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Energy Bill [HL]


Energy Bill [HL]
Part 3 — Energy Regulation
Chapter 2 — Interconnectors for electricity and gas

106

 

require for the purposes of or in connection with the carrying-out of any of his

functions under this Chapter.

(4)   

Section 105(1) of the Utilities Act 2000 (c. 27) (general restrictions on disclosure

of information) does not apply to a disclosure made in pursuance of this

section.

5

134     

Property arrangements schemes

Schedule 18 (which makes provision about property arrangements schemes)

has effect.

135     

Interpretation of Chapter 1 of Part 3

In this Chapter—

10

“transmission licence” means a licence under section 6(1)(b) of the 1989

Act;

and references to the new trading and transmission arrangements are to be

construed in accordance with section 126.

136     

Amendments consequential on Chapter 1 of Part 3

15

(1)   

Schedule 19 (which makes amendments consequential on the provisions of this

Chapter) has effect.

(2)   

Where the effect of—

(a)   

a modification under section 127, or

(b)   

a scheme under Schedule 17,

20

   

is to reduce in any respect the area in which the holder of a transmission licence

may carry on activities, Schedule 4 to the 1989 Act shall have effect in relation

to him as if any reference to the activities which he is authorised by his licence

to carry on included a reference to the activities which he was previously so

authorised to carry on.

25

137     

Transition

The Secretary of State may by order make in connection with the coming into

force of any provision of this Chapter such transitional provision or saving as

he considers necessary or expedient.

Chapter 2

30

Interconnectors for electricity and gas

Electricity interconnectors

138     

Operators of electricity interconnectors to be licensed

(1)   

The 1989 Act is amended as follows.

(2)   

In subsection (1) of section 4 (licensable activities), at the end of paragraph (c)

35

insert “or

(d)   

participates in the operation of an electricity interconnector,”.

 

 

Energy Bill [HL]
Part 3 — Energy Regulation
Chapter 2 — Interconnectors for electricity and gas

107

 

(3)   

Before subsection (4) of that section insert—

“(3C)   

A reference in this Part to participating in the operation of an electricity

interconnector is a reference to—

(a)   

co-ordinating and directing the flow of electricity into or

through an electricity interconnector; or

5

(b)   

making such an interconnector available for use for the

conveyance of electricity;

   

and a person is not to be regarded as participating in the transmission

of electricity by reason only of activities constituting participation in

the operation of an electricity interconnector.

10

(3D)   

For the purposes of subsection (3C)(b), a person shall not be regarded

as making something available just because he consents to its being

made available by another.

(3E)   

In this Part ‘electricity interconnector’ means so much of an electric line

or other electrical plant as—

15

(a)   

is situated at a place within the jurisdiction of Great Britain; and

(b)   

subsists wholly or primarily for the purposes of the conveyance

of electricity (whether in both directions or in only one) between

Great Britain and a place within the jurisdiction of another

country or territory.

20

(3F)   

For the purposes of this section—

(a)   

a place is within the jurisdiction of Great Britain if it is in Great

Britain, in the territorial sea adjacent to Great Britain or in an

area designated under section 1(7) of the Continental Shelf Act

1964; and

25

(b)   

a place is within the jurisdiction of another country or territory

if it is in that country or territory or in waters in relation to

which authorities of that country or territory exercise

jurisdiction.”

(4)   

In section 5(1) (power of the Secretary of State to grant exemptions from

30

licensing), for “or (c)” substitute “, (c) or (d)”.

(5)   

In section 6 (power to grant licences), after subsection (1)(d) insert “or

(e)   

a licence authorising a person to participate in the operation of

an electricity interconnector (‘an interconnector licence’).”

(6)   

After subsection (2) of that section insert—

35

“(2A)   

The same person may not be the holder of an interconnector licence and

the holder of a licence falling within any of paragraphs (a) to (d) of

subsection (1).”

(7)   

Before subsection (7) of that section insert—

“(6C)   

An interconnector licence authorising participation in the operation of

40

an electricity interconnector—

(a)   

must specify the interconnector or interconnectors in relation to

which participation is authorised; and

(b)   

may limit the forms of participation in the operation of an

interconnector which are authorised by the licence.”

45

 

 

Energy Bill [HL]
Part 3 — Energy Regulation
Chapter 2 — Interconnectors for electricity and gas

108

 

139     

Standard conditions for electricity interconnectors

(1)   

The Secretary of State must, before the commencement of subsection (6),

determine standard conditions for electricity interconnector licences.

(2)   

Those standard conditions may contain provision—

(a)   

for a standard condition included in an electricity interconnector

5

licence not to have effect until brought into operation in such manner,

and in such circumstances, as may be specified in or determined under

the standard conditions;

(b)   

for the effect of a standard condition included in such a licence to be

suspended in such manner, and in such circumstances, as may be so

10

specified or determined; or

(c)   

for a standard condition included in such a licence the effect of which

is for the time being suspended to be brought back into operation in

such manner, and in such circumstances, as may be so specified or

determined.

15

(3)   

The Secretary of State must publish the standard conditions determined by

him under this section.

(4)   

The publication must be in such manner as the Secretary of State considers

appropriate.

(5)   

The standard conditions determined by the Secretary of State have effect

20

subject to any modifications made under Part 1 of the 1989 Act or under this

Act.

(6)   

Before subsection (2) of section 8A of the 1989 Act (standard conditions)

insert—

“(1B)   

Subject to subsection (2), each condition which by virtue of section 139

25

of the Energy Act 2004 is a standard condition for the purposes of

interconnector licences shall be incorporated, by reference, in each

interconnector licence granted on or after the commencement of

subsection (6) of that section.”

(7)   

In this section “electricity interconnector licence” means an interconnector

30

licence under section 6(1)(e) of the 1989 Act.

140     

Consequential amendments of the 1989 Act

(1)   

The 1989 Act is amended as follows.

(2)   

In section 3A(5)(a) (duty as to carrying out of functions), after “electricity”,

where first occurring, insert “or to participate in the operation of electricity

35

interconnectors”.

(3)   

In section 29 (regulations)—

(a)   

in subsection (1)(b), after “electricity”, where first occurring, insert

“from the use of electricity interconnectors,”;

(b)   

in subsection (2)(b), after “electricity” insert “or in the use of electricity

40

interconnectors”;

(c)   

in subsection (2)(c), after “electricity” insert “or to participate in the

operation of an electricity interconnector”.

 

 

Energy Bill [HL]
Part 3 — Energy Regulation
Chapter 2 — Interconnectors for electricity and gas

109

 

(4)   

In section 30(2)(a) (duty of inspector to inspect apparatus belonging to licence

holders), after “electricity” insert “or to participate in the operation of

electricity interconnectors”.

(5)   

In section 43 (concurrent functions of GEMA and the OFT under the Enterprise

Act 2002), in each of subsections (2A) and (3), after “electricity” insert “or the

5

use of electricity interconnectors”.

(6)   

In section 58(2) (information protected by directions), after “electricity” insert

“or to participate in the operation of electricity interconnectors”.

(7)   

In section 64(1) (interpretation), after the definitions of “electricity distributor”

and “electricity supplier” insert—

10

   

“‘electricity interconnector’ has the meaning given by section

4(3E);”.

(8)   

In section 98(1) (statistical information)—

(a)   

after “electricity”, where first occurring, insert “or the use of electricity

interconnectors”; and

15

(b)   

at the end insert “or to participate in the operation of electricity

interconnectors”.

141     

Grant of electricity interconnector licences to existing operators

(1)   

This section applies where a person is participating in the operation of an

electricity interconnector at the time when the power of GEMA to grant

20

electricity interconnector licences comes into force.

(2)   

The Secretary of State shall have power to grant such a licence to that person

under section 6 of the 1989 Act.

(3)   

Sections 6A(5), 7 and 8A of the 1989 Act (notice of licence and licence

conditions) shall have effect in relation to the grant of licences by the Secretary

25

of State by virtue of this section as if—

(a)   

references in those sections to GEMA included references to the

Secretary of State; and

(b)   

in section 8A, the words “the Secretary of State and” in subsection (4)(b)

and subsection (5) were omitted.

30

(4)   

Before granting a licence to a person by virtue of this section, the Secretary of

State must consult—

(a)   

that person;

(b)   

GEMA; and

(c)   

such other persons as the Secretary of State considers appropriate.

35

(5)   

Subsection (4) may be satisfied by consultation that took place wholly or partly

before the commencement of this section.

(6)   

In this section—

   

“electricity interconnector licence” means an interconnector licence under

section 6(1)(e) of the 1989 Act; and

40

   

“participating in the operation of an electricity interconnector” has the

same meaning as in Part 1 of the 1989 Act.

 

 

 
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