•       Free carbon units may be issued in respect of generation complexes that meet certain eligibility requirements.

•       Free units will be issued during:

               (a)     the financial year beginning on 1 July 2013; and

              (b)     each of the next 3 financial years.

•       The number of free units is capped.

•       Free units will not be issued if a generation complex does not pass the power system reliability test for a financial year.

•       Free units will not be issued in respect of a generation complex unless a Clean Energy Investment Plan is given to the Resources and Energy Minister.

•       If a closure contract is in force in relation to a generation complex:

               (a)     there will be restrictions on the free units that may be issued in respect of the generation complex; and

              (b)     the generation complex does not have to pass the power system reliability test; and

               (c)     the requirement to give a Clean Energy Investment Plan does not apply in relation to the generation complex.