31. This Chapter applies where a water undertaker has withdrawn from the non-household retail market and, on or after the exit date, a transferred customer has—
(a)arranged for the acquiring licensee to continue the supply of water to the customer’s transferred premises on terms and conditions other than those provided for by a scheme under regulation 29, or
(b)arranged for a water supply licensee other than the acquiring licensee to supply water to the customer’s transferred premises.
32. The transferred customer may apply to the WSRA for an alternative water supply licensee to be appointed.
33.—(1) On receiving an application under regulation 32, the WSRA must direct an eligible water supply licensee to provide the water supply instead of the previous water supply licensee.
(2) The direction must specify the time from which the new licensee is to provide the supply.
34.—(1) A water supply licensee directed under regulation 33 to supply premises with water must notify the previous water supply licensee.
(2) The terms and conditions in accordance with which the supply is to be made are—
(a)those provided for by a scheme under regulation 29, or
(b)such other terms and conditions as may be agreed between the licensee and the customer.
(3) The supply is to be made until it is discontinued in accordance with the terms and conditions mentioned in paragraph (2).
35. Nothing in regulations 32 to 34 affects any liability of the customer for breach of contract or otherwise as a result of terminating arrangements for the supply of water by the previous water supply licensee.
36.—(1) This Chapter applies where a water undertaker that has withdrawn from the non-household retail market receives a water supply request.
(2) In this Chapter a “water supply request” means a request by the owner or occupier of any non-household premises in the retail exit area to supply those premises with water.
37.—(1) The water undertaker must, as soon as possible, notify the person who made the water supply request that the undertaker has withdrawn from the non-household retail market.
(2) The notice must explain that the person needs to arrange for a water supply licensee to supply the premises with water and explain, in general terms, the possible consequences under this Chapter if the person fails to do so.
38. Chapter 2A of Part 3 of the 1991 Act(1) is to apply as if a water supply licensee had made a request to the water undertaker under sections 66A(1) or 66AA(1) of that Act(2), at the time at which the person made the water supply request, for the purpose of supplying the premises with water.
39. Where a water undertaker is notified that a water supply licensee has agreed, or has been directed under regulation 41, to supply the premises with water—
(a)the requests treated by regulation 38 as having been made by a water supply licensee are to be treated as having been made by that water supply licensee, and
(b)any water supplied by the undertaker is to be treated as having been supplied by that licensee.
40.—(1) The water undertaker must notify the WSRA if, by the end of the relevant period, the undertaker has not received a notice that a water supply licensee has agreed to supply the premises with water.
(2) The water undertaker must also notify the WSRA if at any time after the end of the relevant period it receives a notice that a water supply licensee has agreed to supply the premises with water.
(3) A water undertaker is not required to notify the WSRA under paragraph (1) or (2) if sections 66A(4) and 66AA(4) of the 1991 Act apply.
(4) In this regulation—
“the relevant period” means the period of 22 working days beginning with the day on which the relevant undertaker receives the water supply request;
“working day” means a day which is not a Saturday or a Sunday, Christmas Day, Good Friday or a bank holiday in England and Wales under the Banking and Financial Dealings Act 1971(3).
41.—(1) On receiving a notice under regulation 40(1), the WSRA must direct an eligible water supply licensee to provide the supply.
(2) The WSRA ceases to be under the duty imposed by this regulation if it receives a notice under regulation 40(2).
42.—(1) A water supply licensee directed under regulation 41 to supply premises with water must notify the water undertaker (with the consequences mentioned in regulation 39).
(2) The terms and conditions in accordance with which the supply is to be made are—
(a)those provided for by a scheme under regulation 29, or
(b)such other terms and conditions as may be agreed between the licensee and the owner or occupier of the premises.
(3) The supply is to be made until it is discontinued in accordance with the terms and conditions mentioned in paragraph (2).
43.—(1) The WSRA must maintain a list of eligible water supply licensees for each retail exit area.
(2) The list for each retail exit area must contain—
(a)the acquiring licensee or licensees for the area, other than—
(i)any self-supply licensees; and
(ii)any licensee that the WSRA has decided not to include on the list in accordance with paragraph (3); and
(b)any other water supply licensee with a retail authorisation that has applied to be included and has not applied to be removed.
(3) At the request of an acquiring licensee, the WSRA may decide not to include that licensee on the list of eligible water supply licensees for a retail exit area where—
(a)such a decision would leave at least one acquiring licensee on that list; and
(b)the WSRA is satisfied on the basis of the proposed business model of the acquiring licensee that it would be appropriate for that licensee not to be included on the list.
(4) In paragraph (2), “self-supply licensee” means a water supply licensee whose retail authorisation relates only to premises of the licensee or persons associated with the licensee (and expressions used in this definition are to be read in accordance with Schedule 2A to the 1991 Act(4)).
44.—(1) The WSRA must from time to time publish guidance about—
(a)the exercise of its powers to give directions under regulations 33 and 41, and
(b)the maintenance of the list of water supply licensees under regulation 43.
(2) The guidance may, in particular, make provision about—
(a)the criteria used by the WSRA to determine which eligible water supply licensee to direct under regulation 33 or 41;
(b)the inclusion of water supply licensees in a list of eligible water supply licensees under regulation 43 and their removal.
45.—(1) The WSRA must by order specify the terms and conditions that, in the absence of express agreement by a water undertaker and water supply licensee, are to apply in relation to the performance by the water undertaker of any duties under section 66A or 66AA of the 1991 Act that arise by virtue of a request that is treated as having been made by Chapter 2 of this Part.
(2) An order under this regulation—
(a)may make any provision that may be made by order under section 66D(1) of the 1991 Act(5),
(b)is subject to the same constraints as an order under section 66D(1) (ignoring section 66D(1) itself and section 66D(2)), and
(c)is to be treated for all other purposes as being an order under section 66D(1).
Chapter 2A of Part 3 of the 1991 Act was inserted by paragraph 3 of Schedule 4 to the Water Act 2003 (c. 37).
Sections 66A and 66AA are prospectively substituted for section 66A by paragraph 1 of Schedule 2 to the Water Act 2014 (c.21) from a date to be appointed.
Schedule 2A to the 1991 Act was inserted by section 1(2) of, and Schedule 1 to, the Water Act 2014.
Section 66D is prospectively substituted for section 66D by paragraph 3 of Schedule 2 to the Water Act 2014 from a date to be appointed.