178Category 1 light vehicle importer may bank overachievement of carbon dioxide emissions target

1. If the actual average vehicle carbon dioxide emissions across the fleet of vehicles imported by a category 1 light vehicle importer in an obligation year are less than the fleet target applicable to that importer, the excess reduction in emissions may be carried forward to the next obligation year (banked) in the vehicle importer’s carbon dioxide account in accordance with the regulations.

2. Banking provides that the vehicle importer’s carbon dioxide account for the next obligation year will be credited by the amount carried forward.

3. Carbon dioxide credits banked in a vehicle importer’s carbon dioxide account expire on the later of—

4. the close of 31 December 2028; and
5. 4 years from the end of the year in which the credits accrue.