Jenny McAllister (NSW, Australian Labor Party, Assistant Minister for Climate Change and Energy) Share this | Hansard source

The existing scheme, which operated under your government, also has a penalty for noncompliance, and it's linked to the standard penalty units that are present in the Commonwealth framework. Essentially, the penalty is a penalty that would be paid for noncompliance. We expect that most businesses will want to comply. The cost containment measure is a far more likely pathway for a business that is seeking to avail itself of ACCUs for compliance than the penalty; however, it is important that a penalty for noncompliance exists. I will note, however, that the safeguard mechanism so far has had 100 per cent compliance.