Paragraph 2 Payment of notification fees
Prior to the start of each notification period a qualifying copyright owner must pay to a qualifying internet service provider the notification fees.
The notification fees payable are equal to the amount set by OFCOM under paragraph 1 multiplied by the number of copyright infringement reports calculated in accordance with sub-paragraph (3).
The number of copyright infringement reports is—
the number of copyright infringement reports which the qualifying copyright owner estimates it will make to the qualifying internet service provider under the Code during the notification period; less
the difference between the number of copyright infringement reports which that qualifying copyright owner estimated it would make to that qualifying internet service provider under the Code in the previous notification period and the number it actually made to that qualifying internet service provider in that period, if lower.