108Applying an increase bid

108  Applying an increase bid

Available activity

 (1) In this section, the available activity (in number of lots of a product) of a bidder, immediately before an increase bid (the current bid) for the product (the current product) is to be processed, is calculated by:

 (a) starting with the bidder’s eligibility points at the start of the clock round; and

 (b) subtracting the sum of the lot ratings of all the lots in the bidder’s start demand for each product at the start of the clock round; and

 (c) for each of the bidder’s decrease bids for a product for the clock round that has already been applied in full or in part, adding the product of the lot rating and number of lots applied; and

 (d) for each of the bidder’s increase bids for a product for the clock round that has already been applied in full or in part, subtracting the product of the lot rating and number of lots applied; and

 (e) dividing the result from paragraph (d) by the lot rating for a lot of the current product and rounding the result down to the nearest integer.

Available limit

 (2) In this section, the available limit (in number of lots of a product) of a bidder, at a time immediately before the current bid for the current product is to be processed, is the maximum number of lots of the product the bidder could bid for at that time without exceeding an allocation limit in an area.

 (3) In applying section 13 (which is about applying allocation limits during bidding) for the purposes of determining the available limit under subsection (2) at a time:

 (a) treat a reference in that subsection to a bid as including a reference to a part of a bid that is treated as an increase bid or decrease bid by subsection 107(3); and

 (b) despite the references in item 2 or 5 (as the case requires) of the table in subsection 13(1) to “all lots the bidder bids for in the clock round”, have regard only to bids that have already been applied in full or in part at that time.

Note: This means increase bids and decrease bids that are later in the queue are disregarded in determining the available limit.

Increase bid rejected

 (4) If the number of lots in either or both of the available activity and the available limit is zero:

 (a) the current bid is rejected; and

 (b) the bidder’s provisional posted demand for the lots of the product is the sum, in number of lots, of:

 (ii) if the current bid is a part of an earlier increase bid that was applied in part—the number of lots of the product in the part of the earlier bid that was already applied; and

 (c) to avoid doubt, subsection (6) does not apply to the current bid.