(1)  Subject to this section, the Board may by notice in writing served on the person responsible for an environmentally relevant activity, or a site in respect of which a notice issued under Part 5A has been issued, require that person to lodge with the Board a financial assurance in the form of a bond (supported by a guarantee, insurance policy or other security approved by the Board), or a specified pecuniary sum, the discharge or repayment of which is conditional on that person–

(a) not committing any contravention of this Act of a specified kind during a specified period; or

(b) taking specified action within a specified period to achieve compliance with this Act; or

(c) complying with any conditions or restrictions requiring the person to take action for the purposes of remediation, site clean-up, site decommissioning or infrastructure decommissioning and which –

(i) have been required by the Board under section 25 to be contained in a permit or under section 27 to be contained in an environment protection notice; or

(ii) are contained in an environment protection notice issued and served by the Director under section 44 ; or

(d) in the case of a notice issued under Part 5A , complying with any requirements specified in the notice; or

(da) complying with any conditions or restrictions imposed on an environmental licence held by the person; or

(e) complying with any conditions or restrictions that are, in accordance with a request contained in a final advice given by the Board under section 60ZZF(1) of the Land Use Planning and Approvals Act 1993 , imposed on a major project granted under that Act.

(2)  The Board may not require the lodgment of a bond or pecuniary sum unless satisfied –

(a) that imposition of the conditions is justified in view of the degree of risk of environmental harm associated with the activities that may be undertaken by the person or the likelihood of action being required to make good resulting environmental damage; or

(b) that –

(i) the person has on one or more occasions contravened this Act in relation to the activity; and

(ii) the requiring of the assurance is justified in view of the nature of the contravention or the nature, number or frequency of the contraventions; or

(c) as to any other matters prescribed by regulation.

(3)  The Board may not require the lodgment of a bond or a pecuniary sum of an amount greater than the amount that, in the opinion of the Board, represents the total of the likely costs, expenses, loss and damage that might be incurred or suffered by persons as a result of failure by the person to satisfy the conditions of discharge or repayment of the bond or pecuniary sum.

(4)  A pecuniary sum lodged with the Board in accordance with conditions under subsection (1) is to be paid into the Fund, and the amount of the pecuniary sum that has not been repaid or forfeited to the Fund is, on satisfaction of the conditions of repayment, to be repaid to the person together with an amount representing interest calculated in accordance with the regulations.

(5)  If the Board requires a person to lodge with the Board a financial assurance under subsection (1) , that person may appeal to the Appeal Tribunal against the requirement.