Civil Aviation Bill (HC Bill 3)

before Article 3 insert—

“Regulated airports

2A (1) In this Order “regulated airport” means an airport in respect of
which a certificate has been granted under this Article (and has not
5been withdrawn).

(2) The CAA must grant a certificate under this Article in respect of
an airport if, but only if—

(a) the airport operator applies for a certificate (and has not
withdrawn the application),

(b) 10the airport operator pays the charge (if any) specified in a
scheme or regulations made under section 11 of the 1982
Act, and

(c) the CAA considers that, at the time, the airport is an
eligible airport.

(3) 15An airport is an eligible airport if the annual turnover of the
business carried on at the airport by the airport operator exceeded
£1 million in at least two of the last three financial years ending
before the application for the certificate is made.

(4) The Department may withdraw a certificate granted under this
20Article in respect of an airport if it considers that, at the time, the
annual turnover of the business carried on at the airport by the
airport operator in each of the last two financial years did not
exceed the sum for the time being specified in paragraph (3).

(5) Before withdrawing a certificate in respect of an airport, the
25Department must consult—

(a) the CAA, and

(b) the airport operator.

(6) The withdrawal of a certificate does not affect any rights or
liabilities accruing by virtue of this Part or Article 25 or 26 before
30it is withdrawn.

(7) In this Article—

• “annual turnover”, in relation to the business carried on at an
  airport by the airport operator, means the aggregate of all
  sums received in the course of the business during a
  35financial year, as stated or otherwise shown in the accounts
  of the business, including grants from any public body but
  excluding—

  (a)

  capital receipts, and

  (b)

  loans made by any person;

• 40“financial year” means a period of 12 months ending with 31
  March;

• “public body” means a body established by or under a
  statutory provision.

(8) Where the person who is for the time being the airport operator in
45relation to an airport has not had its management for the whole or
any part of a period relevant for the purposes of this Article,
references in this Article to the business carried on at the airport

by the airport operator include a reference to the business carried
on there by any other person who was the airport operator in
relation to the airport for the whole or any part of that period.

(9) The Department may, by order made with the consent of the
5Department of Finance and Personnel, substitute a greater sum for
the sum specified in paragraph (3).

(10) An order under paragraph (9) does not affect the validity of a
certificate granted under this Article before the order comes into
force.”

8 10The amendments in paragraphs 6 and 7 are without prejudice to the power
to make further orders amending or revoking the provisions inserted.

Power to make provision in relation to operators of airport areas

9 (1) The Secretary of State may by regulations make provision about the
operation of Article 2A of the Airports (Northern Ireland) Order 1994 in
15cases in which two or more persons are operators of different areas that form
part of the same airport.

(2) Regulations under this paragraph may modify—

(a) Article 2A of the Airports (Northern Ireland) Order 1994, and

(b) any provision of Northern Ireland legislation (including the Airports
20(Northern Ireland) Order), or of an instrument made under Northern
Ireland legislation, which refers to or otherwise operates by
reference to a regulated airport or an airport operator of such an
airport.

(3) In this paragraph—

• 25“airport” and “airport operator” have the same meaning as in the
  Airports (Northern Ireland) Order 1994;

• “modify” includes amend, repeal or revoke;

• “operator”, in relation to an area that forms part of an airport, means
  the person who is the operator of the area for the purposes of this
  30Part of this Act;

• “regulated airport” has the same meaning as in the Airports (Northern
  Ireland) Order 1994.

Section 76

SCHEDULE 9 Regulation of operators of dominant airports: consequential provision

35Fair Trading Act 1973 (c. 41)Fair Trading Act 1973 (c. 41)

1 Omit section 93B (false or misleading information provided to Competition
Commission in connection with functions under Airports Act 1986).

Airports Act 1986 (c. 31)Airports Act 1986 (c. 31)

2 The Airports Act 1986 is amended as follows.

3 40In section 74(3) (exceptions from restrictions on disclosure of information)—

(a) omit paragraph (ll), and

(b) after paragraph (w) insert—

“(x) Part 1 of the Civil Aviation Act 2012”.

4 (1) Section 82 (general interpretation) is amended as follows.

(2) 5In subsection (1), in paragraph (a) of the definition of “user”, for “the
definition of “relevant activities” in section 36(1)” substitute “subsection
(1A)”.

(3) After that subsection insert—

“(1A) The services and facilities mentioned in the definition of “user” in
10subsection (1) are services or facilities provided at an airport for the
purposes of—

(a) the landing, parking or taking off of aircraft,

(b) the servicing of aircraft (including the supply of fuel), or

(c) the handling of passengers or their baggage or of cargo at all
15stages while on airport premises.

(1B) The services and facilities mentioned in subsection (1A)(c)—

(a) include services and facilities provided for the purposes of
the transfer of passengers, their baggage or cargo to and from
aircraft, but

(b) 20do not include facilities for car parking, for the refreshment of
passengers or for the supply of consumer goods or services.”

(4) In subsection (3) omit “or 37”.

Water Act 1989 (c. 15)Water Act 1989 (c. 15)

5 In section 174(3) of the Water Act 1989 (exceptions from restrictions on
25disclosure of information), after paragraph (m) insert—

“(n) Part 1 of the Civil Aviation Act 2012”.

Water Industry Act 1991 (c. 56)Water Industry Act 1991 (c. 56)

6 In Part 2 of Schedule 15 to the Water Industry Act 1991 (enactments
conferring functions for the purposes of which information may be
30disclosed), at the end insert—

• “Part 1 of the Civil Aviation Act 2012.”

Water Resources Act 1991 (c. 57)Water Resources Act 1991 (c. 57)

7 In Part 2 of Schedule 24 to the Water Resources Act 1991 (enactments
conferring functions for the purposes of which information may be
35disclosed), at the end insert—

• “Part 1 of the Civil Aviation Act 2012.”

Railways Act 1993 (c. 43)Railways Act 1993 (c. 43)

8 In section 145(3) of the Railways Act 1993 (exceptions from restrictions on
disclosure of information), after paragraph (r) insert—

“(s) 40Part 1 of the Civil Aviation Act 2012”.

Competition Act 1998 (c. 41)Competition Act 1998 (c. 41)

9 In paragraph 19A of Schedule 7 to the Competition Act 1998 (performance
of Commission’s general functions: rules of procedure), in the definition of
“special reference group” in sub-paragraph (9), omit paragraphs (c) and (j).

5Greater London Authority Act 1999 (c. 29)Greater London Authority Act 1999 (c. 29)

10 In section 235(3) of the Greater London Authority Act 1999 (exceptions from
restrictions on disclosure of information), after paragraph (s) insert—

“(t) Part 1 of the Civil Aviation Act 2012”.

Utilities Act 2000 (c. 27)Utilities Act 2000 (c. 27)

11 10In section 105(6) of the Utilities Act 2000 (exceptions from restrictions on
disclosure of information), after paragraph (w) insert—

“(x) Part 1 of the Civil Aviation Act 2012”.

Transport Act 2000 (c. 38)Transport Act 2000 (c. 38)

12 In paragraph 3(3) of Schedule 9 to the Transport Act 2000 (exceptions from
15restrictions on disclosure of information), after paragraph (re) insert—

“(rf) Part 1 of the Civil Aviation Act 2012;”.

Enterprise Act 2002 (c. 40)Enterprise Act 2002 (c. 40)

13 The Enterprise Act 2002 is amended as follows.

14 (1) Section 168 (regulated markets) is amended as follows.

(2) 20In subsection (3)—

(a) omit paragraph (b), and

(b) at the end insert—

“(q) modifying the conditions of a licence granted under
Chapter 1 of Part 1 of the Civil Aviation Act 2012”.

(3) 25In subsection (4)—

(a) omit paragraph (b), and

(b) at the end insert—

“(s) in relation to a licence granted under Chapter 1 of Part
1 of the Civil Aviation Act 2012, the duties of the Civil
30Aviation Authority under section 1 of that Act”.

15 In Schedule 15 (enactments conferring functions for the purposes of which
information may be disclosed), at the end insert—

• “Civil Aviation Act 2012.”

Civil Contingencies Act 2004 (c. 36)Civil Contingencies Act 2004 (c. 36)

16 (1) 35Schedule 1 to the Civil Contingencies Act 2004 (category 1 and 2 responders)
is amended as follows.

(2) In Part 3 (category 2 responders: general), after paragraph 26 insert—

“26A A person who, for the purposes of Part 1 of the Civil Aviation Act
2012, is an operator of an airport area that consists of or forms part
of an airport in Great Britain.”

(3) 5In Part 4 (category 2 responders: Scotland), after paragraph 36 insert—

“36A A person who, for the purposes of Part 1 of the Civil Aviation Act
2012, is an operator of an airport area that consists of or forms part
of an airport in Scotland.”

Further repeals and revocations

17 10The following repeals and revocations are consequential on section 76(1)
and (2) and the preceding paragraphs of this Schedule.

Section 76

SCHEDULE 10 Regulation of operators of dominant airports: transitional provision

Part 1 Regulation

5Definitions

1 In this Part of this Schedule—

• “the 1986 Act” means the Airports Act 1986;

• “the 1994 Order” means the Airports (Northern Ireland) Order 1994
  (S.I. 1994/426 (N.I. 1)S.I. 1994/426 (N.I. 1));

• 10“the commencement day” means the day on which section 3 of this Act
  comes into force;

• “designated airport” means an airport (as defined in the 1986 Act or the
  1994 Order) which is designated for the purposes of section 40 of the
  1986 Act or Article 31 of the 1994 Order;

• 15“the interim period” means the period beginning with the
  commencement day and ending with 31 March 2014.

Market power determinations: designated airports

2 (1) This paragraph applies where, immediately before the commencement day,
an airport is a designated airport.

(2) 20The market power test is to be treated as met on the commencement day in
relation to the airport area consisting of the whole of the airport.

(3) Part 1 of this Act has effect on and after the commencement day as if the
CAA—

(a) had made a determination to that effect on the commencement day,
25and

(b) had published a notice of the determination in accordance with
section 8.

(4) In section 7(5) (disapplication of CAA’s duty to make market power
determination), the reference to a market power determination previously
30made by the CAA does not include a determination treated as made by
virtue of sub-paragraph (3).

(5) Section 8(3) (CAA’s reasons for determination) does not apply in relation to
the notice treated as published under sub-paragraph (3).

(6) A person may not appeal under Schedule 1 against the market power
35determination treated as made under sub-paragraph (3).

Exemption from prohibition for designated airports during interim period

3 (1) This paragraph applies where, immediately before the commencement day,
an airport is a designated airport.

(2) Nothing in Chapters 1 and 3 of this Part prevents a person from requiring
40payment of, or recovering, charges in respect of services provided at the
airport during the shorter of the following periods—

(a) the interim period;

(b) the period beginning with the commencement day and ending with
the day on which the airport ceases to be a designated airport.

Designation and de-designation before commencement day

4 (1) 5In section 7(5) (disapplication of CAA’s duty to make market power
determination), the reference to a market power determination previously
made by the CAA in relation to an airport area (or an area that includes all
of a particular airport area) includes any of the following that are made on
or after 10 November 2011—

(a) 10an order designating the airport at which the area is located for the
purposes of section 40 of the 1986 Act or Article 31 of the 1994 Order;

(b) an order revoking the designation of that airport for those purposes;

(c) a decision by the Secretary of State or the Department of the
Environment in Northern Ireland not to make an order mentioned in
15paragraph (a) or (b).

(2) Where—

(a) a request is made before the commencement day for an order
designating an airport for the purposes of section 40 of the 1986 Act
or Article 31 of the 1994 Order or revoking the designation of such an
20airport for those purposes, and

(b) the Secretary of State or the Department of the Environment in
Northern Ireland does not make the order, or decide not to make the
order, before the commencement day,

the request is to be treated on and after that day as a request to the CAA for
25a market power determination in respect of the airport area consisting of the
whole of the airport.

(3) In this paragraph, references to an airport are to an airport as defined in the
1986 Act or the 1994 Order, except in the expression “airport area”.

Designation and de-designation during interim period

5 (1) 30During the interim period, an order may not be made designating an airport
for the purposes of section 40 of the 1986 Act or Article 31 of the 1994 Order.

(2) Section 40A(1) of the 1986 Act and Article 31A(1) of the 1994 Order (duty to
designate airports in specified circumstances) do not require an order
designating an airport for those purposes to be made during the interim
35period.

(3) During the interim period, an order designating an airport for the purposes
of section 40 of the 1986 Act or Article 31 of the 1994 Order—

(a) must be revoked if the designated airport ceases to be a dominant
airport for the purposes of this Part of this Act, and

(b) 40may not otherwise be revoked.

(4) Where—

(a) a request is made during the interim period for an order revoking the
designation of an airport for the purposes of section 40 of the 1986
Act or Article 31 of the 1994 Order, and

(b) the Secretary of State or the Department of the Environment in
Northern Ireland does not make the order, or decide not to make the
order, before the end of that period,

the request is to be treated after the end of the interim period as a request to
5the CAA for a market power determination in respect of the airport area
consisting of the whole of the airport.

(5) In this paragraph, references to an airport are to an airport as defined in the
1986 Act or the 1994 Order, except in the expressions “airport area” and
“dominant airport”.

10Modification of preceding paragraphs

6 (1) This paragraph applies where an airport as defined in section 66 of this Act
(a “2012 Act airport”) consists of an airport as defined in the 1986 Act or the
1994 Order (a “predecessor airport”) and other land, buildings and
structures.

(2) 15In paragraph 2, if the predecessor airport is a designated airport—

(a) the reference in sub-paragraph (1) to an airport that is a designated
airport includes the 2012 Act airport, and

(b) the reference in sub-paragraph (2) to the whole of the airport is to the
whole of the 2012 Act airport.

(3) 20In paragraph 3, if the predecessor airport is a designated airport—

(a) the reference in sub-paragraph (1) to an airport that is a designated
airport includes the 2012 Act airport,

(b) the reference in sub-paragraph (2) to services provided at the airport
are to services provided at the 2012 Act airport, and

(c) 25the reference in sub-paragraph (2)(b) to an airport ceasing to be a
designated airport includes the 2012 Act airport ceasing to include an
area that is a designated airport.

(4) An airport area that is not located at the predecessor airport is to be treated
as located at that airport for the purposes of paragraph 4(1) if it forms part
30of the 2012 Act airport.

(5) Where a request falling within paragraph 4(2)(a) and (b) is made in relation
to the predecessor airport, the request is to be treated on and after the
commencement day as a request for a market power determination in
respect of the airport area consisting of the whole of the 2012 Act airport.

(6) 35In paragraph 5, if the predecessor airport is a designated airport, the
reference in sub-paragraph (3) to a designated airport ceasing to be a
dominant airport includes the predecessor airport ceasing to form part of a
dominant airport.

(7) Where a request falling within paragraph 5(4)(a) and (b) is made in relation
40to the predecessor airport, the request is to be treated after the end of the
interim period as a request for a market power determination in respect of
the airport area consisting of the whole of the 2012 Act airport.

Power to amend this Schedule

7 (1) The power under section 107 includes power to amend or otherwise modify
45this Schedule, subject to sub-paragraph (2).

(2) The power may not be used—

(a) to provide that the interim period ends before 31 March 2014, or

(b) to make provision having an effect equivalent to any effect that
would result from such a change.

5Part 2 Status of airport operators as statutory undertakers etc

Great Britain

8 In paragraphs 9 to 12 “the commencement day” means the day on which
Part 1 of Schedule 8 comes into force.

9 (1) 10This paragraph applies where, in relation to an airport, a permission to levy
airport charges is in force under Part 4 of the Airports Act 1986 (economic
regulation of airports) immediately before the commencement day (but see
paragraph 11).

(2) The permission has effect on and after the commencement day as if it were
15a certificate granted by the CAA under section 57A of that Act (statutory
undertakers) (inserted by Part 1 of Schedule 8).

10 (1) This paragraph applies where, immediately before the commencement day,
there subsists a pending application made by the operator of an airport in
accordance with section 38 of the Airports Act 1986 for a permission to levy
20airport charges (but see paragraph 11).

(2) The application has effect on and after the commencement day as if it were
an application for a certificate under section 57A of that Act (statutory
undertakers) (inserted by Part 1 of Schedule 8).

(3) Part 5 of the Airports Act 1986 (statutory undertakers) applies to the airport
25while the application is pending.

11 Paragraphs 9 and 10 do not apply where the airport is an airport mentioned
in section 57A(5) of the Airports Act 1986 (airports owned by councils or
transport authorities etc) (inserted by Part 1 of Schedule 8).

12 Nothing in this Act affects any rights or liabilities accruing under or by
30virtue of Part 5 of the Airports Act 1986 (statutory undertakers) before the
commencement day.

13 In paragraphs 9 to 11, “airport” has the same meaning as in the Airports Act
1986.

Northern Ireland

14 35In paragraphs 15 to 17 “the commencement day” means the day on which
Part 2 of Schedule 8 comes into force.

15 (1) This paragraph applies where, in relation to an airport, a permission to levy
airport charges is in force under Part 4 of the Airports (Northern Ireland)
Order 1994 (S.I. 1994/426 (N.I. 1)S.I. 1994/426 (N.I. 1)) (economic regulation of airports)
40immediately before the commencement day.

(2) The permission has effect on and after the commencement day as if it were
a certificate granted by the CAA under Article 2A of that Order (statutory
undertakers) (inserted by Part 2 of Schedule 8).

16 (1) This paragraph applies where, immediately before the commencement day,
5there subsists a pending application made by the operator of an airport in
accordance with Article 29 of the Airports (Northern Ireland) Order 1994
(S.I. 1994/426 (N.I. 1)S.I. 1994/426 (N.I. 1)) for a permission to levy airport charges.

(2) The application has effect on and after the commencement day as if it were
an application for a certificate under Article 2A of that Order (regulated
10airports) (inserted by Part 2 of Schedule 8).

(3) The airport is to be treated as a regulated airport for the purposes of the
Airports (Northern Ireland) Order 1994 (S.I. 1994/426 (N.I. 1)S.I. 1994/426 (N.I. 1)) while the
application is pending.

17 Nothing in this Act affects any rights or liabilities accruing under or by
15virtue of Part 2 of the Airports (Northern Ireland) Order 1994 (S.I. 1994/426S.I. 1994/426
(N.I. 1)) (powers in relation to land exercisable in connection with airports)
or Article 25 or 26 of that Order before the commencement day.

18 In paragraphs 15 to 17, “airport” has the same meaning as in the Airports
(Northern Ireland) Order 1994 (S.I. 1994/426 (N.I. 1)S.I. 1994/426 (N.I. 1)).

Section 78

20SCHEDULE 11 Aviation security directions etc: minor and consequential amendments

Civil Aviation Act 1982 (c. 16)Civil Aviation Act 1982 (c. 16)

1 Part 1 of the Civil Aviation Act 1982 (administration) is amended as follows.

2 In section 11 (charges by CAA) at the end insert—

“(8) 25References in this section to functions of the CAA include functions
conferred by or under Part 2 of the Aviation Security Act 1982 on
authorised persons (as defined in that Part) to the extent that the
functions are carried out by persons authorised by the CAA.”

3 In section 20 (supplementary provisions with respect to functions of the
30CAA) at the end insert—

“(5) References in this section to functions of the CAA include functions
conferred by or under Part 2 of the Aviation Security Act 1982 on
authorised persons (as defined in that Part) to the extent that the
functions are carried out by persons authorised by the CAA.”

35Aviation Security Act 1982 (c. 36)Aviation Security Act 1982 (c. 36)

4 Part 2 of the Aviation Security Act 1982 (protection of civil aviation against
acts of violence and other unlawful interference) is amended as follows.

5 For the heading before section 11 substitute “Information”.

6 (1) Section 11 (power to require information) is amended as follows.