(1)  If a regulator is not appointed under the Act, section 64, the functions of the regulator under this Division must be exercised by the Environment Protection Authority and not the Tribunal.

(2)  The regulator must—

(a)  make a calculation under this Division for a calendar year no more than 3 months after the information necessary for the calculation is reported by the Clean Energy Regulator under the National Greenhouse and Energy Reporting Act 2007 of the Commonwealth, section 24, and

(b)  publish the calculation on the regulator’s website, and

(c)  provide information about the following for inclusion in the report under the Act, section 70(2)—

(i)  the calculation,

(ii)  offset units procured and surrendered under clauses 62 and 63,

(iii)  payments made under clause 62(3) as adjusted under clause 63(3).

(3)  The regulator may exercise a function under this Division in relation to a calendar year during which an LTES agreement is in force even if at the time the function is exercised the LTES agreement is no longer in force.

(1)  For each calendar year commencing before 1 January 2036, the regulator must, for an LTES agreement for firming infrastructure, calculate in accordance with clause 66—

(a)  the NSW emissions intensity for the calendar year, and

(b)  the firming infrastructure emissions intensity for the calendar year, and

(c)  for higher emission firming infrastructure for the calendar year—the number of offset units that must be procured and surrendered by the LTES operator for the firming infrastructure for the calendar year.

(2)  For a calendar year commencing on or after 1 January 2036, the regulator must, for an LTES agreement for firming infrastructure, calculate the number of offset units that must be procured and surrendered by the LTES operator for firming infrastructure to offset all scope 1 emissions of greenhouse gas from the firming infrastructure for the calendar year.

(3)  For higher emission firming infrastructure for a calendar year, the regulator must—

(a)  give written notice to the LTES operator for the firming infrastructure—

(i)  as soon as practicable after making a calculation under subclause (1)(c) for the firming infrastructure, and

(ii)  setting out the number of offset units required to be procured and surrendered, and

(b)  no more than 2 months after being given notice by the LTES operator under clause 62(4)(b), confirm the LTES operator has—

(i)  procured and surrendered the offset units, or

(ii)  paid the required amount to the scheme financial vehicle.

(1)  The regulator must develop a methodology in accordance with this clause for calculating the following—

(a)  NSW emissions intensity,

(b)  firming infrastructure emissions intensity,

(c)  the number of offset units that must be procured and surrendered for firming infrastructure.

(2)  The NSW emissions intensity for a calendar year must be calculated by—

(a)  taking the reported amount, in tonnes of carbon dioxide equivalent, of all scope 1 emissions of greenhouse gas by NSW designated generation facilities for the calendar year, and

(b)  dividing the amount by the reported amount, in megawatt hours, of all electricity generated by NSW designated generation facilities for the calendar year, and

(c)  expressing the result in tonnes of carbon dioxide equivalent per megawatt hour.

(3)  The firming infrastructure emissions intensity for firming infrastructure for a calendar year must be calculated by—

(a)  taking the reported amount, in tonnes of carbon dioxide equivalent, of scope 1 emissions of greenhouse gas by the firming infrastructure for the calendar year, and

(b)  dividing the amount by the reported amount, in megawatt hours, of the electricity generated by the firming infrastructure for the calendar year, and

(c)  expressing the result in tonnes of carbon dioxide equivalent per megawatt hour.

(4)  The number of offset units that must be procured and surrendered for firming infrastructure for a calendar year must be calculated by—

(a)  deducting the NSW emissions intensity for the calendar year from the firming infrastructure emissions intensity for the calendar year, and

(b)  multiplying the result by the reported amount, in megawatt hours, of the electricity generated by the firming infrastructure for the calendar year.

(5)  If the result of the calculation under subclause (4) is less than zero, the result is taken to be zero.

(6)  If an LTES agreement for firming infrastructure applies for only part of a calendar year, the calculations under this clause must be adjusted proportionally to reflect the proportion of the calendar year.

(7)  In this clause—

designated generation facilities has the same meaning as in the National Greenhouse and Energy Reporting Act 2007 of the Commonwealth, section 7.

NSW designated generation facilities means designated generation facilities connected to the NSW region of the national electricity market.

reported means reported by the Clean Energy Regulator under the National Greenhouse and Energy Reporting Act 2007 of the Commonwealth, section 24.

For the purposes of this Division, the firming infrastructure emissions intensity for firming infrastructure is taken to be zero for a calendar year if the electricity generated by the firming infrastructure during the calendar year is zero.