Document ID: chunk:federal_register_of_legislation:C2020A00048:section:12
Version: federal_register_of_legislation:C2020A00048
Segment Type: section
Provision Reference: s 12
Character Range: 8411–10205

12  Base component

First eligible financial year
 (1) For the purposes of this Act, the base component for a month in the first eligible financial year is:
 (a) $7.09; or
 (b) if another amount is determined under subsection (4) in relation to that month—that other amount.

Second and subsequent eligible financial years
 (2) For the purposes of this Act, the base component for a month in:
 (a) the second eligible financial year; or
 (b) a later financial year;
is:
 (c) the amount calculated using the formula in subsection (3); or
 (d) if another amount is determined under subsection (4) in relation to that month—that other amount.
 (3) The formula mentioned in paragraph (2)(c) is:
where:
indexation factor means the indexation factor for the financial year.
previous base component means the base component for a month in the previous financial year.

Determinations
 (4) The Minister may, by legislative instrument:
 (a) for the purposes of paragraph (1)(b), determine a single specified amount in relation to each of the months in the first eligible financial year; or
 (b) for the purposes of paragraph (2)(d), determine a single specified amount in relation to each of the months in a specified financial year.
Note: See also section 19.
 (5) In deciding whether to make a determination under subsection (4), the Minister must have regard to the following:
 (a) the most recent advice that the ACCC has given to the Minister under section 13;
 (b) such other matters (if any) as the Minister considers relevant.
 (6) The Minister must not make a determination under subsection (4) unless the ACCC has given advice to the Minister under section 13.
 (7) A determination under subsection (4) must not be inconsistent with section 17A (which deals with the combined component cap).