44Notification of reversal of storage

44 Notification of reversal of storage

(1) This regulation applies if the international transaction log notifies the Regulator that a specified number of long‑term certified emission reductions held in relation to a specified clean development mechanism project must be replaced or cancelled by the cancellation day because a reversal of storage for the project has occurred. (2) The Regulator must notify a registered holder of the emission reductions, in writing, of the following: (a) that a specified number of the holder’s long‑term certified emission reductions held in relation to the project must be replaced; (b) the replacement day, and that the replacement must occur 7 days before the cancellation day; (c) the cancellation day; (d) if the replacement has not occurred by the replacement day—that the specified number of emission reductions will be transferred to the mandatory cancellation account for the relevant commitment period. (3) The Regulator must work out the number of long‑term certified emission reductions that the registered holder will be required to replace by: (a) dividing the total number of long‑term certified emission reductions specified in the notice as affected by the reversal of storage by the total number of long‑term certified emission reductions for the project held in the Registry; and (b) multiplying the result by the number of long‑term certified emission reductions for the project that are held by the registered holder; and (c) rounding up the result to the nearest whole number. (4) For paragraph (3)(a), the total number of long‑term certified emission reductions for the project held in the Registry does not include cancelled or previously replaced long‑term certified emission reductions. (5) The Regulator must notify the registered holder under subregulation (2) at least 21 days before the cancellation day.