Article 78 Later discovered failures to surrender allowances contrary to Part 4
The penalties in paragraph (2) apply where—
by reference to its annual report, a participant complied with Part 4;
the administrator finds, within five years of the date on which compliance with Part 4 is required in respect of that report, that the participant reported fewer CRC supplies in that report than it should have done; and
in consequence, the participant surrendered fewer allowances than it should have done to comply with Part 4 (“the shortfall allowances”).
The penalties are—
where the participant is a participant at the time paragraph (1)(b) applies—
the shortfall allowances are added to the quantity of allowances required to be surrendered in the next annual reporting year that the shortfall is found; and
publication;
or
where the participant is not a participant at the time paragraph (1)(b) applies, a financial penalty which represents the value of the shortfall allowances.
The value under paragraph (2)(b) means the value of allowances in the sale of allowances by the Environment Agency immediately before the shortfall was found.