Greg Combet (Charlton, Australian Labor Party, Minister for Climate Change and Energy Efficiency) Share this | Hansard source

Thank you, Mr Deputy Speaker Scott, and congratulations on your election. I present a supplementary explanatory memorandum to the Clean Energy Amendment (International Emissions Trading and Other Measures) Bill 2012 and seek leave to move government amendments (1) and (2) as circulated together.

Leave granted.

by leave—I move:

(1) Schedule 1, page 55 (after line 11), after item 80, insert:

80A Paragraph 126(2)(a)

Omit “a particular provision of Division 2 of Part 3 in so far as that provision”, substitute “Division 2 of Part 3 in so far as that Division”.

80B Paragraph 126(2)(b)

Omit “that provision in so far as that provision”, substitute “that Division in so far as that Division”.

80C Subsection 126(4)

Omit “provisional emissions number of the person for the relevant eligible financial year under a particular provision of Division 2 of Part 3 in so far as that provision”, substitute “total of the provisional emissions numbers of the person for the relevant eligible financial year under Division 2 of Part 3 in so far as that Division”.

(2) Schedule 1, page 55, after proposed item 80C, insert:

80D Subparagraphs 127(1)(d)(ii) and (iii)

Omit “a particular provision of Division 2 of Part 3 in so far as that provision”, substitute “Division 2 of Part 3 in so far as that Division”.

These amendments remove a potential ambiguity in some of the drafting of provisions of the Clean Energy Act 2011 concerning interim emissions numbers. The amendments ensure that there is no ambiguity about the application of the policy behind section 126 of the act. They make it clear that, apart from the specific circumstances set out in section 127 of the Clean Energy Act 2011, all liable entities for facilities will have an interim emissions number in 2012-13 and in subsequent fixed price years and will, therefore, have a provisional surrender obligation in those years.

The government made this policy position plain in paragraph 4.26 of the explanatory memorandum to the Clean Energy Bill 2011 and therefore there is no material policy change. It is simply a clarifying amendment.

In particular, the two amendments make it clear that an interim emissions number is not dependent on having two provisional emissions numbers arising for a facility under the same provision of the Clean Energy Act 2011 for two consecutive years. Rather, they make it clear that a provisional emissions number for a facility may arise under different provisions of part 3, division 2 of the Clean Energy Act 2011 with respect to those years. I commend the amendments to the House.

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