Water Act 1989

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Remuneration, pensions etc. of the chairman of a customer service committee

2

• (1) There shall be paid to the chairman of a customer service committee such remuneration, and such travelling and other allowances, as the Director may determine.

• (2) There shall be paid such pension, allowances or gratuities to or in respect of a person who has held or holds office as the chairman of a customer service committee, or such payments towards provision for the payment of a pension, allowances or gratuities to or in respect of such a person, as may be determined by the Director.

• (3) If, when any person ceases to hold office as such a chairman, the Director determines that there are special circumstances which make it right that that person should receive compensation, there may be paid to him a sum by way of compensation of such amount as may be determined by the Director.

• (4) The approval of the Treasury shall be required for the making of a determination under this paragraph.

Expenses of other members of a customer service committee etc.

3

Subject to paragraph 2 above, neither the members of a customer service committee nor the members of any sub-committee of any such committee shall be paid any sums by the Director for or in respect of their services except—

• (a) in the case of services as a member of a customer service committee, sums reimbursing the member for loss of remuneration, for travelling expenses or for any other out-of-pocket expenses; and

• (b) in the case of services as a member of a sub-committee of a customer service committee, sums reimbursing the member for travelling expenses or for any other out-of-pocket expenses which do not relate to loss of remuneration.

Staff

4

• (1) The Director may, with the approval of the Treasury as to numbers and terms and conditions of service, appoint such officers and employees of a customer service committee or of any sub-committee of a customer service committee as he may determine.

• (2) Anything authorised or required by or under this Act to be done by a customer service committee may be done by any of the officers or employees of the committee, or of any of its sub-committees, who has been authorised for the purpose, whether generally or specially, by the committee or, in accordance with the terms of its appointment, by a sub-committee of the committee.

Financial provisions

5

• (1) The following shall be paid by the Director out of money provided by Parliament, that is to say—

• (a) any sums required to be paid to or in respect of any person under paragraph 2 or 3 above; and

• (b) any expenses incurred by a customer service committee in accordance with any statement approved under sub-paragraph (3) below.

• (2) A customer service committee shall prepare in respect of each financial year a statement of the expenses which it expects to incur in respect of that year—

• (a) in relation to officers and employees of the committee and its sub-committees; or

• (b) otherwise for the purposes of, or in connection with, the carrying out of its functions;

and that statement shall be sent to the Director, in the case of the statement in respect of the financial year current at the establishment of the committee, as soon as practicable after the establishment of the committee and, in any other case, before the beginning of the financial year to which the statement relates.

• (3) The Director shall consider any statement sent to him under sub-paragraph (2) above and shall either approve the statement or approve it with such modifications as he considers appropriate.

Parliamentary disqualification etc.

6

In the House of Commons Disqualification Act 1975, in Part III of Schedule 1 (other disqualifying offices), there shall be inserted (at the appropriate place) the following entry—

Chairman of a customer service committee established under section 6 of the Water Act 1989.

;

and the like insertion shall be made in Part III of Schedule 1 to the Northern Ireland Assembly Disqualification Act 1975.

SCHEDULE 5

Cases where Schedule applies

1

• (1) This Schedule shall apply in each of the cases specified in sub-paragraphs (2) and (3) below.

• (2) The first case in which this Schedule applies is where—

• (a) the Secretary of State or the Director is proposing to make an appointment or variation to which section 12 of this Act applies; and

• (b) by virtue of that appointment a company (“the new appointee”) will hold an appointment as the water undertaker or sewerage undertaker for an area which is or includes the whole or any part of the area for which until the relevant date another company (“the existing appointee”) holds an appointment as the water undertaker or, as the case may be, sewerage undertaker.

• (3) The second case in which this Schedule applies is where—

• (a) the High Court has made a special administration order in relation to any company (“the existing appointee”); and

• (b) it is proposed that on and after the relevant date another company (“the new appointee”) should, without any such appointment or variation as is mentioned in sub-paragraph (2) above having been made, hold an appointment as water undertaker or sewerage undertaker for an area which is or includes the whole or any part of the area for which until that date the existing appointee holds an appointment as water undertaker or, as the case may be, sewerage undertaker.

• (4) In this Schedule—

• “existing appointee” and “new appointee” shall be construed in accordance with sub-paragraph (2) or (3) above according to whether this Schedule is applying in the case mentioned in the first or second of those sub-paragraphs;

• “other appointees” means any companies, other than the existing appointee and the new appointee, which are likely on or at a time after the relevant date to be holding appointments as water undertakers or sewerage undertakers for any area which is or includes any part of the area for which the existing appointee has at any time held an appointment as water undertaker or sewerage undertaker;

• “the relevant date” means—

• (a) where this Schedule applies by virtue of sub-paragraph (2) above, the coming into force of the appointment or variation mentioned in paragraph (a) of that sub-paragraph; and

• (b) where this Schedule applies by virtue of sub-paragraph (3) above, such day, being a day before the discharge of the special administration order takes effect, as the High Court may appoint for the purposes of this Schedule;

• “special administration order” means an order under section 23 of this Act (whether made by virtue of that section or section 24 of this Act); and

• “special administrator”, in relation to a company in relation to which a special administration order has been made, means the person for the time being holding office for the purposes of section 23(2) of this Act.

Making and modification of transfer schemes

2

• (1) The existing appointee, acting with the consent of the new appointee and, in relation to the matters affecting them, of any other appointees, may make a scheme under this Schedule for the transfer of property, rights and liabilities from the existing appointee to the new appointee.

• (2) A scheme under this Schedule shall not take effect unless it is approved by the Secretary of State or the Director.

• (3) Where a scheme under this Schedule is submitted to the Secretary of State or the Director for his approval, he may, with the consent of the new appointee, of the existing appointee and, in relation to the matters affecting them, of any other appointees, modify the scheme before approving it.

• (4) If at any time after a scheme under this Schedule has come into force in relation to the property, rights and liabilities of any company the Secretary of State considers it appropriate to do so and the existing appointee, the new appointee and, in relation to the provisions of the order which affect them, any other appointees consent to the making of the order, the Secretary of State may by order provide that that scheme shall for all purposes be deemed to have come into force with such modifications as may be specified in the order.

• (5) An order under sub-paragraph (4) above may make, with effect from the coming into force of the scheme to which it relates, any such provision as could have been made by the scheme and, in connection with giving effect to that provision from that time, may contain such supplemental, consequential and transitional provision as the Secretary of State considers appropriate.

• (6) In determining, in accordance with his duties under Part I of this Act, whether and in what manner to exercise any power conferred on him by this paragraph the Secretary of State or the Director shall have regard to the need to ensure that any provision for the transfer of property, rights and liabilities in accordance with a scheme under this Schedule allocates property, rights and liabilities to the different companies affected by the scheme in such proportions as appear to him to be appropriate in the context of the different functions which will, by virtue of this Act, be carried out at different times on and after the relevant date by the new appointee, by the existing appointee and by any other appointees.

• (7) It shall be the duty of the new appointee, of the existing appointee and of any other appointees to provide the Secretary of State or the Director with all such information and other assistance as he may reasonably require for the purposes of, or in connection with, the exercise of any power conferred on him by this paragraph.

• (8) A company which without reasonable excuse fails to do anything required of it by virtue of sub-paragraph (7) above shall be guilty of an offence and liable, on summary conviction, to a fine not exceeding level 5 on the standard scale.

• (9) Without prejudice to the other provisions of this Act relating to the special administrator of a company, anything which is required by this paragraph to be done by a company shall, where that company is a company in relation to which a special administration order is in force, be effective only if it is done on the company’s behalf by its special administrator.

Transfers by scheme

3

• (1) A scheme under this Schedule for the transfer of the existing appointee’s property, rights and liabilities shall come into force on the relevant date and, on coming into force, shall have effect, in accordance with its provisions and without further assurance, so as to transfer the property, rights and liabilities to which the scheme relates to the new appointee.

• (2) For the purpose of making any division of property, rights or liabilities which it is considered appropriate to make in connection with the transfer of property, rights and liabilities in accordance with a scheme under this Schedule, the provisions of that scheme may—

• (a) create for the existing appointee, the new appointee or any other appointees an interest in or right over any property to which the scheme relates;

• (b) create new rights and liabilities as between any two or more of those companies; and

• (c) in connection with any provision made by virtue of paragraph (a) or (b) above, make incidental provision as to the interests, rights and liabilities of other persons with respect to the subject-matter of the scheme.

• (3) A scheme under this Schedule may contain provision for the consideration to be provided by the new appointee and by any other appointees in respect of the transfer or creation of property, rights and liabilities by means of the scheme; and any such provision shall be enforceable in the same way as if the property, rights and liabilities had been created or transferred, and (if the case so requires) had been capable of being created or transferred, by agreement between the parties.

• (4) The property, rights and liabilities of the existing appointee that shall be capable of being transferred in accordance with a scheme under this Schedule shall include—

• (a) property, rights and liabilities that would not otherwise be capable of being transferred or assigned by the existing appointee;

• (b) such property, rights and liabilities to which the existing appointee may become entitled or subject after the making of the scheme and before the relevant date as may be described in the scheme;

• (c) property situated anywhere in the United Kingdom or elsewhere;

• (d) rights and liabilities under enactments;

• (e) rights and liabilities under the law of any part of the United Kingdom or of any country or territory outside the United Kingdom.

• (5) Where a scheme under this Schedule is made in the case specified in paragraph 1(3) above, the scheme may provide for the transfer to the new appointee, with such modifications as may be specified in the scheme, of the appointment under tnund r e t uedernent under Chapter I of Part II of this Act which is held by the existing appointee; and in such a case different schemes under this Schedule may provide for the transfer of such an appointment to different companies as respects different parts of the area to which the appointment relates.

• (6) The provision that may be made by virtue of sub-paragraph (2)(b) above includes—

• (a) provision for treating any person who is entitled by virtue of a scheme under this Schedule to possession of a document as having given another person an acknowledgement in writing of the right of that other person to the production of the document and to delivery of copies thereof; and

• (b) provision applying section 64 of the Law of Property Act 1925 (production and safe custody of documents) in relation to any case in relation to which provision falling within paragraph (a) above has effect.

• (7) For the avoidance of doubt, it is hereby declared that the transfers authorised by paragraph (a) of sub-paragraph (4) above include transfers which, by virtue of that paragraph, are to take effect as if there were no such contravention, liability or interference with any interest or right as there would be, in the case of a transfer or assignment otherwise than in accordance with a scheme under this Schedule, by reason of any provision having effect (whether under any enactment or agreement or otherwise) in relation to the terms on which the existing appointee is entitled or subject to the property, right or liability in question.

Supplemental provisions of schemes

4

• (1) A scheme under this Schedule may contain supplemental, consequential and transitional provision for the purposes of, or in connection with, the provision for the transfers or any other provision made by the scheme.

• (2) Without prejudice to the generality of sub-paragraph (1) above, a scheme under this Schedule may provide—

• (a) that for purposes connected with any transfers made in accordance with the scheme (including the transfer of rights and liabilities under an enactment) the new appointee is to be treated as the same person in law as the existing appointee;

• (b) that, so far as may be necessary for the purposes of or in connection with any such transfers, agreements made, transactions effected and other things done by or in relation to the existing appointee are to be treated as made, effected or done by or in relation to the new appointee;

• (c) that, so far as may be necessary for the purposes of or in connection with any such transfers, references in any agreement (whether or not in writing) or in any deed, bond, instrument or other document to, or to any officer of, the existing appointee are to have effect with such modifications as are specified in the scheme;

• (d) that proceedings commenced by or against the existing appointee are to be continued by or against the new appointee;

• (e) that the effect of any transfer under the scheme in relation to contracts of employment with the existing appointee is not to be to terminate any of those contracts but is to be that periods of employment with the existing appointee are to count for all purposes as periods of employment with the new appointee;

• (f) that disputes as to the effect of the scheme between the existing appointee and the new appointee, between either of them and any other appointee or between different companies which are other appointees are to be referred to such arbitration as may be specified in or determined under the scheme;

• (g) that determinations on such arbitrations and certificates given jointly by two or more such appointees as are mentioned in paragraph (f) above as to the effect of the scheme as between the companies giving the certificates are to be conclusive for all purposes.

Duties of existing appointee after the scheme comes into force

5

• (1) A scheme under this Schedule may provide for the imposition of duties on the existing appointee and on the new appointee to take all such steps as may be requisite to secure that the vesting in the new appointee, by virtue of the scheme, of any foreign property, right or liability is effective under the relevant foreign law.

• (2) The provisions of a scheme under this Schedule may require the existing appointee to comply with any directions of the new appointee in performing any duty imposed on the existing appointee by virtue of a provision included in the scheme under sub-paragraph (1) above.

• (3) A scheme under this Schedule may provide that, until the vesting of any foreign property, right or liability of the existing appointee in the new appointee is effective under the relevant foreign law, it shall be the duty of the existing appointee to hold that property or right for the benefit of, or to discharge that liability on behalf of, the new appointee.

• (4) Nothing in any provision included by virtue of this paragraph in a scheme under this Schedule shall be taken as prejudicing the effect under the law of any part of the United Kingdom of the vesting by virtue of the scheme in the new appointee of any foreign property, right or liability.

• (5) A scheme under this Schedule may provide that, in specified cases, foreign property, rights or liabilities that are acquired or incurred by an existing appointee after the scheme comes into force are immediately to become property, rights or liabilities of the new appointee; and such a scheme may make the same provision in relation to any such property, rights or liabilities as can be made, by virtue of the preceding provisions of this paragraph, in relation to foreign property, rights and liabilities vested in the existing appointee when the scheme comes into force.

• (6) 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 to be determined (in accordance with the rules of private international law) by reference to the law of a country or territory outside the United Kingdom.

• (7) Any expenses incurred by an existing appointee in consequence of any provision included by virtue of this paragraph in a scheme under this Schedule shall be met by the new appointee.

• (8) Duties imposed on a company by virtue of this paragraph shall be enforceable in the same way as if they were imposed by a contract between the existing appointee and the new appointee.

Further transitional provision and local statutory provisions

6

• (1) The Secretary of State may, if he thinks it appropriate to do so for the purposes of, or in connection with, any appointment or variation to which section 12 of this Act applies or any scheme under this Schedule, by order made by statutory instrument—

• (a) make any provision which corresponds in relation to any enactment mentioned in Schedule 26 to this Act to any provision made by that Schedule or makes similar provision in relation to any other enactment;

• (b) amend or repeal any local statutory provision.

• (2) An order under this paragraph may—

• (a) make provision applying generally in relation to local statutory provisions of a description specified in the order;

• (b) make different provision for different cases, including different provision in relation to different persons, circumstances or localities; and

• (c) contain such supplemental, consequential and transitional provision as the Secretary of State considers appropriate.

SCHEDULE 6

Part I — Modifications of the 1986 Act

General application of provisions of 1986 Act

1

Where a special administration order has been made, sections 11 to 15, 17 to 23 and 27 of the 1986 Act (which relate to administration orders under Part II of that Act) shall apply, with the modifications specified in the following provisions of this Part of this Schedule—

• (a) as if references in those sections to an administration order were references to a special administration order and references to an administrator were references to a special administrator; and

• (b) where the company in relation to which the order has been made is a statutory water company that is not a limited company, as if references to a company included references to such a company.

Effect of order

2

In section 11 of the 1986 Act (effect of order), as applied by this Part of this Schedule—

• (a) the requirement in subsection (1)(a) that any petition for the winding up of the company shall be dismissed shall be without prejudice to the special administration order in a case where the order is made by virtue of section 24 of this Act;

• (b) the references in subsections (1)(b), (3)(b) and (4) to an administrative receiver, in relation to a statutory water company that is not a limited company, shall include references to any receiver whose functions in relation to that company correspond to those of an administrative receiver in relation to a limited company; and

• (c) the reference in subsection (3)(d) to proceedings shall include a reference to any proceedings under or for the purposes of section 20 of this Act.

Appointment of special administrator

3

In section 13 of the 1986 Act (appointment of administrator), as applied by this Part of this Schedule, for subsection (3) there shall be substituted the following subsection—

(3) An application for an order under subsection (2) may be made— (a) by the Secretary of State; (b) with the consent of the Secretary of State, by the Director General of Water Services; (c) by any continuing special administrator of the compa3y; or (d) where there is no such special administrator, by the compane, the directors or any creditor or creditors of the company.

General powers of special administrator

4

In section 14 of the 1986 Act (general powers of administrator), as applied by this Part of this Schedule—

• (a) in subsection (1)(b), the reference to the powers specified in Schedule 1 to that Act shall be deemed to include a reference to a power to act on behalf of the company for the purposes of this Act, any local statutory provision or the exercise or performance of any power or duty which is conferred or imposed on the company by virtue of its holding an appointment under Chapter I of Part II of this Act; and

• (b) in subsection (4), the reference to a power conferred by the company’s memorandum or articles of association shall be deemed to include a reference to a power conferred by a local statutory provision or by virtue of the company’s holding such an appointment.

Power to deal with charged property

5

• (1) Section 15 of the 1986 Act (power to deal with charged property), as applied by this Part of this Schedule, shall have effect as follows.

• (2) In subsection (5)(b) (amount to be paid to chargeholder not to be less than open market value), for the words “in the open market by a willing vendor” there shall be substituted the words “for the best price which is reasonably available on a sale which is consistent with the purposes of the special administration order”.

• (3) Subsections (7) and (8) (notice to registrar) shall not apply where the company in relation to which the special administration order is made is a statutory water company that is not a limited company.

Duties of special administrator

6

• (1) Section 17 of the 1986 Act (duties of administrator), as applied by this Part of this Schedule, shall have effect as follows.

• (2) For subsection (2) there shall be substituted the following subsection—

(2) Subject to any directions of the court, it shall be the duty of the special administrator to manage the affairs, business and property of the company in accordance with proposals, as for the time being revised under section 23, which have been prepared for the purposes of that section by him or any predecessor of his.

• (3) In subsection (3), paragraph (a) (right of creditors to require the holding of a creditors' meeting) shall be omitted.

Discharge of order

7

• (1) Section 18 of the 1986 Act (discharge and variation of administration order), as applied by this Part of this Schedule, shall have effect as follows.

• (2) For subsections (1) and (2) there shall be substituted the following subsection—

(1) An application for a special administration order to be discharged may be made— (a) by the special administrator, on the ground that the purposes of the order have been achieved; or (b) by the Secretary of State or, with the consent of the Secretary of State, the Director General of Water Services, on the ground that it is no longer necessary that those purposes are achieved.

• (3) In subsection (3), the words “or vary” shall be omitted.

• (4) In subsection (4), the words “or varied” and “or variation” shall be omitted and for the words “to the registrar of companies” there shall be substituted—

• (a) where the company in relation to which the special administration order is made is a statutory water company that is not a limited company, the words “to the Director General of Water Services”; and

• (b) in any other case, the words “to the registrar of companies and to the Director General of Water Services”.

Notice of making of order

8

In section 21(2) of the 1986 Act (notice of order to be given by administrator), as applied by this Part of this Schedule, for the words “to the registrar of companies” there shall be substituted—

• (a) where the company in relation to which the special administration order is made is a statutory water company that is not a limited company, the words “to the Director General of Water Services”; and

• (b) in any other case, the words “to the registrar of companies, to the Director General of Water Services”.

Statement of proposals

9

In section 23 of the 1986 Act (statement of proposals), as applied by this Part of this Schedule, for subsections (1) and (2) there shall be substituted the following subsections—

(1) Where a special administration order has been made, the special administrator shall, within 3 months (or such longer period as the court may allow) after the making of the order send a statement of his proposals for achieving the purposes of the order— (a) to the Secretary of State and to the Director General of Water Services; (b) so far as he is aware of their addresses, to all creditors of the company; and (c) except where the company in relation to which the special administration order is made is a statutory water company that is not a limited company, to the registrar of companies; and may from time to time revise those proposals. (2) If at any time— (a) the special administrator proposes to make revisions of the proposals for achieving the purposes of the special administration order; and (b) those revisions appear to him to be substantial, the special administrator shall, before making those revisions, send a statement of the proposed revisions to the Secretary of State, to the Director General of Water Services, (so far as he is aware of their addresses) to all creditors of the company and, except where the company in relation to which the special administration order is made is a statutory water company that is not a limited company, to the registrar of companies. (2A) Where the special administrator is required by subsection (1) or (2) to send any person a statement before the end of any period or before making any revision of any proposals, he shall also, before the end of that period or, as the case may be, before making those revisions either— (a) send a copy of the statement (so far as he is aware of their addresses) to all members of the company; or (b) publish in the prescribed manner a notice stating an address to which members should write for copies of the statement to be sent to them free of charge.

Applications to court

10

• (1) Section 27 of the 1986 Act (protection of interests of creditors and members), as applied by this Part of this Schedule, shall have effect as follows.

• (2) After subsection (1) there shall be inserted the following subsection—

(1A) At any time when a special administration order is in force the Secretary of State or, with the consent of the Secretary of State, the Director General of Water Services may apply to the High Court by petition for an order under this section on the ground that the special administrator has exercised or is exercising, or proposing to exercise, his powers in relation to the company in a manner which— (a) will not best ensure the achievement of the purposes of the order; or (b) without prejudice to paragraph (a) above, involves either a contravention of the conditions of the company’s appointment under Chapter I of Part II of the Water Act 1989 or of any statutory or other requirement imposed on the company in consequence of that appointment.

• (3) In subsection (3) (order not to prejudice or prevent voluntary arrangements or administrator’s proposals), for paragraphs (a) and (b) there shall be substituted the words “the achievement of the purposes of the order”.

• (4) Subsections (4)(d) and (6) (power of court to order discharge) shall be omitted.

Part II — Supplemental

General adaptations and saving

11

• (1) Subject to the preceding provisions of this Schedule, references in the 1986 Act (except in sections 8 to 10 and 24 to 26) or in any other enactment passed before this Act to an administration order under Part II of that Act, to an application for such an order and to an administrator shall include references, respectively, to a special administration order, to an application for a special administration order and to a special administrator.

• (2) Subject as aforesaid and to sub-paragraph (3) below, references in the 1986 Act or in any other enactment passed before this Act to an enactment contained in Part II of that Act shall include references to that enactment as applied by section 23 of this Act or Part I of this Schedule.

• (3) Sub-paragraphs (1) and (2) above shall apply in relation to a reference in an enactment contained in Part II of the 1986 Act only so far as necessary for the purposes of the operation of the provisions of that Part as so applied.

• (4) The provisions of this Schedule shall be without prejudice to the power conferred by section 411 of the 1986 Act (company insolvency rules), as modified by sub-paragraphs (1) and (2) above.

Interpretation

12

• (1) In this Schedule “the 1986 Act” means the Insolvency Act 1986.

• (2) In this Schedule and in any modification of the 1986 Act made by this Schedule—

• “special administration order” means an order under section 23 of this Act (whether made by virtue of that section or section 24 of this Act); and

• “special administrator”, in relation to a special administration order, means any person appointed in relation to that order for the purposes of section 23(2) of this Act.

SCHEDULE 7

Orders to which Schedule applies

1

This Schedule applies to orders under section 51 or 111 of this Act; and in this Schedule—

• “a relevant authority”— in relation to an order under section 51 of this Act, means the Director or a water undertaker; and in relation to an order under section 111 of this Act, means the Authority; and

• “the relevant locality”— in relation to a proposed order under section 51 of this Act, means the locality which would be affected by the provision proposed to be made by the order; and in relation to a proposed order under section 111 of this Act, means the area proposed to be designated as a water protection zone by the order.

Applications for orders

2

• (1) Where a relevant authority applies to the Secretary of State for an order to which this Schedule applies, the applicant shall—

• (a) submit to the Secretary of State a draft of the order applied for;

• (b) publish a notice with respect to the application, at least once in each of two successive weeks, in one or more newspapers circulating in the relevant locality;

• (c) not later than the date on which that notice is first published serve a copy of the notice on every local authority and water undertaker whose area includes the whole or any part of that locality; and

• (d) publish a notice in the London Gazette which—

• (i) states that the draft order has been submitted to the Secretary of State;

• (ii) names every local authority on whom a notice is required to be served under this paragraph;

• (iii) specifies a place where a copy of the draft order and of any relevant map or plan may be inspected; and

• (iv) gives the name of every newspaper in which the notice required by virtue of paragraph (b) above was published and the date of an issue containing the notice.

• (2) The notice required by virtue of sub-paragraph (1)(b) above to be published with respect to an application for an order shall—

• (a) state the general effect of the order applied for;

• (b) specify a place where a copy of the draft order and of any relevant map or plan may be inspected by any person free of charge at all reasonable times during the period of twenty-eight days beginning with the date of the first publication of the notice; and

• (c) state that any person may, within that period, by notice to the Secretary of State object to the making of the order.

Supply of copies of draft orders

3

The applicant for an order to which this Schedule applies shall, at the request of any person and on payment by that person of such charge (if any) as the applicant may reasonably require, furnish that person with a copy of the draft order submitted to the Secretary of State under paragraph 2 above.

Modifications of proposals

4

• (1) On an application for an order to which this Schedule applies, the Secretary of State may make the order either in the terms of the draft order submitted to him or, subject to sub-paragraph (2) below, in those terms as modified in such manner as he thinks fit, or may refuse to make an order.

• (2) The Secretary of State shall not make such a modification of a draft order submitted to him as he considers is likely adversely to affect any persons unless he is satisfied that the applicant for the order has given and published such additional notices, in such manner, as the Secretary of State may have required.

• (3) Subject to sub-paragraph (2) above and to the service of notices of the proposed modification on such local authorities as appear to him to be likely to be interested in it, the modifications that may be made by the Secretary of State of a draft order under section 111 of this Act include any modification of the area designated by the draft order as a water protection zone.

Consideration of objections etc.

5

Without prejudice to section 120 of this Act, where an application for an order to which this Schedule applies has been made, the Secretary of State may, if he considers it appropriate to do so, hold a local inquiry before making any order on the application.

SCHEDULE 8

General

1

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

The Public Health Act 1936 (c. 49)

2

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

• (11) Without prejudice to the powers conferred by virtue of Chapter IV of Part II of this Act, no liability shall arise at any time on or after the transfer date to make a payment by virtue of section 337 of the 1936 Act (saving for certain yearly payments).

• (12) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

The Public Health (Drainage of Trade Premises) Act 1937 (c. 40)

3

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

The Public Health Act 1961 (c. 64)

4

• (1) Sections 12 to 14 of and Schedule 2 to the 1961 Act (contributions to costs of sewering highways etc.) shall cease to have effect.

• (2) On and after the transfer date—

• (a) appeals under section 60 of the 1961 Act (power to vary conditions); and

• (b) applications under section 62 of that Act (power to vary directions),

shall be made to the Director, instead of to the Secretary of State; and, accordingly, references in those provisions and in sections 66 and 68 of that Act to the Secretary of State shall have effect on and after that date, in relation to any such appeal or application, as references to the Director.

• (3) Sub-paragraph (4) of paragraph 3 above shall apply with the necessary modifications in relation to an appeal under section 60 of the 1961 Act as it applies in relation to such an appeal or reference as is mentioned in that sub-paragraph.

• (4) On and after the transfer date the power under subsection (5) of section 60 of the 1961 Act to give permission for an appeal under that section to be brought more than two months after the giving of a notice of any direction under subsection (1) of that section shall be exercisable only by the Director.

• (5) In section 63(1)(a) of the 1961 Act (extension of definition of “trade”), after the words “horticultural purposes” there shall be inserted the words “or for the purposes of fish farming”, and after the word “horticulture” in the words after paragraph (b) there shall be inserted the words “fish farming”.

• (6) The provisions of Part XII of the 1936 Act so far as they have effect by virtue of section 1(3) of the 1961 Act in relation to any enactment contained in Part V of the 1961 Act shall so have effect as they have effect, by virtue of the preceding provisions of this Schedule, in relation to the sections specified in paragraph 1(2)(a) above.

The Control of Pollution Act 1974 (c. 40)

5

• (1) In section 43 of the Control of Pollution Act 1974 (control of discharges into sewers)—

• (a) for the references in subsections (1) and (6) to a water authority there shall, in relation to any time on or after the transfer date, be substituted references to a sewerage undertaker;

• (b) for the references in subsections (3) and (5) to the water authority whose consent for any discharge is deemed to be given by virtue of subsection (2) of that subsection there shall, in relation to any such time, be substituted references to the sewerage undertaker for the area which immediately before that date was that water authority’s area for the purposes of section 14 of the 1973 Act; and

• (c) for the references in subsection (5) (appeals to the Secretary of State) to the Secretary of State there shall, in relation to any such time, be substituted references to the Director;

and any regulations made under the said subsection (5) and in force immediately before that date shall have effect on and after that date (subject to any revocation or amendment in exercise of the power conferred by that subsection) with such modifications as may be necessary in consequence of paragraphs (a) and (b) above or for the purpose of enabling appeals made on or after that date to be made to and determined by the Director.

• (2) In section 44(3) of the said Act of 1974 (regulations with respect to arbitrations) and in any regulations made under that section and in force immediately before the transfer date, for references to a water authority there shall be substituted references to a sewerage undertaker.

• (3) In section 45 of the said Act of 1974 (early variations of conditions of discharges), for references to a water authority there shall be substituted references to a sewerage undertaker.

• (4) On and after the transfer date appeals under subsection (4) of the said section 45 shall be made to the Director, instead of to the Secretary of State; and, accordingly, references in that subsection to the Secretary of State shall have effect on and after that date as references to the Director.

The Building Act 1984 (c. 55)

6

• (1) In subsection (1) of section 18 of the Building Act 1984 (building over a sewer etc.), for the words in paragraph (b) from “sewer or drain” to “sewers” there shall be substituted the words “drain, sewer or disposal main that is shown on any map of sewers or to erect it on such a site or in such a manner as would result in its interfering with the use of any such drain, sewer or disposal main or in its obstructing the access of any person to any such drain, sewer or disposal main”.

• (2) In subsection (2) of that section (notification to water authority)—

• (a) for the words in paragraph (b) from “a water” to “sewers” there shall be substituted the words “a drain, sewer or disposal main that is shown on any map of sewers and is vested in a sewerage undertaker or to erect it on such a site or in such a manner as would result in its interfering with the use of any such drain, sewer or disposal main or in its obstructing the access of any person to any such drain, sewer or disposal main”; and

• (b) for the words “the water authority” there shall be substituted the words “the sewerage undertaker”.

• (3) For subsection (3) of that section (directions by water authority) there shall be substituted the following subsection—

(3) Subject to subsection (4) below, where a sewerage undertaker notifies a local authority of its requirements as to the manner in which the authority are to exercise their functions under subsection (1) above in relation to any case or description of cases affecting any of the undertaker’s drains, sewers or disposal mains and those requirements are reasonable, it shall be the duty of the council so to exercise those functions in accordance with those requirements.

• (4) In subsection (4) of that section (appeal to magistrates’ court), in paragraph (a) for the words “sewer or drain” there shall be substituted the words “drain, sewer or disposal main” and for paragraph (b) there shall be substituted the following paragraphs—

(b) whether the site on which or the manner in which it is proposed to erect a building or an extension of a building is such as would result in the building or extension interfering with the use of any such drain, sewer or disposal main or in its obstructing the access of any person to any such drain, sewer or disposal main; or (c) whether, and if so on what conditions, a consent ought to be given by a local authority; or (d) whether, for the purposes of paragraph (c) above, any requirements notified to a local authority by a sewerage undertaker under subsection (3) above are reasonable,

.

• (5) In subsection (5) of that section (interpretation)—

• (a) before the definition of “drain” there shall be inserted the following definition—

“disposal main” has the same meaning as in paragraph 1 of Schedule 19 to the Water Act 1989;

• (b) for paragraph (a) of the definition of “map of sewers” there shall be substituted the following paragraph—

(a) any records kept by a sewerage undertaker under section 166 of the Water Act 1989 (sewer maps)

.

7

In section 60(4) of the said Act of 1984 (notice of contravention of provisions with respect to the use and ventilation of soil pipes), the words “or the water authority for the area” shall be omitted.

SCHEDULES 9—14

References to the Secretary of State

1

• (1) Subject to sub-paragraph (2) below, where—

• (a) a trade effluent notice with respect to discharges of any trade effluent to which section 74 of this Act applies is served on a sewerage undertaker under the 1937 Act by the owner or occupier of any trade premises; or

• (b) a sewerage undertaker and the owner or occupier of any trade premises are proposing to enter into any agreement under section 7 of that Act with respect to, or to any matter connected with, the reception or disposal of any such effluent,

it shall be the duty of the undertaker to refer to the Secretary of State the question whether the proposed operations should be prohibited and the question whether, if they are not prohibited, any requirements should be imposed as to the conditions on which they are carried out.

• (2) Where a trade effluent notice is served on a sewerage undertaker, the reference required to be made by virtue of sub-paragraph (1)(a) above shall be made before the end of the period of two months beginning with the day after service of the notice, but there shall be no obligation to make such a reference if, before the end of that period, there is a refusal by the sewerage undertaker to give any consent on the application contained in the notice.

• (3) If, on an appeal under section 3 of the 1937 Act, it appears to the Director—

• (a) that the case is one in which the sewerage undertaker in question is required to make a reference under sub-paragraph (1) above before giving a consent under that Act; and

• (b) that the undertaker has not made such a reference, whether because the case falls within sub-paragraph (2) above or otherwise,

the Director shall not be entitled to determine the appeal, otherwise than by upholding a refusal, except where he has himself referred the questions mentioned in sub-paragraph (1) above to the Secretary of State and has been sent a copy of the notice of the Secretary of State’s determination on the reference.

• (4) Every reference made under this paragraph shall be made in writing and shall be accompanied—

• (a) in the case of a reference by virtue of paragraph (a) of sub-paragraph (1) above or sub-paragraph (3) above, by a copy of the trade effluent notice in respect of which the reference is made; and

• (b) in the case of a reference by virtue of paragraph (b) of sub-paragraph (1) above, by a copy of the proposed agreement;

and it shall be the duty of a sewerage undertaker where a reference has been made under this paragraph not to give any consent or enter into any agreement with respect to the proposed operations until the Secretary of State serves notice on the sewerage undertaker of his determination on the reference.

• (5) It shall be the duty of a sewerage undertaker and of the Director, on making a reference under this paragraph, to serve a copy of the reference on the relevant person; and it shall also be the duty of the Director, on making such a reference, to serve a copy of the reference on the sewerage undertaker in question.

• (6) Where a reference is made to the Secretary of State by virtue of sub-paragraph (1)(a) above, the initial period for the purposes of section 3 of the 1937 Act shall not begin to run in relation to the trade effluent notice in respect of which the reference is made until the beginning of the day after the Secretary of State serves notice on the sewerage undertaker in question of his determination on the reference.

Reviews by the Secretary of State

2

• (1) Where any person, as the owner or occupier of any trade premises, is (whether or not in accordance with a notice under paragraph 3 below) either—

• (a) for the time being authorised by virtue of a consent under the 1937 Act to make discharges of any trade effluent to which section 74 of this Act applies from those premises into any public sewer of a sewerage undertaker; or

• (b) for the time being a party to any agreement under section 7 of that Act with respect to, or to any matter connected with, the reception or disposal of any such effluent,

the Secretary of State may review the question whether the authorised operations should be prohibited and the question whether, if they are not prohibited, any requirements should be imposed as to the conditions on which they are carried out.

• (2) Subject to sub-paragraph (3) below, the Secretary of State shall not review any question under this paragraph unless—

• (a) a period of more than two years has elapsed since the relevant time;

• (b) the consent, agreement or variation by virtue of which the authorised operations are carried out—

• (i) was given, entered into or made either before the transfer date or in contravention of paragraph 4 below; and

• (ii) has not previously been the subject-matter of a review;

or

• (c) there has since the relevant time been a contravention of any provision which was included in that consent, agreement or variation in compliance with a requirement of a notice under paragraph 3 below.

• (3) Sub-paragraph (2) above shall not apply if the review is carried out—

• (a) for the purpose of enabling Her Majesty’s Government in the United Kingdom to give effect to any Community obligation or to any international agreement to which the United Kingdom is for the time being a party; or

• (b) for the protection of public health or of flora and fauna dependent on an aquatic environment.

Determinations on a reference or review

3

• (1) On a reference or review under paragraph 1 or 2 above, it shall be the duty of the Secretary of State, before determining the questions which are the subject-matter of the reference or review—

• (a) to give an opportunity of making representations or objections to the Secretary of State to the sewerage undertaker in question and to the relevant person; and

• (b) to consider any representations or objections which are duly made to him with respect to those questions by that undertaker or by the relevant person and are not withdrawn.

• (2) On determining any question on a reference or review under paragraph 1 or 2 above, the Secretary of State shall serve notice on the sewerage undertaker in question and on the relevant person, stating, according to what has been determined—

• (a) that the proposed or authorised operations, or such of them as are specified in the notice, are to be prohibited; or

• (b) that those operations, or such of them as are so specified, are to be prohibited except in so far as they are carried out in accordance with conditions which consist in or include conditions so specified; or

• (c) that the Secretary of State has no objection to those operations and does not intend to impose any requirements as to the conditions on which they are carried out.

• (3) Without prejudice to paragraph 4 below, a notice under this paragraph, in addition to containing such provision as is specified in sub-paragraph (2) above, may do one or both of the following, that is to say—

• (a) vary or revoke the provisions of a previous notice with respect to the proposed or authorised operations; and

• (b) for the purpose of giving effect to any prohibition or other requirement contained in the notice, vary or revoke any actual or deemed consent under the 1937 Act or any agreement under section 7 of that Act.

• (4) The Secretary of State shall send a copy of every notice served under this paragraph to the Director.

Effect of determination

4

• (1) Where a notice under paragraph 3 above has been served on a sewerage undertaker, it shall be the duty of the undertaker and, in relation to that undertaker, of the Director so to exercise the powers to which this paragraph applies as to secure compliance with the provisions of the notice.

• (2) This paragraph applies to the following powers, that is to say—

• (a) in relation to a sewerage undertaker, any of its powers under section 2 of the 1937 Act (trade effluent consents) or section 60 of the 1961 Act (variation of conditions) and any power to enter into or vary an agreement under section 7 of the 1937 Act; and

• (b) in relation to the Director, any of his powers under the 1937 Act, Part V of the 1961 Act or section 43 of the Control of Pollution Act 1974.

• (3) Nothing in section 59 of the 1961 Act (conditions of consent) shall be construed as restricting the power of the Secretary of State, by virtue of sub-paragraph (2)(b) of paragraph 3 above, to specify such conditions as he considers appropriate in a notice under that paragraph or restricting the power of a sewerage undertaker, for the purpose of complying with this paragraph, to impose any condition specified in such a notice.

Enforcement

5

Any duty of a sewerage undertaker under this Schedule shall be enforceable under section 20 of this Act by the Secretary of State; but where an application is made to the Secretary of State under that section in respect of a failure by a sewerage undertaker to make a reference under paragraph 1 above, the Secretary of State may, instead of making an order under that section, proceed with the matter as if the application were the reference.

Compensation

6

• (1) Subject to sub-paragraph (2) below, the Secretary of State shall be liable to pay compensation to the relevant person in respect of any loss or damage sustained by that person as a result of any notice under paragraph 3 above containing the Secretary of State’s determination on a review which—

• (a) has been carried out by virtue of sub-paragraph (3)(b) of paragraph 2 above; and

• (b) but for the said sub-paragraph (3)(b), would have been prohibited by virtue of sub-paragraph (2) of that paragraph.

• (2) The Secretary of State shall not be required to pay any compensation under sub-paragraph (1) above if the determination in question is shown to have been given in consequence of—

• (a) a change of circumstances which could not reasonably have been foreseen at the relevant time; or

• (b) consideration by the Secretary of State of material information which was not reasonably available to him at that time.

• (3) Any compensation required to be paid by the Secretary of State under this paragraph shall be paid out of money provided by Parliament.

• (4) No person shall be entitled to any compensation under section 45 of the Control of Pollution Act 1974 (early variation of conditions) in respect of anything done in pursuance of paragraph 4 above.

Power of entry

7

Section 287 of the Public Health Act 1936 and section 10 of the 1937 Act (powers of entry) shall have effect in relation to the provisions of this Schedule as they have effect, in accordance with paragraph 3(7) of Schedule 8 to this Act, in relation to the 1937 Act but as if the designation required by virtue of paragraph 2(9)(a) of that Schedule were a designation by the Secretary of State.

Power to disclose information obtained under the 1937 Act

8

In section 68(1) of the 1961 Act (restriction on disclosure of information), the references in paragraphs (b) and (c) to the 1937 Act shall include references to this Schedule.

Interpretation

9

In this Schedule—

• “the 1937 Act” means the Public Health (Drainage of Trade Premises) Act 1937;

• “the 1961 Act” means the Public Health Act 1961;

• “the authorised operations”— in relation to a case in which there is a review by virtue of sub-paragraph (1)(a) of paragraph 2 above, means the discharges to which the review relates; and in relation to a case in which there is a review by virtue of sub-paragraph (1)(b) of that paragraph, means such operations for the purposes of, or in connection with, the reception and disposal of trade effluent as are carried out in pursuance of the agreement to which the review relates;

• “the proposed operations”— in relation to a case in which there is a reference by virtue of sub-paragraph (1)(a) or (3) of paragraph 1 above, means the discharges to which the reference relates; and in relation to a case in which there is a reference by virtue of sub-paragraph (1)(b) of that paragraph, means such operations for the purposes of, or in connection with, the reception and disposal of trade effluent as would be carried out in pursuance of the proposed agreement;

• “the relevant person”, in relation to a reference or review under paragraph 1 or 2 above, means the owner or occupier of the trade premises in question, according to whether the authorised or proposed operations to which the reference or review relates are operations by the owner or occupier or, as the case may be, to whether it is the owner or occupier who is proposing to be or is a party to the agreement to which the reference or review relates;

• “the relevant time”, in relation to a review of any consent or agreement, means the time or last time when notice of the Secretary of State’s determination, on a reference or review under paragraph 1 or 2 above of any question relating to that consent or agreement, was served on the owner or occupier of the trade premises in question;

• “trade effluent” and “trade premises” have the same meanings as in the 1937 Act.

SCHEDULE 10

Power of entry for installation etc. of meter

1

• (1) Subject to the following provisions of this paragraph, where—

• (a) any water undertaker or sewerage undertaker has fixed any charges in relation to any premises by reference to volume or has given notice of its intention of so fixing any charges within the period specified in the notice; and

• (b) there is either—

• (i) a service pipe which is connected with a water undertaker’s water main and by which a supply of water is or could be provided to those premises or to any building in which those premises are contained; or

• (ii) a drain or private sewer which connects those premises with a public sewer,

the water undertaker or, as the case may be, the sewerage undertaker shall have power to carry out any works specified in sub-paragraph (3) below; and any person designated in writing for the purpose by the undertaker may enter those premises, or any land occupied with those premises, for any of the purposes specified in sub-paragraph (4) below.

• (2) The power under sub-paragraph (1) to carry out works specified in sub-paragraph (3) below shall include power to carry out such works in a street; and the power conferred by virtue of sub-paragraph (1)(d) of paragraph 2 of Schedule 19 to this Act and sub-paragraphs (4) to (6), (8) and (9) of that paragraph and paragraph 3 of that Schedule shall apply in relation to the power conferred by this sub-paragraph as they apply in relation to the powers conferred by the said paragraph 2.

• (3) The works mentioned in sub-paragraphs (1) and (2) above are, in relation to any premises—

• (a) works consisting in the installation and connection of any meter for use in determining the amount of any charges which have been or may be fixed in relation to the premises;

• (b) where the premises comprise a house which is one of two or more houses to which the supply of water is wholly or partly by the same service pipe, works consisting in the installation and connection, for any purpose connected with the installation or connection of such a meter, of a separate service pipe for that house;

• (c) works for the purpose of maintaining, repairing, disconnecting or removing—

• (i) any meter which has been installed for use in determining the amount of any charges which have been or may be fixed in relation to the premises; or

• (ii) any pipes or apparatus installed in the course of any works specified in this paragraph;

and

• (d) any other works appearing to the undertaker to be necessary or expedient for any purpose connected with the carrying out of any works specified in paragraph (a), (b) or (c) above, including the installation and connection of any pipes or other apparatus on the premises and the alteration or removal of any of the plumbing of the premises.

• (4) The purposes mentioned in sub-paragraph (1) above are—

• (a) the carrying out of any survey or tests for the purpose of determining—

• (i) whether the carrying out of any works by virtue of paragraph (a) or (b) of sub-paragraph (3) above is practicable;

• (ii) whether it is necessary or expedient for any purpose connected with the carrying out of any works by virtue of either of those paragraphs for any other works to be carried out; or

• (iii) how any works specified in that sub-paragraph should be carried out;

• (b) the carrying out of any works so specified;

• (c) the inspection, examination or testing of any meter which is on those premises or of any pipes or apparatus installed in the course of any works which were carried out for any purpose that is connected with the installation, connection, testing, maintenance or repair of any such meter;

• (d) the ascertainment from any meter of the volume of water supplied to, or of effluent discharged from, those premises.

• (5) A notice given for the purposes of sub-paragraph (1)(a) above may relate to particular premises or to any description of premises and shall be given—

• (a) by publishing the notice in the locality in which the premises to which it relates are situated in such a manner as the undertaker considers appropriate for bringing it to the attention of the persons likely to be affected by it; and

• (b) by serving a copy of the notice on the Secretary of State.

• (6) Without prejudice to any power exercisable by virtue of a warrant under section 178 of this Act, no person shall make an entry into any premises by virtue of this paragraph except at a reasonable time and after seven days' notice of the intended entry has been given to the occupier of the premises.

• (7) Any works carried out by a water undertaker by virtue of the provisions of this paragraph shall be necessary works for the purposes of sections 45 to 51 of this Act; but nothing in this paragraph shall prevent the exercise by a water undertaker of its power by virtue of subsection (3)(b) of section 50 of this Act to impose a condition under subsection (1)(c) or (d) of section 43 of this Act in a case where it has, under the said section 50, required the provision of a separate service pipe to any premises.

Expenses of installation etc.

2

• (1) Subject to sub-paragraphs (2) and (3) and paragraph 3(6) below, where any meter to be used in determining the amount of any charges is installed by or at the request of any water undertaker or sewerage undertaker then, notwithstanding the provisions of any enactment not contained in this Schedule or of any agreement to the contrary between the undertaker and any other person, the undertaker shall bear—

• (a) the expenses of installing and connecting the meter;

• (b) any expenses incurred in maintaining, repairing, disconnecting or removing the meter in accordance with any requirements of the undertaker; and

• (c) any expenses incurred in carrying out any works for purposes connected with the installation and connection of the meter or with the maintenance, repair, disconnection or removal of the meter in accordance with any such requirements.

• (2) Sub-paragraph (1) above shall not require any water undertaker or sewerage undertaker to bear, or prevent any such undertaker from recovering from any other person—

• (a) any expenses incurred for the purpose of enabling a condition imposed under section 43(1)(c) or (d) of this Act to be satisfied;

• (b) any sums which it is entitled to recover in pursuance of any terms or conditions determined under section 46 of this Act;

• (c) any sums which it is entitled to recover from that person by virtue of section 50(3)(b) of this Act;

• (d) any expenses incurred in relation to a meter which is or is to be used in determining the amount of—

• (i) any charges which are to be paid in connection with the carrying out of a sewerage undertaker’s trade effluent functions; or

• (ii) any charges provision for which is contained in an agreement entered into in accordance with section 7 of the Public Health (Drainage of Trade Premises) Act 1937;

• (e) any expenses incurred in consequence of the exercise by the occupier of any premises of any option to be charged by the undertaker in relation to any premises by reference to volume rather than by reference to other matters,

except, in the case of expenses falling within paragraph (a) above, where the conditions could not have been imposed but for the exercise by the undertaker of its power by virtue of paragraph (a), (b), (d) or (e) of section 50(2) of this Act to require the provision of a separate service pipe to any premises.

• (3) The occupier of any premises where any water undertaker or sewerage undertaker installs or has installed a meter shall in all cases bear so much of the expenses referred to in sub-paragraph (1) above as is attributable to compliance with a request made by him in accordance with any regulations under section 78(2) of this Act for the positioning, in a place other than that reasonably proposed by the undertaker, either of the meter or of any pipe or apparatus installed for the purpose of facilitating the use of the meter.

• (4) Without prejudice to the preceding provisions of this paragraph or to section 179(5) of this Act, where a person authorised by any water undertaker or sewerage undertaker carries out any works by virtue of paragraph 1 above on any premises, the undertaker shall make good, or pay compensation for, any damage caused by that person or by any person accompanying him by or in connection with the carrying out of the works.

• (5) The reference in sub-paragraph (2) above to a sewerage undertaker’s trade effluent functions is a reference to its functions under the Public Health (Drainage of Trade Premises) Act 1937, Part V of the Public Health Act 1961 and sections 43 to 45 of the Control of Pollution Act 1974.

Offences of tampering with meters etc.

3

• (1) If any person—

• (a) so interferes with a meter used by any water undertaker or sewerage undertaker in determining the amount of any charges fixed in relation to any premises as intentionally or recklessly to prevent the meter from showing, or from accurately showing, the volume of water supplied to, or of effluent discharged from, those premises; or

• (b) carries out any works which he knows are likely to affect the operation of such a meter or which require the disconnection of such a meter,

he shall be guilty of an offence and liable, on summary conviction, to a fine not exceeding level 3 on the standard scale.

• (2) A person shall not be guilty of an offence under sub-paragraph (1) above in respect of anything done by him with the consent of the undertaker who uses the meter.

• (3) Where an application is made to any water undertaker or sewerage undertaker for a consent for the purposes of sub-paragraph (2) above, the undertaker—

• (a) shall give notice of its decision with respect to the application as soon as reasonably practicable after receiving it; and

• (b) may make it a condition of giving any consent that the undertaker itself should carry out so much of any works to which the application relates as is specified in the notice of its decision;

but on such an application the undertaker shall not refuse its consent, or impose any such condition as is mentioned in paragraph (b) above, unless it is reasonable to do so.

• (4) Where any water undertaker or sewerage undertaker has given a notice to any person imposing any such condition as is mentioned in sub-paragraph (3)(b) above, then, unless that person notifies the undertaker that the carrying out of the works to which the condition relates is no longer required, the undertaker—

• (a) shall carry out those works as soon as reasonably practicable after giving the notice; and

• (b) may recover from that person any expenses reasonably incurred by it in doing so.

• (5) Any person who sustains any loss or damage in consequence of any failure by any water undertaker or sewerage undertaker—

• (a) to comply with any obligation imposed on it by this paragraph; or

• (b) to exercise reasonable care in the performance of the duty imposed by sub-paragraph (4)(a) above,

shall be entitled to recover compensation from the undertaker.

• (6) A water undertaker or sewerage undertaker which carries out any works made necessary by the commission of an offence under sub-paragraph (1) above shall be entitled to recover any expenses reasonably incurred in carrying out those works from the person who committed the offence.

Duty of undertakers to inform other undertakers of meter readings

4

• (1) Where—

• (a) different services are provided in relation to the same premises by different undertakers;

• (b) one of those undertakers has obtained a reading from a meter used in determining the amount of any charges fixed in relation to those premises;

• (c) the charges in relation to those premises of another of those undertakers are fixed by reference to any matter to which the reading is relevant; and

• (d) that other undertaker has agreed to bear a reasonable proportion of the expenses of obtaining the reading together with the reasonable expenses of the disclosure of the reading to it,

it shall be the duty of the undertaker who obtained the reading to disclose the reading to the other undertaker.

• (2) The duties of an undertaker under this paragraph shall be enforceable under section 20 of this Act by the Secretary of State.

• (3) In this paragraph “undertaker” means a water undertaker or sewerage undertaker.

Arbitration

5

Any dispute between a water undertaker or sewerage undertaker and any other person (including another such undertaker)—

• (a) as to the exercise of any power under paragraph 1 above to carry out any works on any premises;

• (b) as to whether the undertaker or that other person should bear any expenses under paragraph 2 or 3 above;

• (c) as to the terms to be contained in any agreement for the purposes of paragraph 4(1)(d) above;

• (d) as to whether the undertaker should pay any compensation under paragraph 2 or 3 above; or

• (e) as to the amount of any expenses to be borne by any person under paragraph 2 or 3 above or under any such agreement or as to the amount of any such compensation,