Commonwealth Numbered Acts Commonwealth Numbered Acts(1) The Regulator may issue carbon units as the result of an auction conducted by the Regulator.
Issue of units
(2) The Regulator must not issue one or more carbon units to a person as the result of an auction unless:
(a) the person has tendered the total amount of charges payable for, or imposed on, the issue of the units; or
(b) both:
(i) the person has lodged a deposit that relates to the total amount of charges payable for, or imposed on, the issue of the units; and
(ii) the person has tendered the balance of the total amount of the charges.
Note: For rules about deposits, see section 113.
Charge payable
(3) If a carbon unit is issued to a person as a result of an auction, the person is liable to pay a charge for the issue of the unit.
(4) Subsection (3) has effect only so far as it is not a law imposing taxation within the meaning of section 55 of the Constitution.
Note: See also:
(a) Part 2 of the Clean Energy (Charges--Excise) Act 2011 ; and
(b) Part 2 of the Clean Energy (Charges--Customs) Act 2011 ; and
(c) the Clean Energy (Unit Issue Charge--Auctions) Act 2011 .
Amount of charge
(5) The amount of charge payable under subsection (3) for the issue of a carbon unit is the amount equal to the amount the person indicated or declared, in the course of the auction, that the person would be willing to pay by way of charge for the issue of the unit, so long as:
(a) in a case where:
(i) the unit has the vintage year beginning on 1 July 2015; and
(ii) regulations are in force for the purposes of section 8 of the Clean Energy (International Unit Surrender Charge) Act 2011 in relation to the surrender of an eligible international emissions unit in relation to the vintage year;
the amount the person indicated or declared, in the course of the auction, that the person would be willing to pay by way of charge for the issue of the unit is not less than:
(iii) $15; or
(iv) if a greater amount is prescribed for the purposes of this subparagraph--that greater amount; and
(b) in a case where:
(i) the unit has the vintage year beginning on 1 July 2016; and
(ii) regulations are in force for the purposes of section 8 of the Clean Energy (International Unit Surrender Charge) Act 2011 in relation to the surrender of an eligible international emissions unit in relation to the vintage year;
the amount the person indicated or declared, in the course of the auction, that the person would be willing to pay by way of charge for the issue of the unit is not less than:
(iii) $16; or
(iv) if a greater amount is prescribed for the purposes of this subparagraph--that greater amount; and
(c) in a case where:
(i) the unit has the vintage year beginning on 1 July 2017; and
(ii) regulations are in force for the purposes of section 8 of the Clean Energy (International Unit Surrender Charge) Act 2011 in relation to the surrender of an eligible international emissions unit in relation to the vintage year;
the amount the person indicated or declared, in the course of the auction, that the person would be willing to pay by way of charge for the issue of the unit is not less than:
(iii) $17.05; or
(iv) if a greater amount is prescribed for the purposes of this subparagraph--that greater amount; and
(d) in a case where:
(i) none of the above paragraphs apply; and
(ii) under the regulations, an amount is taken to be the reserve charge amount in relation to the auction;
the amount the person indicated or declared, in the course of the auction, that the person would be willing to pay by way of charge for the issue of the unit is not less than that reserve charge amount.
(6) Subsection (5) does not apply to an amount the person indicated or declared, in the course of the auction, that the person would be willing to pay by way of charge for the issue of the unit, unless the amount was accepted by the Regulator in the course of the auction.
Recovery of charge
(7) If:
(a) charge is payable for, or imposed on, the issue of a carbon unit; and
(b) the unit is issued as the result of an auction;
an amount of charge payable for, or imposed on, the issue of the unit:
(c) is a debt due to the Commonwealth; and
(d) may be recovered by the Regulator, on behalf of the Commonwealth, by action in a court of competent jurisdiction.
Charge must not be arbitrary
(8) The Regulator must not perform any of its functions, or exercise any of its powers, in relation to an auction in a way that would contravene the constitutional requirement that taxation must not be arbitrary.