Climate Change Trust Fund Act

Page 1

No. of 2014

VIRGIN ISLANDS CLIMATE CHANGE TRUST FUND ACT, 2014

ARRANGEMENT OF SECTIONS Section PRELIMINARY 1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11. 12.

​Short title. ​Interpretation. ​Establishment of the Trust. ​Objectives of the Trust. ​Purpose of the Trust. ​Powers of the Trust. ​Acceptance of Contributions. ​Dedication to Non-Political Purpose. ​Duties of the Trust. ​Revenues of the Trust. ​Status of the Trust. ​Seal of the Trust. PART II MANAGEMENT AND ADMINISTRATION OF THE TRUST

13. 14. 15. 16. 17. 18. 19. 20. 21. 22. 23. 24. 25. 26. 27. 28.

​Board of Directors. ​Composition of the Board. ​Appointment of Non-Government Members of the Board. ​Terms of Office of Members of Board. ​Standard of Care. ​Vacancy in Office of Member of Board. ​Filling of Vacancy in Office of Member of Board. ​Remuneration. ​Chairperson and Co-Chairperson. ​Duties of the Co-Chairperson. ​Disclosure of Pecuniary Interests. ​Effect of Certain Other Acts. ​Personal Liability. ​Notice of Meetings. ​Quorum. ​Presiding Member.


29. 30. 31. 32. 33. 34. 35. 36.

​Voting. ​Transaction of Business Outside Meetings. ​Removal. ​Resignation. ​First Meeting. ​Secretariat of the Trust. ​Duties of the Chief Executive Officer. ​Technical Advisory Group. PART III – OPERATIONS OF THE TRUST 37. 38. 39. 40. 41. 42. 43. 44. 45.

Trust to Conduct Activities in Accordance with Business Plan. Consideration of Business Plan. Plan to be Revised until Priorities and Strategies Endorsed. Amendment of Plan. New Plan to be Prepared at Certain Intervals. Trust to Conduct Activities in Accordance with Operational Manual. Consideration of Operational Manual. Operational Manual to be Revised until Endorsed. Role of Climate Change Committee. PART IV – FINANCIAL MATTERS OF THE TRUST

46. 47. 48. 49. 50. 51. 52. 53.

Financial Year. Investment and Use of Trust Monies. Trust to Establish Accounts. Asset Management. Accounts and Audit. Annual Budget. Limits on Administrative Expenses. Recovery of Money by Trust. PART V – GENERAL PROVISIONS

54. 55. 56. 57. 58. 59.

Reports of Trust. Delegation. Service of Documents Generally. Dissolution of the Trust. Review of Act. Regulations.

Schedule - Revenue of the Trust. ​VIRGIN ISLANDS No. of 2014 An Act to provide for the establishment, functions and management of the Virgin Islands Climate Change Trust Fund, and for other connected matters. [Gazetted insert date 2014] ENACTED by the Legislature of the Virgin Islands as follows: PRELIMINARY


Short Title. 1. ​This Act may be cited as the Virgin Islands Climate Change Trust Fund Act, 2014 and shall come into force on such date as the Governor may, by Proclamation published in the gazette appoint. Interpretation. 2. ​(1) ​In this Act, unless the context otherwise requires ​ “administrative expenses” means Secretariat staff salaries and employment benefits, consultant fees and expenses, meeting costs, Secretariat training costs, publications costs, office operating costs, staff vehicle costs and staff travel costs; “Asset Manager” means the person or organisation appointed pursuant to section 49; “biodiversity” means the variability among living organisms from all sources, including terrestrial, marine and other aquatic ecosystems and the ecological complexes of which they are part, and includes diversity within species and between species and of ecosystems; “Board” means the Board of Trustees of the Trust as constituted pursuant to section 13; “Chairperson” means the Chairperson of the Board constituted pursuant to section 13; “climate change” means a change of climate which is attributed directly or indirectly to human activity that alters the composition of the global atmosphere and which is in addition to natural climate variability observed over comparable time periods; “climate change adaptation” means any adjustment in natural or human systems in response to actual or expected climatic stimuli or their effects, which moderates harm or exploits beneficial opportunities, and includes various types of adaptation, including anticipatory and reactive adaptation, private and public adaptation, and autonomous and planned adaptation; “Climate Change Committee” means the committee established by Cabinet under Executive Decision (number) dated (insert date); “climate change mitigation” means any anthropogenic intervention that can either reduce the sources of greenhouse gas (GHG) emissions or enhance carbon sinks; “Co-Chairperson” means the Co-Chairperson of the Board constituted pursuant to section 13; “ecosystem” means a dynamic complex of plant, animal and micro-organism communities and their non-living environment, interacting as a functional unit; “entity normally resident in the Territory” means any agency or organisation, including Government and its agencies, private enterprise, registered associations, academia or non-governmental organisation, that carries out its principal business in the Territory; “Financial Services Commission” means the British Virgin Islands Financial Services Commission established under the Financial Services Commission Act, 2001; “greenhouse gas” means atmospheric gases responsible for causing climate change, including carbon dioxide (CO2), methane (CH4); nitrous oxide (N2O); hydrofluorocarbons (HFCs), perfluorocarbons (PFCs) and sulphur hexafluoride


(SF6); “low-carbon, climate-resilient development” means social, environmental and economic development that has a minimal output of greenhouse gas (GHG) emissions into the environment while implementing appropriate climate change adaptation measures to address risks from climate change; “member” means any member of the Board constituted pursuant to section 13; “Minister” means the Minister responsible for Natural Resources and Labour; “national implementing entity” means the organisation designated to receive direct financing from any source in order to carry out climate change adaptation and climate change mitigation projects and programmes in The Virgin Islands; “Operational Manual” means the manual prescribed in section 42; “persons who belong to the Virgin Islands” has the same meaning as provided in Section 2 (2) of The Virgin Islands Constitution Order 2007; “Secretariat” means the Secretariat of the Trust established pursuant to section 34; “Technical Advisory Group” means the technical advisory group established pursuant to section 36; “The Virgin Islands Climate Change Adaptation Policy” means the policy approved by Cabinet on the (insert date) under Executive Decision (insert number), as amended from time to time; ​“Trust” means the Virgin Islands Climate Change Trust Fund constituted under section 3; “vulnerable groups, communities and sectors” means any group of individuals or businesses who are at risk from the impacts of climate change identified in The Virgin Islands Climate Change Adaptation Policy. PART I ESTABLISHMENT, PURPOSE, FUNCTIONS AND STATUS OF THE TRUST Establishment of the Trust 3. ​As from the commencement of this Act, there shall be constituted the Virgin Islands Climate Change Trust Fund, which shall be a corporate body with perpetual succession and a common seal, that shall be capable of entering into contracts, acquiring, holding and disposing of real and personal property, of suing and being sued in the Trust’s own name and of doing and suffering all other lawful things that a body corporate may do by law and are necessary for, or incidental to, the carrying out of its objects and the exercising of its powers as set out in this Act. Objectives of the Trust 4. ​The Trust is: (a) a non-profit national facility linking domestic and international climate change finance sources with national climate change investment strategies; and (b)

​to serve as a catalyst to attract investments to implement a range of priority climate


change adaptation and climate change mitigation programmes in The Virgin Islands. Purpose of the Trust 5. ​(1) ​The purpose of the Trust is to: (a) pursuant to the provision of sub-section (b), mobilize and administer funding from a variety of internal and external sources for climate change projects in the Virgin Islands; (b) legally establish and administer the governance, fiduciary management and administrative arrangements to finance the implementation of The Virgin Islands Climate Change Adaptation Policy, as periodically updated; and (c) serve as national implementing entity for The Virgin Islands. (2) ​Further to the provisions of section 5 (1) (b), the Trust will utilise its funds to initially support both climate change adaptation and climate change mitigation actions, which will evolve over time to focus on supporting priority adaptation actions across the sectors addressed in The Virgin Islands Climate Change Adaptation Policy, including to: (a) enhance the resilience and natural adaptive capacity of the Territory’s natural resources (including terrestrial ecosystems, coastal and marine ecosystems, fisheries resources and biodiversity) to climate change impacts;

(3)

(b)

assist the fisheries sector in adapting to the impacts of climate change by encouraging sustainable fisheries practices, training and investing in new technologies in sustainable fisheries management;

(c)

strengthen food security by expanding local agricultural production and increasing its resilience to climate change and climate change induced hazards;

(d)

create and maintain a sustainably managed, more resilient (to climate fluctuations, disaster events and market changes), diverse, low carbon and environmentally responsible tourism industry;

(e)

minimize the vulnerability of existing and new critical infrastructure, settlements and insured and mortgaged properties to climate change impacts;

(f)

encourage wide and adequate insurance coverage (both micro and macro insurance) for natural hazard events throughout the Territory and ensure adequate resources to recover from natural disasters exaggerated by climate change such as hurricanes, storm surge and flood events;

(g)

enhance the capacity of the health care sector and the public to deal with climate change related health impacts, such as increased incidence of dengue fever, ciguatera and childhood asthma;

(h)

promote water conservation and efficiency, and enhance the capacity of the water supply system to handle drought and severe weather events;

(i)

increase the resilience of the Territory to heavy rain and flood events;

(j)

promote energy conservation and efficiency, and encourage use of renewable energy to reduce the national energy bill and carbon emissions while increasing energy security.

​The Trust will utilise its funds to:


(a) support a range of activities to implement The Virgin Islands Climate Change Adaptation Policy, including but not limited to on-the-ground activities, capacity building, education, research, studies, introduction of innovative technologies, legislative reform, policy development and establishment of incentive programmes (b) support cross cutting measures including disaster risk reduction and the promotion of ecosystem resilience; (c) provide support to the most vulnerable groups, communities and sectors and to finance innovative climate change initiatives by the private sector; (d) principally finance activities associated with the incremental costs of addressing climate change to help ensure that local climate change impacts are minimized. (4) The Trust shall not be used to support day-to-day operations of Government, civil society or the private sector not related to the implementation of The Virgin Islands Climate Change Adaptation Policy. (5) Income from any source may be invested, disbursed as grants or loans, or used to cover the Trust’s administrative expenses and operating costs, as set forth in this Act. Powers of the Trust 6. ​(1) The Trust has power to do all things necessary or convenient to be done for or in connection with the exercise of its functions. (2)

​Without limiting subsection (1), the Trust has power to do the following: (a)

to buy, sell, hold, mortgage, lease or otherwise deal with land and other real property ;

(b)

to dispose of land vested in the Trust (whether on trust or otherwise) to achieve the purposes stated in section 5;

(c)

to invest money of the Trust not immediately required for the furtherance of its objects in the same way as trustees may invest trust funds in securities within the scope of investments authorised in the Trustees Ordinance 1961;

(d)

pay all or any part of its Funds into a deposit or savings account of a bank carrying on business in the Territory, with all interest if any, payable in respect thereof shall be applied as income;

(e)

borrow from time to time from a bank on the security of its investment to an amount not exceeding in the aggregate the sum estimated to be the total of its investments and the income therefrom;

(f)

​to act as trustee of money or other property vested in the Trust;

(g)

​to use money of the Trust to further the objects of the Trust or to meet the Trust’s commitments under any agreement to which the Trust is a party;

(h)

​to make and enter into contracts or other arrangements for the carrying out of works, the performance of services or the supply of goods or materials;

(i)

​to appoint agents.


(3) ​The Trust may do all things that are supplemental or incidental to, or consequential on, the exercise of its functions. Acceptance of Contributions 7. ​(1) ​The Trust may accept donations from lawful sources that are subject to conditions imposed by donors if doing so would not: (a) (b)

cause the Trust to violate any provision of this Act; and ​be reasonably expected to impair the Trust’s ability to achieve its purpose.

​(2) ​Contributions to the Trust designated for specific projects or made subject to specific conditions shall be preserved and utilised solely for the designated purpose. Dedication to Non-Political Purpose 8. ​(1) ​Notwithstanding any other provision of this Act, the Trust shall not engage in any activities or exercise any powers that are not in furtherance of its purpose. (2) ​No part of the earnings of the Trust will inure to the benefit of any individual or political party, or be distributed to its Board, officers or other private persons. (3) ​Notwithstanding the provisions of subsection (2), the Board may authorize the Trust to pay reasonable compensation for services rendered and to make payments and distributions in furtherance of the purposes and activities set forth in this Act. (4) ​The Trust may not attempt to influence legislation other than in a manner consistent with its purpose. (5) ​The Trust shall not participate or intervene in any political campaign on behalf of or in opposition to any candidate for political office or any political party. Duties of the Trust 1. It shall be the duty of the Trust, with a view to the proper carrying out of the provisions of this Act, to: (a)

raise and administer funds, from domestic and international sources, for the purposes defined in section 5;

(b)

negotiate, enter into, monitor and enforce compliance with international and domestic funding agreements for the purposes defined in section 5;

(c)

establish, maintain, administer, disburse and monitor the use of such funds as are appropriate to its activities;

(d)

ensure that the most beneficial use is made of funds raised, administered and disbursed by the Trust;

(e)

ensure that a combination of grants and loans will be used to finance and support the purposes defined in section 5, which shall be in accordance with the following principles: (i)

project proposals for support under the Trust must be submitted in response to periodic call for proposals by the Trust;


(ii)

project proposals for support under the Trust must be submitted by a entity normally resident in the Territory, including Government and its agencies, private enterprise, registered associations, academia or non-governmental organisation, which may partner with entities that are not residents of the Territory;

(iii)

individuals generally may not submit proposals for support under the Trust;

(iv)

no less than 75% of funds disbursed in any year shall be reserved for grants;

(v)

no less than 15% of funds disbursed in any year shall be reserved for concessionary loans for the private sector to undertake priority climate change adaptation and climate change mitigation projects;

(vi)

there shall be no overall limit on granting of funds by sector, theme or class of recipient and awards shall be based on priorities, demand and the meeting of criteria as defined by the Board in consultation with the Climate Change Committee;

(vii)

upper funding limits should be set for any single award and these may vary by recipient and activity type;

(viii)

no more than 50% of funds disbursed in any year may be accessed by Government agencies for the purposes stated in section 5 unless qualifying proposals from other sectors do not absorb the remaining funding capacity;

(ix)

no less than 15% of funds disbursed to projects in any year shall be for projects that address climate change impacts on women and vulnerable communities;

(x)

the Trust shall not implement any project or programme that it funds;

(f)

provide financial assistance to support conversions to low-carbon energy efficient technologies;

(g)

ensure that all residents of the Territory have equal access to funds for the purposes defined in section 5, with special consideration being given to vulnerable groups, communities and sectors, in addition to non-governmental organisations and community-based organisations;

(h)

provide technical, financial and other assistance to vulnerable groups, communities and sectors, when the Trust considers it appropriate to do so, for facilitating the achievement of the purposes stated in section 5;

(i)

be the repository of gifts and bequests of land or money to be used for facilitating the achievement of the purposes stated in section 5;

(j)

raise money from organisations and the general public to help fund its activities;

(k)

maintain complete financial records of all financial transactions of the Trust;

(l)

maintain and make publically available full and complete records and accounts of all activities of the Trust;

(m)

provide the public with free access to information concerning the work of the Trust;


(n)

promote public knowledge, appreciation and understanding of climate change impacts affecting the Territory.

Revenues of the Trust 10. ​(1) ​The revenues of the Trust may be generated from the following sources: (a)

gifts and bequests;

(b)

public and private donations from national and international sources;

(c)

budgetary allocations from Government;

(d)

any fees, levies, taxes and fines that are specifically allocated to the Trust by national laws, regulations or executive orders;

(e)

revenues from investments;

(f)

proceeds from the sale, lease or transfer of tangible and intangible property;

(g)

proceeds from services provided by the Trust;

(h)

exceptional and miscellaneous income or gains; and

(i)

​any other sources of revenue deemed appropriate by the Board.

(2) ​The Board may reject any gifts, bequests, donations, revenues, proceeds or income that may be offered to the Trust or otherwise accrue to it. (3) ​ Pursuant to the provisions of this section, the fees and levies specified in the Schedule to this Act shall be collected by the Ministry of Finance and deposited on a monthly basis into the account of the Trust established under section 47. Status of the Trust 11. ​(1) ​The Trust is not a public fund of the Territory and the capital and revenue of the Trust is not public money of The Virgin Islands or as such subject to control and accounting except as provided by this Act. (1) (a)

payroll taxes under the Payroll Taxes Act 2004;

(b)

cheque duty on negotiable instruments under the Cheque Duty Act (Cap 201);

(c)

trust duty under the Trustee Act (Cap 303). (2)

(4)

The Trust is exempt from paying taxes, including but not limited to:

The Trust is not, and does not represent, the Government of the Virgin Islands.

​Without limiting subsection (3), the Trust: (a) (b)

is not an agency of the Government of The Virgin Islands; ​is not entitled to any immunity or privilege of the Territory;


(c)

c​ annot render the Government of the Virgin Islands liable for any debts, liabilities or obligations of the Trust;

(d)

​is not a public authority for any purpose and is taken not to have been constituted or established for a public purpose.

Seal of Trust 12. ​The seal of the Trust is to be kept by the Chairperson of the Board and is to be affixed to a document only: (a)

in the presence of at least 2 members of the Board; and

(b)

​with an attestation by the signatures of those members of the fact of the affixing of the seal. PART II MANAGEMENT AND ADMINISTRATION OF THE TRUST

Board of Directors 13. ​(1) ​The Trust is to be managed by an independent Board of Trustees. ​ (2) ​The Board of Trustees shall have the executive control and management of the affairs of the Trust, and shall exercise and perform the functions, powers and duties of the Trust on its behalf, and shall be responsible for its effective and efficient administration. (3) ​The Board shall have the power to do all other things which the Board determines are necessary and proper for the administration and operation of the Trust in order to enable the Trust to achieve its purpose. (4) ​The Board will make ultimate decisions on the mobilisation and disbursal of funds, and oversee the high-level activities of the Trust, including approval of policy and operational guidelines, approval of projects supported by the Trust, strategic direction and reporting. (5) ​While not in any manner limiting the generality of subsections (1) to (4), the functions of the Board of Trustees include, inter alia, to: (a)

manage the Trust in accordance with the provisions of this Act;

(b)

apply for tax-exempt status for the Trust in any jurisdiction;

(c)

engage in strategic planning for the Trust;

(d)

mobilize and negotiate funding for the Trust;

(e)

approve all procedures for grants and other funding requests supported by the Trust; review and approve requests for grants and other funding activities supported by the Trust in accordance with the provisions of this Act; oversee the investment of funds administered by the Trust to ensure the best return while achieving the provisions of this Act; provide policy advice and directives relating to Trust activities; decide on issues concerning the employment conditions of the Secretariat and staff of the Trust, including but not limited to their hiring, terms of employment and dismissal, their supervision, performance review, and

(f) (g) (h) (i)


(j) (k) (l) (m) (n) (o) (p) (q) (r)

benefits to be paid; provide overall direction to the Technical Advisory Group established under this Act; promote and coordinate the work of the Trust; approve, periodically review and modify (as necessary) the Operational Manual and annual workplan for the Trust; authorize the opening of bank accounts for the Trust; designate signatories for accounts, contracts and any other instruments that commit the resources of the Trust; contract with an asset manager, investment consultant, custodian, registered agent or any other professional service provider that is engaged in the interest of sound operation of the Trust; control the use of funds of the Trust; appoint or replace an independent outside auditor for the Trust; and review and approve the annual reports of the Trust.

(6) ​The Board will make final decisions on which application for funding by the Trust are to be supported but shall be guided and make their decisions based on the established priorities and criteria as defined by the Climate Change Committee in their three year Policy Implementation Strategy. (7) ​Any act, matter or thing done in the name of, or on behalf of, the Trust by the Board is taken to have been done by the Trust. (8) ​No monies shall be paid out of the Trust’s assets except with the authority, and in accordance with any general or special direction, of the Board. Composition of the Board 14. ​(1) ​The Board shall consist of eight members, namely the Chief Executive Officer of the Trust and one member from each of the following: (a) ​an executive or senior technical officer representing the Ministry of Natural Resources and Labour; (b) ​an executive or senior technical officer representing the Ministry of Finance; (c) ​the private sector representing the tourism industry in the Territory; (d) ​the private sector representing the financial services sector in the Territory; (e) ​the private sector representing any sector responsible for making contributions to the Fund; (f) ​academic or research organisations domiciled in the Territory; (g) ​non-governmental organisations or community-based organisations domiciled in the Territory. (2) ​The Minister shall not appoint a person referred to in subsection (1) to the Board unless the Minister, acting on the advice of Cabinet, is satisfied that the person has the capacity to do one or more of the following: (a) ​to attract and maintain financial support for the Trust; (b) ​to ensure effective financial management of the Trust; (c) ​to ensure sound and effective decision-making leading to the attainment of identified functions of the Trust; (d) ​to provide effective leadership and direction to the Board. (3) ​The Minister, acting on the advice of Cabinet, is to ensure, as far as is possible, that the composition of the Board is such that the Board as a whole has: (a) ​a simple majority of persons who belong to the Virgin Islands; (b) ​all the capacities specified in subsection (2).


Appointment of Non-Government Members of the Board 15. ​(1) ​This section applies in respect of the appointment of the members of the Board referred to in sections 14 (c) to (f). (2) ​The Minister is to cause an advertisement inviting written applications and nominations of persons for appointment to the Board to be published in a newspaper circulating throughout the Territory. (3)

​The advertisement placed pursuant to subsection (2) must specify the following: (a) the number of non-government members to be appointed to the Board; (b) the particular capacity or capacities that an appointee will be required to have, including affiliation to one of the sectors or organisation mentioned in section 14 (c) to (f); (c) the closing date for applications and nominations (being a date not earlier than 28 days after the date of the advertisement); (d)

​the address to which applications and nominations are to be sent.

(4) ​The advertisement placed pursuant to subsection (2) shall also state that a nomination will not be accepted unless the nominee’s written consent to the nomination is forwarded with the nomination. (5) ​The Minister, acting on the advice of Cabinet, shall not appoint a person as a member of the Board unless: (a) ​the person was duly nominated under this section or applied in person; (b) ​the person possesses the qualities stated in section 14 (2); (c) ​applications and nominations have closed; and (d) ​the Minister has considered all applications and nominations duly received. Terms of Office of Members of Board 16. ​(1) ​A member holds office for such period (not exceeding 3 years) as is specified in the member’s instrument of appointment, but is eligible (if otherwise qualified) for re-appointment. (2) ​Notwithstanding the provisions of subsection (1), appointments of non Government members pursuant to section 15 shall be timed to ensure that no more than two non-government representatives are re-appointed in any calendar year. Standard of Care 17. ​(1) ​The Board shall be considered as the trustee of the Trust. (2) ​Each member of the Board stands in a fiduciary relationship toward the Trust and shall discharge his or her duties in good faith. Vacancy in Office of Member of Board 18. ​(1) ​The office of a member of the Board becomes vacant if the member: (a) ​dies; or (b) ​completes a term of office and is not re-appointed; or (c) ​resigns the office by instrument in writing addressed to the Minister; or (d) ​is removed from office by the Minister under this clause; or


(e)

(f) (g) (h)

(i)

i​ s absent from 4 consecutive meetings of the Board of which reasonable notice has been given to the member personally or by post, except on leave granted by the Board or unless the member is excused by the Board for having been absent from those meetings; or ​becomes bankrupt, applies to take the benefit of any law for the relief of bankrupt or insolvent debtors, compounds with his or her creditors or makes an assignment of his or her remuneration for their benefit; or ​becomes a mentally incapacitated person; or ​is convicted in the Territory of an offence involving dishonesty that is punishable by imprisonment for 6 months or more, or is convicted of any offence that is punishable by imprisonment for 12 months or more, or is convicted elsewhere than in the Territory of an offence that, if committed in the Territory, would be an offence so punishable; or ​in the case of a member referred to in section 14 (1) (c) to (f), ceases to be qualified for appointment.

(2) ​The Minister, acting on the advice of Cabinet, may at any time remove a member of the Board from office, but only if the Minister is satisfied that the member is guilty of misconduct in his or her activities as a member. (3) ​For the purposes of subsection (2), misconduct of a member of the Board includes, but is not limited to, the following: (a) ​conduct that is detrimental to the achievement of the objects of the Trust; (b) ​conduct that is likely to bring the Trust into disrepute; (c) ​unethical conduct. Filling of Vacancy in Office of Member of Board 19. If the office of any member becomes vacant, a person is, subject to this Act, to be appointed to fill the vacancy. Remuneration 20. ​(1) ​Members of the Board shall serve on a voluntary basis and shall not receive any compensation for serving as members of the Board. (1)

Notwithstanding the provisions of subsection (1), the Board may approve advancement of or reimbursement for reasonable expenses incurred by a member of the Board in connection with the business of the Trust.

(2)

Further to the provisions of subsection (2), a member of the Board is entitled to be paid such remuneration, including travelling and subsistence allowances, as: (a) ​the Board may from time to time determine in its business plan in respect of the member, or (b) ​as may be specified in Regulations to this Act, whichever is the lesser. (4) ​Remuneration paid pursuant to the provisions of subsection (1) is payable from the funds of the Trust. Chairperson and Co-Chairperson


21. ​(1) ​Meetings of the Board are to be co-chaired by one representative from government and one non-government representative. (2)

​Co-Chairpersons are to be elected by the members at the first meeting of the Board.

(3) ​In the absence of one Co-Chairperson, the other Co-Chairperson may, if available, act as the sole Chairperson. (3)

While acting in the capacity as sole Chairperson pursuant to sub-section (3), either Co-Chairperson has all the functions of the Chairperson and is taken to be the Chairperson.

(4)

Co-Chairpersons shall have only a single joint vote on any matter before the Board, and if the CoChairpersons are unable to agree on how their single joint vote is to be cast, they shall abstain from the vote.

(5)

The Co-Chairpersons vacate office as Co-Chairperson if the person: ​ceases to be a member of the Board; or ​resigns from that office by instrument in writing addressed to the Board;

(a) (b) or (c)

​is removed from that office by a vote of the Board.

(7) ​If the office of Co-Chairperson becomes vacant, a member is to be elected by the members to fill the vacancy. Duties of the Co-Chairperson 22. ​(1) ​The Co-Chairpersons shall preside over all meetings of the Board and perform all duties incident to office of the Chairperson, and such other duties as may be delegated to such office by the Board. (2) ​The Co-Chairpersons possesses the authority to represent the Trust legally and in its relations with third parties. (3) ​In the absence of a Chief Executive Officer, the Co-Chairpersons shall exercise all of the functions and duties of the Chief Executive Officer as described in Section 35, provided, however, that a Co-Chairperson appointed in accordance with this subsection shall not receive compensation for his or her service as Chief Executive Officer. Disclosure of Pecuniary Interests 23. ​(1) ​If: (a) ​a member has a direct or indirect pecuniary interest in a matter being considered or about to be considered at a meeting of the Board, and (b) ​the interest appears to raise a conflict with the proper performance of the member’s duties in relation to the consideration of the matter, the member must, as soon as possible after the relevant facts have come to the member’s knowledge, disclose the nature of the interest at a meeting of the Board. (2)

​A disclosure by a member at a meeting of the Board that the member: (a) ​is a member, or is in the employment, of a specified company or other body; or


(b) (c)

​is a partner, or is in the employment, of a specified person; or ​has some other specified interest relating to a specified company or other body or to a specified person, is a sufficient disclosure of the nature of the interest in any matter relating to that company or other body or to that person which may arise after the date of the disclosure and which is required to be disclosed under subsection (1). (3) ​Particulars of any disclosure made under this section must be recorded by the Board in a book kept for the purpose and that book must be open at all reasonable hours for inspection by any person on payment of such reasonable fee as may be determined by the Board from time to time. (4) ​After a member has disclosed the nature of an interest in any matter, the other members are to determine whether the member concerned may: (a) ​be present during any deliberation of the Board with respect to the matter; or (b) ​take part in any decision of the Board with respect to the matter. (5) ​For the purposes of the making of a determination by the Board under subsection (4), a member who has a direct or indirect pecuniary interest in a matter to which the disclosure relates must not: (a) ​be present during any deliberation of the Board for the purpose of making the determination; or (b) ​take part in the making by the Board of the determination. (6) ​A contravention of subsection (5) shall invalidate any decision of the Board concerning the matter in which the member has a direct or indirect pecuniary interest. Effect of Certain Other Acts 24. ​If by or under any Act provision is made: (a) ​requiring a person who is the holder of a specified office to devote the whole of his or her time to the duties of that office; or (b) ​prohibiting the person from engaging in employment outside the duties of that office, the provision does not operate to disqualify the person from holding that office and also the office of a member or from accepting and retaining any remuneration payable to the person under this Act as a member. Personal Liability 25. ​A matter or thing done or omitted to be done by the Board, a member of the Board or a person acting under the direction of the Board does not, if the matter or thing was done or omitted to be done in good faith for the purpose of executing this or any other Act, subject a member or a person so acting personally to any action, liability, claim or demand. Notice of Meetings 26. ​(1) ​Notice of any meeting (other than regular meetings scheduled at a previous meeting of the Board, in which case Notice need only be sent to members of the Board absent from such previous meeting) of the Board shall be given to each member of the Board at least ten (10) working days before such meeting is to be held. (2) ​A notice issued pursuant to subsection (1) shall be sent to each member of the Board at her or his residence address or usual place of business, and shall be given by mail, telefax or electronic mail.


(3) ​Every notice issued pursuant to this section shall state the time and place of the meeting and the business to be transacted or the purpose of the meeting. (4) ​Receipt of any notice under this section may be waived by any member of the Board, and the attendance of a member of the Board at a meeting shall constitute a waiver of Notice. Quorum 27. ​(1) present.

​No business shall be transacted at any Meeting of the Board unless a quorum is

​(2) ​The quorum for a meeting of the Board is 5 members, of whom one must be a government representative. (​ 3) ​If a quorum is not present within one (1) hour from the time appointed for the Meeting, or during a Meeting a quorum ceases to be present, the Meeting shall be adjourned to such time and place as the Members of the Board shall determine.

Presiding Member 28. ​(1) ​The Co-Chairpersons are to preside at a meeting of the Board. (2) ​The presiding members have a deliberative vote and, in the event of an equality of votes, have a single casting vote. Voting 29. ​A decision supported by a majority of the votes cast at a meeting of the Board at which a quorum is present is the decision of the Board. Transaction of Business Outside Meetings 30. ​(1) ​The Board may, if it thinks fit, transact any of its business by the circulation of papers among all the members of the Board for the time being, and a resolution in writing approved in writing by a majority of those members is taken to be a decision of the Board. (2) ​The Board may, if it thinks fit, transact any of its business at a meeting at which all or some members participate by telephone, closed-circuit television, video-conferencing or other means, but only if any member who speaks on a matter before the meeting can be heard by the other members. (3)

​For the purposes of: (a) ​the approval of a resolution under subsection (1); or (b) ​a meeting held in accordance with subsection (2), the Chairperson and each member have the same voting rights as they have at an ordinary meeting of the Board. (4) ​A resolution approved under subsection (1) is to be recorded in the minutes of the meetings of the Board. (5) ​Papers may be circulated among the members for the purposes of subsection (1) by facsimile or other electronic transmission of the information in the papers concerned. (6) ​Service of any document on the Co-Chairperson of the Board, or the Chief Executive Officer appointed pursuant to section 35, shall be deemed to be service on the Trust.


Removal 31. ​Any member of the Board may be removed from office by the Minister in the event that the member: (a) ​fails to attend four (4) consecutive meetings of the Board, provided, that the Board gave Notice to the member of the Board in accordance with the provisions of section 26; (b) ​knowingly fails to notify the Board of a conflict of interest; (c) ​no longer fulfills the conditions of appointment as set forth in Section 14; or (d) ​acts in a way that is detrimental to the General Purpose, mission, reputation or operations of the Trust. Resignation 32. ​(1) ​Any member of the Board may resign at any time by delivering a written notice of his or her resignation to the Co-Chairpersons of the Board. (2) ​Any resignation pursuant to subsection (1) shall be effective upon receipt unless specified to be effective at some other time. First Meeting 33. The Minister shall, no later than 90 days after the enactment of this Act, call the first meeting of the Board in such manner as the Minister thinks fit. Secretariat of the Trust 34. ​(1) ​The Trust may employ a Secretariat comprising a Chief Executive Officer, Financial Manager, Resource Mobilisation Officer, Projects Administrative Officer, and such other staff as may be necessary to enable the Trust to exercise its functions. (2) ​The Secretariat shall be responsible for providing administrative support to the Board, which shall include, inter alia: (a) ​developing the Business Plan pursuant to the requirements of section 37; (b) ​developing the Operational Manual pursuant to the requirements of section 42; (c) ​preparing an annual workplan including a cash flow management system that shall ensure timely disbursement and access to money as needed, both by the Trust and by projects supported by the Trust; (d) ​identifying and contracting a suitably qualified Asset Manager pursuant to the provisions of section 48; (e) ​receiving all applications for funding by the Trust and ensuring that all documentation is complete and accurate; (f) ​receiving and reviewing reports from persons and organisations implementing projects supported by the Trust; (g) ​ensuring that all projects are implemented in accordance with legal, technical and financial requirements of the Board; (h) ​production of periodic and annual reports of the Trust; (i) ​maintenance of a central database of all past and ongoing projects funded by the Trust including information concerning their relationship to the The Virgin Islands Climate Change Adaptation Policy” other important project details; (j) ​monitoring, evaluating and verifying projects support by the Trust and reporting on outcomes to the Board; (k) ​ensuring that un-coordinated duplication of activities supported by the Trust is avoided;


(l) (m) (n)

d​ eveloping mechanisms to replicate successful projects supported by the Trust; ​seeking and obtaining sources of funding for the Trust; ​assisting the Board in managing the daily operations of the Trust and providing administrative support to the Technical Advisory Group constituted pursuant to section 36.

(3) ​The Trust may fix the salary, wages and other conditions of its Secretariat staff in so far as they are not fixed by or under any other Act or law. (4) ​The Secretariat may, with the approval of the Board, engage consultants for the purpose of obtaining expert advice. (5) ​Remuneration paid to the Secretariat, staff and consultants retained pursuant to the provisions of this section shall be payable from the funds of the Trust. ​ Duties of the Chief Executive Officer 35. ​(1) ​The Chief Executive Officer of the Trust shall be an employee of the Trust responsible for carrying on its day-to-day affairs and implementation of its strategic direction as directed by the Board. (2) ​The Chief Executive Officer shall be responsible to the Board for the economical and efficient administration of the affairs of the Trust, and shall exercise all other such authority and perform such functions as may be determined by resolution of the Board. (3) ​The Chief Executive Officer shall attend all meetings of the Board, serve as the Secretary of the Board and maintain all records of the decisions of the Board. (4) ​In his or her capacity as Secretary of the Board, the Chief Executive Officer shall cause all Notices to be mailed and shall attend all meetings and keep the minutes thereof. (5) ​The Chief Executive Officer shall have custody of the records and books of the Trust, other than books of account, and perform the usual duties pertaining to his or her office and such other duties as the Board may from time to time prescribe. (6) ​The Chief Executive Officer shall serve at the pleasure of the Board and may be removed, with or without cause, by majority vote of the Board. Technical Advisory Group 36. ​(1) ​The Board shall establish a Technical Advisory Group to provide advice on the technical, economic, social and environmental merits of applications for funding to the Trust, and to carry out other specific responsibilities in accordance with instructions the Board may specify. (2) The Technical Advisory Group shall comprise: (a) the Chief Conservation and Fisheries Officer of the Conservation and Fisheries Department, who shall be the Chairperson; (b) the Director of the British Virgin Islands Tourist Board; (c) the Director of the Department of Disaster Management; (d) the Permanent Secretary of the Ministry of Communication and Works; (e) Chief Planner of the Town and Country Planning Department; (f) Chief Agricultural Officer of the Department of Agriculture; (g) the Permanent Secretary of the Ministry of Health; (h) an economist;


(i) (j) (k) (l) (m)

an environmental scientist; a renewable energy expert; a water resources expert; a civil engineer; and a representative from a community-based organisation.

(3) ​The Technical Advisory Group may co-op other expertise as necessary to satisfactorily undertake any instruction issued by the Board pursuant to its powers under this Act. (4) ​The Trust may fix the travel expenses, honorarium and other payments to be made to the Technical Advisory Group in so far as they are not fixed by or under any other Act or law. (5) ​Any travel expenses, honorarium and other payments paid to the Technical Advisory Group shall be payable from the funds of the Trust. (6) ​Notwithstanding the provision of subsection (4), the Trust shall not pay honorarium for any services provided by a member of the Technical Advisory Group unless that person is coopted from outside the |Territory pursuant to subsection (2).

PART III – OPERATIONS OF THE TRUST Trust to Conduct Activities in Accordance with Business Plan 37. ​(1) ​The Trust must conduct its activities, as far as is practicable, in accordance with a business plan prepared in accordance with this Act. ​(2) ​Further to the provisions of subsection (1), the Trust must, no later than 6 months after the commencement of the Act, prepare and deliver to the Minister a draft business plan specifying the following: (a) ​viable fundraising options for the Trust, including but not limited to acquiring proportional access to the international aviation industry carbon levy charged to passengers departing to The Virgin Islands from European airports; (b) ​activities to be undertaken to mobilize funds for the Trust; (c) ​proposed investment policy in order to generate long-term sustainable financing for carrying out the objects of the Fund; (d) ​projected flow of funds that will result from the operations of the Trust; (e) ​the strategy that the Trust proposes to adopt for the following 5 years to further its objects; (f) ​the annual budget required for the following 5 years for the Trust to carry out its objects; (g) ​the strategy for investing and utilizing the funds of the Trust; (h) ​the criteria that the Trust will meet when entering into funding agreements; (i) ​the performance indicators by which the Trust’s achievement of its objects is to be measured; (j) ​the remuneration and allowances (if any) to be paid to the members of the Board, the Secretariat and Technical Advisory Group. (3)

​The Business Plan prepared pursuant to this section must be consistent with: (a) ​any regulations made under this Act; (b) ​an evolving funding priority based on The Virgin Islands Climate Change Adaptation Policy and any national energy policy that may be approved and amended from time to time; and (c) ​established criteria to ensure that the funds of the Trust are effectively distributed in a coordinated approach to achieve low-carbon, climate-resilient development within the Territory.


Consideration of Business Plan 38. ​(1) ​The Minister, in consultation with the Minister of Finance, is to determine whether the priorities and strategies of the Trust specified in the draft business plan delivered to the Minister under section 32 are consistent with the requirements of section 37 (2) and (3). (2) ​The Minister may, having regard to the views of the Minister for Finance and the requirements of subsection (1), either endorse or refuse to endorse the priorities and strategies specified in the draft business plan. (3) ​If the Minister refuses to endorse the priorities and strategies specified in the draft business plan, the Minister is to return the draft plan to the Trust with written reasons for the refusal. (4) ​If the Minister does not return the draft business plan in accordance with subsection (3) within 28 days after it is delivered, the Minister is taken to have endorsed the priorities and strategies specified therein. Plan to be Revised until Priorities and Strategies Endorsed 39. ​(1) ​Pursuant to the provisions of section 38 (3), if the Minister refuses to endorse the priorities and strategies specified in the draft business plan, the Trust is to revise the plan and resubmit it to the Minister. (2) ​Section 38 and this section apply to a resubmitted draft plan in the same way as they apply to an original draft plan.

Amendment of Plan 40. ​The Board may amend any endorsed priority or strategy specified in its business plan only if the Minister, in consultation with the Minister of Finance, approves the amendment. New Plan to be Prepared at Certain Intervals 41. ​(1) ​At least 6 months before the expiry of the 5 years to which a business plan of the Trust relates, the Trust must prepare a new draft business plan. (2) ​Nothing in this section prevents the Trust from preparing new draft business plans at more frequent intervals than those required by subsection (1). (3) ​If the Minister does not endorse the priorities and strategies specified in a new draft business plan before the expiry of the 5 years to which the business plan under which the Trust is conducting its activities relates, the Trust is to continue to conduct its activities in accordance with the priorities and strategies specified in that plan, in so far as is practicable, until the priorities and strategies specified in the new plan are endorsed. Trust to Conduct Activities in Accordance with Operational Manual 42. ​(1) ​The Trust must conduct its activities, as far as is practicable, in accordance with an operational manual that shall define the administrative and financial operations of the Trust, which shall be prepared in accordance with this Act. (2) The operational manual prepared pursuant to the requirements of this section is to be


used by the Secretariat and any persons or entities engaged by the Trust to ensure its effective operation and achievement of its stated objects. (3) Further to the provisions of subsection (1), the Trust must, no later than 3 months after the approval of the business plan pursuant to the provisions of section 38, prepare and deliver to the Minister a draft operational manual specifying the following: (a) ​the proposed organizational structure of the Trust; (b) ​the terms of reference for the Board, Secretariat and Technical Advisory Group; (c) ​office management and administrative requirements for the Trust; (d) ​procedures for record keeping and the management of information, including the management of confidential information and information to be accessed by the public; (e) ​framework for fiduciary management, including – (i) ​qualifications and terms of reference for the asset manager; (ii) ​process for tracking funds with the asset manager; (iii) ​procedures for asset manager performance evaluations; (iv) ​process for notifying the asset manager of the timing of transfers of investment proceeds; (v) ​instructions for the asset manager on allocating of funds and new capital to benefit specific Trust endowments; (vi) ​cash flow management system that shall ensure timely disbursement and access to money as needed, both by the Trust and by projects supported by the Trust; () book-keeping and accounts management procedures; () procedures for management of fund transfers; () procedures for coordination and review of annual funding requests; () procedures for financial reporting including reports of investment returns, (xi) ​procedures for procurements of goods and services; (xii) ​internal and external audit procedures; (xiii) ​terms of reference for auditors; (f) ​operational safeguards and procedures to monitor, evaluate and verify that the operations of the Trust achieve its stated objectives ; (g) ​procedures to evaluate the effectiveness of the governance structures and funding operations of the Trust; (h) ​procedures establishing calls for proposals (including their frequency and timing) for priority climate change adaptation and climate change mitigation actions for funding by the Trust as determined by the Climate Change Committee in their three-year Policy Implementation Strategy which is to be revised annually; (i) ​operational procedures and application forms for applying for support from the Trust; (j) ​guidelines and criteria for considering and approving applications for funding support by the Trust; (k) ​qualifications for entities that may receive funding support from the Trust; (l) ​processes to establish a roster of approved implementing agencies or organizations that may receive funding support from the Trust; (m) ​management of promotional activities; (n) ​proposed annual workplan to achieve the objects of the Trust; (o) ​procedures whereby small non-governmental organizations may access a small grant from the Trust not exceeding US$10,000 dedicated to capacity building within the non-governmental organization in order that it may be subsequently approved as an implementing entity to receive funding support from the Trust;


(p)

​management fess for implementing agencies that receive funding support from the Trust, which should not exceed 10% of the total project costs under management by the implementing agency and which shall not be paid where the implementing agency is a direct beneficiary of the project being supported by the Trust.

Consideration of Operational Manual 43. ​(1) ​The Minister is to determine whether the procedures specified in the draft operational manual delivered to the Minister under section 42 are consistent with the requirements of section 42 (2) and (3). (2)

​The Minister may either endorse or refuse to endorse the draft operational manual.

(3) ​If the Minister refuses to endorse the draft operational manual, the Minister is to return the draft manual to the Trust with written reasons for the refusal. (4) ​If the Minister does not return the draft operational manual in accordance with subsection (3) within 28 days after it is delivered, the Minister is taken to have endorsed the procedures specified therein. Operational Manual to be Revised until Endorsed 44. ​(1) ​Pursuant to the provisions of section 43 (3), if the Minister refuses to endorse the draft operational manual, the Trust is to revise the manual and resubmit it to the Minister. (2) ​Section 43 and this section apply to a resubmitted draft operational manual in the same way as they apply to an original draft manual. Role of Climate Change Committee 45. ​(1) ​The Climate Change Committee will within one year of establishment of the Trust, identify and define baselines and indicators to be used to measure the effectiveness of the climate change adaptation and climate change mitigation measures supported by the Trust. (2) ​The Climate Change Committee shall provide the Board with the baselines and indicators established pursuant to subsection (1) in order to guide the Trust in the achievement of its purpose. (3) ​The Climate Change Committee will regularly review the effectiveness of the Trust according to the directives of The Virgin Islands Climate Change Adaptation Policy.

PART IV – FINANCIAL MATTERS OF THE TRUST Financial Year 46. ​The financial year of the Trust commences on the 1 July. Investment and Use of Trust Monies 47. ​(1) ​All monies which comprise the Trust and which do not have to be used immediately to defray expenses of the Trust, shall be invested in such a manner as the Board consider fit to preserve the principal and achieve a reasonable rate of return, and such investments shall be approved either generally or specifically by the Board.


(2) ​The Board shall possess the authority necessary, either directly or through authorised agents, to undertake such investments as are authorised under subsection (1), including the power to buy and sell such securities or other obligations as the Board determines to be appropriate. (3) ​Borrowing by the Trust may be effected only with the approval of the Minister for Finance as to the amount, the sources of borrowing, and the terms and conditions of the loan, and may be either general or limited to a particular transaction and may be either unconditional or subject to conditions. (4) ​The Board may not pledge the assets of the Fund as security for any loan, without the written approval of the Minister for Finance. ​ Trust to Establish Accounts 48. ​(1) ​The Trust is to establish, with one or more authorised deposit-taking institutions, such accounts as it thinks appropriate for the money received and expended by the Trust. (2)

​There is to be paid into the Trust Accounts: (a) ​all money received by or on account of the Trust; (b) ​all interest received in respect of the investment of money belonging to the Trust; (c) ​all money borrowed by or advanced to the Trust; (d) ​all money directed to be paid into the Trust Accounts by or under this or any other Act.

(3) ​The money in the Trust Accounts may, subject to the terms of any trust or condition affecting that money or any part of it, be applied for any one or more of the following purposes: (a) ​providing the remuneration of the members of the Board, the Secretariat and other staff of the Trust; (b) ​discharging the liabilities incurred by the Trust in the exercise of its functions, including the provision of grants and loans; (c) ​any other purpose authorised by or under this or any other Act. (4) ​Income from any source may be disbursed as grants or loans, used to cover the Trust’s administrative expenses and operating costs, or invested in accordance with section 47. (5) ​No monies shall be paid out of the Trust’s accounts except with the authority, and in accordance with any general or special directions, of the Board. (6) ​Proper accounts shall be kept of all sums of money received and expended or invested in any account by the Trust and of the matters in respect of which such receipts, expenditures or investments take place and the assets, liabilities and accounts of the Trust. (7)

​The bank accounts of the Trust shall be subject to inspection by the Board.

Asset Management 49. ​(1) ​As may be further specified in the Business Plan and Operational Manual, the assets of the Trust shall be invested and managed by an internationally recognized Asset Manager selected by the Board through a transparent and competitive public tender process from a list of qualified financial management individuals or organisations licensed by the Financial Services Commission (FSC). (2)

​The contract with the asset manager retained pursuant to subsection (1) shall be for a


term of no more than 5 years, but may be renewed subject to satisfactory performance as determined through an independent performance review commissioned by the Board. (3) ​The Board shall pay the Asset Manager retained pursuant to subsection (1) a management fee of no more than 2% of the value of the assets of the Trust under management by the Asset Manager. (4) ​The Asset Manager retained pursuant to subsection (1) shall oversee the investment of the Trust’s assets and other financial activities as directed by the Board, which include but are not limited to receiving and disbursing funds of the Trust, maintaining financial records, development and implementation of an investment strategy for funds of the Trust, financial reporting, fund management and provision of an overdraft or short term loan facility to cover cash flow needs, subject to the orders of the Board. (5) ​The Asset Manager shall keep all funds of the Trust on deposit with banks or trust companies approved by the Board. (6)

​The Asset Manager shall submit reports to the Board upon request.

(7) ​The books of account of the Asset Manager shall be open at all times to the inspection of the Board. (8) ​With approval of the Board, the Asset Manager may delegate certain functions of his or her office to employees of the Trust, but he or she shall continue to be responsible for the proper performance of such functions. Accounts and Audit 50. ​(1) ​Proper accounts shall be kept of all sums of money received and expended or invested in any form by the Trust and of the matters in respect of which such receipts, expenditures or investments take place and the assets and liabilities of the Trust. (2) ​The accounts of the Trust shall be subject to inspection by the Board and the Minister, subject to reasonable restrictions which may be provided in the Operational Manual. (3) ​The Board shall prepare or cause to be prepared on a quarterly basis, a financial statements, which the Trust shall transmit to the Minister and any interested party. (4) ​The Board shall appoint an independent external auditor of internationally recognized standing and competence to audit the financial accounts of the Trust on an annual basis. (5) ​The Auditor appointed pursuant to subsection (4) shall verify the Trust’s balance sheet and other financial accounts for each Fiscal Year and shall prepare a comprehensive, detailed written report in accordance with international standards for auditing. (6) ​The Board shall make the Auditor’s completed annual report publicly available and provide a copy of such report to the Minister. (7) ​The Board shall, not later than the first day of July in each year prepare and submit to the Minister the estimates of revenue, other financial resources and expenditures of the Trust for the next financial year in such form as the Minister may direct. Annual Budget 51. ​By no later than the 1st day of July each year, the Board shall cause to be prepared, and shall approve, a budget which sets forth:


(a) (b) (c)

​projected revenue of the Trust from all sources; ​costs for Trust administration; and ​costs of grants and financial commitments to projects consistent with the Trust’s purpose.

Limits on Administrative Expenses 52. ​(1) ​Until completion of the Trust’s first 12-month Fiscal Year, the Trust may use up to twenty percent (20%) of its annual budget for administrative expenses as determined by the Business Plan. (2) ​In the Trust’s second 12-month Fiscal Year, and in each Fiscal Year thereafter, the Trust shall use no more than fifteen percent (15%) of its annual budget to pay for administrative expenses as determined by the Business Plan. Recovery of Money by Trust 53. ​Any fee or other money due to the Trust may be recovered by the Trust as a debt in a court of competent jurisdiction. PART V – GENERAL PROVISIONS Reports of Trust 54. ​(1) ​As soon as practicable after the 30 June in each year, the Trust is to prepare and deliver to the Minister and the Climate Change Committee a report of the proceedings of the Trust during the 12 months immediately preceding that date. (2) ​The report prepared pursuant to subsection (1) must include copies of the audited financial statements and accounts of the Trust for the 12 month period to which the report relates and an auditor’s report on those statements and accounts prepared by an auditor appointed pursuant to section 50 (5). (3) ​The Minister is to table the report delivered pursuant to subsection (2) to Cabinet and thereafter in the House of Assembly as soon as practicable after the report is delivered to the Minister. (4) ​The first report under this section is to report on the proceedings of the Trust from the date of its constitution to the 30 June in the year immediately following that date. Delegation 55. ​The Board may delegate any of the functions of the Trust (other than this power of delegation) to the Chief Executive Officer or any other member of the staff of the Trust. Service of Documents Generally 56. ​(1) ​A document that is authorised or required by this Act or the Regulations to be served on any person may be served by: (a) ​in the case of a natural person: (i) ​delivering it to the person personally, or (ii) ​sending it by post to the address specified by the person for the giving or service of documents or, if no such address is specified, the residential or business address of the person last known to the person giving or serving the document, or (iii) ​sending it by facsimile transmission to the facsimile number of the


(b)

person, or ​in the case of a body corporate: (i) ​leaving it with a person apparently of or above the age of 16 years at, or by sending it by post to, the head office, a registered office or a principal office of the body corporate or to an address specified by the body corporate for the giving or service of documents, or (ii) ​sending it by facsimile transmission to the facsimile number of the body corporate.

(2) ​Nothing in this section affects the operation of any provision of a law or of the rules of a court authorising a document to be served on a person in any other manner. Dissolution of the Trust. 57. ​(1) ​It is intended that the Trust shall have perpetual existence. (2) dissolved:

​The Board may make a request to the House of Assembly that the Trust be (a) (b)

​in the event of bankruptcy of the Trust; ​if the Trust’s tax-exempt status provided for in section 11 (2) is revoked; or

(c)

​if it has become impracticable to achieve the objectives of the Trust.

(3)

​Upon receipt of such request, the House of Assembly may vote to dissolve the

(4)

​In no other event shall the Trust be dissolved.

Trust.

(5) ​In the event of the Trust’s dissolution, the Trust’s assets shall be distributed to any organization(s) not affiliated with any government, ministry or government agency which has as its purpose a charitable, educational or scientific purpose for the benefit of the public that is substantially similar to the Trust’s purpose. Review of Act 58. ​(1) ​The Minister is to review this Act to determine whether the policy objectives of the Act remain valid and whether the terms of the Act remain appropriate for securing those objectives. (2) ​The review is to be undertaken as soon as possible after the period of 5 years from the date of assent to this Act. (3) ​A report on the outcome of the review is to be tabled in each House of Assembly within 12 months after the end of the period of 5 years. Regulations 59. ​(1) ​The Minister, in consultation with the Minister of Finance, may make regulations, not inconsistent with this Act, for or with respect to any matter that by this Act is required or permitted to be prescribed or that is necessary or convenient to be prescribed for carrying out or giving effect to this Act. (2) the following:

​Without limiting subsection (1), regulations may be made for or with respect to (a)

t​ o provide for the imposition, generation and collection of levies and fees for the Trust to be deposited into the account of the Trust in accordance with


(b) (c) (d)

provisions of section 10 (1); ​to amend the Schedule to this Act; ​to provide for remuneration to be paid to Board members, ​to provide for the winding up of the Trust.

Passed by the House of Assembly this day of

, 2014.

​Schedule (Section 10 (3).) Revenue of the Trust The following fees are to be collected by the Ministry of Finance for deposit in the account of the Trust established pursuant to section 10 (4): (a)

US$10 per person per visit carbon levy imposed on tourist accommodation guests to offset energy use – to be levied on a sliding scale with a 0% levy for facilities that use 100% renewable energy and have no carbon footprint and rising to 100% of the levy for facilities that are totally dependent upon fossil fuel for internal energy use and have no energy or water conservation measures in place as verified by an independent audit from a qualified and accredited auditor registered with the Ministry of Finance;

(b)

US$20 per person per visit carbon levy imposed on charter yacht passengers and dive operators to offset energy use – to be levied on a sliding scale with a 0% levy for yachts and marinas that use 100% renewable energy and have no carbon footprint and rising to 100% of the levy for yachts and marinas that are totally dependent upon fossil fuel for internal energy use and have no energy or water conservation measures in place as verified by an independent audit from a qualified and accredited auditor registered with the Ministry of Finance; ​ US$10 per person per visit facility access and transport levy imposed on visiting passenger ferries and cruise ships arriving in the Territory to offset energy use in providing access and transport services;

(c)

(d)

U$0.01 cents per litre carbon levy imposed on aircraft and ship bunker fuel and yacht diesel fuel;

(e)

US$0.01 cents per litre carbon levy on water taken onboard by visiting cruise ships to offset energy use in providing these services;

(f)

1 percent of Government’s portion of the annual fees levied for ships registered in the Territory to ensure and verify compliance with the requirements of Annex VI of the International Convention for the Prevention of Pollution from Ships, as amended by the Protocols of 1978 and 1997 (MARPOL);

(g)

1 percent of the appraisal fee charged by local marine surveyors and appraisers on foreign vessels and aircraft to ensure and verify compliance with the requirements of Annex VI of the International Convention for the Prevention of Pollution from Ships, as amended by the Protocols of 1978 and 1997 (MARPOL);

(h)

1 percent of the planning application fee levied for foreign developers;

(i)

1 percentage of the application and licensing fees levied for alien land holding licenses


and sea bed leases for foreign investors; (j)

100 percent of the proposed Environmental Levy to be collected at Ports of Entry;

(k)

10 percent increase in the basic fee for planning and building applications to offset the costs for hazard and climate change vulnerability assessments associated with such applications – to be to be levied on the following scale: (i) 0% levy for applications accompanied by a vulnerability assessment and risk management plan prepared by a qualified and accredited engineer or specialist registered with the Ministry for Natural Resources and Labour; (ii) 100% levy for applications accompanied by no vulnerability assessment or risk management plan prepared by a qualified and accredited engineer or specialist registered with the Ministry for Natural Resources and Labour;

(l)

() ()

() ()

10 percent increase in fees charged for environmental impact assessments (EIAs) based on the value of the projects to ensure that climate change considerations are adequately addressed during the EIA process - to be to be levied on the following scale: (i) 0% levy for EIAs that include – a climate change vulnerability assessment and risk management plan prepared by a qualified and accredited engineer registered with the Ministry for Natural Resources and Labour; a energy audit, greenhouse gas audit and greenhouse gas abatement plan prepared by a qualified and accredited engineer or specialist registered with the Ministry for Natural Resources and Labour; (ii) 100% levy for EIAs that do not include – a climate change vulnerability assessment and risk management plan prepared by a qualified and accredited engineer registered with the Ministry for Natural Resources and Labour; a energy audit, greenhouse gas audit and greenhouse gas abatement plan prepared by a qualified and accredited engineer or specialist registered with the Ministry for Natural Resources and Labour;

(m)

10 percent of the annual renewal fee for sea bed leases and licenses for jetties and reclamations to offset the costs associated with undertaking climate change risk assessment – to be to be levied on the following scale: (i) 0% levy for applications accompanied by a vulnerability assessment and risk management plan prepared by a qualified and accredited engineer registered with the Ministry for Natural Resources and Labour; (ii) 100% levy for applications accompanied by no vulnerability assessment or risk management plan prepared by a qualified and accredited engineer registered with the Ministry for Natural Resources and Labour;

(n)

​10 percent of the fee charged for fishing licenses to offset the costs to establish climate change risk assessment and management measures for coastal and sports fisheries;

(o)

​ S$30 per year “gas guzzler” levy on all vehicles that do not achieve at least 20 miles per U gallon based on average fuel efficiency reported by the manufacturer of the vehicle;

(p)

​US$20 carbon levy on motor vehicles that emit visible smoke for 5 seconds or more during annual Department of Motor Vehicle inspections; (q) US$0.01 cents per litre levy for all motor fuel sold that are not designated as clean fuels by the Ministry for Natural Resources and Labour;


(r)

​US$0.05 cents per liter/kg on imported fertilizers, pesticides and vessel antifouling paints which affect the resilience of natural ecosystems to climate change impacts.


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