35ALiable entity—regulations relating to supply of natural gas

#### 35A Liable entity—regulations relating to supply of natural gas Preliminary emissions number (1) The regulations may provide that, if: (a) during: (i) a specified eligible financial year; or (ii) a later eligible financial year; a natural gas supplier supplies an amount of natural gas to another person (the recipient); and (b) no preliminary emissions number under section 33 or 35 is wholly or partly attributable to: (i) that supply of the natural gas; or (ii) any previous supply of the natural gas; and (c) it may reasonably be expected that no provisional emissions number under section 20, 21, 22, 23, 24 or 25 will be wholly or partly attributable to covered emissions from the use of the natural gas; and (d) the conditions specified in the regulations are satisfied; and (e) the potential greenhouse gas emissions embodied in the amount mentioned in paragraph (a) have a carbon dioxide equivalence of a particular number of tonnes; that number is a preliminary emissions number of the natural gas supplier for the eligible financial year. Provisional emissions number and liable entity (2) If the natural gas supplier has, under regulations made for the purposes of subsection (1), one or more preliminary emissions numbers for the eligible financial year, then, for the purposes of this Act: (a) the sum of the preliminary emissions numbers is a provisional emissions number of the natural gas supplier for the eligible financial year; and (b) the natural gas supplier is a liable entity for the eligible financial year. Reduction of provisional emissions number (3) If: (a) the natural gas supplier has, under subsection (2), a provisional emissions number for an eligible financial year; and (b) the natural gas supplier has one or more netted‑out numbers for the eligible financial year (see subsections (4) and (5)); the provisional emissions number is to be reduced (but not below zero) by the total of those netted‑out numbers. Netted‑out numbers (4) If: (a) a natural gas supplier has, under subsection (1), a preliminary emissions number for an eligible financial year; and (b) the preliminary emissions number is attributable to the supply by the natural gas supplier of an amount of natural gas to another person (the recipient); and (c) within 28 days after the end of the eligible financial year, the recipient has given a follow‑up notification to the natural gas supplier in relation to one or more parts of the amount mentioned in paragraph (b); and (d) the potential greenhouse gas emissions embodied in the remainder of the amount mentioned in paragraph (b) have a carbon dioxide equivalence of a particular number of tonnes; the number mentioned in paragraph (d) is a netted‑out number of the natural gas supplier for the eligible financial year. (5) The regulations may provide that, for the purposes of this section, a number ascertained in accordance with the regulations is a netted‑out number of a natural gas supplier for an eligible financial year ascertained in accordance with the regulations. Specified eligible financial year (6) The eligible financial year specified under paragraph (1)(a) must be later than the financial year in which the regulations are registered under the Legislative Instruments Act 2003. Own‑use notification (7) A condition specified in regulations made for the purposes of paragraph (1)(d) may be a condition that the recipient has given an own‑use notification to the natural gas supplier in relation to the supply of the natural gas. (8) Subsection (7) does not limit paragraph (1)(d). No double counting (9) For the purposes of paragraph (1)(c), disregard the following provisions: (a) subsections 20(14) and (15); (b) subsections 21(8E) and (8F); (c) subsections 22(12) and (13); (d) subsections 23(9E) and (9F); (e) subsections 24(8E) and (8F); (f) subsections 25(7E) and (7F). Preliminary emissions number (10) For the purposes of this Act, a preliminary emissions number under regulations made for the purposes of subsection (1) is taken to be a preliminary emissions number under this section.