112Recovery of costs, expenses and liabilities from financial security

112 Recovery of costs, expenses and liabilities from financial security

(1) For the purposes of subsection 119(1) of the Act, if: (a) the Commonwealth or the Regulator reasonably incurs a cost, expense or liability in relation to a licence as a result of an act or omission of the licence holder; and (b) the cost, expense or liability is of a kind set out in the table in subsection (2) of this section; and (c) the cost, expense or liability is not a debt that: (i) is owed by the licence holder to the Commonwealth or the Regulator; and (ii) could be recovered by the Commonwealth under section 111 of this instrument if the conditions in paragraph 111(1)(c) or (2)(c) were satisfied; and (d) the licence holder has provided financial security in relation to the licence; and (e) the Minister is satisfied that: (i) the cost, expense or liability has not been recovered by the Commonwealth or the Regulator; and (ii) recovering the cost, expense or liability from the financial security is likely to be more economical than recovering the cost, expense or liability through other means; the Commonwealth may recover the cost, expense or liability from the financial security.

Note 1: As the Registrar is part of the Commonwealth, this section may apply to costs, expenses or liabilities incurred by the Registrar.

Note 2: This section does not limit the means through which costs, expenses and liabilities may be recovered otherwise than from financial security.

(2) For the purposes of paragraph (1)(b), the following table sets out kinds of costs, expenses and liabilities that may be recovered under this section.

<table cellspacing="0" cellpadding="0" style="width:415.6pt; margin-left:0.25pt; border-collapse:collapse"><thead><tr><td colspan="3" style="width:404.8pt; border-top:1.5pt solid #000000; border-bottom:0.75pt solid #000000; padding-right:5.4pt; padding-left:5.4pt; vertical-align:top"><p class="TableHeading"><span>Costs, expenses and liabilities that may be recovered from financial security</span></p></td></tr><tr><td style="width:24.9pt; border-top:0.75pt solid #000000; border-bottom:1.5pt solid #000000; padding-right:5.4pt; padding-left:5.4pt; vertical-align:top"><p class="TableHeading"><span></span></p><p class="TableHeading"><span>Item</span></p></td><td style="width:110.9pt; border-top:0.75pt solid #000000; border-bottom:1.5pt solid #000000; padding-right:5.4pt; padding-left:5.4pt; vertical-align:top"><p class="TableHeading"><span>Column 1</span></p><p class="TableHeading"><span>General description</span></p></td><td style="width:247.4pt; border-top:0.75pt solid #000000; border-bottom:1.5pt solid #000000; padding-right:5.4pt; padding-left:5.4pt; vertical-align:top"><p class="TableHeading"><span>Column 2</span></p><p class="TableHeading"><span>Cost, expense or liability</span></p></td></tr></thead><tbody><tr><td style="width:24.9pt; border-top:1.5pt solid #000000; border-bottom:0.75pt solid #000000; padding-right:5.4pt; padding-left:5.4pt; vertical-align:top"><p class="Tabletext"><span>1</span></p></td><td style="width:110.9pt; border-top:1.5pt solid #000000; border-bottom:0.75pt solid #000000; padding-right:5.4pt; padding-left:5.4pt; vertical-align:top"><p class="Tabletext"><span>Decommissioning of licence infrastructure</span></p></td><td style="width:247.4pt; border-top:1.5pt solid #000000; border-bottom:0.75pt solid #000000; padding-right:5.4pt; padding-left:5.4pt; vertical-align:top"><p class="Tabletext"><span>A cost, expense or liability incurred as a result of a failure by the licence holder to adequately decommission licence infrastructure as mentioned in paragraph</span><span> </span><span>117(1)(a) of the Act, including:</span></p><p class="Tablea"><span>(a) costs, expenses or liabilities incurred in carrying out, or engaging another person to carry out, any of the activities set out in subsection</span><span> </span><span>(3) of this section for the purpose of decommissioning licence infrastructure; and</span></p><p class="Tablea"><span>(b) any compliance costs, legal costs or other direct or indirect costs, expenses or liabilities arising from actions taken by, or on behalf of, the Commonwealth or the Regulator that can be reasonably considered as being taken for the purpose of decommissioning licence infrastructure.</span></p></td></tr><tr><td style="width:24.9pt; border-top:0.75pt solid #000000; border-bottom:0.75pt solid #000000; padding-right:5.4pt; padding-left:5.4pt; vertical-align:top"><p class="Tabletext"><span>2</span></p></td><td style="width:110.9pt; border-top:0.75pt solid #000000; border-bottom:0.75pt solid #000000; padding-right:5.4pt; padding-left:5.4pt; vertical-align:top"><p class="Tabletext"><span>Removing structures, equipment and other property from the licence area and vacated areas</span></p></td><td style="width:247.4pt; border-top:0.75pt solid #000000; border-bottom:0.75pt solid #000000; padding-right:5.4pt; padding-left:5.4pt; vertical-align:top"><p class="Tabletext"><span>A cost, expense or liability incurred as a result of a failure by the licence holder to adequately comply with subsection</span><span> </span><span>116(2) of the Act, or to adequately remove structures, equipment and other property from the licence area or a vacated area as mentioned in paragraph</span><span> </span><span>117(1)(b) of the Act, including:</span></p><p class="Tablea"><span>(a) costs, expenses or liabilities incurred in carrying out, or engaging another person to carry out, any of the activities set out in subsection</span><span> </span><span>(3) of this section for the purpose of removing structures, equipment and other property from the licence area or a vacated area; and</span></p><p class="Tablea"><span>(b) any compliance costs, legal costs or other direct or indirect costs, expenses or liabilities arising from actions taken by, or on behalf of, the Commonwealth or the Regulator that can be reasonably considered as being taken for the purpose of removing structures, equipment and other property from the licence area or a vacated area.</span></p></td></tr><tr><td style="width:24.9pt; border-top:0.75pt solid #000000; border-bottom:0.75pt solid #000000; padding-right:5.4pt; padding-left:5.4pt; vertical-align:top"><p class="Tabletext"><span>3</span></p></td><td style="width:110.9pt; border-top:0.75pt solid #000000; border-bottom:0.75pt solid #000000; padding-right:5.4pt; padding-left:5.4pt; vertical-align:top"><p class="Tabletext"><span>Remediation of the licence area and vacated areas and any other areas affected by activities carried out under the licence</span></p></td><td style="width:247.4pt; border-top:0.75pt solid #000000; border-bottom:0.75pt solid #000000; padding-right:5.4pt; padding-left:5.4pt; vertical-align:top"><p class="Tabletext"><span>A cost, expense or liability incurred as a result of a failure by the licence holder to adequately remediate the licence area and vacated areas, and any other area affected by activities carried out under the licence, as mentioned in paragraph</span><span> </span><span>117(1)(c) of the Act, including:</span></p><p class="Tablea"><span>(a) costs, expenses or liabilities incurred in carrying out, or engaging another person to carry out, any of the activities set out in subsection</span><span> </span><span>(3) of this section for the purpose of remediating the licence area or vacated areas or any other areas affected by activities carried out under the licence; and</span></p><p class="Tablea"><span>(b) any compliance costs, legal costs or other direct or indirect costs, expenses or liabilities arising from actions taken by, or on behalf of, the Commonwealth or the Regulator that can be reasonably considered as being taken for the purpose of remediating the licence area or vacated areas or any other areas affected by activities carried out under the licence.</span></p></td></tr><tr><td style="width:24.9pt; border-top:0.75pt solid #000000; border-bottom:0.75pt solid #000000; padding-right:5.4pt; padding-left:5.4pt; vertical-align:top"><p class="Tabletext"><span>4</span></p></td><td style="width:110.9pt; border-top:0.75pt solid #000000; border-bottom:0.75pt solid #000000; padding-right:5.4pt; padding-left:5.4pt; vertical-align:top"><p class="Tabletext"><span>Maintenance and repair of structures, equipment and other property in the licence area and vacated areas</span></p></td><td style="width:247.4pt; border-top:0.75pt solid #000000; border-bottom:0.75pt solid #000000; padding-right:5.4pt; padding-left:5.4pt; vertical-align:top"><p class="Tabletext"><span>A cost, expense or liability incurred as a result of a failure by the licence holder to adequately comply with subsection</span><span> </span><span>116(1) of the Act, including:</span></p><p class="Tablea"><span>(a) costs, expenses or liabilities incurred in carrying out, or engaging another person to carry out, any of the activities set out in subsection</span><span> </span><span>(3) of this section for the purpose of maintaining or repairing structures, equipment and other property in the licence area or a vacated area; and</span></p><p class="Tablea"><span>(b) any compliance costs, legal costs or other direct or indirect costs, expenses or liabilities arising from actions taken by, or on behalf of, the Commonwealth or the Regulator that can be reasonably considered as being taken for the purpose of maintaining or repairing structures, equipment and other property in the licence area or a vacated area.</span></p></td></tr><tr><td style="width:24.9pt; border-top:0.75pt solid #000000; border-bottom:0.75pt solid #000000; padding-right:5.4pt; padding-left:5.4pt; vertical-align:top"><p class="Tabletext"><span>5</span></p></td><td style="width:110.9pt; border-top:0.75pt solid #000000; border-bottom:0.75pt solid #000000; padding-right:5.4pt; padding-left:5.4pt; vertical-align:top"><p class="Tabletext"><span>Compliance with directions and notices</span></p></td><td style="width:247.4pt; border-top:0.75pt solid #000000; border-bottom:0.75pt solid #000000; padding-right:5.4pt; padding-left:5.4pt; vertical-align:top"><p class="Tabletext"><span>A cost, expense or liability incurred as a result of a failure by the licence holder to adequately comply with a direction or notice issued under any of the following provisions of the Act:</span></p><p class="Tablea"><span>(a) Part</span><span> </span><span>2 of Chapter</span><span> </span><span>4;</span></p><p class="Tablea"><span>(b) Part</span><span> </span><span>4 of Chapter</span><span> </span><span>5;</span></p><p class="Tabletext"><span>(c) Part</span><span> </span><span>1 of Chapter</span><span> </span><span>7;</span></p><p class="Tabletext"><span>including:</span></p><p class="Tablea"><span>(d) costs, expenses or liabilities incurred in carrying out, or engaging another person to carry out, any of the activities set out in subsection</span><span> </span><span>(3) of this section as a result of the failure; and</span></p><p class="Tablea"><span>(e) any compliance costs, legal costs or other direct or indirect costs, expenses or liabilities arising from actions taken by, or on behalf of, the Commonwealth or the Regulator that can be reasonably considered as being taken as a result of the failure.</span></p></td></tr><tr><td style="width:24.9pt; border-top:0.75pt solid #000000; border-bottom:0.75pt solid #000000; padding-right:5.4pt; padding-left:5.4pt; vertical-align:top"><p class="Tabletext"><span>6</span></p></td><td style="width:110.9pt; border-top:0.75pt solid #000000; border-bottom:0.75pt solid #000000; padding-right:5.4pt; padding-left:5.4pt; vertical-align:top"><p class="Tabletext"><span>Emergencies and unplanned circumstances, arising in connection with the licence activities, that are not adequately responded to or resolved by the licence holder</span></p></td><td style="width:247.4pt; border-top:0.75pt solid #000000; border-bottom:0.75pt solid #000000; padding-right:5.4pt; padding-left:5.4pt; vertical-align:top"><p class="Tabletext"><span>A cost, expense or liability incurred as a result of a failure by the licence holder to adequately respond to or resolve an emergency or unplanned circumstance that arises in connection with the licence activities, including:</span></p><p class="Tablea"><span>(a) costs, expenses or liabilities incurred in carrying out, or engaging another person to carry out, any of the activities set out in subsection</span><span> </span><span>(3) of this section as a result of the failure; and</span></p><p class="Tablea"><span>(b) any compliance costs, legal costs or other direct or indirect costs, expenses or liabilities arising from actions taken by, or on behalf of, the Commonwealth or the Regulator that can be reasonably considered as being taken as a result of the failure.</span></p></td></tr><tr><td style="width:24.9pt; border-top:0.75pt solid #000000; border-bottom:1.5pt solid #000000; padding-right:5.4pt; padding-left:5.4pt; vertical-align:top"><p class="Tabletext"><span>7</span></p></td><td style="width:110.9pt; border-top:0.75pt solid #000000; border-bottom:1.5pt solid #000000; padding-right:5.4pt; padding-left:5.4pt; vertical-align:top"><p class="Tabletext"><span>Act or omission that could result in cancellation of licence</span></p></td><td style="width:247.4pt; border-top:0.75pt solid #000000; border-bottom:1.5pt solid #000000; padding-right:5.4pt; padding-left:5.4pt; vertical-align:top"><p class="Tabletext"><span>A cost, expense or liability incurred as a result of an act or omission by the licence holder that may result in the Minister having the power to cancel the licence under paragraph</span><span> </span><span>73(1)(a), (b), (d) or (f) of the Act, including:</span></p><p class="Tablea"><span>(a) costs, expenses or liabilities incurred in carrying out, or engaging another person to carry out, any of the activities set out in subsection</span><span> </span><span>(3) of this section as a result of the act or omission; and</span></p><p class="Tablea"><span>(b) any compliance costs, legal costs or other direct or indirect costs, expenses or liabilities arising from actions taken by, or on behalf of, the Commonwealth or the Regulator that can be reasonably considered as being taken as a result of the act or omission.</span></p></td></tr></tbody></table>