(1) Subsection (2) applies if--
(a) the regulator is satisfied, or reasonably believes--
(i) a service provider is not complying with the service provider's strategic asset management plan, system leakage management plan or drinking water quality management plan; or
(ii) a service provider's strategic asset management plan, system leakage management plan or drinking water quality management plan is no longer adequate for the service provider's registered services; or
(b) a service provider does not--
(i) have an audit report prepared under section 108; or
(ii) give the regulator a copy of an audit report under section 108.
(2) In addition to any regular audit mentioned in section 108, the regulator may, by giving a service provider a show cause notice, arrange for a spot audit report to be prepared about the service provider's strategic asset management plan, system leakage management plan or drinking water quality management plan.
(3) The spot audit report for a strategic asset management plan or system leakage management plan must be prepared by a registered professional engineer.
(4) The spot audit report for a drinking water quality management plan must be prepared by a person who--
(a) is certified under the Drinking Water-Quality Management System Auditor Certification Scheme to conduct an audit of the type to which the report relates; or
(b) has a qualification the regulator is satisfied is at least equivalent to the qualification mentioned in paragraph (a).
(5) The regulator must give the service provider a copy of the report within 30 business days after its completion.
(6) Subsections (7) to (9) apply if the report states either or both of the following--
(a) the service provider's strategic asset management plan, system leakage management plan or drinking water quality management plan is inadequate in a material particular;
(b) the service provider has not properly carried out the plan.
(7) The regulator must give the service provider an information notice requiring the service provider, within the reasonable period stated in the notice--
(a) if subsection (6)(a) applies--to rectify the inadequacy; or
(b) if subsection (6)(b) applies--to properly carry out the plan.
(8) The service provider must comply with the notice unless the service provider has a reasonable excuse.
Maximum penalty--
(a) for a notice about a strategic asset management plan--1665 penalty units; or
(b) for a notice about a system leakage management plan--670 penalty units; or
(c) for a notice about a drinking water quality management plan--1665 penalty units.
(9) The regulator may recover from the service provider an amount equal to the cost of completing the report.