Regulations may provide for reimbursement scheme
28 Regulations may provide for reimbursement scheme
In this section —
contributor means a gas producer who made a contribution (whether or not the gas producer supplies lower heating value gas during the reimbursement period);
relevant gas transmission pipeline means a gas transmission pipeline from which gas flows into a gas distribution system in the Coastal Supply Area constituted under the Energy Coordination Act 1994 section 11A(1) by the Energy Coordination (Coastal Supply Area) Order 2000;
supply, in relation to lower heating value gas, means the supply of lower heating value gas that will flow into a relevant gas transmission pipeline.
A reference in this section to a gas producer who supplies lower heating value gas does not include a reference to a gas producer whose supply of lower heating value gas is less than 10 terajoules per day.
The regulations may provide for and in relation to a scheme (the reimbursement scheme) under which the cost of the rectification programme is apportioned between gas producers who supply lower heating value gas during the reimbursement period.
The regulations may do the following —
provide for gas producers who supply lower heating value gas during the reimbursement period to be required, periodically and at the end of the reimbursement period —
to reimburse one or more contributors; or
to reimburse one or more gas producers who supply lower heating value gas during the reimbursement period but who are not contributors; or
to do both of those things;
confer functions on the Authority in relation to the reimbursement scheme, including the function of determining the amounts required to be reimbursed (the reimbursement amounts);
specify the methods and principles to be applied by the Authority in determining reimbursement amounts or in performing any other function in relation to the reimbursement scheme;
provide for the costs incurred by the Authority in performing its functions in relation to the reimbursement scheme to be recovered from gas producers who supply lower heating value gas during the reimbursement period;
provide for interest to be payable on amounts that remain unpaid after becoming due and payable under paragraph (a) or (d) (the unpaid amounts);
provide for the recovery of unpaid amounts, and interest on those amounts, by persons entitled under the regulations to be paid those amounts.
A gas producer who supplies lower heating value gas after the reimbursement period cannot be required under the regulations to pay reimbursement amounts in relation to that supply.
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