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Energy Bill [HL]


Energy Bill [HL]
Part 4 — Energy Regulation
Chapter 3 — Special administration regime for energy licensees

125

 

under Part I of the 1986 Act” substitute “any modifications made under Part 1

of the 1986 Act or under the Energy Act 2004”.

(11)   

In this section “gas or electricity licence” means a licence for the purposes of

section 5 of the Gas Act 1986 or section 4 of the 1989 Act (prohibition on

unlicensed activities).

5

166     

Licence conditions to secure funding of energy administration

(1)   

The modifications that may be made under section 165 include, in particular,

modifications imposing conditions requiring the holder of the licence—

(a)   

so to modify the charges imposed by him for anything done by him in

the carrying on of the licensed activities as to raise such amounts as

10

may be determined by or under the conditions; and

(b)   

to pay the amounts so raised to such persons as may be so determined

for the purpose of—

(i)   

their applying those amounts in making good any shortfall in

the property available for meeting the expenses of an energy

15

administration; or

(ii)   

enabling those persons to secure that those amounts are so

applied.

(2)   

Those modifications may include modifications imposing on the licence holder

an obligation to apply amounts paid to him in pursuance of conditions falling

20

within subsection (1)(a) or (b) in making good any such shortfall.

(3)   

For the purposes of this section—

(a)   

there is a shortfall in the property available for meeting the costs of an

energy administration if, in a case where a company is or has been

subject to an energy administration order, the property available (apart

25

from conditions falling within subsection (1) or (2)) for meeting

relevant debts is insufficient for meeting them; and

(b)   

amounts are applied in making good that shortfall if they are paid in or

towards discharging so much of a relevant debt as cannot be met out of

the property otherwise available for meeting relevant debts.

30

(4)   

In this section “relevant debt”, in relation to a case in which a company is or has

been subject to an energy administration order, means an obligation—

(a)   

to make payments in respect of the expenses or remuneration of any

person as the energy administrator of that company;

(b)   

to make a payment in discharge of a debt or liability of that company

35

arising out of a contract entered into at a time when the order was in

force by the person who at that time was the energy administrator of

that company;

(c)   

to repay the whole or a part of a grant made to that company under

section 162;

40

(d)   

to repay a loan made to the company under that section, or to pay

interest on such a loan;

(e)   

to make a payment under section 163(4); or

(f)   

to make a payment under section 164(5).

 

 

Energy Bill [HL]
Part 4 — Energy Regulation
Chapter 3 — Special administration regime for energy licensees

126

 

Supplemental provision of Chapter 3 of Part 4

167     

Modification of Chapter 3 of Part 4 under Enterprise Act 2002

(1)   

The power to modify or apply enactments conferred on the Secretary of State

by each of the sections of the Enterprise Act 2002 (c. 40) mentioned in

subsection (2) includes power to make such consequential modifications of this

5

Chapter as he considers appropriate in connection with any other provision

made under that section.

(2)   

Those sections are—

(a)   

sections 248 and 277 (amendments consequential on that Act); and

(b)   

section 254 (power to apply insolvency law to foreign companies).

10

168     

Interpretation of Chapter 3 of Part 4

(1)   

In this Chapter—

   

“the 1986 Act” means the Insolvency Act 1986 (c. 45);

   

“business”, “member”, “property” and “security” have the same meanings

as in the 1986 Act;

15

   

“company” means—

(a)   

a company formed and registered under the Companies Act

1985 (c. 6);

(b)   

an existing company; or

(c)   

an unregistered company;

20

   

“court”—

(a)   

in relation to a company other than a Northern Irish joint stock

company, means the court having jurisdiction to wind up the

company; and

(b)   

in relation to a Northern Irish joint stock company, means the

25

court that would have jurisdiction to wind it up if it were an

unregistered company within the meaning of Part 5 of the 1986

Act;

   

“energy administration order” has the meaning given by section 151(1);

   

“energy administration rules” means rules made under section 411 of the

30

1986 Act by virtue of section 156(3) of this Act;

   

“energy administrator” has the meaning given by section 151(2) and is to

be construed in accordance with subsection (2) of this section;

   

“non-GB company” means an unregistered company incorporated

outside Great Britain;

35

   

“objective of the energy administration” is to be construed in accordance

with section 152;

   

“protected energy company” has the meaning given by section 151(5);

   

“relevant licence” has the meaning given by section 151(5);

   

“unregistered company” means—

40

(a)   

an unregistered company within the meaning of Part 5 of the

1986 Act; or

(b)   

a Northern Irish joint stock company.

(2)   

In this Chapter references to the energy administrator of a company—

 

 

Energy Bill [HL]
Part 4 — Energy Regulation
Chapter 4 — Further provisions about regulation

127

 

(a)   

include references to a person appointed under paragraph 91 or 103 of

Schedule B1 to the 1986 Act, as applied by Part 1 of Schedule 20 to this

Act, to be the energy administrator of that company; and

(b)   

where two or more persons are appointed to be the energy

administrator of that company, are to be construed in accordance with

5

the provision made under section 155(5).

(3)   

References in this Chapter to a person qualified to act as an insolvency

practitioner in relation to a company are to be construed in accordance with

Part 13 of the 1986 Act (insolvency practitioners and their qualifications); but

as if references in that Part to a company included references to a Northern

10

Irish joint stock company.

(4)   

For the purposes of this Chapter an application made to the court is

outstanding if it—

(a)   

has not yet been granted or dismissed; and

(b)   

has not been withdrawn.

15

(5)   

For the purposes of subsection (4) an application is not to be taken as having

been dismissed if an appeal against the dismissal of the application, or a

subsequent appeal, is pending.

(6)   

An appeal shall be treated as pending for the purposes of subsection (5) if—

(a)   

such an appeal has been brought and has been neither determined nor

20

withdrawn;

(b)   

an application for permission to appeal has been made but has not been

determined or withdrawn; or

(c)   

no such appeal has been brought and the period for bringing an appeal

is still running.

25

(7)   

References in this Chapter to Schedule B1 to the 1986 Act, or to a provision of

that Schedule (except the references in subsection (2) of this section), are

references to that Schedule or that provision without the modifications made

by Part 1 of Schedule 20 to this Act.

(8)   

In this section—

30

“existing company” has the same meaning as in the Companies Act 1985

(c. 6) (see section 735(1) of that Act);

“Northern Irish joint stock company” means a company registered in

Northern Ireland under the Joint Stock Companies Acts (as defined in

section 735(3) of the Companies Act 1985).

35

Chapter 4

Further provisions about regulation

Appeals from GEMA decisions

169     

Appeals to the Competition Commission

(1)   

An appeal shall lie to the Competition Commission from a decision by GEMA

40

to which this section applies.

(2)   

This section applies to a decision by GEMA if—

 

 

Energy Bill [HL]
Part 4 — Energy Regulation
Chapter 4 — Further provisions about regulation

128

 

(a)   

it is a decision relating to a document by reference to which provision

is made by a condition of a gas or electricity licence;

(b)   

that document is designated for the purposes of this section by an order

made by the Secretary of State;

(c)   

the decision consists in the giving or refusal of a consent by virtue of

5

which the document has effect, or would have had effect, for the

purposes of the licence with modifications or as reissued; and

(d)   

the decision is not of a description of decisions for the time being

excluded from the right of appeal under this section by an order made

by the Secretary of State.

10

(3)   

An appeal against a decision may be brought under this section only by—

(a)   

a person whose interests are materially affected by it; or

(b)   

a body or association whose functions are or include representing

persons in respect of interests of theirs that are so affected.

(4)   

The permission of the Competition Commission is required for the bringing of

15

an appeal under this section.

(5)   

The Competition Commission may refuse permission only on one of the

following grounds—

(a)   

that the appeal is brought for reasons that are trivial or vexatious;

(b)   

that the appeal has no reasonable prospect of success.

20

(6)   

Before making an order under this section, the Secretary of State must

consult—

(a)   

GEMA; and

(b)   

such other persons as he considers appropriate.

(7)   

An order excluding decisions from the right of appeal under this section may

25

provide—

(a)   

for the exclusion to apply only in such cases as may be determined in

accordance with the order; and

(b)   

for a determination in accordance with the order to be made by such

persons, in accordance with such procedures, and by reference to such

30

matters and the opinions of such persons (including GEMA), as may be

provided for in the order.

(8)   

An order made by the Secretary of State under this section is subject to the

negative resolution procedure.

(9)   

In this section—

35

   

“consent” includes an approval or direction;

   

“gas or electricity licence” means a licence for the purposes of section 5 of

the Gas Act 1986 (c. 44) or section 4 of the 1989 Act (prohibition on

unlicensed activities).

170     

Procedure on appeals

40

(1)   

The functions of the Competition Commission with respect to appeals under

section 169 of this Act are not to be regarded as comprised in its general

functions for the purposes of Part 2 of Schedule 7 to the Competition Act 1998

(c. 41) (manner in which general functions are to be carried out).

(2)   

Instead, Schedule 22 (procedure on appeals) has effect.

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