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32(1)The regulations may, if they are water regulations, authorise the inclusion in a trading scheme of—E+W+S
(a)provision for penalties in respect of contraventions of provisions of the scheme;
(b)provision for the amount of any penalty under the scheme to be such as may be set out in, or calculated in accordance with—
(i)the scheme, or
(ii)the regulations (including regulations made after the scheme starts to operate).
(2)In this paragraph “trading scheme” means a scheme of the kind mentioned in paragraph 3(3).