House of Commons Amendments

Session 2010 - 12
Internet Publications
Other Bills before Parliament

Public Bill Committee: 7 June 2011
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Energy Bill [Lords] Continued

(b)
in relation to an installation used as part of a CCS demonstration

project for any other purpose, when captured carbon dioxide is

first present at another installation used as mentioned in

paragraph (a) as part of the same project.

(6)
Where an eligible CCS installation qualifies for change of use relief—

(a)
an abandonment programme notice must not be served on a

person who is within section 30(1) of the 1998 Act only because

one or more of subsections (7) to (9) applies in relation to the

person (but this does not affect the validity of a notice served on

any such person before the installation qualified for change of

use relief), and

(b)
a proposal must not be made under section 34(1)(b) of the 1998

Act if the effect of the proposal (if implemented) would be to

impose an abandonment liability on a person who is within

section 34(2)(a) of the 1998 Act only because one or more of

subsections (7) to (10) applies in relation to the person.

(7)
This subsection applies in relation to a person if—

(a)
the person is within paragraph (b) of section 30(1) of the 1998

Act in relation to the installation only by virtue of the fact that

the person had a right mentioned in section 30(5)(a) of that Act

when an activity mentioned in section 30(6) of that Act was last

carried on from, by means of or on the installation, and

(b)
any such activity was last so carried on before the trigger event

occurred in relation to the installation.

(8)
This subsection applies in relation to a person if—

(a)
the person is within paragraph (ba) of section 30(1) of the 1998

Act in relation to the installation, and

(b)
the transfer mentioned in sub-paragraph (i) of that paragraph

took place before the trigger event occurred in relation to the

installation.

(9)
This subsection applies in relation to a person if the person is within

paragraph (e) of section 30(1) of the 1998 Act only by virtue of being

associated with a body corporate which is within subsection (7) or (8).

(10)
This subsection applies in relation to a person if the person has been

within any of paragraphs (a), (b), (c), (d) or (e) of section 30(1) of the

1998 Act in relation to the installation, but only at a time—

(a)
when the installation was an offshore installation (within the

meaning given by section 44 of the 1998 Act), and

(b)
before the trigger event occurred in relation to the installation.

(11)
The power conferred by subsection (1) does not include a power to

revoke an order made under that subsection.

(12)
In this section—

“abandonment liability”, in relation to an installation, means a duty to

secure that an abandonment programme for the installation is carried out;

“abandonment programme”, in relation to an installation, means a

programme in respect of the installation approved, or having effect as if

approved, by the Secretary of State under section 32 of the 1998 Act;

“abandonment programme notice” means a notice served under section

29(1) of the 1998 Act;

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“captured carbon dioxide” means carbon dioxide that has been produced by,

or in connection with, commercial electricity generation and captured

with a view to its disposal by way of permanent storage;

“carbon dioxide”, “CCS demonstration project” and “commercial

electricity generation” have the same meanings as in Part 1 of the Energy

Act 2010 (see section 7 of that Act);

“carbon storage facility” has the same meaning as in section 20;

“Scotland” has the same meaning as in the Scotland Act 1998 (see section

126(1) of that Act).

(13)
Section 30(8) to (9) of the 1998 Act (when one body corporate is

associated with another) apply for the purposes of this section.

30B
Submarine pipelines converted for CCS demonstration projects

(1)
The Secretary of State may by order designate a submarine pipeline as an

eligible CCS pipeline.

(2)
An eligible CCS pipeline qualifies for change of use relief if—

(a)
the pipeline is or has been used as part of a CCS demonstration

project for a purpose other than the transport of petroleum, and

(b)
the trigger event has occurred in relation to the pipeline at a time

when the pipeline was so used (whether before or after it was

designated under this section).

(3)
The trigger event—

(a)
in relation to a pipeline used to transport captured carbon dioxide

as part of a CCS demonstration project, occurs when captured

carbon dioxide is first present in the pipeline, and

(b)
in relation to a pipeline used as part of a CCS demonstration

project for any other purpose, occurs—

(i)
when captured carbon dioxide is first present in another

pipeline used as part of the same project, or

(ii)
if earlier, when captured carbon dioxide is first present

at an installation used as part of the same project for the

injection of captured carbon dioxide into a carbon

storage facility.

(4)
Where an eligible CCS pipeline qualifies for change of use relief, a

proposal must not be made under section 34(1)(b) of the 1998 Act if the

effect of the proposal (if implemented) would be to impose an

abandonment liability on a person who is within section 34(2)(b) of the

1998 Act only because subsection (5) applies in relation to the person.

(5)
This subsection applies in relation to a person if the person has been

within any of paragraphs (a) to (c) of section 30(2) of the 1998 Act in

relation to the pipeline, but only at a time—

(a)
when the pipeline was used solely for activities other than

activities connected with any mentioned in section 17(2)(a), (b)

or (c), and

(b)
before the trigger event occurred in relation to the pipeline.

(6)
The power conferred by subsection (1) does not include a power to

revoke an order made under that subsection.

(7)
In this section—

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“abandonment liability”, in relation to a submarine pipeline, is a duty to

secure that an abandonment programme for the pipeline is carried out;

“abandonment programme”, in relation to a submarine pipeline, means a

programme in respect of the pipeline approved, or having effect as if

approved, by the Secretary of State under section 32 of the 1998 Act;

“captured carbon dioxide” and “CCS demonstration project” have the same

meanings as in section 30A;

“carbon storage facility” has the same meaning as in section 20;

“petroleum” has the same meaning as in Part 1 of the 1998 Act (see section

1 of that Act) and includes petroleum that has undergone any processing;

“submarine pipeline” has the same meaning as in Part 4 of the Petroleum

Act 1998 (see section 45 of that Act).”

(3)
In the cross heading before section 30, for “installations” substitute

“infrastructure”.

(4)
In section 30 (abandonment of installations)—

(a)
in subsection (1) (application of Part 4 of Petroleum Act 1998 in relation

to abandonment of carbon storage installations)—

(i)
for ““the 1998 Act”” substitute “referred to in this section and

sections 30A and 30B as “the 1998 Act””, and

(ii)
at the end insert “and section 30A”,

(b)
after subsection (4) (power to make regulations modifying Part 4 of the

1998 Act in its application to carbon storage installations) insert—

“(4A)
The power in subsection (4) is subject to section 30A.”, and

(c)
in subsection (5) (meaning of “carbon storage installation”) after “this

section” insert “and section 30A”.

(5)
In section 105(2) (parliamentary control of subordinate legislation), after

paragraph (a) insert—

“(aa)
an order which contains provision made under section 30A or

30B only (powers to designate installations and submarine

pipelines as eligible CCS installations and eligible CCS

pipelines);”.’.

Carbon dioxide pipelines: powers of compulsory acquisition

Mr Gregory Barker

NC14

To move the following Clause:—

‘(1)
The Pipe-lines Act 1962 is amended as follows.

(2)
In section 12 (orders for compulsory acquisition of rights over land for pipe-line

construction)—

(a)
in subsection (1), for “the next following section” substitute “section 13”;

(b)
in subsections (2), (4), (5)(a) and (b), (5A) (in both places), (6) and (7),

after “a compulsory rights order” insert “under this section”;

(c)
in subsection (3), after “compulsory rights orders” insert “under this

section”.

(3)
After section 12 insert—

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Energy Bill [Lords] Continued

“Pipe-lines for Conveying Carbon Dioxide: Compulsory Acquisition of Rights

over Land

12A
Orders for compulsory acquisition of rights over land: pipe-lines for

conveying carbon dioxide

(1)
This section applies in relation to a pipe-line (or a length of a pipe-line)

that is intended to be converted into a pipe-line (or length) used for

conveying carbon dioxide.

(2)
The owner of the pipe-line may apply to the Secretary of State for an

order under subsection (3) in relation to land in which the pipe-line (or a

length of the pipe-line) is situated.

(3)
An order under this subsection is an order authorising the owner of the

pipe-line to do one or more of the following—

(a)
to use the pipe-line (or length of the pipe-line) in the land

described in the order to convey carbon dioxide;

(b)
to execute pipe-line works in the land which are necessary in

consequence of the presence of the pipe-line (or length) in the

land;

(c)
to execute pipe-line works in the land to enable the pipe-line (or

length) to be used to convey carbon dioxide or in consequence of

its use to convey carbon dioxide;

(d)
to exercise, in relation to the pipe-line (or length), such of the

rights mentioned in Schedule 4 as may be specified in the order.


An order under this subsection is referred to in this Act as a “compulsory

rights order”.

(4)
A compulsory rights order under this section may be made subject to

conditions (see section 13).

(5)
On receiving an application under subsection (2), the Secretary of State

may grant or refuse the application.

(6)
Part 1 of Schedule 2, as modified by Part 2 of that Schedule, has effect in

relation to applications for compulsory rights orders under this section.

(7)
A compulsory rights order under this section enures for the benefit of the

owner for the time being of the pipe-line.

(8)
The Secretary of State may by order revoke a compulsory rights order

under this section, in whole or in part, if—

(a)
the pipe-line (or length of the pipe-line) is diverted from the land

described in the order,

(b)
the pipe-line (or length) is abandoned,

(c)
the pipe-line (or length) ceases to be used to convey carbon

dioxide, or

(d)
the owner of the pipe-line makes an application for the

revocation of the order.

(9)
A compulsory rights order under this section does not affect any right

over the land described in the order that would not have been affected had

the land been compulsorily purchased by virtue of a compulsory

purchase order.

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Energy Bill [Lords] Continued

(10)
A compulsory rights order under this section does not authorise the

disregard of any enactment or of any instrument having effect by virtue

of any enactment.

(11)
A compulsory rights order under this section is not to be taken to confer

a right of support for the pipeline (or length of pipeline).

(12)
A compulsory rights order under this section is to be subject to special

parliamentary procedure.

(13)
For the purposes of this section, “carbon dioxide” includes any substance

consisting primarily of carbon dioxide.

Compulsory Rights Orders under Sections 12 and 12A: Supplementary

Provisions”.

(4)
In section 66 (general interpretation provisions), in subsection (1), in the

definition of “compulsory rights order”, for “subsection (1) of section twelve”

substitute “sections 12(1) and 12A(2)”.

(5)
In Schedule 2—

(a)
in the shoulder reference, after “12,” insert “12A,”;

(b)
in paragraph 10(1), for “subsection (3) of section twelve of this Act”

substitute “sections 12(3) and 12A(4)”.

(6)
In Schedule 4, in the shoulder reference, for “Section 12” substitute “Sections 12

and 12A”.’.

Renewable heat incentives in Northern Ireland

Mr Gregory Barker

NC15

To move the following Clause:—

‘(1)
The Department of Enterprise, Trade and Investment may make regulations—

(a)
establishing a scheme to facilitate and encourage renewable generation

of heat in Northern Ireland, and

(b)
about the administration and financing of the scheme.

(2)
Regulations under this section may, in particular—

(a)
make provision for the Department or NIAUR to make payments, or to

require designated fossil fuel suppliers to make payments, in specified

circumstances, to—

(i)
the owner of plant used or intended to be used for the renewable

generation of heat, whether or not the owner is also operating or

intending to operate the plant;

(ii)
a producer of biogas or biomethane;

(iii)
a producer of biofuel for generating heat;

(b)
make provision about the calculation of such payments;

(c)
make provision about the circumstances in which such payments may be

recovered;

(d)
require designated fossil fuel suppliers to provide specified information

to the Department or NIAUR;

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Energy Bill [Lords] Continued

(e)
make provision for payments to fossil fuel suppliers in specified

circumstances;

(f)
make provision about the enforcement of obligations imposed by or by

virtue of the regulations (which may include a power for the Department

or NIAUR to impose financial penalties);

(g)
confer functions on the Department or NIAUR, or both.

(3)
In this section—

“biofuel” means liquid or gaseous fuel which is produced wholly from

biomass;

“biogas” means gas produced by the anaerobic or thermal conversion of

biomass;

“biomass” means material, other than fossil fuel or peat, which is, or is

derived directly or indirectly from, plant matter, animal matter, fungi or

algae;

“biomethane” means biogas which is suitable for conveyance through pipes

to premises in accordance with a licence under Article 8(1)(a) of the Gas

(Northern Ireland) Order 1996 (S.I. 1996/275 (N.I. 2)) (licences to

convey gas);

“the Department” means the Department of Enterprise, Trade and

Investment;

“designated fossil fuel suppliers” means—

(a)
if the regulations so provide, a specified class of fossil fuel

suppliers, and

(b)
in any other case, all fossil fuel suppliers;

“fossil fuel” means—

(a)
coal;

(b)
lignite;

(c)
natural gas (within the meaning of the Energy Act 1976);

(d)
crude liquid petroleum;

(e)
petroleum products (within the meaning of that Act);

(f)
any substance produced directly or indirectly from a substance

mentioned in paragraphs (a)) to (e));

“fossil fuel supplier” means a person who supplies fossil fuel to consumers

for the purpose of generating heat;

“functions” includes powers and duties;

“modify” includes amend, add to or repeal;

“NIAUR” means the Northern Ireland Authority for Utility Regulation;

“owner”, in relation to any plant which the subject of a hire purchase

agreement, a conditional sale agreement or any agreement of a similar

nature, means the person in possession of the plant under that agreement;

“plant” includes any equipment, apparatus or appliance;

“renewable generation of heat” means the generation of heat by means of a

source of energy or technology mentioned in subsection (4).

(4)
The sources of energy and technologies are—

(a)
biomass;

(b)
biofuels;

(c)
fuel cells;

(d)
water (including waves and tides);

(e)
solar power;

(f)
geothermal sources;

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Energy Bill [Lords] Continued

(g)
heat from air, water or the ground;

(h)
combined heat and power systems (but only if the system’s source of

energy is a renewable source within the meaning given by Article 55F of

the Energy (Northern Ireland) Order 2003 (S.I. 2003/419 (N.I. 6)));

(i)
biogas.

(5)
The Department may by regulations—

(a)
modify the list of sources of energy and technologies in subsection (4);

(b)
modify the definition of “biofuel”, “biogas” or “biomass” in subsection

(3).

(6)
The Department may by regulations make provision, for the purposes of

subsection (2)(a)(iii) and the definition of “fossil fuel supplier”, specifying that

particular activities do or do not constitute generating heat.

(7)
Any power to make regulations under this section is to be exercisable by statutory

rule for the purposes of the Statutory Rules (Northern Ireland) Order 1979 (S.I.

1979/1573 (N.I. 12)).

(8)
Regulations under this section may not be made unless a draft of the regulations

has been laid before, and approved by a resolution of, the Northern Ireland

Assembly.

(9)
Regulations under this section may—

(a)
provide for a person to exercise a discretion in dealing with any matter;

(b)
include incidental, supplementary and consequential provision;

(c)
make transitory or transitional provisions or savings;

(d)
make provision generally, only in relation to specified cases or subject to

exceptions (including provision for a case to be excepted only so long as

conditions specified in the regulations are satisfied);

(e)
make different provision for different cases or circumstances or for

different purposes.’.

Power for Gas and Electricty Markets Authority to act on behalf of Northern Ireland

authority in connection with scheme under section [Renewable heat incentives in

Northern Ireland]

Mr Gregory Barker

NC16

To move the following Clause:—

‘(1)
GEMA and a Northern Ireland authority may enter into arrangements for GEMA

to act on behalf of the Northern Ireland authority for, or in connection with, the

carrying out of any functions that may be conferred on the Northern Ireland

authority under, or for the purposes of, any scheme that may be established, under

section [Renewable heat incentives in Northern Ireland].

(2)
In this section—

“GEMA” means the Gas and Electricity Markets Authority;

“Northern Ireland authority” means—

(a)
the Department of Enterprise, Trade and Investment, or



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