Session 2015-16
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Energy Bill [HL]

lords Amendments TO CERTAIN COMMONS AMENDMENTS

[The page and line references are to Bill 92, the bill as first printed for the Commons.]

COMMONS AMENDMENT 2

Clause 2

2

Page 2, line 39, at end insert—

 

“( )    

Chapter 9 of Part 8 of the Corporation Tax Act 2010,”

 

LORDS AGREEMENT AND AMENDMENT TO THE COMMONS AMENDMENT

 

The Lords agree with the Commons in their Amendment 2, and propose Amendment 2A as

 

an amendment thereto—

2A

Line 2, leave out “Chapter 9 of”

 

COMMONS AMENDMENT 6

After Clause 79

6

Insert the following new Clause—

 

         

“Onshore wind power: closure of renewables obligation on 31 March 2016

 

(1)    

In Part 1 of the Electricity Act 1989 (electricity supply), after section 32LB

 

insert—

 

“32LC

Onshore wind generating stations: closure of renewables

 

obligation

 

(1)    

No renewables obligation certificates are to be issued under a

 

renewables obligation order in respect of electricity generated after

 

31 March 2016 by an onshore wind generating station.

 
 

 
 

2

 
 

(2)    

Subsection (1) does not apply to electricity generated in the

 

circumstances set out in any one or more of sections 32LD to 32LL.

 

(3)    

In this section and sections 32LD to 32LL “onshore wind generating

 

station” means a generating station that—

 

(a)    

generates electricity from wind, and

 

(b)    

is situated in England, Wales or Scotland, but not in waters

 

in or adjacent to England, Wales or Scotland up to the

 

seaward limits of the territorial sea.

 

(4)    

The reference in subsection (1) to a renewables obligation order is

 

to any renewables obligation order made under section 32

 

(whenever made, and whether or not made by the Secretary of

 

State).

 

(5)    

Power to make provision in a renewables obligation order or a

 

renewables obligation closure order (and any provision contained

 

in such an order) is subject to subsection (1) and sections 32LD to

 

32LL.

 

(6)    

This section is not otherwise to be taken as affecting power to make

 

provision in a renewables obligation order or renewables obligation

 

closure order.”

 

(2)    

The Renewables Obligation Closure Order 2014 (S.I. 2014/2388) is

 

amended as follows.

 

(3)    

In article 2(1) (interpretation), after the definition of “network operator”

 

insert—

 

““onshore wind generating station” means a generating

 

station that—

 

(a)    

generates electricity from wind, and

 

(b)    

is situated in England, Wales or Scotland, but not in

 

waters in or adjacent to England, Wales or Scotland

 

up to the seaward limits of the territorial sea;”.

 

(4)    

In article 3 (closure of renewables obligation on 31st March 2017)—

 

(a)    

in the heading, after “solar pv stations” insert “or onshore wind

 

generating stations”;

 

(b)    

in paragraph (1), after “solar pv station” insert “or an onshore wind

 

generating station”.”

 

LORDS AGREEMENT AND AMENDMENTS TO THE COMMONS AMENDMENT

 

The Lords agree with the Commons in their Amendment 6, and propose Amendments 6A

 

and 6B as amendments thereto—

6A

Line 9, leave out “31 March 2016” and insert “the onshore wind closure date”

6B

Line 12, after “32LL” insert “—

 

“the onshore wind closure date” means the date on which the Energy

 

Act 2016 is passed;”

 

COMMONS AMENDMENT 7

7

Insert the following new Clause—

 
 

 
 

3

 
 

         

“Onshore wind power: circumstances in which certificates may be issued after

 

31 March 2016

 

(1)    

Part 1 of the Electricity Act 1989 (electricity supply) is amended as follows.

 

(2)    

After section 32LC (inserted by section [Onshore wind power: closure of

 

renewables obligation on 31 March 2016] of this Act) insert—

 

“32LD

Onshore wind generating stations accredited, or additional

 

capacity added, on or before 31 March 2016

 

The circumstances set out in this section are where the electricity is—

 

(a)    

generated by an onshore wind generating station which was

 

accredited on or before 31 March 2016, and

 

(b)    

generated using—

 

(i)    

the original capacity of the station, or

 

(ii)    

additional capacity which in the Authority’s view

 

first formed part of the station on or before 31 March

 

2016.

 

32LE  

Onshore wind generating stations accredited, or additional

 

capacity added, between 1 April 2016 and 31 March 2017: grid or

 

radar delay condition met

 

The circumstances set out in this section are where the electricity is—

 

(a)    

generated using the original capacity of an onshore wind

 

generating station—

 

(i)    

which was accredited during the period beginning

 

with 1 April 2016 and ending with 31 March 2017,

 

and

 

(ii)    

in respect of which the grid or radar delay condition

 

is met, or

 

(b)    

generated using additional capacity of an onshore wind

 

generating station, where—

 

(i)    

the station was accredited on or before 31 March

 

2016,

 

(ii)    

in the Authority’s view, the additional capacity first

 

formed part of the station during the period

 

beginning with 1 April 2016 and ending with 31

 

March 2017, and

 

(iii)    

the grid or radar delay condition is met in respect of

 

the additional capacity.

 

32LF  

Onshore wind generating stations accredited, or additional

 

capacity added, on or before 31 March 2017: approved

 

development condition met

 

The circumstances set out in this section are where the electricity is—

 

(a)    

generated using the original capacity of an onshore wind

 

generating station—

 

(i)    

which was accredited on or before 31 March 2017,

 

and

 

(ii)    

in respect of which the approved development

 

condition is met, or

 
 

 
 

4

 
 

(b)    

generated using additional capacity of an onshore wind

 

generating station, where—

 

(i)    

the station was accredited on or before 31 March

 

2016,

 

(ii)    

in the Authority’s view, the additional capacity first

 

formed part of the station on or before 31 March

 

2017, and

 

(iii)    

the approved development condition is met in

 

respect of the additional capacity.

 

32LG  

Onshore wind generating stations accredited, or additional

 

capacity added, between 1 April 2017 and 31 March 2018: grid or

 

radar delay condition met

 

The circumstances set out in this section are where the electricity is—

 

(a)    

generated using the original capacity of an onshore wind

 

generating station—

 

(i)    

which was accredited during the period beginning

 

with 1 April 2017 and ending with 31 March 2018,

 

(ii)    

in respect of which the approved development

 

condition is met, and

 

(iii)    

in respect of which the grid or radar delay condition

 

is met, or

 

(b)    

generated using additional capacity of an onshore wind

 

generating station, where—

 

(i)    

the station was accredited on or before 31 March

 

2016,

 

(ii)    

in the Authority’s view, the additional capacity first

 

formed part of the station during the period

 

beginning with 1 April 2017 and ending with 31

 

March 2018,

 

(iii)    

the approved development condition is met in

 

respect of the additional capacity, and

 

(iv)    

the grid or radar delay condition is met in respect of

 

the additional capacity.

 

32LH  

Onshore wind generating stations accredited, or additional

 

capacity added, between 1 April 2017 and 31 December 2017:

 

investment freezing condition met

 

The circumstances set out in this section are where the electricity is—

 

(a)    

generated using the original capacity of an onshore wind

 

generating station—

 

(i)    

which was accredited during the period beginning

 

with 1 April 2017 and ending with 31 December

 

2017, and

 

(ii)    

in respect of which both the approved development

 

condition and the investment freezing condition are

 

met, or

 

(b)    

generated using additional capacity of an onshore wind

 

generating station, where—

 

(i)    

the station was accredited on or before 31 March

 

2016,

 
 

 
 

5

 
 

(ii)    

in the Authority’s view, the additional capacity first

 

formed part of the station during the period

 

beginning with 1 April 2017 and ending with 31

 

December 2017, and

 

(iii)    

both the approved development condition and the

 

investment freezing condition are met in respect of

 

the additional capacity.

 

32LI  

Onshore wind generating stations accredited, or additional

 

capacity added, between 1 January 2018 and 31 December 2018:

 

grid or radar delay condition met

 

The circumstances set out in this section are where the electricity is—

 

(a)    

generated using the original capacity of an onshore wind

 

generating station—

 

(i)    

which was accredited during the period beginning

 

with 1 January 2018 and ending with 31 December

 

2018,

 

(ii)    

in respect of which both the approved development

 

condition and the investment freezing condition are

 

met, and

 

(iii)    

in respect of which the grid or radar delay condition

 

is met, or

 

(b)    

generated using additional capacity of an onshore wind

 

generating station, where—

 

(i)    

the station was accredited on or before 31 March

 

2016,

 

(ii)    

in the Authority’s view, the additional capacity first

 

formed part of the station during the period

 

beginning with 1 January 2018 and ending with 31

 

December 2018,

 

(iii)    

both the approved development condition and the

 

investment freezing condition are met in respect of

 

the additional capacity, and

 

(iv)    

the grid or radar delay condition is met in respect of

 

the additional capacity.

 

32LJ  

The approved development condition

 

(1)    

This section applies for the purposes of sections 32LF to 32LI.

 

(2)    

The approved development condition is met in respect of an

 

onshore wind generating station if the documents specified in

 

subsections (4), (5) and (6) were provided to the Authority with the

 

application for accreditation of the station.

 

(3)    

The approved development condition is met in respect of

 

additional capacity if the documents specified in subsections (4), (5)

 

and (6) were provided to the Authority on or before the date on

 

which the Authority made its decision that the additional capacity

 

could form part of an onshore wind generating station.

 

(4)    

The documents specified in this subsection are—

 

(a)    

evidence that—

 
 

 
 

6

 
 

(i)    

planning permission for the station or additional

 

capacity was granted on or before 18 June 2015, and

 

(ii)    

any conditions as to the time period within which

 

the development to which the permission relates

 

must be begun have not been breached,

 

(b)    

evidence that—

 

(i)    

planning permission for the station or additional

 

capacity was refused on or before 18 June 2015, but

 

granted after that date following an appeal or

 

judicial review, and

 

(ii)    

any conditions as to the time period within which

 

the development to which the permission relates

 

must be begun have not been breached,

 

(c)    

evidence that—

 

(i)    

an application for 1990 Act permission or 1997 Act

 

permission was made on or before 18 June 2015 for

 

the station or additional capacity,

 

(ii)    

the period allowed under section 78(2) of the 1990

 

Act or (as the case may be) section 47(2) of the 1997

 

Act ended on or before 18 June 2015 without any of

 

the things mentioned in section 78(2)(a) to (b) of the

 

1990 Act or section 47(2)(a) to (c) of the 1997 Act

 

being done in respect of the application,

 

(iii)    

the application was not referred to the Secretary of

 

State, Welsh Ministers or Scottish Ministers in

 

accordance with directions given under section 77 of

 

the 1990 Act or section 46 of the 1997 Act,

 

(iv)    

1990 Act permission or 1997 Act permission was

 

granted after 18 June 2015 following an appeal, and

 

(v)    

any conditions as to the time period within which

 

the development to which the permission relates

 

must be begun have not been breached, or

 

(d)    

a declaration by the operator of the station that, to the best

 

of the operator’s knowledge and belief, planning

 

permission is not required for the station or additional

 

capacity.

 

(5)    

The documents specified in this subsection are—

 

(a)    

a copy of an offer from a licensed network operator made on

 

or before 18 June 2015 to carry out grid works in relation to

 

the station or additional capacity, and evidence that the

 

offer was accepted on or before that date (whether or not the

 

acceptance was subject to any conditions or other terms), or

 

(b)    

a declaration by the operator of the station that, to the best

 

of the operator’s knowledge and belief, no grid works were

 

required to be carried out by a licensed network operator in

 

order to enable the station to be commissioned or the

 

additional capacity to form part of the station.

 

(6)    

The documents specified in this subsection are a declaration by the

 

operator of the station that, to the best of the operator’s knowledge

 

and belief, as at 18 June 2015 a relevant developer of the station or

 

additional capacity (or a person connected, within the meaning of

 
 

 
 

7

 
 

section 1122 of the Corporation Tax Act 2010, with a relevant

 

developer of the station or additional capacity)—

 

(a)    

was an owner or lessee of the land on which the station or

 

additional capacity is situated,

 

(b)    

had entered into an agreement to purchase or lease the land

 

on which the station or additional capacity is situated,

 

(c)    

had an option to purchase or to lease the land on which the

 

station or additional capacity is situated, or

 

(d)    

was a party to an exclusivity agreement in relation to the

 

land on which the station or additional capacity is situated.

 

(7)    

In this section—

 

“the 1990 Act” means the Town and Country Planning Act

 

1990;

 

“1990 Act permission” means planning permission under the

 

1990 Act (except outline planning permission, within the

 

meaning of section 92 of that Act);

 

“the 1997 Act” means the Town and Country Planning

 

(Scotland) Act 1997;

 

“1997 Act permission” means planning permission under the

 

1997 Act (except planning permission in principle, within

 

the meaning of section 59 of that Act);

 

“exclusivity agreement”, in relation to land, means an

 

agreement by the owner or a lessee of the land not to permit

 

any person (other than the persons identified in the

 

agreement) to construct an onshore wind generating station

 

on the land;

 

“planning permission” means—

 

(a)    

consent under section 36 of this Act,

 

(b)    

1990 Act permission,

 

(c)    

1997 Act permission, or

 

(d)    

development consent under the Planning Act 2008.

 

32LK  

The investment freezing condition

 

(1)    

This section applies for the purposes of sections 32LH and 32LI.

 

(2)    

The investment freezing condition is met in respect of an onshore

 

wind generating station if the documents specified in subsection (4)

 

were provided to the Authority with the application for

 

accreditation of the station.

 

(3)    

The investment freezing condition is met in respect of additional

 

capacity if the documents specified in subsection (4) were provided

 

to the Authority on or before the date on which the Authority made

 

its decision that the additional capacity could form part of an

 

onshore wind generating station.

 

(4)    

The documents specified in this subsection are—

 

(a)    

a declaration by the operator of the station that, to the best

 

of the operator’s knowledge and belief, as at the Royal

 

Assent date—

 

(i)    

the relevant developer required funding from a

 

recognised lender before the station could be

 
 

 
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Revised 13 April 2016