Energy Bill [HL]

House of Commons

Session 2003 - 04
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Other Bills before Parliament

Energy Bill [HL]

Energy Bill [HL]
Part 1 — The Civil Nuclear Industry
Chapter 5 — Miscellaneous provisions relating to nuclear industry
61

77
Regulation of equipment, software and information
(1)
Section 77 of the Anti-terrorism, Crime and Security Act 2001 (c. 24) (regulation
of security of civil nuclear industry) is amended as follows.
(2)
In subsection (1) (matters about which security regulations may be made), after
paragraph (c) insert—
5
“(ca)
equipment or software in the United Kingdom which—
(i)
is capable of being used in, or in connection with, the
enrichment of uranium; and
(ii)
is in the possession or control of a person involved in
uranium enrichment activities;”.
10
(3)
For paragraph (d) of that subsection substitute—
“(d)
sensitive nuclear information which is in the possession or
control in the United Kingdom of—
(i)
a person who is involved in activities on or in relation to
a nuclear site or nuclear premises or who is proposing or
15
likely to become so involved;
(ii)
a person involved in uranium enrichment activities; or
(iii)
a person who is storing, transporting or transmitting the
information for or on behalf of a person falling within
sub-paragraph (i) or (ii);”.
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(4)
After subsection (6) insert—
“(6A)
References in this section to a person involved in uranium enrichment
activities are references to a person who is or is proposing to become
involved in any of the following activities (whether in the United
Kingdom or elsewhere)—
25
(a)
the enrichment of uranium;
(b)
activities carried on with a view to, or in connection with, the
enrichment of uranium;
(c)
the production, storage, transport or transmission of equipment
or software for or on behalf of persons involved in uranium
30
enrichment activities; or
(d)
activities that make it reasonable to assume that he will become
involved in something mentioned in paragraphs (a) to (c).”
(5)
In subsection (7) (interpretation of section)—
(a)
after “this section—” insert—
35

“‘enrichment of uranium’ means a treatment of uranium
that increases the proportion of isotope 235 contained in
the uranium;

‘equipment’ includes equipment that has not been
assembled and its components;”
40
(b)
in paragraph (a) of the definition of “sensitive nuclear information”, for
the words from “any treatment” to “contained in the” substitute “the
enrichment of”.

Energy Bill [HL]
Part 1 — The Civil Nuclear Industry
Chapter 5 — Miscellaneous provisions relating to nuclear industry
62

78
Application of the 1965 Act to Northern Ireland
(1)
Sections 3(1A) and (6A), 4(3A) and 5(1A) of the 1965 Act (which require certain
consultations in relation to nuclear site licences) shall extend to Northern
Ireland.
(2)
Section 27 of that Act (application of that Act to Northern Ireland) is amended
5
as follows.
(3)
For subsection (1) substitute—
“(1)
In the application of this Act to Northern Ireland—
(a)
a reference to the Minister shall be construed as a reference to
the Secretary of State;
10
(b)
sections 3(1A) and (6A), 4(3A) and 5(1A) shall have effect as if—
(i)
for ‘appropriate Agency’, wherever occurring, there
were substituted ‘Department of the Environment in
Northern Ireland’;
(ii)
for ‘Great Britain’, wherever occurring, there were
15
substituted ‘Northern Ireland’;
(iii)
for ‘Health and Safety Executive’, wherever occurring,
there were substituted ‘Minister’;
(c)
section 3(3) shall have effect as if for paragraphs (b) and (c) there
were substituted—
20
‘(ca)
the Fisheries Conservancy Board for Northern Ireland;
and’.”
(4)
Subsections (2) and (3) shall cease to have effect.
(5)
In subsection (5), for paragraphs (a) to (c) substitute—
“(a)
by the Minister; or
25
(b)
by or with the consent of the Director of Public Prosecutions for
Northern Ireland.”
(6)
Subsection (6) shall cease to have effect.
79
Expenditure on nuclear related matters
(1)
There may be paid, out of money provided by Parliament, any expenditure
30
incurred by the Secretary of State, with the consent of the Treasury, under or
as a result of—
(a)
any option under which he or his nominee may acquire an undertaking
or property from a British Energy company; or
(b)
any agreement entered into for the purpose of giving effect to the
35
provisions of such an option, or of continuing or modifying their effect.
(2)
In this section “British Energy company” has the same meaning as in section 1
of the Electricity (Miscellaneous Provisions) Act 2003 (c. 9).
80
Additional functions of UKAEA
(1)
The functions of the UKAEA shall include—
40
(a)
power to carry on such activities as they consider appropriate in
connection with anything that the NDA has a responsibility for
securing under this Part;

Energy Bill [HL]
Part 2 — Sustainability and Renewable Energy Sources
Chapter 1 — Sustainable energy
63

(b)
power to enter into such arrangements with the NDA or any other
person as they consider appropriate for that purpose; and
(c)
power for that purpose to develop and commercially to exploit an
expertise in relation to things in which the NDA requires an expertise
for the purpose of carrying out its functions.
5
(2)
In the case of responsibilities of the NDA in relation to an installation, site or
facility it is immaterial for the purposes of subsection (1) that the UKAEA is
not, for the purposes of Chapter 1 of this Part, the person with control of it.
(3)
The functions of the UKAEA shall also include —
(a)
power to manage and commercially to exploit any land or other
10
property of theirs that is no longer required by them for or in
connection with the carrying out of their other functions; and
(b)
power to carry on a business of providing services for the
administration of—
(i)
nuclear pension schemes; and
15
(ii)
such public service pension schemes as may be approved by the
Secretary of State for the purposes of this subsection.
(4)
The UKAEA has power, for the purpose of carrying out its functions (whether
conferred by this section or otherwise) to do all such things as appear to them
to be likely to facilitate the exercise or performance of their powers and duties,
20
or to be incidental to doing so.
(5)
The ways in which the UKAEA may carry out those functions include (by
virtue of subsection (4)) carrying them out through subsidiaries and carrying
them out in association with, or through arrangements with, other persons.
(6)
Subsection (5) of section 7 (things in which the NDA requires an expertise) has
25
effect for the purposes of this section as it has effect for the purposes of
subsection (4) of that section.
(7)
In this section—

“nuclear pension scheme” means a scheme that is a nuclear pension
scheme for the purposes of Schedule 8; and
30

“public service pension scheme” means a public service pension scheme
within the meaning of the Pension Schemes Act 1993 (c. 48) (see section
1) or the Pension Schemes (Northern Ireland) Act 1993 (c. 49) (see
section 1).
Part 2
35
Sustainability and Renewable Energy Sources
Chapter 1
Sustainable energy
81
Principal objective to promote renewable energy
(1)
The 1989 Act shall be amended as follows.
40
(2)
In section 3A (the principal objective and general duties of the Secretary of

Energy Bill [HL]
Part 2 — Sustainability and Renewable Energy Sources
Chapter 1 — Sustainable energy
64

State and the Authority), for subsections (1) and (2) substitute—
“(1)
The principal objective of the Secretary of State and the Gas and
Electricity Markets Authority (in this Act referred to as ‘the Authority’)
in carrying out their respective functions under this Part is the
promotion of renewable energy, having due regard to—
5
(a)
the duties set out in subsection (2); and
(b)
the achievement of sustainable development.
(2)
The duties set out in this subsection are—
(a)
to protect the interests of consumers in relation to electricity
conveyed by distribution systems, wherever appropriate by
10
promoting effective competition between persons engaged in,
or in commercial activities connected with, the generation,
transmission, distribution or supply of electricity or the
provision or use of electricity interconnectors; and
(b)
to carry out their respective functions under this Part in the
15
manner which he or it considers is best calculated to further the
principal objective and the duty set out in paragraph (a), having
regard to—
(i)
the need to secure that all reasonable demands for
electricity are met; and
20
(ii)
the need to secure that licence holders are able to finance
the activities which are the subject of obligations
imposed by or under this Part, the Utilities Act 2000 or
Part 2 or 3 of the Energy Act 2004.”
82
Reports under section 1 of Sustainable Energy Act 2003
25
(1)
Section 1 of the Sustainable Energy Act 2003 (c. 30) (annual reports on progress
towards sustainable energy aims) is amended as follows.
(2)
After subsection (1) insert—
“(1A)
The report must include, in particular, all such information as the
Secretary of State considers appropriate about—
30
(a)
things done during the reporting period for the purposes of the
development of any of the energy sources or technologies
mentioned in subsection (1B);
(b)
things done during that period for the purpose of ensuring the
maintenance of the scientific and engineering expertise
35
available in the United Kingdom that is necessary for the
development of potential energy sources (including sources of
nuclear energy); and
(c)
things done during that period for the purpose of achieving the
energy efficiency aims designated under sections 2 and 3.
40
(1B)
The energy sources and technologies referred to in subsection (1A)(a)
are—
(a)
clean coal technology;
(b)
coal mine methane;
(c)
biomass;
45
(d)
biofuels;
(e)
fuel cells;

Energy Bill [HL]
Part 2 — Sustainability and Renewable Energy Sources
Chapter 2 — Offshore production of energy
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(f)
photovoltaics;
(g)
wave and tidal generation;
(h)
hydrogeneration;
(i)
microgeneration;
(j)
geothermal sources; and
5
(k)
other sources of energy, and technologies for the production of
energy, the use of which would, in the opinion of the Secretary
of State, cut the United Kingdom’s carbon emissions.
(1C)
The references in subsection (1A) to things done during the reporting
period include references to proposals of the Secretary of State
10
published during that period.”
(3)
In subsection (2) for “subsection (1)” substitute “subsections (1) to (1C)”.
Chapter 2
Offshore production of energy
Renewable Energy Zones
15
83
Exploitation of areas outside the territorial sea for energy production
(1)
The rights to which this section applies shall have effect as rights belonging to
Her Majesty by virtue of this section.
(2)
This section applies to the rights under Part V of the Convention that are
exercisable by the United Kingdom in areas outside the territorial sea—
20
(a)
with respect to the exploitation of those areas for the production of
energy from water or winds;
(b)
with respect to the exploration of such areas in that connection; or
(c)
for other purposes connected with such exploitation.
(3)
The other purposes so connected include, in particular, the transmission,
25
distribution and supply of electricity generated in the course of such
exploitation.
(4)
Her Majesty may by Order in Council designate an area as an area within
which the rights to which this section applies are exercisable (a “Renewable
Energy Zone”).
30
(5)
The Secretary of State may by order designate the whole or a part of a
Renewable Energy Zone as an area in relation to which the Scottish Ministers
are to have functions.
(6)
Orders in Council under this section, and orders under subsection (5), are
subject to the negative resolution procedure.
35
(7)
In this section—

“the Convention” means the United Nations Convention on the Law of
the Sea 1982 (Cmnd 8941) and any modifications of that Convention
agreed after the passing of this Act that have entered into force in
relation to the United Kingdom;
40

“exploration” includes the doing of anything (whether by way of
investigations, trials or feasibility studies or otherwise) with a view to

Energy Bill [HL]
Part 2 — Sustainability and Renewable Energy Sources
Chapter 2 — Offshore production of energy
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ascertaining whether the exploitation of an area is, in a particular case,
practicable or commercially viable, or both.
84
Application of criminal law to renewable energy installations
(1)
Her Majesty may by Order in Council provide that acts and omissions which—
(a)
fall within subsection (2), and
5
(b)
would, if they took place in a part of the United Kingdom, constitute an
offence under the law in force in that part,

are to be treated for the purposes of that law as taking place in that part.
(2)
An act or omission falls within this subsection if it takes place on, under or
above—
10
(a)
a renewable energy installation situated in waters to which this section
applies; or
(b)
waters to which this section applies that are within a safety zone.
(3)
Her Majesty may by Order in Council provide that a constable is to have—
(a)
on, under and above a renewable energy installation situated in waters
15
to which this section applies, and
(b)
on, under and above any waters to which this section applies that are
within a safety zone,

all the powers and privileges that he has in the area of the force of which he is
a member.
20
(4)
Subsection (3) is in addition to any other enactment or any rule of law or
subordinate legislation conferring a power or privilege on constables; and this
section is to be disregarded in determining the extent of those other powers
and privileges.
(5)
The waters to which this section applies are—
25
(a)
tidal waters and parts of the sea in or adjacent to Great Britain up to the
seaward limits of the territorial sea; and
(b)
waters in a Renewable Energy Zone.
(6)
Proceedings for anything that is an offence by virtue only of an Order in
Council under this section may be taken, and the offence may for all incidental
30
purposes be treated as having been committed, in any place in the United
Kingdom.
(7)
In this section “subordinate legislation” includes an instrument made under an
Act of the Scottish Parliament.
85
Prosecutions
35
(1)
Subject to subsection (2), this section applies to an offence alleged to have been
committed on, under or above—
(a)
a renewable energy installation situated in waters to which section 84
applies; or
(b)
waters to which section 84 applies that, at the time of the alleged
40
offence, were within a safety zone.
(2)
This section does not apply to an offence created by or under—
(a)
the Health and Safety at Work etc. Act 1974 (c. 37);

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Part 2 — Sustainability and Renewable Energy Sources
Chapter 2 — Offshore production of energy
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(b)
the Customs and Excise Acts 1979, or any enactment that has to be
construed as one with those Acts or any of them;
(c)
the Civil Aviation Act 1982 (c. 16) or any enactment that has to be
construed as one with that Act;
(d)
section 23 of the Petroleum Act 1987 (c. 12);
5
(e)
the Pilotage Act 1987 (c. 21);
(f)
section 4, 29, 35, 36, 37 or 59 of the 1989 Act, or paragraph 3 of Schedule
7 to that Act;
(g)
the Value Added Tax Act 1994 (c. 23) or any enactment that has to be
construed as one with that Act;
10
(h)
the Merchant Shipping Act 1995 (c. 21);
(i)
section 96 of this Act or Chapter 3 of this Part.
(3)
No proceedings for an offence to which this section applies shall be
instituted—
(a)
in England and Wales, except by or with the consent of the Director of
15
Public Prosecutions; or
(b)
in Northern Ireland, except by or with the consent of the Director of
Public Prosecutions for Northern Ireland.
(4)
Subsection (3) does not require the consent of the Director of Public
Prosecutions, or of the Director of Public Prosecutions for Northern Ireland,
20
where the proceedings in question are proceedings for which the consent of the
Attorney General, or of the Advocate General for Northern Ireland, is required
apart from this section.
(5)
In relation to times before the coming into force of section 27(1) of the Justice
(Northern Ireland) Act 2002 (c. 26), the reference in subsection (4) to the
25
Advocate General for Northern Ireland is to be read as a reference to the
Attorney General for Northern Ireland.
(6)
Section 3 of the Territorial Waters Jurisdiction Act 1878 (c. 73) (consents to
prosecution of offences committed on the open sea by persons who are not
British citizens) does not apply to proceedings for an offence to which this
30
section applies.
86
Application of civil law to renewable energy installations etc.
(1)
Her Majesty may by Order in Council provide that questions arising out of—
(a)
acts or omissions taking place on, under or above a renewable energy
installation situated in waters to which this section applies, or
35
(b)
acts or omissions taking place on, under or above such waters in
relation to a related line,

are to be determined in accordance with the law in force in such part of the
United Kingdom as may be specified in the Order.
(2)
An Order in Council under this section may also make provision for conferring
40
jurisdiction in proceedings with respect to questions of the kind mentioned in
subsection (1) on courts in one or more parts of the United Kingdom.
(3)
Jurisdiction conferred on a court by an Order in Council under this section is
in addition to any jurisdiction exercisable apart from that Order by that or any
other court; and this section is to be disregarded in determining the extent of
45
any jurisdiction so exercisable.