40Suspension and revocation of authority to conduct certain activities under licence

40 Suspension and revocation of authority to conduct certain activities under licence

(1)  The Regulator must suspend or revoke a term or condition, or the terms and conditions, of the licence, that authorise the carrying out of a gas activity –

(a) if –

(i) the Regulator is satisfied that the licensee has failed to comply with this Act or the regulations or a requirement imposed by or under this Act, or any other Act, in connection with the activity; and

(ii) in the Regulator's opinion, the failure is so serious that the licence ought to cease to authorise the carrying out of the activity; and

(iii) in the Regulator's opinion, the failure is not so serious that the licence ought to be suspended or cancelled; or

(b) on the recommendation of the Director of Gas Safety under subsection (5) .

(2)  The Regulator may, by notice to the licensee, suspend or revoke a term or condition, or the terms and conditions, of the licence, that authorise the carrying out of a gas activity with effect from a specified date, if satisfied that –

(a) the licensee has failed to comply with a reasonable requirement of the Regulator to provide to the Regulator information relating to the gas activity; or

(b) the licensee has failed to commence the gas activity; or

(c) the licensee has ceased to carry out the gas activity.

(3)  A suspension under this section may be for a specified period, or until the fulfilment of specified conditions, or until further order of the Regulator.

(4)  Before the Regulator acts under this section, the Regulator must –

(a) notify the licensee in writing of the proposed action and the reasons for the proposed action; and

(b) allow the licensee a reasonable period within which to make submissions to the Regulator in respect of the proposed action.

(5)  The Director of Gas Safety may, by notice in writing to the Regulator, recommend to the Regulator that the Regulator take the action set out in the notice.