Document ID: chunk:federal_register_of_legislation:C2024C00572:section:22xk:p1
Version: federal_register_of_legislation:C2024C00572
Segment Type: section
Provision Reference: s 22XK (pt 1/2)
Character Range: 105995–108665

22XK  Net emissions number
 (1) For the purposes of this Act, the net emissions number for a facility for a period is the number of tonnes of carbon dioxide equivalence of the total amount of covered emissions of greenhouse gases from the operation of the facility during the period.

Reduction—surrender of prescribed carbon units
 (2) If:
 (a) a number of prescribed carbon units are surrendered on a particular occasion; and
 (b) the notice surrendering the units contains a statement to the effect that the units are being surrendered for the purpose of reducing the net emissions number for a facility for a period;
the net emissions number for the facility for the period is reduced (but not below zero) by:
 (c) if the safeguard rules provide that this paragraph applies to the surrender of those units—the number worked out in accordance with the safeguard rules for that surrender; or
 (d) otherwise—the number of units surrendered.
Note: For surrender of prescribed carbon units, see section 22XN.
 (2A) Safeguard rules made for the purposes of paragraph (2)(c) may provide that if:
 (a) a person:
 (i) surrendered; or
 (ii) because of safeguard rules made for the purposes of paragraph (3)(d), is taken to have surrendered;
  a number of prescribed carbon units for the purpose of reducing the net emissions number for a facility for a period; and
 (b) some or all of those units:
 (i) are prescribed carbon units of a specified kind; or
 (ii) satisfy specified conditions;
the net emissions number for the facility for the period is reduced (but not below zero) by a number, worked out in accordance with those rules, that is less than the number of prescribed carbon units surrendered.
 (2B) Subsection (2A) does not limit the safeguard rules that may be made for the purposes of paragraph (2)(c).
 (3) If:
 (a) a person surrendered a number of prescribed carbon units for the purpose of reducing the net emissions number for a facility for a period; and
 (b) under the safeguard rules:
 (i) there is taken to be an excess surrender situation of the person in relation to the facility for the period; and
 (ii) one or more of those units are taken to be covered by the excess surrender situation;
the safeguard rules may provide that this section has effect as if:
 (c) the person had not surrendered the prescribed carbon units covered by the excess surrender situation for the purpose of reducing the net emissions number for the facility for the period; and
 (d) the person had, at a time ascertained in accordance with the safeguard rules, surrendered, in relation to a later period ascertained in accordance with the safeguard rules, some or all of the