Energy Bill [HL]

Page 3, line 42, leave out “may” and insert “must”

Page 14, line 4, after “provision” insert “requiring or”

Page 14, line 6, at end insert—

“( ) Conditions included in a licence under section 7 or 7A of the Gas Act 1986 by virtue of the power under subsection (1) may do any of the things authorised by section 7B(5)(a)(i) or (iii) of that Act (which applies to the power of the Gas and Electricity Markets Authority with respect to licence conditions under section 7B(4)(a)).

( ) Conditions included in a licence under section 6(1)(c) or (d) of the Electricity Act 1989 by virtue of the power under subsection (1) may do any of the things authorised by section 7(3)(a) or (c) or (4) of that Act (which applies to the power of the Gas and Electricity Markets Authority with respect to licence conditions under section 7(1)(a)).”

Page 15, line 33, at end insert—

“( ) Conditions included in a licence under section 6(1)(d) of the Electricity Act 1989 by virtue of the power under subsection (1) may do any of the things authorised by section 7(4) of that Act (which applies to the power of the Gas and Electricity Markets Authority with respect to licence conditions under section 7(1)(a)).”

Page 25, line 35, after “not” insert “materially”

Page 28, line 22, after “not” insert “materially”

Page 31, line 3, after “not” insert “materially”

Page 35, line 15, after “not” insert “materially”

Page 38, line 5, after “not” insert “materially”

Page 40, line 29, after “not” insert “materially”

Insert the following new Clause—

“Smart metering strategy

(1) The Secretary of State shall, following consultation with energy consumers and other interested parties, prepare and publish a strategy to deliver the intended benefits of smart meters to consumers, including in particular low income and vulnerable consumers.

(2) It is the duty of the Secretary of State to report to Parliament on the progress of smart meter roll out every year starting from six months after the coming into force of this Part.

(3) In preparing the strategy the Secretary of State must set out how the smart meter roll out will—

(a) deliver to consumers the benefits identified in the impact assessment of July 2010;

(b) ensure adherence to an independent code of practice for installation;

(c) contribute to the carbon targets specified in the Climate Change Act 2008;

(d) contribute to the elimination of fuel poverty as specified in the Warm Homes and Energy Conservation Act 2000;

(e) improve competition in the energy retail market, including in particular in relation to prepayment customers;

(f) provide for the interoperability of smart meters;

(g) work alongside wider Government programmes such as the Green Deal and water metering roll out.

(4) The report should cover progress on the delivery of smart meters, including—

(a) the number of smart meters installed in the United Kingdom, defined as per the Ofgem definition of a completed installation;

(b) the costs and savings of the smart meter roll out;

(c) the estimated benefits to consumers and taxpayers of the smart meter roll out, with particular reference to low income and vulnerable consumers;

(d) estimated effects on the levels of fuel poverty;

(e) the estimated energy and carbon reduction from the smart meter roll out;

(f) the degree to which interoperability of smart meters has been achieved;

(g) customer satisfaction indicators, including levels of complaint;

(h) security of smart meters and smart grids in relation to privacy and commercial confidentiality.”

After section 3 of the Petroleum Act 1998 insert—

“3A Report on compensation for petroleum spills

(1) The Secretary of State must publish a report every five years about the arrangements in place in the United Kingdom for petroleum companies to compensate for any damage caused, or loss suffered, as a result of petroleum being accidentally released during the operation of licences under this Act.

(2) The report must, in particular, include—

(a) the amount of insurance coverage that industry members have agreed should be available in the circumstances outlined in subsection (1);

(b) the Secretary of State’s opinion about whether the amounts are adequate to compensate for any damage caused in the circumstances outlined in subsection (1);

(c) the factors that the Secretary of State took into account in reaching the Secretary of State’s opinion under paragraph (b); and

(d) the actions that the Secretary of State intends to take, in the event that the Secretary of State considers the amounts to be inadequate.”

Page 74, line 31, at end insert—

“(2A) In the application of section 157(2), for paragraph (b) substitute—

“(b) that the company is likely to be unable to pay its debts and that the directors of the company have consented on that basis to the making of the order; or”.”

Insert the following new Clause—

“Compensation where the Secretary of State requests termination of offshore lease or agreement to lease

(1) The Secretary of State shall make a scheme (in this section, an “early termination compensation scheme”) to have effect where—

(a) a lease granted or agreement to lease has been made by the Crown Estates for the purpose of construction and operation of a generating station powered by wind, wave or tidal energy, or of equipment for transmission of electricity at a site in United Kingdom territorial waters or the REZ;

(b) that lease or agreement to lease gives the landlord power to determine the lease or agreement where the Secretary of State so requests on the basis that the whole site, or any part of it, is required in connection with oil or gas works or rights; and

(c) the landlord proposes to determine the lease or agreement, as regards the whole site or any part of it, as a result of such a request.

(2) An early termination compensation scheme—

(a) must require the owner of, or person seeking to exploit, the oil or gas works or rights in question to pay compensation to the full extent of the loss which is likely to be incurred including the recovery of any wasted expenditure, loss of profits and any consequential loss suffered as a result of such works, by the lessee or holder of the agreement to lease as a result of the determination;

(b) may, subject to paragraph (a), make such provision as the Secretary of State considers appropriate for the computation of compensation;

(c) must make provision for the procedure applicable to the making and determination of claims, including provision for resolution of matters, in the event of disagreement, by an independent body;

(d) must provide for the Secretary of State, when satisfied that compensation as required by the scheme has been agreed or resolved, so to certify in writing; and

(e) may contain such other provision as the Secretary of State considers appropriate.

(3) The landlord must not determine the lease or agreement to lease until the Secretary of State has certified the determination in accordance with subsection (2)(d).

(4) Subsections (1), (2), (5), (6), (7)(b) and (10) of section 36 apply, with the necessary modifications, to an early termination compensation scheme.”