Clean Energy (Household Assistance Amendments) Act 2011 (141 of 2011)

Schedule 3   Clean energy payments under the Veterans' Entitlements Act

Part 1   Clean energy advances

Veterans' Entitlements Act 1986

6   After Part IIID

Insert:

Part IIIE - Clean energy payments

Division 1 - Clean energy advances

Subdivision A - Eligibility for clean energy advances

61A Persons receiving clean energy underlying payments

Eligibility for days before 1 July 2012

(1) The Commission may, on a day during the period starting on 14 May 2012 and ending on 30 June 2012, determine that a person is eligible for a clean energy advance for a clean energy underlying payment if, on that day:

(a) the person receives the payment; and

(b) the person's rate of the payment is greater than nil; and

(ba) the person is residing in Australia; and

(c) the person is in Australia.

Note: For clean energy underlying payment see subsection 5Q(1).

Eligibility for days in period 1 July 2012-19 March 2013

(2) The Commission may determine that a person is eligible for a clean energy advance for a clean energy underlying payment if, on a day in the period starting on 1 July 2012 and ending on 19 March 2013:

(a) the person receives the payment; and

(b) the person's rate of the payment is greater than nil; and

(ba) the person is residing in Australia; and

(c) the person is in Australia.

Note: For clean energy underlying payment see subsection 5Q(1).

(3) A determination under subsection (2) must specify the first day during the period set out in that subsection for which the person:

(a) satisfies paragraphs (2)(a), (b) and (ba); and

(b) is in Australia, disregarding any temporary absence from Australia for a continuous period not exceeding 13 weeks.

Disregard nil rate in certain circumstances

(4) For the purposes of subsections (1) and (2), a person is taken to receive a clean energy underlying payment at a rate greater than nil even if the person's rate would be nil, or pension would not be payable, merely because:

(a) the rate is reduced, or pension is not payable, under Division 4, 5 or 5A of Part II or section 74; or

(b) an election by the person under subsection 60A(1) (Quarterly pension supplement) is in force.

Only one determination for a particular person and clean energy underlying payment

(5) The Commission must not make a determination under subsection (2) relating to a person and a clean energy underlying payment if the Commission has made a determination under subsection (1) or (2) relating to the same person and clean energy underlying payment.

61B One advance for each clean energy underlying payment

A separate clean energy advance is payable to a person for each clean energy underlying payment for which the Commission has determined that the person is eligible for a clean energy advance.

Note: This section is subject to section 65A (multiple entitlement exclusions).

Subdivision B - Amount of a clean energy advance

61C Amount of a clean energy advance

(1) On the day (the decision day ) that the Commission determines that a person is eligible for a clean energy advance for a clean energy underlying payment, the Commission must work out the amount of the advance.

Note: The advance will be paid in a lump sum as soon as is reasonably practicable: see section 61G.

(2) The amount of the advance is the result of the following formula rounded up to the nearest multiple of $10:

where:

clean energy advance daily rate is worked out under section 61D.

number of advance days is worked out under section 61E.

61D Clean energy advance daily rate

For pension at rate affected by Division 4 of Part II

(1) The clean energy advance daily rate for a person's pension under Part II or IV at a rate determined under or by reference to subsection 22(3), 22(4), 23(4) or 24(4), but not under or by reference to section 27, is worked out by:

(a) working out 1.7% of the rate for 1 July 2012 specified in whichever one of those subsections is relevant; and

(b) adding 20 cents to the result of paragraph (a); and

(c) rounding the result of paragraph (b) up or down to the nearest multiple of 10 cents (rounding up if that result is not a multiple of 10 cents but is a multiple of 5 cents); and

(d) dividing the result of paragraph (c) by 14.

(2) The clean energy advance daily rate for a person's pension under Part II or IV at a rate determined under or by reference to section 27, is worked out by:

(a) working out 1.7% of the rate for 1 July 2012 specified in the subsection mentioned in column 2 of whichever item of the following table is relevant; and

(b) adding 20 cents to the result of paragraph (a); and

(c) rounding the result of paragraph (b) up or down to the nearest multiple of 10 cents (rounding up if that result is not a multiple of 10 cents but is a multiple of 5 cents); and

(d) dividing the result of paragraph (c) by 14.

(3) Ignore subsections 23(5) and (6), sections 25A and 26, Division 5A of Part II and section 74 for the purposes of working out the rate of the person's pension under section 27 for use in the table in subsection (2) of this section.

For pension at rate affected by subsection 30(1)

(4) The clean energy advance daily rate for a person's pension under Part II or IV at a rate determined under or by reference to subsection 30(1) is worked out by:

(a) working out 1.7% of the rate for 1 July 2012 specified in that subsection; and

(b) adding 20 cents to the result of paragraph (a); and

(c) rounding the result of paragraph (b) up or down to the nearest multiple of 10 cents (rounding up if that result is not a multiple of 10 cents but is a multiple of 5 cents); and

(d) dividing the result of paragraph (c) by 14.

For service pension and seniors supplement

(5) The clean energy advance daily rate for a person's service pension or seniors supplement is worked out by:

(a) working out 1.7% of the total of:

(i) double the maximum basic rate under point SCH6-B1 of the Rate Calculator, worked out for 1 July 2012 for a person who is partnered; and

(ii) the combined couple rate of pension supplement for 1 July 2012; and

(b) rounding the result of paragraph (a) up or down to the nearest multiple of $5.20 (rounding up if that result is not a multiple of $5.20 but is a multiple of $2.60); and

(c) adding $5.20 to the result of paragraph (b); and

(d) applying the applicable percentage in the following table to the result of paragraph (c); and

(e) rounding the result of paragraph (d) up or down to the nearest multiple of $2.60 (rounding up if that result is not a multiple of $2.60 but is a multiple of $1.30); and

(f) dividing the result of paragraph (e) by 364.

Note: For member of a couple , partnered , illness separated couple and respite care couple see subsections 5E(1) and (5) and 5R(5) and (6) respectively.

(6) For the purposes of the table in subsection (5) (and of paragraph (5)(d)), a person's family situation is to be determined as at whichever of the following days is relevant:

(a) the day the Commission determines under subsection 61A(1) that the person is eligible for the clean energy advance for service pension or seniors supplement;

(b) the day specified under subsection 61A(3) in a determination under subsection 61A(2) that the person is eligible for the clean energy advance for service pension or seniors supplement.

61E Number of advance days

The person's number of advance days is the number of days in the period:

(a) starting on 1 July 2012 or, if the person is eligible for the clean energy advance because of a determination under subsection 61A(2), the day specified under subsection 61A(3) in the determination; and

(b) ending on 19 March 2013.

Subdivision C - Top-up payments of clean energy advance

61F Top-up payments of clean energy advance

(1) The Commission may by legislative instrument determine that persons:

(a) who have been paid the amount (the original payment ) of a specified clean energy advance for a clean energy underlying payment (the original underlying payment ) worked out under Subdivision B; and

(b) whose circumstances change, within a period specified in the instrument, in a way that is specified in the instrument and is covered by subsection (2) or (3);

are eligible for a further payment, of the amount worked out in accordance with the instrument, of the clean energy advance.

(2) This subsection covers a person's circumstances changing in a way such that:

(a) immediately after the change the Commission could still have determined that the person would have been eligible for a clean energy advance for the original underlying payment, had the Commission not already made such a determination; and

(b) had the amount of the original payment been worked out by reference to the person's circumstances immediately after the change, the clean energy advance daily rate that would have been used for working out that amount would have been greater than the rate actually used for working out that amount.

(3) This subsection covers a change in a person's circumstances that, apart from a multiple entitlement exclusion, would (if any necessary administrative decisions were made) entitle the person to a clean energy bonus, under an Act or a scheme, relating to a payment other than the original underlying payment.

(4) For the purposes of subsection (3), a multiple entitlement exclusion is an instrument that:

(a) provides a person is not entitled to a clean energy bonus under an Act or a scheme because of the person's entitlement to or receipt of the original payment or the original underlying payment; and

(b) is made under:

(i) section 65A; or

(ii) section 424L of the MRCA; or

(iii) section 918 of the Social Security Act;

or is an instrument establishing entitlements to a clean energy bonus under a scheme.

(5) An instrument under subsection (1) may provide for:

(a) different periods for changes in circumstances depending on different changes in circumstances; and

(b) different ways of working out further amounts of the original payment depending on different changes in circumstances.

Subdivision D - Payment of clean energy advance

61G Payment of clean energy advance

(1) An amount of clean energy advance for which a person is eligible is payable in a single lump sum on the day that the Commission considers to be the earliest day on which it is reasonably practicable for the amount to be paid.

(2) However, the clean energy advance is not payable if the Commission is aware that the person has died.

Subdivision E - Debts

61H Debts relating to clean energy advances

(1) This section applies if:

(a) a person has been paid a clean energy advance for a clean energy underlying payment; and

(b) after the advance was paid, one of the following events happens to a determination that directly or indirectly affected the payability or amount of the clean energy advance paid to the person:

(i) the determination is changed, revoked or set aside;

(ii) the determination is superseded by another determination; and

(c) the event happened wholly or partly because the person knowingly made a false or misleading statement or knowingly provided false information; and

(d) had the event happened on or before the day the advance was paid:

(i) the advance would not have been paid; or

(ii) the advance would have been reduced.

Note 1: Examples of determinations directly affecting the payability or amount of the clean energy advance include:

(a) a determination relating to the person's eligibility for the clean energy underlying payment to which the advance related; and

(b) the determination of the person's eligibility for the clean energy advance.

Note 2: An example of a determination indirectly affecting the amount of the advance is a determination relating to a change in circumstances that results in the person becoming eligible for a further payment of the advance under an instrument made under section 61F.

Creation and amount of debt

(2) The advance is a debt due to the Commonwealth by the person if subparagraph (1)(d)(i) applies.

(3) The amount by which the advance would have been reduced is a debt due to the Commonwealth by the person if subparagraph (1)(d)(ii) applies.

Relationship with other sections

(4) The other provisions of this Act under which debts arise do not apply in relation to clean energy advances to which this section applies.

(5) A debt that arises under this section is a recoverable amount within the meaning of subsection 205(8).

Division 5 - Multiple entitlement exclusions

65A Multiple entitlement exclusions

(1) The Commission may by legislative instrument determine that persons in circumstances specified in the instrument are not entitled to a clean energy bonus under this Act that is specified in the instrument.

Note: For clean energy bonus see subsection 5Q(1).

(2) Those circumstances must relate to persons' entitlement to or receipt of one or more of the following:

(a) another clean energy bonus under this Act;

(b) a clean energy bonus under the MRCA;

(c) a clean energy bonus under the Social Security Act;

(d) a clean energy bonus under a scheme (however described), whether or not the scheme is provided for by or under an Act.

(3) An instrument under subsection (1) has effect according to its terms, despite any other provision of this Act.