111Recovery of debts from financial security

111 Recovery of debts from financial security

Debts arising due to non‑compliance (1) For the purposes of subsection 119(1) of the Act, if: (a) a licence holder owes a debt to the Commonwealth or the Regulator under the Act (other than under section 189 or 190 of the Act) in relation to the licence; and (b) the licence holder has provided financial security in relation to the licence; and (c) the Minister is satisfied that: (i) the debt has not been recovered by the Commonwealth or the Regulator; and (ii) the debt is unlikely to be paid within a reasonable time; and (iii) recovering the debt from the financial security is likely to be more economical than recovering the debt through other means; the Commonwealth may recover the debt from the financial security. Debts arising due to unpaid fees, levy or late payment penalty (2) For the purposes of subsection 119(1) of the Act, if: (a) a licence holder owes a debt to the Commonwealth or the Regulator under section 189 (fees) or 190 (offshore electricity infrastructure levy) of the Act in relation to the licence; and (b) the licence holder has provided financial security in relation to the licence; and (c) the Minister is satisfied that: (i) the debt is unlikely to be paid within a reasonable time; and (ii) recovering the debt from the financial security is likely to be more economical than recovering the debt through other means; the Commonwealth may recover the debt from the financial security. Debts only to be recovered from financial security under this section (3) The Commonwealth may only recover a debt from a financial security in accordance with this section.

Note 1: As the Registrar is part of the Commonwealth, this section may apply to debts owed to the Registrar.

Note 2: This section does not limit the means through which a debt may be recovered otherwise than from financial security.