159 Recovery of costs

(1)

This section applies if a person—

(a)

is required to surrender or repay units and does not do so, or does not surrender or repay the total number of units required to be surrendered or repaid, within 90 days after the date of a penalty notice given under section 134 in relation to the units; or

(b)

is a participant and enters into an insolvency process.

(2)

If this section applies, the chief executive may seek to recover from the person, in a court of competent jurisdiction,—

(a)

the cost of the units owed by the person as a debt; and

(b)

the cost of the units that the insolvent participant would be required to surrender or repay under this Act (other than this provision); and

(c)

any costs associated with bringing and carrying out the action to recover the debt.

(3)

For the purposes of subsection (2)(a), the following formula must be used to calculate the total cost of the units:

A = B × C

where—

A

is the total cost of the units

B

is the number of units

C

is the price, in dollars, of carbon per tonne on the relevant date, as set by or in accordance with regulations made under section 30W.

(4)

Any administrative costs incurred in the recovery of costs under subsection (2) and any penalties incurred under section 134 to 134D constitute a debt to the Crown and are recoverable by the chief executive in a court of competent jurisdiction.

(5)

In this section,—

insolvency process means receivership under the Receiverships Act 1993, liquidation under the Companies Act 1993, or bankruptcy under the Insolvency Act 2006

relevant date means the earlier of—

(a)

the date that is 90 days after the date of the penalty notice; and

(b)

the date on which the person enters into an insolvency process.

Section 159: replaced, on 1 January 2013, by section 60 of the Climate Change Response (Emissions Trading and Other Matters) Amendment Act 2012 (2012 No 89).

Section 159(1)(a): amended, on 1 January 2021, by section 224(1) of the Climate Change Response (Emissions Trading Reform) Amendment Act 2020 (2020 No 22).

Section 159(2)(b): amended, on 23 June 2020, by section 132 of the Climate Change Response (Emissions Trading Reform) Amendment Act 2020 (2020 No 22).

Section 159(3) formula item C: replaced, on 1 January 2021, by section 224(2) of the Climate Change Response (Emissions Trading Reform) Amendment Act 2020 (2020 No 22).

Section 159(4): amended, on 1 January 2021, by section 224(3) of the Climate Change Response (Emissions Trading Reform) Amendment Act 2020 (2020 No 22).

Section 159(5): replaced, on 1 January 2021, by section 224(4) of the Climate Change Response (Emissions Trading Reform) Amendment Act 2020 (2020 No 22).