Legalize / United Kingdom / Public General Act

Electricity Act 1989

Type Public General Act

Publication 1989-07-27

Last updated 2026-07-30

State In force

Department Statute Law Database

Source legislation.gov.uk

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articles 1

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(a) a person (“the new supplier”) has entered into a contract with a customer to start supplying electricity to any premises; and

(b) a supply exemption holder is currently supplying electricity to the premises under a contract with that customer.

(2) If one or more of the reasons in sub-paragraph (5) applies, the supply exemption holder may object to the change of supplier by sending notice of the objection and the reason (or reasons) for it to—

(a) the new supplier; and

(b) the customer.

(3) A notice under sub-paragraph (2) must be sent—

(a) as soon as reasonably practicable; and

(b) if the supply exemption holder is notified under paragraph 1(2), or in accordance with a condition in a licence, that the contract has been entered into, not later than the end of the 14th day after the day on which it receives that notification.

(4) If the supply exemption holder objects to a change of supplier because of the reason in sub-paragraph (5)(b), the notice of this objection must also state when the period mentioned in that sub-paragraph will expire.

(5) The reasons in this sub-paragraph are that—

(a) the customer owes money (“the debt”) to the supply exemption holder in respect of electricity supplied to the customer and—

(i) the supply exemption holder has demanded payment of the debt;

(ii) at least 28 days have passed since the date on which the demand was sent to the customer and any date for payment stated in the demand has also passed; and

(iii) the new supplier and the supply exemption holder have not agreed to an arrangement under which some or all of the debt will be assigned to the new supplier; or

(b) a contract between the supply exemption holder and the customer includes a term which prevents the customer from terminating that contract within a specified period which has not expired.

(6) The supply exemption holder must comply with any reasonable request from the new supplier to provide any information, or take any other steps, required to enable the new supplier to start supplying electricity to the customer’s premises.

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(1) A supply exemption holder must not require a household customer to pay any sum in respect of a change of supplier by that household customer.

(2) Sub-paragraph (1) does not prevent a supply exemption holder from requiring payment of any termination fee payable under any contract between it and the household customer.

(3) A supply exemption holder must take all reasonable steps to ensure that a final bill in respect of any unpaid charges for electricity supplied to a household customer’s premises is sent to that customer within 6 weeks of the date on which the supply exemption holder stops supplying electricity to the premises.

Customer contracts

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(1) Where a supply exemption holder enters into a contract with a household customer for the supply of electricity it must provide the customer with a copy of the contract.

(2) The contract must specify—

(a) the identity and address of the supply exemption holder;

(b) the services provided, including any maintenance services provided;

(d) if a connection is required, when that connection will take place;

(e) the means by which up-to-date information may be obtained about—

(i) any applicable tariffs and maintenance charges; and

(ii) the supply exemption holder’s standard terms and conditions;

(f) the duration of the contract;

(g) any conditions for renewal of the contract;

(h) any conditions for termination of the contract or of any services provided under it and whether the customer can terminate the contract if the supply exemption holder increases the applicable tariffs or charges, or changes one or more of the main contractual conditions;

(i) any charges for early termination of the contract;

(j) any compensation and refund arrangements which apply if any service quality levels specified in the contract are not met, including any arrangements which apply in the event of inaccurate or delayed billing;

(k) the methods of dispute resolution available to the customer in the event of a dispute with the supply exemption holder, including how such dispute resolution procedures can be initiated; and

(l) where further information on the customer’s rights as a consumer of electricity can be found.

(3) If a supply exemption holder intends to increase the applicable tariffs or charges payable under a contract with a household customer it must inform that customer of the change and of any applicable termination rights as soon as practicable and no later than the date on which the customer is first charged for electricity at the increased rate.

(4) If a supply exemption holder intends to change any of the main contractual conditions of a contract with a household customer it must inform that customer of the change and of any applicable termination rights at least one month before the change is to come into effect.

(5) Any charge made under the contract for offering a particular payment method, including any charge for use of a pre-payment meter, must reflect the cost to the supply exemption holder of making that payment method available.

(6) A supply exemption holder must not treat a household customer or group of household customers differently without good reason when offering different payment methods to customers.

(7) In this paragraph, “main contractual conditions” means any conditions of the contract which relate to a matter mentioned in any of paragraphs (b), (c) and (f) to (j) of sub-paragraph (2).

Customer information

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(1) No later than 12 months after entering into a contract with a customer to start supplying electricity to any premises, and at intervals of not less than 12 months thereafter, a supply exemption holder must send the customer the information specified in sub-paragraph (3), (4) or (5) (whichever is applicable).

(2) But the supply exemption holder is required to specify the matters mentioned in sub-paragraphs (3)(b) and (4)(b) only so far as it is reasonably practicable to do so.

(3) If the customer is charged for its supply wholly or partly by reference to the quantity of electricity supplied and a meter records the quantity supplied to that customer separately from the quantity supplied to other customers, the information in question is—

(a) the number of that meter if it has one;

(b) the amount of electricity recorded by that meter as having been consumed by that customer in the 12 months immediately preceding the date on which the information is sent (or in the part of the period during which the supply exemption holder supplied electricity to those premises under the contract with the customer); and

(4) If the customer is charged for its supply wholly or partly by reference to the quantity of electricity supplied and that quantity is not recorded using a separate meter, the information in question is—

(a) the number of any meter that recorded the total electricity consumed by that customer and other customers in the 12 months immediately preceding the date on which the information is sent (or in any part of that period during which the supply exemption holder supplied electricity to those premises under the contract with the customer);

(b) the amount of electricity recorded by that meter; and

(5) If the customer is not charged for its supply by reference to the quantity of electricity supplied, the information in question is the total cost that the customer has been charged for that electricity in the 12 months immediately preceding the date on which the information is sent.

(6) A supply exemption holder who is supplying electricity to any premises under a contract with a customer must comply with any written request by the customer to send relevant information—

(a) to the customer, or

(b) to a person who is not currently supplying electricity to the premises under a contract with the customer but has expressed an interest in doing so.

(7) In sub-paragraph (6) “relevant information” means—

(a) if information has been sent to a customer in accordance with sub-paragraph (1) in the previous 12 months, a copy of that information;

(b) in any other case, so much of the information referred to in sub-paragraph (1) as can be readily provided by the supply exemption holder.

(8) A supply exemption holder must not require a customer to pay for any costs associated with preparing or sending information to the customer, or to any other person at the customer’s request, in accordance with this paragraph.

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(1) A supply exemption holder must, so far as is reasonably practicable to do so, inform each customer with each bill of the following matters—

(a) what sources of energy were used to generate the electricity supplied in the period covered by that bill;

(b) the proportions in which the sources of energy were used; and

(c) where further information can be found about the environmental impact of generating electricity using those sources of energy.

(2) A supply exemption holder must, at the end of any period of 12 months during which it has supplied a customer with electricity but has neither sent a bill nor provided the customer with information under this sub-paragraph, provide the customer with the information required by sub-paragraph (1) (but for this purpose sub-paragraph (1)(a) is to be read as if the reference to the period covered by the bill were to the period of 12 months mentioned in this sub-paragraph).

(3) A supply exemption holder must not require a customer to pay for any costs associated with preparing or sending information to the customer in accordance with this paragraph.

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(1) A supply exemption holder must—

(a) with each bill inform each customer what methods of dispute resolution are available to the customer in the event of a dispute with the supply exemption holder; and

(b) with each bill inform each household customer—

(i) where the energy consumer guidance and the concise consumer guidance can be found; and

(ii) that the household customer has a right to request a copy of the concise guidance from the supply exemption holder.

(2) At the end of any period of 12 months during which a supply exemption holder has supplied a customer with electricity but has not sent a bill (nor provided the customer with information under this sub-paragraph) the supply exemption holder must inform the customer of—

(a) the matters mentioned in sub-paragraph (1)(a), and

(b) if the customer is a household customer, the matters mentioned in sub-paragraph (1)(b).

(3) A supply exemption holder must send a household customer a copy of the concise guidance within one month of receiving a request for it from or on behalf of that customer.

(4) A supply exemption holder must not require a customer to pay for any costs associated with preparing or sending information to the customer in accordance with this paragraph.

(5) In this paragraph—

(a) “the energy consumer guidance” means any guidance such as is mentioned in section 19A(1)(a) of the Consumers, Estate Agents and Redress Act 2007 which is published under that section; and

(b) “the concise guidance” means any summary such as is mentioned in section 19A(1)(b) of that Act which is so published.

Determination of disputes

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(1) Sections 44C and 44D apply in relation to an exempt supply dispute as they apply in relation to a section 44B dispute such as is mentioned in section 44C(1), but as if in section 44C(8) the words “against whom a complaint is made as mentioned in section 44B(1)(a), and” were omitted.

(2) A dispute is an “exempt supply dispute” if—

(a) it is wholly or mainly a dispute—

(i) regarding an obligation of a supply exemption holder under this Schedule; or

(ii) as to whether a supply exemption holder who has objected to a change of supplier because of a reason in paragraph 2(5) of this Schedule was entitled to object on that basis;

(b) it arises from a written complaint made against the supply exemption holder; and

Interpretation

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In this Schedule—

“customer” means a person who purchases electricity for the person’s own consumption;

“household customer” means a customer who purchases electricity for consumption by the customer’s own household.

SCHEDULE 2A — Property Schemes

Scheme-making power

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(1) This paragraph applies where a tender exercise is held in relation to a relevant electricity project, a relevant licence or a relevant contract.

(2) The Authority may, on an application under paragraph 3, make a scheme (“a property scheme”) providing for—

(a) the transfer to the successful bidder of, or

(b) the creation in favour of the successful bidder of rights in relation to,

any property, rights or liabilities necessary or expedient for construction, commissioning or operational purposes.

Further provision about the content of a scheme

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(1) A property scheme may also contain—

(a) provision for the creation, in relation to property which the scheme transfers, of an interest in or right over the property in favour of the asset owner;

(b) provision for the creation of any rights or liabilities as between the asset owner and the successful bidder;

(c) provision for imposing on the asset owner or the successful bidder an obligation to enter into a written agreement with, or to execute an instrument of another kind in favour of, the other;

(d) provision requiring the successful bidder to pay the asset owner compensation;

(e) provision requiring the asset owner to pay the successful bidder compensation;

(f) supplemental, incidental and consequential provision.

(2) The property, rights and liabilities which may be transferred by a property scheme include property, rights or liabilities which would not otherwise be capable of being transferred.

(3) If a property scheme provides for the division of an estate or interest in land and any rent is—

(a) payable in respect of the estate or interest under a lease, or

(b) charged on the estate or interest,

the scheme may contain provision for apportionment or division so that one part is payable in respect of, or charged on, only one part of the estate or interest and the other part is payable in respect of, or charged on, only the other part of the estate or interest.

(4) A property scheme which contains provision which affects a third party may also contain provision requiring the successful bidder or the asset owner to pay the third party compensation.

(5) A property scheme may not contain provision for the transfer of, or creation of rights in relation to, property, rights or liabilities that the Authority considers it appropriate for the successful bidder to acquire by other means.

Applications for schemes

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(1) An application for a property scheme may be made by—

(a) the preferred bidder,

(b) the successful bidder, or

(c) a person who owns the property, rights and liabilities in relation to which provision of a kind mentioned in paragraph 1(2) is proposed to be included in the scheme.

(2) An application must specify—

(a) the property, rights and liabilities in relation to which provision of a kind mentioned in paragraph 1(2) is proposed to be included in the scheme,

(b) the name and address of the non-applicant party, and

(c) the name and address of each third party whom the applicant considers would be affected by a provision of the proposed property scheme.

(3) All property, rights and liabilities specified in an application in accordance with sub-paragraph (2)(a) must belong to the same person.

(4) A person may make more than one application under this paragraph.

Timing of applications

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An application for a property scheme, in relation to a tender exercise, may only be made at a time when—

(a) a notice identifying the preferred bidder has been published under paragraph 35(2) (and not withdrawn), or

(b) a notice has been published under paragraph 36 identifying the successful bidder.

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Notifying the non-applicant party

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(1) On receipt of an application for a property scheme, the Authority must serve on the non-applicant party a notice which—

(a) invites the non-applicant party to make representations to the Authority about the application within the period specified in the notice (being not less than 21 days) beginning with the day on which the notice is served, and

(b) describes the effect of paragraphs 9 and 11.

(2) A notice under sub-paragraph (1) must be accompanied by—

(a) a copy of the application, and

(b) a notice under paragraph 16 which complies with the requirements of sub-paragraph (3).

(3) The notice under paragraph 16 must require the non-applicant party to provide the Authority, within the period specified in the notice (being not less than 7 days) beginning with the day on which the notice is served, with—

(a) the name and address of each person to whom sub-paragraph (4) applies, or

(b) if the non-applicant party does not consider that there is any person to whom that sub-paragraph applies, a statement to that effect.

(4) This sub-paragraph applies to a person—

(a) whom the non-applicant party considers is a third party who would be affected by a provision of the proposed property scheme, and

(b) whose name and address were not specified in the application under paragraph 3(2)(c).

Notifying third parties

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(1) As soon as reasonably practicable after receiving the information required by a notice within paragraph 6(2)(b), the Authority must serve on each person within sub-paragraph (2)—

(a) a copy of the application, and

(b) a notice inviting that person to make representations to the Authority about the application within the period specified in the notice (being not less than 21 days) beginning with the day on which the notice is served.

(2) A person is within this sub-paragraph if the person's name and address were—

(a) specified in the application in accordance with paragraph 3(2)(c), or

(b) provided to the Authority in response to a notice within paragraph 6(2)(b).

Publishing the application

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As soon as reasonably practicable after an application is made for a property scheme, the Authority must publish a notice which—

(a) states that an application for a property scheme has been made,

(b) states the names of the applicant and the non-applicant party, and

Supplementing the application

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(1) The non-applicant party may, by notice served on the Authority during the period mentioned in paragraph 6(1)(a), modify the application so as to specify additional property, rights or liabilities of the asset owner in relation to which provision of a kind mentioned in paragraph 1(2) is proposed to be included in the scheme.

(2) Where an application is modified by a notice under sub-paragraph (1) (a “modification notice”), this Schedule has effect from that time as if any additional property, rights or liabilities specified in the notice had been specified in the application in accordance with paragraph 3(2)(a).

(3) A modification notice must specify the name and address of each person—

(a) whom the non-applicant party considers to be a third party who would be affected by a provision of the proposed property scheme as modified by the notice, and

(b) who is not within paragraph 7(2).

(4) On receipt of a modification notice, the Authority must serve on the applicant a notice (a “warning notice”) which invites the applicant to make representations to the Authority about the modification notice within the period specified in the warning notice (being a period of not less than 21 days) beginning with the day on which the warning notice is served.

(5) A warning notice must be accompanied by—

(a) a copy of the modification notice,

(b) a notice under paragraph 16 which complies with the requirements of sub-paragraph (6), and

(c) a copy of any information provided by the non-applicant to the Authority in response to a notice within paragraph 6(2)(b).

(6) The notice under paragraph 16 must require the applicant to provide the Authority, within the period specified in the notice (being not less than 7 days) beginning with the day on which the notice is served, with—

(a) the name and address of each person to whom sub-paragraph (7) applies, or

(b) if the applicant does not consider that there is any person to whom that sub-paragraph applies, a statement to that effect.

(7) This sub-paragraph applies to a person—

(a) whom the applicant considers is a third party who would be affected by a provision of the proposed property scheme as modified by the modification notice, and

(b) whose name and address were not—

(i) specified in the application in accordance with paragraph 3(2)(c),

(ii) provided to the Authority in response to a notice within paragraph 6(2)(b), or

(iii) specified in the modification notice under sub-paragraph (3).

(8) As soon as reasonably practicable after receiving the information required by a notice within sub-paragraph (5)(b), the Authority must serve on each person within sub-paragraph (9) a notice inviting that person to make representations to the Authority about the modification notice within the period specified in the notice (being a period of not less than 21 days) beginning with the day on which the notice is served.

(9) A person is within this sub-paragraph if the person's name and address were—

(a) specified in the application in accordance with paragraph 3(2)(c),

(b) provided to the Authority in response to a notice within paragraph 6(2)(b) or sub-paragraph (5)(b) of this paragraph, or

(10) A notice under sub-paragraph (8) must be accompanied by—

(a) a copy of the modification notice, and

(b) if a copy of the application has not previously been served on the person under paragraph 7(1), a copy of the application.

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As soon as reasonably practicable after the Authority receives a modification notice, the Authority must publish a notice which—

(a) states that a modification notice has been served on the Authority in relation to an application,

(b) states the names of the applicant and the non-applicant party in relation to the application, and

Restricting or withdrawing the application

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(1) Where an application for a property scheme has been made, the applicant and the non-applicant party may, by a notice served by them jointly on the Authority—

(a) restrict the property, rights and liabilities in relation to which provision of a kind mentioned in paragraph 1(2) is proposed, or

(b) withdraw the application.

(2) Where a notice is served under sub-paragraph (1) the Authority must serve a copy of the notice on any person served with a notice in relation to the application under paragraph 7(1) or 9(8).

(3) A notice may be served under sub-paragraph (1) at any time before a property scheme is made in response to the application.

(4) If, at any time, a notice specifying the preferred bidder, in relation to a tender exercise, is withdrawn under paragraph 35, any application for a property scheme previously made, in relation to that exercise, by the preferred bidder or by the asset owner (unless previously withdrawn under sub-paragraph (1)) is treated as withdrawn at that time.

(5) Where an application is withdrawn by virtue of sub-paragraph (4), the Authority must serve notice to that effect on—

(a) the asset owner, and

(b) any person served with a notice in relation to the application under paragraph 7(1) or 9(8).

(6) If a notice is served under sub-paragraph (1) or an application is withdrawn by virtue of sub-paragraph (4), the Authority may direct the applicant or the non-applicant party (or both) to make a payment to a person within sub-paragraph (7) in respect of the costs incurred by such a person in connection with the application.

(7) Those persons are—

(a) the Authority;

(b) any third party affected by a provision of the proposed property scheme.

(8) A determination under sub-paragraph (6) must be made on the basis of what is just in all the circumstances of the case.

(9) The Authority must serve notice of a direction given under sub-paragraph (6) on—

(a) the applicant (if not the recipient of the direction),

(b) the non-applicant party (if not the recipient of the direction), and

(10) Any sums received by the Authority under sub-paragraph (6) are to be paid into the Consolidated Fund.

The Authority's functions in relation to applications

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(1) On an application for the making of a property scheme, the Authority must determine whether the proposed provision in relation to any property, right or liability specified in the application in accordance with paragraph 3(2)(a) is necessary or expedient for construction, commissioning or operational purposes.

(2) Sub-paragraph (1) does not apply, in relation to any property, right or liability specified in the application, if the successful bidder and the asset owner agree that the proposed provision, in relation to that property, right or liability, is necessary or expedient for construction, commissioning or operational purposes.

(3) If the Authority determines under sub-paragraph (1) that the proposed provision, in relation to any property, right or liability specified in the application, is not necessary or expedient for construction, commissioning or operational purposes—

(a) it must refuse the application in relation to the property, right or liability, but

(b) it may serve on the applicant and the non-applicant party a notice proposing, in relation to the property, right or liability, alternative provision of a kind mentioned in paragraph 1(2).

(4) A notice under sub-paragraph (3)(b) must—

(a) invite the recipient to make representations to the Authority about the proposed alternative provision within the period specified in the notice (being not less than 21 days) beginning with the day on which the notice is served, and

(b) be accompanied by a notice under paragraph 16 which complies with the requirements of sub-paragraph (5).

(5) The notice under paragraph 16 must require the recipient of the notice to provide the Authority, within the period specified in the notice (being not less than 7 days) beginning with the day on which the notice is served, with—

(a) the name and address of each person to whom sub-paragraph (6) applies, or

(b) if the recipient does not consider that there is any such person, a statement to that effect.

(6) This sub-paragraph applies to a person—

(a) whom the recipient of the notice considers is a third party who would be affected by the Authority's proposed alternative provision, and

(b) whose name and address were not—

(i) specified in the application in accordance with paragraph 3(2)(c) or in a modification notice under paragraph 9(3), or

(ii) provided to the Authority in response to a notice within paragraph 6(2)(b) or 9(5)(b).

(7) As soon as reasonably practicable after receiving the information required by a notice within sub-paragraph (4)(b), the Authority must serve on each person within sub-paragraph (8)—

(a) if a copy of the application has not previously been served on the person under paragraph 7(1) or 9(8), a copy of the application,

(b) if a copy of any modification notice has not previously been served on the person under paragraph 9(8), a copy of the notice,

(d) a notice inviting that person to make representations to the Authority about the proposed alternative provision within the period specified in the notice beginning with the day on which the notice is served.

(8) A person is within this sub-paragraph if the person's name and address were—

(a) specified in the application in accordance with paragraph 3(2)(c) or in a modification notice under paragraph 9(3),

(b) provided to the Authority in response to a notice within sub-paragraph (4)(b) or paragraph 6(2)(b) or 9(5)(b).

(9) The period specified under sub-paragraph (7)(d) must be not less than—

(a) in the case of a person whose name and address were provided to the Authority in response to a notice within sub-paragraph (4)(b), 21 days, and

(b) in any other case, 14 days.

(10) Having considered any representations made in accordance with sub-paragraph (4)(a) or (7)(d), the Authority must determine whether the proposed alternative provision is necessary or expedient for construction, commissioning or operational purposes.

(11) If—

(a) the Authority determines under sub-paragraph (1) that the proposed provision, in relation to any property, right or liability specified in the application, is necessary or expedient for construction, commissioning or operational purposes,

(b) the successful bidder and the asset owner agree that that is the case, or

(c) the Authority determines under sub-paragraph (10) that the proposed alternative provision, in relation to any property, right or liability, is necessary or expedient for construction, commissioning or operational purposes,

the Authority must, subject to paragraphs 13 and 14(4), make a property scheme in relation to that property, right or liability.

(12) In this paragraph “the proposed provision”, in relation to any property, right or liability, means the provision of a kind mentioned in paragraph 1(2) which the application proposes is made in relation to that property, right or liability (having regard to any modification under paragraph 9 or restriction under paragraph 11).

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On an application for a property scheme, no scheme may be made until either a relevant licence has been granted or a relevant contract has been awarded to the successful bidder.

Terms of a property scheme

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(1) Where the Authority is required to make a property scheme, the terms of the scheme must be such as the successful bidder and the asset owner may agree or, if they fail to agree, as the Authority may determine.

This is subject to sub-paragraphs (2) to (9).

(2) A property scheme must not provide for any provision to come into operation before the end of the period of 21 days beginning with the day on which the scheme is made.

(3) In determining the terms of a scheme under sub-paragraph (1), the Authority must, in particular, determine whether the scheme should include provision for compensation to be paid—

(a) by the successful bidder to the asset owner, or

(b) by the asset owner to the successful bidder,

and, if so, what that provision should be.

(4) The Authority may not include in a property scheme provision which would adversely affect a third party unless it determines that it is necessary or expedient for construction, commissioning or operational purposes for the provision to be made.

(5) Where the Authority includes in a property scheme provision which would adversely affect a third party, the Authority must determine whether the scheme should include provision for compensation and, if so, what that provision should be.

(6) The Authority may include in a property scheme provision for payments to be made by the successful bidder or the asset owner (or both) in respect of costs incurred in connection with the scheme (including the application for the scheme) by—

(a) the Authority,

(aa) a delivery body,

(ab) a contract counterparty,

(b) the successful bidder,

(d) a third party affected by a provision of the property scheme.

(7) For the purposes of making a determination under sub-paragraph (6), the Authority may have regard to the conduct of the parties mentioned in sub-paragraph (6)(a) to (d).

(8) Any sums received by the Authority under sub-paragraph (6) are to be paid into the Consolidated Fund.

(9) For the purposes of this paragraph, a provision of a property scheme adversely affects a third party if that party—

(a) is affected by the provision (see paragraph 38(2)), and

(b) does not consent to the making of the provision by means of the scheme.

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(1) A determination under paragraph 14, so far as relating to any financial matter, must be made on the basis of what is just in all the circumstances of the case.

(2) A determination under paragraph 14, so far as relating to any other matter, must be made on the basis of what appears to the Authority to be appropriate in all the circumstances of the case having regard, in particular, to what is necessary or expedient for construction, commissioning or operational purposes.

Additional powers of the Authority

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(1) The Authority may, by notice, require any of the following persons to provide information or assistance in connection with the performance by the Authority of its functions under this Schedule—

(a) the preferred bidder in relation to a tender exercise;

(b) the successful bidder in relation to a tender exercise;

(d) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(e) any third party who is or may be affected by a provision of a property scheme or a proposed property scheme.

(2) If the Authority considers that any other person may be able to provide it with information in respect of any provision of a property scheme or proposed property scheme, it may, by notice, require the person to provide it with such information.

(3) A notice under this paragraph may specify the period within which the information or assistance is to be provided.

(4) If at any time it appears to the Authority that a person has failed to comply with a requirement under sub-paragraph (1) or (2), the Authority may make an application to the court under this paragraph.

(5) If, on an application under this paragraph, the court decides that the person has failed to comply with the requirement, it may order the person to take such steps as the court directs for securing that the requirement is complied with.

(6) In this paragraph “the court” means—

(a) in the case of an application made in England and Wales, the High Court, and

(b) in the case of an application made in Scotland, the Court of Session.

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The Authority may engage consultants for the purpose of advising it in relation to the making of a determination under this Schedule.

Notification of property scheme

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(1) This paragraph applies where the Authority makes a property scheme.

(2) The Authority must, as soon as reasonably practicable, serve a copy of the scheme on—

(a) the successful bidder,

(b) the asset owner, and

(i) specified in the application for the scheme in accordance with paragraph 3(2)(c) or in a modification notice in relation to that application in accordance with paragraph 9(3), or

(ii) provided to the Authority in response to a notice within paragraph 6(2)(b), 9(5)(b) or 12(4)(b).

(3) The Authority must, as soon as reasonably practicable, publish a notice which—

(a) states that a property scheme has been made,

(b) states the names of the successful bidder and the asset owner in relation to the scheme, and

Refusal of application or part of application

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(1) This paragraph applies where the Authority—

(a) determines to refuse an application for a property scheme so far as it relates to any property, right or liability specified in the application in accordance with paragraph 3(2)(a), or

(b) determines not to make any alternative provision proposed under paragraph 12(3)(b) in relation to any such property, right or liability.

(2) The Authority must, as soon as reasonably practicable, serve a notice giving details of the determination on each person mentioned in paragraph 18(2)(a) to (c).

(3) The Authority may direct the successful bidder or the asset owner to make a payment in respect of the costs incurred in connection with the application by—

(a) the Authority,

(b) the successful bidder,

(d) a third party affected by a provision of the proposed property scheme or any alternative provision proposed under paragraph 12(3)(b).

(4) The Authority must serve notice of a direction given under sub-paragraph (3) on—

(a) the successful bidder (if not the recipient of the direction),

(b) the asset owner (if not the recipient of the direction), and

(5) A determination under sub-paragraph (3) must be made on the basis of what is just in all the circumstances of the case.

(6) Any sums received by the Authority under sub-paragraph (3) are to be paid into the Consolidated Fund.

Effect of property scheme

20

A property scheme, by virtue of this paragraph, has effect according to its terms.

21

(1) A transaction of any description effected by or under a property scheme has effect subject to the provisions of any enactment which provides for transactions of that description to be registered in any statutory register.

(2) Subject to that, a transaction of any description effected by or under a property scheme is binding on all persons, despite the fact that it would, apart from this provision, have required the consent or concurrence of any person.

(3) In this paragraph “enactment” includes an enactment comprised in, or in an instrument made under, an Act of the Scottish Parliament.

22

Where—

(a) an amount of compensation is owed to a person in accordance with a property scheme, or

(b) an amount in respect of costs is owed to a person in accordance with such a scheme or with a direction under paragraph 11(6) or 19(3),

the amount may be recovered by that person.

Review of determinations

23

(1) Any person affected by a determination of the Authority under this Schedule may apply to the Competition Appeal Tribunal for a review of the determination.

(2) An application under sub-paragraph (1) may be made—

(a) during the relevant appeal period, or

(b) with the permission of the Competition Appeal Tribunal, at a later time.

(3) The relevant appeal period means—

(a) where the application is in respect of a determination relating to a property scheme which has been made by the Authority, 21 days beginning with the day on which a notice in respect of the scheme is published under paragraph 18(3);

(b) in any other case, 21 days beginning with the day on which the determination was made.

(4) On an application under sub-paragraph (1), the Competition Appeal Tribunal may by order—

(a) dismiss the application, or

(b) make such other determination as it considers appropriate.

24

(1) This paragraph applies where—

(a) the Competition Appeal Tribunal makes an order under paragraph 23(4)(b), and

(b) the Authority has not made a property scheme in relation to the property, rights or liabilities concerned.

(2) The Tribunal may include in the order provision requiring the Authority to make a property scheme in relation to that property, or those rights and liabilities.

(3) Where paragraph 14 applies because of provision under this paragraph, anything the Tribunal has determined is to be treated for the purposes of that paragraph as determined by the Authority.

25

(1) This paragraph applies where—

(a) the Competition Appeal Tribunal makes an order under paragraph 23(4)(b),

(b) the Authority has made a property scheme in relation to the property, rights or liabilities concerned, and

(2) Where the Tribunal's determination is that provision of a kind mentioned in paragraph 1(2) is not, in relation to the property, rights or liabilities concerned, necessary or expedient for construction, commissioning or operational purposes, it may include in the order provision quashing the scheme.

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

(a) provision for the scheme to have effect with such amendments with respect to any matter dealt with by the Authority's determination as it thinks fit, and

(b) to the extent that the Authority's determination dealt with any financial matter, provision requiring the Authority to redetermine the matter in accordance with the order and to amend the scheme accordingly.

26

(1) This paragraph applies where—

(a) the Competition Appeal Tribunal makes an order under paragraph 23(4)(b),

(b) the Authority has made a property scheme in relation to the property, rights or liabilities concerned, and

(2) The Tribunal may include in the order such provision as it thinks fit for the purpose of doing justice between—

(a) the successful bidder,

(b) the person who was the asset owner immediately before the scheme came into operation, and

in the light of its determination.

(3) Without prejudice to the generality of sub-paragraph (2), the Tribunal may include in the order—

(a) provision for the transfer of anything transferred by the scheme;

(b) provision for the surrender or extinction of rights;

(c) provision for the payment of compensation to the successful bidder or the person who was the asset owner immediately before the scheme came into operation;

(d) provision for the payment of compensation to a third party affected by the scheme;

(e) provision about the payment of costs of the kind mentioned in paragraph 14(6).

(4) Any sums received by the Authority by virtue of sub-paragraph (3)(e) are to be paid into the Consolidated Fund.

27

(1) An order under paragraph 23(4)(b) may include provision for the award of interest at such rate and for such period as the Competition Appeal Tribunal thinks fit.

(2) Where the application made under paragraph 23(1) is for a review of a determination under paragraph 11(6) or 19(3), the Tribunal may include in an order under paragraph 23(4)(b) one or both of the following—

(a) provision amending or revoking any direction made as a result of the determination;

(b) provision equivalent to any direction which could have been made by the Authority under paragraph 11(6) or 19(3).

Interim arrangements pending review of determination

28

(1) This paragraph applies where—

(a) a person makes an application under paragraph 23(1) for the review of a determination, and

(b) the Authority has not made a property scheme in relation to the property, rights or liabilities to which the determination relates.

(2) The Competition Appeal Tribunal may, at any time before an order is made under paragraph 23(4), on application by the successful bidder or the asset owner make such interim arrangements as it thinks fit with respect to the property, rights or liabilities concerned.

(3) Without prejudice to the generality of sub-paragraph (2), the power under that sub-paragraph includes, in particular, power to make provision for the successful bidder to have access to, or otherwise to enjoy the benefit of, any of the property or rights concerned for such period, and on such terms, as the Tribunal thinks fit.

29

(1) This paragraph applies where—

(a) a person makes an application under paragraph 23(1) for the review of a determination, and

(b) the Authority has made a property scheme in relation to the property, rights or liabilities to which the determination relates.

(2) The Competition Appeal Tribunal may, at any time before an order is made under paragraph 23(4), on application by—

(a) the successful bidder,

(b) if the scheme has not come into operation, the asset owner,

(d) a third party who is affected by any provision of the property scheme,

make such interim arrangements as it thinks fit with respect to the property, rights or liabilities concerned.

(3) Without prejudice to the generality of sub-paragraph (2), the power under that sub-paragraph includes, in particular, power—

(a) to make provision postponing or suspending the operation of any provision of the scheme for such period, and on such terms, as the Tribunal thinks fit;

(b) to make provision for the successful bidder, or an applicant within sub-paragraph (2)(c), to have access to, or otherwise to enjoy the benefit of, any of the property or rights concerned for such period and on such terms as the Tribunal thinks fit.

30

In exercising its powers under paragraph 28 or 29, the Competition Appeal Tribunal must have regard, in particular, to what is necessary or expedient for construction, commissioning or operational purposes.

31

Paragraphs 28 or 29 are without prejudice to any powers of the Competition Appeal Tribunal to make orders on an interim basis under rules under section 15 of the Enterprise Act 2002 (c. 40).

32

(1) If an order under paragraph 28 or 29 is registered in England and Wales in accordance with rules of court or any practice direction, it is enforceable as an order of the High Court.

(2) An order under paragraph 28 or 29 may be recorded for execution in the Books of Council and Session and is to be enforceable accordingly.

(3) Subject to rules of court or any practice direction, an order under paragraph 28 or 29 may be registered or recorded for execution by a person entitled to any right under the interim arrangements for which the order makes provision.

(4) Sub-paragraphs (1) to (3) apply to an order on an interim basis made under rules under section 15 of the Enterprise Act 2002 in connection with an application under paragraph 23(1) as they apply to an order under paragraph 28 or 29.

Appeal on a point of law

33

(1) An appeal lies on any point of law arising from a decision of the Competition Appeal Tribunal under this Schedule to the appropriate court.

(2) An appeal under this paragraph requires the permission of the Tribunal or of the appropriate court.

(3) In this paragraph “the appropriate court” means—

(a) in the case of Tribunal proceedings in England and Wales, the Court of Appeal, and

(b) in the case of Tribunal proceedings in Scotland, the Court of Session.

Change of asset owner during application process

34

(1) Where any property, rights or liabilities specified in an application in accordance with paragraph 3(2)(a) are transferred by the asset owner to another person (“the new asset owner”) after the application is made, this Schedule has effect as if—

(a) references to the asset owner included the new asset owner, and

(b) anything done by or in relation to the asset owner had been done by or in relation to the new asset owner.

(2) In the case of property, rights or liabilities treated as specified in an application by virtue of paragraph 9(2), sub-paragraph (1) applies as if for “the application is made” there were substituted “ the modification notice is served on the Authority ”.

The preferred bidder

35

(1) The preferred bidder, in relation to a tender exercise, is the person whose name and address is specified in a notice which has been published under sub-paragraph (2) (and has not been withdrawn under sub-paragraph (4)).

(2) Where a tender exercise is held, as soon as the Authority is satisfied that it will grant a relevant licence to a particular person if certain matters are resolved to the Authority's satisfaction, it must publish a notice to that effect.

(2A) Where a tender exercise is held, as soon as a contract counterparty is satisfied that it will enter into a relevant contract with a particular person if certain matters are resolved to the counterparty’s satisfaction, it must publish a notice to that effect.

(3) A notice under sub-paragraph (2) or (2A) must—

(a) specify the name and address of the person, and

(b) describe, in general terms, those matters.

(4) The Authority may withdraw a notice under sub-paragraph (2) by publishing a notice to that effect.

(4A) A contract counterparty may withdraw a notice given by it under sub-paragraph (2A) by publishing a notice to that effect.

(5) A notice published under sub-paragraph (2) or (2A) must be withdrawn before a subsequent notice may be published under that sub-paragraph in relation to the same tender exercise.

The successful bidder

36

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

(2) Where as a result of a tender exercise the Authority determines to grant a relevant licence to a person, it must publish a notice to that effect.

(2A) Where as a result of a tender exercise a person is awarded a relevant contract, the contract counterparty with which the contract is to be entered into must publish a notice to that effect.

(3) The notice must specify the name and address of the successful bidder.

Transmission owner and distribution network owner of last resort

36A

(1) Before directing the holder of a transmission licence to act as a transmission owner of last resort pursuant to the conditions of the licence, the Authority may publish a notice—

(a) stating that it proposes to give the direction, and

(b) identifying the licence holder to whom it proposes to give the direction.

(2) Where a notice is published under sub-paragraph (1), this Schedule has effect as if—

(a) the licence holder is the preferred bidder in relation to a tender exercise, and

(b) the notice is one published under paragraph 35(2), identifying the licence holder as the preferred bidder.

(3) Paragraph 35(4) applies in relation to a notice published under sub-paragraph (1) of this paragraph as it applies to a notice published under paragraph 35(2).

(4) Where the Authority directs the holder of a transmission licence to act as a transmission owner of last resort pursuant to the conditions of the licence, this Schedule has effect as if—

(a) the licence holder is the holder of a transmission licence granted as a result of a tender exercise in which the licence holder was the successful bidder, and

(b) a notice has been published under paragraph 36 identifying the licence holder as the successful bidder in relation to the tender exercise.

36B

(1) Before directing the holder of a distribution licence to act as a distribution network owner of last resort pursuant to the conditions of the licence, the Authority may publish a notice—

(a) stating that it proposes to give the direction, and

(b) identifying the licence holder to whom it proposes to give the direction.

(2) Where a notice is published under sub-paragraph (1), this Schedule has effect as if—

(a) the licence holder is the preferred bidder in relation to a tender exercise, and

(b) the notice is one published under paragraph 35(2), identifying the licence holder as the preferred bidder.

(3) Paragraph 35(4) applies in relation to a notice published under sub-paragraph (1) of this paragraph as it applies to a notice published under paragraph 35(2).

(4) Where the Authority directs the holder of a distribution licence to act as a distribution network owner of last resort pursuant to the conditions of the licence, this Schedule has effect as if—

(a) the licence holder is the holder of a distribution licence granted as a result of a tender exercise in which the licence holder was the successful bidder, and

(b) a notice has been published under paragraph 36 identifying the licence holder as the successful bidder in relation to the tender exercise.

Associated bodies corporate

37

(1) For the purposes of this Schedule, one body corporate is associated with another if one of them controls the other or a third body corporate controls both of them, and sub-paragraphs (2) to (6) set out the circumstances in which one body corporate (“A”) controls another (“B”).

(2) Where B is a company, A controls B if A possesses or is entitled to acquire—

(a) one half or more of the issued share capital of B,

(b) such rights as would entitle A to exercise one half or more of the votes exercisable in general meetings of B,

(c) such part of the issued share capital of B as would entitle A to one half or more of the amount distributed if the whole of the income of B were in fact distributed among the shareholders, or

(d) such rights as would, in the event of the winding up of B or in any other circumstances, entitle it to receive one half or more of the assets of B which would then be available for distribution among the shareholders.

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

(a) holds a majority of the voting rights in B,

(b) is a member of B and has a right to appoint or remove a majority of other members, or

(c) is a member of B and controls alone or pursuant to an agreement with other members, a majority of the voting rights in B.

(4) In sub-paragraph (3)(a) and (c) the references to “voting rights” are to the rights conferred on members in respect of their interest in a limited liability partnership to vote on those matters which are to be decided on by a vote of the members of the limited liability partnership.

(5) In any case, A controls B if A has the power, directly or indirectly, to secure that the affairs of B are conducted in accordance with A's wishes.

(6) In determining whether, by virtue of sub-paragraphs (2) to (5), A controls B, A is to be taken to possess—

(a) any rights and powers possessed by a person as nominee for it, and

(b) any rights and powers possessed by a body corporate which it controls (including rights and powers which such a body corporate would be taken to possess by virtue of this sub-paragraph).

Interpretation

38

(1) In this Schedule—

“the asset owner”—in relation to an application for a property scheme, means the owner of the property, rights and liabilities in relation to which provision of a kind mentioned in paragraph 1(2) is proposed to be included in the scheme;in relation to a property scheme, means the owner of the property, rights and liabilities in relation to which provision of such a kind is included in the scheme;

“construction, commissioning or operational purposes” means the purposes of performing any functions which the successful bidder has, or may in future have under or by virtue of—a relevant licence which has been, or is to be, granted as a result of the tender exercise,a relevant contract which has been, or is to be, awarded as a result of the tender exercise, orany enactment, in the successful bidder’s capacity as holder of the relevant licence or party to the relevant contract;

“functions” includes powers and duties;

“modification notice” is to be construed in accordance with paragraph 9;

“non-applicant party” means—in the case of an application made by the preferred bidder or the successful bidder, the asset owner, andin the case of an application made by the asset owner, the successful bidder or, if a notice has not yet been published under paragraph 36, the preferred bidder;

“preferred bidder”, in relation to a tender exercise, is to be construed in accordance with paragraph 35;

“property scheme” is to be construed in accordance with paragraph 1;

“successful bidder”, in relation to a tender exercise, has the meaning given by section 6CD(6);

“tender exercise” has the meaning given by section 6CD(3);

“third party”, in relation to a property scheme or proposed property scheme in connection with a tender exercise, means a person other than the preferred bidder, the successful bidder, or the asset owner.

(2) For the purposes of this Schedule, a provision of a property scheme affects a third party if that party's consent or concurrence would be required to the making of the provision otherwise than by means of the scheme.

SCHEDULE 3 — Compulsory Acquisition of Land etc. by Licence Holders

Part I — Powers of Acquisition

1

(1) Subject to paragraph 2 below, the Secretary of State may authorise a licence holder to purchase compulsorily any land required for any purpose connected with the carrying on of the activities which he is authorised by his licence to carry on.

(2) In this paragraph and paragraph 2 below “land” includes any right over land (other than, in Scotland, a right to abstract, divert and use water); and the power of the Secretary of State under this paragraph includes power to authorise the acquisition of rights over land by creating new rights as well as acquiring existing ones.

2

(1) No order shall be made under paragraph 1 above authorising the compulsory purchase of land belonging to another licence holder except with the consent of the Director.

(2) The Director shall not give his consent under this paragraph if—

(a) the land is being used by the licence holder to whom it belongs for the purposes of an installation necessary for the carrying on of the activities which he is authorised by his licence to carry on; or

(b) it appears to the Director that the land will be so used and that the use will commence, or any necessary planning permission or consent under section 36 or 37 of this Act will be applied for, within the period of five years beginning with the date of the application for his consent.

(3) The Secretary of State may by order provide that sub-paragraph (2) above shall have effect as if for the period mentioned in paragraph (b) there were substituted such other period as may be specified in the order.

(4) A consent under this paragraph which is not acted on within the period of six months beginning with the day on which it is granted shall cease to have effect at the end of that period.

(5) In this paragraph—

“the Planning Act” means the Town and Country Planning Act 1990 or the Town and Country Planning (Scotland) Act 1997;

“planning permission” means a planning permission granted under Part III of the Planning Act.

3

(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 licence holder 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 licence holder to purchase that other land compulsorily, or he may acquire it by agreement.

4

Where a licence holder 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

5

(1) Subject to sub-paragraph (2) below, the Acquisition of Land Act 1981 shall apply to a compulsory purchase by a licence holder of land or rights in England and Wales; and Schedule 3 to that Act shall apply in the case of a compulsory acquisition by a licence holder of a right by the creation of a new right.

(2) Section 16 of, and paragraph 3 of Schedule 3 to, the said Act of 1981 (statutory undertakers’ land excluded from compulsory purchase) shall not apply where the land or rights in question belong to another licence holder.

New rights: general adaptation of Compulsory Purchase Act 1965

6

The Compulsory Purchase Act 1965 shall have effect with the modifications necessary to make it apply to a licence holder’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

7

Without prejudice to the generality of paragraph 6 above, Part I of the Compulsory Purchase Act 1965 shall apply in relation to a licence holder’s compulsory acquisition of a right in England and Wales by the creation of a new right with the modifications specified in paragraphs 8 to 13 below.

8

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.

9

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.

10

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.

11

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.

12

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.

13

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

14

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 licence holder’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

15

(1) Subject to sub-paragraph (2) below, the Acquisition of Land (Authorisation Procedure) (Scotland) Act 1947 shall apply to the compulsory purchase by a licence holder of land or rights in Scotland as if the licence holder 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.

(2) Paragraph 10 of the First Schedule to that Act (statutory undertakers’ land excluded from compulsory purchase) shall not apply where the land or rights in question belong to another licence holder.

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

16

The Acquisition of Land (Authorisation Procedure) (Scotland) Act 1947, and the enactments incorporated with this Act by virtue of paragraph 15 above and paragraph 1 of the Second Schedule to that Act shall have effect with the modifications necessary to make them apply to a licence holder’s compulsory acquisition of a right in Scotland by the creation of a new right (other than a right to abstract, divert and use water) 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

17

Without prejudice to the generality of paragraph 16 above, Part III of the First Schedule to the Acquisition of Land (Authorisation Procedure) (Scotland) Act 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 licence holder’s compulsory acquisition of a right in Scotland by the creation of a new right with the modifications specified in paragraphs 18 to 23 below.

18

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.

19

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

20

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; (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.

21

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

22

Paragraph 3(1) of the Second Schedule to the Acquisition of Land (Authorisation Procedure) (Scotland) Act 1947 shall be so modified as to secure that, as from the date on which the licence holder has served notice to treat in respect of any right, it has 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).

23

For paragraph 4 of that Schedule (protection for owner against severance of property) there shall be substituted the following paragraphs—

(4) No person shall be required to grant any right over part only— (a) of any house, building or manufactory; or (b) of a park or garden belonging to a house, if he is willing to sell the whole of the house, building, manufactory, park or garden, unless the Lands Tribunal for Scotland determines that— (i) in the case of a house, building or manufactory, the part over which the right is proposed to be acquired can be made subject to that right without material detriment to the house, building or manufactory; or (ii) in the case of a park or garden, the part over which the right is proposed to be acquired can be made subject to that right without seriously affecting the amenity or convenience of the house; and if it so determines, it shall award compensation in respect of any loss due to the acquisition of the right, in addition to its value; and thereupon the party interested shall be required to grant to the acquiring authority that right over the part of the house, building, manufactory, park or garden. (4A) In considering, for the purposes of paragraph 4 above, the extent of any material detriment to a house, building or manufactory, or any extent to which the amenity or convenience of a house is affected, the Lands Tribunal for Scotland shall have regard not only to the right which is to be acquired over the land, but also to any adjoining or adjacent land belonging to the same owner and subject to compulsory purchase.

New rights: specific adaptations of Lands Clauses Consolidation (Scotland) Act 1845

24

Without prejudice to the generality of paragraph 16 above, the Lands Clauses Consolidation (Scotland) Act 1845 shall apply in relation to a licence holder’s compulsory acquisition of a right in Scotland by the creation of a new right with the modifications specified in paragraphs 25 to 28 below.

25

For section 61 of that Act (estimation of compensation) there shall be substituted the following section—

(61) In estimating the purchase money or compensation to be paid by the licence holder under 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.

26

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 licence holder.

27

Sections 114 (compensation to be made to tenants for a year etc.) and 115 (compensation where greater interest than tenant for a year) of that Act shall apply with the modifications necessary to secure that persons with such interests as are mentioned in those sections 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.

28

Sections 117 (protection of promoter of undertaking where by inadvertence an interest in land has not been purchased etc.) and 118 (provisions supplementary to section 117) of that Act shall be so modified as to enable the licence holder, in circumstances corresponding to those referred to in those sections, to continue entitled to exercise the right acquired, subject to compliance with those sections as respects compensation.

New rights: compensation

29

The enactments in force in Scotland with respect to compensation for the compulsory purchase of land shall apply as respects compensation in the case of a licence holder’s compulsory acquisition of a right by the creation of a new right (other than a right to abstract, divert and use water) as they apply to compensation on the compulsory purchase of land and interests in land.

SCHEDULE 4 — Other Powers etc. of Licence Holders

Street works etc. in England and Wales

1

(1) Subject to the following provisions of this paragraph, for any purpose connected with the carrying on of the activities which he is authorised by his licence to carry on, a licence holder may execute—

(a) the following kinds of works, that is to say, installing under, over, in, on, along or across any street and from time to time inspecting, maintaining, adjusting, repairing, altering, replacing or removing—

(i) any electric lines or electrical plant; and

(ii) any structures for housing or covering any such lines or plant; and

(b) any works requisite for or incidental to the purposes of any works falling within paragraph (a) above, including for those purposes—

(i) opening or breaking up any street or any sewers, drains or tunnels within or under any street;

(ii) tunnelling or boring under any street; and

(iii) removing or using all earth and materials in or under any street;

but nothing in this sub-paragraph shall empower a licence holder to lay down or place any electric line or electrical plant into, through or against any building, or in any land not dedicated to the public use.

(2) The power of a licence holder under sub-paragraph (1) to place on or over a street any structure for housing any line or plant shall be exercisable only with the consent of the street authority; but such consent shall not be unreasonably withheld.

(3) Any question under sub-paragraph (2) above as to whether or not a consent is unreasonably withheld shall be determined by a single arbitrator to be appointed by the parties or, in default of agreement, by the Director.

(4) Except in cases of emergency arising from faults in any electric lines or electrical plant, a street which is not a maintainable highway shall not be opened or broken up by virtue of sub-paragraph (1) above except with the consent of the street authority or the consent of the Secretary of State.

(5) The Secretary of State shall not entertain an application for his consent under sub-paragraph (4) above unless the licence holder has served notice of the application on the person whose consent would otherwise be required.

(6) A licence holder shall do as little damage as possible in the exercise of the powers conferred by sub-paragraph (1) above and shall make compensation for any damage done in the exercise of those powers.

(7) A licence holder shall exercise the powers conferred by sub-paragraph (1) above in such manner as will secure that nothing which he instals or keeps installed under, over, in, on, along or across any street becomes a source of danger to the public.

(8) Nothing in sub-paragraph (1) above shall affect the application to any operation of sections 34 to 36 of the Coast Protection Act 1949.

(9) In this paragraph “maintainable highway”, “street” and “street authority” have the same meaning as in Part III of the New Roads and Street Works Act 1991.

(10) This paragraph extends to England and Wales only.

Road works etc. in Scotland

2

(1) Subject to the following provisions of this paragraph, for any purpose connected with the carrying on of the activities which he is authorised by his licence to carry on, a licence holder may execute—

(a) the following kinds of works, that is to say, installing under, over, in, on, along or across any road or bridge and from time to time inspecting, maintaining, adjusting, repairing, altering or removing—

(i) any electric lines or electrical plant; and

(ii) any structures for housing or covering any such lines or plant; and

(b) any works requisite for or incidental to the purposes of any works falling within paragraph (a) above, including for those purposes—

(i) opening or breaking up any road or bridge or any sewers, drains or tunnels within or under any road or bridge;

(ii) tunnelling or boring under any road; and

(iii) removing or using all earth and materials in or under any road;

but nothing in this sub-paragraph shall empower a licence holder to lay down or place any electric line or electrical plant into, through or against any building, or in any land over which there is no public right of passage.

(2) The power of a licence holder under sub-paragraph (1) above to place on or over a road or bridge any structure for housing any line or plant shall be exercisable only with the consent of the road works authority; but such consent shall not be unreasonably withheld .

(3) Any question under sub-paragraph (2) above as to whether or not a consent is unreasonably withheld shall be determined by a single arbiter to be appointed by the parties or, in default of agreement, by the Director.

(4) Except in cases of emergency arising from faults in any electric lines or electrical plant, a road which is not a public road shall not be opened or broken up by virtue of sub-paragraph (1) above except with the consent of the road works authority or the consent of the Secretary of State.

(5) The Secretary of State shall not entertain an application for his consent under sub-paragraph (4) above unless the licence holder has served notice of the application in the prescribed form on the person whose consent would otherwise be required.

(6) A licence holder shall do as little damage as possible in the exercise of the powers conferred by sub-paragraph (1) above and shall make compensation for any damage done in the exercise of those powers.

(7) A licence holder shall exercise the powers conferred by sub-paragraph (1) above in such manner as will secure that nothing which he instals or keeps installed under, over, in, on, along or across any road or bridge becomes a source of danger to the public.

(8) Nothing in sub-paragraph (1) above shall affect the application to any operation of sections 34 to 36 of the Coast Protection Act 1949.

(9) In this paragraph “public road”, “road” and “road works authority” have the same meaning as in Part IV of the New Roads and Street Works Act 1991.

(10) This paragraph extends to Scotland only.

Alteration of works

3

(1) A licence holder may execute works in pursuance of paragraph 1 or 2 above, notwithstanding that they involve a temporary or permanent alteration of any of the following, namely—

(a) any electric line or electrical plant under the control of another licence holder;

(b) any gas pipe operated by a public gas transporter;

(c) any relevant pipe (within the meaning of section 159 of the Water Resources Act 1991 or section 158 of the Water Industry Act 1991 which (whether or not it is in a street) is) under the control of the National Rivers Authority, the Natural Resources Body for Wales, a water undertaker or a sewerage undertaker or, in Scotland, any water pipe under the control of a person supplying water in the exercise of statutory powers;

(d) any electronic communications apparatus used for the purposes of an electronic communications code network which is operated by a person to whom the electronic communications code applies; or

(e) any system apparatus (within the meaning of Part II of the Road Traffic (Driver Licensing and Information Systems) Act 1989) of an operator of a driver information system who is licensed under Part II of that Act.

(2) Where a licence holder is proposing to execute works in pursuance of paragraph 1 or 2 above which involve or are likely to involve any such alteration as is mentioned in sub-paragraph (1)(a), (b) or (c) above, the following provisions of this paragraph shall apply; and in those provisions “the relevant undertaker” means the other licence holder, the public gas transporter or the person supplying water in the exercise of statutory powers, as the case may be.

(3) The licence holder shall, not less than one month before the works are commenced, give the relevant undertaker a notice specifying the nature of the licence holder’s works, the alteration or likely alteration involved and the time and place at which the works will be commenced.

(4) Sub-paragraph (3) above shall not apply in relation to any emergency works of which the licence holder gives the relevant undertaker notice as soon as practicable after commencing the works.

(5) Where a notice has been given under sub-paragraph (3) above by the licence holder to the relevant undertaker, the undertaker may within the period of seven days beginning with the giving of the notice give the licence holder a counter-notice which may state either—

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