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Energy Bill
Schedule 2 — Property schemes

98

 

operational purposes, it may include in the order provision

quashing the scheme.

      (3)  

In any other case, the Tribunal may include in the order—

(a)   

provision for the scheme to have effect with such

amendments with respect to any matter dealt with by the

5

Authority’s determination as it thinks fit, and

(b)   

to the extent that the Authority’s determination dealt with

any financial matter, provision requiring the Authority to

redetermine the matter in accordance with the order and to

amend the scheme accordingly.

10

26    (1)  

This paragraph applies where—

(a)   

the Competition Appeal Tribunal makes an order under

paragraph 23(4)(b),

(b)   

the Authority has made a property scheme in relation to

the property, rights or liabilities concerned, and

15

(c)   

the scheme has come into operation.

      (2)  

The Tribunal may include in the order such provision as it thinks

fit for the purpose of doing justice between—

(a)   

the successful bidder,

(b)   

the asset owner, and

20

(c)   

any third party affected by the scheme,

           

in the light of its determination.

      (3)  

Without prejudice to the generality of sub-paragraph (2), the

Tribunal may include in the order—

(a)   

provision for the transfer of anything transferred by the

25

scheme;

(b)   

provision for the surrender or extinction of rights;

(c)   

provision for the payment of compensation to the asset

owner or the successful bidder;

(d)   

provision for the payment of compensation to a third party

30

affected by the scheme;

(e)   

provision about the payment of costs of the kind

mentioned in paragraph 14(6).

      (4)  

Any sums received by the Authority by virtue of sub-paragraph (3)(e) are

to be paid into the Consolidated Fund.

35

27    (1)  

An order under paragraph 23(4)(b) may include provision for the

award of interest at such rate and for such period as the

Competition Appeal Tribunal thinks fit.

      (2)  

Where the application made under paragraph 23(1) is for a review

of a determination under paragraph 11(6) or 19(3), the Tribunal

40

may include in an order under paragraph 23(4)(b) one or both of

the following—

(a)   

provision amending or revoking any direction made as a

result of the determination;

(b)   

provision equivalent to any direction which could have

45

been made by the Authority under paragraph 11(6) or

19(3).

 
 

Energy Bill
Schedule 2 — Property schemes

99

 

Interim arrangements pending review of determination

28    (1)  

This paragraph applies where—

(a)   

a person makes an application under paragraph 23(1) for

the review of a determination, and

(b)   

the Authority has not made a property scheme in relation

5

to the property, rights or liabilities to which the

determination relates.

      (2)  

The Competition Appeal Tribunal may, at any time before an

order is made under paragraph 23(4), on application by the

successful bidder or the asset owner make such interim

10

arrangements as it thinks fit with respect to the property, rights or

liabilities concerned.

      (3)  

Without prejudice to the generality of sub-paragraph (2), the

power under that sub-paragraph includes, in particular, power to

make provision for the successful bidder to have access to, or

15

otherwise to enjoy the benefit of, any of the property or rights

concerned for such period, and on such terms, as the Tribunal

thinks fit.

29    (1)  

This paragraph applies where—

(a)   

a person makes an application under paragraph 23(1) for

20

the review of a determination, and

(b)   

the Authority has made a property scheme in relation to

the property, rights or liabilities to which the

determination relates.

      (2)  

The Competition Appeal Tribunal may, at any time before an

25

order is made under paragraph 23(4), on application by—

(a)   

the successful bidder,

(b)   

if the scheme has not come into operation, the asset owner,

(c)   

if the scheme has come into operation, the person who was

the asset owner immediately before it did so, or

30

(d)   

a third party who is affected by any provision of the

property scheme,

           

make such interim arrangements as it thinks fit with respect to the

property, rights or liabilities concerned.

      (3)  

Without prejudice to the generality of sub-paragraph (2), the

35

power under that sub-paragraph includes, in particular, power—

(a)   

to make provision postponing or suspending the operation

of any provision of the scheme for such period, and on

such terms, as the Tribunal thinks fit;

(b)   

to make provision for the successful bidder, or an

40

applicant within sub-paragraph (2)(c), to have access to, or

otherwise to enjoy the benefit of, any of the property or

rights concerned for such period and on such terms as the

Tribunal thinks fit.

30         

In exercising its powers under paragraph 28 or 29, the

45

Competition Appeal Tribunal must have regard, in particular, to

what is necessary or expedient for operational purposes.

 
 

Energy Bill
Schedule 2 — Property schemes

100

 

31         

Paragraphs 28 or 29 are without prejudice to any powers of the

Competition Appeal Tribunal to make orders on an interim basis

under rules under section 15 of the Enterprise Act 2002 (c. 40).

32    (1)  

If an order under paragraph 28 or 29 is registered in England and

Wales in accordance with rules of court or any practice direction,

5

it is enforceable as an order of the High Court.

      (2)  

An order under paragraph 28 or 29 may be recorded for execution

in the Books of Council and Session and is to be enforceable

accordingly.

      (3)  

Subject to rules of court or any practice direction, an order under

10

paragraph 28 or 29 may be registered or recorded for execution by

a person entitled to any right under the interim arrangements for

which the order makes provision.

      (4)  

Sub-paragraphs (1) to (3) apply to an order on an interim basis

made under rules under section 15 of the Enterprise Act 2002 in

15

connection with an application under paragraph 23(1) as they

apply to an order under paragraph 28 or 29.

Appeal on a point of law

33    (1)  

An appeal lies on any point of law arising from a decision of the

Competition Appeal Tribunal under this Schedule to the

20

appropriate court.

      (2)  

An appeal under this paragraph requires the permission of the

Tribunal or of the appropriate court.

      (3)  

In this paragraph “the appropriate court” means—

(a)   

in the case of Tribunal proceedings in England and Wales,

25

the Court of Appeal, and

(b)   

in the case of Tribunal proceedings in Scotland, the Court

of Session.

Change of asset owner during application process

34    (1)  

Where any property, rights or liabilities specified in an application

30

in accordance with paragraph 3(2)(a) are transferred by the asset

owner to another person (“the new asset owner”) after the

application is made, this Schedule has effect as if—

(a)   

references to the asset owner included the new asset

owner, and

35

(b)   

anything done by or in relation to the asset owner had been

done by or in relation to the new asset owner.

      (2)  

In the case of property, rights or liabilities treated as specified in

an application by virtue of paragraph 9(2), sub-paragraph (1)

applies as if for “the application is made” there were substituted

40

“the modification notice is served on the Authority”.

The preferred bidder

35    (1)  

The preferred bidder, in relation to a tender exercise, is the person

whose name and address is specified in a notice which has been

 
 

Energy Bill
Schedule 2 — Property schemes

101

 

published under sub-paragraph (2) (and has not been withdrawn

under sub-paragraph (4)).

      (2)  

Where a tender exercise is held, as soon as the Authority is

satisfied that it will grant the offshore transmission licence to a

particular person if certain matters are resolved to the Authority’s

5

satisfaction, it must publish a notice to that effect.

      (3)  

The notice must—

(a)   

specify the name and address of the person, and

(b)   

describe, in general terms, those matters.

      (4)  

The Authority may withdraw a notice under sub-paragraph (2) by

10

publishing a notice to that effect.

      (5)  

A notice published under sub-paragraph (2) must be withdrawn

before a subsequent notice may be published under that sub-

paragraph in relation to the same tender exercise.

The successful bidder

15

36    (1)  

The successful bidder, in relation to a tender exercise, is the person

to whom, as a result of that exercise, the offshore transmission

licence has been or is to be granted.

      (2)  

Where a tender exercise is held, as soon as the Authority

determines to grant the offshore transmission licence to a person,

20

it must publish a notice to that effect.

      (3)  

The notice must specify the name and address of the successful

bidder.

Associated bodies corporate

37    (1)  

For the purposes of this Schedule, one body corporate is

25

associated with another if one of them controls the other or a third

body corporate controls both of them, and sub-paragraphs (2) to

(6) set out the circumstances in which one body corporate (“A”)

controls another (“B”).

      (2)  

Where B is a company, A controls B if A possesses or is entitled to

30

acquire—

(a)   

one half or more of the issued share capital of B,

(b)   

such rights as would entitle A to exercise one half or more

of the votes exercisable in general meetings of B,

(c)   

such part of the issued share capital of B as would entitle A

35

to one half or more of the amount distributed if the whole

of the income of B were in fact distributed among the

shareholders, or

(d)   

such rights as would, in the event of the winding up of B

or in any other circumstances, entitle it to receive one half

40

or more of the assets of B which would then be available

for distribution among the shareholders.

      (3)  

Where B is a limited liability partnership, A controls B if A—

(a)   

holds a majority of the voting rights in B,

 
 

Energy Bill
Schedule 2 — Property schemes

102

 

(b)   

is a member of B and has a right to appoint or remove a

majority of other members, or

(c)   

is a member of B and controls alone or pursuant to an

agreement with other members, a majority of the voting

rights in B.

5

      (4)  

In sub-paragraph (3)(a) and (c) the references to “voting rights” are

to the rights conferred on members in respect of their interest in a

limited liability partnership to vote on those matters which are to

be decided on by a vote of the members of the limited liability

partnership.

10

      (5)  

In any case, A controls B if A has the power, directly or indirectly,

to secure that the affairs of B are conducted in accordance with A’s

wishes.

      (6)  

In determining whether, by virtue of sub-paragraphs (2) to (5), A

controls B, A is to be taken to possess—

15

(a)   

any rights and powers possessed by a person as nominee

for it, and

(b)   

any rights and powers possessed by a body corporate

which it controls (including rights and powers which such

a body corporate would be taken to possess by virtue of

20

this sub-paragraph).

Interpretation

38    (1)  

In this Schedule—

“the asset owner”—

(a)   

in relation to an application for a property scheme,

25

means the owner of the property, rights and liabilities

in relation to which provision of a kind mentioned in

paragraph 1(2) is proposed to be included in the

scheme;

(b)   

in relation to a property scheme, means the owner of

30

the property, rights and liabilities in relation to which

provision of such a kind is included in the scheme;

“co-ordination licence” means a transmission licence which

authorises a person to co-ordinate and direct the flow of

electricity onto and over a transmission system by means

35

of which the transmission of electricity takes place and the

whole or a part of which is at a relevant place;

“functions” includes powers and duties;

“modification notice” is to be construed in accordance with

paragraph 9;

40

“non-applicant party” means—

(a)   

in the case of an application made by the preferred

bidder or the successful bidder, the asset owner, and

(b)   

in the case of an application made by the asset owner,

the successful bidder or, if a notice has not yet been

45

published under paragraph 36, the preferred bidder;

“operational purposes” means the purposes of performing

any functions which the successful bidder has, or may in

future have—

 
 

Energy Bill
Schedule 3 — Petroleum licences: amendments to model clauses
Part 1 — Petroleum (Production) (Landward Areas) Regulations 1995

103

 

(a)   

under or by virtue of the offshore transmission licence

which has been, or is to be, granted as a result of the

tender exercise, or

(b)   

under or by virtue of any enactment, in the successful

bidder’s capacity as holder of the licence;

5

“preferred bidder”, in relation to a tender exercise, is to be

construed in accordance with paragraph 35;

“property scheme” is to be construed in accordance with

paragraph 1;

“relevant place” means a place in Great Britain, in the

10

territorial sea adjacent to Great Britain or in a Renewable

Energy Zone;

“successful bidder”, in relation to a tender exercise, is to be

construed in accordance with paragraph 36;

“tender exercise” has the same meaning as in section 6D;

15

“third party”, in relation to a property scheme or proposed

property scheme in connection with a tender exercise,

means a person other than the preferred bidder, the

successful bidder, or the asset owner.

      (2)  

For the purposes of this Schedule, a provision of a property

20

scheme affects a third party if that party’s consent or concurrence

would be required to the making of the provision otherwise than

by means of the scheme.”

Schedule 3

Section 72

 

Petroleum licences: amendments to model clauses

25

Part 1

Petroleum (Production) (Landward Areas) Regulations 1995

1     (1)  

Schedule 3 to the Petroleum (Production) (Landward Areas) Regulations

1995 (S.I. 1995/1436) is amended as follows.

      (2)  

After clause 8 (consequences of determination or surrender) insert—

30

“8A     

Provision of contact details to Minister

(1)   

A notice, direction or other document authorised or required (in

whatever terms) to be given to the Licensee by virtue of this licence

is treated as given to the Licensee if it is given to the person specified

by the Licensee under paragraph (2) at the address so specified.

35

(2)   

The Licensee must supply the Minister with the name and address of

a person to whom notices, directions and other documents are to be

given.

(3)   

The Licensee must ensure that, where there is a change in the person

to whom, or the address to which, documents should be sent in

40

accordance with paragraph (2), the Minister is notified of the change

as soon as is reasonably practicable.

 
 

Energy Bill
Schedule 3 — Petroleum licences: amendments to model clauses
Part 1 — Petroleum (Production) (Landward Areas) Regulations 1995

104

 

(4)   

If the Licensee fails to comply with paragraph (2) the Minister may

give the Licensee a notice which—

(a)   

requires the Licensee to comply with paragraph (2) within

the period of one month beginning with the date of the

notice, and

5

(b)   

states that, if the Licensee fails to do so, the Licensee will be

treated as having supplied under paragraph (2) the name and

address specified by the Minister in the notice.”

      (3)  

In clause 17 (abandonment and plugging of wells)—

(a)   

in paragraph (2) for “The” substitute “Subject to paragraph (5B), the”,

10

(b)   

after paragraph (5) insert—

“(5A)   

The Minister may at any time give the Licensee a notice

requiring a well drilled pursuant to this licence to be plugged

and abandoned in accordance with paragraph (5) within the

period specified in the notice (but this paragraph is subject to

15

paragraphs (5C) and (5D)).

(5B)   

The Licensee shall comply with any notice under paragraph

(5A).

(5C)   

A notice under paragraph (5A) may not be given less than

one month before the expiry or determination of the

20

Licensee’s rights under this licence in relation to the area, or

the part of the area, in which the well is drilled.

(5D)   

A notice under paragraph (5A) may be given only in relation

to a well from which the Licensee has not extracted any

petroleum within the period of one month ending with the

25

day on which the notice is given.”, and

(c)   

in paragraph (6) after “the Minister” (in the first place) insert “, or in

accordance with a notice under paragraph (5A),”.

      (4)  

In clause 38(4) (power of revocation: change of control) after “when this

licence was granted” insert “(or, if there has been an assignment or

30

assignation of rights conferred by this licence, when those rights were

assigned to the Licensee)”.

      (5)  

After clause 38 insert—

“38A    

Power of partial revocation

(1)   

This clause applies in a case where two or more persons are the

35

Licensee and—

(a)   

an event mentioned in clause 38(2)(c), (d), (e) or (g) occurs in

relation to one of those persons, or

(b)   

the conditions specified in clause 38(3) are satisfied in

relation to one of those persons.

40

(2)   

Where this clause applies, the Minister may exercise the power of

revocation in clause 38 to revoke the licence in so far as it applies to

the person mentioned in paragraph (1)(a) or (b).

(3)   

If the Minister exercises the power in paragraph (2), the rights

granted to the person under this licence cease, but without prejudice

45

to any obligation or liability incurred by the person or imposed

under the terms and conditions of this licence.

 
 

 
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