As a registered auditor, you must continue to meet the eligibility requirements detailed in the National Greenhouse and Energy Reporting Regulations 2008 (the NGER Regulations). These requirements include that you:
For more information on audits conducted under the National Greenhouse and Energy Reporting audit framework, see using audits in our schemes and read the audit determination handbook.
You will remain on the register of auditors until you elect to suspend your registration or deregister, or we suspend or deregister you.
When undertaking the role of audit team leader, you must ensure that you comply with the requirements specific to audit team leaders, many of which are detailed in Part 2 of the Audit Determination. When acting as audit team leader you must:
In addition, before agreeing to the terms of the engagement for the audit, you must provide the person who appointed you to carry out the audit with a signed independence and conduct declaration for both yourself and all professional members of the audit team. This declaration must state:
The role of an audit team leader is by personal appointment. Audit team leaders cannot unilaterally appoint another Category 2 registered greenhouse and energy auditor to be an audit team leader. Guidance is outlined in
Being appointed as an audit team leader.
For more information on your requirements when undertaking the role of audit team leader, see Part 2 of the NGER Audit Determination.
As a registered auditor you must abide by the Code of Conduct set out in regulation 6.46 of the NGER Regulations. This code outlines the expectation that you will:
You must be independent from the entity you audit. To maintain independence, you must not participate in schemes the Clean Energy Regulator administers.
Auditors are deemed to have a conflict of interest if they:
If you become aware of a conflict of interest situation when conducting an audit, you must take all reasonable steps to ensure the situation is resolved.
Where conflicts are not remedied, or exemptions are not provided, you must cease involvement with the audit.
contact the Clean Energy Regulator if you are at risk of being in a conflict of interest situation, or if you require further information.
When preparing for and undertaking an audit, you must have adequate professional indemnity insurance. Professional indemnity insurance provides cover to you against allegations of professional negligence.
Section 6.60 of the NGER Regulations prescribes the minimum standards of cover required for audit team leaders when undertaking an audit. It is up to you to determine whether your insurance is adequate to meet your obligations under the NGER Regulations.
Your professional indemnity insurance should cover all aspects of your work. Generic policies may leave gaps in your insurance or not offer enough cover. The nature of your work is one of the factors taken into consideration by insurance firms when setting premiums, and auditors are often considered to carry more inherent risks than consultants. While this means that premiums are usually higher for auditors than they are for consultants, it is vital that you accurately describe your work, as not doing so could mean you are not adequately covered.
Even if you already have professional indemnity insurance cover, you should regularly review your cover to assess whether your insurance continues to be suitable.
To maintain your registration under regulation 6.66 of the NGER Regulations, you must participate in a substantial way in at least one
scheme audit in a three-year period.
For Category 2 auditors, participating in a substantial way means that they must lead and prepare the audit report for at least one audit in a three-year period.
For Category 1 auditors, substantial participation means participating for a minimum of 30 hours as a team member. However, this participation can be across more than one audit, as long as it is completed every three calendar years following registration.
Peer review activity does not constitute participation in a substantial way in an audit.
The types of audit we accept for audit participation are:
We do not accept other types of audits as participation to maintain registration.
Audit team leaders must not be the audit team leader for more than five consecutive Part 6 audits of the same kind carried out in relation to one audited body. Between each set of five consecutive Part 6 audits, there must be at least two successive Part 6 audits where the audited body engages a different audit team leader.
In addition to this requirement, we recommend that auditors should not audit the entire life cycle of an Emissions Reduction Fund project. The Clean Energy Regulator recommends participants engage at least two auditors from different audit firms, and audit participants who meet this requirement are less likely to be selected for additional audits.
Continuing professional development involves participation in, or attendance at, conferences, seminars, courses, and other kinds of training that are relevant to the:
For example, if you are registered as a Category 2 greenhouse and energy auditor, we expect that you will participate in a mix of assurance related as well as any technical related development.
You must complete at least 15 days (112 hours) of continuing professional development in each three-year period of registration. The three-year period starts on the date you are first registered.
Keep a record of your participation in continuing professional development as we may request evidence as part of a review.
You must submit an annual report to us on each anniversary of your registration as a greenhouse and energy auditor. This report must contain professional information about any audits and continuing personal development that you have undertaken during the previous 12 months.
We may request further information from you as part of your annual report; for example, where we have observed a performance deficit in a previous review period and we seek correction, or where we may have previously placed a condition on your registration.
Additionally, if you have registered as a Category 2 auditor, under Section 16 (3) and/or Section 16 (4) of the National Greenhouse and Energy Reporting (Auditor Registration) Instrument 2018 (the Instrument), we will ask you to include with your annual reports, peer review assessment reports endorsing your performance as a team leader, for each of your first few audits conducted, up to a total of five.
We will assess the information in your
annual report and let you know if you are not on track to meet the requirements to maintain your registration.
The Clean Energy Regulator may review your registration as a registered greenhouse and energy auditor. Typically, this will occur on each three-year anniversary of your registration and will take into account information also provided through your annual reports. There is no longer a requirement for information about audits and continuing professional development to be submitted a second time as part of a review. We may, however, request other information and documents as part of a review. You will receive a written notice if we intend to review your registration.
In accordance with
subdivision 6.5.6 of the NGER Regulations, we may conduct an inspection of your performance as a registered greenhouse and energy auditor. The purpose of an inspection is to:
A range of criteria is considered when selecting auditors to participate in an inspection, such as risk, performance and activity. If you are selected for an inspection you will receive written notice. Inspections are conducted by an independent team of inspectors and may be conducted during or up to 5 years after the completion of a Part 6 audit. For those audit team leaders registered as Category 2 registered greenhouse and energy auditors, under Section 16 (3) and/or Section 16 (4) of the Instrument, you will be subject to an inspection once you have completed at least one audit as an audit team leader – this may occur within the first 12 months of your registration.
An on-site inspection involves inspecting a number of Part 6 audit files over a period of 2 – 3 days at your premises. We will contact you to advise you that you have been selected for an on-site inspection and arrange a suitable date and time for the inspection team to visit your offices.
When conducting an inspection, inspectors require full and free access to your audit files and other relevant documents. Inspectors may need to take copies of documents to complete their assessments and prepare inspection reports off-site, as well as to support inspection findings in work papers and reports.
You may be requested to provide us with copies of key audit documents in advance to the inspection.
Following an inspection, you will have an opportunity to comment on the draft findings and clarify any errors or misunderstandings before the report is finalised. We will then consider the findings in the final report and decide whether further action is required. These findings also enable us to identify areas where you may require additional support and guidance as well as informing future policy decisions.
For more information, see
Auditor inspection findings
Audit team leaders are required to keep records relating to an audit for five years from the date of the report of the audit. These records should be sufficiently complete and detailed to provide an understanding of the audit and the conclusions drawn from the audit evidence obtained.
If you are an audit team leader and you are leaving an employer, it is your responsibility to retain or have access to records relating to an audit for five years from the date of the report of the audit.
We recommend that you make your employer aware of this obligation and include in your employment contract the right to access documents after employment ceases, for a period of at least five years.
For more information on record keeping requirements, see section 4.2 of the
Audit determination handbook.
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