Carbon Tax Act, 2019 (Act No. 15 of 2019)

Regulations

Regulations under section 19 of the Carbon Tax Act

Part l : Definitions

1. Definitions

Purchase

In these regulations, unless the context otherwise indicates, any word or expression to which a meaning has been assigned in the Carbon Tax Act bears the meaning so assigned; and—

"administrator"

means an administrator designated in terms of regulation 5;

"approved project"

means—

(a)	a CDM project;

(b)	a VCS project;

(c)	a Gold Standard project; or

(d)	a project that complies with another standard approved by the Minister responsible for Energy or delegated authority;

[Definition (d) substituted by section 2(a) of Notice No. 595, GG44818, dated 8 July 2021]

"attestation of voluntary cancelation"

[Definition deleted by section 2(b) of Notice No. 595, GG44818, dated 8 July 2021]

"cancellation of carbon credit"

means the permanent removal of a carbon credit from circulation in the CDM registry, VERRA registry, Gold Standard impact registry or a national registry for purposes other than retirement;

[Definition substituted by section 2(c) of Notice No. 595, GG44818, dated 8 July 2021]

"Carbon Tax Act"

means the Carbon Tax Act, 2019 (Act No. 15 of 2019);

"CDM"

means the Clean Development Mechanism as defined in the Kyoto Protocol to the United Nations Framework Convention on Climate Change;

"CDM project"

means a project—

(a)

that has been registered as contemplated in paragraph 36 of the Modalities and procedures for a clean development mechanism as contained in the Annex to Decision 3 /CMP.1 in Part Two of the Addendum to the Report of the Conference of the Parties serving as the meeting of the Parties to the Protocol to the United Nations Framework Convention on Climate Change adopted at the third session of the Conference of the Parties to the United Nations Framework Convention on Climate Change in Kyoto, Japan, on 11 December 1997 on its first session, held at Montreal from 28 November to 10 December 2005 (FCCC /KP /CMP /2005/8 Add.1); and

(b)

in respect of which a letter of approval as contemplated in regulation 7(3) of the National Environmental Management Act, 1998 Regulations for the establishment of a designated national authority for the Clean Development Mechanism (Government Notice No. R.721 published in Government Gazette No. 27788 of 22 July 2005) has been issued;

"CDM registry"

means an electronic database system in which the issuance and distribution of certified emission reductions relating to CDM projects are recorded and maintained by the secretariat established under Article 8 of the Kyoto Protocol to the United Nations Framework Convention on Climate Change.

[Definition inserted by section 2(d) of Notice No. 595, GG44818, dated 8 July 2021]

"certificate of voluntary cancellation"

a document issued by the CDM, VERRA, Gold Standard or a national registry certifying that a carbon credit has been cancelled for the purpose of being used in the South African carbon tax offset scheme;

[Definition inserted by section 2(d) of Notice No. 595, GG44818, dated 8 July 2021]

"extended letter of approval"

means a letter issued by the administrator confirming that a project qualifies in respect of creating an offset;

"Gold Standard"

means the Gold Standard and Certification Body, a non-profit organisation established in 2003;

"Gold Standard Impact Registry"

means the public registry maintained by the Gold Standard to track carbon credits;

[Definition inserted by section 2(e) of Notice No. 595, GG44818, dated 8 July 2021]

"Gold Standard project"

means a project that complies with the requirements set out in "Revised Annex C: Guidance on Project Type Eligibility" issued by the Gold Standard;

"list"

means the entry of an offset in the offset registry;

"listing confirmation"

means a confirmatory document issued in accordance with regulation 9(g);

"national registry"

means a registry implemented and maintained by a government that is a party to Annex B to the Kyoto Protocol to the United Nations Framework Convention on Climate Change, containing accounts within which units are held in the name of the government or in the name of a legal entity authorized by the government on hold and trade units;

[Definition inserted by section 2(f) of Notice No. 595, GG44818, dated 8 July 2021]

"offset"

means an avoidance, a reduction or a sequestration of carbon dioxide equivalent (CO2e) emissions recognised in terms of an approved project;

"offset owner"

means a person that owns an offset, whether by generating that offset by means of a CDM project, a Gold Standard project or a VCS project or by purchasing that offset from another person;

"offset registry"

means the offset registry created by regulation 6;

"retire"

means when an offset is used for the claiming of the allowance and that offset is permanently removed from the offset registry by the administrator;

"sequestrate"

means the process of storing a greenhouse gas or increasing the carbon content of a carbon reservoir other than the atmosphere;

"VCS"

means the non-profit non-governmental association, the Verified Carbon Standard;

"VCS project"

means a greenhouse gas reduction program voluntarily entered into that is registered on the VERRA registry in respect of which a verified carbon unit is issued;

[Definition substituted by section 2(g) of Notice No. 595, GG44818, dated 8 July 2021]

"VCS project database"

[Definition deleted by section 2(i) of Notice No. 595, GG44818, dated 8 July 2021]

"VCS registry system"