108Regulator may direct licence holder to arrange verification of financial security

108 Regulator may direct licence holder to arrange verification of financial security

(1) The Regulator may, by written notice, direct a licence holder to arrange an independent verification of any of the following: (a) that the method used or to be used to calculate the amount of financial security, as set out for the purposes of paragraph 92(2)(a) in the management plan for the licence, will calculate an amount that is sufficient for the purposes of section 117 of the Act; (b) that the method to be used to calculate the amount of financial security, as set out for the purposes of paragraph 92(2)(a) in a plan that the Regulator is considering approving as the management plan for the relevant licence as a result of an initial plan approval application or a plan revision approval application, will calculate an amount that is sufficient for the purposes of section 117 of the Act; (c) that an amount of financial security calculated by the licence holder in relation to a relevant licence is consistent with the method; (d) any other matters that the Regulator considers need to be verified in relation to the financial security calculated by the licence holder in relation to a relevant licence. (2) The licence holder must engage an entity that is suitably qualified, competent and independent to: (a) carry out the verification; and (b) provide a written report on the verification to the licence holder. (3) The licence holder must give a copy of the report to the Regulator.