Energy Bill (HC Bill 135)

(4) The Secretary of State must lay the report before Parliament.

Part 4 Government Pipe-line and Storage System

101 Meaning of “government pipe-line and storage system”

(1) 5In this Part “the government pipe-line and storage system” means any
property to which subsection (2), (3), (4) or (5) applies and which is vested in
the Secretary of State, including any land held by the Secretary of State for the
purposes of such property.

(2) This subsection applies to any oil installations—

(a) 10which are government war works, within the meaning of the
Requisitioned Land and War Works Act 1945, or

(b) to which section 28 of that Act applies by virtue of section 12(4) or (5) of
the Requisitioned Land and War Works Act 1948.

(3) This subsection applies to any oil installations which have been, are being or
15are intended to be, laid, installed or constructed, in or on land acquired for the
purpose by virtue of section 13(a) of the 1958 Act.

(4) This subsection applies to anything which has been, is being or is intended to
be, laid, installed or constructed by virtue of a wayleave order under the 1958
Act.

(5) 20This subsection applies to any other oil installations or other property—

(a) relating to oil installations to which subsection (2) or (3) applies, or

(b) relating to anything to which subsection (4) applies.

(6) In this section—

• “the 1958 Act” means the Land Powers (Defence) Act 1958;

• 25“oil installations” has the meaning given by section 25(1) of that Act.

102 Rights in relation to the government pipe-line and storage system

(1) The Secretary of State may maintain and use the government pipe-line and
storage system or any part of it for any purpose for which it is suitable.

(2) The Secretary of State may remove, replace or renew the system or any part of
30it.

(3) The Secretary of State may restore land if the system or any part of it has been
removed or abandoned.

(4) The Secretary of State may inspect or survey the system, any part of it or any
land on or under which the system or any part of it is situated.

(5) 35The rights conferred by this section include in particular the right—

(a) to place, continue or renew markers for indicating the position of the
system or any part of it in so far as it is placed under land;

(b) to erect and maintain stiles, gates, bridges or culverts for the facilitation
of access to the system or any part of it;

(c) 40to construct works for the facilitation of maintenance or inspection, or
protection from damage, of the system or any part of it;

(d) temporarily to place on land on or under which the system or any part
of it is situated materials, plant or apparatus required in connection
with the system or any part of it.

103 Right of entry

(1) 5For the purpose of exercising a right conferred by section 102, the Secretary of
State may enter—

(a) any land on or under which is situated any part of the government
pipe-line and storage system, or

(b) any land which is held with that land.

(2) 10The right conferred by subsection (1) is a right to enter on foot or with vehicles
and includes a right to transport materials, plant and apparatus.

(3) For the purpose of accessing any land mentioned in subsection (1) (“the system
land”), the Secretary of State may pass over any other land (“the access land”)
so far as it is necessary to do so for that purpose.

(4) 15But the right conferred by subsection (3) may be exercised only if, and to the
extent that, the occupier or owner of the system land is entitled to exercise a
corresponding right of access (whether by virtue of an easement, under an
agreement or otherwise) to pass over the access land.

(5) Except in an emergency the rights conferred by this section may be exercised
20only—

(a) at a reasonable time and with the consent of the occupier of the land, or

(b) under the authority of a warrant (see section 104).

(6) “An emergency” means that urgent action is required to prevent or limit
serious damage to health or to the environment.

(7) 25The rights conferred by this section do not include a right to enter premises
used wholly or mainly as a private dwelling house.

104 Warrants for the purposes of section 103

(1) A justice of the peace or, in Scotland, a sheriff, may issue a warrant to authorise
entry on to land in the exercise of a right conferred by section 103 (including
30such a right exercisable by virtue of provision made by or under section 107).

(2) The justice of the peace or the sheriff must be satisfied, on information on
oath—

(a) that—

(i) at least 7 days’ notice of intention to apply for a warrant has
35been given to the occupier of the land,

(ii) the occupier cannot be found, or

(iii) urgent action is required to prevent or limit serious damage to
health or to the environment,

(b) (except where the occupier cannot be found) that entry to the land has
40been or is likely to be refused, and

(c) that there are reasonable grounds for exercising the right.

(3) A warrant under this section may authorise the use of reasonable force.

(4) It is an offence for a person intentionally to obstruct the exercise of any right
conferred by a warrant under this section; and a person guilty of such an
offence is liable on summary conviction to a fine not exceeding level 3 on the
standard scale.

(5) 5In the application of this section to Scotland the reference to information on
oath is to be read as a reference to evidence on oath.

105 Registration of rights

(1) In this section a “GPSS right” is a right conferred by section 102, 103 or 107(1).

(2) A GPSS right in respect of any land—

(a) 10is not subject to any enactment requiring the registration or recording
of interests in, charges over or other obligations affecting land;

(b) binds any person who is at any time the owner or occupier of the land.

(3) But a GPSS right in respect of any land in England or Wales is a local land
charge and subsection (2)(a) does not apply to subsection (2) of section 5 of the
15Local Land Charges Act 1975 (duty to register local land charge).

(4) For the purposes of the operation in relation to a GPSS right of the duty under
that subsection to register a local land charge, the Secretary of State is the
originating authority.

(5) A GPSS right in respect of any land in Scotland may be registered in the Land
20Register of Scotland or recorded in the Register of Sasines.

106 Compensation

(1) The Secretary of State must pay compensation to a person who proves that the
value of a relevant interest to which the person is entitled is depreciated by
reason of the coming into force of section 102, 103 or 107.

(2) 25A “relevant interest” means an interest in land which—

(a) comprises, or is held with, land in respect of which a right conferred by
section 102, 103 or 107 is exercisable, and

(b) subsisted at the time of the coming into force of the section.

(3) The amount of compensation payable under subsection (1) is the amount that
30is equal to the amount of the depreciation.

(4) If a person proves loss by reason of damage to, or disturbance in the enjoyment
of, any land or chattels (or in Scotland corporeal moveables) as a result of the
exercise of any right conferred by section 102 or 103, the person on whose
behalf the right is exercised must pay compensation in respect of that loss.

(5) 35Any dispute about entitlement to, or amount of, compensation under this
section is to be determined by—

(a) in the application of this Act to England and Wales, the Upper Tribunal;

(b) in the application of this Act to Scotland, the Lands Tribunal for
Scotland.

(6) 40In relation to the assessment of compensation under subsection (1)—

(a) for the purposes of an interest in land in England and Wales and the
application of section 5A of the Land Compensation Act 1961 (relevant

valuation date) the “relevant valuation date” is the date on which the
section concerned comes into force;

(b) for the purposes of an interest in land in Scotland and the operation of
rule 2 in section 12 of the Land Compensation (Scotland) Act 1963
5(value of land) the valuation must be made as at the date the section
concerned comes into force.

107 Right to transfer the government pipe-line and storage system

(1) The Secretary of State may—

(a) sell or lease the government pipe-line and storage system or any part of
10it;

(b) transfer for valuable consideration or otherwise the ownership of the
system or any part of it;

(c) transfer for valuable consideration or otherwise any right relating to
the system or any part of it (whether a right conferred by this Part or
15otherwise);

(d) transfer any liability relating to the system or any part of it.

(2) Any sale, lease or transfer by virtue of subsection (1) may be subject to such
conditions, if any, as the Secretary of State considers appropriate.

108 Application of the Pipe-lines Act 1962

(1) 20Subsection (3) applies in relation to any part of the government pipe-line and
storage system which is for the time being owned otherwise than by the
Secretary of State.

(2) In subsection (1) “owned” is to be construed in accordance with the definition
of “owner” in section 66(1) of the Pipe-lines Act 1962.

(3) 25The following sections of that Act, namely—

(a) section 10 (provisions for securing that a pipe-line is so used as to
reduce necessity for construction of others),

(b) section 36 (notification of abandonment, cesser of use and resumption
of use of pipe-lines or lengths thereof),

30apply in relation to any such part as if it were a pipe-line constructed pursuant
to a pipe-line construction authorisation.

(4) Section 40(2) of that Act (application of the electronic communications code)
applies—

(a) for the purposes of GPSS works as it applies for the purposes of works
35in pursuance of a compulsory rights order,

(b) to a person executing GPSS works as it applies to a person authorised
to execute works in pursuance of such an order.

(5) In subsection (4) “GPSS works” means—

(a) works for inspecting, maintaining, adjusting, repairing, altering or
40renewing the government pipe-line and storage system or any part of
it;

(b) works for changing the position of the system or any part of it;

(c) works for removing the system or any part of it;

(d) breaking up or opening land for the purpose of works falling within
45paragraph (a), (b) or (c), or tunnelling or boring for that purpose;

(e) other works incidental to anything falling within paragraph (a), (b), (c)
or (d).

(6) To the extent that anything done under or by virtue of this Part constitutes the
execution of pipe-line works for the purposes of section 45 of the Pipe-lines Act
51962 (obligation to restore agricultural land), subsection (3) of that section has
effect as if after “this Act” there were inserted “or any provision of Part 4 of the
Energy Act 2013”.

109 Rights apart from Part 4

(1) Nothing in this Part affects any other rights of the Secretary of State in relation
10to the government pipe-line and storage system (whether conferred under
another enactment, by agreement or otherwise, and whether or not existing
upon the coming into force of this section).

(2) For the purposes of sections 102, 103 and 107, it is immaterial whether a right
corresponding to a right conferred by the section was exercisable by the
15Secretary of State before the coming into force of the section.

110 Repeals

(1) The provisions mentioned in subsection (2) cease to have effect.

(2) The provisions are—

(a) section 12 of the Requisitioned Land and War Works Act 1948
20(permanent power to maintain government oil pipe-lines);

(b) section 13 of that Act (compensation in respect of government oil pipe-
lines);

(c) section 14 of that Act (registration of rights as to government oil pipe-
lines);

(d) 25section 15 of that Act (supplementary provisions as to government oil
pipe-lines);

(e) section 12 of the Land Powers (Defence) Act 1958 (extension of
provisions of Requisitioned Land and War Works Acts).

111 Power to dissolve the Oil and Pipelines Agency by order

(1) 30The Secretary of State may provide by order for—

(a) the repeal of the Oil and Pipelines Act 1985;

(b) the dissolution of the Oil and Pipelines Agency.

(2) If the Oil and Pipelines Agency is dissolved under subsection (1), the Secretary
of State may make one or more schemes for the transfer to the Secretary of State
35of property, rights and liabilities (a “transfer scheme”).

(3) Schedule 13 makes further provision about any transfer scheme under
subsection (2).

(4) An order under this section may—

(a) include incidental, supplementary and consequential provision;

(b) 40make transitory or transitional provision or savings;

(c) make different provision for different cases or circumstances or for
different purposes;

(d) make provision subject to exceptions.

(5) An order under this section is to be made by statutory instrument which is
subject to annulment in pursuance of a resolution of either House of
Parliament.

112 Crown application: Part 4

(1) 5This Part binds the Crown.

(2) No contravention by the Crown of section 104(4) makes the Crown criminally
liable; but the High Court or, in Scotland, the Court of Session may declare
unlawful any act or omission of the Crown which constitutes such a
contravention.

(3) 10But subsection (2) does not affect the criminal liability of persons in the service
of the Crown.

Part 5 Strategy and Policy Statement

113 Designation of statement

(1) 15The Secretary of State may designate a statement as the strategy and policy
statement for the purposes of this Part if the requirements set out in section 117
are satisfied (consultation and Parliamentary procedural requirements).

(2) The strategy and policy statement is a statement prepared by the Secretary of
State that sets out—

(a) 20the strategic priorities, and other main considerations, of Her Majesty’s
government in formulating its energy policy for Great Britain
(“strategic priorities”),

(b) the particular outcomes to be achieved as a result of the
implementation of that policy (“policy outcomes”), and

(c) 25the roles and responsibilities of persons (whether the Secretary of State,
the Authority or other persons) who are involved in implementing that
policy or who have other functions that are affected by it.

(3) The Secretary of State must publish the strategy and policy statement
(including any amended statement following a review under section 116) in
30such manner as the Secretary of State considers appropriate.

(4) For the purposes of this section, energy policy “for Great Britain” includes such
policy for—

(a) the territorial sea adjacent to Great Britain, and

(b) areas designated under section 1(7) of the Continental Shelf Act 1964.

(5) 35In this Part—

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

• “policy outcomes” has the meaning given in subsection (2)(b);

• “strategic priorities” has the meaning given in subsection (2)(a);

• “the strategy and policy statement” means the statement for the time
  40being designated under subsection (1) as the strategy and policy
  statement for the purposes of this Part.

114 Duties in relation to statement

(1) The Authority must have regard to the strategic priorities set out in the strategy
and policy statement when carrying out regulatory functions.

(2) The Secretary of State and the Authority must carry out their respective
5regulatory functions in the manner which the Secretary of State or the
Authority (as the case may be) considers is best calculated to further the
delivery of the policy outcomes.

(3) Subsection (2) is subject to the application of the principal objective duty in the
carrying out of any such function.

(4) 10“Regulatory functions”, in relation to the Secretary of State, means—

(a) functions of the Secretary of State under Part 1 of the 1986 Act or Part 1
of EA 1989;

(b) other functions of the Secretary of State to which the principal objective
duty is applied by any enactment.

(5) 15“Regulatory functions”, in relation to the Authority, means—

(a) functions of the Authority under Part 1 of the 1986 Act or Part 1 of EA
1989;

(b) other functions of the Authority to which the principal objective duty is
applied by any enactment.

(6) 20The “principal objective duty” means the duty of the Secretary of State or the
Authority (as the case may be) imposed by—

(a) section 4AA(1B) and (1C) of the 1986 Act;

(b) section 3A(1B) and (1C) of EA 1989.

(7) The Authority must give notice to the Secretary of State if at any time the
25Authority concludes that a policy outcome contained in the strategy and policy
statement is not realistically achievable.

(8) A notice under subsection (7) must include—

(a) the grounds on which the conclusion was reached;

(b) what (if anything) the Authority is doing, or proposes to do, for the
30purpose of furthering the delivery of the outcome so far as reasonably
practicable.

(9) In this section “enactment” includes—

(a) an enactment contained in this Act, and

(b) an enactment passed or made after the passing of this Act.

115 35Exceptions from section 114 duties

(1) Section 114(1) and (2) do not apply in relation to functions of the Secretary of
State under sections 36 to 37 of EA 1989.

(2) Section 114(1) and (2) do not apply in relation to anything done by the
Authority—

(a) 40in the exercise of functions relating to the determination of disputes;

(b) in the exercise of functions under section 36A(3) of the 1986 Act or
section 43(3) of EA 1989.

(3) The duties imposed by section 114(1) and (2) do not affect the obligation of the
Authority or the Secretary of State to perform or comply with any other duty

or requirement (whether arising under this Act or another enactment, by virtue
of any EU obligation or otherwise).

116 Review

(1) The Secretary of State must review the strategy and policy statement if a period
5of 5 years has elapsed since the relevant time.

(2) The “relevant time”, in relation to the strategy and policy statement, means—

(a) the time when the statement was first designated under this Part, or

(b) if later, the time when a review of the statement under this section last
took place.

(3) 10A review under subsection (1) must take place as soon as reasonably
practicable after the end of the 5 year period.

(4) The Secretary of State may review the strategy and policy statement at any
other time if—

(a) a Parliamentary general election has taken place since the relevant time,

(b) 15the Authority has given notice to the Secretary of State under section
114(7) since the relevant time,

(c) a significant change in the energy policy of Her Majesty’s government
has occurred since the relevant time, or

(d) the Parliamentary approval requirement in relation to an amended
20statement was not met on the last review (see subsection (12)).

(5) The Secretary of State may determine that a significant change in the
government’s energy policy has occurred for the purposes of subsection (4)(c)
only if—

(a) the change was not anticipated at the relevant time, and

(b) 25if the change had been so anticipated, it appears to the Secretary of State
likely that the statement would have been different in a material way.

(6) On a review under this section the Secretary of State may—

(a) amend the statement (including by replacing the whole or part of the
statement with new content),

(b) 30leave the statement as it is, or

(c) withdraw the statement’s designation as the strategy and policy
statement.

(7) The amendment of a statement under subsection (6)(a) has effect only if the
Secretary of State designates under section 113 the amended statement as the
35strategy and policy statement (and the procedural requirements under section
117 apply in relation to any such designation).

(8) For the purposes of this section, corrections of clerical or typographical errors
are not to be treated as amendments made to the statement.

(9) The designation of a statement as the strategy and policy statement ceases to
40have effect upon a subsequent designation of an amended statement as the
strategy and policy statement in accordance with subsection (7).

(10) The Secretary of State must consult the following persons before proceeding
under subsection (6)(b) or (c)—

(a) the Authority,

(b) 45the Scottish Ministers,

(c) the Welsh Ministers, and

(d) such other persons as the Secretary of State considers appropriate.

(11) For the purposes of subsection (2)(b), a review of a statement takes place—

(a) in the case of a decision on the review to amend the statement under
5subsection (6)(a)—

(i) at the time when the amended statement is designated as the
strategy and policy statement under section 113, or

(ii) if the amended statement is not so designated, at the time when
the amended statement was laid before Parliament for approval
10under section 117(8);

(b) in the case of a decision on the review to leave the statement as it is
under subsection (6)(b), at the time when that decision is taken.

(12) For the purposes of subsection (4)(d), the Parliamentary approval requirement
in relation to an amended statement was not met on the last review if—

(a) 15on the last review of the strategy and policy statement to be held under
this section, an amended statement was laid before Parliament for
approval under section 117(8), but

(b) the amended statement was not designated because such approval was
not given.

117 20Procedural requirements

(1) This section sets out the requirements that must be satisfied in relation to a
statement before the Secretary of State may designate it as the strategy and
policy statement.

(2) In this section references to a statement include references to a statement as
25amended following a review under section 116(6)(a).

(3) The Secretary of State must first—

(a) prepare a draft of the statement, and

(b) issue the draft to the required consultees for the purpose of consulting
them about it.

(4) 30The “required consultees” are—

(a) the Authority,

(b) the Scottish Ministers, and

(c) the Welsh Ministers.

(5) The Secretary of State must then—

(a) 35make such revisions to the draft as the Secretary of State considers
appropriate as a result of responses to the consultation under
subsection (3)(b), and

(b) issue the revised draft for the purposes of further consultation about it
to the required consultees and to such other persons as the Secretary of
40State considers appropriate.

(6) The Secretary of State must then—

(a) make any further revisions to the draft that the Secretary of State
considers appropriate as a result of responses to the consultation under
subsection (5)(b), and

(b) 45prepare a report summarising those responses and the changes (if any)
that the Secretary of State has made to the draft as a result.

(7) The Secretary of State must lay before Parliament—

(a) the statement as revised under subsection (6)(a), and

(b) the report prepared under subsection (6)(b).

(8) The statement as laid under subsection (7)(a) must have been approved by a
5resolution of each House of Parliament before the Secretary of State may
designate it as the strategy and policy statement under section 113.

(9) The requirement under subsection (3)(a) to prepare a draft of a statement may
be satisfied by preparation carried out before, as well as preparation carried
out after, the passing of this Act.

118 10Principal objective and general duties in preparation of statement

(1) Sections 4AA to 4B of the 1986 Act (principal objective and general duties)
apply in relation to the relevant function of the Secretary of State under this
Part as they apply in relation to functions of the Secretary of State under Part 1
of that Act.

(2) 15Sections 3A to 3D of EA 1989 (principal objective and general duties) apply in
relation to the relevant function of the Secretary of State under this Part as they
apply in relation to functions of the Secretary of State under Part 1 of that Act.

(3) The “relevant function” is the Secretary of State’s function of determining the
policy outcomes to be set out in the strategy and policy statement (whether
20when the statement is first prepared under this Part or when it is reviewed
under section 116).

119 Reporting requirements

(1) The Utilities Act 2000 is amended as follows.

(2) After section 4 insert—

“4A 25Information in relation to strategy and policy statement

(1) As soon as reasonably practicable after the designation of a statement
as the strategy and policy statement, the Authority must publish a
document setting out the required information in relation to the
statement.

(2) 30The Authority must include the required information in relation to a
strategy and policy statement in the forward work programme for each
financial year, subject to making such modifications to the information
as the Authority considers appropriate from the version as last
published under this subsection.

(3) 35The required information in relation to a strategy and policy statement
to be set out in a document or forward work programme is—

(a) the strategy the Authority intends to adopt for the purpose of
furthering the delivery of the policy outcomes contained in the
statement (both in respect of the year in or for which the
40document or programme is issued and beyond);

(b) the things the Authority proposes to do in implementing that
strategy (including when the Authority proposes to do them);