Protection of the Environment Operations (General) Regulation 2009
28 Content of load reduction agreements
(1) A load reduction agreement must—(a) specify the agreed load of an assessable pollutant for the purposes of calculating the load-based fee for each licence fee period covered by the agreement, and(b) specify the program proposed to be undertaken in order to attain the agreed load, and(c) set out the circumstances in which amounts are to be paid to the EPA on termination or expiry of the agreement, and(d) include conditions requiring—(i) the licence holder to provide the EPA, with each annual return required under the licence, a report on progress towards attainment of the agreed load during the period to which the annual return relates, and(ii) the licence holder to notify the EPA if the licence holder becomes aware that it is likely that the licence holder will not be able to attain the agreed load.(2) A load reduction agreement may also include a condition requiring the licence holder to supply a financial assurance to the EPA to secure obligations in the event of termination or expiration of the agreement.(3) Any such condition must provide for the following matters—(a) the circumstances in which the EPA may make a claim on or realise the financial assurance or part of it,(b) that the calling on and use of a financial assurance does not affect any liability of the licence holder,(c) the effect of failure to provide a financial assurance.(4) A financial assurance may be in one or more of the following forms—(a) a bank guarantee,(b) a bond,(c) any other form of security that the EPA considers appropriate and specifies in the load reduction agreement.