Infrastructure Bill (HC Bill 154)

333DB   Further provisions about transfer schemes

(1) A transfer scheme may—

(a) create for the transferor interests in, or rights over, property
transferred by virtue of the scheme,

(b) 5create for a transferee interests in, or rights over, property
retained by the transferor or transferred to another transferee,

(c) create rights or liabilities between the transferor and a
transferee or between transferees.

(2) A transfer scheme may provide for the transfer of property, rights or
10liabilities that would not otherwise be capable of being transferred or
assigned.

(3) In particular, a transfer scheme may provide for the transfer to take
effect regardless of a contravention, liability or interference with an
interest or right that would otherwise exist by reason of a provision
15having effect in relation to the terms on which the transferor is entitled
to the property or right, or subject to the liability, in question.

(4) It does not matter whether the provision referred to in subsection (3)
has effect under an enactment or an agreement or in any other way.

(5) A certificate by the Secretary of State that anything specified in the
20certificate has vested in any person by virtue of a transfer scheme is
conclusive evidence for all purposes of that fact.

(6) A transfer scheme may contain provision for the payment of
compensation by the Secretary of State to any person whose interests
are adversely affected by it.

(7) 25A transfer by virtue of a transfer scheme does not affect the validity of
anything done by or in relation to the transferor before the transfer
takes effect.

(8) Anything which—

(a) is done by the transferor for the purposes of, or otherwise in
30connection with, anything transferred by virtue of a transfer
scheme, and

(b) is in effect immediately before the transfer date,

is to be treated as done by the transferee.

(9) There may be continued by or in relation to the transferee anything
35(including legal proceedings)—

(a) which relates to anything transferred by virtue of a transfer
scheme, and

(b) which is in the process of being done by or in relation to the
transferor immediately before the transfer date.

(10) 40Subsection (11) applies to any document—

(a) which relates to anything transferred by virtue of a transfer
scheme, and

(b) which is in effect immediately before the transfer date.

(11) Any references in the document to the transferor are to be read as
45references to the transferee.

(12) A transfer scheme may include supplementary, incidental, transitional
and consequential provision.

(13) In this section—

• “enactment” includes subordinate legislation within the meaning
  5of the Interpretation Act 1978;

• “transfer scheme” means a transfer scheme under section 333DA;

• “transfer date” means a date specified by a transfer scheme as the
  date on which the scheme is to have effect.

333DC   Tax consequences of transfers under section 333DA

(1) 10The Treasury may by regulations make provision for varying the way
in which a relevant tax has effect from time to time in relation to—

(a) any property, rights or liabilities transferred in accordance with
a transfer scheme, or

(b) anything done for the purposes of, or in relation to, or in
15consequence of, the transfer of any property, rights or liabilities
in accordance with such a transfer scheme.

(2) The provision that may be made under subsection (1)(a) includes, in
particular, provision for—

(a) a tax provision not to apply, or to apply with modifications, in
20relation to any property, rights or liabilities transferred;

(b) any property, rights or liabilities transferred to be treated in a
specified way for the purposes of a tax provision;

(c) the Secretary of State to be required or permitted, with the
consent of the Treasury, to determine, or to specify the method
25for determining, anything which needs to be determined for the
purposes of any tax provision so far as relating to any property,
rights or liabilities transferred.

(3) The provision that may be made under subsection (1)(b) includes, in
particular, provision for—

(a) 30a tax provision not to apply, or to apply with modifications, in
relation to anything done for the purposes of, or in relation to,
or in consequence of, the transfer;

(b) anything done for the purposes of, or in relation to, or in
consequence of, the transfer to have or not have a specified
35consequence or be treated in a specified way;

(c) the Secretary of State to be required or permitted, with the
consent of the Treasury, to determine, or to specify the method
for determining, anything which needs to be determined for the
purposes of any tax provision so far as relating to anything done
40for the purposes of, or in relation to, or in consequence of, the
transfer.

(4) In this section—

• “enactment” includes subordinate legislation within the meaning
  of the Interpretation Act 1978;

• 45“relevant tax” means income tax, corporation tax, capital gains tax,
  stamp duty, stamp duty land tax or stamp duty reserve tax;

• “tax provision” means a provision of an enactment about a
  relevant tax;

• “transfer scheme” means a transfer scheme under section 333DA.

(5) References in this section to the transfer of property, rights or liabilities
in accordance with a transfer scheme include references to—

(a) the creation of interests, rights or liabilities under the scheme,
and

(b) 5the modification of interests, rights or liabilities under the
scheme,

(and “transferred”, in relation to property, rights or liabilities, is to be
read accordingly).”

(7) In section 408 (transfers of property, rights or liabilities to the Greater London
10Authority etc) after subsection (8) insert—

“(8A) An order under subsection (1) above may not make provision in
relation to land which is held by the Secretary of State and was
acquired, or is treated as having been acquired, under section 39 of the
Forestry Act 1967 (power to acquire land which is suitable for
15afforestation or purposes connected with forestry).”

(8) In section 409 (transfer schemes for transfers to the Greater London Authority
etc) after subsection (8) insert—

“(8A) A scheme under subsection (1) or (2) above may not make provision in
relation to land which is held by the Secretary of State and was
20acquired, or is treated as having been acquired, under section 39 of the
Forestry Act 1967 (power to acquire land which is suitable for
afforestation or purposes connected with forestry).”

(9) In section 420 (regulations and orders)—

(a) in subsection (7) (instruments subject to annulment in pursuance of a
25resolution of either House of Parliament) after the entry for section
243(7) insert—

• “section 333DA(2);”, and

(b) after subsection (8) insert—

“(8A) A statutory instrument which contains regulations under
30section 333DC shall be subject to annulment in pursuance of a
resolution of the House of Commons.”

29 Easements etc affecting land

(1) The Housing and Regeneration Act 2008 is amended in accordance with
subsections (2) to (4).

(2) 35In section 11 (which introduces the provision made about land of the HCA in
Schedule 3) for “land of the HCA” substitute “land acquired by the HCA”.

(3) In the title to Schedule 3 (main powers in relation to land of the HCA) for “land
of the HCA” substitute “land acquired by the HCA”.

(4) In paragraph 1 of that Schedule (powers to override easements etc in
40undertaking works on, or using, land of the HCA) in each of sub-paragraphs
(1) and (3) for “land of the HCA” substitute “land which has been vested in or
acquired by the HCA”.

(5) Section 333ZB of the Greater London Authority Act 1999 (powers in relation to
land held for housing or regeneration purposes) is amended in accordance
45with subsections (6) to (9).

(6) In the heading after “land” insert “acquired or”.

(7) For subsection (1) (application of Schedule 3 to the Housing and Regeneration
Act 2008 to land held by the GLA) substitute—

“(1) Schedule 3 to the Housing and Regeneration Act 2008 (powers in
5relation to land acquired by the Homes and Communities Agency)
applies in relation to the Authority and land which has been vested in
or acquired by the Authority for the purposes of housing or
regeneration as it applies in relation to the Homes and Communities
Agency and land which has been vested in or acquired by the Agency.”

(8) 10In subsection (2) for the “and” at the end of paragraph (a) substitute—

“(aa) references to land which has been vested in or acquired by the
Homes and Communities Agency are to be read as references to
land which has been vested in or acquired by the Authority for
the purposes of housing or regeneration, and”.

(9) 15After subsection (4) insert—

“(5) In this section references to the Authority include a company or body
through which the Authority exercises functions in relation to housing
or regeneration.

(6) Subsection (5) does not affect the application of Parts 3 and 4 of
20Schedule 4 to the Housing and Regeneration Act 2008—

(a) in relation to the acquisition of land by the Authority under this
Part, or

(b) in relation to land in respect of which functions of the Authority
relating to housing or regeneration are being or have been
25exercised.”

(10) In section 208 of the Localism Act 2011 (powers in relation to land acquired by
a Mayoral development corporation) for subsection (1) substitute—

“(1) Schedule 3 to the Housing and Regeneration Act 2008 (powers, in
relation to land acquired by the Homes and Communities Agency, to
30override easements etc, to extinguish public rights of way, and in
relation to burial grounds and consecrated land) applies in relation to
an MDC and land which has been vested in or acquired by an MDC as
it applies in relation to the Homes and Communities Agency and land
which has been vested in or acquired by the Agency.”

(11) 35The amendments made by this section do not apply in relation to land which
is disposed of by the Homes and Communities Agency, the Greater London
Authority, a company or body through which the Authority exercises
functions in relation to housing or regeneration or a Mayoral development
corporation before the day on which this section comes into force.

(12) 40The reference in subsection (11) to land disposed of by the Greater London
Authority does not include land disposed of to a company or body through
which the Authority exercises functions in relation to housing or regeneration.

Her Majesty’s Land Registry

30 Transfer of responsibility for local land charges to Land Registry

(1) Schedule 5 (transfer of responsibility for local land charges to Land Registry)
has effect.

(2) 5In that Schedule—

(a) Part 1 amends the Local Land Charges Act 1975,

(b) Part 2 amends the Land Registration Act 2002,

(c) Part 3 amends other Acts, and

(d) Part 4 contains transitional provision.

31 10Conferral of additional powers on Land Registry

(1) In section 105 of the Land Registration Act 2002 (power of registrar to provide
or arrange for the provision of consultancy or advisory services about the
registration of land in England and Wales or elsewhere) in subsection (1) for
the words from “, consultancy or advisory services” to the end substitute “—

(a) 15consultancy or advisory services about land or other property
in England and Wales or elsewhere,

(b) information services about land or other property in England
and Wales, or

(c) services relating to documents or registers which relate to land
20or other property in England and Wales.”

(2) For the title to that section substitute “Services relating to land or other
property”.

32 Transfer of power to nominate member of Rule Committee

(1) In section 127(2)(h) of the Land Registration Act 2002 (power of Lord
25Chancellor to nominate consumer affairs member of Rule Committee) for
“Lord Chancellor” substitute “Secretary of State”.

(2) This section applies in relation to the nomination of a member of the Rule
Committee on or after the day on which this section comes into force.

Off-site carbon abatement measures

33 30Provision in building regulations for off-site carbon abatement measures

(1) The Building Act 1984 is amended as follows.

(2) In section 1(1A) (matters that may be covered by building regulations) after
paragraph (c) insert “;

(d) the action to be taken as a result of a building’s contribution to
35or effect on emissions of carbon dioxide (whether or not from
the building itself).”

(3) Schedule 1 (building regulations) is amended as follows.

(4) After paragraph 7 insert—

“7A (1) This paragraph applies if building regulations impose a requirement
in relation to a building as respects its contribution to or effect on
emissions of carbon dioxide (whether or not the requirement relates
5to emissions from the building itself).

(2) Building regulations may make provision for a person to whom the
requirement applies to meet it (in whole or in part) by taking action
otherwise than in relation to the building.

(3) Such action may include—

(a) 10doing things which consist of, or cause or contribute, directly
or indirectly to—

(i) reductions in emissions of carbon dioxide, or

(ii) the removal of carbon dioxide from the atmosphere;

(b) agreeing with another person that the person will do things
15within paragraph (a);

(c) making a payment or payments to a fund—

(i) which is administered by, or by a person acting on
behalf of, the Secretary of State or the Welsh
Ministers, and

(ii) 20the proceeds of which are used to pay (directly or
indirectly) for activities within paragraph (a).

(4) Provision made under paragraph 4A for the use of certificates as
evidence of compliance with building regulations by virtue of action
within sub-paragraph (3) may include provision—

(a) 25for the creation and maintenance of a register for keeping
track of the use of certificates for that purpose;

(b) about the administration of the register;

(c) for charges to be imposed in connection with the registration
of any matter in the register or for the disclosure of
30information held in the register.

(5) If building regulations make provision for the creation and
maintenance of a register, building regulations must make provision
for the register to be administered by, or by a person acting on behalf
of, the Secretary of State or the Welsh Ministers.

(6) 35Building regulations made by the Welsh Ministers may make
provision for the use, in relation to action taken in respect of a
building in Wales, of a register administered by, or by a person
acting on behalf of, the Secretary of State.

(7) Building regulations made by the Secretary of State may make
40provision about the use of such a register for that purpose.

(8) Building regulations may make provision for the creation and
maintenance of a fund of a kind referred to in sub-paragraph (3)(c),
including provision about—

(a) the administration of such a fund;

(b) 45the purposes for which proceeds from such a fund may be
used.

(9) Building regulations may make provision about—

(a) the calculation of payments to be made into a fund of a kind
referred to in sub-paragraph (3)(c);

(b) the maximum payment which may be required to be made
into such a fund in respect of a building.

(10) 5Building regulations made by the Welsh Ministers may make
provision for a payment or payments in respect of a building in
Wales to be made to a fund administered by, or by a person acting on
behalf of, the Secretary of State.

(11) Building regulations made by the Secretary of State may make
10provision about the use of such a fund for that purpose.

(12) Paragraph 8(2) does not prevent building regulations from
providing for action within sub-paragraph (3) to be taken in relation
to a building erected before the date on which the regulations come
into force.”

(5) 15In paragraph 8(2) (requirement for building regulations not to apply to
buildings erected before regulations come into force, subject to exceptions)
after “Subject to sub-paragraphs (3) to (6) below and to” insert “paragraph
7A(12) above and”.

(6) The reference to the Building Act 1984 in article 2(a) of the Welsh Ministers
20(Transfer of Functions) (No 2) Order 2009 (SI 2009/3019SI 2009/3019) is to be treated as
referring to that Act as amended by this section.

Part 5 Energy

The community electricity right

34 25The community electricity right

(1) The Secretary of State may make regulations which give individuals resident
in a community or groups connected with a community (or both) the right to
buy a stake in a renewable electricity generation facility that is located—

(a) in the community (if it is a land-based facility), or

(b) 30adjacent to the community (if it is an offshore facility).

(2) The Secretary of State may make regulations about—

(a) the kind, or kinds, of body which may be a facility operator,

(b) ownership of facility operators, and

(c) matters relating to the ownership of facility operators (including the
35rights, duties and powers arising from ownership),

if the Secretary of State considers that the regulations are appropriate in
connection with the right to buy.

(3) The Secretary of State may make regulations about the supply of information
in connection with the following—

(a) 40the right to buy;

(b) ownership of stakes in qualifying facilities (including the transfer of
ownership);

(c) operation of qualifying facilities;

(d) ownership of facility operators (including matters relating to the
ownership of facility operators);

(e) monitoring and assessing—

(i) the operation of the right to buy, and

(ii) 5the ownership of stakes in qualifying facilities.

(4) The Secretary of State may make regulations about the enforcement of
obligations imposed by regulations made under any of subsections (1) to (3);
and the regulations about enforcement may include—

(a) provision for obligations to be enforceable as, or as if they were,
10generation licence conditions or relevant requirements;

(b) a power to impose financial penalties for breach of obligations.

(5) The Secretary of State may by regulations modify—

(a) any generation licence condition, or

(b) any generation licence exemption,

15if the Secretary of State considers that the modification is appropriate in
connection with regulations made under any of subsections (1) to (4) or this
subsection.

(6) Schedule 6 (which describes certain provision that community electricity right
regulations can make, including provision about renewable electricity
20generation facilities, communities, and individuals and groups who may
exercise the right to buy) has effect.

(7) In this section, Schedule 6 and section 35—

• “community electricity right regulations” means regulations under this
  section;

• 25“electricity generation licence” means a licence granted under section
  6(1)(a) of the Electricity Act 1989;

• “facility operator” means a person who generates, or is expected to
  generate, electricity at a qualifying facility for the purpose of giving a
  supply to any premises or enabling a supply to be so given;

• 30“generation licence condition” means—

  (a)

  the conditions of a particular electricity generation licence, or

  (b)

  the standard conditions so far as they are incorporated in
  electricity generation licences by virtue of section 8A of the
  Electricity Act 1989;

• 35“generation licence exemption” means an exemption from section 4(1)(a)
  of the Electricity Act 1989 granted under section 5(1) of that Act;

• “land-based facility” means a renewable electricity generation facility that
  is not an offshore facility;

• “offshore facility” means a renewable electricity generation facility that is
  40located in waters in or adjacent to Great Britain that are beyond the
  mean low water mark;

• “qualifying facility” means a renewable electricity generation facility in
  relation to which the right to buy is to be, is, or has been, exercisable;

• “relevant requirement” has the same meaning as in section 25 of the
  45Electricity Act 1989;

• “renewable electricity generation facility” means a facility using a
  renewable source of energy to generate electricity (and here “renewable
  source” has the same meaning as in sections 32 to 32LB of the Electricity
  Act 1989 — see section 32M of that Act) which is located in—

  Infrastructure BillPage 38

  (a)

  Great Britain,

  (b)

  waters in or adjacent to Great Britain which are between the
  mean low water mark and the seaward limits of the territorial
  sea adjacent to Great Britain, but do not form part of that
  5territorial sea,

  (c)

  the territorial sea adjacent to Great Britain, or

  (d)

  the Renewable Energy Zone (within the meaning of Chapter 2
  of Part 2 of the Energy Act 2004), except for any part of that
  Zone which forms part of the territorial sea adjacent to
  10Northern Ireland;

• “right to buy” means the right to buy a stake in a renewable electricity
  generation facility that is given by regulations under subsection (1).

35 Supplementary provision

(1) Community electricity right regulations may confer a function on—

(a) 15the Secretary of State, or

(b) any other person, apart from the Scottish Ministers or the Welsh
Ministers.

(2) The functions that may be imposed include—

(a) a duty (including a restriction or prohibition);

(b) 20a function involving the exercise of a discretion;

(c) a requirement to consult;

(d) a requirement to take account of guidance.

(3) The provisions of section 34, Schedule 6 and this section which specify
particular kinds of provision that may be made in community electricity right
25regulations do not limit the powers conferred by section 34 to make such
regulations.

(4) The duties under Schedule 6 to make particular provision in community
electricity right regulations do not apply unless the Secretary of State decides
to exercise the power conferred by section 34 to make such regulations.

(5) 30Provision which commences community electricity right regulations may be
framed so as to secure that the regulations do not apply to a renewable
electricity generation facility if development of the facility has reached a stage
of advancement specified in the commencement provision.

(6) A reference in section 34 or Schedule 6 to buying a stake in a renewable
35electricity generation facility includes a reference to making a loan in relation
to a renewable electricity generation facility.

(7) The Secretary of State must carry out a review of section 34, Schedule 6 and the
preceding provisions of this section as soon as reasonably practicable after the
end of the period of 5 years beginning with the day on which they come into
40force.

The Extractive Industries Transparency Initiative

36 The Extractive Industries Transparency Initiative

After section 8 of the Commissioners for Revenue and Customs Act 2005

insert—

“8A The Extractive Industries Transparency Initiative

(1) The Commissioners may do anything which they think necessary or
expedient in connection with the Extractive Industries Transparency
5Initiative in so far as it relates to taxes the collection and management
of which is the responsibility of the Commissioners.

(2) In this section “the Extractive Industries Transparency Initiative”
means the international initiative of that name which has the aim of
promoting openness in the management of revenues from natural
10resources.”

Recovery of UK petroleum

37 Maximising economic recovery of UK petroleum

After section 9 of the Petroleum Act 1998 insert—

“Part 1A

Maximising economic recovery of UK petroleum

9A The principal objective and the strategy

(1) 15In this Part the “principal objective” is the objective of maximising the
economic recovery of UK petroleum, in particular through—

(a) development, construction, deployment and use of equipment
used in the petroleum industry (including upstream petroleum
infrastructure), and

(b) 20collaboration among the following persons—

(i) holders of petroleum licences;

(ii) operators under petroleum licences;

(iii) owners of upstream petroleum infrastructure;

(iv) persons planning and carrying out the commissioning
25of upstream petroleum infrastructure.

(2) The Secretary of State must produce one or more strategies for enabling
the principal objective to be met.

(3) A strategy may relate to matters other than those mentioned in
subsection (1)(a) and (b).

(4) 30For provision about producing and revising a strategy, see sections 9F
and 9G.

9B Exercise of certain functions of the Secretary of State

The Secretary of State must act in accordance with the current strategy
or strategies when—

(a) 35exercising functions under the other Parts of this Act (except
Part 4),

(b) exercising functions under Part 4 to the extent that they concern
reduction of the costs of abandonment of offshore installations
and submarine pipelines,