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Water Bill [HL]


Water Bill [HL]
Schedule 4 — Licensing of water suppliers

    177

 

              (7)             If the Authority determines that an introduction designated under

this section as a strategic supply no longer constitutes such a supply,

it shall cancel its designation.

              (8)             If the Authority proposes to make a determination under subsection

(7) above that an introduction no longer constitutes a strategic

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supply, it shall give notice of the proposed determination to the

persons specified in paragraphs (a) to (d) of subsection (4) above.

              (9)             Subsection (5) above applies to a notice under subsection (8) above

as it applies to a notice under subsection (4) above (and subsection

(6) above applies accordingly).

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              (10)            For the purposes of this section, an introduction of water is a

strategic supply if, without that introduction being made, there is a

substantial risk that the water undertaker would be unable to

maintain supplies to its own customers as well as supplying

customers of the licensed water supplier in question with water for

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domestic purposes.

       66H Designation of collective strategic supply

              (1)             Subsection (2) below applies if at any time the Authority determines

that two or more introductions of water—

                    (a)                   which are made by a licensed water supplier; and

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                    (b)                   which a water undertaker is required to permit under section

66B or 66C above in accordance with agreements under

section 66D above,

                              constitute a collective strategic supply of water.

              (2)             The Authority shall designate the introductions as a collective

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strategic supply.

              (3)             Subsection (4) below applies if—

                    (a)                   a water undertaker requests the Authority to make a

determination that two or more introductions of water

constitute a collective strategic supply for the purposes of

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subsection (1) above, or

                    (b)                   the Authority otherwise proposes to make a determination

that two or more introductions of water constitute a collective

strategic supply for the purposes of that subsection.

              (4)             The Authority shall give notice of the request or proposed

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determination to—

                    (a)                   the Secretary of State;

                    (b)                   the Assembly;

                    (c)                   the Environment Agency;

                    (d)                   the other party or parties, or the parties, to the agreements

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under section 66D above; and

                    (e)                   such other persons (if any) as the Authority thinks it

appropriate to notify.

              (5)             Any such notice shall specify the time (not being less than twenty-

eight days from the date on which the notice was given) within

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Water Bill [HL]
Schedule 4 — Licensing of water suppliers

    178

 

which representations or objections with respect to the request or

proposed determination may be made.

              (6)             The Authority shall consider any representations or objections which

are duly made and not withdrawn.

              (7)             If the Authority determines that introductions designated under this

5

section as a collective strategic supply no longer constitute such a

supply, it shall cancel their designation.

              (8)             If the Authority proposes to make a determination under subsection

(7) above that introductions no longer constitute a collective strategic

supply, it shall give notice of the proposed determination to the

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persons specified in paragraphs (a) to (d) of subsection (4) above.

              (9)             Subsection (5) above applies to a notice under subsection (8) above

as it applies to a notice under subsection (4) above (and subsection

(6) above applies accordingly).

              (10)            For the purposes of this section, introductions of water are a

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collective strategic supply if, without those introductions being

made, there is a substantial risk that the water undertaker would be

unable to maintain supplies to its own customers as well as

supplying the customers of the licensed water supplier in question

with water for domestic purposes.

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Offences

       66I Prohibition on unauthorised use of supply system

              (1)             Subject to subsections (2) and (3) and section 66K below, no person

shall use a water undertaker’s supply system for the purpose of

supplying water to any premises of a customer.

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              (2)             Subsection (1) above shall not apply where the supply is made—

                    (a)                   by the water undertaker, or

                    (b)                   by a licensed water supplier in pursuance of its licence.

              (3)             The Secretary of State may by regulations specify further

circumstances in which subsection (1) above shall not apply.

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              (4)             A person who contravenes subsection (1) above shall be guilty of an

offence.

              (5)             Any undertaking entered into which involves a contravention of

subsection (1) above shall be unenforceable.

              (6)             A person guilty of an offence under this section shall be liable—

35

                    (a)                   on summary conviction, to a fine not exceeding the statutory

maximum, and

                    (b)                   on conviction on indictment, to a fine.

              (7)             No proceedings for an offence under this section shall be instituted

except by—

40

                    (a)                   the Secretary of State, or

                    (b)                   the Authority.

 

 

Water Bill [HL]
Schedule 4 — Licensing of water suppliers

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              (8)             The functions of—

                    (a)                   making regulations under subsection (3) above; and

                    (b)                   instituting proceedings under subsection (7)(a) above,

                              are exercisable by the Assembly (and not by the Secretary of State) in

relation to any supply system of a water undertaker whose area is

5

wholly or mainly in Wales.

              (9)             In this section and sections 66J and 66L below, references to the

supply system of a water undertaker shall be construed in

accordance with section 17B(5) above.

       66J            Prohibition on unauthorised introduction of water

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              (1)             Subject to subsections (2) and (3) and section 66K below, no person

shall introduce water into a water undertaker’s supply system (other

than the undertaker itself).

              (2)             Subsection (1) above shall not apply where the water is introduced—

                    (a)                   by a licensed water supplier in pursuance of its licence, or

15

                    (b)                   by another water undertaker under an agreement for a

supply of water in bulk.

              (3)             The Secretary of State may by regulations specify further

circumstances in which subsection (1) above shall not apply.

              (4)             A person who contravenes subsection (1) above shall be guilty of an

20

offence.

              (5)             Any undertaking entered into which involves a contravention of

subsection (1) above shall be unenforceable.

              (6)             A person guilty of an offence under this section shall be liable—

                    (a)                   on summary conviction, to a fine not exceeding £20,000, and

25

                    (b)                   on conviction on indictment, to a fine.

              (7)             For the purposes of section 210 below, the penalty on conviction on

indictment of an offence under this section shall be deemed to

include imprisonment (in addition to or instead of a fine) for a term

not exceeding two years.

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              (8)             No proceedings for an offence under this section shall be instituted

except by—

                    (a)                   the Secretary of State; or

                    (b)                   the Authority.

              (9)             The functions of—

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                    (a)                   making regulations under subsection (3) above; and

                    (b)                   instituting proceedings under subsection (8)(a) above,

                              are exercisable by the Assembly (and not by the Secretary of State) in

relation to any supply system of a water undertaker whose area is

wholly or mainly in Wales.

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       66K            Sections 66I and 66J: exemptions

              (1)             The Secretary of State may by order made by statutory instrument

grant exemption from section 66I(1) or 66J(1) above to—

 

 

Water Bill [HL]
Schedule 4 — Licensing of water suppliers

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                    (a)                   a person or persons of a class;

                    (b)                   generally or to such extent as may be specified in the order;

and

                    (c)                   unconditionally or subject to such conditions as may be so

specified.

5

              (2)             Before making an order under subsection (1) above the Secretary of

State shall give notice—

                    (a)                   stating that he proposes to make such an order and setting

out the terms of the proposed order;

                    (b)                   stating the reasons why he proposes to make the order in the

10

terms proposed; and

                    (c)                   specifying the time (not being less than twenty-eight days

from the date of publication of the notice) within which

representations or objections with respect to the proposals

may be made,

15

                              and shall consider any representations or objections which are duly

made and not withdrawn.

              (3)             The notice required by subsection (2) above shall be given—

                    (a)                   by serving a copy of it on the Authority; and

                    (b)                   by publishing it in such manner as the Secretary of State

20

considers appropriate for bringing it to the attention of those

likely to be affected by the proposed order.

              (4)             Notice of an exemption granted to a person shall be given—

                    (a)                   by serving a copy of the exemption on him; and

                    (b)                   by publishing the exemption in such manner as the Secretary

25

of State considers appropriate for bringing it to the attention

of other persons who may be affected by it.

              (5)             Notice of an exemption granted to persons of a class shall be given

by publishing the exemption in such manner as the Secretary of State

considers appropriate for bringing it to the attention of—

30

                    (a)                   persons of that class; and

                    (b)                   other persons who may be affected by it.

              (6)             An exemption may be granted—

                    (a)                   indefinitely; or

                    (b)                   for a period specified in, or determined by or under, the

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exemption.

              (7)             Conditions included in an exemption by virtue of subsection (1)(c)

above may, in particular, require any person carrying on any activity

in pursuance of the exemption—

                    (a)                   to comply with any direction given by the Secretary of State

40

or the Authority as to such matters as are specified in the

exemption or are of a description so specified;

                    (b)                   except in so far as the Secretary of State or the Authority

consents to his doing or not doing them, not to do or to do

such things as are specified in the exemption or are of a

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description so specified; and

 

 

Water Bill [HL]
Schedule 4 — Licensing of water suppliers

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                    (c)                   to refer for determination by the Secretary of State or the

Authority such questions arising under the exemption as are

specified in the exemption or are of a description so specified.

       66L            Section 66K: supplementary

              (1)             The Secretary of State may by order made by statutory instrument

5

revoke an order by which an exemption was granted to a person

under section 66K(1) above or vary an order by which more than one

exemption was so granted so as to terminate any of the exemptions—

                    (a)                   at the person’s request;

                    (b)                   in accordance with any provision of the order by which the

10

exemption was granted; or

                    (c)                   if it appears to the Secretary of State inappropriate that the

exemption should continue to have effect.

              (2)             The Secretary of State may by order made by statutory instrument

revoke an order by which an exemption was granted to persons of a

15

class under section 66K(1) above or vary an order by which more

than one exemption was so granted so as to terminate any of the

exemptions—

                    (a)                   in accordance with any provision of the order by which the

exemption was granted; or

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                    (b)                   if it appears to the Secretary of State inappropriate that the

exemption should continue to have effect.

              (3)             The Secretary of State may by direction withdraw an exemption

granted to persons of a class under section 66K(1) above from any

person of that class—

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                    (a)                   at the person’s request;

                    (b)                   in accordance with any provision of the order by which the

exemption was granted; or

                    (c)                   if it appears to the Secretary of State inappropriate that the

exemption should continue to have effect in the case of the

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person.

              (4)             Before making an order under subsection (1)(b) or (c) or (2) above or

giving a direction under subsection (3)(b) or (c) above, the Secretary

of State shall—

                    (a)                   consult the Authority; and

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                    (b)                   give notice—

                           (i)                          stating that he proposes to make such an order or give

such a direction;

                           (ii)                         stating the reasons why he proposes to make such an

order or give such a direction; and

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                           (iii)                        specifying the time (not being less than twenty-eight

days from the date of publication of the notice) within

which representations or objections with respect to

the proposals may be made,

                                          and shall consider any representations or objections which

45

are duly made and not withdrawn.

              (5)             The notice under subsection (4) above shall be given—

 

 

Water Bill [HL]
Schedule 4 — Licensing of water suppliers

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                    (a)                   where the Secretary of State is proposing to make an order

under subsection (1)(b) or (c) above, by serving a copy of it on

the person to whom the exemption was granted;

                    (b)                   where he is proposing to make an order under subsection (2)

above, by publishing it in such manner as the Secretary of

5

State considers appropriate for bringing it to the attention of

persons of the class of persons to whom the exemption was

granted; and

                    (c)                   where he is proposing to give a direction under subsection

(3)(b) or (c) above, by serving a copy of it on the person from

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whom he proposes to withdraw the exemption.

              (6)             A statutory instrument containing an order under subsection (1) or

(2) above or subsection (1) of section 66K above shall be subject to

annulment in pursuance of a resolution of either House of

Parliament.

15

              (7)             The power to—

                    (a)                   make an order under subsection (1) or (2) above or subsection

(1) of section 66K above; or

                    (b)                   give a direction under subsection (3) above,

                              is exercisable by the Assembly (and not by the Secretary of State) in

20

relation to any supply system of a water undertaker whose area is

wholly or mainly in Wales.

              (8)             Accordingly, subsections (1) to (5) above and section 66K above

apply in relation to an order made or a direction given by the

Assembly by virtue of subsection (7) above as they apply in relation

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to an order made or direction given by the Secretary of State.”

  4       (1)      The Water Services Regulation Authority (“the Authority”) may, in

accordance with this paragraph, modify the conditions of appointment of a

company appointed under Chapter 1 of Part 2 of the WIA to be a water

undertaker where it considers it necessary or expedient to do so in

30

consequence of the amendments to the WIA made by this Schedule and

Schedule 8.

          (2)      Where the Authority modifies under sub-paragraph (1) any conditions of

appointment it may make such incidental or consequential modifications as

it considers necessary or expedient of other conditions of the appointment.

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          (3)      Before making any modifications under sub-paragraph (1) or (2), the

Authority shall consult—

              (a)             the company holding the appointment; and

              (b)             such other persons (if any) as the Authority thinks it appropriate to

consult.

40

          (4)      The powers of the Authority under sub-paragraphs (1) and (2) may not be

exercised after the end of the period of two years beginning with the first day

on which all of the provisions of this Schedule and Schedule 8 are in force.

          (5)      The Secretary of State may give directions to the Authority for the purpose

of securing that conditions of appointment are modified in consequence of

45

the amendments to the WIA made by this Schedule and Schedule 8; and the

Authority shall comply with any such direction.

 

 

 
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