Gas Act 1986

The Council shall have power to do anything which is calculated to facilitate, or is incidental or conducive to, the performance of any of its functions under this Act.

5

It shall be the duty of the Council to comply with any notice given by the Secretary of State with the approval of the Treasury requiring it to perform duties of a financial nature specified in the notice.

6

The Secretary of State or the Director may, to such extent as may be approved by the Treasury, defray or contribute towards the expenses of the Council.

7

Any sums required by the Secretary of State for the purposes of paragraph 6 above shall be paid out of money provided by Parliament.

8

In the House of Commons Disqualification Act 1975 in Part II of Schedule 1 (bodies of which all members are disqualified) there shall be inserted (at the appropriate place) the following entry—

The Gas Consumers’ Council

;

SCHEDULE 3

Part I — Powers of Acquisition Etc.

1

• (1) The Secretary of State, after consultation with the Director, may authorise a gas transporters to purchase compulsorily any land.

• (2) In sub-paragraph (1) above “land” includes any right over land; and the power of the Secretary of State under that sub-paragraph includes power to authorise the acquisition of rights over land by creating new rights as well as acquiring existing ones.

2

• (1) This paragraph applies to land which—

• (a) for the purposes of the Acquisition of Land Act 1981, is or forms part of a common, open space or a fuel or field garden allotment; or

• (b) for the purposes of the Acquisition of Land (Authorisation Procedure) (Scotland) Act 1947, is or forms part of a common or open space.

• (2) Where for any purpose a gas transporters has acquired, or proposes to acquire, any land to which this paragraph applies, or any right over any such land, and other land is required for the purpose of being given in exchange for the land or right in question, the Secretary of State may authorise the transporter to purchase that other land compulsorily, or he may acquire it by agreement.

3

Where a gas transporters has acquired any land by virtue of paragraph 1 above, he shall not dispose of that land or of any interest in or right over it except with the consent of the Director.

Part II — Procedure, Compensation Etc. (England and Wales)

Application of Acquisition of Land Act 1981 generally

4

The Acquisition of Land Act 1981 shall apply to a compulsory purchase by a gas transporter’s of land or rights in England and Wales, subject, in the case of a compulsory acquisition of a right by the creation of a new right, to Schedule 3 to that Act.

New rights: general adaptation of Compulsory Purchase Act 1965

5

The Compulsory Purchase Act 1965 shall have effect with the modifications necessary to make it apply to a gas transporter’s compulsory acquisition of a right in England and Wales by the creation of a new right as it applies to the compulsory acquisition of land, so that, in appropriate contexts, references in that Act to land are to be read as referring, or as including references, to the right acquired or to be acquired, or to land over which the right is or is to be exercisable, according to the requirements of the particular context.

New rights: specific adaptations of Act of 1965

6

Without prejudice to the generality of paragraph 5 above, Part I of the said Act of 1965 shall apply in relation to a gas transporter’s compulsory acquisition of a right in England and Wales by the creation of a new right with the modifications specified in paragraphs 7 to 12 below.

7

For section 7 of that Act (measure of compensation) there shall be substituted the following section—

(7) In assessing the compensation to be paid by the acquiring authority under this Act regard shall be had not only to the extent (if any) to which the value of the land over which the right is to be acquired is depreciated by the acquisition of the right but also to the damage (if any) to be sustained by the owner of the land by reason of its severance from other land of his, or injuriously affecting that other land by the exercise of the powers conferred by this or the special Act.

8

Section 8(1) of the Compulsory Purchase Act 1965 has effect as if references to acquiring land were to acquiring a right in the land, and Schedule 2A to that Act is to be read as if, for that Schedule, there were substituted—

SCHEDULE 2A (1) (1) This Schedule applies where an acquiring authority serve a notice to treat in respect of a right over the whole or part of a house, building or factory. (2) But see section 2A of the Acquisition of Land Act 1981 (under which a compulsory purchase order can exclude from this Schedule land that is 9 metres or more below the surface). (2) In this Schedule “house” includes any park or garden belonging to a house. (3) A person who is able to sell the house, building or factory (“the owner”) may serve a counter-notice requiring the authority to purchase the owner's interest in the house, building or factory. (4) A counter-notice under paragraph 3 must be served within the period of 28 days beginning with the day on which the notice to treat was served. (5) On receiving a counter-notice the acquiring authority must decide whether to— (a) withdraw the notice to treat, (b) accept the counter-notice, or (c) refer the counter-notice to the Upper Tribunal. (6) The authority must serve notice of their decision on the owner within the period of 3 months beginning with the day on which the counter-notice is served (“the decision period”). (7) If the authority decide to refer the counter-notice to the Upper Tribunal they must do so within the decision period. (8) If the authority do not serve notice of a decision within the decision period they are to be treated as if they had served notice of a decision to withdraw the notice to treat at the end of that period. (9) If the authority serve notice of a decision to accept the counter-notice, the compulsory purchase order and the notice to treat are to have effect as if they included the owner's interest in the house, building or factory. (10) On a referral under paragraph 7 the Upper Tribunal must determine whether the acquisition of the right would— (a) in the case of a house, building or factory, cause material detriment to the house, building or factory, or (b) in the case of a park or garden, seriously affect the amenity or convenience of the house to which the park or garden belongs. (11) In making its determination, the Upper Tribunal must take into account— (a) the effect of the acquisition of the right, (b) the proposed use of the right, and (c) if the right is proposed to be acquired for works or other purposes extending to other land, the effect of the whole of the works and the use of the other land. (12) If the Upper Tribunal determines that the acquisition of the right would have either of the consequences described in paragraph 10 it must determine how much of the house, building or factory the authority ought to be required to take. (13) If the Upper Tribunal determines that the authority ought to be required to take some or all of the house, building or factory the compulsory purchase order and the notice to treat are to have effect as if they included the owner's interest in that land. (14) (1) If the Upper Tribunal determines that the authority ought to be required to take some or all of the house, building or factory, the authority may at any time within the period of 6 weeks beginning with the day on which the Upper Tribunal makes its determination withdraw the notice to treat in relation to that land. (2) If the acquiring authority withdraws the notice to treat under this paragraph they must pay the person on whom the notice was served compensation for any loss or expense caused by the giving and withdrawal of the notice. (3) Any dispute as to the compensation is to be determined by the Upper Tribunal.

9

The following provisions of that Act (being provisions stating the effect of a deed poll executed in various circumstances where there is no conveyance by persons with interests in the land)—

• section 9(4) (refusal by owners to convey);

• Schedule 1, paragraph 10(3) (owners under incapacity);

• Schedule 2, paragraph 2(3) (absent and untraced owners); and

• Schedule 4, paragraphs 2(3) and 7(2) (common land),

shall be so modified as to secure that, as against persons with interests in the land which are expressed to be overridden by the deed, the right which is to be compulsorily acquired is vested absolutely in the acquiring authority.

10

Section 11 of that Act (powers of entry) shall be so modified as to secure that, as from the date on which the acquiring authority have served notice to treat in respect of any right, they have power, exercisable in the like circumstances and subject to the like conditions, to enter for the purpose of exercising that right (which shall be deemed for this purpose to have been created on the date of service of the notice); and sections 12 (penalty for unauthorised entry) and 13 (entry on enforcement officer's or sheriff's warrant in the event of obstruction) shall be modified correspondingly.

11

Section 20 of that Act (protection for interests of tenants at will etc.) shall apply with the modifications necessary to secure that persons with such interests as are mentioned in that section are compensated in a manner corresponding to that in which they would be compensated on a compulsory acquisition of that land, but taking into account only the extent (if any) of such interference with such an interest as is actually caused, or likely to be caused, by the exercise of the right in question.

12

Section 22 of that Act (protection of acquiring authority’s possession where by inadvertence an estate, right or interest has not been got in) shall be so modified as to enable the acquiring authority, in circumstances corresponding to those referred to in that section, to continue entitled to exercise the right acquired, subject to compliance with that section as respects compensation.

New rights: compensation

13

The enactments in force in England and Wales with respect to compensation for the compulsory purchase of land shall apply with the necessary modifications as respects compensation in the case of a gas transporter’s compulsory acquisition of a right by the creation of a new right as they apply to compensation on the compulsory purchase of land and interests in land.

Part III — Procedure, Compensation Etc. (Scotland)

Application of Acquisition of Land (Authorisation Procedure) (Scotland) Act 1947 generally

14

The Acquisition of Land (Authorisation Procedure) (Scotland) Act 1947 shall apply to the compulsory purchase by a public gas transporter of land or rights in Scotland as if the transporter were a local authority within the meaning of that Act, and as if this Act had been in force immediately before the commencement of that Act.

New rights: general application of Act of 1947 and incorporated enactments

15

The enactments incorporated with this Act by virtue of Part I of Schedule 2 to the said Act of 1947 and that Act shall have effect with the modifications necessary to make them apply to a public gas transporter’s compulsory acquisition of a right in Scotland by the creation of a new right as they apply to the compulsory acquisition of land, so that, in appropriate contexts, references in those enactments and that Act to land are to be read as referring, or as including references, to the right acquired or to be acquired, or to land over which the right is or is to be exercisable, according to the requirements of the particular context.

New rights: specific adaptations of Act of 1947

16

Without prejudice to the generality of paragraph 15 above, Part III of Schedule 1 to the said Act of 1947 (requirement of special parliamentary procedure, and other special provisions, in the case of acquisition of certain descriptions of land) shall apply in relation to a public gas transporter’s compulsory acquisition of a right in Scotland by the creation of a new right with the modifications specified in paragraphs 17 to 20 below.

17

In paragraph 9 of that Schedule (compulsory purchase affecting land of the National Trust for Scotland) for references to the compulsory purchase of land there shall be substituted references to the compulsory acquisition of rights over land.

18

In paragraph 10 of that Schedule (land of statutory undertakers)—

• (a) for the words “land comprised in the order” there shall be substituted the words “land over which a right is to be acquired by virtue of the order”;

• (b) for the words “purchase of” there shall be substituted the words “acquisition of a right over”;

• (c) for the words “it can be purchased and not replaced” there shall be substituted the words “the right can be acquired”; and

• (d) for sub-paragraph (ii) there shall be substituted the following sub-paragraph—

(ii) that any detriment to the carrying on of the undertaking, in consequence of the acquisition of the right, can be made good by the undertakers by the use of other land belonging to, or available for acquisition by, them

.

19

In paragraph 11 of that Schedule (common or open space), for sub-paragraph (1) there shall be substituted the following sub-paragraph—

(1) In so far as a compulsory purchase order authorises the acquisition of a right over land forming part of a common or open space, it shall be subject to special parliamentary procedure unless the Secretary of State is satisfied— (a) that the land, when burdened with that right, will be no less advantageous to those persons in whom it is vested and other persons, if any, entitled to rights of common or other rights, and to the public, than it was before; or (b) that there has been or will be given in exchange for the right additional land which will as respects the persons in whom there is vested the land over which the right is to be acquired, the persons, if any, entitled to rights of common or other rights over that land, and the public, be adequate to compensate them for the disadvantages which result from the acquisition of the right, and that the additional land has been or will be vested in the persons in whom there is vested the land over which the right is to be acquired, and subject to the like rights, trusts and incidents as attach to that land apart from the compulsory purchase order; or (c) that the land affected by the right to be acquired does not exceed 250 square yards in extent, and that the giving of other land in exchange for the right is unnecessary, whether in the interests of the persons, if any, entitled to rights of common or other rights or in the interests of the public, and certifies accordingly.

20

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

21

Paragraph 10 above shall have effect in relation to the said Act of 1947 with the substitution of a reference to paragraph 3(1) of the Second Schedule to that Act for the reference to section 11 of the Compulsory Purchase Act 1965, and with the omission of the words from “and sections” to the end of the paragraph.

22

For paragraph 4 of the Second Schedule to the said Act of 1947 (protection for owner against severance of property) there shall be substituted the provisions substituted by paragraph 8 of this Schedule for section 8(1) of the said Act of 1965, and any reference in those provisions to the Upper Tribunal shall be construed as a reference to the Lands Tribunal for Scotland.

Restrictions on application of paragraphs 15 to 20 above

23

So much of paragraph 15 above as relates to the said Act of 1947, and paragraphs 16 to 20 above, shall not apply to any compulsory purchase to which, by virtue of section 12 or 13 of the Gas Act 1965, Part I of Schedule 4 to that Act applies.

New Rights: specific adaptions of Lands Clauses Consolidation (Scotland) Act 1845

24

For section 61 of the Lands Clauses Consolidation (Scotland) Act 1845 (estimation of compensation) there shall be substituted the following section—

(61) In estimating the purchase money or compensation to be paid by the promoters of the undertaking in the Special Act, in any of the cases aforesaid, regard shall be had not only to the extent (if any) to which the value of the land over which the right is to be acquired is depreciated by the acquisition of the right, but also to the damage (if any) to be sustained by the owner of the land by reason of its severance from other land of his, or injuriously affecting that other land by the exercise of the powers conferred by this or the Special Act.

25

The following provisions of that Act (being provisions stating the effect of a notarial instrument or of a disposition executed in various circumstances where there is no conveyance by persons with interests in the land)—

• section 74 (failure by owner to convey);

• section 76 (refusal to convey or show title or owner cannot be found);

• section 98 (vesting of common land),

shall be so modified as to secure that, as against persons with interests in the land over which the right is to be compulsorily acquired such right is vested absolutely in the promoters of the undertaking.

26

Paragraph 11 above shall have effect in relation to that Act with the substitution of a reference to sections 114 and 115 thereof for the reference to section 20 of the Compulsory Purchase Act 1965.

27

Paragraph 12 above shall have effect in relation to that Act with the substitution of a reference to sections 117 and 118 thereof for any reference to section 22 of the said Act of 1965.

New rights: compensation

28

Paragraph 13 above shall have effect in relation to Scotland with the substitution of. “ Scotland ” for “England and Wales”.

29

This Part of this Schedule shall extend to Scotland only.

SCHEDULE 4

1

• (1) Subject to the following provisions of this Schedule, a gas transporter may execute the following kinds of works, that is to say—

• (a) placing pipes, conduits, service pipes, cables, sewers and other works, and pressure governors, ventilators and other apparatus, in or under any street; and

• (b) from time to time repairing, altering or removing any such works or apparatus placed in or under any street (whether by him or by any other person).

• (2) Subject as aforesaid, a gas transporter may execute any works requisite for or incidental to the purposes of any works falling within sub-paragraph (1) above, including for those purposes—

• (a) opening or breaking up any street or any sewers, drains or tunnels within or underany street; and

• (b) removing or using all earth and materials in or under any street.

• (3) A gas transporter shall do as little damage as possible in the exercise of the powers conferred by this paragraph and shall make compensation for any damage done in the exercise of those powers.

• (4) The Secretary of State shall by regulations provide that, in such cases and to such extent as may be provided by the regulations, a public gas transporter shall pay, by way of compensation for any loss sustained by any person in consequence of the exercise of those powers, such sum as may be determined in accordance with the regulations.

• (5) No regulations may be made under sub-paragraph (4) above which amend, or re-enact with modifications, regulations previously made under that sub-paragraph.

2

• (1) The powers of a gas transporter under paragraph 1 above shall include power to erect in any street one or more structures for housing any apparatus, but only with the consent, which shall not be unreasonably withheld, of the street authority.

• (2) Any question whether or not consent to the erection of such a structure is unreasonably withheld shall be determined by a single arbitrator to be appointed by the parties or, in default of agreement, appointed by the Director.

• (3) For the purposes of this paragraph the withholding of consent shall, to the extent that it is based on the ground that the structure ought to be erected elsewhere than in a street, be treated as unreasonable if the transporter either that there is no reasonably practicable alternative to erecting it in a street, or that all such alternatives would, on the balance of probabilities, involve greater danger to life or property.

3

• (1) Subject to sub-paragraph (2) below, nothing in paragraph 1 above shall empower a gas transporter to lay down or place any pipe or other works into, through or against any building, or in any land not dedicated to the public use.

• (2) A gas transporter may exercise the powers conferred by paragraph 1 above in relation to any street which has been laid out but not dedicated to the public use only for the purpose ofconveying gas to any premises which abut on the street.

4

• (1) Except in cases of emergency arising from defects in any pipes or other works, a street which—

• (a) does not constitute for the purposes of the Highways Act 1980 a highway or part of a highway maintainable at the public expense; and

• (b) is under the control or management of, or maintainable by, any railway authority or navigation authority,

shall not be opened or broken up under paragraph 1 above except with the consent, which shall not be unreasonably withheld, of that authority.

• (2) Any question whether or not consent to the opening or breaking up of such a street is unreasonably withheld shall be determined by a single arbitrator to be appointed by the parties or, in default of agreement, appointed by the Director.

5

• (1) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

• (2) Nothing in paragraph 1 above shall effect the application to any operation of sections 34 to 36 of the Coast Protection Act 1949.

6

In this Schedule—

• . . .

• “navigation authority” means any person or body of persons, whether incorporated or not, authorised by or under any enactment to work, maintain, conserve, improve or control any canal or other inland navigation, navigable river, estuary, harbour or dock;

• “railway authority” means any person or body of persons, whether incorporated or not, authorised by any enactment to construct, work or carry on a railway; and

• “

• “street” and “street authority” have the same meaning as in Part III of the New Roads and Street Works Act 1991.

7

In its application to Scotland this Schedule shall have effect with the following modifications—

• (a) in paragraphs 1 to 4, for the word “street”, wherever it occurs, there shall be substituted the word “road”;

• (b) in paragraph 2(1) for the words “street authority” there shall be substituted the words “road works authority”;

• (c) in paragraphs 2(2) and 4(2), for the word “arbitrator” there shall be substituted the words “arbiter”;

• (e) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

• (f) in paragraph 6, for “street” and “street authority” substitute “road” and “road works authority” and for “Part III” substitute “Part IV”.

SCHEDULE 5

Part I — Supply of Gas to Tariff Customers

Maintenance etc. of service pipes

1

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Alterations etc. of burners on change of calorific value

2

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Consumption of gas to be ascertained by meter

3

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Meters to be kept in proper order

4

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Meter as evidence of quantity of gas supplied

5

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Installation of meters in new premises

6

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Recovery of gas charges etc.

7

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Part II — Supply of Gas to Tariff Customers and Others

Use of antiflucuators and valves

8

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Improper use of gas

9

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Injury to gas fittings and interference with meters

10

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Restoration of supply without consent

11

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Failure to notify connection or disconnection of service pipe

12

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Prevention of escapes of gas

13

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Information as to escapes of gas

14

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Entry during continuance of supply

15

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Entry on discontinuance of supply

16

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Entry for replacing, repairing or altering pipes

17

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Provisions as to powers of entry

18

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Gas fittings not to be subject to distress

19

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

SCHEDULE 6

1

• (1) In subsection (1) of section 1 of the Gas Levy Act 1981—

• (a) for the words “their revenues by the British Gas Corporation (in this Act referred to as ” the Corporation ’)” there shall be substituted the words “his revenues by any person”; and

• (b) for the words “the Corporation”, in the second place where they occur, there shall be substituted the words “that person”.

• (2) In subsection (2) of that section—

• (a) for the words “the Corporation”, in the first two places where they occur, there shall be substituted the words “any person”;

• (b) for the words “has agreed” there shall be substituted the words “had agreed”; and

• (c) for the words “the Corporation”, in the third place where they occur, there shall be substituted the words “the British Gas Corporation (in this section referred to as ” the Corporation ’)”.

2

No order shall be made under section 2(3) of that Act specifying for the year 1991-92 or an earlier year a rate of levy higher than the rate for the preceding year.

3

For section 3 of that Act there shall be substituted the following section—

(3) (1) Gas Levy shall be paid to the Secretary of State in respect of each period of three months ending on 30th June, 30th September, 31st December or 31st March in any year (in this section referred to as a “chargeable period”). (2) It shall be the duty of any person liable to pay gas levy to deliver to the Secretary of State— (a) within four weeks after the end of each chargeable period, a return for that period which complies with subsection (3) below; and (b) within three months after the end of each year, a return for that year which so complies. (3) A return under subsection (2) above for any chargeable period or any year shall show the quantity, expressed both by volume and as a number of therms, of gas to which section 1 above applies which was supplied to or won by the person concerned in that period or that year. (4) Not later than six weeks after the end of any chargeable period a person who is liable to pay gas levy in respect of that period shall pay to the Secretary of State an amount equal to the amount of gas levy which would be due from him for that period if the amount due were calculated exclusively by reference to the return for that period. (5) If the amount which, otherwise than by way of interest, falls to be paid by any person under subsection (4) above in respect of the chargeable periods in any year differs from the actual amount of gas levy due from that person in respect of those periods, then not later than four months after the end of that year the amount of the difference shall— (a) where the former amount is greater, be repaid by the Secretary of State to that person; and (b) where the latter amount is greater, be paid by that person to the Secretary of State. (6) Where any amount falling to be paid under subsection (4) or (5) above is not paid within the period for payment specified in that subsection, that amount shall carry interest at the prescribed rate from the end of that period until payment; and in this subsection “paid” and “payment” include repaid and repayment, respectively. (7) In this section “the prescribed rate” means the rate prescribed for the purposes of section 86 of the Taxes Management Act 1970.

4

• (1) In subsection (1) of section 4 of that Act—

• (a) for the words “the Corporation”, in the first place where they occur, there shall be substituted the words “any person”;

• (b) for the words “for any year shall only be payable” there shall be substituted the words “shall be payable by that person for any year only”; and

• (c) for the words “the Corporation”, in the second place where they occur, they shall be substituted the words “that person”.

• (2) In subsection (2) of that section—

• (a) for the words “the Corporation”, in the first place where they occur, there shall be substituted the words “the person concerned”; and

• (b) for the words “the Corporation”, in the second place where they occur, there shall be substituted the words “that person”.

5

• (1) In subsection (1) of section 5 of that Act—

• (a) for the words “the Corporation”, in the first place where they occur, there shall be substituted the words “any person liable to pay gas levy”;

• (b) for the word “them” there shall be substituted the word “him”;

• (c) for the words “the Corporation are using or propose” there shall be substituted the words “that person is using or proposes”; and

• (d) for the words “the Corporation”, in the third place where they occur, there shall be substituted the words “that person”.

• (2) For subsection (2) of that section there shall be substituted the following subsections—

(2) The Secretary of State may, after consultation with any person liable to pay gas levy, give to that person directions specifying descriptions of measuring and testing equipment which he is to install, maintain and use for the purposes of this Act. (3) It shall also be the duty of any person liable to pay gas levy to furnish the Secretary of State with such returns, accounts and other information as he from time to time requires for the purpose of verifying returns delivered to him under section 3(2) above, and to afford to the Secretary of State facilities for the verification of information so furnished.

6

After section 5 of that Act there shall be inserted the following section—

(5A) (1) If any person without reasonable excuse— (a) fails to deliver a return under section 3(2) above within the time allowed for doing so; or (b) fails to comply with a requirement imposed by or under section 5 above, that person shall be liable on summary conviction to a fine not exceeding level 5 on the standard scale. (2) If any person, in making any return under section 3(2) above or in giving any information required under section 5(3) above, makes any statement which he knows to be false in a material particular, or recklessly makes any statement which is false in a material particular, that person shall be liable— (a) on summary conviction, to a fine not exceeding the statutory maximum; (b) on conviction on indictment, to a fine. (3) Where a body corporate is guilty of an offence under this section and that offence is proved to have been committed with the consent or connivance of, or to be attributable to any neglect on the part of, any director, manager, secretary or other similar officer of the body corporate or any person who was purporting to act in any such capacity he, as well as the body corporate, shall be guilty of that offence, and shall be liable to be proceeded against and punished accordingly.

7

• (1) In subsection (2) of section 6 of that Act for the words “the Corporation by virtue of section 3(4)” there shall be substituted the words “any person by virtue of section 3(5)(a)”.

• (2) In subsection (3) of that section for the words “section 3(4)” there shall be substituted the words “section 3(5)(a)”.

8

In section 7(2) of that Act for the definition of “year” there shall be substituted the following definition—

“year” means a period of twelve months ending with a 31st March.

SCHEDULE 7

Interpretation

1

In this Schedule “public gas supplier” has the same meaning as in Part I of this Act.

Enactments relating to statutory undertakers etc.

2

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

The Water Act 1945

3

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

The Rights of Entry (Gas and Electricity Boards) Act 1954

4

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

The Pipe-lines Act 1962

5

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

The Gas Act 1965

6

• (1) The Gas Act 1965—

• (a) shall have effect without the amendments made by paragraph 14 of Schedule 6 to the 1972 Act and the associated repeals made by Schedule 8 to that Act; and

• (b) as so having effect, shall be amended as follows.

• (2) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

• (3) In Part II, for the words “section 11 of the principal Act”, wherever they occur, there shall be substituted the words “ Schedule 3 to the principal Act ”.

• (4) In section 4(2), the words from “shall relate only” to “statutory corporation and” shall be omitted.

• (5) In section 5(5), for the words “inform the Minister that they object” there shall be substituted the words “ informs the Minister that he objects ”.

• (6) In section 6(1), for the word “apply” there shall be substituted the word “ applies ”, for the word “satisfy” there shall be substituted the word “ satisfies ” and for the words “they think” there shall be substituted the words “ he thinks ”.

• (7) In section 6(2), for the words “have taken” there shall be substituted the words “ has taken ” and for the word “them” there shall be substituted the word “ him ”.

• (8) In section 6(3), for the word “them” there shall be substituted the word “ him ”.

• (9) In section 6(4), for the word “their” there shall be substituted the word “ his ” and for the word “cause” there shall be substituted the word “ causes ”.

• (10) In section 6(8), for the word “apply” there shall be substituted the word “ applies ” and for the word “they” there shall be substituted the word “ he ”.

• (11) In section 13(3), for the word “propose” there shall be substituted the word “ proposes ” and for the words “the said section 11” there shall be substituted the words “ the said Schedule 3 ”.

• (12) In section 15(2), for the word “their” there shall be substituted the word “ his ”.

• (13) In section 16(1), for the words “develop or operate” there shall be substituted the words “ develops or operates ”.

• (14) In sections 16(5) and 18(9), for the word “fail” there shall be substituted the word “ fails ”.

• (15) In section 17(5), for the word “them” there shall be substituted the word “ him ”.

• (16) In section 19(3)—

• (a) at the beginning there shall be inserted the words “ Every public gas supplier to whom a storage authorisation order applies during any period shall pay to the Minister such proportion as the Minister may determine of ”; and

• (b) for the words “shall be repaid to him by the Gas Council and” there shall be substituted the words “ and any sums received by the Minister under this subsection shall be ”.

• (17) In section 19(4), for the words “the Gas Council in respect of sums payable by them” there shall be substituted the words “ a public gas supplier in respect of sums payable by him ”.

• (18) In section 21(1), for the words “Section 68(1)” there shall be substituted the words “ Section 43(1) ”.

• (19) In section 21(2), for the words “Section 69(1)” there shall be substituted the words “ Section 43(2) ” and for the words “section 68(1)” there shall be substituted the words “ section 43(1) ”.

• (20) In section 21(3), the words “any gas authority or” and the words “authority or”, in the second place where they occur, shall be omitted.

• (21) In section 22(1), for the words “Section 70” there shall be substituted the words “ Section 46 ”.

• (22) In section 22(2), for the words “Section 73 of the principal Act” there shall be substituted the words “ Section 46 of the Gas Act 1972 ” and for the words “the principal Act”, in the second place where they occur, there shall be substituted the words “ that Act ”.

• (23) In section 27(1), for the words “the Corporation” there shall be substituted the words “ the public gas supplier concerned ”.

• (24) In section 28(1)—

• (a) the definition of “gas authority” shall be omitted; and

• (b) for the definition of “large-scale map” there shall be substituted the following definition—

“large-scale map” means a map drawn on a scale not less than 1 in 10,560;

• (25) In section 32(2), for the words “the Gas Act 1948, ” Area Board ’ has the same meaning as in” there shall be substituted the words “ the Gas Act 1986, ” public gas supplier ’ has the same meaning as in Part I of ”.

• (26) In Schedule 2—

• (a) for the words “the applicants”, wherever they occur, there shall be substituted the words “ the applicant ”;

• (b) for the words “their proposals”, wherever they occur, there shall be substituted the words “ his proposals ”;

• (c) for the words “their application”, wherever they occur, there shall be substituted the words “ his application ”;

• (d) for the words “section 73 of the principal Act”, wherever they occur, there shall be substituted the words “ section 46 of the Gas Act 1972 ”;

• (e) in paragraph 5(2), for the words “the applicants” there shall be substituted the words “ the applicant’s ”;

• (f) in paragraph 9(1), for the words “they have been, or expect” there shall be substituted the words “ he has been, or expects ” and for the words “they must” there shall be substituted the words “ he must ”;

• (g) in paragraph 9(2), for the word “have”, in both places where it occurs, there shall be substituted the word “ has ”; and

• (h) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

• (27) In Schedule 6—

• (a) for the words “the applicants”, wherever they occur, there shall be substituted the words “ the applicant ”;

• (b) in paragraph 1(2), for the words “their application” there shall be substituted the words “ his application ”;

• (c) in paragraph 1(4), for the words “their proposals” there shall be substituted the words “ his proposals ”;

• (d) in paragraph 5, for the words “gas board” there shall be substituted the words “ public gas supplier ”;

• (e) in paragraph 7(1), for the words “their powers” there shall be substituted the words “ his powers ”; and

• (f) in paragraph 7(2), for the words “their duty” there shall be substituted the words “ his duty ”.

The Local Government (Scotland) Act 1966

7

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

The General Rate Act 1967

8

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

The Transport Act 1968

9

In section 109(2) of the Transport Act 1968 (power of certain bodies to maintain or take over waterways and connected works), for paragraph (d) there shall be substituted the following paragraph—

(d) a public gas supplier within the meaning of Part I of the Gas Act 1986;

.

The Post Office Act 1969

10

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

The Chronically Sick and Disabled Persons Act 1970

11

In section 14(1) of the Chronically Sick and Disabled Persons Act 1970 (miscellaneous advisory committees), for the words “the National Gas Consumers’ Council and the Regional Gas Consumers’ Councils” there shall be substituted the words “ the Gas Consumers’ Council ”.

The Town and Country Planning Act 1971

12

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

The Town and Country Planning (Scotland) Act 1972

13

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

The Land Compensation Act 1973

14

• (1) In section 44(2) of the Land Compensation Act 1973 (compensation for injurious affection), for the words “paragraph 13 of Schedule 2 to the Gas Act 1972” there shall be substituted the words “ paragraph 7 of Schedule 3 to the Gas Act 1986 ”.

• (2) In section 58(2) of that Act (determination of material detriment where part of house etc. proposed for compulsory acquisition), for the words “paragraph 14 of Schedule 2 to the Gas Act 1972” there shall be substituted the words “ paragraph 8 of Schedule 3 to the Gas Act 1986 ”.

The Fair Trading Act 1973

15

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

The Land Compensation (Scotland) Act 1973

16

• (1) In section 41(2) of the Land Compensation (Scotland) Act 1973 (compensation for injurious affection), for the words “paragraph 26 of Schedule 2 to the Gas Act 1972” there shall be substituted the words “ paragraph 24 of Schedule 3 to the Gas Act 1986 ”.

• (2) In section 54(2) of that Act (determination of material detriment where part of house etc. proposed for compulsory acquisition), for the words “paragraph 24 of Schedule 2 to the Gas Act 1972” there shall be substituted the words “ paragraph 22 of Schedule 3 to the Gas Act 1986 ”.

The Local Government Act 1974

17

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

The Health and Safety at Work etc. Act 1974

18

At the end of section 34 of the Health and Safety at Work etc. Act 1974 (extension of time for bringing summary proceedings) there shall be inserted the following subsection—

(6) In the application of subsection (4) above to Scotland, after the words ” applies to ’ there shall be inserted the words ” any offence under section 33(1)(c) above where the health and safety regulations concerned were made for the general purpose mentioned in section 18(1) of the Gas Act 1986 and

.

The Consumer Credit Act 1974

19

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

The Oil Taxation Act 1975

20

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

The Local Government (Scotland) Act 1975

21

In Schedule 1 to the Local Government (Scotland) Act 1975—

• (a) in paragraphs 3 to 3B, for references to the Corporation there shall be substituted references to a public gas supplier;

• (b) in paragraph 3, there shall be added at the end the following sub-paragraph—

(3) In this paragraph and in paragraphs 3A and 3B below— - “gas” means any substance which is or (if it were in a gaseous state) would be gas within the meaning of Part I of the Gas Act 1986; - “public gas supplier” has the same meaning as in Part I of the Gas Act 1986; - “private gas supplier” means a person who is authorised by section 6 of the said Act of 1986, or by an authorisation under section 8 of that Act, to supply gas through pipes to consumers’ premises.

; and

• (c) in paragraphs 3A and 3B, for references to a private supplier there shall be substituted references to a private gas supplier.

The Coal Industry Act 1975

22

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

The Restrictive Trade Practices Act 1976

23

In section 41(1)(a) of the Restrictive Trade Practices Act 1976 (disclosure of information), after the words “the Director General of Telecommunications,” there shall be inserted the words “ the Director General of Gas Supply, ” and after the words “or the Telecommunications Act 1984” there shall be inserted the words “ or the Gas Act 1986 ”.

The Local Government (Miscellaneous Provisions) Act 1976

24

In section 33 of the Local Government (Miscellaneous Provisions) Act 1976 (restoration or continuation of supply of water, gas or electricity), for the word “undertakers”, wherever it occurs, there shall be substituted the word “ person ”.

The Land Drainage Act 1976

25

In section 112(2)(a) of the Land Drainage Act 1976 (protection of nationalised undertakings etc.), for the words “the British Gas Corporation” there shall be substituted the words “ any public gas supplier within the meaning of Part I of the Gas Act 1986 ”.

The Energy Act 1976

26

• (1) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

• (2) In section 12(2) of that Act (disposal of gas by flaring), for the words “the British Gas Corporation” there shall be substituted the words “ a public gas supplier within the meaning of Part I of the Gas Act 1986 ”.

The Estate Agents Act 1979

27

In section 10(3)(a) of the Estate Agents Act 1979 (exceptions to restrictions on disclosure of information), after the words “the Telecommunications Act 1984” there shall be inserted the words “or the Gas Act 1986” and after the words “the Director General of Telecommunications,” there shall be inserted the words “the Director General of Gas Supply,”.

The Competition Act 1980

28

• (1) In subsection (2)(a) of section 19 of the Competition Act 1980 (exceptions to restriction on disclosure of information), after the words “the Director General of Telecommunications,” there shall be inserted the words “the Director General of Gas Supply,”.

• (2) In subsection (3) of that section, at the end there shall be inserted the following paragraph—

(h) the Gas Act 1986.

The Acquisition of Land Act 1981

29

In section 28 of the Acquisition of Land Act 1981 (acquisition of rights over land by the creation of new rights), paragraph (a) shall be omitted and after paragraph (f) there shall be inserted the following paragraph—

(g) paragraph 1 of Schedule 3 to the Gas Act 1986.

The Building Act 1984

30

In section 80(3) of the Building Act 1984 (notice to local authority of intended demolition), for paragraph (b) there shall be substituted the following paragraph—

(b) any public gas supplier (as defined in Part I of the Gas Act 1986) in whose authorised area (as so defined) the building is situated,

.

The Insolvency Act 1985

31

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

The Bankruptcy (Scotland) Act 1985

32

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

SCHEDULE 8

Part I — Provisions and Savings Coming into Force on Appointed Day

1

• (1) A notification received or given by the Secretary of State under subsection (1) of section 29A of the 1972 Act which is effective on the appointed day shall have effect as if received or given by the Secretary of State under subsection (1) of section 6 of this Act; and the provisions of this Act shall apply accordingly.

• (2) A direction given by the Secretary of State under subsection (2) of the said section 29A which is effective on the appointed day shall have effect as if given by the Secretary of State under subsection (2) of the said section 6; and the provisions of this Act shall apply accordingly.

2

A consent given or having effect as if given under section 29 of the 1972 Act by the Secretary of State which is effective on the appointed day shall have effect as an authorisation granted by the Secretary of State under section 8 of this Act; and the provisions of this Act shall apply accordingly.

3

Any regulations made under section 25 of the 1972 Act which are effective on the appointed day shall have effect as if—

• (a) they were made under section 12 of this Act; and

• (b) references in those regulations to the Corporation were references to a public gas supplier within the meaning of Part I of this Act;

and the provisions of this Act shall apply accordingly.

4

Any regulations made or having effect as if made under section 29B of the 1972 Act which are effective on the appointed day shall have effect as if—

• (a) they were made under section 16 of this Act; and

• (b) references in those regulations to the Corporation were references to a public gas supplier within the meaning of Part I of this Act;

and the provisions of this Act shall apply accordingly.

5

Any meter which immediately before the appointed day is, or is treated as, stamped under section 30 of the 1972 Act shall be treated as stamped under section 17 of this Act.

6

• (1) This paragraph applies to any regulations made or having effect as if made under section 31 of the 1972 Act which—

• (a) are effective on the appointed day; and

• (b) do not make such provision as is mentioned in subsections (2) to (4) of that section or in section 42(2) of that Act.

• (2) Any regulations to which this paragraph applies shall have effect as if made under section 15 of the Health and Safety at Work etc. Act 1974 for the general purpose of protecting the public from personal injury, fire, explosions and other dangers arising from the transmission or distribution of gas through pipes, or from the use of gas supplied through pipes; and, subject to sub-paragraph (3) below, the provisions of Part I of that Act and the provisions of this Act shall apply accordingly.

• (2A) In sub-paragraph (2) above “gas” has the same meaning as in Part I of this Act.

• (3) Section 1(2) of the said Act of 1974 shall have effect as if any regulations to which this paragraph applies were in force under an enactment specified in the third column of Schedule 1 to that Act.

• (4) Section 20 of the said Act of 1974 shall have effect as if anything done before the appointed day in contravention of any regulations to which this paragraph applies has been done on or after that day.

7

• (1) A direction given by the Secretary of State under section 17 of the Oil and Gas (Enterprise) Act 1982 which is effective on the appointed day shall have effect as if given by the Director under section 19 of this Act; and the provisions of this Act shall apply accordingly.

• (2) Any reference in a deed or other instrument to the functions of the Corporation shall be taken to include a reference to any obligations arising under an agreement entered into by the Corporation in pursuance of directions given or having effect as if given under section 19 of this Act.

8

• (1) A notice given to the Secretary of State under subsection (1) of section 15 of the Oil and Gas (Enterprise) Act 1982 which is effective on the appointed day shall have effect as if given to the Director under subsection (1) of section 20 of this Act and as if any map accompanying that notice and complying with the requirements of subsection (2) of the said section 15 complied with the requirements of subsection (2) of the said section 20; and the provisions of this Act shall apply accordingly.

• (2) A notice published by the Secretary of State under section 15(3) of the said Act of 1982 which is effective on the appointed day shall have effect as if published by the Director under section 20(3) of this Act; and the provisions of this Act shall apply accordingly.

• (3) A direction given by the Secretary of State under section 15(4) of the said Act of 1982 which is effective on the appointed day shall have effect as if given by the Director under section 20(4) of this Act; and the provisions of this Act shall apply accordingly.

9

A direction given by the Secretary of State under section 16(1) of the Oil and Gas (Enterprise) Act 1982 which is effective on the appointed day shall have effect as if given by the Director under section 21(1) of this Act; and the provisions of this Act shall apply accordingly.

10

Any maximum prices fixed by the Corporation under paragraph 12 of Schedule 4 to the 1972 Act which are effective on the appointed day shall have effect as if fixed by the Director under section 37 of this Act.

11

Any office fixed or address published before the appointed day for the purposes of section 44 of the 1972 Act shall be deemed on and after that day to have been fixed or published for the purposes of section 46(3) of this Act.

12

• (1) Where immediately before the appointed day there is in force an agreement which—

• (a) confers or imposes on the Corporation any rights or liabilities; and

• (b) refers (in whatever terms and whether expressly or by implication) to any provision of the 1972 Act, to the Corporation’s statutory gas undertaking or to statutory purposes,

the agreement shall have effect, in relation to anything falling to be done on or after that day, as if for that reference there were substituted a reference to the corresponding provision of this Act, to the Corporation’s undertaking as a public gas supplier or, as the case may require, to purposes connected with the supply of gas through pipes to premises in the Corporation’s authorised area.

• (2) In this paragraph “authorised area” and “public gas supplier” have the same meanings as in Part I of this Act.

• (3) References in this paragraph to an agreement include references to a deed, bond or other instrument.

13

Where—

• (a) any sum was deposited with the Corporation by way of security under any provision of the 1972 Act; and

• (b) on and after the appointed day that sum is treated by the Corporation as deposited under any provision of this Act,

any period beginning three months or less before that day, being a period during which the sum was deposited with the Corporation, shall be treated for the purposes of the payment of interest on that sum as a period during which the sum was deposited under that provision of this Act.

14

The repeal by this Act of section 43 of the 1972 Act shall not affect the operation of that section in relation to offences committed before the appointed day.

15

The repeal by this Act of section 46 of the 1972 Act shall not affect the operation of that section as applied by section 22 of the Gas Act 1965.

16

The repeal by this Act of Schedule 4 to the 1972 Act shall not affect the operation on or after the appointed day of so much of that Schedule as relates to the determination by arbitration of any matter which immediately before that day falls to be determined by arbitration under that Schedule.

17

The repeal by this Act of any provision by virtue of which any enactment applies in relation to a person carrying on a gas undertaking shall not affect the continuing validity of anything done under that enactment before the appointed day; and that enactment shall continue for the purposes of anything so done to have effect on and after that day as if the enactment continued to apply in relation to the Corporation and, after the transfer date, to the successor company as it applied in relation to the Corporation before the appointed day.

Part II — Provisions and Savings Coming into Force on Transfer Date

18

An authorisation granted under section 7 of this Act to the Corporation which is effective on the transfer date shall have effect as if granted to the successor company.

19

A declaration made by the Corporation in accordance with regulations made, or having effect as if made, under section 12(3) of this Act which is effective on the transfer date shall have effect as if made by the successor company.

20

A tariff fixed, or having effect as fixed, under section 14(1) of this Act by the Corporation which is effective on the transfer date shall have effect as if fixed by the successor company.

21

A direction given, or having effect as if given, under section 19 of this Act to the Corporation which is effective on the transfer date shall have effect as if given to the successor company.

22

• (1) A notice given, or having effect as if given, under section 20(1) of this Act by the Corporation which is effective on the transfer date shall have effect as if given by the successor company.

• (2) A direction given, or having effect as if given, under section 20(4) of this Act to the Corporation which is effective on the transfer date shall have effect as if given to the successor company.

23

A direction given, or having effect as if given, under section 21(1) this Act to the Corporation which is effective on the transfer date shall have effect as if given to the successor company.

24

Any office fixed or address published by the Corporation for the purposes of section 46(3) of this Act, and any office or address having effect as if so fixed or published, shall be deemed on and after the transfer date to have been so fixed or published by the successor company.

25

A direction given under section 63 of this Act to the Corporation which is effective on the transfer date shall have effect as if given to the successor company.

26

A compulsory purchase order made by the Corporation which was made, or has effect as if made, by virtue of Schedule 3 to this Act and is effective on the transfer date shall have effect as if made by the successor company.

27

• (1) Where immediately before the transfer date there is in force an agreement which—

• (a) confers or imposes on the Corporation any rights or liabilities which vest in the successor company by virtue of section 49 of this Act; and

• (b) refers (in whatever terms and whether expressly or by implication) to a member or officer of the Corporation,

the agreement shall have effect, in relation to anything falling to be done on or after that date, as if for that reference there were substituted a reference to such person as that company may appoint or, in default of appointment, to the officer of that company who corresponds as nearly as may be to the member or officer of the Corporation in question.

• (2) References in this paragraph to an agreement include references to a deed, bond or other instrument.

28

• (1) Any agreement made, transaction effected or other thing done by, to or in relation to the Corporation which is in force or effective immediately before the transfer date shall have effect as if made, effected or done by, to or in relation to the successor company, in all respects, as if the successor company were the same person, in law, as the Corporation, and accordingly references to the Corporation—

• (a) in any agreement (whether or not in writing) and in any deed, bond or instrument;

• (b) in any process or other document issued, prepared or employed for the purposes of any proceeding before any court or other tribunal or authority; and

• (c) in any other document whatsoever (other than an enactment) relating to or affecting any property, right or liability of the Corporation which vests by virtue of section 49 of this Act in the successor company,

shall be taken as referring to the successor company.

• (2) Nothing in sub-paragraph (1) above shall be taken as applying in relation to any agreement made, transaction effected or other thing done with respect to any right or liability of the Corporation which vests by virtue of section 50 of this Act in the Treasury.

29

It is hereby declared for the avoidance of doubt that—

• (a) the effect of section 49 of this Act in relation to any contract of employment with the Corporation in force immediately before the transfer date is merely to modify the contract by substituting the successor company as the employer (and not to terminate the contract or vary it in any other way); and

• (b) that section is effective to vest the rights and liabilities of the Corporation under any agreement or arrangement for the payment of pensions, allowances or gratuities in the successor company along with all other rights and liabilities of the Corporation;

and accordingly any period of employment with the Corporation or a wholly owned subsidiary of the Corporation shall count for all purposes as a period of employment with the successor company or (as the case may be) a wholly owned subsidiary of the successor company.

30

• (1) Any certificate issued or other thing done in pursuance of any regulation made or having effect as if made under section 21 of the 1972 Act which is in force or effective immediately before the transfer date shall have effect as if issued or done in pursuance of the corresponding enactment, regulation or rule relating to securities issued under the National Loans Act 1968.

• (2) Any agreement made, transaction effected or other thing done in relation to any British Gas 3% Guaranteed Stock, 1990-95 which is in force or effective immediately before the transfer date shall have effect as if made, effected or done in relation to that Stock as renamed under subsection (3) of that section and, accordingly, references to that Stock in any agreement (whether or not in writing) or in any deed, bond, instrument or other document whatsoever shall be taken as referring to that Stock as so renamed.

• (3) In this paragraph “British Gas Stock” has the same meaning as in section 50 of this Act.

31

• (1) It shall be the duty of the Corporation and of the successor company to take, as and when during the transitional period the successor company considers appropriate, all such steps as may be requisite to secure that the vesting in the successor company by virtue of section 49 of this Act or this paragraph of any foreign property, right or liability is effective under the relevant foreign law.

• (2) During the transitional period, until the vesting in the successor company by virtue of section 49 of this Act or this paragraph of any foreign property, right or liability is effective under the relevant foreign law, it shall be the duty of the Corporation to hold that property or right for the benefit of, or to discharge that liability on behalf of, the successor company.

• (3) Nothing in sub-paragraphs (1) and (2) above shall be taken as prejudicing the effect under the law of the United Kingdom or of any part of the United Kingdom of the vesting in the successor company by virtue of section 49 of this Act or this paragraph of any foreign property, right or liability.

• (4) The Corporation shall have all such powers as may be requisite for the performance of its duty under this paragraph, but—

• (a) it shall be the duty of the successor company during the transitional period to act on behalf of the Corporation (so far as possible) in performing the duty imposed on the Corporation by this paragraph; and

• (b) any foreign property, rights and liabilities acquired or incurred by the Corporation during that period shall immediately become property, rights and liabilities of the successor company.

• (5) References in this paragraph to any foreign property, right or liability are references to any property, right or liability as respects which any issue arising in any proceedings would have been determined (in accordance with the rules of private international law) by reference to the law of a country or territory outside the United Kingdom.

• (6) Any expenses incurred by the Corporation under this paragraph shall be met by the successor company.

32

• (1) Notwithstanding the repeal by this Act of section 8 of the 1972 Act, it shall be the duty of the Corporation to make a report to the Secretary of State in accordance with that section in respect of each financial year of the Corporation ending before the transfer date.

• (2) Notwithstanding the repeal by this Act of section 23 of that Act, it shall be the duty of the Corporation to prepare statements of accounts in accordance with subsection (1)(b) and (2) of that section in respect of each financial year of the Corporation ending before the transfer date, and that section shall continue to apply during the transitional period in relation to those statements and in relation also to the auditing of those statements and of accounts kept in accordance with subsection (1)(a) of that section in respect of that financial year.

• (3) Any expenses incurred by the Corporation under this paragraph shall be met by the successor company.

33

Where by virtue of anything done before the transfer date, any enactment amended by Schedule 7 to this Act has effect in relation to the Corporation, that enactment shall have effect in relation to the successor company as if that company were the same person, in law, as the Corporation.

34

Every provision contained in a local Act, or in subordinate legislation, which is in force immediately before the transfer date and then applicable to the Corporation shall have effect as if—

• (a) for references therein to the Corporation there were substituted references to the successor company; and

• (b) for any reference (however worded and whether expressly or by implication) to the undertaking or business, or any part of the undertaking or business, of the Corporation there were substituted a reference to the undertaking or business, or the corresponding part of the undertaking or business, of the successor company.

35

• (1) Nothing in this Act shall effect the validity of anything done by, or in relation to, the Corporation before the transfer date under or by virtue of the Public Utilities Street Works Act 1950; and anything which, immediately before that date, is in process of being done under, or by virtue of, that Act by or in relation to it (including, in particular, any legal proceedings to which it is a party) may be continued by, or in relation to, the successor company.

• (2) Any notice or direction given or other thing whatsoever done under the said Act of 1950 by the Corporation shall, if effective at the transfer date, continue in force and have effect as if similarly given or done by the successor company.

36

• (1) For the purposes of section 33 of the General Rate Act 1967 (public gas suppliers) the successor company shall be treated as if it were the same person as the Corporation.

• (2) An order under subsection (1) of that section which applies that section to the Corporation and is effective on the transfer date shall have effect as if it applied that section to the successor company.

• (3) An order under subsection (5) of that section which applies in relation to hereditaments occupied by the Corporation and is effective on the tranfer date shall have effect as if it applied to the corresponding hereditaments occupied by the successor company.

37

• (1) Where an asset, or the right to receive an asset, vests in the successor company by virtue of section 49 of this Act, then for the purposes of Part I of the Industry Act 1972 and Part II of the Industrial Development Act 1982—

• (a) so much of any expenditure incurred by the Corporation in providing that asset as is approved capital expenditure (of any description relevant for the purposes of regional development grant) in respect of which no payment of regional development grant has been made to the Corporation shall be treated as having been incurred by the successor company and not by the Corporation; and

• (b) where the asset itself vests in the successor company by virtue of section 49 of this Act, it shall be treated as a new asset if it would have fallen to be so treated if it had remained vested in the Corporation.

• (2) In this paragraph “regional development grant” means a grant under Part I of the Industry Act 1972 or Part II of the Industrial Development Act 1982 and “approved capital expenditure” has the same meaning as it has for the purposes of the provisions relating to regional development grant.

38

An order under section 19 of the Local Government Act 1974 (rating of certain public utilities and other bodies) which applies in relation to hereditaments occupied by the Corporation and is effective on the transfer date shall have effect as if it applied to the corresponding hereditaments occupied by the successor company.

39

An order under section 6 of the Local Government (Scotland) Act 1975 (valuation by formula of certain lands and heritages) which applies in relation to lands and heritages occupied by the Corporation and is effective on the transfer date shall have effect as if it applied in relation to the corresponding lands and heritages occupied by the successor company.

40

The repeal by this Act of section 10 of and Schedule 1 to the Oil and Gas (Enterprise) Act 1982 shall not affect the operation of any scheme made under that section before the transfer date.

41

• (1) Where a distribution is proposed to be declared during the accounting reference period of the successor company which includes the transfer date or before any accounts are laid or filed in respect of that period, sections 270 to 276 of the Companies Act 1985 (accounts relevant for determining whether a distribution may be made by a company) shall have effect as if—

• (a) references in section 270 to the company’s accounts or to accounts relevant under that section; and

• (b) references in section 273 to initial accounts,

included references to such accounts as, on the assumptions stated in sub-paragraph (2) below, would have been prepared under section 227 of that Act in respect of the relevant year.

• (2) The said assumptions are—

• (a) that the relevant year had been a financial year of the successor company;

• (b) that the vesting effected by section 49 of this Act had been a vesting of all the property, rights and liabilities (other than any rights or liabilities which vest in the Treasury by virtue of section 50 of this Act) to which the Corporation was entitled or subject immediately before the beginning of the relevant year and had been effected immediately after the beginning of that year;

• (c) after the value of any asset and the amount of any liability of the Corporation vested in the successor company by virtue of that section had been the value or (as the case may be) the amount assigned to that asset or liability for the purposes of that statement of accounts prepared by the Corporation in respect of the financial year immediately preceding the relevant year;