Gas Act 1995

In section 40 of the 1986 Act (general duty of Council to advise Director), the words “which relates to tariff customers and” shall cease to have effect.

General restrictions on disclosure of information

50

• (1) After subsection (1) of section 42 of the 1986 Act (general restrictions on disclosure of information) there shall be inserted the following subsections—

(1A) Subsection (1) above does not apply to any disclosure of information if— (a) the disclosure is required by a notice under subsection (1) or (1A) of section 38 above; (b) the information has been obtained in pursuance of a notice under subsection (1A) of that section; or (c) the disclosure is made by one licence holder to another and is required either by a condition of the disclosing licence holder’s licence, or by the other licence holder for purposes connected with the carrying on of relevant activities. (1B) In subsection (1A) above “relevant activities”, in relation to a licence holder, means— (a) activities which he is authorised by his licence to carry on; and (b) in the case of a public gas transporter, such activities as are mentioned in section 7(1)(b) and (c) above.

• (2) After subsection (3) of that section there shall be inserted the following subsection—

(3A) The Secretary of State may by order provide that any of subsections (1A) to (3) above shall have effect subject to such modifications as are specified in the order.

Making of false statements etc.

51

After subsection (1) of section 43 of the 1986 Act (making of false statements etc.) there shall be inserted the following subsection—

(1A) Any person who with intent to deceive— (a) impersonates an officer of a public gas transporter, gas supplier or gas shipper for the purpose of obtaining entry to any premises; or (b) for that purpose makes any statement or does any act calculated falsely to suggest that he is an officer, or an authorised officer, of such a transporter, supplier or shipper, shall be guilty of an offence and liable on summary conviction to a fine not exceeding level 4 on the standard scale.

Service of notices etc.

52

• (1) In subsection (1) of section 46 of the 1986 Act (service of notices etc.), the words “Subject to subsection (2) below” shall cease to have effect.

• (2) For subsections (2) and (3) of that section there shall be substituted the following subsections—

(2) Without prejudice to subsection (1) above, where this subsection applies in relation to a public gas transporter or gas supplier, any notice to be given to or served on the transporter or supplier under— (a) any condition of his licence; (b) any provision of Schedule 2B to this Act; or (c) in the case of a transporter, section 10 above, may be given or served by delivering it at, or sending it in a prepaid letter to, an appropriate office of the transporter or supplier. (3) Subsection (2) above applies in relation to a public gas transporter if he divides his authorised area into such areas as he thinks fit and— (a) in the case of each area, fixes offices of his which are to be appropriate offices in relation to notices relating to matters arising in that area; and (b) publishes in each area, in such manner as he considers adequate, the addresses of the offices fixed by him for that area. (4) Subsection (2) above applies in relation to a gas supplier if he divides the premises specified in his licence into such areas as he thinks fit and— (a) in the case of each area, fixes offices of his which are to be appropriate offices in relation to notices relating to matters arising in that area; (b) publishes in each area, in such manner as he considers adequate, the addresses of the offices fixed by him for that area; and (c) endorses on every demand note for gas charges payable to him the addresses of the offices fixed for the area in question. (5) In this section references to premises specified in a licence include references to premises of a description, or situated in an area, so specified.

Provisions as to regulations

53

• (1) In subsection (3) of section 47 of the 1986 Act (provisions as to regulations)—

• (a) for paragraph (aa) there shall be substituted the following paragraph—

(aa) provide for anything falling to be determined under the regulations to be determined— (i) by the Director or by such other person as may be prescribed by the regulations; and (ii) in accordance with such procedure and by reference to such matters and to the opinion of such persons as may be so prescribed;

and

• (b) in paragraph (b), after the words “the Secretary of State” there shall be inserted the words “ or, as the case may be, the Director ”.

• (2) In subsection (5) of that section, after the words “the Secretary of State” there shall be inserted the words “ , the Director ”.

• (3) For subsection (7) of that section there shall be substituted the following subsection—

(7) Any power to make regulations conferred by this Part on the Secretary of State or the Director shall be exercisable by statutory instrument which shall be subject to annulment in pursuance of a resolution of either House of Parliament; and the Statutory Instruments Act 1946 shall apply to any such power so conferred on the Director as if he were a Minister of the Crown.

Interpretation of Part I and savings

54

• (1) In subsection (1) of section 48 of the 1986 Act (interpretation of Part I and savings)—

• (a) in the definition of “authorised area”, for the word “supplier” there shall be substituted the word “ transporter ”;

• (b) in the definition of “distribution main”, for the word “supplier”, in each place where it occurs, there shall be substituted the word “ transporter ”;

• (c) after that definition there shall be inserted the following definition—

• “domestic customer” has the meaning given by section 15A(10) above;

;

• (d) after the definition of “gas fittings” there shall be inserted the following definition—

“gas supplier” and “gas shipper” have the meanings given by section 7A(11) above;

;

• (e) after the definition of “kilowatt hour” there shall be inserted the following definitions—

“licence” and “licence holder” have the meanings given by section 4(5) above;

;

• (f) after the definition of “notice” there shall be inserted the following definitions—

“officer”, in relation to any person, includes any servant or agent of that person, and any officer or servant of such an agent; “owner”, in relation to any premises or other property, includes a lessee, and cognate expressions shall be construed accordingly;

• (g) in the definition of “prescribed”, for the words “(except in section 33A above)” there shall be substituted the words “ made, unless the context otherwise requires, by the Secretary of State ”;

• (h) for the definition of “public gas supplier” there shall be substituted the following definition—

“public gas transporter” has the meaning given by section 7(1) above;

;

• (i) the definition of “regulations” shall cease to have effect;

• (j) immediately before the definition of “subsidiary” there shall be inserted the following definitions—

“service pipe” means a pipe, other than a distribution main of a public gas transporter, which is used for the purpose of conveying gas from such a main to any premises, and includes part of any such pipe; “storage”, in relation to gas, means storage in, or in a facility which is connected (directly or indirectly) to, a pipe-line system operated by a public gas transporter;

and

• (k) the definition of “tariff customer” shall cease to have effect.

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

(1A) In this Part any reference to an officer authorised by any person includes, in relation to an officer who is an officer or servant of an agent of that person, an officer who, in accordance with the terms of any written authority given by that person to the agent, is authorised by the agent on behalf of that person.

• (3) In subsection (2) of that section, for paragraphs (a) and (b) there shall be substituted the words “ to the supply of gas (directly or indirectly) to a public gas transporter, gas supplier or gas shipper ”.

• (4) For subsection (3) of that section there shall be substituted the following subsections—

(2A) In relation to any time after 31st December 1999— (a) references in this Part to 2,500, 75,000 and 2 million therms shall be construed as references to 73,200, 2,196,000 and 58 million kilowatt hours respectively; and (b) other references in this Part to therms, and references in this Part to therms or kilowatt hours, shall be construed as references to kilowatt hours. (2B) A person is of pensionable age for the purposes of this Part if— (a) he has attained pensionable age (within the meaning given by the rules in paragraph 1 of Schedule 4 to the Pensions Act 1995); or (b) in the case of a man born before 6th April 1955, he is the same age as a woman who has attained pensionable age (within the meaning so given). (3) Nothing in this Part relating to the modification of a licence shall authorise the inclusion in a licence of any condition other than one such as is mentioned in section 7B above or, in the case of a modification under section 27 above, as would be so mentioned if the references to the Director in subsection (4)(a), (b) and (d) of section 7B were references to the Secretary of State.

The Director General of Gas Supply

55

In paragraph 10 of Schedule 1 to the 1986 Act (the Director General of Gas Supply), after the words “the Director”, in the first place where they occur, there shall be inserted the words “ (other than the making of a statutory instrument) ”.

Acquisition of land by public gas transporters

56

In Schedule 3 to the 1986 Act (acquisition of land by public gas suppliers)—

• (a) for the words “public gas supplier”, in each place where they occur, there shall be substituted the words “ public gas transporter ”;

• (b) for the words “public gas supplier’s”, in each place where they occur, there shall be substituted the words “ public gas transporter’s ”; and

• (c) for the words “the supplier”, in each place where they occur, there shall be substituted the words “ the transporter ”.

Power of public gas transporters to break up streets, bridges etc.

57

• (1) In Schedule 4 to the 1986 Act (power of public gas suppliers to break up streets, bridges etc.)—

• (a) for the words “public gas supplier”, in each place where they occur, there shall be substituted the words “ public gas transporter ”; and

• (b) for the words “the supplier”, in each place where they occur, there shall be substituted the words “ the transporter ”.

• (2) In sub-paragraph (1) of paragraph 1 of that Schedule, for the words from “placing in” to the end there shall be substituted the following paragraphs—

(a) placing pipes, conduits, service pipes, cables, sewers and other works, and pressure governors, ventilators and other apparatus, in or under any street; and (b) from time to time repairing, altering or removing any such works or apparatus placed in or under any street (whether by him or by any other person).

• (3) After sub-paragraph (3) of that paragraph there shall be inserted the following sub-paragraphs—

(4) The Secretary of State shall by regulations provide that, in such cases and to such extent as may be provided by the regulations, a public gas transporter shall pay, by way of compensation for any loss sustained by any person in consequence of the exercise of those powers, such sum as may be determined in accordance with the regulations. (5) No regulations may be made under sub-paragraph (4) above which amend, or re-enact with modifications, regulations previously made under that sub-paragraph.

• (4) In paragraph 3(2) of that Schedule, for the words “giving a supply of” there shall be substituted the word “ conveying ”.

SCHEDULE 4

Interpretation

1

In this Schedule “public gas transporter” has the same meaning as in Part I of the 1986 Act.

Enactments relating to statutory undertakers etc.

2

• (1) A public gas transporter shall be deemed to be a statutory undertaker and his undertaking a statutory undertaking for the purposes of the following enactments, namely—

• (i) the Public Health Act 1925;

• (ii) the Public Health Act 1936;

• (iii) the Acquisition of Land (Authorisation Procedure) (Scotland) Act 1947;

• (iv) section 4 of the Requisitioned Land and War Works Act 1948;

• (v) the National Parks and Access to the Countryside Act 1949;

• (vi) the Reserve and Auxiliary Forces (Protection of Civil Interests) Act 1951;

• (vii) the Landlord and Tenant Act 1954;

• (viii) the Opencast Coal Act 1958;

• (ix) the Flood Prevention (Scotland) Act 1961;

• (x) section 17(10) of the Public Health Act 1961;

• (xi) the Pipe-lines Act 1962;

• (xii) Schedule 3 to the Harbours Act 1964;

• (xiii) section 40 of the Forestry Act 1967;

• (xiv) section 50 of the Agriculture Act 1967;

• (xv) sections 38 and 66 of the Countryside (Scotland) Act 1967;

• (xvi) the New Towns (Scotland) Act 1968;

• (xvii) section 11 of and paragraph 6 of Schedule 2 to the Countryside Act 1968;

• (xviii) section 22 of the Sewerage (Scotland) Act 1968;

• (xix) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

• (xx) section 51 of the Land Compensation Act 1973;

• (xxi) section 47 of the Land Compensation (Scotland) Act 1973;

• (xxii) section 73 of the Control of Pollution Act 1974;

• (xxiii) the Welsh Development Agency Act 1975;

• (xxiv) sections 15(3) and 26 of the Local Government (Miscellaneous Provisions) Act 1976;

• (xxv) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

• (xxvi) section 9(3) of the Inner Urban Areas Act 1978;

• (xxvii) the Ancient Monuments and Archaeological Areas Act 1979;

• (xxviii) Part XVI and section 120 of the Local Government, Planning and Land Act 1980;

• (xxix) the Highways Act 1980;

• (xxx) the New Towns Act 1981;

• (xxxi) the Acquisition of Land Act 1981;

• (xxxii) the Civil Aviation Act 1982;

• (xxxiii) section 30 of the Local Government (Miscellaneous Provisions) Act 1982;

• (xxxiv) the Roads (Scotland) Act 1984;

• (xxxv) the Building Act 1984;

• (xxxvi) section 296 of the Housing Act 1985;

• (xxxvii) section 21 of the Road Traffic Act 1988.

• (xxxviii) section 9 of the Enterprise and New Towns (Scotland) Act 1990;

• (xxxix) section 7(5) of the Natural Heritage (Scotland) Act 1991.

• (2) References to public gas suppliers in the following enactments shall have effect as references to a public gas transporter, namely—

• (a) section 17(1)(b) of the Requisitioned Land and War Works Act 1945;

• (b) the Local Government (Omnibus Shelters and Queue Barriers) (Scotland) Act 1958;

• (c) section 7A(4)(b)(ii) of the Mines (Working Facilities and Support) Act 1966;

• (d) section 109(2)(d) of the Transport Act 1968;

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

• (f) sections 73(11)(c) and 74(11)(b) of the Highways Act 1980;

• (g) section 48(6)(c) of the Civil Aviation Act 1982;

• (h) paragraph 3 of Schedule 5 to the Road Traffic Regulation Act 1984;

• (i) section 80(3)(b) of the Building Act 1984;

• (j) section 91 of the Planning (Listed Buildings and Conservation Areas) Act 1990;

• (k) section 39 of the Planning (Hazardous Substances) Act 1990;

• (l) section 52(1) of the Coal Mining Subsidence Act 1991;

• (m) section 209(3)(b) of and paragraph 1(5)(e) of Schedule 13 to the Water Industry Act 1991;

• (n) section 208(3)(b) of and paragraph 1(4)(e) of Schedule 22 to the Water Resources Act 1991;

• (o) paragraph 1(1)(e) of Schedule 6 to the Land Drainage Act 1991.

• (3) The reference in Schedule 4 to the Public Health Act 1961 to gas undertakers shall have effect as a reference to a public gas transporter.

• (4) References in the Landlord and Tenant Act 1927 to a statutory company shall be deemed to include references to a public gas transporter.

• (5) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

• (6) References to public utility undertakers in the Highways Act 1980 shall be deemed to include references to a public gas transporter.

• (7) Part 10 of Schedule 3A to the Communications Act 2003 (the electronic communications code) shall apply to a public gas transporter for the purposes of any works carried out by him.

• (8) The reference in section 82(4) of the Building Act 1984 (provisions with respect to demolition orders) to a person authorised by an enactment to carry on an undertaking for the supply of gas shall be construed as a reference to a public gas transporter.

• (9) References to public undertakers in section 125(7) of, and paragraphs 9 and 10 of Schedule 8 to, the Housing (Scotland) Act 1987 shall be deemed to include references to a public gas transporter.

• (10) In the following enactments, namely—

• (a) section 39 of the Opencast Coal Act 1958;

• (b) paragraph 2 of Schedule 6 to the Gas Act 1965;

• (c) the New Towns (Scotland) Act 1968;

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

• (e) the Welsh Development Agency Act 1975;

• (f) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

• (g) the New Towns Act 1981;

• (h) section 9 of the Enterprise and New Towns (Scotland) Act 1990;

• (i) section 7(5) of the Natural Heritage (Scotland) Act 1991,

• “the appropriate Minister”, in relation to a public gas transporter, shall mean the Secretary of State for Trade and Industry.

• (11) In the following enactments, namely—

• (a) the Pipe-lines Act 1962;

• (b) Schedule 3 to the Harbours Act 1964;

• (c) section 121 of the Highways Act 1980; and

• (d) the Acquisition of Land Act 1981,

• “the appropriate Minister”, in relation to a public gas transporter, shall mean the Secretary of State.

Public Health Act 1936 (c. 49)

3

In section 229 of the Public Health Act 1936 (power of statutory undertakers to supply water, gas or electricity to baths etc. on favourable terms), the word “gas”, in both places where it occurs, shall cease to have effect.

Statistics of Trade Act 1947 (c. 39)

4

• (1) In relation to gas, subsection (5)(b) of section 9 of the Statistics of Trade Act 1947 (restriction on disclosure of information obtained under that Act) shall have effect as if the references to the total quantity or value of any articles produced, sold or delivered included a reference to each of the following, that is to say—

• (a) the total quantity or value of gas which is supplied in Great Britain;

• (b) the total quantity or value of gas which in Great Britain is supplied—

• (i) for the same purposes, or for different purposes but in similar quantities;

• (ii) to premises appearing to the Secretary of State to be of the same description; or

• (iii) on terms appearing to the Secretary of State to be similar as respects continuity of supply;

• (c) the total quantity of gas which in Great Britain is conveyed or shipped to premises for supply purposes, or is stored; and

• (d) the total quantity of gas which in Great Britain is conveyed or shipped to or from, or is stored in, facilities or pipe-line systems appearing to the Secretary of State to be of the same description.

• (2) If different areas of Great Britain are specified for any purposes of this paragraph by order made by the Secretary of State, this paragraph shall have effect for those purposes as if any reference to Great Britain included a reference to each of those areas.

• (3) An order under this paragraph shall be made by statutory instrument which shall be subject to annulment in pursuance of a resolution of either House of Parliament.

• (4) In this paragraph—

• “convey” means convey through pipes;

• “for supply purposes”, in relation to any conveyance or shipment of gas to any premises, means with a view to the gas being supplied to the premises, or being used in the premises by the holder of a licence under section 7A(2) of the 1986 Act;

• “gas” and “public gas transporter” have the same meanings as in Part I of the 1986 Act;

• “store” means store in, or in a facility which is connected (directly or indirectly) to, a pipe-line system operated by a public gas transporter;

• “supply”, in relation to gas, means supply to premises to which the gas has been conveyed, other than supply (directly or indirectly) to a public gas transporter, gas supplier or gas shipper.

• (5) For the purposes of this paragraph—

• (a) gas is shipped if, in pursuance of arrangements made with a public gas transporter, it is introduced into, conveyed by means of or taken out of a pipe-line system operated by that transporter; and

• (b) any reference to the shipment of gas to any premises, or to or from any facilities or pipe-line systems, shall be construed accordingly.

Rights of Entry (Gas and Electricity Boards) Act 1954 (c. 21)

5

• (1) In subsection (2) of section 1 of the Rights of Entry (Gas and Electricity Boards) Act 1954 (restriction on exercise of rights of entry), for the words “public gas supplier” there shall be substituted the words “ gas operator ”.

• (2) In subsection (1) of section 2 of that Act—

• (a) in paragraph (a), for the words “public gas supplier” there shall be substituted the words “ gas operator ”;

• (b) in that paragraph, after the words “a supplier” there shall be inserted the words “ or operator ”; and

• (c) for the words “the supplier or his employee”, in both places where they occur, there shall be substituted the words “ the operator or supplier or any employee of the operator or supplier ”.

• (3) In paragraph (a) of subsection (3) of that section, for the words “public gas supplier” there shall be substituted the words “ gas operator ”.

• (4) In section 3 of that Act—

• (a) for the definition of “employee” there shall be substituted the following definition—

“employee” means— (a) in relation to a gas operator, an officer, servant or agent of the operator and any servant or officer of such an agent; and (b) in relation to an electricity supplier, an officer, servant or agent of the supplier;

and

• (b) for the definition of “public gas supplier” there shall be substituted the following definition—

“gas operator” means a public gas transporter, gas supplier or gas shipper within the meaning of Part I of the Gas Act 1986;

.

Pipe-lines Act 1962 (c. 58)

6

• (1) In section 58(1) of the Pipe-lines Act 1962 (exclusion of application of Act to pipe-lines of certain statutory bodies), for paragraph (a) there shall be substituted the following paragraph—

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

• (2) After that section there shall be inserted the following sections—

(58A) (1) Notwithstanding subsection (4) of section 58 of this Act, but subject to subsection (2) of this section, the references to a pipe-line in sections 27(1) and 31(1) of this Act (protection of pipe-lines imperilled by buildings, structures or deposits) shall include references to any pipe-line operated by a public gas transporter other than one laid in a street or a service pipe. (2) The application by virtue of subsection (1) of this section of sections 27(1) and 31(1) of this Act to a particular part of any pipe-line shall be dependent upon there having been previously deposited with every local authority in whose area the part lies by the public gas transporter a map (drawn to an appropriate scale) showing the route taken by the part. (3) A local authority holding a map relating to a pipe-line operated by a public gas transporter shall keep the map at their offices, and shall secure that it is open to inspection by any person at all reasonable times free of charge. (4) In this section— - “local authority” means— 1. in England, the council of a county, district or London borough, and the Common Council of the City of London; 2. in Wales, the council of a county or county borough; and 3. in Scotland, a council constituted under section 2 of the Local Government etc. (Scotland) Act 1994; - “public gas transporter” and “service pipe” have the same meanings as in Part I of the Gas Act 1986; - “street” has the same meaning as in Part III of the New Roads and Street Works Act 1991. (5) In relation to any time before 1st April 1996, the definition of “local authority” in subsection (4) of this section shall have effect as if— (a) in paragraph (b), for the words “county borough” there were substituted the word “district”; and (b) in paragraph (c), for the words “a council constituted under section 2 of the Local Government etc. (Scotland) Act 1994” there were substituted the words “an islands or district council”. (6) In its application to Scotland this paragraph shall have effect with the substitution for any reference to a street of a reference to a road within the meaning of Part IV of the New Roads and Street Works Act 1991. (58B) (1) In relation to the construction, by any person other than a public gas transporter, of a pipe to which this section applies— (a) references in sections 1 to 14 of this Act to a pipe-line shall be construed as not including references to such a pipe; and (b) references in those sections to pipe-line works shall be construed as not including references to works executed in connection with the construction of a such a pipe. (2) This section applies to any pipe— (a) by which any premises are proposed to be connected to a distribution main of a public gas transporter; and (b) by which gas is proposed to be conveyed to premises at a rate which is not expected to exceed 75,000 therms in any period of twelve months. (3) The Secretary of State may, after consulting the Director General of Gas Supply, by order amend subsection (2) above by substituting— (a) where the limit is for the time being expressed by reference to a number of therms— (i) such lower number of therms as he considers appropriate; or (ii) such lower limit, expressed by reference to a number of kilowatt hours, as he considers appropriate; or (b) where the limit is for the time being expressed by reference to a number of kilowatt hours, such lower number of kilowatt hours as he considers appropriate. (4) An order under subsection (3) above shall be made by statutory instrument which shall be subject to annulment in pursuance of a resolution of either House of Parliament. (5) In this section “distribution main” and “public gas transporter” have the same meanings as in Part I of the Gas Act 1986. (6) In relation to any time after 31st December 1999, the reference in subsection (2) above to 75,000 therms shall be construed as a reference to 2,196,000 kilowatt hours. (7) This section is without prejudice to anything in section 58 of this Act.

Gas Act 1965 (c. 36)

7

• (1) In Part II of the Gas Act 1965 for the words “public gas supplier”, in each place where they occur, there shall be substituted the words “ public gas transporter ”.

• (2) In subsection (2) of section 32 of that Act, for the words “public gas supplier” there shall be substituted the words “public gas transporter” .

• (3) In paragraph 14(1) of Schedule 2 to that Act, for the words “public gas suppliers” there shall be substituted the words “ public gas transporters ”.

Local Government (Scotland) Act 1966 (c. 51)

8

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

Post Office Act 1969 (c. 48)

9

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

Health and Safety at Work etc. Act 1974 (c. 37)

10

• (1) Part I of the Health and Safety at Work etc. Act 1974 (“the 1974 Act”) shall have effect as if section 58A of the Pipe-lines Act 1962 and section 22A(1)(c) of and paragraphs 17, 20 and 21 of Schedule 2B to the 1986 Act—

• (a) were existing statutory provisions within the meaning of Part I of the 1974 Act; and

• (b) were specified in the third column of Schedule 1 to that Act.

• (2) Without prejudice to the generality of subsection (1) of section 15 of the 1974 Act (health and safety regulations), regulations under that section may repeal or modify any of the provisions mentioned in sub-paragraph (1) above.

• (3) Nothing in sub-paragraph (1) above shall affect the operation of section 18 of the 1974 Act (enforcement of relevant statutory provisions) in relation to any time before such day as the Secretary of State may by order made by statutory instrument appoint, and different days may be appointed for different purposes.

Energy Act 1976 (c. 76)

11

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

• (2) In subsection (2) of section 12 of that Act (disposal of gas by flaring, etc), for the words “except gas supplied by a public gas supplier” there shall be substituted the words “ except gas conveyed through pipes to premises by a public gas transporter ”.

Water (Scotland) Act 1980 (c. 45)

12

In paragraph (c) of the proviso to section 36 of Schedule 4 to the Water (Scotland) Act 1980 (provisions to be incorporated in orders relating to water undertakings), for the words—

• (a) “gas undertakers” there shall be substituted the words “ public gas transporter (within the meaning of Part I of the Gas Act 1986) ”; and

• (b) “those undertakers” there shall be substituted the words “ such public gas transporter ”.

Bankruptcy (Scotland) Act 1985 (c. 66)

13

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

Insolvency Act 1986 (c. 45)

14

• (1) For paragraph (a) of subsection (3) of section 233 of the Insolvency Act 1986 (supplies of gas, water, electricity etc.) there shall be substituted the following paragraph—

(a) a supply of gas by a gas supplier within the meaning of Part I of the Gas Act 1986;

.

• (2) Paragraph (a) of subsection (5) of that section shall cease to have effect.

• (3) For paragraph (a) of subsection (4) of section 372 of that Act (supplies of gas, water, electricity etc.) there shall be substituted the following paragraph—

(a) a supply of gas by a gas supplier within the meaning of Part I of the Gas Act 1986;

.

• (4) Paragraph (a) of subsection (5) of that section shall cease to have effect.

Consumer Protection Act 1987 (c. 43)

15

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

• (2) In paragraph (c) of subsection (7) of section 11 of that Act (safety regulations), for the words “section 6, 7 or 8” to the end there shall be substituted the following words “ section 7A of the Gas Act 1986 (licensing of gas suppliers and gas shippers) or paragraph 5 of Schedule 2A to that Act (supply to very large customers an exception to prohibition on unlicensed activities). ”

Road Traffic (Driver Licensing and Information Systems) Act 1989 (c. 22)

16

In paragraph 8 of Schedule 5 to the Road Traffic (Driver Licensing and Information Systems) Act 1989 (driver information systems: undertakers’ works)—

• (a) in the definition of “relevant undertaker”, for the words “public gas supplier” there shall be substituted the words “ public gas transporter ”; and

• (b) in the definition of “undertaker’s works”, for the words “supplying gas as a public gas supplier” there shall be substituted the words “ conveying gas as a public gas transporter ”.

Electricity Act 1989 (c. 29)

17

• (1) In paragraph 3 of Schedule 4 to the Electricity Act 1989 (other powers etc. of licence holders)—

• (a) in sub-paragraph (1)(b), for the words “under the control of a public gas supplier” there shall be substituted the words “ operated by a public gas transporter ”;

• (b) in sub-paragraph (2), for the words “public gas supplier” there shall be substituted the words “ public gas transporter ”.

• (2) In sub-paragraph (1)(a) of paragraph 4 of that Schedule, for the words “public gas supplier” there shall be substituted the words “ public gas transporter ”.

• (3) In paragraph 12 of that Schedule, for the words “public gas supplier” there shall be substituted the words “ public gas transporter ”.

Town and Country Planning Act 1990 (c. 8)

18

• (1) In section 252 of the Town and Country Planning Act 1990 (procedure for making orders)—

• (a) in paragraph (b) of subsection (2), for the words “public gas supplier” there shall be substituted the words “ public gas transporter ”;

• (b) in subsection (4), for the words “public gas supplier” there shall be substituted the words “ public gas transporter ”; and

• (c) in subsection (5), for the word “supplier” there shall be substituted the word “ transporter ”.

• (2) In subsection (3) of section 262 of that Act (meaning of “statutory undertakers”), for the words “public gas supplier” there shall be substituted the words “ public gas transporter ”.

• (3) In subsection (2) of section 265 of that Act (meaning of “the appropriate Minister”), for the words “public gas supplier” there shall be substituted the words “ public gas transporter ”.

• (4) In subsection (1) of section 336 of that Act (interpretation), for the words “public gas supplier” there shall be substituted the words “ public gas transporter ”.

Enterprise and New Towns (Scotland) Act 1990 (c. 35)

19

In section 9(5) of the Enterprise and New Towns (Scotland) Act 1990 (powers of entry: meanings of certain expressions), for the words “Schedule 7 to the Gas Act 1986” there shall be substituted the words “ Schedule 4 to the Gas Act 1995 ”.

Natural Heritage (Scotland) Act 1991 (c. 28)

20

In section 7 of the Natural Heritage (Scotland) Act 1991 (powers of entry)—

• (a) in subsection (5), the words from “(within” to the end shall cease to have effect; and

• (b) after subsection (5) there shall be inserted—

(5A) In subsection (5) above, “appropriate Minister” has the same meaning as in section 213(1) of the Town and Country Planning (Scotland) Act 1972; but this subsection is subject to paragraph 2(10) of Schedule 4 to the Gas Act 1995.

.

Central Rating Lists Regulations 1994 (S.I. 1994/3121)

21

In Part 3 of the Schedule to the Central Rating Lists Regulations 1994, for the words “public gas supplier”, in both places where they occur, there shall be substituted the words “ public gas transporter ”.

SCHEDULE 5

Part I — Public gas suppliers’ authorisations

Preliminary

1

• (1) The provisions of this Part of this Schedule have effect as respects each person who is a public gas supplier immediately before the appointed day (in this Part of this Schedule referred to as “the public gas supplier”) for the purpose of securing that his authorisation under section 7 of the 1986 Act has effect on and after that day as if it were—

• (a) a licence under that section (licensing of public gas transporters) granted to one of the persons mentioned in sub-paragraph (2) below;

• (b) a licence under subsection (1) of section 7A of that Act (licensing of gas suppliers) granted to the other of those persons; and

• (c) a licence under subsection (2) of that section (licensing of gas shippers) granted to the person mentioned in paragraph (b) above.

• (2) The persons referred to in sub-paragraph (1) above are—

• (a) the public gas supplier; and

• (b) such one of his associates as may be nominated by him for the purposes of this sub-paragraph (in this Part of this Schedule referred to as the nominated associate).

• (3) For the purposes of this paragraph a company is an associate of the public gas supplier if—

• (a) the company is registered under the Companies Act 1985 and is limited by shares; and

• (b) either the company is wholly owned by the supplier or the supplier is wholly owned by the company.

Duty of public gas supplier to nominate associates and make transfer scheme

2

• (1) Before such date as the Secretary of State may direct, the public gas supplier shall—

• (a) make such nomination as he thinks fit for the purposes of sub-paragraph (2) of paragraph 1 above; and

• (b) make a scheme for the division of all his property, rights and liabilities between the persons mentioned in that sub-paragraph.

• (2) Such a scheme may—

• (a) define the property, rights and liabilities to be allocated to the nominated associate—

• (i) by specifying or describing the property, rights and liabilities in question;

• (ii) by referring to all (or all but as much as may be excepted) of the property, rights and liabilities comprised in a specified part of the public gas supplier’s undertaking; or

• (iii) partly in the one way and partly in the other;

• (b) provide that any rights or liabilities specified or described in the scheme shall be enforceable either by or against either, or by or against both, of the persons mentioned in paragraph 1(2) above;

• (c) impose on either of those persons an obligation to enter into such written agreements with, or execute such other instruments in favour of, the other of those persons as may be specified in the scheme; and

• (d) make such supplemental, incidental and consequential provision as the supplier considers appropriate.

• (3) Without prejudice to the generality of sub-paragraph (2)(d) above, such a scheme may, in relation to transfers or transactions effected in pursuance of the scheme, make provision, either generally or for specified purposes—

• (a) for the transfers or transactions to be regarded as taking place in a specified order; and

• (b) for the nominated associate to be treated as the same person in law as the public gas supplier.

• (4) An obligation imposed by a provision included in such a scheme by virtue of sub-paragraph (2)(c) above shall be enforceable by civil proceedings by the other person for an injunction or for interdict or for any other appropriate relief or remedy.

• (5) A transaction of any description which is effected in pursuance of such a provision as is mentioned in sub-paragraph (4) above—

• (a) shall have effect subject to the provisions of any enactment which provides for transactions of that description to be registered in any statutory register; but

• (b) subject to that, shall be binding on all other persons, notwithstanding that it would, apart from this sub-paragraph, have required the consent or concurrence of any other person.

• (6) Where a lease of any land is granted in pursuance of such a provision as is mentioned in sub-paragraph (4) above, any right of pre-emption or other like right affecting that land—

• (a) shall not become exercisable by reason of the grant of the lease; but

• (b) shall have effect as if the lessee were the same person in law as the lessor.

Functions of Secretary of State in relation to nominations and transfer scheme

3

• (1) If the public gas supplier fails, before the date specified in the Secretary of State’s direction under paragraph 2 above, to make a nomination for the purposes of sub-paragraph (2) of paragraph 1 above, the Secretary of State may himself make a nomination for the purposes of that sub-paragraph.

• (2) A scheme under paragraph 2 above shall not take effect unless it is approved by the Secretary of State; and the Secretary of State may if he thinks fit, before approving such a scheme, make such modifications of the scheme as he considers appropriate for the purpose of securing that the scheme makes such provision, and only such provision, as he considers requisite or expedient for the purposes of this Part of this Schedule.

• (3) If, in relation to such a scheme—

• (a) the public gas supplier fails, before the date specified in the Secretary of State’s direction under paragraph 2 above, to submit the scheme for the approval of the Secretary of State; or

• (b) the Secretary of State decides not to approve the scheme that has been submitted to him by the supplier because (even with modifications) it would not make such provision, and only such provision, as he considers requisite or expedient for the purposes of this Part of this Schedule,

the Secretary of State may himself make the scheme.

Duty of Secretary of State to make licensing scheme

4

• (1) As soon as practicable after the date specified in the Secretary of State’s direction under paragraph 2 above and in any event before the appointed day, the Secretary of State shall make a scheme providing for the public gas supplier’s authorisation under section 7 of the 1986 Act to have effect as mentioned in paragraph 1(1) above.

• (2) In making a scheme under this paragraph, the Secretary of State shall have regard to the provisions of the scheme made under paragraph 2 above.

• (3) Subject to sub-paragraph (4) below, a scheme under this paragraph shall provide that each condition which by virtue of section 8(2) of this Act is a standard condition for the purposes of—

• (a) licences under section 7 of the 1986 Act;

• (b) licences under subsection (1) of section 7A of that Act; or

• (c) licences under subsection (2) of that section,

shall be incorporated in the licence treated as granted under that section or, as the case may be, the licence treated as granted under that subsection.

• (4) Such a scheme may provide that each licence which is treated as so granted (including the terms and conditions which are derived from the authorisation and the standard conditions which are incorporated by virtue of sub-paragraph (3) above) shall have effect with—

• (a) such incidental, consequential and supplementary amendments as appear to the Secretary of State to be necessary or expedient;

• (b) such amendments as the Secretary of State thinks fit for varying the period of notice required for the revocation of the licence in accordance with any term contained in it; and

• (c) such other amendments (if any) as may be agreed between the Secretary of State and the public gas supplier;

and such a scheme may also make such transitional provision as appears to the Secretary of State to be necessary or expedient.

• (5) As soon as practicable after making a scheme under this paragraph, the Secretary of State shall publish the text of each licence which by virtue of the scheme is treated as granted under section 7 or 7A(1) or (2) of the 1986 Act; and any text so published shall be treated as authoritative unless the contrary is shown.

Information etc. for purposes of Secretary of State’s functions

5

• (1) It shall be the duty of the public gas supplier to provide the Secretary of State with all such information and other assistance as he may require for the purposes of or in connection with the exercise of any function conferred on him by paragraph 3 or paragraph 4(1) to (4) above.

• (2) The Secretary of State shall not exercise any function conferred on him by paragraph 3 or paragraph 4(1) to (4) above except after consultation with the public gas supplier.

Effect of schemes

6

• (1) Subject to the provisions of paragraph 7 below, on the appointed day all property, rights and liabilities—

• (a) to which immediately before that day the public gas supplier was entitled or subject; and

• (b) which are allocated to the nominated associate by the scheme under paragraph 2 above,

shall become by virtue of this paragraph property, rights and liabilities of that associate.

• (2) On the appointed day the public gas supplier’s authorisation under section 7 of the 1986 Act shall have effect as provided for by the scheme under paragraph 4 above.

Supplementary provisions as to transfers

7

• (1) The provisions of Schedule 10 to the Electricity Act 1989 (supplementary provisions as to transfers under sections 66 and 67 of that Act) shall apply—

• (a) with the modifications made by sub-paragraph (2) below; and

• (b) to the extent mentioned in those provisions as modified by that sub-paragraph,

to any transfer which is effected by paragraph 6 above; and that paragraph shall have effect subject to those provisions as so modified.

• (2) The provisions of that Schedule shall apply as if—

• (a) paragraphs 2(4) and (5), 3 and 6(2), and in paragraphs 4(4)(b) and 8(1) and (2) the words “or of a direction under paragraph 2(4) above”, were omitted;

• (b) any reference to transfers effected in pursuance of a transfer scheme were references to transfers effected by paragraph 6 above in pursuance of the scheme under paragraph 2 above;

• (c) any reference to the transferor were a reference to the public gas supplier;

• (d) any reference to a transfer of all property, rights and liabilities comprised in a specified part of the transferor’s undertaking were a reference to a transfer of all (or all but as much as may be excepted) of the property, rights and liabilities comprised in a specified part of the supplier’s undertaking;

• (e) any reference to the transferee of a specified part or any other part of the transferor’s undertaking were a reference to a transferee of a specified part or any other part of the supplier’s undertaking; and

• (f) any reference to the transfer date were a reference to the appointed day.

• (3) For the purposes of sub-paragraphs (1) and (2)(b), (d) and (e) above, any property, rights or liabilities retained by the public gas supplier in pursuance of the scheme under paragraph 2 above shall be deemed to be transferred to the supplier by paragraph 6 above in pursuance of the scheme.

Shares issued to public gas supplier by transferee

8

Any shares issued to the public gas supplier by the transferee in pursuance of the scheme under paragraph 2 above—

• (a) shall be of such nominal value as may be specified in or determined under the scheme;

• (b) shall be issued or allotted on such terms as may be so specified or determined; and

• (c) shall be issued as fully paid and treated for the purposes of the Companies Act 1985 as if they had been paid up by virtue of the payment to the transferee in cash of their nominal value and, if the scheme so provides, such premium as may be so specified or determined.

Statutory accounts

9

• (1) This paragraph has effect for the purposes of any statutory accounts of the transferee, that is to say, any accounts prepared by the transferee for the purpose of any provision of the Companies Act 1985 (including group accounts).

• (2) Subject to sub-paragraph (3) below, the value or amount to be assigned to any asset or liability which is vested in the transferee by virtue of paragraph 6 above shall be—

• (a) the value or amount (if any) assigned to the asset or liability for the purposes of the corresponding statement of accounts prepared by the public gas supplier in respect of the last complete accounting year of the supplier to end before the appointed day; or

• (b) if the asset or liability is part only of an asset or liability to which a value or amount is so assigned, so much of that value or amount as may be determined by or under the scheme under paragraph 2 above; or

• (c) if no value or amount is given by paragraph (a) or (b) above or the value or amount so given is inappropriate in all the circumstances of the case, such value or amount as may be determined, on the basis of the supplier’s accounting records, by or under that scheme.

• (3) The amount to be included in respect of any item shall be determined as if so much of anything done by the public gas supplier (whether by way of acquiring, revaluing or disposing of any asset or incurring, revaluing or discharging any liability, or by carrying any amount to any provision or reserve, or otherwise) as may be determined by or under the scheme under paragraph 2 above had been done by the transferee.

• (4) Without prejudice to the generality of the preceding provisions of this paragraph, the amount to be included from time to time in any reserves of the transferee as representing the transferee’s accumulated realised profits shall be determined as if such proportion of any profits realised and retained by the public gas supplier as is determined by or under the scheme under paragraph 2 above had been realised and retained by the transferee.

• (5) In this paragraph, in relation to the public gas supplier—

• “accounting records” means accounting records kept by the supplier in pursuance of section 221 of the Companies Act 1985;

• “complete accounting year” means a financial year of the supplier determined in accordance with section 223 of that Act.

Corporation tax

10

• (1) Any shares issued to the public gas supplier by the transferee in pursuance of the scheme under paragraph 2 above shall be treated for the purposes of the Corporation Tax Acts as if they had been issued wholly in consideration of a subscription paid to the transferee (and attributable equally between those shares) of an amount equal to the difference between—

• (a) the value, on the appointed day, of the property, rights and liabilities vested in the transferee by paragraph 6 above; and

• (b) the principal sum payable under any debentures issued to the supplier by the transferee in pursuance of the scheme.

• (2) The value required to be determined for the purposes of sub-paragraph (1)(a) above is market value, as defined in section 272 of the Taxation of Chargeable Gains Act 1992.

• (3) Any debenture issued to the public gas supplier by the transferee in pursuance of the scheme under paragraph 2 above shall be treated for the purposes of the Corporation Tax Acts as if it had been issued—

• (a) wholly in consideration of a loan made to the transferee of an amount equal to the principal sum payable under the debenture; and

• (b) wholly and exclusively for the purposes of the trade or business carried on by the transferee.

• (4) For the purposes of Chapter II of Part VI of the Income and Corporation Taxes Act 1988 (definition of distributions), where in the case of any transfer under paragraph 6 above any consideration given or treated as given in respect of a security relating to—

• (a) any liability; or

• (b) the use of the principal to which any liability, being a liability to interest or an equivalent liability, relates,

would fall (apart from this sub-paragraph) to be regarded for those purposes as new consideration received by the public gas supplier, that consideration shall be treated instead, to the extent that it relates to so much of the liability as falls in consequence of the transfer to be discharged by the transferee, as if it were new consideration received by the transferee.

Petroleum revenue tax and gas levy

11

Where any transfer is effected by paragraph 6 above, the transferee shall be treated—

• (a) for the purposes of section 10(1)(a) of the Oil Taxation Act 1975;. . .

• (b) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

as if it were the same person in law as the public gas supplier.

Consequential modifications of rating provisions

12

• (1) This paragraph applies where any transfer effected by paragraph 6 above is a transfer of a hereditament which, immediately before the appointed day, falls within the description set out in Part 3 of the Schedule to the Central Rating Lists Regulations 1994.

• (2) The Secretary of State may by order make such modifications of that Part of that Schedule, and of the British Gas plc (Rateable Values) Order 1994, as may appear to him necessary or expedient as a consequence of the transfer.

• (3) An order under this paragraph which is made after the appointed day may have effect as from that day or any later day.

• (4) Where, by virtue of sub-paragraph (3) above, an order under this paragraph has effect from a day earlier than that on which it is made, any necessary alteration shall be made with effect from that earlier day to any central rating list in which the hereditament is shown.

• (5) An order under this paragraph shall be made by statutory instrument which shall be subject to annulment in pursuance of a resolution of either House of Parliament.

Part II — Other transitional provisions and savings

Approvals under section 5(3)

13

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

Notifications under section 6

14

• (1) This paragraph applies where any notification given, or having effect as if given, to the Secretary of State under section 6(1) of the 1986 Act (exceptions to section 5) by any person (“the gas supplier”) is in force immediately before the appointed day.

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

• (3) Before the appointed day, such one or more of the following as may be requisite to meet the particular circumstances of the case, namely—

• (a) an exemption under section 6A of the 1986 Act (exemptions from prohibition) which is an exemption from section 5(1)(a) of that Act; and

• (b) a licence under section 7A(2) of that Act (licensing of gas shippers),

shall be granted to the gas supplier, to come into force on that day, by the Secretary of State or, as the case may be, by the Authority.

Applications for authorisation under section 7

15

• (1) This paragraph applies where—

• (a) an application has been made to the Secretary of State under section 7 of the 1986 Act (authorisation of public gas suppliers) by any person (“the applicant”); and

• (b) the application is not determined before the appointed day.

• (2) Subject to the following provisions of this paragraph, the application shall have effect on and after the appointed day as if it were an application to the Authority (in such terms as may be specified by the applicant for the purposes of this sub-paragraph) for—

• (a) a licence under section 7 of the 1986 Act (licensing of public gas transporters) to be granted to one of the persons mentioned in sub-paragraph (3) below;

• (b) a licence under subsection (1) of section 7A of that Act (licensing of gas suppliers) to be granted to the other of those persons; and

• (c) a licence under subsection (2) of that section (licensing of gas shippers) to be granted to the person mentioned in paragraph (b) above.

• (3) The persons referred to in sub-paragraph (2) above are—

• (a) the applicant; and

• (b) such one of his associates as may be nominated by him for the purposes of this sub-paragraph.

• (4) Sections 7, 7A and 7B of the 1986 Act shall apply in relation to the application, and any licence granted or proposed to be granted on the application, as if subsections (5) and (6) of section 7, and subsections (1) and (2) of section 7B, were omitted.

• (5) No licence shall be granted on the application except with the consent of the Secretary of State; and before giving his consent the Secretary of State shall consult—

• (a) the Health and Safety Executive; and

• (b) any public gas transporter whose authorised area includes the whole or any part of the area to which the application relates.

• (6) For the purposes of this paragraph a company is an associate of the applicant if—

• (a) the company is registered under the Companies Act 1985 and is limited by shares; and

• (b) either the company is wholly owned by the applicant or the applicant is wholly owned by the company.

• (7) Any reference in this paragraph to a licence of any description includes a reference to an extension of such a licence.

Individual authorisations under section 8

16

• (1) The provisions of this paragraph have effect as respects each person who holds, or is treated as holding, an authorisation under section 8 of the 1986 Act (authorisation of persons other than public gas suppliers) which is in force immediately before the appointed day (a “gas supplier”) for the purpose of securing that the authorisation has effect on and after that day as if it were such one or more of the following as may be requisite to meet the particular circumstances of the case, namely—

• (a) an exemption from section 5(1)(a) of that Act granted under section 6A of that Act (exemptions from prohibition);

• (b) a licence granted under section 7A(1) of that Act (licensing of gas suppliers), or an exemption from section 5(1)(b) of that Act granted under section 6A of that Act; and

• (c) a licence granted under section 7A(2) of that Act (licensing of gas shippers).

• (2) As soon as practicable after the passing of this Act, and in any event before the appointed day, the Secretary of State shall make a scheme providing for each gas supplier’s authorisation under section 8 of the 1986 Act to have effect as mentioned in sub-paragraph (1) above.

• (3) Subject to sub-paragraphs (4) and (5) below, a scheme under this paragraph shall provide that each condition which by virtue of section 8(2) of this Act is a standard condition for the purposes of—

• (a) licences under subsection (1) of section 7A of the 1986 Act; or

• (b) licences under subsection (2) of that section,

shall be incorporated in any licence treated as granted under that subsection.

• (4) Sub-paragraph (3) above shall not apply in relation to a licence treated as granted under section 7A(1) of the 1986 Act which authorises only the supply to premises of gas which has been conveyed to the premises otherwise than by a public gas transporter.

• (5) A scheme under this paragraph may provide that any licence which is treated as granted under section 7A(1) or (2) of the 1986 Act and any exemption which is treated as granted under section 6A of that Act (including the terms and conditions which are derived from the authorisation and, in the case of a licence, the standard conditions which are incorporated by virtue of sub-paragraph (3) above) shall have effect with—

• (a) such incidental, consequential and supplementary amendments as appear to the Secretary of State to be necessary or expedient;

• (b) such amendments relating to the revocation or suspension of the licence or exemption as the Secretary of State thinks fit; and

• (c) such other amendments (if any) as may be agreed between the Secretary of State and the gas supplier concerned;

and such a scheme may also make such transitional provision as appears to the Secretary of State to be necessary or expedient.

• (6) A scheme under this paragraph may make different provisions for different cases or classes of cases determined by, or in accordance with, the provisions of the scheme.

• (7) As soon as practicable after making a scheme under this paragraph, the Secretary of State shall publish, as respects each different case or class of case—

• (a) the text of any exemption which by virtue of the scheme is treated as granted under section 6A of the 1986 Act; and

• (b) the text of any licence which by virtue of the scheme is treated as granted under section 7A(1) or (2) of that Act;

and any text so published shall be treated as authoritative unless the contrary is shown.

• (8) It shall be the duty of each gas supplier to provide the Secretary of State with all such information and other assistance as he may require for the purposes of or in connection with the exercise of any function conferred on him by sub-paragraphs (1) to (6) above.

• (9) The Secretary of State shall not exercise any function conferred on him by sub-paragraphs (1) to (6) above except after consultation with such gas suppliers as he considers appropriate.

• (10) On the appointed day each gas supplier’s authorisation under section 8 of the 1986 Act shall have effect as provided for by the scheme under this paragraph.

Class authorisations under section 8

17

• (1) Subject to sub-paragraph (2) below, any authorisation granted under section 8 of the 1986 Act to persons of a class which is in force immediately before the appointed day shall have effect on and after that day as if it—

• (a) were an exemption from such one or more of paragraphs (a), (b) and (c) of section 5(1) of that Act as may be requisite to meet the particular circumstances of the case; and

• (b) had been granted under section 6A of that Act on the same terms and subject to the same conditions as those on or subject to which it had been granted as an authorisation under the said section 8.

• (2) If, in the case of any such authorisation as is mentioned in sub-paragraph (1) above, the Secretary of State is satisfied that exemption from such one or more of paragraphs (a), (b) and (c) of section 5(1) of the 1986 Act as may be requisite to meet the particular circumstances of the case will be granted under section 6A of that Act as from the appointed day, he may by order direct that that sub-paragraph shall not apply in relation to the authorisation.

• (3) An order under this paragraph shall be made by statutory instrument which shall be subject to annulment in pursuance of a resolution of either House of Parliament.

Gas shipping arrangements already made

18

• (1) Any arrangement—

• (a) which any person has made with a public gas supplier for gas to be introduced into, conveyed by means of or taken out of a pipe-line system operated by that supplier; and

• (b) which is in force immediately before the appointed day,

shall be treated for the purposes of section 5(1)(c) of the 1986 Act as if it had been made on that day with the supplier’s transport successor.

• (2) In this Part of this Schedule “transport successor”, in relation to a public gas supplier, means the person who becomes a public gas transporter by virtue of the scheme made by or in relation to that supplier under Part I of this Schedule.

Former tariff customers

19

• (1) This paragraph applies where immediately before the appointed day a public gas supplier (“the public gas supplier”) is supplying tariff customers with gas.

• (2) The supplier’s supply successor shall be deemed to have contracted with those customers for the supply of gas as from that day.

• (3) The express terms and conditions of a contract which, by virtue of sub-paragraph (2) above, is deemed to have been made shall be provided for by the scheme made under this paragraph.

• (4) Before such date as the Secretary of State may direct, the public gas supplier shall make a scheme for determining the terms and conditions which are to be incorporated in the contracts which, by virtue of sub-paragraph (2) above, are to be deemed to have been made.

• (5) A scheme under this paragraph may—

• (a) make different provisions for different cases or classes of cases, or for different areas, determined by, or in accordance with, the provisions of the scheme; and

• (b) make such supplemental, incidental, consequential and transitional provisions as the public gas supplier considers appropriate.

• (6) A scheme under this paragraph shall not take effect unless it is approved by the Secretary of State; and the Secretary of State may modify such a scheme before approving it.

• (7) If, in relation to such a scheme—

• (a) the public gas supplier fails, before the date specified in the Secretary of State’s direction under sub-paragraph (4) above, to submit the scheme for the approval of the Secretary of State; or

• (b) the Secretary of State decides not to approve the scheme that has been submitted to him by the supplier (either with or without modifications),

the Secretary of State may himself make the scheme.

• (8) It shall be the duty of the public gas supplier to provide the Secretary of State with all such information and other assistance as he may require for the purposes of or in connection with the exercise of any function conferred on him by sub-paragraph (6) or (7) above.

• (9) The Secretary of State shall not exercise any function conferred on him by sub-paragraph (6) or (7) above except after consultation with the public gas supplier.

• (10) A scheme made under this paragraph shall be published in the London and Edinburgh Gazettes before the appointed day and shall come into operation on that day; and conclusive evidence of a scheme so made may be given in all courts of justice and in all legal proceedings whatever by the production of a copy of either of those Gazettes purporting to contain it.

• (11) In this Part of this Schedule “supply successor”, in relation to a public gas supplier, means the person who becomes a gas supplier by virtue of a scheme made by or in relation to that public gas supplier under Part I of this Schedule.

Connection charges

20

• (1) Sub-paragraph (2) below applies where—

• (a) a public gas supplier has been required under subsection (1) (duty to supply certain premises) of section 10 of the 1986 Act to give a supply of gas to any premises; and

• (b) the required supply is not given before the appointed day.

• (2) The requirement shall have effect on and after the appointed day as if it were—

• (a) a request made to the supplier’s supply successor for a supply of gas; and

• (b) if the premises are not connected to a relevant main, a requirement made of the supplier’s transport successor under subsection (2)(a) of section 10 requiring him to connect the premises to such a main and supply and lay any pipe that may be necessary for that purpose.

• (3) Sub-paragraph (4) below applies to any regulations—

• (a) which have been made, or have effect as if made, by the Secretary of State under subsection (4) (connection charges) of section 10; and

• (b) which are in force immediately before the appointed day.

• (4) Regulations to which this sub-paragraph applies shall have effect on and after the appointed day as if—

• (a) they had been made by the Authority;

• (b) any reference to a public gas supplier were a reference to a public gas transporter;

• (c) any reference to a supply of gas were a reference to a connection to a relevant main;

• (d) the reference to subsection (1) of section 10 were a reference to subsection (2) of that section; and

• (e) anything done before the appointed day by or in relation to a public gas supplier had been done on that day by or in relation to the supplier’s transport successor.

• (5) Expressions used in this paragraph have the same meanings as in section 10.

Promotion of efficient use of gas

21

Any determination or direction—

• (a) which has been made as respects a public gas supplier, or given to such a supplier, under section 15B of the 1986 Act (promotion of the efficient use of gas); and

• (b) which is in force immediately before the appointed day,

shall have effect on and after that day as if it had been made as respects, or given to, the supply successor of that supplier under section 33BB of that Act.

Meter testing and stamping

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• (1) Any regulations—

• (a) which have been made, or have effect as if made, by the Secretary of State under section 17 of the 1986 Act (meter testing and stamping); and

• (b) which are in force immediately before the appointed day,

shall have effect on and after that day as if they had been made by the Authority and as if any reference in them to the Secretary of State were a reference to the Authority.

• (2) Any approval, consent or authorisation—

• (a) which has been given by the Secretary of State under section 17 of the 1986 Act, or under regulations made, or having effect as if made, under that section; and

• (b) which is in force immediately before the appointed day,

shall have effect on and after that day as if it had been given by the Authority.

Restrictions on use of certain information

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Notwithstanding the repeal by this Act of section 63 of the 1986 Act (restrictions on use of certain information), any direction given by the Secretary of State to the holder of an authorisation under section 7 of that Act shall continue to have effect so far as it relates to any relevant negotiations (within the meaning of the said section 63) which took place before the appointed day.

Recovery of gas charges etc.

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• (1) Where—

• (a) such a demand as is mentioned in paragraph 7(5) of Schedule 5 to the 1986 Act (recovery of gas charges etc.) has been made by a public gas supplier; and

• (b) the payment demanded is not made before the appointed day,

paragraph 7(1) of Schedule 2B to the 1986 Act shall have effect as if the demand had been made by the supplier’s supply successor on the day on which it was made by the supplier.

• (2) Where—

• (a) such a notice of intention as is mentioned in paragraph 7(5) of Schedule 5 to the 1986 Act has been given by a public gas supplier; and

• (b) the supply of gas is not cut off before the appointed day,

paragraph 7(3) of Schedule 2B to the 1986 Act shall have effect as if the notice had been given by the supplier’s supply successor on the day on which it was given by the supplier.

Use of antifluctuators and valves

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Any notice—

• (a) which has been given by a public gas supplier under sub-paragraph (1) or (2) of paragraph 8 (use of antifluctuators and valves) of Schedule 5 to the 1986 Act; and

• (b) which is in force immediately before the appointed day,

shall have effect on and after that day as if it had been given on that day under sub-paragraph (1) or, as the case may be, sub-paragraph (2) of paragraph 17 of Schedule 2B to that Act by the supplier’s transport successor.

Restoration of supply without consent

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• (1) Where—

• (a) a supply of gas to any premises has been cut off by a public gas supplier under paragraph 8 (use of antifluctuators and valves) or paragraph 9 (improper use of gas) of Schedule 5 to the 1986 Act; and

• (b) the supply is not restored before the appointed day,

each of paragraphs 11 and 25 of Schedule 2B to that Act shall have effect as if those premises had been disconnected on that day by the supplier’s transport successor otherwise than in the exercise of such a power as is mentioned in sub-paragraph (1) of that paragraph.

• (2) Where—

• (a) a supply of gas to any premises has been cut off by a public gas supplier otherwise than under paragraph 8 or 9 of Schedule 5 to the 1986 Act and otherwise than in the exercise of a power conferred by regulations under section 18(2) of that Act; and

• (b) the supply is not restored before the appointed day,

each of paragraphs 11 and 25 of Schedule 2B to that Act shall have effect as if a supply of gas to those premises had been cut off on that day by the supplier’s supply successor otherwise than in the exercise of such a power as is mentioned in sub-paragraph (1) of that paragraph.

Failure to notify connection or disconnection of service pipe

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Any notice—