Environment Act 1995

The Electricity Act 1989

38 (1) Section 3 of the [1989 c. 15.] Electricity Act 1989 (general duties of the Secretary of State and the Director General of Electricity Supply when exercising certain functions) shall be amended in accordance with the following provisions of this paragraph.

(2) In subsection (1)(c) (duty, subject to subsection (2), to promote competition), for the words “subsection (2)” there shall be substituted the words “subsections (2) and (2A)”.

(3) After subsection (2) (duties as regards the supply of electricity in Scotland in certain cases) there shall be inserted—

“(2A) If an order under section 32(1) below requires a public electricity supplier to make, or produce evidence showing that he has made, arrangements or additional arrangements which will secure the result mentioned in subsection (2B) below, the order, so far as relating to any such requirement, may be made for the purpose of, or for purposes which include, promoting the supply to any premises of—

(a) heat produced in association with electricity, or

(b) steam produced from, or air or water heated by, such heat.

(2B) The result referred to in subsection (2A) above is that, for a period specified in the order, there will be available to the public electricity supplier—

(a) from combined heat and power stations; or

(b) from combined heat and power stations of any particular description,

an aggregate amount of generating capacity which is not less than that specified in relation to him in the order.

(2C) In subsection (2B) above, “combined heat and power station” has the meaning given by section 32(8) below.”.

(4) In subsection (3) (further duties), for the words “and (2)” there shall be substituted the words “, (2) and (2A)”.

39 (1) Section 32 of that Act (electricity from non-fossil fuel sources) shall be amended in accordance with the following provisions of this paragraph.

(2) After subsection (2) (result to be secured by arrangements made pursuant to an order under subsection (1)) there shall be inserted—

“(2A) For the purposes of this section—

(a) combined heat and power stations generally; and

(b) combined heat and power stations of any particular description,

are to be taken as being particular descriptions of non-fossil fuel generating stations.

(2B) A particular description of combined heat and power stations may be described by reference to, or by reference to matters which include—

(a) the heat or, as the case may be, the steam or heated air or water to be supplied from the station to any premises;

(b) any premises to which any such heat, steam or heated air or water is to be supplied (including, without prejudice to the generality of the foregoing, the use to which any such premises are put);

(c) the means or method by which any such heat, steam or heated air or water is to be supplied to any premises (including, without prejudice to the generality of the foregoing, any system or network of supply or distribution); or

(d) the arrangements (including financial or contractual arrangements) under which any such heat, steam or heated air or water is to be supplied to any premises.

(2C) Subsections (2A) and (2B) above are without prejudice to—

(a) the generality of subsection (2)(b) above, or

(b) section 111(2) below;

and subsection (2B) above is without prejudice to the generality of subsection (2A)(b) above.”.

(3) In subsection (8) (interpretation), after the definition of “coal products” there shall be inserted—

““combined heat and power station” means a non-fossil fuel generating station which is (or may be) operated for purposes including the supply to any premises of—

(a) heat produced in association with electricity, or

(b) steam produced from, or air or water heated by, such heat;”.

40 In Schedule 4 to that Act (other powers etc. of licence holders) in paragraph 4(1)(b) (power for certain bodies to execute works involving alterations of electric lines or plant) for the words “National Rivers Authority” there shall be substituted the words “Environment Agency”.

41 In Schedule 5 to that Act (water rights) in paragraph 8(b) for the words “river purification authority within whose area the watercourse or loch affected is situated” there shall be substituted the words “Scottish Environment Protection Agency”.