Individuals or companies who registered their intent to provide financial services in emissions units must apply for an AFS licence by no later than 31 October 2012. If an application is not lodged by this date, registrants must cease providing such services.

Emissions units under the carbon pricing mechanism are financial products under the Corporations Act 2001. The provision of financial services in emissions units and related derivatives therefore requires an Australian financial services (AFS) licence or licence variation, unless an exemption applies.

ASIC has issued a reminder to anyone who registered their intent to provide financial services in emissions units earlier this year that they must apply for an AFS licence by no later than 31 October 2012.

ASIC has developed a range of resources to assist applicants, including Information Sheet 156 Regulated emissions units: Applying for or varying an AFS licence (INFO 156) which covers:

  • the new requirements for providing financial services in regulated emissions units and who is required to hold an AFS licence;
  • when you must apply for an AFS licence or variation, and the transitional registration arrangements;
  • how to apply for an AFS licence or variation; and
  • how ASIC will assess your organisational competence in emissions units.

See ASIC’s media release dated 31 August 2012.

See also INFO 156.