CLEAN ENERGY ACT 2011 (NO. 131, 2011) - SECT 303B Loans to owners etc. of emissions-intensive coal-fired generation complexes

CLEAN ENERGY ACT 2011 (NO. 131, 2011) - SECT 303B

Loans to purchase future carbon units

             (1)  The Treasurer may authorise loans of money (whether secured or unsecured) by the Commonwealth, where each loan is made:

                     (a)  for the purpose of purchasing future carbon units at an auction conducted by the Regulator during:

                              (i)  the first financial year during which future carbon units are issued; or

                             (ii)  either of the next 2 financial years; and

                     (b)  to a person who:

                              (i)  owns, controls or operates an emissions-intensive coal-fired generation complex; and

                             (ii)  is a constitutional corporation.

Loans to refinance existing loans

             (2)  The Treasurer may authorise loans of money (whether secured or unsecured) by the Commonwealth, where each loan is made:

                     (a)  for the purpose of refinancing another loan that relates (in whole or in part) to an emissions-intensive coal-fired generation complex; and

                     (b)  to a person who:

                              (i)  owns, controls or operates the generation complex; and

                             (ii)  is a constitutional corporation; and

                     (c)  during the period of 3 years beginning at the commencement of this section.

Appropriation

             (3)  The Consolidated Revenue Fund is appropriated for the purposes of making a loan authorised under subsection (1) or (2).

Emissions-intensive coal-fired generation complex

             (4)  For the purposes of this section, an emissions-intensive coal-fired generation complex is a generation complex, where:

                     (a)  at least 95% of the electricity generated by the generation complex during the period:

                              (i)  beginning on 1 July 2008; and

                             (ii)  ending on 30 June 2010;

                            was attributable to the combustion of coal; and

                     (b)  the emissions intensity of the generation complex is greater than 0.80.

Note:          For emissions intensity , see section 168.

             (5)  For the purposes of subsection (4), disregard subsection 168(2) in working out the emissions intensity of a generation complex.

Future carbon unit

             (6)  For the purposes of this section, a future carbon unit is a carbon unit:

                     (a)  with a particular vintage year; and

                     (b)  that is issued as a result of an auction conducted by the Regulator before the start of the vintage year.

Transitional--definitions

             (7)  For the purposes of this section, if a term used in this section is defined in section 5 or 168, the definition has effect, during the period:

                     (a)  beginning at the commencement of this section; and

                     (b)  ending at the commencement of sections 5 and 168;

as if sections 5 and 168 had commenced at the same time as this section.

Constitutional basis

             (8)  Section 307 does not apply to this section.