House of Commons Amendments

Session 2013 - 14
Internet Publications
Other Bills before Parliament

Public Bill Committee: 5 December 2013
126

Water Bill, continued

Dan Rogerson

37

Clause  28,  page  61,  line  5,  leave out ‘change’ and insert ‘amend’.

Dan Rogerson

102

Clause  34,  page  68,  line  26,  leave out paragraphs (b) and (c).

Dan Rogerson

38

Clause  35,  page  70,  leave out lines 13 to 16 and insert—

‘(1)
Except where otherwise provided, the functions of the CMA with respect to

appeals under section 207A are to be carried out on behalf of the CMA by a group

constituted for the purpose by the chair of the CMA under Schedule 4 to the

Enterprise and Regulatory Reform Act 2013.’.

Dan Rogerson

39

Clause  35,  page  71,  leave out lines 23 to 28.

Dan Rogerson

103

Clause  36,  page  71,  line  33,  at end insert—

‘“General guidance on charges’.

Dan Rogerson

104

Clause  36,  page  71,  line  34,  leave out ‘Guidance relating to rules about’ and insert

‘General guidance on’.

Dan Rogerson

105

Clause  36,  page  71,  line  35,  leave out from beginning to end of line 2 on page 72

and insert—

‘(1)
The Minister must issue guidance about the principles to be applied by the

Authority in determining the provisions of—

(a)
rules under section 66E;

(b)
rules under section 117I;

(c)
rules under section 143B.

(1A)
The Minister may issue guidance about the principles to be applied by the

Authority in determining the provisions of—

Public Bill Committee: 5 December 2013
127

Water Bill, continued

(a)
rules under section 40E;

(b)
rules under section 51CD;

(c)
rules issued in accordance with regulations under section 66M;

(d)
rules under section 105ZF;

(e)
rules under section 110F;

(f)
rules under section 144ZA.

(1B)
Guidance under subsection (1) or (1A) may include other guidance about the

provisions of any of the rules mentioned in subsection (1) or (1A).

(1C)
The Minister may issue guidance about the principles to be applied by the

Authority in determining the contents of other documents produced by the

Authority about charges that may be imposed by relevant undertakers or water

supply or sewerage licensees.

(1D)
Guidance under subsection (1C) may include other guidance about the contents

of the documents mentioned in subsection (1C).’.

Dan Rogerson

106

Clause  36,  page  72,  line  6,  leave out ‘the guidance’ and insert ‘guidance under this

section’.

Dan Rogerson

107

Clause  36,  page  72,  line  19,  leave out ‘the guidance’ and insert ‘guidance issued

under this section’.

Dan Rogerson

40

Clause  37,  page  74,  line  46,  leave out from ‘exercised’ to end of line 47 and

insert—

‘(i)
in relation to a relevant undertaker whose area is wholly or

mainly in England,

(ii)
in relation to a water supply licensee using the supply system of

such an undertaker (see section 17B), or

(iii)
in relation to a sewerage licensee using the sewerage system of

such an undertaker (see section 17BA);’.

Dan Rogerson

41

Clause  37,  page  74,  line  49,  leave out from ‘exercised’ to end of line 50 and

insert—

‘(i)
in relation to a relevant undertaker whose area is wholly or

mainly in Wales, or

(ii)
in relation to a water supply licensee using the supply system of

such an undertaker (see section 17B);’.

Public Bill Committee: 5 December 2013
128

Water Bill, continued

Dan Rogerson

126

Schedule  7,  page  142,  line  9,  at end insert—

‘(1ZA)
Before determining the standard conditions, the Secretary of State must consult

the Welsh Ministers as regards conditions relating to a restricted retail

authorisation or a supplementary authorisation.’.

Dan Rogerson

127

Schedule  7,  page  151,  line  31,  after ‘1A’ insert ‘of this Part’.

Dan Rogerson

128

Schedule  7,  page  155,  line  33,  at end insert—

‘
In section 47 (conditions of connection with water main), in subsection (1), for

“sections 48 to” substitute “sections 49 and”.’.

Dan Rogerson

129

Schedule  7,  page  155,  line  39,  at end insert—

‘
In section 55 (supplies for non-domestic purposes), in subsection (1A)(b), after

“17C above) or” insert “, in the case of premises to be supplied using the

supply system of a water undertaker whose area is wholly or mainly in

Wales,”.’.

Dan Rogerson

42

Clause  41,  page  77,  line  37,  at end insert—

‘( )
The Water Resources Act 1991 is amended as follows.’.

Dan Rogerson

43

Clause  41,  page  77,  line  38,  leave out ‘of the Water Resources Act 1991’.

Dan Rogerson

44

Clause  41,  page  77,  line  41,  at end insert—

‘( )
Section 61A (recovery of compensation from new licence-holder) is repealed.’.

Dan Rogerson

1

Page  89,  line  3,  leave out Clause 47.

Public Bill Committee: 5 December 2013
129

Water Bill, continued

Dan Rogerson

2

Clause  56,  page  91,  line  22,  at end insert—

‘(za)
section (Disclosure of information: preparatory purposes);’.

New Clauses

The Flood Reinsurance Scheme

Dan Rogerson

NC1

To move the following Clause:—

‘(1)
For the purposes of this Part, the Flood Reinsurance Scheme is a scheme which—

(a)
is established for the purpose mentioned in subsection (2), and

(b)
is designated for the purposes of this Part by regulations made by the

Secretary of State.

(2)
The purpose referred to in subsection (1)(a) is the purpose of providing

reinsurance to relevant insurers in respect of such risks relating to flooding as are

identified by the scheme, in such a way as to—

(a)
promote the availability and affordability of flood insurance for

household premises while minimising the costs of doing so, and

(b)
manage, over the period of operation of the scheme, the transition to risk-

reflective pricing of flood insurance for household premises.

(3)
Subsection (5) applies where the terms of the FR Scheme governing the

availability of reinsurance under the FR Scheme for an insurance policy include

a requirement as mentioned in subsection (4).

(4)
The requirement is that the part of the premium for the policy which is

attributable to risks relating to flooding does not exceed a specified amount (“the

eligibility threshold”).

(5)
The Secretary of State may by regulations make provision as to the level of the

eligibility threshold, and may make different provision for different purposes.

(6)
Regulations under subsection (5) may, in particular, make different provision for

different insurance policies by reference to the value of the household premises

to which a policy relates.

(7)
In this Part, the Flood Reinsurance Scheme is called “the FR Scheme”.’.

Scheme administrator

Dan Rogerson

NC2

To move the following Clause:—

‘(1)
The FR Scheme is to be administered by a body designated by regulations made

by the Secretary of State.

Public Bill Committee: 5 December 2013
130

Water Bill, continued

(2)
The Secretary of State may under subsection (1) designate a company registered

under the Companies Act 2006 or a body of another kind.

(3)
In this Part, the body designated under subsection (1) is called “the FR Scheme

administrator”.’.

Scheme funding

Dan Rogerson

NC3

To move the following Clause:—

‘(1)
The Secretary of State may, with the consent of the Treasury, make regulations

requiring relevant insurers to pay to the FR Scheme administrator—

(a)
a levy, the amount and timing of which is to be determined in accordance

with the regulations;

(b)
such further amounts, by way of levy or contribution, as may be

requested by the FR Scheme administrator from time to time in

accordance with the FR Scheme.

(2)
Regulations under subsection (1) may make provision as to—

(a)
the circumstances in which a request under subsection (1)(b) may be

made;

(b)
the amounts that may be requested under subsection (1)(b).

(3)
The Secretary of State may by regulations make provision for amounts payable

under subsection (1) to be recoverable summarily (or in Scotland recoverable) as

a civil debt.

(4)
The Secretary of State may by regulations make provision as to the application of

any amounts paid under subsection (1).

(5)
The Secretary of State may by regulations provide that, where such conditions as

are specified in the regulations as regards the reserves of the FR Scheme are

satisfied, the FR Scheme administrator must pay to the Secretary of State an

amount of the reserves to be determined in accordance with the regulations.

(6)
Regulations under subsection (5) may—

(a)
define “reserves”;

(b)
make provision about determining the amount of the reserves of the FR

Scheme.

(7)
Before making regulations under subsection (5), the Secretary of State must

consult the Prudential Regulation Authority.’.

Public Bill Committee: 5 December 2013
131

Water Bill, continued

Scheme administration

Dan Rogerson

NC4

To move the following Clause:—

‘(1)
The Secretary of State may by regulations make provision in connection with the

administration of the FR Scheme.

(2)
Regulations under subsection (1) may require the FR Scheme administrator to

have regard to the following in discharging its functions—

(a)
the need to ensure economy, efficiency and effectiveness in the discharge

of those functions,

(b)
the need to act in the public interest,

(c)
the need to ensure propriety and regularity in the operation of the FR

Scheme, and

(d)
the need to manage, over the period of operation of the FR Scheme, the

transition to risk-reflective pricing of flood insurance for household

premises.

(3)
Regulations under subsection (1) may require the FR Scheme administrator to

produce and publish, in accordance with the regulations, a plan for achieving the

transition mentioned in subsection (2)(d).

(4)
Regulations under subsection (1) may—

(a)
limit, to any extent, the power of the FR Scheme administrator to borrow

money or otherwise incur debt;

(b)
make provision about the reserves of the FR Scheme, including

limitations on draw downs and transfers;

(c)
require the FR Scheme administrator to take steps to limit the overall net

losses that may be incurred by the FR Scheme in any year to an amount

specified in or determined in accordance with the regulations;

(d)
provide for the form and contents of the FR Scheme’s accounts;

(e)
provide for a copy of the audited FR Scheme’s accounts and a copy of the

auditor’s report on those accounts to be laid before Parliament;

(f)
provide for the Comptroller and Auditor General to examine—

(i)
the economy, efficiency and effectiveness with which the FR

Scheme administrator has used resources in discharging its

functions, or

(ii)
the propriety and regularity in the operation of the FR Scheme,


and for a report on any such examination to be laid before Parliament;

(g)
provide that for the purposes of an examination under paragraph (f)—

(i)
the Comptroller and Auditor General is to have a right of access

at all reasonable times to any of the documents relating to the FR

Scheme, and

(ii)
a person who holds or has control of any of those documents is

to give the Comptroller and Auditor General any assistance,

information or explanation which the Comptroller and Auditor

General requires in relation to any of those documents.

(5)
Regulations under subsection (1) may—

(a)
require the FR Scheme administrator to designate an individual of a

description specified in the regulations as the responsible officer of the

FR Scheme;

(b)
provide for the responsible officer to have such responsibilities in respect

of—

Public Bill Committee: 5 December 2013
132

Water Bill, continued

(i)
the FR Scheme’s finances,

(ii)
the FR Scheme’s accounts,

(iii)
accountability to Parliament for the economy, efficiency and

effectiveness with which the FR Scheme uses resources in

discharging its functions;

(iv)
accountability to Parliament for propriety and regularity in the

operation of the FR Scheme, and

(v)
examinations and reports under subsection (4)(f),


as are specified in the regulations.

(6)
Regulations under subsection (1) may make provision about the disclosure of

information required for the purposes of the FR Scheme and may, in particular—

(a)
as regards information which is held for council tax purposes by the

Valuation Office of Her Majesty’s Revenue and Customs, make

provision—

(i)
for the supply of such information to the FR Scheme

administrator, to relevant insurers and to such other persons as

may be specified in the regulations;

(ii)
for any such supply to be subject to such conditions as may be

specified in the regulations;

(iii)
making it an offence for a person to fail to comply with any such

condition, subject to any defence specified in the regulations;

(b)
require relevant insurers to supply to the FR Scheme administrator such

information as it may request in relation to insurance policies issued by

them.

(7)
Regulations under subsection (1) may provide for the supply by the FR Scheme

administrator of information held by it in connection with the FR Scheme to—

(a)
the Environment Agency,

(b)
the Scottish Environment Protection Agency,

(c)
the Natural Resources Body for Wales,

(d)
the Department of Agriculture and Rural Development in Northern

Ireland, or

(e)
such other body as may be specified in the regulations.

(8)
Regulations under subsection (1) may provide for the supply by the FR Scheme

administrator of information held by it in connection with the FR Scheme to the

Secretary of State for purposes relating to government accounting.

(9)
Subsections (2) to (8) are not exhaustive of what may be done under subsection

(1).

(10)
In this section, “the FR Scheme’s accounts” means the accounts for a financial

year of the FR Scheme prepared by the FR Scheme administrator in respect of the

FR Scheme.’.

Replacement of the scheme or administrator

Dan Rogerson

NC5

To move the following Clause:—

‘(1)
Where regulations under section (The Flood Reinsurance Scheme) replace the FR

Scheme by revoking a designation and making a new designation, the regulations



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