25Liable entity for landfill emissions—holder of a liability transfer certificate

#### 25 Liable entity for landfill emissions—holder of a liability transfer certificate Scope (1) This section applies if: (a) either: (i) a person was the holder of a liability transfer certificate in relation to a landfill facility throughout an eligible financial year; or (ii) a person was the holder of a liability transfer certificate in relation to a landfill facility for a number of, but not all, days in an eligible financial year (the certificate days); and (b) the facility passes the threshold test set out in subsection (4) or (5) for the eligible financial year; and (c) the total amount of covered emissions from the operation of the landfill facility: (i) if subparagraph (a)(i) applies—during the eligible financial year; or (ii) if subparagraph (a)(ii) applies—during the certificate days; has a carbon dioxide equivalence of a particular number of tonnes. Provisional emissions number (2) For the purposes of this Act, that number is a provisional emissions number of the person for the eligible financial year. Liable entity (3) For the purposes of this Act, the person is a liable entity for the eligible financial year. Threshold test—whole year (4) The facility passes the threshold test for the eligible financial year if: (a) the person was the holder of the liability transfer certificate throughout the eligible financial year; and (b) during the eligible financial year, the number of tonnes of the carbon dioxide equivalence of the total amount of covered emissions, legacy emissions and exempt landfill emissions from the operation of the landfill facility is not less than the landfill facility’s threshold number for the eligible financial year. > Note 1: For the landfill facility’s threshold number, see subsection (8). > Note 2: See also section 29 (anti‑avoidance). Threshold test—control days (5) The facility passes the threshold test for the eligible financial year if: (a) the person was the holder of the liability transfer certificate for a number of, but not all, days in the eligible financial year (the certificate days); and (b) during the control days, the number of tonnes of the carbon dioxide equivalence of the total amount of covered emissions, legacy emissions and exempt landfill emissions from the operation of the landfill facility is not less than the number worked out using the formula:  > Note 1: For the landfill facility’s threshold number, see subsection (8). > Note 2: See also section 29 (anti‑avoidance). OTNs—no double counting (6) If: (a) the person was the holder of the liability transfer certificate throughout the eligible financial year; and (b) during the eligible financial year, an amount of covered emissions from the operation of the landfill facility was attributable to the combustion of natural gas that was: (i) supplied by a natural gas supplier to a person (the recipient) (who may be the holder); and (ii) withdrawn from a gas supply pipeline for the purposes of the use that resulted in that combustion; and (c) the recipient did not quote the recipient’s OTN in relation to the supply of the natural gas; the amount mentioned in paragraph (b): (d) does not count for the purposes of subsection (1); and (e) counts for the purposes of paragraph (4)(b). (7) If: (a) the person was the holder of the liability transfer certificate for a number of, but not all, days in the eligible financial year (the certificate days); and (b) during the certificate days, an amount of covered emissions from the operation of the landfill facility was attributable to the combustion of natural gas that was: (i) supplied by a natural gas supplier to a person (the recipient) (who may be the holder); and (ii) withdrawn from a gas supply pipeline for the purposes of the use that resulted in that combustion; and (c) the recipient did not quote the recipient’s OTN in relation to the supply of the natural gas; the amount mentioned in paragraph (b): (d) does not count for the purposes of subsection (1); and (e) counts for the purposes of paragraph (5)(b). Compressed natural gas—no double counting (7A) If: (a) the person was the holder of the liability transfer certificate throughout the eligible financial year; and (b) during the eligible financial year, an amount of covered emissions from the operation of the landfill facility was attributable to the combustion of compressed natural gas; and (c) it is not the case that the compressed natural gas was manufactured at the landfill facility using natural gas that was supplied by a natural gas supplier to a person (the recipient) (who may be the holder) who quoted the recipient’s OTN in relation to the supply of the natural gas; the amount mentioned in paragraph (b): (d) does not count for the purposes of subsection (1); and (e) counts for the purposes of paragraph (4)(b). (7B) If: (a) the person was the holder of the liability transfer certificate for a number of, but not all, days in the eligible financial year (the certificate days); and (b) during the certificate days, an amount of covered emissions from the operation of the landfill facility was attributable to the combustion of compressed natural gas; and (c) it is not the case that the compressed natural gas was manufactured at the landfill facility using natural gas that was supplied by a natural gas supplier to a person (the recipient) (who may be the holder) who quoted the recipient’s OTN in relation to the supply of the natural gas; the amount mentioned in paragraph (b): (d) does not count for the purposes of subsection (1); and (e) counts for the purposes of paragraph (5)(b). Gaseous fuel—no double counting (7C) If: (a) the person was the holder of the liability transfer certificate throughout the eligible financial year; and (b) during the eligible financial year, an amount of covered emissions from the operation of the landfill facility was attributable to the non‑transport combustion of liquefied petroleum gas or liquefied natural gas that was supplied by a gaseous fuel supplier to a person (the recipient) (who may be the holder); and (c) the recipient did not quote the recipient’s OTN in relation to the supply of the liquefied petroleum gas or liquefied natural gas; and (d) the gaseous fuel supplier has, under section 36B or 36C, a preliminary emissions number for an eligible financial year; and (e) the preliminary emissions number is wholly or partly attributable to the import, manufacture or production of the liquefied petroleum gas or liquefied natural gas; the amount mentioned in paragraph (b): (f) does not count for the purposes of subsection (1); and (g) counts for the purposes of paragraph (4)(b). (7D) If: (a) the person was the holder of the liability transfer certificate for a number of, but not all, days in the eligible financial year (the certificate days); and (b) during the certificate days, an amount of covered emissions from the operation of the landfill facility was attributable to the non‑transport combustion of liquefied petroleum gas or liquefied natural gas that was supplied by a gaseous fuel supplier to a person (the recipient) (who may be the holder); and (c) the recipient did not quote the recipient’s OTN in relation to the supply of the liquefied petroleum gas or liquefied natural gas; and (d) the gaseous fuel supplier has, under section 36B or 36C, a preliminary emissions number for an eligible financial year; and (e) the preliminary emissions number is wholly or partly attributable to the import, manufacture or production of the liquefied petroleum gas or liquefied natural gas; the amount mentioned in paragraph (b): (f) does not count for the purposes of subsection (1); and (g) counts for the purposes of paragraph (5)(b). Own‑use notifications—no double counting (7E) If: (a) the person was the holder of the liability transfer certificate throughout the eligible financial year; and (b) during the eligible financial year, an amount of covered emissions from the operation of the landfill facility was attributable to the combustion of natural gas that was supplied by a natural gas supplier to a person (the recipient) (who may be the holder); and (c) the natural gas supplier has, under section 35A, a provisional emissions number for an eligible financial year; and (d) the provisional emissions number is wholly or partly attributable to the supply of the natural gas to the recipient; and (e) either: (i) the recipient gave the natural gas supplier an own‑use notification in relation to the supply of the natural gas; or (ii) the conditions specified in the regulations are satisfied; the amount mentioned in paragraph (b): (f) does not count for the purposes of subsection (1); and (g) counts for the purposes of paragraph (4)(b). (7F) If: (a) the person was the holder of the liability transfer certificate for a number of, but not all, days in the eligible financial year (the certificate days); and (b) during the certificate days, an amount of covered emissions from the operation of the landfill facility was attributable to the combustion of natural gas that was supplied by a natural gas supplier to a person (the recipient) (who may be the holder); and (c) the natural gas supplier has, under section 35A, a provisional emissions number for an eligible financial year; and (d) the provisional emissions number is wholly or partly attributable to the supply of the natural gas to the recipient; and (e) either: (i) the recipient gave the natural gas supplier an own‑use notification in relation to the supply of the natural gas; or (ii) the conditions specified in the regulations are satisfied; the amount mentioned in paragraph (b): (f) does not count for the purposes of subsection (1); and (g) counts for the purposes of paragraph (5)(b). Threshold number (8) For the purposes of this section, the landfill facility’s threshold number for the eligible financial year is: (a) in a case where: (i) at any time during the eligible financial year, the landfill facility is open for the acceptance of a prescribed class of waste; and (ii) at any time during the eligible financial year, the landfill facility is within the prescribed distance of another landfill facility that is open for the acceptance of the same class of waste; and (iii) the other landfill facility is a designated large landfill facility in relation to the previous eligible financial year; and (iv) if a list has been published by the Regulator during the eligible financial year under regulations made for the purposes of section 206—the other landfill facility is specified in the list; 10,000; or (b) in any other case—25,000. (9) For the purposes of subparagraph (8)(a)(ii), distance is to be measured in accordance with the regulations. (10) For the purposes of subparagraph (8)(a)(iii), assume that the financial year beginning on 1 July 2011 is an eligible financial year.