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Energy Bill [HL]


Energy Bill [HL]
Part 2 — The Civil Nuclear Industry
Chapter 1 — Nuclear decommissioning

32

 

(4)   

A statement prepared under this section must be sent to the Comptroller and

Auditor General before the 30th September in the financial year in which it is

prepared.

(5)   

The Comptroller and Auditor General must, before 31st December in the

financial year in which he receives a statement under this section—

5

(a)   

examine and report on it; and

(b)   

lay copies of it, and of his report on it, before Parliament.

(6)   

In this section “relevant financial year” means a financial year in the course of

which the Secretary of State has made or revised a determination for the

purposes of section 34(4)(c).

10

Supplementary provisions of Chapter 1 of Part 2

36      

Validity of transactions

(1)   

A person who enters into a transaction with the NDA is not required to see or

to enquire whether the transaction constitutes or involves—

(a)   

conduct by the NDA which is for the purposes of, or conducive or

15

incidental to, the carrying out of its functions;

(b)   

a contravention of section 10(6) or 12; or

(c)   

a contravention of a direction given by the Secretary of State.

(2)   

A transaction entered into by the NDA is not invalidated because the

transaction constitutes or involves—

20

(a)   

conduct by the NDA which is neither for the purposes of, nor

conducive or incidental to, the carrying out of its functions;

(b)   

a contravention of section 10(6) or 12; or

(c)   

a contravention of a direction given by the Secretary of State.

37      

Amendment of Schedule 12 to the 1989 Act

25

(1)   

In sub-paragraph (1) of paragraph 1 of Schedule 12 to the 1989 Act (financial

assistance by the Secretary of State in respect of nuclear liabilities), for

paragraph (c) and the word “or” immediately preceding it substitute—

“(ba)   

the cleaning-up of a principal nuclear site; or

(c)   

the decommissioning of a nuclear installation.”

30

(2)   

After sub-paragraph (4) of paragraph 1 of that Schedule insert—

     “(5)  

In this paragraph ‘cleaning-up’, ‘decommissioning’, ‘nuclear

installation’ and ‘principal nuclear site’ have the same meanings as

in Chapter 1 of Part 2 of the Energy Act 2004.”

(3)   

After paragraph 3 of that Schedule insert—

35

“3A        

The Secretary of State shall not—

(a)   

make any grant or loan under this Schedule for the purpose

of meeting any expenditure, or

(b)   

give any guarantee in respect of borrowing undertaken for

the purpose of meeting any expenditure,

40

           

if the expenditure is expenditure on anything for which the Nuclear

Decommissioning Authority has a financial responsibility under

section 24 of the Energy Act 2004.”

 

 

Energy Bill [HL]
Part 2 — The Civil Nuclear Industry
Chapter 1 — Nuclear decommissioning

33

 

38      

Power to modify Chapter 1 of Part 2

(1)   

The Secretary of State may by order modify the following provisions of this

Chapter—

(a)   

section 5 and Schedule 1;

(b)   

sections 14 and 15 and Schedule 2; and

5

(c)   

section 16 and Schedule 3.

(2)   

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

the Scottish Ministers.

(3)   

The consent of the Scottish Ministers is required for the making of an order

under this section that modifies any of those Ministers’ functions under this

10

Chapter.

(4)   

The power to make an order containing provision authorised by this section is

subject to the affirmative resolution procedure.

39      

Meaning of “nuclear site” etc. and “person with control”

(1)   

In this Chapter “nuclear site” means a principal nuclear site or a contaminated

15

site.

(2)   

In this Chapter—

   

“contaminated site” means the whole or a part of a site which is not a

principal nuclear site but—

(a)   

has been and remains contaminated (whether radioactively or

20

chemically) as a result of nuclear activities; or

(b)   

is the location of hazardous material;

   

“principal nuclear site” means the whole or a part of a site of any of the

following descriptions—

(a)   

a site in respect of which a nuclear site licence is or is required

25

to be in force;

(b)   

a site in respect of which such a licence would be required to be

in force if the licensing requirements of the 1965 Act applied to

the Crown;

(c)   

a site not falling within paragraph (a) or (b) in or on which there

30

is an NDA facility;

(d)   

a site on which there is an installation used for practical research

into the production of energy by the fusion of atomic nuclei;

(e)   

a site which has been a site falling within paragraphs (a) to (d)

but which, without being such a site, remains contaminated

35

(whether radioactively or chemically) as a result of nuclear

activities carried on while it was such a site or before it became

one.

(3)   

References in this Chapter to the person with control of an installation, site or

facility are references—

40

(a)   

in the case of—

(i)   

a site in relation to which a nuclear site licence is held by a

person whose period of responsibility (within the meaning of

the 1965 Act) is still current, or

(ii)   

a nuclear installation in or on such a site,

45

   

to that person;

 

 

Energy Bill [HL]
Part 2 — The Civil Nuclear Industry
Chapter 1 — Nuclear decommissioning

34

 

(b)   

in the case of an installation or site which—

(i)   

is an installation in or on a site occupied by or on behalf of the

Crown or is itself such a site, and

(ii)   

is an installation or site in the case of which there is a person

appointed by an order made by the Secretary of State to be the

5

person with control,

   

to that person;

(c)   

in the case of a facility which—

(i)   

is not an installation to which paragraph (a) or (b) applies; but

(ii)   

is operated on a single site to which one of those paragraphs

10

does apply,

   

to the person with control of the site;

(d)   

in the case of an installation or facility which—

(i)   

is not an installation or facility to which paragraph (a), (b) or (c)

applies; but

15

(ii)   

is operated on a single site by a person who (without being the

owner of the site) is in occupation of it,

   

to the occupier of the site;

(e)   

in the case of a facility which is operated otherwise than on a single site,

to the operator of the facility;

20

(f)   

in the case of anything in or under the territorial sea adjacent to the

United Kingdom, to the Secretary of State;

(g)   

in the case of a site to which none of the preceding paragraphs applies,

to the owner of the site;

(h)   

in the case of an installation or facility to which none of those

25

paragraphs applies, to the occupier of the site where the installation or

facility is located.

(4)   

An order for the purposes of subsection (3)(b) is subject to the negative

resolution procedure.

(5)   

For the purposes of this section something is contaminated as a result of

30

nuclear activities if the contamination (whenever occurring), or any of it, is the

direct or indirect result of one or more of the following—

(a)   

activities carried on in or on an installation, site or facility which was at

the time, or subsequently became, a nuclear installation, a principal

nuclear site or an NDA facility;

35

(b)   

the storage or disposal of any matter or substance in or on an

installation, site or facility which was at the time, or subsequently

became, a nuclear installation, a principal nuclear site or an NDA

facility;

(c)   

an incident occurring in or on an installation, site or facility which was

40

at the time, or subsequently became, a nuclear installation, a principal

nuclear site or an NDA facility;

(d)   

the discharge of anything from an installation, site or facility which was

at the time, or subsequently became, a nuclear installation, a principal

nuclear site or an NDA facility;

45

(e)   

the transportation of hazardous material to or from a principal nuclear

site or an installation or facility in or on such a site;

(f)   

an incident affecting hazardous material being transported to or from a

principal nuclear site or an installation or facility in or on such a site.

 

 

Energy Bill [HL]
Part 2 — The Civil Nuclear Industry
Chapter 1 — Nuclear decommissioning

35

 

40      

General interpretation of Chapter 1 of Part 2

(1)   

In this Chapter—

   

“apparatus” includes machinery, equipment, appliances, tanks,

containers, pipes and conduits;

   

“cleaning-up” and “decommissioning”, in relation to a site or installation,

5

includes—

(a)   

the treatment, storage, transportation and disposal of

hazardous material and of other matter and substances that

need to be dealt with or removed in or towards making the site

or installation suitable to be used for other purposes; and

10

(b)   

the construction of buildings and other structures to be used in

connection with the cleaning-up or decommissioning of the site

or installation;

   

“contaminated site” has the meaning given by section 39(2);

   

“control”, in relation to an installation, site or facility, is to be construed in

15

accordance with section 39(3);

   

“Crown appointee”, in relation to an installation, site or facility, means—

(a)   

a Minister of the Crown; or

(b)   

a person for the time being holding an appointment under

section 39(3)(b) as the person with control of it;

20

   

“designated”, in relation to an installation, site or facility, is to be

construed in accordance with subsection (2);

   

“facility” includes a business or other undertaking and installations,

vehicles or other property comprised in or used for the purposes of a

business or other undertaking;

25

   

“hazardous material” means—

(a)   

nuclear matter;

(b)   

radioactive waste; and

(c)   

any other article or substance that has been and remains

contaminated (whether radioactively or chemically) as a result

30

(within the meaning of section 39) of nuclear activities;

   

“installation” includes buildings, structures and apparatus (whether or

not fixed to land);

   

“NDA facility” means a facility which—

(a)   

is being or has been used for or in connection with the storage,

35

disposal or treatment of hazardous material; and

(b)   

is a facility for the operation of which the NDA has or has had a

responsibility;

   

“nuclear installation” means—

(a)   

an installation which is situated in or on a principal nuclear site

40

but is not comprised in an NDA facility;

(b)   

pipes, conduits and other apparatus which are not situated in or

on a principal nuclear site but are connected to an installation

falling within paragraph (a);

   

“nuclear security” has the meaning given by section 12(6);

45

   

“nuclear site” has the meaning given by section 39(1);

   

“principal nuclear site” has the meaning given by section 39(2);

   

“publicly owned”, in relation to a company, is to be construed in

accordance with subsection (3);

   

“site” includes—

50

 

 

Energy Bill [HL]
Part 2 — The Civil Nuclear Industry
Chapter 1 — Nuclear decommissioning

36

 

(a)   

land within the United Kingdom;

(b)   

an area of territorial waters adjacent to the United Kingdom;

(c)   

the seabed and subsoil in any such area;

   

“treat”, in relation to any matter or substance, includes processing and

reprocessing (including any use as a material in a process for the

5

manufacture of nuclear fuel), and cognate expressions are to be

construed accordingly;

   

“vehicle” includes vessel;

   

“voting rights” is to be construed in accordance with subsection (5).

(2)   

An installation, site or facility is designated for the purposes of this Chapter

10

if—

(a)   

it is designated by a direction under section 6; or

(b)   

the NDA otherwise has responsibilities in relation to it by virtue of such

a direction.

(3)   

For the purposes of this Chapter a body corporate is a publicly owned

15

company if it is a company limited by shares and that company is one in

which—

(a)   

a person specified in subsection (4) holds all the shares; or

(b)   

two or more persons so specified, taken together, hold all the shares.

(4)   

The persons mentioned in subsection (3) are—

20

(a)   

the Treasury;

(b)   

a Minister of the Crown;

(c)   

the NDA;

(d)   

the UKAEA;

(e)   

a publicly owned company; or

25

(f)   

a nominee of a person falling within paragraphs (a) to (e).

(5)   

Section 736A of the Companies Act 1985 (c. 6) (meaning of “voting rights” etc.)

applies for construing references in this Chapter to holding voting rights in a

company as it applies for construing section 736(1)(a) of that Act.

(6)   

Sections 20 to 23 bind the Crown.

30

(7)   

In this section—

   

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

   

“nuclear matter” means material which—

(a)   

is nuclear matter within the meaning of the 1965 Act; or

(b)   

would be such matter if it did not fall within an exception

35

prescribed by regulations under that Act;

   

“radioactive waste” has the same meaning as in the 1993 Act.

 

 

Energy Bill [HL]
Part 2 — The Civil Nuclear Industry
Chapter 2 — Transfers relating to nuclear undertakings

37

 

Chapter 2

Transfers relating to nuclear undertakings

Transfer by scheme of property etc.

41      

Nuclear transfer schemes

(1)   

The Secretary of State may make a scheme providing for one or more transfers

5

authorised by this Chapter (a “nuclear transfer scheme”).

(2)   

Nothing in this Chapter authorises the transfer in accordance with a nuclear

transfer scheme of a nuclear site licence.

(3)   

Before making—

(a)   

a nuclear transfer scheme which transfers property, rights or liabilities

10

to or from the NDA or a subsidiary of the NDA, or

(b)   

a nuclear transfer scheme not falling within paragraph (a) which he is

proposing to make for purposes connected with the carrying out of the

NDA’s functions,

   

the Secretary of State must consult the NDA.

15

(4)   

Before making a nuclear transfer scheme which transfers property, rights or

liabilities to any person—

(a)   

from BNFL, or

(b)   

from a wholly-owned subsidiary of BNFL,

   

the Secretary of State must consult BNFL.

20

(5)   

Before making a nuclear transfer scheme that transfers property, rights or

liabilities to any person—

(a)   

from the UKAEA, or

(b)   

from a wholly-owned subsidiary of the UKAEA,

   

the Secretary of State must consult the UKAEA.

25

(6)   

The consent of the Treasury is required for the making of a nuclear transfer

scheme.

(7)   

A nuclear transfer scheme shall come into force at such time as the Secretary of

State may appoint, whether in the scheme or subsequently.

(8)   

Schedule 5 (which makes further provision about nuclear transfer schemes)

30

has effect.

42      

Transfers of publicly owned assets

(1)   

A nuclear transfer scheme may provide for a transfer to—

(a)   

a publicly owned company,

(b)   

the NDA, or

35

(c)   

a consenting person,

   

of property, rights and liabilities falling within subsection (2) that are set out in

the scheme.

(2)   

The property, rights and liabilities that may be transferred are—

(a)   

securities of BNFL;

40

 

 

Energy Bill [HL]
Part 2 — The Civil Nuclear Industry
Chapter 2 — Transfers relating to nuclear undertakings

38

 

(b)   

securities of a company falling within subsection (3);

(c)   

property, rights and liabilities of BNFL or the UKAEA;

(d)   

property, rights and liabilities of a company falling within subsection

(3);

(e)   

property, rights and liabilities of a wholly-owned subsidiary of BNFL,

5

of the UKAEA or of a company falling within that subsection.

(3)   

A company falls within this subsection if—

(a)   

it is a nuclear company that is publicly owned; or

(b)   

it is a company designated for the purposes of this section by an order

made by the Secretary of State.

10

(4)   

The Secretary of State may designate a company for the purposes of this section

only if it is a publicly owned company to which—

(a)   

securities of BNFL,

(b)   

property, rights or liabilities of BNFL, or

(c)   

property, rights or liabilities of a wholly-owned subsidiary of BNFL,

15

   

were transferred (whether in accordance with a nuclear transfer scheme or

otherwise) at a time when both the company and BNFL were publicly owned.

(5)   

The Secretary of State must lay a copy of every order under subsection (3)

before Parliament.

(6)   

Nothing in this section authorises—

20

(a)   

a transfer of securities of BNFL, or

(b)   

a transfer of property, rights or liabilities of BNFL or of a wholly-owned

subsidiary of BNFL,

   

at a time when BNFL is no longer publicly owned.

(7)   

Nothing in this section authorises—

25

(a)   

a transfer of securities of a company designated for the purposes of this

section, or

(b)   

a transfer of property, rights or liabilities of such a company or of a

wholly-owned subsidiary of such a company,

   

at a time when the company is no longer publicly owned.

30

(8)   

Schedule 6 (which makes provision about the structure etc. of publicly owned

companies to which transfers are made that are authorised by this section) has

effect.

(9)   

For the purposes of this section a person is a consenting person, in relation to

a nuclear transfer scheme, if he has consented to the provisions of the scheme

35

so far as they relate to him.

43      

Transfers with the consent of the transferor

(1)   

A nuclear transfer scheme may provide for a transfer to—

(a)   

a publicly owned company, or

(b)   

the NDA,

40

   

of property, rights and liabilities falling within subsection (3) that are set out in

the scheme.

(2)   

But property, rights and liabilities may be transferred by virtue of this section

only if the person who is entitled or subject to them has consented to their

transfer in accordance with a nuclear transfer scheme.

45

 

 

 
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