Nuclear Safeguards Bill (HC Bill 109)

1 Nuclear safeguards

(1) For section 72 of the Energy Act 2013 substitute—

“72 Nuclear safeguards purposes

In this Part, the “nuclear safeguards purposes” means the purposes of—

(a) 5ensuring compliance with nuclear safeguards regulations (see section
76A),

(b) ensuring compliance by the United Kingdom or, as the case may be,
enabling or facilitating compliance by a Minister of the Crown, with a
relevant international agreement, and

(c) 10the development of any future obligations relating to nuclear
safeguards.””

(2) After section 76 of that Act insert—

““CHAPTER 2A Nuclear safeguards

76A Nuclear safeguards regulations

(1) 15The Secretary of State may by regulations (“nuclear safeguards
regulations”) make provision for the purpose of—

(a) ensuring that qualifying nuclear material, facilities or
equipment are only available for use for civil activities (whether
in the United Kingdom or elsewhere), or

(b) 20giving effect to provisions of a relevant international
agreement.

(2) The regulations may, for example, make provision relating to—

(a) record-keeping or accounting;

(b) the provision or publication of information;

(c) inspection or monitoring;

(d) imports or exports;

(e) 5the design of qualifying nuclear facilities or equipment;

(f) the production, processing, use, handling, storage or disposal of
qualifying nuclear material or equipment.

(3) The following apply in relation to nuclear safeguards regulations as
they apply in relation to nuclear regulations—

• 10section 74(3) to (5) (nuclear regulations),

• section 75 (offences),

• section 76 (civil liability), and

• paragraphs 2 to 16 of Schedule 6 (examples of provision that may
  be made by nuclear regulations).

(4) 15Nothing in nuclear safeguards regulations applies in relation to
anything done for defence purposes (within the meaning of section 70).

(5) The Secretary of State may by regulations specify activities that are, or
are not, to be treated for the purposes of subsection (1) as civil activities.

(6) The provision that may be made by nuclear safeguards regulations by
20virtue of section 113(7) includes provision modifying retained EU law
(within the meaning of the European Union (Withdrawal) Act 2017).

(7) In this section—

• “equipment” has the meaning given by section 70(3);

• “qualifying nuclear equipment” means equipment designed or
  25adapted for use in connection with qualifying nuclear material
  or a qualifying nuclear facility;

• “qualifying nuclear facility” means a facility (including associated
  buildings) in which qualifying nuclear material is produced,
  processed, used, handled, stored or disposed of;

• 30“qualifying nuclear material” means—

  (a)

  fissionable material specified in regulations under
  subsection (8),

  (b)

  source material in the form of—

  (i)

  uranium metal, alloy or compound, or

  (ii)

  35thorium metal, alloy or compound, or

  (c)

  ore containing a substance from which a source material
  falling within paragraph (b) is capable of being derived.

(8) The Secretary of State may by regulations specify fissionable material
for the purposes of the definition of “qualifying nuclear material”.

(9) 40Before making any regulations under this section, the Secretary of State
must consult—

(a) the ONR, and

(b) such other persons (if any) as the Secretary of State considers it
appropriate to consult.

(10) Subsection (9)(a) does not apply if the regulations give effect, without
modification, to proposals submitted by the ONR under section
81(1)(a)(ia).

76B Payments in respect of compliance costs

(1) 5The Secretary of State may by regulations authorise or require the ONR to
make payments towards compliance costs.

(2) “Compliance costs” means costs of complying with nuclear safeguards
regulations or with specified provisions of nuclear safeguards
regulations.

(3) 10Regulations under subsection (1) may provide that payments are
authorised or required to be made only in specified circumstances.

(4) The ONR is responsible for determining the amounts of payments in
accordance with any provision made by regulations under subsection
(1).

(5) 15In this section, “specified” means specified in regulations under
subsection (1).””

(3) In section 112 of that Act (interpretation)—

(a) in subsection (1), at the appropriate places insert—

• “““nuclear safeguards regulations” means regulations
  20under section 76A(1);”;

• ““relevant international agreement” has the meaning
  given by subsection (1A);”;”

(b) after subsection (1) insert—

“(1A) “Relevant international agreement” means an agreement
25(whether or not ratified) to which the United Kingdom is a
party and which—

(a) relates to nuclear safeguards, and

(b) is specified in regulations under subsection (1B),

and a reference in this Part to a relevant international agreement
30is to the agreement as it has effect for the time being.

(1B) The Secretary of State may by regulations specify agreements
for the purposes of subsection (1A)(b).

(1C) References in subsection (1A) to an agreement to which the
United Kingdom is a party include an undertaking given by the
35United Kingdom which—

(a) relates to guidance or any other document issued by the
International Atomic Energy Agency, and

(b) is notified to the Agency by the United Kingdom,

(and the reference in subsection (1B) to an agreement is to be
40read accordingly).

(1D) Before making regulations under subsection (1B), the Secretary
of State must consult—

(a) the ONR, and

(b) such other persons (if any) as the Secretary of State
45considers it appropriate to consult.

(1E) Subsection (1D)(a) does not apply if the regulations give effect,
without modification, to proposals submitted by the ONR
under section 81(1)(a)(iiia).””

(4) A consultation requirement imposed by an amendment made by this section
5may be satisfied by consultation carried out before this Act was passed.

(5) The Schedule contains minor and consequential amendments.

2 Power to amend legislation relating to nuclear safeguards

(1) The Secretary of State may by regulations amend any of the following in
consequence of a relevant safeguards agreement—

(a) 10the Nuclear Safeguards and Electricity (Finance) Act 1978,

(b) the Nuclear Safeguards Act 2000, and

(c) the Nuclear Safeguards (Notification) Regulations 2004 (S.I. 2004/
1255).

(2) In subsection (1) “relevant safeguards agreement” means an agreement
15(whether or not ratified) relating to nuclear safeguards to which the United
Kingdom and the International Atomic Energy Agency are parties.

(3) Regulations under this section may include—

(a) consequential, supplementary or incidental provision;

(b) transitional, transitory or saving provision.

(4) 20The power to make regulations under this section is exercisable by statutory
instrument.

(5) An instrument containing (whether alone or with other provision) regulations
under this section may not be made unless a draft of the instrument has been
laid before and approved by a resolution of each House of Parliament.

3 25Extent

(1) This Act extends to England and Wales, Scotland and Northern Ireland, subject
to the rest of this section.

(2) An amendment made by this Act has the same extent within the United
Kingdom as the provision amended.

(3) 30Where regulations under section 2 amend or repeal any provision of—

(a) the Nuclear Safeguards Act 2000, or

(b) the Nuclear Safeguards and Electricity (Finance) Act 1978,

the power under section 12(4) of the Nuclear Safeguards Act 2000 may be
exercised so as to extend the amendment or repeal (with or without
35modifications) to any of the Channel Islands or the Isle of Man or any British
overseas territory.

4 Commencement

(1) Section 3, this section and section 5 come into force on the day on which this
Act is passed.

(2) 40The other provisions of this Act come into force on such day as the Secretary of
State may by regulations made by statutory instrument appoint.

(3) Regulations under subsection (2) may—

(a) appoint different days for different purposes;

(b) include transitional, transitory or saving provision.

(4) The power of the Secretary of State under subsection (2) to appoint a day
5includes a power to appoint a time on that day if the Secretary of State
considers it appropriate to do so.

5 Short title

This Act may be cited as the Nuclear Safeguards Act 2018.

Section 1

Schedule minor and consequential amendments

Amendments to Part 3 of the Energy Act 2013

1 Part 3 of the Energy Act 2013 (nuclear regulation) is amended as follows.

2 5In section 74 (nuclear regulations) —

(a) in subsection (1), omit paragraph (c),

(b) in subsection (9), omit “any paragraph of”, and

(c) in subsection (10), omit paragraphs (b) and (c).

3 In section 81 (proposals about orders and regulations), in subsection (1)(a)—

(a) 10after sub-paragraph (i) insert—

“(“ia) regulations under section 76A (nuclear
safeguards regulations etc),”;”

(b) after sub-paragraph (iii) insert—

“(“iiia) regulations under section 112(1B) (definition
15of “relevant international agreement”),”.”

4 In section 82 (enforcement of relevant statutory provisions), in subsection
(2)(a), for the words from “of” to the end substitute “of this Part, nuclear
regulations and nuclear safeguards regulations;”.

5 In section 84 (investigations), in subsection (3)(b), after sub-paragraph (i)
20(but before the “or”) insert—

“(“ia) regulations under section 76A (nuclear safeguards
regulations etc),

(ib) regulations under section 112(1B) (definition of
“relevant international agreement”),”.”

6 25Omit section 93.

7 In section 102 (general duty of employers at work in relation to requirements
imposed on others)—

(a) in subsection (1), for “relevant provision” substitute “of the relevant
statutory provisions”, and

(b) 30in subsection (5), omit paragraph (b) and the “and” preceding it.

8 In section 104 (duty not to charge employees for certain things)—

(a) in subsection (1), for “relevant provision” substitute “of the relevant
statutory provisions”, and

(b) in subsection (3), omit paragraph (b) and the “and” preceding it.

9 (1) 35Section 113 (subordinate legislation) is amended as follows.

(2) In subsection (2) (regulations subject to affirmative procedure)—

(a) in paragraph (a), after “nuclear regulations” insert “, or nuclear
safeguards regulations,”;

(b) omit the “or” at the end of paragraph (a);

(c) after paragraph (a) insert—

“(aa) regulations under section 76A(5) or (8),”;”

(d) at the end of paragraph (b) insert “or

(c) 5regulations under section 112(1B),”.”

(3) In subsection (3), after “regulations”, in each place it occurs, insert “or
nuclear safeguards regulations”.

10 In section 118 (review of Part 3), in subsection (1), for “5 years” substitute “7
years”.

11 (1) 10Schedule 8 (ONR inspectors) is amended as follows.

(2) In paragraph 3 (improvement notices), in sub-paragraph (5), for paragraph
(a) (but not the “or” at the end) substitute—

“(a) any of the relevant statutory provisions other than any
provision of nuclear regulations which is identified in
15accordance with section 74(9) (provision made for nuclear
security purposes),”.”

(3) In paragraph 4 (prohibition notices), in the definition of “applicable
provision” in sub-paragraph (5), after “paragraph 3” insert “but does not
include nuclear safeguards regulations or a provision of the Nuclear
20Safeguards Act 2000”.

12 In Schedule 9 (disclosure of information), in paragraph 20, for “any of the
safeguards obligations” substitute “a relevant international agreement”.

Other amendment

13 In section 12(4) of the Nuclear Safeguards Act 2000 (power to extend to the
25Channel Islands, the Isle of Man etc), for “colony” substitute “British
overseas territory”.