Energy Efficiency Bill - continued        House of Commons

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Regulations.     5. - (1) The appropriate authority shall make regulations specifying requirements which must be met by the lender in relation to the preparation of an energy efficiency report.
      (2) The regulations may, in particular, require a report to include-
    (a) information as to the presence or absence in the dwelling of specified measures for improving energy efficiency, and
    (b) a statement recommending measures which could be taken for the purpose of improving energy efficiency.
      (3) Regulations under this section may make different provision for different cases and different areas.
      (4) Regulations under this section may not require an energy efficiency report to contain any information in respect of the dwelling which is not readily ascertainable on a visual inspection of so much of the exterior and interior of the dwelling as is accessible without undue difficulty to the person undertaking the inspection.
      (5) Regulations under this section may not require an energy efficiency report in respect of a flat to contain information about the common parts of the building in which the flat is situated.
      (6) Before making regulations under this section, the appropriate authority shall consult-
    (a) such mortgage lenders or persons appearing to it to represent mortgage lenders as it considers appropriate, and
    (b) such other persons as it considers appropriate.
      (7) In making regulations under this section, the appropriate authority shall have regard to the cost of preparing an energy efficiency report.
      (8) Regulations under this section shall be made by statutory instrument.
      (9) Regulations made by the Secretary of State under this section shall be subject to annulment in pursuance of a resolution of either House of Parliament.
      (10) In this section-
    "common parts", in relation to a building, includes the structure and exterior of the building and common facilities provided, whether in the building or elsewhere, for persons who include the occupiers of one or more flats in the building;
    "flat" means a dwelling which is a separate set of premises, whether or not on the same floor, divided horizontally from some other part of the building;
    "mortgage lender" means a person who, in the course of a business, lends money secured by mortgages of dwellings.
Compensation for failure to give copy of report.     6. - (1) If the borrower suffers loss by reason of the failure of the lender to comply with his duty under section 1, the borrower is entitled to compensation for that loss from the lender.
      (2) In determining for the purposes of this section whether the borrower has suffered loss as mentioned in subsection (1) and, if so, the amount of that loss, a court-
    (a) shall assume that the borrower would have taken every measure that would have been recommended in a report complying with section 5,
    (b) shall have regard to the cost that would be likely to have been incurred in taking those measures if they had been taken immediately after the grant of the mortgage,
    (c) shall determine the likely expected life of each measure and apportion that cost rateably over that life, and
    (d) shall calculate the savings that would have been made during the relevant period if the measures had been taken.
      (3) In subsection (2) "the relevant period" means the period beginning with the day on which the mortgage was granted and ending immediately before the sixth anniversary of that day or, if earlier-
    (a) in relation to any measure falling within subsection (2)(a) which has in fact been taken by the borrower, with the day on which the taking of the measure is completed,
    (b) in a case where the lender provides the borrower with, or with a copy of, an energy efficiency report complying with section 5 prepared not less than 12 months before the day on which it is provided, that day,
    (c) the day on which the borrower ceases to own any interest in the dwelling,
    (d) the death of the borrower, or
    (e) the day on which any proceedings under this section are first determined by a court or by the award of an arbitrator.
Interpretation.     7. In this Act-
    "appropriate authority" means-
      (a) in relation to England, the Secretary of State,
      (b) in relation to Wales, the National Assembly for Wales;
    "the borrower" and "the lender" shall be construed in accordance with section 1;
    "dwelling" means a building or part of a building occupied or intended to be occupied as a separate dwelling, together with any yard, garden, outhouses or appurtenances belonging to it or usually enjoyed with it, but does not include a mobile home;
    "energy efficiency report" shall be construed in accordance with section 1;
    "mobile home" means a caravan within the meaning of Part I of the Caravan Sites and Control of Development Act 1960 (disregarding the amendment made by section 13(2) of the Caravan Sites Act 1968);
    "mortgage" means any mortgage or other charge on property for securing money or money's worth which is made by deed.
Short title, commencement and extent.     8. - (1) This Act may be cited as the Energy Efficiency Act 2000.
      (2) Section 5 and this section shall come into force on the day on which this Act is passed.
      (3) The remaining provisions of this Act shall come into force on such day or days as the appropriate authority may by order made by statutory instrument appoint; and different days may be appointed for different purposes or different areas.
      (4) The power to make an order under subsection (3) includes power to make such transitional provisions and savings as the appropriate authority considers appropriate.
      (5) This Act extends to England and Wales only.
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