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Microgeneration and Local Energy Bill


 

Microgeneration and Local Energy Bill

 

 
 

Contents

1   

Revision of microgeneration strategy

2   

Fiscal strategy

3   

Review of permitted development orders

4   

Information to be included in marketing material for properties

5   

Council tax and non domestic rates

6   

Mortgages for energy efficiency measures

7   

Installation of electricity meters

8   

Gas and Electricity Markets Authority: duty to encourage reduction in

household energy consumption

9   

Licensing of electricity supply: exemption for local distribution networks

10   

Short title and extent

 

Bill 143                                                                                                

54/3

 
 

Microgeneration and Local Energy Bill

1

 

A

Bill

To

Make further provision for the promotion of microgeneration and energy

efficiency; and for connected purposes. 

Be it enacted by the Queen’s most Excellent Majesty, by and with the advice and

consent of the Lords Spiritual and Temporal, and Commons, in this present

Parliament assembled, and by the authority of the same, as follows:—

1       

Revision of microgeneration strategy

(1)   

The Secretary of State must, within 12 months of the date on which this Act is

passed,—

(a)   

publish a report on the effects and expected effects of the

microgeneration strategy (“the strategy”) published under section 82

5

(microgeneration) of the Energy Act 2004 (c. 20);

(b)   

invite comments on the strategy, including any proposed revisions,

from such persons appearing to him to represent the producers and

suppliers of plant used for microgeneration and such other persons as

he considers appropriate.

10

(2)   

The Secretary of State must publish a revised strategy if, in his opinion, the

comments received pursuant to subsection (1)(b) indicate that a revision is

desirable.

(3)   

The provisions of section 82 of the Energy Act 2004 shall apply to any revised

strategy published under subsection (2).

15

2       

Fiscal strategy

(1)   

The Chancellor of the Exchequer (“the Chancellor”)—

(a)   

must, within one year of the date on which this Act is passed, publish a

fiscal strategy to promote energy efficiency and microgeneration; and

(b)   

may from time to time revise it.

20

(2)   

In preparing or revising the fiscal strategy the Chancellor must consult such

persons appearing to him to represent the producers, suppliers, distributors

and financiers of plant used for microgeneration and such other persons as he

considers appropriate.

 

Bill 143                                                                                                

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Microgeneration and Local Energy Bill

2

 

(3)   

The Chancellor must take reasonable steps to implement the fiscal strategy.

3       

Review of permitted development orders

(1)   

The Secretary of State shall, for the purpose mentioned in subsection (2), carry

out a review of the effect in England of development orders made under

section 59(2)(a) of the Town and Country Planning Act 1990 (c. 8) (power by

5

order to grant planning permission for the development or a class of

development specified in the order).

(2)   

The purpose is to provide information to assist the Secretary of State to form an

opinion on any provisions required in development orders to facilitate

development in England consisting of the installation, on agricultural land or

10

within the curtilage of an agricultural building, of equipment, apparatus or

appliances for microgeneration.

(3)   

In carrying out the review the Secretary of State must consult persons

appearing to him to represent—

(a)   

the producers and suppliers of plant used for microgeneration,

15

(b)   

persons resident in rural areas, and

(c)   

local authorities, including parish councils;

   

and such other persons as he considers appropriate.

(4)   

As soon as reasonably practicable after he has carried out the review, the

Secretary of State must lay before Parliament a report on the review, which

20

must include—

(a)   

his opinion, as mentioned in subsection (2);

(b)   

any consequential changes proposed to be made to development

orders under section 59(2)(a) of the Town and Country Planning Act

1990.

25

(5)   

Where the Secretary of State proposes to make provisions in development

orders in consequence of the review, he must—

(a)   

exercise his powers under section 59 of the Town and Country

Planning Act 1990 so as to provide that development orders made

under that section make such provision in consequence of the review as

30

he considers appropriate;

(b)   

exercise those powers as soon as reasonably practicable after laying the

report of the review before Parliament under subsection (4).

(6)   

In this section “agricultural land” and an “agricultural building” have the same

meaning as in paragraphs 2 to 8 of Schedule 5 to the Local Government Finance

35

Act 1988 (c. 41) (non-domestic rating: exemption).

4       

Information to be included in marketing material for properties

(1)   

Where a residential property is put on the market, the estate agent responsible

for marketing the property must include in all documentation produced for the

purpose of marketing the property any energy rating contained in any home

40

information pack relating to that property.

(2)   

It shall be the duty of estate agents when offering a property for sale to include

in any specified particulars the following notice displayed reasonably

prominently:

 
 

Microgeneration and Local Energy Bill

3

 

“Climate change is damaging the planet: using too much

energy causes climate change. Insulating your home or

installing microgeneration equipment can save energy,

cut fuel bills and protect the planet.”

(3)   

In this section—

5

“energy rating”, in relation to a property, has the same meaning as in the

Building (Approved Inspectors etc) Regulations 2000, SI 2000/2532;

“estate agent”, “residential property”, “the market” and related

expressions have the same meaning as in Part 5 of the Housing Act 2004

(home information packs);

10

“specified particulars” means—

(a)   

any leaflets, brochures or similar written material (other than

newspaper advertisements), advertising the sale of any

property; and

(b)   

any such advertisements on the internet.

15

5       

Council tax and non domestic rates

(1)   

Any estimated increase in the value of a dwelling caused by the installation of

an energy efficiency measure or a microgeneration system shall not be treated

a material increase for the purpose of assessing council tax or non domestic

rates payable on that dwelling.

20

(2)   

In this section and in section 6—

“an energy efficiency measure” is a measure to improve efficiency in the

use of energy in the property;

“microgeneration system” has the same meaning as in section 4(9) of the

Climate Change and Sustainable Energy Act 2006 (c. 19).

25

6       

Mortgages for energy efficiency measures

(1)   

A bank or building society which offers one or more mortgage products in the

normal course of its business must provide a facility under which money may

be lent, at a reasonable rate of interest, for the installation of energy efficiency

30

measures or a microgeneration system.

(2)   

In this section—

“bank” has the same meaning as in section 840A of the Income and

Corporation Taxes Act 1988 (c. 1);

“building society” means a building society within the Building Societies

35

Act 1986 (c. 53).

7       

Installation of electricity meters

From the date 12 months after the date on which this this Act is passed, a

person who instals a new electricity metering system in domestic premises

must must ensure that the system has the capability to measure the amount of

40

electricity imported and exported in any given time period.

 
 

Microgeneration and Local Energy Bill

4

 

8       

Gas and Electricity Markets Authority: duty to encourage reduction in

household energy consumption

(1)   

The Electricity Act 1989 (c. 29) is amended as follows.

(2)   

After subsection (5)(ba) of section 3A (the principal objective and general

duties of the Secretary of State and the Authority), insert—

5

“(bb)   

to promote the establishment of energy services companies

delivering long-term sustainable, secure and affordable heat

and power; to encourage persons authorised by licences or

exemptions to undertake measures to reduce household energy

consumption; to promote local power generation and heat

10

distribution; and”.

(3)   

The Gas Act 1986 (c. 44) is amended as follows.

(4)   

After subsection (5)(ba) of section 4AA (the principal objective and general

duties of the Secretary of State and the Authority), insert—

“(bb)   

to promote the establishment of energy services companies

15

delivering long-term sustainable, secure and affordable heat

and power; to encourage persons authorised by licences or

exemptions to undertake measures to reduce household energy

consumption; to promote local power generation and heat

distribution; and”.

20

9       

Licensing of electricity supply: exemption for local distribution networks

(1)   

The Electricity Act 1989 is amended as follows.

(2)   

After section 5, insert—

“5A     

Exemptions from prohibition: small suppliers

(1)   

Persons who distribute electrical power for the purpose of providing a

25

supply to domestic consumers, or enabling a supply to be so provided

with that electrical power, shall be exempt from the provisions of

section 4(1) if their distribution system is a local distribution network.

(2)   

In this section “local distribution network” is a person’s electricity

distribution system where the electricity is generated within a radius of

30

25 km of its use.”

10      

Short title and extent

(1)   

This Act may be cited as the Microgeneration and Local Energy Act 2008.

(2)   

This Act extends to England and Wales, Scotland and Northern Ireland.

 

 
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