59Security for fulfilment of obligations under approvals

59 Security for fulfilment of obligations under approvals

59 Security for fulfilment of obligations under approvals

(1) For the Act, section 400(1)(c), the Minister may require and receive a security deposit from the holder of an approval—

(a) before the holder starts the construction of a work or starts carrying out an activity under the approval, and

(b) to pay for the reasonable costs of performing the holder’s obligations under the approval.

(2) The Minister may—

(a) keep the security deposit until satisfied that the holder of the approval has performed all obligations under the approval, and

(b) pay out the security deposit to cover the reasonable costs of performing the holder’s obligations under the approval.

(3) The Minister must repay the holder the amount of the security deposit and any interest accrued on the deposit as a result of its investment less the amount, if any, paid out under subsection (2)(b) if the Minister is satisfied all obligations under the approval have been met.

(4) The Minister may be satisfied that all obligations under the approval have been met for subsection (2) or (3)—

(a) at the Minister’s discretion, or

(b) on the application, in the approved form, of the holder.

(5) To avoid doubt, a security deposit may be retained and dealt with under this section after the expiry of the approval.

(6) In this section—

security deposit means an amount of money paid or payable by the holder of an approval as security against a failure by the holder to perform the holder’s obligations under the approval.