Singapore legislation
Regulation 37
of Carbon Pricing (Measurement, Reporting and Verification) Regulations 2018
Regulation 37
Independence between registered person and accredited external auditor
Subregulation 1
An accredited external auditor (A) and a registered person (R) are not independent of each other in relation to any taxable facility of R in the following circumstances:
any person in a verification team appointed by A to be involved or involved in a verification engagement for the taxable facility has in the last 2 years provided consultancy to R relating to the requirements under Part 2;
any person in a verification team appointed by A to be involved or involved in a verification engagement for the taxable facility was, at any time in the last 2 years, personnel of R involved in any GHG emissions related work;
A has completed verification engagements for the taxable facility for 6 consecutive reporting periods;
A does not complete a verification engagement for the taxable facility undertaken by A;
R is in a position to influence the outcome of the verification engagement for the taxable facility undertaken by A.
Subregulation 2
Paragraph (1)(c) ceases to apply in relation to any such 6 consecutive reporting periods if, at the end of the 6 consecutive reporting periods in question, there is at least one reporting period for which the verification engagement for the taxable facility is undertaken and completed by an accredited external auditor other than A.
Subregulation 3
Paragraph (1)(d) ceases to apply to any such uncompleted verification engagement if, after the reporting period for the uncompleted verification engagement, there is at least one reporting period for which the verification engagement for the taxable facility is undertaken and completed by an accredited external auditor other than A.
Subregulation 4
A must at all times throughout the verification engagement for the taxable facility ensure its objectivity and its independence from R in relation to the taxable facility.
Subregulation 5
Where A becomes aware of a conflict of interest which could compromise its objectivity or independence under paragraph (4), A must —
declare the conflict to the Agency, within 7 working days after the discovery of the conflict;
suspend all verification activities under the verification engagement until such time as the conflict is resolved; and
notify the Agency of the resolution of the conflict within 7 working days after the resolution.