10GCancellation of approval and forfeiture of security

#### 10G Cancellation of approval and forfeiture of security 10G Cancellation of approval and forfeiture of security > > (1) There are grounds for the cancellation of an approval under this section if— > > > > > (a) for a scheme approval— > > > > > > > (i) 5 years have elapsed since the grant of the approval and the construction of the infrastructure has not substantially commenced, or > > > > > > > (ii) there is no longer an intention to construct or bring into operation water industry infrastructure as proposed, or > > > > > (b) for an operational approval—operation of the infrastructure under this Act has ceased on a permanent basis or it is intended that operation of the infrastructure under this Act cease on a permanent basis. > > > (2) However, an approval for essential infrastructure may not be cancelled— > > > > > (a) in circumstances that may result in a declared failure or in which a failure of a provider of the essential service may be declared, or > > > > > (b) during a declared failure of a provider of the essential service, or > > > > > (c) in circumstances in which directions may be given to an insolvency official under Part 5, Division 3 in relation to a provider of the essential service. > > > (3) IPART may, by written notice given to the registered operator of water industry infrastructure, require the operator to show cause, within a period specified in the notice, being a period of not less than 14 days— > > > > > (a) if IPART is acting on its own initiative—why a scheme approval or operational approval for the infrastructure should not be cancelled and the security given by the registered operator, if any, be forfeited, or > > > > > (b) if the registered operator has applied for the cancellation of a scheme approval or operational approval for the infrastructure—why the security given by the registered operator, if any, should not be forfeited. > > > (4) IPART must allow the registered operator to show cause by making written submissions to IPART or by providing for a hearing at which the registered operator may make oral submissions to IPART. > > > (5) After considering submissions made by the registered operator, if IPART is satisfied there are grounds for the cancellation of an approval— > > > > > (a) IPART may— > > > > > > > (i) cancel the approval, or > > > > > > > (ii) impose further conditions on the approval and cancel the approval only after the registered operator has satisfied IPART that the further conditions have been fulfilled or that satisfactory arrangements have been made for their fulfilment, and > > > > > (b) IPART may order the forfeiture to the Crown of the whole or part of the security given by the registered operator under this Act. > > **s 10G:** Ins 2021 No 26, Sch 1\[4\].