in relation to the

operation of the clearing house;

(h) the fees that are payable in relation to matters connected with

the clearing house (including matters connected with the

Regulator's powers and functions in relation to the clearing

house and the clearing house transfer list);

(i) the payment of refunds in the following circumstances:

(i) a small-scale technology certificate is transferred to a

purchaser under section 30N but the transfer is not a

taxable supply by the seller to the purchaser;

(ii) a small-scale technology certificate is created for a

purchaser under section 30P but the creation of the

certificate is not a taxable supply by the Regulator to the

purchaser.

Schedule 1 Amendments

Part 1 Main amendments

20 Renewable Energy (Electricity) Amendment Bill 2010 No. , 2010

59 Before Division 1 of Part 4

Insert:

Division 1AA--Preliminary

34A Overview of Part

This Part deals with liability to renewable energy shortfall charge.

Subdivision A of Division 1 defines who is a liable entity.

There are 2 types of renewable energy shortfall charge:

(a)

large-scale generation shortfall charge (see

Subdivision B of Division 1), which is calculated

by reference to a liable entity's relevant

acquisitions of electricity, its partial exemptions,

the number of large-scale generation certificates it

surrenders and the renewable energy power

percentage; and

(b)

small-scale technology shortfall charge (see

Subdivision C of Division 1), which is calculated

by reference to a liable entity's relevant

acquisitions of electricity, its partial exemptions,

the number of small-scale technology certificates it

surrenders and the small-scale technology

percentage.

Division 1A deals with the determination of the amount (if any) of

a liable entity's partial exemption from charge.

Division 2 deals with the renewable power percentage for

large-scale generation shortfall charge.

Division 2A deals with the small-scale technology percentage for

small-scale technology charge.

Division 3 deals with other matters related to renewable energy

shortfall charge.

Amendments Schedule 1

Main amendments Part 1

Renewable Energy (Electricity) Amendment Bill 2010 No. , 2010 21

60 Before section 35

Insert:

Subdivision A--Liable entities

61 Sections 36 to 38

Repeal the sections, substitute:

Subdivision B--Large-scale generation shortfall charge

36 Large-scale generation shortfall charge payable by liable entity

(1) Subject to subsection (2), if a liable entity has a large-scale

generation shortfall for a year, large-scale generation shortfall

charge is payable in respect of the shortfall.

(2) No large-scale generation shortfall charge is payable by a liable

entity for a year if its large-scale generation shortfall for the year is

less than 10% of the liable entity's required large-scale renewable

energy for the year. However, the large-scale generation shortfall

becomes a carried forward shortfall for the year.

(3) Large-scale generation shortfall charge imposed in respect of a

liable entity's large-scale generation shortfall for a year is payable

by the liable entity.

Note:

Large-scale generation shortfall charge is imposed by the Renewable

Energy (Electricity) (Large-scale Generation Shortfall Charge) Act

2000.

37 Amount of charge

The amount of large-scale generation shortfall charge payable by a

liable entity is worked out using the formula:

Large-scale generation shortfall

Rate of charge

�

where:

rate of charge is the rate of charge as specified in section 6 of the

Renewable Energy (Electricity) (Large-scale Generation Shortfall

Charge) Act 2000.

Schedule 1 Amendments

Part 1 Main amendments

22 Renewable Energy (Electricity) Amendment Bill 2010 No. , 2010

38 Determination of large-scale generation shortfall

The following method statement shows how to work out a liable

entity's large-scale generation shortfall for a year:

Method statement

Step 1. Work out the total amount, in MWh, of electricity

acquired by the liable entity during the year under

relevant acquisitions.

Step 2. Subtract from the total electricity acquired the amount of

the liable entity's partial exemption for the year.

Step 3. Multiply the result of step 2 by the renewable power

percentage for the year and round the result to the nearest

MWh (rounding 0.5 upwards). Add to the result any

carried forward shortfall from the previous year or

subtract any carried forward surplus for the previous

year. The result is the liable entity's required large-scale

renewable energy for the year.

Step 4. Subtract the total value, in MWh, of large-scale

generation certificates surrendered for that year, under

Subdivision A of Division 1 of Part 5, by the liable entity

from the required large-scale renewable energy for the

year.

Result: If the result is greater than zero, the liable entity has a

large-scale generation shortfall for the year equal to the

result.

If the result is zero, the liable entity does not have a

large-scale generation shortfall for the year.

If the result is less than zero, the liable entity has a

carried forward surplus for the year equal to the result

(expressed as a positive).

Amendments Schedule 1

Main amendments Part 1

Renewable Energy (Electricity) Amendment Bill 2010 No. , 2010 23

Subdivision C--Small-scale technology shortfall charge

38AA Interpretive provisions relating to liability for small-scale

technology shortfall charge etc.

(1) This section defines expressions that are used in provisions that

deal with the determination of a liable entity's liability to

small-scale technology shortfall charge for a year (the assessment

year), and related matters.

Assessment year's reduced acquisitions

(2)

The

assessment year's reduced acquisitions is the amount worked

out by subtracting the amount of the liable entity's partial

exemption (if any) for the assessment year from the total amount,

in MWh, of electricity acquired during the assessment year by the

liable entity under relevant acquisitions.

Previous year's reduced acquisitions

(3)

The

previous year's reduced acquisitions is the amount worked

out by subtracting the amount of the liable entity's partial

exemption (if any) for the previous year from the amount, in MWh,

of electricity acquired by the liable entity during the previous year

under relevant acquisitions.

(4) For the purpose of subsection (3):

(a) the amount, in MWh, of electricity acquired during the

previous year by the liable entity under relevant acquisitions

is taken to be the amount stated as having been so acquired in

the liable entity's energy acquisition statement for the

previous year (taking account of any amendments to that

statement that were made before 1 April in the assessment

year); and

(b) the amount of the liable entity's partial exemption for the

previous year is taken to be the total amount of partial

exemption claimed in the liable entity's energy acquisition

statement for the previous year (taking account of any

amendments to that statement that were made before 1 April

in the assessment year); and

acquisition statement for the previous year before 1 April in

Schedule 1 Amendments

Part 1 Main amendments

24 Renewable Energy (Electricity) Amendment Bill 2010 No. , 2010

the assessment year, the liable entity is taken not to have any

previous year's reduced acquisitions.

Note:

If paragraph (4)(c) applies, the liable entity may make an application

under section 38AG to have an amount apply as if it were the previous

year's reduced acquisitions. If the entity does not do so, the default

rule in section 38AH will apply.

The quarters of a year

(5) Each year consists of quarters as follows:

(a) January, February and March in the year (the first quarter);

(b) April, May and June in the year (the second quarter);

(d) October, November and December in the year (the fourth

quarter).

The surrender period for a quarter

(6)

The

surrender period for a quarter of a year is as follows

(inclusive of the specified dates):

(a) for the first quarter--the period from 15 February to 28 April

in the year;

(b) for the second quarter--the period from 29 April to 28 July

in the year;

(d) for the fourth quarter--the period from 29 October in the

year to the time by which the liable entity is required to lodge

an energy acquisition statement for the year.

Note:

The period described in paragraph (6)(d) will end on 14 February in

the next year, unless the Regulator allows a later day under paragraph

44(1)(b).

(7) Section 36 of the Acts Interpretation Act 1901 does not affect the

time when the surrender period for the first, second or third quarter

of a year ends.

Amendments Schedule 1

Main amendments Part 1

Renewable Energy (Electricity) Amendment Bill 2010 No. , 2010 25

38AB Small-scale technology shortfall charge payable by liable

entity

(1) If a liable entity has a small-scale technology shortfall for a year,

small-scale technology shortfall charge is payable in respect of

the shortfall.

(2) Small-scale technology shortfall charge imposed in respect of a

liable entity's small-scale technology shortfall for a year is payable

by the liable entity.

Note:

Small-scale technology shortfall charge is imposed by the Renewable

Energy (Electricity) (Small-scale Technology Shortfall Charge) Act

2010.

38AC Amount of charge

The amount of small-scale technology shortfall charge payable by

a liable entity is worked out using the formula:

Small-scale technology shortfall

Rate of charge

�

where:

rate of charge is the rate of charge as specified in section 6 of the

Renewable Energy (Electricity) (Small-scale Technology Shortfall

Charge) Act 2010.

38AD Determination of small-scale technology shortfall

(1) A liable entity's small-scale technology shortfall for a year is to be

worked out by adding together the quarterly shortfalls (if any)

calculated in relation to the entity for the quarters of the year under

section 38AE.

(2) If the result is a positive amount, the liable entity has a small-scale

technology shortfall for the year equal to the result.

(3) If the result is zero, the liable entity does not have a small-scale

technology shortfall for the year.

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26 Renewable Energy (Electricity) Amendment Bill 2010 No. , 2010

38AE Quarterly shortfalls for the quarters of a year

First quarter of year

(1) The following method statement shows how to work out a liable

entity's quarterly shortfall for the first quarter of a year (the

assessment year).

Method statement

Step 1. Work out 35% of the previous year's reduced

acquisitions. Multiply this by the small-scale technology

percentage for the assessment year and round the result to

the nearest MWh (rounding 0.5 upwards). The result is

the required surrender amount.

Step 2. Add together:

(a)

the total value, in MWh, of small-scale technology

certificates surrendered, under Subdivision A of

Division 1 of Part 5, by the liable entity during the

surrender period for the first quarter; and

(b)

the amount of any quarterly surplus that the liable

entity has for the fourth quarter of the previous

year.

The result is the surrendered amount.

Step 3. Subtract the surrendered amount from the required

surrender amount.

Result: If the result is greater than zero, the liable entity has a

quarterly shortfall for the first quarter of the assessment

year equal to the result.

If the result is zero, the liable entity does not have a

quarterly shortfall for the first quarter of the assessment

year.

Amendments Schedule 1

Main amendments Part 1

Renewable Energy (Electricity) Amendment Bill 2010 No. , 2010 27

If the result is less than zero, the liable entity has a

quarterly surplus for the first quarter of the assessment

year equal to the result (expressed as a positive).

Second quarter of the assessment year

(2) The following method statement shows how to work out a liable

entity's quarterly shortfall for the second quarter of the assessment

year.

Method statement

Step 1. Work out 25% of the previous year's reduced

acquisitions. Multiply this by the small-scale technology

percentage for the assessment year and round the result to

the nearest MWh (rounding 0.5 upwards). The result is

the required surrender amount.

Step 2. Add together:

(a)

the total value, in MWh, of small-scale technology

certificates surrendered, under Subdivision A of

Division 1 of Part 5, by the liable entity during the

surrender period for the second quarter; and

(b)

the amount of any quarterly surplus that the liable

entity has for the first quarter of the assessment

year.

The result is the surrendered amount.

Step 3. Subtract the surrendered amount from the required

surrender amount.

Result: If the result is greater than zero, the liable entity has a

quarterly shortfall for the second quarter of the

assessment year equal to the result.

If the result is zero, the liable entity does not have a

quarterly shortfall for the second quarter of the

assessment year.

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Part 1 Main amendments

28 Renewable Energy (Electricity) Amendment Bill 2010 No. , 2010

If the result is less than zero, the liable entity has a

quarterly surplus for the second quarter of the

assessment year equal to the result (expressed as a

positive).

Third quarter of the assessment year

(3) The following method statement shows how to work out a liable

entity's quarterly shortfall for the third quarter of the assessment

year.

Method statement

Step 1. Work out 25% of the previous year's reduced

acquisitions. Multiply this by the small-scale technology

percentage for the assessment year and round the result to

the nearest MWh (rounding 0.5 upwards). The result is

the required surrender amount.

Step 2. Add together:

(a)

the total value, in MWh, of small-scale technology

certificates surrendered, under Subdivision A of

Division 1 of Part 5, by the liable entity during the

surrender period for the third quarter; and

(b)

the amount of any quarterly surplus that the liable

entity has for the second quarter of the assessment

year.

The result is the surrendered amount.

Step 3. Subtract the surrendered amount from the required

surrender amount.

Result: If the result is greater than zero, the liable entity has a

quarterly shortfall for the third quarter of the assessment

year equal to the result.

Amendments Schedule 1

Main amendments Part 1

Renewable Energy (Electricity) Amendment Bill 2010 No. , 2010 29

If the result is zero, the liable entity does not have a

quarterly shortfall for the third quarter of the assessment

year.

If the result is less than zero, the liable entity has a

quarterly surplus for the third quarter of the assessment

year equal to the result (expressed as a positive).

Fourth quarter of the assessment year

(4) The following method statement shows how to work out a liable

entity's quarterly shortfall for the fourth quarter of the assessment

year.

Method statement

Step 1. Work out the assessment year's reduced acquisitions.

Multiply this by the small-scale technology percentage

for the assessment year and round the result to the nearest

MWh (rounding 0.5 upwards).

Step 2. Subtract from the amount worked out under step 1 the

total of the required surrender amounts for the first,

second and third quarters of the assessment year. The

result (which may be less than zero) is the required

surrender amount.

Step 3. Add together:

(a)

the total value, in MWh, of small-scale technology

certificates surrendered, under Subdivision A of

Division 1 of Part 5, by the liable entity during the

surrender period for the fourth quarter; and

(b)

the amount of any quarterly surplus that the liable

entity has for the third quarter of the assessment

year.

The result is the surrendered amount.

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Part 1 Main amendments

30 Renewable Energy (Electricity) Amendment Bill 2010 No. , 2010

Step 4. If the required surrender amount is zero or greater,

subtract the surrendered amount from the required

surrender amount.

Result: If the result is greater than zero, the liable entity has a

quarterly shortfall for the fourth quarter of the

assessment year equal to the result.

If the result is zero, the liable entity does not have a

quarterly shortfall for the fourth quarter of the assessment

year.

If the result is less than zero, the liable entity has a

quarterly surplus for the fourth quarter of the assessment

year equal to the result (expressed as a positive amount).

Step 5. If the required surrender amount is less than zero, add

together that amount (expressed as a positive) to the

surrendered amount.

Result: The liable entity has a quarterly surplus for the fourth

quarter of the assessment year equal to the result.

38AF Energy acquisition statement lodged for previous year:

application to have amount apply instead of previous

year's reduced acquisitions

(1) If the liable entity lodged an energy acquisition statement for the

previous year before 1 April in the assessment year, the liable

entity may apply to the Regulator to have an amount (the proposed

amount) apply instead of the previous year's reduced acquisitions

for the purpose of applying section 38AE to the assessment year.

(2) The application must:

(a) specify the proposed amount; and

(b) be made before 1 October in the assessment year.

Note:

For other provisions relating to the making of applications, see

section 38AI.

(3) The Regulator must consider the application and must, in writing:

Amendments Schedule 1

Main amendments Part 1

Renewable Energy (Electricity) Amendment Bill 2010 No. , 2010 31

(a) determine that the proposed amount, or a different amount, is

to apply instead of the amount of the previous year's reduced

acquisitions; or

(b) refuse to make such a determination.

(4) A determination under subsection (3) is not a legislative

instrument.

(5) In relation to the Regulator's power to determine an amount that is

different from the proposed amount:

(a) a different amount determined by the Regulator must not be

less than the proposed amount and must not exceed the

previous year's reduced acquisitions; and

(b) before determining a different amount, the Regulator must:

(i) invite the liable entity to comment on the amount that

the Regulator proposes to determine; and

(ii) consider the liable entity's comments (if any).

(6) If the Regulator determines an amount under paragraph (3)(a) then,

subject to subsection (7), section 38AE applies to the entity and the

assessment year as if the amount determined were the previous

year's reduced acquisitions.

(7) If the assessment year's reduced acquisitions exceed the amount

determined by more than the prescribed percentage of the amount

determined, then:

(a) subsection (6) does not apply; and

(b) references in section 38AE to the previous year's reduced

acquisitions are instead taken to be references to the

assessment year's reduced acquisitions.

For this purpose, the prescribed percentage is the percentage

prescribed by the regulations for the purpose of this subsection.

(8) The Regulator must give the liable entity written notice of the

Regulator's decision in relation to the application.

(9) The Regulator must comply with any requirements prescribed by

the regulations in relation to the exercise of the Regulator's

functions or powers under this section.

Schedule 1 Amendments

Part 1 Main amendments

32 Renewable Energy (Electricity) Amendment Bill 2010 No. , 2010

38AG No energy acquisition statement lodged for previous year:

application to have amount apply as if it were previous

year's reduced acquisitions

(1) If, for any reason, the liable entity did not lodge an energy

acquisition statement for the previous year before 1 April in the

assessment year, the liable entity may apply to the Regulator to

have an amount (the proposed amount) apply as if it were the

previous year's reduced acquisitions for the purpose of applying

subsection 38AE(1), (2) or (3) to a quarter (the relevant quarter) of

the assessment year.

Note 1:

Different amounts may be proposed by the liable entity, and different

amounts may be determined by the Regulator, in relation to different

quarters of the assessment year.

Note 2:

If the liable entity does not make an application under this section, the

default rule in section 38AH will apply.

(2) The application must:

(a) specify the proposed amount for the relevant quarter; and

(b) be made before the end of the assessment year.

Note:

For other provisions relating to the making of applications, see

section 38AI.

(3) The Regulator must consider the application and must, in writing:

(a) determine that the proposed amount, or a different amount, is

to apply for the relevant quarter as if it were the previous

year's reduced acquisitions; or

(b) refuse to make such a determination.

(4) A determination under subsection (3) is not a legislative

instrument.

(5) In relation to the Regulator's power to determine an amount that is

different from the proposed amount for the relevant quarter:

(a) a different amount determined by the Regulator must not be

less than the proposed amount; and

(b) before determining a different amount, the Regulator must:

(i) invite the liable entity to comment on the amount that

the Regulator proposes to determine; and

(ii) consider the liable entity's comments (if any).

Amendments Schedule 1

Main amendments Part 1

Renewable Energy (Electricity) Amendment Bill 2010 No. , 2010 33

(6) If the Regulator determines an amount for the relevant quarter

under paragraph (3)(a), then subsection 38AE(1), (2) or (3) (as the

case requires) applies to the relevant quarter as if the amount

determined were the previous year's reduced acquisitions.

(7) The Regulator must give the liable entity written notice of the

Regulator's decision in relation to the application.

(8) The Regulator must comply with any requirements prescribed by

the regulations in relation to the exercise of the Regulator's

functions or powers under this section.

38AH No energy acquisition statement lodged for previous year:

default rule

(1) This section applies, in relation to the first, second or third quarter

(the relevant quarter) of the assessment year, if:

(a) for any reason, the liable entity did not lodge an energy

acquisition statement for the previous year before 1 April in

the assessment year; and

(b)

either:

(i) the liable entity did not make an application under

section 38AG before the end of the assessment year in

relation to the relevant quarter; or

(ii) the liable entity made such an application in relation to

the relevant quarter, but the Regulator refused to make a

determination under paragraph 38AG(3)(a) in relation to

that quarter.

(2) If this section applies, then subsection 38AE(1), (2) or (3) (as the

case requires) applies to the relevant quarter as if the amount

specified in whichever of the following paragraphs applies were

the previous year's reduced acquisitions:

(a) if the liable entity made relevant acquisitions of electricity in

the relevant quarter--the amount of the assessment year's

reduced acquisitions;

(b) if the liable entity did not make any relevant acquisitions of

electricity in the relevant quarter--zero.

Schedule 1 Amendments

Part 1 Main amendments

34 Renewable Energy (Electricity) Amendment Bill 2010 No. , 2010

38AI General provisions relating to applications under

sections 38AF and 38AG

Requirements for applications

(1) An application under section 38AF or 38AG must:

(a) be in writing; and

(b) be in a form approved, in writing, by the Regulator; and

(d) be accompanied by any documents required by the

regulations; and

(e) be accompanied by any report required by the regulations;

and

(f) be accompanied by any fee required by the regulations.

(2) The approved form of application may provide for verification by

statutory declaration of statements in applications.

Regulator may require further information

(3) The Regulator may, by written notice given to a liable entity that

has made an application under section 38AF or 38AG, require the

entity to give the Regulator, within the period specified in the

notice, further information in connection with the application.

(4) If the entity breaches the requirement, the Regulator may, by

written notice given to the entity:

(a) refuse to consider the application; or

(b) refuse to take any action, or any further action, in relation to

the application.

62 Section 38A

Omit "the renewable energy shortfall charge", substitute "large-scale

generation shortfall charge and small-scale technology shortfall

charge".

63 Division 2 of Part 4 (heading)

Repeal the heading, substitute:

Amendments Schedule 1

Main amendments Part 1

Renewable Energy (Electricity) Amendment Bill 2010 No. , 2010 35

Division 2--Renewable power percentage for large-scale

generation shortfall charge

64 Subsection 39(1)

After "specified in the regulations", insert "for the purpose of this

subsection".

65 Paragraph 39(3)(d)

Repeal the paragraph, substitute:

(d) the amount estimated as the amount of all partial exemptions

that will be claimed for the year.

66 After Division 2 of Part 4

Insert:

Division 2A--Small-scale technology percentage for

small-scale technology shortfall charge

40A Regulations to specify small-scale technology percentage

(1)

The

small-scale technology percentage for a year is the percentage

prescribed by the regulations for the purpose of this subsection.

The regulations prescribing a percentage for a year must be made

on or before 31 March in the year.

(2) If the regulations do not prescribe a percentage for the year starting

on 1 January 2012 or a later year, the small-scale technology

percentage for that year is the rate worked out using the formula:

Certificate value for

previous year

Previous year's small-scale

technology percentage

Certificate value for year

before previous year

�

where:

certificate value for previous year is the total value, in MWh, of

small-scale technology certificates created in the previous year.

certificate value for year before previous year is the total value, in

MWh, of small-scale technology certificates created in the year

before the previous year.

Schedule 1 Amendments

Part 1 Main amendments

36 Renewable Energy (Electricity) Amendment Bill 2010 No. , 2010

(3) Before the Governor-General makes a regulation under

subsection (1) specifying the small-scale technology percentage for

a year (the current year), the Minister must take into

consideration:

(a) the estimated value, in MWh, of small-scale technology

certificates that will be created in the current year under

Subdivisions B and BA of Division 4 of Part 2; and

(b) the amount estimated as the amount of electricity that will be

acquired under relevant acquisitions during the current year;

and

that will be claimed for the current year; and

(d) if the current year is the year commencing on 1 January 2012

or a later year:

(i) the amount by which the previous year's estimate under

paragraph (a) exceeded, or was exceeded by, the value,

in MWh, of small-scale technology certificates that

were created in that year under Subdivisions B and BA

of Division 4 of Part 2; and

(ii) the amount by which the previous year's estimate under

paragraph (b) exceeded, or was exceeded by, the

amount of electricity that was acquired under relevant

acquisitions during that year; and

(iii) the amount by which the previous year's estimate under

paragraph (c) exceeded, or was exceeded by, the amount

of partial exemptions that were claimed for the previous

year.

(4) If, at the time the Minister takes into consideration the matters

referred to in subsection (3), the amount referred to in

subparagraph (3)(d)(i), (ii) or (iii) is not known, then the Minister

may take into consideration an estimate of that amount instead.

(5) A failure to comply with subsection (3) does not affect the validity

of the regulations.

67 Division 3 of Part 4 (heading)

Repeal the heading, substitute:

Amendments Schedule 1

Main amendments Part 1

Renewable Energy (Electricity) Amendment Bill 2010 No. , 2010 37

Division 3--Other provisions related to renewable energy

shortfall charge

40B Regulator to publish estimate of small-scale technology

percentage

(1) Before 31 March in each year, the Regulator must publish on its

website an estimate of the small-scale technology percentage for

each of the next 2 years.

(2) An estimate published under this section:

(a) does not in any way bind the Regulator, the Commonwealth

or any other person; and

(b) does not in any way affect the determination of a liable

entity's liability to small-scale technology shortfall charge for

a year.

40C Regulator to give liable entity estimate of current year's

required surrender amounts for first 3 quarters

(1) If a liable entity lodges an energy acquisition statement for a year

before 1 April in the next year (the current year), the Regulator

must, before 15 April in the current year, give the liable entity

written notice of the amounts that the Regulator estimates will be

the liable entity's required surrender amounts under section 38AE

for the first, second and third quarters of the current year.

(2) In making an estimate under subsection (1), the Regulator is to

disregard any determination made by the Regulator under

section 38AF on or after 1 April in the current year.

(3) An estimate given to a liable entity under this section:

(a) does not in any way bind the Regulator, the Commonwealth

or any other person; and

(b) does not in any way affect the determination of the liable

entity's liability to small-scale technology shortfall charge for

a year.

68 Paragraph 41(b)

Omit "renewable energy certificate shortfall", substitute "large-scale

generation shortfall or small-scale technology shortfall".

Schedule 1 Amendments

Part 1 Main amendments

38 Renewable Energy (Electricity) Amendment Bill 2010 No. , 2010

69 Division 1 of Part 5

Repeal the Division, substitute:

Division 1AA--Preliminary

43A Overview of Part

This Part deals with various matters relating to the determination of

a liable entity's liability to renewable energy shortfall charge.

Subdivision A of Division 1 requires the lodgment of annual

energy acquisition statements by liable entities. The entity may

surrender renewable energy certificates for the year (or for the

quarters of the year) in the statement. The entity may surrender

additional certificates in certain circumstances.

Subdivision B of Division 1 requires the lodgment of annual

renewable energy shortfall statements by entities that have

large-scale generation shortfalls or small-scale technology

shortfalls.

Division 1A deals with the issue and amendment of partial

exemption certificates.

Division 2 deals with the assessment of liability to renewable

energy shortfall charge, and for the amendment of assessments. It

also deals with other related matters.

Division 1--Statements

Subdivision A--Annual energy acquisition statements

44 Annual energy acquisition statements

(1) A liable entity that acquired electricity under a relevant acquisition

during a year (the assessment year) must lodge an energy

acquisition statement for the year on or before:

(a) 14 February in the next year; or

(b) any later day allowed by the Regulator.

Note:

For amendment of such statements, see section 45A.

Amendments Schedule 1

Main amendments Part 1

Renewable Energy (Electricity) Amendment Bill 2010 No. , 2010 39

(2) The statement must set out:

(a) the name and postal address of the liable entity; and

(b) the amount, in MWh, of electricity acquired by the liable

entity under relevant acquisitions during the assessment year;

and

for the assessment year (see also subsection (3)); and

(d) the large-scale charge information (see subsection (4)); and

(e) the small-scale charge information (see subsection (5)); and

(f) any other information required by the regulations.

(3) If the liable entity wishes to claim a partial exemption for the

assessment year, the statement must be accompanied by:

(a) a copy of each partial exemption certificate issued to the

liable entity for the assessment year in relation to an

emissions-intensive trade-exposed activity carried on by the

liable entity during the year; and

(b) a copy of each partial exemption certificate issued to another

person in relation to the liable entity for the assessment year

and given to the liable entity.

(4) For the purpose of paragraph (2)(d), the large-scale charge

information is:

(a) the value, in MWh, of large-scale generation certificates

being surrendered for the assessment year under section 44A;

and

(b) the amount of any carried forward shortfall or carried

forward surplus that the liable entity had for the previous

year; and

entity has for the assessment year.

(5) For the purpose of paragraph (2)(e), the small-scale charge

information is:

(a) for each of the quarters of the assessment year--the value, in

MWh, of small-scale technology certificates that have been

or are being surrendered for the quarter under section 45

during the surrender period for the quarter; and

(b) the amounts of any quarterly surpluses and quarterly

shortfalls that the liable entity has for the quarters of the

assessment year; and

Schedule 1 Amendments

Part 1 Main amendments

40 Renewable Energy (Electricity) Amendment Bill 2010 No. , 2010

for the fourth quarter of the previous year; and

(d) if the Regulator has, under section 38AF, determined an

amount that is to apply instead of the previous year's reduced

acquisitions--the amount so determined; and

(e) if the Regulator has, under section 38AG, determined an

amount that is to apply, for a quarter of the assessment year,

as if it were the previous year's reduced acquisitions--the

amount so determined for that quarter; and

(f) if section 38AH applies in relation to a quarter of the

assessment year--a statement as to whether the liable entity

made any relevant acquisitions of electricity in that quarter.

(6) The statement must:

(a) be in a form approved by the Regulator; and

(b) be lodged with the Regulator in accordance with the

regulations; and

statement.

44A Surrender of large-scale generation certificates in energy

acquisition statement

(1) A liable entity may surrender large-scale generation certificates for

a year by including details of the large-scale generation certificates

(the identified certificates) that it is surrendering for the year in its

energy acquisition statement for the year.

Note:

For limitations on the certificates that can be surrendered, see

section 45D.

(2) The identified certificates are taken to be surrendered when the

energy acquisition statement is lodged, other than any of those

certificates that cannot be surrendered because of section 45D.

(3) The Regulator must, by notice in writing given to the liable entity,

advise the entity of:

(a) the number of the identified certificates that (taking account

of section 45D) are able to be surrendered for the year; and

(b) the fee payable by the entity under section 45E in respect of

the surrender of those certificates.

(4) A notice under subsection (3) is not a legislative instrument.

Amendments Schedule 1

Main amendments Part 1

Renewable Energy (Electricity) Amendment Bill 2010 No. , 2010 41

45 Surrender of small-scale technology certificates in quarterly

surrender instrument

Surrender of small-scale technology certificates on a quarterly

basis

(1) A liable entity may surrender small-scale technology certificates

for a quarter of a year by including details of the small-scale

technology certificates (the identified certificates) that it is

surrendering for the quarter in whichever of the following (the

surrender instrument) applies:

(a) for the first, second or third quarter of the year--a notice

that:

(i) is in a form approved by the Regulator; and

(ii) is lodged, before the end of the surrender period for the

quarter, in accordance with the regulations; and

(iii) is signed by or on behalf of the liable entity;

(b) for the fourth quarter of the year--the liable entity's energy

acquisition statement for the year.

Note:

For limitations on the certificates that can be surrendered, see

section 45D.

(2) The identified certificates are taken to be surrendered when the

surrender instrument is lodged, other than any of those certificates

that cannot be surrendered because of section 45D.

Regulator to give liable entity notice relating to surrenders for

first, second or third quarter

(3) After the liable entity has lodged the surrender instrument for the

first, second or third quarter, the Regulator must, by notice in

writing given to the liable entity, advise the liable entity of the

number of the identified certificates for the quarter that (taking

account of section 45D) are able to be surrendered for the quarter.

Regulator to give liable entity notice relating to total surrenders

for the year

(4) After the liable entity has lodged its energy acquisition statement

for the year, the Regulator must, by notice in writing given to the

liable entity, advise the liable entity of:

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42 Renewable Energy (Electricity) Amendment Bill 2010 No. , 2010

(a) the number of the identified certificates for each quarter of

the year that (taking account of section 45D) are or were able

to be surrendered for the quarter; and

(b) the fee payable by the entity under section 45E in respect of

the surrender of those certificates.

Notices are not legislative instruments

(5) A notice under subsection (3) or (4) is not a legislative instrument.

45A Amending energy acquisition statement at request of liable

entity

(1) The Regulator may amend an energy acquisition statement for a

year if the liable entity requests, in writing, an amendment within

12 months of lodging the statement.

Note:

An amendment of an energy acquisition statement under this section

may also result in the Regulator issuing an assessment under

section 48 or 48B or amending an assessment under section 49.

(2) If the Regulator refuses to amend an energy acquisition statement

under subsection (1) upon a request by a liable entity, the

Regulator must notify the entity accordingly.

Amendment to surrender additional certificates

(3) The liable entity may, under subsection (1), request an amendment

to its energy acquisition statement for a year to:

(a) surrender additional large-scale renewable energy certificates

for the year (subject to section 45D); or

(b) surrender additional small-scale technology certificates for

the fourth quarter of the year (subject to section 45D).

Note 1:

Small-scale technology certificates for the first 3 quarters of the year

are surrendered by notices under paragraph 45(1)(a). Those notices

cannot be amended.

Note 2:

This subsection does not limit the kinds of amendment that the liable

entity may request.

(4) The request must include details of the additional certificates (the

identified certificates) that the liable entity wishes to surrender for

the year or the quarter.

Amendments Schedule 1

Main amendments Part 1

Renewable Energy (Electricity) Amendment Bill 2010 No. , 2010 43

(5) If the Regulator agrees to the request (in whole or in part) the

Regulator must, by notice in writing to the liable entity, advise the

entity of:

(a) the number of the identified certificates in relation to which

the following subparagraphs are satisfied:

(i) the Regulator agrees to make the amendment to

surrender the certificates;

(ii) the certificates (taking account of section 45D) are able

to be surrendered for the year or the quarter; and

(b) the fee payable by the entity under section 45E in respect of

the surrender of the certificates (the agreed certificates) in

relation to which subparagraphs (a)(i) and (ii) are satisfied.

(6) A notice under subsection (5) is not a legislative instrument.

(7) Subject to subsection (8), the agreed certificates are taken to have

been surrendered when the Regulator makes the amendment of the

energy acquisition statement.

(8) If the agreed certificates are small-scale technology certificates,

then, for the purpose of determining the number of such certificates

surrendered by the entity during the surrender period for the fourth

quarter, the certificates are taken to have been surrendered during

that period.

No amendment to reduce number of certificates surrendered

(9) An energy acquisition statement cannot be amended under this

section to reduce the number of certificates previously surrendered.

45B Amending energy acquisition statement on Regulator's own

initiative

(1) The Regulator may amend an energy acquisition statement for a

year on the Regulator's own initiative if the amendment is made

within 4 years of the liable entity lodging the statement.

Note:

An amendment of an energy acquisition statement under this section

may also result in the Regulator issuing an assessment under

section 48 or 48B or amending an assessment under section 49.

(2) The Regulator must give the liable entity written notice of the

amendment.

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44 Renewable Energy (Electricity) Amendment Bill 2010 No. , 2010

(3) An energy acquisition statement cannot be amended under this

section to increase or reduce the number of certificates previously

surrendered.

45C Surrender of additional certificates if energy acquisition

statement amended on Regulator's own initiative

(1) This section applies if a liable entity's energy acquisition statement

for a year is amended under section 45B so that either of the

following, if calculated on the basis of the amounts and other

information contained in the statement, is greater than it would

have been if the amendment had not been made:

(a) the liable entity's large-scale generation shortfall for the year;

(b) the liable entity's quarterly shortfall for the fourth quarter of

the year.

(2) The liable entity may (subject to section 45D) surrender additional

certificates for the year or quarter by giving the Regulator a notice

(an additional surrender notice) that:

(a) includes details of the certificates (the identified certificates)

being surrendered; and

(b) is in a form approved by the Regulator; and

regulations, within the period of 30 days beginning on the

day on which the liable entity received notice of the

amendment; and

(d) is signed by or on behalf of the liable entity.

(3) Subject to subsection (4), the identified certificates are taken to be

surrendered when the additional surrender notice is lodged.

(4) If the identified certificates are small-scale technology certificates,

then, for the purpose of determining the number of such certificates

surrendered by the entity during the surrender period for the fourth

quarter, the certificates are taken to have been surrendered during

that period.

(5) The Regulator must, by notice in writing given to the liable entity,

advise the entity of:

(a) the number of the identified certificates that (taking account

of section 45D) are able to be surrendered for the year or

quarter; and

Amendments Schedule 1

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Renewable Energy (Electricity) Amendment Bill 2010 No. , 2010 45

(b) the fee payable by the entity under section 45E in respect of

the surrender of those certificates.

(6) A notice under subsection (5) is not a legislative instrument.

45D Limitations on certificates that can be surrendered under this

Subdivision

Large-scale generation certificates

(1) A liable entity cannot surrender a large-scale generation certificate

for a year under this Subdivision unless:

(a) the certificate was created before the end of the year; and

(b) the liable entity is recorded in the register of large-scale

generation certificates as the owner of the certificate at

whichever of the following times applies:

(i) for surrender under section 44A--the time when the

energy acquisition statement is lodged;

(ii) for surrender under section 45A--the time when the

Regulator makes the amendment of the energy

acquisition statement;

(iii) for surrender under section 45C--the time when the

additional surrender notice is lodged; and

paragraph (b).

Small-scale technology certificates

(2) A liable entity cannot surrender a small-scale technology certificate

for a quarter of a year under this Subdivision unless:

(a)

either:

(i) the liable entity acquired the certificate under Division 4

of Part 2A (purchase of certificates through the clearing

house); or

(ii) if subparagraph (i) does not apply--the certificate was

created before the end of the year; and

(b) the liable entity is recorded in the register of small-scale

technology certificates as the owner of the certificate at

whichever of the following times applies:

(i) for surrender under section 45--the time when the

surrender instrument for the quarter is lodged;

Schedule 1 Amendments

Part 1 Main amendments

46 Renewable Energy (Electricity) Amendment Bill 2010 No. , 2010

(ii) for surrender under section 45A--the time when the

Regulator makes the amendment of the energy

acquisition statement;

(iii) for surrender under section 45C--the time when the

additional surrender notice is lodged; and

paragraph (b).

(3) The liable entity cannot surrender a small-scale technology

certificate for a quarter of the year under this Subdivision if, at the

time that applies under paragraph (2)(b), the certificate is on the

clearing house transfer list (see section 30L).

45E Fees for surrender of certificates under this Subdivision

(1) The regulations may prescribe the fee payable for the surrender of

a certificate under this Subdivision.

(2) If a liable entity is given a notice under section 44A, 45, 45A or

45C advising the entity of the fee payable in respect of the

surrender of certificates, the liable entity must pay the fee within

the period of 28 days beginning on the day the entity receives the

notice.

(3) If the fee specified in the notice is unpaid at the end of that period

of 28 days, it is a debt due to the Commonwealth and is

recoverable by the Regulator in a court of competent jurisdiction.

Subdivision B--Annual renewable energy shortfall statements

46 Annual renewable energy shortfall statements

(1) There are 2 different types of renewable energy shortfall

statement:

(a)

large-scale generation shortfall statement (see

subsections (2) and (3)); and

(b)

small-scale technology shortfall statement (see

subsections (4) and (5)).

Amendments Schedule 1

Main amendments Part 1

Renewable Energy (Electricity) Amendment Bill 2010 No. , 2010 47

Large-scale generation shortfall statement

(2) A liable entity that has a large-scale generation shortfall for a year

(the assessment year) must lodge a large-scale generation shortfall

statement for the year on or before:

(a) 14 February in the next year; or

(b) any later day allowed by the Regulator.

(3) The statement must set out:

(a) the name and postal address of the liable entity; and

(b) the liable entity's large-scale generation shortfall for the

assessment year; and

forward surplus that the liable entity had for the previous

year; and

(d)

either:

(i) the amount of carried forward shortfall that the liable

entity has for the assessment year; or

(ii) the amount of large-scale generation shortfall charge

that is payable by the liable entity for the assessment

year; and

(e) any other information required by the regulations.

Small-scale technology shortfall statement

(4) A liable entity that has a small-scale technology shortfall for a year

(the assessment year) must lodge a small-scale technology

shortfall statement for the year on or before:

(a) 14 February in the next year; or

(b) any later day allowed by the Regulator.

(5) The statement must set out:

(a) the name and postal address of the liable entity; and

(b) the liable entity's small-scale technology shortfall for the

assessment year; and

payable by the liable entity for the assessment year; and

(d) any other information required by the regulations.

Schedule 1 Amendments

Part 1 Main amendments

48 Renewable Energy (Electricity) Amendment Bill 2010 No. , 2010

General requirements for statements

(6) A statement under this section must:

(a) be in a form approved by the Regulator; and

(b) be lodged with the Regulator in accordance with the

regulations; and

statement.

70 Subsection 46C(4) (note)

After "section 48", insert "or 48B".

71 Sections 47 and 48

Repeal the sections, substitute:

Subdivision A--Large-scale generation shortfall charge

47 First large-scale generation shortfall statement taken to be

assessment of large-scale generation shortfall charge

(1) This section applies if:

(a) a liable entity lodges a large-scale generation shortfall

statement for a year (the assessment year); and

(b) a large-scale generation shortfall statement has not previously

been lodged, and an assessment of large-scale generation

shortfall charge has not previously been made, for the

assessment year in relation to the liable entity.

(2) The statement has effect as an assessment of the liable entity's

large-scale generation shortfall for the assessment year and of the

large-scale generation shortfall charge (if any) payable on the

shortfall.

(3) The assessment is taken to have been made on 14 February in the

next year or the day on which the statement was lodged, whichever

is the later.

(4) The large-scale generation shortfall specified in the statement is

taken to be the liable entity's large-scale generation shortfall for

the assessment year.

Amendments Schedule 1

Main amendments Part 1

Renewable Energy (Electricity) Amendment Bill 2010 No. , 2010 49

(5) The amount of large-scale generation shortfall charge (if any)

specified in the statement is taken to be the amount of large-scale

generation shortfall charge payable by the liable entity for the

assessment year.

(6) The statement has effect as if it were a notice of assessment signed

by the Regulator and given to the liable entity on the day on which

the assessment is taken to have been made.

48 Default assessments of large-scale generation shortfall charge

(1) If a liable entity has lodged an energy acquisition statement for a

year but:

(a) the liable entity has not lodged a large-scale generation

shortfall statement for the year; and

(b) the Regulator is of the opinion that the liable entity has a

large-scale generation shortfall for the year;

the Regulator may make an assessment of the liable entity's

large-scale generation shortfall for the year, and of the large-scale

generation shortfall charge (if any) payable on the shortfall.

(2)

If:

(a) a liable entity has not lodged a large-scale generation

shortfall statement for a year; and

(b) the liable entity has also not lodged an energy acquisition

statement for the year; and

large-scale generation shortfall for the year;

the Regulator may make an assessment of the liable entity's

large-scale generation shortfall for the year, and of the large-scale

generation shortfall charge (if any) payable on the shortfall.

(3) For the purpose of making an assessment under subsection (1) or

(2):

(a) the liable entity's large-scale generation shortfall is taken to

be the amount that, in the Regulator's opinion, might

reasonably be expected to be the shortfall; and

(b) in the case of an assessment under subsection (1)--the

Regulator is to take into account any large-scale generation

certificates surrendered by the liable entity under Subdivision

A of Division 1 for the year; and

Schedule 1 Amendments

Part 1 Main amendments

50 Renewable Energy (Electricity) Amendment Bill 2010 No. , 2010

Regulator is to assume that the liable entity did not surrender

any large-scale generation certificates under Subdivision A of

Division 1 for the year.

(4) Large-scale generation shortfall charge in relation to an assessment

for a year made under this section is taken to have become payable

on 14 February in the next year.

(5) An assessment for a year under this section cannot be made until

after 14 February in the next year.

Subdivision B--Small-scale technology shortfall charge

48A First small-scale technology shortfall statement taken to be

assessment of small-scale shortfall charge

(1) This section applies if:

(a) a liable entity lodges a small-scale technology shortfall

statement for a year (the assessment year); and

(b) a small-scale technology shortfall statement has not

previously been lodged, and an assessment of small-scale

shortfall charge has not previously been made, for the

assessment year in relation to the liable entity.

(2) The statement has effect as an assessment of the liable entity's

small-scale technology shortfall for the assessment year and of the

small-scale technology shortfall charge payable on the shortfall.

(3) The assessment is taken to have been made on 14 February in the

next year or the day on which the statement was lodged, whichever

is the later.

(4) The small-scale technology shortfall specified in the statement is

taken to be the liable entity's small-scale technology shortfall for

the assessment year.

(5) The amount of small-scale technology shortfall charge specified in

the statement is taken to be the amount of small-scale technology

shortfall charge payable by the liable entity for the assessment

year.

Amendments Schedule 1

Main amendments Part 1

Renewable Energy (Electricity) Amendment Bill 2010 No. , 2010 51

(6) The statement has effect as if it were a notice of assessment signed

by the Regulator and given to the liable entity on the day on which

the assessment is taken to have been made.

48B Default assessments of small-scale technology shortfall charge

(1) If a liable entity has lodged an energy acquisition statement for a

year but:

(a) the liable entity has not lodged a small-scale technology

shortfall statement for the year; and

(b) the Regulator is of the opinion that the liable entity has a

small-scale technology shortfall for the year;

the Regulator may make an assessment of the liable entity's

small-scale technology shortfall for the year, and of the small-scale

technology shortfall charge payable on the shortfall.

(2)

If:

(a) a liable entity has not lodged a small-scale technology

shortfall statement for a year; and

(b) the liable entity has also not lodged an energy acquisition

statement for the year; and

small-scale technology shortfall for the year;

the Regulator may make an assessment of the liable entity's

small-scale technology shortfall for the year, and of the small-scale

technology shortfall charge payable on the shortfall.

(3) For the purpose of making an assessment under subsection (1) or

(2):

(a) the liable entity's small-scale technology shortfall is taken to

be the amount that, in the Regulator's opinion, might

reasonably be expected to be the shortfall; and

(b) the Regulator is to take into account any small-scale

technology certificates surrendered by the liable entity for

any of the quarters of the year under Subdivision A of

Division 1.

(4) Small-scale technology shortfall charge in relation to an

assessment for a year made under this section is taken to have

become payable on 14 February in the next year.

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Part 1 Main amendments

52 Renewable Energy (Electricity) Amendment Bill 2010 No. , 2010

(5) An assessment for a year under this section cannot be made until

after 14 February in the next year.

Subdivision C--Other provisions relating to assessments

72 Section 52

After "section 48", insert "or 48B".

73 Subsection 66(1) (after table item 5DA)

Insert:

5DB

to refuse to determine an

amount, or to determine an

amount that is different

from the proposed amount

section 38AF or

38AG

the applicant for a

determination.

74 Subsection 66(1) (cell at table item 5E, column headed

"made under ...")

After "45A", insert "or 45B".

75 Section 67

Repeal the section, substitute:

67 When renewable energy shortfall charge is payable

Large-scale generation shortfall charge

(1) Large-scale generation shortfall charge for a year is payable:

(a) if, on or before 14 February in the next year, the liable entity

lodges a large-scale generation shortfall statement for that

year--on that day; or

(b) if, after that day, the liable entity lodges a large-scale

generation shortfall statement for that year--on the day on

which the statement is lodged.

Note:

For when large-scale generation shortfall charge is payable if the

liable entity does not lodge a large-scale generation shortfall

statement, see subsection 48(4).

Small-scale technology shortfall charge

(2) Small-scale technology shortfall charge for a year is payable:

Amendments Schedule 1

Main amendments Part 1

Renewable Energy (Electricity) Amendment Bill 2010 No. , 2010 53

(a) if, on or before 14 February in the next year, the liable entity

lodges a small-scale technology shortfall statement for that

year--on that day; or

(b) if, after that day, the liable entity lodges a small-scale

technology shortfall statement for that year--on the day on

which the statement is lodged.

Note:

For when small-scale technology shortfall charge is payable if the

liable entity does not lodge a small-scale technology shortfall

statement, see subsection 48B(4).

76 Part 8 (heading)

Repeal the heading, substitute:

Part 8--Refunding large-scale generation shortfall

charge

77 Paragraph 95(1)(a)

Omit "renewable energy shortfall charge", substitute "large-scale

generation shortfall charge".

Note:

The heading to section 95 is altered by omitting "charge" and substituting "large-scale

generation shortfall charge".

78 Paragraph 95(1)(b)

Omit "certificates", substitute "large-scale generation certificates".

79 Subsection 95(2)

Omit "renewable energy shortfall statement", substitute "large-scale

generation shortfall statement".

80 Subsection 95(2)

Omit "renewable energy shortfall charge", substitute "large-scale

generation shortfall charge".

81 Subsection 95(3)

Omit "certificate is", substitute "large-scale generation certificates are".

82 Subsection 96(1)

Omit "certificate surrendered", substitute "large-scale generation

certificate surrendered".

Schedule 1 Amendments

Part 1 Main amendments

54 Renewable Energy (Electricity) Amendment Bill 2010 No. , 2010

83 Subsection 96(1)

Omit "renewable energy shortfall charge", substitute "large-scale

generation shortfall charge".

84 Subsection 96(2)

Omit "certificates surrendered", substitute "large-scale generation

certificates surrendered".

85 Subsection 96(2)

Omit "renewable energy shortfall charge", substitute "large-scale

generation shortfall charge".

86 Section 97

Omit "surrender certificates", substitute "surrender large-scale

generation certificates".

87 Section 97

Omit "renewable energy certificate shortfall", substitute "large-scale

generation shortfall".

88 Section 98

Omit "certificates", substitute "large-scale generation certificates".

89 Section 99

Repeal the section, substitute:

99 Penalty charge for failure to provide statements or information

relevant to large-scale generation shortfall charge

(1) A liable entity, other than a government body, is liable to pay, by

way of penalty, penalty charge if the liable entity refuses or fails to

provide, when and as required under this Act any of the following

for a year (the assessment year):

(a) an energy acquisition statement for the assessment year;

(b) a large-scale generation shortfall statement for the assessment

year;

to pay large-scale generation shortfall charge for the

assessment year.

Amendments Schedule 1

Main amendments Part 1

Renewable Energy (Electricity) Amendment Bill 2010 No. , 2010 55

Note:

If the liable entity refuses or fails to lodge an energy acquisition

statement, the liable entity is also liable to penalty charge under

section 99A.

(2) A liable entity is liable to pay, by way of penalty, penalty charge if:

(a) the liable entity is liable to pay large-scale generation

shortfall charge for a year (the assessment year); and

(b) the liable entity fails to keep a record in relation to the

assessment year containing details of the basis of calculation

of the following amounts that were specified in the liable

entity's energy acquisition statement for the assessment year:

(i) the amount of electricity acquired under relevant

acquisitions during the assessment year;

(ii) the value, in MWh, of large-scale generation certificates

surrendered for the assessment year;

(iii) any carried forward shortfall or carried forward surplus

for the previous year;

(iv) any carried forward surplus for the assessment year.

(3) A liable entity is liable to pay, by way of penalty, penalty charge if:

(a) the liable entity is liable to pay large-scale generation

shortfall charge for a year (the assessment year); and

(b) the liable entity refuses or fails to produce to the Regulator,

when and as required by the Regulator under this Act, a

document containing details of the basis of calculation of the

amounts referred to in paragraph (2)(b) that were specified in

an energy acquisition statement for the assessment year.

(4) Subject to subsection (5), the penalty charge payable under

subsection (1), (2) or (3) is equal to double the amount of

large-scale generation shortfall charge payable by the entity for the

assessment year.

(5) If a liable entity has already become liable to penalty charge under

this section because of a particular refusal or failure that relates to a

year, the liable entity is not liable to any further amount of penalty

charge under this section because of any other refusal or failure

that relates to the same year.

Schedule 1 Amendments

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56 Renewable Energy (Electricity) Amendment Bill 2010 No. , 2010

99A Penalty charge for failure to provide statements or information

relevant to small-scale technology shortfall charge

(1) A liable entity, other than a government body, is liable to pay, by

way of penalty, penalty charge if the liable entity refuses or fails to

provide, when and as required under this Act any of the following

for a year (the assessment year):

(a) an energy acquisition statement for the assessment year;

(b) a small-scale technology shortfall statement for the

assessment year;

to pay small-scale technology shortfall charge for the

assessment year.

Note:

If the liable entity refuses or fails to lodge an energy acquisition

statement, the liable entity is also liable to penalty charge under

section 99.

(2) A liable entity is liable to pay, by way of penalty, penalty charge if:

(a) the liable entity is liable to pay small-scale technology

shortfall charge for a year (the assessment year); and

(b) the liable entity fails to keep a record in relation to the

assessment year containing details of the basis of calculation

of the following amounts that were specified in the liable

entity's energy acquisition statement for the assessment year:

(i) the amount of electricity acquired under relevant

acquisitions during the assessment year;

(ii) the value, in MWh, of small-scale technology

certificates surrendered for the quarters of the

assessment year.

(3) A liable entity is liable to pay, by way of penalty, penalty charge if:

(a) the liable entity is liable to pay small-scale technology

shortfall charge for a year (the assessment year); and

(b) the liable entity refuses or fails to produce to the Regulator,

when and as required by the Regulator under this Act, a

document containing details of the basis of calculation of the

amounts referred to in paragraph (2)(b) that were specified in

an energy acquisition statement for the assessment year.

(4) Subject to subsection (5), the penalty charge payable under

subsection (1), (2) or (3) is equal to double the amount of

Amendments Schedule 1

Main amendments Part 1

Renewable Energy (Electricity) Amendment Bill 2010 No. , 2010 57

small-scale technology shortfall charge payable by the entity for

the assessment year.

(5) If a liable entity has already become liable to penalty charge under

this section because of a particular refusal or failure that relates to a

year, the liable entity is not liable to any further amount of penalty

charge under this section because of any other refusal or failure

that relates to the same year.

90 Section 134

Repeal the section, substitute:

134 Regulator may publish certain information

Information relating to large-scale generation shortfall charge

(1) The Regulator may publish:

(a) a list of each liable entity that has a large-scale generation

shortfall for a particular year; and

(b) both of the following:

(i) the amount of each liable entity's large-scale generation

shortfall for that year;

(ii) the proportion of that shortfall relative to the liable

entity's required large-scale renewable energy for that

year; and

Information relating to small-scale technology shortfall charge

(2) The Regulator may publish:

(a) a list of each liable entity that has a small-scale technology

shortfall for a particular year; and

(b) the amount of each liable entity's small-scale technology

shortfall for that year; and

91 Paragraph 135(c)

Repeal the paragraph, substitute:

(ca) the register of small-scale technology certificates;

Schedule 1 Amendments

Part 1 Main amendments

58 Renewable Energy (Electricity) Amendment Bill 2010 No. , 2010

92 Division 4 of Part 13 (heading)

Repeal the heading, substitute:

Division 4--The register of large-scale generation

certificates

93 Section 140

Omit "register of renewable energy certificates", substitute "register of

large-scale generation certificates".

Note:

The heading to section 140 is altered by omitting "register of renewable energy

certificates" and substituting "register of large-scale generation certificates".

94 Paragraph 140(a)

Omit "renewable energy certificate", substitute "large-scale generation

certificate".

95 Subsection 141(3)

Repeal the subsection, substitute:

(3) The Regulator must ensure that the register is kept up-to-date.

96 After Division 4 of Part 13

Insert:

Division 4A--The register of small-scale technology

certificates

141AA Contents of register of small-scale technology certificates

The register of small-scale technology certificates is to contain:

(a) the unique identification code of each valid small-scale

technology certificate; and

(b) the year in which the certificate was created; and

under section 30P:

(i) the name of the person who created the certificate; and

(ii) a statement that the certificate was created in relation to

a solar water heater, or that it was created in relation to a

small generation unit (as appropriate); and

Amendments Schedule 1

Main amendments Part 1

Renewable Energy (Electricity) Amendment Bill 2010 No. , 2010 59

(d) if the certificate was created by the Regulator under

section 30P--a statement to that effect; and

(e) the name of the current registered owner, and each previous

registered owner, of each certificate; and

(f) any other information that the Regulator considers

appropriate.

141AB Form of register

(1) The register must be maintained by electronic means.

(2) The register is to be made available for inspection on the internet.

(3) The Regulator must ensure that the register is kept up-to-date.

97 Paragraph 156(2)(a)

Omit "41, 48,", substitute "38AF, 38AG, 41, 48, 48B,".

98 Paragraph 160(2)(c)

Omit "certificates", substitute "large-scale generation certificates and

small-scale technology certificates".

99 Paragraph 162(1)(c)

Repeal the paragraph, substitute:

(c)

the

Renewable Energy (Electricity) (Large-scale Generation

Shortfall Charge) Act 2000;

(d)

the

Renewable Energy (Electricity) (Small-scale Technology

Shortfall Charge) Act 2010.

Schedule 1 Amendments

Part 2 Other amendments

60 Renewable Energy (Electricity) Amendment Bill 2010 No. , 2010

Part 2--Other amendments

Renewable Energy (Electricity) Act 2000

100 Subsection 5(1) (definition of Australian Greenhouse

Office)

Repeal the definition.

101 Subsection 5(1)

Insert:

civil penalty order has the meaning given by subsection 154B(2).

102 Subsection 5(1)

Insert:

civil penalty provision means a provision declared by this Act to

be a civil penalty provision.

103 Subsection 5(1)

Insert:

engage in conduct means:

(a) do an act; or

(b) omit to do an act.

104 Subsection 5(1)

Insert:

executive officer of a body corporate means:

(a) a director of the body corporate; or

(b) the chief executive officer (however described) of the body

corporate; or

(d) the secretary of the body corporate.

105 Subsection 5(1)

Insert:

Amendments Schedule 1

Other amendments Part 2

Renewable Energy (Electricity) Amendment Bill 2010 No. , 2010 61

Federal Court means the Federal Court of Australia.

106 Subsection 5(1) (definition of Head of the Australian

Greenhouse Office)

Repeal the definition.

107 Subsection 5(1) (definition of offence against this Act)

Repeal the definition, substitute:

offence against this Act includes:

(a) an offence against the regulations; and

(b) an offence against section 134.1, 134.2, 135.1, 135.2, 135.4,

136.1, 137.1 or 137.2 of the Criminal Code that relates to this

Act or the regulations.

108 Subsection 6(2)

Repeal the subsection, substitute:

(2) This Act does not make the Crown liable to a pecuniary penalty or

to be prosecuted for an offence.

109 Subsection 13(2A)

Omit "30 June 2010", substitute "the day prescribed by the regulations

for the purpose of this subsection".

110 Subsection 15A(3)

Omit "on or before 31 December 2010", substitute "before the end of

the period of 6 months starting on the day referred to in subsection

13(2A)".

111 Subparagraph 17A(1)(a)(i)

Repeal the subparagraph, substitute:

(i) starting on the day prescribed by the regulations for the

purpose of this subparagraph; and

112 At the end of section 17A

Add:

(4) If the regulations do not prescribe a day for the purpose of

subparagraph (1)(a)(i), no waste coal mine gas is eligible WCMG.

Schedule 1 Amendments

Part 2 Other amendments

62 Renewable Energy (Electricity) Amendment Bill 2010 No. , 2010

113 Section 19

Omit all the words from and including "and before", substitute:

and

before:

(a) the end of the year after the year of generation; or

(b) any later day allowed by the Regulator.

114 Section 19 (note)

Repeal the note, substitute:

Note:

For offences and civil penalties related to the creation of certificates,

see Subdivision C.

115 At the end of subsection 21(1)

Add:

Note:

For offences and civil penalties related to the creation of certificates,

see Subdivision C.

116 After subsection 21(1)

Insert:

(1A)

The

regulations:

(a) may provide that certificates cannot be created in relation to a

solar water heater unless particular conditions are satisfied in

relation to the solar water heater or its installation; and

(b) without limiting paragraph (a), may:

(i) require information or documents to be given to the

Regulator in relation to a solar water heater or its

installation; and

(ii) provide that information or documents required to be

given to the Regulator must be verified by statutory

declaration.

117 Subsection 22(2)

Repeal the subsection, substitute:

(2) Without limiting subsection (1), regulations made for the purpose

of that subsection may:

(a) provide for the Regulator to determine the number of

certificates that may be created for a particular installation of

a solar water heater; and

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Renewable Energy (Electricity) Amendment Bill 2010 No. , 2010 63

(b) prescribe requirements to be complied with in relation to the

making of such a determination, which may include a

requirement that a determination is to be made in accordance

with a legislative instrument made by the Regulator; and

legislative instrument.

118 At the end of subsection 23A(1)

Add:

Note:

For offences and civil penalties related to the creation of certificates,

see Subdivision C.

119 After subsection 23A(1)

Insert:

(1A)

The

regulations:

(a) may provide that certificates cannot be created in relation to a

small generation unit unless particular conditions are satisfied

in relation to the small generation unit or its installation; and

(b) without limiting paragraph (a), may:

(i) require information or documents to be given to the

Regulator in relation to a small generation unit or its

installation; and

(ii) provide that information or documents required to be

given to the Regulator must be verified by statutory

declaration.

(1B) To avoid doubt, regulations under subsection (1A) may impose

conditions to be complied with in relation to a small generation

unit after its installation.

Note:

For example, conditions may be imposed so that certificates cannot be

created in relation to a small generation unit unless the unit remains

functional.

120 At the end of Subdivision C of Division 4 of Part 2

Add:

24A Improper creation of certificates--civil penalty

(1) A person must not create a certificate if the person is not entitled to

create the certificate.

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64 Renewable Energy (Electricity) Amendment Bill 2010 No. , 2010

Ancillary contraventions

(2) A person must not:

(a) aid, abet, counsel or procure a contravention of

subsection (1); or

(b) induce, whether by threats or promises or otherwise, a

contravention of subsection (1); or

or party to, a contravention of subsection (1); or

(d) conspire with others to effect a contravention of

subsection (1).

Civil penalty provisions

(3) Subsections (1) and (2) are civil penalty provisions.

Note:

Division 1 of Part 15A provides for pecuniary penalties for breaches

of civil penalty provisions.

24B False etc. information resulting in improper creation of

certificates under Subdivision B or BA--civil penalty

(1) A person (the first person) contravenes this subsection if:

(a) the person provides information to another person (the

second person) in relation to, or in relation to the installation

of, a solar water heater or a small generation unit; and

(b)

the

information:

(i) is false or misleading in a material particular; or

(ii) omits a matter or thing without which the information is

misleading in a material particular; and

certificates under Subdivision B or BA in relation to the solar

water heater or small generation unit; and

(d) it could reasonably be expected that the second person would

so rely on the information; and

(e) the second person's reliance on the information results in the

second person creating certificates under that Subdivision, in

relation to the solar water heater or small generation unit, that

the second person is not entitled to create.

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Renewable Energy (Electricity) Amendment Bill 2010 No. , 2010 65

Ancillary contraventions

(2) A person must not:

(a) aid, abet, counsel or procure a contravention of

subsection (1); or

(b) induce, whether by threats or promises or otherwise, a

contravention of subsection (1); or

or party to, a contravention of subsection (1); or

(d) conspire with others to effect a contravention of

subsection (1).

Civil penalty provisions

(3) Subsections (1) and (2) are civil penalty provisions.

Note:

Division 1 of Part 15A provides for pecuniary penalties for breaches

of civil penalty provisions.

121 Subsection 30A(1)

Omit "or the regulations", substitute "or has contravened a civil penalty

provision".

Note:

The heading to subsection 30A(1) is altered by adding at the end "or civil penalty

provision contravened".

122 Section 40

Omit all the words from and including "The" to and including "table:",

substitute:

(1) Subject to subsections (2) to (4), the required GWh of renewable

source electricity for a year is as set out in the following table:

123 Section 40 (table items dealing with 2011 to 2030

(inclusive))

Repeal the items, substitute:

2011 10400

2012 12300

2013 14200

2014 16100

2015 18000

2016 22600

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66 Renewable Energy (Electricity) Amendment Bill 2010 No. , 2010

2017 27200

2018 31800

2019 36400

2020 41000

2021 41000

2022 41000

2023 41000

2024 41000

2025 41000

2026 41000

2027 41000

2028 41000

2029 41000

2030 41000

124 At the end of section 40

Add:

(2) If the regulations prescribe a day (the WCMG start day) for the

purpose of subparagraph 17A(1)(a)(i), the table in subsection (1)

has effect as in accordance with subsections (3) and (4).

(3) The number of GWh specified in the table for the year that

includes the WCMG start day is taken to be increased by the

amount worked out using the formula:

Remaining days

in the year

850 GWh

Number of days

in the year

�

where:

remaining days in the year means the number of days in the year

after the WCMG start day.

(4) The number of GWh specified in the table in subsection (1) for

each later year, other than any year after 2020, is taken to be

increased by 850 GWh.

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Renewable Energy (Electricity) Amendment Bill 2010 No. , 2010 67

(5) If, for the year in which the WCMG start day occurs, regulations

were made before that day specifying the renewable power

percentage for the year, the validity of those regulations is not

affected by the fact that the required GWh of renewable source

electricity for the year changed, because of subsection (3), after the

regulations were made.

125 After paragraph 46A(2)(b)

Insert:

(ba) be accompanied by any documents required by the

regulations; and

(bb) be accompanied by any report required by the regulations;

and

126 Subsection 46B(1)

After "Regulator must", insert "(subject to section 46E)".

127 At the end of Division 1A of Part 5

Add:

46D Minister may obtain information from corporation

(1) This section applies to a corporation to which paragraph 51(xx) of

the Constitution applies if:

(a) a person (who may be the corporation) has:

(i) indicated to the Commonwealth that the person believes

that an activity should be made an emissions-intensive

trade-exposed activity; and

(ii) provided information to the Commonwealth in support

of that belief that satisfies any requirements of

regulations made for the purpose of this paragraph; and

(b) that activity is not an emissions-intensive trade-exposed

activity; and

corporation has information that relates to the activity and

that is likely to assist the Commonwealth with either or both

of the following:

(i) deciding whether the activity should be made an

emissions-intensive trade-exposed activity;

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68 Renewable Energy (Electricity) Amendment Bill 2010 No. , 2010

(ii) deciding how any partial exemption in relation to the

activity should be calculated (if the activity is made an

emissions-intensive trade-exposed activity).

Request for information and report

(2) The Minister may, by written notice given to the corporation:

(a) request the corporation to give to the Minister, within the

period and in the manner and form specified in the notice,

any such information; and

(b) request that the information be accompanied by a report

specified in the notice.

(3) A period specified under subsection (2) must not be shorter than 60

days after the notice is given.

Request for information

(4) The Minister may, by written notice given to the corporation,

request the corporation to give to the Minister, within the period

and in the manner and form specified in the notice, any such

information.

(5) A period specified under subsection (4) must not be shorter than 30

days after the notice is given.

46E No partial exemption certificates to be issued to corporation for

5 years if Minister's request not complied with

(1) This section applies if:

(a) a corporation is given a request under subsection 46D(2) or

(4) at a particular time (the request time); and

(b) the corporation is capable of complying with the request; and

and

(d) the Minister notifies the Regulator, in writing, that the

Minister considers that the non-compliance is significant.

(2) No partial exemption certificates are to be issued to the corporation

in relation to the activity for:

(a) the first year that begins after the request time; and

(b) any of the next 4 years after that year.

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46F Disclosure of information to the Regulator

Scope

(1) This section applies to information obtained under section 46D.

Disclosure

(2) The Minister may disclose the information to the Regulator for the

purposes of, or in connection with, the performance of the

functions, or the exercise of the powers, of the Regulator under this

Act and the regulations.

Other powers of disclosure not limited

(3) This section does not, by implication, limit the Minister's powers

to disclose the information to a person other than the Regulator.

128 Subsection 72(1)

After "renewable energy shortfall", insert "charge".

129 At the end of paragraph 73(1)(d)

Add ", or following the making of a civil penalty order against the

debtor".

130 Subparagraph 111(1)(h)(ii)

After "Crimes Act 1914", insert ", or of the contravention of a civil

penalty provision".

131 Subsection 125B(2)

After "criminal proceedings", insert ", or proceedings for a civil penalty

order,".

132 Paragraph 132(1)(a)

Repeal the paragraph, substitute:

(a) the Minister, the Secretary of the Department or an officer of

the Department authorised by the Secretary for the purpose of

this Part; or

133 Paragraphs 154(1)(a) and (3)(a)

After "this Act", insert "(other than section 46D)".

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70 Renewable Energy (Electricity) Amendment Bill 2010 No. , 2010

134 After Part 15

Insert:

Part 15A--Civil penalties

Division 1--Civil penalty orders

154A Definitions

(1) In this Division:

Court means:

(a) the Federal Court; or

(b) the Federal Magistrates Court; or

(d) a District Court or County Court of a State.

penalty unit has the meaning given by section 4AA of the Crimes

Act 1914.

(2) The jurisdiction conferred by this Division on the Supreme Court

of a Territory is conferred to the extent that the Constitution

permits.

154B Civil penalty orders

Court may make civil penalty order

(1) If a Court is satisfied that a person has contravened a civil penalty

provision, the Court may order the person to pay the

Commonwealth a pecuniary penalty.

(2) An order under subsection (1) is to be known as a civil penalty

order.

Amount of penalty for contravention of subsection 24A(1)

(3) The pecuniary penalty for a contravention by an individual of

subsection 24A(1) must not be more than the greater of:

(a) 1 penalty unit for each renewable energy certificate to which

the contravention relates, up to a maximum of 10,000 penalty

units; and

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Renewable Energy (Electricity) Amendment Bill 2010 No. , 2010 71

(b) 100 penalty units.

(4) The pecuniary penalty for a contravention by a body corporate of

subsection 24A(1) must not be more than the greater of:

(a) 5 penalty units for each renewable energy certificate to which

the contravention relates, up to a maximum of 50,000 penalty

units; and

(b) 500 penalty units.

Amount of penalty for contravention of subsection 154N(1)

(5) The pecuniary penalty for a contravention, by an executive officer

of a body corporate, of subsection 154N(1) must not be more than

the maximum pecuniary penalty that could be imposed on the

officer under this section if the officer had committed the

contravention referred to in paragraph 154N(1)(a).

Amount of penalty for contravention of any other civil penalty

provision

(6) The pecuniary penalty for a contravention by a person of a civil

penalty provision, other than subsection 24A(1) or 154N(1), must

not be more than:

(a) if the person is an individual--100 penalty units; or

(b) if the person is a body corporate--500 penalty units.

Matters to be taken into account by Court in determining amount

of penalty

(7) In determining the pecuniary penalty, in accordance with this

section, for a contravention by a person of a civil penalty

provision, the Court may have regard to all relevant matters,

including:

(a) the nature and extent of the contravention; and

(b) the nature and extent of any loss or damage suffered as a

result of the contravention; and

(d) whether the person has previously been found by a court in

proceedings under this Act to have engaged in any similar

conduct; and

(e) the extent to which the person has cooperated with the

authorities; and

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72 Renewable Energy (Electricity) Amendment Bill 2010 No. , 2010

(f) if the person is a body corporate:

(i) the level of the employees, officers or agents of the

body corporate involved in the contravention; and

(ii) whether the body corporate exercised due diligence to

avoid the contravention; and

(iii) whether the body corporate had a corporate culture

conducive to compliance; and

(g) if the contravention is of subsection 24A(1)--whether the

person has surrendered any renewable energy certificates

under section 28A to compensate for the contravention.

Civil enforcement of penalty

(8) A pecuniary penalty is a civil debt payable to the Commonwealth.

The Commonwealth may enforce the civil penalty order as if it

were an order made in civil proceedings against the person to

recover a debt due by the person. The debt arising from the order is

taken to be a judgment debt.

154C Who may apply for a civil penalty order

(1) Only the Regulator may apply for a civil penalty order.

(2) Subsection (1) does not exclude the operation of the Director of

Public Prosecutions Act 1983.

154D Two or more proceedings may be heard together

The Court may direct that 2 or more proceedings for civil penalty

orders are to be heard together.

154E Time limit for application for an order

Proceedings for a civil penalty order may be started no later than 6

years after the contravention.

154F Civil evidence and procedure rules for civil penalty orders

The Court must apply the rules of evidence and procedure for civil

matters when hearing proceedings for a civil penalty order.

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Renewable Energy (Electricity) Amendment Bill 2010 No. , 2010 73

154G Civil proceedings after criminal proceedings

The Court must not make a civil penalty order against a person for

a contravention of a civil penalty provision if the person has been

convicted of an offence constituted by conduct that is substantially

the same as the conduct constituting the contravention.

154H Criminal proceedings during civil proceedings

(1) Proceedings for a civil penalty order against a person for a

contravention of a civil penalty provision are stayed if:

(a) criminal proceedings are started or have already been started

against the person for an offence; and

(b) the offence is constituted by conduct that is substantially the

same as the conduct alleged to constitute the contravention.

(2) The proceedings for the order may be resumed if the person is not

convicted of the offence. Otherwise, the proceedings for the order

are dismissed.

154J Criminal proceedings after civil proceedings

Criminal proceedings may be started against a person for conduct

that is substantially the same as conduct constituting a

contravention of a civil penalty provision regardless of whether a

civil penalty order has been made against the person.

154K Evidence given in proceedings for a civil penalty order not

admissible in criminal proceedings

Evidence of information given, or evidence of production of

documents, by an individual is not admissible in criminal

proceedings against the individual if:

(a) the individual previously gave the evidence or produced the

documents in proceedings for a civil penalty order against the

individual for a contravention of a civil penalty provision

(whether or not the order was made); and

(b) the conduct alleged to constitute the offence is substantially

the same as the conduct that was claimed to constitute the

contravention.

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74 Renewable Energy (Electricity) Amendment Bill 2010 No. , 2010

However, this does not apply to a criminal proceeding in respect of

the falsity of the evidence given by the individual in the

proceedings for the civil penalty order.

154L Mistake of fact

(1) A person is not liable to have a civil penalty order made against the

person for a contravention of a civil penalty provision if:

(a) at or before the time of the conduct constituting the

contravention, the person:

(i) considered whether or not facts existed; and

(ii) was under a mistaken but reasonable belief about those

facts; and

(b) had those facts existed, the conduct would not have

constituted a contravention of the civil penalty provision.

(2) For the purposes of subsection (1), a person may be regarded as

having considered whether or not facts existed if:

(a) the person had considered, on a previous occasion, whether

those facts existed in the circumstances surrounding that

occasion; and

(b) the person honestly and reasonably believed that the

circumstances surrounding the present occasion were the

same, or substantially the same, as those surrounding the

previous occasion.

(3) A person who wishes to rely on subsection (1) or (2) in

proceedings for a civil penalty order bears an evidential burden in

relation to that matter.

154M State of mind

Scope

(1) This section applies to proceedings for a civil penalty order against

a person for a contravention of any of the following civil penalty

provisions:

(a)

subsection

24A(1);

(b)

subsection

24B(1).

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Renewable Energy (Electricity) Amendment Bill 2010 No. , 2010 75

State of mind

(2) In the proceedings, it is not necessary to prove:

(a) the person's intention; or

(b) the person's knowledge; or

(d) the person's negligence; or

(e) any other state of mind of the person.

(3) Subsection (2) does not affect the operation of section 154L.

Division 2--Liability of executive officers of bodies

corporate

154N Civil penalties for executive officers of bodies corporate

(1)

If:

(a) a body corporate contravenes a civil penalty provision; and

(b) an executive officer of the body corporate knew that, or was

reckless or negligent as to whether, the contravention would

occur; and

body corporate in relation to the contravention; and

(d) the officer failed to take all reasonable steps to prevent the

contravention;

the officer contravenes this subsection.

(2) For the purposes of subsection (1), the officer is reckless as to

whether the contravention would occur if:

(a) the officer is aware of a substantial risk that the contravention

would occur; and

(b) having regard to the circumstances known to the officer, it is

unjustifiable to take the risk.

(3) For the purposes of subsection (1), the officer is negligent as to

whether the contravention would occur if the officer's conduct

involves:

(a) such a great falling short of the standard of care that a

reasonable person would exercise in the circumstances; and

(b) such a high risk that the contravention would occur;

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76 Renewable Energy (Electricity) Amendment Bill 2010 No. , 2010

that the conduct merits the imposition of a pecuniary penalty.

Civil penalty provision

(4) Subsection (1) is a civil penalty provision.

Note:

Division 1 provides for pecuniary penalties for breaches of civil

penalty provisions.

154P Reasonable steps to prevent contravention

(1) For the purposes of section 154N, in determining whether an

executive officer of a body corporate failed to take all reasonable

steps to prevent a contravention, a court may have regard to all

relevant matters, including:

(a) what action (if any) the officer took directed towards

ensuring the following (to the extent that the action is

relevant to the contravention):

(i) that the body corporate arranges regular professional

assessments of the body corporate's compliance with

civil penalty provisions;

(ii) that the body corporate implements any appropriate

recommendations arising from such an assessment;

(iii) that the body corporate's employees, agents and

contractors have a reasonable knowledge and

understanding of the requirements to comply with civil

penalty provisions in so far as those requirements affect

the employees, agents or contractors concerned; and

(b) what action (if any) the officer took when he or she became

aware of the contravention.

(2) This section does not limit section 154N.

Part 15B--Other remedies

Division 1--Enforceable undertakings

154Q Acceptance of undertakings

(1) The Regulator may accept any of the following undertakings:

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Renewable Energy (Electricity) Amendment Bill 2010 No. , 2010 77

(a) a written undertaking given by a person that the person will,

in order to comply with this Act, the regulations or the

associated provisions, take specified action;

(b) a written undertaking given by a person that the person will,

in order to comply with this Act, the regulations or the

associated provisions, refrain from taking specified action;

take specified action directed towards ensuring that the

person does not contravene this Act, the regulations or the

associated provisions, or is unlikely to contravene this Act,

the regulations or the associated provisions, in the future;

(d) a written undertaking given by a person that the person will

surrender one or more renewable energy certificates under

section 28A, to compensate for the creation of one or more

certificates that the person was not entitled to create.

(2) The undertaking must be expressed to be an undertaking under this

section.

(3) The person may withdraw or vary the undertaking at any time, but

only with the consent of the Regulator.

(4) The Regulator may, by written notice given to the person, cancel

the undertaking.

(5) The Regulator must publish the undertaking on its website.

(6) In this section:

associated provisions means sections 134.1, 134.2, 135.1, 135.2,

135.4, 136.1, 137.1 and 137.2 of the Criminal Code, in so far as

those sections relate to:

(a) this Act; or

(b)

the

regulations.

154R Enforcement of undertakings

(1)

If:

(a) a person has given an undertaking under section 154Q; and

(b) the undertaking has not been withdrawn or cancelled; and

undertaking;

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78 Renewable Energy (Electricity) Amendment Bill 2010 No. , 2010

the Regulator may apply to the Federal Court for an order under

subsection (2).

(2) If the Federal Court is satisfied that the person has breached the

undertaking, the court may make any or all of the following orders:

(a) an order directing the person to comply with the undertaking;

(b) an order directing the person to pay to the Regulator, on

behalf of the Commonwealth, an amount up to the amount of

any financial benefit that the person has obtained directly or

indirectly and that is reasonably attributable to the breach;

person to compensate any other person who has suffered loss

or damage as a result of the breach;

(d) any other order that the court considers appropriate.

Division 2--Injunctions

154S Injunctions

(1) If a person has engaged, is engaging, or is about to engage in any

conduct that is or would be:

(a) an offence against this Act or the regulations; or

(b) a contravention of a civil penalty provision;

the Federal Court may, on the application of the Regulator or any

other aggrieved person, grant an injunction restraining the person

from engaging in the conduct.

(2)

If:

(a) a person has refused or failed, is refusing or failing, or is

about to refuse or fail, to do a thing; and

(b) the refusal or failure is, or would be:

(i) an offence against this Act or the regulations; or

(ii) a contravention of a civil penalty provision;

the Federal Court may, on the application of the Regulator or any

other aggrieved person, grant an injunction requiring the person to

do the thing.

(3) The power of the Federal Court to grant an injunction may be

exercised:

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Renewable Energy (Electricity) Amendment Bill 2010 No. , 2010 79

(a) whether or not it appears to the Court that the person intends

to engage, or to continue to engage, in conduct of that kind;

and

(b) whether or not the person has previously engaged in conduct

of that kind.

(4) The Federal Court may discharge or vary an injunction granted

under this section.

(5) The Federal Court may grant an interim injunction pending a

determination of an application under subsection (1).

(6) The powers granted by this section are in addition to, and not in

derogation of, any other powers of the Federal Court.

135 Paragraph 156(2)(b)

Omit "and 14", substitute ", 14, 15A and 15B".

136 After section 160

Insert:

160A Prescribing matters by reference to other instruments

(1) The regulations may make provision in relation to a matter by

applying, adopting or incorporating, with or without modification,

a matter contained in an instrument or writing:

(a) as in force or existing at a particular time; or

(b) as in force or existing from time to time.

(2) Subsection (1) has effect despite anything in subsection 14(2) of

the Legislative Instruments Act 2003.

(3) If the regulations make provision in relation to a matter by

applying, adopting or incorporating, with or without modification,

a matter contained in an instrument or writing, the Regulator must

ensure that the text of the matter applied, adopted or incorporated

is published on its website.

(4) Subsection (3) does not apply if the publication would infringe

Application, saving and transitional provisions Schedule 2

Provisions relating to main amendments Part 1

Renewable Energy (Electricity) Amendment Bill 2010 No. , 2010 81

Schedule 2--Application, saving and

transitional provisions

Part 1--Provisions relating to main amendments

1 Definitions

In this Part:

amended REE Act means the REE Act as in force after the reform

commencement.

old REE Act means the REE Act as in force immediately before the

reform commencement.

REE Act means the Renewable Energy (Electricity) Act 2000.

reform commencement means the commencement of Part 1 of

Schedule 1.

reform transitional provisions means:

(a) the provisions of this Part; and

(b) any provisions of regulations made under Part 3 of this

Schedule that relate to any of the amendments and repeals

made by Part 1 of Schedule 1.

Schedule 1 means Schedule 1 to this Act.

2 Application of amendments relating to liability to charge

The amendments made by items 59 to 89 of Schedule 1 apply in

relation to liability to charge under the REE Act, and related matters, for

the year starting on the reform commencement and later years.

3 Application of amendments relating to creation of

certificates

Subject to the other reform transitional provisions, the amendments

made by items 39 to 48 of Schedule 1 apply in relation to the creation of

certificates on or after the reform commencement.

4 Certificates created before the reform commencement

(1)

For the purposes of the amended REE Act, renewable energy

certificates created under the REE Act before the reform

commencement are taken to be large-scale generation certificates

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82 Renewable Energy (Electricity) Amendment Bill 2010 No. , 2010

(including certificates that were created in relation to solar water heaters

and small generation units).

(2)

This item does not apply to a certificate that ceased to be valid before

the reform commencement.

5 Certificates created after reform commencement for

small-scale technology installed before that

commencement

(1)

This item applies in relation to a solar water heater or small generation

unit if:

(a) the heater or unit was installed, or is taken to have been

installed, before the reform commencement; and

(b) the period (the certificate creation period) within which,

under old REE Act (and regulations under that Act),

certificates could be created in relation to the heater or unit

had not ended by that commencement.

(2)

For the remainder of the certificate creation period, Subdivision B or

BA (as the case requires) of Division 4 of Part 2 of the amended REE

Act applies in relation to the heater or the unit. However, certificates

created in relation to the heater or unit are taken to be large-scale

technology certificates.

6 References in contracts to renewable energy certificates

(1)

This item applies to a contract that was entered into before this Act

received the Royal Assent.

(2)

Subject to subitem (3), a reference in the contract to a renewable energy

certificate, or to a certificate, within the meaning of the old REE Act is

taken, on and after the reform commencement, to be a reference to a

large-scale generation certificate within the meaning of the amended

REE Act (including a certificate that is taken to be a large-scale

generation certificate by any of the other reform transitional provisions).

(3)

Subitem (2) has effect subject to:

(a) any contrary intention expressed in the contract; and

(b) any agreement to a contrary effect by the parties to the

contract; and

(c)

the

regulations.

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Renewable Energy (Electricity) Amendment Bill 2010 No. , 2010 83

(4)

The fact that a contract refers to certificates as being created in relation

to solar water heaters or small generation units is not, by itself, a

contrary intention for the purpose of subitem (3).

7 Contracts for the supply of certificates relating to

small-scale technology

(1)

This item applies in relation to a contract if:

(a) the contract is or was entered into on or before 25 February

2010; and

(b) the contract is in writing; and

transfer renewable energy certificates (however described) to

another party on or after the reform commencement; and

(d) because of item 6, the renewable energy certificates that are

required to be transferred under the contract are large-scale

generation certificates; and

(e)

either:

(i) the contract refers to the certificates as being created in

relation to solar water heaters or small generation units;

(ii) it is clear from the context of the contract that the parties

expect the certificates to be created in relation to solar

water heaters or small generation units; and

(f) the contract does not solely relate to certificates that either:

(i) have been or will be created before the reform

commencement; or

(ii) will be created after the reform commencement in

relation to solar water heaters or small generation units

that were installed before the reform commencement.

(2)

The regulations may provide for some or all of the certificates, when

they are transferred under the contract, to become, and to be taken to

have been, large-scale generation certificates.

(3)

Without limiting subitem (2), the regulations may do any of the

following:

(a) require information or documents to be given to the

Regulator in relation to the contract or the certificates;

(b) provide that information or documents required to be given to

the Regulator must be verified by statutory declaration;

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Part 1 Provisions relating to main amendments

84 Renewable Energy (Electricity) Amendment Bill 2010 No. , 2010

the register of small-scale technology certificates and the

8 The register of renewable energy certificates

(1)

The register of renewable energy certificates under the old REE Act

continues, on and after the reform commencement, as the register of

large-scale generation certificates under the amended REE Act.

(2)

The Regulator may make any changes to that register that the Regulator

considers appropriate because of any of the following:

(a) the change of name of the register;

(b) the fact that the certificates included in the register are, under

the amended REE Act, known as large-scale generation

certificates;

the register will also include certificates created in relation to

some solar water heaters and small generation units.

9 No effect on time of creation or on number of certificates

that can be created

Unless a contrary intention appears, nothing in the reform transitional

provisions:

(a) increases the number of certificates that a person may create;

(b) changes the time at which a certificate was created before the

reform commencement; or

reform commencement is valid.

10 Application of section 40C

Section 40C of the amended REE Act applies in relation to energy

acquisition statements lodged, after the reform commencement, for the

year that commenced on 1 January 2010 and later years.

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Provisions relating to other amendments Part 2

Renewable Energy (Electricity) Amendment Bill 2010 No. , 2010 85

Part 2--Provisions relating to other amendments

11 Application of amendment made by item 113 of

Schedule 1

The amendment made by item 113 of Schedule 1 to this Act applies to

the year of generation that started on 1 January 2008 and later years of

generation.

12 Saving provision relating to amendment made by item 117

of Schedule 1

Despite the amendment made by item 117 of Schedule 1 to this Act,

regulations in force for the purpose of subsection 22(1) of the

Renewable Energy (Electricity) Act 2000 immediately before the

commencement of that item continue in force, after that

commencement, until the first regulations made under that subsection

after that commencement take effect.

13 Application of amendment made by item 134 of

Schedule 1

Neither of the following can be made against a person in relation to

conduct, or a refusal or failure, that occurred before the commencement

of item 134 of Schedule 1 to this Act:

(a) a civil penalty order under section 154B of the Renewable

Energy (Electricity) Act 2000 as in force after the

commencement of that item;

(b) an injunction under section 154S of that Act as so in force.

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Part 3 Regulations

86 Renewable Energy (Electricity) Amendment Bill 2010 No. , 2010

Part 3--Regulations

14 Regulations may deal with transitional etc. matters

(1)

The regulations may include provisions dealing with matters of a

transitional, saving or application nature relating to any of the

amendments and repeals made by this Act.

(2)

Regulations made for the purpose of subitem (1) may make provision in

relation to a matter by conferring a power to make a decision of an

administrative character on the Regulator.

15 Regulations

The Governor-General may make regulations prescribing matters:

(a) required or permitted under this Schedule to be prescribed; or

(b) necessary or convenient to be prescribed for carrying out or

giving effect to this Schedule.

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Renewable Energy (Electricity) Amendment Bill 2010 No. , 2010 87

Part 4--Other matters

16 Compensation for acquisition of property

(1)

If the amendments made by this Act, or the provisions of this Schedule

or the regulations, would result in an acquisition of property from a

person otherwise than on just terms, the Commonwealth is liable to pay

a reasonable amount of compensation to the person.

(2)

If the Commonwealth and the person do not agree on the amount of the

compensation, the person may institute proceedings in a court of

competent jurisdiction for the recovery from the Commonwealth of

such reasonable amount of compensation as the court determines.

(3)

In this item:

acquisition of property has the same meaning as in paragraph 51(xxxi)

of the Constitution.

just terms has the same meaning as in paragraph 51(xxxi) of the

Constitution.

Commonwealth of Australia Bills

RENEWABLE ENERGY (ELECTRICITY) AMENDMENT BILL 2010