31Types of cost associated with integrated operation

31 Types of cost associated with integrated operation

(1) For the purposes of step 1 of the residual pricing method, identify all costs associated with an integrated operation in accordance with this section. (2) Include all costs incurred by or on behalf of the participants that are attributable, indirectly attributable or partly attributable to the operation, whether incurred during the operating life of the operation or before the production year. (3) A payment or allowance between participants is not a cost associated with the integrated operation. (4) A capital cost that was incurred in relation to a unit of property that: (a) was not, at the time it was incurred, used in the integrated operation; and (b) was later used in the operation; may be treated as a cost partly attributable to the operation. (5) If a cost is only partly attributable to the integrated operation, the amount of the cost is taken to be the amount that can reasonably be apportioned to the operation.